ePR – TIPS

Payment Sections

For Preparers:

For Approvers:

Payment Type: Misc. (MC)

Business Purpose: Contest/Recognition Awards and Honorariums

Definition:

Payments to individuals who are not U of U employees or students for contest awards or recognition awards. Honorariums payments should be clearly honorary in nature and should represent a non- routine payment given for services for which fees are not legally or traditionally required and, which by custom, a fixed price is generally not established. The nature of these payments are that the recipient is not expecting payment, so no invoice is typically provided.

Example(s):

Honorarium: A professor from another university provided textbook review without any expectation of payment. In order to acknowledge the contribution of gratuitous services to the university, the department decided to give him a small payment.
Award: A non-employee/non-student won a contest sponsored by a University department and needs to be paid their monetary prize.

Documentation:

Contest/award/event announcement or other documentation which substantiates the payment.
Honorarium documentation should include the payee’s social security number and current address, a brief statement of justification for the payment, and a verification that the payee is not a University employee.
W-9 if vendor is new or their information has changed.
W-8 BEN is required for payments to individuals who are Non-Resident Aliens (in lieu of a W-9).

Additional Approvals:

If the honorarium is >$1,000, add your VP to the approval workflow by clicking the “Add Approver” button in the Approvals section of the ePR.
No additional approvals needed.

Additional Information and Resources:

If payment is expected/or negotiated with the payee, please submit the request under the “Independent Contractor/Consult <$5,000” or “Guest Lecturer/Performer” payment types.
University Policy 3-062—Honorarium Payments

Payment Type: Misc. (MC)

Business Purpose: Bank Payment

Definition:

Payments to financial institutions for administrative and other service fees.

Example(s):

A department is billed for bank trustee fees.

Documentation:

Invoice or statement detailing and substantiating payment amount.
W-9 if vendor is new or their information has changed.

Additional Approvals:

No additional approvals needed.

Additional Information and Resources:

N/A

Payment Type: Misc. (MC)

Business Purpose: Consignment/Commission on Concessions

Definition:

Consignment payments to artists/performers for merchandise/artwork sold in University-hosted locations. Payments for commissions which resulted from the University collecting all proceeds but having an obligation to send a share along to an outside organization.

Example(s):

Consignment: Artist merchandise was sold in a department’s gift shop. The department now needs to forward the artist’s portion of the proceeds.
Commission: A department pays a student organization commission for staffing concession stands.

Documentation:

Invoice, statement, settlement or other document detailing and substantiating payment amount.
W-9 if vendor is new or their information has changed.

Additional Approvals:

No additional approvals needed.

Additional Information and Resources:

N/A

Payment Type: Misc. (MC)

Business Purpose: Contractual Cost Share

Definition:

Payments to fulfill contractual obligation to share costs with another school, agency, or organization related to conference hosting and planning expenses.

Example(s):

A department agrees to share the cost of putting on a conference with Weber State. The department is invoiced for their portion of the expenses.

Documentation:

Invoice, statement, or documentation detailing and substantiating payment amount.
W-9 if vendor is new or their information has changed.

Additional Approvals:

No additional approvals needed.

Additional Information and Resources:

This does not apply to research cost shares. Only agreements, formal or otherwise, between institutions to share non- research costs.

Payment Type: Misc. (MC)

Business Purpose: Funds Transfer

Definition:

Payments to organizations that represent funding pass-through or a distribution of funds from a central custodian to the receiving agency. These payments are typically between state agencies.

Example(s):

A department has been collected funding in partnership with another organization and needs to send them their portion of the proceeds.
The department’s role is to serve as a pass through for state funding. The State provides them the funding and they are charged with distributing is appropriately.

Documentation:

Invoice, statement, or documentation detailing and substantiating payment amount.
W-9 if vendor is new or their information has changed.

Additional Approvals:

No additional approvals needed.

Additional Information and Resources:

Situations appropriate to this payment type are those in which it was always the role of the University department to serve as a pass-through, meaning the University holds the funding never intending or being authorized to keep the funding.

Payment Type: Misc. (MC)

Business Purpose: Grant Funded Subsidy

Definition:

Payments to individuals or organizations that serve to fulfill the purpose of a subsidizing program as mandated by a government program/agency.

Example(s):

A department has received a federal grant which serves to support day care costs for students in need. They use this funding to pay for costs from this funding.

Documentation:

Invoice, statement, or documentation detailing and substantiating payment amount.
W-9 if vendor is new or their information has changed.

Additional Approvals:

No additional approvals needed.

Additional Information and Resources:

The funding source must indicate federal or state agency.

Payment Type: Misc. (MC)

Business Purpose: Insurance Premium (Non-Employee/Student)

Definition:

Payments for non-student insurance premiums. When selecting a high-dollar or group policy, the purchase should be reviewed by the Purchasing Department.

Example(s):

A donor has donated their life insurance policy to the University as long as the University pays the premiums. The department has agreed to pay travel insurance premiums for non- employee/student travelers.

Documentation:

Invoice or other document substantiating payment amount.
Insurance payments for individuals should include a copy of the account statement.
W-9 if vendor is new or their information has changed.

Additional Approvals:

No additional approvals needed.

Additional Information and Resources:

These payments often require documents to be included with the check. If this is the case, select the “Stuffer as a Check” under Payment Option.
University Rule 3-100—University Procurement https://regulations.utah.edu/administration/3-100.php

Payment Type: Misc. (MC)

Business Purpose: Legal Services

Definition:

Payments to off-campus organizations for legal services.

Example(s):

With the help of the Office of General Counsel, a department has put an outside legal entity on retainer for help with a legal issue. Now the department must pay the final invoice.

Documentation:

Invoice or statement detailing and substantiating payment amount.
W-9 if vendor is new or their information has changed.

Additional Approvals:

Office of General Counsel must approve any legal services sought from outside organizations. No additional approvals needed.

Additional Information and Resources:

N/A

Payment Type: Misc. (MC)

Business Purpose: Medical Services

Definition:

Payments to medical institutions for services or medications associated with research study subjects. This can also be used for to pay expenses on behalf of patients for customer relations purposes.

Example(s):

A patient had their blood drawn for testing, but the blood was lost in the clinic. The department is paying for the charges associated with the redraw.
Human study subjects receive services from IHC related to the study. The expenses must be paid by the department using the study funding.

Documentation:

Statement or documentation detailing and substantiating payment amount.
W-9 if vendor is new or their information has changed. https://www.irs.gov/pub/irs-pdf/fw9.pdf

Additional Approvals:

No additional approvals needed.

Additional Information and Resources:

This business purpose is to be used for actual medical services like blood draws or x-rays, not for medical related services like MRI repairs or biohazard disposal. Medical-related services should be submitted through UShop or paid via the “Supplier Invoice (<$5,000)” payment type.

Payment Type: Misc. (MC)

Business Purpose: Salary Leasebacks

Definition:

Payments made to organizations which lease a portion of their employees’ effort to the University. This allows the University to benefit from the resource, without owning the full expense.

Example(s):

Doctors and nurses are employees of IHC, but are utilized by University departments. IHC then bills the University for our portion of those personnel expenses.

Documentation:

Invoice or other document detailing and substantiating payment amount.
W-9 if vendor is new or their information has changed.

Additional Approvals:

No additional approvals needed.

Additional Information and Resources:

N/A

Payment Type: Misc. (MC)

Business Purpose: Other

Definition:

All ePR payment types represent the approved exceptions to procurement policy. If your payment does not fit under a type, it most likely requires a Purchase Order. Using the “Other”, business purpose provides no context for the payment and therefore requires detailed explanation and documentation. In very rare circumstances, payments are required for situations that do not fit under any other existing ePR payment types and are the only payments that are appropriate here.

Example(s):

“Other” is to be used only if the expense is not subject to procurement policy and does not belong under any other payment type/business purpose.

Documentation:

These require an explanation as to why the purchase/payment is an exception to policy.
Please also indicate why it does not fit under an existing payment type.
W-9 if vendor is new or their information has changed.

Additional Approvals:

Special approval by Accounts Payable and possibly Purchasing. No additional approvals needed.

Additional Information and Resources:

Please confirm use of this payment type and business purpose with Accounts Payable prior to submission.

Payment Type: Misc. (MC)

Business Purpose: Taxes/Fines/Penalties

Definition:

Payments for governmental tax obligations or regulatory fines and penalties.

Example(s):

Taxes: A department must pay property taxes for clinic space.
Fines/Penalties: Hazardous waste was mishandled and a department must pay a regulatory fine/penalty.

Documentation:

Invoice or document detailing and substantiating payment amount and providing the remit address.
W-9 if vendor is new or their information has changed.

Additional Approvals:

No additional approvals needed.

Additional Information and Resources:

N/A