Problematic Expense Guide - A to Z

• Thank You Gifts - The payment or reimbursement for thank you gifts to faculty, staff, students, their families or other outside individuals or organizations is a prohibited use of University funds, unless authorized by other University Policies.
  
  
  • Examples
    • Gift cards or other gifts to University employees who served on a hiring committee or other group.
    • Gifts such as food or sports/concert tickets to a University business partner.
    • Gift Baskets
    • Flowers & Floral Arrangements
      
      
  • The Reason this is Unallowable – The payment of these expenses is personal in nature and would therefore violate the New Mexico Anti-Donation Law and is specifically prohibited by corresponding University Administrative Policy 4000: Allowable and Unallowable Expenditures, Section 6:  Personal Benefit.  In addition, these expenses would also most likely constitute unnecessary 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).
    
    
  • Exceptions – University funds may be used to purchase recognition gifts (not including cash) for employee service awards and retirement in conjunction with a formal UNM Human Resources Staff Recognition program, provided the items are not lavish or extravagant and are of de minimis value. See University Administrative Policy 3235:  Staff Recognition Programs for guidelines. 
    
    
  • Possible Allowable Alternatives - Try this Instead:
    • While State Law generally prohibits giving gifts paid with University funds, the University can legally purchase and give away low cost “Promotional Items” such as T-Shirts and Coffee mugs that bear a UNM logo or messaging in accordance University Administrative Policy 4000: Allowable and Unallowable Expenditures, Section 7:  Promotional Items.
    • 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.