Purchasing: Policies & Procedures
Gift Card & Gift Certificate Purchases
Approval Date: April 02, 2009 | Effective Date: April 02, 2009
I. Purpose:
To define and properly document the purchase and distribution of gift cards and gift certificates purchased using university or grant funds.
II. Definition:
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Gift cards/gift certificates may not exceed fifty dollars ($50), unless approved by the appropriate Vice Chancellor or Provost.
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They may be given for awards or recognition programs such as retirement events, employee recognition events, outstanding achievement, length of service, or participation in various studies.
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No State funds may be used to purchase these cards.
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Gift cards/gift certificates may not be used as a form of honoraria for employees. These types of payments must be processed through the payroll system.
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When gift certificates are being purchased with grant funds, the following criteria must be met: (1) the gift certificate is for research participant incentive payments only and (2) costs for research participant incentive payments are included in the researcher's grant budget and allowable by the terms and conditions of the specific grant.
III. Procedure:
1. A signed "Authorization for the Purchase of Gift Cards/Gift Certificates" is required PRIOR to purchasing gift cards or certificates. This authorization is for a single intended purpose only – ie. a specific study, a specific event, etc. and must be specified in the “detailed description of intended purpose for items purchased “section on the form. It is recommended to limit the number of gift cards purchased at one time so that the disbursement documentation is more manageable. If the original intended purpose or intended vendor changes, a new authorization form must be completed.
The following information will be required:
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Purchaser's Name
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Purchaser's Department
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Purchaser's Signature
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Vendor Name (where gift cards/gift certificates are to be purchased)
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Date and Amount
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Description of what's going to be purchased (i.e., specific store cards or shopping center gift certificates)
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Description of the intent for use (i.e., a grant's study, recognition of student employee of the month, recognition for retirement)
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Month/Year cards to be disbursed
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Appropriate authorized signature and date
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Original itemized purchase receipt must be attached upon purchase
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This form must be attached to the appropriate documentation for payment (PCard receipt kept in monthly packet or BANFIN 32)
IV. Departmental Documentation
A Gift Card/Gift Certificate Disbursement Log is required to record the dispensing of all gift cards purchased – even if only one card is purchased for one individual. In the event the gift cards are purchased for a study or research project where the participants are to remain anonymous, the Gift Card/Gift Certificate Disbursement Log AND the Confidential Gift Card Disbursement Logs must be maintained. Refer to the Gift Card Disbursement Log Tutorial for details.
1. Proof of original purchase and authorization form must be kept on file with the appropriate method of payment (i.e., PCard packet, BANFIN 32, etc.) The receipt must show the individual gift card numbers purchased.
2. Gift card/certificate numbers must be identified and entered in the “Gift Card or Certificate Number” column of the Gift Card/Gift Certificate Disbursement Log. Refer to
How to Identify Gift Card Numbers
for assistance locating the correct numbers. The amount of each card must be entered in the “Amount” column.
3. If cards were purchased using a PCard, enter the PC number (from PCWS) on the top of the form where indicated. The PCard Coordinator can provide this number, if unknown.
4. A photocopy of the Gift Card/Gift Certificate Disbursement Log (with the card numbers and amounts) must be kept on file with the appropriate method of payment in the department or with the PI. The original Gift Card/Gift Certificate Disbursement Log is given to the person disbursing the gift cards.
a) The person disbursing the gift cards must update the disbursement log each time a card is disbursed:
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Locate the card number on the disbursement log
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Enter the name of the person receiving the card in the same line as the card number given
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Ask the person receiving the card to sign their name in the signature field
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Enter the date disbursed
b) The person disbursing the gift cards must sign the disbursement log in the issued by field.
5. As cards are disbursed, the person disbursing the cards must photocopy their logs to keep with the original receipt (in the PCard packet, BANFIN32, etc.) Once all cards have been given out, the photocopied log is replaced by the original, completed disbursement log.
6. At all times the total of the undistributed gift cards/gift certificates and the disbursement log must equal the total of all gift cards/gift certificates purchased. If the purchase was made using the PCard, and the packet is requested for audit, it is the responsibility of the department to provide the most up-to-date disbursement log, along with proof of remaining gift cards/certificates.
7. Confidential studies/research requires the use of a second log - the Confidential Gift Card Disbursement Log. This confidential log is kept in the department with the PI.
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Prior to disbursing the cards, enter the card numbers in the Gift card or certificate number field on the log (as done on the Gift Card/Certificate Disbursement Log)
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Assign each participant a unique participant ID/identifying number (you can use the last four digits of their Social Security number or University ID number, the study/research abbreviation and sequential number – such as PSYDEV01, or any other series of numbers of your choice)
As disbursed:
The Gift Card/Gift Certificate Disbursement Log must be updated with the information from the Confidential Gift Card Disbursement Log at regular intervals and at the end of the project (and remains with the payment receipt). On the Gift Card/Gift Certificate Disbursement Log in the row corresponding to the gift card number, enter the following for all disbursed cards:
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The participant ID/identifying number is entered in the Person Receiving Card or ID/Identifying No. field
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The Amount and the Gift Card or Certificate Numbers should already be entered
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“On file with PI” or “On file” is entered in the signature field
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The person who disbursed the card signs in the Issued By field
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