412–Employee Expense Reimbursemment

POLICY:  412

ADOPTED:  March 28, 2006

Revised:  December, 2002, June, 2003, March 2007

      412      EMPLOYEE EXPENSE REIMBURSEMENT

I. PURPOSE

The purpose of this policy is to identify NWSC business expenses that involve initial payment by an employee and qualify for reimbursement from NWSC and to specify the manner by which the employee seeks reimbursement.

II. AUTHORIZATION

All NWSC business expenses to be reimbursed must be approved by the Executive Director.  Such expenses to be reimbursed may include transportation, meals, lodging, registration fees, required materials, parking fees and other reasonable and necessary Service Cooperative business-related expenses.  All “out of state” travel by NWSC Board Members and the Executive Director that requires an overnight stay must be approved by the NWSC Board.  All “out of state” travel by NWSC staff that requires an overnight stay must be approved by the Executive Director.

III. REIMBURSEMENT

(1) Business Expenses: Requests for reimbursement must be itemized on an official NWSC form and are to be submitted to the Executive Director.  Receipts for lodging, commercial transportation, registration and other reasonable and necessary expenses must be attached to the reimbursement form.  Employees shall provide such other information regarding expenses as may be requested by the Executive Director.

(2) Mileage: Company vehicles will be assigned when available. Please refer to Policy No. 411.  If an employee chooses to use a personal vehicle for business purposes when a company vehicle is available, the employee will be reimbursed at a rate of ½ the effective NWSC rate.   If no company vehicle is available, the employee should seek pre-approval of personal vehicle use, with full IRS rate reimbursement, from the Executive Director or designee.  Automobile travel shall be reimbursed at the mileage rate set within this policy by the NWSC Board. Currently, the effective IRS allowable rate will be followed. Normally, no mileage claim from home to office or from home to first assignment will be honored.

Commercial Transportation: Commercial transportation shall reflect economy fares and shall be reimbursed only for actual cost of the trip submitted with verification of travel purpose, pre-approval and complete receipts attached to the claim.

(3) Overnight Lodging: No employees will be reimbursed for any lodging expenses in the city of Thief River Falls. Out of area lodging arrangements must conform to normal procedures as outlined by the Executive Director.

(4) Meal Reimbursement: Upon sufficient claim, employees of the NWSC will be reimbursed for meal expenses incurred while performing duties related to their jobs subject to the following circumstances;

• Receipts will be required for up to $30/day meal reimbursement within the state of Minnesota and a maximum of $45/day for out of state travel. Documentation of business purpose is required.
• Same day, without overnight travel, business meals will not be approved unless business meeting/purpose documentation is attached to clearly verify that said meal was part of a business meeting requiring employee/client attendance.
• Breakfast reimbursement will not be authorized unless occasioned with overnight travel.
• Prior approval for all out-of-state travel must be obtained from the Executive Director before any meal or other expense reimbursement is considered.  Reference:  NWSC Board action 6/5/01.

(5) Reimbursement for Prescription Safety Lenses: Employees who make a request and receive approval by the Executive Director may receive reimbursement for their prescription safety lenses.  Approval for reimbursement must be received prior to the purchase.  The NW Service Cooperative may designate a vendor(s) where the employees can receive the appropriate prescription lenses.  The employee may choose to purchase the lenses anywhere as long as the lenses meet commonly accepted safety standards.  Reimbursement will be for lenses and frames only up to the following limits:

• Single Vision              $30.00
• Bifocals                      $35.00
• Trifocals                     $40.00

Refer to the Employee Procedure Manual for any additional information.

Instances where safety glass frames, lenses, etc. are broken while conducting working duties, replacement/repair costs will be provided by NW Service Cooperative.  This will also require the approval of the Executive Director.

(6) Out of Town Employees: In the event an employee lives out of the city of the agency headquarters, to the extent that the employee does not report to the headquarter facility and drives directly to a job assignment, a daily travel verification form should clearly indicate where the employee is traveling to and from the job assignments.

IV. ESTABLISHMENT OF DIRECTIVES AND GUIDELINES

The Executive Director shall develop a handbook of Personnel Procedures that clearly provides guidelines relative to the NWSC claim procedures for the above types of expenses, including mileage reimbursement, use of company automobiles, care of company property, claim form procedures, etc.