Procurement Card FAQs

Frequently Asked Questions for Procurement Cardholders

Who can obtain a procurement card?

Anyone whose position requires them to routinely complete purchase requisitions and/or uses DPO's for small dollar purchases is a candidate to obtain a procurement card.

Can a department have more than one Cardholder?


Is this a debit card?

No, CNM will receive a monthly statement for the previous month's transactions and will have 30 days to pay the statement.

What is a small dollar purchase for the procurement card?

A small dollar purchase is $1,000 or less.

What if the account numbers listed on the original Cardholder Application form change?

The department will need to process a Modification of Cardholder Information.  The modification request will be processed in the same manner as the original request.

Can the individual doing the account review and reallocation be someone other than the Cardholder?

Yes, the Director or budget authority will specify the individual that will do the account review.

Who handles changes or deletions?

The Program Administrator in the Purchasing Department.

What if I am transferred to another location?

It is necessary to cancel your card.  Should you need a card in the new location, contact the Program Administrator in the Purchasing Department.

What is a Program Administrator?

The Program Administrator is an individual located in the Purchasing Department who coordinates various activities related to the purchasing card.

What is the role of the Purchasing Department?

The Purchasing Department's involvement will be limited to establishing policy and procedures and periodic verification that the Procurement Card Program is a controlled process and that it is not being used to circumvent established purchasing policies or is contrary to sound business practices.  Purchasing works closely with Accounts Payable and Audit in determining the best practices.

Why not simply use DPO's?

The Purchasing Department is attempting to not only simplify the purchasing process, but to reduce total acquisition costs.  The Purchasing Department believes the use of the CNM Procurement Card will provide our internal customers with greater flexibility, simplify the purchasing process and reduce total acquisition costs.

How do I use the card?

With the exception of certain limitations, as listed below, the CNM Procurement Card functions just like a personal credit card.  When the card is presented to a vendor, the vendor will usually request authorization through the credit card network.  If the purchase falls within the card's pre-established limits, you will receive the goods and be asked to sign for the purchase.  At this time, you should receive a detailed receipt identifying the items purchased.

Can I use the card over the telephone?

Yes, just like you might use your personal credit card.  The vendor will ask for your card number and for the expiration date.  Make sure to record your transaction in the Transaction Log.

You should instruct the vendor to provide you with a detailed receipt that shows what was purchased and the total amount.  These records could prove valuable for future potential issues with vendors, and must be kept with the Transaction Log.

What limitations are placed on the card?

Standard card limits are as follows:

  • Not to be used for transactions above $1,000
  • Not to be used for Travel and Entertainment
  • Not to be used for personal items
  • Not to be used for services
  • Not for cash advances
  • Not for capitalized items

Each department may place additional limits as dictated by the department needs.  Also refer to Procurement Card policy section 5.3, "Limitations/Approved and Prohibited Use."

Do we have to pay for damaged or wrong items, over shipments, etc.?

No, a disputed charge procedure will allow the Cardholder to notify Accounts Payable of charges on the monthly statement that are incorrect.  We do not have to pay these charges until such disputes are resolved.

What if my order is not received before I receive my statement?

The vendor does not process charges until shipment is made.  With 30 days from the date of the statement to the payment due, all shipments should be received.  If not received within one week of the statement, the amount can be shown as a disputed amount.  In some cases, the time between the shipment and the payment date may be as long as 60 days.

What if a Cardholder is sick or on vacation and can't review the transactions?

Each department will have (someone to be determined) who will have access to all departmental Cardholder account screens.  In an emergency the Program Administrator will have access to all accounts.

What will prevent someone from reallocating to an account that is not theirs or mistyping in an account number?

The reallocation software will verify that the account number entered is a valid reallocation account for the Cardholder based on the information submitted on the original or modified request.