MARINE CORPS INSTALLATIONS

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MARINE CORPS INSTALLATIONS EAST CONTRACTING
DEPARTMENT
GOVERNMENTWIDE COMMERCIAL PURCHASE CARD
PROGRAM INTERNAL OPERATING PROCEDURES 01 Oct
2007
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CONTRACTING DEPARTMENTPO Box 8368 Camp Lejeune
NC 28547
Agency Program Coordinator Lucille
Padgett Alternate Agency Programs
Coordinators Cynthia Darden 451-2129 John
Outlaw 451-5399 Joyce Player 451-7849 Jewel
(JR) Gatling 451-7851 Kathy
Wilcox 451-7850 Diana Joseph 451-1681

• Contracting Officer
• Paula Salter
• Procurement Chief
• MGySgt Lopez
• 451-7846

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The policy of Marine Corps Installations East
(MCIEAST) is to use the purchase card to make
open market purchases for supplies not to exceed
3,000 services not to exceed 2,500
construction not to exceed 2,000 and 25,000
for OCONUS under the appropriate conditions.
This instruction and enclosures sets forth local
operating procedures for the use of Purchase Card
and applies to all tenant command members,
military and civilian who participate in the
Purchase Card program.
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• Department of Navy Guidance
• NAVSUPINST 4200.99 Policies/Procedures for
  Operation
• NAVSUPINST 4200.85 Series, DON Simplified
  Acquisition Procedures
• Marine Corps Guidance
• The Standard Operating Procedure (SOP)
  promulgates specific USMC policy and guidance
  concerning USMC GCPC Program procedures and
  requirements. The SOP is incorporated as Appendix
  H to the Marine Corps Acquisition Procedures
  Supplement (MAPS).
• Applies to all USMC commands and activities
  using the GCPC for appropriated fund purchases.
• Guidance for Marine Corps Community Services
  (MCCS) Card Program is provided in EBUSOPSOFFINST
  4200.2
• Local Internal Operating Procedures

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DESIGNATION OF OFFICIALS

• Head of Activity. The duties of the Head of
  Activity (i.e. Commander, Commanding Officer,
  Officers in Charge, Director),
• EBUSOPSOFFINST 4200.1A and NAVSUPINST 4200.99

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DESIGNATION OF OFFICIALS

• Agency Program Coordinator (APC).The APC serves
  as the liaison between MCIE, CitiBank, and HQMC.
• APCs must receive purchase card training
• APCs are required to a complete DD Form 577,
• The APC to CH ratio shall not exceed 1300

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DESIGNATION OF OFFICIALS

• Financial Manager/Comptroller.
• Responsible for managing command funds.
• The Comptroller and APC work together to ensure
  the
• funds approval process is streamlined to the
  maximum extent practicable

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DESIGNATION OF OFFICIALS

• Approving Official/Certifying Officer.
• Are selected by their supervisor/Head of
  Activity.
• Appointed in writing by the Agency Program
  Coordinator

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Approving Official/Certifying Officer.

• Are the first line of defense against misuse,
  abuse and fraud.
• Are supervisors or higher grade/rank than the
• cardholder.

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DESIGNATION OF OFFICIALS

• Cardholder.
• Cardholders receive a letter of delegation and
  set-up form Approving Official
• The Cardholder submits those forms to the APC
• The APC appoints the Cardholder and submits
  set-up form to the bank.

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Cardholder

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DESIGNATION OF OFFICIALS

Assigned Call Numbers. Cardholders are assigned
a 4 digit code that identifies the unit and the
cardholder BCOM01Base Comptroller, CH01. A 3
or 4 digit number indicates orders
BCOM01-001. The second purchase BCOM01-002. A
new series will began each fiscal year.
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DESIGNATION OF OFFICIALS

• Transfer of Cardholder.
• A/O must notify the Card Management Team, by
  e-Mail.
• Suspend account 30 Days prior to departure
• When a cardholder transfers from one A/O to
  another,
• A new card is issued.

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Training

• All training must be successfully completed prior
  to appointment.
• DoN eBusiness Operations Office
• Purchase Card training Defense Acquisition
• Standards of Conduct (Ethics)
• Local training

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Training
Cardholders appointed to use the purchase card
as a stand-alone method of procurement courses
must also complete CON 237, Simplified
Acquisition Procedures
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INTERNAL PROCESSES

• Purchase Request Process.
• Each purchase must have three individuals
  involved A receiver of goods, the CH and the
  AO.
• If A/O is not available to approve purchases,
  the Card Management Team must be notified.

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INTERNAL PROCESSES
Purchase Request. Cardholders shall use the
purchase request form Proper use of this form
will verify that sufficient funds are available,
proper screening has occurred and necessary
approvals has been granted.
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INTERNAL PROCESSES

Purchase Card Log. CHs will complete the
Electronic Purchase Log, enclosure (4), for each
transaction immediately following each purchase
but may begin entering information as soon as
he/she receives a request to purchase supplies or
services The AO shall review the Electronic
Purchase Log as part of their monthly
reconciliation process. Failure to maintain the
purchase log properly may result in suspension of
card privileges.
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INTERNAL PROCESSES

• .

Necessary Expense Rule. Three-part test.
Necessary to carry out an authorized agency
function or contribute materially to the
effective accomplishment of that function. Must
not be prohibited by law. Must not be an item
that falls within the scope of some other
appropriation or statutory funding scheme.
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INTERNAL PROCESSES

• .

Exceeds Minimum Mission Need. It is excessive
in terms of quality, quantity or exceeds the
minimum requirements to satisfy and support a
units need. Purchasing goods or services
excessive in price, quantity, or for a
questionable government need, or both, is
considered abusive
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INTERNAL PROCESSES

• Funds.
• Funds must be committed and obligated before
  the cardholder contracts for supplies or
  services.
• Only OM funds are approved for the purchase
  card use.

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INTERNAL PROCESSES

• Procuring of Services.
• Services shall be non-personal, commercially
  available and at a fixed price.
• Un-priced services can only be obtained if the
  Cardholder can establish a ceiling price that
  will not be exceeded. (a quote).

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INTERNAL PROCESSES

• Split Requirements.
• Determine in advance if your purchase will
  exceed either the micro-purchase threshold or
  your single purchase limit.
• You cannot segregate items in order to remain
  below the ceiling.

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INTERNAL PROCESSES

• Restricted Purchases.
• Cell phone service above 2500 calendar year.
• Weapons, ammunition or any parts purchased in
• order to modify
• Porta-Johns service EXCEED 2500.
• Additional Guidance is provided in NAVSUPINST
• 4200.99

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INTERNAL PROCESSES

• Restricted Purchases.
• Gasoline or oil
• Repair vehicles.
• official travel
• Hazardous Materials
• Give-away items

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INTERNAL PROCESSES

• Required Waivers. Base Property must be
  contacted for nonexpendable Office equipment or
  furniture items such as TVs, desk, vacuum
  cleaners, fans, ac units etc are being purchased.
  
• SMU Wavier is required to purchase any tactical
  equipment. POC at SMU is customer at 451-7069

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INTERNAL PROCESSES

• Communication Information Technology Service
  Division (CITSD), NMCI Representative or G-6 for
  approval for any Information Technology (IT)
  Equipment.
• Base/Installation Communications Office to
  purchase radios, audio or anything that might
  interfere with communications.
• NMCI provides waivers for blackberry make/model
• NMCI provides service for blackberries from
  commercial sources.
• Bottled water A waiver from IE for a building
• The Contracting Officer for an exercise.

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INTERNAL PROCESSES

• Screening. It is mandatory CHs screen
  requirements through the statutory sources of
  supply
• In addition, the screening must be documented on
  a manual or automated log, or on the purchase
  card documentation.

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INTERNAL PROCESSES

• Required Sources for Supplies
• Agency inventories
• Excess from other agencies
• DOD EMALL (office supplies)

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INTERNAL PROCESSES

• Fair and Reasonable Pricing.
• A price that is fair to both parties,
• Rarely a single price, fair and reasonable
• from all viewpoints.

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INTERNAL PROCESSES

• Local Businesses.
• CHs who visit local vendors will have a
• shopping list approved by the AO.
• Personnel authorized to pick up supplies,
• must not sign for cardholder.
• Write phone order in the signature space
• and sign the bottom of the receipt.

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INTERNAL PROCESSES

• Solicitation and Award Procedures.
• CHs are authorized to use the purchase card
  over-the-
• counter, over-the-phone or via the Internet
• Quotations of price and delivery shall be
  obtained and
• documented
• Over-the-counter purchases will be received and
  taken.
• No rain checks.

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INTERNAL PROCESSES

• SALES TAX
• At the time of purchase inform merchant
• this buy is for official U.S. Government use
• and is not subject to Federal state and local
  tax.
• A tax exemption letter enclosure (6)
• 31-1575142 TAX exempt when required.

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INTERNAL PROCESSES

• Receipt and Acceptance Procedures.
• Cardholders are responsible for verifying
• receipt of all transactions. CHs placing
• orders are to obtain signed acceptance from
• either the end user, or another Government
• employee.
• CHs will NOT accept items they have ordered. .

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INTERNAL PROCESSES

• Local procedures for property management.
• Pilferable items that have a ready resale value
  or application to personal possession and that
  are subject to theft. (i.e. Laptops, Cameras,
  Camcorders, Handheld Computer (Palm pilot),
  Televisions, VCRs, Handheld Printer, Direct TV
  Components, vacuum cleaners..) are to be
  properly entered into the appropriate property
  control system, and the property control number
  annotated on the purchase request.

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INTERNAL PROCESSES

• Maintenance and Retention of Records. CHs, AOs
  and APCs must maintain purchase related records
  and documentation for a minimum of 3 years. For
  accounting purposes, all financial related
  records must be maintained for a minimum of 6
  years and 3 months.

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INTERNAL PROCESSES

• Procedures for Suspected Fraud, Abuse or Misuse.
  
• IMMEDIATELY report to both your chain of command
  and APC, any attempts to coerce you into using
  your card for fraudulent purposes. If in doubt
  contact your AO or the APC for guidance and
  support.

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Reconciliation, Verification and Certification

• Cardholder.
• Shall continuously monitor their account
  activity, reconcile the transactions appearing on
  statement and verifying accuracy.
• The CH shall review all information on the
  monthly statement, verifying any changes,
  credits, outstanding disputes or refunds.

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Reconciliation, Verification and Certification

• DISPUTES .
• Try to resolve disputed charges with the vendor
  as soon as it appears on your statement.
• Notify your APC before submitting or filing a
  dispute.
• Disputes must be filed within 60 days of the
  original transaction.
• Complete Dispute Form. Respond quickly to
  requested information.
• If you do not respond, your claim not process.
• You cannot dispute sales tax.

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Reconciliation, Verification and Certification

• Approving Officials.
• Shall be the certifying officer for his/her CHs
  monthly invoice.
• Ensures all purchases were appropriate and the
  charges accurate.
• Resolves all questionable purchases with the
  cardholder.
• unauthorized purchase are reported to the APC.

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Reconciliation, Verification and Certification

• Login Procedures.
• CH and AO(s) go to
• http//www.cards.citidirect.com/welcome.asp.
• Type DON and hit enter.
• Enter USERNAME and PASSWORD.

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Audit Procedures

• Monthly Review
• Each month all purchases made by cardholders in
  MCIE are reviewed for possible fraudulent
  transactions.
• Scheduled Audit of all files
• These are usually done annually or after ninety
  days of
• activity. The approximate date of the next
  audit will be
• provided, based on the number of
  discrepancies noted.
• Original records are required.
• Sixty Day Audit
• New Cardholders are required to have a mandatory
  audit of all transactions 60 days after receiving
  the purchase card.

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• 1. LOGIN Cardholders and approving officials
  will go to the web site http//www.cards.citidi
  rect.com/welcome.asp
• 2. Type DON
• 3. The approving official must get his USERNAME
  from Citibank

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• 3. The Approving official must get his USERNAME
  and password from Citibank.
• 4. The cardholder, the first four letters of
  his last name and last six numbers of his card
  for the USERNAME field
• Citibank at 1-800-790-7206 option 2. password
  resets and new user IDs. option 2

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• During a monthly cycle from the 20th of one
  month until the 19th of the next, the
  cardholders statement has interim as its
  status. It cannot be certified until the status
  changes from interim to new

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Reconciliation, Verification and Certification

• Being TAD, on leave or deployed is not an excuse
• On-line certification was created to alleviate
  late certifications.
• Get an alternate approving officials
• 19th of September 2006.

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Reconciliation, Verification and Certification

• PURCHASE CARD CERTIFICATION STATEMENTS
• I certify on _____________ that, except as may be
  noted herein or on supporting documents, the
  purchases and amounts shown documented on this
  statement
• Are correct and were required to fulfill
  immediate mission requirements of
• my organization.
• Do not exceed spending limits approved by the
  Resource Manager.
• Are not for my personal use or the personal use
  of the receiving individual.
• Are not items that have been specifically
  prohibited by my organization or by statue (e.g.,
  real estate, transportation and travel).
• Are not part of a system or larger purchase
  exceeding 100,000.00 in value.
• Have not been split into smaller segments to stat
  under the micro purchase limit (2,500.00).
• In making this certification. I understand that
  the cardholder has not notified me of my
• duplicated payments and/or any fraudulent or
  improper charges to their account.
• The cardholder will be responsible for repaying
  my organization up to the amounts permitted
• by regulation for any purchases that do not meet
  the above requirements as determined by
• audit and/or reconciliation. I also understand
  that the disbursing officer will charge for any
  late
• interest payment penalties in accordance with the
  Prompt Payment Act.
• ______________________________
• 
  Signature of Approving Official

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Reconciliation, Verification and Certification

• I certify on ___________________________ that,
  except as may be noted
• herein or on supporting documents, the purchases
  and amounts shown
• documented on this statement
• Are correct and were required to fulfill
  immediate mission requirement of my
• Organization.
• Do not exceed spending limits approved by the
  Resource Manager.
• Are not for my personal use or the personal use
  of the receiving individual.
• Are not items that have been specifically
  prohibited by my organization or by
• statute (e.g., real estate, transportation, or
  travel).
• Have not been split into smaller segment to stay
  under the micro purchase limit
• (currently 2,500.00).
• ________________________________________Authoriz
  ed
• Cardholder Signature (or electronic
  certification)

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Reconciliation, Verification and Certification

• AO prints a copy of the online statement. Sign
  and date and files. Statement. Instructions are
  in IOP page 20.
• After certifying AO the payment will post in the
  next 7 to 10 days.
• A minus figure for the exact amount owed for
  that month.
• If it does not post with ten days, the Credit
  Card Management Team should be notified
  immediately.

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Reconciliation, Verification and Certification

• DELINQUENCY
• Accounts not certified by COB on the 5th day
  after the
• closing of the billing cycle, will result in the
  immediate
• suspension of the account.
• If suspended it will take 48 to 72 hours to
  unsuspended the
• account.
• Not certified after 30 days, the Head of
  Activity/CO must
• request the account be reinstated via
  e-mail/letter to the
• APC.

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INTERNAL CONTROLS

• Monthly Reviews
• Scheduled Audit of all files
• One or two Minor DiscrepanciesApproving
  Official and cardholders will be counseled

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INTERNAL CONTROLS

• Three or more Discrepancies or Repeat of
  Violations Found in Last AuditCardholders and
  approving officials will take required remedial
  training and/or suspension of accounts may take
  place at the discretion of the APC

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INTERNAL CONTROLS
More Serious Violations or Repeated Disregard
of Credit Card Rules and RegulationsImmediate
suspension of account with notification to
Commanding Officer of action taken.
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DISCIPLINARY PROCEDURES

• Government Commercial Purchase Card (GCPC)
  misuse, abuse, and payment delinquency will not
  be tolerated.
• The GCPC card is for official government
  business and for no other purpose. It is the
  Department of the Navys policy that improper,
  fraudulent, abusive, or negligent use of a
  government purchase card is
• prohibited.

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DISCIPLINARY PROCEDURES

• Civilian personnel. Penalty guidelines indicate
  that the penalty of removal from government
  service is an available maximum option for a
  first offense in appropriate cases, as determined
  by the deciding official.
• Military Personnel. Military personnel who
  misuse, abuse or commit fraud with the purchase
  card shall be subject (Article 15, Uniform Code
  of Military Justice (UCMJ)), court-martial and
  administrative separation.

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MEMORANDUM Subj CERTIFICATE OF LOCAL
TRAINING Ref (a) Federal Acquisition
Regulation (FAR) 1.6 (b) NAVSUPINST
4200.99 (c) MAPS APPENDIX H I,
_______________________________________ certify
that I have read and reviewed the MCIE, GCPCP
local policy presentation and Internal Operating
Procedures (IOP) supplied for the purpose of
Local training, by the Purchase Card Management
Team. I agree to abide by the terms and
conditions outlined in these instructions and the
references __________________________________ Sig
nature
Date _________________________________ Name
(First M.I. Last (Print)