Travel and Other Business Expenses Incurred by Employees

Purpose

To describe and define the policy and practices to be followed throughout Saint Vincent College and Seminary (referred to as Saint Vincent) with respect to expenses incurred by employees in carrying out their assigned responsibilities.

1. To establish expense reporting requirements which constitute adequate accounting for purposes of management control, and U.S. Internal Revenue Service examination, and meet the requirements of grant funding agencies.
2. To aid in the proper preparation of the employee Expense Statement. An employee who files a fraudulent Expense Statement or knowingly makes false statements or falsifies records in connection with filing for reimbursement of expenses will be subject to disciplinary action, up to and including termination
3. For purposes of this policy the term "Expense Statement" shall refer to the document to submit for reimbursement of out-of-pocket expenses and mileage reimbursement as well as the document to submit to authorize charges made to a Saint Vincent PNC card.

Policy

1. It is Saint Vincent's policy to reimburse the necessary and reasonable expenses incurred by employees if the expenses are directly related to the discharge of their assigned responsibilities. Reimbursement will only be made by submitting an Expense Statement, provided the expenses are adequately accounted for and are deemed to be necessary and proper business expenses by supervising employees specifically authorized to approve Expense Statements of the reporting employee. With the exception of the personal auto mileage rate, employees are not to be reimbursed for any expense unless that amount was paid out of their pockets or paid through the assigned Saint Vincent issued credit or purchasing card if applicable. The types of travel and business expenses considered necessary and proper are listed herein. All expenses must be properly substantiated by adequately detailed records or by sufficient evidence as to the amount, date, place, business purpose of the expenditure and the business relationship in the case of persons entertained.

Advance of Funds

1. Employees may receive an advance of funds only in very unusual situations. All travel advances require the approval of the VP of Finance or President.

Reporting Expenses

1. All employees must account to Saint Vincent for travel or other business expenses incurred in connection with the discharge of their responsibilities.
2. Original receipts must be attached to Expense Statements. For non-travel expenditures, all receipts must be attached regardless of the dollar amount. For travel and entertainment expenditures, receipts are required for expenditures in excess of$10.00. Examples are a cash register tape, cash receipt or credit card slip. For meals and entertainment a detailed receipt from a restaurant is also required.
3. Employees must sign their Expense Statements. The signature is the employee's representation that the expenses reported on the Expense Statement were incurred in relation to the discharge of their assigned responsibilities.
4. The Employee's Supervisor must approve all Expense Statements. This responsibility may be delegated provided the following principles are observed:
   
   
   1. Employees may not approve their own Expense Statements. Expense Statements of Saint Vincent College President and Saint Vincent Seminary Rector must be submitted to Saint Vincent's Vice President of Finance for approval.
   2. Persons approving Expense Statements should satisfy themselves that the "business purpose" of each expenditure has been established, the expenditures reported are necessary business expenses, that expenses are entered appropriately on the Expense Statement Form and that proper documentation is attached to the Expense Statement.
   3. If the Direct Supervisor is not available, the appropriate member of the Administrative Council for the College, the Rector for the Seminary, or the Vice President of Finance or the President can approve the Expense Statement.
5. In a situation where more than one employee in the same department of Saint Vincent is involved in a reimbursable item such as Business Meals/Entertainment Functions, the "Senior-Most" member must incur the expenses.
6. Expense Statements should not be approved unless all data required in substantiation of travel, entertainment, or other business expenses have been furnished. The substantiation of the validity for business expenses reimbursed to employees is the responsibility of Saint Vincent. Saint Vincent, therefore, must require that Expense Statements be prepared in accordance with these instructions. No estimation of expenses is permitted, and each expenditure must be completely documented in Expense Statements. A credit card statement is not sufficient documentation to receive reimbursement.
7. Authorized cell phone expenses should be submitted for reimbursement via an Expense Statement if the cell phone is not a part of the Saint Vincent Direct Bill Program with Verizon. It is the employee's responsibility to pay the cell phone carrier. A cell phone with a data plan will be reimbursed at $55/month, without a data plan at $40/month.
8. Expense Statements in excess of $50.00 will be paid by check. Those less than $50.00 can be paid by check or by cash in the Business Office. It is encouraged to not submit small items for reimbursement until a reasonable amount is accumulated.

Travel Expenses

1. Definitions
   This term includes the necessary business expenses incurred by employees in carrying out Saint Vincent assignments while away from their assigned business location. Usual travel expenses include mileage when a personal auto is used for Saint Vincent business purposes, transportation fares (air, rail, taxi, etc.), lodging, auto rental expenses and meals.
2. Personal Auto
   
   1. Requirements for use of personal auto
      In determining whether a private automobile or some other form of transportation should be used, consideration should be given not only to the economy in transportation costs, but also to the type of transportation which will afford the traveler the most productive hours of work in carrying on Saint Vincent business at the destination. On a periodic basis, Saint Vincent may require the employee to provide evidence that they carry automobile liability insurance (bodily injury and property damage) in an amount sufficient to fully protect the employee's personal liability. By signing a reimbursement form the employee is attesting that they maintain minimum coverages as described below in #2.
   2. Employee responsibility/insurance
      Saint Vincent will not be responsible for the personal liability arising out of the use of employee vehicles on Saint Vincent business, nor will Saint Vincent reimburse an employee for any fines or penalties imposed for any violation of law occurring during the use of a personal vehicle while on Saint Vincent business.
      It is incumbent upon Saint Vincent employees using personal autos on Saint Vincent business to familiarize themselves with personal liability insurance requirements that are considered adequate within their geographic areas. Generally this can be determined through consultations with their insurance representatives. Because of extremely high awards being granted by courts that at least the following minimum amounts must be secured:
      

      Bodily injury	$100,000 per person
      	$300,000 per accident
      Property damage	$100,000 per accident

      These limits are to protect the employee's interest with his (her) own insurance policy. Employees may be required to show proof of these minimum requirements on a periodic basis.
   3. Mileage rate
      Employees who use their automobiles for Saint Vincent business are to be compensated for such use at the prevailing mileage rate established by the IRS and allowed by Saint Vincent as communicated by the Vice President of Finance. This mileage rate is to constitute the total compensation to the employee for car use except for parking and toll charges, which may be added as separate items on the Expense Statement.
      • Determination of mileage claimed for reimbursement for use of a personal automobile:
        • If travel originates at Saint Vincent, calculate the mileage from Saint Vincent to your destination.
        • If travel originates from your home, use the lesser of the mileage calculated from your home versus the mileage calculated from Saint Vincent to your destination.
   4. Rental Cars
      When using a rental car for Saint Vincent business, employees should not purchase additional insurance from the rental company. If an accident does occur, file a police report and contact Director of Public Safety. The related expenses should be reported under OTHER BUSINESS EXPENSE. All rental cars should be charged to your own credit card or the Saint Vincent PNC Card if applicable. Direct billings from the rental agency will not be paid unless it is for a non employee such as a guest, speaker, recruit, etc. coming to Saint Vincent.
      The insurance carried by the College requires that we impose two restrictions on the rental of any multi-passenger van. These restrictions are as follows:
      1. No van capable of transporting 12 or less persons may be operated by any individual who has not received a clearance to do so from the Public Safety Office.
      2. No van capable of transporting more than 12 individuals may be rented at any time.
   5. Driving Clearance
      Any employee who drives any vehicle owned by Saint Vincent, rents a vehicle or utilizes their own vehicle for Saint Vincent business must receive clearance from Public Safety. Please refer to Public Safety for the clearance process.
   6. Air Transportation
      1. Using air transportation
         Air transportation on any scheduled air carrier will be allowed whenever reasonable and necessary. All business travel should be by lowest available fare, which is the lowest cost air schedule within two hours of requested departure time. The best available coach fare provides adequate transportation and must be used, unless not available for the required travel schedule.
      2. Noncommercial aircraft
         Under no circumstances will an employee be authorized or permitted to use, for Saint Vincent business, aircraft which is personally owned, leased or borrowed for which the employee or Saint Vincent, in the event of such use, would assume any financial responsibility.
   7. Lodging
      1. Use of hotel/motel
         Hotel/motel charges (cost of the room plus tax where applicable) are allowed for comfortable and adequate accommodations at rates which are reasonable for the particular location. Commercial or special rates, if available ( e.g., for extended stays), should be obtained.
      2. Expenses included in lodging expenses
         All hotel-related expenses such as phone charges, internet connection, valet, and tips may be included in the cost of the lodging expenses. This would include reasonable charges for calls to home or family members. Meals and beverages should be reported separately.
   8. Other Travel Expenses
      
      1. Miscellaneous transportation expense
         Bus, taxi fares, and limousine fares are allowed when they are necessary in the conduct of Saint Vincent business.
      2. Parking and toll charges
         Parking and toll charges incurred when using autos on Saint Vincent business should be reported as OTHER TRAVEL EXPENSES.
      3. Communication expense
         Telephone, facsimile, internet/broadband services and wire charges will be reimbursed if necessitated in the conduct of Saint Vincent business.
      4. Valet and laundry service
         Valet and laundry service will be accepted as proper whenever an employee is in travel status for a week or longer, or if unforeseen circumstances occur requiring the employee to extend their original trip to another location without the ability of returning home first. If it is included in the hotel bill, it may be reported with the lodging charges. However, if it is reported separately, record under OTHER TRAVEL EXPENSES.
   9. Meals
      1. Meals in travel status
         Reasonable actual meal expenses will be allowed when employees are away from their regular place of duty. Such expense is to be shown on the Reimbursement Form as travel expenses under TRAVEL-MEALS. If expense for any one meal amounts to $10 or more, a receipt must be attached to the Reimbursement Form. If the meal expense is incurred in connection with the entertainment of a business guest or includes the payment of another person's meals, the total expense, including the employee's portion of the meal expense, should be reported under
         GROUP BUSINESS MEALS. A detailed receipt from the establishment is required to document the expenditure.
         If the meal expense is incurred while traveling away from the place of duty but NOT overnight, then the Individual Meals When Not In Overnight Travel Status Reporting Form must be completed and attached to the PNC/Expense Statement. The employee is responsible for paying the tax on these related meals. The amount claimed on the Individual Meals When Not In Overnight Travel Status Form will be added to the employee's taxable income and the related taxes will be deducted from his/her pay check.
      2. Meals at regular place of duty
         Employees will not be reimbursed for meals at their regular place of duty. Exception may be made if the employee is involved in a business meeting or is in the company of a guest on Saint Vincent related business. The total amount of an approved expense is to be reported under GROUP BUSINESS MEALS. A detailed receipt from the establishment is required to document the expenditure.
      3. Food and beverages for in-office meetings
         Snacks and refreshments (i.e., coffee and donuts) purchased for office meetings should be reported in OTHER BUSINESS EXPENSE as MEETING EXPENSE. Catered lunches or the equivalent should be reported as GROUP BUSINESS MEALS. Parkhurst charges will continue to be processed internally.

Entertainment Expenses

1. Definitions and Explanations
   The term "entertainment" includes any activity considered to constitute entertainment, amusement, or recreation, such as entertaining at restaurants, theaters, country clubs, golf and athletic clubs, sporting events, etc. Entertainment expenses must be furnished to a business associate, recruitment candidate, or potential donor and be either directly related to or associated with business activities.
   
   The specific business purpose for any entertainment expense must be listed on the Expense Statement. In addition, the business relationship of the person(s) entertained must be clearly defined.
   
   Discretion should be used in all entertainment activities and the number of Saint Vincent employees brought into the occasion should be kept to a minimum, as dictated by good business practice and judgment. Entertainment expenses will not be reimbursed if there is no outside business associate present, unless prior approval is obtained from the employee's immediate supervisor. Additionally, a Saint Vincent employee must be present at the function. A detailed receipt from the establishment is required to document the expenditures.

Other Business Expenses

1. Business meeting expenses
   Saint Vincent sponsored business meeting expenses should be broken out between meals and meeting room charges. The costs of the meeting room should be reported under OTHER BUSINESS EXPENSE as Meeting Expense. The meal costs should be shown as BUSINESS GROUP MEALS.
2. Miscellaneous
   Other Expenditures purchased for business use should be purchased through the purchasing system. In unusual circumstances where Saint Vincent' purchasing system can't be used, the expenditure can be claimed as a part of an expense statement reimbursement.
3. Cell Phones
   Any initial cell phone purchase/monthly plan for business purposes must be preapproved by a Vice President or President. An approved cell phone/plan can be acquired directly through the Saint Vincent Program with Verizon or it can be purchased on your own if desired.
   
   For phones owned by the employee, the employee is responsible for paying the monthly payment and for submitting a reimbursement form with the appropriate documentation for reimbursement.
   
   Cell phones purchased for authorized business purposes will be reimbursed for a reasonable base level phone. Any desirable cell phone accessories and/or phone enhancements are not reimbursable. The monthly base phone plan will be reimbursed at a rate of $55/month with a data plan or $40/month without a data plan. If additional calls are made for authorized business purposes above and beyond the base plan, they will be reimbursed if appropriate documentation is submitted.
4. Alcohol
   Any purchase of alcohol associated with internal St. Vincent events must follow the Saint Vincent Policy on Alcohol found in the Events and Conferencing Website.

Travel and Discounts and Awards

Employees may keep frequent flyer points and other such bonuses provided all reservations are made used the lowest "logical" airfare (using a two hour window).

Non Reimbursable Expenses

Following is a partial listing of expenses that are not reimbursable under Saint Vincent policy and are generally considered personal in nature. Representatives authorized to approve Expense Statements should eliminate expenses of this type from Expense Statements before approval and payments. The reimbursement of other items appearing on the Expense Statements will be subject to the decision of the Vice President of Finance.

1. Entertainment, as defined in Section II above, which is lavish or extravagant or for personal or social reasons.
2. Gifts to business associates for personal rather than business reasons.
3. Personal items such as clothing, luggage, toilet articles, haircuts, massages, fitness centers, shoe shines, etc.
   Note: Inclusion of such items due to stolen or lost luggage, stolen cash, or other special circumstances is acceptable only if approved by a Saint Vincent Vice President, Dean or President.
4. Child care expense.
5. Contributions or gifts for retiring employees, as well as wedding, funeral or birthday gifts for employees or members of their families. Parties for departing employees are acceptable.
6. Parking fees, monthly garage rental, and other expenses of personal autos while not being used on Saint Vincent business.
7. Mileage reimbursement for commuting to Saint Vincent from home or other personal use of autos.
8. Flight insurance and similar expenses.
9. Dues, meals, and expenses attributable to civic, service, and similar organizations in which memberships have not been authorized by Saint Vincent management.
10. Movie or video game rentals.
11. Pet care expense.