Purpose:  It is the policy of the Veterans Medical Research Foundation (VMRF) to reimburse all travel expenses in support of official business and research.  This policy applies to all individuals whose approved travel funding will be administered by VMRF.  For sponsored projects, all travel must be allowable by the project sponsor.

Overview:  This policy is intended to provide a framework for reasonable and allowable travel expenditures, timeliness of travel reimbursements, and expenditure recognition.  Any exceptions to this Policy must be expressly authorized by the Chief Executive Officer.

Definition: 

Application:   

Travel Approval

Pre-approval, in written format, is not required for domestic travel. However, it is the traveler’s responsibility to review travel plans with their supervisor or principal investigator (PI) prior to scheduling.  Grants may require prior approval for international travel (excluding Canada); please consult with VMRF Contracts & Grants before scheduling the travel.  If required, prior approval must be obtained as specified in the agreement.

Within 30 days from return of travel, the traveler should submit original receipts on a Travel Expense Voucher certifying the travel claim purpose, accuracy, and appropriateness of expenditures.  The supervisor or PI reviews and approves the Travel Expense Voucher before forwarding to the VMRF Accounting Department for payment.

Compensation while traveling (salary and benefits) is awarded based on labor law.  Questions should be directed to VMRF Human Resources.

Prepayments and Travel Advances

On an exception basis, VMRF allows for travel advances.  Economic hardship will be considered for all advances and advances are generally approved for airfare pre-paid by the traveler.   Conference fees should not be billed to VMRF but prepayment by VMRF is allowable.  The following form is to be used for prepayments and travel advances:  Travel Advances and Prepayment Requests.

The traveler is responsible for clearing the advance and/or prepayments by submitting a completed Travel Expense Voucher, even if there is no other expenditure to be reimbursed.  The Travel Expense Voucher must include all expenses whether prepaid or not and the Travel Expense Voucher must indicate the advance or prepayment before calculating the balance due the traveler or repayment due VMRF.  If a balance is due VMRF, the check should be made payable to: Veterans Medical Research Foundation; cash is not accepted.

Per Diem

Lodging – is payable at actual cost for reasonable and necessary accommodations.  Depending on the circumstances, additional justification may be required.  Conferences frequently offer special room rates and stay at the conference site is encouraged in that it often reduces cost of local transportation.  Original itemized receipts are required.

Meal allowance and incidental expenses (M&IE Per Diem):

• VMRF has established a domestic, Canada, United States and its territories and possessions only, M&IE Per Diem allowance (the current rate is listed on the Travel Expense Voucher form).
• The Foreign Per Diem Rates are based on the GSA city rates and may not exceed the maximum daily allowance.
• The full per diem amount may be claimed without receipts.
• The first and last days of a trip involving overnight stay are to be calculated at 75% of the M&IE Per Diem allowance.
• Day trips that do not involve an overnight stay are typically not granted Per Diem or meal allowances.
• The IRS generally considers such payments to be taxable income. 
• Conference Meals included in the cost of the conference registration require that the meal allowance be reduced based on the attached chart by deducting the M&IE allowance for that meal (breakfast, lunch or dinner) from that day’s M&IE Per Diem.  GSA - Meals and Incidental Expense (M&IE) Breakdown.  
• Business Meals and Networking Events are reimbursable to the extent that they are justifiable.

• Justification entails a dated original itemized receipt documenting the purpose of the business meal or networking event and who was in attendance (must be more than one person). These expenses must be submitted on a Meeting Expense Form attached to the Travel Expense Voucher.
• In the event that a Business Meal occurs during travel, it would be included as a separate expenditure but that day’s M&IE Per Diem would be reduced by deducting the M&IE allowance for that meal (breakfast, lunch or dinner) from that day’s M&IE Per Diem.  GSA - Meals and Incidental Expense (M&IE) Breakdown.  

Business phone calls and services (copy, fax, and email internet service) are reimbursable, at cost, with receipt.  Note that phone calls included on lodging receipts must be clearly marked as business; personal phone calls are not reimbursable.

Incidental expenses such as hotel tips and sundry items are included in the established Per Diem rates.  Ground transportation tips included on your receipts are acceptable.

Transportation

Airfare – coach or equivalent airfare should be used.

• Personal Car – the mileage rate for use of personal car is established by the IRS, as indicated on the Travel Expense Voucher, and is reimbursable to the extent that it does not exceed the coach airfare to the same destination. When private cars are used, the Traveler must certify current and valid ownership of the minimum prescribed insurance coverage.

If the only travel cost incurred is mileage, you may submit a Private Automobile Mileage Voucher for reimbursement.

Rental Car – when a rental car is required, the optional insurance should not be purchased and is not reimbursable.  Foreign travel rental car insurance is allowable.

Miscellaneous parking fees, tolls, and shuttle/cab services are reimbursable.  Receipts should be provided to the extent possible.

Travel Expense Voucher

The Travel Expense Voucher is used to claim reimbursement for approved business travel expenditures.  All expenses, including those prepaid, must be reflected on the voucher to ensure proper accounting for the complete trip.  If a travel advance or prepayments were issued, they are indicated at the bottom of the form and are deducted before calculating the balance to be paid the traveler or repaid to VMRF. 

1. Complete the Travel Expense Voucher, clearly identifying the purpose of the trip.
2. Attach original receipts and to facilitate review of foreign conversion rates, a copy of the credit card statement is preferred.
3. Attach a copy of the Travel Advances and Prepayment Requests, if applicable
4. For Meals & Incidentals, attach a Travel Per Diem Form
5. For Business Meals or Networking Events, attach a Meeting Expense Form
6. Sign and date the Travel Expense Voucher
7. Obtain approval from supervisor or P.I. (the VMRF CFO or Senior Accounting Manager will approve P.I. Travel Expense Vouchers)
8. Forward the Travel Expense Voucher to VMRF Accounting within 30 days of travel.

a. If there is a balance due VMRF, attach a check payable to Veterans Medical Research Foundation

9. A check for approved expenses including explanation for denied costs will be issued to the traveler.

Forms

Travel Expense Voucher

Travel Advances and Prepayment Requests

Travel Per Diem Form

Private Automobile Mileage Voucher

Meeting Expense Form

References

2 CFR 215 – Uniform Administrative Requirements for Grants and Agreements with Institutions of Higher Education, Hospitals, and Other Non-Profit Organizations (Old Circular No. A-110)

2 CFR 230 – COST PRINCIPLES FOR NON-PROFIT ORGANIZATIONS (Old Circular A-122)

Circular A-133 -- Audits of States, Local Governments, and Non-Profit Organizations

 Who to Contact

Questions regarding this Travel Policy should be directed to VMRF Accounting.

Completed and approved travel forms should be sent to VMRF Accounting.

Travel FAQs:  Frequently Asked Questions

Airfare Penalties & Exchanges – if a ticket has to be changed due to illness, personal emergency or business needs and a penalty is incurred, the traveler may claim reimbursement from VMRF.

Alcoholic Beverages – itemized costs for alcoholic beverages cannot be reimbursed in compliance with OMB.

Approvals – must be from someone other than the traveler.  Principal Investigators will have their Travel Expense Claims approved by the CFO or the Senior Accounting Manager.

Automobile Insurance - California Public Law requires that anyone driving a car in California carry at least the minimum prescribed insurance:

• $15,000 for personal injury or death of one person
• $30,000 for injury or death to two or more persons in one accident
• $5,000 for property damage

Cancellation of Reservations – it is the responsibility of the traveler to cancel any reservations that will not be used.  Charges or lost refunds from failure to cancel in a timely manner will not be reimbursed.

Entertainment – is generally considered a personal expense and not reimbursable. However, exception is made for business meals or networking events (meetings where official business is conducted) and conference banquets.

Meals: 

• VMRF has an established domestic M&IE Per Diem which is published as part of the Travel per Diem Form (Note: hot link to actual form, please).
• The Foreign Per Diem Rates are based on the GSA city rates and may not exceed the maximum daily allowance.   
• If a conference registration or event provides for meals, the daily per diem should be reduced accordingly; i.e., if a conference provides a dinner banquet as part of the registration cost then the dinner allowance should be deducted from that day’s per diem for meals & incidentals. 
• Business meals (where official business is conducted) are reimbursable at actual cost to the extent that the documentation includes business purpose or agenda and the names of the individuals in attendance (must be more than one).  Original itemized receipts must be provided.  If the business meal occurs during a trip, the daily per diem should be reduced accordingly; i.e., if the business meal occurs at lunch then the per diem for meals & incidentals would be reduced to eliminate the lunch allowance.
• The following chart provides the breakfast, lunch, and dinner cost breakdown:  GSA - Meals and Incidental Expense (M&IE) Breakdown.  The M&IE (Meals and Incidental Expenses) daily per diem rate for foreign travel is based on the GSA city rate where the business meal takes place.
• The M&IE allowance for the first and last day of travel is 75% of the M&IE daily rate.

Missing Original Receipts - require documentation.  If an original receipt is lost, a duplicate receipt should be requested.  If a duplicate receipt cannot be obtained, then a lost receipt memorandum signed by the traveler should be created.  The lost receipt memo must indicate the item, cost, date, and a signed personal validation statement that the expense is accurate and not previously submitted for reimbursement.

• Electronic or ticket-less airfare requires a printout receipt or credit card statement for reimbursement.

One Day (Local) Travel – in general, trips of less than 50 miles, one way, from VMRF or the traveler’s home do not qualify for an over-night stay or per diem.  For local travel or when an overnight stay is not involved, the IRS generally considers meal reimbursement and per diem taxable income.  Conference and/or meeting fees are reimbursable and mileage is reimbursable to the extent that it exceeds the normal home to work commute.  In certain circumstances, Business Meals may be approved to the extent that official business is performed during the course of the meal and an otherwise acceptable time and place to meet could not be arranged.

Passports – the cost of passports and legal documents required for travel are normally paid for by the traveler but on an exception basis may be approved for reimbursement by the Chief Executive Officer.

Personal Travel (non-business days) – is sometimes requested before, after, or during a business trip.  It is not reimbursable unless a demonstrated cost savings to the overall business trip can be documented.  However, if weekends or holidays fall between travel days, approved costs are allowable. 

• Indirect Routes – if, for other than business reasons, the traveler takes an indirect route, reimbursement for air fare or mileage will be at the cost incurred by traveling directly to the intended business destination.  Backup must be attached to the Travel Expense Voucher, justifying the cost you claim (i.e. print out a copy of an Expedia.com travel itinerary to the business destination applicable to that travel date) 
• Normally one day travel is allowed to arrive and return from your business destination.  In the event of international travel, two days is allowable.

Rental Cars – should be refueled prior to return to the rental agency.  

Spouse/Partner Travel – is not reimbursable unless the travel is integral to the business purpose of the trip.  However, the cost of a shared hotel room need not be allocated between traveler and partner.

Traffic and Parking Tickets – are not reimbursable.

Approved by the VMRF Board of Directors: June 11, 2010