(Revised
September, 2002)
Department
heads (as defined by each
control unit) are delegated the authority to authorize memberships in organizations
that promote the advancement of education and research, enhance the professional
standing of administrative personnel, and facilitate favorable community relations
if the memberships will be used primarily for business purposes and the organization
does not have discriminatory membership policies or practices. Each designated
administrative official is responsible for ensuring that the memberships they
approve comply with the requirements of Business and Finance Bulletin G-43,
"Policy on University Membership in Organizations" (http://www.ucop.edu/ucophome/policies/bfb/g43.html)
as revised on August 24, 2001. Department
heads cannot approve memberships in social organizations (see below), nor can
they approve their own membership reimbursement requests.
Office
of Management and Budget’s Circular No. A-21, “Cost Principles for Educational Institutions”
(http://www.whitehouse.gov/omb/circulars/a021/a021.html),
allows federal funds to be used for UC Berkeley membership in business, technical
and professional organizations, however, the use of federal funds for memberships
in civic or community organizations is not allowed. State or federal funds cannot be used under
any circumstances to pay for memberships in social organizations.
Memberships
in social organizations, such as business, athletic, luncheon, sporting, airport,
and hotel clubs are generally not allowed. If
a genuine business purpose can be established, exceptional approval may be granted
by the Chancellor. The request for membership
payment must first be approved by the department head and the control unit head (or his/her designated
representative). The Disbursements Office is responsible for ensuring that
all such requests are submitted quarterly to the Chancellor. Membership in the social organization may be
revoked if the Chancellor determines that it is inappropriate. Membership in a social organization cannot exceed
one year in duration.
Individuals granted
social memberships must submit an Annual Report of Personal Use of a Club to the
Disbursements Office (http://financialoperations.berkeley.edu/Forms/FormsIndex.htm#disb).
Any personal use of such memberships is considered to be taxable income to the
holder of the membership. If the annual report is not submitted, the Disbursements
Office will assume that the membership was used entirely for personal use.
The Disbursements Office can provide details on additional administrative
procedures associated with memberships.
Departmental
and individual memberships in the Faculty Club used exclusively for business purposes
are not considered social memberships. However, any personal use of the membership
must be paid for by the individual, and depending on the extent of its use for
non-business purposes, the membership itself may be subject to taxation.
Questions regarding
membership policy should be directed to the Office of the Controller at controller@berkeley.edu. Questions regarding non-business uses of social
memberships and reporting requirements should be directed to the Disbursements
Office at disburse@berkeley.edu.