Business Entertainment and Hospitality Expenditures
| Effective: | 12/15/08 | Approved By: Vice President for Financial Affairs and Chief Financial Officer | |
| Revised: | 03/03/26 |
For Assistance Contact: Director, Disbursements & Travel Services
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Purpose/Scope
This guideline outlines the restrictions and requirements governing the use of UT San Antonio funds for official occasions/business entertainment and hospitality.
Entertainment and hospitality expenses incurred while traveling on UT San Antonio business are within the scope of this guideline. Other travel and lodging expenses are covered under the travel-related financial guidelines.
Fiduciary funds (Fund 9200), including funds raised by student organizations, are not subject to this guideline.
The information provided here serves as a guide for understanding UT San Antonio requirements. It is not intended as tax advice.
Authority
Authorized under UT System Regents' Rules and Regulations — Rule 20205: Expenditures for Travel and Entertainment by Chief Administrators pursuant to Internal Revenue Service (IRS) regulations.
University Guidelines
Table of Contents
- Definition and Principles
- Allowable Expenditures
- Funding Sources
- Disallowed Funding Sources
- Expenditure Limits
- Disallowed Expenditures and Exceptions
- Alcohol Restrictions
- Account IDs
- Preapproval
- Blanket BEHR Forms
- Payment and Reimbursement Procedures and Documentation
A. Definition and Principles
Business entertainment and hospitality expenditures are costs incurred to host or engage with individuals in a professional setting or to purchase related supplies when there is a clear, documented business purpose that supports UT San Antonio’s mission. These expenditures typically support fundraising, recruitment, goodwill, strategic partnerships, or facilitating administrative and business discussions.
Such expenditures must:
- Directly support official UT San Antonio activities;
- Not be for personal use;
- Be reasonable in scope and cost;
- Comply with IRS regulations, state law and UT System policy; and
- Have advanced approval whenever practicable.
B. Allowable Expenditures
In addition to the above requirements, these expenditures must be judged appropriate by the approver and meet the following conditions:
- Be allowable under the IRS “Directly-Related” or “Associated” tests
- Use appropriate funding sources
These expenditures must also comply with one or more of the purposes described on the Business Entertainment and Hospitality Procedures page.
C. Funding Sources
Official Occasions Cost Centers are the primary allowable funding source for entertainment and hospitality expenses. Other allowable sources include:
- Local institutional funds (Fund 31xx), when tied to continuing education, professional development or broad student/community events
- Auxiliary funds (Fund 4xxx) per their designated purposes
- Unrestricted gift funds (Fund 55xx) if aligned with UT San Antonio’s mission
Federal grant funds (Fund 51xx) are only allowed if specifically documented in the grant budget.
D. Disallowed Funding Sources
The following funding sources cannot be used:
- Education & General (E&G) funds (Fund 21xx): May not be used under any circumstance
- Designated Tuition (Fund 3105)
E. Expenditure Limits
The following expenditure limits apply. Additional approval as outlined in the BEHR Certification section is required if any one of these limits is exceeded:
- Total event cost: $10,000
- Total event cost per day (per person): $100
- Flowers up to $150 per individual, per occurrence, including taxes and delivery fees
Expenditure Allowances
Meals per person, including food, non-alcoholic beverages, tax and gratuity:
- Breakfast $35
- Lunch $35
- Light refreshments $35
- Dinner $70
- For group meals, the total cost divided by the number of attendees should not exceed these amounts.
- Total event cost per day (per-person) is limited to $100. Additional approval is required if this limit is exceeded.
Note: The above expenditure limits and allowances apply only to business entertainment/hospitality events and not the travel per diem rates. If UT San Antonio pays for business entertainment or hospitality during travel, travelers may not claim duplicating per diem reimbursements; see the Business Entertainment and Hospitality Procedures page for more information.
F. Disallowed Expenditures and Exceptions
UT San Antonio funds generally cannot be used for the following expenditures:
- Extravagant entertainment or hospitality expenses (no exceptions)
- Social meals (no exceptions)
- Expenses for employees’ personal life events, including birthdays, anniversaries, weddings, baby showers or farewell gatherings (no exceptions). Note: This does not include retirement celebrations or separations from the institution. See the Employee Awards, Gifts and Prizes financial guideline.
- Mileage reimbursement for local travel to restaurants or events. See the Travel Reimbursement financial guideline for details.
- Coffee pots, coffee supplies, microwaves, refrigerators and other appliances for personal employee use (these may be allowable in official designated break rooms or public reception areas).
- Monetary contributions to political campaigns, candidates or charities. For table sponsorships, see Allowable Expenditures.
- Alcohol purchases outside approved restrictions (see the Alcohol Restrictions section)
See the Business Entertainment and Hospitality Procedures page for sales tax exceptions and examples.
G. Alcohol Restrictions
Alcohol purchases must support events and activities that further UT San Antonio's mission and comply with Handbook of Operating Procedures (HOP) 9.18 - Drugs and Alcohol. Additionally, the following requirements apply:
- Alcohol may not be the primary expenditure (must not exceed 50% of event cost)
- Alcohol may not be served when the primary attendees are students
- A departmental representative in authority must attend the full event
- Alcohol cannot be served between 8 a.m. and 5 p.m. on regular workdays
Handbook of Operating Procedures (HOP) 9.16 - Use of Alcoholic Beverages, including its waiver request and approval process, applies to alcohol served at on campus or university-hosted events. Alcohol served at business meals held at Texas Alcoholic Beverage Commission (TABC)-licensed venues (i.e., restaurants) does not require submission through this HOP-established process.
H. Account IDs
Departments must ensure expenditures are coded to the correct Account ID (GL account code) for accurate reporting. See the Business Entertainment and Hospitality Procedures page for commonly used Account IDs.
I. Preapproval
1. Requirement
Departments are required to complete and approve a Business Entertainment and Hospitality Request (BEHR) form before incurring expenses whenever practicable. Preapproval supports compliance, minimizes administrative corrections and provides departments with assurance that their planned expenditures meet requirements. After-the-fact approval may be obtained only when preapproval was not feasible.
Following preapproval, departments must track actual expenditures against the approved estimate. If actual expenditures exceed the original approved estimate by more than 10%, an amendment is required (see the Business Entertainment and Hospitality Procedures page for details).
2. BEHR Certification
Host: The primary point of contact for the estimated expenditures, who can certify compliance.
Approver: An authorized approver for business entertainment and hospitality requests, i.e., an assistant/associate dean or assistant/associate VP (vice president or vice provost) or higher-level administrator, who ensures expenditures conform to this guideline. For official student programs, directors can approve events if the estimated total costs are $1,000 or less.
Additional Approver: Required if
- An expenditure limit will be exceeded (vice president or vice provost approval required), or
- Exceptions to policy are requested (approval by a higher-level administrator or by the Business Affairs functional area leader for the president’s exceptions).
Conflict rules: Self-approval is not allowed; the individual’s supervisor/people leader (or a higher officer) must approve; expenditures for a VP or the president require approval from the functional area leader for Business Affairs.
3. Exceptions to the BEHR process
De minimis promotional items (UT San Antonio-branded items of minimal value) do not require a BEHR.
Parking-only payments use the Mileage/Parking Log, not a BEHR form.
See the Business Entertainment and Hospitality Procedures page for details .
J. Blanket BEHR Forms
A blanket BEHR authorizes multiple purchases over a set period under a single BEHR, reducing the number of forms and improving efficiency. Blanket BEHR forms can be used only if the following apply:
- The period covered does not exceed one fiscal year;
- The events covered are similar in nature and purpose; and
- The events covered are for the same or similar groups and sizes.
See the Business Entertainment and Hospitality Procedures page for example blanket BEHR uses.
Monitoring and Controls
Blanket BEHRs must meet the same requirements as standard BEHRs, such as tracking actual expenditures against the approved (blanket BEHR) amount and submitting amendments if costs exceed the original estimate. These are departmental responsibilities.
K. Payment and Reimbursement Procedures and Documentation
Within 30 days of the entertainment/hospitality expense, the department must submit the approved BEHR form and supporting documentation. Late submissions require justification and additional approvals.
Further details are on the Business Entertainment and Hospitality Procedures page.
Related Forms and Resources
- Business Entertainment and Hospitality Request (BEHR)
- Declaration of Missing Evidence
- Business Entertainment and Hospitality Procedures page
- Mileage/Parking Log for Travel Reimbursement
- Texas Sales and Use Tax Exemption Certification (Tax Exempt Certificate)
- Travel Reimbursement/Settlement (TRS)
- Travel Authorization Form (TAF)
Revision History
| Date | Description |
|---|---|
| 03/03/26 | Guideline overhauled and simplified to reflect business process updates: Guideline title changed; preapproval using the new BEHR form is the standard process; authorized approvers/approval levels, funding sources, disallowed expenditures and alcohol requirements clarified; expenditure limits updated; procedural information has moved to the Business Entertainment and Hospitality Procedures page; table sponsorships no longer require approval from the vice president for Advancement and Alumni Engagement. |
| 01/31/22 | Added guidance on on-the-job meals for remote work employees. Clarified that prior approval is required for spouse/partner meal reimbursements. Clarified reimbursement procedures. Editorial updates throughout (including for the One Card and current position titles). |
| 09/16/19 | Added references to the Employee Awards, Gifts and Prizes FMOG; updated Official Occasions account description (section I). |
| 05/23/18 | Increased per person per meal limits; Increased flower purchase limit; Clarified approvals needed if event is university–wide; Clarified that per person limit is separate from travel per diem limits. |
