60.41 - Moving Expenses for UI Personnel
November 8, 2010
A. General. In order to recruit the best qualified person UI will reimburse a newly hired employee's actual and reasonable moving expenses as a condition of securing his or her employment, subject to the limits described below. In addition, UI may, but is not obligated to reimburse actual and reasonable moving expenses when a current employee is transferred from one official station to another within the state [intrastate] for the benefit and convenience of UI [See APM 75.38D]. [ ed. 7-07, rev. 11-10]
B. Approval, Limitations, and Funds Required. All or some portion of the moving expenses of an employee may be reimbursed when the payment is in UI's interest, when funds are available, and when approved in writing by the president, the provost, a vice president, or a dean and, under certain circumstances, by the Board of Examiners before the actual move. Maximum moving expense reimbursement will not exceed 10% of the employee's base salary. The University reports all moving reimbursements to the Secretary of the Board of Examiners annually. [ed. 5-08, rev. 11-10]
C. Moving Expenses Defined. Moving expenses as used in this section, mean the actual and reasonable expenses incurred in the relocation of household goods and also travel expenses (lodging and food), to the extent that they are directly related to the transport of household goods. The Internal Revenue Service defines certain moving expenses as qualified and non-qualified expenses for tax purposes. [See APM 75.38 B for further explanation.] Reimbursement will include actual and reasonable travel expenses, excluding mileage, of the employee and his or her dependents one-way to the employment location and shall be for travel extending over a period no longer than 10 calendar days. Reimbursement method for dependents is the same as single employees, however, it is limited to four dependents.[ed. 7-07, 11-10]
D. Household Goods Defined. Household goods means household furnishings, personal effects, and normal equipment and supplies used to maintain and enjoy a dwelling, including the employee's professional library. In no event will expenses be reimbursed for more than 15,000 pounds.
E. Items Excluded from Reimbursement. UI does not reimburse expenses for moving campers, trailers, boats, snowmobiles, airplanes, mobile homes that are not the primary residence of the employee, explosives, flammables, firearms, ammunition, perishable foodstuffs, building materials, sand, animals, plants, firewood, or other non-household items. UI does not reimburse expenses incurred in any real estate transactions associated with the move, nor for carpet, drapery, or other cleaning services, dis-assembly or reassembly of items, appliance service, or alterations to structures or items. It is suggested that employees personally arrange for moving of articles of high sentimental value, jewelry, negotiables, and collector’s items. [ed. 11-10]
F. Reimbursement for Transporting Vehicles. UI may reimburse the employee for one-way transport of up to two (2) privately owned vehicles (POV) from the old to the new location by the most economical means. The UI and employee shall choose the most economical mode of transportation from the following:
F-1. Driving Vehicles. The employee (or dependent) may drive the vehicle(s) and receive reimbursement at the current state mileage rate for use of privately owned vehicles plus per diem and lodging pursuant to UI travel policy; or [rev. 11-10]
F-2. Commercial Vehicle Transport. The employee may hire a commercial moving company to transport the vehicle(s) and receive reimbursement for the transport charges plus travel expenses for the employee and dependents pursuant to UI travel policy.
G. Storage of Household Goods. UI may reimburse for storage of household goods up to $800 and for a period of no longer than 30 consecutive calendar days, provided that, when combined with all other reimbursable moving expenses, the total dollar amount does not exceed the reimbursable amount agreed upon by the University. Reimbursement for temporary storage of household goods (up to a maximum of $800) is taxable income to the employee. [rev. 11-10]
H. Household Goods Insurance. Personal property insurance shall be allowed by UI up to the replacement value of that property not to exceed $100 of additional insurance premium in excess of that provided by the mover.
I. Employee Obligations. If an employee who receives moving expense reimbursement fails to fulfill his or her contract or appointment obligation and voluntarily resigns within one (1) year of the beginning date of employment, he or she will be required to repay to UI 100% of the moving expense reimbursement received. Individuals who received moving expense reimbursement exceeding $5,000 and who voluntarily resign more than one year and less than two years from the beginning date of employment will be required to repay the amount of reimbursement exceeding $5,000. Individuals who received moving expense reimbursement exceeding $10,000 and who voluntarily resign more than two years and less than three years from the beginning date of employment will be required to repay the amount of reimbursement exceeding $10,000. Also, if the actual expenses paid by the UI exceed the maximum allowance, the employee must promptly reimburse UI the difference in full or the amount will be placed on the employee’s Accounts Receivable using payroll deduction to recover the funds [See APM 75.38 C]. [ ed. 7-07, rev. 11-10]
J-1. Reimbursement of Moving Expenses. After an offer letter is sent to the new employee, a copy must be sent to Purchasing Services. [rev. 11-10]
i) The department sends a written offer letter to the employee or prospective employee, with copy to Purchasing Services. The offer letter must include:[rev. 11-10]
a) the moving expense allowance dollar amount;[rev. 11-10]
b) the consequences of employee's failure to fulfill his/her contract; and[ed. 11-10]
c) the employee's obligation to reimburse UI for expenses that exceed the maximum allowances.[ed. 11-10]
ii) A copy is sent to Purchasing Services. [rev. 11-10]
iii) Purchasing Services sends the new employee a UI welcoming letter, which identifies several moving agents and explains UI's moving procedures. The employee is asked to select agents from the list and return the choice(s) to Purchasing Services. Purchasing Services contacts the selected agents and requests a "not-to-exceed" estimate. Once the estimates are received, they are forwarded to the employee. The employee then negotiates a level of service and chooses one carrier. The employee is required to notify Purchasing Services of his/her selection and of the final cost estimate.[rev. 11-10]
iv) After receiving written verification of the final cost estimate, Purchasing Services notifies the employee's unit of the selected carrier and the final estimate. Purchasing Services issues a purchase order to the selected carrier. Any adjustments to the final estimate by either the carrier or the employee must be sent in writing with an explanation to Purchasing Services.[ed. 11-10]
K. Information. For tax information and payment procedures regarding moving expenses, [See APM 75.38]. Please address any other questions or concerns regarding moving procedures to Purchasing Services.[ ed. 7-07, 11-10]L. Offer Letter. The following information should be inserted into the offer letter: [add. 11-10]
Reimbursement of allowable moving expenses has been approved up to a maximum of $________.
Allowable moving expenses include transportation of household goods, relocation of your family, transportation of two personal vehicles, and a house-hunting trip. Purchasing Services will assist you with your relocation.
Household moves are further governed by all provisions of the Idaho State Board of Governors policy, available at the State Controller website.
Sample offer letters are located on the Human Resource website.