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Staff proposes travel policy update to allow reimbursement of tips and service charges, recommends a 20% cap
Summary
Staff recommended updating board policy AR 33.350 to treat tips, gratuities and service charges as reimbursable actual costs, citing audit guidance and comparable district practices; staff discussed a recommended maximum of about 20% for gratuities.
District staff told the board that multiple board policies need updating and presented a targeted change to travel and conference policy AR 33.350 to clarify treatment of tips, gratuities and service charges. "Staff is recommending that the board adopt the changes cited, allowing the tips, gratuities, and service charges as an actual cost as allowed by government code, education code, as well as technical guidance from our audit firm," staff said.
Staff explained the recommended cap would be at or below 20 percent in this district based on local practice and audit guidance; other districts' caps ranged from about 10% to 25% depending on context. The item was presented as a discussion item and staff said the policy will return as an action item for board adoption after additional review.
