Use of the purchase card must meet the following conditions in addition to conditions imposed by the General Services Administration Federal Supply Schedule:
(a) Each transaction should involve a single delivery and payment. Receipt of the item should be within the billing cycle or by the time the monthly report is received to simplify monthly reconciliation.
(b) Cardholders shall not break down (split) requirements aggregating more than the micro-purchase threshold into several purchases merely to avoid any requirement that applies to purchases exceeding the micro-purchase threshold.
(c) Cardholders shall advise Merchants/Vendors at the time the transaction(s) is/are made that items purchased with the card are “For Official United States Government Use.” Most states will exempt purchases made by the Government from state and local taxes.
(d) Cardholders shall initially attempt to settle disputes with the merchant. If the merchant refuses to work with the cardholder, or if 45 days has passed without resolution since receipt of the statement containing the questionable transaction, the cardholders shall formally dispute the transaction with the card-issuing bank.
(e) When using the purchase card to pay for services/supplies received from other government sources (i.e., Document Automated Printing Service (DAPS), General Services Administration (GSA) stores or depots, Defense Logistics Agency (DLA), procurement thresholds do not apply. Payment with the card is mandatory for services obtained from the DAPS.
(f) Army organizations are authorized to use the Governmentwide Purchase Card (GPC) up to micro-purchase thresholds at DOD Non-appropriated fund instrumentality (NAFI), including Army and Air Force Exchange Service (AAFES) facilities, provided the resale activities are within scope of the particular NAFI’s charter. Purchases up to $50,000 maybe made from exchanges only (vice NAFI’s) by overseas organizations and the purchase card can be used as a method of payment.
(g) The purchase card shall be used as a method of payment for all commercial training $25,000 and below for the following:
(1) DD Form 1556, Request, Authorization, Agreement, Certification of Training, and Reimbursement in accordance with United States Code 41 for civilians.
(2) DA Form 2171, Request for Tuition Assistance Army Continuing Education System, provides financial assistance for voluntary off-duty education Programs in support of soldiers professional and personal self development. Supporting the GPC that utilizes payment for all education (payment vouchers) valued at or below $25,000. The DA Form 2171 is the obligation document for education programs and services authorized under Title 10, United States Code 2007 and AR 621-5 Army Continuing Education System. Advance payments are authorized under the Tuition Assistance (TA) Program IAW AR 621-5. All course enrollments must be approved prior to start of class.
(3) Military Tuition Assistance. The GPC will be used as the method of payment for soldiers tuition when the request, funding, approval and enrollment verification of the specific course is processed through Centralized Tuition Assistance Management (CTAM) in GoArmyEd. Single purchase limits will be set commensurate to the level of the consolidated GPC invoice submitted by each university or college.
(h) Dollar limits.
(1) For stand alone purchases, the single purchase limit is the micro-purchase threshold except for the following:
(i) $2,000 for purchases covered by the Davis-Bacon Act.
(ii) $2,500 for purchases covered by the Services Contract Act.
(2) For payment against existing contracts, the limit is as identified in the contract.
(3) The threshold for all convenience checks and drafts is $3,000 plus the above exceptions.
(4) For contingency or humanitarian operations as authorized by a specific appropriations act or an Executive Order, the micro-purchase threshold may be adjusted in accordance with the applicable act or the order.
[AFARS Revision #21, dated May 22, 2007]
