§ 2-110. City credit card policy.

(a)

Overview. The Georgia General Assembly enacted guidelines and penalties into the Official Code of Georgia Annotated ("O.C.G.A."), which provides that no municipal corporation shall issue government credit cards to elected officials on or after January 1, 2016, until the governing authority of the municipal corporation, by public vote, has authorized the issuance and has promulgated specific policies regarding the use of such government credit cards for elected officials of such municipal corporation.

(b)

Purpose. The purpose of this policy is to set requirements and standards for the City credit card program. The policy is not intended to replace current state statutes but is intended to comply with such state laws and establish more efficient guidelines for elected officials using such credit cards. At no time should a City-issued credit card ("City credit card") be used for personal purchases regardless of the circumstances. Utilizing the City credit card for personal use or for any item or service not directly related to such official's public duty may result in disciplinary action including, but not limited to, felony criminal prosecution. All purchases utilizing a City credit card must be in accordance with these guidelines and with state law.

(c)

Scope. This credit card policy, as required by state law under O.C.G.A. § 36-80-24(c), applies to the use of City credit cards by elected officials authorized to be issued or to be utilized such City credit cards. The Mayor and City Council have been authorized by the governing authority of the City to use such City credit cards and must abide by all of the applicable state laws and this credit card policy.

(d)

Public inspection. In accordance with O.C.G.A. § 36-80-24(b), any documents related to purchases using City credit cards incurred by elected officials shall be available for public inspection.

(e)

Transaction limits. Transaction limits are hereby established to ensure compliance with state purchasing laws, maintain proper budgetary controls, and to minimize excessive use of any individual credit line. Monthly credit card transaction limits for the Mayor and City Council cannot exceed those established by the municipal governing authority. The established monthly transaction limit for the Mayor is based upon the City's budgetary constraints and is not to exceed $7,500.00 per month. The established monthly transaction limit for each City Council member is based upon the City's budgetary constraints and is not to exceed $1,500.00 per month. Any exceptions to the standardized limits must have express written approval by the municipal governing authority and must be added to this policy by amendment or addendum.

(f)

Purchasing restrictions.

(1)

Elected officials may not use a City credit card for the following:

a.

Any purchases of items for personal use.

b.

Cash refunds or advances.

c.

Any transaction amount greater than the transaction limits set by this policy.

d.

Items specifically restricted by this policy, unless a special exemption is granted by the municipal governing authority.

e.

Alcohol or liquor of any kind. Such purchases should not be made with the credit card and may not be reimbursed by the City.

f.

Purchases or transactions made with the intent to circumvent the City credit card policy, transactional limits, or state law.

g.

Sharing the credit card or card account number with unauthorized users. This restriction shall not include providing the credit card or card account number to authorized merchants for the purpose of making and confirming reservations for accommodations and rental car usage, or other such purposes.

(2)

Elected officials may use City credit cards to purchase goods and/or services not prohibited by this policy or state law. Such purchases include, but are not limited to:

a.

Purchases of items for official City use which fall within the transactional restrictions of this policy.

b.

Purchases of travel expenses while on City business, including but not limited to, lodging, fuel, food, non-alcoholic beverages, or education and training materials.

c.

Emergency purchases necessary to protect City property.

(g)

Ownership and cancellation of the credit card. The City credit card remains property of the issuing company. It may not be transferred to, assigned to, or used by anyone other than an authorized user of the City. Users of the credit card are accountable for the activity on the card. Users of the credit card may not make a copy of and/or keep a copy of the credit card for any purpose. Users of the credit card shall turn in the original detailed/itemized receipts for charges made while the card was in his/her possession. The issuer or the City may suspend or cancel user privileges at any time for any reason. If the user is in possession of a card, the user will surrender the credit card upon request to the City or to any authorized agent of the issuer.

(h)

Lost or stolen credit cards. If a credit card is lost or stolen, contact the City Finance Department immediately, who will make contact with the issuer and take the appropriate steps to protect the account from unauthorized purchases.

(i)

Administrator. The City designates the Chief Financial Officer for the city as the program administrator of City credit cards. Such administrator shall:

(1)

Serve as a liaison between the City's cardholders and the issuers of such cards.

(2)

Maintain the cardholder agreement for all cardholders.

(3)

Provide instruction, training, and assistance to cardholders.

(4)

Maintain account information and secure all cardholder information.

(5)

Keep cardholders up-to-date on new or changing information.

(6)

Upon receipt of information indicating fraudulent use or lost/stolen cards, immediately report it to appropriate parties, including the issuer.

(7)

Ensure all card accounts are being utilized properly as set forth by state law and this policy.

(8)

Define the City's policy and procedures for proper documentation and storage of receipts, logs, and approvals required under this policy. Users of the credit card shall turn in the original detailed/itemized receipts for charges made while the card was in his/her possession.

(9)

Identify any changes to named persons authorized to use a City credit card.

(10)

Any other duties assigned by the municipal governing authority.

(j)

Accounting and auditing. The Administrator, in an effort to ensure compliance with City policy and state law, will conduct semi-annual reviews and audits of all city credit card transactions. The review is designed to ensure compliance, identify non-compliance issues and misuse, and through corrective measures assist the city with improving compliance. The semi-annual reviews and audits should happen within 14 days of the start of a new six month period. After completing the semi-annual audit the Administrator shall notify cardholders of any violations or questions the Administrator has that occurred within that previous month/quarter. Depending on the severity of the violation, the Administrator may suspend or revoke the use of the City credit card after notification to the cardholder and to the municipal governing authority, but only after consultation with the City attorney. Any unresolved violations should be reported to the municipal governing authority and the City attorney in writing within 14 business days.

(k)

Violations. The authorized use of a City credit card may be suspended or revoked when the Administrator, after consultation with the City attorney, determines that the cardholder has violated the approved policies or state law regarding the use of the City credit card. The City credit card shall be revoked whenever a cardholder is removed from office with the City and shall be suspended if such elected official has been suspended from office.

(l)

Agreement. Before being issued a City credit card under this policy and state law, all authorized users of City credit cards shall sign an agreement indicating that such user will use such cards only in accordance with the policies and ordinances of the City and with the requirements of state law.

(Ord. No. 2015-06, § 1, 1-7-2016)