U.S. Department of the Interior SmartPay Integrated Charge Card

1. U.S. Department of the InteriorSmartPay Integrated Charge Card DOI Business Management Conference Cynthia Martin DOI Integrated Charge Card, Program Manager

2. About: The DOI Integrated Charge Card • Small purchases, travel and fleet functions • Individual accountability with central financial management • Streamlines administrative process • Leverages buying power • Maximizes tax exemption

3. State Tax Exemption When does the government pay taxes for goods and/or services? …even though it’s against the Constitution • Bill paid directly by the government • Bill paid by employee (government charge card) to be reimbursed by the government To find a particular state’s policy: www.gsa.gov search “state tax exemption forms overview”

4. Best Practice: Centrally Billed Lodging • Bureau of Reclamation • Minerals Management Service • U.S. Geological Survey • Office of Special Trust (June 19, 2006) • Office of Surface Mining (July 19, 2006)

5. Typical Travel Costs Interior Direct Billing with Hotel Individually Billed Direct Billed-Interior Direct Billed-Other Agencies Transportation 30% Rental Car/ Parking 25% Hotel 30% Meals 15%

6. Centrally billed lodging Airfare $365.00 Agent fee 10.50 Rental car/parking 375 .00 Lodging 360.00 M&IE 100.00 Employee liability $100.00 (Payment due bank regardless receipt of travel reimbursement) No centrally billed lodging Airfare $365.00 Agent fee 10.50 Rental car/parking 375.00 Lodging 418.00 M&IE 100.00 Employee liability $518.00 (Payment due bank regardless of receipt of travel reimbursement) Trip Cost Comparison typical 4-day trip Washington, D.C. to New Orleans, Louisiana

7. What’s New: OMB Circular A-123, Appendix B • Issued August 2005 • Requires Agencies to maintain internal controls that reduce the risk of fraud, waste, and error in government charge card programs. • Required credit checks on all new purchase and travel card applicants prior to issuing a card. • Revised April 28, 2006 • P.L. 109-115 revised requirement for credit check • DOI all or none because of integrated card program

8. Management Control:Taking Charge of Charge Cards • What must you do • Approving officials/supervisors • Cardholders • Up-to-date records • On-line training • Cardholders • Approving officials • Agency/Organization Program Coordinators

9. Drilling for Data • Management control tools • Data mining • Exception reports

10. Fraud, Waste or Abuse:What are the Penalties? • Departmental Manual 370 DM 752 Departmental Personnel Program Discipline and Adverse Actions • Offenses related to Government travel charge card and/or purchase card. • Misuse of travel card (i.e., personal/unauthorized purchases) or delinquent in payment • Misuse of travel card (i.e., personal/unauthorized purchases) and delinquent in payment • Unauthorized use of or failure to appropriately monitor use of Government purchase card; “micropurchasing” violations.

11. Paying the Penalty • What happens if fraud or abuse does occur? • Oz (Oswald State Correctional Facility, Level Four--aka, Emerald City) Over approximately a 2-year period: • 11 suspensions • 17 resignations/retirements • 5 convictions • 1 removal • Numerous letters of warning, counseling, reprimands, and reassignment/transfers

12. Phishing Main Entry:  phishing Part of Speech:noun Definition:  the practice of luring unsuspecting Internet users to a fake Web site by using authentic-looking email with the real organization's logo, in an attempt to steal passwords, financial or personal information, or introduce a virus attack; the creation of a Web site replica for fooling unsuspecting Internet users into submitting personal or financial information or passwords Etymology:  1996; as in 'fish' for users Usage:  phish, v; phisher, n

13. Phishing • What should I do if I receive an email from Bank of America asking me to provide information? • What action should I take if I suspect an email from Bank of America or any other institution or organization may be fraudulent? • www.Abuse@BankofAmerica.com • Call 800 number on the back of your charge card • What should I do if I receive a phone call requesting information asking to confirm my personal information? • How can I tell if a website is secure? • Where can I get additional information regarding phishing scams? • www.fraudwatchinternation.com/main.shtml Bank of America will never randomly ask you to validate personal or account information via email or Internet link.

14. DETER-DETECT-DEFEND • Identity Theft • 33% of all identify thefts involve a family member – over trust leads to opportunity • 52% of wireless networks in New York City were not secure • Phishing duped 2.4 million people in 2005 to give out information • Arizona is the leading state in check fraud; also leads in methanol amphetamines • Common Ways Identity Theft Happens: • Dumpster Diving • Skimming • Phishing • Changing Your Address • “Old-Fashioned” Stealing Exercise doubt

15. Charge Card Technical Help Charge Card Support Center Help Desk 303 969-5588, Kristine Prael, Director BIA Jeneane Dufour 503 231-2211 BLM Lloyd Fread 303 236-5927 BOR Alexa Flezer 303 445-3092 FWS Randy Van Pelt 303 984-6806 USGS Lisa Zukowski 703 648-7347 MMS Robin Robinson 703 787-1302 NBC Dawn Smith 303 969-6630 x2561 NPS Dyra Johnson 202 354-1947 OIG Joseph Gregory 703 487-5381 OS Charles Washington 202 208-5550 OST Shirley Vanderburg 505 816-1295

16. Future Plans • SmartPay contract awarded in November 1998 will expire November 2008 • Polled employees • Improved card acceptance • Streamline administrative processes • Pursue one-card solution • Maximize tax exemptions

17. We Want YOUR Comments • What do you like? • What could be improved? • New uses?

18. Send your comments to: Cynthia Martin cynthia_martin@ios.doi.gov DOI Integrated Charge Card Program Manager 202 606-3144 (voice) 202 219-4244 (fax)