Effective immediately, Handbook AS-709, Purchase Card Policies and Procedures for Local Buying, is revised to address the recently established purchase card activity electronic reconciliation and review procedures for purchase card statements. These revisions replace the current Chapter 4 of Handbook AS-709 and supersede all previous reconciliation procedures:
n The manual reconciliation requirement for cardholders and credit card approving officials (CCAOs) was discontinued on October 19, 2012, with the implementation of the Purchase Card electronic Reconciliation System (PCeRS).
n The waiver for Postmaster purchase card reconciliation has been eliminated.
n Cardholders and CCAOs are not required to manually sign their monthly billing statements.
n The bank provider will send an email notification to cardholders and CCAOs only when transaction (debit or credit) activity is on a cardholder’s monthly account.
n Cardholders are no longer required to send supporting documentation to their CCAO. However, the CCAO may request supporting documentation from a cardholder on any purchase.
n The requirement for the cardholder to maintain supporting documentation locally for 3 years remains in effect. The bank provider electronically stores cardholder statements for seven years.
n Cardholder disputed purchases are now managed through the bank provider’s electronic reconciliation system.
For additional information about PCeRS, please refer to the Purchase Card Program webpage or contact the Purchasing Shared Services Center (PSSC) at 877-293-2410.
Handbook AS-709, Purchase Card Policies and Procedures for Local Buying
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[Revise all of Chapter 4 to read as follows:]
4 Cardholder and CCAO Reconciliation Procedures
4.1 Cardholder and CCAO Responsibilities
The cardholder and the credit card approving official (CCAO) play an important role in the payment process. On a monthly basis, the cardholder is responsible for reconciling the bank-provided Purchase Card electronic Reconciliation System or “PCeRS” statement of account with his or her purchase card documentation. The CCAO is then responsible for reviewing the cardholder’s transactions and determining whether to final approve or reject each transaction in PCeRS. The CCAO is also responsible for approving his or her electronic monthly managing account statement. Cardholders and CCAOs are responsible for completing all required PCeRS activities no later than the 18th of the current month for the previous month’s card activity. Certification is critical because the San Mateo Accounting Service Center (ASC) automatically pays the bank provider the total amount invoiced before any certification by the cardholder or CCAO. If the verification is not completed, billing errors will go undetected, the cardholder's finance number may be charged for goods and services not received, and the bank may be overpaid.
4.2 Bank Provider’s Consolidated Invoice and Notifications
4.2.1 Single Invoice
The bank provider pays suppliers/merchants within 3 business days after each charge transaction. Then, after the close of each billing cycle, the bank provider consolidates all Postal Service purchase card transactions and sends one electronic invoice to the San Mateo ASC. This invoice contains a record of all Postal cardholders’ transactions by finance number and credit card account number.
4.2.2 CCAO Monthly Managing Account Statement Notification
After the close of the billing cycle, the bank provider sends an electronic mail to CCAOs notifying them that their monthly managing account statement is ready for their review of the individual transactions made by each cardholder assigned to that CCAO.
4.2.3 Cardholder Statement of Account
After the close of the billing cycle, the bank provider sends cardholders an electronic mail notifying them that their statement of account reflecting their transactions for the monthly billing cycle is available and they must now reconcile their account activity.
Note: Cardholders and CCAOs will only receive an electronic mail notification from the bank provider if they had activity (debit or credit) for the billing cycle.
4.2.4 Disputed Transaction Status Report
The bank provider may also send a disputed transaction status report to a cardholder. This report is generated after the close of the billing cycle and lists all outstanding disputes by cardholder number, name, transaction reference number, dispute reason, and amount. The report also lists recently resolved disputes along with the resolution date and the status of the resolution.
4.2.5 Other Management Reports and Electronic Delivery
A variety of reports are available through the bank provider’s secured website. Additional information about these reports can be attained by contacting the PSSC at 877-293-2410.
4.2.6 Billing Cycle Date
The purchase card billing cycle closing date is the 18th of the month. The bank provider generates the cardholder electronic statement of account, the electronic CCAO monthly managing account statement, and the single Postal Service invoice covering all charges processed on/after the 19th of the previous month through the 18th closing date. (Electronic mail notifications concerning available statements of accounts are sent on the 19th of the month or the previous business day if the 19th falls on a weekend or holiday.)
4.3 San Mateo ASC Payment and Data Access
4.3.1 Payment
San Mateo ASC is responsible for making timely payments to the bank provider.
4.3.2 Purchase Card Payment Data Access
After payment is processed to the bank, purchase card charges/payments are posted in the Accounting Data Mart (ADM), with access available via the EDW/ADM/Shared Reports/Accounts Payable/Purchase Card (request access through eAccess). EXPENSE purchase card charges are reallocated in accordance with part 152 of this handbook. For more information on how to access these purchase card ADM reports, go to: http://adm.usps.gov/index.cfm?job=menu3.
4.3.3 Online Access to Bank Provider Master File
In order to assist with correcting invalid finance or general ledger account numbers prior to payment, the ASC has online access to the bank provider’s electronic access system. Before making corrections, the accuracy of the updated master accounting code is verified by the ASC or the bank provider with the Supply Management Infrastructure (SMI) Agency Program Coordinator (APC).
4.4 Reconciliation Procedures
4.4.1 Reconciliation Process Cycle Time
Cardholders and CCAOs must complete all required PCeRS activities no later than the 18th of the month for the previous month’s card activity. For example, all reconciliation activities for statements issued with a closing date of October 18th must be completed no later than the 18th of the following month (in this example, November 18th). Guidelines to ensure timely processing follow.
The purchase card billing cycle closing date is the 18th of the month. The bank provider sends each cardholder an electronic mail notifying them that their electronic statement of account reflecting their transactions for the monthly billing cycle is available for all charges processed on or after the 19th of the previous month up to the 18th closing date.
The cardholder must then electronically certify (suggested within five to seven working days upon bank email notification) their reconciliation in PCeRS. The CCAO must then complete the required review and certify they have conducted a proper review of the cardholder’s transaction activity in PCeRS.
The cardholder retains all supporting documentation for three years from the date of the bank statement of account.
4.4.2 Cardholder Procedures
As a cardholder, you are responsible for the timely monthly reconciliation of the bank-provided electronic statement of account in PCeRS. This verification is required to ensure the accuracy of the statement and to prevent payment errors. After the close of the billing cycle on the 18th of the month, the bank provider will send you an electronic mail notifying you that your statement of account detailing your transactions for the monthly billing cycle is available:
a. Log into PCeRS with your user identification and password.
b. Review all transactions for accuracy.
c. Reconcile all transactions in PCeRS with the purchase documentation for that billing cycle.
d. Electronically dispute questioned items.
e. Certify completion of the reconciliation by selecting the “Agree” button in the Card Account Statement Confirmation section.
f. Cardholder’s approved statement is automatically available to the responsible CCAO for review.
4.4.2.1 Multiple Accounts
If you have more than one purchase card account, the bank provider will email separate statement notifications after the close of the billing cycle for each account.
4.4.2.2 Electronic Statement Not Issued for Cardholders
If you made no purchases during a billing cycle, you will not receive a PCeRS email notification unless payment or adjustments for previously billed transactions are processed during that billing cycle. If you made purchases during a billing cycle and you do not receive a PCeRS email notification, call the bank provider’s customer service number. This number is on the back of your purchase card or you may check the Supply Management Purchase Card Program web page on USPS Blue for the most current number.
4.4.2.3 Statement of Account Overview
The cardholder’s statement of account will contain both cardholder and CCAO name, address, and account information. The billing address will reflect Finance at Headquarters and is the same for every Postal statement considering payment is made through one consolidated electronic monthly invoice. Transaction details provided by the merchant/supplier will be included along with total amount of transactions for the billing cycle.
4.4.2.4 Incorrect Statement of Account Information
If the cardholder’s statement of account contains incorrect information, including your finance number, notify the PSSC. You must reconcile the statement just as you would if it had the correct account information. The statement you receive in the following billing cycle should have your corrected information.
4.4.2.5 Cardholder’s Disputed Transactions
In PCeRS, select the purchase card transaction that you would like to dispute. Purchase cardholders have 90 days from the date the transaction was posted to the account to dispute a transaction. Select a dispute reason from the bank’s list in PCeRS. Depending on your selection, you may be required to submit additional documentation to the bank provider’s dispute department; and depending on the type of dispute you selected, you may be required to print, sign, and mail or fax other documentation to the bank provider’s dispute department. An address prompt in PCeRS will instruct you where to send the additional documentation. Disputes on sales tax and shipping/handling charges may not be reported under the bank dispute process. They must be resolved with the supplier/merchant.
4.4.2.6 Notification from the Bank Provider
The bank provider’s dispute department will mail a hardcopy dispute resolution decision to the purchase cardholder when the dispute has been approved or rejected. If the dispute resolution is rejected by the bank provider, the purchase cardholder must contact the bank provider’s Customer Service Department at 888-994-6722 for further instructions.
4.4.2.7 Credit on Statement of Account
Once all necessary information (including supporting documentation from the supplier/merchant, when applicable) is received by the bank provider, if a chargeback is warranted, a credit will appear on your PCeRS statement of account, and the amount of the chargeback will be included in that month’s balance.
4.4.2.8 Disputes That Cannot Be Resolved
If you cannot resolve a dispute, ask your CCAO or contact the PSSC for assistance. Your SMI APC in the PSSC has online access to the status of disputed transactions via the bank’s electronic accounting system.
4.4.2.9 Documentation Retention Period
Retain all supporting purchase documentation for 3 years from the date of each statement. If your cardholder account is canceled, turn this documentation over to your CCAO.
4.4.3 CCAO Procedures
As the CCAO, you must review the cardholder’s transactions and certify that the cardholder’s charges were transacted for goods/services that are consistent with purchase card policy requirements and as such were neither prohibited nor restricted. The CCAO must approve or reject all cardholder’s transactions in PCeRS. The CCAO will not be able to approve his or her monthly managing account statement until all cardholder transactions have been approved.
4.4.3.1 CCAO Monthly Managing Account Statement
At the end of the billing cycle, the bank notifies the CCAO by electronic mail that the CCAO has pending transactions in their monthly managing account statement in PCeRS. The monthly managing account statement covers only their assigned cardholders who had purchase activity during the billing cycle.
4.4.3.2 Purchase and Payment Verification and Review
Besides verifying the accuracy of statement billed amounts and ensuring consistency with the amounts to be paid as reflected in your monthly managing account statement, you are responsible for reviewing the electronic cardholder’s statement of account to ensure that the cardholder’s charges were transacted for goods/services that are consistent with purchase card policy requirements and as such are neither prohibited nor restricted.
4.4.3.3 Questionable Purchases
If a purchase is questionable for any reason, you must discuss the purchase with the cardholder. If the cardholder cannot show through supporting documentation that the purchase was authorized and for official use, you must notify the Office of Inspector General at 888-877-7644 or at Hotline@USPS.Gov and take other appropriate action as may be warranted. Contact your Human Resources office for guidance. Depending on the severity of the infraction, it may warrant disciplinary action, immediate cancellation of the purchase card account, repayment of the purchase, or all three.
4.4.3.4 Intentional Credit Card Misuse
Within 2 working days of notifying the Office of Inspector General of a cardholder’s intentional misuse of the credit card, send a brief written report to SMI APC in the PSSC. Provide an explanation of the misuse, the date you notified the Office of Inspector General, and any administrative actions that have been taken or are contemplated.
4.4.3.5 CCAO Documentation Retention Period
CCAOs retain an electronic copy of the CCAO’s monthly managing account billing statement for 3 years from the date of each statement.
Note: CCAO bank statements are available for 18 months online. A CCAO may request a copy of a bank statement that is older than 18 months by contacting US Bank Customer Service at 888-994-6722.
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We will incorporate this revision into the quarterly online update of Handbook F-101 available on the Postal Service PolicyNet website:
n Go to http://blue.usps.gov.
n Under “Essential Links” in the left-hand column, click PolicyNet.
n On the PolicyNet page, click HBKs.
(The direct URL for the Postal Service PolicyNet website is http://blue.usps.gov/cpim.)
— Supply Management Infrastructure,
Supply Management, 1-10-13
