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Temple Gift Card Procedures

Executive Summary

 All Temple University gift card purchases and distributions must strictly adhere to the following core mandates. Failure to comply will result in a freeze on departmental purchasing and potential disciplinary action.

  • Approved Vendors Only: Greenphire ClinCard (Reloadable, physical prepaid card and the preferred method) and Blackhawk Network (BHN) (Digital e-card or physical merchant chart) via TUmarketplace are the only two permitted methods for purchasing gift cards.
  • Strictly Prohibited Purchasing Methods: You cannot purchase gift cards using a University Purchasing Card (Pcard) or personal funds. Purchases submitted via Concur T&E will not be reimbursed.
  • No Compensation for Work: Gift cards are considered cash equivalents by the IRS. They cannot be used to pay or appreciate employees, student workers, independent contractors, or volunteers for services performed.
  •  Mandatory Tracking: Every gift card disbursed must be logged immediately. For physical/digital merchant cards, a secure Excel log must be maintained. For clinical trials, Greenphire reporting must be utilized.
  • Tax Thresholds: If an individual receives $600 or more in gift cards in a calendar year, the department must securely submit the log and a W-9 to Accounts Payable for year-end IRS 1099 reporting.
  • Prior IRB Approval: All research participant payment structures must be fully approved by the Institutional Review Board (IRB) before any cards are purchased or distributed. 

Purpose

 This procedure outlines guidelines for the purchase, use, and distribution of gift cards using University-managed funds. It aims to ensure responsible use of resources, compliance with tax regulations, sponsor requirements, and proper recordkeeping. Greenphire and Blackhawk Network are the only two approved methods of purchasing gift cards with Temple University (the “University”) managed funds.

Scope of Procedure

This procedure applies to all University faculty, principal investigators, employees, students, volunteers, and third parties. 

Definitions

Greenphire ClinCard: A reloadable, pre-paid card used to provide compensation and/or reimbursement payments to participants in research studies. Funds for participation are placed on a ClinCard by a study coordinator at the research site. Greenphire is the University’s preferred method for clinical and ongoing research participant payments.

User access to Greenphire’s site is reviewed at least annually to ensure only appropriate personnel have access to purchase and reload cards.

Use of this program provides the following benefits/limitations:

  •  Able to load studies and participant information for transactional transparency. • Tracking and 1099 reporting.
  • Reloadable.
  • E-Gift Cards are not available.
  • Mastercard is the only merchant offered.
  • Inactivity fee applies after 6 months.

For additional information on the Greenphire ClinCard program, visit the Subject Payment Participants section of the Bursar’s Office web page.

Blackhawk Network (BHN): BHN provides both digital and physical gift cards and can be purchased through the punch-out catalog for gift cards on TUmarketplace. BHN gift card purchases are final; no changes, returns, or cancellations are permitted. This catalog is primarily meant for gift cards used to compensate grant-funded research participants. Gift cards purchased through TUmarketplace may not be advertised as a giveaway without written consent from BHN.

The use of the Blackhawk Network (BHN) program is subject to the following criteria, benefits, and limitations:

  •   E-Card Option required due to location of recipient (e.g., card cannot be hand-delivered to participant).
  • Merchant card alternative required to Mastercard, such as Amazon, Target, etc.
  • Not related to a research study, such as on-campus events. 
  • Visa cards expire 12 months from the date of purchase and will not be reissued or refunded.

Permitted Uses

Distribution of gift cards is permitted under the following circumstances:

  •  Gift cards are permitted by the sponsor (if applicable) as payment for participants in a study as compensation for their time, participation, and any expenses incurred.
  • Purchase of gift cards via TUmarketplace’s approved vendor (BHN) is permitted only when a Mastercard gift card through Greenphire cannot meet the study’s specific needs. Gift Cards via TUmarketplace’s approved Gift Card vendor when a Mastercard gift card through Greenphire will not meet the study’s needs.
  • Gift cards to students: Resident assistants during summer training and high school student summer programs, student, and promotional giveaways.
  • Gift Cards to visitors to cover meals and incidentals

Non-Permitted Uses

 Distribution of gift cards within the scope of this procedure is not permitted in the following circumstances:

  •  Gift cards may not be distributed to volunteers as appreciation for volunteer work, regardless of whether the volunteer is a student, employee, or a third party.
  •  Gift cards may not be distributed as compensation and/or payment for services performed (i.e., by students, employees, vendors, or independent contractors).
  • Gift cards cannot be used for purchasing alcohol, tobacco, or other controlled items.
  • Student workers may not be given gift cards/certificates for work-related activities, or for any reason related to their employment with the University.

 Tax Treatment and Tracking 

Gift cards are defined as cash equivalents by the IRS. They are considered taxable income for US based recipients if the total value from the university exceeds $600 in a calendar year, which the University must report. Gift cards distributed to non-resident aliens may be subject to federal tax withholding.

 Payment To Human Subjects in Research – IRB Requirements 

Payment to research subjects must be clearly described in the protocol and informed consent documentation of each study. The form of payment (e.g., gift cards, ClinCard, etc.), the dollar amounts, and the proposed payment schedule, must be reviewed and receive Institutional Review Board (IRB) approval prior to the start of the study. Any changes in the amount, timing, and method of subject payments must be approved (via Amendment) by the IRB, prior to their implementation. If the study was approved as Exempt, there are some circumstances where an Amendment may not be necessary. Consult with the IRB (IRB@temple.edu) if planning on making these changes to an Exempt study.

Researchers should check Temple’s IRB Training and Resources website for further details about IRB requirements.

 Gift Card Purchasing and Distribution Procedures 

General Purchasing Rules
  •  All purchases must be initiated via a requisition request through the approved gift card pathways in TUmarketplace or Greenphire.
  • Employees must document the business purpose and distribution details for all requested cards.
  • Prohibited Purchasing Methods: Gift card purchases are strictly prohibited on a Purchasing Card (Pcard) or personal credit cards. Purchases submitted for expense reimbursement via Concur T&E are unallowable and will not be reimbursed.
  •  Whenever possible, large bulk purchases should be avoided; departments should only order cards expected to be used within a 3–6- month window.
Storage and Security
  • Physical Cards: Must be shipped directly to a Temple University address, via Signature Required shipping instructions. They must be stored on-site in a secure, locked university safe with restricted access, meeting University, and Internal Audit standards. Greenphire "$0 balance" sealed cards must similarly be stored securely and distributed on demand. 
  • Electronic Cards (e-gift): Digital card information must be secured at all times (e.g., password-protected files or restricted secure drives) and treated with the same security as cash.
Logging and Documentation
  •  Mandatory Log: Departments must maintain an Excel Gift Card Log (or use Greenphire reporting), updated every time a card is disbursed. Departments utilizing Blackhawk Network cards must maintain a manual Excel Gift Card Log, updated every time a card is disbursed. For Greenphire ClinCards, departments may utilize built-in Greenphire system reporting to satisfy this requirement.
  •  Data Security: The log must contain the recipient's name, phone number, address (or email for ecards), date, amount, and the last 4 digits of the card (all other card digits must be masked). This file must be stored in a secure, encrypted online location with restricted access.
  • Receipt Acknowledgement: Whenever possible, recipients should be required to acknowledge receipt of physical or e-gift cards by signing a receipt or a printed log.
  •  Year-End Tax Reporting: At the end of each calendar year, this log—along with a W9—must be sent via encrypted email or TUSafesend to Accounts Payable for any individual recipient who received $600 or more within the calendar year. The file must include the recipient's name, address, total amount paid, Federal TIN/SSN, and the name of the study.
Reconciliation, Audits, and Inventory Issues 
  • Monthly Reconciliation: Departments must perform an independent monthly reconciliation comparing purchases, cards on hand, amounts loaded, and issuances. Departments must maintain documentation of these reconciliations for seven years.
  •  Sanctions for Noncompliance: No department will be permitted to purchase new gift cards if they have outstanding unaccounted-for cards or unresolved issues with the Controller’s Office, Purchasing, or Accounts Payable.
  • Audits: All gift card purchases, logs, and documentation are subject to periodic audits by the Controller’s Office, Internal Audits, external public accounting firms, grant sponsors, or the IRB.
  • Lost, Stolen, or Missing Cards:

            o

TUmarketplace orders not received: Report immediately to the gift card provider to check status or flag as lost/stolen. Contact Purchasing Services if further assistance is needed.     

          o Lost/Stolen Greenphire ClinCards: Recipients should contact the Studystudy Coordinator/Departmentcoordinator/department immediately for a replacement. Internal Theft/Misuse: Any cards missing from a departmental safe, misused, or inappropriately distributed must be reported immediately to the Sr. Director of Disbursement, Campus Police, Internal Audits, and the Office of the Vice President of Research (if applicable).

Procedure Violations and Noncompliance

Violation of this procedure, including misappropriation or misuse of gift cards, will be subject to applicable disciplinary process, up to and including termination of employment (Employee Manual) or revocation of student privileges. For questions regarding these procedures, please contact Purchasing Services at purchase@temple.edu or Accounts Payable at ap@temple.edu.