CAA R-1 Food Purchasing for Staff
C - Business and Support Services
CAA
CAA R-1 Food Purchasing for Staff
| BRAZOSPORT ISD |
| ADMINISTRATION REGULATIONS |
| Contact: Director of Business Services |
RATIONALE
The operation of a school district provides many occasions when the purchase of food (meals and snacks) may be necessary. Because of legal restrictions, care must be exercised when purchasing food items. The Internal Revenue Service (IRS) has articulated specific restrictions relating to food and related fringe benefits (see Publication 15-B). Also, Article III, Section 51, of the Texas State Constitution and the Local Government Code prohibit school districts from making a gift of public funds to any individual or entity. The food purchased and the circumstances around its consumption could be perceived as a gift of public funds. For that reason, meals, snacks and other food items are treated differently depending on the types of funds used and the circumstances in which they are consumed.
MEALS
According to the IRS, meals may be served only when work is conducted during the meal time and/or when a reasonable eating schedule is interrupted and the working meeting extends though the meal time and will not adjourn until after a reasonable time for eating has elapsed. Breakfast cannot be furnished by the District unless it is following an overnight stay. District provided meals are for the convenience of the District and must be furnished on the District’s premises.
Meals, when paid for with district funds, may be provided when:
- They are furnished on BISD property, and
- They are furnished for the convenience of the District. Whether you furnish meals for your convenience as an employer depends on all the facts and circumstances. You furnish the meals to your employee for your convenience if you do this for a substantial business reason. A working lunch or dinner, for example, is provided for the District’s convenience.
Meals during travel are controlled by the Travel Policies and Administrative Regulation DEE R1: Employee Travel Guidelines.
SNACKS AND DRINKS
Snacks and drinks, when paid for with district funds, may be provided when an employee meeting exceeds three hours or an employee meeting extends the work day for the employees in attendance.
EMPLOYEE RECOGNITION (E.G. BANQUETS)
Employee recognition events (e.g. banquets), when paid for with district funds, may be provided:
- Only once per semester, and
- Must be held on premises.
MONEY USED
Meals, drinks or snacks can be provided through district funds (Fund 199 or 461) when the guidelines above are met.
TRACKING THE FUNDS
- A separate budget line (object code 6496) is designated in each campus and department budget to pay for food, snacks, and district sponsored employee recognition events.
- For general fund purposes a maximum allocation of funds of up to five (5) percent of the total basic allotment campus budget will be allowed for the purchase of food, snacks and meals. A lesser amount may be specified by the campus.
- Department budgets will include a maximum allocation of funds of up to one (1) percent of the portion of the departmental budget that benefits the department only for purchases of food, snacks, and meals. Line items that are for the benefit of the campuses will not be included in the calculation of the one percent.
- Both campus/departmental funds set aside for these purchases will be used for on district property use. These funds are not to be co-mingled with travel funds (6411) for out-of-district expenses.
- These funds will be a part of the original base allotment.
- Under no circumstances should these funds be used for staff birthdays, weddings, baby showers, gift certificates, etc.
- Pursuant to IRS regulations, any occasion where these funds are used for food must take place on district property.
Additional Purchases from Campus Activity Funds: Principals may also use a portion of their campus activity funds for food and recognition. The amount may not exceed the same amount calculated for the general fund maximum allotment (so the total spent between general and campus activity cannot exceed 5%). Pursuant to law, all campus activity funds must be used to benefit students through the educational process. Therefore, any food purchased for staff must be attributable to either employee recognition or staff development. The campus may budget general campus activity funds such as picture money or other general fund raiser funds not to exceed the same dollar amount calculated for the general fund maximum allotment. Funds must be designated in campus activity accounts using sub object 16. No funds generated by student organizations may be used for this item. All funds raised by student organizations must be expended for the benefit of the students. (Board Policy CFD (Local).
- It is important to note that campus activity funds are considered public funds, so discretion should be used when spending these monies.
- Under no circumstances should these funds be used for staff birthdays, weddings, baby showers, gift certificates, etc.
EXCEPTIONS TO THE ABOVE
Benevolence/Social Funds – Fund 865 are funds that have been contributed by staff and, therefore, purchases of food may be made from those funds without limit. These funds are designated using sub-object 97. Expenditures for staff birthdays, weddings or baby showers, snacks for teacher’s lounges, etc., may be made from this fund.
Student Activity Funds - Fund 865: Purchases of food may be made from these funds without limit, assuming the purchase is for the benefit of the student group and has been approved by the officers of the student group that raised the funds.
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