Finance 302: Direct Payments
To provide guidance to departments or campus organizations on small payments that may qualify for direct payment
Direct Payment: A payment mechanism for a category of expenses that do not require a university purchase order. Teacher Honorariums: Gifts given as a token of appreciation to teachers who provide mentoring services for students. Subject Payments: Payments to individuals for their participation in a research project. SBIR Payments: Small business incentive grant payments. Student (Non-Employee) Reimbursements: Reimbursements for out-of-pocket expenses that students may incur in connection with student club or student government activities. USUAA Student Payments: Stipends for voluntary service that are approved by student vote. Payments for Class Notes: Reimbursements to individuals for taking class notes for disabled students.
Departments may initiate a direct payment by sending a completed Direct Pay Form to Accounts Payable. Direct payments require supporting documentation and are subject to a limit of $2,500. Direct payment disbursements must be approved by an appropriately delegated or designated individual. A direct payment must not be used for an employee reimbursement.
The approved categories of direct pay expenses and the required documentation include:
Teacher Honorariums—Provide a description of the service.
Student Awards—Provide a description of the competition or activity that generated the award.
Subject Payments—Describe the research project and nature of participation. If there is more than one participant, attach a list with the name, social security number, home address, and amount for each participant.
SBIR Payments—Describe the small business research for which the grant is provided.
Student (Non-Employee) Reimbursements—Provide a copy of the receipt and a description of the transaction.
USUAA Student Payments—Describe the circumstance.
Payments for Class Notes—Provide the name of the student receiving the service.
Refunds (Not Tuition and Fees)—Supporting documentation must show evidence of the original payment.
Change Funds—To establish or increase the amount of the change fund. See Finance Policy 203 for setting establishing and managing a change fund.
Petty Cash Funds—To establish or increase the amount of the petty cash fund. See Finance Policy 301 for establishing and managing a petty cash fund.