UNIVERSITY OF CENTRAL MISSOURI

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UNIVERSITY OF CENTRAL MISSOURI

• TRAVEL GUIDELINES TRAINING
• New UCM Guidelines Effective July 1, 2007

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Why Change Our Travel Guidelines?

• Improve Convenience and Service to UCM Faculty
  and Staff.
• Last update to the Travel Guidelines was June,
  2000.
• UCM Internal Audit Report to BOG (See Attachment
  A).
• State Auditors Audit (See Attachment A).
• Internal Revenue Service Audit.
• Increase accountability of University financial
  resources.

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Travel Task Force Mission

• To enhance the Universitys travel policy.
• Develop recommendations and procedures for
  implementation of a Travel Card apart from the
  Universitys Procurement Card.
• Maintain Internal Controls and accountability of
  the travel program in order to comply with IRS
  and State guidelines.

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UCMTravel Task ForceUniversity Travel Segments

• Individual Faculty or Staff Travel.
• Athletics and Academic Team Travel.
• International Travel.
• Entertainment (Business Hospitality)

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UCMTRAVEL TASK FORCE MEMBERSSponsor - Dr. Betty
Roberts

• Teresa Fine Alewel Director of Career Services
• Terry Bond Accounts Payable Manager
• Larry Creel IS - Technical Project Manager
• Jerry Hughes Athletic Director
• Michael Lucas Director of Internal Audit
• John Merrigan University Controller
• Delilah Nichols Presidential Administrative
  Assistant
• Jack Rogers Director of Forensics, Faculty
  Senate
• Joy Stevenson Director of International
  Programs
• Jenne Vanderbout Director Alumni Relations
• Joseph Vaughn Department Chair, Criminal
  Justice
• William Ward Director of Procurement

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Travel Task ForceUniversities Benchmarked

• Cornell University (Ivy League)
• Emporia State University (MIAA)
• Northwest Missouri State University (MIAA)
• Oregon University (Pac 10)
• Penn State University (Big 10)
• Pittsburg State University (MIAA)
• Purdue University (Big 10)
• Truman State University (MIAA)
• University of Kansas (Big 12)
• University of Missouri (Big 12)
• University of Northern Iowa (Gateway)
• University of Pennsylvania (Ivy League)

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UCM Travel Task ForceTravel Components

• Lodging
• Meals
• Transportation (Airfare, Car Rental etc.)
• Mileage Reimbursement
• Pre-Authorization
• Cash Advances
• Travel Card

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UCM Travel Guidelines

• LODGING

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UCM Travel GuidelinesLodging

• Travel Task Force Considerations
• Safety of our employees.
• Benchmark data research.
• Federal GSA rates.
• Auditors recommendation of Capped lodging
  amount per day.
• IRS regulations requiring receipts for lodging
  expenditures.

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UCM Travel GuidelinesLodging

• Prior UCM Travel Guidelines
• Prior UCM Travel Policy reimbursed lodging
  expenditures at the actual amount.
• The policy further states that UCM employees
  should seek lodging rates that are reasonable
  using the GSA guidelines as a definition of
  reasonable rates.
• Itemized receipts must be submitted for lodging.
  IRS considers any reimbursement as taxable
  compensation if not supported with business
  receipts.
• New UCM Travel Guidelines
• UCM will retain the current policy of reimbursing
  lodging expenses at the actual amount. Policy
  recommends that employees ensure lodging rates
  are reasonable and use GSA rates as a guide. Per
  IRS guidelines, lodging receipts must be
  submitted to document overnight travel as a true
  business expense.

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UCM Travel Guidelines

• MEALS

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UCM Travel Guidelines

• There are four types of meal reimbursments
• Overnight Travel Meals.
• Same Day Travel Meals.
• International Meals.
• Business Hospitality Meals.
• Five Considerations in Decision Making
• Whats best for our employees and University.
• Benchmarking of other Universities.
• IRS Regulations.
• State Regulations.
• Auditors Recommendations.

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UCM Travel GuidelinesMeals for Overnight Travel

• Prior UCM Travel Guidelines UCM reimburses
  meals at their actual cost with receipts
  required for meals greater than 25.
• New UCM Travel Guidelines
• Reimbursement based on lower of actual costs or
  capped amount of 50 per day as follows except
  for the below mentioned high cost cities
• Regular
  Cap High Cost Cities
• Breakfast 10 14
• Lunch 15 20
• Dinner 25 30
• Total Per Day 50 64
• GSA identified high cost cities are Aspen CO,
  Boston, Chicago, Los Angeles, Minneapolis, New
  Haven, Newport RI, New York City, Philadelphia,
  San Diego, San Francisco, Seattle, Vail, CO, and
  Washington D.C.
• No receipts will be required to be submitted for
  meals.
• Exceptions to the above capped amounts for
  University sponsored events, meetings with donors
  etc will be granted as shown on slide 16.
• International meals will be reimbursed at actual
  cost.

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UCM Travel Guidelines Same Day Travel

• Prior UCM Travel Guidelines Currently the UCM
  travel policy requires an employee to be out of
  town on University business for 12 hours prior to
  being eligible for reimbursement of a meal within
  the same day.
• New UCM Travel Guidelines
• If a UCM employee is out of town on University
  business for six hours or more, the employee is
  eligible to be reimbursed for one meal at the
  actual expense up to a capped amount of 15.

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UCM Travel GuidelinesInternational Travel

• Prior UCM Travel Guidelines
• Meals for international travel are reimbursed at
  their actual cost.
• New UCM Travel Guidelines
• Meals for international travel are reimbursed at
  their actual cost. Since there are no limits on
  international meal expenses, receipts are
  required.

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UCM Travel GuidelinesBusiness Hospitality Meals

• Business Hospitality meals are reimbursed at
  actual cost.
• Business Hospitality Meals are defined as
• Meals with university guests, consultants, or
  candidates, with university business being
  discussed.
• Meals that are incurred as part of a seminar,
  conference, or required meeting that is presented
  by the University.
• A restaurant or catering receipt with the
  following supporting documentation to prove the
  business hospitality meal is a true business
  expense is required before reimbursement can
  occur
• Date of the meal. Name and location of
  the restaurant.
• Meal Amount. Business purpose of the
  meal.
• of people served. Identities of
  guests.

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UCM Travel Guidelines

• TRANSPORTATION

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UCM Travel GuidelinesAir Transportation

• Prior UCM Travel Guidelines
• UCM travel policy states for out-of-state
  travel, commercial airlines is the preferred mode
  of travel. Cost comparison between personal
  mileage and airline travel is to be performed and
  submitted with the employees travel voucher when
  personal car mileage is used in lieu of airline
  travel.
• New UCM Travel Guidelines
• For out of state travel, commercial airlines is
  the preferred mode of travel if it is more
  economical for the University. However, no cost
  comparison needs to be submitted with the
  employees travel voucher.

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UCM Travel GuidelinesMileage Reimbursement

• Prior UCM Travel Guidelines
• State of Missouri rate which currently is 41 ½
  cents per mile (2 cents below IRS rate).
• New UCM Travel Guidelines
• The Internal Revenue Service (IRS) rate is
  currently at 48 ½ cents per mile.

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UCM Travel GuidelinesCar Rental

• Prior UCM Travel Guidelines
• Recommended employees use Enterprise Car Rental.
• New UCM Travel Guidelines
• Enterprise is the Universitys preferred car
  rental agency and whenever practical should be
  used. When Enterprise car rental services are
  not available, employees may use a car rental
  agency other than Enterprise such as Avis,
  Budget, Hertz etc.
• Gasoline purchases can be charged to the Travel
  Card.

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UCM Travel GuidelinesTravel Pre-Authorization

• Prior UCM Travel Guidelines
• No formal travel pre-authorization form was
  required to be submitted with a travel expense
  voucher rather the policy suggested the employee
  obtain pre-authorization from cost center
  administrator.
• New UCM Travel Guidelines
• All overnight travel will require a UCM Travel
  Pre-Authorization form to be completed by the
  employee and authorized by the employees
  supervisor prior to the trip being taken.
• After the trip is completed, the UCM
  Pre-Authorization form must be submitted to
  Accounts Payable with the employees travel
  voucher, and receipts to receive reimbursement.

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UCM Travel GuidelinesCash Advances

• Prior UCM Travel Guidelines
• Under special circumstances and within
  established restrictions, the University may make
  advances to individuals for certain travel
  expenses primarily group/team travel.
• New UCM Travel Guidelines
• University travelers are encouraged to use their
  UCM Travel Card, however, Athletic and Academic
  teams will continue to have a need for cash
  advances in certain circumstances. See UCM
  Travel Guidelines posted on the Accounts Payable
  web-site for Cash Advance procedures.

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UCM Travel GuidelinesAlcoholic Beverages

• The purchase of alcoholic beverages is
  non-reimbursable by the University.

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UCM Travel Guidelines

• TRAVEL CARD PROGRAM

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UCM Travel GuidelinesTravel Cards

• Travel Task Force Considerations
• Research found 11 of 12 Benchmarked
  Universities have a Travel Card Program.
• State, IRS, and Internal Audit Recommendations.
  Reduce limits and of merchant codes on
  Procurement Cards.
• Potential vendors include VISA, MasterCard,
  American Express, and Diners Club.
• Personal Liability versus University
  Liability Travel Cards.

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UCM Travel GuidelinesTravel Cards

• The UCM Travel Card will be separate and
  distinct from the Procurement Card.
• Travel Card expenditures will be charged directly
  to the University. (Not a personal liability
  card).
• A UCM Travel Card will be issue to those
  employees that incur 1,000 or more travel
  annually.
• Accounts Payable will pay the cumulative
  University Travel Cards expenditures in one
  payment to the credit card vendor.
• At the end of each month, employees who have a
  University Travel Card are required to submit a
  University Travel Card Voucher with the
  appropriate receipts to Accounts Payable (per
  University Travel Guidelines).
• Only travel related merchant codes will be open
  on the Travel Card (i.e. airline, lodging, rental
  cars, restaurants, etc)

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UCM Travel GuidelinesTravel / Procurement Cards

• The University will continue to have the
  procurement card program, however, it will be for
  non-travel related expenditures.
• There will be a transition period from July 1
  thru September 30 whereby travel expenditures
  will be allowed on the procurement card to allow
  everyone time to obtain and be comfortable with
  the travel card.
• The transaction limits on the procurement cards
  may need to be reduced from their current limits
  since travel will no longer be allowed to be
  charged to these cards. If you use your P-Card
  for travel only, please turn in your P-Card upon
  receipt of your Travel Card.
• The procurement card program will be managed by
  Bill Ward, UCM Procurement Director.

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Purchasing Card Program

• What are the major changes to the purchasing card
  system?
• Will we be reissued new cards?
• What about my current dollar spending threshold.
• Who will we contact for purchasing card related
  support?

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What are the major changes to the purchasing card
system?

• Terms and terminologies
• Executive Officers
• Department Heads
• Department Liaisons
• Cardholders
• Transition to on line departmental updating in
  the Banner System.

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Will we be reissued new cards and spending
thresholds?

• NO! Your cards will remain in tact and so will
  your spending limits unless adjusted by your
  Department Head.

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Who will we contact for purchasing card related
support?

• On July 1, 2007 Procurement will be the point of
  contact for all purchasing card activities unless
  you are dealing with a direct Banner issue.
• All application forms, purchasing card
  distribution/collection, limit approvals,
  training, and other purchasing card
  administrative support.

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Cardholder Departmental Penalties

• Department Liaison reports infraction
• Single abuse Warning Letter
• Second occurrence Suspended card use minimum 3
  billing cycles (90 days)
• Third occurrence card canceled one year.
• Department Head may recommend permanent
  suspension if incident is severe.

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Cardholder Departmental Penalties

• Purchasing Card Summary not forwarded by the 10th
  of the month twice in one Fiscal Year
  Departmental Warning Letter
• Repeated Cardholder or departmental abuse -
  Departmental Warning Letter
• If severe enough may be turned over to the
  Internal Auditor for investigation.

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UCM

• End of Presentation