Credit Card Policy

Credit Card Policy (PDF)

Corporate Credit Card Policy and Procedure

Purpose

This policy is established to provide guidelines for the use of credit cards issued by to ensure proper use, documentation, and accountability of the Association’s funds.

Scope

This policy applies to all employees of the American Library Association [ALA] who have been authorized to be corporate credit card holders. This credit card policy does not supercede the ALA purchasing policy. Adherence to that policy, inclusive of grant-related purchasing restrictions, is to be followed.

Issuance of Credit Cards

  1. Credit cards may be issued upon approval by the Chief Financial Officer [CFO] or the CFO’s designee.
  2. Each cardholder must sign an acknowledgment of this policy and agree to adhere to its terms and conditions.

Authorized Use

  1. Credit cards are to be used solely for business-related expenses that support the mission and operations of ALA.
  2. Examples of authorized expenses include:
    • Travel and entertainment accommodation for official business trips.
    • Payment for expenditures, where a credit card is the only option, such as web services, job boards for HR, and state regulatory and compliance fees.
    • Event-related expenses incurred onsite, and unable to be paid via invoice, such as hosting a dinner for board members.
  3. Personal use of a corporate credit card is strictly prohibited.
  4. Paying for any vendor invoices is strictly prohibited.
  5. Alcoholic beverages may not be purchased, other than beer and wine consumed during a meal function for an official business trip. For federal grant-related purchases, no alcoholic beverages may be purchased, including beer and wine.

Documentation and Receipts

  1. Cardholders must obtain and submit itemized receipts for all credit card transactions, along with a charge line, detailed description of the business purpose, and listing of names of participants for meal functions.
  2. Receipts must be submitted to the online credit card portal within 5 business days of receiving the notification of credit card statement availability, along with a completed expense report containing a charge line and detailing the purpose of each expense.

Spending Limits

Credit card spending limits will be established based on the cardholder's role and responsibilities within ALA. The credit card holder is responsible for staying within the monthly spending limit.

Payment and Reconciliation

  1. The Finance and Accounting department will review and reconcile credit card statements monthly.
  2. Cardholders must cooperate with the Finance and Accounting department to resolve discrepancies or provide additional documentation as requested.

Security and Safeguarding

  1. Cardholders are responsible for the security of their credit card and must take appropriate measures to prevent loss, theft, or misuse.
  2. Lost or stolen credit cards must be reported immediately to the credit card issuer, the CFO, and the Controller.

Misuse and Disciplinary Actions

  1. Any misuse or violation of this policy may result in disciplinary action, including termination of employment.
  2. Cardholders may be personally liable for unauthorized or fraudulent charges if they do not report these promptly to the credit card disputes department.
  3. Cardholders will lose credit card privileges if the expense reports are not submitted timely in the credit card portal.

Review and Amendments

The Finance department will review this policy at least annually to ensure compliance with current laws and the Association’s needs.

Acknowledgment

By signing below, I acknowledge that I have read and understand the American Library Association's Corporate Credit Card Policy and agree to abide by its terms and conditions.

Name:

Signature:

Date:

Credit Card Policy (PDF)