Agenda packet — Central Coast Community Energy (3CE) Operations Board, August 9, 2023 (part 2 of 2)

Distribution Upgrades
The estimated costs associated with the system upgrades required to interconnect the project to the Distribution Provider’s Distribution System.

Distribution Upgrades: None
Reliability Network Upgrades
The estimated costs associated with the system upgrades required to interconnect the project to the Distribution Provider’s Transmission System. In accordance with Article 5.2.1 of this Agreement, Reliability Network Upgrades reimbursement is capped at a maximum of $TBD per MW of generating capacity. To the extent that such reimbursement does not cover all costs of the RNUs, the IC shall receive Congestion Revenue Rights (“CRRs”) for the portion of the RNUs that are not covered by the above reimbursement.

Reliability Network Upgrades: None
Total Project Costs
Cost Category
Amount Subject to
COO ($)
Amount NOT
Subject to COO ($)
Total Cost
Category Amount
($)
Interconnection Facilities
Costs (Attachment 2) $120,000 N/A $120,000
Distribution Upgrade Costs
(Attachment 6) $0 N/A $0
Network Upgrade Costs
Reliability Network N/A $ $
WDT GIP (2017) SGIA 42
Internal
Upgrade Costs
(Attachment 6)
Deliverability-related RNU
(Attachment 5) N/A $ $
Delivery Network Upgrades
(Attachment 5) N/A $ $
Total Project Costs ($) $120,000 $ $120,000
Total Cost-of-Ownership Charges for Project:

The Interconnection Customer has elected the following by placing a check mark against it for Cost-of-Ownership for the applicable Interconnection Facilities and/or Distribution Upgrades. The Cost-of-Ownership will commence upon the In-Service Date per Article 4.1.2.

A. Monthly Cost-of-Ownership Charge
$ Total Project Costs Subject to COO x 0.89%2 (current percentage rate) = $ Monthly COO Amt Total Monthly Cost-of-Ownership Charge $ 1,068 / month
B. Equivalent One-Time Charge (in lieu of recurring Monthly Cost-of-Ownership Charge) $ Monthly COO Amt / month x 12 months x 14.73 (present worth factor3) = $ One time COO Amt Total Equivalent One-Time Charge $ 188,779.68
2 The COST-OF-OWNERSHIP Charge for Interconnections provided under this Agreement is determined in accordance with PG&E’s applicable percentage rates calculated using PG&E’s most recent distribution owner revenue requirement on file with and accepted by FERC. PG&E currently charges the following COST-OF-OWNERSHIP rates for distribution facilities: Customer financed, Distribution-level Rate of 0.89% monthly.
3 The Present Worth Factor (PWF), which is also known as the perpetuity factor, is used under this agreement to determine the equivalent One-Time Payment. This financial factor is the reciprocal of the after-tax Rate of Return on Rate Base (ROR). The after-tax ROR is calculated by the Economic and Project Analysis Department and is based on CPUC decisions, which establish the Return on Rate Base.

Staff Report Item 16
TO: 3CE Operations Board of Directors
FROM: Robert M. Shaw, Chief Executive Officer
PREPARED BY: Dewayne Woods, Interim Chief Financial Officer SUBJECT: It is recommended that the Operations Board of Directors review, approve, and adopt a revised Central Coast Community Energy (3CE) Purchasing Policy - Financial Policy 8 (FP8) with an effective date of September 1, 2023
DATE: August 9, 2023
RECOMMENDATION:

It is recommended that the Operations Board of Directors review, approve, and adopt a revised Central Coast Community Energy (3CE) Purchase Policy- Financial Policy 8 (FP8).

BACKGROUND:

Currently 3CE FP8 outlines a system of checks and balances with independent party approval. The objectives and principles governing these procedures are as follows: A standard procedures in selecting and engaging vendors; best yield for dollar spent in terms of price, quality, timeliness, and reliability; accountable and transparent decision-making process; prevention of fraud or corruption; fair competition; and maintenance of adequate controls.

DISCUSSION:

The revised Purchase Policy seeks to streamline the current policy while adhering to established internal purchasing controls. The major changes are to increase the Chief Executive Officers annual contract authority from $100,000 to $200,000 in accordance with authority provided to County purchasing agents under California Government Code Section 25502.5. Revisions also increase the Chief Financial Officers contract authority from $10,000 to $20,000 annually. The Purchase Requisition process is removed from the Finance Office to the department level thereby streamlining the internal approval process, while still requiring either CEO or CFO final signature(s) depending on each contract’s aggregate value annually.

FISCAL IMPACT:

There is no immediate fiscal impact associated with these proposed policy amendments.

CONCLUSION:

Approval of the proposed policy amendments will increase authority delegated to the CEO and streamline the purchasing process without reducing internal controls on purchasing.

ATTACHMENT(S):

1. Central Coast Community Energy Purchase Policy – clean version

2. Central Coast Community Energy Purchase Policy – redline version FP8
Category: FINANCE

PURCHASING AND PROCUREMENT POLICY
PURPOSE:

This set of procedures is intended implement a system of checks and balances with independent party approval. The objectives and principles governing these procedures are as follows:
• Standard procedures in selecting and engaging vendors; • Best yield for dollar spent in terms of price, quality, timeliness, and reliability; • Accountable and transparent decision-making process;
• Prevention of fraud or corruption;
• Fair competition; and
• Maintenance of adequate controls.

DELEGATIONS:

Delegation to the Chief Executive Officer (CEO)
The CEO shall have all necessary and proper authority to approve and execute:

1. Agreements for Energy Procurement for dollar amounts, volumes and durations as set out in the approved Central Coast Community Energy (3CE), Energy Risk Management Policy;

2. Agreements up to $200,000 per vendor for a given scope of work, per fiscal year, provided that (a) the expenditures authorized by these agreements are consistent with the approved budget; (b) the agreements are approved as to form by 3CE’s General Counsel; and (c) agreements are reported at the next Board meeting;

3. Amendments or addenda to existing agreements, regardless of the existing agreement’s price or total amount, which improves the terms of the agreement to 3CE’s benefit without increasing the agreement’s not-to-exceed maximum dollar amount; and

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1 4. In the event of an emergent situation, agreements with a not-to-exceed maximum dollar amount of:
a. $250,000 in the aggregate; or
b. $500,000 in the aggregate with the prior written consent of three (3) Operations Board members chosen by the Operations Board Chair.

In order to avert or alleviate damage to property, to protect the health, safety and welfare of the community and 3CE’s employees, or to repair or restore damaged or destroyed property of MBCP.

An “emergent situation” for purposes hereof is a situation creating an imminent danger to life or property or other material financial loss that calls for immediate action with inadequate time for prior Board approval. The CEO shall within thirty (30) days of the emergency, deliver a report to the Operations Board explaining the necessity for the action, a listing of expenditures made under these emergency powers and any recommended future actions.

Delegation to the Chief Financial Officer
The Chief Financial Officer (CFO) shall have all necessary and proper authority to approve and execute:

1. Agreements up to $25,000 per vendor for a given scope of work, per fiscal year, provided that (a) the expenditures authorized by these agreements are consistent with the approved budget; (b) the agreements are approved as to form by 3CE’s General Counsel; and (c) agreements are reported at the next Operations Board meeting;

2. Purchases exempt from the purchasing and procurement procedures.

PURCHASING AND PROCUREMENT PROCEDURES:

Estimated Engagement or Contract Value
Use the Estimated Engagement or Contract Value to determine required procedures.

Estimated Engagement or Contract Value shall consider factors including but not limited to:
• Price of previous purchases;
• Current price lists;
• Total cost for period of contract;
• Similar items or services in related industries; and

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• Opinion of specialists.

The Estimated Engagement or Contract Value shall include all forms of remuneration related to the purchase including any premiums, fees, commissions, interest, applicable taxation, insurance, and freight.

Sole Source
Sole source expenses such as items or services that are available only from a single source and additional deliveries of existing products or services by the original vendors due to competition is not feasible should state sole source as the justification for selection of vendor. Procurement by sole source requires submission, and approval, of a Sole Source Justification form. Final approval of a sole source procurement is decided by the approver of the appropriate process.

Split Purchases
User shall not split the total purchases required into smaller quantities or amounts to avoid complying with the procedures.

Procedure Exemptions

1. Banking, insurance, valuation and financial services;

2. Business travel (FP9 Travel and Meeting Expense Reimbursements for Employees would apply);

3. Utilities: electricity, water, gas that are government mandated or controlled monopolies;

4. Employee professional development expenses such as seminars, training, professional body license renewal, etc.

PURCHASE REQUISITIONS:

A Purchase Requisition is an internal approval process used at the department level to authorize all non-exempt small, medium, and high value purchases prior to expenditure.

PR Exemptions

1. Refreshments, meals for meetings and events held for the purpose of conducting 3CE business or if a primary procedure/policy exists covering the specific area such as FP9.

2. Office administrative expenses such as stationary, office supplies etc.;

3. Any other items or services as the CEO may deem appropriate on a case-by-case basis.

PR Purchase Procedure by Value
User should adopt procurement procedures based on the following value categories:

1. Small Value Purchase:
• For all purchases with estimated engagement or contract value ≤ $5,000:
 Evidence of competition is encouraged but not required.

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 Purchase Requisition authority to be obtained from the Department Officer or designee.

2. Medium Value Purchase
• For all purchases with estimated engagement or contract value > $5,000 up to $50,000:
 3 competitive bids (in a form of written or oral quote) must be solicited with at least 1 written quote, including price, availability, delivery, and any relevant purchase terms and conditions.
 Purchase Requisition authority to be obtained from the Department Officer or designee.

3. High Value Purchase
• For all purchases with estimated engagement or contract value > $50,000 and above:
 3 competitive bids must be solicited with 3 written quotes, including price, availability, delivery, and any relevant purchase terms and conditions.
 Competitive bids $50,000 or greater are to be obtained using the RFP process, see below Request for Proposal (RFP) section for details.  RFP to be approved by the Department Officer, the CFO, and the CEO.

REQUEST FOR PROPOSALS (RFP):

An RFP invites a bid response in the form of a proposal and generally specifies the bidder's own solution and presents the bidder's method, pricing, delivery, etc. An RFP is to be used for any purchase or contract valued at $50,000 or greater. If valued at $200,000 or greater the purchase or contract must be taken to the Board for approval prior to execution of the contract. All purchases in excess of $200,000 with the exception of a capital expenditure, shall go to the Operations Board for approval. Capital expenditures shall go to the Policy Board for approval.

RFP Elements
Recommended RFP to include the following basic elements and evaluation criteria:

1. Intent of proposal – project description, requirements, and objectives

2. Timeline for submission of application, notification of selected applications, date when bidders are expected to be invited, tender period, etc.

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c. Experience on other contracts, including brief description, contract sum, and client including permission for us to approach for reference at our discretion; d. Details of proposed key staff titles, names, years of experience, education, and relevant experience for involvement in the engagement;
e. Safety records, accident records and records of convictions, violations and suspensions from regulating actions, history of litigations and claims; f. Details of financial status, including copies of financial reports of the bidder for the last 3 years;
g. Insurance policy of bidders; and
h. Any other questions specific to the engagement.

4. Design and use

5. Proposal format and content – list of information to be submitted by the bidder including fees and proposal

6. Evaluation and award criteria – evaluation should be conducted fairly, focusing on the technical ability, financial and commercial capacity of a bidder in carrying out the engagement. Reasons for passing or failing each bidder should be recorded in writing.

7. Minimum insurance/bonding requirements

8. Milestones and deadlines

9. Contact information and deadline for submissions

10. Award process

11. Basic terms of contract
RFP Process

1. Develop set of specifications

2. Write the RFP with legal review

3. Issue the RFP

4. Evaluate perspective bidder’s responses

5. Select preferred vendor

6. Negotiate Contract with legal and finance review
Attachment:

1. Sole Source Justification form
1 FP8
Category: FINANCE

PURCHASING AND PROCUREMENT POLICY
PURPOSE:

This set of procedures is intended to put in placeimplement a system of checks and balances with independent of the party with approval authority. The objectives and principles governing these procedures are as follows:
 Standard procedures in selecting and engaging vendors;  Best yield for dollar spent in terms of price, quality, timeliness, and reliability;  Accountable and transparent decision-making process;
 Prevention of fraud or corruption;
 Fair competition; and
 Maintenance of adequate controls.

DELEGATIONS:

Delegation to the Chief Executive Officer (CEO)
The CEO shall have all necessary and proper authority to approve and execute:

1. Agreements for Energy Procurement for dollar amounts, volumes and durations as set out in the approved MBCP Central Coast Community Energy (3CE), Energy Risk Management Policy;

2. Agreements up to $100200,000 per vendor for a given scope of work, per fiscal year, provided that (a) the expenditures authorized by these agreements are consistent with the approved budget; (b) the agreements are approved as to form by MBCP’s3CE’s General Counsel; and (c) agreements are reported at the next Board meeting;

Page 2 ends

3. Amendments or addenda to existing agreements, regardless of the existing agreement’s price or total amount, which improves the terms of the agreement to MBCP’s3CE’s benefit without increasing the agreement’s not-to-exceed maximum dollar amount; and

4. In the event of an emergent situation, agreements with a not-to-exceed maximum dollar amount of:
a. $150250,000 in the aggregate; or
b. $500,000 in the aggregate with the prior written consent of three (3) Operations Board members chosen by the Operations Board Chair.

In order to avert or alleviate damage to property, to protect the health, safety and welfare of the community and MBCP’s3CE’s employees, or to repair or restore damaged or destroyed property of MBCP.

Delegation to the Director of Finance & Administrative ServicesChief Financial Officer The Director of Finance & Administrative ServicesChief Financial Officer (CFO) shall have all necessary and proper authority to approve and execute:

1. Agreements up to $1025,000 per vendor for a given scope of work, per fiscal year, provided that (a) the expenditures authorized by these agreements are consistent with the approved budget; (b) the agreements are approved as to form by MBCP’s3CE’s General Counsel; and (c) agreements are reported at the next Operations Board meeting;

2. Purchases exempt from the purchasing and procurement procedures. as detailed below.

PURCHASING AND PROCUREMENT PROCEDURES:

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Estimated Engagement or Contract Value
Use the Estimated Engagement or Contract Value to determine required procedures.

Estimated Engagement or Contract Value shall consider factors including but not limited to:
 Price of previous purchases;
 Current price lists;
 Total cost for period of contract;
 Similar items or services in related industries; and
 Opinion of specialists.

Split Purchases
User shall not split the total purchases required into smaller quantities or amounts to avoid complying with the procedures.

Procedure Exemptions

1. Banking, insurance, valuation and financial services;

2. Business travel (FP9 Travel and Meeting Expense Reimbursements for Employees would apply);

3. Utilities: electricity, water, gas that are government mandated or controlled monopolies;

4. Employee professional development expenses such as seminars, training, professional body license renewal, etc.

Formatted: List Paragraph, Numbered + Level: 1 +
Numbering Style: 1, 2, 3, … + Start at: 1 + Alignment: Left + Aligned at: 0.44" + Indent at: 0.69"

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PURCHASE REQUISITIONS (PR):

A Purchase Requisition is an internal approval process and form used to approveat the department level to authorize all non-exempt small, medium, and high value purchases prior to expenditure.

PR Exemptions

1. Refreshments, meals for meetings and events held for the purpose of conducting MBCP 3CE business or if a primary procedure/policy exists covering the specific area such as ;FP9.

2. Office administrative expenses such as stationaryies, office supplies etc.;

3. Any other items or services as the CEO may deem appropriate on a case-by-case basis.

PR Purchase Procedure by Value
User should adopt procurement procedures based on the following value categories:

1. Small Value Purchase:
 For all purchases with estimated engagement or contract value ≤ $15,000:
 Evidence of competition is encouraged but not required.  Purchase Requisition Form (“PRF”)authority to be approved by the department heads and the Director of Finance & Administrative Servicesobtained from the Department Officer or designee.

2. Medium Value Purchase
 For all purchases with estimated engagement or contract value > $15,000 up to $50,000:
 3 competitive bids (in a form of written or oral quote) must be solicited with at least 1 written quote, including price, availability, delivery, and any relevant purchase terms and conditions.  PRF to be approved by the department head, and the Director of Finance & Administrative Services. Purchase Requisition authority to be obtained from the Department Officer or designee.

3. High Value Purchase
 For all purchases with estimated engagement or contract value > $50,000 and < $100,000above:

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 3 competitive bids must be solicited with 3 written quotes, including price, availability, delivery, and any relevant purchase terms and conditions.
 Competitive bids $3550,000 or greater are to be obtained using the RFP process, see below Request for Proposal (RFP) section for details.  PRF RFP to be approved by the department headDepartment Officer, the Director of Finance & Administrative ServicesCFO, and the CEO.

All PRF users should fill out the expected “goods delivery date or service start date” and the “completion date” for cashflow forecast preparation purposes.

REQUEST FOR PROPOSALS (RFP):

An RFP invites a bid response in the form of a proposal and generally specifies the bidder's own solution and presents the bidder's method, pricing, delivery, etc. An RFP is to be used for any purchase or contract valued at $350,000 or greater. If valued at $100200,000 or greater the purchase or contract must be taken to the Board for approval prior to execution of the contract. All purchases in excess of $200,000 with the exception of a capital expenditure, shall go to the Operations Board for approval. Capital expenditures shall goes to the Policy Board for approval.

RFP Elements
Recommended RFP to include the following basic elements and evaluation criteria:

1. Intent of proposal – project description, requirements, and objectives

2. Timeline for submission of application, notification of selected applications, date when bidders are expected to be invited, tender period, etc.

3. Bidder evaluation:
a. Business license or business registration certificate; b. Corporate or organizational structure – to determine whether there are any related party or connected transactions;
c. Experience on other contracts, including brief description, contract sum, and client including permission for us to approach for reference at our discretion; d. Details of proposed key staff titles, names, years of experience, education, and relevant experience for involvement in the engagement; e. Safety records, accident records and records of convictions, violations and suspensions from regulating actions, history of litigations and claims;

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f. Details of financial status, including copies of financial reports of the bidder for the last 3 years;
g. Insurance policy of bidders; and
h. Any other questions specific to the engagement.

4. Design and use

5. Proposal format and content – list of information to be submitted by the bidder including fees and proposal

7. Minimum insurance/bonding requirements

8. Milestones and deadlines

9. Contact information and deadline for submissions

10. Award process

11. Basic terms of contract
RFP Process

1. Develop set of specifications

2. Write the RFP with legal review

3. Issue the RFP

4. Evaluate perspective bidder’s responses

5. Select preferred vendor

6. Negotiate Contract with legal and finance review
Attachment:

1. Purchase Requisition Forms

2.1. Sole Source Justification form
Staff Report Item 17
TO: 3CE Operations Board of Directors
FROM: Robert M. Shaw, Chief Executive Officer
PREPARED BY: Dewayne Woods, Interim Chief Financial Officer SUBJECT: It is recommended that the Operations Board of Directors review, approve, and adopt an updated Central Coast Community Energy (3CE) Purchase Card Policy – Financial Policy 6 (FP6) with an effective date of September 1, 2023 DATE: August 9, 2023
RECOMMENDATION:

It is recommended that the Operations Board of Directors review, approve, and adopt an updated Central Coast Community Energy (3CE) Purchase Card Policy.

BACKGROUND:

Currently 3CE utilizes purchase cards (visa) to expedite the purchasing process for specific departmental needs where a Request for Proposal is not required.

DISCUSSION/ANALYSIS:

The updated Purchase Card Policy expands the guidelines for purchase card expenditures incurred during the course of 3CE business. The use of purchasing cards reduces administrative costs as Purchase Order (PO) transactions are costly to process and usually take longer to pay. Additionally, some suppliers do not accept PO’s. When this happens, 3CE buyers have to search for other suppliers who will accept POs, and the item purchased may eventually cost the agency more and increase the time to obtain the items or services. This updated policy clarifies prohibited purchases and implements merchant blocking to increase internal control of prohibited uses. Additionally, the updated policy better outlines cardholder responsibilities and the documentation process for staff. The updated Purchase Card Policy is provided as an attachment to this report.

ATTACHMENT(S):

1. Central Coast Community Energy Purchase Card Policy
Revised July 1, 2023
Version 1.1.23
PURCHASE CARD POLICY- FP6
Central Coast Community Energy
1 1 POLICY OVERVIEW .......................................................................................................................3 §1.1.1 Definition ..............................................................................................................................3

1.2 Purchase Card Contacts ................................................................................................................4 §1.2.1 Authorized User....................................................................................................................4 §1.2.2 3CE Program Coordinator ....................................................................................................4 §1.2.3 Cardholders...........................................................................................................................4 §1.2.4 Department Program Administrators....................................................................................4 §1.2.5 Department Approving Official............................................................................................4

1.3 CONTROLS AND ADHERENCE...............................................................................................5 §1.3.1 Controls.................................................................................................................................5 §1.3.2 Adherence to Purchase Policy...............................................................................................6

1.4 HOW TO OBTAIN A PURCHASE CARD .................................................................................7 §1.4.1 Who should sign up? .............................................................................................................7 §1.4.2 What do we have to do to obtain a card? ..............................................................................7 §1.4.3 Card Issuance ........................................................................................................................7

1.5 USING THE PURCHASE CARD................................................................................................8 §1.5.1 Definition ..............................................................................................................................8 §1.5.2 Cardholder Responsibilities..................................................................................................9 §1.5.3 Documenting Your Purchase Card Purchases.....................................................................10 §1.5.4 Restrictions .........................................................................................................................11 §1.5.5 Splitting Purchases..............................................................................................................11 §1.5.6 Purchasing Methods............................................................................................................11 §1.5.7 Local Purchases...................................................................................................................11 §1.5.8 Personal Credit/Background Investigations........................................................................11 2 §1.5.9 Card Appearance.................................................................................................................12 §1.5.10 Issuer Monitoring................................................................................................................12 §1.5.11 Travel Policy.......................................................................................................................12 §1.5.12 Replacing or Returning the Purchase Card .........................................................................12 §1.5.13 Revocation of Privileges.....................................................................................................12 2 BILLING AND ORGANIZATIONAL REPONSIBILITIES.......................................................13 §2.1.1 Monthly Billing Statements................................................................................................13 §2.1.2 Late Fees.............................................................................................................................13

2.2 Disputed and Returned Items......................................................................................................14 §2.2.1 Disputed charges.................................................................................................................14

2.3 Organizational Responsibility.....................................................................................................15 §2.3.1 JP Morgan/Chase (Level One)............................................................................................15 §2.3.2 Central Coast Community Energy (Level Two) .................................................................15 §2.3.3 Approver (Level Three) ......................................................................................................15 §2.3.4 Cardholder (Level Four) .....................................................................................................16 3 1

POLICY OVERVIEW
Purchase Card Policy
§1.1.1 Definition
This policy provides an overview of the requirements and procedures governing the use of the Central Coast Community Energy(3CE) Purchase Card. All 3CE personnel must attend the “Purchase Card Prerequisite Training” prior to the issuance of cards. a) Delegation of purchasing authority to 3CE personnel delineated in this manual is subject to approval by the Chief Executive Officer (CEO).
b) For further information or questions, please contact Finance. 4 1.2
Purchase Card Contacts
§1.2.1 Authorized User
The 3CE Purchase Card (P-Card) shall only be used by the authorized Cardholder. Cards may be used to purchase goods and some emergency services by pre-authorization by CEO or designee. §1.2.2 3CE Program Coordinator
The Program Coordinator is the Chief Financial Officer or designee. §1.2.3 Cardholders
3CE employees are authorized to make Purchase Card purchases on behalf of their assigned department in accordance with established Purchase policies and procedures. §1.2.4 Department Program Administrators
Each department shall coordinate with the Purchase Card Program Administrator. The Administrator is responsible for all aspects of the agency’s participation in the Purchase Card Program.
§1.2.5 Department Approving Official
Department employee who is authorized to verify charges and transactions made by department Cardholders.
5 1.3

CONTROLS AND ADHERENCE
§1.3.1 Controls
The use of 3CE issued Purchase Cards are subject to the following controls:
 Each card will be established with a monthly, not-to-exceed amount predetermined by the Cardholder’s department and approved by the Chief Financial Officer.  Single Purchase Limit per Card: Each card may be established with a single transaction limit.  Merchant Code Blocking: Every Agency issued Purchasing Card is blocked to prohibit the Cardholder from making purchases from certain types of vendors. Required restrictions and exclusions are outlined below.

The agency has identified high-risk and cash-related Merchant Category Codes which are excluded from the P-Card program.
(1) Wire Transfer – Money Orders
(2) Financial Institutions Manual & Automatic Cash Advances (3) Convenience Checks
(4) Non-Financial Institutions – Foreign Currency, Money Orders, Travelers Checks (5) Security Brokers/Dealers
(6) Saving Bonds
(7) Timeshares
(8) Betting, Casino Gaming Chips, Off Track Betting
(9) Fines
(10) Bail and Bond Payments
(11) Money Transfer – Member Financial Institutions
(12) Value Purchase – Member Financial Institutions
(13) Money Spend Intercountry
(14) MasterCard Money Spend Intercountry
(15) Money Send Funding TXN
(16) POI Funding TXN
(17) Government – Owned Lotteries
(18) Government – Licensed Casinos (Online Gambling)
(19) Government – Licensed Horse/Dog Racing
(20) State Lot
(21) Furriers and Fur Shops
(22) Antique Shops
(23) Pawn Shops
(24) Antique Reproductions
(25) Jewelry Stores
(26) Remote Stored Value Load – Member Financial Institution (27) Remote Stored Value Load – Merchant
6 (28) PYMT SVC Prov – Money Transfer for a Purchase
(29) PYMT SVC Prov – Member Financial Institution – PYMT Tran (30) PYMT SVC Prov – Merchant – PYMT Tran
§1.3.2 Adherence to Purchase Policy
3CE purchasing policies may not be circumvented when using the Purchase Card. 7 1.4

HOW TO OBTAIN A PURCHASE CARD
§1.4.1 Who should sign up?
Departments that process a large number of Purchase Orders (PO) annually should consider signing up. PO transactions are costly to process and usually take longer to pay the supplier. Some suppliers do not accept PO’s. When this happens, 3CE buyers have to search for other suppliers who will accept PO’s, and the item purchased may eventually cost the agency more. §1.4.2 What do we have to do to obtain a card?
Contact Finance
Departments wishing to participate in the Purchase Card program should contact the 3CE Program Coordinator in Finance. The Program Coordinator will provide information about the program to guide you through the sign-up process.

Identify Cardholders and Associated Personnel
Each department will need to identify their individual Cardholders. The typical Cardholders will be those individuals who handle most of the purchasing duties for your department.

Each Unit will also need to identify
 A Department Program Administrator (someone who will be responsible for the program in your department)
 A Department Approving Official (someone to monitor the Cardholder transactions) §1.4.3 Card Issuance
The Purchase Card is issued to the Cardholder for use by that person only. Cards cannot be issued as Departmental, Unit or Divisional cards. The Purchase Card is to be used only by the Cardholder while on official agency business. No other staff member, family member, supervisor or person may use this card.
8 1.5

USING THE PURCHASE CARD
§1.5.1 Definition
The Purchase Card (P-Card) may be used for any purchase normally done with a Blanket Purchase Order. The following lists describe some types of permitted purchases using the P-Card and some types of prohibited purchases.

Violation of the authorized use of the P-Card by the Cardholder may result in disciplinary action and loss of card privileges.

Permitted Purchases Prohibited Purchases
Equipment, parts, materials and supplies for
maintenance and repair that were once
established on a Blanket Purchase Order
Personal items, gifts, cards, flowers,
donations, decorations, and alcohol
Items required in the field Fixed Assets
Books, periodical publications, and
subscriptions
Room service, movies, etc.

Office supplies Purchase of employee’s meals when per diem is issued or to be issued.

Food and related supplies for bona fide
business meetings with agendas
Purchase of firearms, liquor, or tobacco
Airline Travel Rental or lease of land or buildings
Hotel Lodging Lease or purchase of fixed asset equipment Vehicle rental Purchases that require other departmental signature, e.g., computer hardware, computer
software, and telephone equipment hooked up
to agency phone system.
9 Emergency repairs to Agency vehicle Cash advances
Airport parking Personal services
Departmental supplies As determined by departmental policy Tolls
Online/Offsite Training
Each department, with the approval of the 3CE Program Coordinator will determine the types of products authorized for purchase with the P-Card and the dollar limits for each Cardholder before cards are issued to the user. Operational need determines the types of purchases for each individual user and may vary by department.
§1.5.2 Cardholder Responsibilities
(1) Only the Cardholder may use the Purchase Card assigned to them to make purchases. (2) The Cardholder may not give his/her card to another employee and have that employee purchase the item.
(3) The employee named on the Purchase Card is the only person authorized to purchase items and process transactions using that Purchase Card.

The Cardholder locates a supplier who has the required items and places an order for the items by any of the following methods:
a) In person,
b) By telephone,
c) By E-Mail (do not email card number), or
d) By Mail
(4) On all telephone orders, the Cardholder must obtain a confirmation number at the time the order is placed.
(5) The Cardholder must obtain an itemized listing of all items purchased at the time of purchase.

If the sales draft does not itemize the items purchased, the Cardholder must obtain the 10 information from the supplier on a separate, itemized sales receipt at the time of purchase. This is also true for telephone, E-mail, or mail orders.
(6) The itemized sales draft, charge slip or priced out packing slip must include the following:
a) Description of items purchased,
b) Quantities purchased and price per item,
c) Total dollar amount of the transaction,
d) Total amount of sales tax, if any,
e) Total amount of shipping charges, freight, or other applicable charges, if any, f) Date of transaction,
g) Name of Cardholder and/or credit card number, and
h) Name of merchant and the merchant’s identification number. (7) The Cardholder must verify that the charges on the sales draft equal the sales receipt before signing the sale draft. The items received must also be compared to the items listed on the sales draft.
(8) The Cardholder keeps the Cardholder’s copy of the sales draft and obtains a sales receipt from the merchant.
(9) Purchase Card purchases, returns or refunds should be logged on the Purchase Card Daily Log.

This log allows Cardholders to chronologically record Cardholder transactions and is used to reconcile monthly statements.
§1.5.3 Documenting Your Purchase Card Purchases
Cardholders will maintain a Purchase Card Daily Log. Separate logs may be maintained for each Purchase card. For each page of the log, the following information will be entered:
a) Your name exactly as it appears on the Purchase Card. b) Your work telephone number.
c) The last 4 digits of your Purchase Card account number. d) The Central Coast Community Energy Budget Number for which the Purchase Card has been assigned.
11 e) The Central Coast Community Energy Department Number for which the Purchase Card has been assigned.
f) The date of each transaction.
g) The name of the vendor from whom each purchase was made. h) A concise description of each item purchased and the purpose (i.e., office supplies for Monterey Office).
i) For telephone orders only, enter the confirm/tracking # of the order. j) The appropriate Central Coast Community Energy Object Code (Expenditure) for the purchase.
k) Enter the Central Coast Community Energy Reporting Category if applicable. §1.5.4 Restrictions
Cardholders are subject to, and must adhere to, all 3CE Purchase policies and procedures as outlined within the State and Federal Purchasing Codes, and 3CE Policies. The Purchase Card is to be used for “Official Use Only.” Intentional use of the Purchase Card for anything other than “official” Agency business will be considered as an attempt to commit fraud against the agency. Proof of such fraud may result in immediate cancellation of Purchase Card privileges and the Agency may initiate other disciplinary actions. The Purchase Card may not be used for any personal purchases. §1.5.5 Splitting Purchases
Purchases made using the Purchase Card may not be split to circumvent Purchase policy. §1.5.6 Purchasing Methods
Cardholders may use the Purchase Card to purchase goods in person, through website, by telephone, by E-Mail or by mail. The Purchase Card may be used at any business establishment that accepts cards for payment.
§1.5.7 Local Purchases
A Cardholder that is out in the field may purchase parts or supplies from a local supplier rather than spend the time driving across town to the supplier on contract. These special types of purchases must be documented on the “Purchase Card Daily Logs.”
§1.5.8 Personal Credit/Background Investigations
Neither Central Coast Community Energy nor the card issuer will conduct a personal credit or background investigation of past credit history for those individuals selected as Cardholders.

Purchase Cards are issued based on the full faith and credit of Central Coast Community Energy. 12 §1.5.9 Card Appearance
The Central Coast Community Energy Purchase Card is a standard credit card. The card has the Cardholder’s name embossed on it. It has been designed to avoid confusing it with other personal credit cards.
§1.5.10 Issuer Monitoring
The card issuer is authorized to monitor the Agency’s usage of the Purchase Card and will not permit purchases to exceed the established limits. The issuer will verify that commodity purchased is permitted.
§1.5.11 Travel Policy
Visit the 3CE website to obtain and review the Travel Policy. §1.5.12 Replacing or Returning the Purchase Card
(1) Lost or stolen cards
The Cardholder must immediately report a lost or stolen Purchase Card. The Cardholder must also submit a memo to the 3CE Department Program Coordinator Contact when the loss is discovered. The 3CE Department Program Coordinator will forward the memo documenting the lost credit card to the Agency’s Program Coordinator.
(2) Worn or Defective Cards
If a P-Card becomes worn, defective or otherwise needs replacement, the Cardholder will request a replacement card through 3CE Program Coordinator. (3) Termination or Reassignment of the Cardholder
Upon termination of 3CE employment or upon transfer to another department, the Cardholder will immediately return their card to the 3CE Program Coordinator. §1.5.13 Revocation of Privileges
Purchase Credit Card privileges can be revoked at any time if a Cardholder misuses the Purchase Card as defined in this documentation.
13 2

BILLING AND ORGANIZATIONAL REPONSIBILITIES
§2.1.1 Monthly Billing Statements
Each month, the card issuer mails billing statements to the Cardholder and a billing account summary to the Approver.

Departments must process the monthly credit card invoices promptly to ensure input in the 3CE financial and accounting system. When the monthly “Cardholder Statement of Account” is received, the Cardholder must reconcile the statement with Purchase Card Daily Log(s) following the directions below.

Upon receipt of the statement of account, each Cardholder must review the statement to ensure all transactions are correct and that all charges are valid. Purchase Card Daily Logs must be reconciled and signed at this time. Once this review is completed, the Cardholder must sign the statement of account and forward the original statement of account, Purchase Card Daily Log and forward the statement of accounts, the Purchase Card Daily Logs, Sales Use Tax Log, and all original supporting documentation.

The Department Approver will review the Cardholder statements for accuracy and for adherence to 3CE purchasing and Purchase Card guidelines. If all Cardholder statements are correct, the Approver will sign the Purchase Card Daily Log and forward the statement of accounts, the Purchase Card Daily Logs and supporting documentation to the 3CE Finance Program Coordinator.

Any irregular transactions should be referred to the Cardholder for corrective action. §2.1.2 Late Fees
The card issuer charges a late fee for all statements not paid within 40 days of billing date. To avoid a late charge 3CE must meet established payment deadlines. 14 2.2
Disputed and Returned Items
§2.2.1 Disputed charges
Cardholders will compare the monthly Cardholder statement to their supporting sales documentation (receipts or the customer copy of sales drafts) for each transaction on the statement.

Any differences must be resolved by completing the card issuer required process.

To return a disputed charge or improperly charged item, the P-Card holder will work with 3CE Finance and submit the dispute with all supporting documentation (copies of sales drafts, credit slips, etc.). The Cardholder must sign this form.
15 2.3
Organizational Responsibility
§2.3.1 JP Morgan/Chase (Level One)
JP Morgan/Chase is the contractor that currently provides Purchase Cards to selected Cardholders.

Each month, JP Morgan/Chase will provide each Cardholder with an itemized statement of charges.

Each Approver receives a summary statement of all Cardholder transactions for their unit. JP Morgan/Chase also monitors Cardholder activity as well as established Cardholder limits. JP Morgan/Chase will also provide special account activity reports upon request. §2.3.2 Central Coast Community Energy (Level Two)
Acts as a liaison between the 3CE Employees and JP Morgan/Chase Orders and secures all un-issued Purchase Cards
Develops agency wide policies and procedures.

Provides training for Cardholders, managers, and accounting staff Maintains Cardholder limits and merchant codes available for use The Program Coordinator assists departments to resolve conflicts between the Cardholder and card issuer or suppliers that may arise from the use of Purchase Cards. Departments will exhaust all efforts to resolve differences at the Cardholder and Approver level prior to involving the Program Coordinator
3CE Finance pays JP Morgan/Chase after verifying that the department’s reconciled and authorized claim for payment equals the amounts shown on the monthly statements less any credits. They also perform frequent compliance audits and assist in monitoring the program §2.3.3 Approver (Level Three)
The Approver(s) should be a supervisor(s) who has a direct working relationship with the Cardholders(s). The Approver should be at a director level position or higher and cannot act as an Approver for their own purchases. This person is responsible for:

Accumulating the Cardholder copies of sales drafts, charge slips, Purchase Card Daily Logs, and any other supporting documentation.

Assisting the Cardholder in reconciling sales drafts and charge slips to the monthly billing statement.

Preparing the monthly payment authorization with program accounting and processing Purchase Card transaction information into the Agency’s financial and accounting system. 16 The Approver may complete all accounting documents for the Cardholders at their location.

However, both the Cardholder and the Approver must attest that all charges on the monthly billing statement are allowable purchases based on 3CE policy. The monthly statement for each Cardholder, along with all supporting documents, should be forwarded to the Program Coordinator for appropriate approval.
§2.3.4 Cardholder (Level Four)
The Cardholder is responsible for ensuring the Purchase Card is used in accordance with all 3CE purchasing regulations, policies, and procedures. The Cardholder is also responsible for the physical security of the card. Cardholder original copies of sales drafts, Purchase Card Daily Logs and supporting documentation must be forwarded to the Cardholder’s Approver during the first week of the following month. The Cardholder must verify and confirm all purchases recorded on the monthly statement.

Staff Report Item 18
TO: 3CE Operations Board of Directors
FROM: Robert M. Shaw, Chief Executive Officer
PREPARED BY: Dewayne Woods
SUBJECT: It is recommended that the Operations Board of Directors review, approve, and adopt an updated Central Coast Community Energy (3CE) Travel Policy- Financial Policy 9 (FP9) with an effective date of September 1, 2023
DATE: August 9, 2023
RECOMMENDATION:

It is recommended that the Operations Board of Directors review, approve, and adopt an updated Central Coast Community Energy (3CE) Travel Policy- Financial Policy 9 (FP9).

BACKGROUND:
3CE travel and business expense reimbursement policy applies to all 3CE employees, members of legislative bodies (salaried or not), non 3CE employees (such as contractors who receive travel and/or business expense reimbursements) and volunteers traveling on 3CE business.

DISCUSSION/ANALYSIS:

The purpose of this policy is to establish uniform travel and business expense reimbursement policies, rules and claim procedures for persons authorized to conduct Central Coast Community Energy (3CE) business. This updated Travel Policy seeks to streamline the current policy while implementing several new travel and business reimbursement controls. A few of the major changes are to provide specificity to travel reimbursement rules, establish federal per diem for meal reimbursements, clarify appropriate means of travel regarding transportation and lodging, including rates tied to federal lodging per diem rates. It is anticipated that this update will provide a streamlined claiming procedure while clearly outlining individual responsibilities of 3CE staff.

ATTACHMENT(S):

1. Central Coast Community Energy Travel Policy (FP9) – updated version

2. Central Coast Community Energy Travel Policy (FP9) – old version Revised July 1, 2023
Version 1.1.23
FP9 - TRAVEL POLICY 8-29-
2023.DOCX
Revised July 1, 2023
Version 1.1.23

TABLE OF CONTENTS
Page
I. PURPOSE..................................................................................................................................... 1 II. SCOPE.......................................................................................................................................... 1 III. DEFINITIONS ............................................................................................................................................ 1 IV. AUTHORIZATION TO TRAVEL............................................................................................................... 3 A. General Conditions.................................................................................................................. 3 B. In-3CE Jurisdiction Travel....................................................................................................... 3 C. Out-of-3CE Jurisdiction Travel................................................................................................ 3 D. Travel Requests........................................................................................................................ 4 V. TRAVEL EXPENSES .................................................................................................................. 4 A. General Conditions.................................................................................................................. 4 B. Transportation Expenses.......................................................................................................... 5 C. Meal Expenses ....................................................................................................................... 10 D. Lodging Expenses................................................................................................................. 12 E. Registration Fees................................................................................................................... 13 F. Other Travel Expenses............................................................................................................ 14 VII. CLAIMING PROCEDURES FOR 3CE TRAVEL.................................................................................. 14 A. Travel Advance Claims.......................................................................................................... 14 B. Prepaid Vendor Claims........................................................................................................... 16 C. Travel Reimbursement Claims............................................................................................... 17 D. Mileage Claims...................................................................................................................... 18 E. Reimbursement by Outside Source ........................................................................................ 18 F. Late Claims............................................................................................................................. 18 G. Travel Card Use ..................................................................................................................... 18 VII. INTERPRETATIONS .............................................................................................................................. 19 VIII. EXCEPTIONS........................................................................................................................................ 19 IX. CONFLICT WITH RULES....................................................................................................................... 19 3CE Travel Policy Page 1 Revised June 1, 2023
I. PURPOSE
The purpose of this policy is to establish uniform travel and business expense reimbursement policies, rules and claim procedures for persons authorized to conduct Central Coast Community Energy (3CE) business.

II. SCOPE
3CE travel and business expense reimbursement policy apply to all 3CE employees, members of legislative bodies (salaried or not), non 3CE employees (such as contractors who receive travel and/or business expense reimbursements) and volunteers traveling on 3CE business.

III. DEFINITIONS
Unless the context otherwise requires, the definitions contained in this part govern the construction of this policy. They do not necessarily apply in other 3CE contexts.

A. Accountable Expense Reimbursement Plan

Reimbursements of travel and other business expenses to a 3CE employee, contractor or volunteer will be considered to be made under an “Accountable Expense Reimbursement Plan” if the following three requirements are met:
• The person substantiates his or her expenses by submitting an expense report with 1) the amount of the expenditure,
2) the time and place of the travel or business entertainment, 3) the business purpose of the expenditure, and
4) the names and business relationship of any persons entertained. • The person documents the expenses with supporting receipts, paid bills, etc. within 60 days after the expense is paid or incurred, and
• Excess advances, if any, are repaid to 3CE within 120 days after the expense is paid or incurred.
"3CE" means the Central Coast Community Energy agency.

B. 3CE Business
"3CE business" means the activity directly related to the ordinary, necessary and/or required business functions of 3CE. It does not include travel or expenses related to an employee’s participation in any other 3CE’s employee benefit program or commuting expenses (a non-reimbursable expense).
3CE Travel Policy Page 2 Revised June 1, 2023
C. 3CE Officer (Officer)
The following positions are defined as Officers: Chief Executive Officer, Chief Financial Officer, Chief Operations Officer, and Chief Communications Officer.

D. 3CE Employee
"3CE employee" means any 3CE officer or employee, whether elected or appointed, filling a budgeted position approved by the Policy Board. Independent contractors and their employees are not 3CE employees.

E. 3CE Traveler
"3CE traveler" means any 3CE employee, authorized non-3CE employee (such as a contractor) or volunteer traveling on 3CE business. Agency temporary employees are not covered by this policy and are not reimbursable for travel.

F. 3CE Volunteer
"3CE volunteer" means a person, other than a 3CE employee, who performs volunteer work authorized by a department or the Policy Board for 3CE, such as a department volunteer, a commissioner or a member of an interview panel. It does not include agency temps working for 3CE.

G. Home
"Home" means the actual dwelling place of a 3CE traveler without regard to any other legal or mailing address.

H. Main or Regular Place of Work
"Main or regular place of work" means the principal place of business for 3CE employee or the principal location to which 3CE volunteer/contractor is assigned to work for 3CE.

This may be the place at which s/he spends the largest portion of his/her regular 3CE workday or working time or, in the case of remote workers, the assigned location/headquarters to which s/he returns upon completion of regular or special assignments.

I. Meals
Meals that are 1) directly related or associated with bona fide 3CE business matters and 2) approved for reimbursement by the Chief Executive Officer (or his/her designee) will be considered a reimbursable 3CE business expense, if incurred in connection with 3CE business travel or while conducting 3CE business.
3CE Travel Policy Page 3 Revised June 1, 2023
J. Temporary Work Location
"Temporary work location" means the place where a 3CE employee, volunteer or contractor is assigned on an irregular or short-term basis. If an employee is assigned to a work location for no more than 35 workdays during a calendar year, then the location is considered temporary. Attending conferences, meetings or training sessions away from the main or regular place of work by 3CE employees or volunteers, or conducting fieldwork at off-site locations, does not normally constitute assignment to another site.

If the employee is assigned for more than 35 workdays during the calendar year, the new location has become the main or regular place of work.

K. Vehicle
"Vehicle" means a motor vehicle, which can be legally operated on public highways.

IV. AUTHORIZATION TO TRAVEL
A. General Conditions

1. Travel will be authorized only when the travel is necessary and in the best interest of 3CE.

2. Advance authorization is required for all 3CE travel, as operationally specified by the Chief Executive Officer (CEO).

B. In-3CE Jurisdiction Travel
3CE employees are authorized to travel within 3CE jurisdiction when said travel is required by the agency and is considered a part of the routine, day-to-day official duties of the employee as defined and authorized by an Agency Officer or his/her designee. All other in-3CE travel requires advance authorization by the Agency Officer or his/her designee.

C. Out-of-3CE Jurisdiction Travel

1. All travel outside of 3CE, but within the State of California, requires advance authorization by an Agency Officer, or his/her designee. Travel by a member of the Policy Board or Operations Board requires the advance authorization of the CEO.

2. All travel outside of the State of California requires advance written authorization by the CEO, or his/her designee. Travel by a member of the Policy Board or Operations Board requires the advance authorization of the CEO.
3CE Travel Policy Page 4 Revised June 1, 2023
D. Travel Requests
Travel requests that require Officer authorization shall be submitted to the Officer pursuant to department policy. If the traveler is requesting a travel advance, an approved "3CE Travel Request" form shall be completed and forwarded to the Chief Financial Officer or designee.

V. TRAVEL EXPENSES
A. General Conditions

1. 3CE travelers are entitled to submit a claim for actual and necessary expenses for transportation, meals, lodging, and incidentals for authorized travel, subject to the conditions set forth in this Travel and Business Expense Reimbursement Policy (“Policy”), whenever the expenses are incurred as part of his/her official duties and authorized because 3CE traveler is required to work, attend a school, training, meeting or convention overnight at a location sufficiently distant from main or regular place of work to qualify under this policy for meal per diem and overnight lodging.

The Remote/Telecommute Policy has jurisdiction over any travel related expenses in connection with travel to 3CE headquarters.

2. Notwithstanding Section 1 above, claims shall be paid subject to the rules set forth in this Policy and statutory law. Eligibility to submit a claim does not automatically entitle the claimant to reimbursement for any and all expenses.

3. 3CE travelers receiving reimbursement from an outside source for travel on 3CE time shall forward said reimbursement to 3CE Chief Financial Officer for handling and deposit if the traveler intends to submit an expense claim to 3CE or use 3CE resources to travel. Said travelers shall then be entitled to submit a claim for actual and necessary expenses for transportation, meals, lodging, and incidentals, subject to the conditions set forth in this travel policy.

4. Arrangements for transportation, lodging or registration fees that have cancellation or change penalties shall be carefully monitored by the department. If cancellation/change occurs due to direction by 3CE traveler's Officer, or his/her designee, or 3CE CEO, 3CE department will cover the penalty cost. If the cancellation/change occurs due to a traveler's personal request or obligations, the traveler will be required to pay the penalty. Exceptions shall be made when a traveler is unable to travel because of hospitalization, serious sickness or death of an immediate family member or when an Officer certifies that the reason for the employee's absence was legitimate and authorized.
3CE Travel Policy Page 5 Revised June 1, 2023
B. Transportation Expenses

1. General Conditions
a) Transportation expenses are the direct costs related to movement of 3CE traveler from authorized point of departure to destination of travel and back to the authorized point of return.
b) All transportation expenses incurred shall be based upon the most efficient, direct, and economical mode of transportation required by the occasion. c) Whenever a time frame is established as criteria for eligibility for claiming, such as the requirements set forth for meals, estimated travel time shall be based upon legal vehicle speed limits, volume of traffic, and weather conditions in effect at the time of travel.

2. Vehicle Transportation
Vehicle use (both 3CE-owned and private) by authorized 3CE travelers during the conduct of official 3CE business is subject to 3CE Vehicle Use Policy. a) Private Vehicle
(1) Travel by private vehicle will be reimbursed at the IRS rate for business use of a personal vehicle in effect at the time of travel.

(2) Authorized 3CE travelers who travel in a vehicle other than their own may not claim mileage for business use of a private vehicle but may claim reimbursement of actual fuel expenses necessary for the trip and expended by the traveler. Receipts are required and should be claimed by the employee actually paying the expense.
(3) Authorized 3CE travelers may not claim mileage for business use of a private vehicle in the following instances:
(a) when 3CE traveler is riding with someone who will be claiming reimbursement for the vehicle's use from 3CE or another source; (b) when 3CE traveler is traveling in a 3CE or other government agency vehicle;
(c) when 3CE traveler is traveling in a rented vehicle (paid by 3CE); 3CE Travel Policy Page 6 Revised June 1, 2023
(d) when 3CE traveler has been assigned a 3CE Vehicle for home retention, is receiving an allowance or lump sum for mileage, unless specifically provided for in the terms of their agreement or contract with 3CE or by Policy Board resolution.
(4) 3CE employee mileage to the regular or main place of work from home, and back, is considered commuting and may not be claimed.
(5) 3CE employee mileage to the temporary work location from home, and back, is considered commuting and may not be claimed except in the following cases:
(a) if 3CE employee is required to report to the regular or main place of work before reporting to the temporary work location, s/he is eligible for mileage from the regular or main place of work to the temporary work location;
(b) if 3CE employee is required to report to the regular or main place of work after working at the temporary work location and before going home, s/he is eligible for mileage from the temporary work location to the regular or main place of work.
(6) Mileage in conjunction with authorized 3CE travel to and from a school, training, convention or meeting shall be based on the distance to the destination from the traveler's home or the regular or main place of work, whichever is less, except in the following cases:
(a) if the traveler is required to report to his/her work location before leaving, s/he is eligible for mileage to the school, training, convention/meeting from the work location.
(b) if the traveler is required to report to his/her work location before returning home, s/he is eligible for mileage based on the distance from the school, training, convention/meeting to the work location. (7) Members of personnel interview panels may claim mileage to the panel location from their regular or main place of work, and back. (8) When two or more 3CE travelers from the same department are traveling to the same site by vehicle, they should use only as many vehicles as are required to accommodate the number of travelers and business needs of 3CE. If a 3CE traveler chooses to use a separate private vehicle because of personal preferences or obligations, h/she shall not be eligible for mileage 3CE Travel Policy Page 7 Revised June 1, 2023
or fuel reimbursement for the travel unless the CEO determines that reimbursement is appropriate and justified.
(9) If a 3CE traveler chooses to use a private vehicle instead of an alternative mode of transportation chosen by the CEO or designee because of personal preferences or obligations, his/her mileage reimbursement shall not exceed the cost of using the alternative mode of transportation unless the CEO or designee determines that the additional reimbursement is appropriate and justified.

b) 3CE Vehicle Transportation
(1) 3CE travelers using a 3CE vehicle for traveling shall not be eligible for reimbursement for mileage.
(2) 3CE travelers required to fuel a 3CE vehicle at their own expense should claim the actual fuel costs expended by them. Receipts must accompany the claim. Vehicle license number and the odometer reading should be written on the receipts.
c) Rental Vehicle Transportation
(1) Vehicles may be rented for transportation at the destination point when 3CE traveler travels to the destination via commercial common carrier and the cost of the rental will be less than the charge for shuttle or taxi service to and from the carrier termination point to the function or hotel accommodations.
(2) Vehicles may be rented for transportation to the destination point when the cost of the rental will be less than other reasonable and available modes of transportation.
(3) If more than one 3CE traveler from the same department is traveling to the same function, only one rental vehicle may be claimed and then only if it is available for use by all of 3CE travelers, unless authorized by the CEO. (4) 3CE traveler shall choose the least expensive size and mileage limits appropriate to the use required. Rental expenses for luxury cars, motorcycles and recreational vehicles may not be claimed. (5) Rental cars shall be refueled prior to return to the rental agency to reduce cost to 3CE. Rental cars should be returned to the renting location and on time to avoid additional charges.
3CE Travel Policy Page 8 Revised June 1, 2023
(6) When traveling domestically 3CE traveler shall waive additional vehicle insurance (except for additional driver and coverage for drivers under 25 years of age), provided that the employee has his/her own vehicle insurance coverage. When traveling internationally additional insurance should be accepted if the traveler lacks other similar coverage.
(7) An original car rental receipt showing the number of days and type of vehicle rented is required for vehicle rental claims. A copy of the receipt or a credit card receipt alone is insufficient.
d) Commercial Carrier Transportation
(1) 3CE travelers shall seek and attempt to use the lowest rates available for the type of commercial carrier service being utilized. Whenever possible, travelers should take advantage of flight arrangements that minimize 3CE cost (for example, purchasing a round trip ticket may be less expensive than two one-way tickets). Reservations should be made as far in advance as possible to take advantage of available discounts and special offers. Travel agents that have added ticket handling charges should be avoided. (2) Claims for travel via commercial carrier shall be limited to the cost of travel at economy rates for the same day and time of travel or actual cost, whichever is less. 3CE travelers may upgrade tickets, provided that the traveler and not 3CE pay for the difference in cost for such upgrade. 3CE will not reimburse any type of travel insurance unless an Officer requests the traveler to purchase cancellation coverage. Reasonable baggage charges, if imposed by the airline, on the first checked bag are reimbursable. (3) Claims for commercial carrier tickets shall be substantiated by an original ticket document (such as an e-ticket or passenger receipt ticket copy) showing the price, date, date/time of travel and class of travel. A copy of the credit card receipt or statement from a travel agency alone is insufficient. (4) 3CE business traveler may retain frequent flyer/hotel rewards and similar program benefits. However, participation in these programs must not influence flight/hotel/etc. selection, which would result in incremental cost to 3CE beyond the lowest available airfare/hotel cost unless the difference is paid by the traveler. Free tickets or cash allowances for volunteering to be denied timely boarding may be retained by the traveler but no additional cost to 3CE or interruption of 3CE work is allowed and any additional time required to complete the trip is to be personal time.
3CE Travel Policy Page 9 Revised June 1, 2023
(5) Should a Saturday night stay reduce the cost to 3CE of a ticket more than the total of any additional hotel/meal/parking cost, the costs to do so are reimbursable to the traveler but should be well-documented with a clear savings to 3CE.
e) Private Aircraft Transportation
(1) Traveling by private aircraft which is flown by a 3CE employee may be authorized if it will be the most efficient means of travel and the flight is incidental to the purpose of 3CE travel. Said use shall require the advance written approval of 3CE CEO. If approved, the following must be provided to the Chief Financial Officer in advance of the travel:

(a) a copy of the pilot's Federal Aviation Administration (FAA) pilot's certificate and instrument rating for the category and class of aircraft to be flown and the type of flying to be performed;
(b) a copy of the pilot's current medical certificate;
(c) a copy of the FAA Pilot Proficiency Award Program certificate issued to the pilot within the twelve months prior to the flight; (d) a copy of the pilot's flight log showing a minimum of 250 hours of flight time within the twelve months prior to the flight; (e) a certificate of public liability and property damage insurance of not less than $1,000,000 naming 3CE as an additional insured. (2) Traveling by private aircraft, which is flown by a non-3CE employee is normally prohibited.
(3) 3CE travelers who operate a private aircraft in connection with approved 3CE travel may be reimbursed the actual cost paid by the traveler for fuel used by the aircraft on the trip or 3CE's mileage rate for each air mile at the travelers option.
f) Other Transportation Expenses
(1) The following necessary transportation expenses may be claimed at actual cost (receipt required) when directly related to transporting 3CE traveler to and from the business destination point:
(a) taxi (including uber, lift, etc), shuttle, or public transit fares; 3CE Travel Policy Page 10 Revised June 1, 2023
(b) parking fees (airport long-term parking is required for travel exceeding 24 hours);
(c) bridge, road or ferry tolls;
(d) other actual transportation expenses determined to be reasonable and necessary by the CEO or CFO.
(2) The following transportation expenses may not be claimed:
(a) traffic and parking violations;
(b) emergency repairs or non-emergency repairs on non-3CE vehicles;
(c) personal travel while at an out-of-3CE location;
(d) other actual transportation expenses determined to be unreasonable or unnecessary by the CEO or CFO.

C. Meal Expenses

1. Eligibility for Meals
a) 3CE employees, board members and volunteers may be reimbursed for in-3CE jurisdiction meal costs that are 1) ordinary (not extravagant) and necessary, 2) directly related or associated with bona fide 3CE business matters and 3) approved by CEO or an Officer. 3CE business discussions associated with a meal must be conducted in a “clear business setting”.
b) 3CE travelers involved with in-3CE jurisdiction travel that does not require an overnight stay away from their home are not eligible to claim for meals unless the requirements of paragraph a) above are met, or unless authorized by the CEO. c) 3CE travelers on out-of-3CE jurisdiction business travel that requires an overnight stay away from their home are eligible to claim for meals. d) Snacks are a personal expense, not reimbursable.
e) Claims for meals purchased by a 3CE employee or volunteer on behalf of federal, state or local public officials or employees is prohibited, including any other 3CE employees, unless provided for under other written 3CE policies, or authorized by the CEO.
3CE Travel Policy Page 11 Revised June 1, 2023
f) 3CE travelers are not eligible to claim meals or other expenses for those persons who are not otherwise eligible to file a claim themselves for 3CE reimbursement. g) 3CE travelers are not eligible to keep or claim per diem allowances for anyone other than themselves.

2. Meal Claims
a) 3CE maximum full day meal and incidental expenses rate shall be equal to the maximum federal per diem meal and incidental expenses (M&IE) rate established by the GSA. Said maximums include taxes and gratuities. b) Meal expense amounts shall be calculated by the CFO for first and last partial days of travel based on the maximum federal per diem meal rate for the appropriate meal(s).
c) Claims for out-of-3CE Jurisdiction meals taken in conjunction with travel that includes an overnight stay away from the traveler's home shall be reimbursed in the form of a "per diem allowance", which means the traveler is eligible to be reimbursed at the maximum rate allowed and receipts are not required (except for Board Members). Partial days shall be reimbursed at the appropriate meal rate. d) Allowable meal costs may only exceed the prescribed per diem rates if the meal is being served at a conference or workshop and the costs of the speaker, conference, and/or registration are included in the price. The agenda/brochure or other documentation describing the event and the price must accompany the claim to the CFO.
e) A 3CE traveler may not claim a per diem allowance or reimbursement for any meal which is provided, or otherwise available, to 3CE traveler with the lodging or function, whether or not there is an actual charge for the meal. For example, if lunch is provided at the function or full breakfast is included in the cost of lodging, the traveler may not claim a per diem allowance or request reimbursement for eating elsewhere. For purposes of this section, continental breakfast and meals provided during airline or other commercial carrier travel do not constitute provided meals and do not need to be deducted from the per diem allowance. A 3CE traveler may not claim a per diem allowance for a meal that was paid for by someone else.
f) If a full breakfast is included in the cost of lodging, the traveler may not claim for a breakfast meal; however, s/he may apply the next day's breakfast allowance amount towards the maximum lodging amount. For example, if the maximum lodging amount is $79.00 and the breakfast allowance is $8.00, the employee may claim up to a maximum of $87.00 for lodging which includes a continental 3CE Travel Policy Page 12 Revised June 1, 2023
breakfast. (For purposes of this section, continental breakfast does not constitute a provided breakfast meal.)
g) Claiming for alcoholic beverage expenses are prohibited in all cases.

D. Lodging Expenses

1. Eligibility for Lodging
a) For 3CE business that is conducted on one business day, if 3CE traveler’s actual time for the day is estimated to equal or exceed 10 hours (including work time, the lunch period and round-trip travel time), then 3CE traveler will have the option of securing one night’s lodging at either the front-end or back-end of the trip.

Illustration: A 3CE employee who resides in Monterey is required to attend a one-day business meeting in Sacramento. The employee estimates that their total time for the day without obtaining lodging would be 14 hours (8 hours of meetings, 1 hour for lunch and 5 hours for round-trip travel). The employee will have the option of securing one night’s lodging in Sacramento, either the night before the meeting, or after conclusion of the meeting.
b) For 3CE business that requires multiple business days, if 3CE travelers are eligible to claim lodging for the first and last evenings of a 3CE trip, they are also eligible to claim lodging for any evenings that fall in between the first and last evenings of the trip.
c) 3CE travelers are not eligible to claim reimbursement of lodging costs when staying overnight as a guest of friends or relatives.

2. Lodging Claims
a) Lodging expenses shall be claimed at either the actual cost of the lodging (limited to the single occupancy rate for a single room) or 3CE's maximum lodging rate (Federal Per Diem Rate), whichever is less. Receipts are required. Taxes are in addition to the Federal Per Diem Rate. The CEO may authorize reimbursement over the Federal Per Diem Rate on a case-by-case basis. b) Lodging costs may exceed 3CE's maximum lodging rate only when a conference, meeting or convention is being sponsored by an organization of which 3CE, the department or employee is a member, the lodging may be claimed at the actual cost if seminars or meetings are to be held at the particular hotel and/or events are scheduled for evening hours, and an Officer has given advance written authorization.
3CE Travel Policy Page 13 Revised June 1, 2023
c) An original room folio receipt, showing the number of days is required for lodging claims. A copy of the receipt, travel agency statement or a credit card receipt alone is insufficient.

d) When a room is shared with a fellow 3CE traveler, the expense may either be prorated, and the prorated amount claimed by each 3CE traveler, or one 3CE traveler may claim the total expense at the multiple occupancy rate. e) When a room is shared with a person other than a 3CE traveler and said person will also be claiming reimbursement from 3CE or another source, the amount shall be prorated between the two travelers.
f) Lodging expense may not be claimed for guests of 3CE traveler. Where expense for a family member or friend is included in the receipt, the claim must not exceed the single occupancy rate.
g) Special lodging, such as accommodation in apartments, RV parks, campgrounds or other semi-permanent lodgings, shall require advance written authorization of 3CE CEO.
h) Except when registering for lodging at a pre-arranged group rate in conjunction with a conference or meeting, 3CE travelers shall request the government rate or lowest available eligible rate when making lodging arrangements. i) Travelers are responsible for canceling hotel rooms before the cancellation period ends and should record the cancellation number in case of disputes. Travelers will not be reimbursed for “no-show” hotel charges unless there are unavoidable reasons for not canceling the room.
j) When multiple 3CE travelers are traveling together and the rooms are put on one invoice, one traveler may take care of the invoice but should provide the details on who stayed in each room on the invoice.

E. Registration Fees
Conference, convention and seminar registration and tuition fees may be claimed at the actual cost, provided that the agenda/brochure or other documentation describing the event, including the price, accompanies the approved claim to the CFO. 3CE Travel Policy Page 14 Revised June 1, 2023
F. Other Travel Expenses

1. 3CE travelers are eligible to claim a per diem incidental allowance, limited to the maximum federal per diem incidental rate established by the IRS, for each day of travel requiring an overnight stay away from the traveler's home. Said allowance covers fees and gratuities for persons who provide services, such as food servers and luggage handlers, and does not require receipts. If applicable, gratuities are limited to not exceed 15% of the service costs unless billed by a provider’s standard policy at a higher rate.

2. 3CE travelers are eligible to claim the following expenses at actual cost, even if they also qualify for a per diem incidental allowance. Receipts are required. a) 3CE business calls (traveler must annotate purpose of call on the bill) b) fax machine charges incurred to send or receive documents for 3CE use. c) copy machine charges incurred to copy documents for 3CE use. d) Internet access connection and/or usage fees away from home not to exceed $15.00 per day, if Internet access is necessary for 3CE related business. e) other business related expenses determined to be reasonable and necessary by the CEO.

VII. CLAIMING PROCEDURES FOR 3CE TRAVEL
A. Travel Advance Claims

1. Authorizations and Eligibility
a) Travel advances are strongly discouraged and are only available to 3CE employees. The issuance of travel advances creates double work for departmental and finance staff and should only be used if a 3CE travel card cannot be used or the employee does not have a personal credit card.

The first choice is for travelers to use their personal credit cards to pay for their travel expenses and be reimbursed before their monthly statement arrives.

Secondly, 3CE has arranged for the use of the Travel Card to pay many travel related expenses. Departments may use their Travel Cards to pay for airline tickets and conference registration expenses for employees who have not been 3CE Travel Policy Page 15 Revised June 1, 2023
issued a 3CE credit card. Commercial carrier and conference registration expenses should not be considered in the advance calculation. The third choice would be a cash advance, if necessary.
b) Travel advances require the authorization of the department head or his/her designee, and the CFO or his/her designee.
c) The net amount of the travel advance shall not exceed the following:
(1) 85% of the total estimate for the following travel expenses, exclusive of payments made payable directly to the vendor:
(a) lodging (documentation, including at least the confirmation number and hotel name should be provided), including hotel parking (b) rental vehicle transportation;
(c) per diem meal allowances;
(d) long-term airport parking;
(e) other out-of-pocket expenses deemed necessary and reasonable by the CEO.
(2) 50% of the total estimate of reimbursement for mileage for business use of a private vehicle.
d) A travel advance shall not be issued for a net amount less than $100.00 nor more than $2,000.00.
e) A travel advance shall not be issued more than thirty (30) calendar days in advance of the commencement of travel.
f) Travelers are not eligible for an additional travel advance if they have an unsettled advance, unless the advances are for travel taken consecutively. In such case, the sum total of the travel advances shall not exceed $2,000.00.

2. Travel Advance Requests
a) Requests for travel advances involving travel shall be submitted by the department head to the CFO on a completed and signed "3CE Travel Request" form, accompanied by all documentation relative to the request, at least ten (10) working days in advance of the commencement of travel.
3CE Travel Policy Page 16 Revised June 1, 2023
b) After a completed and approved "3CE Travel Request" form is received by the CFO, a warrant payable to 3CE traveler for the amount requested shall be issued, up to the 100% maximum amount allowed pursuant to this 3CE travel policy.

3. Travel Advance Settlements
a) Within five (5) working days of completion of travel, 3CE traveler shall submit all receipts for allowable travel expenses to the Department and within fifteen (15) working days of completion of travel to the CFO on a completed 3CE claim form.

Credit for the travel advance shall be subtracted from the amount owed to 3CE traveler.
b) In the event that allowable expenses are less than the amount of the travel advance, 3CE traveler shall submit the difference in the form of a check or money order made out to the "3CE " with the claim form.
c) 3CE travelers who cannot provide a required receipt shall reimburse 3CE for the amount of the money advanced to them for that expense.
d) Travelers who do not submit the required documentation by the time frames set forth above may lose their eligibility for future travel advances. e) Department heads are responsible for ensuring that their employees settle their travel advance claims within the time frames set forth in subsection a) above.

Non-compliance may jeopardize advances for the entire department.

B. Prepaid Vendor Claims

1. Vendor Claim Requests
a) Once travel has been authorized, claims to the vendor may be submitted for lodging and registration fees when there is sufficient time for the check to be processed before the authorized 3CE traveler commences travel. b) If the travel requires a "3CE Travel Request" form, the approved form shall be submitted with the claim. If the original has been submitted with a previous claim, then that shall be noted on the claim form and a copy of the form attached. c) Whenever possible, 3CE shall be named as registrant for events to allow transfer of attendance privilege when conflicts prevent the original registrant from attending.
3CE Travel Policy Page 17 Revised June 1, 2023
d) 3CE will mail the warrant directly to the vendor unless the traveler requests that the warrant be returned to them to hand carry to the vendor.

2. Vendor Claim Settlements
a) Each vendor claim must have an original receipt attached in order to settle the claim. The required receipts for vendor claims that have been prepaid shall be forwarded to the CFO within thirty (30) calendar days after completion of travel. b) Claims paid directly to vendors that are not substantiated by receipts within thirty (30) calendar days of the completion of travel shall be considered to be unsettled travel advances to 3CE traveler.
c) Department heads are responsible for ensuring that their vendors return their receipts within the time frames established by this policy. Non-compliance may jeopardize the department's ability to have travel expenses paid in advance. d) In the event that all or a portion of the prepaid cost to a vendor is reduced after the check has been processed, 3CE traveler is responsible for ensuring that the entire difference is returned to 3CE within the time frames established for settling the claim.

C. Travel Reimbursement Claims

1. After completion of travel, 3CE traveler shall submit a completed 3CE claim form to the department head for authorization. After review and authorization, the department head shall submit the authorized claim, together with any required receipts, to the CFO. Said claim shall be received by the CFO within thirty (30) calendar days of the completion of travel.

2. The traveler shall not be reimbursed until s/he has signed the certification for the claim that is required by the CFO.

3. The CFO shall review the claim for compliance with applicable 3CE policies and procedures. If approved by the CFO, the claim shall be processed and a check sent to the claimant within ten (10) working days. If denied, or denied in part, the department's contact person will be notified immediately. The CEO has the final decision on allowable expenses.

4. No reimbursement for travel shall be paid to the employee until all required receipts for the travel claim has been filed with the CFO.

5. Travel reimbursements are to be paid via checks and not to be paid via petty cash. 3CE Travel Policy Page 18 Revised June 1, 2023
D. Mileage Claims

1. Whenever travel requires advance authorization of the department head, or his/her designee, the resulting mileage expense shall be claimed on the same claim form as the other expenses that apply to that travel.

2. Mileage claims shall be submitted monthly, unless the total for the month is less than $50.00, in which case the claim may be held for an additional month. However, the claim must not be held over to the next month more than twice, regardless of the dollar amount.

3. All mileage claims for the last month of the fiscal year must be processed by year end close.

4. Mileage Claims are to be paid via warrants and not to be paid via petty cash.

E. Reimbursement by Outside Source

1. 3CE travelers receiving reimbursement from an outside source for travel on 3CE time shall forward said reimbursement to the CFO for handling and deposit if the traveler intends to submit an expense claim to 3CE or use 3CE resources, including a 3CE vehicle, to travel. In such cases, the traveler shall then be entitled to submit a claim for actual and necessary expenses for transportation, meals, lodging, and incidentals, subject to the claiming conditions set forth in this travel policy. Said reimbursement shall be delivered to the CFO within thirty (30) days of the receipt of the funds.

2. If a 3CE volunteer or non-employee will be receiving a per diem or other reimbursement of travel expenses from a source outside of 3CE, the volunteer shall not be eligible to claim or receive any additional reimbursement from 3CE for the same expenses.

F. Late Claims
If a claim for reimbursement or settlement of a travel claim is submitted after the allowed time frames, the payment to the employee shall not be made until the claim has been reviewed and approved by the CEO or his/her designee.

G. Travel Card Use
Subject to the rules contained in the Travel Card Policy, travel expenses (airline, hotel, vehicle rental, gas, emergency repair of 3CE vehicles and airport parking) may be charged to 3CE Travel Cards. Prohibited items include room service, movies, cash advances, gift cards of any kind, liquor, tobacco and other items prohibited by the Travel Card Policy. Under no circumstances should personal items (even if reimbursed to 3CE) 3CE Travel Policy Page 19 Revised June 1, 2023
be charged to the travel card. Expenses paid on the travel card should not be included on a claim for reimbursement.

VII. INTERPRETATIONS
The CFO, or his/her designee, shall be responsible for interpretations of this policy.

VIII. EXCEPTIONS
Exceptions to this policy require the approval of the CEO or his/her designee.

IX. CONFLICT WITH RULES
In the event that this 3CE Travel policy is in conflict with another 3CE policy, the policy with the strictest application shall prevail.

1 FP9
Category: FINANCE

TRAVEL AND MEETING REIMBURSEMENTS

STAFF POLICY
I. PURPOSE
To provide standard procedures relative to travel and meeting expenses incurred by employees of Central Coast Community Energy (3CE) in the performance of their duties.

II. SCOPE
All employees of 3CE.

III. DEFINITIONS
“Agency Business” shall mean carrying out the responsibilities and duties of the office or position held by the employee.
“Conference” shall mean an official function or gathering of an industry, research, or professional organization or institution directly related to the responsibilities and duties of the employee.
“Employes” shall mean those individuals who are employed for a salary or wage by MBCP, not including members of the Board of Directors or individuals working under a contract for services unless specifically identified in said contract. “Incidental Expense” shall be any fee or tip given to porters, baggage carriers, hotel housekeeping, or taxi cab drivers.
“Meeting” shall mean any meeting of individuals where Agency Business is discussed. “Personal Business” shall mean the conduct of business or travel not specifically related to Agency Business including, but not limited to, commuting between the Employee’s home and any regular work location.
“Political Function” shall include any activity that is held to support or oppose, or raise money to support or oppose, any candidate, ballot measure, or political party.

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“Written Justification” shall mean an explanation of an expense provided in e-mail, digital or handwritten formats that provide a record.

IV: AUTHORIZATIONS FOR APPROVALS
A. OUT-OF-STATE TRAVEL
The CEO or his/her designee will be required to approve, in advance, all out-of-state travel by MBCP personnel, including members of the Board of Directors, to attend a Conference or a Meeting related to Agency Business at the Agency’s expense. Travel Request Form shall be submitted to and approved by the appropriate department head prior to submittal to the CEO or his/her designee.

B. IN-STATE TRAVEL
All in-state travel involving overnight accommodations shall be approved by the CEO or his/her designee, prior to incurring expenses, when travel is required for the performance of the Employee’s duties and responsibilities to the Agency.

In-state travel not involving overnight accommodations shall be approved by the appropriate department head, prior to incurring expenses, when travel is required for the performance of the Employee’s duties and responsibilities to the Agency.

C. LIMITATIONS
Travel and Meeting expenditures shall not exceed approved budget appropriations and associated fiscal policies established therewith.

Personal Business: MBCP shall not be responsible for any travel associated with Personal Business. If an Employee attends a Conference or Meeting for which reimbursement is claimed that also includes Personal Business, the Employee shall only seek reimbursement for expenses associated with the conduct of Agency Business. The Employee shall disclose, prior to the approval of the travel, the dual nature of any travel and the portion undertaken on behalf of the Agency.

Guests: Regardless of Employee attendance at a Conference or Meeting, expenses for family or guests shall not be incurred, nor reimbursed by MBCP.

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V. REIMBURSABLE EXPENSES
A. ACCOMMODATIONS
Reimbursement for hotel or motel lodging expenses, including applicable taxes, will be based on actual expenditure but shall not exceed the standard room rates at official Conference hotels for single occupancy. Reimbursement for hotel and motel lodging expenses shall cover the days of travel (to and from the Conference or Meeting) as well as the days of the Conference or Meeting. No expenses shall be incurred by MBCP for additional days of stay to conduct Personal Business. Employees shall be responsible for any expenses exceeding the standard room rate for Conferences. In instances where lodging is required for a Meeting, every reasonable effort shall be made to choose the lowest cost lodging alternative.

B. TRANSPORTATION
Travel up to 150 miles one way may be done by private automobile. Reimbursement shall be at the rates prescribed by the Internal Revenue Service (IRS).

When actual mileage exceeds the reasonable distance between origin and destination by 10%, the Employee must justify such excess; otherwise, reimbursement will be made only on the most direct route.

If the Employee does not have access to a private automobile, reimbursement for ride-sharing services, taxi services, automobile rental services, or public transit services, including applicable taxes, will be based on actual expenditures. Reimbursement shall be limited to expenditures that are deemed reasonably essential to transportation to the destination (tickets, standard vehicle, rental insurance, etc.). Reimbursement shall not be issued for luxury vehicle upgrades or for public transit passes lasting longer than the period of travel for Agency Business.

Air travel will be Coach/Economy Class except for flights with any one leg in excess of five hours where Premium/Business Class is allowed.

Airfare and reasonable baggage fees based on the length of the trip for domestic flights shall be reimbursed based on the value of the applicable round-trip airfare to the proposed destination. All efforts should be made to obtain the lowest available fare by making reservations well in advance of departure. The Agency shall not reimburse Employees for

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seat selection fees, “early bird” check-in fees, or in-flight food or beverages. No Agency funds shall be expended on airfare for guests.

If transportation is provided as part of the registration fee for a Conference, reimbursement may not be sought if the Employee prefers another mode of transportation unless it is public transportation.

Other Transportation Costs: The following expenses shall be authorized at the lowest available cost, given the individual circumstances of the travel:

Travel to and from airports, including private automobile mileage, taxis, ride-sharing, airport shuttles or buses.

Storage, parking, and toll charges when such charges are reasonable and necessary.

Automobile rental expenses shall be authorized when Written Justification showing that the rental fees are the most cost-effective means of travel is provided to the CEO or his/her designee in advance of the trip.

C. MEALS
MBCP’s maximum full day meal and Incidental Expense rate will be based on actual expenses or $75, whichever is lower.

Reimbursement shall be allowed only when a receipt for actual meal expense has been provided and the claim for reimbursement identifies who is included in the Agency Business Meeting and the nature of the Agency Business. The most senior level person at the function is responsible for payment of expenses incurred.

Expenses for Conference luncheons, special banquets, or other set price official affairs will be reimbursed on the basis of actual expenditure upon presentation of documentation of the set price.

Reimbursement for alcoholic beverages as part of the meal expenses shall not be permitted unless said expense is part of a fixed-price Conference or Meeting event and separation of such expense from the total cost is not possible.

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D. REGISTRATION FEES
Registration fees for Conferences or Meetings will be paid at actual cost. Official literature indicating the cost of registration and Conference or Meeting dates must accompany the Employee expense claim.

E. RESTRICTIONS
Reimbursement of costs incurred while attending a Political Function shall not be authorized.

VI. REIMBURSEMENT
An advance, in an amount representing the estimated expenses, may be secured upon application to the CEO or his/her designee. The CEO or his/her designee may authorize an advance in a higher amount upon receipt of Written Justification and presentation of an itemization of estimated expenses. Accounting of advances shall be done on the same form as required for requesting claims for reimbursements.

All claims for reimbursement shall be prepared on an MBCP Expense Claim Form and shall be submitted monthly, but no longer than 30 days after the event. Any Employees submitting expense reports after the 30-day period shall not be reimbursed.

All claims for reimbursement shall include an itemization of expenses, provide a brief explanation of the purpose of the Conference or Meeting and shall include original receipts or vouchers for all expenses incurred with the exception of advances. If a receipt cannot be obtained or has been lost, a Written Justification shall be made on the expense form and the reason given. In the absence of an explanation satisfactory to the applicable approving authority, the amount involved shall not be allowed.

All claims for reimbursement shall be submitted to the Employee’s department head, or their designee, for approval. A determination shall be made by the Department of Internal Operations, that (1) the claims for the reimbursement are in accordance with this policy; and (2) the necessary budgetary funds are available for disbursement.

VII. ATTACHMENTS:

1. Travel Request Form

2. Expense Claim Form

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Central Coast Community Energy (3CE) Operations BoardAugust 9, 2023

Central Coast Community Energy (3CE) Operations Board
August 9, 2023