Procurement Card Prohibited Purchases

The procurement card may be used for materials, supplies, and non-capital equipment not exceeding $2000, with no single item exceeding $999.99, or unless a departmental budget authority has set a lower limit for an individual Cardholder.  There are no limits on the number of daily or monthly transactions unless a departmental budget authority has set such limits for an individual Cardholder.  An attempt to use the procurement card for purchases in excess of the set card limits will result in the purchases being rejected by the bank and the vendor.  The procurement card cannot be used for any of the prohibited categories of goods and services listed in this procedure.  Additionally, the procurement card cannot be used at any of the vendors that are categorized under the blocked MCC numbers shown in the Merchant Category Codes appendix of this procedure.

The procurement card is not valid for travel or travel related services.  Travel services are to be obtained in accordance with the CNM Travel Policy.

Splitting of purchases or any other form of incremental purchasing is prohibited with the procurement card.  Incremental purchasing with the card will result in cancellation of Cardholder privileges.

The card cannot be used for personal and/or unauthorized items or services.  It may only be used for items purchases for CNM business purposes.

CNM is exempt from sales tax on tangible goods.  No sales tax is to be paid for tangible goods purchased on the procurement card.

Prohibited Purchases

  • Purchases exceeding $2000, with no single item exceeding $999.99

  • Artificially divided purchases/incremental purchasing.  Purchases from the same vendor, within a relatively short period of time, using two or more charge transactions to avoid exceeding the $2000 limit (artificially divided to qualify as small purchase).

  • Purchases of equipment.  Equipment is defined as tangible personal property which operates independently of other units, costs $1000 or more, and is included in the College's inventory.

  • Blanket Orders.  A Blanket Order is an open/standing purchase order issued for the purpose of goods or services on an as needed basis; usually established for a one year period or other set period of time.

  • Purchases of food (except for food purchased by Student Organizations, the Culinary Arts Department for instructional use, or where permitted in Contracts and Grants).

  • Lengthy back ordered items (i.e., long enough to require multiple payments).  Partial payments are not authorized.

  • Items/services to be purchased using the General Activity Account (GAA).

  • Unallowable expenditures as listed in the Governing Board Policy Handbook, Employee Handbook, or otherwise specifically prohibited by the administration.

The procurement card may not be used for the following items and services unless the Card Manager has given written permission in advance of the purchase:

  • Advertisements
  • Alcoholic Beverages
  • Ammunition/Weapons
  • Animals
  • Artwork
  • Capital Equipment
  • Cash and Travelers Checks
  • Cell Phones
  • Commencement Expenses
  • Computers
  • Consultants
  • Deposits for Facilities
  • Donations
  • Employee Based Services
  • Fines/Late Fees/Penalties
  • Flowers
  • Food and Catering
  • Fund Raising Costs
  • Gasoline
  • Gifts
  • Honorariums
  • Independent Contractor Services
  • Insurance
  • Interest/Finance Charges
  • Internal Services
  • Legal Services
  • Lobbying
  • Long Distance Phone Calls
  • Maintenance Contracts
  • Performers
  • Physical Plant Construction Projects
  • Postage
  • Prescription Drugs/Controlled Substances
  • Professional Services
  • Public Relations Items
  • Rent/Rentals
  • Services
  • Student Events
  • Travel and Entertainment
  • Tuition
  • Utilities
  • Vehicle Repair