Governance

Policies and procedures

Policy No.
UP17/7
Function
Financial Management
Authoring Organisational Unit
Finance - Central Unit
Date Approved
01/12/2017 Revised 04/12/2017
Next Review Date
01/12/2020
Approving Body
Vice-Chancellor

The University of Western Australia

Save this template to the preferred folder on your network drive. 

Note: You must save the template each time you want to write a policy to ensure that you are using the most recent version of the template.

You can use the show/hide button on your toolbar (this looks like a paragraph mark) to hide or show instructions in the template.  If clicking on this button does not work, please go to Tools - Options - View - and un-tick “hidden text” before trying again.

Note: Please do not type or paste over instructions.

(A comprehensive set of instructions is also provided on the Template and Instructions page of the University Policies website.)

To include text in the template, except in the Definitions section, place your cursor at the end of the relevant section heading provided or at the end of the relevant instructions and press “Enter” before beginning to type or pasting in text.  To include text in the definitions section place your cursor immediately under the heading before beginning to type.

Note: If you are pasting in text you must save it as plain text first so that you do not import any additional styles into the policy document.

Formatting styles are embedded in this template and can be found in a drop-down menu on your toolbar.  Note: Please do not add to or alter the styles.  It is recommended that styles be applied once text is finalised.  Apply a style by highlighting the text and clicking on the appropriate style from the drop-down list.

If you require a numbered heading style within the policy text, please use Heading 4 from the drop-down styles list.  This will automatically apply a number to the heading and each time you use the Heading 4 style the next sequential number will be applied automatically. 

Styles 1.1 (Style 1), 1.1.1 (Style 2), and 1.1.1.1 (Style 3) are available for the body of the text.  To reduce complexity, it is recommended that numbering below the level of 1.1.1.1 be avoided.  Bullet points can be used for lists if required.  The list bullet style is available from the styles drop-down list.

Note: If you press “Enter” after a heading provided in the template or after a set of instructions the Normal, Policy style will automatically be applied.

Note: Please do not use tabs in your document. 

University Policy on: Purchasing Card

Overtype “Policy Name” with the name of the policy.  This must convey specifically, accurately and succinctly what the policy addresses eg Award of Honours, Study Leave.

1 Purpose:

1.1 The purpose of this Policy is to

a) ensure that the requirements around legislative, audit and financial management compliance are met when spending the University’s funds using a Purchasing Card; and

b) contribute to maintaining a University culture of respect, integrity and inclusivity.

1.2 This Policy expresses the Purchasing Card:

definition                                                                           Section 2.0;

eligibility                                                                            Section 4.0;

application practice                                                         Section 5.0;

methods of payment                                                        Section 6.1;

permitted uses                                                                  Section 6.2;

non-permitted uses                                                         Section 6.3;

transactional disputes practice                                      Section 7.0;

limits review practice                                                       Section 8.0;

transfer practice                                                               Section 9.0; and

suspension and cancellation practice                         Section 10.0.

1.3 This Policy is to be read in conjunction with the following:

Purchasing Card Guidelines;

Purchasing Card Procedures;

Corporate Credit Card Policy;

Travel Policy;

Expenditure Reimbursement Policy; and

Entertainment Expenditure Guidelines.

2 Purchasing Card

2.1 A Purchasing Card is a mechanism to enable the secure purchase of goods and services, in support of business related, official, legitimate University expenditure relating principally to low value transactions.

3 Scope

3.1 Institutional Scope

a) This policy applies to the entire University.

3.2 Individual Scope

a) This policy applies to all members of the University Community when

approving eligibility for a Purchasing Card;

applying for a Purchasing Card;

using a Purchasing Card; or

managing the usage of a Purchasing Card.

4 Eligibility for Purchasing Card

4.1 The Chief Financial Officer (CFO) or their delegate will have absolute discretion to determine who may receive (and/or retain) a Purchasing Card.

4.2 The University will only issue a Purchasing Card to an individual who meets all of the following criteria:

a) the individual is

a permanent Employee of the University; or

another member of the University Community, dependent upon their functional responsibility as approved by the CFO;

b) the individual has a regular and demonstrated need to expend University funds for business purposes;

c) the individual’s primary role is purchasing; and

d) the individual must not currently hold (nor be entitled to hold) a Corporate Credit Card.

5 Application for Purchasing Card

5.1 The individual applying for a Purchasing Card must accept and comply with the Purchasing Card Guidelines and Purchasing Card Procedures.

6 Purchasing Card Usage

6.1 Methods of Payment using a Purchasing Card

6.1.1 A Purchasing Card must only be used

a) in person where a valid tax invoice or receipt is obtained at time of purchase;

b) via telephone if a valid tax invoice/receipt can be obtained immediately upon entering into the transaction;

c) via the internet if:

there is a high confidence that the purchasing website is authentic and secure;

the transaction value is less than A$1,000; and

a valid tax invoice/receipt can be obtained immediately upon entering into the transaction.

6.2 Purchasing Card Usage that is Permitted

6.2.1 A Purchasing Card may be used for the following purposes:

a) one-off payments for items such as registrations, conference fees, memberships, subscriptions and sponsorships, that represent official University business;

b) general consumables other than stationery and office supplies or other expenditure categories available under preferred supplier contracts;

c) when a vendor requires payment in a very short time-frame which cannot be accommodated via the normal payment process;

d) procurement of technical parts, the use of which is of an irregular nature, specific to a particular business unit and required urgently (the urgency cannot be driven by insufficient forward planning); and

e) catering events and marketing events of a low value and irregular nature that are required to conduct official University business.

6.2.2 All anticipated expenditures must be directly related to the requirements of the applicable Business Unit and must relate to official University business.

6.3 Purchasing Card Usage that is Not Permitted

6.3.1 A Purchasing Card must not be used for the following purposes:

a) payment by way of linking a Purchasing Card to other merchant payment providers;

b) payment via direct debit from a Purchasing Card;

c) to obtain cash advances from banks, building societies, credit unions and/or automatic teller machines;

d) to obtain cash equivalents such as bank cheques, traveler’s cheques and electronic cash transfers;

e) personal transactions;

f) expenditure of a capital nature irrespective of cost, including but not limited to:

computer equipment;

laptops;

mobile phones;

PDAs;

cameras;

printers;

audio & visual equipment;

office furniture.

g) payment of air travel, unless it is in accordance with the Travel Policy;

h) payment of goods and services exceeding the threshold outlined in the Purchasing Card Guidelines;

i) expenditure of an ongoing, recurring nature which should be facilitated through the normal procurement to pay process of the University; and

j) splitting payments in order to circumvent normal Purchasing Card limits and/or to bypass standard procurement quotation requirements.

7 Transactional Disputes

7.1 Cardholder means a permanent Employee of the University or another member of the University Community, as approved by the CFO to hold a Corporate Credit Card or Purchasing Card.

7.2 Where a transaction is in valid dispute with the bank and/or supplier (for reasons of expected fraud or otherwise), the Cardholder must act in accordance with the Purchasing Card Guidelines and Purchasing Card Procedures.

8 Purchasing Card Limits Reviews

8.1 The University will set and review a Purchasing Card limit in accordance with the Purchasing Card Guidelines and Purchasing Card Procedures.

9 Request for Transfer of Purchasing Cards

9.1 Cardholders will not automatically retain the use of a Purchasing Card when taking up duties in a new position/role.

9.2 Requests for the transfer of a Purchasing Card between business units must be in accordance with the Purchasing Card Guidelines and Purchasing Card Procedures.

10 Suspension and Cancellation of Purchasing Cards

10.1 A Purchasing Card will be suspended for the following reasons:

a) a Cardholder fails to provide valid supporting documentation for their transactions;

b) Purchasing Card expenditure has not been acquitted within 60 calendar days from transaction date.  Any Purchasing Card not acquitted after this period will be automatically suspended and will only be re-activated when all available Purchasing Card statements have been acquitted;

c) the employment of a Cardholder is suspended, pending disciplinary action;

d) a Cardholder is not expected to use a Purchasing Card for a period of 60 or more calendar days (e.g. due to absences resulting from extended leave).  Cardholder should provide notification of such extended leave or similar instances;

e) a Cardholder has used the Purchasing Card in a way that is not permitted; or

f) any other reason as authorised by the CFO.

10.2 A Purchasing Card will be cancelled for the following reasons:

a) a Cardholder refuses to comply with relevant University policies, guidelines and procedures.

b) a Cardholder regularly fails to provide valid supporting documentation for outstanding transactions;

c) a Purchasing Card has remained suspended for 30 or more calendar days;

d) a Cardholder is no longer employed by the University;

e) The Cardholder is no longer a permanent employee of the University; or

f) any another reason as authorised by the CFO.

11 Breach of Policy

11.1 Failure to comply with this policy by a member of the University Community may be considered a breach of the Code of Ethics and Code of Conduct and may result in disciplinary action.

Provide a brief summary of the reasons for the policy and issues it addresses.  This section is designed to stand alone.  The aim is to provide the reader with enough information to make a decision about whether or not this is the policy they are looking for.  It must not be longer than 200 words. 

Example 1

This policy defines the nature and purpose of study leave provisions for academic staff and sets out eligibility criteria and other conditions that apply.

Example 2

This policy seeks to rationalise the award of honours across the University by addressing such issues as: entry standards, course content and structure, supervision, assessment, examination, grades, classifications, benchmarking and the maintenance and provision of documentation relating to these matters.  It is based on resolutions of the Academic Board flowing from the 1999 report of the Honours Working Party.

12 Definitions:

Cardholder is defined in section 7 of this policy.

Purchasing Card is defined in section 2 of this policy.

University Community means all individuals who use University Property for study, work, recreation, other activities and the performance of official duties for the University.

University Property means tangible and non-tangible things, belonging to, or contracted to the University or members of the University Community, including campuses, facilities and services.

University means the University of Western Australia.

Place your cursor immediately under the definitions heading to get the definitions style.

Policy or Procedure?

Policies are statements of the principles1 which govern decision-making.

Procedures are the functional steps used to implement policies.

1 Principles in this context are to be understood as being both broad and detailed.

The policy statement makes clear the intent of the policy.  It must be written in clear, precise and direct language.  Short sentences are preferable.  Any specialist words or acronyms must be defined at the beginning of the statement.  (A guide to writing styles will be available soon.)

If the policy includes procedural elements you will need to identify these as Procedures by including this word above the relevant text.  The procedures style from the styles drop-down list must be applied to the whole of the procedures text, including the word Procedures.  Note: Administrative procedures can be approved by the relevant Director.

13 Related Documents

Purchasing Card Guidelines

Purchasing Card Procedures

14 Associated Documents

Entertainment Expenditure Guidelines

Expenditure Reimbursement Policy;

Corporate Card Policy; and

Travel Policy.

Provide links to any forms associated with the policy (eg Approved Leave form) and/or to information on on-line submission.

Note: Forms are a means through which policy is processed, not made.  Forms must reflect policy and must not be used to create policy.

TRIM File No:

UP17/7

Insert the appropriate TRIM file number.  All policies must have a TRIM file for storing information relating to policy development and other related information.  Note this is not the policy number.  Apply for a TRIM file number at http:/intranet.uwa.edu.au/page/38742

Contact position:

Melvyn Davison

State the name of the position that is to be contacted for any queries regarding the policy, eg University Secretary.  Note: As this will link through to the University’s Contact Directory, the position name must be given exactly as it appears in that directory.

 

Provide details of, and, if appropriate, web links to, other policies, legislation or committee resolutions that relate to the subject of the policy, if known, eg Statute(s), University General Rule(s).  If unsure what these might be, try one or more of the following:

Conduct a search on TRIM.

Make an enquiry to Archives and Records.

Seek help from staff in the relevant section. 

If related policies are stored in University Policy format on the University Policies site, please provide the relevant policy number(s).  

Switch off the instructions by clicking the hide/show button on your toolbar.

Check the content of the document for clarity and accuracy.

Submit the document to the relevant position or body for approval.

When the document is approved -

if the policy does not already have a University Policy number, apply for one by completing the form at http://intranet.uwa.edu.au/archives/new_university_policy_number (Control and click to follow the link.)

include the University Policy number in the relevant table box in the template; and

complete the relevant approval date and any other table boxes at the end of the template that have not yet been completed.

Save the document in Filtered HTML format to a convenient location on your network drive (Go to File – Save As and select Web Page, Filtered from the drop-down list under the filename box.)

Apply the style-checker as follows:

Go to the following URL http://www.admin.uwa.edu.au/policytidy (Control and click to follow the link.)

Browse to find the policy document you have saved in Filtered HTML.

Hit “Submit” to bring up the preview of the converted document.

Check for errata and mis-processed characters.

Once the document is correct, click on “Download Document” to download the document to the preferred folder on your network drive.

Appropriate Director emails (rorett@admin.uwa.edu.au) the policy to University Records for storing in TRIM and publishing on the University Policies website.