Procurement Policy (June 28 2024)

Oxford, Nova Scotia · adopted 2024-06-28

This is an automated transcription (OCR) of the captured official document — minor recognition errors are possible; the source document governs. Snapshot e18350c98080 · verified 2026-06-05 · original document · archived snapshot · unofficial consolidation, the official version is held by the municipal clerk.

## Town of Oxford Procurement Policy (Consolidated version June 27, 2024) Effective Date: 28 June 2024 Approval by Council Resolution: 27 June 2024 Revised: 03 October 2022, 27 March 2024, 27 June 2024 ## Table of Contents ## Contents | Purpose ... 3 | |-------------------------------------------------------| | Application ..4 | | Spending Authority. 5 | | Procurement Process. 7 | | Appendix 1 - Definitions | | Appendix 2 -Special Services. | | Appendix 3 - Alternative Procurement.. | | Appendix 4 - Procurement Tools ... | | Appendix 5 - Purchasing Cards.. | | Appendix 6 - Cardholder Agreement... 24 | | Appendix 7 - Purchasing Card Application/Change.. .25 | | Appendix 8 - Cardholder Transaction Log 26 | | Appendix 9 - Procurement Decision Tree. ..26 | ## Purpose 1. To provide guidelines for the procurement of all goods and services for the Town of Oxford based on sound management and public procurement practices. Procurement methods shall be open, fair, transparent, and consistent, while being both efficient and effective; procurement methods should reflect the need to make timely decisions and make best use of staff time to reach defendable procurement decisions. 2. To establish a more efficient and cost-effective method of procuring and paying for low dollar value, high volume goods and services, as well as, travel expenses, registrations and other corporate affiliated expenses, while maintaining acceptable levels of control and accountability. ## Application 3. This policy applies to all procurement activity of the Town of Oxford. 4. The Chief Administrative Officer (CAO) of the Town of Oxford is responsible for ensuring compliance with this policy. 3. more extreme cases result in disciplinary action and/or dismissal. ## Spending Authority ## Roles and Responsibilities - a) The CAO shall be the Chief Purchasing Officer for the Town and shall oversee the purchasing practices of all departments to ensure compliance with the Town's purchasing policy. 6. Chief Purchasing Officer Responsibilities - b) The CAO shall issue purchase orders for operational supplies for the general government services department, Emergency Management Office (EMO) and other protective services, public health and welfare services for all departments in accordance with purchasing policy procedures. The CAO shall issue operational purchase orders for the other departments in the absence of the respective director. - c) Low-value thresholds - The CAO shall be responsible for approving low-value operational purchases of $25,000 or more for all departments in accordance with Procurement Policy procedures. - d) High-value thresholds - The CAO shall prepare and call tenders for all high-value purchases of the Town and shall guide the tender opening process through the appropriate procedure, as detailed in this policy. 7. Director Responsibilities - b) No director shall charge a purchase to another department without the prior knowledge and approval of the director affected - a) Directors shall issue all purchase orders for their departments only. All purchases of goods and services shall require a purchase order to be issued. - c) Low-Value Thresholds - Directors of departments shall be responsible for approving low-value operational purchases up to and including $24,999 for their own department in accordance with Procurement Policy procedures. - d) High-Value Thresholds - For purchase requirements above high-value thresholds set in the Procurement Policy, the director shall submit a set of specifications for inclusion in the public tender call process to the CAO. ## Operational Purchasing - a) The Town uses a purchase order (PO) system for each purchase. The CAO and Jirectors are the only individuals with the authority to use POs 8. Purchase Order Procedures 3. ) POs must be signed and dated. One copy is given to the accounts payable (A/P) clerk while the director maintains one copy until the goods/service has been received. Once received, the director's copy is sent to the A/P clerk and matched with the first copy. - c) Once received, the invoice is matched with the PO to ensure a valid purchase. - d) The A/P clerk enters all invoices for payment and initials the invoice once posted. A report is prepared for the Deputy Clerk to compare to posted invoices. - e) The A/P clerk runs cheques for invoices posted. The clerk matches invoices to cheques and puts the cheque number and date on the invoice and PO. - 1) The cheques and invoices are given to individuals with signing authority. They compare the invoices to the cheque and sign when satisfied. They also initial the invoice to indicate they have reviewed and signed the cheque. - g) Bank reconciliations are performed each month by the Deputy Clerk Reconciliations are initialed and dated by the Deputy Clerk once completed. Reconciliations are reviewed and approved by the CAO. - h) All purchases must be covered with a purchase order. - i) Prior to budget approval, directors shall not purchase items considered unnecessary to the continuance of the existing operation. - i) It is not permissible to issue a PO that will put the account over budget without first having approval for the over-budget amount. Reallocation between expenditure accounts and equipment priority changes in the same expenditure must also have prior approval. ## Procurement Process ## Objectives - a) Providing for the procurement of goods, services, construction and facilities in a fair, open, consistent, and transparent manner resulting in best value. 9. The Town of Oxford is committed to: - b) Encouraging competition, innovative ideas and solutions, while respecting all Legislative and Trade Agreement obligations. - d) Ensuring that qualified suppliers have equal opportunity to bid on the Town of Oxford's procurement activity. - c) Promoting sustainable procurement in procurement decisions, including identifying and exploring opportunities to work with and support social enterprises and businesses that are owned by and who employ underrepresented populations. - e) Being accountable for procurement decisions. ## Thresholds 10. Low Value Procurement' - a) Goods up to and including $24,999 - b) Services up to and including $49,999 - c) Facilities up to and including $24,999 - d) Construction up to and including $49,999 - II. For all low-value procurement activity with a procurement value as outlined above Alternative Procurement Practices as outlined in this Policy or are accessing a publicly tendered standing offer. 12. When selecting the list of suppliers to be provided the opportunity to quote, Town of Oxford personnel will make every effort to ensure a fair and open process is followed. While Town of Oxford personnel are expected to invite only qualified suppliers, they are not to consistently invite bids from only one or a select group of suppliers. Invitations and bidding opportunities are to be equitably distributed among all potential bidders in an area, and all interested and qualified suppliers are to be evaluated on a consistent and equitable basis where increased competition is 1 Purchases under $5,000 do not require a quote. If one exists, they must be purchased under a standing offer provided it would provide best value. Directors must approve such purchases and appropriate documentation (e.g. receipts, invoices) must be kept. appropriate, Town of Oxford personnel may choose to publicly tender for goods, services, construction, or facilities that fall within the above thresholds. 13. High Value Procurement - a) Goods over $25,000 - b) Services over $50,000 - c) Facilities over $25,000 - d) Construction over $50,000 - e) In some cases where deemed appropriate to improve efficiencies the CAO may revert to a three-quote process upon agreement of Council where it does not contravene, regional, national or international trade agreement. 14. All procurement activity with a procurement value over the thresholds (excluding taxes) outlined above must be obtained through a public tender. See Appendix 4 of this Policy for an outline of tools available for public tender. The only exception to this would be when Town of Oxford personnel are using an Alternative Procurement Practice or are accessing a publicly tendered standing offer. All public tender opportunities must be posted on the Province of Nova Scotia Procurement Web Portal. Town of Oxford personnel may wish where appropriate to also advertise in local, provincial, or national media; however, there is no obligation to do so. In addition, a notice of tender opportunity may be sent to selected suppliers where required to ensure an adequate degree of competition. 15. Alternative Procurement Practices In order to balance the need for open, competitive process with the demands of urgent or specialized circumstances, Alternative Procurement Circumstances have been developed. These circumstances must be used only for the purposes intended and not to avoid competition or used to discriminate against specific suppliers. To ensure appropriate use, each circumstance must be documented by Town of Oxford personnel stating the rationale permitting the Alternative Procurement Circumstance and signed by the CAO. All documents must be filed and maintained for audit purposes. See Appendix 2 for a list of the Alternative Procurement circumstances, as well as further requirements on documentation. 16. Bid Opening, Evaluation, and Award - a) Bid Opening - b) Bid Evaluation All bids are subject to evaluation after opening and before award of contract. Bids are accepted in accordance with the closing time, date, and place stipulated in the bid request documents. Members of the public may receive the list of bidders electronically after bid opening. The bid request documents must clearly identify the requirements of the procurement, the evaluation method, evaluation criteria based on the purpose and objectives of this policy, and the weights assigned to each criterion. - c) Award The winning bidder and contract award amount for all high value procurement activity must be posted on the Province of Nova Scotia's Procurement Web Portal. After contracts have been awarded, routine access to information at the vendors' request shall be provided in the following areas: - d) Bidders list - i. Name of winning bidder 3. Aces to the r deans of or freedom or or or in is Protection of Privacy Act. 4. Award price excluding taxes of the winning bidder - e) Supplier Debriefing At the request of a supplier who submitted a bid, Town of Oxford personnel will conduct a supplier debriefing session to provide feedback on the evaluation of the public tender. Suppliers can find out how their proposal scored against published criteria, obtain comments on their bid, and gather information on how future bids may be improved. Bids are not compared to others, nor will information on other bids be provided. - Supplier Complaint Process (SCP) When a supplier is not satisfied with the information provided in a supplier debriefing, the supplier may file a complaint in accordance with the Supplier Complaint Process as defined in the Public Procurement Act. The SCP is not a dispute resolution process, but rather is intended to handle supplier complaints and to improve faulty or misleading procurement processes. The SCP is an integral part of a fair and open procurement policy. 17. Fair Treatment for Nova Scotia Suppliers While it is recognized that this policy has no provision for "local preference" purchasers should ensure that local suppliers have an equal opportunity to participate in the competitive bidding process described in this policy. Based on the principle of best value for the Town of Oxford and when deemed to be in their best interest, Town of Oxford personnel may apply a preference for goods valued up to and including $25,000 that are manufactured or produced in Nova Scotia. The final decision to apply a preference to a Nova Scotia supplier shall be approved by the CAO. Town of Oxford personnel may also choose to apply a Nova Scotia preference or restrict the receipt of quotations at or below the low value procurement thresholds to Nova Scotia suppliers. Any decision made by Town of Oxford personnel should be based on budget considerations and shall be approved by the CAO. ## Other Considerations 18. Cooperative Procurement Town of Oxford personnel are encouraged to look for opportunities to collaborate with government agencies when the arrangement may result in overall cost savings or other substantial advantages. For example, joint procurement may be appropriate to procure commonly used goods, services, fuel oil, natural gas, telecommunications, etc. 19. Standing Offers Town of Oxford personnel may access all Province of Nova Scotia standing offers, as well as any standing offer established through the Procurement Advisory Group for the Province should Town of Oxford personnel wish to make use of the savings opportunities. ## Obligations under the Public Procurement Act 20. In addition to the areas already covered by this Policy, the following are additional obligations of the Public Procurement Act that the Town of Oxford personnel are required to adhere to with their procurement practices. - a) Terms and Conditions Every public tender notice must include or have attached the terms and conditions that govern the purchase of goods, services, construction, or facilities. The terms and conditions of every public tender notice must be consistent with the Atlantic Standard Terms and Conditions for the procurement of goods, services, or facilities and the Construction Contract Guidelines developed in collaboration with the Construction Association of Nova Scotia for the procurement of construction. - b) Posting Tender Notices and Awards All opportunities subject to a public tender must be advertised on the Province of Nova Scotia Procurement Web Portal. Town of Oxford personnel must also post on the Procurement Web Portal the name of the successful bidder for the public tender and the contract amount awarded. - c) Code of Ethics Town of Oxford personnel and council must ensure their conduct in relation to procurement activity is consistent with the "Duties of public sector entity employees" in the Public Procurement Act. This includes a request for removal from a procurement activity when a personal conflict of interest is perceived. - d) Other - i. Policy Posting Town of Oxford personnel will ensure this policy is posted on the town's - ii. Supplier Development Activities Town of Oxford personnel will make every attempt where appropriate to participate in vendor outreach activities as requested by the Procurement Governance Secretariat. 4. iii. 5. Regulations Town of Oxford personnel will make sure that procurement practices remain consistent with any regulations that are adopted under the Public Procurement Act. ## Clerk's Annotation for Official Policy Book THIS IS TO CERTIFY THAT this the foregoing is a true and accurate copy of the Town of Oxford's Procurement Policy which was amended by Council at a Council Meeting held 27 June 2024. <!-- image --> Anda Clans hier Administrate poticer June 28,2024 Date <!-- image --> ## Appendix I - Definitions ## 1. Atlantic Standard Terms &amp; Conditions Standard instructions that support public tenders issued by the four Atlantic provinces for goods and services. Supplements may be added if and when required. 2. Best Value Evaluating bids not only on purchase price and life cycle cost considerations, but also taking into account items such as environmental and social considerations, delivery, servicing, and the capacity of the supplier to meet other criteria as stated in the tender documents. ## 3. Bid A supplier response to a public tender notice to provides goods, services, construction or facilities. ## 4. Construction The construction, reconstruction, demolition, repair, or renovation of a building, structure, road or other engineering or architectural work, excluding the professional consulting services related to the construction contract unless they are included in the procurement. ## 5. Construction Contract Guidelines Standard instructions developed in consultation with the Construction Association of Nova Scotia that support construction tenders. Materials, furniture, merchandise, equipment, stationery, and other supplies required by the Town of Oxford for the transaction of its business and affairs and includes services that are incidental to the provision of such supplies. 7. Facilities (also referred to as Building Leases) All building lease requirements covering the conveyance of the right to use tangible building property for a specified period of time in return for rent. 8. Procurement Activity The acquisition of all goods, services, construction, or facilities procured by purchase, contract, lease, or long-term rental. 9. Procurement Value The value of the total contract excluding taxes but including all options whether exercised or not. For facilities this value is determined by the monthly lease/rent times the term of the contract. ## 10. Procurement Web Portal The public website maintained by the Province of Nova Scotia where all public tender notices are posted. - I1. Public Advertisement Advertising a public tender notice on the procurement web portal. ## 12. Public Procurement Act (PPA) An Act outlining the rules related to the procurement activity of all public-sector entities (including municipalities) in the Province of Nova Scotia. ## 13. Public Tender Procurement for goods, services, construction, or facilities obtained through public advertisement. (See Appendix 3 for an outline of the various tools that can be used for public tender.) 14. Public Tender Notice Notice of intended procurement for goods, services, construction, or facilities obtained through public advertisement. ## 15. Services Services required by the Town of Oxford for the transaction of its business and affairs, excluding services provided by an employee through a personal services contract. ## 16. Standing Offer A standing offer is a contractual arrangement with a supplier to provide certain goods or services on an 'as required' basis, during a particular period of time, at a predetermined price or discount, generally within a predefined dollar limit. ## 17. Sustainable Procurement - a) Environmental considerations: e.g. Green House Gas Reduction, Waste Reduction, Toxic Use Reduction Sustainable Procurement involves taking a holistic approach to obtain best value. This will be done by integrating the following considerations in the procurement process: - b) Economic considerations: e.g. Life Cycle Cost, Fiscal Responsibility, Support for the Local Economy - c) Social considerations: e.g. Employee Health and Safety, Inclusiveness and Fair Wage, Health Promotion. ## Appendix 2 -Special Services 1. Legal services will be acquired by public tender every five years. 2. Banking services will be acquired by request for proposal every five years. 3. Audit services will be acquired by public tender every five years. The Auditor's quality of work will be reviewed each year by the Audit Committee. Annual renewal of the contract for audit services will be made by the Audit Committee. 4. Engineering services will be by public tender every five years. 5. Insurance coverage will be by public tender every five years. ## Appendix 3 - Alternative Procurement Only those holding the appropriate role/position may delegate signing authority. The CAO may delegate signing authority for low value Alternative Procurement transactions to the head of a given business area. No further approvals will be necessary. The CAO will ensure persons with delegated signing authority will be held accountable for their actions and that all procurement activities by Town of Oxford personnel are properly documented and filed for follow up and audit. The CAO shall remain accountable for the proper use of alternative procurement transactions. ## 1. Low Value Purchase ## 2. High Value Purchase Town of Oxford personnel wishing to make use of a high value Alternative Procurement practice (except for an emergency) must consult with the CAO to obtain his or her approval and identify the most appropriate means by which to proceed with the satisfaction of the requirement. If in agreement, CAO may direct Town of Oxford personnel to proceed with the procurement. The CAO may wish to confer with provincial government procurement officials for discussion, validation, and/or alternative options. The CAO may delegate signing authority for high value alternative procurement transactions to an Acting CAO in their absence. All appropriate documentation will be maintained on file for audit purposes. The CAO will ensure persons with delegated signing authority will be held accountable for their actions. The CAO shall remain accountable for the proper use of alternative procurement transactions. ## Alternative Procurement Circumstances ## 3. No Threshold Restrictions Town of Oxford personnel may use the following Alternative Procurement practices as described below for the procurement of goods, services, construction or facilities, with no threshold restrictions: - a) Where an unforeseeable situation of urgency exists, and the goods, services, or construction cannot be obtained in time by means of open procurement procedures. Entities must ensure inadequate planning does not lead to inappropriate use of this exemption. - b) Where goods or consulting services regarding matters of a confidential or privileged nature are to be purchased and the disclosure of those matters through an open tendering process could reasonably be expected to compromise government confidentiality, cause economic disruption, or otherwise be contrary to the public interest. 3. Where compliance with the open tendering provisions set out in this Policy would interfere with a Party's ability to maintain security or order, or to protect human, animal, or plant life or health. - d) In the absence of tenders in response to an open or selective tender, or when the tenders submitted have been collusive, or not in conformity with the essential requirements in the tender. - e) To ensure compatibility with existing products, to recognize exclusive rights, such as exclusive licenses, copyright, and patent rights, or to maintain specialized products that must be maintained by the manufacturer or its representative. - 1) Where there is an absence of competition for technical reasons and the goods or services can be supplied only by a particular supplier and no alternative or substitute exists. - g) For the procurement of goods or services the supply of which is controlled by a supplier that is a statutory monopoly. - i) For work to be performed on or about a leased building or portions thereof that may be performed only by the lessor. - h) For the purchase of goods on a commodity market. - i) For work to be performed on property by a contractor according to provisions of a warranty or guarantee held in respect of the property or the original work. - k) For the procurement of a prototype or a first good or service to be developed during and for a particular contract for research, experiment, study or original development, but not for any subsequent purchases. - 1) For the purchase of goods under exceptionally advantageous circumstances such as bankruptcy or receivership, but not for routine purchases. - m) For the procurement of original works of art. - o) For the procurement of real property. - n) For the procurement of subscriptions to newspapers, magazines, or other periodicals. - p) For the procurement of goods intended for resale to the public. - r) For the procurement from a public body or a non-profit organization. - q) For the procurement from philanthropic institutions, prison labour, persons with disabilities, sheltered workshop programs, or through employment equity programs. - s) For the procurement of services of expert witnesses, specifically in anticipation of litigation or for the purpose of conducting litigation. ## 5. Threshold Restrictions - a) For the procurement of goods or services for the purpose of evaluating or piloting new or innovative technology with demonstrated environmental, economic, or social benefits when compared to conventional technology, but not for any subsequent purchases. Town of Oxford personnel may use the following Alternative Procurement practices as described below, up to the high value thresholds of this Policy: - b) For procurement that fosters the development of minority businesses. ## Appendix 4 - Procurement Tools Below is an outline of some of the various tools available for use when issuing a public tender: ## I. Request for Proposal (RFP) Used when a supplier is invited to propose a solution to a problem, requirement, or objective. Suppliers are requested to submit detailed proposals (bids) in accordance with predefined evaluation criteria. The selection of the successful proposal is based on the effectiveness, value, and price of the proposed solution. Negotiations with suppliers may be required to finalize any aspect of the requirement. ## 2. Request for Construction (RFC) Used to publicly tender for a construction, reconstruction, demolition, remediation, repair, or renovation of a building, structure, road, bridge, or other engineering or architectural work. When a supplier is invited to bid on a construction project the tender documents usually contain a set of terms and conditions and separate bid form that apply to that specific project. Suppliers are requested to submit a response (bid) in accordance with predefined criteria. The selection of the successful proposal is based on a number of factors as described in the tender documents. A request for construction usually does not include professional consulting services related to the construction contract, unless they are included in the specifications. ## 3. Request for Quotation (RFQ) A request for quotation on goods or products with a minimum specification. Award is usually made based on the lowest price meeting the specification. An RFQ does not normally but may sometimes include evaluation criteria. ## 4. Request for Standing Offer (RSO) A public tender to provide commonly used goods or services. The term of the standing offer can vary in duration but will be clearly defined in the tender documents. RSO's may include evaluation criteria depending on the requirement. ## 5. Request for Expression of Interest (REI) The Request for the Expression of Interest is similar to the Request for Proposal and is sometimes referred to as a Pre-Qualification, where suppliers are invited to propose a solution to a problem. The REl, however, is only the first stage in the procurement process. Bidders responding to the REl will be short listed according to their scoring in the evaluation process. The short-listed firms will then be invited to respond to a subsequent Request for Proposal. A REl does not normally include pricing as price is a key evaluation criteria used in the second stage RFP process. ## Appendix 5 - Purchasing Cards ## Objectives - I. The Town of Oxford is committed to: - a) Reducing the costs of procuring and paying for low dollar value goods, services, and travel expenses by reducing the number of small orders and invoices processed and the number of cheques issued. - c) Maintain the existing levels of discounts negotiated with suppliers for prompt payment by providing a more efficient payment process. - b) Eliminating the issuance of travel and cash advances in addition to separate payments or registration fees, transportation costs, and accommodations. - d) Streamline administrative functions and reduce the time spent by departments processing payments. - e) Maintain an acceptable level of accountability and safekeeping of the Town of Oxford's assets by setting appropriate limits and restrictions on the use of cards. ## Roles and Responsibilities 2. Purchasing cards may be used by select authorized purchasers for procuring both goods and services for the Town of Oxford. The purchasing card has a transaction limit which is set by the Town of Oxford to meet the cardholder requirements. The CAO shall use discretion in the number of cards in use at the Town of Oxford by reviewing the nature of the positions that have cards and the requirements of their respective departments. 3. Unless a separate and different level has been specifically approved by the Council, the purchasing card limits shall be as follows: - b) Admin - $7,000 - a) Mayor - $1,000 - c) Recreation - $3,000 - d) Public Works - $6,000 These limits are defined as the maximums for individuals the CAO deems appropriate to have a purchasing card. The limits represent the total amount of purchases that can be charged to the card during a one-month billing cycle. - e) Fire Department - $3,000 4. Under no circumstances shall a transaction be split into two or more separate receipts to bypass the transaction dollar limit on the card or the approval limits of the employee. 5. The purchasing card may not be used to purchase or pay for: 2. Personal purchases - b) Cash Advances - c) Alcohol ## Procedure 6. Orders, reservations, and registrations may be placed either by internet, fax, phone or in person. The monthly processing can be summarized as follows: - a) Authorized cardholders make purchases in the normal course of business and maintain a record of all card transactions. - b) Cardholders verify monthly statements against their record and purchase transaction logs (provided in Appendix 6) and provide project, process or reason for purchase. - d) The Deputy Clerk receives and pays the monthly billing allocating expenses according to details provided. - c) Supervisor of the cardholder approves the statement for payment and sends to Deputy Clerk for payment. 7. Written agreements shall be made with the bank, including fee schedules and processing procedures. The bank may assign a manager to the Town's account in addition to the Town's monitoring mechanisms 8. To enhance accountability, there shall be a segregation of duties involved with purchasing cards, including payment approval, accounting, and reconciliation. ## Receiving Goods 9. The cardholder shall keep a copy of all supporting documentation (e.g. cash register and purchasing card receipts, vendor notices, purchase register, etc.) and attach it to the monthly statement. The cardholder shall certify that the goods have been received by signing the sales slip. ## Disputed Items and Returns 10. Disputed items are purchases that do not accurately reflect the transactions made by the cardholder (eg. wrong amount, incorrect account number, multiple posting, etc.) The cardholder shall be responsible for reporting these as soon as possible to the bank and the Deputy Clerk. 2. I1. Problems with merchants relating to unsatisfactory goods, late delivery, changes from quoted process, etc. shall not be considered disputed items and shall be settled directly with the vendor by the buyer. In the event the goods are to be returned to the supplier, the cardholder shall request a Return Confirmation Number from the supplier along with return instructions and forward the goods back to the supplier in accordance with these instructions. All credits must be processed against the purchasing card; under no circumstances shall a cash refund be permitted. ## Billing and Statements 12. Purchases made on the purchasing card shall be the liability of the Town of Oxford. Upon receipt of a monthly bill, the Deputy Clerk will ensure payment is affected promptly to avoid financing charges. Individual card statements detailing purchasing activity during a billing cycle will be reconciled by the cardholder in a timely manner and returned to Deputy Clerk. ## Reconciliations 13. In order to keep a record of the purchases on the card and perform proper statement verification, the cardholder will maintain a transaction record or log. This record Will assist in the verification of the monthly card statement. It is possible that all card transactions may not appear on the statement due to timing differences. In these cases, the cardholder shall make a note of this to ensure the transaction is carried forward to the next month's transactions for verification against the following month's statement. Missing credits shall be addressed directly with the vendor. 14. In order to verify the monthly card statement, the cardholder shall keep a copy of the transaction records. A transaction log may be used for this purpose and is a good way to record items such as registrations for which the buyer does not receive a transaction record at all times. The following information shall be provided on the transaction log: - a) Cardholder Name - b) Cardholder signature verifying accuracy and accepting responsibility - c) Purchase Date - d) Vendor Name - e) Description of goods purchased - project, process or equipment - f) Total amount of invoice - g) GST amount - i) Manager's signature of authorization - h) Budgeted Account to be allocated If purchases appear on the transaction log and not on the corresponding statement, the cardholder shall document these purchases on another log to be used for the following month and cross them off the current month's log. ## Card Issuance 15. Cards shall be issued in the name of the Town of Oxford and the individual designated by the CAO. Individuals wishing to be appointed card shall apply to the CAO (see Appendix 5). The CAO shall be responsible to ensure that the individual is familiar with the guidelines for the use of this card as outlined in this document. Cardholders should be fully trained on the responsibilities associated with the purchasing cards, including telephone, fax and internet purchases, as well as the repercussions if they abuse the card. Upon receipt of the card, the cardholder shall be required to sign a Cardholder Agreement, as set out in Appendix 4. ## Card Cancellation 16. Purchasing cards will be cancelled when the cardholder no longer holds a position approved for a card, no longer requires the card, the card is lost or stolen or when the cardholder has terminated employment with the Town of Oxford. The card may also be cancelled if it is not used in accordance with the guidelines outlined in this document. Any card can be cancelled at any time by the CAO or the cardholder's manager. 17. A written request from the cardholder's manager shall be forwarded to the CAO with the name of the cardholder and the reason for cancellation. The Deputy Clerk shall contact the bank and shall confirm the cancellation. It shall be the responsibility of the manager to ensure that terminated employee's cards are cancelled immediately upon termination from the Town of Oxford. It shall also be the manager's responsibility to ensure that cancelled purchasing cards are returned to the CAO for destruction. ## Lost or Stolen Cards 18. All purchasing cards shall remain the property of the Town of Oxford and must be protected in the same way as a personal purchasing card. Should the card be lost or stolen, it shall be the cardholder's responsibility to report the event immediately to the bank and to the CAO. If the cardholder requires assistance with statements, disputed items or other issues, they may contact the Deputy Clerk ## Roles and Responsibilities 19. CAO or designate shall be responsible to: - a) Administer and audit the purchasing card program - b) Maintain a master list for all cards 4. Maintain all original cardholder agreements - e) Ensure cardholders are completing statement reconciliations accurately 6. Ensure monthly billings are paid in a timely fashion - f) Offer training and support to cardholders when issues occur during the process - g) Monitor employee activities, print reports, and adjust spending levels - i) Track historical data to monitor program performance and ensure cost control targets are reached - h) Perform random audits of purchasing card transactions - j) Overall administration of purchasing card program 20. Cardholder shall be responsible for: - a) The security of their card and should not share the purchasing card or the card number with other individuals - b) The use of the card in accordance with the guidelines outlined in this document and other related policies and procedures - d) Keep supporting documents (e.g. cash register and purchase card receipts, vendor notices, packing slips, etc.) related to all purchases made with the card for reconciliation - c) Confirm budget allocation for items being purchased; - e) Maintain a log of transactions for statement verification and providing expenditure details - g) Contacting the supplier if there are any problems with the order received and address disputes for a resolution - f) Submit all supporting documents and a reconciled statement to the Finance Department within one week of receipt of the statement - h) Ensure all returns are credited to the statement 10. Returning the card when requested to do so 11. Reporting lost or stolen cards to the bank and the CAO ## Appendix 6 - Cardholder Agreement Employee Acknowledgement of Responsibilities and Obligations Form The Town of Oxford is pleased to present you with a purchasing card. It represents the Town's trust in you and your empowerment as a responsible employee of the Town to safeguard and protect the Town's assets. I, \_ herby acknowledge receipt of a Town of Oxford purchasing card, number As a cardholder, I agree to comply with the terms and conditions of this Agreement and the applicable provisions of the Purchasing Card Policy. I acknowledge receipt of the Purchasing Card Policy and confirm that I have read and understand its terms and conditions. I understand the Township is liable to the Bank for all charges made by me. As the cardholder of this purchasing card, I agree to accept responsibility for the protection and proper use of this card as outlined in the Purchasing Card Policy. I understand that the Township may audit the use of the purchasing card. I also understand that I cannot use the procurement card for restricted uses listed in the Purchasing Card Policy. I further understand that improper use of the purchasing card may result in disciplinary action up to and including termination of employment. Should I fail to use the purchasing card properly, I authorize the Town to deduct from my salary or from any other amounts payable to me, an amount equal to the total of improper purchases. I also agree to allow the Town to collect any amounts owed by me even if the Town no longer employs me. If the Town is required to initiate legal proceedings to recover amounts owed by me under this agreement, I agree to pay legal fees incurred by the Town in such proceedings. I understand that the Town may terminate my right to use this purchasing card at any time for any reason. I agree to return the purchasing card to the Town's CAO immediately upon request or upon termination of my employment. Cardholder Printed Name: Signature: Date: ## Appendix 7 - Purchasing Card Application/Change A purchasing card is requested for: Name: Department: The above-named individual is responsible for purchasing goods and services in the performance of their position responsibilities, and as such, requires a purchasing card. Type of Purchases: ## Recommendations: After considering the types and volume of purchases that I would expect to be covered by the purchasing card of this employee, I would recommend the following: Transaction Limit: (maximum value per transaction) Monthly Balance Limit: (maximum total purchases per month Supervisor's Approval: CAO's Approval: Date: Date: Appendix 8 - Cardholder Transaction Log <!-- image --> | Description of Purchase | |---------------------------| | Project | | Amount | | Vendor | | Date | Appendix 9 - Procurement Decision Tree <!-- image --> This page has been left intentionally blank.