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Gratuities FIN-PUR-3.4

Scope

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Policy Statement

Gifts, paid invitations, entertainment, travel, room or housing, meals, transportation, and other such activity provided to an employee may damage the reputation of the University. Activity of this nature may subvert the employee's judgment or create the perception that the employee, or the employee’s family, are receiving personal gain by virtue of his or her position at the University and the relationship with a supplier.

Purchasing employees, fiscal officers and their delegates shall not engage in any activity paid for or provided by a supplier or potential supplier to the University, where the public perception of the activity may have the appearance of placing favor with the supplier, or that the employee sustains, or appears to sustain, personal gain by such participation.

Participation in activities provided by a supplier of the University may occur where the overall benefit from the participation is greater to the University than to the employee.

Exceptions to this policy are general advertising favors (small dollar items bearing the suppliers name or logo), as well as exceptions listed in the HR policy. Additionally, from time to time, a circumstance may warrant that an activity or meal would be an exception to this policy as a part of a typical business practice.

The NAEP Code of Ethics, articulated in Policy FIN-PUR-3.1, states that personal gifts or gratuities should be declined.

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Reason for Policy

Gifts, paid invitations, entertainment, travel, room or housing, meals, transportation, and other such activity provided to an employee may damage the reputation of the University. Activity of this nature may subvert the employee's judgment or create the perception that the employee, or the employee’s family, are receiving personal gain by virtue of his or her position at the University and the relationship with a supplier.

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Procedures

If an employee or an employee’s family member receives a gift or supplier invitation which is contrary to this policy, the employee's immediate supervisor should be informed and the gift refused or returned to the sender or the invitation declined with a letter indicating that the acceptance of such is contrary to University policy and practice. Should a questionable situation arise, the University employee shall contact his or her immediate supervisor or the Associate Vice President, University Procurement Services.

Solicitation Process Procedures

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Definitions

Gratuity: Any gift, or invitation to entertainment venues, travel, room or housing, meals, transportation, and any other such action whereby the employee or family of the employee, sustain personal gain from its acceptance.

Personal Gain: Anything received and accepted, regardless of value, which is provided to an employee or family of the employee, by a supplier or potential supplier to Indiana University.

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History

This policy was established on February 18, 1992.

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