Number: SOP-CARD-04
Subject: Restricted Items
Summary: Items that cannot be purchased with a P-Card.
Source: University Procurement Services
Date of Issue: 07/22/2019
Date of Revision: 03/07/2025
Disclaimer
Rationale
Restricted items carry additional compliance considerations. The P-Card should not be used to purchase any item listed in this Standard Operating Procedure. Instead, follow the guidance listed in the Approved Payment Method column of the table below.
Please note that multiple restrictions can apply to a single purchase. When multiple restrictions apply, the Approved Payment Method guidance for each applicable restriction must be followed.
Procedure
P-Card payment is not allowed on the following list of goods and services. Follow the approved payment procedures for purchasing restricted items. Contact IU Purchasing if you are unsure if an item is restricted.
| Restricted Item | Approved Payment Method |
|---|---|
| Animals | PO to contracted supplier |
| Capital Equipment | PO to supplier. See Purchase a Capital Asset documentation page |
| Cash Advances | Contact IU Travel Management Services |
| Cell Phones | PO to contracted supplier |
| Furniture, furnishings | Follow IU Policy FIN-PURCH-8.0: Furniture Purchases |
| Gift Cards | Blackhawk Network BUY.IU Catalog |
| Orders to IU employees for personal services | Supplemental pay via payroll or PO with approved ICQ (Independent Contractor Questionnaire) |
| Paid memberships, such as Sam’s Club, Costco, or Amazon Prime | Unallowable with IU funds. Follow SOP-CARD-07: IU Amazon Business Account to create an Amazon Business account and receive Amazon Prime benefits. |
| Personal accounts with online payment systems such as PayPal | Checkout as guest using P-Card as one-time payment method. P-Cards may not be added to personal payment accounts. |
| Personal (non-business) purchases | The P-Card may not be used to make personal purchases. Personal purchases must be returned to the merchant, or the purchaser must reimburse IU for the expense and the reimbursement noted on the relevant P-Card expense report. Review the Refund IU for a personal purchase (video) for more information. |
| Professional services | PO to supplier |
| Purchases by one university department to another | Internal billing process |
| Purchases from online auction sources (eBay, Etsy, etc.) | PO, work directly with category manager with expertise in this commodity area |
| Purchases involving trade-in | PO, work directly with category manager with expertise in this commodity area |
| Purchases requiring a signature, such as rental agreements, purchase agreements & contracts | Submit a No PO Purchasing Contract Review form in BUY.IU to submit the agreement to Purchasing for review and request approval to use the P-Card. |
| Purchases that earn reward points for a personal reward account. | Purchasers may not earn personal reward points when paying with the P-Card. Instead, use an IU Rewards Account to take advantage of merchant discounts |
| Radioactive materials | PO to contracted supplier |
| Recurring payments | PO, Purchaser may request an exception to policy when payment method is credit card only |
| Reimbursements to IU employees | Emburse Enterprise; Emergency use only |
| Software and Software As A Service (SAAS) | Submit the Software & Services Selection Process Form to initiate the review process. You will be contacted by UITS IT Community Partnerships |
| Sponsorships | PO, work directly with the Sponsorships category manager |
| Travel and travel-related expenses | Prepaid through IU Travel, personal payment method reimbursed through Emburse Enterprise Travel and Expense |
| Unmanned Aircraft Systems (UAS, Drones) | Contact INLOCC and follow IU Policy PS-05: Unmanned Aircraft (Drones and Model Aircraft) |
| Used/refurbished goods, goods with no warranty and/or not eligible for return | PO, work directly with category manager with expertise in this commodity area |
| Vehicles, boats, trailers (anything requiring a title) | PO, work directly with the category manager with expertise in this commodity area |
| Weapons, ammunition | PO, work directly with the category manager with expertise in this commodity area |
| Any procurement transaction restricted by IU policy is also restricted on a P-Card transaction. | Follow IU Policy |
| Purchases that can be made from the established contracts. | PO to contracted BUY.IU Catalog supplier |
Change Log
| Date | Change description | Completed by |
|---|---|---|
| 01/22/2025 | Added professional services to restricted item list. | Sarah Chavez, Patty Cole, Kathi Sipes |
| 03/07/2025 | Reviewed and updated Restricted Items list and Approved Payment Methods to align with current processes and fix broken reference links. Updated Rationale to better describe the purpose of the SOP. | Sarah Chavez, Patty Cole, Gina Stillions, James Van Der Mark |