Entertainment Expenditures require a completed Official Occasion Expense Form (OOEF):
Expenditures of University of Texas at Austin funds for entertainment should support the institutional mission and must serve a business purpose.
Generally entertainment expenditures include food and beverages, facility rentals, flowers, invitations, and other similar expenses.
More Information: https://financials.utexas.edu/hbp/part-9/1-1-entertainment-and-official-occasions-expenses
Find OOEF at: https://utexas.app.box.com/v/official-occasion-expense .
Processing payment:
- OOEF must have an authorized signature before processing reimbursement/payment via a VPE. Authorized signature is usually the Finance Manager's. If alcohol is the primary expenditure, Dean's signature is required.
- Before processing the VPE, stamp invoice/receipt with "Invoice Received" stamp (& sign) and stamp with "Goods/Services Received" (& have recipient sign).
Some rules:
- Entertainment Expenses: Expenses incurred for official occasions and entertainment may be reimbursed according to the Entertainment and Official Occasion Expenditure Policy Chart for the appropriate type of expense. Entertainment expenses are not allowed on state funds (14-accounts), Available University Funds (AUF) (20-accounts), indirect cost (19-accounts), or service center funds (18-accounts). For a complete list of the account types that are allowed for entertainment expenses, refer to the chart.
- Entertainment Limits
- The entertainment limit is an average of $75 per person including food, alcohol, tax, and gratuity. The cost should be appropriate for the type of meal or event, and this limit applies to all venues including restaurant expenses and entertainment at a private residence.
- Units will not be required to get a per person cost when there is a negotiated agreement with a vendor for a total package price that includes food and non-food expenses.
- Gratuities are allowed within reasonable limits. Gratuities are not to exceed 20 percent of the bill subtotal before sales tax. For more information, refer to section 9.1.1.M.1.h.
- Alcoholic Beverages:
- Total food expense must be more than half of the total alcoholic beverage expense. Occasional Exception: With the Dean's approval signature on the OOEF, alcoholic beverages may be more than half. If multiple payment documents are submitted for the same event and alcohol is paid separately, then a copy of all backup documentation related to the event must be included when processing payment for alcoholic beverages to verify alcohol expense is not greater than food expense. Also, write in DEFINE NOTes that food expense is more than alcoholic beverage expense, noting the expense of each.
- Only food can be compared with alcoholic beverage cost - Room fees, sodas, coffee, etc. cannot be included in the food expense total.
- When serving alcoholic beverages at campus events, the event planner must request and receive approval for a bartender. Planner must ensure that a TABC/Texas Alcoholic Beverage Commission-licensed bartender will serve alcoholic drinks.
- Exceptions to normal entertainment policy and limit require justification documented on the Official Occasion Expense Form (OOEF) and approval by the dean, vice president, or vice president equivalent. Official delegates may not approve these exceptions. For more information about the OOEF, refer to section 9.1.1.M.1.a.
- Invitations and Holiday/Greeting Cards: Invitations should clearly indicate that the event is a university function. Holiday and greeting cards must be issued in the name of the sending department or office.
- Deadline for Submitting Invoices and Receipts: In accordance with the Prompt Payment Act, vendor invoices must be submitted for payment within 30 days of the event in order to avoid accruing late interest fees.
- State Sales Tax: The university is exempt from state sales tax, so faculty and staff must follow the Texas Sales and Use Tax Exemption Certificate Instructions and present the exemption certificate (Texas Sales Tax Exemption Certificate) to the vendor at the time of purchase. However, employees can be reimbursed for sales tax on business meeting meals. For tax charged on goods and services, refer to 9.1.2. Other Reimbursements, for guidance.