Representational Allowance Expenses
UAF uses the Representational (Rep) Allowance form to document the business justification for and certification of all entertainment-type expenses. Entertainment-type expenses include expenditures for any activity providing hospitality, recreation, amusement, meals or other service, benefit or commodity generally considered entertainment. They also include satisfying the personal needs (such as providing food, lodging or transportation) of individuals or guests.
UAF’s Rep Allowance form provides a clear avenue to document and substantiate these non-standard expenses as allowable and avoid the appearance of impropriety or waste, as well as satisfy tax reporting, federal agency, and UA regulatory requirements. The Rep Allowance form documents that an authorized central figure has certified the expenses as appropriate and in line with UA business needs.
NOTE: As this is a reporting function, Rep Allowance Forms should not be used for pre-approval, but instead filled out when the activity is completed.
Units must complete and submit to OFA a Rep Allowance form for 8115 expenses over $200, gifts over $25 and other discretionary expenditures.
Units must complete and internally file a Rep Allowance form for non-8115 entertainment-type expenses and 8115 expenses under $200.
All entertainment-type expenses over $25 require an invoice. A receipt documenting proof of payment is required if requesting direct pay reimbursement through Accounts Payable.
- "Gifts" purchased for use as prizes follow both the Rep Allowance process and the processes outlined under the Non-Cash Gifts/Awards & Raffles page.
- Fund 1 money cannot pay for gifts >$25 or for alcohol/alcohol-related charges (including bartenders or liquor licenses).
- Entertainment-type expenses cannot be reimbursed or paid from petty cash.
- Entertainment-type expense purchases on ProCards require authorization from Procurement & Contract Services prior to purchase.
- Restricted funds are governed by the agency grant or contract and may vary from state and UA regulations. Please visit the Office of Grants & Contracts Administration website for more information on restricted funds.
Entertainment-Type Expense Account Codes
Representational expenditures in direct conduct of UA business or interests.
Includes but is not limited to
- Gifts (>$25)
- Catering, self-catering or meals in venues that include alcoholic beverages
- Office decorations or refreshments
- “Thank you” or holiday cards
- Water, coffee, tea and sodas
- Utensils, plates and cups
- Open house events
- Events at private homes
- Staff recruitment (meals or receptions)
- Hospitality provided to visiting guests/dignitaries
Entertainment-type expenses not considered representational expenditures (non-8115).
3008 (3018 Restricted Fund)
Non-alcohol catered services, non-alcohol meals in venues or other entertainment-type expenses that do not meet the threshold for a representational expenditure.
4008 (4018 Restricted Fund)
Groceries and food purchased for self-catered events, small tokens of appreciation of nominal value (<$25) and other entertainment-type commodities that do not meet the threshold for a representational expenditure.
Includes but is not limited to
- Small plaques or other tokens of appreciation (gifts <$25)
- Advisory council meetings
- Special UA events
- Dept meeting for a specific purpose (non-recurring)
- Elder programs
- Faculty convocation or orientation
- Honors program
- Merit awards or presentations
- RA housing meeting
- Rural AK Honors Institute/Upward Bound
- Student recruitment activities
- Student Services programs
- Summer Arts Program
- Training sessions
- Working lunches
Events where participants are required to work through a meal period require an agenda and list of attendees.
Note: Seasonal cards, office decorations, office refreshments and their respective supplies are considered representational expenditures regardless of their nominal value.
All 8115 expenses >$200, gifts >$25, expenditures that include alcohol and other discretionary expenditures require a signature from the Rep Allowance designee assigned by the Chancellor certifying the expense as necessary for business. This list of designees is updated every year. Please reference the current list when determining your authorized approver.
Reminder: 8115 expenses >$200 which are purchased with a Procard or through Procurement, require approval from the designated authority before funds are expended, which can be obtained in an email or other document.
The unit's fiscal designee can certify non-8115 entertainment-type expenses and 8115 expenses <$200. The fiscal designee is the authorized approver for the funding source, generally the financial manager or dean/director for the unit.
The Rep Allowance form provides clear documentation of the business justification or benefit gained and approval from the authorized designee which is essential for audit purposes (including ProCard audits). A receipt or invoice is required, and can be uploaded when the form is initiated.
Our Rep Allowance forms use Docusign PowerForms to capture required information and signatures. A Docusign account is not required to prepare or sign the form.
For non-8115 entertainment-type expenses and 8115 expenses <$200
- Identify your signature authority (fiscal designee)
- Complete this Rep Allowance Form
- Attach Receipt
For 8115 expenses >$200, gifts >$25, expenditures that include alcohol and other discretionary expenditures
- Use the Signature Authority Designee List to determine the authorized approver
- Gifts >$100 require additional approval from the AVC for Financial Services
- Complete this Rep Allowance Form
- Attach receipt
If you are the form preparer AND approver, enter your name and email in both the "Form Preparer" and "Fiscal Designee" fields.
Terms as defined by UA regulations and their use in the Rep Allowance process.
Gifts include awards and tokens of appreciation or recognition to students, employees, dignitaries, community leaders, visitors, guests and other associates. Gifts may be based on achievement, service to UA, cultural traditions or contributions to the mission, purposes or goals of UA or its community.
Gifts are considered representational expenses except for issuance of modest cost (<$25) plaques or similar tokens of appreciation or recognition which may be charged to non-representational accounts
Invoices/Receipts are required for all entertainment-type expenses >$25 regardless of payment method.
An invoice/receipt may take many forms (e.g. cash register receipt, copy of an order form, web receipt, etc.) but must identify the following:
- Date of purchase
- Vendor’s name
- Itemized list and unit price of the purchased items
- Total amount
Proof of payment is required when requesting direct reimbursement for entertainment-type expenses.
Proof of payment may take many forms but must demonstrate that payment was tendered and must identify how payment was tendered by the employee. This information is usually included on the original receipt and indicated in the following ways:
- “Cash Tendered”
- A zero-balance due
- Documentation of payment method (e.g. card type with last four digits of card)
A clear, concise detailed description of the business purpose or benefit gained is required for all entertainment-type expenses.
The description should support a complete, reasonable understanding of the business conducted. The business purpose of an expense may be obvious to the employee, but not to a third-party reviewer.
For example, “Dinner with donor to discuss alumni event ideas” is an appropriately documented business purpose. “Dinner with donor” is not.
Reasonableness is required on expenditure amounts for business meals.
An amount is deemed “reasonable” if it does not exceed three times the current federal per-diem rate for that city, pro-rated as follows:
- Breakfast: 25%
- Lunch: 25%
- Dinner: 50%
Example: Assume that a faculty member has a business dinner in Fairbanks with a colleague from another university, and the current federal per-diem rate for Fairbanks is $70. Under these assumptions, a total dinner cost (excluding tip) of up to $105 per person is considered “reasonable” ($70 * 50% * 3 = $105).
An "ordinary" expense is an expense of a type which is customary and usual in the individual's field of business, trade or profession.
A "necessary" expense is an expense which is appropriate and helpful to the conduct of such business.
Due to the varied and complex nature of Rep Allowances, not all situations are covered
Our staff are happy to answer any questions or help navigate specific scenarios.