The following policies and procedures will be applicable to all expenditures made from funds that have been deposited in the East Tennessee State University Foundation, Inc. It is the requirement of East Tennessee State University that the University Foundation follow and be governed by the University’s policies and procedures that are not in conflict with the foundation corporate charter or by-laws which will prevail. Any exception to the above must be approved in writing by the Foundation President/CEO or designee.
In accordance with Section VII of FP-4 of the ETSU Financial Procedures Manual, purchases from Foundation funds shall follow all applicable University policies and procedures. Approval signatures are required in accordance with FP-20 of the Financial Procedures Manual.
All expenditure requests from Foundation funds must be in conformity with the requirements of University financial procedures. Requests are processed on a daily basis to the appropriate office.
The following rules and regulations apply to the expenditure of Foundation funds:
1. Salaries - Only salaries which are within requirements of the ETSU Human Resources Salary Compensation schedule may be paid from Foundation funds. Approval requirements must follow standard ETSU policy and procedures. Amounts that are supplements to the employee's regular salary will not be allowed unless approved by the President and Chancellor. Salaries for instructional purposes will not be allowed.
2. Equipment - It is expected that needed equipment will be prioritized and purchased from the ETSU operating budget. Any equipment to be purchased from Foundation funds will require approval by the President's designee.
3. Flowers - Account managers may purchase flowers to be charged to their Foundation account for any individual with a legitimate relationship to the department if allowed by the fund agreement.
4. Entertainment - Entertainment expenditures will only be paid when directly related to the educational mission of the University. Expenditures which are strictly for the benefit of the department (e.g. coffee, memorial donations, departmental refreshments, etc.) will not be allowed.
5. Business Meals – Meals must be documented in accordance with the requirements of Financial Procedure FP-21.
Exceptions to this procedure must be approved by the Foundation President/CEO.
Appropriate forms may be found on the Financial Services web page http://www.etsu.edu/fa/fs/forms.aspx
Original effective date: February 1, 1994
Revised: September 21, 2001, December 19, 2003, January 21, 2011
Last review: January 21, 2011
Web page last updated January 25, 2011