UMES Administrative Affairs Manual
Technical and Special Fees
A. Purpose. To set forth policies and procedures for Technical and Special Fees as defined.
1. The Technical and Special Fees process may be used to pay a fee for a temporary special service that is subject to an implied or written contract with an outside individual or entity (i.e., lecturers, honorariums, consultants, as well as human tests and research subjects). Since recipients may be required to report such payments as income or reimbursable expenditures on their tax returns, extreme care should be exercised in utilizing this form for remuneration. It should be noted that honorarium payments and consultant fees are not synonymous.
2. Under no circumstances should this process be used for payments to persons in the following categories.
a. Active employees of the university, other State agencies, or where an employer/employee relationship exists if the university has the right to control and direct the performance of services, not only as to results but also as to details and means;
b. potential employees reimbursed for travel costs of recruitment interviews;
c: recipients of awards;
d. participants in commencement exercises;
e. routine or regular vendors;
f. classroom proctors;
g. college work grants;
h. officials of athletic events;
i. new employees for authorized moving expenses;
j. consultants who have left Sate employment, other than be reason of retirement, until the person has been out of State employment for a period of one year.
3. Those transactions should be processed via the appropriate system: payroll, working fund, or accounts payable transmittal.
4. Supporting documentation for honoraria payments is required. A sample paragraph covering the required information is attached and should be included in your correspondence with the honorarium recipient. This single document can be attached to your Technical and Special Fees form and can serve as the sole documentation for these payments.
5. For consultants, the supporting documentation must include a statement of the need for the service, the consultant's qualifications, a statement of the method of selection, a statement concerning the rate of payment agree upon, and an invoice describing the services rendered.
1. Technical and Special Fees Request for Payment form must be prepared in quintriplicate. The department initiating such action should retain the last green copy and submit the originial plus three copies, with supporting documentation for approval.
2. Request forms and documentation must be approved by the department chairperson, the appropriate Dean/Vice President and the Vice President for Administrative Affairs before being submitted to the Comptroller's Office. The Comptroller will be responsible to see that the required supporting documentation is complete before submitting three copies of the approved request form to Central Administration.
3. Central Accounting will compare the name on the form to the university master payroll data base to ensure that the recipient is not a university employee. Normally it takes Central Administration seven days to issue a check to a recipient. Checks returned to the department for disposition will be made via the campus Comptroller's Office.
4. All checks sent to the department that cannot be delivered for any reason must be voided and returned to Central Administration Comptroller's Office for cancellation no later than 10 working days after the check date. In any even it is imperative that undeliverd checks on hand during December and June be voided and returned to Central Administration Comptroller's Office for cancellaion by the tenth calendar day of the following month. Under no circumstances should the above check or payee's personal replacement check be deposited into any university campus account.
D. Instructions for Completion of Form
1. Enter name and department of person preparing the form.
2. Enter telephone number of above individual. This person should be available to answer any questions concerning the requested payment.
3. Enter full name of payee.
4. Enter full addresses of payee, including zip code. Three lines must contain the address and cannot exceed 34 characters per line. This address must be complete and accurate in order for the IRE-1099 form to be delivered at the end of the year.
5. Fill in the social security, visa, or IRS identification number. Canadian citizens must have a revenue reporting number; aliens must include the date and place of issuance of this visa.
6. Mark an "X" in the appropriate box. If "other", complete full name, address, and zip code to whom check is to be sent. If "Return to Department", specify the reason for this request.
7. Enter eight-digit account number to be charged.
8. Mark and "X" in the appropriate box.
9. Enter the amount to be paid for services, for travel and total. Actual travel expenses cannot be processed on this form.
10. Enter dates of service and a detailed explanation of the services performed, including title of seminar, and to whom given.
11. Obtain authorized signatures of project director, department chairperson, the appropriate Dean/Vice President and the Vice President for Administrative Affairs.
12. Enter dates of authorized signatures
13. Submit to the campus Comptroller
E. Forms can be obtained from the Vice President Administrative Affairs Office.