Allowable Use of Funds Policy Revised

The University at Buffalo is entrusted with funds from various sources. Employees who incur or approve expenses must exercise prudent judgment to ensure that the expenses are for legitimate university business and comply with the appropriate allowability criteria. Employees are responsible for ensuring the appropriate use of funds within the constraints of limited resources.

The Allowable Use of Funds Policy governs the payment of expenditures incurred or approved by employees on behalf of the university. All expenditures funded with State, University at Buffalo Foundation (UBF), and Research Foundation (RF) accounts must be appropriate, reasonable, allowable, and allocable; they also must support the education, research, and public service missions of the university.

All university departments must implement a system of supervisory checks and balances to ensure expenditures always meet university interests. Expenditures paid from various funding sources are subject to specific requirements for use. Details regarding the use of State, UBF, RF Non-Sponsored, and RF Sponsored funds are found in the Allowable Use of Funds Chart. 

The policy was updated to:

• Clarify that Hosted Business Meals and Student Meals are not subject to the per diem, but the amount must be appropriate and reasonable
• Specify that meals provided for virtual events are subject to all requirements of the policy and must be provided in the form of an actual meal, delivered to an individual’s physical location; gift cards to purchase a meal are not allowable; alcohol is not a permissible expense for a virtual event
• Include a reference to the annual Holiday Spending Reminder
• Increase the dollar limit for the per person reimbursement for alcoholic beverages from the lesser of the cost of two alcoholic beverages or $15 to the lesser of the cost of two alcoholic beverages or $20
• Specify that when alcohol is provided at a hosted event, it must be served by a provider licensed to serve alcohol
• Require documentation that alcohol was served by a licensed provider
• Add definitions for Crowdsourcing and Licensed Provider
• Add the following responsibilities for the UBO:
  • Communicate the policy to departments and units
  • Support strong unit financial stewardship through ongoing dialog regarding reasonableness and business purpose
  • Act as a consultant to unit employees seeking guidance on policy clarification or interpretation

The Chart was updated to:

• Add a link to the Holiday Spending Reminder (Food and Beverage Expenses - Internal Business Meals)
• Increase the dollar limit for the per person reimbursement for alcoholic beverages from the lesser of the cost of two alcoholic beverages or $15 to the lesser of the cost of two alcoholic beverages or $20 (Food and Beverage Expenses – Alcoholic Beverages)
• Add a section for Crowdsourcing Services
• Add a Revision History section

This policy applies to all university faculty, staff, and student employees who make decisions regarding the use of funds for the purchase of food and beverages, human subject consideration, crowdsourcing services, clothing, registration fees, décor, appliances, and memberships.

Separate policies govern the allowable use of funds for specific purposes:

• Travel Policy details the allowable use of funds when in travel status
• Equipment purchases must be secured via the appropriate procurement guidelines and policies
• Gifts, Prizes, and Awards Policy outlines how the university recognizes members of the university community in support of our mission

Consult with your Unit Business Officer for initial clarification or interpretation questions. 

Funding specific questions can be directed to the following subject matter experts: