Audit of Purchasing Card Program, July 2018

13 |  A u d i t o f t h e P u r c h a s i n g C a r d P r o g r a m  J u l y 2 0 1 8 5. Application Review Process Observation  The Standard Operating Procedure (SOP) for the P‐Card Application Process requires the P‐Card  applicant to complete and submit a Request for New Purchasing Card Application  to the P‐Card  Administrator. The SOP requires that the P‐Card Administrator review and approve, if  applicable, the application if the requested single and monthly transaction limits do not exceed   $5,000 and $25,000, respectively. The Procurement Official is required to review and approve,  if applicable, applications where requested limits are higher.  Of the 45 new P‐Cards issued during the audit period, a random sample of 20 was selected for  testing. All required documentation to support the issuance of the P‐Cards was reviewed. One  application was identified where the requested transaction limits required a review and  approval by the Procurement Official per the SOP; however, there was no indication that this  occurred. The application was signed by the P‐Card Administrator, indicating review and  approval. It was observed that the application made no reference to review and approval by  the Procurement Official when requested limits exceed the P‐Card Administrators approval  threshold.  Recommendation To better ensure compliance with the SOP for the P‐Card Application Process, the Purchasing  Card Application Form should be modified to include an area for the Procurement Official  approval, as applicable.  Management Response  The p‐card application has been revised and includes a signature line for the Procurement  Official to approve applications that exceed the $5,000 single/$25,000 monthly transaction  limit. This change will be included in New Cardholder and P‐Card Approver training.  The expected date of implementation is July 20, 2018.