City of Richmond slashes P-Card use, launches major program overhaul

The City of Richmond is making sweeping changes to its purchasing card (p-card) program, cutting the number of active cards by more than 80% and placing tight restrictions on their use. Starting May 9, 2025, only about 60 p-cards will remain in circulation, down from the current 320.

According to Mayor Danny Avula, the move is intended to reset and rebuild the program from the ground up. “P-cards are a best practice, but Richmond’s p-card program needs a reset,” said Avula. “So, today, I’m turning off the vast majority of p-cards and placing new purchasing restrictions on the remaining cards.”

During the 60- to 90-day reset period, purchasing will be restricted to cases where public health, safety, or critical city services would be compromised without immediate spending, or where no alternative payment method exists.

Specific prohibitions include:

• No travel-related purchases – employees must follow standard reimbursement processes

• No Amazon purchases

• No food purchases, unless related to citizen-facing programs like summer meals or after-school initiatives

• No p-cards for department directors, who will instead focus on reviewing and approving purchases

The Department of Procurement Services (DPS) will use the reset period to revise policies, train staff, and implement new oversight tools. Among the updates, DPS will:

• Adopt recommendations from an independent assessment conducted by the Institute for Public Procurement (NIGP), a national leader in procurement best practices

• Implement AI-supported third-party auditing for enhanced oversight

• Review and potentially switch p-card providers if significant benefits are identified

• Investigate additional revenue opportunities through rebate structures

• Align p-card policies with other related City policies, including those for discretionary spending and travel

The NIGP assessment began on April 22, 2025. Finalized policies will be released to the public once the reset period concludes and all updates have been implemented.

“We are absolutely committed to creating the most efficient procurement p-card program possible — for the City of Richmond, the people we do business with, and the residents we serve,” said Rene Almaraz, DPS Director.

For more information, visit the City of Richmond’s Procurement Services website here.