- Expenditure Policy - Full
Expenditure Policy - Full
Expenditure Policy - 1. Policy Rationale
1. Policy Rationale
As a non-profit organization defined under Section 501(c)(3) of the Internal Revenue Code, Messiah College is committed to using institutional funds in an appropriate manner. The College engages in activities that are funded by private gifts and grants, and reconciliation of how those funds are expended are required to be on file and available for examination by the donors and auditors. All business expenses must be reasonable and appropriate given the position of the employee and purpose for the expense.
Because Messiah College must follow IRS laws and regulations in connection with expense payment and reimbursements practices, its expenditure policy is designed to meet the requirements of an “accountable plan” for business expenses, reimbursements, and allowances (see IRS Publication 463).
Accountable Plan: An accountable plan is a reimbursement arrangement that meets three criteria:
- Expenses to be paid or reimbursed must have a business purpose and must be incurred in connection with an employee’s position at the College.
- Expenses to be paid or reimbursed must be adequately accounted to the employee’s supervisor within a reasonable period of time.
- Any excess allowance or cash advance must be returned to the employee’s supervisor within a reasonable period of time.
Reasonable Period of Time: The definition of a reasonable period of time depends on the facts and circumstances of the situation. However, regardless of the circumstances, actions that take place within the following time-frames will be treated as occurring within a reasonable period of time:
- An employee adequately accounts for their expenses within 30 days after the expenses were paid or incurred, or within 30 days of returning if expenses involve travel.
- An employee returns any excess allowance or cash advance within 15 days after the expense was paid or incurred. An excess allowance or cash advance is any amount an employee is paid that is more than the business related expenses that were approved and adequately accounted for by the employee’s supervisor.
If the employee meets the criteria for an accountable plan as outlined above, the College is not required to include any advances or reimbursements in the employee’s taxable income.
Expenditure Policy - 2-4 Approval
2. Approval and Effective Date of the Policy
Approved by College Council on February 26, 2009. This policy is effective July 1, 2009 with earlier implementation allowed.
3. Knowledge of this Policy:
All Employees, Institutional Budget Managers and Supervisors, Procurement Office, and Business Office personnel should be knowledgeable of this policy.
This policy applies to all employees and other persons seeking reimbursement from the College regardless of the source of funding. It is intended to cover foreign and domestic travel as well as other business expenses incurred on behalf of the College. Responsibilities related to reimbursement or expenses include the following:
- Understand what is an acceptable expenditure that can be paid with institutional funds
- Understand the requirements of proper documentation and procedures for payment or reimbursement
- Develop business relationships with vendors to negotiate discounted pricing
- Assist employees in securing goods and services
- Monitor expense reimbursements and payment requests for proper supervisor approval
C. Business Office:
- Develop policies related to accounting and external reporting, and in compliance with IRS regulations
- Audit transactions for compliance
D. Institutional Budget Managers and Supervisors:
- Determine if a request for payment is reasonable and appropriate
- Determine if the expense is allowed by the funding source (if grant-funded)
- Record the expenditure correctly in Banner
Expenditure Policy - 5.1 General Requirements
5.1 General Requirements
Business expenses can be approved or reimbursed in accordance with this policy when it is determined that the costs are:
- appropriate to the occasion,
- reasonablein amount, and
- serve a bona fide business purpose.
Employees are required to submit the proper forms along with original documentary evidence. Original invoices or receipts are required for all payments or reimbursements. Expenses without receipts will not be reimbursed to the employee or paid with College funds. The receipt must separately itemize meals, gratuities, and any charges for room use. A "tear tag" showing only the total charge is inadequate for reimbursement. Every effort should be made to obtain an invoice or provide an itemized receipt needed for reimbursement; however, if this is not possible, a non-itemized receipt will be accepted upon submission of the Missing Receipt Form which specifies the expense details and is signed by the employee and the employee’s supervisor. Likewise, where a vendor has not provided an invoice, the Expense Reporting Form is required to be completed before payment is made.
Per IRS regulations, a payment request must include:
- Who - names of the individuals attending
- What - what is being paid
- When - date(s)
- Where - location of the event
- Why - purpose of the event
The above information is required whether paying a vendor directly, requesting a personal reimbursement, or processing an internal transaction from the College’s catering or dining food services. An announcement or agenda may be substituted for individual names when paying expenses of a large group gathering.
B. Methods of Payment:
The following methods should be used by employees when incurring business expenses.
- Purchasing Card-The College
encourages the use of the purchasing card for most expenses under $1,000. The use of the purchasing card eliminates the
need for reimbursement, but the expense must be properly documented as
explained in this policy. Refer to the
Purchasing Card Policy & Procedures for more information.
- Direct Invoice - In order to
establish a direct invoice payment method, vendors must be pre-approved by the
- Reimbursement- The following forms should be submitted with all documentary evidence attached within 30 days after the expense was incurred, or within 30 days of returning from a business trip. Because the IRS requires proper documentation of travel receipts, employee reimbursements related to travel expenses will be made after the employee has taken the trip and proper documentation shows proof of travel.
a. The Travel Expense Report Form should be used when employees who do not have a purchasing card are requesting reimbursement related to approved travel, lodging, meals, incidentals, mileage, and supplies (not requiring a Purchase Requisition).
b. The Employee Reimbursement Form should be used when employees who do not have a Purchasing Card are requesting reimbursement related to the miscellaneous purchases that do not require a PO.
c. The Mileage Reimbursement Form should be used to by employees to request reimbursement of Personal Vehicle Use. Please note that this is for mileage only.
4. Purchase Order - The Procurement
Office has established guidelines for purchase orders which
can be found on the Procurement channel. To summarize, a purchase order should be used for:
a. Approved capital purchases
b. Goods and Services in excess of $1,000
c. Goods and Services under $1,000 when the vendor does not accept a purchasing card
d. Vendors that require purchase orders
5. Internal Charge - Departments will
be direct billed when they use the College’s Dining, Conference,Press, Campus
Store, and Fleet services. Even though
this is an internal charge, all rules and regulation outlined in this policy
apply and require proper documentation.
6. Petty Cash - In order to establish a petty cash system, departments must be pre-approved by the Controller’s Office. These systems are audited at least once annually by the Controller’s Office and must follow proper cash handling procedures.
- All expenses are required to be approved according to the “Contract Authorization Policy”.
- Expense Reimbursements need to be approved by the employee’s supervisor before submitting the forms to Procurement for processing.
D. Policy Variations:
Schools and departments may implement more stringent expenditure policies, as long as those policies do not contradict the policies herein.
E. Payment Schedule:
The Procurement Office will process employee reimbursements within 15 days of receiving a properly completed Expense Report Form and corresponding receipts. The Procurement Office processes payments every Thursday. All employee reimbursements are completed via Direct Deposit.
Expenditure Policy - 5.2 Cash Advances
5.2 Cash AdvancesA Cash Advance is money paid to an employee in advance of a College business trip that will be applied toward actual travel expenses. Due to the availability of the Purchasing Card to employees, cash advances should only be:
- used when necessary
- used under special circumstances as approved by the employee’s supervisor
- be issued no more than 5 days in advance of the travel event
- limited to $200 for every 5 days of business travel
o Note: The Assistant Provost may approve exceptions to the dollar limit for Cross-Cultural trips; other exceptions for unusual circumstances must be approved by the area Vice President or the President.
A Cash Advance Request Form must be completed by the employee and signed by the employee’s supervisor before funds are obtained at the Business Office AR Counter. Requests without a supervisor’s signature will be denied. All Cash Advances will be recorded in the Accounts Receivable system and must be reconciled within 15 days of the employee’s return from the business trip. Employees should complete an Expense Report Form, obtain their supervisor’s signature, and return the form with receipts and/or excess cash to the Business Office counter. Employees who do not respond to notification of failure to report a Cash Advance on a timely basis will have the advance deducted from their next pay check. New cash advances will not be issued to an employee with an existing, outstanding cash advance. Any employee who fails to settle a cash advance will not receive any future cash advances.
Expenditure Policy - 5.3 A, B and C - Travel Expenses - Overnight Travel, Reservations and Air Travel
5.3 A, B and C - Travel Expenses
A. Overnight Travel
All overnight travel for conferences, conventions, staff training, workshops, and seminars require prior written approval of the employee’s supervisor. Employees are not permitted to travel to countries with travel warnings unless Messiah’s Risk Management Committee grants an exception. If employees extend their travel for personal reasons, they must pay for the difference between the total cost and the cost that would have been incurred solely for business purposes.
Travelers should make reservations as early as possible to take advantage of advance purchase discounts.
C. Air Travel
All travel should be by the most direct, economical, and usually traveled route. The traveler must request the least expensive air fare available that is both reasonable and consistent with the purpose of the trip.
- College’s Preferred Travel Agency: Employees are encouraged, but not required, to use the College’s Preferred Travel Agency when making travel arrangements, especially if the travel arrangements have the possibility of being changed or cancelled. (For a list of preferred vendors please reference the Procurement Website.)
- Other Travel Arrangements: On-line travel services may be used if rates are economical, but travelers should be aware of all refund and reservation change fees when purchasing specially discounted airfares from on-line travel agencies.
- Schedule Changes: Any expenses related to changes in travel plans caused by family emergencies must be documented and approved by the employee’s supervisor. Employees are responsible for ensuring any credit vouchers issued are for future business purposes. Supervisors are accountable to ensure all travel by employees, regardless of payment method, is used for business purposes.
- Documentation and Reimbursement: The employee must provide an original ticket (less the tear-off receipt required for boarding), original passenger receipt, or original boarding pass from the airline as proof of travel. Travelers should note that the College will not reimburse any air fare purchased with personal funds until the related travel is completed.
- Insurance: Flight insurance is covered under the College’s standard life insurance policy when traveling on College business. Any additional flight insurance coverage purchased by the employee is not reimbursable.
- Frequent Flier: Airline mileage earned in the conduct of College business is credited to the employee; however, participation in these programs must not, in any way, influence flight selection for College business. Airline travel voucher and frequent flier mileage are not reimbursable to employees for travel in connection with College business. The College does not purchase airline voucher or coupons from employees.
Expenditure Policy - 5.3 D Travel Expenses - Lodging
5.3 D - Travel Expenses
The actual cost of a room when an employee attends a conference and obtains overnight accommodations at a hotel where the conference is being held (or an alternative hotel of equal or lesser cost), will be paid by the College. Costs to upgrade rooms are not acceptable expenditures and will not be paid with institutional funds.
A single room should be booked for all hotel stays. When two or more travelers are traveling together, each will be entitled to their own room. When lodging is shared with others, the College will pay for the employee’s share of the cost.
If a scheduled trip is cancelled, it is the traveler’s responsibility to cancel the hotel room. Any expenses for hotel cancellations will not be paid with institutional funds unless the cancellation was beyond the traveler’s control, and the cancellation event occurred too late to receive a refund. If the cancellation was due to a family or work emergency, the incident must be documented and approved by the employee’s supervisor.
Expenditure Policy - 5.3 E Travel Expenses 3 - Travel by Car
5.3 E - Travel Expenses
E. Travel by Car
1. Fleet Services: For local travel, employees are required to use the College’s Fleet Services and must follow their guidelines in reserving a vehicle. If a fleet vehicle is not available or deemed not feasible by the College’s Fleet Services, then personal vehicle usage or vehicle rental by the College’s preferred car rental service are acceptable. (For a list of preferred vendors please reference the Procurement Website.) Contact the Office of the Vice President for Operations at least two weeks prior to traveling to any country outside of the United States with a College vehicle to obtain required insurance and insurance documentation. For more information please reference the Fleet Services Program & Policy.
2. Vehicle Rentals: Vehicle rentals, including all fuel and insurance costs connected with the rental, may be paid with College funds when it has been determined in advance that the rental is necessary to an employee for conducting College business, and other forms of transportation are either not available or more expensive. Only an authorized renter may sign for and drive the rental vehicles. An authorized renter for Messiah meets the following criteria:
- is a Messiah employee
- at least 21 years of age
- possesses a valid driver’s license
Guidelines for additional insurance purchases are listed as follows:
a. Collision Damage Waiver:
i. Domestic Travel: Do not accept the Collision Damage Waiver. This is not an approved expenditure because the college has hired car insurance.
ii. International Travel: Accept the Collision Damage Waiver. This is an approved expenditure.
b. Personal Accident Insurance (PAI) or other rental agency insurance coverage: Employees are covered under the College’s Workers’ Compensation and other Messiah College insurance when renting automobiles. Collision Damage Waiver for international travel is the only approved rental insurance expenditure.
3. Personal Vehicle Use: When an employee uses their own vehicle for Messiah College business in day trips or work assignments, the employee will be reimbursed for mileage.Mileage is calculated at the current Messiah College approved rate and is designed to cover all costs of operation including gas, car maintenance, repairs and insurance, and thus no fuel receipts are needed, nor will any reimbursement be paid to an employee for actual fuel expenses. Total reimbursement can not exceed equivalent air coach fare and other costs associated with other available transportation. The Mileage Reimbursement Form is required to be completed and signed by the employee’s supervisor before reimbursement is made.
Because the mileage rate is designed to cover all costs of operating an auto, no reimbursement is made for the cost of repairs to personal vehicles used for College business. An employee is covered by Messiah College Workers’ Compensation for their personal injury, but it is the personal obligation of the owner of the vehicle being used for College business travel to carry insurance for his or her protection and the protection of any passengers. The College also has hired/non-owed liability on its auto policy to protect the College should an employee have an accident while using his or her personal car on College business. However, non-owned auto coverage does not function as primary insurance; it provides excess liability protection only. Therefore, any accident must be reported to both the employee’s insurance carrier and the College (Department of Safety, Extension 6005, and the Office of the Vice President for Operations, Extension 6003).
4. Personal Use of College Owned Vehicles: Personal use of College owned vehicles is prohibited, with exceptions for employees in Development and the President. Such exceptions are pre-approved by the employee’s supervisor and must be reported to the Controller’s Office so that proper reporting can be established to document the benefit and remain in compliance with IRS regulations.
Expenditure Policy - 5.3 F Travel Expenses - Other Transportation
5.3 F - Travel Expenses
F. Other Transportation
- Rail Travel: The same regulations and procedures detailed under the Air Travel section are applicable to rail travel. If a traveler prefers to utilize rail transportation instead of air or car, the traveler must request the least expensive available fare that is both reasonable and consistent with the purpose of the trip. If the rail fare exceeds the cost of the alternative transportation, then prior written approval must be obtained from the employee’s supervisor and the employee is responsible for paying the difference in the cost.
- Taxi, Limousine, and Private Car Service: Reasonable charges for taxis, limousines, and private car services are permitted from the College or from home to the airport or train station and vice versa. Travel to and from airports or train stations and downtown areas shall be confined to hotel shuttle buses, and airport or train car services whenever such service is feasible and less costly than a taxicab or rental car.
- Personal Vehicle: The traveler is expected to use the least expensive transportation, without consuming excessive travel time for travel to and from the airport or train station. If an employee is driven to and from the airport or train station by a relative or friend, mileage reimbursement to the employee is allowed.
Expenditure Policy - 5.3 G, H and I- Travel Expenses: Meals, Registrations and Special Funding for Travel
5.3 G, H and I - Travel Expenses G. Travel Related Business Meals
Meals for employees who are traveling overnight for College business are acceptable expenditures and should be paid with College funds. Payment or reimbursement is made using the “Actual Expense Method”, however actual expenses should not exceed the following:
Meal Guidelines (including gratuity):
Registration fees for conventions, workshops, or official meetings are acceptable institutional expenses. An invoice must be submitted with the check request or credit card statement, or an original receipt must be submitted along with the either the Travel Expense Report Form or the Expense Report Form to receive reimbursement.
I. Special Funding for Travel
A travel event that is funded by a sponsored grant or contract must receive approval from the designated person(s) responsible for grant compliance prior to making any arrangements. This will ensure that the travel arrangements are in compliance with the rules and regulations of the grant contract or authorizing agency.
Expenditure Policy - 5.3 J, K and L Travel Expenses: Spouse, Reimbursable and Non Reimbursable
5.3 J, K and L - Travel Expenses: Spouse and Dependent Travel, Reimbursable and Non Reimbursable Travel Expenses
J. Spouse and Dependent Travel
The College does not pay or reimburse for any travel expenses of non-employee spouses or dependents who accompany College employees on official travel, except in unusual circumstances requiring their presence. In the case of unusual circumstances, travel arrangements must be approved in writing prior to incurring any related expense by the senior administrator of the employee (VP/Provost, President, or Board of Trustees). According to IRS regulations, the amount paid by College funds on behalf of the spouse or dependent is required to be added to the employee’s taxable wages as a benefit. A full reconciliation of the travel expenses related to the spouse or dependent is required by using the Spouse & Dependent Travel Reporting Form and must be submitted to the Payroll Office within 15 days of returning from the trip.
K. Other Reimbursable Travel Expenses
Other travel expenses that are acceptable to be paid with institutional funds include:
- Air freight and overnight delivery of materials needed for an event
- Baggage handling tips
- Hotel internet access if access is required for the employee’s job responsibilities
- Food service tips and gratuities, not to exceed 20%. The 20% limit does not apply when the establishment adds a service charge for larger groups in lieu of gratuity. In that case, the amount of the service charge is not within the control of the customer.
- Dry Cleaning and Laundry expenses if the traveler is out of the office for five consecutive days, or when travel days are added in emergency situations
- Any items listed above and paid directly by the traveler must have valid receipts and will be reimbursed with approval from the employee’s supervisor.
L. Other Non Reimbursable Travel Expenses
Other travel expenses that are NOT acceptable to be paid with institutional funds include:
- Fines issued by Law Enforcement Officials
- Parking tickets and EZ Pass violations
- Vehicle towing charges
- Damages to personal autos for any reason
- Insurance claim deductibles
- Loss of luggage, clothing, or other personal items
Expenditure Policy - 5.4 Hospitality
A. Non-Travel Meals and Refreshments:
- Employee Meals and Refreshments
Institutional funds can pay for employee meals and refreshments when the employee is hosting an official guest. These include candidates to fill employee positions, visiting scholars/scientists/artists, seminar speakers, advisory board members, prospective students, and other guests whose visit provide a clear benefit to the institution.
In order for meals or refreshments to be paid with institutional funds when only Messiah College employees are at a function, food must be purchased through Dining Services and the function must be one of the following:
a. meet the
definition of an employee working meal with a documented agenda, OR
b. be classified as a monthly meeting of the School Dean with all faculty, OR
c. be classified as a COE Senate meeting with a documented agenda, OR
d. be classified as a Ranked Faculty meeting with a documented agenda OR
e. last longer than 90 minutes and defined as one of the following:
- an employee training session
- a workshop
- a departmental staff retreat
- a conference
Institutional funds cannot be used to pay for other employee meals or refreshments for regularly scheduled departmental or committee meetings (scheduled for 90 minutes or less), and department social activities such as celebrating holidays, birthdays, et cetera.
Hospitality funds given to employees on their ID cards for meals relating to student recruitment, mentoring, orientation, retention, and education are allowable expenses, but must follow all guidelines regarding proper documentation found in Section 5.1A. of this policy. Please use the Falcon and ID Card Reconciliation Form to assist with proper documentation requirements.
Alcoholic Beverages: Alcoholic beverages consumed at a conference or other individual travel events are not allowable expenses. There may be rare occasions in other business or social settings when alcohol can be a legitimate business expense. Employees should consult their senior administrator for advice.
- Hosted Meals
An institution or an employee, in the normal conduct of a program/activity, may serve as host for official guests of the institution by paying for their meals when a clear benefit to the college exists and institutional approval processes are followed.
Employee spouse meals are normally subject to income taxes to the employee and therefore are prohibited. However, sometimes a job candidate or official guest is accompanied by the spouse. In these cases an employee spouse’s meal is an allowable cost.
3. Light Refreshments Non-Employees
Institutional funds can pay for light refreshments served at volunteer appreciation, student and other focus groups, conference, workshop, student recruitment, and similar official events which involve non-employees.
4. On-Campus Food
For insurance liability reasons, on-campus events with outside guests involving any refreshments as described above, are required to utilize the College’s catering services through Dining Services. Rare exceptions may be granted by Dining Services due to the type of the event and/or scheduling conflicts. Please reference Dining’s online catering form.
B. Other Hospitality:
Entertainment Costs: Costs for entertainment, including amusement, diversion, and social activities and any costs directly associated with such (meals, tickets to shows, sports events, transportation, lodging) should not be paid with institutional funds. There are seven exceptions:
- The event is part of a formal college-sponsored conference where the cost is recovered from participant fees.
- The activity is part of a self-supporting instructional program where the participant is charged a fee to cover the cost.
- The event is funded by student incidental fees, authorized by the institution’s student association, and is for the benefit of student group events.
- The event or activity is approved in a specific grant or contract.
- The event is primarily designed for students or the cultivation of donors, alumni, or other key constituencies and attendance by employees is a part of their job duties.
- The activity is part of athletic travel and cost is allowed per appropriate athletic association guidelines.
- The event is organized or sponsored by Human Resources or Presidential appointed group.
Expenditure Policy - 5.5 Expenses not Allowed
5.5 Expenses not Allowed
A. Flowers: Flowers, house plants or flower arrangements for offices or as donations or gifts to employees are not permitted. Plants for public lobby or reception areas are permitted and are managed by Grounds Services.
B. Charitable donations to/for any individual or organization: Rare exceptions for gifts of cash may be approved by the President. Gifts of goods or services may be approved by the President, Provost or a Vice President. Receipts (or copies of receipts) for all gifts should be forwarded to the Controller’s Office.
C. Miscellaneous Supplies: Except as provided for by Dining Services in designated break rooms and by Health Services, miscellaneous items for faculty, staff or student personal use, such as break time coffee, tea, soda, snacks, candies, over the counter medications et cetera cannot be paid for with institutional funds.
D. Political expenses: IRS regulations clearly state that tax-exempt section 501 (c) (3) organizations are prohibited from participating in, or intervening in, any political campaign on behalf of (or in opposition to) any candidate for public office. Therefore, expenditure of College funds that in any way advocates, or could reasonably be perceived to advocate (or voice opposition to) a political party or candidate for elected office is expressly prohibited.
E. Gift cards: Because of the tax implications, gift cards cannot be given to employees except as a part of an approved employee recognition plan as explained in Section 5.6 below.
F. Other Expenses: Use of College funds to purchase items not consistent with Messiah’s core values and mission such as weapons, lottery and gambling, and tobacco products are not permitted.
Expenditure Policy - 5.6 Employee Gifts
5.6 Employee Gifts
IRS publication 17 provides very specific guidance regarding taxable income of gifts given to employees which are paid with institutional funds. Due to the complexity of this regulation, as well as the cost to regulate policy, Messiah College has taken the position that no employee gifts (both tangible and monetary, including gift cards) can be purchased with institutional funds except for gifts given as part of a Human Resource sponsored College wide function, or as a part of a President or Vice President approved plan for employee recognition. Examples include, but are not limited to:
- Human Resource Employee Christmas Luncheon giveaway
- Human Resource Employee Length of Service Program
- Retirement or farewell events for employees with more than 5 years of service
- Performance Recognition Awards
- Human Resource Employee Picnics
- Memorial flowers upon the death of an employee or an employee’s immediate family member
- Vice President approved functions for employee recognition or development
Gifts presented to employees may be subject to applicable Federal, State, and Local taxes. Human Resources and Senior Administration must report all employee gifts to the payroll department for processing (see Employee Gifts & Awards Payroll Reporting Form).
Expenditure Policy - 5.7 Telephone
A. Telephones and Fax Machines: College telephones and fax machines are provided to employees for the conduct of College business. Therefore, local personal calls and faxes should be limited in length and frequency. Long distance personal calls and faxes are prohibited.
B. Reporting: Each department receives a monthly statement listing all long distance telephone calls made from departmental extensions. Supervisors are responsible for reviewing this report and discussing questionable calls with employees. If the calls are deemed inappropriate by the supervisor, the employee must reimburse the College.
C. Cell Phones: Please reference the Cell Phone and Data Plan Policy. Cell phones that are purchased for institutional use and that are not assigned to an employee must be purchased through the IT department.
Expenditure Policy - 5.8 Electronic Devices
5.8 Electronic Devices
A. Hardware Purchases: All electronic devices (such as, but not limited to, computers, IPADS, external hard drives, including thumb and flip drives are required to be purchased through the IT department so that proper security features can be added to the hardware to protect College owned data. Cell phone and smart phone purchases must follow the Cell Phone and Data Plan Policy. For this policy they are not considered electronic device hardware purchases.
B. Ownership and Funding: All electronic devices purchased with Messiah funds are the property of Messiah College and must be returned to the College when a person is no longer an employee or employed in a position that required the electronic device. Messiah funding sources include departmental operating and non-operating budgets, gifts and grants, and IT departmental funds.
a. Exception: Hardware that is purchased with Provost dedicated Faculty Development Funds must be purchased through the IT department, but is considered personal property of the faculty member. However, if a faculty member leaves the College’s employment within three (3) months of purchasing an electronic device they will be required to either return the product or reimburse the College for the full price of the hardware purchase as well as the purchase of programs and/or “apps” associated with the device purchased.
C. Data Plans: The College offers wireless access to all employees while they are working on campus; therefore data plans associated with the purchase of hardware purchases listed above are only permitted to be paid for using College funds if the employee travels extensively and is regularly out of the office. All data plans being paid for with Messiah funds are required to be pre-approved by the Vice President/Provost and must be reviewed on an annual basis. Please reference the Cell Phone and Data Plan Policy for cell phone data plans.
D. Software Programs: Software programs are permitted to be purchased with College funds if there is a bona fide business related need for the program. All software program purchases are required to be purchased in consultation with the IT department. All software contracts must be approved and signed by the CIO or designee. The College will not be held liable for software program contracts signed by non-authorized employees.
E. “Apps”: “Apps” for Ipads are permitted to be purchased with College funds if the “app” is business related. All “app” purchases are required by IRS regulations to be documented for business use.
Expenditure Policy - 5.9 Printing and Photocopying
5.9 Printing and Photocopying
- College Press: All printing, copying and mailing on behalf of Messiah College must be purchased through the Messiah College Press, Messiah College Postal Services, and Messiah College Faculty Services. These departments are committed to efficient customer service and quality printing, copying and mailing products. To that end they strive to maintain the most effective technology and production hours to meet customer expectations.
- Personal Use: College printers, photo copiers, and other office equipment are provided to employees for the conduct of College business. Therefore personal use should be limited and employees should reimburse the institution at $.10 per photo copy or page printed at the Business Office counter. Discounted prices are available with the use of your Falcon Card at all photocopy machines equipped with a card reader.
Expenditure Policy - 5.10 Memberships and Subscriptions
5.10 Memberships and Subscriptions
The College will pay for an employee’s membership to a professional organization or subscription to a professional journal only when the membership or subscription is critical to the employee’s job responsibilities at the College. Wherever feasible, memberships and subscriptions should be placed in the name of Messiah College, rather than the name of an individual employee. Memberships and subscriptions should be paid with the College’s purchasing card whenever possible. In cases where the purchasing card is not accepted, the issuance of a check using a properly approved check request form is available. With the exception of those reimbursed through Faculty Development, fees for memberships and subscriptions should not be paid directly by the employee and will not be reimbursed to an employee through an expense report. Membership fees to discount stores are not an acceptable business expense unless the membership is in the name of the College and available for general use by employees of the College.
Expenditure Policy - 5.11-12 Honorariums and Account Codes
5.11 Honorariums for Non-Employees and Employees
Due to IRS reporting requirements all honorariums are required to be paid through accounts payable . However, if the non-employee honorarium is $75.00 or less the College will allow a non-cash gift to be given in lieu of payment. Non-cash gifts include items such as (but not limited to) books, flowers, Messiah College gift card, and clothing. This does not apply to employees. All employee honorariums must be paid through payroll regardless of dollar amount. If a gift is purchased for an employee for an honorarium payment, it must be reported to payroll and is subject to appropriate Federal, State, and Local taxes.
5.12 Appropriate Account Codes
Please reference the Account Listing.pdf located on the Controller’s Office web page.
Expenditure Policy - 6 Definitions
Institutional funds – All funds available to the college received from internal and external sources. The only exclusion is agency funds.
Agency funds - Funds which establish a fiduciary relationship between an institution and another organization. Agency funds may include student campus organizations. (All Funds listed under fund type is 83-Agency Funds.)
Hosting – The institution or an employee serves as host for official guests of the institution. Some hosting is considered “public relations”.
Unit or departmental staff retreat – A staff retreat has a written agenda with a clear business purpose, list of attendees with departmental affiliation, and is held away from the normal work location.
Conference or workshop – Organized training sponsored by the college which includes non-employees. Generally a registration fee is charged to the attendees.
Training event – Formal training (dissemination of information) to employees or volunteers and the location is away from the place where the employee normally performs his/her work.
Recognition event – An event that formally recognizes volunteers or students for specific accomplishment. This does not include retirement events/celebrations or other employee recognition.
Departmental meeting - Regularly scheduled staff, faculty, student government or other student group meeting.
Employee working meal - Attendance must be required and business must be actively conducted during the meal period, as documented in the meeting agenda. The meal takes place in a clear business setting. The meal is usually served at a College location. Generally, a working meal at a local restaurant would not be appropriate. Use by the department should be infrequent.
Official guests – An official guest is a person, not an employee of Messiah College, invited to a College facility or function for a specific purpose that benefits the institutional mission. Official guests include, but are not limited to, candidates to fill positions, dignitaries, guest speakers, prospective students, and donors of time, services, information, funds, or property.
Meal – Food and beverages provided at breakfast, lunch, or dinner. It does not include alcoholic beverages.
Light refreshments – Beverages such as coffee, tea, bottled water, juice, soda. Food items such as fruit, cookies, pastries, chips, etc. are also considered refreshments when not served as part of a meal.
Gratuity – An amount paid over and above the price of the meal in recognition of the service received.
Receipt, itemized – Document which itemizes what was received and the cost of each individual item. A “tear tag” showing only the total charge is not a receipt. Credit card charge slips can be used only if they provide the detailed itemization to qualify as a receipt. Receipts are required for reimbursement. No exceptions.