Districts Pull Out the Plastic for Purchases It still may be the beginning of a trend for
those who are less Web savvy, and trusting, but more and more school districts are moving towards credit cards when making purchases for anything school bus. And ease of use is only one in a list
of reasons why many districts are using them and more and more vendors are accepting them. “It’s more efficient,” said David L. Pace,
director of transportation services for Vir- ginia Beach City Public Schools, adding that it reduces unnecessary processing time and costs, which frees up time for his employees. “Te cost savings is due to the elimination of paperwork, vouchers, issuing checks, etc.” Tis opinion is shared by dealers as well,
about one-third to one-half of the purchase order,” said Ken Taylor of Tuit Enterprises Co., Inc., a company that distributes school bus memorabilia. Security measures must be put into place to guarantee that the related infor-
mation does not slip through the cracks, said Jeff Cassell, vice president of school district operations for School Bus Safety Company, but the convenience and over- head saving has made it “the way to go” in his opinion. ■
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according to Triad Fabco’s David Murphy. Te seat foam manufacturer also sees an added fiscal benefit to pulling out the plastic when making orders. “By paying with a credit card, our cus-
tomers are gaining either hotel or airline points, which they use to help offset travel expenses,” said Murphy, the company’s sales manager. “Te major advantage is we have our money for our product once the items are shipped, and not 30 to 60 days later.” But credit card purchases can come
with one disadvantage — service charges payable to either the retailer or customer. Every time a customer uses a credit card, the vendor is charged between 2 to 7 per- cent of the purchase cost by the credit card company. Te cost is either passed on to the customer or absorbed by the vendor. But, in the long run, the process can still be beneficial. “Te average purchase order cost of pa-
perwork/verification runs $45 to $120 per order depending upon the complexity and pay level of the people involved. Credit card reconciliation/verification tends to run
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www.stnonline.com 23
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