Loudoun County Public Schools s2

LOUDOUN COUNTY PUBLIC SCHOOLS

BUSINESS AND FINANCIAL SERVICES

STUDENT ACTIVITY FUND CARD PROCEDURES

INTRODUCTION: A student activity fund card is a method of paying for purchases, travel related expenses, and conference expenses costing less than five thousand dollars ($5,000.00). Cards are assigned to a school for purchases, travel related expenses (airfare, hotel accommodations, food, parking, gasoline, etc.), and conference expenses.

Cards may be used with most vendors who accept the VISA credit card. Approved transactions will be paid by LCPS, establishing an Accounts Receivable from each school, with reimbursement from the individual school’s activity fund.

CONTACTS:

Purchase Card Technician – Barbara Washington (571) 252-1373

Purchase Card Technician – Anita Monroe (571) 252-1382 (Purchase/Travel)

Accounting Supervisor – Ellen Loss (571) 252-1369

Director of Financial Services – Thomas C. Yetter (571) 252-1190

ROLES:

a.  Director of Financial Services – Responsible for approving and issuing new card requests.

b.  Purchase Card Technician – Responsible for reviewing new card requests and for reviewing, problem-solving, and interfacing to FAMIS.

c.  Cardholder (bookkeeper) - Responsible for maintaining custody/control of cards, review and approval of transactions, timely submission of the monthly report to Accounting, and monthly submission of check payable to County of Loudoun from student activity account.

d.  Approver/Account Manager (principal or designee) - Responsible for approving transactions and ensuring the monthly report and original receipts are submitted in adherence to established procedures.

CARD USE GUIDELINES:

1.  Cards are for business use only; no personal purchases shall be made with the card. Misuse of the card may result in revocation of the card or other disciplinary actions, to include termination of employment.

2.  Use of the cards for cash advances is prohibited.

3.  Card users should be prepared to present their Loudoun County Public Schools’ employee ID at the time of purchase.

4.  Cards shall be used in accordance with established purchasing regulations. While there is no requirement to obtain competitive pricing, discretion is encouraged. Existing bids and contracts must be used.

5.  Use the cards as you would a credit card; however, make the vendor aware that LCPS is exempt from sales tax for goods purchased in Virginia or delivered to Virginia by the vendor. LCPS’ tax exemption number is printed on the front of each card. The bookkeeper and/or card user shall be responsible for recovering sales tax paid on exempt purchases.

6.  Purchases are limited to a single transaction limit (STL) of $5,000.

7.  Cards may only be used to pay for purchases using school activity accounts.

8.  In the event a vendor does not accept the card, please contact Barbara Washington in the Accounting Division for further review.

9.  An itemized receipt must be obtained for EVERY purchase. Receipts must include the vendor’s name, a description of each item purchased, the cost per item, and the date of the purchase. The summary receipt with the total purchase amount is not acceptable by itself.

10.  Bookkeepers are responsible for placing all internet and phone orders to ensure security of the account number. When placing internet, fax, or phone orders make sure to verify that no sales tax will be charged, and that the vendor will provide an itemized invoice/receipt.

11.  Account numbers should never be faxed to a vendor. Account numbers may be provided to the vendor via telephone.

12.  The use of third party payment processing is not acceptable and is strictly prohibited (i.e. PayPal).

13.  Vendors may not charge the card prior to shipment.

14.  To return an item, contact the vendor and follow their procedures. A credit invoice from the vendor must be submitted with the monthly memo statement.

CARD USE PROCEDURES:

1.  All employees must read the “Student Activity Fund Card Procedures” and sign the “Employee Agreement Form” prior to use of the card. The employee agreements are to be kept on file by the bookkeeper and be made available for inspection.

2.  Cards are to be logged in and out, using the appropriate Card Log.

3.  The bookkeeper should use catalog discounts and contracts when available. Periodic audits of purchases will be made to ensure purchases are in compliance with School Board policy.

4.  Use of the card is restricted to the employee who has logged the card out.

5.  Under no circumstances should a card be loaned to another person while logged out.

6.  The card and itemized original receipts must be returned to the bookkeeper immediately after use.

7.  The card(s) shall be kept in a secure location.

8.  The account number is not to be displayed in a place open to public view.

MONTHLY REPORT:

1.  The accounting cycle for student activity fund cards is from the 27th of one month to the 26th of the following month.

2.  The monthly report should be run no earlier than the 29th of each month. Bank of America posts through the end of the day on the 28th of each month.

3.  Bookkeepers should access “Works” weekly to verify that receipts for all purchases are on file, all transactions are properly coded, and all transactions have been electronically signed off. Once transactions are signed off by the bookkeeper, they are electronically forwarded to the Account Manager for approval.

4.  A default allocation code has been created for the Student Activity Fund purchase cards and must not be changed.

5.  Once transactions are signed off by the bookkeeper, they are electronically forwarded to the Account Manager for approval.

6.  The bookkeeper shall run a monthly report detailing the monthly transactions for each card.

7.  After transactions are approved by the bookkeeper and principal/account manager, the memo statement, with copies of the original detailed receipts attached, must be approved and forwarded to the Division of Accounting on the 1st of the month.

REIMBURSEMENT OF FUNDS FROM STUDENT ACTIVITY FUNDS:

1.  Statements will be sent to the cardholder by the 5th of each month. Statements will show student activity fund card transactions posted to the school’s accounts receivable account.

2.  Print the My Payables Allocation report for the same time period. This report will show the Account Codes placed in the Comments field during the signing off of the transactions. The codes should be used for proper coding of the check in School Books.

3.  A check payable to “County of Loudoun” along with a copy of the statement should be sent to the Financial Services office by the 10th of the month.

4.  Cardholders who do not reimburse funds by the established deadline may lose card privileges.

DISPUTES:

If a charge appears on the card which cannot be verified, a dispute situation may exist. If the dispute cannot be resolved with the vendor, mark the transaction as “disputed” on your monthly report and contact Barbara Washington at (571) 252-1373.

LOST OR STOLEN CARDS:

Lost or stolen cards must be reported immediately to the bank. The office of the Director of Finance must also be notified immediately at (571) 252-1190.

CANCELLATION OF CARDS:

When a bookkeeper, principal or individual cardholder leaves Loudoun County Public Schools’ employment, notify Barbara Washington at (571) 252-1373. Cut the card in half, and have the bookkeeper or Account Manager bring the card(s) to Becky Dufresne in the Director of Finance office.

4

Revised 2/9/2012