Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the P Card Policy topic
No spam. Unsubscribe anytime.
Stonecrest committee previews P‑card policy changes: background checks, 48‑hour emergency justification
Summary
The finance director proposed replacing bonding with background and credit checks for employee purchasing cards, adding a $25,000 emergency purchase cap (unless the mayor and council declare an emergency) and requiring reconciliations within 10 business days; estimated vendor cost is about $2,000 annually (unconfirmed).
The Stonecrest Finance Committee reviewed proposed changes to the city's purchasing‑card (P‑card) policy on March 18 that would replace employee bonding requirements with background checks and a credit‑screening function handled through human resources.
Finance Director Franklin said the shift is intended to remove the bonding barrier while preserving controls. "We would have the background check and credit check done in HR," she said, adding the vendor would return a "clear or not clear" result and that personal information would be kept confidential. She estimated the program could cost about $2,000 a year but said that figure is not yet confirmed.
The draft also adds an emergency procurement provision capped at $25,000 per incident unless the mayor and council declare a formal emergency. That cap would require departments to provide a written justification, description of the emergency, vendor‑selection rationale and confirmation that standard procurement was impractical within 48 hours after the transaction.
The policy tightens reconciliation and enforcement: monthly reconciliations must be completed within 10 business days of the statement close date, and failure to reconcile would result in automatic suspension of card privileges until resolved. Franklin said the policy also adds a fraud, misuse and investigation section spelling out potential repayment, disciplinary action and referral to authorities when required by law.
Council members asked how limits will be set. Franklin said card limits will be tied to budgeted line items and staff will run a three‑year average of actual spending by category before proposing specific thresholds. Councilmember discussion also focused on designees: the policy makes city manager, finance director and department directors eligible to have designees, and designees would undergo the same background/credit checks.
Next steps: The draft will be revised as council provides feedback and will return for further review before final adoption.
