Policy 2.3.9: Duty Entertainment, Internal Business Hospitality, Receptions and Staff Functions

Effective: April 1, 1999
Responsibility: Vice-President and Chief Financial Officer

STATEMENT OF POLICY

Under certain circumstances there is a benefit to CBC/Radio-Canada when individuals from outside the Corporation are entertained at CBC/Radio-Canada expense, when CBC/Radio-Canada staff represent the Corporation at public functions, when staff are entertained at social events and when the Corporation provides meals/beverages to CBC/Radio-Canada staff.

The benefits from these types of expenditures should contribute to improving the overall status of the Corporation in the community, improving staff morale, enhancing relationships, optimizing working time or minimizing costs. Approval for these types of expenditures is to be in accordance with established management procedures.

In order to reflect good business practices and because the Corporation is accountable to the Canadian Taxpayer, all such expenses must be business-related, reasonable and must be able to withstand public scrutiny.

Any agreement for the purpose of duty entertainment, internal business hospitality, receptions and staff function must be in accordance with Policy 2.9.03 Delegation of Signing Authority and Policy 2.3.08 Delegation of Financial Authorities as appropriate.

HISTORY

  • This policy was updated November 2010
  • This policy was reviewed and updated August 2007
  • This policy was updated October 2005.
  • This policy was updated May 2005.
  • This policy was updated May 2004.
  • This policy was updated November 2003.
  • This was originally Corporate Finance and Administration Policy 403.60 - Duty Entertainment, Receptions and Staff Functions.

REFERENCES

Corporate Policies:
2.3.4 Cash Funds
2.3.8 Delegation of Financial Authorities
2.3.13 Gifts, Donations and Other Contributions
2.3.23 Travel Management

PERSON RESPONSIBLE FOR INTERPRETATION AND APPLICATION

All questions pertaining to the interpretation or application of this policy should be referred to the Director, Policy and Internal Control.

DEPARTMENT RESPONSIBLE TO UPDATE THIS WEBPAGE:

Corporate Secretariat.


APPENDIX A
PROCEDURES AND GUIDELINES

The following Guidelines are based on the following criteria and principles:

1. GENERAL GUIDELINES:

  1. As representatives of the Corporation, all employees participating in duty entertainment, internal business hospitality, receptions or staff function events are expected to perform their duties in a manner that will serve to preserve or enhance CBC/Radio-Canada’s reputation.
  2. It is prohibited for a CBC/Radio-Canada employee to claim an additional meal allowance or to make a claim for reimbursement for any expenses that may have already been paid by the Corporation or by another provider through another means.
  3. CBC/Radio-Canada employees who have a designated corporate travel card must use this card for duty entertainment, internal business hospitality, receptions and staff function related expenses, when possible.

2. SPECIFIC GUIDELINES:

2.1 Specific Guidelines - Duty Entertainment, Receptions And Staff Functions (held on or off premises):

Events Held On CBC/Radio-Canada Premises

Events held on CBC/Radio-Canada premises can be approved by any manager with DFA, even if that manager participates in the event. Such events usually qualify as working luncheons, training events or other staff functions. Managers are not required to maintain lists of people who participate in such events.

Events Held Off CBC/Radio-Canada Premises

Events held off CBC/Radio-Canada premises will require approval of the appropriate supervisor or his/her delegate with DFA who is not participating in the event and is the next level supervisor more senior to the most senior level participant organizing the event. Expenses cannot be approved by a person to whom the manager has delegated his/her authority if the manager is participating in the event. Claims/expenses for officers reporting to the President and CEO will require the supplementary approval of the designated Corporate/Network Senior Finance and Administration Director or his/her delegate, while claims/expenses for Regional managers reporting to media Vice Presidents will require the supplementary approval of the Regional Comptroller or his/her delegate . For all such events held off CBC/Radio-Canada premises, managers are required to maintain for audit purposes, a list of the people who were entertained and/or participated in such events.

2.2 Specific Guidelines – Internal Business Hospitality (held on or off CBC/Radio-Canada premises):

  1. On an exceptional basis, senior managers may request reimbursement for internal business hospitality expenses related to meetings with co-workers where no third-party (external) guest or client was involved.
  2. Internal business hospitality expenses must be approved by the Vice-President of the business component or his/her delegate while the Vice-President’s expenses (including meals between Vice-Presidents) must be approved by the President and CEO.
  3. The office of the Vice-President is to determine to whom within their business component this directive applies and is to establish an appropriate expense monitoring system where the following information is retained/gathered:
    1. Date of meeting
    2. Names of meeting participants
    3. Purpose of meeting
    4. Supporting documentation for the claim
  4. On a quarterly basis, each Vice-President will provide the required information to their local Financial Officer for summary and retention. Each local Financial Officer will then submit a quarterly summary report to Corporate Finance (Corporate Controller) for monitoring and reporting of overall expense levels.
  5. The quarterly internal business hospitality expenses incurred by Vice-Presidents will be disclosed on the CBC/Radio-Canada website.


3. Roles and Responsibilities:

  1. Roles and responsibilities of NPC/SS in processing payments/reimbursements pertaining to such expenses:
    If documents are approved in accordance with the DFA Policy, NPC is responsible for:
    • Ensuring that the expenses are properly coded/classified in accordance with the Chart of Accounts
    • Processing such payments
  2. Roles and responsibilities of Managers who incur such expenses:
    • To ensure that such expenses are reasonable and for legitimate CBC/Radio-Canada business purposes.
    • To obtain supplementary approval from their supervisor in advance of incurring such costs.
    • To ensure that they keep a list of names on file for audit purposes of the people entertained or who participated in such events and the purpose of the meeting as required per the specific guidelines section 2.2.
    • To ensure that the appropriate procedures and guidelines are followed given the type of expense incurred.
  3. Roles and responsibilities of Managers who approve such expenses:
    • To ensure that such expenses are reasonable and for legitimate CBC/Radio-Canada business purposes.
    • To ensure that the person incurring the expense provides or maintains a list of names on file for audit purposes of the people entertained or who participated in such events and the purpose of the meeting as required per the specific guidelines section 2.2.
    • To ensure that the appropriate procedures and guidelines are followed given the type of expense incurred.
  4. Roles and responsibilities of local Financial Officers:
    • To ensure that such expenses are reasonable and for legitimate CBC/Radio-Canada business purposes.
    • To ensure that the appropriate procedures and guidelines are followed given the type of expense incurred.
    • To ensure that the person incurring the expense provides or maintains a list of names on file for audit purposes of the people entertained or who participated in such events and the purpose of the meeting as required per the specific guidelines section 2.2.
    • To ensure that an adequate claim monitoring system has been established for internal business hospitality expenses and to retain all required backup documentation.
    • To ensure that accurate quarterly internal business hospitality summary reports are provided to the Corporate Controller on a timely basis.

APPENDIX A-1
PROCEDURES AND GUIDELINES

Type of Expense

Account to be used

Approval Level

How paid or Reimbursed

1a. DUTY ENTERTAINMENT (Entertaining third party guests)

Food and beverage purchased / provided and that are for the purpose of entertaining third party guest(s) or client(s) with or without other CBC/Radio-Canada employees being present.

Examples of these situations are:

When CBC/Radio-Canada employees have a meal at a restaurant with a third party guest or client in attendance.


57311

If onsite, any manager with appropriate DFA.

If offsite, appropriate supervisor with DFA who did not participate in the event and is next level supervisor more senior to most senior level participant organizing the event.


Names of people present must be provided

Accounts Payable, Travel, Petty Cash or Production Funds (depending on the administrative practices of the local finance office). If paid through petty cash, the $500.00 limit applies.


For galas, etc., the organization holding the event will normally invoice CBC/Radio-Canada and payment will be made through Accounts Payable.

1b. DUTY ENTERTAINMENT (Purchasing tickets)
Purchase of tickets to theatrical, sporting, musical or similar events and galas.


Examples of these situations are:

Tickets given away to selective non-CBC/Radio-Canada people (usually by sales personnel).

Tickets used by CBC/Radio-Canada staff to accompany non-CBC/Radio-Canada people to the event.

Tickets used by CBC/Radio-Canada staff to attend galas, etc. as a representative of the CBC/Radio-Canada.


57311

Appropriate supervisor with DFA who did not participate in the event and is next level supervisor more senior to most senior level participant organizing the event.


Names of people present must be provided.

Accounts Payable, Travel, Petty Cash or Production Funds (depending on the administrative practices of the local finance office). If paid through petty cash, the $500.00 limit applies.

2. INTERNAL BUSINESS HOSPITALITY (Meeting with CBC/Radio-Canada employees)

Food and beverages purchased when a senior manager meets with employee(s) to discuss business related issues off CBC/Radio-Canada premises without a third-party guest in attendance.

57315

Must be approved by Vice-President or delegate of appropriate business component.


Names of people present, purpose of the meeting and supporting documentation must be provided. All activity to be reported on a quarterly basis.


Travel

3. WORK RELATED FUNCTIONS
Food and beverage purchased / provided for work related activities. This may occur either on or off CBC/Radio-Canada premises.

Examples of these situations are;

When CBC/Radio-Canada employees meet to discuss business issues and have a meal and/or refreshments catered on CBC/Radio-Canada premises.

When meals are provided for attendees of meetings, training sessions, etc. (may be catered and/or provided off CBC/Radio-Canada premises).

When meals are provided for attendees of CBC/Radio-Canada functions or internal conferences (may be catered and/or provided off CBC/Radio-Canada premises).

When meals are provided on site for employees who are working extended hours.

When meals are provided to production crews in order to keep the crew together to maximize available production time.

When CBC/Radio-Canada employees attend luncheons where a guest speaker is briefing on a work related issue

57314

If onsite, any manager with appropriate DFA.

If offsite, appropriate supervisor with DFA who did not participate in the event and is next level supervisor more senior to most senior level person participating in or organizing the event.

Names of people present must be provided.

The business/unit managers are responsible for ensuring that there are no duplicate claims for meal allowances when meals are provided by the Corporation.

Accounts Payable, Travel, Petty Cash or Production Funds (depending on the administrative practices of the local finance office). If paid through petty cash, the $500.00 limit applies.

In some situations the provider of the meals will invoice the CBC/Radio-Canada. These invoices must be approved by the Manager and sent to NPC for payment.

4. EXPENSES INCURRED WHEN TRAVELLING
If expenses incurred while traveling fall under items 1a, 2 or 3 above, no meal allowance is to be claimed. In such cases, the expenditure is to be handled as noted above and the employee’s claim for reimbursement must be presented on the same travel form as the expenses for the trip involved.

As specified in 1a, 2 or 3 as appropriate

As specified in 1a, 2 or 3 as appropriate

As specified in 1a, 2 or 3 as appropriate

5. RECEPTIONS AND STAFF FUNCTIONS
Food and beverages provided for Receptions and Staff Functions whose purpose is to promote CBC/Radio-Canada or recognize employee accomplishments/service.


RECEPTIONS – MARKETING and SALES AND COMMUNICATIONS

Examples:

Receptions to showcase a specific event or to entertain invited guests. CBC/Radio-Canada staff attending these functions will usually act as hosts. - e.g. Fall Launch, Olympic receptions, CBC/Radio-Canada Open House.

Program wrap up parties and other departmental functions.


STAFF FUNCTIONS

Staff receptions to honour employees with long service and to present special awards to employees.

Retirement parties.

Employee gatherings for special announcements etc.
Program wrap up parties and other departmental functions.





57312






57313

If onsite, any manager with appropriate DFA.

If offsite, appropriate supervisor with DFA who did not participate in the event and is next level supervisor more senior to most senior level person participating in or organizing the event. Names of people present must be provided.

Accounts Payable, Travel, Petty Cash or Production Funds (depending on the administrative practices of the local finance office). If paid through petty cash, the $500.00 limit applies

6. PROGRAM RELATED
Tickets used by CBC/Radio-Canada employees in a non-entertainment capacity.

Examples of these situations are:

To attend the event in the capacity of a reporter, analyst, critic, recipient of awards, etc.

To accommodate camera positions for coverage of the event.



51614

Normal approval as a program expense. Accounts Payable, Travel, Petty Cash or Production Funds (depending on the administrative practices of the local finance office). If paid through petty cash, the $500.00 limit applies.
7. PRIZES – PROGRAM RELATED
Tickets used by various programs as random giveaways or prizes to call in participants or on air guests.

51602

Normal approval as a program expense. The cost of the tickets will usually be billed to the CBC/Radio-Canada and payment will be made through NPC.
8. SALES INCENTIVES
Accommodations, meals and refreshments, event tickets and airfare packages used as "value added" sales incentives where the cost of the package is included in the price of the advertising being sold.

56605 – Sales Incentives – Travel

56606 – Sales Incentives – Tickets (Giveaways)

56607 – Sales Incentives – Food and Beverages

56608 – Sales Incentives Other

Merchandise

RECOVERIES OF EXPENSE

56610 – Sales Incentives – Recoveries


56605


56606


56607

56608




56610

Normal approval process by sales for expenditures.

These items will usually be billed to the CBC/Radio-Canada and payment will be made through NPC.

The cost is recovered from the client and added to the sales revenue billed.

Subsequent adjustments to sales revenue MUST be made to reduce revenue and reflect the cost recovery.

Search highlight tool