Prepaid Debit Card (Non- Reloadable) Guideline & Procedure Overview The prepaid debit cards can be used in lieu of a petty cash account to pay study participants on projects where there are a sufficient and steady number of payments needed on a routine basis. Projects will be able to control the number of cards needed, as well as the dollar amount per card. Information for Custodians A. Protocol Approval Before the prepaid debit cards are requested, all protocol approvals must be received. The project will need to contact Marianne Spevak, Director in the Office of Regulatory Affairs and Research Compliance at MSpevak@hjf.org or 240-694- 2067. Once it is determined that all protocol approvals are in place, the Office of Regulatory Affairs will provide an approval form, which must accompany the request for the prepaid debit cards. The approved form will be sent back to the requestor and will be needed to start the initial request of cards. B. Initial Request of Cards The project is required to submit a requisition in Oracle specifying the total quantity and dollar amount per card. Please note that 10 prepaid cards is the minimum quantity required per order. At the time of the requisition, please ensure that the following 2 forms are also submitted: (1) the Regulatory Affairs Approval form, and, (2) the Prepaid Card Policy Acceptance form. When both forms are received by Purchasing, the requisition will be processed and a PO will be established. The complete package is then forwarded by Purchasing to HJF Accounts Payable who will then initiate the Oracle workflow request to HJF Treasury to place the order. Once the order is placed the cards will be shipped to the location specified by the custodian. Shipping usually takes 2-4 business days once order is placed. This initial request should be made at least 3 weeks before the cards are needed to allow ample time from request date to deliver date. HJF will incur the shipping, activation and defund fees associated with the prepaid cards. Any other fees, such as: inactivity or expiration fees, are the responsibility of the program. Please refer to attachment A for fee schedule information. Page 1
C. Card Activation The cards delivered to the custodian are inactive and must be activated prior to issuing to a participant. To activate the cards for distribution please contact the HJF Treasury department within a minimum of 2-3 days beforehand. HJF Treasury will confirm the cards are active within an estimated timeframe of 24-36 hours. Please note that the order batch must be activated within six (6) months of order date or they will be automatically closed by SunTrust for security purposes. If the order is closed, please contact HJF Treasury to determine if you need a new order of cards or if you would like to return the original order for credit. Types of Activation: Bulk Activation- this option will activate your entire order at once. All orders will be designated for bulk activation unless you specify otherwise at the time you submit your order. Individual Activation- allows only a portion of your total order to be activated at designated dates. Please note, if you choose to separate your total order into different activation dates you must have a minimum quantity of 10 cards per activation date. After activation you will receive a list of all cards for your order. Please use this list to monitor your distribution of the cards for purposes of reconciliation and in case you need to return the cards (see item E). Activated cards denote an expiration date 7 years from the order date on the front of each card; however please note that activated cards will incur a monthly inactivity fee beginning the thirteenth (13) month following the date of last activity and/or activation date. In order for the cardholder to avoid these inactivity fees, the cards must be returned to the HJF Treasury Department by the end of the eighth month following the activation date. At this time, the project can coordinate placing a new order for all remaining cards if necessary. D. Managing Orders The project must name a custodian responsible for managing the prepaid cards. This custodian will also be responsible for maintaining all card reconciliation spreadsheets. The reconciliation instructions and spreadsheet will be provided to the custodian at the time the order is processed. The reconciliation spreadsheet includes the following: Reconciliation Spreadsheet Prepaid card amount Oracle Project, Task, and Award number(s) to be charged Card number of prepaid card Authorized signature approval Patient Identification Number Date(s) of visit Page 2
Distributed by Reconciliation status The custodian will submit the reconciliation spreadsheet to HJF Accounts Payable in order to record expenses in the Oracle Financial System on a monthly basis. Please note that reconciliations and returns must be submitted separately and not combined with any other previous or future orders. E. Subsequent Requests: Additional orders can be placed once the following occurs: A complete order has been reconciled and sent in to HJF Accounts Payable for review and recording in the Oracle Financial System, or A status update is given to HJF Accounts Payable as to when we can expect to receive the previous orders reconciliation. To request additional cards, the initial process must be repeated as a new order. All steps must be repeated as the original request. A new PO will be established and a new order will be placed. The order will be finalized once the protocol approval and the initial request of cards are completed as described in sections A and B. The same procedures will be followed from card activation and managing orders as mentioned in sections C and D. Please allow 3 weeks to process any additional orders. This process can repeat until the participant study has ended and all of the expenses have been reconciled. Under no circumstances can you transfer cards from another study to supplement an existing study. F. Returning Unused Cards: Non Distributed Orders- If a study is postponed indefinitely and you would like to return the order in full, please use the excel spreadsheet that is sent to you after order activation and highlight the credit card number field for each card you are returning. You will not need to provide reconciliation to Accounts Payable. Partially Distributed Orders- If there are remaining cards from a study that has ended, you must return these cards to be deactivated. Once the cards are returned, the encumbered amount from the PO will be reduced. Please use the spreadsheet that is sent to you after order activation and highlight the credit card number field for each card you are returning. You must complete and submit the reconciliation paperwork for the cards you have distributed. Under no circumstances can you transfer remaining cards for a new study/program. G. Accounting for Expenses Activation and defund fees and shipping charges will be recorded by the HQ General Accounting Department (refer to attachment A for schedule for this information). Upon distribution of the Page 3
last card of the order, the project custodian will submit the attached reconciliation spreadsheet detailing the participant activity as described above in Section D to the Accounts Payable Department at ap- docs@hjf.org. AP will enter the total value of the prepaid cards and charge this amount to the project(s) as Participant Fees. H. Contacts: For protocol approval please contact Marianne Spevak in the HJF Regulatory Affairs Department at 240-694- 2067 For questions regarding requisitions please contact the HJF Purchasing Department at 240-694- 4009. For questions regarding card activation and the returning of unused cards please contact the HJF Treasury Analyst at 240-694- 2134. For questions regarding managing orders and card reconciliation please contact the HJF Accounts Payable Department at 240-694- 4032. Page 4
Attachment A SunTrust Fee Schedule Monthly Inactivity Fee $2.00 This is a monthly fee that begins the 13 th month after the date of last activity. Program/Cardholder will be responsible for this fee. Defund Fee $1.00/card For all cards that are to be returned to SunTrust for credit after the study has ended, this applies to both active and non- activated cards. HJF will be responsible for this fee and it will not reflect against the total of the return. Replacement Cards $5.00/card If a prepaid card is lost or stolen and a replacement card will need to be ordered, the fee will be applied directly to the balance. HJF will not be responsible for this fee. A replacement card will not be issued if the remaining card balance is $5.00 or less. *Fee amounts are set by SunTrust and are subject to change without previous notification. Page 5
Attachment B SunTrust Card Agreement Terms and Conditions Activation and Signature: Before using your card you must sign the reverse side. Usage: Please choose credit instead of debit. Card will only be accepted to be used as a credit card. Registration: For your protection and convenience, immediately register your card online at www.suntrust.com/commercialprepaid or by calling 1-888- 373-5707. Merchant Use and Acceptance: The card may be used to purchase goods and services at any merchant that accepts Visa debit cards worldwide. The card cannot be used to access cash at an ATM or bank. Authorized Users: If you permit another person to use your card, all purchases made by this person will be deemed authorized transactions and you are responsible even if this person s use exceeds the limit you authorized or intended. Foreign Purchases: All purchases processed in a foreign currency will be converted to U.S. dollars under the rate selected by Visa from the range of rates available in the wholesale currency markets for the applicable processing date (which rate may vary from the rate Visa receives) or the government- mandated rate in effect for the applicable processing date. Conversion may occur on a date other than the date of the purchase, which may affect the conversion rate used. Use with Internet Merchants: Failure to register your card may result in declined transactions with internet merchants that use address validation. You can register your card online at www.suntrust.com/commercialprepaid or by calling 1-888- 373-5707. Use at Gas Stations: Please be aware that there is a unique pre- authorization process for gas station purchases and may interfere with the ability to use your card for this type of purchase based on your available balance. When paying at the pump, simply insert your card and follow the instructions. If you are unable to complete the transaction at the pump, proceed inside and present your card to the attendant prior to pumping. NOTE: if prompted, you should select Credit ( Debit transactions require a PIN). Use at Restaurants, Hotels and Other Service Merchants: Restaurants, hotels and other service merchants such as bars, taxis, beauty/barber shops and spas will add from 10% to 25% to the amount of your purchase at the time of authorization to cover any anticipated gratuity and Page 6
additional charges. If the amount of authorization is greater than the available Card balance, the purchase may be declined. To avoid any problem, make sure that the amount of the restaurant or hotel bill (less any gratuity) is not more that 75% of the available card balance. The actual amount processed to your card cannot exceed the amount of the bill plus the tip you add. Merchant Hold Periods: When you use your card at certain merchant locations, the merchant may obtain a preauthorization for the purchase. The amount of the preauthorization may be more than the final transaction amount. When preauthorization occurs, a 3- day hold will be placed on the card and those preauthorized funds will not be available for other card uses during the hold period. Any excess will be placed back on the card after the purchase is settled through the system. Reduce your risk of loss: You can reduce the risk of losing your card value by taking the following actions: Treat the card like cash, taking all reasonable care. The card may be used without a PIN and, if lost, someone may use the full card value. Immediately contact Customer Service of a card loss, theft or unauthorized use. Keep a record of your card number, separate from your card. Customer Service: Customer service is available 24 hours a day, 7 days a week by calling us at 1-888- 373-5707. You can also visit us online at www.suntrust.com/commercialprepaid. Page 7
Attachment C Prepaid Card Policy Acceptance Form By signing below I acknowledge, understand, and accept the following: 1. I acknowledge the receipt of the HJF Prepaid Card Policy and Procedures and confirm that I have read and understand the policy and procedures. 2. I am responsible for the prepaid cards distributed by Henry M. Jackson Foundation for the Advancement of Military Medicine, Inc. (HJF) in the amount of $. I understand any unreconciled funds and/or proper documentation that is not submitted will be the personal responsibility of the custodian and will be required to reimburse HJF. 3. I agree to use the prepaid cards for HJF related purposes and agree not to use the funds for any personal use. 4. I understand that HJF may terminate the use of the prepaid cards at any time. Termination of the use of the prepaid cards may result from, but is not limited to: abuse, failure to follow the HJF Prepaid Card Procedure, use of funds for personal reasons, or lack of Project/Grant funds. 5. I agree to reconcile each prepaid card order immediately after the last card in an order has been issued, upon request of HJF Headquarters, or upon termination of employment. 6. I understand that if my employment is terminated I will notify HJF Treasury and Accounts Payable of this action and provide the name of the person who will be taking over as custodian. 7. I understand that changes to the procedures may be made as circumstances make them necessary and if there are revisions they will be applicable, even if they are not signed for in this agreement. HJF Prepaid Card Custodian Name (Print) (Date) HJF Prepaid Card Custodian Name Page 8
(Signature) (Date) Page 9