HomeMy WebLinkAboutOCSD 04-16 (REPEALED).11
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RESOLUTION NO. OCSD 04-16
ESTABLISHING A POLICY REGARDING BOARD OF DIRECTORS'
BUSINESS AND TRAVEL EXPENSE REIMBURSEMENT, AND
MEETING ATTENDANCE AND COMPENSATION
A RESOLUTION OF THE BOARD OF DIRECTORS OF ORANGE
COUNTY SANITATION DISTRICT ESTABLISHING A POLICY
REGARDING BOARD OF DIRECTORS' BUSINESS AND TRAVEL
EXPENSE REIMBURSEMENT, AND MEETING ATTENDANCE AND
COMPENSATION
WHEREAS, the District, by previously adopted Ordinance No. OCSD-14, has
established Board of Directors' compensation for meeting attendance; and,
WHEREAS, Board Members are entitled to a flat fee stipend as compensation for
attendance at District meetings, or for each day of service rendered as a member of the
Board, together with reimbursement for certain expenses associated with the attendance
at District meetings, or other service on behalf of the District; and
WHEREAS, the Board of Directors deems it desirable to establish a policy for the
compensation related to meeting attendance, and the reimbursement of business and
travel expenses incurred by Board Members related thereto.
NOW, THEREFORE, the Board of Directors of Orange County Sanitation District,
DOES HEREBY RESOLVE, DETERMINE AND ORDER:
Section 1: Adoption of Policy and Establishment of Procedures. The Board
of Directors hereby adopts the Policy Regarding Board of Directors' Business and Travel
Expense Reimbursement, and meeting attendance and Compensation, set forth on
Exhibit "A", attached hereto and incorporated herein by reference. . ,
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REPEALED BY
OCSD 06-09
EXHIBIT "A"
ORANGE COUNTY SANITATION DISTRICT
POLICY REGARDING DIRECTORS' BUSINESS AND TRAVEL
EXPENSE REIMBURSEMENT AND MEETING ATTENDANCE
AND COMPENSATION
Article I. Business and Travel Expense Reimbursement
It is the District's policy to reimburse Board Members for authorized
business and travel expenses in accordance with the procedures of this Policy.
This Reimbursement Plan has been developed and is considered an
"accountable plan" by the Internal Revenue Service. The Plan includes a
combination of reimbursements based upon receipts and for a "per diem"
component approved by the Internal Revenue Service. The District, through the
Chair of the Board, will authorize attendance at conferences, seminars, meetings
and travel, but such expenses related thereto will only be approved to the extent
they are necessary to further the accomplishment of District goals and objectives.
This Policy applies to all regular and alternate District Board Members
authorized to represent the District in business or travel activities. At all times,
District representatives serve the public and must do so within the ethical and
business performance standards expected of a public agency. Prudent judgment
and full compliance with District policies is required. Failure to use discretion in
the incurring of business expenses may result in the loss of discretionary travel
privileges.
Sufficient funds must be included in the current Fiscal Year's operating or
capital improvement budgets for all business and travel expenses to be paid or
reimbursed under this Policy. Non-compliance with the Policy or falsification of
reports or documentary evidence may result in corrective action, including
criminal prosecution.
Section 1: Terms and Definitions.
A. "Accountable Plan" shall mean the Internal Revenue
Service Publication for Travel, Entertainment, Gift and Car Expenses. Expenses
must have a business connection. Expenses must be adequately documented
and include evidence such as receipts, canceled checks, invoices, or credit card
statements to support the expenses, and must be submitted within sixty (60)
days after they were paid or incurred. Any excess reimbursement must be
returned within sixty (60) days.
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B. "Approval by the Board" shall mean Board of Directors
approval at a regularly-scheduled Board Meeting with a quorum present and
acting.
C. "Alternate Board Member" shall mean a Member of the
District's Board of Directors designated by the Director's agency to serve in the
absence of the Board Member. When the Board Member is absent, the Alternate
Board Member becomes the Board Member, and everything in this Policy
applies. The Alternate Board Member and the Board Member cannot both be
compensated for the same event without prior approval by the Board Chair.
D. "Board Chair" shall mean the Member of the District's
Board of Directors who has been elected by the other Members to serve as
Chair.
E. "Board Member" shall mean a Member of the District's
Board of Directors, appointed by a member agency pursuant to California Health
and Safety Code Section 4730.65.
F. "Committee Member" shall mean any Member of the Board
of Directors, appointed to a Standing or Ad Hoc Committee, established by an
action of the Board or Board Chair.
G. "Days Service Rendered" shall mean attendance as
described in Article II, Section 13, below.
H. "Director" shall mean a Member of the District's Board of
Directors.
I. "Incidentals" shall mean any minor, miscellaneous expense
incurred during travel, including but not limited to, telephone, facsimile or
computer connection service, local ground transportation, baggage handling and
storage, and snacks.
K. "Travel Expenses" shall mean transportation, lodging,
meals, and incidentals expenses associated with attending a seminar,
conference, or meeting requiring an overnight stay.
L. "Travel Liaison" shall mean the Secretary to the General
Manager, or such other employee as designated in writing by the General
Manager.
Section 2: Responsibilities.
A. Directors shall be familiar with and comply with this Policy;
ensure all travel and other reimburseable expenses are reasonable; coordinate
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multiple Director participation at conferences to avoid unnecessary duplication;
and promote economic means of travel. The Board Chair can approve or deny
requests for travel or business activities and reimbursements for Board and
Committee Members.
B. The General Manager shall be familiar with and comply with
this Policy; ensure all travel and other reimburseable expenses are reasonable;
coordinate multiple Director participation at conferences; and promote economic
means of travel.
C. The Travel Liaison shall be familiar with and comply with this
Policy; promote economic and reasonable means of travel; and inform the
General Manager of all unreconciled expenses regarding travel matters.
D. The District Controller shall be familiar with and comply with
this Policy; ensure all travel and other reimburseable expenses are reasonable;
coordinate multiple Director participation at conferences; and promote economic
means of travel.
Section 3: Travel Liaison. The Travel Liaison shall arrange all travel,
lodging, accommodations, and seminar/conference registrations for the
Directors. The Travel Liaison shall use the District's designated travel agency for
booking all air and ground travel. The General Manager is authorized to grant
exceptions on a case-by-case basis. Any travel or registration not booked
through the Travel Liaison, or not granted an exception, may be subject to
payment by the Director without reimbursement from the District.
Section 4: Designated Travel Agency. The District will designate a
single travel agency for the Travel Liaison to use to arrange all travel and lodging
accommodations for Directors.
Section 5: Seminars. Conferences. and Meetings.
A. Attendance at seminars, conferences, and meetings must be
approved in advance by the Board Chair, except when specifically pre-authorized
by this Policy.
B~ Directors may from time to time receive requests or may
elect to attend meetings or conferences pertaining to the water and wastewater
utility industry, and may be asked to, or may desire to, give presentations or
otherwise represent the District at such events. Any Director wishing to attend
such events and represent the District by providing a presentation or oral
commentary shall request and receive advance authorization from the full Board
of Directors. If such a request is granted, all expense reimbursements and travel
and meeting attendance requirements shall comply with this Policy. In the event
there is not sufficient time to submit a request to act as District Representative to
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the Board, the Board Chair has the authority to approve such a request in
advance; this approval would then be subsequently submitted for ratification at
the next regularly scheduled Board meeting.
C. The number of Directors attending a seminar, conference, or
meeting should be minimized, and there must be a District business reason for
attendance. Such reasons would include, but are not limited to: presentation of
technical findings; attendance at committee meetings, or technical sessions
dealing with issues related to District business; or participation as an Officer of
the Association.
D. Seminars must be selected based on value to the District.
Benefits would include improved efficiency and effectiveness, as well as
becoming familiar with new regulatory standards. Free, local seminars must also
be authorized in advance in order to be considered for approval of Director
compensation. Preference will be given to seminars that are provided within the
Southern California region.
E. Attendance at seminars, conferences, or meetings in
"destination resort" areas outside California or areas outside the continental
United States will not be approved except by vote of the District's Board of
Directors' Steering Committee.
Section 6: Ground Transportation.
A. The most economical mode and class of transportation
reasonably consistent with travel and scheduling requirements will be used.
Each Director shall be reimbursed at the rate per mile established by the United
States Internal Revenue Service as allowable for mileage expense deduction for
use of a personal vehicle on business of the District. As said allowable rate
established by the Internal Revenue Service is periodically changed, said
changes in the reimbursement rate shall become effective on the first day of the
month following the month in which the change is announced by the Internal
Revenue Service.
B. In no event shall the amount paid for mileage reimbursement
for use of a personally-owned vehicle used for travel in lieu of air travel, exceed
the lowest available cost of coach class airfare.
C. Personally-owned vehicles used in the conduct of District
business must be insured for property and liability damage in an amount not less
than the minimum limits required by the California Financial Responsibility Act.
D. Reasonable vehicle parking and storage costs will be
allowed when rental or personally-owned vehicles are used for District business.
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E. Highway and bridge tolls are allowable expenses when
incurred while conducting District business.
F. Directors should only use rental cars for ground
transportation when necessary or when it is less expensive than other forms of
transportation such as trains, buses, taxis, or shuttles. Discretion must be used
in selecting rental car size. The rental car should be the smallest size that
provides adequate safety and comfort for the period of time it is in use. To
·accommodate a group of travelers, a larger vehicle may be rented in lieu of
renting separate vehicles.
G Directors will not be reimbursed for any surplus insurance
purchased for rental cars. The District and Director are sufficiently insured
through existing District policies. Only Directors are allowed to operate rental
cars.
H. Use of chauffer-driven limousines is not allowed while
conducting District business.
Section 7: Air Transportation.
A. Air transportation must be at coach class level. First class
travel will only be allowed on an exception basis and must be approved in
advance by the Board Chair, based upon physical needs or ability to conduct
meaningful work while on board.
B. Air transportation should be arranged as early as possible to
take advantage of reduced fares for early reservations. Consideration should be
given to alternative departure times, departure and arrival airports, dates, flight
times, and stopovers to minimize airfares; however, the total cost of the
alternatives (e.g., ground transportation, lodging) should also be considered in
selecting an alternative. Internet booking services can be consulted to help in
finding the optimum alternative; however, flights must still be reserved by the
Travel Liaison.
Section 8: Lodqino. When travel is to a conference, the conference-
sponsored hotel should be used to minimize cost. Some conferences require
early booking to take advantage of reduced rates. If lodging cannot be arranged
at the conference-sponsored hotel, other lodging accommodations may also be
arranged if the cost is less than or equal to the conference-sponsored hotel,
unless an exception for a higher rate is approved in advance by the General
Manager. No lodging within sixty (60) miles of the District's Administrative
Offices or the Director's residence, whichever is less, will be reimbursed.
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Section 9: Meals and Incidentals. Meal expenses are allowed while
Directors are traveling. Expenditures for meals will be moderate and reasonable.
Expenses for meals not associated with travel but related to an appropriate
business purpose meeting, are also allowed. Non-travel business meals will
only be reimbursed if taken in conjunction with a District business meeting.
Meals for Directors' guests will be reimbursed only if they have a legitimate
business relationship with the District.
A. Reimbursement When Receipt Provided. Directors will be
reimbursed for actual meal expenses, including all taxes and gratuities, up to the
amounts indicated below. If meal expenses exceed the allowance amount, the
Director will only be reimbursed the allowance amount, with the remainder being
paid by the Director. If meal expenses are less than the allowable amount, only
the actual expense amount will be reimbursed. All meal expenses must be
documented in detail in accordance with this Policy. When receipts are provided,
the maximum per meal/expense reimbursements are as follows:
Breakfast
Lunch
Dinner
Snacks
$15.00
$20.00
$25.00
$10.00
Multiple meal expenses cannot be combined to pay for a more expensive
single meal. The Policy is applied strictly as a per meal expense. In no event
will a Director be reimbursed more than $70 per travel day under the Receipt
Method. If a receipt is missing, reimbursement will be the maximum per meal
amount allowed for that meal, based upon certification that the receipt was lost.
Receipts must be a detailed receipt from the restaurant for actual costs.
Restaurant bill stubs do not provide sufficient detail and are not acceptable for
reimbursement. If detailed receipts are not available, the Director can still be
reimbursed at the lower amounts pursuant to Subparagraph B below. Credit
card receipts may be accepted, subject to Board Chair approval if itemized,
detailed meal receipts are not provided by the restaurant.
B. Reimbursement When Receipt Not Provided. When no
receipts are submitted with the request for reimbursement, Directors will be
reimbursed for meal expenses, including all taxes and gratuities, based upon
published Internal Revenue Service Guidelines referred to as "CONUS" rates.
These rates vary by travel destination and are located on the District's intranet
site under "Forms", or at www.gsa.gov (per diem rates). A copy of the January
2004 rates is attached to this Policy.
Directors will be reimbursed the allowance amount, whether actual
meal expenses are less than or greater than the allowance amount. No
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•' expense documentation is required for reimbursement in accordance with this
Policy.
. When no receipt is provided, there are six (6) levels of
reimbursement based upon the travel destination. For partial days of travel the
individual components may be reimbursed as follows:
(1) (2) (3) (4) (5) (6)
Breakfast $ 6 $ 7 $ 8 $ 9 $ 9 $10
Lunch $ 6 $ 7 $ 8 $ 9 $11 $12
Dinner $16 $18 $20 $22 $24 $26
Incidentals $ 3 $ 3 $ 3 $ 3 $ 3 $ 3
Daily Maximum $31 $35 $39 $43 $47 $51
During travel, these amounts may be aggregated to allow a total per day. As an
example, multiple meal expenses may be combined to allow for a more
expensive single meal. However, reimbursement shall not exceed the Daily
Maximum for the destination per travel day, when no receipts are provided.
C. Non-Reimbursable Meals and Incidentals. Directors will not
be reimbursed for the following:
i. Meals that are included in the cost of a conference or
seminar, nor for meals taken elsewhere in lieu of the meal provided.
ii. Meals provided by others. Conflict of interest policies
and applicable statutes should be considered when providing meals for or
receiving meals from persons or entities other than the District representatives.
iii. Meals provided to a spouse or guest.
iv. Alcoholic beverages consumed by a Director or
others.
Section 10: Extended Travel and/or Travel with Family Members. When
a Director elects to extend his/her stay at travel destinations, or when traveling
with family members, all expenses related to such extended or family travel,
including, but not limited to airfare, extra meals, extended car rental, lodging, or
incidentals shall be paid by the Director without reimbursement.
When travel time restrictions or transportation discounts make it desirable
for a Director to arrive at a conference, seminar, or meeting a day early, or to
stay an additional day, those travel days will be considered the same as a day's
service rendered; provided, approval is obtained from the Board Chair in
advance.
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Section 11: Requests for Reimbursement.
A. Requests for reimbursement shall be submitted to the
District Controller not later than sixty (60) days after payment by the individual
and shall be submitted on forms provided by the District. A delinquent expense
report will not be reimbursed unless justified in writing and approved by the
Board Chair . All requests for reimbursement must be accompanied by receipts
or documentation evidencing each expense. Improper expenditures, or those
not adequately documented, will not be reimbursed. Non-essential expenses,
including but not limited to in-room movies, service bar, etc. will not be
reimbursed.
B. All expense reports shall include detailed receipts (except for
meals to be paid pursuant to Section 9.B. above) and state the date, type of
expense, District business purpose, those in attendance and their affiliations, and
amounts expended.
Article II. Meeting Attendance and Compensation
Section 12: Directors shall be paid a stipend as compensation, at the
rate determined by the Board of Directors, and adopted by Ordinance No.
OCSD-14 as amended, for attendance at Meetings, as defined below, and for
each Day's Service Rendered as a Member of the Board.
"Maximum Meetings Allowed Per Month" shall mean for the Board
Chair, ten (10) meetings, or ten (10) days' service rendered per month; for all
other Directors, six (6) meetings or six (6) days' service rendered per month.
"Meetings" shall mean all regularly convened Board of Directors
Meetings, Standing Committee Meetings, Ad Hoc Committee Meetings, and
other Meetings called by the Board Chair. Also included are specific industry
conferences and business meetings of a recurring nature, such as the California
Association of Sanitation Agencies and the Association of Metropolitan
Sewerage Agencies, designated by the Board Chair. Meetings not sanctioned by
the Board Chair are not considered business of the District.
Section 13: Directors shall receive a stipend as compensation, without
further action or authorization of the Chair or the Board of Directors for
attendance at the following: Board of Directors meetings; Standing Committee
and Ad Hoc Committee meetings, of which the Director is a duly appointed
member; meetings, conferences and committee meetings of CASA and AMSA;
meetings of other governmental agencies, at which the District has an official
delegate.
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Section 14: Each Day's Service Rendered as a Member of the District's
Board of Directors, shall be deemed to include, but not be limited to:
A. Attendance at any Meeting of a Committee of which the
Director is not a member, when expressly invited to attend said Committee
Meeting by the Chair of the Board of Directors.
B. Attendance at conferences with State and/or Federal
Legislators regarding District business, when approved by action of the Board of
Directors.
C. Attendance at a meeting, hearing, or conference relating to
the business of the District, when approved by action of the Board of Directors, or
when designated by the General Manager, with the concurrence of the Chair, in
advance, and when deemed to be in the best interests of the District, including
but not limited to the following:
i. Meetings of nonprofit organizations or service club
meetings where a Board Member is making a presentation on behalf of the
District.
ii. Ceremonial events.
iii. Meetings with other elected officials or their
employees, which do not include District Staff.
iv. Meetings of the governing body of another agency, of
which the District has an official delegate, where a matter directly affecting the
interests of the District is agendized for discussion and the Board Member is not
compensated by the other agency.
v. Meetings with District Staff.
vi. Industry related conferences other than California
Association of Sanitation Agencies' or Association of Metropolitan Sewerage
Agencies' work conferences.
vii. Telephone conferences when physical attendance is
impractical and not mandatory.
Section 15: Non Compensable Attendance.
Board Members shall not be compensated for the following meetings
where there is no District-related business to be conducted:
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A. Nonprofit organization meetings.
B. Nonprofit organization events.
C. District-sponsored employee events, including but not limited
to the annual holiday luncheon, employee picnic, or retirement events.
D.
E.
14(C)(i) above.
F.
G.
consultants.
Social or ceremonial events not pre-authorized by the Board.
Service club meetings other than those included in Section
Parades, festivals, holiday events, or retirement dinners.
Meetings with existing or potential contractors, vendors, or
H. Meetings of partisan political organizations.
Section 16: No Director shall receive compensation for attendance at
any meeting, such as Committee Meetings, which are scheduled immediately
preceding, immediately succeeding, or concurrent with a regularly-scheduled
District Board Meeting.
Section 17: No Alternate Director shall receive compensation for
attendance at any meeting unless serving in the absence of the regular, Active
Director.
The Policy was duly adopted, by action of the Board of Directors, on May
26, 2004 and shall be effective upon its adoption.
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