CC PACKET 05271997 - Laserfiche WebLink

Home Browse Search

Mayor and Members of the City Council City of St. Anthony, Minnesota ' Expense Reimbursements The City's policy for approving reimbursement of employee expenses needs to be clearly defined and -adhered to. Currently, it is City policy for the City Manager to approve reimbursements of department heads and department heads to approve travel and related expenses incurred by subordinate staff; for example, the chief of police approves the expenses of an officer attending conferences, training and similar meetings. During the audit it was noted that travel and expense reimbursements of department heads were occasionally approved by the individual department head and were not signed off by the City Manager. When department heads submit expense reim- bursements, the City Manager should approve the request for reimbursement before the item is placed on the verified claims list for Council approval . Similarly, expense reimbursements for mileage and business expenses submitted by the City Manager should be reviewed and approved by the Council prior to its reimbursement. Supporting documentation must be attached to the request for reimbursement. Docu- mentation, such as a copy of the hotel statement, food receipts, mileage and other detail supporting the expenditure is required. Internal Revenue Service regula- tions require proper documentation of expense reimbursements stating the purpose or business reason for the meeting, date, location, who was in attendance, what was discussed, and the outcome' or results of the meeting noted on the receipt. This same level of approval and documentation applies to expenses incurred by the City Manager or other City staff on behalf of the City and charged directly to the City via a credit card account. For example, the Council should review, approve and sign off on the City Manager's credit card statement prior to the expenditure appearing on the verified claims list. This report is intended solely for the information and use of the City Council , management and others within the organization. If the Council wishes, I would be pleased to meet and discuss any of the observa- tions, comments, or recommendations mentioned or other matters pertaining to the audit with the Council or management at your convenience. If the City desires, I am available to assist with the implementation of any of the recommendations. I wish to express my appreciation for the courtesies and cooperation extended by the City Manager, Finance Director and City personnel . during the engagement. Stuart J. Bonniwell Certified Public Accountant