Accounts Payable

Guidelines for Allowable Expenses

These guidelines apply to University funds used to purchase food, beverages or other goods or services for students, University guests and employees who are not in travel status.

View the Chart of Expenditures with the allowable source of funds, payment types, and approval level; and any additional requirements or stipulations.

The guidelines apply to both appropriated and non-appropriated University funds. Exceptions to these guidelines must be approved by the appropriate Vice Chancellor. Foundation expenditures are subject to separate Foundation rules. Expenditures with a PCard must be in compliance with Purchasing's Policies and Procedures. 

A. The use of University funds for the purchase of alcoholic beverages is generally prohibited except under certain circumstances. Refer to the official policy.

B. Meals and Refreshments in the Local Area

• Meals and Refreshments for Employees and Guests - Policy permits the purchase of meals and refreshments for University employees for legitimate University business meetings when at least one University guest is in attendance. The payment voucher must list the attendees and the purpose of the meeting, and be approved by the appropriate Vice Chancellor. Meals and refreshments for interviewees, guest speakers, workshop conductors, government agency and industry representatives, etc. are permitted.
• Meals and Refreshments for a Group Consisting Solely of University Employees - Meals are permitted by University policy on an exception basis whenever University business cannot be accomplished in any other way. The payment voucher requires a statement of justification for the expense, the list of attendees, and Vice Chancellor’s approval.
  • Off-Campus Retreats
    • All retreats, including related meals and refreshments, must be approved by the appropriate Vice Chancellor or appointed delegate.
    • Retreat participants may obtain meal(s) at locations other than the immediate site of the retreat if the cost of the meal would be less than the cost at the retreat site.
    • Overnight accommodations are permitted only on an exception basis with approval by the Vice Chancellor.
  • In House Meetings/Retreats
    • Meals and refreshments are not permitted with routine staff meetings.
    • See Policy 5E2 for details.

C. Receptions – Both On and Off Campus (Includes retirement parties, employee recognition events, holiday receptions, groundbreaking ceremonies, etc.)

• Campus-wide events are permitted under current practice – events officially sanctioned and open to the entire University community. Examples include the Chancellor’s State of the University Address, the University holiday reception, groundbreaking and building dedications, and the University Service Award Ceremony.
• Other events are permitted for recognition of employees or other appropriate business purposes. Meals and refreshments served at these events are subject to approval by the Vice Chancellor. Other expenses such as plaques, awards and gifts are not permitted – see section D. below.
• For retirement parties, the limit for refreshments is $175, based on MUC Catering costs to serve about 50 people. However, if more than 50 people are expected to attend (e.g., retirement receptions for employees with long tenure or in positions that work with many other people), the limit is $275. If the event is held outside of the MUC, there is an “out of building” charge that may apply. This charge may be excluded from the above limits. Please note that these limits apply to refreshments only – University funds may not be used for retirement gifts, plaques, decorations or flowers. The limits are subject to change by the Vice-Chancellor of Administration.
• Events not permitted include going-away parties and department parties.

Current practice permits payment for the following:

• Meals for student groups in training such as the University Housing Resident Assistants, Cougar Guides, etc.
• Food for student-sponsored activities; e.g., paid from student fee accounts such as Student Programming or Campus Housing Activity Fee (CHAF).
• Meals and snacks for Head Start or similar program participants, as covered by the grant.
• Meal allowances for athletes are under separate guidelines.

Payment for students’ personal meals is not permitted unless they are participants in approved functions outline above.

E. Purchases Other than Meals and Refreshments

• University policy prohibits the use of appropriated or non-appropriated funds for:
  • Gifts—e.g., retirement, holiday, birthday, Administrative Professionals Day.
  • Plaques and Awards—e.g., faculty/staff performance, service anniversary.
  • Greeting cards—e.g., holidays, get-well, sympathy.
  • Flowers—e.g., funeral – See Policy 5D3.
  • Decorations other than seasonal decorations in public reception areas of the offices of Deans, Directors and above.
  • Items for personal use—e.g., microwaves, radios, coffeepots, coffee, refrigerators, etc.
• Exceptions permitted include University-sanctioned programs, such as:
  • University-wide service award gift program and reception.
  • University-wide retiree reception.
  • University-wide holiday reception.
  • University-wide Employee of the Month program.
  • Flowers for funerals from the Chancellor’s Office – See Policy 5D3. 

Guidelines for Expenditures (Chart) [pdf] 

Revised:  February 19, 2020