7-2.2.1.2 Use of State Funds for Entertainment, Public Relations, University Promotion and Recruitment

  1. Whenever an expenditure of university funds is made as a gift or gratuity, it is an improper expenditure.
  1. Generally, state and local funds shall not be used for entertainment, promotional activities, meals or light refreshments.
  1. A CWU employee cannot host a prospective employee and expect the university to reimburse him or her from state funds. However, “necessary travel expenses” of prospective employees being considered for “academic positions above the rank of instructor or professional or administrative employees in supervisory positions” may be paid from state funds, as an inducement to such applicants to travel to a place to be interviewed. Even then, such travel expenses can be paid only at the rates prescribed by OFM for state employees.
  1. A CWU employee cannot invite a professional organization, industrial concern, band, superintendent, etc., here and expect the university to pay for any part of the expenses. However, expenditure of public funds for meals and/or lodging is proper when the expenditures are part of contracted compensation provided for in a contract between the university and the individual. In this case, expenses for meals or lodging are not regarded as a gratuity or gift. Normally, the “contract” provides only per diem according to university and state regulations.
  1. The university cannot pay for meals and/or lodging expenses for employees of other state agencies who are being reimbursed for per diem and travel expenses by their respective agencies.
  1. Subject to programmatic and fund approval by the principal budget administrator (PBA), payment for light refreshments during university-sponsored meetings, projects, or formal training sessions may be authorized subject to the following conditions:
  1. The purpose of the meeting is to conduct CWU business or to provide formal training that benefits CWU.
  1. Light refreshments may be served and paid for with general operating funds only for special occasions as determined by a principal budget administrator. Please note that this authority is not intended for use with the normal daily business of employees or officials, but rather for special situations or occasions, as determined by the agency head or authorized designee. Allowable actives are, for example:
  1. Facility dedication ceremonies
  2. Employee recognition ceremonies (subject to provisions of RCW 41.60.150)1
  3. Inter-institutional meetings
  4. Board of trustees meetings
  5. Board of visitors and advisory boards.
  1. The cost of light refreshments may not be paid from general operating funds for the following activities:
  1. Normal daily business of university employees
  2. Staff meetings
  3. Anniversaries of organizational units
  4. Anniversaries of individual employment
  5. Elections
  6. Receptions for new, existing, or retiring employees.
  1. Light refreshments include non-alcoholic beverages and edible items commonly served between meals, but not intended to substitute for meals, (e.g., coffee, soft drinks doughnuts, sweet rolls, fruit, etc.).
  1. In order to meet state reporting requirements, a memorandum of approval for the payment for light refreshments signed by a principal budget administrator in advance of the event must include the amount to be spent, the purpose of the event, and the estimated number of people attending the event.
  1. The university may pay for the purchase of non-alcoholic beverages and other light refreshments for the exclusive consumption of uncompensated volunteer committees or groups who work on university projects, provided that:
  1. the area administrator formally approves in writing the need for the activity;
  2. the activity is held in a locality other than the “official workstation” of the majority of the volunteers; and,
  3. the majority of attendees at the activity are volunteers. (See Office of Financial Management Memorandum dated March 12, 1986.)
  1. Expenditures for light meals and refreshments are limited to 50% of the current State of Washington lunch per diem rate (for the locale of the event) times the estimated attendance. Ancillary costs such as room rentals, set up and clearing, if separately itemized, are not included in the calculation.
  1. Private sources of funds (e.g., restricted gifts to the university, or foundation funds – Fund 000) can be used for entertainment and promotional activities. Trust and Agency funds (Fund 840) can be used for purchases of non-travel related light refreshments, meals, and food.
  1. In cases when there is doubt as to the propriety of an expenditure, administrators and staff may seek assistance from the business office, their principal budget administrator, or the assistant attorney general for the university.
  1. Grant Funds (Fund 145) - an authorized signature from the Grants Office indicates that the food, light refreshment, or meals expenditure is allowable under the grant rules. Once the determination is made that the expense is allowable, grant purchases are subject to the same policy and procedures as state funds; however, there are times when a grant specifically authorizes the purchase of food, meals, or light refreshments that would not be allowed with general operating funds. In that case, the Grants Office will attach documentation that shows the special grant circumstances that allow the purchase.
  1. Student Activity Funds - S & A fees are for the purpose of supporting student activities. The ASB presents its budget to the Board of Trustees for approval. Since “student activities” are not defined in statute, they are covered in a document entitled the “Killian Outline on the Use of Student Activity Funds.”

Generally speaking, refreshment may be served as incidentals of approved student programs such as graduation ceremonies, scholarship convocations, student activity or club meetings, student awards, student work sessions, etc.) Activities funded by S & A fees are subject to the applicable policies, regulations, and procedures of the university and the Budget and Accounting Act, chapter 43.88.

  1. The Internal Audit Website has information and guidelines for making purchases in compliance with state and university regulations and maintaining adequate documentation to support these purchases.
  1. Polices for Provision Of Meals At Meetings Or Formal Training Sessions – Subject to programmatic and funding approval by the PBA, the reimbursement of meals for CWU employees (and others whom the university is legally authorized to reimburse) at meetings or formal training sessions may be authorized without regard to the participant's travel status or the three-hour rule, subject to the following conditions:
  1. The purpose of the meeting is to conduct official CWU business or to provide formal training to CWU employees.
  1. The meal period is scheduled as an integral part of the meeting or formal training session. Please note that this authority is not intended for use with the normal daily business of employees or officials, but rather for special situations or occasions, as determined by the agency head or authorized designee. Examples of allowable events/situations include:
  1. Prospective employee interviews;
  1. Guest speakers (as allowed by their contracts with CWU);
  1. Mealtime meetings or formal training sessions that are scheduled or part of a formal agenda.
  1. Written approval from a division-level PBA at least one day in advance of the meeting or training session for the expenditure of funds for meals has been provided. The approval memo must include employee names and ID numbers, and/or the organization name, and the intended accomplishments of the meeting.
  1. Total reimbursement is limited to the applicable per diem meal limits displayed in the state schedule (see travel website).
  1. Policies For Food Purchased As A Supply Or For Resale – Certain university activities require the purchase of food that is not subject to state meals and light refreshments policies. For example, a designated state-funded lab or research project may purchase food as an instructional or research supply. Or, a specific self-support program may purchase food for resale or for a fundraiser.

1 RCW 41.60.150 allows recognition awards for outstanding achievements, safety performance, and longevity. Expenditures for light refreshments may be made as part of the award. The total amount for the award, including light refreshments may not exceed $200 per award.