FINANCIAL POLICIES
TABLE OF CONTENTS
Contents
1.0
APPLICATION OF THESE FINANCIAL POLICIES .......................................................................... 6
2.0
BACKGROUND AND PURPOSE ..................................................................................................... 6
CHAPTER 1: ACCOUNTING ........................................................................................................................ 8
Policy 1-1 ACCOUNTING PRINCIPLES AND STANDARDS ................................................................... 8
Policy 1-2 INTERFACE WITH THE STATE FINANCIAL SYSTEM .......................................................... 8
Policy 1-3 DELEGATED AUTHORITY ...................................................................................................... 8
Policy 1-4 FINANCIAL TRANSACTIONS AND INTERNAL CONTROLS ................................................ 8
Policy 1-5 REPORTING OF FRAUD, THEFT, OR EMBEZZLEMENT ..................................................... 9
Policy 1-6 ACCOUNTABILITY AND CAPITALIZATION OF EQUIPMENT .............................................. 9
CHAPTER 2: DISBURSEMENTS ............................................................................................................... 10
Policy 2-1 PROPRIETY OF EXPENDITURES ..................................................................................... 10
Policy 2-2 COMMITMENT VOUCHERS ............................................................................................... 11
2.2.1
Use of Commitment Vouchers ............................................................................................. 11
2.2.2
Dollar Limits and Requirements ........................................................................................... 11
2.2.3
Purchase Orders .................................................................................................................. 13
2.2.4
University Contracts ............................................................................................................. 14
2.2.5
After-the-Fact Purchases ..................................................................................................... 14
2.2.6
Advance Payments .............................................................................................................. 14
2.2.7
Emergencies ........................................................................................................................ 15
2.2.8
Vendor Agreements ............................................................................................................. 16
2.2.9
Purchase Order Terms and Conditions See Appendix B. .................................................... 16
Policy 2-3 RECEIVING REPORTS ....................................................................................................... 16
2.3.1
Purchase of Goods ............................................................................................................... 16
2.3.2
Purchase of Services ........................................................................................................... 16
Policy 2-4 PURCHASE DISCOUNTS ................................................................................................... 16
Policy 2-5 INTEREST PAYMENTS ON DELINQUENT PAYABLES .................................................... 16
Policy 2-6 OFFICIAL FUNCTIONS AND TRAINING FUNCTIONS ...................................................... 17
Policy 2-7 MISCELLANEOUS COMPENSATION AND OTHER BENEFITS (PERQUISITES)............ 17
2.7.1
Honoraria .............................................................................................................................. 17
2.7.2
Events Sponsored by the University .................................................................................... 18
2.7.3
Meals .................................................................................................................................... 18
2.7.4
Temporary Housing Provided to Visitors and Guests .......................................................... 18
2.7.5
Uniforms and Maintenance of Uniforms ............................................................................... 18


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2.7.6
Authorized Commuting ......................................................................................................... 18
2.7.7
Memberships ........................................................................................................................ 18
Policy 2-8 MOVING and RELOCATION ALLOWANCE........................................................................ 19
2.8.1
Background and Purpose ..................................................................................................... 19
2.8.2
Policy .................................................................................................................................... 19
2.8.3
Criteria .................................................................................................................................. 19
2.8.4
Reimbursable Expenses ...................................................................................................... 19
2.8.5
Non-Reimbursable Expenses .............................................................................................. 21
Policy 2-9 ALCOHOL PURCHASE ....................................................................................................... 21
2.9.1
Purpose and Application ...................................................................................................... 21
2.9.2
Purchase of Alcohol while in Travel Status .......................................................................... 22
2.9.3
Quantity of Alcohol Purchased ............................................................................................. 22
2.9.4
Procurement and Accounting ............................................................................................... 22
2.9.5
Required Approvals .............................................................................................................. 22
2-10
OUT-OF-POCKET REIMBURSEMENTS ............................................................................ 22
2.10.1 Receipt Thresholds .............................................................................................................. 22
Policy 3-1 UNIVERSITY CONTRACTS .................................................................................................. 23
3.1
CATEGORIES ...................................................................................................................... 23
3.1.1
Expenditure Contracts .......................................................................................................... 23
3.1.2
Revenue Contracts ............................................................................................................... 23
3.1.3
Other Contract Types ........................................................................................................... 24
3.2
POLICY ................................................................................................................................ 24
3.3
CONTENT OF UNIVERSITY CONTRACTS ........................................................................ 24
3.3.1
Expenditure Contracts, Debt Contracts, and Price Agreements .......................................... 24
3.3.2
Content for other Contract Types ......................................................................................... 25
3.3.3
Provisions for All Contract Types ......................................................................................... 26
3.4
APPROVED UNIVERSITY CONTRACT FORMS ............................................................... 26
3.4.1
Capital Construction Contracts ............................................................................................ 26
3.4.2
Model Contracts ................................................................................................................... 26
3.4.3
Contract Amendments .......................................................................................................... 26
3.4.4
Real Property Lease Agreements ........................................................................................ 27
3.4.5
Special Provisions ................................................................................................................ 27
3.4.6
Waived Contracts ................................................................................................................. 27
3.4.7
Other contract forms ............................................................................................................. 27
3.5
UNIVERSITY CONTRACT APPROVALS ............................................................................ 27
3.6
UNIVERSITY CONTRACT LEGAL REVIEW ....................................................................... 28
3.7
BUSINESS OPERATIONS REVIEW AND APPROVAL ...................................................... 29


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3.8
ENCUMBRANCES ............................................................................................................... 29
3.9
MONITORING OF STATE CONTRACTS ............................................................................ 29
3.10
INDEPENDENT CONTRACTOR RELATIONSHIP ............................................................. 30
3.11
EXCEPTIONS ...................................................................................................................... 30
3.12
SPECIAL PROVISIONS ....................................................................................................... 30
CHAPTER 4: CAPITAL CONSTRUCTION ................................................................................................. 31
Policy 4-1 CAPITAL CONSTRUCTION ADMINISTRATION .................................................................. 31
4.1.1
Thresholds for Contracts versus Purchase Orders .............................................................. 31
4.1.2
Modifications to Thresholds.................................................................................................. 31
Policy 4-2 STATE CAPITAL CONSTRUCTION PROJECTS ................................................................. 31
4.2.1
The State Capital Construction Fund ................................................................................... 31
4.2.2
State Capital Construction Project Retainage ...................................................................... 32
CHAPTER 5: TRAVEL ................................................................................................................................ 33
5.1
POLICY ................................................................................................................................ 33
5.1.1
Reimbursement .................................................................................................................... 33
5.1.2
Traveler’s Responsibilities.................................................................................................... 33
5.1.3
Approving Authority’s Responsibilities ................................................................................. 34
5.2
TRAVEL AUTHORIZATION ................................................................................................. 34
5.2.1
Travel Authorization When Charged to Federal Sponsored Research ................................ 34
5.3
TRAVEL ADVANCE ............................................................................................................. 34
5.3.1
Eligibility................................................................................................................................ 34
5.3.2
Amount of Advance .............................................................................................................. 35
5.3.3
Approval ............................................................................................................................... 35
5.3.4
Settlement of Advance ......................................................................................................... 35
5.4
ALLOWABLE EXPENSES WHILE IN TRAVEL STATUS .................................................... 35
5.4.1
Lodging ................................................................................................................................. 35
5.4.2
Meals and Incidental Expenses ........................................................................................... 35
5.4.3
Transportation ...................................................................................................................... 36
5.4.4
Gratuities/Tips ...................................................................................................................... 39
5.4.5
Other Al owable Expenses While In Travel Status ............................................................... 39
5.4.6
Non-Business Days .............................................................................................................. 39
5.4.7
Summary of Allowable Expenses While In Travel Status .................................................... 40
5.4.8
Appropriate Source of Funds ............................................................................................... 40
5.5
UNALLOWABLE TRAVEL EXPENSES WHILE IN TRAVEL STATUS ............................... 40
5.6
CERTIFICATION AND APPROVAL ..................................................................................... 41
5.6.1
Approval ............................................................................................................................... 41
5.7.1
Timing ................................................................................................................................... 41


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5.7.2
Unsubstantiated Reimbursements ....................................................................................... 41
5.7.3
Receipts................................................................................................................................ 41
5.8
PAYMENT OF TRAVEL EXPENSES .................................................................................. 42
5.8.1
Electronic Reimbursement ................................................................................................... 42
5.8.2
Corporate Liability Cards ...................................................................................................... 42
5.9
SPECIAL SITUATIONS ........................................................................................................ 42
5.9.1
Travel Type Charges When Not in Travel Status ................................................................ 42
5.9.2
Travel to a Temporary Work Location .................................................................................. 42
5.9.3
Non-employee Travel ........................................................................................................... 43
5.9.4
Allowances for Travel Not Solely for Official University Business........................................ 43
5.9.6
Allowances for Travel with Spouse, Relatives, or Friends ................................................... 43
5.9.7
Staying with Friends/Family ................................................................................................. 44
5.9.8
Allowances for Travel by the Board of Trustees .................................................................. 44
CHAPTER 6: CASH .................................................................................................................................... 45
6.1
OVERVIEW .......................................................................................................................... 45
6.2
CASH SECURITY ................................................................................................................ 45
6.3
FUNDS TO BE DEPOSITED ............................................................................................... 45
6.3.1
Supporting Documentation ................................................................................................... 45
6.3.2
Deposit of Non-University Funds ......................................................................................... 45
6.4
AUTHORIZATION AND USE OF CHANGE FUND AND PETTY CASH FUNDS ............... 46
6.4.1
Creation, Approval, and Cancelation ................................................................................... 46
6.4.2
Custodians ........................................................................................................................... 46
6.4.3
Appropriate Use of Change Funds ....................................................................................... 46
6.4.4
Appropriate use of Petty Cash Funds .................................................................................. 47
6.5
PETTY CASH AND CHANGE FUND PROCEDURES ........................................................ 47
6.6
THEFT OF CHANGE FUND ................................................................................................ 47
6.7
CREDIT CARDS .................................................................................................................. 48
CHAPTER 7: DEFICIT SPENDING ............................................................................................................ 49
Policy 7-1 DEFICIT SPENDING.............................................................................................................. 49
CHAPTER 8: REPORTING ......................................................................................................................... 50
Policy 8-1 FINANCIAL STATEMENTS ................................................................................................... 50
Policy 8-2 PERIODIC FINANCIAL REPORTING.................................................................................... 50
Policy 8-3 COST ALLOCATION PLANS ................................................................................................. 50
CHAPTER 9: PAYROLL ............................................................................................................................. 52
Policy 9-1 DIRECT DEPOSIT ................................................................................................................. 52
Policy 9-2 OVERPAYMENTS TO EMPLOYEES .................................................................................... 52
Policy 9-3 FINAL PAY FOR A TERMINATING EMPLOYEE .................................................................. 52


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Policy 9-4 PROPER TIMESHEET REPORTING .................................................................................... 52
APPENDIX A - DEFINITIONS..................................................................................................................... 54
APPENDIX B – PURCHASE ORDER TERMS AND CONDITIONS .......................................................... 58
APPENDIX C – CONTRACTS SPECIAL PROVISIONS ............................................................................ 63
APPENDIX D - EXAMPLES OF SENSITIVE EXPENDITURES................................................................. 66





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Financial Policies
Responsible Administrative Unit
Administration & Operations


Issued: April 1, 2011
Policy Contact
Revised: Dec. 1, 2016

Control er: rcuswort@mines.edu

1.0
APPLICATION OF THESE FINANCIAL POLICIES
These Financial Policies of the Board of Trustees of the Colorado School of Mines (hereinafter,
the “Mines’ Financial Policies” or “Policies”) shal apply to all operations under the control of the
Board of Trustees. Throughout the document, the terms Colorado School of Mines, Mines, and
University all refer to the Colorado School of Mines.

2.0
BACKGROUND AND PURPOSE
In the 2010 legislative session, Senate Bil 10-003, referred to as the Higher Education
Flexibility Bill, was passed by the General Assembly and signed by the Governor that allowed,
among other things, institutions of higher education to be excluded from certain sections of
C.R.S. §24-30-202.
Specifically, C.R.S. §24-30-202 (13) (b) was changed as follows (text in al CAPS added):
(b) It is the intent of the general assembly that fiscal rules promulgated by the
controller shal be applicable to any institution of higher education;
notwithstanding any specific grant of authority to the governing board of such
institution of higher education EXCEPT THAT THE GOVERNING BOARD OF
AN INSTITUTION OF HIGHER EDUCATION THAT HAS ADOPTED FISCAL
PROCEDURES AND HAS DETERMINED THAT THE FISCAL
PROCEDURES PROVIDE ADEQUATE SAFEGUARDS FOR THE PROPER
EXPENDITURE OF THE MONEYS OF THE INSTITUTION MAY ELECT TO
EXEMPT THE INSTITUTION FROM THE FISCAL RULES PROMULGATED
BY THE CONTROLLER PURSUANT TO THIS SUBSECTION (13),
INCLUDING ANY PROCEDURES OR FORMS REQUIRED BY LAW TO BE
PROMULGATED BY THE CONTROLLER AND ANY REVIEW OR
APPROVAL REQUIRED TO BE PERFORMED BY THE CONTROLLER, AND
SHALL NOT BE REQUIRED TO COMPLY WITH RULES PROMULGATED
PURSUANT TO THIS SUBSECTION (13) OR WITH THE PROVISIONS OF
SUBSECTION (1), (5) (b), (20.1), (22), OR (26) OF THIS SECTION. THE
PROVISIONS OF THIS PARAGRAPH (b) SHALL ALSO APPLY TO THE
BOARD OF DIRECTORS OF THE AURARIA HIGHER EDUCATION
CENTER WITH REGARD TO THE EXPENDITURE OF MONEYS OF THE
AURARIA HIGHER EDUCATION CENTER.
This flexibility was authorized in recognition of the extraordinary reduction in state support for
higher education institutions as well as the increasingly divergent operating needs of colleges
and universities relative to other State agencies.
It is the intent of the University’s management to adopt and implement financial policies for the
University that provide the needed flexibility to conduct University operations in the most


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efficient and effective manner while ensuring adequate safeguards for the proper expenditure of
University resources. Adoption of such University specific financial policies will result in
immediate efficiency gains through the elimination of the time and effort required to obtain State
Controller approval for both routine and unique University transactions. It wil also result in staff
timesavings by the gradual elimination of duplicative and unnecessary steps in approving
expenditures and processing payments and contracts.



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CHAPTER 1: ACCOUNTING

Policy 1-1 ACCOUNTING PRINCIPLES AND STANDARDS
The accounting principles of the University shal be based on generally accepted accounting
principles (GAAP) as adopted by the Governmental Accounting Standards Board (GASB) and
applicable laws and regulations. When it is necessary to report compliance of financial
transactions with statutory requirements, supplemental schedules may be used. Preparation of
separate statutory-based reports may also be necessary.
Policy 1-2 INTERFACE WITH THE STATE FINANCIAL SYSTEM
The University shal have the option to use its own accounting systems with an automated
interface into the State’s system, or use the State’s system directly as determined by the Chief
Financial Officer and Controller. If the University chooses to use its own accounting system, the
Controller shal continue to report to the State Controller regarding its financial transactions as
required by law. To facilitate such reporting, the University shal maintain an electronic interface
with the State financial system acceptable to the State Controller and the University.
The University is authorized by the State Controller as the custodian of the University’s portion
of the financial database on the State financial system. The University shal not grant any
person access to financial data contained on the State financial system for general perusal,
other than University Employees or representatives for Official University Business purposes.
Specific requests for query access to the financial database of the University’s financial system
shal be in accordance with the Colorado Open Records Act. See Policy Library, Public Records
Requests.
Policy 1-3 DELEGATED AUTHORITY

As used herein, the University President is the Chief Executive Officer (CEO), the Executive
Vice President for Administration and Operations is the Chief Financial Officer (CFO), the
Assistant Vice President for Administration is in charge of procurement functions, and the
Controller is responsible for the fiscal management and fiscal integrity of the University. Al of
these individuals shal have the authority to delegate signature authority relative to these
Financial Policies as appropriate and shall document any delegations via an agreement signed
by the applicable Employees. Delegations are made to individuals and not positions and
therefore do not transfer to an Employee who fil s a position vacated by an Employee with
delegated or sub-delegated authority. Delegates shal observe all rules, procedures, dol ar
thresholds, and other requirements of the University, respectively, and the conditions, if any, of
their specific delegation.
These Policies may only be waived or amended upon approval of the CFO.
Policy 1-4 FINANCIAL TRANSACTIONS AND INTERNAL CONTROLS
The University shal implement internal accounting and administrative controls that reasonably
ensure that financial transactions are accurate, reliable, and conform to these Policies prior to
recording transactions on the University financial system and prior to making payment. The
factors of risk, cost, and business requirements shal be considered when establishing these
internal controls.


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Policy 1-5 REPORTING OF FRAUD, THEFT, OR EMBEZZLEMENT
The University is responsible for the design and implementation of programs and controls to
prevent, deter, and detect fraud. Any suspected fraudulent misstatements of the financial
statements shal be reported to the Controller. Any suspected theft or embezzlement of
University funds or assets shal be handled in accordance with University’s Fraud Policies and
Procedures. See Whistleblower Policy.
Policy 1-6 ACCOUNTABILITY AND CAPITALIZATION OF EQUIPMENT
Each Department of the University, working with the Controller’s Office, is responsible for
ensuring that all Equipment acquired by the University is properly accounted for when acquired,
inventoried, and safeguarded throughout its useful life. Items with a useful life of greater than
one year purchased by the University either shal be 1) capitalized, if the cost of the Equipment
is $5,000 or greater, or 2) expensed in the fiscal year in which it was acquired.
Each Department of the University, working with the Controller’s Office, is responsible for
ensuring that all Equipment acquired by the University is properly accounted for at the time of
disposal. When Equipment is ready for disposal, the department is required to contact the
Controller’s Office to ensure appropriate procedures are followed. The University cannot donate
any University assets to any organization.
Campus departments are encouraged, but are not required, to maintain Equipment inventory
lists of Equipment costing less than $5,000 that the department believes is susceptible to theft,
such as computers, lab equipment, etc. If such lists are maintained, departments should review
and update the inventory lists on an annual basis.



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CHAPTER 2: DISBURSEMENTS

Policy 2-1
PROPRIETY OF EXPENDITURES
Al expenditures by the University shal be made for official business purposes only and shall be
reasonable and necessary under the circumstances. Expenditures shal at all times be limited to
the amount of funds that have been budgeted or al ocated for such purposes.
The tests of propriety are used to evaluate whether or not an expenditure is an appropriate use
of University funds, regardless of the source. An expenditure of University funds will be
considered proper only if it meets all of the tests of propriety. The list below contains questions
designed to test the propriety of expenses by forming an evaluation framework.

Is this transaction:

i. For Official University Business?
ii. In the best interest of the University?
iii. The most effective way to accomplish Official University Business?
iv. Without the expense, would programmatic objectives be difficult or otherwise more
costly to achieve or would the impact, level, or quality of the achievement be reduced?
v. In compliance with applicable policies, laws, regulations and rules; and contracts, grants,
and donor restrictions including having the required approvals and authorizations by the
appropriate individuals?
vi. Within the available resources of the responsible unit, taking into consideration all
outstanding commitments and encumbrances?
vii. Directly beneficial to the responsible unit where it is being charged?
vii . Reasonable? – (The quantity and quality of goods or services being purchased are
sufficient to meet the University’s identified need without exceeding it); and
ix. In compliance with University conflict of interest provisions? – (Does an Employee derive
private gain, or appear to derive private gain, as a result of the transaction? If yes, then
the transaction violates the conflict of interest provisions in the faculty handbook or the
University Conflict of Interest policy.)

If any of the above questions receives a “no” response then the transaction is not appropriate
for University funds. Evaluating the propriety of University expenses requires exercising a high
degree of judgment and discernment.
The mere appearance of impropriety with a sensitive purchase may be just as serious and
damaging as the existence of actual impropriety. Reports of impropriety based on appearances
can undermine the public trust in our institution and its commitment to its educational mission.
Accordingly, apparent impropriety should be evaluated with the same vigor as actual
impropriety.
Fiscal Authority is the ultimate responsibility of the President, who may delegate that authority to
the Vice Presidents. Vice Presidents may further delegate this responsibility to department
heads, division directors, center and institute directors, for funds that they manage. Al fund
managers and those authorized to make expenditures are charged with management of funds
in compliance with this policy and all expenditures are expected to be consistent with the
operational needs of their respective units. Individual sensitive expenditures or a group of
sensitive expenditures for a single event exceeding $4,000 must be approved by the
appropriate Vice President or Provost. Appendix D includes examples of appropriate and
inappropriate expenditures under this Policy.


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Policy 2-2
COMMITMENT VOUCHERS
1. Use of Commitment Vouchers
2. Dollar Limits and Requirements
3. University Purchase Orders
4. University Contracts
5. After-the-Fact Purchases
6. Advance Payments
7. Emergencies
8. Vendor Agreements
9. Purchase Order Terms and Conditions
2.2.1 Use of Commitment Vouchers
The University shal not disburse funds unless a Commitment Voucher or small purchase
documentation supports the disbursement. With respect to proposed expenditures, the
University shal review the Commitment Voucher to ensure the:
 Expenditure is authorized by the appropriate departmental authorities and required
approvals have been received;
 Expenditure is reasonable and necessary;
 Prices or rates are fair and reasonable;
 Expenditure amount is within the available unencumbered balance;
 Requirements, respective performance obligations of the parties, and pricing are
adequately defined;
 Terms and conditions represent a commercial y reasonable allocation of risks
between the parties; and
 Voucher complies with applicable statutes, executive orders, University procedures,
and policies.
2.2.2 Dollar Limits and Requirements

[See Following Page for Table]





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2.2.2 Dollar Limits and Requirements
TYPE OF AGREEMENT DOLLAR LIMIT
REQUIREMENTS
Total value of the
commitment;
Multi-year commitments,
the total value is equal to
the sum of the
commitments for all
contract years.
Goods
$5,000 and less
Small Purchase Documentation,
including OneCard/Procurement
Card, or any Commitment Voucher
Goods
Above $5,000
PO or University Contract Create
Encumbrance
Services
$5,000 and less
Small Purchase Documentation or
any Commitment Voucher
Services
Above $5,000, but less than PO or University Contract Create
or equal to $100,000
Encumbrance
Services
Above $100,000
University Contract Create
Encumbrance

Capital Construction /
N/A
See Financial Policy 4-1
Control ed Maintenance
Professional Services
Any dol ar amount
University Contract
under C.R.S. §24-30-
1401, et seq., including
Create Encumbrance
architectural,
engineering, land
surveying, industrial
hygienist, and landscape
architect services
Real Property lease or
Any dol ar amount
University Contract
License of land,
buildings, or a portion
Create Encumbrance
thereof for term of more
than 30 days




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2.2.2.1 Protecting the University’s Interests. In addition to situations described in this
Policy, University Contracts shal be used if other Commitment Vouchers do not
adequately protect the University’s interests. Refer questions regarding the proper form
of Commitment Voucher to the AVP of Administration (Business Operations).
2.2.2.2 Exempt Disbursements. A Commitment Voucher is not required for the
following types of disbursements regardless of the amount of funds disbursed:
 Calculated payments required under a program within the University (e.g.,
formula distributions, other distributions required by regulatory or statutory
formulas);
 Copier rental agreements when the payment is based on cost per copy;
 Conference registrations;
 Insurance purchases;
 Internal services routinely provided by the University (e.g., internal printing or
copying services, legal services provided by University Counsel);
 Intra-Department purchases;
 Moving expenses reimbursed to Employees (Financial Policy 2-8);
 Payroll and related disbursements (withholding, authorized benefits, etc.);
 Postal and other delivery charges, including messenger fees;
 University program payments to or on behalf of individuals qualified for the
program’s benefits (e.g., financial aid or tuition assistance);
 Subscriptions for journals, informational publications, or similar materials
(electronic or hard copy) which do not include services;
 Utility hook ups and line extensions performed by a utility company;
 Water, gas, electric, and customary local and long-distance telephone services,
including pagers and cell phones, which are routinely purchased by the
University; and
 Other disbursements approved in writing by the Controller.
2.2.3 Purchase Orders
2.2.3.1 Standard Provisions. All Purchase Orders issued by the University shal
include the University’s standard Purchase Order Terms and Conditions.
2.2.3.2 Interagency Purchase Orders. In situations where the University is issuing a
Purchase Order to another Colorado State agency or institution of higher education, the
University may change or delete any standard provisions.
2.2.3.3 Revision of Standard Terms and Conditions. The University, when issuing a
Purchase Order to a Party other than another Colorado State agency or institution of
higher education, shal not change or delete the standard Purchase Order provisions
unless it obtains prior written approval from the Director of Business Operations, except
that:
No changes to the Public Contracts for Services or Public Contracts with
Natural Persons provisions may be made without legal review and written
approval by the AVP Administration (Business Operations.)
2.2.3.4 Services involving transfer of confidential information. All Purchase Orders
issued by the University that involve the transfer of or access to confidential electronic


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information shal comply with applicable University policies related to confidential
information and IT security and with applicable laws and regulations related to
confidential information.
2.2.4 University Contracts
The University shal use a University contract as the Commitment Voucher for all purchases
or leases of goods and services, as required under Financial Policy 3-1. University contracts
shal comply with requirements of Financial Policy 3-1.
2.2.5 After-the-Fact Purchases
2.2.5.1 Payment Prohibition. The University shal not make payments to a vendor when
an After-the-Fact Purchase has occurred, unless the Controller has ratified the After-the-
Fact Purchase.
2.2.5.2 Personal Liability. Under C.R.S. §24-30-202(3), any person(s) who knowingly
incurs, orders, or approves for an obligation or makes a payment that creates an After-
the-Fact Purchase may be personally liable for such obligation, unless the Controller
ratifies the After-the-Fact Purchase.
2.2.5.3 Internal Controls. The University shal maintain an adequate system of internal
controls to identify After-the-Fact Purchases, to prevent or minimize such violations, and
to implement the provisions of this section.
2.2.5.4 Ratification. The Control er, in their sole discretion, may ratify the expenditure or
obligation creating an After-the-Fact Purchase, if they find all of the following:
 The prices or rates are fair and reasonable;
 The amount of the expenditure is within the unencumbered balance;
 The University department provides a written explanation for why the After-the-
Fact Purchase occurred;
 The parties did not act in bad faith or in a fraudulent manner; and
 The violation is not repeated or part of a consistent pattern of After-the-Fact
Purchases.
2.2.6 Advance Payments
2.2.6.1 General Prohibition. University contracts and other Commitment Vouchers
shal not provide for Advance Payment for goods supplied and/or services performed or
for any other contractual obligation, except as permitted herein.
2.2.6.2 Waiver Process. The Controller may waive this requirement upon finding that
Advance Payment is an established industry standard and/or provides a benefit to the
University at least equal to the cost and risk of the Advance Payment.





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2.2.6.3 Exceptions - Prior Approval Not Required. Advance Payments for a period of
one year or less are permitted without prior approval of the Controller for the following:
 Advertising services and related goods;
 Charter Transportation;
 Construction permits;
 Federal grants awarded by the University to sub-grantees (in compliance with
Federal requirements);
 Overnight travel accommodations such as hotels, motels, etc.;
 Information Technology (IT) service agreements (including internet access,
systems and database access);
 Insurance premiums;
 Interagency Agreements;
 Licenses, including Licenses for software;
 Maintenance of office equipment or information technology (IT) (software and
hardware) and other maintenance agreements;
 Membership dues;
 Personal Property Lease Agreements or rentals;
 Post Office/Safety Deposit Box rentals;
 Professional services provided by expert witnesses hired for litigation purposes,
mediators, entertainers, and speakers;
 Real property leases, where the University is a tenant, and perpetual easements,
if the entire interest is purchased and all attendant rights are transferred upon
payment;
 Sponsored projects;
 Subscriptions for journals, informational publications or similar materials
(electronic or hard copy), which do not include services;
 Tuition, registration, and fees charged for trainings, classes, conferences, and
seminars;
 Utility hook ups and line extensions performed by a utility company; and
 Water rights purchases or temporary leases.
2.2.7 Emergencies
Disbursements for Emergency procurements may be made upon presentation of invoices,
receipts, or other statements describing goods or services purchased and the amount to be
paid. Goods and services necessary to respond to an Emergency may be procured
immediately, without issuing a Commitment Voucher or obtaining a written waiver from the
Director of Business Operations, where all of the following conditions are met:
i.
The nature of the threat requires an immediate response and there is insufficient
time to issue a Commitment Voucher;
ii.
The procurement is authorized by the Director of Business Operations;
iii.
The procurement is made with such competition as is practicable under the
circumstances;
iv.
A Commitment Voucher is executed as soon as possible to define future
performance obligations, if any, of the vendor and University, as required by these
Policies; and
v.
The department notifies the Director of Business Operations in writing, as soon as
possible, of the circumstances, goods and services purchased, and the dollar
amount of the commitment.


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2.2.8 Vendor Agreements
2.2.8.1 Prohibited Use. A Vendor Agreement shall not be used in lieu of a University
Purchase Order or contract, where one is required, absent the prior written approval of
the Director of Business Operations. A Vendor Agreement is not required where a
University Purchase Order or contract is not required, except as provided in this Policy.
2.2.8.2 Permitted Use. The Controller or the Director of Business Operations may
authorize the use of Vendor Agreements up to $5,000, if a University Contract or
Purchase Order is not required.
2.2.9 Purchase Order Terms and Conditions See Appendix B.

Policy 2-3
RECEIVING REPORTS
2.3.1 Purchase of Goods
For the purchase of goods that exceed $5,000, receiving reports, or other sufficient
documentation, shal be prepared for the goods received, showing actual quantities, any
unsatisfactory condition, and compliance with specifications, prior to processing a voucher for
payment.
2.3.2 Purchase of Services

For the purchase of services that exceed $5,000, the Approving Authority shal ensure that
the services provided were in accordance with terms and conditions of the commitment
voucher prior to approving and submitting the invoice for payment to the Controller’s Office.

Policy 2-4
PURCHASE DISCOUNTS
Payments shal be processed in a timely manner and made within the allowable discount period
to ensure the University takes advantage of purchase discounts.

Policy 2-5
INTEREST PAYMENTS ON DELINQUENT PAYABLES
The University shal process invoices and other notices of liability as efficiently as possible in
order to ensure payment in accordance with contractual or invoice terms, and in the absence of
such terms, as soon as possible, or in accordance with statutory provisions. A delinquent
payable may be assessed interest at the applicable statutory rate.
Al written contracts and Purchase Orders shal provide for a reasonable time of payment
considering the nature of the goods or services provided and review and approval required for
payment. If no time for payment has been provided for in writing, interest on the unpaid balance
may be calculated beginning with the forty-sixth (46) day after the liability for such payment
arises under this Financial Policy. Interest shal be assessed at the applicable statutory rate or
as stated in the contract or Purchase Order.
Payment of the interest liability incurred under this Financial Policy shal be processed on a
separate voucher. The voucher shal be supported by a written claim, prepared by the University


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or the vendor, referencing the delinquent payment, the number of days of interest to be paid,
and the applicable interest rate. Such claims may be modified by the University to adjust
payments to include such items as additional interest due for time required to process interest
payments.

Policy 2-6
OFFICIAL FUNCTIONS AND TRAINING FUNCTIONS
Expenditure of funds for Official Functions and Training Functions shal be limited to reasonable
and actual costs. The attendance of University Employees at Official Functions shal include
only those individuals necessary to, or directly related to, the purpose of the function. In order to
be paid, expenditures incurred for Official Functions must first receive prior approval by the
appropriate Approving Authority.

Policy 2-7
MISCELLANEOUS COMPENSATION AND OTHER BENEFITS
(PERQUISITES)
An Employee of the University shal not receive any type of benefit by virtue of their position
unless such benefit is provided as part of a University benefits program or under this Procedure.
No Employee shal have the authority to grant any Perquisites, nor shal any Employee receive
any Perquisite except as provided by State statute, State Personnel Rules, general University
benefits plans or programs, or under this Procedure. Monetary allowances shal not be given to
Employees in lieu of benefits, except as provided by statute, provided under a benefits plan of
the University, or approved by the Controller. Where University policies and State statutes
provide allowances for maintenance and ordinary expenses incurred in the performance of duty,
it is the responsibility of the Controller to establish specific expenses that are covered by the
allowance so that the same expenses are not also directly reimbursed.
1. Honoraria
2. Events Sponsored by the University
3. Meals
4. Temporary Housing Provided to Visitors and Guests
5. Uniforms and Maintenance of Uniforms
6. Authorized Commuting
7. Memberships
8. Exceptions to Policy
2.7.1 Honoraria

For a faculty Employee, the requirements outlined in Section 6 of the Faculty Handbook
shal be followed. A non-faculty Employee may earn an honorarium for a speaking
engagement that: is outside of the scope of the non-faculty Employee’s official duties and
working hours, is non-recurring, and is commensurate with the nature of the event and the
benefit to the external party making the payment. Honoraria may not be used to pay an
Employee for services of any type rendered to the University. An honorarium payment
made by an external party may be retained by the non-faculty Employee unless resources of
the University were used in preparing the presentation, event scheduling, etc., or the
engagement was during working hours and the non-faculty Employee did not take leave for
that time. In the latter case, the honorarium should be turned over to the Controller’s Office
for proper recording. Any travel expenses related to the engagement would then be valid
expenses for Reimbursement by the University.


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2.7.2
Events Sponsored by the University

The University may provide a reasonable discount to Employees for events such as sporting
events, seminars, instructional Courses, cultural events and the like, so long as the discount
is fair and equitable among Employees.
Generally, such discounts shal be offered on a first-come, first-served basis; except, the
University may reserve a specified and reasonable number of admissions to particular
events to be distributed on a targeted basis for the purpose of public relations, alumni
relations, or for the purpose of Student or Employee recruitment. The CFO must provide
prior approval in writing of all plans for discounted admissions.
2.7.3 Meals
Meals prepared at University dining facilities are primarily for the benefit of the Students
housed at these facilities; however, meals may be provided to University Employees working
at these facilities and guests visiting these facilities. When a meal is provided to University
Employees or guests, the amount charged for the meal shal at least recover the full cost of
the meal. If an Employee, is required to eat at a University facility for the convenience of the
University, the meal may be provided at no cost to the Employee; however, if a meal is
provided, the value of the meal shal not be reported as taxable income to the Employee.
2.7.4 Temporary Housing Provided to Visitors and Guests

Where space is available, temporary housing may be provided to visitors and guests of the
University in accordance with applicable University policy, if any. If the visitor or guest is to
be charged for the temporary housing, the charge shal be set at an amount that will recover
at least all direct and indirect costs, and be reasonable in comparison to the charge for
similar housing, if such housing is available.
2.7.5 Uniforms and Maintenance of Uniforms
Uniforms required to be worn by University Employees and the necessary maintenance of
these uniforms may be provided to the Employee by the University at no charge, at a
reduced charge, or through a uniform allowance.
2.7.6 Authorized Commuting

University-owned motor vehicles may be used for commuting. The Employee must provide
to their department head written justification for using a University-owned motor vehicle to
commute and obtain prior written authorization from the department head. Al approved use
of University-owned motor vehicles must be reported to the Controller by the department
head that authorized the use. Imputed income may be assessed and reported for the use of
a University-owned vehicle in accordance with applicable Internal Revenue Service Code
and regulations.
2.7.7 Memberships

The University may provide for memberships for Employees to professional organizations
related to their employment responsibilities. Unless recommended by the appropriate Vice
President/Provost and approved by the President, the University shal not provide individual


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memberships for Employees to social clubs, country clubs, or other non-professional
societies or clubs.
Policy 2-8
MOVING and RELOCATION ALLOWANCE

2.8.1 Background and Purpose

To specify the conditions under which the University may provide a moving and relocation
allowance to a newly hired Employee or to an existing Employee.
2.8.2 Policy
A new Employee is eligible for a moving and relocation allowance if the Employee’s offer
letter states that a moving and relocation allowance will be paid, the offer letter contains a
specified amount, and the criteria outlined in this policy is met.
An existing Employee may receive a moving and relocation allowance if the Employee’s
move is deemed to be for the benefit of the University and is pre-approved by the Provost or
the appropriate Vice President.
Any moving and relocation allowance paid pursuant to this policy wil be treated as non-
PERA eligible taxable wages and compensation paid to the Employee. Al appropriate
federal and state taxes wil be withheld at the time of payment.
If the Employee terminates their employment with the University within 12 months of
receiving a moving and relocation allowance, any such allowance received under this policy
shal be repaid to the University prior to the Employee receiving their final pay.
2.8.3 Criteria
The following criteria must be met in order for the new Employee to be eligible for a moving
and relocation allowance:
2.8.3.1 Distance Test
The University must be at least 50 miles farther from the former home than the old main
job location was from the former home. For example, if the Employee’s former home
was 35 miles from the Employee’s former job location, then the University, not the
Employee’s new home, must be at least 85 miles from the Employee’s former home.
2.8.4 Reimbursable Expenses

Reimbursement wil be made for the reasonable expenses, as determined by the
appropriate Mines’ Approving Authority, for:
2.8.4.1
Pre-move house hunting trips.
One pre-move house-hunting trip, limited to four days for airfare (or mileage if driving a
personal car), rental car and associated fuel charges, lodging, parking charges, and
meals for the Employee and the Employee’s spouse/partner. Pursuant to IRS
regulations, the reimbursement will be included as taxable income and appropriate taxes


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withheld. Meals for pre-house hunting trips wil be reimbursed based on the University’s
established per diem rates and are not reimbursed for actual costs of the meals.
2.8.4.2
Travel by car.
If the new Employee uses their personal car(s) to transport themselves, members of
household, or personal effects to the new home, Mines wil reimburse the following:
 The Mines’ standard mileage rate reimbursed for Employee travel; and
 Tolls and parking charges.
2.8.4.3
Household goods and personal effects.
The cost of:
 Packing, crating, and transporting household goods and personal effects and those
of the members of the household from the former home to the new home. For
purposes of moving expenses, the term “personal effects” includes, but is not limited
to, movable personal property that the Employee owns and frequently uses.
 Shipping two cars and household pets to the new home.
 Moving the household goods and personal effects from a place other than the former
home. The reimbursement is limited to the amount it would have cost to move them
from the former home.
2.8.4.4
Storage expenses.
The cost of storing and insuring household goods and personal effects within a period of
30 consecutive days after the day the items are moved from the former home and before
they are delivered to the new home.
2.8.4.5
Travel expenses.
The cost of transportation and lodging for the newly hired Employee and members of
newly hired Employee’s household while traveling form the former home to the new
home, this includes expenses for the day of arrival. If an Employee uses their personal
car to transport their self, members of household, or personal effects to the new home,
Mines wil reimburse the following:
 The Mines standard mileage rate reimbursed for Employee travel; and
 Tolls and parking charges.

The day of arrival is the day lodging is secure at the new place of residence, even if the
lodging is on a temporary basis. This can include any lodging expenses incurred in the
area of the former home within one day after the Employee could no longer live in the
former home because the furniture had been moved. The members of the household do
not have to travel together or at the same time. However, we wil reimburse expenses for
one trip per person.





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2.8.5 Non-Reimbursable Expenses

The following costs related to the Employee’s move or house-hunting trip wil not be
reimbursed:
 Any part of the purchase price of a new home;
 Motor Vehicle Licensing/tags;
 Cost of moving furniture purchased on the way to the new home;
 Driver’s license;
 Expenses of selling a home;
 Expenses of entering into or breaking a lease;
 General repairs, general maintenance, insurance, or depreciation for a personal
vehicle;
 Home improvements to help sell a former home;
 Loss on sale of a former home;
 Losses from disposing of memberships in clubs;
 Meals;
 Mortgage penalties;
 Real estate taxes;
 Refitting of carpet and draperies;
 Rental of furniture, clothes, or other personal items;
 Return trips to a former residence;
 Security deposits (including any given up due to the move); or
 Storage charges except those incurred in transit and for foreign moves.

Any other expenses explicitly not identified as reimbursable in this policy wil not be eligible
for reimbursement.
Policy 2-9
ALCOHOL PURCHASE
2.9.1 Purpose and Application

The purpose of this Policy is to set forth requirements to be followed in the purchase of
alcohol for Official University Business. Please note that all members of the Mines
community shal also adhere to the Institutional Alcohol Policy, and when planning events
with alcohol where Students wil be present shal also adhere to the Student Alcohol Policy
& Procedures.
The alcohol purchase policy applies only to alcohol intended for consumption, whether
purchased or donated.
Per Policy 2-1, the purchase of alcohol is permissible at the University depending upon the
purpose of the event or activity for which it is being purchased. Alcohol may be purchased
for any of the following purposes:
Official Functions;
Meetings/conferences/continuing education courses for which fees are charged;
and/or

Fundraising Events.
When alcohol is being purchased for one of these purposes, the purchase shall only be
made from Indexes used to record discretionary Gift funds, consortium funds, or auxiliary
funds related to conferences/continuing education courses.


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2.9.2 Purchase of Alcohol while in Travel Status
The University shal not reimburse for alcohol that is purchased for personal consumption
while In Travel Status unless such purchase meets the requirements of 2.9.1 above.
2.9.3 Quantity of Alcohol Purchased

Approved alcohol purchases shall be made in a quantity that accurately reflects and limits
the estimated amount to be consumed at the event in order to prevent excessive
consumption and minimize an accumulation of alcohol inventory on University premises.
2.9.4 Procurement and Accounting

Al alcohol purchases, regardless of cost or quantity, must be made using purchase
requisitions only. Al alcohol purchased shal be charged to the appropriate Index using
accounts 5529 – Student Activity, 5559 – Official Function, or 5560 – Conferences, as
appropriate.
2.9.5 Required Approvals

Events where alcohol will be served/consumed require approval from the President,
Provost, appropriate Vice President or respective Department Head. If the President,
Provost, appropriate Vice President or respective Department Head is not available, the
Executive Vice President for Administration and Operations shal have the authority to
review and approve such requests.
Approval may be indicated by signature on purchase requisition form or via an electronic
signature. Note: if purchasing alcohol for an event at which Students wil be present, the
prior approval of the Dean of Students is also required. See Student Alcohol Policy.
2-10 OUT-OF-POCKET REIMBURSEMENTS
2.10.1 Receipt Thresholds

Receipts are not required for reimbursement of Out-of-Pocket expenses of $50.00 or less
that does not include the purchase of alcohol.

2.10.2 Timely Submission

The University shal reimburse Employees and Students for miscellaneous Out-of-Pocket
expenses provided the request complies with University Financial Policies. Reimbursement
requests for Out-of-Pocket expenses, not related to travel, received by the Controller’s
Office after 60 days of incurring the expense wil be included on the Employee’s W-2 as
additional income. Reimbursement requests for Out-of-Pocket expenses, not related to
travel, received by the Controller’s Office later than 6 months of incurring the expense may
not be reimbursed.
2.10.3 Reimbursement for Colorado Sales Tax

University Employees will not be reimbursed for Colorado sales tax paid on Out-of-Pocket
expenses.


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CHAPTER 3: CONTRACTS

Policy 3-1 UNIVERSITY CONTRACTS
1. Categories
2. Policy
3. Content of University Contracts
4. Approved University Contract Forms
5. University Contract Approvals
6. University Contract Legal Review
7. Business Operations Review and Approval
8. Encumbrances
9. Monitoring of University Contracts
10. Independent Contractor Relationship
11. Exceptions to Fiscal Policy 3-1
12. Special Provisions

3.1
CATEGORIES
3.1.1 Expenditure Contracts
 Capital Construction Contracts;
 Employee Voluntary Separation Agreements;
 Fund Management Services Agreements;
 Goods Contracts;
 Information Technology Contracts;
 Investment Advisory Services Agreements;
 Personal Property Leases/Licenses - University as Lessee or Licensee;
 Personal Services Contracts;
 Personal Services Review Exempted Contracts;
 Professional Services Contracts;
 Real Property Leases/Licenses – University as Tenant or Licensee;
 Real Property Purchase Agreements – University as Buyer;
 Settlement Agreements;
 Energy Performance Contracts;
 Solar Host Agreements;
 Power Purchase Agreements.
3.1.2 Revenue Contracts
 Franchise Agreements;
 Real Property Leases/Licenses – University as Landlord or Licensor;
 Real Property Purchase Agreements – University as Seller;
 Fee for Service Contracts;
 Facilities Use Agreements.




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3.1.3 Other Contract Types
 Debt Contracts;
 Grant Contracts;
 Interagency Agreements;
 Intergovernmental Agreements;
 Loan Contracts;
 No Cost/Non-Cash Contracts;
 Price Agreements;
 Sale of Securities Agreements;
 Sponsored Project Agreements;
 Donation Agreements;
 Utilities Agreements.
3.2
POLICY
A University contract that meets the form, content, and approval requirements described in this
Chapter 3 shal constitute a Commitment Voucher for purposes of University Financial Policy 2-
2.
3.3
CONTENT OF UNIVERSITY CONTRACTS
3.3.1 Expenditure Contracts, Debt Contracts, and Price Agreements
The form and content requirements of this §3.1 shal apply to all Expenditure Contracts,
Debt Contracts, and Price Agreements except as limited or excluded herein. This section
shal not apply to Real Property Leases, Settlement Agreements, Voluntary Separation
Agreements, Insurance Coverage Agreements, or Health Benefits Agreements (including
dental, vision, pharmacy, and wellness benefits).
3.3.1.1 General Provisions
The following General Provisions shal be included in all contracts covered by this §3.1:
 Identification of the parties;
 Statement of work;
 Payment terms, including maximum dol ar amount;
 Performance period;
 General terms and conditions;
 Special Provisions (see Appendix C to this Financial Policy); and
 Signature page.
3.3.1.2 Real Property Purchases (University as Buyer), Leases (University as
Tenant) and Licenses (University as licensee)
University Contracts for the purchase, lease, or license of real property shal contain the
following provisions:
3.3.1.2.1. If the University is the buyer, tenant, or licensee, the contract shall include
the following Special Provisions:


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 Controller or Controller’s Delegate Approval;
 Funds Availability; and
 Vendor Offset.
3.3.1.2.2. If the University is the buyer, tenant, or licensee, the contract may include
the other Special Provisions, at the discretion of the University.
3.3.1.2.3. If the University is the tenant or licensee, the contract shal include
provisions specifying cancellation rights if the real property leased or licensed is
destroyed by fire and/or becomes subject to eminent domain.
3.3.1.3 Capital Construction Contracts, Solar Host Contracts, and Power Purchase
Agreements
See Financial Policy 4-1, “Capital Construction Administration.” See also approved
contract forms, available on the website of the Office of the State Architect. For Solar
Host Contracts, Energy Performance Contracts, and Power Purchase Agreements see
the approved contract forms on the website of the Governor’s Energy Office.
3.3.2 Content for other Contract Types
3.3.2.1 Interagency Agreements
Al interagency agreements, not related to sponsored research, require approval of the
University’s Office of Business Operations. Each interagency agreement shal include, at
a minimum, the following elements:
 Identification of the parties;
 Statement of work;
 Statement of consideration (if applicable);
 Payment and other performance terms; and
 Definition of breach and remedies.
3.3.2.2 Intergovernmental Agreements
3.3.2.2.1 Special Provisions. The University, when contracting with governmental
entities outside of the University, shal not agree to modify the Special Provision
requiring the governance of Colorado law;however, if requested, the University may
agree to strike the Choice of Law Special Provision, resulting in contractual silence
as to governing law. Any other change to the Choice of Law Special Provision shal
require the prior written approval of the University’s Contracts Office and a reviewing
attorney where appropriate.
3.3.2.2.2 Federal Government Contracts. The University’s Office of Business
Operations shal review all intergovernmental agreements with any agency of the
federal government not related to sponsored research.
3.3.2.2.3 Sponsored Project Agreements. See applicable University policies
governing sponsored projects.


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3.3.3 Provisions for All Contract Types
3.3.3.1 Indemnification by the University Prohibited
Unless specifically authorized by statute, the University shal not indemnify and/or hold
harmless another Party against any liability incurred as a result of the acts or omissions
of the University or its officers, employees or agents. See Constitution of Colorado,
Article V, §33 and Article XI, §1.
3.3.3.2 Limitation of Liability
3.3.3.2.1 Limitation of Vendor’s Liability - Bodily Injury and Property Damage.
The University shal not limit the vendor’s liability for claims or damages, including
consequential damages, arising out of bodily injury (including death) and damage to
tangible property, if tangible risk is inherent in the nature of the contract. If a
determination is made that no tangible risk is inherent in the nature of the contract
this decision must be supported in writing by the University Risk Manager.
3.3.3.2.2 Limitation of Vendor’s Liability - Other Types of Damages. The
University may accept commercially reasonable limitations of liability and/or remedy
provisions, or the exclusion of consequential damages, if the benefits are deemed to
outweigh the risks and this determination is documented in the contract file. Such
action requires approval of the University Risk Manager or such other individuals
specified in a delegation letter from the University Risk Manager.
3.4
APPROVED UNIVERSITY CONTRACT FORMS
All University Expenditure Contracts shal be in a form approved by the Director of Business
Operations. The following contract forms are approved and additional forms may be approved at
their sole discretion.
3.4.1 Capital Construction Contracts
See Financial Policy 4-1, “Capital Construction Administration”. See also approved contract
forms available on the website of the Office of the State Architect.
3.4.2 Model Contracts
The Director of Business Operations, in consultation with the University Counsel, may adopt
model contracts, as appropriate.
3.4.3 Contract Amendments
Al modifications to a University Contract shal be made by a formal written amendment
signed by the parties to the contract and approved the Director of Business Operations and
other parties as this policy requires. A contract cannot be amended or extended (revived)
after the contract term has expired.





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3.4.4 Real Property Lease Agreements
Lease agreements involving real property shal be in a form approved by and set forth on
the website of the Office of the State Architect, except for leases exempted by statute (see
section 3.5.8 of this Financial Policy).
3.4.5 Special Provisions

All University (a) Expenditure Contracts and (b) Grant Contracts where the University is the
grantor and provides funds from University, federal government, or other sources to the
other Party, (c) Intergovernmental Agreements where the University provides funds to
another governmental entity, (d) Debt Contracts, (e) Price Agreements, and (f) Capital
Construction Contracts shal contain the Special Provisions. See Section 3.13 of this
Financial Policy. No modification shal be made to a Special Provision without the prior
written approval of the Director of Business Operations in consultation with a Reviewing
Attorney, except as otherwise expressly provided herein.
3.4.6 Waived Contracts

Where the University will enter into multiple contracts containing identical provisions, except
for the date, contractor and consideration amount, the Director of Business Operations may
waive any requirement as to contract format.
3.4.7 Other contract forms

From time-to-time, the AVP of Administration (Business Operations) may approve other
contract forms.
3.5
UNIVERSITY CONTRACT APPROVALS
The President and the Board of Trustees of the Colorado School of Mines have final authority
for all University Contracts. No person may enter into a University contract on behalf of the
University without delegation from the Board of Trustees through the President and any
University contract executed without proper delegation shal be deemed nul and void unless the
President or appropriate delegate ratifies it. The University shal obtain all required approvals
and signatures as per Board Policy 10.2 and retain documentation thereof in its files for the
period specified in the applicable University document retention policy.
No Expenditure Contract is valid unless it has been approved as required by §3.5. Any person
who causes a contract to be executed in contravention to §3.5 may be personally liable for any
obligation incurred thereby. C.R.S. §24-30-202(3).
Additional approvals are required as follows:
3.5.1 Capital Construction and Controlled Maintenance Contracts
Require the approval of the State Architect or delegate, unless otherwise exempted by
statute or waived by the State Architect. See C.R.S. §24-30-1303(1)(d).
3.5.2 Central Services Contracts
Require the approval of the AVP of Administration (Business Operations.)



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3.5.3 Contingency-Based Contracts
Require the approval of the CFO and any other approvals deemed necessary by the CFO.
See C.R.S. §24-17-204.
3.5.4 Debt Collection Services Contracts
Require the approval of the Controller. See C.R.S. §24-30-202.4.
3.5.5 Financial Information Contracts
Require the approval of the Controller. These include anything used to record financial
transactions and information, develop financial reports, or prepare financial statements.
3.5.6 Legal Services Contracts
Require the approval of the President and University Counsel, on behalf of the State
Attorney General or delegate.
3.5.7 Personal Services Contracts
Require the approval of the Associate Vice President for Human Resources or delegate as
provided by C.R.S. §24-50-501, et seq.
3.5.8 Real Property Contracts
Require the approval of the State Architect/Director of Real Estate Programs, or delegate,
unless otherwise exempted by statute. These include leases where the University is the
tenant, easements, and rights-of-way contracts.
3.5.9 Utility Cost-Savings Contracts
Require the approval of the State Personnel Director or delegate except where exempted by
standard form through the Colorado Governor’s Energy Office. See C.R.S. §24-30-
2003(1)(b).
3.6
UNIVERSITY CONTRACT LEGAL REVIEW
At the discretion of the University’s Contract Office, any University Contract may be subject to
legal review by and approval of University Counsel. Any contract with a total value of more than
$50,000; that requires the disclosure of sensitive or confidential information held by the
University; that has a material risk to the University; that contains complex legal issues; or, that
is a non-standard template must be reviewed by University Counsel. In accordance with Board
of Trustees policy 10.2 Section III.J, any doubt about the requirement for legal review should be
resolved in favor of seeking legal review.
3.6.1 Mandatory Review
Legal review shal include, without limitation, scrutiny of contract provisions to ensure that
the following requirements are met:
 Compliance with the United States and Colorado Constitutions, federal and state
statutes, state regulations, and applicable University policies and procedures;
 Authority of the University representative(s);
 Al essential elements of a legally binding contract;


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 A statement of work or comparable provisions and business or commercial terms,
which are sufficiently clear and definite, under the applicable circumstances, to be
enforceable; and
 Required signatures.
3.6.2 Discretionary Review
At the discretion of the University’s Contract Office and/or the Office of Research
Administration and Legal Counsel, legal review also may include:
 Review and analysis of the significant risks and issues of a particular transaction;
 Inquiry into the availability of specific remedies; and
 Review of compliance with grant conditions, federal funding requirements, and
required assurances, where provided by the University.
3.7
BUSINESS OPERATIONS REVIEW AND APPROVAL

The Office of Business Operations, which includes Contracts, Risk Management, and
Purchasing, must review all expenditure contracts, except Capital Construction Contracts. The
Office of Business Operations and the University’s Risk Manager must review any contract,
regardless of contract type, with a total value exceeding $5,000 or that has a potential material
risk to the University.
3.7.1 Mandatory Review
3.7.1.1 Prices or rates are fair and reasonable and in accordance with state law and
administrative procedures;
3.7.1.2 Form and Content of the contract are sufficient and appropriate for the parties and
subject matter under applicable state and federal laws, and University policies; and
3.7.1.3 Risk of the contract is outweighed by the contract’s benefits.
3.7.2 Discretionary Review
The University’s Risk Manager may review and approve any contract as requested by the
Office of Legal Counsel, the Controller’s Office, the Office of Research Administration,
Human Resources, or any other office initiating a contract.
3.8
ENCUMBRANCES
The University shal encumber Expenditure Contracts in accordance with University accounting
and financial policies.
3.9
MONITORING OF STATE CONTRACTS
The University is exempt from the requirements of §24-102-205, §24-103.5, and §24-102-105,
C.R.S.



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3.10 INDEPENDENT CONTRACTOR RELATIONSHIP
The University shal take care in maintaining the distinctions between services performed by
persons who are Employees of the University and services performed by independent
contractors, and their employees, agents and representatives, pursuant to a Personal Services
Contract. The University’s responsibilities and obligations with respect to employee/employer
arrangements differ from its responsibilities and obligations with respect to independent
contractors. The University may be liable to a Party for the actions of its employees, whereas
independent contractors and their employees, agents, and representatives are liable for their
own actions. The University is responsible for benefits for its employees, whereas independent
contractors are responsible for social security taxes and benefits of their employees. The
University shal follow guidelines issued by the Internal Revenue Service, the Colorado Division
of Human Resources, Colorado statutes, and opinions of the State Attorney General in
determining whether an individual is an employee or independent contractor.
3.11 EXCEPTIONS
3.11.1 Personal Services Contracts
This Financial Policy does not apply to University Contracts for personal services paid
through an authorized University payroll system, which are exempted from the State
Personnel System pursuant to C.R.S. §24-50-135.
3.12 SPECIAL PROVISIONS
See Appendix C. These Special Provisions apply to all contracts except where noted in italics.


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CHAPTER 4: CAPITAL CONSTRUCTION

Policy 4-1 CAPITAL CONSTRUCTION ADMINISTRATION
4.1.1 Thresholds for Contracts versus Purchase Orders

i. Formal contracts shal be required for transactions in excess of $100,000 including
construction services or installation of fixed Equipment unless previous approval has
been obtained from the Director of the State Buildings Program to use a purchase
order.
ii. Purchases of fixed Equipment that do not require installation services may be
purchased with a purchase order.
iii. A purchase order may be used for construction not exceeding $100,000 if the
Director of State Buildings Program or a delegate thereof approves the purchase
order. Such approval by the Director of State Buildings Program or a delegate shall
require compliance with approved building codes and signify compliance with
bonding requirements in C.R.S. §38-26-106 and §24-105-201.
4.1.2 Modifications to Thresholds

Al dol ar thresholds or amounts contained in this Chapter 4 may be modified, at the request
of the Director of Capital Planning and Construction, at any time that the Director of State
Buildings Programs authorizes or adopts different thresholds or amounts.
Policy 4-2 STATE CAPITAL CONSTRUCTION PROJECTS
4.2.1 The State Capital Construction Fund
This fund was established to provide a source for appropriations to Institutions of Higher
Education to acquire and maintain their physical facilities. The fund has special
requirements that must be followed by the University when it receives appropriations from
the fund.
All State Capital Construction Projects shal be used for their intended purpose and in
compliance with C.R.S. §24-75-301, et seq. The University shal not use the State Capital
Construction Fund to pay or reimburse University Employees for construction management,
administrative activities, direct labor performed, or any other expense outside the scope of
the State Capital Construction Project or State Controlled Maintenance Project.
Unless otherwise stated by the General Assembly as part of the capital appropriation, this
does not apply to projects that are to be constructed solely from cash funds held by the
University or federal funds made available for the project or a combination of cash funds and
federal funds.
Contracts funded by the State Capital Construction Fund shal be executed and the funds
encumbered within the time limits established by C.R.S. §24-30-1404. If the University
determines that the deadlines imposed by the statute cannot be met, the University may


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request the Capital Development Committee to recommend to the State Controller that the
deadline be waived.
4.2.2 State Capital Construction Project Retainage

The University shall withhold retainage for all State Capital Construction Projects and State
Controlled Maintenance Projects where the total amount of the contract exceeds the limit
established by C.R.S. §24-91-103. The retainage shall be in the form of monies withheld
from the contractor or in any other form authorized by statute and acceptable to the
University.
The University shal release the full amount of the retainage only when the contract has
been satisfactorily completed and accepted, and there has been publication of the "Notice of
Final Settlement" in accordance with C.R.S.§38-26-107, and there are no material
outstanding claims against the project. If outstanding claims exist, retainage shal be held in
an amount equal to 125% of outstanding claims until all such claims are satisfied.

AUTHORITIES:
C.R.S. §24-30-1301 (State Buildings Division)
C.R.S. §24-30-1404 (Contracts)
C.R.S. §24-75-301-306 (State Capital Construction Fund)
C.R.S. §24-91-101-110 (Construction Contracts with Public Entities)
C.R.S. §24-92-101-114 (Construction Bidding for Public Projects)
C.R.S. §38-26-106 (Contractor Bonds)
C.R.S. §38-26-107 (Supplier Claims)


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CHAPTER 5: TRAVEL
1. Policy
2. Travel Authorization
3. Travel Advance
4. Al owable Expenses While In Travel Status
5. Non-Al owable Travel Expenses While in Travel Status
6. Certification and Approval
7. Reimbursement Requirements
8. Payment of Travel Expenses
9. Special Situations
5.1
POLICY
This Policy sets forth allowable travel expenses that Employees and Students may be
reimbursed for while in Travel Status. This Policy shal also be used to reimburse Non-
employees for travel related expenses. This policy applies regardless of the sources of funding
used to pay for the travel. Al Employee travel, including group travel for athletics and group
travel for Student accompanied by an Employee, that are required to use the Travel and
Expense Management System (TEM), shal be processed through the TEM. Al Student travel,
not accompanied by an Employee and all Employee travel that are not required to use TEM
shal be processed using the University’s paper based Travel Authorization/Travel Expense
(TA/TE) Report process.
5.1.1 Reimbursement
A traveler may be reimbursed for travel expenses under this Policy only if the traveler is in
Travel Status or meets the criteria in one of the special situations described in section 5.9 of
this Policy and the travel expenses meet all of the following criteria:
i.
Is for official Mines’ Business - travel shal be for the benefit of Mines regardless of the
funding source;
ii.
Are reasonable under the circumstances;
iii.
Is only for the time period necessary;
iv.
Is completed using the most economical means available;
v.
Is supported by adequate documentation and is approved by the appropriate
Approving Authority as required by section 5.1.3 of this Policy; and
vi.
Cash Advances and Travel Authorization/Expense Reports are settled as required by
Section 5.7 of this Policy.
5.1.2 Traveler’s Responsibilities
A Traveler shal :
i.
Be responsible for control ing expenses at a reasonable level and ensuring that Mines
receives adequate value for the amounts expended;
ii.
Identify expenses incurred for the benefit of Mines while in Travel Status and request
an advance or Reimbursement for only those expenses;
iii.
Submit necessary and adequate documentation of the travel expenses to the
Approving Authority;


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iv.
Prepare and submit Travel Authorization/Expense Reports in accordance with section
5.7 of this Policy; and
v.
For Employee travel, prior authorization is required by the Approving Authority and the
Employee shal complete a Travel Authorization/Expense Report.
5.1.3 Approving Authority’s Responsibilities
The Approving Authority shal :
i.
Be a responsible administrator assigned responsibility to authorize travel expenditures
for an Organizational Unit;
ii.
Review and approve the expenses claimed by a traveler and authorize a Cash
Advance or Reimbursement for only those expenses incurred for Official University
Business;
iii.
Ensure that all costs claimed for Reimbursement by a traveler comply with Financial
Policy 2-1;
iv.
At their discretion, require documentation, in addition to the documentation prescribed
by this Financial Policy, deemed necessary or advisable by the Approving Authority in
connection with the authorization and approval of expenses; and
v.
Not approve expenses for themselves or for an individual to whom they report to either
directly or indirectly.
5.2
TRAVEL AUTHORIZATION
The Employee and Student traveler shal obtain prior authorization for all Official University
Business travel from the appropriate Approving Authority. A Travel Authorization Report shal
be used when the traveler is in Travel Status. If the appropriate prior authorization is not
obtained, the traveler may not be reimbursed for the travel.
5.2.1 Travel Authorization When Charged to Federal Sponsored Research

The Employee and Student traveler shal obtain prior authorization for all Official University
Business travel from the appropriate Approving Authority, including the Office of Research
Administration, for all international travel charged to a federal sponsored research. The
Employee traveler shal complete a Travel Authorization/Expense Report prior to travel. If
the appropriate prior authorization per this section is not obtained, the traveler may not be
reimbursed for the travel.
5.3
TRAVEL ADVANCE
5.3.1 Eligibility

Under certain circumstances, Employee and Student travelers may receive a Cash Advance
to support out of pocket related expenses associated while in Travel Status on Official
University Business. An Employee or Student may receive a Cash Advance for:
 Individual travel; or
 Group travel involving Athletics or Students.




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5.3.2 Amount of Advance
The amount of the Cash Advance for an individual travel shal be computed using the
applicable per diem rates and other allowable estimated out of pocket amounts. A Cash
Advance for individual travel shal not exceed $1,500 without prior approval by the University
Controller.
The amount of a Cash Advance for group travel is limited to $1,500 times the number of
travelers and the Cash Advance for group travel shal only be given to an Employee who is
going on the trip. An Employee receiving a group Cash Advance has the same
responsibilities as if that Cash Advance had been received for individual travel.
5.3.3 Approval
Cash Advances provided to an Employee requires completion of a Travel
Authorization/Expense Report.
5.3.4 Settlement of Advance
Upon completion of travel, a traveler shal settle their Cash Advance by following the
requirements for timing, content, and receipts set forth in section 5.7 of this Policy. The
traveler shal reimburse the University at the time the completed and approved Travel
Authorization/Expense Report is submitted to the Controller’s Office to the extent that the
amount of a Cash Advance received by the traveler pursuant to this section exceeds the
actual expenditures for reimbursable items in section 5.4 of this Policy.
5.4
ALLOWABLE EXPENSES WHILE IN TRAVEL STATUS
A traveler in Travel Status shal be reimbursed for the items set forth in this section, if all other
requirements of section 5.1.1 of this Policy are met.
5.4.1 Lodging
The Approving Authority shal determine reasonable costs of the lodging based on the
business needs of the traveler and the individual Official University Business trip. The
traveler shal be reimbursed for the actual cost of reasonable lodging and shal submit
itemized receipts as documentation of the expense. When a double hotel room is occupied
by the business traveler and others whose attendance does not constitute a business
purpose, the University wil pay the single room rate, if applicable. Single-room occupancy
rate must be indicated on lodging receipt.
5.4.2 Meals and Incidental Expenses

Any meals reimbursed while in Travel Status shal be reimbursed using the University’s
approved per diem amounts. If a meal is included in a conference fee, is provided with the
cost of lodging, or through some other means, a traveler shal not request Reimbursement
for the per diem amount related to the provided meal. The University’s approved per diem
amounts are based on the location of the traveler for each day of the trip.


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5.4.2.1 Meals for Days Traveler Departs and Returns
Except for the first and last day of travel, a traveler may claim up to the applicable daily
per diem for each full day of travel. Expenses on the first day of travel wil be
reimbursed based on 75% of the destination city’s per diem rate and on the last day
based on 75% of the departing city’s per diem rate. Under no circumstance shall a
traveler request Reimbursement for more than the applicable per diem rate.
5.4.2.2 Group Meals for Athletics and Academic Field Sessions
Meals incurred while in Travel Status for athletic teams or academic field sessions where
a group meal is provided to the Student/athletes may include both the Employee and the
Student/athletes. Such meals shal be based on actual costs incurred for the meal.
Employees’ whose meals are provided as part of the group meal are not eligible for a
per diem Reimbursement for those meals.
5.4.3 Transportation
A traveler shal be reimbursed only for the most cost beneficial method of transportation
available to the traveler that satisfactorily accomplishes Official University Business as
determined by the Approving Authority. Reimbursement shal be limited to the actual cost of
commercial transportation. A traveler requesting Reimbursement shal submit receipts In
accordance with section 5.7.4 of this Policy.
5.4.3.1 Rental Vehicles - Employees
The Employee shal be reimbursed for the most cost beneficial rental car needed to
accomplish Official University Business as determined by the Approving Authority. To
mitigate risk, travelers shall only rent vehicles with the OneCard or the University issued
travel individual liability card and shal use the approved car rental companies and
appropriate contract code found on the Controller’s Office web site, when available.
Itemized receipts from the rental car agency shal be required for Reimbursement in
accordance with section 5.7.3 of this Policy. For al domestic rentals of vehicles, the
traveler shal decline all insurance. CDW (Collision Damage Waiver)/LDW (Loss
Damage Waiver)/theft insurance is always provided at no cost to traveler by the rental
agency when renting with the University’s OneCard or University issued travel individual
liability card from contract rental agencies using the appropriate contract code in the
U.S. Therefore, this insurance should always be declined. If an approved car rental
company is not available, the traveler may rent a vehicle from any available car rental
agency and may purchase and be reimbursed for the additional insurance. The traveler
is required to certify that an approved car rental agency is not available. For
International rental of vehicles, the traveler should purchase additional rental vehicle
insurance.
5.4.3.2 Rental Vehicles – Non-employees
The Non-Employee shal be reimbursed for the most cost beneficial rental car needed to
accomplish Official University Business as determined by the Approving Authority. The
Organizational Unit is encouraged to have the Non-Employee use an approved car


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rental company in order to receive reduced rates. As the Non-Employee is not covered
by the additional insurance coverage, the additional insurance can be purchased and wil
be reimbursed.
5.4.3.3 Mileage for Personal Vehicles
A traveler shal be allowed mileage Reimbursement for each mile actual y and
necessarily traveled on Official University Business using the traveler’s personal vehicle
at the statutory rate provided in TEM or on the Controller’s Office web site at the time of
travel. Al requests for mileage Reimbursement shal be submitted on a Travel
Authorization/Expense Report when in travel status or on a Voucher Request for same
day travel. A traveler normally shal be reimbursed at the mileage rate designated for
two-wheel drive vehicles. A traveler shal be reimbursed at the mileage rate designated
for four-wheel drive vehicles only when the use of four-wheel drive is necessary because
of road, terrain, or adverse weather conditions and requires prior approval by the
Approving Authority. Prior approval obtained for four-wheel drive shall be submitted with
the Travel Authorization/Expense Report. Al owable miles are those driven in excess of
the normal round-trip commute to primary work location–regardless of type of
transportation used for normal commute. Mileage to/from the traveler’s destination(s)
that are 100 or more miles shall be documented using an Internet mapping tool (e.g.
MapQuest) and included with the Travel Authorization/Expense Report.
5.4.3.4 Travel to and from Denver International Airport (DIA)
For travel to and from DIA, the traveler shal be reimbursed a maximum of 40 miles one
way/80 miles round trip. The traveler does not need to provide documentation of the
actual miles driven. For travel to and from DIA on the weekends, the traveler shal be
reimbursed for the actual miles traveled between the traveler’s residence and the airport
without the requirement to deduct the traveler’s base commuting miles. The traveler
shal provide documentation of the actual miles driven if the total miles per round trip are
100 or more.
5.4.3.5 Airfare
Al travel shal be completed using the most economical means available that wil
satisfactorily accomplish Official University Business using any appropriate source of
funds. The traveler may request Reimbursement for business class travel for
international flights when the travel is more than 9 hours of non-stop air travel and
requires prior approval from the Approving Authority. The traveler may request
Reimbursement for economy plus travel when the travel is more than 3 hours non-stop
air travel and required prior approval from the Approving Authority. Seat charges or early
boarding charges less than or equal to amounts established in the travel FAQ located on
the Controller’s Office website are allowable.
Travelers are not required to use a travel agency to book airline tickets if the total airfare
is less than $1,000. A University approved travel agency is required to be used if the
total airfare is $1,000 or greater unless the traveler can obtain a lower airfare by booking
the travel on their own. The traveler must provide an airfare quote obtained from an
approved travel agency at the same time the airfare is booked to document that a lower
airfare was obtained. If appropriate documentation is not provided, the traveler may not


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be reimbursed for the airfare. Travelers who fly internationally on a frequent basis that
are very knowledgeable of the federal airline travel requirements can request an
exemption from the requirement to use an approved travel agency. If a traveler chooses
to book their own airfare, the traveler will not be reimbursed for the cost of the airfare
until the travel is completed. If a traveler chooses to book their own airfare and for
whatever reason, the trip is delayed, postponed, or canceled and airfare credit is
received, the traveler will not be reimbursed for the airfare or any associated change
fees until the airfare credit is used for University Business at a later time. When using a
University approved travel agency, the airfare shall be charged to the University’s
corporate liability card on file with the travel agency. Airline change fees are
reimbursable to the traveler only if travel plans are changed for Official University
Business reasons. The business purpose for the change in travel plans shall be included
on the Travel Authorization/Expense Report. Any cancellation or change fees are the
responsibility of the traveler if the charges are a result of a personal nature.
5.4.3.5.1 Airfare Charged to Federally Sponsored Research Projects


For airfare charged to federally sponsored research projects, the traveler shal
comply with the following restrictions in addition to the restrictions identified
above:
 Compliance with the Fly America Act found at 41 CFR Parts 301-10.131
through 301-10.143 and Open Skies Agreement for all international travel.
 Airfare costs in excess of the basic least expensive unrestricted
accommodations class offered by commercial airlines are unallowable except
when such accommodations would:
(i) Require circuitous routing;
(i ) Require travel during unreasonable hours;
(i i) Excessively prolong travel;
(iv) Result in additional costs that would offset the transportation savings; or
(v) Offer accommodations not reasonably adequate for the traveler's medical
needs. The non-Federal entity must justify and document these conditions on
a case-by-case basis in order for the use of first-class or business-class
airfare to be allowable in such cases.
5.4.3.5.2 Baggage Fees
A traveler may be reimbursed for reasonable baggage fees if not included as part of
the airfare. Charges for excess baggage are reimbursable only when the traveler is
transporting University materials or when the extended period of travel necessitates
excess personal baggage. A traveler requesting reimbursement shal submit
receipts In accordance with section 5.7.3 of this Policy.



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5.4.4 Gratuities/Tips
A traveler cannot claim Gratuities/Tips as a separate item on a Travel
Authorization/Expense Report. Gratuities/Tips paid to porters, baggage carriers, bel hops,
hotel maids, and skycaps for airport check-in are included as part of the per diem and
incidental expenses rates and are therefore non-reimbursable. Gratuities/Tips paid in
conjunction with meals are included in the per diem rates and are therefore non-
reimbursable. Gratuities/Tips paid in connection with ground transportation expenses should
be included as part of these expenses and shal not exceed 20% of the associated fare.
5.4.5 Other Allowable Expenses While In Travel Status
In addition to lodging, meals, and transportation, the actual expenses identified below,
incurred as a part of approved travel, are allowable if necessary to complete Official
University Business. See Section 5.7 for receipt requirements.
 Camping site fees paid for a commercial camp ground or a state or national park;
 Commercial ground transportation, including Gratuities/Tips;
 Fees to obtain a visa/immunizations if required as part of travel for Official University
Business;
 Fees to purchase traveler's checks or transaction charges for the use of the
University’s OneCard or the University issued travel individual liability card;
 Foreign currency exchange rate fees. Foreign currency transactions shal be
reimbursed at the USD equivalent rate in place as of the first Monday of the travel;
 Laundry/Cleaning services – if the traveler is on Official University Business for six
days or more;
 Parking fees;
 Telephone, fax, internet access, and other similar miscellaneous business expenses
incurred for Official University Business; and
 Toll road charges.
5.4.6 Non-Business Days

Weekends, holidays, and other necessary standby days may be counted as business days
only if they fall between business travel days. If they are at the end of a traveler’s business
activity and the traveler remains at the business destination for non-business reasons,
Reimbursement is not allowed for the additional days.

[Summary of Al owable Expenses in Travel Status on next page]




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5.4.7
Summary of Allowable Expenses While In Travel Status


Rate
Rate
Receipt Required?
Lodging
Actual
Yes
Meals and Incidental Expenses (M&IE)
Per Diem Rate
No
Commercial ground Transportation
Actual
Yes, if $50 or higher
(including Gratuities/Tips)
Rental Vehicle
Actual
Yes
Mileage for Personal Vehicles
See Controller’s
No
Office web site
Airfare
Actual
Yes
Other Al owable Expenses
Actual
Yes, if $50 or higher
Gratuities/Tips Included as part of M&EI
Not Al owed
N/A

5.4.8
Appropriate Source of Funds

Al owable expenses under this section shal be charged to the most appropriate Index in the
finance system. If otherwise allowable expenses are determined to be unallowable using a
particular Index, such as sponsored research projects or gift funds, the Employee and
Approving Official shal identify other appropriate Index(s) to charge the expenses.
5.5
UNALLOWABLE TRAVEL EXPENSES WHILE IN TRAVEL STATUS
A traveler shal not be reimbursed for the following expenses while in Travel Status:
 Alcoholic beverages;
Entertainment expenses;
 Personal expenses incurred during travel that are primarily for the benefit of the traveler
and not directly related to Official University Business;
 Political activities;
 Traffic fines and parking tickets; and
 Certain insurance coverage - The cost of additional or other types of coverage shal not
be reimbursed, including without limitation, expenses paid by a traveler for the following:

o Collision damage waiver or loss damage waiver for rental vehicles, unless it is for
international travel;
o Supplemental liability insurance on rental vehicles;
o Additional liability insurance for rental vehicles;
o Personal accident insurance on rental vehicles;
o Personal travel insurance;
o Trip cancellation insurance; and
o Supplemental life insurance for airline or common carrier travel.





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5.6
CERTIFICATION AND APPROVAL
5.6.1 Approval
For all travel Reimbursements, the Approving Authority shal approve the Travel
Authorization/Expense Report. By submitting the Travel Authorization/Expense Report for
approval, the traveler is certifying the following:
"I certify that the statements in this report are true and correct in all respects; that
payment of the amounts claimed herein has not and will not be reimbursed to me
from any other source; that travel performed for which a Cash Advance or
Reimbursement is claimed was performed by me while on Official University
Business and that no claims are included for expenses of a personal or political
nature or for any other expenses not authorized by these Policies; and that I
actually incurred or paid the operating expenses of the motor vehicle for which
Reimbursement is claimed on a mileage basis. Further, I hereby authorize the
University to deduct from my pay any amount paid to me in excess of my
authorized expenses as provided by this Policy.”
5.7
REIMBURSEMENT REQUIREMENTS
5.7.1 Timing

A completed, approved, and submitted Travel Authorization/Expense Report (TA/TE) form
should be sent to the Controller’s Office within 20 working days of completion of travel to
allow for proper and timely recording of expenses, unless otherwise provided under this
Policy. Any Reimbursement submitted after 60 days of the completion date of the travel will
be treated as taxable income and the total amount of the reported Reimbursement shal be
included in the Employee’s W-2 for that calendar year. A Travel Authorization/Expense
Report, for otherwise allowable reimbursable expenses, not completed, approved, and
submitted to the Controller’s Office within six months of the completion date of the travel wil
not be processed and the traveler wil not be reimbursed.
5.7.2 Unsubstantiated Reimbursements

The University will report as additional W-2 income, to an Employee, the Reimbursement of
any expenses approved by the Approving Authority that is not substantiated by an
appropriate receipt or adequate explanation. If a traveler has inadvertently lost a receipt,
the traveler shal complete and submit a lost receipt form. The Approving Authority shal
determine whether or not the Employee wil be reimbursed for the expenses associated with
the lost receipt.
5.7.3 Receipts
Receipts are required for lodging, rental vehicles, airfare, and any charges on the
University’s OneCard/Procurement Card, regardless of the amount. Such receipts shal be
detailed receipts and shal include the date of service. Receipts for out of pocket costs are
not required for any expenses for which the individual charge is less than $50. Non-specific
charge card transaction slips or credit card statements documenting the vendor and amount
paid may be accepted as proper documentation except for lodging, rental vehicles, group
meals, meals as part of an Official Function, and airfare charges.


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In extenuating circumstances, the Approving Authority may waive the requirement for a
receipt upon receipt of a written certification from the traveler that includes the cost incurred,
and provides the reason why a receipt was not obtained/available. The Approving Authority
may establish alternative documentation requirements for travel to certain locations where
compliance with the receipt requirement is determined to be impractical by the Approving
Authority, and the Control er concurs (e.g., Foreign Travel, group travel, etc.)

5.8
PAYMENT OF TRAVEL EXPENSES
5.8.1 Electronic Reimbursement
At the Controller’s Office discretion, a traveler shal be reimbursed for Cash Advances or
expenses claimed on the Travel Authorization/Expense Report or TA/TE form by direct
deposit using Electronic Funds Transfer or by a University check.
5.8.2 Corporate Liability Cards
The University may utilize any corporate liability card program that meets their business
needs, and create or adopt rules and procedures related to the required campus use of that
card program.
5.9
SPECIAL SITUATIONS
5.9.1 Travel Type Charges When Not in Travel Status
Employees wil not be reimbursed for per diems and/or lodging charges when not in Travel
Status.
5.9.2 Travel to a Temporary Work Location
A traveler may be reimbursed for transportation expenses to a Temporary Work Location,
regardless of distance, only if the temporary work location is in the same trade or business
as the traveler’s regular work location.
5.9.2.1 When a personal vehicle is the usual method of commuting
Traveler shall be reimbursed to the extent the number of miles between the Traveler’s
Residence and the Temporary Work Location exceeds the normal commuting miles from
the Traveler’s Residence to the Traveler’s Regular Work Location.
5.9.2.2 When a personal vehicle is NOT the usual method of commuting
Traveler shall be reimbursed for the number of miles between the Traveler’s Residence
and the Temporary Work Location. The Approving Authority shal obtain sufficient
information to know if the traveler’s personal vehicle is the usual method of commuting.




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5.9.2.3 Travel While on Board Approved Sabbatical
Travel expenses by an Employee while on Board of Trustee’s approved sabbatical
leave that are incurred for Official University Business are eligible for reimbursement if it
is reasonable, funds are available, it is compliant with University finance and travel
policies, and it is approved by their respective Vice President/Provost, Dean, or
Department Head. While the most appropriate sources of funds to cover travel expenses
are research accounts, research development accounts, or foundation accounts, any
restrictions set forth by the funding source must be honored. The General Fund shal
not be used to reimburse sabbatical leave travel expenses. Any reimbursed expenses
deemed personal by the Internal Revenue Service will be included as taxable income
and appropriate taxes withheld.
5.9.3 Non-employee Travel
Non-employees receiving Reimbursement from the University for associated travel costs,
are subject to the Travel Policy, except that the Approving Authority may certify submit/ sign
the Travel Authorization/Expense Report, as required by section 5.6.1 of this Policy, on
behalf of the Non-employee traveler if the Non-employee traveler is not available to sign the
Travel Authorization/Expense Report. Organizational Units are encouraged to pay travel
costs for Non-employees, such as airfares and hotels, directly to minimize the out of pocket
cost to the traveler and ensure that the requirements of section 5.1.1 of this Policy are met.
All Non-employees wil be required to have a completed and signed W-9 in order to be
reimbursed by the University for any travel costs.
5.9.4 Allowances for Travel Not Solely for Official University Business
In some instances, the purpose of travel may be partially for Official University Business and
partially for personal reasons. In these instances, the traveler shal make a reasonable
allocation of the expenses between Official University Business and personal or political
purposes and the Travel Authorization/Expense Report for such expenses shal contain
such allocation and sufficient documentation to explain the basis for the allocation. If an
Employee obtains lower rates for lodging or transportation because travel is extended for
personal reasons, these lower rates shal also apply to the Official University Business
portion of the travel.
5.9.5 Allowances for Travel Paid Directly by a Non-Mines’ Entity
Mines’ officials and Employees may be invited to attend a committee meeting, seminar, or
conference concerning Official University Business where their travel expenses are paid
directly or reimbursed by the sponsor of the meeting, seminar, or conference. In such
instances the University official or Employee may accept the invitation if the travel has been
approved by the appropriate Approving Authority and does not violate other State statutes or
constitutional provisions. Such travel does not need to be reported on a Travel
Authorization/Expense Report.
5.9.6 Allowances for Travel with Spouse, Relatives, or Friends
Reimbursement for Employee’s spouse, domestic partner, or other traveling companion
shal not be allowed except as specifically approved in advance by the appropriate Dean or


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Vice President. Reimbursement for travel expenses under this section shal be treated as
taxable income and the total amount of the reported Reimbursement shal be included in the
Employee’s W-2 for that calendar year.
5.9.7 Staying with Friends/Family

When a Traveler arranges private lodging and meals (staying with friends/family) the
Approving Authority may negotiate a special meal only per diem rate for that period of travel.
The rate negotiated shal be on a case-by-case basis and under no circumstance shall the
negotiated rate exceed the established per diem rates for the place of travel. The Traveler
shal not be reimbursed for any private lodging costs paid to friends or family.
5.9.8 Allowances for Travel by the Board of Trustees

Members of the Board of Trustees may be reimbursed for actual and necessary travel
expenses incurred in the performance of their official Trustee duties, to the extent that such
expenses are reasonable under the circumstances. The President’s Office shall be
responsible for such Reimbursements.




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CHAPTER 6: CASH

6.1
OVERVIEW
Cash is defined as consisting of:

i. Paper currency;
ii. Checks;
iii. Coins;
iv. Money orders; and
v. Travelers Checks.

Campus departments should only accept and deposit payments for Mines’ Official University
Business.

6.2
CASH SECURITY
Cash should be secured at all times. This would include the use of cash registers, safes, locked
file cabinets/drawers with key control, and locked boxes. Access to these devices must be
restricted and proper internal controls must be established. For example, restrict authority to
get into cash registers, limit the number of people who have access to the combination to the
safe, and limit the number of keys and their availability to locked cabinets, drawers, or boxes.
6.3
FUNDS TO BE DEPOSITED

Funds received must be deposited with the Cashier within two business days of receipt. Daily
receipts must be deposited intact and must not be used to pay expenses or to create
unauthorized Petty Cash or Change Funds. Do not substitute checks for cash.

Al deposits of Colorado School of Mines cash must be made at the Cashier Office using
CASHNet. Maintenance of outside bank accounts is strictly prohibited.

6.3.1 Supporting Documentation

Organizational units are required to retain all supporting documents in the department.
These documents wil include pre-numbered receipts, check logs, cash register tapes, etc.
Attach these with one copy of the CASHNet Deposit Form and file the records by deposit
date. Attach receipt from Cashier to supporting documents. The Controller’s Office will
maintain the numerical filing of the posting copies of these documents.

Departmental deposit records are subject to review by the Controller’s Office, Internal
Auditors, and external auditors.

6.3.2 Deposit of Non-University Funds

If the department is involved in a non-University activity that generates funds, such as
soliciting contributions for a retirement function, instruct individuals or entities making


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payments that the checks should not be made payable to the Colorado School of Mines.
Colorado School of Mines cannot endorse these over to an individual or an organization, or
deposit them into a Mines’ bank account and withdraw the funds. When this situation
occurs, the department must return the check to the preparer with an explanation and a
request to re-issue the check with a corrected payee.


6.4
AUTHORIZATION AND USE OF CHANGE FUND AND PETTY CASH FUNDS

6.4.1 Creation, Approval, and Cancelation

May be established based upon written approval by the Controller’s Office. The request for a
Change Fund or Petty Cash Fund shal state the purpose of the fund and contain
justification for the amount requested. All Change Funds and all Petty Cash Funds shal be
recorded on the University’s financial system.

Violation of these policies and procedures wil be cause for discontinuance of the Change
Fund or Petty Cash Fund for that department.
6.4.2 Custodians

Only Employees of the University who hold a 100% appointment are authorized to be
Change Fund or Petty Cash Fund Custodians. The head of the fund custodian’s
department must approve the request. If a change/addition in custodian is required, the
new custodian must complete a New/Additional Custodian Form with authorized
departmental head signature and submit the original form to the Controller’s Office for
approval.
In the absence of the Petty Cash Custodian because of il ness, vacation, etc., it is
permissible for a back-up Petty Cash Custodian to make the Reimbursement request and
receive the Reimbursement check. The voucher must very clearly:
i.
Indicate that the payment is a Petty Cash Reimbursement for “name of official
custodian” and
ii.
Include the reason the check is not made out to that custodian.
Reimbursements to a back-up custodian must be considered as “an exception rather than
the rule”. Contact the Controller’s Office if the need for a back-up custodian arises.
6.4.3 Appropriate Use of Change Funds

Change Funds shal only be used for making change when cash receipts are accepted from
the public, such as for fees and fines. The amount of a Change Fund is based on the
documented need of the department and shal be approved by the Controller’s Office. No
expenditures of any kind shal be authorized from a Change Fund. Change Funds may
either be permanently held at the department or they may be issued on a temporary basis
for a specific event or activity.


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A Change Fund must not be used for the following:
i.
To cash personal checks;
ii.
To make loans to faculty, staff, Students, or others -I.O.Us are not permitted; or
iii.
To make purchases.
At all times, the Change Fund must consist of cash that equals the amount of the original
advance issued to the Change Fund custodian. Any shortages wil be charged to the
specified Departmental Index when the Change Fund is returned to the Cashier.
6.4.4
Appropriate use of Petty Cash Funds
Petty Cash Funds wil generally be limited to no more than $200.00 per department, but in
no case shal exceed $2,000.00. The actual authorized amount is dictated by business
needs of the department requesting the Petty Cash Fund.
Petty Cash Funds shal only be used for payment of incidental expenses, not to exceed $50,
for expenses such as postage, copy charges, or expenses not otherwise appropriately
purchased through the use of the University’s procurement card or other approved
purchasing method. Petty Cash expenditures shal be consistent with all applicable statutes,
rules, regulations, and these Financial Policies. The use of Petty Cash to make purchases
is an exception to the formal procurement methods. The Procurement Card is the preferred
method for making small dol ar purchases.
Petty Cash Funds must not be used for any of the fol owing items:
i.
Alcohol;
ii.
Payroll expenses;
iii.
Payments to other University departments -- this must be done by an Internal
Sales and Services Voucher (ISSV);
iv.
Payment of travel expenses (including mileage Reimbursements) -- this can only
be done with an approved Travel Advance and/or Travel Expense Report;
v.
Cashing personal checks;
vi.
Making loans to Employees, Students or others -- no I.O.U.s;
vii.
Making purchases and sales -- i.e., the purchase and sale of stamps to
departmental personnel; or
vii .
Flower funds or coffee club funds.
6.5
PETTY CASH AND CHANGE FUND PROCEDURES
Organizational Units shal comply with procedures developed by the Controller’s Office
regarding proper cash handling procedures.
6.6
THEFT OF CHANGE FUND
If a theft occurs, the custodian must notify the Controller’s Office and Colorado School of Mines
Public Safety as soon as the theft is discovered. The custodian must then complete a Payment
Voucher, drawn against the departmental Index, using account 5549, for the amount of the theft.
The Payment Voucher, along with an explanation, is then submitted to the Controller’s Office. A
check wil be issued to reimburse the fund. If the theft or loss is determined to be due to


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negligence on the part of the custodian, the department may choose to require the custodian to
replace the funds.


6.7
CREDIT CARDS
The preferred method of accepting payment by credit card is online via CASHNet. The
Controller’s Office maintains the right to approve other methods of accepting credit cards.
Regardless of the method used, each Organization Unit is responsible for maintaining internal
controls that protect sensitive cardholder information. In accepting credit cards, departments
acknowledge they are responsible to ensure all Employees receive proper procedural training to
maintain data security. Any receipts, reports, etc. shal show only the last four digits of credit
card numbers when archived. At no time shal any Mines’ department electronically retain
cardholder data.


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CHAPTER 7: DEFICIT SPENDING

Policy 7-1 DEFICIT SPENDING
Regardless of the source of funding, Organizational Unit Managers shal manage all activities
and expenditures under their control, and avoid generating a Deficit in the Index. Organizational
Unit Managers must eliminate Deficits in a timely manner. All Deficits related to non-sponsored
projects must be eliminated by the end of the fiscal year.

A Deficit that exists in Sponsored Projects that is not resolved within 90 days may be
automatically transferred to a Principal Investigator’s professional or research development
account, departmental or center unrestricted source of funds, including gift funds or a
department’s general fund budget.


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CHAPTER 8: REPORTING
Policy 8-1 FINANCIAL STATEMENTS
Annual financial statements prepared by the University shall be submitted to the BOT Finance
and Audit Committee. Unless otherwise provided by this Financial Policy, the University’s
financial statements shal be prepared by the Controller in accordance with generally accepted
accounting principles and shall reflect the financial activities of the University.
The University or its contractor may provide draft financial statements to the Office of the State
Auditor to facilitate a timely and efficient audit. Draft financial statements and accountant work
papers are not public records.
The State financial system generates a balance sheet and an income statement for the
University utilizing the CORE system. These system-generated statements are considered
acceptable financial statements for any purposes of the State Controller. The University shal
continue to provide information to the State Controller, including exhibit information required in
the fiscal year-end closing instructions issued by the State Controller and any post-closing
adjustments, as necessary for the State Controller to the meet the obligations set forth in C.R.S.
24-30-202(11), 24-17-102, and 24-20-204, as described in C.R.S. 24-30-202(13).
Financial statements prepared by the University shal be reconciled to the State financial
system. A copy of this reconciliation shall be provided to the State Controller at least annually.
Policy 8-2 PERIODIC FINANCIAL REPORTING
The Controller shal prepare periodic financial reports. The periodic financial reports shal be
available for use by management, the Finance and Audit Committee, and others for planning
purposes and decision-making.
 The University’s financial system shal be the system used to record the University’s
financial information and the system from which standard reports shal be prepared.
 The CFO and Controller shal determine what is reasonable and necessary to be
included in the financial reports, the funds which are to be included, and the date each
report is due.
Each reporting period shall be regarded as an integral part of the fiscal year. Revenues shal be
allocated to reporting periods in accordance with generally accepted accounting principles.
Expenditures such as salaries, operating expenditures, and accruals of expenditures shal be
allocated to interim periods in which they are incurred or, where appropriate, allocated among
periods on the basis of benefits received or time expended. Arbitrary assignment to a period
shal not be allowed.
Policy 8-3 COST ALLOCATION PLANS
The University shal prepare a documented Indirect Cost Al ocation or Indirect Cost rate
proposal/plan that assigns Indirect Costs to their programs, activities, and services relative to
their benefits received from the activities whose costs are being allocated or on another
equitable relationship. The allocated costs shal be used as the basis of recovering indirect
costs from the federal government, determining fees for program services and activities, and
assessing the cost effectiveness of a program or activity.


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The University shal use a cost allocation methodology that assures that the allocations made
through the methodology represent a service/benefit or other equitable relationship between the
costs of the services provided and the value of the benefits received by users of the services.
The University shal periodically review its cost allocation methodology to ensure that the
methodology represents the best allocation attainable. Al ocations should be reconciled to
actual expenditures to ensure all costs have been captured and allocated.
When the University receives federal funds, it shall prepare a federal indirect cost rate
proposal/plan in accordance with Uniform (Grant) Guidance and sign an indirect cost rate or
allocation methodology agreement with the federal government. The University’s federal indirect
cost rate proposal/plan shal include all costs allocated to the University in the federal indirect
cost allocation plan and other approved cost allocation plans.
Grants, contracts, and other agreements that do not allow for the recovery of the full cost
incurred under the agreement should be closely evaluated to determine if their acceptance is
cost effective and in the best interest of the University.
Indirect Cost recoveries shal be recorded when earned in separately identifiable accounts as
determined by the Controller. Revenues from Indirect Cost recoveries shall not be deferred at
the end of the fiscal year.
AUTHORITIES
C.R.S. §24-30-201 (Accounts and Control)
C.R.S. §24-75-102 (Expenditures)
CFR: Title 48, Chapter 99, Subchapter B, Part 9904: "Uniform Guidance" Cost Accounting
Standards Board, Procurement Practices and Cost Accounting Standards”
(48 CFR 99)
Federal (OMB Uniform Administrative Requirements, Cost Principles, and Audit Requirements
for Federal Awards) See Grants.gov (2 CFR Part 200)




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CHAPTER 9: PAYROLL


Policy 9-1 DIRECT DEPOSIT
All Employees shal have their payroll direct-deposited to their bank via ACH (Automated
Clearing House) payments unless an exception is approved by the Controller.

Policy 9-2 OVERPAYMENTS TO EMPLOYEES
Through error, an Employee may be paid more than is due. When the error is detected,
provisions shal be made for the repayment of the overpayment.
If the overpayment is nominal, the overpayment shal be deducted from the Employee's next
paycheck. However, in some cases the overpayment may be significant and require a
repayment schedule extending over a period of time. The Controller shal establish a repayment
schedule based on the particular facts involved in each case.
An Employee's maximum liability for repayment, should an error go undetected for longer than a
two year period, shal be limited to the total amount of the overpayment for the first two years in
which the Employee was overpaid.
It is the Employee’s responsibility to review their payroll notification each month and contact the
Payroll Manager in the Controller’s Office if discrepancies, either overpayment or
underpayment, exist.

Policy 9-3 FINAL PAY FOR A TERMINATING EMPLOYEE
Final pay shal be available to terminating Employees as follows:

 When an Employee terminates employment, with or without giving notice, final payment
shal be made no later than their next regular payday.

 When the University terminates an Employee, final payment shal be made within three
(3) working days of the date of termination.

Policy 9-4 PROPER TIMESHEET REPORTING
Al hourly paid Employees are required to complete a timesheet for each pay period using the
University’s timekeeping system. If an Employee has an active job but did not work any hours
during the pay period, the Employee is required to submit a “zero hour” timesheet. The
Employee’s supervisor shal review and approve the timesheet each month. Al timesheets
shal be completed and approved in accordance with procedures issued by the Controller’s
Office
Al salaried non-exempt Employees are required to complete and sign a timesheet certifying the
hours worked each month. The signed timesheet shal be approved and signed by the
Employee’s direct supervisor or authorized delegate. The Employee’s department is required
to keep the approved timesheet for three (3) years.



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The format of the timesheet is not prescribed, but at a minimum wil contain the following
information:
Employee name and CWID;
Employee’s regular working hours and length of lunch break;
 Regular and overtime hours worked each regular workday and weekend, if applicable;
 A total for the hours worked each week and for the month;
 A statement that overtime hours are earned after 40 hours of regular work, not
including Holidays, Leave, or Compensatory time taken;
 Number of compensatory hours earned each week, compensatory hours used during
the month and the cumulative unused compensatory hours;
Employee signature and date completed;
 The following certification statement below the Employee’s signature – I affirm that the
hours reported are true and include all the hours worked for the indicated period; and
 Supervisor’s signature and date approved.




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APPENDIX A - DEFINITIONS
As used in these University Financial Policies, the following definitions shal apply, unless the
applicable Policy expressly states otherwise.
Advance Payments: A payment made for goods or services prior to the receipt thereof.
After-the-Fact Purchase: Occurs when liabilities are incurred or payments are made on the
University’s behalf without prior approval via a University purchase order or contract when a
purchase order or contract is required.
Approving Authority: The person within the Organizational Unit that is responsible for
ensuring financial transactions recorded against an Index are appropriate.

Board: The Board of Trustees of the Colorado School of Mines.
Capital Construction: Shal have the meaning described in C.R.S. §24-75-301(1), as now or
hereafter amended.
Capital Construction Fund: A fund created for the purpose of constructing, purchasing,
building, and/or maintaining land and buildings for use by the University.
Cash Advance: An amount of money approved by the Organizational Unit and the Controller’s
Office that is given to an employee to cover incidental out-of-pocket expenses related to Official
University Business while In Travel Status.

Change Fund: An amount of money advanced to the departments that accept cash from
customers and, therefore, must have cash available to make change.
Change Fund Custodian: The individual designated by the appropriate department and
approved by the controller as responsible for safeguarding and disbursing from a change fund.
Commitment Voucher: A purchase order, a contract, an approved travel authorization, or any
other document appropriate to the fiscal transaction as prescribed by University policies and
procedures, which provides support that an obligation of the University is being charged to the
appropriate account and that purchasing requirements have been satisfied. Additional examples
of commitment vouchers include, but are not limited to: grant contracts, license agreements,
parking license agreements, and any other contract involving the payment of University funds.

Controlled Maintenance Project: A capital project funded for the purpose of performing
routine maintenance of campus facilities.
Course: A seminar, an extended learning event, or continuing education course offered by
Mines to non- Mines’ Students, faculty, or staff as a part of the core business function of the
University.
Deficit: Actual expenses plus encumbrances that exceeds the total approved budget or
available net assets, as recorded or reflected in the Finance System, in the Index for which the
activity is recorded.
Direct Pay: A method to pay a vendor that does not include a commitment voucher.
Donation: Irrevocable cash and non-cash contributions to the University, departments, or
student organizations for which the donor receives nothing in exchange.


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Employee: An individual who holds a University faculty, administrative faculty, classified, or
Student employment appointment, whether full-time, part-time, temporary, seasonal, or hourly.

Entertainment Expenses: Expenditures for social functions, entertainment events, food,
beverages, tickets for shows or sporting events and related supplies for events, which involve
one or more University Employees and or one or more guests and the purpose of the
expenditure is to represent the University or provide reciprocity of hospitality or build business
relationships in pursuit of University goals.

Equipment: Any tangible personal property that has a useful life greater than 1 year and a cost
of more than $5,000, which is not a permanent part of a building and does not lose its identity
through incorporation into a more complex unit.
Fundraising Events: An event at which a required monetary payment to attend or participate
includes both a gift component (charitable contribution) and a non-gift component (goods and/or
services are provided or available to the attendees, sponsors, or donors). The event wil most
often be completed in a single day; however, the event may consist of a multi-day, singularly
identifiable event, such as a trip or cultural celebration weekend. This type of event differs from
a conference in that some portion of the attendees’ payment is intended to be tax deductible.
Examples of such events include the collection of gifts or money through sale or auction of
merchandise or services, collection of registration or sponsorship fees with a promise of a tax
deduction, imposition of admission charges or registration fees with a promise of a tax
deduction, and/or membership fees.

Gift: Irrevocable cash and non-cash contributions to departments or Student organizations for
which the donor receives nothing in exchange. Donors may place certain restrictions on the use
of the funds with which the University must comply.
Gratuities/Tips: A sum of money given to someone as a reward for their services. The amount
should not exceed 20% of the pre-tax purchase for items in which Gratuities/Tips are
appropriate. Note: Gratuities/Tips for bel hops, maid service, skycaps, concierge services, etc.,
are not allowed as itemized amounts. These amounts are already reimbursed via the per diem
calculations.
Incidental Expenses: Fees and Gratuities/Tips given to porters, baggage carriers, bel hops,
hotel maids, and skycaps for airport check-in, and cost of personal telephone calls. Incidental
Expenses do not include expenses for laundry, cleaning and pressing of clothing, and lodging
taxes.

Index: A unique combination of Fund, Organization, and Program code numbers within the
Finance System that is used to record financial transactions.

Meetings/Conferences: An auxiliary activity to conduct a formal activity of a number of people,
primarily other than employees or associates, for discussion or consultation on a serious and
identified topic, where admission is charged to those attending. Unlike the admission fee for a
Fundraising Event, the admission fee for a conference is not intended to be tax-deductible,
either in total or in part. Activities include professional meetings and or conferences hosted by
the University for associated professional/educational organizations.
Metropolitan (Metro) Area: A region including a city and the densely populated surrounding
areas that are socially and economically integrated with the area. For purposes of these
Policies, a radius of 50 miles from the University is deemed to be the Metropolitan Area.



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Non-employee: Any person who does not meet the definition for Employee or Student.

Non-remuneration employee: Any person who is not a current employee of the University but
has a zero pay contract authorized and approved by the appropriate VP that is currently on file
and covers the dates for which the individual will be working for the University.
Official Function: Those meetings, special events, and graduation functions hosted by an
Organizational Unit and attended by guests and or other associates or employees held for an
Official University Business purpose.
Official University Business: Any activity that carries out the University’s mission of
instruction, research, and service or that provides support to the University’s instruction,
research, and service activities.
OneCard: The University’s corporate liability card issued to Employees and Students.
Organizational Unit: A subset of University. An Organizational Unit may be a department,
center, institute, or any other distinct operational activity with the following characteristics:
 Organizational permanency;
 Programmatic autonomy; and
 An annual operating budget that is fiscally independent.
Within the Finance System, these areas are represented in the chart of accounts as Orgs.
Organizational Unit Manger: University employees assigned responsibility for expending
University resources within an Organizational Unit. This may include any of the following:
President, Vice President, Department Head, Division Director, Fund Manager, Principal
Investigator, or Administrative Assistant: and it shall not include Students.
Out-of-Pocket Expense: Official University Business paid for using personal funds in lieu of
using a University procurement payment method.
Perquisite: Any extra benefit, privilege, or allowance that is not ordinary compensation,
authorized expense Reimbursement, or approved supplemental pay. “Perquisite” does not
include incentive awards, salary increases, fringe benefits established pursuant to C.R.S.§§ 24-
50-104(8) and (9), or any other employment benefit authorized by state statute, or resolution of
the Board.
Petty Cash Custodian: The individual designated by the appropriate department and
approved by the Controller’s Office as responsible for safeguarding, disbursing from, and
requesting replenishment of a Petty Cash Fund.

Petty Cash Fund: An amount of money issued to a department to be used on a revolving basis
for the payment of small and incidental expenses.
Political Expenses: Expenses incurred in relation to activities that are primarily designed to
further the interests of a candidate, political party, or special interest group.
Procurement Card Report: A report processed through TEM to record charges incurred on the
University’s corporate liability credit cards.


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Reimbursement: The act of reimbursing an Employee or Non-Employee who personally paid
for Official University Business expenses. Receipts and proof of payment are required as
documentation of the purchase.

Standing/Regular Meeting: A meeting that takes place more than four times a year or once a
quarter.
State Capital Construction Fund: A fund created by statute for the purpose of constructing,
purchasing, building, and/or maintaining land and buildings that is whol y or partially funded by
the State.
State Capital Construction Project: A construction project funded whol y or in part by funds
from the State Capital Construction Fund.
State Controlled Maintenance Project: A capital project funded whol y or in part by funds
from the State controlled maintenance fund.
Student: Any person who is registered for coursework at the undergraduate or graduate level
at the University.
Temporary Work Location: A location where employment is expected to continue, and does
continue, for one year or less.
Training Function: A meeting, conference, or other function which is hosted by an
Organizational Unit or other associates and held to enhance employee knowledge or to educate
customers or employees that are affected by the University’s operations or requirements.
Training Functions require a written agenda, study materials, and must be led by an identified
presenter(s).
Travel Advance: An amount of money approved by the Organizational Unit and the
Controller’s Office that is given to an employee to cover incidental out-of-pocket expenses
related to Official University Business while in Travel Status.
Travel and Expense Management System (TEM): The system used to process Travel
Authorization/Expense Reports, Voucher Reports, and Procurement Card Reports. The system
may be either an electronic or a paper-based system.
Travel Authorization/Expense Report: A report processed through TEM that documents
Employee and Non-Employee travel related authorizations and actual expenses.
Traveler’s Regular Work Location: Generally, the primary location where the traveler works,
including the entire Metropolitan Area surrounding the primary location.

Travel Status: An Employee’s job duties require them to be away from the Traveler’s Regular
Work Location over-night or if the travel includes airfare.

Vendor Agreement: Any form of agreement provided by a vendor, including an on-line
(electronic) agreement, containing contractual provisions relating to the goods and/or services
to be provided by such vendor.
Voucher Report: A report processed through TEM to reimburse Employees for miscellaneous
out of pocket expenses.


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APPENDIX B – PURCHASE ORDER TERMS AND CONDITIONS
1. Offer/Acceptance. If this purchase order (“PO”) refers to vendor’s bid or proposal, this PO is
an ACCEPTANCE of vendor’s OFFER TO SELL in accordance with the terms and conditions of
the “solicitation” identified in vendor’s bid or proposal. The solicitation includes an RFP, IFB, or
any other form of order by buyer. If a bid or proposal is not referenced, this PO is an OFFER TO
BUY, subject to vendor’s acceptance, demonstrated by vendor’s performance or written
acceptance of this PO. Any COUNTER-OFFER TO SELL automatical y CANCELS this PO,
unless a change order is issued by buyer accepting a counter-offer. This PO shal supersede
and control over any vendor form(s) or part(s) thereof included in or attached to any bid,
proposal, offer, acknowledgment, or otherwise, in the event of inconsistencies or contradictions,
regardless of any statement to the contrary in such form(s) or parts thereof.
2. Safety Information. Al chemicals, equipment and materials proposed and/or used in the
performance of this PO shal conform to the requirements of the Occupational Safety and Health
Act of 1970. Vendor shal furnish all Material Safety Data Sheets (MSDS) for any regulated
chemicals, equipment or hazardous materials at the time of delivery.
3. Changes. Vendor shal furnish products and/or services strictly in accordance with the
specifications and price set forth for each item. This PO shal not be modified, superseded or
otherwise altered, except in writing signed by purchasing agent and accepted by vendor. Each
shipment received or service performed shal comply with the terms of this PO, notwithstanding
invoice terms or acts of vendor to the contrary, unless this PO has been modified, superseded
or otherwise altered in accordance with this section.

4. Delivery. Unless otherwise specified in the solicitation or this PO, delivery shal be FOB
destination. Buyer is relying on the promised delivery date, installation, and/or service
performance set forth in vendor’s bid or proposal as material and basic to buyer’s acceptance. If
vendor fails to deliver or perform as and when promised, buyer, in its sole discretion, may
cancel its order, or any part thereof, without prejudice to its other rights, return all or part of any
shipment so made, and charge vendor with any loss or expense sustained as a result of such
failure to deliver or perform as promised. Time is of the essence.

5. Intellectual Property. Any software, research, reports, studies, data, photographs, negatives
or other documents, drawings or materials (collectively
“materials”) delivered by vendor in performance of its
obligations under this PO shal be the exclusive property of buyer. Ownership rights shal
include, but not be limited to, the right to copy, publish, display, transfer, prepare derivative
works, or otherwise use the materials. Vendor shal comply with all applicable Cyber Security
Policies of the State of Colorado (the “State”), or buyer, as applicable, and all confidentiality and
non-disclosure agreements, security controls, and reporting requirements.

6. Quality. Buyer shal be the sole judge in determining “equals” with regard to quality, price and
performance. Al products delivered shal be newly manufactured and the current model, unless
otherwise specified.

7. Warranties. Al provisions and remedies of the Colorado Uniform Commercial Code, CRS,
Title 4 (“CUCC”), relating to implied and/or express warranties are incorporated herein, in
addition to any warranties contained in this PO or the specifications.



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8. Inspection and Acceptance. Final acceptance is contingent upon completion of all
applicable inspection procedures. If products or services fail to meet any inspection
requirements, buyer may exercise all of its rights, including those provided in the CUCC. Buyer
shal have the right to inspect services provided under this PO at all reasonable times and
places. "Services" as used in this section includes services performed or tangible material
produced or delivered in the performance of services. If any of the services do not conform to
PO requirements, buyer may require vendor to perform the services again in conformity with PO
requirements, without additional payment. When defects in the quality or quantity of service
cannot be corrected by re-performance, buyer may (a) require vendor to take necessary action
to ensure that future performance conforms to PO requirements and (b) equitably reduce the
payment due vendor to reflect the reduced value of the services performed. These remedies do
not limit the remedies otherwise available in this PO, at law, or in equity.

9. Cash Discount. The cash discount period will start from the later of the date of receipt of
acceptable invoice, or from date of receipt of acceptable products/services at the specified
destination by an authorized buyer representative.

10. Taxes. Buyer and the State are exempt from all federal excise taxes under Chapter 32 of
the Internal Revenue Code [No. 84-730123K] and from all State and local government sales
and use taxes [CRS, Title 39, Article 26, Parts I and II]. Such exemptions apply when materials
are purchased for the benefit of State, except that in certain political subdivisions (e.g., City of
Denver) vendor may be required to pay sales or use taxes even though the ultimate product or
service is provided to buyer. Buyer shal not reimburse such sales or use taxes.

11. Payment. Buyer shal pay vendor for all amounts due within 45 days after receipt of
products or services and a correct notice of amount due. Interest on the unpaid balance shall
begin to accrue on the 46th day at the rate set forth in CRS §24-30-202(24) until paid in full.
Interest shal not accrue if a good faith dispute exists as to buyer’s obligation to pay all or a
portion of the amount due. Vendor shal invoice buyer separately for interest on delinquent
amounts due, referencing the delinquent payment, number of day’s interest to be paid, and
applicable interest rate.

12. Vendor Offset. [Not Applicable to Inter-governmental POs] Under CRS §24-30-202.4
(3.5), the State Controller may withhold payment under the State’s vendor offset intercept
system for debts owed to State agencies for: (a) unpaid child support debts or arrearages; (b)
unpaid balances of tax, accrued interest, or other charges specified in CRS §39-21-101, et seq.;
(c) unpaid loans due to the Student Loan Division of the Department of Higher Education; (d)
amounts required to be paid to the Unemployment Compensation Fund; and (e) other unpaid
debts owing to the State as a result of final agency determination or judicial action.

13. Assignment and Successors. Vendor shal not assign rights or delegate duties under this
PO, or subcontract any part of the performance required under this PO, without the express,
written consent of buyer. This PO shal inure to the benefit of and be binding upon vendor and
buyer and their respective successors and assigns. Assignment of accounts receivable may be
made only upon written notice furnished to buyer.

14. Indemnification. If any article sold or delivered under this PO is covered by a patent,
copyright, trademark, or application therefore, vendor shal indemnify and hold harmless buyer
from any and all loss, liability, cost, expenses and legal fees incurred on account of any claims,
legal actions or judgments arising out of manufacture, sale or use of such article in violation or
infringement of rights under such patent, copyright, trademark or application. If this PO is for
services, vendor shal indemnify, save, and hold harmless buyer, its employees and agents,


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against any and all claims, damages, liability and court awards including costs, expenses, and
attorney fees and related expenses, incurred as a result of any act or omission by vendor, or its
employees, agents, subcontractors or assignees, arising out of or in connection with
performance of services under this PO.

15. Independent Contractor. Vendor shal perform its duties hereunder as an independent
contractor and not as an employee. Neither vendor nor any agent or employee of vendor shal
be deemed to be an agent or employee of buyer. Vendor and its employees and agents are not
entitled to unemployment insurance or workers compensation benefits through buyer and buyer
shal not pay for or otherwise provide such coverage for vendor or any of its agents or
employees. Unemployment insurance benefits wil be available to vendor and its employees and
agents only if vendor or a third party makes coverage available. Vendor shal pay when due all
applicable employment, income, and local head taxes incurred pursuant to this PO. Vendor
shal not have authorization, express or implied, to bind buyer to any agreement, liability or
understanding, except as expressly set forth herein. Vendor shal (a) provide and keep in force
workers' compensation and unemployment compensation insurance in the amounts required by
law, (b) provide proof thereof when requested by buyer, and (c) be solely responsible for its acts
and those of its employees and agents.

16. Communication. Al communication concerning administration of this PO, prepared by
vendor for buyer’s use, shal be furnished solely to purchasing agent.

17. Compliance. Vendor shal strictly comply with all applicable federal and state laws, rules,
and regulations in effect or hereafter established, including, without limitation, laws applicable to
discrimination and unfair employment practices.

18. Insurance. Vendor shal obtain, and maintain, at all times during the term of this PO,
insurance as specified in the solicitation, and provide proof of such coverage as requested by
purchasing agent.

19. Termination Prior to Shipment. If vendor has not accepted this PO in writing, buyer may
cancel this PO by written or oral notice to vendor prior to shipment of goods or commencement
of services.

20. Termination for Cause. (a) If vendor refuses or fails to timely and properly perform any of
its obligations under this PO with such diligence as will ensure its completion within the time
specified herein, buyer may notify vendor in writing of non-performance and, if not corrected by
vendor within the time specified in the notice, terminate vendor's right to proceed with the PO or
such part thereof as to which there has been delay or a failure. Vendor shall continue
performance of this PO to the extent not terminated and be liable for excess costs incurred by
buyer in procuring similar goods or services elsewhere. Payment for completed services
performed and accepted shal be at the price set forth in this PO. (b) Buyer may withhold
amounts due to vendor as buyer deems necessary to reimburse buyer for excess costs incurred
in curing, completing or procuring similar goods and services.(c) If after rejection, revocation, or
other termination of vendor's right to proceed under the CUCC or this clause, buyer determines
for any reason that vendor was not in default or the delay was excusable, the rights and
obligations of buyer and vendor shal be the same as if the notice of termination had been
issued pursuant to termination under §21.

21. Termination in Public Interest. Buyer is entering into this PO for the purpose of carrying
out the public policy of the State, as determined by its Governor, General Assembly, and
Courts. If this PO ceases to further the public policy of the State, buyer, in its sole discretion,


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may terminate this PO in whole or in part and such termination shal not be deemed to be a
breach of buyer’s obligations hereunder. This section shal not apply to a termination for
vendor’s breach, which shall be governed by §20. Buyer shal give written notice of termination
to vendor specifying the part of the PO terminated and when termination becomes effective.
Upon receipt of notice of termination, vendor shal not incur further obligations except as
necessary to mitigate costs of performance. For services or specially manufactured goods,
buyer shal pay (a) reasonable settlement expenses, (b) the PO price or rate for supplies and
services delivered and accepted, (c) reasonable costs of performance on unaccepted supplies
and services, and (d) a reasonable profit for the unaccepted work. For existing goods, buyer
shal pay (e) reasonable settlement expenses, (f) the PO price for goods delivered and
accepted, (g) reasonable costs incurred in preparation for delivery of the undelivered goods,
and (h) a reasonable profit for the preparatory work. Buyer’s termination liability under this
section shall not exceed the total PO price plus a reasonable cost for settlement expenses.
Vendor shal submit a termination proposal and reasonable supporting documentation, and cost
and pricing data as required by CRS §24-106-101, upon request of buyer.

22. PO Approval. This PO shal not be valid unless it is executed by purchasing agent. Buyer
shal not be responsible or liable for products or services delivered or performed prior to proper
execution hereof.

23. Fund Availability. Financial obligations of buyer payable after the current fiscal year are
contingent upon funds for that purpose being appropriated, budgeted and otherwise made
available. If this PO is funded in whole or in part with federal funds, this PO is subject to and
contingent upon the continuing availability of federal funds for the purposes hereof. Buyer
represents that it has set aside sufficient funds to make payment for goods delivered in a single
installment, in accordance with the terms of this PO.

24. Choice of Law. State laws, rules and regulations shal be applied in the interpretation,
execution, and enforcement of this PO. The CUCC shal govern this PO in the case of goods
unless otherwise agreed in this PO. Any provision included or incorporated herein by reference
which conflicts with such laws, rules, and regulations is null and void. Any provision
incorporated herein by reference which purports to negate this or any other provision in this PO
in whole or in part shal not be valid or enforceable or available in any action at law, whether by
way of complaint, defense, or otherwise. Unless otherwise specified in the solicitation or this
PO, venue for any judicial or administrative action arising out of or in connection with this PO
shal be in Denver, Colorado. Vendor shal exhaust administrative remedies in CRS §24-109-
106, prior to commencing any judicial action against buyer.

25. Public Contracts for Services. [Not Applicable to offer, issuance, or sale of securities,
investment advisory services, fund management services, sponsored projects,
intergovernmental POs, or information technology services or products and services]
Vendor certifies, warrants, and agrees that it does not knowingly employ or contract with an
il egal alien who wil perform work under this PO and will confirm the employment eligibility of all
employees who are newly hired for employment in the United States to perform work under this
PO, through participation in the E-Verify Program or the Department program established
pursuant to CRS §8-17.5-102(5)(c), Vendor shal not knowingly employ or contract with an
il egal alien to perform work under this PO or enter into a contract or PO with a subcontractor
that fails to certify to vendor that the subcontractor shal not knowingly employ or contract with
an il egal alien to perform work under this PO. Vendor shal (a) not use E-Verify Program or
Department program procedures to undertake pre-employment screening of job applicants
during performance of this PO, (b) notify subcontractor and buyer within three days if vendor
has actual knowledge that subcontractor is employing or contracting with an il egal alien for


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work under this PO, (c) terminate the subcontract if subcontractor does not stop employing or
contracting with the il egal alien within three days of receiving notice, and (d) comply with
reasonable requests made in the course of an investigation, undertaken pursuant to CRS §8-
17.5-102(5), by the Colorado Department of Labor and Employment. If vendor participates in
the Department program, vendor shal deliver to the buyer a written, notarized affirmation that
vendor has examined the legal work status of such employee, and shal comply with all of the
other requirements of the Department program. If vendor fails to comply with any requirement of
this provision or CRS §8-17.5-101 et seq., buyer may terminate this PO for breach and, if so
terminated, vendor shal be liable for damages.

26. Public Contracts with Natural Persons. Vendor, if a natural person eighteen (18) years of
age or older, hereby swears and affirms under penalty of perjury that they (a) is a citizen or
otherwise lawfully present in the United States pursuant to federal law, (b) shal comply with the
provisions of CRS §24-76.5-101 et seq., and (c) has produced a form of identification required
by CRS §24-76.5-103 prior to the date vendor delivers goods or begins performing services
under terms of the PO.







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APPENDIX C – CONTRACTS SPECIAL PROVISIONS

SPECIAL PROVISIONS

These Special Provisions apply to all contracts except where noted in italics.
1. FUND AVAILABILITY. CRS §24-30-202(5.5). Financial obligations of the Colorado School
of Mines (“State”) payable after the current fiscal year are contingent upon funds for that
purpose being appropriated, budgeted, and otherwise made available.
2. GOVERNMENTAL IMMUNITY. No term or condition of this contract shal be construed or
interpreted as a waiver, express or implied, of any of the immunities, rights, benefits,
protections, or other provisions, of the Colorado Governmental Immunity Act, CRS §24-10-101
et seq., or the Federal Tort Claims Act, 28 U.S.C. §§1346(b) and 2671 et seq., as applicable
now or hereafter amended.
3. INDEPENDENT CONTRACTOR. Insert Contractor’s Legal Name (“Contractor”) shal
perform its duties hereunder as an independent contractor and not as an employee. Neither
Contractor nor any agent or employee of Contractor shal be deemed to be an agent or
employee of the State. Contractor and its employees and agents are not entitled to
unemployment insurance or workers compensation benefits through the State and the State
shal not pay for or otherwise provide such coverage for Contractor or any of its agents or
employees. Unemployment insurance benefits wil be available to Contractor and its employees
and agents only if such coverage is made available by Contractor or a third party. Contractor
shal pay when due all applicable employment taxes and income taxes and local head taxes
incurred pursuant to this contract. Contractor shal not have authorization, express or implied, to
bind the State to any agreement, liability or understanding, except as expressly set forth herein.
Contractor shal (a) provide and keep in force workers' compensation and unemployment
compensation insurance in the amounts required by law, (b) provide proof thereof when
requested by the State, and (c) be solely responsible for its acts and those of its employees and
agents.
4. COMPLIANCE WITH LAW. Contractor shal strictly comply with all applicable federal and
State laws, rules, and regulations in effect or hereafter established, including, without limitation,
laws applicable to discrimination and unfair employment practices.
5. CHOICE OF LAW. Colorado law, and rules and regulations issued pursuant thereto, shal
be applied in the interpretation, execution, and enforcement of this contract. Any provision
included or incorporated herein by reference which conflicts with said laws, rules, and
regulations shal be nul and void. Any provision incorporated herein by reference which
purports to negate this or any other Special Provision in whole or in part shall not be valid or
enforceable or available in any action at law, whether by way of complaint, defense, or
otherwise. Any provision rendered nul and void by the operation of this provision shal not
invalidate the remainder of this contract, to the extent capable of execution.
6. BINDING ARBITRATION PROHIBITED. The State of Colorado does not agree to binding
arbitration by any extra-judicial body or person. Any provision to the contrary in this contact or
incorporated herein by reference shal be nul and void.


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7. SOFTWARE PIRACY PROHIBITION. Governor's Executive Order D 002 00. State or
other public funds payable under this contract shal not be used for the acquisition, operation, or
maintenance of computer software in violation of federal copyright laws or applicable licensing
restrictions. Contractor hereby certifies and warrants that, during the term of this contract and
any extensions, Contractor has and shall maintain in place appropriate systems and controls to
prevent such improper use of public funds. If the State determines that Contractor is in violation
of this provision, the State may exercise any remedy available at law or in equity or under this
contract, including, without limitation, immediate termination of this contract and any remedy
consistent with federal copyright laws or applicable licensing restrictions.
8. EMPLOYEE FINANCIAL INTEREST/CONFLICT OF INTEREST. CRS §§24-18-201 and
24-50-507. The signatories aver that to their knowledge, no employee of the State has any
personal or beneficial interest whatsoever in the service or property described in this contract.
Contractor has no interest and shal not acquire any interest, direct or indirect, that would
conflict in any manner or degree with the performance of Contractor’s services and Contractor
shal not employ any person having such known interests.
9. VENDOR OFFSET. CRS §§24-30-202 (1) and 24-30-202.4. [Not Applicable to
intergovernmental agreements] Subject to CRS §24-30-202.4 (3.5), the State Controller may
withhold payment under the State’s vendor offset intercept system for debts owed to State
agencies for: (a) unpaid child support debts or child support arrearages; (b) unpaid balances of
tax, accrued interest, or other charges specified in CRS §39-21-101, et seq.; (c) unpaid loans
due to the Student Loan Division of the Department of Higher Education; (d) amounts required
to be paid to the Unemployment Compensation Fund; and (e) other unpaid debts owing to the
State as a result of final agency determination or judicial action.
10. PUBLIC CONTRACTS FOR SERVICES. CRS §8-17.5-101. [Not Applicable to
agreements relating to the offer, issuance, or sale of securities, investment advisory
services or fund management services, sponsored projects, intergovernmental
agreements, or information technology services or products and services] Contractor
certifies, warrants, and agrees that it does not knowingly employ or contract with an il egal alien
who wil perform work under this contract and wil confirm the employment eligibility of all
employees who are newly hired for employment in the United States to perform work under this
contract, through participation in the E-Verify Program or the Department program established
pursuant to CRS §8-17.5-102(5)(c), Contractor shall not knowingly employ or contract with an
il egal alien to perform work under this contract or enter into a contract with a subcontractor that
fails to certify to Contractor that the subcontractor shal not knowingly employ or contract with an
il egal alien to perform work under this contract. Contractor (a) shal not use E-Verify Program or
Department program procedures to undertake pre-employment screening of job applicants while
this contract is being performed, (b) shal notify the subcontractor and the contracting State
agency within three days if Contractor has actual knowledge that a subcontractor is employing
or contracting with an il egal alien for work under this contract, (c) shal terminate the
subcontract if a subcontractor does not stop employing or contracting with the il egal alien within
three days of receiving the notice, and (d) shal comply with reasonable requests made in the
course of an investigation, undertaken pursuant to CRS §8-17.5-102(5), by the Colorado
Department of Labor and Employment. If Contractor participates in the Department program,
Contractor shal deliver to the contracting State agency, Institution of Higher Education or
political subdivision a written, notarized affirmation, affirming that Contractor has examined the
legal work status of such employee, and shal comply with all of the other requirements of the
Department program. If Contractor fails to comply with any requirement of this provision or CRS
§8-17.5-101 et seq., the contracting State agency, institution of higher education or political


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subdivision may terminate this contract for breach and, if so terminated, Contractor shal be
liable for damages.
11. PUBLIC CONTRACTS WITH NATURAL PERSONS. CRS §24-76.5-101. Contractor, if a
natural person eighteen (18) years of age or older, hereby swears and affirms under penalty of
perjury that they (a) is a citizen or otherwise lawfully present in the United States pursuant to
federal law, (b) shal comply with the provisions of CRS §24-76.5-101 et seq., and (c) has
produced one form of identification required by CRS §24-76.5-103 prior to the effective date of
this contract.
12. PROTECTION OF MINORS. Colorado School of Mines is committed to the safety of al
individuals in its community and has implemented a Policy on the Protection of Minors
(http://inside.mines.edu/UserFiles/File/PoGo/Policies/HRS/HRS_Policy_Protection_of_Minors.pdf). The
Contractor affirms that that they are aware that individuals under the age of 18 may be present on
campus during the performance of this contract and the Contractor has taken reasonable
precautions regarding their employees, volunteers, or participants to protect the safety and
wel being of minors and ensure compliance with applicable laws. By signing this agreement, the
Contractor certifies that they are aware of, and wil comply with, al aspects of the Colorado School
of Mine’s Policy on the Protection of Minors found at
http://inside.mines.edu/UserFiles/File/PoGo/Policies/HRS/HRS_Policy_Protection_of_Minors.pdf.








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APPENDIX D - EXAMPLES OF SENSITIVE EXPENDITURES

Matrix for Sensitive Items
ITEM DESCRIPTION
ALLOWABILITY
CONDITIONS/ADDITIONAL GUIDANCE
1. Alcoholic Beverages Expense
See the University's Alcohol Policy
Conditional
a. Official Functions
Statement.
b. Meetings/Conferences (where
See the University's Alcohol Policy
fees are charged for admission).
Statement. This includes continuing
Conditional education courses offered to non-Mines’
students.
c. Employees in Travel Status
Note, however, that when official
No
functions occur in travel status the
official function guidelines apply.
d. Expenditures for alcohol by
designated auxiliary operations
Restrictions apply to fund and account
Yes
(Retail centers licensed to serve
use.
alcoholic beverages to customers).
e. Expenditures for alcohol
products used as part of a
Include business purpose with
Yes
research project and/or for
appropriate expenditure documents.
instructional purposes.
2. Automobile Related Expenses
a. University-owned vehicle
Yes

automobile expenses
b. Commercial vehicle rental
expenses or trip fares or taxi/shuttle
See the University's Travel Policies,
services
Yes
Chapter 5
c. Private vehicle automobile
allowances
No

d. Private vehicle standard mileage
See the University's Travel Policies,
Yes
reimbursement
Chapter 5
e. Private vehicle repairs
No

f. Moving or stationary vehicle
violation tickets
No

3. Break Room, Reception Room Equipment and Supplies
a. Basic equipment for taking meals
or snacks within the workplace, such
as simple refrigerators, microwaves, Yes

stoves, coffee pots, toasters, water
filtration, etc.


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Matrix for Sensitive Items
ITEM DESCRIPTION
ALLOWABILITY
CONDITIONS/ADDITIONAL GUIDANCE
b. Equipment for entertainment,
If the equipment is intended for
such as televisions, stereos, VCR's,
Employee use the expense is not
DVD players, MP3, etc.
Conditional
allowable. If the expense is intended for
a Student/public common area then the
expense is allowable.
c. Supplies such as coffee, snack
If the supplies are primarily intended for
food, candy, drinks, paper plates,
guests, Students, or a general reception
etc.
area such purchases are allowed. If the
Conditional
supplies are primarily meant for
University Employee consumption then
the purchases are not allowed.
d. Consumable items necessary to
maintain the cleanliness of a break
Yes

room or reception area
4. Food and Related Consumables
a. Food and related consumables
for the Employee’s personal
No

consumption (Not in travel status and
not an official function).
If only University associates and
employees attend the official function
b. Food for official functions,
then functions should be limited to
including training, community
infrequent meetings (Less than two
Yes
relation, employee recognition,
times a year) or training events. These
goodwil functions (for guests or
are usually multi-unit or campus events.
volunteers), recruitment functions
Food is allowed for continuing education
and other official functions
courses.
c. Food for standing, regular
No

meetings or staff meetings
d. Regular business meals with only
employees or associates even to
No

discuss Mines’ business
e. Student Functions
Yes

f. Meals for employees while in travel
See the University's Travel Policies,
Yes
status
Chapter 5
5. Conferences
a. Costs of conferences hosted by
For food, decorations, awards and other
Mines
needs of the conference that are
Yes
covered by the conference registration
fee.


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Matrix for Sensitive Items
ITEM DESCRIPTION
ALLOWABILITY
CONDITIONS/ADDITIONAL GUIDANCE
b. Costs of off-campus conferences
attended by University Students,
associates and employees

See the University's Travel Policies,
Yes

Chapter 5



6. Donations

Only the President’s Office may issue or
a. Cash donations to individuals,
approve donations and they may only
organizations, companies, non-
approve donations where the donation
profits or other charitable groups.
meets the Mission of the Colorado
No, one
School of Mines and is for a public
exception
purpose. Includes a prohibition on using
University funds to make contributions to
the School of Mines Foundation or
Athletic fundraisers.

If the event is part of a business
community, professional group or other
b. Event tickets, table or booth
entity related to Mines' education and
purchases where proceeds from
research mission and the purchase of
the event are donated to
such tables or booths represent a
individuals, organizations,
Conditional
benefit to Mines the purchase is
companies, non-profits or other
allowable. Attendance of Mines’
charitable groups.
Employees and or immediate family
shal be limited to those individuals
necessary to properly represent the
University.

With approval of the President's Office
fund raising events, or campaigns that
c. Non-cash donations to
are campus-wide, such as the
individuals, organizations,
Colorado Combined Campaign and the
companies, non-profits or other
President's Office Christmas food drive,
charitable groups.
may receive non-cash donations such
as the use of equipment (Phone, copy
machines, computers), related
Conditional
supplies, campus space or
gifts/awards.






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Matrix for Sensitive Items
ITEM DESCRIPTION
ALLOWABILITY
CONDITIONS/ADDITIONAL GUIDANCE
7. Donor Cultivation and Fundraising Expenses
a. Incurred to raise donations for
However, the purchase of tickets for
others
Employees, associates and immediate
family members to attend such events
No
may be allowable if the event is directly
related to Mines’ education and
research mission and the attendance is
deemed required to represent Mines.
b. Incurred to raise donations for
the University
However, required or solicited
Yes
donations fees are not allowable

expenses.

8. Employee Recognition
a. Work related functions or
activities and their related costs,
Subject matter/focus of activities must
such as team-building exercises
Yes
be directly related to the work
focused on the workplace and all
environment or work tasks.
associated supplies and materials.
For most units these may be purchased
b. Non-work related activities and
through a collection of donations from
their related costs such as sporting
No
fellow employees. These purchases
league registrations, sponsorships,
are allowable for Mines’ Club sports
fees, and team uniforms.
teams and Mines’ Athletics teams.
c. Official Staff appreciation
Limited to not more than $30.00 per
functions (see 4b above)
person and is NOT associated with a
Yes
holiday and does NOT occur more than
two times per year per staff member.
d. Employee recognition events
Limited to not more than $30.00 per
person excluding any award value and
Yes
does NOT occur more than two times
per year per staff member. For related
awards see item 9 below.
9. Flowers and Fruit Baskets
a. Flowers and/or fruit baskets as
centerpieces and other decorative
Yes
purposes associated with an
official function



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Matrix for Sensitive Items
ITEM DESCRIPTION
ALLOWABILITY
CONDITIONS/ADDITIONAL GUIDANCE
b. Flowers, fruit baskets, cakes,
etc. purchased for expressing
May be purchased through a collection
holiday, condolence, get-wel or
No
of donations from fellow Employees.
congratulation wishes to
Employees or associates.
c. Flowers, cards, fruit baskets etc.
for community relations, or to
Purchases of this type may be made
express condolences on a death of
Yes
only from unrestricted gift funds.
current Employee(s) or
Student(s).
10. Gifts, Tokens or Awards
a. Gifts or tokens for employees
With the exception of awards approved
No
(Cash or non-cash)
through Human Resources.
b. Gifts or tokens for Student,
Examples may include a gift or
associates and non-associates as
Yes
honoraria for speaking engagements,
an indication of goodwil or esteem.
Student awards/incentives.
c. Employee recruitment
Gifts above $50.00 are considered
gifts/tokens
more than a token and are not
Conditional
allowable. Tokens, such as Mines;
memorabilia, shirts, key chains,
glasses, etc. are allowable.
11. Holiday and Birthday Parties
a. Events to celebrate holidays
As approved by the Vice Presidents
Conditional
and President as appropriate.
b. Events to celebrate Employee
May be purchased through a collection
birthdays.
of donations from fellow Employees.
No
Mines’ space may be used at the unit
director’s discretion to host such
events.
Only if approved on a temporary basis
12. Internet Connections from a
Conditional
(less than six months) by a unit
Personal Location
director.
13. License Fees, Memberships,
When the license, membership, or
or Dues
dues is directly related to the
Yes
University's mission and the unit or
individual functions.


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Matrix for Sensitive Items
ITEM DESCRIPTION
ALLOWABILITY
CONDITIONS/ADDITIONAL GUIDANCE
14. Moving Expense
When approved by the Provost or
Reimbursement
Yes
appropriate VP. These reimbursements
are typically taxable income.
15. Office Supplies or Equipment
Includes all office supplies and or
No
for Home Office
equipment for home offices.
16. Parking
a. Parking fees for an employee at
a primary work location
No

b. Parking tickets
No

c. Parking fees associated with
See the University's Travel Policies,
Yes
travel status
Chapter 5
d. Parking fees required at a
second/temporary work location
such as a public lot while attending
a meeting away from the primary
Yes

work location.
e. Parking for guests, businesses
or organizations at an official
Yes

function
17. Passports
If the traveler certifies that the passport
wil only be used for Official University
Conditional
Business throughout the period of time
the passport is valid.
18. Political Expenses
No

19. Recruiting Costs for prospective employees
a. Includes such direct costs as
Applicant meals outside of the
advertising, travel, official functions
Yes
recruitment/official function are
and background or reference
considered to be in travel status.
checks


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Matrix for Sensitive Items
ITEM DESCRIPTION
ALLOWABILITY
CONDITIONS/ADDITIONAL GUIDANCE
b. Recruitment functions held to
introduce the candidate to
University Employees and
associates for the purpose of
Such events should only include those
assisting the candidate and the
Yes
individuals directly related to the
University in assessing the degree
purpose of the function.
to which the employment of said
candidate would be mutually
beneficial.
20. Retirement Parties/Gifts
Parties/gifts costing over $500 together
Yes
require the approval of the Provost or
the appropriate Vice President.
21. Tickets to events
a. Tickets to events purchased for
These are only allowable when the
resale to Students and others in the
tickets are to events directly associated
University community.
Yes
with the Organizational Unit's primary
functions or if the tickets are part of a
continuing education course.
The Provost or appropriate Vice
President may approve such
b. Tickets to events purchased for
Conditional
procurements where attending the
direct use of employees, associates
event is deemed to be beneficial to the
or Students
University.
22. Visas, Green Cards and/or Immigration Fees
a. Fees for permits/ documents
Al documents must be processed
required by the Student or
through the campus offices of
employee in order to conduct
Yes
International Student and Scholar
necessary studies or work at the
Services (ISSS) and Legal Services.
University.
b. Fees for permits/ documents
required for spouses or dependents
No

of Students or Employees
c. Fees for visas for travel abroad
Yes

by Employees



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