1 Colo. Code Regs. § 101-1-2-7
Current through Register Vol. 48, No. 1, January 10, 2025
Rule 1 CCR 101-1-2-7 - STATE COMMERCIAL CARDS1.AUTHORITYState of Colorado Procurement Rules - 1 CCR 101-9
§24-102-207, C.R.S. (Statewide Procurement Card)
2.DEFINITIONS2.1. Commercial Card Program - All card (Procurement, Travel, One Card) accounts and services provided to the State and participating entities by a bank. 2.2. Commercial Cards - State issued payment cards including Procurement Cards, Travel Cards, and One Cards.2.3. Procurement Card - Commercial Card used for small purchases of general merchandise and services as governed by State statutes, the Procurement Rules, and these Fiscal Rules. A Procurement Card is a corporate liability card. 2.4. Travel Card - Commercial Card used for travel related purchases as governed by State statutes, State travel rules, and these Fiscal Rules. A Travel Card may be centrally billed (corporate liability) or individually billed (individual or joint and several liability).2.5. One Card - Commercial Card combining the functionality of both the Procurement Card and the Travel Card. A One Card is a corporate liability card. 3.RULEAll State Agencies and participating Institutions of Higher Education eligible for the State Commercial Card Programs shall enter into an agreement with the applicable State Commercial Card Program to participate. State Agencies and Institutions of Higher Education may not enroll in other credit or debit card program agreements (including store credit or other extension of credit).
3.1. Personal Services - Commercial Cards may be used to pay for services as well as goods. Under present Internal Revenue Service guidelines, it is the responsibility of the banking institution to fulfill 1099 reporting requirements. 3.2. Purchases in Excess of $10,000 - If authorized by the Chief Fiscal Officer of the State Agency or Institution of Higher Education, Commercial Cards may be used to pay invoices in excess of $10,000. Commercial Cards are a method of payment. Use of the Commercial Card is not a substitute for a Commitment Voucher or Encumbrance, as required by and defined in Fiscal Rule 3-1 (Commitment Vouchers). 3.3. Audit Responsibility - Use of the Commercial Card does not eliminate the need for an audit, which shall be completed within 60 days of the date the disbursement is made to the bank. The State Agency or Institution of Higher Education is responsible for reconciling the disbursements made to the bank with the total of validated individual charges for the State Agency or Institution of Higher Education. The dispute mechanism in the card agreement shall be used when charges from the bank are challenged.3.4. Annual Commercial Card Reporting3.4.1. State Agencies and participating Institutions of Higher Education shall review all Commercial Card payments and submit a report annually to the Office of the State Controller by November 1 of each year. The report shall include all incidents of State Commercial Card misuse that are recurring, significant, or in excess of $500. State Agencies and participating Institutions of Higher Education shall submit a report even if the Agency Institution has no instances of misuse.3.4.2. The report shall include results of any investigation or follow-up including corrective measures implemented to prevent or reduce the likelihood of future occurrences. Misuse include actions such as the purchase of goods/services or travel related transactions for personal use, splitting a purchase to circumvent single purchase dollar limits or cardholder credit limits, travel related transactions on the Procurement Card, purchasing related transactions on the Travel Card, or any other unauthorized transactions disallowed by State Agency or Institution of Higher Education policy. Incidents of suspected Commercial Card theft or embezzlement after investigation shall be reported according to Fiscal Rule 1-2 (Internal Controls).3.5. Monitoring and Training - Administrators of Commercial Card Programs shall ensure compliance with card agreements, monitor proper usage of the card, and provide direction to State Agencies and Institutions of Higher Education on proper use of the card. 3.6. Cardholders - State Agencies and Institutions of Higher Education shall only issue a Commercial Card to permanent State employees and shall not issue a State Commercial Card to contractors, temporary State employees, or non-State employees.41 CR 19, October 10, 2018, effective 11/1/201845 CR 11, June 10, 2022, effective 7/1/202246 CR 11, June 10, 2023, effective 7/1/202347 CR 08, April 25, 2024, effective 7/1/2024