703 Consultant and Professional Services

Consultants and professional services must be authorized according to authority levels defined in 701.4.ii prior to the engagement of such services. Authorized approvers must ensure the desired professional services are not available internally through other Troy departments and/or personnel, and funding is available within the department budget to cover the cost of these professional services.

An Authorization to Provide Services form should be submitted to Human Resources to determine if the services performed are considered employee services or independent contractor/consultant services.  Upon verification the services are being performed as an independent contractor/consultant, an Independent Contractor/Consultant Agreement must be completed as documentation of the service agreement.

The dollar amount of the consulting agreement will dictate the level of required signatures. Consultants must also have a signed W-9 form on file in the Purchasing Department before they can be compensated.

Troy University employees cannot be paid as consultants by Troy University nor Troy University Foundation. Troy University employees must be paid through the Troy University Payroll department.

Payment cannot be given to the consultant before work of a satisfactory nature is performed.

Payments made to independent contractors/consultants  are processed through the Accounts Payable Department and, in general, are not subject to withholdings. Independent contractors/consultants are responsible for all taxes related to these payments. An IRS Form 1099 will be issued for these payments in accordance with Internal Revenue Service guidelines.

704 Approval Levels for Capital Projects
The following authorization levels have been established for campus capital projects.
705 Financial Accounting and Reporting
Financial Accounting and reporting shall be consistent with the principles and guidelines set forth in College and University Business Administration, published by the National Association of College and University Business Officers, and Audits of Colleges and Universities, an industry audit guide published by the American Institute of Certified Public Accountants. The following practices shall be adhered to in reporting to the Board: Assets shall be capitalized in accordance with Board-approved capitalization policies. The Board authorized a change in threshold to $5,000 beginning October 1, 2001.

705.1 Petty Cash Funds

Petty cash funds are available in Student Financial Services to cover purchases of small emergency items and small non-recurring items costing less than $100.00 per day, per account. This fund is not intended for use in lieu of normal purchasing procedures. Food will not be reimbursed through petty cash.

Reimbursements may be requested in Student Financial Services during normal business hours. The department chair/director's authorization, the original receipt, and the account number to be charged should be presented to the Cashier, with the items purchased clearly identified on the original receipt.

Working cash funds may be assigned to Troy departments which conduct sales and/or rental activities which require the collections and/or exchange of cash funds. A department may request a working cash fund by submitting a Check Request Memorandum to the controller, giving justification for the fund and the length of time needed.

Petty Cash and Working Cash Funds shall be maintained efficiently and securely. Each department chair/director is responsible for establishing procedures for the collection and maintenance of University funds within the department. These procedures must be reviewed and approved by the Controller’s Office. Petty Cash and/or Working Cash Funds must be available upon request for immediate audit by the Controller’s Office or the Alabama Examiners of Public Accounts. All collections including cash, checks, credit cards and money orders must be deposited with Student Financial Services no later than the next business day.

705.2 Gifts, Donations, Endowments, and Trusts

Gifts, donations, endowments and trusts contributed to Troy University will be handled according to donor instructions. Typically, these items, when possible, are routed through the Troy Foundation. For acceptance and handling of gifts to Troy University Foundation, see policy section dealing with Troy University Foundation.