South Texas College
Cellular Telephone Stipends Guidelines
Issued: January 14, 2009
Version 10
Prepared by Task Force:
Arnold Gonzalez
Becky Cavazos
Brenda Balderas
George McCaleb
Lee Grimes
Mary Elizondo (Chair)
Reviewed by:
COC - October 7, 2008
Cabinet – October 8, 2008
Administrative Staff – October 17, 2008
Cabinet – November 12, 2008
Finance Committee – November 24, 2008
Board of Trustees – December 11, 2008
Task Force Meetings:
September 15, 2008
November 11, 2008
January 8, 2009
South Texas College
Guidelines for Cellular Telephone Stipends
Table of Contents
A.
Purpose
B.
Eligibility
C.
Request of Monthly Cellular Telephone Stipend
D.
Determining the Cellular Telephone Stipend Amount
E.
Payment of Stipend
F.
Maintain an Active Cellular Telephone Contract
G. Access to Employee Cellular Telephone Statements and Call Records
H.
Use of Cellular Telephones While Driving
I.
Employee Becomes Ineligible to Receive a Stipend
J.
Service Plans
K.
Source of Funds
L.
Duration of Cellular Telephone Stipend
M. Transitioning From College Owned Cellular Telephone
N.
Responsibilities
O.
Forms
Appendix A – Fiscal Year 2009 Stipend Tiers
South Texas College
Guidelines for Cellular Telephone Stipends
A. Purpose
The purpose of this document is to provide uniform guidelines to College employees regarding the
payment of cellular telephone stipends. Cellular telephone stipends are provided to the eligible employee
to reduce the cost of maintaining any device associated with South Texas College business that is being
used to make or receive wireless calls. These devices may also be used for other business purposes such
as email, calendaring and internet connectivity. College provided wireless data cards are not covered by
these guidelines nor are push-to-talk devices, walkie-talkies, data-only Personal Digital Assistants
(PDAs) and pagers that do not have a cell phone capability.
The stipend is not intended to cover 100% of the fees and service charges incurred under an employee’s
plan given that the device is expected to be owned by the employee and used for both personal and
business use. The dollar amount of the cellular telephone stipend should cover the employee’s projected
business related cost only.
The College will not own cellular telephones for the use of individual employees, unless approved by
the Division Vice President. These cellular telephones may not be used for non-business related
purposes. The employees must log each call by documenting the date of the call, the time of call, nature
of call and the person to whom the call was made. The cellular telephones will be checked out at the
department at the start of the day and returned to the department at the end of the day. The cellular
telephones must be safeguarded when not in use. The use of the College owned cellular telephones will
be monitored by the Financial Manager.
.
B. Eligibility
The Financial Manager, immediate supervisor, and the division Vice President must approve the
payment of a stipend to an employee.
An exempt full-time benefit eligible employee may receive a stipend to cover cellular telephone
expenses if the following criteria are met:
Job duties require the frequent need for a cellular telephone and employee is mobile for a
large part of the work period.
The employee is a critical decision maker for the College district.
The job function of the employee requires them to be accessible outside of scheduled or
normal working hours.
An employee deemed to be eligible to receive a stipend is required to carry a cellular telephone to
perform his/her assigned duties.
Non-exempt employees are not eligible to receive a cellular telephone stipend unless the employee’s job
duties require the frequent need for a cellular telephone and the employee is mobile for a large part of
the work period. A justification statement must be attached to the Cellular Telephone Stipend Form and
the request must be approved by the Immediate Supervisor, Financial Manager and Division Vice
President. Wage and hour laws must be adhered to when non-exempt employees are expected to answer
the cellular telephone outside working hours.
C. Request of Monthly Cellular Telephone Stipend
Employees must request a stipend by completing a Cellular Telephone Stipend Request Form and a
Notice of Employment. These forms may be requested from the Office of Human Resources. These
forms must be properly completed and approvals must be properly obtained. These forms must be
forwarded to Office of Human Resources by the 10th of the current month. No partial month allowance
will be made.
The request may be made any time during the fiscal year. Stipends will cease at the end of each fiscal
year (August 31). A new Cellular Telephone Stipend Request Form and a Notice of Employment must
be sent to the Office of Human Resources by the 10th of September to renew the stipend in the new
fiscal year.
The Financial Manager must notify the Office of Human Resources in the event that the employee
transfers departments. A Termination of Cellular Telephone Stipend, a Cellular Telephone Stipend
Request Form and a Notice of Employment Form must be completed and submitted to the Office of
Human Resources by the 10th of the month.
A copy of the current personal cellular telephone bill must be attached to the Stipend Request Form and
Notice of Employment. The bill must include the telephone number. The employee must notify his or
her supervisor if the cellular telephone number is changed at any time.
D. Determining the Cellular Telephone Stipend Amount
Determination of the dollar amount of the stipend is made at the department level by the Financial
Manager and immediate supervisor, and approved by the division Vice President.
The Financial Manager must determine the stipend amount by considering the below mentioned factors.
Projected number of minutes per month the employee is likely to expend on business related calls.
The type of device and additional services required, such as messaging, email retrieval and
internet use.
Historical use by the employee, if available, for determination of the initial stipend amount.
The Purchasing Office will provide information related to the type of plans and services available. The
Purchasing Office will also provide history data of the employee’s cellular telephone business related
usage.
Current market rates will be reviewed by the Purchasing Office on an annual basis to recommend
changes to the stipend amounts. On an annual basis the Purchasing Office will publish the different tiers
of stipend amounts. These tiers are attached to the guidelines as Appendix A.
E. Payment of Stipend
If the Cellular Telephone Stipend Request Form is approved, payment will be included on the
employee’s monthly payroll check and will be reported on the employee’s W-2. The stipend is taxable
income and is subject to withholding taxes.
The stipend does not constitute an increase in base pay and will not be included in any percentage
calculations for increase to base or for retirement calculation purposes.
F. Maintain an Active Cellular Telephone Contract
The cellular telephone is personally owned and may be used for both personal and business calls. The
employee must maintain an active contract for the life of the stipend.
The employee’s immediate supervisor is responsible for conducting an annual review at the beginning of
the fiscal year of the business need for a cellular telephone stipend. The immediate supervisor must
determine if the stipend should be changed or discontinued.
The employee must submit a copy of the cellular telephone number to the immediate supervisor.
G. Access to Employee Cellular Telephone Statements and Call Records
The employee will receive the cellular telephone statements and detail call records directly from the
service provider. In the event of an official investigation, Freedom of Information Act request or a
subpoena, however, an employee may be required to provide their cellular telephones/PDA statements
and detail call records to law enforcement and/or others, as required.
H.
Use of Cellular Telephones While Driving
Employees are required to comply with state laws regarding cellular telephone use while driving.
Employees who spend time in vehicles are not expected to answer calls immediately. Employees should
make necessary calls before getting on the road. Messages may be checked and calls may be returned at
rest stops or other off-road areas. Hands-free cellular telephones require the same safety measures as the
hand-held telephones.
I. Employee Becomes Ineligible to Receive a Stipend
An employee is prohibited from continuing to collect a monthly cellular telephone stipend when the
device is no longer active or needed for the performance of the employee’s job responsibilities.
If the Financial Manager determines that an employee who is receiving a monthly cellular telephone
stipend has become ineligible and the employee decides to terminate service within 30 days of becoming
ineligible, the College will refund 50% of any early termination fees assessed by the service provider.
To receive the refund, an official statement from the service provider which documents the early
termination fee must be presented to the Financial Manager within 45 days of the date the employee
became ineligible. A Cellular Telephone Stipend Termination Form should be completed and approved
and submitted to the Office of Human Resource handling. The supporting documents must be attached
to the Request Form.
J. Service Plans
South Texas College does not endorse a certain service provider or plan. The employee is responsible
for identifying a service provider and plan. The employee is responsible for contracting with the service
provider directly.
K. Source of Funds
Unrestricted, auxiliary and restricted funds may be used for the payment of cellular telephone
stipends. However, grants and contracts funds that specifically prohibit payments of this nature
may not be used for this purpose.
The stipends will be funded from the employee’s organization unit. Salary funds will be
transferred from the stipend pool into the eligible employee’s salary expense budget.
L. Duration of Cellular Telephone Stipend
The monthly cellular telephone stipend will remain in effect until terminated by the Financial
Manager or until the end of the fiscal year (August 31).
Financial Managers are responsible for notifying the Office of Human Resources when the
monthly cellular telephone stipend should be terminated during the budget year by completing a
Termination of Cellular Telephone Stipend Form. Requests must be received by the Office of
Human Resources by the 10th of the month in which the termination is to be effective.
M. Transitioning From College Owned Cellular Telephone
The College owned cellular telephone must be returned to the Purchasing Office by the
published date.
The eligible employee has several options when transitioning from the college owned cellular
telephone to their own personal number. The options are as follows:
The current cellular telephone number may be transferred to the employee when
converting to a personal cellular telephone. The employee must notify the Purchasing
Office.
The current personal cellular telephone/PDA may be used.
The new personal cellular telephone/PDA may be purchased.
The employee is responsible for exploring the cellular telephone service providers and
identifying a plan which best suits the desired requirements. Costs for cosmetic or technical
extras or upgrades will not be included in the stipend.
N. Responsibilities
Responsibilities of Financial Manager
Review and approve or disapprove the amount of cellular telephone stipend.
Determine the amount of the stipend.
Approve and sign the Cellular Telephone Stipend Request Form
Review the monthly stipend report received from the Office of Human Resources.
Responsibilities of Employee
Sign and submit a Cellular Telephone Stipend Form and Notice of Employment (NOE) to
the appropriate Supervisor, Financial Manager and Vice President.
Retain an active cellular telephone as long as a stipend is in place.
Provide the cellular telephone number to his or her supervisor.
Notify his or her supervisor each time the cellular telephone number is changed.
No using the cellular telephone while driving.
Responsibilities of Purchasing Office
Provide history usage data to the Financial Managers and employees.
Set the stipend tier amounts annually based on current market values.
Responsibilities of Office of Human Resources
Create a stipend assignment as requested by the employee’s Financial Manager on the
Request Form and the Notice of Employment (NOE).
End stipend assignments as requested.
Ensure that the stipend is appropriately taxed.
Create and issue to the Financial Managers and Division Vice President on a monthly
basis a report itemizing stipends paid to each employee.
Responsibilities of Vice Presidents
Review and approve or disapprove the Cellular Telephone Stipend Request Form and
Notice of Employment (NOE).
Review the monthly stipend report received from the Office of Human Resources.
O. Forms
Cellular Telephone Stipend Request Form
Termination of Cellular Telephone Stipend
Notice of Employment
Appendix A – Fiscal Year 2009 Stipend Tiers
Plan
Cellular Telephone
Blackberry/PDA
Monthly Stipend
$40
$80
___________________________________
Version 1 - September 29, 2008
Version 2 – September 30, 2008
Version 3 – October 6, 2008
Version 4 – October 17, 2008
Version 5 – November 3, 2008
Version 6 – November 12, 2008
Version 7 – November 12, 2008
Version 8 – November 17, 2008
Version 9 – November 24, 2008
Version 10- January 14, 2009