Problematic Expense Guide - A to Z

• Home Cleanup/Repair Related to Hosting University Events in an Employee’s Residence – While there is no University Policy that prohibits employees from holding University events in their home and using University funds to pay for the expenses of the actual event, certain expenses pertaining to the residence itself and other personal property at the residence are prohibited uses of University Funds.
  
  
  • Examples
    • Household cleaning of private residence before or after the event
    • Repairs & Maintenance of private residences
    • Repair or replacement of damaged or stolen items
      
      
  • The Reason this is Unallowable – Some University employees graciously open their home to University or departmental events, often to save on the cost of a venue rental. While this is not prohibited, it is discouraged by the UNM department of Risk Services due to potential liability issues.  Additionally, the University is prohibited from paying or reimbursing expenses related to cleaning or repair & maintenance of a private residence or compensating individuals for items that were damaged or stolen at an event held in their private residence.  The payment of these expenses 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 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).
    
    
  • Possible Allowable Alternatives - Try this Instead:
    • Instead of holding a University event in your home, consider instead hosting it at a venue like a hotel, a private room at a restaurant or the UNM Student Union Building. All expenses related to cleanup before/after the event and damage to property would be allowable expenses for an event held at a business venue.
    • 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.