Startup Funds Guidance
Purpose
Use of Institutional Funds: As a not for profit organization, the college is required to allocate resources in a prudent manner that best supports its mission. Faculty and staff are expected to exercise care and good judgment when procuring goods and services and ensure the expenditure is necessary and reasonable to support the mission of the college. A cost is reasonable if, in its nature and amount, it does not exceed that which would be incurred by a prudent person under the circumstance prevailing at the time the decision was made to incur the cost.
The purpose of this policy, in conjunction with other college policies related to procurement, is to ensure that (a) adequate cost controls are in place, (b) travel and other expenditures are appropriate, and (c) a uniform and consistent approach for the reimbursement of authorized expenses incurred by staff is provided.
Policy
Startup funds are intended to assist tenure track and visiting faculty establish and advance their careers at the college. The funds support faculty research expenses including items such as lab equipment and supplies. Typically specific expenditure details and a budget breakdown are included in the faculty’s startup agreement with the college.
The college has various mechanisms in place for faculty to expend funds. See the business office website for procurement procedures including the use of a college purchasing card.
Exclusions:
The following is a general list of non-reimbursable expenses; this list is not all-inclusive:
- personal items (e.g., toiletries, haircuts/styling, clothing, etc.)
- personal entertainment (e.g., books, magazines, newspapers, hotel room movies, sporting events, etc.)
- child or dependent care
- additional expenses of a spouse or person accompanying an employee while traveling
- airline class, hotel, or other travel upgrades (e.g. first class, business class, hotel suites, or similar upgrades)
- kennel costs for pets
- exercise equipment
- office furniture or equipment not already provided by the college or intended for off campus (e.g. home office); any equipment or furniture purchased is the property of the college
- smart phones
- penalties or fines (e.g. library, traffic, etc.)
- medical expenses (e.g., co-pays, prescription or over-the-counter medications, etc.)
- disbursements to supplement the faculty member’s salary
The list above is not exhaustive. Any questionable expenditures should be reviewed with the Dean of Faculty prior to being incurred. Violation of this policy may result in the faculty member being financially responsible for an expenditure, loss of startup funds, or adverse taxable implications.
Lab Remodels:
Some startup packages may include a lab remodel. If this is applicable to a specific startup agreement, the following procedures must be followed:
- Facilities services must be consulted on any remodels prior to commitments being made to prospective faculty members.
- The scope of the remodel and an estimate of the costs must be incorporated into the startup letter.
- A separate fund will be established to track the cost of the remodel, which will ultimately be funded by the annual startup operating budget unless otherwise approved by the VP of Finance and Treasurer.
Timeline:
Startup funds are available to spend for the amount of time reflected in the startup agreement. If funds remain at the end of that time period, faculty may request approval from the Dean of the Faculty to use the remaining funds for an additional year. Faculty must substantiate their plan to utilize the funds within the set time period. If an extension is not requested or approved, the college will return unused funds to the startup pool.
Annually the dean of faculty’s office will request a projection of funds to be expended within the year. Failure to respond to this request may result in a suspension of your startup funds.