The Procurement Card Audit Program underwent a formal review to identify opportunities for process improvements related to the PCard Audit practice. The review was performed by Internal Audit and the following enhancements have been recommended for implementation as of July 1, 2009:The following attributes will be included for determination of the compliance rating (pass/fail rating):Individual PCard records will be audited for:
Original itemized receipts (or certification of receipt copies, faxed or e-receipts) **In using the term itemized receipts, the Auditor needs to see exactly what was purchased, how many items, the total of each item, etc.—not just the general summary receipt giving the total.
Accurate reconciliation of receipts and monthly bank statements
Appropriate use of the PCard: no split purchases, no restricted purchases, no prohibited transactions, no tax violations
A minimum baseline disciplinary action has been developed for individuals found to be in non-compliance with established policies and procedures.First Violation =
Communication of results to Cardholder, Approver, Supervisor, Budget Director, VP, CFO.
Action Plan developed with cardholder and supervisor, highlighting areas of improvements and recommendations.
Will be automatically added to the list of next scheduled Re-Audits (note, if violations are sited before the follow-up audit is conducted disciplinary actions will occur)
Second Violation (failed Re-Audit) =
Depending on the magnitude and frequency of the violation(s)—anyone or combination of the following:
Letter of reprimand to cardholder’s and/or reviewer’s personnel file.
Mandatory attendance of Pcard Training
Temporary suspension of the PCard (minimum of 30 days) until cardholder and/or reviewer attends required PCard training.