An IG report has concluded that Postal Service purchase card transactions generally were “legal, proper and correct” although it found compliance issues with 19 of the 100 high-risk type transactions it reviewed in detail.
The audit deemed transactions at high risk if they involved prohibited/questionable merchant category code purchases; single purchase limits; split transactions; purchases including sales tax; weekend/holiday purchases; purchases made through third-party vendors; or closed accounts. It said that of the more than 100,000 transactions in the measuring period used, more than 22,000 met at least one of those criteria.
Of the sample, cardholders, or other authorized employees, did not submit purchase requests in the requisitioning and approval system for 15, and did not maintain accurate and complete records, including sales receipts or vendor invoices, to support purchases for four.
“These issues occurred because approving officials were not required to request and review cardholders’ supporting documentation when approving cardholders’ monthly bank statements to ensure compliance with policies. Additionally, the current purchase card program does not have the capability to electronically file supporting documentation,” the report said.
It recommended that management coordinate with GSA to request that the purchase card program electronically file documentation to assist in reviews of those transactions; and finalize procedures to resolve questions raised in those reviews.