Problematic Expense Guide - A to Z

• Gaming Venues/Gaming Entertainment for Employees - The payment or reimbursement for personal entertainment expenses for UNM employees, whether in conjunction with a unit retreat/team building activity or otherwise, is an unallowable use of University funds.
  
  
  • Examples:
    • Electronic Game venues
    • Bowling
    • Laser Tag
    • Golf games
    • Pickleball venues
      
      
  • The Reason this is Unallowable – According to guidance we have received from the Office of the New Mexico State Auditor, the payment of these expenses is considered personal in nature and would violate the New Mexico Anti-Donation Law and corresponding University Administrative Policy 4000: Allowable and Unallowable Expenditures, Section 6:  Personal Benefit.  This would also constitute a violation of New Mexico Attorney General Opinion 97-02 and would likely constitute wasteful spending under State law.  In New Mexico State Auditor statues, waste is defined as “…the act of using or expending resources carelessly, extravagantly, or to no purpose."(NMAC 2.2.2.7(W).
    
    
  • Allowable Exceptions:
    • Entertainment expenses for outside hire candidates for University employment could be allowed as recruiting expenses when in accordance with University Administrative Policy 4040: Employee Recruitment Expenses, Section 3:  Allowable Department Recruitment Expenses. 
    • Reasonable expenses for entertainment at major campus events such as graduation/convocation ceremonies are allowable when in accordance with New Mexico Attorney General Opinion 97-02.
      
      
  • Possible Allowable Alternatives - Try this Instead:
    • If a unit has funds available at the UNM Foundation, the Foundation may be able to pay for these expenses directly. With the UNM Foundation existing as a legally separate Non-Profit entity and not a governmental entity like the University, New Mexico government spending restrictions do not apply to funds that are disbursed directly by the Foundation.