Windsor Charter Township

Purchasing Card and Charge Account Policy

At a meeting of the Township Board of Windsor Charter Township, Eaton County, Michigan, held at the Windsor Charter Township Hall on July 28, 2026, at 7:00 p.m., Myers moved to adopt the following Purchasing Card and Charge Account Policy which motion was seconded by Slucter. Roll Call unanimous.

SECTION 1. PURPOSE

The purpose of this Policy is to establish uniform procedures governing the issuance, use, oversight, and administration of Township purchasing cards and commercial charge accounts.

This Policy is intended to:

· Ensure public funds are expended only for legitimate governmental purposes;

· Promote accountability, transparency, and sound financial management;

· Protect Township assets;

· Establish internal controls for purchasing cards and charge accounts;

· Provide clear responsibilities for authorized users; and

· Ensure compliance with Michigan law, Township purchasing policies, and generally accepted governmental accounting practices.

Nothing in this Policy supersedes statutory authority granted to elected officials under Michigan law.

SECTION 2. SCOPE

This Policy applies to every Township purchasing account used to acquire goods or services on behalf of Windsor Charter Township, including but not limited to:

· Township-issued credit cards;

· Fleet fuel cards;

· Commercial store charge accounts;

· Vendor purchasing accounts;

· Online purchasing accounts; and

· Any future purchasing account established by the Township.

This Policy doesn’t apply to recurring utility or contractual service accounts, insurance, or vendor invoices that are processed through the Township's normal accounts payable procedures.

SECTION 3. DEFINITIONS

Authorized User: Anyone approved to use a purchasing card or charge account.

Purchasing Account: A Township-issued credit card, fuel card, commercial charge account, vendor purchasing account, or similar account permitting purchases on behalf of the Township.

Card Custodian: The employee responsible for safeguarding a purchasing card or charge account and ensuring compliance with this Policy.

SECTION 4. AUTHORIZED PURCHASING ACCOUNTS

The Township Board authorizes the following purchasing accounts:

A. Township Credit Cards

· Issued in the name of the Township Treasurer or Clerk

B. Department Store Charge Accounts

· Fire Chief/Emergency Services & Public Service Directors – Home Depot Commercial Account

C. Fleet Fuel Cards: Fuel cards assigned to Township-owned vehicles operated by:

· Emergency & Public Service Departments

· Fuel cards remain assigned to Township vehicles and not individual employees.

D. Future Accounts

Additional purchasing accounts may be established only through Township Board authorization or other authority granted by Township policy.

SECTION 5. AUTHORIZED USES

Purchasing accounts may be used only for legitimate Township business, including:

· Office supplies;

· Departmental operating supplies;

· Building maintenance materials;

· Emergency purchases;

· Fuel for Township vehicles;

· Vehicle maintenance items;

· Training registrations;

· Governmental software and online governmental services;

· Approved travel expenses;

· Other purchases serving a valid public purpose.

All purchases shall:

· Serve a legitimate governmental purpose;

· Be within approved budget appropriations;

· Comply with Township purchasing procedures; and

· Be reasonable and necessary.

SECTION 6. PROHIBITED USES

Purchasing accounts shall never be used for:

· Personal purchases, Cash advances, ATM withdrawals, Alcoholic beverages, Personal meals except as permitted under Township travel policy, Gift cards unless specifically authorized by the Township Board, Purchases intended to avoid purchasing approval limits, Purchases prohibited by law, and Purchases for another governmental entity or private organization.

SECTION 7. FUEL CARD REQUIREMENTS

Fuel cards shall be used solely for Township-owned vehicles.

Authorized purchases are for Fuel or Diesel Exhaust Fluid (DEF).

· Each fuel purchase shall include documentation of:

· Vehicle identification, Date, Odometer or hour meter reading (when available), Gallons purchased, and Driver's initials or signature.

Fuel cards shall never be used for personal vehicles.

SECTION 8. STORE CHARGE ACCOUNTS

Commercial vendor accounts, including Home Depot and similar retailers, shall:

· Be assigned to a department with one designated custodian.

· Be used only for Township business;

· Require itemized receipts;

· Follow Township purchasing requirements.

Persons may be assigned a charge account without Department Head approval.

SECTION 9. RESPONSIBILITIES OF CARD CUSTODIANS

Each authorized user shall:

· Protect purchasing cards and account numbers; Report lost or stolen cards immediately;

· Obtain itemized receipts and document the business purpose; Submit documentation promptly;

· Comply with budget limitations;

· Prevent unauthorized use.

Cardholders may be required to reimburse the Township for unauthorized purchases.

SECTION 10. RECEIPTS AND DOCUMENTATION

Every purchase shall be supported by:

· Itemized receipt with vendor name, date, description of items purchased, amount paid, purpose, and department making the purchase.

Missing documentation shall be explained in writing. Repeated failure to provide documentation may result in suspension of purchasing privileges.

SECTION 11. MONTHLY REVIEW

· Each purchasing account shall be reconciled monthly.

o The reconciliation shall include: statement review, receipt verification, budget verification, and an approval process.

The Clerk shall reconcile Township credit card activity.

SECTION 12. INVENTORY OF ACCOUNTS

The Township Clerk shall maintain an inventory of all purchasing accounts, including:

· Vendor; Account type; Assigned department; Card custodian; Spending limits;

The inventory shall be reviewed annually.

SECTION 13. LOST OR STOLEN CARDS

Lost or stolen purchasing cards shall immediately be reported to:

· Township Clerk and Appropriate Department Head.

· The Clerk or Treasurer will then report to the issuing financial institution;

Failure to promptly report a loss may result in disciplinary action or personal liability.

SECTION 14. EMPLOYEE SEPARATION

Upon resignation, retirement, or termination, all purchasing cards shall be immediately surrendered.

Outstanding receipts shall be submitted before final separation.

SECTION 15. POLICY VIOLATIONS

Violations may result in:

· Revocation of purchasing privileges;

· Repayment of unauthorized expenditures;

· Disciplinary action;

· Referral for criminal investigation when appropriate or other remedies authorized by law.

SECTION 16. ANNUAL REVIEW

The Township Board shall review this Policy and authorized purchasing accounts periodically and may amend this Policy by Board action.

SECTION 17. EFFECTIVE DATE

This Policy shall become effective immediately upon adoption by the Windsor Charter Township Board.

ADOPTED by the Windsor Charter Township Board this 28th day of July, 2026.