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HomeMy WebLinkAbout03.j. Adopt revisions to Board Policy 008-Travel Expense ReimbursementCentral Contra Costa Sanitary District 3.' BOARD OF DIRECTORS POSITION PAPER Board Meeting Date: December 4, 2014 Subject: TRAVEL EXPENSE REIMBURSEMENT POLICY REVISIONS Submitted By: Initiating Dept. /Div.: David Heath, Director of Administration Administration REVIEWED AND RECOMMENDED FOR BOARD ACTION: T. Vassallo, Finance Manager, CPA, CMA fox m Roger S. Bailey Counsel or the District General Manager ISSUE: District staff has held several meetings exploring options to improve and streamline the administration of reimbursing travel expenses incurred by Board Members and District staff. As a result, staff is recommending a revised Travel Expense Reimbursement Policy. Staff is also recommending that the actual policy be separated from the procedure whereby the Board would approve the policy and authorize the District General Manager to implement procedures, practices and systems to ensure policy compliance. RECOMMENDATION: Approve revised Travel Expense Reimbursement Policy. FINANCIAL IMPACTS: Negligible. The current District daily reimbursement rate for meals is $64 and the recommended IRS approved Federal Government General Services Administration (GSA) per diem rates for meal reimbursement range from $56 for a low -cost city to a high of $71 for a high -cost city. (See Attachment 1 on typical per diem rates prepared using the past few years of conference attendance log information listing cities where the majority of conferences were held). ALTERNATIVES /CONSIDERATIONS: None identified or offered at this time. BACKGROUND: The last Travel Expense Reimbursement Policy revision was approved by the Board on December 20, 2012. The primary changes to the revised policy being recommended are as follows: Adoption of the GSA per diem rate method of reimbursement for meals which eliminates the requirement to submit receipts per Internal Revenue Service regulations. This will reduce the administrative burden of submitting and auditing District employee travel reimbursement claims. Board Members would still need to submit receipts based on Government Code 53232.3 and Assembly Bill 1234 which require elected and appointed officials to submit receipts documenting each expense claimed. All documents related to reimbursable agency expenditures are public records, subject to disclosure under the California Public Records Act. Travel and Expense Reimbursement Policy Revisions Page 1 of 2 POSITION PAPER Board Meeting Date: December 4, 2014 subject: TRAVEL EXPENSE REIMBURSEMENT POLICY REVISIONS Introduces a standard Travel Approval and Estimate Form which requires pre - authorization of travel and conference related expenses to be completed by District staff and approved by District management in advance of any commitments of District funds. This requirement provides for improved internal controls and will ensure that District funds are not obligated via travel arrangements in advance of District management approving such commitments. The form will also support validation of the travel reimbursement claim audit process upon the employee's return to District offices. • Eliminates reimbursement for meals included in the cost of conference registration. • Transfers approval authority of the Board's Travel Expense Reimbursements to the General Manager instead of the President or President Pro -Tem. • Allows District staff that have been issued purchasing credit cards to pay for the hotel invoices at check -out without Manager approval given that a Travel Approval and Estimate Form was approved prior to travel. • Designates Google Maps as the authority used to estimate all mileage reimbursement for consistency purposes. • Defines local travel as at least 60 miles away from the District to qualify District employees for lodging. A copy of the proposed revised Travel Expense Reimbursement Policy (BP 008) is included as Attachment 2, and a copy of the current policy is included as Attachment 3. COMMITTEE RECOMMENDATION: The Administration Committee reviewed the suggested revisions at the October 21St and November 7th committee meetings. The Committee recommends adopting the GSA per diem method of reimbursement for meals and separating the Travel Expense Reimbursement Policy from the Travel Expense Reimbursement Procedures for which the District General Manager is granted authority to maintain in the interest of ensuring policy compliance. RECOMMENDED BOARD ACTION: Approve proposed revisions to Board Policy (BP 008) Travel Expense Reimbursement, effective December 4, 2014. Attached Supporting Documents: 1. Typical Per Diem /Meal Rates for Conference Cities 2. Proposed Revised Travel Expense Reimbursement Policy 3. Current Travel Expense Reimbursement Policy N:\ADMINSUP\ADMIN \DIST- SEC \Executive Assistant Task Files \Travel Policy Update 11 -1 -13 \Travel Policy Approval Position Paper for December 4th Board Meeting.docx Page 2 of 2 ATTACHMENT 1 TYPICAL PER DIEM /MEAL RATES FOR CONFERENCE CITIES Per Diem Maximum Per Diem Rate for Breakfast/Lunch /Dinner New York, NY $71 $12./ $18 / $36 Washington, D.C. $71 $12 / $18 / $36 New Orleans, LA $71 $12 / $18 / $36 Chicago,IL $71 $12 / $18 / $36 Palm Springs $71 $12 / $18 / $36 Monterey $71 $12 / $18 / $36 Newport Beach $71 $12 / $18 / $36 Los Angeles $71 $12 / $18 / $36 San Francisco $71 $12 / $18 / $36 South Lake Tahoe $71 $12 / $18 / $36 Providence, RI $71 $12 / $18 / $36 Santa Fe, NM $71 $12 / $18 / $36 San Diego $71 $12 / $18 / $36 Portland, OR $66 $11 / $16 / $34 Napa $66 $11 / $16 / $34 Sacramento $61 $10 / $15 / $31 Charleston, SC $56 $9 /$13/$29 ATTACHMENT Central Contra Costa Sanitary District Authority: Board of Directors Effective: November 21, 2008 Revised: December 20, 2012 Reviewed: Initiating Dept. /Div.: Administration BOARD POLICY TRAVEL AN-D- EXPENSE REIMBURSEMENT POLICY All District travel including but not limited to attend conferences, training, seminars, meetings, and while conducting other official District Business must be approved in advance via a Travel Approval and Estimate Form, with the exception of urgent or emergency travel benefiting the District. District travel is authorized by Board majority through budget approval, report, or position paper. Arrangements must be made in compliance with the Travel and Expense Reimbursement Purpose and Procedures. Staff All of theca traveling on District business must complete and have steed a Travel Approval and Estimate Authnriz tine Form nntifyinn thnirsigned by their supervisor and the Division Manager immediate of peryiser nfapproving the type of travel, detail, and any special requests before any travel arrangements are made. 2. Board Members' attendance at conferences will be approved by the Board in advance for the fisEalcalendar year on a Board agenda. 3. Board Members and the General Manager are authorized to travel without prior approval for compelling reasons, provided reasonable effort has been made to obtain prior approval. Review of such travel will be consistent with the approval process identified in item 76 belew of this policy. Expense 4. Travelers are responsible for the timely preparation and submission to Finance of their Travel • Reports. the reverse side of the ferrn) fer paymeRt. Reports must be submitted withiR • days reGeFAFneRded that travelers Rot ORGlude perSORal iRfermatiOR SuGh as credit Gard deGurneRtati0R. Travelers should retain .. 5. While traveling on District business, it is the responsibility of elected officials, appointed officials, and employees to use sound judgment to ensure reasonable BP 008 Page 2 of 2 •- • • • _. - e Board Members whose expenses do not fall within this policy may be submitted to the Board of Directors for approval, in a public meeting, before the expense is incurred. 67. The General Manager, or their designee, shall approve travel reimbursement documents for the Board Members and the Secretary of the District;; and the Board President or President Pro -Tem shall approve travel reimbursement documents for the General Manager and SeGFefar„ of the Pistr,,.+, The General Manager or their designee shall approve all travel approval /reimbursement documents for his /her direct reports, and in certain instances, other staff. Staff travel reimbursements will be approved by immediate saF^sor immediate supervisors and Division Managers with signature authority. 78. Per Diem is an allowance paid to a traveler for ledgiRg meals and incidental expenses incurred when traveling. This allowance is in lieu of paying their actual travel expenses and is based on the IRS approved rate for the area where they travel. FeF this purpose of this peliGy, per diern will be for meal GOsts and iRG'dentals alene. Staff will follow per diem procedures while Board Members will be reimbursed up to the Per Diem rate, with receipts, for the city where their travel occurs. 8. Board expenses not related to this policy, refer to resolution adopted by the Board on setting forth procedures for appointment to and establishment of Board committees and meeting compensation and expense reimbursement for Board Members. In addition, AB 1234 requires Board members to provide a report, written or verbal, to the Board in open session on the event, conference, seminar or training attended, to be agendized within 30 days of the event, and this will also be adhered to. VVE—T223 go a LT-7-TA 7321 ► ��• ■_ • Lo - PURPOSE Central Contra Costa Sanitary District doe N-L TRAVEL AND EXPENSE REIMBURSEMENT PURPOSE AND PROCEDURES To establish a peliG procedures for appropriate reimbursement of expenses and costs incurred by elected officials, appointed officials, District r„ , and staff for travel activities that are necessary, legitimate, permissible, and actually incurred when traveling on authorized District business, provided they are pre- authorized through the Travel Approval and Estimate Form, itemized, fully explained and, approved on the Travel Expense Reimbursement Report. The Travel Expense Reimbursement Report becomes a public record upon submission, so every effort should be made to ensure it is accurate to the best of the traveler's knowledge. Important guidelines travelers and those making arrangements should know: • For those employees who will be traveling on District business, the time will only be compensable if the travel is conducted within their normal working hours regardless of days traveled. Normal working hours will be determined by the "Statement of Work Hours" that each employee has signed and is on file with Human Resources. • Employees are expected to return to work the next day after a conference is over if the next day would be their normal work schedule unless they have submitted a leave slip or become ill. As a general rule, if conferences /seminars are local and are done by 12 noon, employees should return to work. • The District will reimburse expenses attributable to Board Members and District employees only. Non - District employee expenses will not be reimbursed. • It is prohibited to charge any meal expenses on District issued procurement cards unless it is part of the hotel bill charges at check out. Room service included on hotel bill will be deducted on the expense report from the per diem amount allowed. • Required receipts should be organized by the date of the actual expenditure for ease of processing. When at all possible, personal charges should be on a separate receipt from those that will be submitted to the District for reimbursement. For instance, if BP 008 Page 2 of 9 staying extra days at a hotel where a conference was held, only submit a hotel receipt of the days that are reimbursable by the District. • Support staff making travel arrangements has the option to utilize the District travel agency services or book the arrangements directly. • It is the responsibility of the division manager and supervisor to determine if employees should be allowed to travel to a conference /training the day before the conference /training starts and /or the day after the conference /training is concluded. • In situations where unusual or unexpected travel expenses are expected to be incurred, or where this procedure does not adequately cover certain situations, exception may be made with approval of the General Manager. INIMMI-Ts Mo. W. ._ BP 008 Page 3 of 9 PROCFDLJRF 1. Making Travel Arrangements: All District travel arrangements are to be booked through department related support staff that have been issued travel purchasing cards, or other staff approved by the General Manager in advance for each request. approval hefere making arrangements (via email moms ete) The requesting traveler must submit a Travel Approval and Estimate Form to their supervisor and the division manager for signature, and once signed, provide to support staff in order for them to make arrangements. This form must be completed unless there are no fees that will be incurred. If there is a required receipt missing for any given expenditure, other than those included in the per diem as it relates to staff, the manager's signature on the Travel Expense Reimbursement Report will serve as approval of the charge. The District will not reimburse fees for room videos, shoe shining, spa treatments, gym fees, fines or traffic violations, damages to employee vehicles, excess baggage fees unless required for District business, newspapers, magazines, entertainment, cancellation fees or penalties unless deemed appropriate by division manager and supervisor, or expenses which are excessive or unreasonable. District will reimburse for laundry expenses in instances when the traveler is on conference over 5 business days. If you are unsure whether something is reimbursable, please find out before the charges are incurred. Ask the division manager or Finance Department for guidance. 2. Transportation: a. Commercial Airline Travel: Elected officials, appointed officials and District employees will travel at the lowest reasonable coach class airfare within the following guidelines: (1) In order to obtain low airfares, travelers should be flexible in travel hours in willingness to take an earlier or later flight if it does not create an unreasonable burden and will still allow enough time to attend the full conference or training. a tWe heUr WiRdeW PeIiGY will be used OR seaFGhiRg fer a Iew fare. This W'RdeW PGIiG i nyelye searching for fares ene hour prier to and after the requested taken unless time senstraints make it impessihle BP 008 Page 4 of 9 (2) Direct flights (one -stop) and connections (change of planes), rather than non - stops, may represent substantial savings to the District. Non -stop flights, if more expensive, Gannet should not be taken if lower direct/ connecting fares are available and does not place an unreasonable burden on the traveler. (3) Early departures and late returns are encouraged to avoid lodging for an additional night; However,, . Ttravel arrangements should allow for full attendance at the subject event. (4) Air travel arrangements should be reserved as far in advance of travel date as possible. Advance planning, rather than last- minute reservations, allow for the opportunity to obtain lower fares. To the extent possible, Ttravel arrangements should be booked a minimum of seven thirty (30) days prior to departure. (5) Reimbursable expenses shall be limited to the actual dates of travel, which shall be as near the event as practical, allowing for timely arrival and departure and the carrier's schedule. If the extension of travel time would achieve lower airfare and would result in a net cost savings to the District, the District will pay for actual costs incurred for hotel and meals only, subject to the other limitations of this procedurepelisy, provided they do not exceed the costs which would have been incurred without an extension, and the extension is approved in advance. A cost analysis, with or without extension, would be required. Any additional time (exceeding the above) taken prior to or after the event will be at the traveler's empleyee's time and expense. The Diotriet Will net reirnb iron fer eveess baggage fens if net related to Diotriet b ioinnoo (6) Use of penalty or non - refundable airfares should be considered, depending on the nature of travel, and the certainty that the trip will take place as planned. These lower- cost fares shall be selected at the travereF'S diSGretieR to the extent possible. if a ehaRgB rest alto in PeRalties the Department Direeters shall have the a itherity to hnG! de these Gha'rges"as Feimb usable , if apprepriete. (7) If there is a significant difference between the cost of the flight used and a less expensive flight that was available, or if the traveler uses first -class or business class instead of an available coach -class airfare the traveler will be required to pay the difference in the expense. (8) Use of a specific airline for the purpose of obtaining Frequent Flyer miles Will get be a wt is prohibited, unless the airfare is among the lowest available. Those booking flights should attach sufficient documentation back -up to the Travel Approval and Estimate Form showing due diligence was performed in finding the most reasonably priced flight. This could be obtained by running comparison of flights through Expedia, Travelocity, Orbitz, etc. Booking of own airfare is only authorized through the General Manager and this rule will still apply. b. Car Rentals: The use of a rental car must be authorized in advance. When a car rental is authorized, the traveler shall be limited to a GGMpaGt 9F Mod size vehiGlethe most economical available at the time. A BP 008 Page 5 of 9 olr�n�Gfiniolc appeiRted effisiols er emnln„000. A rental car may be authorized only for a business necessity or if it is the most economical means of transportation available. The empleyeetraveler must she, ild be prepared to show a cost savings to the District by the use of a rental car as compared to other modes of transportation. When traveling in groups, sharing of cars is encouraged to minimize costs. Full Gcollision and liability insurance offered by the rental company should be accepted. E mnl�n-rpleyees Travelers should refuel cars before returning them to the rental agency if it will to -avoid the large refueling mark -up, when economical. O#fiGi°I-eEmployees are required to notify the District's Safety and Risk Management Administrator and their employee's supervisor and division manager within 24 hours of any event, incident or accident related to the rental vehicle. Board Members are required to report incidents to the General Manager. C. Taxi and Other Local Transportation: Lowest cost, most reasonable transportation should be used. The use of a taxi is authorized when cost - effective alternative Mere eeeeeMieal services are not available, or in cases wheROf valid business reasons, such as timing limitations that, warrant use of such transportation. Taxis should be utilized when courtesy shuttles and paid shuttles are not convenient for timing or other purposes. fFem airperts sheuld be used. Use ef private IiITIOUSiRes eF Ghauffeured Gars hired selely to trnnsnGO flip +rin+ Beard Members and /er staff is pFohihited. Gratuities for transportation such as shuttles and taxis should not exceed 15 %. d. Travel in District Vehicles: District vehicles are available for local seminars. District vehicles shall not be used for personal use when attending seminars. Non - District employees should not be transported in District vehicles unless it is for business related purposes. e. Travel in Personal Vehicles: When use of a privately -owned vehicle is authorized in lieu of a common carrier, reimbursement will be based on the prevailing mileage rate and the miles determined by the Google Maps site mileage calculation, but will not exceed air coach rate to and from the destination plus local transportation costs such as mileage, airport parking, toll, and shuttle /taxi costs. Mileage should be included on the Travel Reimbursement Report and not submitted separately. VVheR travel is te -a IGGal seminar, mileage reimbursemeRt will be GaIc-ulated based en the shertest dostaRGe to the seminar from home er frem work. Reasonable costs for parking and tolls will be reimbursed. Valet parking is discouraged if free or more economical parking is available; exceptions may be made in some cases. On regular work days, mileage will be calculated from employee's home or the District (whichever is the shortest distance). On off days, employee will be reimbursed for actual mileage from home. Board Member travel will be calculated from residence or the location they depart from. When parking personal vehicle at the airport, use of long -term parking facilities is encouraged. 3. Lodging/Telephone: C' 11: a. Lodging: Whenever possible, lodging should be arranged at the facility where the event is being held or conference hotels suggested, or a comparable facility of equal rate or lower within the conference area. When attending conferences, a block of hotel rooms may be offered at a reduced rate. Nevertheless, staff should check to see if a lower rate, at the same facility, is available. Emn'�„ployeesTravelers should limit their stay to a minimum number of nights. Reimbursement for the daily cost of lodging includes only the single occupancy room rate and applicable taxes unless shared by more than one District employee. When making reservations for lodging, attempts should be made to obtain a discounted or governmental agency rate. District travelers are expected to use good quality, but reasonably priced hotels or motels wherever practical. (The GenferenGe hotel, its rate. equivalent, at the GonferenGe Fate, is aGGeptable ledging for DistriGt business.) When attending GenfeFenGes, a blec;k of hotel rooms may be offered at a reduGed Nevertheless, tFavelers should Ghec;k te see if a lower rate, at the same faGility, is available. Hotels will be paid for by personal credit card or by acquiring a cash advance for the hotel before the conference. (Make sure when checking out of hotels that they deyou are not charged for any nights that the District has paid for in advance such as a first nights deposit to hold room). If the traveler requires a Gash adyanno ,r possesses a District procurement card, they may are allowed to pay for the hotel costs on that card once they check out at the end of the conference. if prier appreval by their Divisien Manager is give RiR Ruler in ave'd the Reed fnr r+ Gash advl.nnn Hotel receipt/invoice should be provided as back -up documentation verifying deposit (paid by District, if any) and dates of stay. When attending a local one -day training or conference where mileage is less than 60 miles one way (120 roundtrip) from official station or residence, travelers are expected to return the day the training or conference ends. It is the responsibility of division managers and supervisors to determine whether an employee should be allowed to travel the day before a conference /training and /or the day after. If this is not followed, employee will be expected to pay for any extra nights. Prior approval is always required for overnight stays, even for one -day training and conferences. b. Telecommunication: On authorized travel, necessary business - related telephone calls, faxes, and Wi -Fi„ m connections incurred may be reimbursed. The Gest ef pPersonal telephone calls made while attending a seminar will be the responsibility bernebyof the employee,.4=ihowever, empleyees travelers are allowed one personal call of reasonable length and cost per day at District expense. The District's Finance Manager Gentrefler shall make the final determination of reasonable duration and cost on a case -by -case basis. When possible, business usage of internet should be utilized through District issued electronic devices. If this option is not available, District will reimburse the cost of these services if utilized for District business related purposes. 4. Meals: BP 008 Page 7 of 9 In Gnneml Meals will be reimbursed in accordance with the Meals and Incidental Expenses (M &IE) allowance established by the Federal General Services Administration (GSA) for the location of travel (website www.gsa.gov /perdiem). Receipts are not required for M &IE with the exception for Board Members. M &IE include all meals, room service, laundry, dry cleaning, pressing of clothing, fees and tips for persons who provide services, such as food servers and luggage handlers. Reimbursements are not provided for meals that are paid for as part of the conference registration as noted on the confirmation. The daily per diem rate should be adjusted by the traveler if meals are included at the conference. Snacks and continental breakfasts such as rolls, juice and coffee shall not be considered meals. Reimbursement should not be claimed in the event actual expenses were not incurred. Additional exceptions are noted below. Conferences For the first day and last day of travel, the reimbursement for each day will be 75% of the IRS rate for the location. Local One Day Training /Seminars Per diem for one -day trainings /seminars will not be paid if meals are included.. If meals are not included, one meal reimbursement will be provided at staffs discretion with receipts, not to exceed the GSA meal rate for the area. Employees should provide backup materials, when possible, to show that meals were or were not included as part of a conference /training. Attaching agenda or registration that shows this information would be helpful. 5. Travel Advances: A request for a travel advance must be made at least two weeks prior to travel by submitting a completed Payment Authorization Request form to AGGeuRti RgFinance. There will be no travel advances for the cost of airline travelexpenses since the travel procedures require support staff to purchase airline tickets. due to the Diotriet'c paymeRt fer the ticket in advaR Advances must be utilized immediately and accounted for within two weeks after completion of a trip. No additional advances will be granted before settlement of an outstanding advance and further conference attendance may not be granted. IR the evert an advanced from the next regular payGheeli When traveling on District business, the traveler must be reasonably certain that he /she will be able to complete the trip. Canceling a trip for personal reasons must be approved by the General Manager and may result in the traveler being responsible for any non - refundable costs. Where possible, another employee may be substituted if approved by a manager and there is no major penalty incurred for the transfer. 6. Special Expenses Paid by Employee such as Meals for R —�4ness ssaGia +s: Report only expenses paid by cash, personal check, or credit card. The Internal Revenue Code requires that specific details showing traveler and names of guests and eMple „ , cost, date and place, business purpose, and the business relationship of individuals be supplied. Attach receipts whenever possible. ReGeipts oxpeRdit, Tres of $25 er mere are required. Combined receipts or bills for staff traveling to the same conference /training are discouraged. 7. Travel Expense Reimbursement Reports: Travel Expense Reimbursement Reports must be legible and in all cases be signed in ink by beth the traveler, supervisor empieyee and the Ddivision Mmanager with signature authority. Each expense shall be clearly and accurately identified and shown on the Rreport on the day the expense was actually incurred. Report all expenses paid by cash, personal check, credit card, and those paid directly by the District. Auditing and control procedures of the District require that receipts substantiating travel expenses be provided by the traveler whenever possible, with the exception of M &IE. Original receipts, including hotel statements, airline ticket stubs, car rental invoices, credit card receipts, paid invoices, or any receipt, which shows the date, location, nature and amount of the expenditure, shall be attached to the Report, and the report must be submitted within 30 days of the conclusion of travel /training. Receipts should be arranged in date order. If there is a required receipt missing for any given expenditure, other than those included in the per diem as it relates to staff, the manager's signature on the Travel Expense Reimbursement Report will serve as approval of the charge. It is recommended that travelers not include personal information such as credit card information, home address, or personal phone numbers on any submitted documentation. Travelers should retain copies of the Travel Expense Reimbursement Report and receipts for their personal records. In accordance with Government Code 53232.3 and Assembly Bill BP 008 Page 9 of 9 1234, elected and appointed officials are required to submit receipts documenting each expense claimed. All documents related to reimbursable agency expenditures are public records, subject to disclosure under California Public Records Act. If a required receipt is missing, a written detailed explanation of the charge must be provided. The District shall reimburse Board Members for actual and necessary meals and incidental expenses documented with receipts in an amount not to exceed IRS reimbursement rates for the geographic location. In addition, AB 1234 requires Board members to provide a report, written or verbal, to the Board in open session on the event, conference, seminar or training attended, to be agendized within 30 days of the event. Approval Levels Follow (approver may denote a designee to sign in their absence) BUSINESS EXPENSES AUTHORIZED BY Employee Board General General Department Division Manager and President Manager Manager or Director Supervisor or Deputy Designee General Manager General X Manager Deputy X General Manager Directors X District X Secretary Managers X X Staff X X X I MA Z •- 11 Authority: Board of Directors Effective: November 21, 2008 Revised: December 20, 2012 Reviewed: Initiating Dept. /Div.: Administration TRAVEL AND EXPENSE REIMBURSEMENT PURPOSE To establish a policy for appropriate reimbursement of expenses and costs incurred by elected officials, appointed officials, District Counsel and staff for travel activities that are necessary, legitimate, permissible, and actually incurred when traveling on authorized District business, provided they are itemized, fully explained and approved on the Travel Expense Reimbursement Report. POLICY 1. All District travel must be approved in advance, excepting urgent or emergency travel benefiting the District. Board member travel is approved by budget approval and /or public report, by the General Manager, with Board majority concurrence. The General Manager's report will allow for Board consideration and approval, or denial, as well as meet AB 1234 intent for public disclosure. General Manager, District Counsel and Secretary to the District travel is approved by Board majority through budget approval, report, or position paper. Employee travel is approved through the budget by the appropriate Division Managers. and Division Managers travel will be approved by the General Manager. 2. Travel approval is to be consistent with the budget guidelines for travel. 3. Board Members and the General Manager are authorized to travel without prior approval for compelling reasons, provided reasonable effort has been made to obtain prior approval. Review of such travel will occur consistent with the approval process identified in item 7 below. 4. While traveling on District business, it is the responsibility of the elected officials, appointed officials and employees to use sound judgment to ensure reasonable expenditure of District funds. If there is no receipt for any given expenditure, the Supervisor's signature on the Travel Expense Reimbursement Report will act as authorization of the charge. District Board members whose expenses do not fall within this policy may be submitted to the Board of Directors for approval, in a public meeting, before the expense is incurred. 5. Board Members' attendance at conferences will be approved by the Board in advance for the fiscal year on a Board agenda. BP 008 Page 2 of 5 6. Travelers are responsible for the timely preparation and submission of their Travel Expense Reimbursement Reports (instructions for completion are on the reverse side of the form) to the Accounting Office for payment. Reports must be submitted within 30 days of the event or trip completion. Travelers should retain copies of the Report and receipts for their personal records. 7. The President of the Board of Directors shall approve travel reimbursement documents for all Board Members, District Counsel, the General Manager and the Secretary of the District. The Board President Pro Tem, or in his /her absence another designated Board member, shall have authority to approve travel reimbursement for President of the Board. The General Manager shall approve all travel reimbursement documents for his /her direct reports, and in certain instances, other staff. Division Managers shall approve all travel reimbursement documents of those in their charge. PROCEDURE 1. Making Travel Arrangements: Ail District travel arrangements are to be booked through department related support staff. Staff will follow the approved District Travel Policy and parameters when making travel arrangements for District employees. Staff will make sure that requesting staff has received prior budget approval and /or Division Manager approval before making arrangements (via email, memo, etc.) 2. Transportation: a. Commercial Airline Travel: Elected officials, appointed officials and District employees will travel at the lowest reasonable coach class airfare within the following guidelines: (1) In order to obtain low airfares, a two -hour window policy will be used in searching for a low fare. This window policy involves searching for fares one hour prior to and after the requested departure /arrival time. The lower fare quoted within this two - hour window must be taken unless time constraints make it impossible. (2) Direct flights (one -stop) and connections (change of planes), rather than non - stops, may represent substantial savings to the District. Non -stop flights, if more expensive, cannot be taken if lower direct/ connecting fares are available and does not place an unreasonable burden on the traveler. (3) Early departures and late returns are encouraged to avoid lodging for an additional night. Travel arrangements should allow for full attendance at the subject event. (4) Air travel arrangements should be reserved as far in advance of travel date as possible. Advance planning, rather than last - minute reservations, allow for the opportunity to obtain lower fares. Travel arrangements should be booked a minimum of seven days prior to departure. (5) Reimbursable expenses shall be limited to the actual dates of travel, which shall be as near the event as practical, allowing for timely arrival and departure and the carrier's schedule. If the extension of travel time would achieve lower airfare and BP 008 Page 3 of 5 would result in a net cost savings to the District, the District will pay for actual costs incurred for hotel and meals only, subject to the other limitations of this policy, provided they do not exceed the costs which would have been incurred without an extension, and the extension is approved in advance. Any additional time (exceeding the above) taken prior to or after the event will be at the employee's time and expense. The District will not reimburse for excess baggage fees if not related to District business. (6) Use of penalty or non - refundable airfares should be considered, depending on the nature of travel, and the certainty that the trip will take place as planned. These lower- cost fares shall be selected at the traveler's discretion. If a change results in penalties, the Department Directors shall have the authority to include these charges as reimbursable, if appropriate. (7) If there is a significant difference between the cost of the flight used and a less expensive flight that was available, or if the traveler uses first -class or business class instead of an available coach -class airfare without approval from the appropriate supervisor, the traveler will be required to pay the difference in expense. (8) Use of a specific airline for the purpose of obtaining Frequent Flyer miles will not be authorized, unless the airfare is among the lowest available. b. Car Rentals: The use of a rental car must be authorized in advance. When a car rental is authorized, the elected official, appointed official or employee shall be limited to a compact or mid -size vehicle. A larger vehicle may be rented if for the purpose of transporting a group of District elected officials, appointed officials or employees. A rental car may be authorized only for a business necessity or if it is the most economical means of transportation available. The employee should be prepared to show a cost savings to the District by the use of a rental car as compared to other modes of transportation. When traveling in groups, sharing of cars is encouraged to minimize costs. Collision and liability insurance offered by the rental company should be accepted. Employees should refuel cars before returning them to the rental agency to avoid the large refueling mark -up, when economical. Officials and employees are required to notify the District's Safety and Risk Administrator and the employee's supervisor within 24 hours of any event, incident or accident related to the rental vehicle. C. Taxi and Other Local Transportation: The use of a taxi is authorized when more economical services are not available, or in cases when valid business reasons, such as timing limitations, warrant use of such transportation. If available and practical, public or courtesy limousine transportation to and from airports should be used. Use of private limousines or chauffeured cars hired solely to transport District Board Members and /or staff is prohibited. d. Travel in District Vehicles: District vehicles are available for local seminars. District vehicles shall not be used for personal use when attending seminars. •- • e. Travel in Personal Vehicles: When use of a privately -owned vehicle is authorized in lieu of a common carrier, reimbursement will be based on the prevailing mileage rate, but will not exceed air coach rate to and from the destination plus local transportation costs. When travel is to a local seminar, mileage reimbursement will be calculated based on the shortest distance to the seminar from home or from work. Reasonable costs for parking and tolls will be reimbursed. 3. Lodging/Telephone: a. Lodging: Employees should limit their stay to a minimum number of nights. Reimbursement for the daily cost of lodging includes only the single occupancy room rate and applicable taxes unless shared by more than one District employee. When making reservations for lodging, attempts should be made to obtain a discounted or governmental agency rate. District travelers are expected to use good quality, but reasonably priced hotels or motels wherever practical. (The conference hotel, or its equivalent, at the conference rate, is acceptable lodging for District business.) When attending conferences, a block of hotel rooms may be offered at a reduced rate. Nevertheless, travelers should check to see if a lower rate, at the same facility, is available. Hotels will be paid for by personal credit card or by acquiring a cash advance for the hotel before the conference. (Make sure when checking out of hotels that they do not charge for any nights that the District has paid for in advance such as first nights deposit to hold room). If the traveler requires a cash advance and possesses a procurement card, they may be allowed to pay for the hotel costs on that card once they check out at the end of the conference if prior approval by their Division Manager is givenin order to avoid the need for a cash advance. b. Telecommunication: On authorized travel, necessary business - related telephone calls, faxes and modem connections incurred may be reimbursed. The cost of personal telephone calls made while attending a seminar will be borne by the employee. However, employees are allowed one personal call of reasonable length and cost per day at District expense. The District's Controller shall make the final determination of reasonable duration and cost on a case -by -case basis. 4. Meals: The cost of each meal is to be reported separately on a daily basis and covers the District traveler only. Receipts for all claimed meals should be included with the travel expense report. The cost of meals includes taxes and tips or service charges as applicable. Purchases of alcoholic beverages shall not be reimbursed. The maximum reimbursement for meals is $64 per day, given proper documentation by providing receipts. In cases where the individual signs up for meals that have a separate cost in addition to the conference registration, that meal would be excluded from the daily allowance. If a District traveler is accompanied by a spouse or guest and the District or a District staff person covers the cost, the District traveler will be billed for the cost of his /her spouse /guest's meal or other related costs. If the guest is a business associate, the cost may be reimbursable. See criteria and requirements in Paragraph 6, Special Expenses Paid by Employee, below. BP 008 Page 5 of 5 5. Travel Advances: A request for a travel advance must be made at least two weeks prior to travel by submitting a completed Payment Authorization Request form to Accounting. There will be no travel advances for the cost of airline travel due to the District's payment for the ticket in advance. Advances must be utilized immediately and accounted for within two weeks after completion of a trip. No additional advances will be granted before settlement of an outstanding advance. In the event an advance remains open beyond 30 days, the District may elect to deduct the amount advanced from the employee's next regular paycheck. 6. Special Expenses Paid by Employee such as Meals for Business Associates: Report only expenses paid by cash, personal check, or credit card. Meal expenses, to be reimbursable, must be an expenditure necessary for the transaction of District business. The Internal Revenue Code requires that specific details showing names of guests and employees, cost, date and place, business purpose, and the business relationship of individuals be supplied. Attach receipts whenever possible. Receipts for expenditures of $25 or more are required. 7. Travel Expense Reimbursement Reports: Travel Expense Reimbursement Reports must be legible and in all cases be signed in ink by both the employee and the Division Manager. Each expense shall be clearly and accurately identified and shown on the Report on the day the expense was actually incurred. Report all expenses paid by cash, personal check, credit card, and those paid directly by the District. Auditing and control procedures of the District require that receipts substantiating travel expenses be provided by the traveler whenever possible. Original receipts, including hotel statements, airline ticket stubs, car rental invoices, credit card receipts, paid invoices, or any receipt, which shows the date, location, nature and amount of the expenditure, shall be attached to the Report. When a receipt is not available and the expense is more than $25.00, the traveler shall provide a statement detailing the expenditures and explaining the reason for the lack of a valid receipt. However, in accordance with Government Code 53232.3 and Assembly Bill 1234, elected and appointed officials are required to submit receipts documenting each expense claimed. All documents related to reimbursable agency expenditures are public records, subject to disclosure under California Public Records Act. In addition, AB 1234 requires Board members to provide a report, written or verbal, to the Board in open session on the event, conference, seminar or training attended, to be agendized within 30 days of the event.