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AP 01-04-01 WorkshopSOUTH TAHOE PUBLIC UTILITY DISTRICT "Basic Services for a Complex World" NOTICE OF WORKSHOP Thursday, January 4, 2001 1:00 - 2:00 P.M. City Council Chambers 1900 Lake Tahoe Boulevard, South Lake Tahoe, California Robert G. Baer, General Manager Richard Solbrig, Assistant Mana9.er Pembroke Gochnauer, President BOARD MEMBERS Duane Wallace, Vice President James Jones, Director Mary Lou Mosbacher, Director Christopher H. Strohm, Director While a quorum of the South Tahoe Public Utility District Board of Directors may be attending this Workshop, there will be no action taking place on their behalf. This notice is specifically given to ensure compliance with the Brown Act. AGENDA 1. REVIEW BOARD POLICY NO. 2140 a. Recommend Amendments to Business Expense, Credit Card, Vehicle Use and Reimbursement Policy (amendments will be included on the January 18, 2001 Regular Board Meeting Agenda for approval) 2. ADJOURNMENT South Tahoe Public Utility District • 1275 Meadow Crest Drive, South Lake Tahoe, CA 96150 • Phone 530.544.6474 • Facsimile 530.541.0614 1 SOUTH TAHOE PUBLIC UTILITY DISTRICT MEMORANDUM To: Board of Directors and General Manager From -'Rhonda McFarlane, Chief Financial Officer Subject: Board Policy Manual Date: December 27, 2000 As discussed at the last Board meeting, the Business Expense, Credit Card, Vehicle Use & Reimbursement Policy, Section 2140 of the Board Policy Manual needs updating. The attached changes to the policy are suggestions for making the policy more efficient for the Board members and the accounting staff while still maintaining accountability for public resources. A summary of the suggestions is as follows: • The deadline for submitting seeking reimbursement of out of pocket expenses is extended to allow submission up to 30 days after the end of the month in which the expense is incurred. The current policy requires submission within 30 days of incurring the expense. • Lodging expenses exceeding 125% of the Internal Revenue Service per diem room rates will be authorized by the Board President or in the Board President's absence the Board Vice- President. The current policy refers to the District's travel policy where the General Manager has such authorization. • • Each Director will retain custody of their own District credit card. Presently District credit cards are checked out from the finance office. Credit card documentation and procedures are revised to be consistent with the new Cal Card procedures established by the District in 1999. Under the Cal Card procedures Directors review their own credit card statement and attach receipts to the statement monthly. Previous procedures had Directors submitting credit card receipts on the District's Business Expense Report. An additional section is added to allow the Board President to pre approve other reasonable expenses deemed to be in the best interest of the public, i.e., an extra telephone line for a fax machine. South Tahoe Public Utility District Board Policy Manual Business Expense, Credit Card, Vehicle Use & Reimbursement Policy 2140 2140.10 The purpose of these guidelines and regulations is to furnish rules and procedures for Members of the Board of Directors in incurring expenses for the purpose of furthering the interests of the District and for claiming reimbursements for such purposes. 2140.20 Expenditures for lodging, meals, transportation and other activities should provide for reasonable comfort and convenience. It should be borne in mind, however, that public funds are being spent and that only a reasonable level of expense is warranted. Authorized business expenses shall not include costs associated with a Board members' spouse. To receive reimbursement for out of pocket expenses Board Members must complete the District's Business Expense Report within 30 days after the end of the month in which the transaction took place. 2140.30 Since circumstances vary considerably in those instances where Directors must incur expenses, care by those incurring expenses, and supervision by those approving expense accounts is the most effective method of control over expenditures. When expenses that might be regarded as out of the ordinary are foreseen, instructions or approval should be sought by a majority of the Board before incurring the expense. 2120.40 A majority of the Board may reject or reduce claims for reimbursement resulting in any unauthorized expenses including but not limited to travel, inappropriate selection of class of transportation, lodging, or meals. Any disputed, unsubstantiated, incomplete or late expense reports may be submitted to the Executive Committee for consideration of extenuating circumstances resolution. 2140.50 Definitions: 2140.51 "Travel" shall mean attendance at meetings, conferences, or other functions on District business at other than the District headquarters or temporary headquarters or, normal meeting places or, in the Directors residences or places of business. Policy #2140 Adoption Date: 7/2/98 Business Expense, Credit Card, Vehicle Use & Reimbursement & Policy (con't.) 2140 2140.52 "Overnight travel" shall mean travel which prevents Directors from spending their usual sleeping hours at their residences. 2140.53 "Business meal" shall be one in which Directors provide themselves and non - employees meals and beverages (except alcoholic beverages), ordinarily associated with normal eating customs under circumstances which are generally considered to be conductive to furthering the business of the District and where the subject matter of the discussion is of importance to the District. 2140.54 "Mileage reimbursement" shall mean the sum of business miles driven outside of the District's service boundaries (commuting expenses between a Board Member's residence and places of business within the District's service boundaries are not reimbursable; however, for the purpose of this section, mileage within Alpine County is considered to be outside of the District's service boundaries and shall be eligible for reimbursement) times the currently approved established IRS standard mileage rate to reflect reimbursement for the use of a personal vehicle. The IRS standard milage rate is a simplified method used to compute deductions for car expenses in lieu of calculating the operating and fixed costs (gasoline, insurance, etc.). Beard Mileage reimbursement claims shall be submitted per Section 2140.20. 4er-substantiation-if -they-seek 2140.540 Directors who are paid mileage reimbursement for use of privately owned automobile for District business, shall possess a valid drivers license, and maintain insurance on such automobile with proper liability coverage. 2140.60 Authorized Expenses: 2140.61 Travel - Expenses may include District business telephone calls, District business meals, common carrier fares, rental of automobiles, parking fees, and mileage reimbursement for the use of personal automobiles as described in Section 2140.54 above. Policy #2140 Adoption Date: 7/2/98 Business Expense, Credit Card, Vehicle Use & Reimbursement Policy (con't.) 2140 2140.62 Overnight Travel - Expenses may include business telephone calls, including one telephone call per day to Director's family, common carrier fares, rental of automobiles, use of personal vehicles, meals and lodging, baggage handling and other expenses essential to the business of the District and the ordinary personal comfort of the traveler. Expenses incurred by any family members accompanying the Director are not reimbursable. 2140.63 Rental Vehicles - The rental of a vehicle while traveling on District business is allowable under this policy and can be arranged by the District in conjunction with a Director's travel plans. The use of rental vehicles should be coordinated among Directors traveling on District business to the same location. The use of hotel /airport shuttle buses or taxis, depending on the amount of expected business use, is encouraged. 2140.64 Business Meal - Business meal expenses may include the cost of meals and beverages ordinarily associated with normal eating customs, except for alcoholic beverages. A Director who provides a business meal for a guest or guests must provide on their expense report the guest or guests name or names and the business reason for the expense. 2140.65 Transportation - The type of transportation employed shall be selected on the basis of the lowest cost to the District after all costs are considered, provided, however, that travel by common carrier bus or train shall not be required. Reimbursement for personal auto mileage or other forms of transportation for any one trip in excess of 200 miles one way shall not exceed the cost of travel to and from the airport and round trip coach airfare to the ultimate destination traveled, but under no circumstances exceed the actual cost of the method of transportation used. Such travel shall be by airline coach or economy class. Policy #2140 Adoption Date: 7/2/98 Business Expense, Credit Card, Vehicle Use & Reimbursement Palmy (con't.) 2140 Any Director who obtains an airline t'cket from the District for the purpose of combining personal travel with District travel, or for travel with a family member, shall, prior to receipt of such tickets, make payment for the portion of cost attributed to personal travel or to the family member's travel. 2140.66 Accommodations - All hotel /motel accommodations will be made in accordance with the District travel policy except that when authorization to exceed 125% of the Internal Revenue Service room rates is needed it shall be made by the Board President or in the Board President's absence, the Vice - President. Documentation of the authorization shall accompany the credit card statement or Business Expense Report as appropriate. 2140.67 Other reasonable expenses deemed in the best interest of the public and pre - approved by the Board President will be reimbursable. 2140.70 If necessary, per diem funds will be advanced to Directors on travel status. A per diem cash advance request form must be submitted in advance of the event to allow processing time. 2140.80 Use of a District Credit Card District credit cards are to be used by Directors while acting in an official capacity for the District. Each Director will receive a copy of the District's Cal Card Procedures specifying the District's internal controls followed for credit cards. Use of a District credit card in any manner determined by the Board as inappropriate or outside of the established regulations could result in the loss of credit card privileges. Credit cards are issued to members of the Board by the District's finance office after taking office. Credit cards shall be retained by the District Director until leaving office unless the Board President asks the Director to return the credit card at an earlier date. Use of the District issued- credit cards for any personal expenses aredisallowed. If, inadvertently in the Policy #2140 Adoption Date: 7/2/98 Business Expense, Credit Card, Vehicle Use & Reimbursement Policy (con's;) 2140 course of use of the credit cards, expenses that are unsubstantiated by receipts or not allowed under this policy are charged to the credit card, the amount will be identified and subtracted from the allowable total or if necessary a Director will be asked to reimburse the District. was- trteurred. Monthly credit card statements will be given to each Board member for their review and signature. Once statements are distributed, they must be returned to accounts payable along with accompanying transaction receipts within five working days. 2140.90 Petty Cash - A petty cash fund exists for the purpose of advancing to or reimbursing Directors of the District for miscellaneous District expenses necessarily incurred in carrying out their duties. Requests for reimbursement must be accompanied by a receipt. 2140.100 Any disputed, unsubstantiated, incomplete, or late expense reports will be submitted to the Executive Committee for resolution. Policy #2140 Adoption Date: 7/2/98 130E NOV 1 4 2000 Payroll Legal Alert ( d —� 2f43.2" C'�CW?F�.�`r.9.G .C.:�Di.Gfl c. v. LC.G, iSevectGJF.c. Locations) State/Locality Lodging M &IE State/Locality Lodging M &IE State/Locality Lodging M &IE Ariz. Ida. Ohio Phoenix Sun Valley $149 $42 Cincinnati $69 $46 (1/1 -4/15) $107 $42 (4/16 -5/31) $79 $42 Ill. Cleveland $86 $42 (6/1 -8/31) $59 $42 Chicago $130 $46 (9/1- 12/31) $90 $42 Okla. Ind. Oklahoma $65 $38 Calif. Indianapolis $70 $42 City Los Angeles $99 $46 La. Penn. Palm Springs New Orleans Philadelphia $118 $46 (1 /1 -5/31) $129 $42 (1 /1 -5/31) $139 $42 (6/1- 12/31) $79 $42 (6/1- 12/31) $89 $42 Pittsburgh $79 $46 San Diego $99 $46 Md. R.I. Annapolis $90 $42 Newport San Francisco $159 $46 (4/1- 12/31) $110 $42 Baltimore $110 $42 (1/1 -3/31) $77 $42 South Lake Tahoe Mass. S.C. (6/1 -8/31) $99 $42 Boston $192 $46 Hilton Head (9/1 -5/31) $77 $42 (3/15 -9/30) $96 $42 Mich. (10/1 -3/14) $75 $42 Colo. Detroit $109 $46 Aspen S.D. (1/1 -4/30) $145 $46 . Minn. Rapid City (5/1- 12/31) $89 $46 Minneapolis/ $95 $46 (5/15 -9/30) $99 $34 St. Paul (10/1 -5/14) $55 $34 Denver $86 $42 Mo. Tenn. Steamboat $59 $38 St. Louis $90 $46 Memphis $70 $38 Springs Nev. Nashville $72 $42 Vail Las Vegas $72 $38 (12/1 -3/31) $190 $46 Tex. (4/1 -6/30) $105 $46 N.J. $69 $46 Dallas $89 $46 (711- 11/30) $129 $46 Atlantic City (6/1- 11/30) $100 $42 Houston $73 $42 Conn. (12/1 -5/31) $79 $42 Hartford $91 $42 Utah N.M. Park City Del. Santa Fe $90 $46 (12/15 -3/31) $145 • $46 Wilmington $99 $34 (4/1- 12/14) $69 $46 Taos $75 $34 D.C. $119 $46 Va. N.Y. Virginia Fla. Manhattan $198 $46 Beach (5/1 -9/31) $109 $38 Miami Rochester (10/1 -4/30) $55 $38 (1/1 -4/15) $89 $42 (5/1- 10/31) $65 $42 (4/16 - 12/31) $75 $42 (11/1 -4/30) $58 $42 Vt. Burlington/ $82 $38 Orlando $86 $42 Saratoga St. Albans Springs Palm Beach (7/1- 10/31) $95 $38 Wash. (1/1 -4/30) $105 $46 (11/1 -6/30) $75 $38 Seattle $109 $46 (5/1- 12/31) $69 $46 N.C. Wyo. Panama City Chapel Hill $80 $38 Jackson (3/1 -9/15) $72 $38 (11/1 -9/15) $98 $42 (9/16 -2/28) $55 $38 Raleigh $74 $38 (9/16- 10/31) $59 $42 Ga. Atlanta $93 $38 1 South Tahoe Public Utility District Board Policy Manual Training Education, and Conferences 2130 2130.10 Members of the Board are encouraged to attend educational conferences and professional meetings when the purposes of such activities are directly related to the Directors duties that will improve District operations. Hence, there is no limit to the number of Directors attending a particular conference or seminar when it is apparent that their attendance is beneficial to the District. 2130.11 "Junkets" (a tour or journey for pleasure at public expense), however, will not be permitted. 2130.20 It is the policy of South Tahoe Public Utility District to encourage Board development and excellence of performance by reimbursing expenses incurred for tuition, travel, lodging and meals as a result of training, educational courses, participation with professional organizations, and attendance at local, state, and national conferences, not deemed unreasonable, by a majority of the Board. 2130.30 Attendance by Directors of seminars, workshops, courses, professional organization meetings, and conferences shall be approved by the President of the Board prior to incurring any reimbursable costs. In the event a meeting, directly related to the duties of Director, is noticed which does not allow time to receive prior authorization, Board members shall seek unanimous authorization for attendance and payment of the expenses incurred from the General Manager and Board President; or, in the Board President's absence, the Vice - President. 2130.40 Upon request, District administrative staff shall be responsible for making arrangements for per diem, travel, lodging and registration for Directors attending approved functions. Policy #2130 Adoption Date: 6/18/92 Amended: 04/01/93 Amended: 05/21/98 Training, Education, and Conferences (continued) 2130 2130.50 Expenses to the District for Board of Directors' training, education and conferences should be kept to a minimum by utilizing recommendations for transportation and housing accommodations put forth by the District's Travel Policy. It should be borne in mind that public funds are being spent and that only a reasonable level of expense is warranted. Authorized business expenses shall not include costs associated with a Board member's spouse, family, or friends. 2130.60 Upon returning from seminars, workshops, or conferences where expenses are reimbursed by the District, Directors will either prepare a written report for distribution to the Board, or make a verbal report during the next regular meeting of the Board. Said report shall detail what was learned at the session(s) that will be of benefit to the District. Materials from the session(s) may be delivered to the District office to be included in the District library for the future use of other Directors and staff. 2130.70 Any disputed, unsubstantiated, incomplete, or late expense reports will be submitted to the Executive Committee for resolution. Policy #2130 Adoption Date: 6/18/92 Amended: 04/01/93 Amended: 05/21/98