3.1.2019
I. Purpose and Scope
The policy provides authorized signers with guidelines on the eligibility of expenses associated with fund which are considered "discretionary" in that they are not governed by a fund agreement which strictly defines what may be paid by that fund.
The Foundation's Board of Trustees retains ultimate authority over all expenditures from Foundation funds. From time to time and for certain funds, the Foundation's Board of Trustees may look to advisors to make suggestions regarding expenditures from funds. Only Unit/Department Heads, or the Unit/Department Head's designees so provided in written documentation to the Executive Director of the SCSU Foundation, are authorized to make requests for expenditures from their department's Program Fund(s). Any request for expenditure may be accepted or rejected, in whole or in part, by the SCSU Foundation Board of Trustees, in its sole and absolute discretion.
The Foundation will not reimburse a University employee for any type of expense eligible for reimbursement under the employee's personnel plan or bargaining agreement. University employees shall not be paid or reimbursed by the Foundation for any expense or receive other benefits from the Foundation that would constitute taxable income to the employee under IRS regulations or additional compensation under state law. University employees may not receive reimbursement or other benefit that create a conflict of interest or compensation from an outside source prohibited by Minnesota Statutes 43A.38 or other law, rule or policy.
Note: If Business Office column states yes, then payment must go through the Business Office first. In certain instances the Foundation may transfer funds to
to cover the expense.
II. Policy
The detailed policy requirements for various expenditure categories may be reviewed below.
| Type of Transaction | State Funds | SCSU Foundation Funds | State Comments | Foundation Comments |
|---|---|---|---|---|
| Alcoholic Beverages/on-campus & off-campus | No | Yes | Cannot be paid from University. | On campus service of alcohol is subject to University policy with prior approval required. Reasonable expenses are eligible for reimbursement when hosting and entertaining official University guests such as alumni, donors, external peers, university partners and corporate guests only. Employees not entertaining external constituents will not be reimbursed for alcohol purchases. |
| Apparel/Employees | No | Yes | Cannot be paid from University. | Foundation funds may only be used if the apparel is required by all employees at a special event, e.g., admissions/recruiting, job fair, etc. for marketing purposes only. Foundation funds may not be used for daily wear. Any purchases exceeding $50 per person requires prior approval. |
| Apparel/Students | Yes | Yes | University funds can be used to purchase uniforms for student employees, always requires a special expense form. | Foundation funds may only be used if the apparel is required by all employees at a special event, e.g., admissions/recruiting, job fair, etc. for marketing purposes only. Foundation funds may not be used for daily wear. Any purchases exceeding $50 per person requires prior approval. Business Office, see Student Apparel Policy. |
| Cards Holiday/Greeting Cards and Postage |
No | Yes | Cannot be paid from University. | External constituents only |
| Candy | Yes | Yes | Requires special expense form and only for cases as part of instruction. | Foundation Funds may be used for campus events such as Student Life events and activities, recruitment, orientation, etc. Foundation funds may not be used for filling office candy dishes or in-classroom student/employee appreciation. |
| Contributions | ||||
| To political parties or politicians | No | No | Cannot be paid from University. | Political contributions are prohibited by the IRS. |
| Memorial contributions | No | No | Cannot be paid from University. | No contributions in lieu of flowers. |
| Non-profit organizations | No | No | Cannot be paid from University. | |
| Dues | ||||
| Institutional | Yes | Yes | If University funds are insufficient, funds may be transferred from the SCSU Foundation to cover the expense | |
| Individual Professional Membership | Yes | Yes | If University funds are insufficient, funds may be transferred from the SCSU Foundation to cover the expense. | |
| Civic, Service | No | Yes | Pursuant to official SCSU business only. | |
| Private Clubs | No | Yes | SCSU President. | |
| Professional Licenses | Yes | Yes | Job dependent | Must be required or expected as a condition of position. |
| Employee Awards & Research Rewards | ||||
| Employee Award/Incentive Programs | Yes | Yes | University incentives only through Human Resources Awards require special expense forms | Non-cash awards such as plaques & trophies and nominal recognition. Business Office requires a Special Expense Form. |
| Gift Cards/Gift Certificates | No | No | ||
| Entertainment/Performance | ||||
| Employees | Prior Approval Required | Yes | Approval provided by Special Expense form process. | Allowable when in official university capacity such as donor cultivation or community or industry partnership. Entertaining at a personal residence is allowed as long as President's approval has been obtained and that commercially prepared food is served. No alcohol is allowed. |
| Non-Employees | Prior Approval Required | Yes | Approval provided by Special Expense form process. | Allowable when in official university capacity such as donor cultivation or community or industry partnership. The Business Office requires a Special Expense form. |
| Entrance Fees-Students & Employees | Prior Approval Required | Yes | Approval provided by Special Expense form process. | Foundation funds may be used for entrance fees to charitable events such as golf scrambles, fishing tournaments, trivia nights, Boy Scout tournaments, Lawn Socials, etc., only when acting in an official SCSU capacity. The Business Office requires a Special Expense form. State funds are limited to educational purposes and when on official SCSU business. |
| Equipment | ||||
| Capital equipment (including computer equipment) | Yes | Yes | Foundation will not directly pay, however we will transfer approved capital purchases to Business Services. | |
| Furniture | Yes | Yes | Foundation will not directly pay, however we will transfer approved capital purchases to Business Services. | |
| Flowers | ||||
| Congratulatory | No | No | Cannot be paid from University. | |
| Employee Recognition Days (Secretary's Day, etc.) | No | No | Cannot be paid from University. | |
| Event decorations | Yes | Yes | The Business Office requires a Special Expense form. | Must be University sanctioned events. Receipt is required including title and purpose of the event. |
| Funeral/Illness | No | Yes | Cannot be paid from University. | Limited to employee, immediate family members and students as defined by employee sick leave guidelines, and board/advisory council members and university partners. A $100 limit per occasion (receipt required including name of deceased and relationship to SCSU.) |
| Gratuity | Yes | Yes | Reimbursement is limited to a maximum of 20%. | Reimbursement is limited to a maximum of 20%. Business Office union contract daily meal allowance. |
| Gifts | ||||
| Employee Retirement | No | Yes | Cannot be paid from University. | Gifts are permitted for up to a $100 limit. No gift cards. |
| Gift Cards | No | No | Cannot be paid from University. | No gift cards may be given to students, student employees or university employees. Considered taxable income by the IRS. |
| Non-Cash/Non-Employee | No | No | Non-cash gifts and gift cards are not allowable except under circumstances described under "Donors Official Guests" section. | |
| Donors & Official Guests | ||||
| Appreciation | Yes | Yes | University special expense required | Token of appreciation given in recognition at a special occasions such as a guest speaker/lecturer, etc. Limit $25. No gift cards. |
| Special Occasions | Yes | Yes | University special expense required | Token of appreciation given in recognition at a special event such as an Advisory Council meeting, donor or corporate partner visit or action. Limit $25. No gift cards. The Business Office requires a Special Expense form. |
| Athletic/Special Event Tickets | No | Yes | Token of appreciation given in recognition at a special occasions such as a guest speaker/lecturer, etc. Limit $25. No gift cards. | |
| Honoraria | Yes | Yes | University requires contracts with vendor. | Foundation requires the business purpose or agenda and a list of meeting participants. Funds can be transferred to the Business Office. |
| Meals | ||||
| For all food purchases a special expense form is required by Business Services. Per IRS requirements, the Foundation requires the business purpose or agenda and who was at the meeting. All open invitations must include a copy of the invitation. | ||||
| Appreciation & “Just Because” for Faculty/Staff & Students | No | No | Includes classroom participation. | |
| Candidate interviews | Yes | Yes | Special expense form required. | Commercially prepared food only. |
| Community Engagement Events | Yes | Yes | Special expense form required. | Commercially prepared food only. |
| Employee entertaining employee | No | No | Excludes Office of the President. | |
| Entertaining at employee's home | No | Yes | President only conducting official SCSU business. Commercially prepared food only. | |
| Formally organized events | Yes | Yes | Special expense form required only for University-wide events. | Convocation commencement reception, faculty/staff welcome gathering, ice cream socials, retirement functions, non-regularly scheduled retreats and workshops. Commercially prepared food only. |
| Regularly recurring departmental/employee meetings | No | No | Includes team meetings. | |
| Mileage/Travel Reimbursement - MUST GO THROUGH BUSINESS SERVICES | ||||
| Employee Travel | Yes | No | ||
| Education related - Student travel | Yes | Yes | Education related travel expenses and conference registrations fees are allowable expenses. | |
| Professional Association & Student Conference Registration Fee | Yes | Yes | Education related travel expenses and conference registrations fees are allowable expenses. | |
| Miscellaneous | ||||
| SCSU Parking Permits or Citation | No | No | ||
| Cellphones | Yes | No | Only when paid directly by University | |
| Home Internet Access | Yes | No | From PDF only | |
| Non-Employee Awards | ||||
| Awards | No | Yes | Any award must have a completed W-9 before award can be given to winner | |
| Inducement to participate in faculty research study | Yes | Yes | With a special expense form and only as part of an approved grant agreement | The use of a nominal level gift card as an inducement/enticement to participate in a faculty research study is allowable |
| Office Expenses | ||||
| Appliances | No | Yes | Purchase of small appliances is allowed for department or school/college/unit use. Not for individual use. All capital purchases become the property of SCSU and items must be tagged by Inventory Control. | |
| Common Area Pictures, Artwork, Decorations | Yes | Yes | University special expense required | |
| Computers and Instruments | Yes | No | ||
| Course related materials and books | Yes | No | ||
| Event Decorations | Yes | Yes | Special expense form required only for University-wide events. | |
| Holiday Decorations | No | No | ||
| Individual office decorations | No | No | ||
| Supplies | Yes | Yes | Transfer to Business Services. If purchased by employee must be reimbursed through business services. | |
| Student Payments, Employment, Assistantships & Scholarships | ||||
| Scholarships and Fees | Yes | Yes | Payments to a student goes through Financial Aid as a scholarship award or through the Business Office. The Foundation will transfer the money to business services. | |
| Employment | Yes | No | Student Payroll only | If donor funded, Foundation will transfer to Business Services. |
| Graduate Assistantships | Yes | No | Student Payroll only | If donor funded, Foundation will transfer to Business Services. |
| Transfers | ||||
| Business Services to Foundation | No | N/A | ||
| Foundation to Business Services | N/A | Yes | Expense must be allowable per the Fund agreement & include documentation and explanation as to why this transfer is needed. Business Services cost center must be provided. | |
| Foundation to Foundation | N/A | Yes | Expense must be allowable per the Fund agreement & include documentation and explanation as to why this transfer is needed. | |