Allowable & Unallowable PCard Travel Purchases

The PCard may be used to pay for University business travel, excluding meals. Acceptable uses include airfare, lodging, and transportation costs (taxi, rental car, etc.). All travel must be allowable under University Administrative Policy 4030 - Travel.

You may purchase travel from any source, including online sources like Priceline.com or Expedia.com, a travel agency, or directly from the airline/hotel/ground transportation company. When purchasing airfare on United Airlines, be aware that some reservations will require that the PCard be presented at check-in. If the PCard is required at check-in the Cardholder may either meet the traveler at the ticket counter and show the card or contact customer service to explain the situation and have a new ticket issued. Click here for more information.

Air

The University will pay the cost of commercial airline travel, including luggage fees, at the lowest available rate at the time of the reservation based on a reasonable flight schedule. Travelers are encouraged to plan their travel far enough in advance to be able to receive the lowest available airfares. The business traveler’s airfare is allowed directly to and from the business destination, for the actual dates of the business event. Upgrades to other than economy or coach-class accommodations are not allowable. Should a traveler wish to pay for an upgrade, they may do so at their expense.

• Include the detailed receipt and airline itinerary with the Chrome River Reconciliation
• Include a copy of the event brochure, meeting agenda, or other documentation with dates and location supporting the business event with the Chrome River Reconciliation

Business Travel Combined with Personal Travel

University business travelers may combine business travel with personal travel, as long as doing so does not change the primary purpose of the travel from business to personal. Travel for personal, rather than business, purposes may be added at the beginning or end of a University business trip.

If the cost of the ticket directly to and from the business destination, for the actual dates of the business event, is less than or equal to the cost of the ticket that includes personal travel dates/destinations, the PCard may be used to purchase the airline ticket. 

• Include at least three (3) lowest-cost flight choices from Travelocity or Expedia and Southwest Air using a reasonable flight schedule based on the dates and times of the business event with the Chrome River Reconciliation.
  • If contemporaneous documentation is not provided, the PCard Office will conduct a post-travel-date comparison. 
• Include detailed receipt with the Chrome River Reconciliation
• Include a copy of the event brochure, meeting agenda, or other documentation with dates and location supporting the business event with the Chrome River Reconciliation

If the cost of the ticket that includes personal travel dates/destinations is more than the cost of the ticket directly to and from the business destination, for the actual dates of the business event, the PCard may not be used. The traveler must pay for the cost of the ticket out of pocket and then seek reimbursement for the business portion of the ticket.

Lodging

If lodging will be paid by PCard, please be advised that no incidentals may be charged to the PCard. Incidentals include charges that are not room rates or taxes - for example, pay-per-view movies, room service or mini-bar charges. The traveler should provide the hotel with a personal credit card for incidentals. If incidentals are charged on the PCard, an infraction will be recorded for the Cardholder. The traveler must reimburse the University for all incidentals immediately upon returning from travel.

Some hotels may require that the traveler also be the Cardholder. If the traveler is not the cardholder, this may result in the traveler having to pay for lodging using their personal credit card and then seek reimbursement by the University after travel is completed. To avoid this situation, please verify the hotel policy when the room is reserved.

PCard Special Exception Request form

Group Travel
If a vendor presents a contract for group travel, you must submit a PCard Special Exception Request form with the contract before making the room reservations.

Business Travel Combined with Personal Travel

University business travelers may combine business travel with personal travel, as long as doing so does not change the primary purpose of the travel from business to personal.  Travel for personal, rather than business, purposes may be added at the beginning or end of a University business trip.

The PCard may be used to pay the business traveler's lodging costs, as described in this policy, and limited to the dates of the business event.

Additional costs incurred for dates before or after the dates of the business event, or for other individuals not on UNM business, are not allowable.  If other than the UNM-business traveler stays in the hotel or other room with the UNM-business traveler, there must be clear documentation of what the cost for the business traveler only would have been.

• Include detailed lodging receipt (cost per night, taxes, etc.) with the Chrome River Reconcilliations
• Include a copy of the event brochure, meeting agenda, or other documentation with dates and location supporting the business event with the Chrome River Reconciliation

Vehicle Rental

Vehicles may only be rented for those persons who are "Allowed" on the following matrix. The University has contracts with Enterprise Rent-A-Car and National. If the traveler is not the Cardholder and the department wishes to pay for a rental vehicle with the PCard, Enterprise Rent-A-Car or National must be used. Click here for more information. If the traveler is the Cardholder and finds a price lower than our negotiated contract, the vehicle may be rented from another company - follow normal procedures for reserving and renting the vehicle. For more information on vehicle rentals, please click here. UNM Automotive vehicles are rented with an FCard. University Policy 7780 regarding the use of vehicles can be found here.

Fuel is allowed on the PCard only when a vehicle is rented from a rental agency. Fuel is never allowed on PCard for personal vehicles.

For insurance purposes, the State of New Mexico treats rental cars rented by University employees as if they were UNM vehicles. Consequently, no additional insurance is required to be purchased from the rental car contractor. For Liability purposes, UNM is covered by the Tort Claims Act. For Physical Damage, UNM's damages are capped at $2,500.  If damages to a vehicle rental exceed $2,500, then the department involved pays the first $1,750.00 and SRS pays the remaining $750.00.  If damages to a vehicle rental are below the $2,500.00 deductible, the department involved must pay the full cost of damages.  The State of New Mexico’s Risk Management Division will pay any damages over the $2,500.00 cap.

• Include detailed receipt with the Chrome River Reconciliation
• Include a copy of the event brochure, meeting agenda, or other documentation with dates and location supporting the business event with the Chrome River Reconciliation

Business Travel Combined with Personal Travel

University business travelers may combine business travel with personal travel, as long as doing so does not change the primary purpose of the travel from business to personal.  Travel for personal, rather than business, purposes may be added at the beginning or end of a University business trip.

The PCard may be used to pay for vehicle rental, as described in this policy, and limited to the dates of the business event.

Additional costs incurred for dates before or after the dates of the business event are not allowable. 

Ground Transportation

Ground transportation includes shuttle bus service or taxi service. Ground transportation is allowed on PCard for approved University business travel and must be allowable under UAP Travel - 4030.

Business Travel Combined with Personal Travel

University business travelers may combine business travel with personal travel, as long as doing so does not change the primary purpose of the travel from business to personal.  Travel for personal, rather than business, purposes may be added at the beginning or end of a University business trip.

The PCard may be used to pay for ground transportation, as described in this policy, and limited to the dates of the business event.

Additional costs incurred for dates before or after the dates of the business event are not allowable. 

International Travel

International travel is allowed on PCard.

Prior Approval

All International Travel expenditures must include documentation of prior approval from the Dean, Director, Department Head, PI or designate per policy 4030, Section 4.2.  In addition, Travelers are required to comply with all Export Control laws per Policy 4030, Section 5.  Finally, if restricted funds are being utilized for the airfare, an American carrier must be used per Policy 4030, Section 8.2.   Exceptions to this requirement can be considered if documentation of the facts and circumstances is provided.

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Administrative Policies and Procedures Manual -  Policy 4030 Travel

https://policy.unm.edu/university-policies/4000/4030.html

5. Export Control Compliance

Travelers are required to comply with all export control laws and regulations while traveling internationally.  When traveling internationally with UNM-owned equipment or UNM-owned information, please contact Export Control at export@unm.edu.

Payments for Services Provided OUTSIDE the United States

While traveling outside of the United States for research, study-abroad, or any other purpose, UNM faculty and/or staff may often have cause to make payments via cash, personal credit card or PCard to individuals/companies for services that have been provided. In these cases, the service provider is not set up as a vendor as such in Banner; however, information must be obtained to document the status of the person/company, for tax purposes.

IRS regulations are such that U.S. individuals/companies are subject to tax on their worldwide income. This means that any income they earn, even solely within a foreign country, is subject to U.S. tax laws. Because of this, when UNM pays for services within a foreign country, documentation (typically an IRS form W-8BEN or W-8BEN E) must be obtained to show that the beneficial owner of the income is not a U.S. person (the W-8 BEN/W-8BEN E certifies their status as a foreign person). If the payee is a U.S. person, UNM is required to obtain an IRS form W-9. When payments are made directly by UNM, through Banner, collecting a W-8 BEN/W-8BEN E from foreign individuals/companies (or a W-9 from U.S. persons/companies) is a part of the vendor setup process. However, when UNM personnel are traveling abroad, and pay for services outside of the Banner system, the traveler is expected to obtain the applicable certification of payee status (U.S. person or foreign person).

Historically, it has been difficult for UNM travelers to get foreign payees to complete and sign a U.S. tax form, which is presented in English. Although the best documentation of payee status is obtaining a completed W-8 BEN, W-8BEN E or W-9, as applicable, the IRS also allows for the use of “presumption rules” in the determination of a payee’s status. If the traveler has no actual knowledge, and no reason to believe, that a payee is a U.S. person, they may certify this by completing and signing the form at this link: Foreign Source Statement. However, if there is actual knowledge, or reason to believe the payee is a U.S. person, the traveler is expected to obtain a signed IRS form W-9 from the payee, if the payment made was $600 or more.

The Certification form noted above or any completed from W-8BEN, W-8BEN E or W-9 that is obtain during a trip must be included with the transaction in Chrome River.

If the Certification form noted above, or the appropriate IRS tax certification form is not provided, the assumption is that the payee IS a U.S. Person, and the payment is subject to 28% tax withholding.  As the payment would have already occurred, obviously withholding cannot be done, therefore, the department funding the payment will be charged for the appropriate tax, using the mathematical "gross up" rate of 38.89%.

The following matrix will detail which individuals you may and may not purchase travel for using the PCard. 

Payments for Foreign Nationals

Special procedures exist when using a PCard to pay travel expenses for foreign visitors.

• Approval must be obtained before travel expenses are authorized on the PCard.
• The department obtains this approval by submitting the Foreign National Travel Request Form.
• The Taxation Issues Group in Unrestricted Accounting, Main requires the following information to approve the form:
  • A business purpose for the visit that benefits UNM.
  • The proposed length of the visitor's stay.
  • The type of visa the visitor will use to enter the U.S., if known.
• Please Note: If the travel has already occurred, it is possible that the Taxation Issues Group may either require additional information, or deny the request for approval altogether dependent on the visa type of the visitor and the circumstances of the trip. This process should always be done in advance of travel!
• If Taxation approves the Foreign National Travel Request Form, the department may then book the travel using their PCard.
• The department must attach a copy of the Foreign National Travel Request Form and the approval email with the receipt in Chrome River.
• If the traveler is a foreign Independent Contractor (IC) a Service Provider Questionnaire (SPQ) must be attached to the paper PR. Approval of the General Accounting department is required prior to seeking Taxation department approval.

For more information regarding tax issues, call 277-2018 or visit the Taxation Issues site.

Travel Exception Requests

Payments for Independent Contractor travel on the PCard require a pre-approved travel exception. Travel exception requests should be submitted using the Travel Exception Request form. Travel exception requests are not approved until Purchasing contacts the Cardholder.

Upon receipt of the request, the PCard Office will obtain proper approval, lift appropriate card restrictions and send approval by email to the Cardholder.

The special exception approval must be attached with the receipt in Chrome River.

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