Financial Services Policy 8 – Business Entertainment

General Statement

The administration of The University of North Carolina at Greensboro recognizes that business entertainment can be essential to the operation of the University. The purpose of this policy is to place this activity in proper focus, to prevent abuses, and to ensure prudent control of these expenditures. This policy applies to all funds of the University, except those funds appropriated by the State of North Carolina which cannot be expended for these purposes under any circumstances.

Entertainment Policies

  • The purpose of the entertainment must be business and not personal.
  • Entertainment expenditures must be documented to show the following
    • Identification of the persons or group being entertained. If a small group is being entertained, the names of all persons attending must be shown; for large groups, only the name or names of the guests should be shown along with the number of persons attending.
    • A statement as to the reason for such entertainment, indicating how the entertainment benefited the University and clarifying the relationship of the persons in attendance to the particular aspects of the University’s programs or activities (titles, committee names, field of interest of person being entertained, reason for visitor being on campus, etc.)
    • The place of entertainment. Itemized receipts for entertainment expenses are required for reimbursement to the faculty or staff member. If payment is to be made to a vendor, the normal invoice or statement of costs is required.
  • ┬áPayments are not to be made for entertainment expenditures unless the documentation is complete. A request for documentation is forwarded to the individual responsible for the fund when additional documentation is required. If appropriate action cannot be taken to properly document the expenditure, the individual staff or faculty member must bear the cost of the entertainment.
  • No entertainment expenses can be charged to contracts or grants unless such entertainment is specifically authorized by the terms of the contract or grant.

Categories or Entertainment

  • Prospective Faculty and Staff The University recruits in a highly competitive market for top faculty and staff. It is the policy of the University to invite prospective faculty or staff, and on occasion both candidate and spouse, to visit the campus. Travel and all other reasonable and necessary expenses for such activities are reimbursed in accordance with the travel policies and procedures addressed in the Travel Section. However, prudence suggests that prospective faculty and staff (including spouses) involved in this type of entertainment are limited to:
    1. in the case of faculty: key faculty, department heads, and dean or associate dean;
    2. in the case of department heads: the dean, associate dean, key faculty of department, and administrative officials;
    3. in the case of recruitment of deans: the members of the selection committee, faculty as appropriate, and deans and administrative officials; and
    4. in the case of major administrative officials: the members of the selection committee, faculty and administrative staff as appropriate, and administrative officials.
  • Official Guests of the University The University is not normally expected to reimburse official guests for travel and related expenses, except where the guests travel to the University on specific invitation. However, it is recognized that entertainment of guests is essential. Examples of official guest would include the following: visiting lecturers; visitors from foreign countries; representatives of research organizations; visitors from other universities; individuals interested in university programs and problems (potential donors); guests invited to assist in the development of new programs (both paid and non-paid consultants); and business and community leaders. The relationship between the visitor and the university staff or faculty attending the function or their areas of responsibility must be clearly indicated, particularly for those who are at the campus on specific business on behalf of the University.
  • Conferences, Workshops, Meetings, Seminars, etc. In the case of conferences and workshops conducted by the University which are supported by income from registration fees, all entertainment expenses must be covered from the revenue produced by the event and separate records maintained. Further information concerning group activity is addressed in the Travel Section of the Policies and Procedures Manual.
  • Reception Receptions for students, faculty, alumni and friends of the University held by the Chancellor or those whom he holds responsible for such activities are reimbursed as entertainment.

The Chancellor or his/her designee may, from time to time, hold dinner meetings for administrative officers, deans, department heads, and faculty, including spouses, for the purpose of discussing items of general University intererest. Such meetings are reimbursed by the University as entertainment.