1. Special Expenses  Policy FMR-4D-01 is revised effective 3-2-09  Purposes for revision To align agency policy with state policy To align agency policy with state policy To update approval signature process and requirements To update approval signature process and requirements

2. Special Expenses  Policy Changes Registration fees for conferences, seminars, workshops and education courses (page 3) Registration fees for conferences, seminars, workshops and education courses (page 3) Old PolicyOld Policy Required approval if over $500 per participant Required approval if over $500 per participant Did not regard tuition for education courses as a special expense Did not regard tuition for education courses as a special expense New PolicyNew Policy Requires approval for all registration fees regardless of cost Requires approval for all registration fees regardless of cost For tuition, follow instructions and use form specified by Admin’s Tuition Reimbursement Policy (HR Policy #10 – Education Assistance) For tuition, follow instructions and use form specified by Admin’s Tuition Reimbursement Policy (HR Policy #10 – Education Assistance) For registration fees relating to an out-of-state trip (not including international travel), submit the Authorization for Out-of-State Travel form (FMR-004-01) to show all anticipated travel expenditures including the registration fee(s); the Request for Approval to Incur Special Expense form is not needed in this case. For registration fees relating to an out-of-state trip (not including international travel), submit the Authorization for Out-of-State Travel form (FMR-004-01) to show all anticipated travel expenditures including the registration fee(s); the Request for Approval to Incur Special Expense form is not needed in this case.

3. Special Expenses  Policy Changes Refreshments and meals for agency-sponsored events where the majority of participants are not state employees (page 3) Refreshments and meals for agency-sponsored events where the majority of participants are not state employees (page 3) Old PolicyOld Policy Refreshments and meals were permitted Refreshments and meals were permitted New PolicyNew Policy Refreshments are permitted Refreshments are permitted Meals not permitted unless a registration fee is charged Meals not permitted unless a registration fee is charged

4. Special Expenses  Policy Changes Refreshments for events where the majority of participants are state employees (page 3) Refreshments for events where the majority of participants are state employees (page 3) Old PolicyOld Policy Events should be scheduled to minimize inclusion of meals Events should be scheduled to minimize inclusion of meals New PolicyNew Policy Events should still be scheduled to minimize inclusion of meals Events should still be scheduled to minimize inclusion of meals With the exception of structured training sessions available to employees generally and conducted by persons outside the agency (and approved by HR), events shall be held no more frequently than once each quarter With the exception of structured training sessions available to employees generally and conducted by persons outside the agency (and approved by HR), events shall be held no more frequently than once each quarter

5. Special Expenses  Policy changes Special Expense provisions specific to DDC and STAR Special Expense provisions specific to DDC and STAR Old PolicyOld Policy Several provisions specific to DDC and STAR Several provisions specific to DDC and STAR New PolicyNew Policy Policy is standardized with no provisions applicable to specific divisions only Policy is standardized with no provisions applicable to specific divisions only

6. Special Expenses  Policy Changes New Policy New Policy Section added (page 4) requiring MMB approval for the following:Section added (page 4) requiring MMB approval for the following: International travel International travel Expenses for employee recognition events beyond the following that are provided in the policy: Expenses for employee recognition events beyond the following that are provided in the policy: Awards for individual or group achievements which are limited to non-cash/non-negotiable items of nominal value under IRS guidelinesAwards for individual or group achievements which are limited to non-cash/non-negotiable items of nominal value under IRS guidelines Reasonable costs for annual official agency employee recognition events which may include 100% meal reimbursement for employees being recognized, but shall not include reimbursement for other guests or travelReasonable costs for annual official agency employee recognition events which may include 100% meal reimbursement for employees being recognized, but shall not include reimbursement for other guests or travel Other special expenses not identified in the new policy/procedure Other special expenses not identified in the new policy/procedure

7. Special Expenses  Policy Changes New Policy New Policy Section added (page 4) to specify certain expenses not permittedSection added (page 4) to specify certain expenses not permitted Private club memberships Private club memberships Alcoholic beverages Alcoholic beverages Entertainment Entertainment Employee parties (including holiday and retirement parties) Employee parties (including holiday and retirement parties) Refreshments or meals for meetings consisting of a majority of state employees except as provided in the new policy Refreshments or meals for meetings consisting of a majority of state employees except as provided in the new policy

8. Special Expenses  Signature Requirements Division Directors may approve: Division Directors may approve: Requests up to $500Requests up to $500 Assistant or Deputy Commissioner approves: Assistant or Deputy Commissioner approves: Requests exceeding $500Requests exceeding $500 Requests for division recognition eventsRequests for division recognition events Commissioner approves: Commissioner approves: Special Expense requests initiated by Assistant or Deputy CommissionerSpecial Expense requests initiated by Assistant or Deputy Commissioner Requests for agency-wide recognition events (requires MMB approval if beyond agency policy provisions)Requests for agency-wide recognition events (requires MMB approval if beyond agency policy provisions) Requests for international travel (also requires MMB approval)Requests for international travel (also requires MMB approval) FMR approval required on all requests FMR approval required on all requests

9. Special Expenses  Tips Understand the new policy Understand the new policy Advance approval is still required Advance approval is still required Fill out the form completely Fill out the form completely Check the appropriate box to indicate type of special expense Check the appropriate box to indicate type of special expense