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CHAPTER 7. PERSONNEL - GENERAL 

The University of Texas at Austin            Policy Memorandum 7.205
Office of the President                      September 1, 1981
Subject: PROCEDURE REGARDING PAYMENT FOR PROFESSIONAL SERVICES SUCH AS CONSULTANTS AND SPEAKERS

Compensation for professional services rendered to the University may be authorized when such services cannot be performed in an efficient and timely manner by regular University personnel. Such payments are normally for short-term assignments and they are subject to the provisions described below.

1. Prior Approval for Professional Services

All fees paid for professional services from University funds, including grants and contracts, must be approved in advance of the assignment. For additional requirements concerning payment to:

Requests for prior approval are to be submitted on the Authorization of Professional Services form. The following guidelines should be followed to complete the Nature of Services section:

  • Consultant: an individual providing short-term, expert professional services. Note: payment of fees of $10,000 or more in a year to one consultant requires approvals in addition to those described here. Contact the Vice President for Business Affairs for details.

  • Lecturer: a guest speaker at lectures, seminars, colloquia or similar events

  • Continuing Education: an individual serving an official continuing education program administered by the several Colleges and Schools and/or by the Division of Continuing Education, including Extension and Correspondence courses

  • Other Professional Activities: an individual providing a specific service. This category includes such services as technical, secretarial, clerical, drafting, etc., as well as conference participants stipends.

For proposed expenditures from federal contract and grant funds, include the total fee proposed and in parentheses the daily rate for this fee.

Requests for prior approval should be routed as follows:

1.Chairman/Director

2. Dean or Equivalent Administrative Officer

3. Vice President

4. President

If the stipend is less than $500 the Vice President may approve. Stipends of $500 or more require further approval by the President.

2. Policy Guidelines for Compensation of UT Austin Faculty and Staff for Professional Services within UT Austin

a. The maximum total compensation per year (September-August) from all internal sources shall equal the sum of full-time (12 month) stipend plus $7,500

b. All consulting, lecturing or other professional activities shall not conflict with any regularly scheduled activity such as organized classes.

c. The maximum consulting compensation an employee may receive in any one month period shall be:

(1) Continuing Education programs - no monthly limit;

(2) All other activities:

Full-time employees - 20% of monthly salary or $500, whichever is greater.

Part-time employees or individuals temporarily not on the UT payroll - total compensation, including professional services, from all UT Austin sources shall not exceed the full-time monthly rate plus 20% of the full-time monthly rate or $500, whichever is greater.

Adherence to these guidelines is the responsibility of the initiating party and receipt of an approved Authorization of Professional Services form does not constitute authorization for an exception to the policy guidelines described above.

3. Payments for Professional Services Treated as Payroll Items

Payments to UT Austin employees for professional services within UT Austin are treated as salary payments, and they are to be submitted on a departmental payroll voucher. All such payments are subject to approval by the Office of the President reqardless of amount. An Authorization of Professional Services form must accompany the departmental payroll voucher. Full-time UT Austin personnel may not receive payment for Professional Services from the "14" (14-XXXX-XXXX) or the "20" (20-XXXX-XXXX) series of accounts. Payments for professional services to individuals who are former UT Austin employees also may be required to be treated as salary payments. Please consult the Office of Accounting for details.

4. Preparation of the Voucher

Both the State funds voucher and an Authorization of Professional Services form are required to effect payment (see attached sample). It is of utmost importance that a complete permanent mailing address and social security number be included on the form.

Without this information, the check cannot be issued.

The following criteria should be used as a guideline in presenting the minimum necessary information on the voucher under "Description of Activities or Services" in support of payment:

1. For payments to guest lecturers or speakers please provide:

a. Topic of presentation or lecture.

b. To whom the presentation was made (if presented to students as part of a specific course offering, give the course name and number; if presented to faculty members, give some indication of the composition of the recipients, e.g., "Geology Department faculty").

c. Location on campus where presentation was made (building name and room number).

d. Date(s) on which the presentation was made.

e. For payment from federal contract and grant funds, the daily rate charged by the individual.

2. For payments to individuals who rendered professionalservices other than a speech or lecture please provide:

a. A specific statement of what the individual actually did, including the benefit derived by The University of Texas at Austin.

b. Names of personnel or University offices with whom the individual interacted.

c. Location on campus where the majority of the professional services were performed (building name and room number or some other specific location, e.g., "Geology Library").

d. Date(s) on which professional services were provided.

e. For payment from federal contract and grant funds, the daily rate charged by the individual.

5. Checks to be Mailed

The state funds voucher (all copies except blue file copy) and the original copy of the Authorization of Professional Services form signed by the individual providing services should be sent to the Office of Accounting, Main Building 132. The voucher must provide all information described in Section 4. The voucher must indicate the payee's address for mailing purposes.

6. Checks to be Delivered while Payee is on Campus

If an emergency situation exists or other circumstances justify immediate payment of the stipend while the recipient is on campus, the following steps should be taken by the office authorizing the payment.

a. Prepare the voucher as described in Section 2. The address portion of the voucher should indicate that the payee (not a departmental representative) will pick up the check in the Office of Accounting, Main Building 132.

b. Keep the original copy (white) and copy five (blue) of the voucher in the departmental office.

c. The department should hand carry copies two, three and four (pink, yellow, and green) of the voucher and the original copy of the approved Authorization of Professional Services form to the Accounting Division Supervisor, Associate Director of Accounting or Director of Accounting in the Office of Accounting.

d. When the individual providing services has completed all obligations to the University, he must so certify by signing the affidavit in the bottom left-hand corner of the original copy (white) of the voucher. The signature does not require notarization.

e. The individual providing services must hand-carry the original copy (white) of the voucher to either the Accounting Division Supervisor, Associate Director of Accounting or the Director of Accounting, Main Building 132. They must at that time identify themselves to the employee who releases the payment check and sign the original copy of the Authorization of Professional Services form.

Please note that the procedure for payment while the individual providing services is on campus cannot be utilized when the expenditure is charged to an account in the "20" (20-XXXX-XXXX) series of accounts. Those accounts are funded by appropriations from the Available University Fund which isin the custody of the State Treasurer/State Comptroller.Accordingly, vouchers paying for professional services, charging an account in the "20" fund series, must be processed in accordance with State of Texas procedures after the services have been rendered and the voucher certified.

7. Issuance of Checks to Other than Payee

Requests for issuance of checks to other than the payee should be made only in emergency situations. Requests must be made, in writing, by the department chairman or project director, and are subject to approval or rejection by the Office of Accounting prior to the preparation of the check. If release of check is approved, representative of the project director or department chairman may pick up the check at the Office of Accounting.

8. Timing

For payments less than $500.00, checks may be picked up in the Office of Accounting after 3:30 p.m. of the third working day subsequent to the day that copies two, three and four of the voucher arrive at that office. For example, if copies two, three and four of the voucher arrive at the Office of Accounting before noon on Tuesday, you may pick up the check any time after 3:30 p.m. Friday.

For payments of $500.00 and over, checks may be picked up in the Office of Accounting after 3:30 p.m. of the fourth working day subsequent to the day that copies two, three and four of the voucher arrive at that office. (All vouchers paying individuals for any purpose in amounts of $500.00 and over require approval by the Office of the President.)
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