City of
PORTLAND, OREGON
Rules for Travel,
Miscellaneous Expenses and Receipt of Related Benefits
PREPARED BY THE
TRAVEL SUB-COMMITTEE OF THE
ACCOUNTING ADVISORY COMMITTEE,
APPROVED BY THE CITY ATTORNEY’S OFFICE
AUGUST 22, 2000.
ADOPTED BY COUNCIL APRIL 11, 2001
AMENDED JANUARY 1, 2002
Enerosa Cortes
Barbara Garrison
Steven Hendricks
Eric Hofeld
Todd Kelley
Jerri Widner
RULES FOR TRAVEL AND MISCELLANEOUS EXPENSES
CONTENTS
Purpose 1
SECTION I. DEFINITIONS 1
Approving Authority 1
Authorized Travel 1
Benefits 1
Bureau 1
Chief Administrative Officer 1
Commuting Expenses 2
Contemporaneous Record 2
Employees 2
Miscellaneous Expenses 2
Out-of-Town-Travel 2
Purchasing Agent 2
Short Title 2
Travel Expenses 2
Volunteers 2
SECTION II. GENERAL 2
Persons Eligible for Travel Expense Reimbursement 2
Employees 2
Volunteers 3
Non-Employees 3
Professional and/or Technical Contractors 3
Travel Authorization 3
Travel Expenses 3
SECTION III. PAYMENT / REIMBURSEMENT OF TRAVEL EXPENSES 4
Travel Advance Request 4
Travel Expense Reimbursement 4
Corporate Travel Cards 5
Purchasing Agent Travel Card 5
Individual Travel Cards 5
City of Portland Procurement Cards 6
SECTION IV. TRAVEL MANAGEMENT 6
City Travel Agent 6
SECTION V. LODGING, MEALS AND INCIDENTAL EXPENSES 7
Allowable Expenses 7
Meals 7
General 7
Meals En Route 7
Meals of Multiple Travelers 8
Meals of Others 8
Per Diem Method Addendum Requirement 8
Lodging 9
Government Rates 9
Double Occupancy 9
Lodging Expenses Above Guidelines 9
Incidental Expenses 10
Expenses Normally Reimbursed 10
Expenses Not Reimbursed 10
SECTION VI. TRANSPORTATION EXPENSES 11
Airlines 11
Air Travel or Schedule Deviation 12
Restitution for Non-Performance 12
Airline Cancellation Penalties 12
Taxi and Airport Bus Service 12
Railroads 13
Bus Lines 13
Rental Vehicles 13
Use of Rented Vehicles 13
Renter Liability for Vehicle Damage 13
Responsibilities Following an Accident 14
Rental of Charter Aircraft 14
Employee-Owned or Rented Aircraft 14
Non-Scheduled or Charter Aircraft 15
City-Owned Vehicles 15
Use in Accordance with Fleet Policy 15
Emergency Repairs to City Vehicles 15
Private Vehicle Use 15
General 15
Authorization 16
Condition for Use 16
Insurance Requirements 16
Reimbursement 17
SECTION VII. MISCELLANEOUS EXPENSES 18
Approved Miscellaneous Expenses 18
Volunteer expenses 18
City Wide Functions 18
Awards 19
Economic Development, Community Cooperation and Information Gathering 19
Professional Organizations 19
Civic Organizations 19
SECTION VIII. PRIZES, AWARDS OR PROMOTIONAL ITEMS RESULTING FROM TRAVEL OR ATTENDANCE AT CONFERENCES AND SEMINARS 19
Prizes, Awards and Promotional Items 19
General 19
Prizes and Awards 20
Promotional Items 20
RULES FOR TRAVEL, MISCELLANEOUS EXPENSES AND RECEIPT OF RELATED BENEFITS
City Code section 5.08.100(a) directs the Office of Management and Finance to develop rules and procedures for Council adoption that deal with travel, private automobile, and certain miscellaneous expenses of the City. These rules fulfill that directive. They clarify, combine, and summarize the circumstances by which City employees and others may be equitably and consistently reimbursed for those reasonable and necessary travel and miscellaneous expenses incurred while conducting official City business. They also address the receipt of benefits from travel providers and from the organizers of conferences, seminars and professional gatherings.
SECTION I. DEFINITIONS
Approving Authority
A City of Portland elected official, bureau manager, agency manager or a designee who may approve requests for authorized travel and reimbursement of related travel expenses.
Authorized Travel
Generally, travel for City business may include conventions, conferences, meetings of professional associations, training, and meetings with others from which the City will derive benefit through the attendance of a representative. All requests to incur City travel costs must identify the benefit to the City.
Awards, Prizes, Promotions
Goods or services (a) offered to employees who attend seminars, conferences or other gatherings or (b) are won by employees, while on City business, as a result of their participation in contests including drawings, raffles and games of skill or chance.
Benefits
Goods or services that accrue directly to an employee as a result of or from the employee’s travel on official City business. Examples are travel incentives, prizes, awards and promotional items.
Bureau
As used in these Rules for Travel, a bureau is any office, agency or organization of the City of Portland.
Chief Administrative Officer
An individual appointed by the Mayor to administer the City’s economic policies, processes and administrative services.
Commuting Expenses
Costs of traveling between an employee’s primary place of residence and the employee’s main or regular place of work.
Contemporaneous Record
A record prepared at or near the time of expenditure or use. A contemporaneous record may be an account book, a log book or similar record and must include: date, amount, name and location of establishment, and purpose of the expense.
Employees
For purposes of applying these Rules for Travel, employees include all represented and non-represented employees, the Mayor, Council Members, and City Auditor or their designated representative(s). Employees shall also mean persons in temporary or contracted positions who have been authorized to travel on official City business.
Miscellaneous Expenses
Incidental non-travel expenses incurred in conjunction with the conduct of official City business.
Out-of-Town-Travel
Travel on City business away from the normal work place or residence that requires an overnight stay. Meals may be reimbursed only when the travel requires an overnight stay.
Purchasing Agent
Purchasing Agent refers to the Director of the Bureau of Purchases or a designee.
Short Title
Reference to “Rules” or “Rules for Travel” will be the same as reference to “Rules for Travel, Miscellaneous Expenses and Receipt of Related Benefits”.
Travel Expenses
Transportation, meals, lodging and incidental expenses associated with conducting City business away from normal work locations per IRS guidelines.
Volunteers
Members of boards, commissions, advisory committees, and others who provide authorized services to the City of Portland without pay.
Persons Eligible for Travel Expense Reimbursement
Employees
All City of Portland employees.
Volunteers
Reimbursement is limited to actual and reasonable expenses, as documented by receipts or contemporaneous record, incurred in providing authorized services to the City. The expense limits and approvals defined in this section that apply to City employees are also applicable to volunteers.
Non-Employees
Individuals not defined as either employees or volunteers may be reimbursed for travel expenses only when pre-approved and incurred in conjunction with providing a service to the City. Reimbursement of meal and lodging expenses is limited to the rates that are appropriate for a City employee providing a comparable service. Written approval of the appropriate approving authority is required to reimburse travel expenses for non-employees. Travel expenses for recruitment of designated “key” positions, as provided in the Personnel rules, are also permitted. Travel Authorization forms may be used for non-employees. Reimbursements will be reported to the IRS as required.
Professional and/or Technical Contractors
All individuals or companies being reimbursed per an approved professional service contract shall be reimbursed for expenses in accordance with the terms of the contract only.
Travel Authorization
Consistent with these Rules for Travel, each elected official is authorized to establish appropriate travel authorization requirements and procedures for the organizations for which they are responsible. Authorized travel should consider both economy, and the best use of time when choosing a means of travel. Transportation costs, travel time, worker effectiveness, and en route meals and lodging are to be considered when determining least cost. Carpooling is encouraged and should be considered in determining least cost. A completed and approved Travel Advance Request or Travel Expense Statement is deemed to be authorization to travel.
Travel Expenses
Generally, City employees should exercise good judgement, regard for economy, and recognition of proper use of public monies while traveling or incurring expenses in connection with City business. Any expense requested for reimbursement or payment by the City must be documented to be directly and clearly related to the conduct of City business. Reimbursement will be by receipt or contemporaneous record of actual cost only; per diem allowances will not be used unless an addendum to use the per diem method has been adopted by the employee’s bureau. Costs that exceed objective guidelines must be justified and approved.
SECTION III. PAYMENT / REIMBURSEMENT OF TRAVEL EXPENSES
Travel Advance Request
Effective February 1, 2002, cash advances shall not be issued to employees traveling on official business. Employees may use the City’s corporate travel card, a procurement card, a personal credit card or cash for non-mode-of-travel expenses Only those employees whose bureaus have filed a per diem addendum may be reimbursed in full for meal expenses prior to travel. Reimbursement shall be issued no sooner than five days prior to travel. Per diem requirements are outlined later in these Rules. Employees shall complete Travel Advance or Travel Authorization forms prior to travel to assure that expenses are approved by the designated approving authority and fall within City guidelines.
Travel Expense Reimbursement
All requests for travel expense reimbursement must be submitted for approval on a Travel Expense Statement.
Travel expenses must be approved by the designated approving authority. Unless specifically excepted by the appropriate elected official, City employees may not approve their own expenses.
Requests for reimbursement must be accompanied by receipts or contemporaneous records and other required information, including a description of the benefits achieved by the City from such travel.
Meal and lodging expenses will be paid or reimbursed on an actual cost basis, within guidelines established by the Accounting Division of the Office of Management and Finance. The Accounting Division will subscribe to and use the Runzheimer Meal-Lodging Cost Index and use “average costs” as the standard for setting expense guidelines for each locality. Costs above the guideline will only be paid or reimbursed when written justification is provided and approved by the approving authority.
Employees will be reimbursed directly for authorized travel expenses through the use of Travel Expense Statements or mileage reimbursement forms. Payments to vendors will generally not be made except to City credit card companies, training and facility providers, or for the purchase of airline tickets.
Reimbursement of travel expenses totaling less than $100 may be paid from petty cash funds. Reimbursement totaling $100 or more will be by City check or electronic funds transfer. All reimbursement requests must include a Travel Expense Statement and related receipts or a contemporaneous log and must be approved by an approving authority.
Corporate Travel Cards
Purchasing Agent Travel Card
The City’s Purchasing Agent will be issued a corporate travel card to obtain and pay for transportation costs related to employee travel. The City’s contracted travel agent will charge all costs to the Purchasing Agent’s corporate travel card. City employees arranging travel for themselves or other employees shall use the City’s designated travel agent and shall provide the agent with a valid center code number when ordering travel services. The travel agent will be instructed to make no charges to the card without an appropriate center code number provided by the employee traveler or the employee’s travel coordinator. All charges to the Purchasing Agent’s travel card will be paid by the City and will be charged to the center code of the bureau requesting the travel services.
Individual Travel Cards
The Council also authorizes the use of corporate travel cards issued in the name of individual City employees. These cards are to be used for incidental expenses only while conducting or traveling on City business under the following guidelines:
• Individual corporate travel cards are not to be used for purchasing airline tickets. Tickets are purchased through the contracted travel agent.
• Individual corporate travel card use, upkeep, and availability for use for official travel are the responsibility of the employee. Failure to maintain the card in good standing may result in cancellation of the employee’s account.
• The employee is liable for all charges to the individual corporate travel card. It is the cardholder’s responsibility to seek timely reimbursement for charges, in accordance with these Rules for Travel.
• Application for an individual corporate travel card may be obtained from the Bureau of Purchases. All applications must be signed by the requesting employee and the approving authority, then returned to the Bureau of Purchases for final approval.
• The City assumes no liability, nor will it pay any fee associated with the issuance of an individual corporate travel card.
• Delinquency charges are the responsibility of the employee cardholder and are not eligible for reimbursement by the City.
• Upon leaving City employment, a cardholder shall return the individual corporate travel card to his/her Bureau Manager or Bureau card administrator.
• The vendor may cancel or suspend an individual corporate travel card at any time for any reason with notice as provided by law.
City of Portland Procurement Cards
Procurement cards may be used instead of travel advances or reimbursement for the payment of pre-approved incidental expenses within the guidelines and processes set forth by the City’s Procurement Card Policy. Individual cardholders and their supervisors are responsible for understanding the applicable guidelines and using the cards appropriately.
SECTION IV. TRAVEL MANAGEMENT
Travel is a major expense for the City of Portland. In an effort to control and reduce travel costs, the City has designated specific travel agents to serve the City.
City Travel Agent
The Bureau of Purchases is responsible for obtaining travel agent services for all City travel. The Bureau of Purchases shall contract with one or more travel agents who will be responsible for providing all travel agency services to the City of Portland.
All travel should be coordinated through the City Travel Agent. Exceptions will be made for special fares available through conference-designated travel agents that can provide travel options at less cost.
Services of the City Travel Agent include:
• Travel Planning - Assistance in planning and scheduling travel by individuals and groups, and advice on alternate departure or return dates, routing, and other factors to reduce costs.
• Air Travel - Reserving and ticketing air travel to achieve the lowest available cost; tracking air fare changes and reissuing tickets when fares are reduced; and delivering tickets and itineraries, or arranging for their pickup at the airport. The Travel Agent can also provide seat assignments and boarding passes for some airlines.
• Lodging - Locating and reserving lodging accommodations at below regular rates where possible, and guaranteeing a room for late arrival.
• Rental Cars - Locating and reserving rental vehicles at the lowest cost.
• Charter Flights - Scheduling and arranging charter flights for large groups.
• International Travel - Assisting and advising international travelers regarding visas, passports, inoculations, currencies, customs, etc.
• Itinerary Changes - Assisting travelers to obtain new airline tickets and credit for unused tickets, and to change car and lodging reservations when a change in itinerary is necessary.
• Lost Tickets and Baggage - Advising travelers regarding reporting and processing claims for lost or stolen tickets and lost baggage, and assisting in locating lost baggage.
• Air Fare Quotes - Providing documented lowest air fare quotes when a traveler requests to use a private vehicle in lieu of air travel.
• Split Billing - When an individual combines personal travel with a business trip, the Travel Agent splits the billing so that only air travel required for the business trip is charged to the City. The individual is billed separately for the personal segment of the trip. This procedure is also used when a third party pays part of the cost directly to the Travel Agent. Any refund for a canceled ticket that was split billed will be pro-rated in proportion to the original cost.
SECTION V. LODGING, MEALS AND INCIDENTAL EXPENSES
Allowable Expenses
This section contains detailed information on lodging, meals and incidental expenses including reimbursable and non-reimbursable expenses; lodging and meal reimbursement rates; approvals required; and record requirements.
General
Meal expenses associated with overnight travel, including taxes and gratuities up to 15% of meal costs, are reimbursable on an actual cost basis with dated receipt or contemporaneous record. Reimbursement is limited in the aggregate to the rates defined below. In all cases, the written approval of the appropriate approving authority is required to reimburse travelers for meal expenses in excess of the guidelines. Reimbursement may not be claimed when no meal expense has been incurred. Actual cost meal expenses cover only Breakfast, Lunch and Dinner. Snacks, mid-meal refreshments, or alcoholic beverages are not reimbursable.
The guidelines for meals will be determined by referencing “average” costs for the appropriate locality from the most current edition of the Runzheimer Meal-Lodging Cost Index. Employees may combine meal costs for one day to determine the City’s daily upper-limit guideline, which may then be divided between breakfast, lunch and dinner as desired. Costs in excess of these guidelines must be justified and approved by the appropriate approving authority. The Accounting Division will ensure that current guideline information is available for bureau use.
Meals En Route
Meal reimbursements are allowed on the initial day of travel if the employee leaves the official work station or place of residence if authorized, on or before the following times:
Breakfast 6:00 a.m.
Lunch 11:00 a.m.
Dinner 5:00 p.m.
Meal reimbursement is allowed on the day of return if the employee returns to the official work station, or place of residence if authorized, on or after the following times:
Breakfast 9:00 a.m.
Lunch 2:00 p.m.
Dinner 7:00 p.m.
Meals of Multiple Travelers
Meals should generally be for a single individual. However, when traveling with other City employees, travelers may decide that one or more meals will be paid by one employee. If this option is chosen, it must be so stated and cross-referenced on the Travel Expense Statements of all applicable travelers.
Meals of Others
When entertaining others, the meal receipt or contemporaneous record must state the date, names of persons at the meal, name and location of the establishment and the nature of the City business conducted at the meal. Such expenses must be approved by the appropriate approving authority and the meal cost of the other person is reimbursed on an actual-cost basis.
Per Diem Method Addendum Requirement
Meals of travelers are generally reimbursed on an actual-cost basis. Bureaus, with the approval of the Chief Administrative Officer, may implement an addendum to these Rules for Travel that uses the per diem method for meal reimbursement. Once approved and implemented, all bureau employees must use the per diem method until the bureau revokes the addendum. The addendum must, at a minimum, include the following seven requirements:
1. Sets forth the Bureau’s per diem reimbursement rates. These rates may be less than but cannot exceed the regular federal per diem rates included in IRS Publication 463, Travel, Entertainment, Gift, and Car Expenses; IRS Publication 1542; or the IRS web site at http://www.irs.gov/forms_pubs/pubs/p1542toc.htm.
2. Instructs travelers that they will be limited to the Bureau’s per diem rates regardless of costs actually incurred (e.g. a traveler cannot use the actual cost method);
3. Instructs travelers that for the day of departure and the day of return, the per diem reimbursement will be limited to meals en route only. Breakfast and lunch are reimbursed at 25% of the full-day per diem rate, and dinner is reimbursed at 50% of the full-day rate.
4. Informs travelers that per diem rates may vary during a trip depending on the locations where the traveler is required to spend time;
5. Requires travelers to return all per diem advanced for any days of travel not incurred. Return of unused per diem will follow the same procedures used to account for and return excess funds for the actual cost method described elsewhere in these Rules for Travel; and
6. Informs travelers that per diems are not allowed when meals are included in fees or registration costs. Meals not included may be reimbursed at 25% of the full-day per diem rate for breakfast and lunch and 50% of the full-day rate for dinner.
7. Informs travelers and Bureau accounting personnel that per diem reimbursement will not be issued sooner than five days prior to travel.
A copy of the written addendum to these Rules for Travel, signed by the bureau director and Chief Administrative Officer, is required to be provided to the Accounting Division, Office of Management and Finance prior to the first use of per diem reimbursement by bureau personnel.
Approving authorities in Bureaus adopting a per diem policy are responsible for insuring Bureau personnel are trained on the requirements of per diem reporting. They will also be required to maintain a working knowledge of IRS rules and guidelines relating to per diem.
Lodging
Lodging expenses, including taxes and fees, are based on the Runzheimer Meal – Lodging Index and are normally reimbursed when the supervisor determines that the traveler would not reasonably be expected to return to his or her primary place of residence between work shifts.
Government Rates
Many establishments offer lower rates for government travelers. The employee and/or City Travel Agent should ask for and secure such rates when advantageous to the City.
Double Occupancy
Room sharing is encouraged, when appropriate. When City employees share a room, reimbursement is limited to the amount actually paid. Travelers must determine if lodging costs will be split or paid by only one traveler. Whatever the agreed upon arrangement is, it must be so stated and cross-referenced on the Travel Expense Statements. If an authorized traveler shares a room with a person not authorized to travel by the City, the City will reimburse only up to single lodging rate.
Lodging Expenses Above Guidelines
Lodging expenses, including lodging taxes, in excess of the Runzheimer guidelines may be reimbursed only when justified and authorized by the appropriate approving authority. However, no such justification is necessary in cases where lodging is at a conference site and the Travel Expense Statement describes the circumstances.
Incidental Expenses
Expenses Normally Reimbursed
The following are examples of business-related expenses that are normally reimbursable when documented by a receipt or contemporaneous record.
• Telephone, fax and telegraph charges.
• A brief (up to 15 minute) personal call to the employee’s residence each day of travel. A charge for a brief call to a member of the employee’s family may also be reimbursed when it is to advise of a change in travel schedule, and when it is essential to convey a message through the family member to the employee’s office or a business associate outside regular office hours, or when they cannot be reached directly. Due to billing variations, long distance phone calls charged to home phone numbers may be reimbursed separately from the Travel Expense Statement.
• Postage and shipping.
• Emergency purchases of materials and supplies.
• Visa and passport expenses, when directly related to City travel.
• Miscellaneous transportation expenses such as: taxi, airport transport and bus fares; bridge, road and ferry tolls; and parking fees.
• Laundry expenses if traveling more than seven days.
• Fees for purchasing traveler’s checks.
• Reasonable gratuities (e.g. $1.00 per bag for baggage handlers, $5.00 per day for maid service, 15% gratuity on meals, etc. Travelers may refer to current reputable publications or web pages to determine generally acceptable gratuity rates. All gratuities are subject to approval by the approving authority.
• Terminal parking for the duration of a trip.
• Airline cancellation insurance if pre-approved by the approving authority.
Expenses Not Reimbursed
Some examples of expenses that are normally not reimbursed are:
• Commuting costs of any kind.
• Deviations, for personal convenience, from the most direct and usually traveled route (see sections on air travel for exceptions).
• Personal expenses (e.g., hair care, shoe shines, alcoholic beverages, personal telephone calls except as noted above, etc.).
• Any additional expenses incurred because an unauthorized traveler accompanied the employee. This includes the employee’s friends, business acquaintances, and spouse or other family members.
• Lodging, when return to the employee’s residence between work shifts can be reasonably expected.
• Any meals when the employee is not authorized or otherwise eligible.
• Dependent care, pet boarding or house sitting expenses while the employee is traveling.
• Parking and/or traffic tickets for violations of laws or regulations.
An approving authority may determine if a traveler should be reimbursed for any extraordinary non-deductible expenses incurred while traveling for the City. Reimbursement of non-deductible expense will be added to wages and taxed.
SECTION VI. TRANSPORTATION EXPENSES
Employees are reimbursed for transportation expenses incurred as a result of travel on official business. Personal expenses such as the additional cost of travel by an indirect route, transportation of family members, or personal vehicle repair and maintenance are not reimbursable. Reimbursement is authorized for the following transportation - related expenses:
• Common carrier (airline, railroad, and bus line) fares.
• Rented vehicle (auto, chartered boat and/or airplane) fees.
• Taxi, airport bus and rental vehicle fees.
• Private vehicle mileage.
• Parking and garage fees.
• Bridge, ferry and road tolls (tolls may be paid and reimbursement requested by one member of a party).
In addition, City-owned vehicles shall be available for local travel.
Airlines
Airline fares can vary substantially depending on factors such as: the route; the day of the week and sometimes the time of day; how far in advance reservations are made; length of stay; and competition. Usually, the lowest cost flight that will meet the traveler’s needs should be selected. In some cases it is important to consider the best use of the employee’s time, or the employee’s effectiveness upon arrival when selecting travel arrangements. In some cases the traveler can take advantage of the lowest fare only by leaving earlier or returning later than usual for the trip. In such situations expenses for additional meals and lodging will be reimbursed. These added costs must be considered in determining the most economical travel arrangements.
Air Travel or Schedule Deviation
An employee may request a change in airline travel arrangements to combine vacation with official travel. For example, the employee may want to leave early or return late to extend the stay, make a stopover in route to or from the destination, or travel by an indirect route to visit another city. Such changes can be approved, but reimbursement is limited to the most economical travel cost as described above. All route or schedule deviations, and any difference between actual and advanced expenses, must be explained on the Travel Expense Statement.
The most appropriate airfare is to be obtained in all cases; considering economy, the best use of time, and the effectiveness of the employee. All airline tickets must be obtained from the City’s Travel Agent.
Restitution for Non-Performance
Airlines are sometimes unable to provide the transportation services purchased and may compensate passengers for time lost and inconvenience through refunds, credits, or other payments. The restitution should be applied to any additional costs to the City including the employee’s absence from work. If there is no added cost to the City, or if the restitution exceeds these costs, then the employee is entitled to the remaining balance as reparation for personal time lost and inconvenience.
Airline Cancellation Penalties
It is frequently possible to receive the minimum air fares only by booking travel and purchasing tickets well in advance of planned departure dates. Other discounted fares require 14 day or 7 day advance purchase. Such tickets cannot be transferred or changed to a different flight, and involve a cancellation penalty. If the ticket is canceled, the airline reimburses from 0% to 90% of the discounted price.
Discounted tickets should be purchased whenever there is reasonable certainty they will be used. When it is necessary to cancel a ticket, the bureau must absorb the cancellation penalty. This is recognized as a necessary occasional cost in order to realize the greater savings from discounted air fares.
Taxi and Airport Bus Service
Taxi fares for transportation between terminals, lodgings and work station are reimbursable. Taxi and airport bus fares for transportation to and from terminals are also reimbursable.
Railroads
Reimbursement for travel on trains is limited to regular first-class fares. Reimbursement for sleeper accommodations is limited to one roomette per person. Bedrooms are allowed only when roomettes are not available, or when special accommodations are approved because of the nature of the trip or the traveler’s health.
Bus Lines
Fares for travel by scheduled buses are reimbursable.
Rental Vehicles
Reimbursement for rental vehicles is limited to actual cost when reasonable and authorized in advance.
Rental of automobiles, boats, aircraft or other vehicles is allowed only when regular means of transportation are unavailable or inappropriate for the particular usage.
“Economy” or “compact” vehicles shall be used unless there are three or more persons.
The City’s Travel Agent should make reservations for rental vehicles.
Use of Rented Vehicles
Any City employee traveling on City business who rents a car on the City’s behalf must obtain the renter provided liability insurance for bodily injury and property damage. This insurance is usually provided without extra cost. The renter should NOT purchase the extra cost collision insurance that covers damage to the vehicle. In the event of an accident, any charges not covered by the rental car company’s insurance will be paid by the City.
Renter Liability for Vehicle Damage
Rental car companies universally hold the individual who rents a vehicle personally liable for repair costs up to the deductible amount regardless of who is at fault. When a rented car is damaged, the renter should explain that the City of Portland is “self-insured” and provide the telephone number of Risk Management (503) 823-5101. Messages can be left at this phone number during the evening and on weekends.
Some rental car companies may agree to bill the City for repair and other costs. Most, however, demand that the renter make immediate payment. In that case, the employee can offer to pay the lowest repair estimate, but should resist paying all other charges until they are substantiated and determined by Risk Management to be reasonable. Most rental car companies will accept payment through an individual corporate credit card. Other payment options include personal check, personal credit cards, and traveler’s checks. The employee should notify Risk Management as soon as possible. Risk Management will reimburse the employee directly.
Responsibilities Following an Accident
The renter of a car has all normal and some special responsibilities after an accident. Most responsibilities fall in two areas: data collection and accident reporting.
Data to be collected and recorded following an accident:
• The time and place of the accident.
• Traffic and weather conditions.
• Circumstances contributing to the accident.
• If another vehicle is involved, the driver’s name, address, driver’s license number, and insurance company and policy number.
• Name, address and telephone number of each witness.
• Investigating police officer’s name and badge number.
• Description of all damage to all vehicles involved.
• Name and telephone number of the rental car company claims agent.
The driver should promptly report the accident to all concerned parties including:
• Police, if deemed necessary. Local or state authority for accident reporting (e.g., Department of Motor Vehicles in Oregon).
• Rental car company. Failure to do so may void all protection from the company’s insurance.
• Risk Management. The accident must be reported to Portland Risk Management Division immediately, or within 24 hours of the accident by calling (503) 823-5101. The driver should keep a copy of all pertinent information and provide copies to Risk Management to assist in settling claims. This includes all data collected, accident reports, repair estimates, a receipt for any payment made, and a copy of the rental contract.
Rental of Charter Aircraft
Employee-Owned or Rented Aircraft
Travel by employee-owned or rented aircraft may be reimbursed when advantageous to the City. The allowance for use of employee-owned or rented aircraft depends on the circumstances involved. Reimbursement of expenses is for use of the aircraft regardless of the number of passengers and is limited to the lessor of:
• 39 cents per shortest air mile when use of the aircraft is advantageous to the City. In an unusual situation, additional mileage may be authorized when supported by the circumstances; or,
• The current vehicle mileage rate times the highway miles when travel by motor vehicle is appropriate. Additional expenses from use of the aircraft are not reimbursed; or,
• The equivalent commercial air fare.
Before approval to use an employee pilot for city business, bureau managers must ensure that the pilot has a current medical certificate and meets the pilot qualifications and insurance requirements for the aircraft type used.
Non-Scheduled or Charter Aircraft
The cost of non-scheduled aircraft is reimbursable when time or travel expense savings would result, or when such aircraft is essential to a task, such as aerial surveys or photography. Specific type of aircraft should be selected consistent with weather conditions and terrain over which the flight will be made.
Charter and air taxi operators must have a current FAA approved air carrier or air taxi certificate. A statement to this effect must be on the billing form furnished by the charter service. The aircraft must be piloted by the company pilot, not the traveler.
City-Owned Vehicles
Vehicles may be obtained from Fleet’s motor pool for use by employees on official City business only. Individuals using City vehicles are held financially accountable for all costs resulting from violations of the rules and motor vehicle laws relating to the use of City vehicles.
Use in Accordance with Fleet Policy
Use of City owned vehicles must be in accordance with Fleet and individual bureau policies.
Emergency Repairs to City Vehicles
Actual cost for emergency repairs to City vehicles is reimbursable in accordance with Fleet policy.
Private Vehicle Use
General
It is the policy of the City that employees shall have available and use a City vehicle to conduct official business. Use of a privately-owned vehicle for official City business is voluntary unless specifically stated as a condition of employment. Authorization forms are available from the Accounting Division. Completed forms are submitted to the Auditor’s Office.
Authorization
The employee’s supervisor may authorize travel by private vehicle because of cost, efficiency or work requirements; or when travel by common carrier or City vehicle is not feasible. Cost considerations include both transportation costs and the economies from more expeditious and effective performance of City business. The distance and number of travelers involved are also considerations. An employee’s supervisor may approve travel by private vehicle to combine official travel with a holiday, weekend trip or vacation, or when justified for other valid reasons.
Condition for Use
A privately-owned vehicle, while being used for official City business, shall be considered an official vehicle and subject to the following rules:
• The driver must have a valid driver’s license.
• The vehicle shall be a conventional four-wheel, enclosed vehicle (motorcycles, farm equipment or golf carts are not considered automobiles).
• The use of seat belts is mandatory for drivers and all passengers.
• The vehicle shall be in sound mechanical condition, adequate for providing required transportation in a safe manner and without unreasonable delay.
Insurance Requirements
• Employees authorized to operate private vehicles on City business are responsible for having liability insurance prior to departure, in an amount not less than the minimum State of Oregon required automobile insurance coverage. The employee shall notify his/her insurance company that use of the vehicle includes official City business.
• Note: The City’s vehicle liability program provides coverage to employees to supplement personal insurance while using privately-owned vehicles on authorized, official business. The City’s coverage provides indemnification for the employee’s liability in conjunction with the employee’s personal policy limits. No collision, personal injury protection, uninsured motorist, or comprehensive coverage is provided by the City for private vehicles. Medical coverage for the employee is limited to that which is provided by the employee’s health insurance coverage or workers’ compensation.
Using an uninsured privately-owned vehicle on City business is a violation of the automobile financial responsibility laws and would be considered an exclusion under the tort statute as wanton and willful disregard for statutory authority and thus excluded from the City’s self-insured program. The employee would then be responsible for all claims and be subject to disciplinary action up to and including termination.
Reimbursement
Employee use of private vehicles for company business generally falls into two categories: 1) one-time or infrequent use for local or out-of-town travel, and 2) daily or frequent use.
Mileage for one-time or infrequent use is computed by using distances between points listed in standard mileage guides or by odometer readings. The mileage reimbursed is based on the shorter of the distances from either the employee’s official office or residence to or from the destination. Substantial deviations from standard distances and any deviations from the usual route must be explained on the Travel Expense Statement. Reimbursement will be at the current Internal Revenue Service mileage rate. The Office of Management and Finance, Accounting Division, will notify bureau managers of any rate changes.
Reimbursement for daily or frequent use of a private vehicle is at a flat rate unless governed by a union contract. Flat-rate reimbursement forms and instructions are to be available in all bureaus. The Office of Management and Finance, Accounting Division, maintains and distributes flat-rate reimbursement forms.
• Commuting mileage is not reimbursable.
• When air travel is appropriate, an employee may request to travel by private car to combine vacation with official travel. The following may be allowed for the cost of transportation between the employee’s official workplace and destination when approved by the person authorizing the employee’s travel:
1. In lieu of private car mileage, an amount equal to the cost of the most economical round-trip air fare that would have been incurred for commercial air travel. Air fare quotes can be obtained from the City’s Travel Agent.
2. Private car mileage to and from the air terminal and parking fees (those normally used for arrival and departure if traveler is “dropped off” and “picked-up”, or economy parking for the duration of the trip).
3. Reimbursement for meal and lodging expenses the employee would normally incur in traveling by air. Expenses resulting from the additional time required to travel by car are not reimbursable.
4. Common carriers
• Reimbursement for recurring use of private automobiles:
Payment of daily rate claims or allowance for City non-represented employees shall be included in the employee’s last paycheck of each month. Reimbursement requests must be filed with the Accounting Division not later than the Friday of the last payroll submission for the week of the month in order to be included in the employee’s paycheck. All claims shall be on forms provided by the Accounting Division and shall show the days and, when applicable, the odometer readings and mileage of the vehicle used on City business.
SECTION VII. MISCELLANEOUS EXPENSES
These rules will provide a basis for reimbursing City employees in a consistent and equitable manner for those reasonable and necessary expenses incurred while not traveling.
Approved Miscellaneous Expenses
Expenses, when approved by an approving authority, including the following:
Volunteer expenses
There is a City business interest in supporting and encouraging the use of Citizen volunteers. Volunteers should be freed from out-of-pocket costs of volunteering. When appropriate to the needs of the City and within budget authority, the City will pay or reimburse the following expenses:
• Bus fares
• Parking fees
• Private auto use
• Occasional meals
• Appreciation receptions with non-alcoholic beverages
City Wide Functions
There is a City business interest in supplying light non-alcoholic refreshments at official City - wide functions such as:
• Council Informals or work sessions
• Coordinating meetings
• Official training sessions
• Employee training sessions
• Recognition receptions for retiring employees
• Meetings of Charter or Council-created boards, commissions and advisory committees
Awards
Employee awards, up to a maximum of $50 each are reimbursable. Such awards may take the form of:
• Cash
• Flowers
• Gifts
• Other appropriate incentives
Bureaus should take care that such awards remain occasional and motivational rather than becoming expected. A business related explanation of the benefit to the City must be submitted with the payment request.
Economic Development, Community Cooperation and Information Gathering
In order to promote economic development, build community cooperation or gather information, elected officials or their designees may be reimbursed for business meals, flowers, or official gifts. Reimbursements shall be on an actual cost basis, documented by receipts which state the date, name of recipient, the nature of the business or relationship with the City, and the public interest reason for the expense.
Professional Organizations
Dues for professional organizations may be paid at bureau discretion. Meeting meal costs will only be reimbursed when there is a direct and specific benefit by City participation as determined by the responsible bureau.
Civic Organizations
Dues for non-discriminatory civic or charitable organizations may be paid at bureau discretion only if there is a documented benefit to the City from an employee’s participation. Such dues must be clearly defined during the budget process. Only dues may be paid. Other costs such as meeting meal costs, fines or personal assessments are not reimbursable.
SECTION VIII. PRIZES, AWARDS OR PROMOTIONAL ITEMS RESULTING FROM TRAVEL OR ATTENDANCE AT CONFERENCES AND SEMINARS
These rules provide policies and procedures for the disposition of awards, prizes and promotions received at conferences and seminars.
Prizes, Awards and Promotional Items
General
City officials or employees whose presence at a conference, seminar or professional gathering is due directly to their position with the City, or whose attendance is sponsored by the City, must follow strict guidelines in the acceptance of prizes, awards and promotional items. Employees who attend conferences, seminars or professional gatherings on their own time and at their own expense are generally exempt from these guidelines.
Prizes and Awards
Prizes and awards are goods and services offered to attendees of conferences, seminars or professional gatherings as a result of attendance or for winning a contest or a game of skill or chance. Placards, trophies or certificates in recognition of service or attendance are exempt from these Rules for Travel and may be kept by the employee.
Prizes and awards constitute personal financial benefit and should not be accepted unless acceptance is advantageous to the City. If such prizes or awards are accepted, they become the property of the City and must be presented to the employee’s agency director for disposition. The agency director may keep the item for use by the agency, or may dispose of it through the City’s surplus and charitable contribution procedures as defined by City Code Section 5.36.
Promotional Items
Promotional items are items of little or no value that are offered uniformly to all attendees or that are meant to be used up during the course of the event. Examples include pens, pencils, notebooks, notepads, cloth or canvas bags, snack foods, etc. Employees attending conferences, seminars or professional gatherings may keep promotional items for their personal use.