To establish the guidelines for use and to define the limits of use of the Ithaca College EZ Pay System provided to approved personnel for the purchase of goods and/or professional services for $500 dollars or less.
2.29.2 DefinitionsSupplier: A company from which an EZ Pay will be used to purchase materials and/or equipment or services under the provisions of this procedure.
EZ Pay Administrator: The person responsible for the departmental program details, including the entry of approved EZ Pay entries online, requesting new Suppliers, and record retention.
Requisitioner: An employee or student who has a need for materials or services that can be fulfilled by a Supplier and purchased using an Ithaca College EZ Pay check.
Single Purchase Limit: EZ Pay purchases are limited to $500 per single transaction.
2.29.3 IntroductionThe EZ Pay program provides departments with the ability to purchase low dollar value goods and services with a single purchase limit amount of $500 per transaction. Requisitioners using EZ Pay as a means for payment should always provide the Supplier with a copy of the Ithaca College Sales Tax Exemption Certificate. The EZ Pay Administrator must retain EZ Pay supporting documentation for five years for auditing purposes. Questions concerning the use and retention of EZ Pay documentation should be directed to the Accounts Payable Office.
2.29.4 Unauthorized EZ Pay UseEZ Pay SHALL NOT BE USED for the following:
- Personal purchases
- A single purchase that exceeds the $500 single purchase limit
- Ithaca College employee or student travels
- Cash advances
- Tobacco or any controlled substances
- Capital purchases
- Payments against Ithaca College issued Purchase Orders
A Requistioner who makes unauthorized purchases or carelessly uses EZ Pay could be liable for the total dollar amount of such unauthorized purchases plus any administrative fees charged in connection with the misuse. The individual could also be subject to disciplinary action.
2.29.5 Payments for Federal and State GrantsFederal and State Grants may be audited and are subject to external and internal controls.
It will be the responsibility of the EZ Pay Administrator to see that all EZ Pay documentation for Federal and State Grants is signed by the Principal Investigator, has appropriate documentation and approvals, and is in compliance with the college policies and procedures as outlined in this document.
It is the responsibility of the Principal Investigator to review and sign all EZ Pay documentation for Federal or State Grant expenditures. By signing the documentation the Principal Investigator has ensured that the costs charged to the grants are allowable, allocable, and reasonable.
2.29.6 Payment for Professional ServicesPayment requests for Professional Services include but are not limited to honoraria, consultants, entertainment, photography and music accompanists.
Departmental personnel responsible for data-entry of EZ Pay must verify through Payroll that the payee is not an Ithaca College Employee, and include the payee’s correct social security number on the EZ Pay supporting documentation, as well as valid address information.
2.29.6.1 Documentation
It is important to support all requests for payment to an independent contractor with proper documentation, including, but not limited to the following:
- Social Security number or alternative tax identification number
- Payee’s address
- Nature of service
- Date(s) service is to be performed
- Where service is to be performed
A letter of agreement or contract signed by all parties involved should always support payments for Professional Services. Questions regarding institutional liability issues when contracting for Professional Services should be directed to the Office of the College Attorney.
2.29.6.2 Special Note on Foreign Nationals
The College must ensure that proper authorization is in place before a Foreign National can provide any Professional Services to the college. Before hiring a Foreign National please obtain from the Accounts Payable Office the Foreign National Information Form. The form must be completed by the Foreign National and submitted to the Accounts Payable Office and reviewed by the Payroll Office before the EZ Pay can be issued for the services rendered.
For questions regarding payment for Professional Services rendered and related tax reporting issues, please contact the Accounts Payable Manager or the Payroll Manager for advice.
It is the responsibility of the EZ Pay Administrator to properly enter the EZ Pay invoice information into the EZ Pay Interface system. This includes keying the information under the correct supplier and account number(s), including an accurate description of the merchandise or service purchased and entering invoices and amounts accurately.
The EZ Pay Administrator requests that new suppliers be added to the Supplier List by using the online Supplier Request Form. All necessary information about the Supplier must be complete before the Accounts Payable Office will enter the Supplier into the system.
The EZ Pay Administrator retains the EZ Pay back up for five years for auditing purposes. It is up the Administrator to determine how EZ Pay record retention will be maintained in each department.
If an EZ Pay check is lost the EZ Pay Administrator contacts the Accounts Payable Office to request a stop payment.
To void an EZ Pay check the EZ Pay Administrator must send the original check with “VOID” written across the front of the check to the Accounts Payable Office. There is no fee for a void check.
The EZ Pay Administrator should immediately report any problems or concerns associated with EZ Pay to the Accounts Payable Manager.
The EZ Pay Administrator should maintain a supply of Ithaca College Sales Tax Exemption Certificates to distribute to Requisitioners upon their request. Tax exempt forms may also be obtained from the Financial Services website.
2.29.8 Requisitioner’s ResponsibilitiesIt is the responsibility of the Requisitioner to submit all EZ Pay back up documentation associated with that EZ Pay payment to their EZ Pay Administrator. Failure to submit paperwork to the Administrator in a timely manner could result in the loss of EZ Pay privileges in the future.
The Requisitioner must immediately report lost or stolen EZ Pay checks to their EZ Pay Administrator.
It is the responsibility of the Requisitioner to inform the merchant before the purchase that Ithaca College is exempt from New York State Sales Taxes and to provide the merchant with a copy of the Ithaca College Sales Tax Exemption Certificate at the time of purchase. Copies of the certificate can be obtained from the EZ Pay Administrator.
2.29.9 AuditsAll EZ Pay transactions are subject to periodic audits by the Budget Office for compliance with the policies and procedures outlined in this document.
Added: March 23, 2006
Last Updated: August 2011