To All departmental procurement card holders
Subjects Corrective actions required as a result of an audit
of the department's use of procurement credit cards
The use of procurement cards within the Department of Physics was
recently audited and as a result it is unfortunately necessary to
tighten the rules for
usage of these cards as explained below. If you do not follow both
these instructions and all the applicable fiscal rules from the
university, your procurement card will be withdrawn. I know that some
you might find these measures draconian or at least cumbersome, but
they are necessary in order to be sure that we do not get in trouble
with the fiscal authorities at UT. Please remember, that we are living
in the Post-Schumaker period. I also want to keep our current flexible
departmental purchasing system, where we do not require you to get a
purchase order number before each purchase as is common practice in
many other departments and private companies. But in order to avoid
that, you will have to use your procurement card prudently. If you are
in doubt ask Glenna or me.
1) All major purchases (>= $2,000) either have to be done through a
bidding process or through vendors that have
standing contracts with UT. If the combined purchases by all people
department exceeds $2000 to a single vendor within a year, that vendor
has to have a contract with UT.
Rule: If you are going to purchase anything on your procurement
card above $500 discuss it first with Glenna in order to ensure that
you are purchasing the item(s) from an approved vendor or we that we
are not exceeding the $2000 limit from an non-contract vendor.
This rule in particularly important for the people doing purchases
within our two shops.
2) You have to have a receipt for every single purchase. Too many are
too flippant with this requirement.
Rule: If you over a period of one year are not handing in
receipts for two or more purchases you will loose your procurement
card. If you loose a receipt you have to provide a written explanation.
3) Your monthly statement has to be signed by you.
Rule: If you over a period of one year have not signed your
statement twice you will loose your procurement card.
Soren P. Sorensen Department of Physics
Professor and Head University of Tennessee
Knoxville, TN 37996-1200
TEL: 865-974-7805 firstname.lastname@example.org
FAX: 865-974-7843 http://www.phys.utk.edu/sorensen