Section 7: Non-Payroll Disbursements
|Lenora Chapman, Interim Associate Vice President, Financial Affairs|
Last Revised On:
For Assistance Contact:
To provide guidance on how to obtain, use and account for expenditures using a Citibank® issued Procurement Card (Procard). This guideline applies to all authorized UTSA Procard users and departmental administrators involved in this process.
Table of Contents
B. Roles and Responsibilities
C. Limits and Restrictions
D. Special Event Privileges
E. Applying for and Receiving a Procard
F. How to Complete a Procard Purchase
G. International Transactions
H. Receiving an Order and Recording the Purchase
I. Returns, Damaged Good and Credits
J. CitiManager System
K. Procard Transaction Log and Electronic Payment Processv
L. Procard Maintenance
M. Lost, Stolen or Damaged Procards
N. Cancelling and Returning a Procard
O. Disputed and Declined Transactions
P. Required Documentation and Retention Procard Compliance Exceptions
The UTSA Procard program is a convenient purchase and payment tool for single purchases up to $5,000. Using a Procard eliminates much of the paperwork and potential delays associated with larger purchases. Administrative costs are reduced because fewer purchase orders, invoices and checks are required to be processed.
NOTE: Citibank issues the UTSA Procard and provides electronic transaction authorizations and billings.
The issuance of a Procard does not affect the personal credit of the cardholder. However, cardholders are personally liable to UTSA for unauthorized purchases and any other inappropriate use of the card.
The Procard program is administered by the UTSA Procard/Travel Card Administration (PTCA) Office.
The cardholder is responsible for ensuring the Procard is used only for legitimate UTSA business, and all transactions are in compliance with this FMOG and any regulatory, statutory, specific grant, funding source, departmental or program requirements.
The cardholder must:
Not allow anyone else to possess the Procard or use it to complete a purchase.
Never use the Procard to complete personal purchases, even if the cardholder plans to reimburse UTSA.
Adhere to the limits and restrictions of the Procard.
Secure the Procard while in their possession and/or store it in a secure location within their department, such as a locked file cabinet or a locked desk drawer.
Inspect all purchases promptly for accuracy in the event a purchase must be returned to the vendor.
Report suspected inappropriate or questionable use of the Procard to the PTCA Office.
Attend and complete the Procard Compliance (AM535) training class before receiving a Procard.
Attend the Procard Refresher Training (AM537) class every three years.
The account administrator or designee is responsible for approving an applicant's request for a Procard, validating the appropriate usage of the Procard for official UTSA business, and assuring compliance with this FMOG when authorizing Procard payments.
The account administrator or designee must:
Designate the default account number responsible for payment of all activity authorized on the Procard.
Assign Procard purchasing limits.
Appoint a reviewer to complete the monthly Procard payment process via the Procard Application and Agreement form.
Approve the monthly Procard payment.
Approve all Procard maintenance requests via the Card Maintenance Request (CMR) form.
The reviewer is responsible for completing the monthly Procard payment process. Also, this individual is designated by DEFINE to receive the electronic payment voucher (VP7) in their Document In-Box (YB2). For more information, see Procard Transaction Log and Electronic Payment Process.
The account administrator or designee may appoint the cardholder to also act as the reviewer unless any of the following exists:
The cardholder is also the account administrator.
NOTE: DEFINE does not allow the same individual to act as both the VP7 creator and VP7 approver.
The cardholder does not have access to DEFINE and therefore cannot update the VP7.
NOTE: Larger and more complex departments may strengthen departmental controls by appointing a reviewer other than the cardholder.
The Procard/Travel Card Administration (PTCA) office administers the Procard program at UTSA and is the primary liaison between UTSA and Citibank.
General responsibilities are:
Provide training to appropriate administrative staff and cardholders;
Maintain and update cardholder data;
Process overrides requested by the account administrator or designee for appropriate transactions;
Process credit and single purchasing limit requests and other changes. See Procard Maintenance for more information.
Reconcile Citibank charges with payments to Citibank and verify the payments posted correctly in the Citibank system;
Monitor card transactions and processing payments to Citibank.
The Procard may be used only by the approved cardholder for legitimate UTSA business purposes. The Procard must never be used for personal purchases even if the cardholder plans to reimburse UTSA.
The following additional limits and restrictions apply to Procard purchases.
Single transaction limit is $5,000. Individual purchases cannot exceed $5,000 including freight, although the limit may be set at a lower limit by the account administrator or designee, using the Procard Application and Agreement or Card Maintenance Request (CMR) form.
NOTE: Purchases cannot be split over time, or between vendors, recipients, etc. with the intent to circumvent the $5,000 single transaction limit. UTSA is required by state law to inventory and track equipment and controlled items, and those purchases would go undetected if a Procard was used.
Standard credit limit is $10,000, although the limit may be set at a lower limit by the account administrator or designee using the Procard Application and Agreement or Card Maintenance Request (CMR) form.
NOTE: Requests for a credit limit over $10,000 must be approved by the account administrator or designee using the Procard Application and Agreement or Card Maintenance Request (CMR) form and submitted to PTCA for final review and approval.
Vendor On Hold: No purchase over $500 may be made from a vendor whose status is on hold with the State Comptroller's Office. Cardholders must verify the vendor status via the Texas Identification Number System (TINS) – Vendor Hold Search website prior to completing a purchase. For more information, see Vendor Hold, a section of FMOG – Texas Prompt Payment Law.
NOTE: Departments may also verify a vendor's status in DEFINE and POINT Plus. See the PTCA Training Materials web page for instructions.
Professional and consultant/contracted service provider.
Restaurants (Special Event privileges only)
Caterer (Special Events privileges only)
Temporary labor agency
Transportation (taxi, limousine, etc.)
Travel-related: Any business, including airlines, car rental, hotels/motels, travel agencies, etc.
Alcoholic beverages (Special Events privileges only)
Food (Special Events privileges only)
Ammunition and weapons
Flowers (Special Events privileges only)
Cash advance and gift cards (including prepaid and declining balance cards)
Computer or telecommunication equipment over $500 including shipping
Hazardous chemicals or materials
NOTE: Additional approval required, contact the UTSA Office of Environmental Health, Safety, and Risk Management (EHSRM) for details.
Controlled prescription drugs
Purchases that require a contract or include an auto-renew feature
Cylinder gases, liquid nitrogen
Decorations (Special Events privileges only)
Social, entertainment, and recreational memberships.
NOTE: Certain professional memberships are allowed. See FMOG – Memberships Paid by University Funds for details.
Electronic equipment over $500 including shipping
Social or charitable organization dues
Equipment trade-in purchases
Telephone Services (landline)
Entertainment (Special Events privileges only)
Special Event privileges are authorized to a limited number of Procards and allow the purchase of certain restricted businesses and commodities in support of business related hospitality.
When expenditures are authorized for official occasions and university functions as defined in FMOG - Business Related Hospitality and Entertainment Expenditures, a completed Business Expense Form (BEF) must be retained on file.
To request Special Event privileges for a new Procard, the account administrator or designee must complete the Special Event Privileges section of the Procard Application and Agreement. Approval of Special Event Procard privileges is at the discretion of the Assistant Controller or designee.
NOTE: To add or remove Special Event privileges for existing Procards, complete a Card Maintenance Request (CMR). See Procard Maintenance for more information.
It is recommended that cardholders with Special Event privileges complete the Business Related Hospitality and Entertainment (AM553) training class prior to receiving Special Event privileges.
The applicant must be a full-time benefits eligible UTSA employee and obtain approval from the account administrator or designee for the default account responsible for payment of all activity authorized on the Procard.
If the account administrator or designee approves:
The applicant must read and understand this FMOG and sign the Citibank Procurement Card (Procard) Application and Agreement and forward to the account administrator or designee.
The account administrator or designee completes the form as follows:
The account administrator must send the completed and signed form to the PTCA office for processing.
The PTCA office reviews the completed and signed application and transmits it to Citibank after resolving any discrepancies.
NOTE: If discrepancies cannot be satisfactorily resolved, the application is returned to the account administrator or designee for resubmission upon correction.
If approved, the PTCA office notifies the cardholder and the account administrator or designee.
NOTE: The Procard is delivered to the PTCA office.
The applicant must register for and attend the Procard Compliance (AM535) training class.
The Procard is distributed to the new cardholder at the completion of the training class.
NOTE: The card cannot be distributed to anyone other than the cardholder whose name is embossed on the card.
The cardholder signs and activates the Procard by calling the number on the back of the card and completing the automated activation process.
NOTE: During this process, the cardholder is asked for information necessary for activation, such as the account number (16-digit number on the front of the card) and the cardholder's pass code (last four digits of the cardholder's Social Security number).
To complete a Procard purchase:
Confirm the item to be purchased is allowed and if the Procard is the best payment method.
Review the Procard limits and restrictions to verify that neither the business nor the item is restricted.
Verify that the transaction including freight, does not exceed the single transaction or credit limit. See Limits and Restrictions for more information.
Select and engage the vendor
UTSA encourages, but does not require, engaging a Historically Underutilized Business (HUB) vendor. Review the current HUB Vendor List, available on the HUB Program website.
If the purchase is over $500, you must ensure the vendor status is not On Hold with the State Comptroller's Office.
If selecting an international vendor, you must also email The Office of Research Integrity and Compliance (ORIC) to ensure the vendor is not listed on a U.S. government restricted parties list. See the International Transactions section for details.
NOTE: ORIC verification must be completed regardless of the dollar amount of the purchase.
Determine the quantity, description and price of items to be purchased.
Contact the vendor by telephone, FAX, online, or in person.
If completing an online transaction, you must ensure the vendor's website is encrypted, secure and does not store credit card numbers. To verify if an online transaction is secure:
In Internet Explorer, a lock icon appears in the Security Status bar.
In Mozilla Firefox, select Tools>Page Info>Security to view the website's Technical Details.
View the website address (URL) to ensure it begins with HTTPS (not HTTP), such as https://www.
Identify yourself as a UTSA employee, verify the vendor accepts credit cards, and inform the vendor that you are making a tax-exempt purchase and provide a Tax Exempt Certificate if required by the vendor.
Place the order
For in-store purchases, present the Procard to the vendor. For other purchases, provide the cardholder name, Procard credit card number and expiration date.
You may also be required to provide the three digit security code found on the back of the credit card.
Citibank typically pays the vendor within 24-48 hours of a Procard purchase.
Provide shipping information to the vendor
Name of the person placing the order
Department address and location (building/room)
It is preferred that Procard purchases be delivered directly to the department.
If the department prefers to direct the delivery to Central Receiving, all of the above information must be visible on the package.
Time of day that someone is available to receive the merchandise
Request that the vendor specify Procard Purchase or PCP on the package.
Provide billing information to the vendor
Provide your department address as the billing address as listed below and inform the vendor that the invoice copy may be included with the shipment or mailed to your department address.
NOTE: The invoice must not be mailed to the Disbursements and Travel Services (DTS) office.
The University of Texas at San Antonio
One UTSA Circle
Attn: [Name of person placing the order/receiving the order]
[Building name and room number for department]
San Antonio, Texas 78249-1644
All international vendors must be screened by The Office of Research Integrity and Compliance (ORIC) to ensure they do not appear on the U.S. government restricted parties list.
NOTE: ORIC verification must be completed regardless of the dollar amount of the purchase.
Cardholders must email ORIC and provide the following information:
Items to be purchased
Cardholders must wait for ORIC to provide a response via email before engaging the vendor.
If the vendor is on the restricted parties list, the transaction must not be completed.
NOTE: Once approved by ORIC, cardholders may continue to purchase from the approved vendor without submitting additional approvals until notified otherwise by ORIC.
The cardholder must inspect all shipments promptly for accuracy in the event the order must be returned to the vendor.
NOTE: Most vendors have a thirty-day return policy or other carrier imposed restrictions on reporting concealed damage. After that period, you may not be able to return or replace the items at no charge and you may be assessed a restocking fee.
Open the shipment and verify:
Order was filled correctly
All items are in good condition
All items received are in the quantities and at the prices specified on the Procard receipt or the itemized packing list
Sales tax was not charged
NOTE: Most items cannot be returned without the original packaging materials. Cardholders are encouraged to retain boxes, containers, special packaging, packing slips, etc. until they have confirmed the order is not being returned to the vendor.
If the order is accurate, the cardholder must record the transaction in the Procard Transaction Log. See the Procard Transaction Log and Electronic Payment Process section for more information.
The cardholder must read any enclosed instructions carefully and is responsible for contacting the vendor to return incorrect, duplicate, or damaged merchandise purchased with a Procard.
NOTE: Often a customer service telephone number and other instructions are included on the packing slip and/or receipt for returns.
Many vendors require a Return Authorization Number or Return Service Authorization before accepting a return. Failure to obtain the required return authorization from the vendor may result in the return not being accepted and/or being credited back to the Procard.
In some cases, there may be a restocking fee. If the vendor is responsible for the problem, the cardholder should not have to pay this or any other fee. See Disputed and Declined Transactions for more information.
NOTE: Cash or gift cards may not be accepted in lieu of a credit to the Procard.
Cardholders may use the CitiManager online system to review transaction history and download the memo statement for the current period. For more information, see the Self-Registration for Cardholders presentation, available on the PTCA – Training Materials web page.
Each month the PTCA office, cardholder, account administrator or designee and designated reviewer must review, reconcile and pay Citibank for all transactions purchased with a Procard.
This process is completed using billing statements received from Citibank, a Procard Transaction Log and an electronic payment voucher (VP7) in DEFINE as follows:
PTCA office reviews the Citibank summary billing statement for inappropriate purchases and other questionable Procard use.
NOTE: PTCA office receives one monthly summary billing statement from Citibank that lists all transactions completed for that billing period.
Cardholder enters their transactions on the Procard Transaction Log (goods received, amounts charged, etc.) and reconciles these transactions to the Citibank memo statement.
Cardholder signs the Procard Transaction Log, attaches the required documentation and submits it to the reviewer, to complete the electronic payment voucher in DEFINE.
NOTE: The cardholder and the reviewer may be the same person. See Roles and Responsibilities for more information.
PTCA office generates the Procard Payment Voucher (VP7) document based on the summary billing statement and distributes charges for each Procard to the default account specified in the Procard Application and Agreement.
PTCA office emails the VP7 approval deadline to the account administrator of the unit associated with the default account and up to another five individuals who are identified as having security access to the electronic payment voucher process.
NOTE: For more information on account administrators and DEFINE security, see UTSA Financial Management Operational Guideline (FMOG) – Financial Information Access and Security - DEFINE Access.
Reviewer reviews and signs the Procard Transaction Log to certify that all transactions for the period have been included and verified, and that all transactions are in compliance with this FMOG and any regulatory, statutory, specific grant, funding source, departmental or program requirements.
NOTE: The cardholder and the reviewer may be the same person. See Roles and Responsibilities for more information.
Reviewer must update the object code field by entering the correct object code in the VP7 before the VP7 is approved.
NOTE: Object code 1000 is assigned to each transaction as a default and is not an active object code.
Reviewer updates the account number for each transaction, if necessary, and approves the VP7 or routes it to the next approval level.
NOTE: The approval routing and number of approvers may vary by department, but all approvals must be completed before the deadline noted in the email notification.
Account administrator or designee reviews and signs the Procard Transaction Log to certify that all transactions for the period have been included and verified, and that all transactions are in compliance with this FMOG and any regulatory, statutory, specific grant, funding source, departmental or program requirements.
Account administrator or designee reviews and approves the VP7.
NOTE: Failure by the account administrator or designee to approve the VP7 by the deadline may result in loss of Procard privileges for the cardholder and is reported to the Assistant Vice President, Financial Affairs/University Controller as non-compliant. For assistance with the VP7 review and approval process, see the Procard Payment Voucher (VP7) training manual, available on the PTCA – Training Materials web page.
PTCA office reviews all VP7 documents that have not been approved by the deadline for further action.
The Card Maintenance Request (CMR) is used to request the following changes to an existing Procard:
Single transaction and credit limit
Default account number
VP7 Reviewer/Electronic Desk Access
Cardholder name changes
Temporary card activation or deactivation
MCC/Vendor addition and deletion
All requests must be signed by the cardholder and account administrator or designee and submitted to the PTCA office. If the card is in the cardholder's possession and is being canceled or replaced, it must be cut in half and returned in person to the PTCA office or Fiscal Services (Main or Downtown campus).
The cardholder must immediately report lost or stolen cards by calling Citibank at 800-248-4553. The cardholder must also notify the account administrator/designated reviewer and the PTCA office immediately, or at the start of the next business day if the loss/theft is discovered or occurs outside of normal business hours.
If requested by the cardholder, Citibank completes the card replacement and it is sent to the PTCA office. The cardholder must complete a Card Maintenance Request (CMR) to obtain the replacement card. See Procard Maintenance for details.
If the card is subsequently found or otherwise recovered, it must be cut in half and delivered in person to the PTCA office or Fiscal Services (Main or Downtown campus) as soon as possible for destruction.
The Procard may be cancelled for any of the following reasons:
Cardholder no longer requires a Procard
Cardholder has transferred to a different department
Cardholder is no longer employed by UTSA
Procard is damaged
Inappropriate use of the Procard
The Procard must be cut in half and returned in person to the PTCA office or Fiscal Services (Main or Downtown campus) with a completed Card Maintenance Request (CMR). See Procard Maintenance for more information.
NOTE: The PTCA Office cancels the Procard account and destroys the card.
The PTCA office may also cancel a Procard if the cardholder:
Uses or attempts to use the card for personal or unauthorized purposes;
Splits or attempts to split a purchase to circumvent Procard limits or restrictions; and/or
Fails to comply with this FMOG and any regulatory, statutory, specific grant, funding source, departmental or program requirements.
Failure of a cardholder to comply with this FMOG and any regulatory, statutory, specific grant, funding source, departmental or program requirements may result in revocation of Procard privileges, notification to management, disciplinary measures up to and including termination of employment, and criminal prosecution.
The cardholder must contact the vendor to dispute discrepancies on the memo statement, such as charges for items not received, incorrect pricing or duplicate billing in accordance with FMOG - Texas Prompt Payment Law.
If the discrepancy is resolved, the cardholder must verify that the correction has been completed when the next statement arrives.
If the discrepancy is not resolved, the cardholder must call Citibank at 800-248-4553 and complete and submit a Citibank® Cardholder Dispute Form to Citibank within 60 days of the statement date on which the disputed transaction was posted. The cardholder must retain a copy of the dispute form with the other Procard supporting documentation.
NOTE: The Citibank Cardholder Dispute Form must be completed even if the vendor is still researching the transaction.
If fraudulent activity is suspected, the cardholder must:
Call Citibank immediately at 800-248-4553,
Provide Citibank with any supporting documentation requested,
Complete the Citibank Affidavit of Unauthorized Use Form, and
Provide PTCA with the Citibank email confirmation that the unauthorized user charges are being investigated.
NOTE: PTCA will monitor account activity and provide guidance on the payment of valid charges.
It is possible for a vendor to receive a transaction-declined message at the point of sale when processing a Procard transaction. Cardholders may contact the vendor or Citibank to determine the reason for the decline.
If the decline is received in error, the cardholder may contact the PTCA Office for assistance. If the purchase is being made outside of normal business hours, the cardholder must find an alternate purchase method in accordance with UTSA guidelines, policies and procedures, or cancel the purchase and contact the PTCA Office during normal business hours.
The following documents must be retained by the cardholder — or the cardholder's department if the cardholder is no longer employed by the department — for the current fiscal year plus five additional fiscal years.
These documents must be readily available for audits and reviews and must be shredded before disposal.
An itemized sales receipt or other acceptable form of documentation, such as a packing slip, for each Procard transaction that includes:
Date of purchase
List of each item purchased and the price of each item
Completed and signed Procard Transaction Log
Departmental controls documentation
ORIC approval email (for international vendors only)
Copy of the related memo statement
Business Expense Form (BEF) if applicable. See FMOG - Business Related Hospitality and Entertainment Expenditures for more information.
Copy of a completed Citibank Cardholder Dispute Form submitted to Citibank, if applicable.
In addition to complying with UTSA-wide requirements and restrictions, the cardholder's department is also responsible for establishing and documenting an appropriate departmental Procard control environment including approvals, adjustments, record keeping, reporting, reconciliation, segregation of Procard duties and supervision.
Departmental control documentation must be retained with the Procard Transaction Logs, and must be readily available for audits and reviews.
For more information on internal control see the guidelines located in FMOG – Section 1: Internal Control.
The PTCA office utilizes management controls, management reports, and compliance audits and reviews to help ensure the appropriate use of the card.
The PTCA Office continuously monitors and reviews Procard transactions for compliance with this guideline. Procard activities and related controls are also subject to the requirements covered FMOG - Monitoring Plan for Segregation of Duties and Reconciliation of Accounts. Review of Procard transactions may also be performed during the Quality Assurance Review (QAR) to provide management with assurance that departmental controls are in place and operating effectively.
In addition, the following individuals may review and audit Procard use for compliance with this FMOG and any regulatory, statutory, specific grant, funding source, departmental or program requirements:
UTSA staff in the central offices of Disbursements and Travel Services (DTS); Audit, Compliance and Risk Services; and the Office of Post Award Administration (OPAA); and
State, federal and other auditors and representatives.
All Procard documentation must be readily available for audits and reviews.
UTSA may authorize certain exceptions to the purchasing authority of the cardholder to meet specific UTSA business requirements. Examples of such exceptions may include purchases of restricted commodities or services and temporarily increasing dollar thresholds due to unusual circumstances or unexpected events. When this occurs, the cardholder receives an email authorizing the exception and such documentation must be retained in departmental files.
An individual with fiscal responsibility and decision making authority for university resources who has approval access to commit funding using the institutional financial accounting system. This is typically the department head for non-grant accounts and the principal investigator for grant accounts.
The Texas Comptroller of Public Accounts defines controlled items as stereo systems, cameras, video recorders/laserdisc players (TV, VCR, camcorder), desktop and portable CPUs, printers (not portable), and data projectors valued from $500 to $4.999.99. In addition, firearms are controlled assets regardless of cost. See the detailed list of controlled property class codes on the State Comptroller's website.
A listing of transactions for the current billing period for an individual Procard. Memo statements do not include beginning or ending balances or prior period activity.
MCCs are assigned by MasterCard® to classify vendors according to the primary type of commodity (goods/services) they provide. MCCs are assigned to Procards to help ensure that the cards are not used for purchases from restricted vendors.
EXAMPLE: MCC 5811 (caterers) is assigned only to Procards with Special Event privileges.
UTSA Financial Management Operational Guideline (FMOG):
Business Related Hospitality and Entertainment Expenditures
Memberships Paid by University Funds
Texas Prompt Payment Law
Monitoring Plan for Segregation of Duties and Reconciliation of Accounts
Capital Asset Property Accounting (includes a list of controlled items)
CitiManager Self-Registration for Cardholders Presentation
Texas Administrative Code (TAC) Title 34 Part 1, Chapter 5, Subchapter E, Rule 5.57 – Use of Payment Cards by State Agencies
Texas Government Code Title 10, Subtitle D - State Purchasing and General Services
Citibank Charge Card Program: Card Security Controls and Restrictions (Texas Comptroller of Public Accounts)
State of Texas Records Retention Schedule – The University of Texas at San Antonio
Texas Identification Number System (TINS) Vendor Hold Search
State of Texas Procurement Manual
Updated to add "or designee" after "Assistant Controller" in section D under the Procard program section.
Published new FMOG to be effective on 08/20/12. Email firstname.lastname@example.org with any comments, questions and/or feedback.