NASA Bankcard Program 2004 REFRESHER COURSE

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NASA Bankcard Program2004 REFRESHER COURSE

• Kennedy Space Center
• Allen Miller
• Gloria Marsh
• 7/24/03

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Agenda

• Overview
• Key Contacts
• Approving Officials/Cardholders
• Resource Management Office Responsibility
• Summary of Conditions
• Bankcards and the KSC Legal Office
• Updates/Reminders
• Rebates
• Procurement Information Circular (PIC) 03-20
• P-CARD Helpful Hints
• Questions and Answers

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OVERVIEW

• The Bankcard is the KSC mandatory method of
  payment for all purchases of 2500 and below
  unless unauthorized
• At this time, in P-CARD, we are averaging 500
  transactions a month totaling 300-350K

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KSC Key Contacts

• KSC Bankcard Coordinator (BC) Allen Miller
• Allen.J.Miller_at_nasa.gov 867-3308
  Mail Code
• OP-AM
• Alternate BC Gloria Marsh
• Gloria.Marsh-1_at_nasa.gov 867-7349
  Mail Code OP-CIAO
• KSC Office of Chief Counsel 867-2550 assigned
  per question Mail Code CC

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Key Contacts Contd
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Key Contacts Contd
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Approving Official/Alternate BAO Responsibilities

• Approves individuals as candidates for Bankcards
• Reviews and approves monthly transactions
• Ensures purchases are authorized and for
  Government use only
• Sets up their delegate in the P-CARD System (must
  have training IDs)
• Notifies the Bankcard Coordinator of changes
• Conducts periodic reviews on cardholder accounts
  under their auspices (IG Audit)

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Bankcard Holder Responsibilities

• Ensure no one else uses your card
• Comply with appropriate regulations and
  requirements (e.g., Federal Acquisition
  Regulation parts 8 13)
• Initiate your P-CARD Order Log before purchasing
  (ensures funds are available)
• Include shipping as separate Line Item (Cat. Code
  99) (Ignore the pre-set blank for shipping on
  Order Log)
• Purchase only authorized items
• (Obtain pre-approval when in doubt) Refer to
  Unauthorized Purchase List often _at_
  http//www.ksc.nasa.gov/procurement/cc/AppC.htm

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Responsibilities (Contd)

• Inform vendor that purchase is tax exempt
  provide tax exempt number and certificate if
  requested
• Ensure that all NASA property is tagged. This
  includes ALL sensitive propertyeven if it is
  under 500. It must have a NASA Form 1517 Decal
• - Per KHB 40001.E NPG 4200.1F (NPG 4200.1F
  soon to be released effective 4/3/03 via Interim
  Policy Letter/HQ code JG/Director, Logistics
  Management Office)
• Disputes now have 2 steps Annotate disputed
  during reconcile and fill out the Dispute form
  and fax to Bank
• Ensure billing disputes are resolved within 60
  days
• (Make sure you follow up)
• Review accuracy and reconcile transactions
• Hit DONE when all transactions are reconciled and
  Bankcard Coordinator says okay. Print the audit
  report at end of reconciliation process and keep
  with your records. Signature not required

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Cardholder Responsibilities (Contd)

• Maintains a running Balance Outside of P-CARD
• Retain records, receipts, audit reports, and
  additional notes to file for audit purposes
• Retain Delegation of Authority for Use of
  Bankcard letter (Revision to all cardholders
  will be issued soon due to IFMP implementation
• Immediately report lost or stolen Bankcards to
  Bank of America, the Approving Official, and the
  Bankcard Coordinator within 24 hours via
  telephone. (Keep the 1-800 number that is on the
  back of your card in a convenient place)

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Resource Management Official

• RMO Responsibilities
• Provides funding sources (charge code
  information), email is preferred.
• Charge code information required in P-Card
• Fund
• Internal Order
• Fund Center
• WBS
• Cost Center
• Resources Analyst (RMO) will keep cardholder
  informed by memo or email of changes to funds
  available

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RMO Analyst (Contd)

• Cardholders Responsibilities to RMO Analyst
• Must request appropriate funding sources to use
  for Bankcard purchases
• If your office has special requirements for
  tracking the funding of special projects or
  products (e.g., Information Technology
  Purchases), please consult with the RMO analyst
  for identification of such purchases or funding
• Inform the RMO analyst when you are running low
  on funds

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Summary of Conditions

• Bankcard purchases are subject to the following
  conditions
• Cannot exceed the maximum single purchase limit
  of 2,500
• Cannot exceed your monthly limit (limits vary)
  within the
• billing cycle (24th of one month through 23rd of
  next month)
• Cannot split purchases to circumvent the
  authorized single purchase limit

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Summary of Conditions (Contd)

• Priority Sources of Supply
• http//www.ksc.nasa.gov/procurement/cc/ps.html
• (GSA E-Library lists all vendors. Vendors
  interested in getting on GSA Schedule can go to
  www.fss.gsa.gov)
• Commercial Sources
• Reasonable effort to verify non-availability is
  sufficient
• (often driven by schedules or price)

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KSC Legal Office

• The established rule is that the expenditure of
  public funds is proper only when authorized by
  Congress, not that public funds may be expended
  unless prohibited by Congress.
• United States v. MacCollom, 426 U.S. 317, 321
  (1976)

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KSC Legal Office(Contd)

• To determine the availability of
  appropriations, we look to
• Appropriation acts/authorizing legislation
• Organic legislation (i.e. Space Act)
• General statutory provisions
• Comptroller General decisions
• Courts

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KSC Legal Office (Contd)

• Necessary Expense Doctrine
• The expenditure must bear a logical relationship
  to the appropriation sought to be charged
• The expenditure must not be prohibited by law
• The expenditure must not be otherwise provided
  for, that is it can not fall within the scope of
  some other appropriation

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KSC Legal Office (Contd)

• Entertainment General rule is that appropriated
  funds may not be used for entertainment except
  when specifically authorized by statute and also
  authorized or approved by proper administrative
  officers
• Food general rule is that appropriated funds
  are not available to provide free food to
  government employees at their official duty
  stations

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KSC Legal Office (Contd)

• Gifts and Awards General rule is that
  appropriated funds may not be used for personal
  gifts, unless there is specific statutory
  authority
• Cases generally involve the application of the
  necessary expense doctrine, and the result is
  that items in the nature of gifts can rarely be
  justified

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KSC Legal Office (Contd)

• Agreements make certain you have authority to
  bind the Government
• Insurance/Indemnification the Government is
  self insured and can not indemnify others
• If ultimate use of an item is personal do not
  use a bankcard

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General Updates/Reminders

• Always Current On-Line Help The KSC Bankcard
  Home Page
• http//www.ksc.nasa.gov/procurement/cc/card.html
• There are KSC guidelines for purchases of
  furniture, award items, and printing, etc.
• Be familiar with the Unauthorized Purchase List.
  Be sure to document the approval if authorization
  is given
• Your monthly limit is driven by the billing
  cycle which is the 24th of the month through the
  23rd of the next month (not from the 1st through
  the 30th!)

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General Updates/Reminders

• Before formally disputing a charge on your
  account, contact the vendor and attempt to
  arrange for a credit or correction on your
  account
• Sales tax and shipping charges cannot be formally
  disputed
• Disputes now have 2 steps Annotate disputed
  during reconcile and fill out the Dispute form
  and fax to Bank

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General Updates/Reminders

• Transfer or Resignation
• If transferring within KSC to another area of
  responsibility
• Approving Officials Inform the Bankcard
  Coordinator that you are changing organizations
  and if you will or will not remain an approving
  official in your new capacity
• Bankcard Holders
• Inform the Bankcard Coordinator of all changes
  (e.g., Mail Code Approving Official changes)
• Ensure all transactions are reconciled,
  considering any outstanding charges
• The new supervisor will determine if the card
  should be retained. If so, that organization
  must provide fund source information
• If leaving KSC, the card must destroyed and all
  future transactions must be reconciled by the
  Approving Official. The account will be closed
  once all transactions are reconciled

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Reminders from Central Receiving

• In Order Log description include part numbers
  and full description e.g., Coupling, ¾
  stainless steel, P/N 12345
• Quantities for 1 Lot (number per lot e.g., 23
  each per lot)
• Delivery address
• NASA, JBOSC Receiving, M6-744
• Attn PC__________/Name/Bldg/Rm
• Kennedy Space Center, FL 32899
• Attn Property Management (if tagging required)
• PCs MUST be on all shipping labels and packing
  slips. (Two or three party deliveries are not
  including the name or PC)
• Hazardous Material orders require the vendor to
  include an Material Safety Data Sheet (MSDS)
• New-- Sensitive Items Must have all items
  tagged NASA Propertyeven if under 500SHOW
  RECEIPT
• If picking up a controlled/sensitive item you
  must bring the item to Receiving!

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Rebates

• Rebates Send rebate checks to
• NASA Kennedy Space Center
• Mail Code GG-B-C
• KSC, FL 32899
• Be sure to include the PC. NASA will not
  accept any checks made payable to the cardholder
  therefore, the cardholder must deposit the rebate
  check and write a check to NASA for the same
  amount and include the PC.

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CARD SECURITY

• It is the cardholders responsibility to
  safeguard the Bankcard and account number at all
  times.
• The cardholder must not allow anyone to use
  his/her card or account number.
• A violation of this trust may result in removal
  from the program and possible disciplinary action.

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Procurement Information Circular (PIC) 03-20
http//www.hq.nasa.gov/office/procurement/regs/pi
c03-20.html

• The subject PIC, issued by NASA HQ provides
  guidance on purchase card account reviews and
  restrictions on purchase of gifts, food, and
  clothing.
• The NASA Office of Inspector General recently
  completed an audit of NASAs purchase card
  program and found the program was managed
  effectively. However, PIC 03-20 provides
  additional guidance to further reduce potential
  risks from inappropriate use of the purchase card.

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PIC 03-20

• Some highlights from PIC 03-20 include
• Account Reviews Purchase dollar limitations
  must be reviewed by the approving official on a
  routine basis to ensure that they continue to
  meet the organizational need. At a minimum, this
  review must be completed prior to renewal of the
  purchase card. Annual reviews are encouraged.
  The approving official must advise the Bankcard
  Coordinator (Allen Miller/OP-AM) of any changes
  to the cardholders limitations.

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PIC 03-20

• Suspected Fraudulent Purchases In addition to
  notifying the BoA of suspected fraudulent
  transactions, cardholders are required to notify
  the NASA OIG in accordance with NPD 9800.1, NASA
  Office of Inspector General Programs.
• Restricted Purchases Generally, absent
  statutory authority, the use of appropriated
  funds for the purchase of gifts, clothing, and
  food is prohibited.

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PIC 03-20

• Gifts Appropriated funds may not be used for
  personal gifts
• Clothing The General Accounting Office (GAO)
  considers clothing to be the employees personal
  expense

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PIC 03-20

• Food -- In general, appropriated funds are not
  available to provide food to government employees
  at their official duty stations. Feeding oneself
  is a personal expense which a government employee
  is expected to bear from his or her salary.
  However, there are some statutory authorities
  that, in certain circumstances, permit the use of
  appropriated funds to pay for meals and light
  refreshments. For example, food may be provided
  for employees as a necessary expense under the
  Government Employees Training Act when provision
  of that food is necessary to achieve the
  objectives of the training program

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P-CARD

• Read the Bankcard Coordinators e-mails!!
• Use other experienced Bankcard Holders/Approving
  Officials for help
• Set your Preferences (funding elements) before
  you press the new order button
• Use the OLQR http//olqr-cf.ifmp.nasa.gov

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P-CARD

• Never double reconcile
• Credits can be reconciled against a previously
  reconciled debit line. However
• Never modify a previously reconciled line (i.e.
  Do not change the quantity or amount of the
  line)
• Once you have saved the Order Log successfully
  you cannot change your funding elements on that
  Order
• NEVER zero out or change a previously reconciled
  line
• Un-reconciled, zeroed out Lines Dont disappear.
  However, If you are using the same funding
  elements, the line can be re-used

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P-CARD

• Be very descriptive with Order Log lines to help
  avoid double reconciliation
• Use the comments section in detail to help avoid
  double reconciliation
• Classify your Order Log lines properly (choose
  the correct Material Group. Do not use category
  99 for everything

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P-CARD

• Reconcile/approve early
• Do not hesitate to call for help
• Every debit and credit must have corresponding
  Order Log line No exceptions
• Try to set up your Order Log so that credits are
  easy to reconcile

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P-CARD

• Please make sure you can reconcile and approve by
  the due date
• Bankcard Holders must reconcile all monthly
  transactions and Approving Officials must approve
  all transactions -(regardless of fraud)
• Approving Official can write comments showing
  displeasure of transaction

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P-CARD

• Approving Officials can always ask the Bankcard
  Coordinator to take action if the Bankcard Holder
  continues making inappropriate purchases and/or
  continues going against the word of the Approving
  Official