Quarterly Purchasing Card Administrators’ Meeting Tuesday, November 15, 2011 – 9:00-Noon Winewood Office Center, Building 4

AGENDA Introductions Special Presentation

Darinda McLaughlin and Mary Quinsey, Department of Environmental Protection —Oculus Scanning System

Outstanding Items

ITN Update

National Association of Purchasing Card Professionals (NAPCP) Membership Update

MRE Training

Rep Letter

New Items

Approver Classes—Who Should Attend?

Monitoring Reward Programs

Lost Receipt Forms

Travel Agents

Quarterly Customer Satisfaction Survey

Issues Related to Reporting Fraud to Bank of America

Reportcaster

Bob Notman, Department of Revenue—Monitoring Transaction Limits and Card Usage

Questions/Other Discussion

Quarterly Purchasing Card Administrators’ Meeting Minutes Tuesday, November 15, 2011 – 9:00-Noon Winewood Office Center, Building 4 Facilitator: Michelle Oliver

Introductions Special Presentation Oculus Scanning System – Darinda McLaughlin and Mary Quinsey, Department of

Environmental Protection (Presentation was emailed to Administrators on November 16, 2011, and will be posted to the PCard website.)

Outstanding Items

ITN Update – No new information reported. (Please note: On November 17, Department of Management Services released a “Notice of Agency Decision to Withdraw and Reject All Responses.” According to the notice, the “Department intends to re-solicit the Purchasing Card Services” contract.)

National Association of Purchasing Card Professionals (NAPCP) Membership Update – Marie has now joined the association as the primary member, and the agencies can join as associates for $99. Currently, one associate has joined. Marie has asked David Bennett (the PCard contract manager at DMS) if local participants want to be included, but has not received a response yet.

MRE Training – FLAIR Education provided two introductory classes in November. If there is enough interest, another class will be scheduled for January. Once everyone has been through the introductory class, FLAIR Education will attend our quarterly meetings to present more advanced queries.

Rep Letter – The previous letter has been revised and is currently being reviewed by management. The Statewide Office is also revising the Agency Model Plan, and we will be asking all agencies to update their plans to correspond with the new model plan. Some agencies do not currently have a narrative plan, only the Excel spreadsheet “checklist.” The Statewide Office would like for all agencies to have up-to-date narrative plans and will phase in the agencies’ filing process to avoid a delay in the review process.

New Items

Approver Classes – FLAIR Education provides Approver classes monthly. Personnel from the Statewide Office assist in the training and have noticed that some attendees are not involved in the PCard process at all. The Statewide Office asked the agencies to encourage actual PCard Approvers to attend the classes. Not only do the classes cover the approval process in the PCM, they also discuss topics such as allowability of purchases and the importance of the Approver’s role in the process.

Monitoring Reward Programs – During the charge review process, the Statewide Office has noticed rewards being accrued at Best Buy, Winn Dixie, and Shopkick. Participating in a rewards program is acceptable if the card is registered to the agency and not to the cardholder personally. Any benefits received as a result of a State expenditure should accrue to the State, not an individual. Cardholders are acting as purchasing agents and should not benefit from a vendor doing business with the State of Florida. Cardholders may choose a higher priced product if they are receiving rewards. This topic led to discussion regarding hotel reward programs and frequent flier miles. DFS will research further to determine if there is a policy (CFOM, AAM, or AG Opinion) regarding this subject.

Lost (Replacement) Receipt Forms – The Statewide Office has discovered that some cardholders are routinely using Replacement Receipt forms. These forms can be used to disguise the true nature of the purchase. Supervisors/approvers need to monitor frequency, as they are the ones in the best position to recognize abuse. When a Replacement Receipt form is used, the approver should verify the item(s) listed on the form was what was ordered and received – the same process used when a receipt is provided.

Travel Agents (internal) – During the charge review process, the Statewide Office has noticed cardholders using their PCard to make travel arrangements for other people. In order for an agency “travel agent” to use a PCard for other people, the agency’s PCard Plan must be amended and approved by the Statewide Office. The Plan must ensure appropriate controls are in place. These types of transactions have not been included in charge reviews, but most likely will be in the future.

Quarterly Customer Satisfaction Survey – As part of DFS’ performance measure review process, Customer Satisfaction Surveys will be sent to agencies quarterly. The first surveys will be sent in the middle of December. Please forward the survey to the back-up Administrator, if you choose. This is an opportunity to tell us how we are doing – good or bad. Please complete and return the surveys each quarter.

Issues Related to Reporting Fraud to Bank of America – Recently a couple of agencies have had an outbreak of fraud on cardholders’ accounts. The Administrators were able to find a possible link (vendor) to the fraud. The cardholders whose cards were compromised had used the same vendor in recent days before the fraud occurred. If you are able to find a connection, please coordinate with Michelle Oliver (in the Statewide Office) to report to the bank. The Statewide Office is linking the information to determine if any patterns exist across multiple agencies.

Reportcaster – The Statewide Office is currently testing Reportcaster to send out routine reports, such as the 10-day Aging Report. Once testing is complete, the Agency Administrators will automatically receive daily 10-day reports. The Statewide Office will follow-up with emails to the Agency Administrators as necessary.

Monitoring Transaction Limits and Card Usage – Bob Notman, Department of Revenue (Presentation was emailed to Administrators on November 16, 2011, and will be posted to the PCard website.)

Questions/Other Discussion – No questions or further discussion was presented.

DEP had over 3000 active purchasing cards

On average 1300 receipt reconciliations are performed

monthly

Approx. 1750 cardholders are located outside of

Tallahassee

Paper process was costly and caused numerous delays

Savings:◦ Postage

◦ Copying

◦ Special envelopes to hold documentation

Quicker visibility

Time saving

Audit easier for Procurement & Finance & Accounting, DFS, Inspector General and Auditor General’s Office

Document Management Software required (Oculus – Web Based)

Need enough licenses to cover those required to scan.

Scanners will be required.

Finance & Accounting does 50%.

Procurement Office does 50%

No change to reconciliation process from the paper to electronic process

Email system used for tracking scans and communicating deficiency or issues.

Naming standards developed for consistency and reporting.

Purchasing Card Profiles – about 75%

complete

Vouchers