Employee Handbook

Section 10 — TRAVEL AND BUSINESS EXPENSES

Business expenses are expenses incurred in order to carry out one’s work for the benefit of the City.

AUTHORIZATION NEEDED FOR BUSINESS EXPENSES:

Formal approval is NOT required to incur Business Expenses, however, additional department policies may apply. Ideally payment is made via P-Card at the time of purchase and approved by the Department Director during the regular P-Card allocation process. The employee may also pay the expense personally and be reimbursed by submitting a Business Expense Reimbursement Form along with all receipts to his/her department Administrative Assistant/Secretary to be processed through the regular Accounts Payable process. 

MEALS FOR BUSINESS PURPOSES:

Business meals are defined as meals purchased while meeting with a business associate during a meal period to conduct official business on behalf of the City. Employees and elected officials are expected to use sound judgment and fiscal responsibility in assessing the need for business meal expenses. The employee’s meal and the meal of their business associate(s) may be allowed, excluding the cost of alcoholic beverages. Reimbursement shall be allowed for actual meal expenses incurred. When noted, tips are allowed up to the industry standard of, but not to exceed, 20% of the meal cost. An itemized food receipt must be submitted along with the payment receipt and must note the following:

·          Date of the meal

·          Name and business affiliation of all attendees

·          Nature of the business conducted

Receipts are to be submitted as follows:

• Paid by P-Card- retain all receipts and submit during the regular P-Card Allocation process. See the Procurement Card Policy for complete details.

• Paid by the Employee - retain all receipts and submit along with the Post Travel Expense Report Form to the department Administrative Assistant/Secretary within 30 days of the event. Reimbursement will be paid through the regular Accounts Payable process.

• Missing receipts - complete and submit a Receipt Replacement Form for each purchase for which you do not have a valid receipt. This is not intended to replace the need to retain the original receipts but rather to be used in the rare event an original was not provided or cannot be found.

In general, employees should not use their budgets to entertain or pay for meals of other City employees. Exceptions must be approved, in advance, by the City Manager.

MEETING EXPENSES:

No food or refreshments should be purchased, using City funds, for meetings of City staff or internal training activities unless the activity falls under one of the following categories:

·          Breakfast Team Meetings

·          City sponsored activity, event, or program where food is part of the event

·          Employee or staff meetings where work or training needs to be conducted over a meal period

·          Employee and Volunteer Recognition events

·          Job recruitment events

·          Formal/Posted meetings, involving elected or appointed officials, scheduled during a meal period

·          Served to the public at large as a part of a scheduled city program

·          Quarterly Employee Breakfasts

The City Manager may approve expenditures for other food purchases as deemed appropriate. The qualifying event should be noted on the food/drink receipt and Business Expense Reimbursement Form.

OTHER BUSINESS EXPENSES:

Employee recognition expenses are only allowable for established recognition programs. Gifts are not allowable. See Section 3.4 Employee Recognition.

The purchase of greeting cards (i.e. sympathy, get well, birthday, holiday) are not an allowable City Expense.

PAYMENT OPTIONS FOR BUSINESS EXPENSES:

The following are options for paying Business Expenses.

Prepay - prepaid expenses such as conference registrations may be paid directly to the vendor through the City’s regular Accounts Payable process by submitting invoices to your department Administrative Assistant/Secretary.

P-Card - employees that have been issued a City P-Card are encouraged to use their card to pay for all expenses such as conference registration fees, business meals and other allowable expenses.

If an employee does not have a purchasing card, a department representative, such as a supervisor or administrative assistant that has been issued a card, may make arrangements, such as conference registration, on behalf of the traveling employee once the travel has been fully approved. The cardholder is responsible for submitting related receipts during the regular P-Card allocation process.

Cardholders are NOT allowed to give their P-Card or card number to another individual for business use.

Paid by the employee - retain and submit receipts along with the Business Expense Reimbursement Form to the department Administrative Assistant/Secretary within 30 days of the event. Reimbursement will be paid through the regular Accounts Payable process.

P-CARD USE FOR BUSINESS EXPENSES:

P-Card use is encouraged for all Business Expenses. See the Procurement Card Policy for complete details.

PER DIEM FOR BUSINESS EXPENSES:

No Per Diem is paid as part of Business Expenses.

PROHIBITED BUSINESS EXPENSES:

Prohibited expenses include, but are not limited to, the following:

·          Alcoholic beverages

·          Beverages and snacks

·          Entertainment and recreation expenses

·          Expenses for spouses, companions or family members

·          Gifts

·          Golf outings, fitness events or other recreational activities

·          Guests to conference related special events such as banquets

·          Personal itemsItems of clothing, jewelry, mementos, personal papers, awards, photographs, and other similar items owned by the employee. including personal grooming items

RECEIPT RETENTION FOR BUSINESS EXPENSES:

Receipts are required for all Business Expenses. Meal purchases require an itemized food receipt showing no Alcohol was purchased in addition to the payment receipt.

• Paid by P-Card- retain all receipts and submit during the regular P-Card Allocation process. See the Procurement Card Policy for complete details.

• Paid by the Employee - retain all receipts and submit along with the Business Expense Reimbursement Form to the department Administrative Assistant/Secretary within 30 days of the event. Reimbursement will be paid through the regular Accounts Payable process.

• Missing receipts - complete and submit a Receipt Replacement Form for each purchase for which you do not have a valid receipt. This is not intended to replace the need to retain the original receipts but rather to be used in the rare event an original was not provided or cannot be found.

REPORTING REQUIREMENTS OF BUSINESS EXPENSES:

Reporting of Business Expenses will depend on how the original expenses were paid.

• Paid by P-Card- retain all receipts and submit during the regular P-Card Allocation process. See the Procurement Card Policy for complete details.  

• If a City P-Card is inadvertently used for a non-city-related transaction, please the complete the Reimbursement to the City Form and submit to the Finance Department along with the funds being reimbursed.

• Paid by the Employee - retain all receipts and submit along with the Business Expense Reimbursement Form to the department Administrative Assistant/Secretary within 30 days of the event. Reimbursement will be paid through the regular Accounts Payable process.

• Missing receipts - complete and submit a Receipt Replacement Form for each purchase for which you do not have a valid receipt. This is not intended to replace the need to retain the original receipts but rather to be used in the rare event an original was not provided or cannot be found.

TRANSPORTATION FOR BUSINESS MEETINGS:

Official city vehicles

Commuting - Commuting to and from work in a City vehicle is generally prohibited with the exception of public safety vehicles (as defined by the IRS) that may be used to respond to emergencies from the employee’s residence. Use of other City vehicles for commuting is prohibited unless specifically authorized by the City Manager, with notice given to Human Resources and Finance (Payroll) to ensure the proper recording of this taxable benefit in accordance with IRS regulations.  

Accident in City Vehicle - the driver of the City vehicle which is involved in an accident on a public right-of-way resulting in injury, death, or damage to persons or property shall immediately, by the quickest means of communication, contact:

·          Local authorities, as required

·          His/Her supervisor

·          The Finance Department at (515) 222-3600

Complete a Vehicle Damage Claim Report which is available through your department.

Personal Vehicle - employees may use their Personal Vehicle for business travel if use of a City vehicle is not feasible. Employees using a Personal Vehicle for business purposes will be reimbursed based on miles traveled using the most direct route. Reimbursement will be at the allowable rate established by the IRS which takes into consideration all automobile expenses such as fuel, depreciation, repair costs, insurance, etc. This rate is re-evaluated periodically and is communicated to all departments by the Finance Department. To receive reimbursement, the employee must submit to his/her department Administrative Assistant/Secretary a Business Expense Reimbursement Form documenting the origination, destination, business purpose, and total number of miles per trip. If the employee is seeking reimbursement on a monthly basis, miles should be documented on a Mileage Log. Reimbursement will be paid through the regular Accounts Payable process.

Insurance - when a Personal Vehicle is used on City business the employee must have adequate liability insurance coverage as required by State of Iowa Code Section 321A.21 and must be willing/able to provide evidence of adequate coverage upon request.

Accident in Personal Vehicle - the driver of the vehicle which is involved in an accident on a public right-of-way resulting in injury, death, or damage to persons or property shall immediately, by the quickest means of communication, contact:

·          Local authorities, as required

·          His/Her personal insurance company

·          His/Her supervisor

·          The Finance Department at (515) 222-3600

Auto Allowance - if an employee receives an auto allowance as part of their employment the employee is not eligible for a mileage reimbursement for the business use of their Personal Vehicle.

Miscellaneous auto-related expenses - toll road charges and parking garage/meter charges are allowable expenses when the date, location and business purpose is documented. These charges may be paid by P-Card or reimbursed to the employee through the regular Accounts Payable process by submitting a Business Expense Reimbursement Form and supporting receipts or Receipt Replacement Form if original is unavailable.

See also Section 8.4, Operating Motor Vehicles (City-owned / Leased and Personal).

WAGES WHILE ATTENDING BUSINESS MEETINGS:

Time spent at conferences and training is not considered to be hours worked for Non-Exempt A job subject to the provisions of the Fair Labor Standards Act (FLSA) with respect to minimum wages and overtime. Also known as an hourly position. employees if all of the following are met:

·         Attendance is outside the employee’s normal work hours;

·        Attendance is voluntary;

·         The lecture or training is not directly related to the employee’s job; and,

·         The employee does not perform productive work while attending the lecture or participating in the training program.

Time spent at conferences and training will be considered to be hours worked for Non-Exempt A job subject to the provisions of the Fair Labor Standards Act (FLSA) with respect to minimum wages and overtime. Also known as an hourly position. employees when any of the following are met:

·          Attendance is part of the employee’s normal work hours

·          Attendance is not voluntary

·          The training is directly related to the employee’s job

·          The employee is performing productive work while attending the lecture or participating in the training program.

Time spent when training is provided by an independent school or college is not considered to be hours worked for Non-Exempt A job subject to the provisions of the Fair Labor Standards Act (FLSA) with respect to minimum wages and overtime. Also known as an hourly position. employees if all of the following are met:

·          Attendance is voluntary;

·          Attendance occurs outside regular work hours; and,

·          The employee does not perform productive work in connection with the course.

For Non-Exempt A job subject to the provisions of the Fair Labor Standards Act (FLSA) with respect to minimum wages and overtime. Also known as an hourly position. (hourly) employees: Continuing education courses required by the state to obtain or keep professional certifications (e.g. Paramedic, Police Officer Firearms Training, etc.) will not be considered hours worked and will only be paid if authorized by the Department Director prior to attendance of the training.

WAGES WHILE TRAVELING TO BUSINESS MEETINGS:

Employees in positions considered Non-Exempt A job subject to the provisions of the Fair Labor Standards Act (FLSA) with respect to minimum wages and overtime. Also known as an hourly position. may be eligible for compensation for the time they spend traveling. The compensation an employee receives depends upon the kind of travel and whether the travel time takes place within normal work hours or outside of normal work hours.

“Normal work hours”, for the purposes of this policy, are defined as 8:00 a.m. to 5:00 p.m. This definition applies to normal work days (Monday through Friday) and to weekends (Saturday and Sunday).  Employees not working “normal work hours” (ex: third shift) will convert to this schedule while traveling on City business to ensure appropriate and consistent payment.

Travel Time, More than One Day, Within Normal Work Hours

Any portion of authorized travel time that takes place within normal work hours (defined as 8:00 a.m. to 5:00 p.m.) on any day of the week, including Saturday and Sunday, is treated as “work hours”.

When an employee travels between two or more time zones, the time zone associated with the point of departure should be used to determine whether the travel falls within normal work hours.

Travel Time, More than One Day, Outside of Normal Work Hours

Any portion of authorized travel time (with the exception of driving time) that takes place outside of normal work hours is considered to be “outside travel hours”.

When a Non-Exempt A job subject to the provisions of the Fair Labor Standards Act (FLSA) with respect to minimum wages and overtime. Also known as an hourly position. employee is required to travel as a passenger in an automobile, plane, or any other mode of transportation outside of normal work hours, he/she will not be compensated for that portion of travel time that takes place outside of normal work hours.  

When an employee travels between two or more time zones, the time zone associated with the point of departure should be used to determine whether the travel falls outside of normal work hours.

Travel Time as the Driver of an Automobile

All authorized travel time spent driving an automobile (as the driver, not as a passenger) is treated as “hours worked”, regardless of whether the travel takes place within normal work hours or outside of normal work hours.  

Travel as a passenger in an automobile is not automatically treated as “work hours”. Travel as a passenger in an automobile is treated the same as all other forms of travel and compensation depends upon whether the travel time takes place within normal work hours or outside of normal work hours.

If an employee drives a car as a matter of personal preference when an authorized flight or other travel mode is available, and the travel time by car would exceed that of the Authorized Mode, only the estimated travel time associated with the Authorized Mode The mode or means of transportation that is most economical, with reasonable consideration given to the time and distance involved. will be eligible for compensation.

Calculating and Reporting Travel Time

Employees are responsible for accurately tracking, calculating and reporting travel time on their time sheets in accordance with this policy.

Meal periods should be deducted from all travel time.

If an employee requests a specific travel itinerary or mode that is different than the one authorized, only the estimated travel time associated with the schedule, route and mode of transportation authorized should be reported on the time sheet.

Travel time should be calculated by rounding up to the nearest quarter hour (See Section 5.7, Payroll Information).