In this Open Comment: Mobile Communications Policy Changes
Welcome!
In this open comment period we present proposed updates to policy and procedures for mobile communications. Changes to the policy and procedures include:
- We no longer prohibit units from purchasing mobile communications equipment or related service plans, including Internet service plans, for business use by individual employees. Units are now allowed to make such purchases if approved by their college-level executive.
- We no longer require that employees given a stipend should work in the areas of Advancement, Information Technology, or Public Safety; or be a faculty member who frequently travels on University business. We recommend units consider these types of responsibilities when determining the business need for the stipend or purchase.
- We have added the statement that an employee is not permitted to receive both a stipend and a University-owned mobile communications device.
- We have discontinued the process by which OBFS would grant exemptions for a mobile communications stipend or purchase.
Request an Employee Stipend for Mobile Communications
Policy Statement
In general, the University discourages providing stipends for mobile communications equipment/service plans to individual employees. However, when the benefit of stipends justifies the cost to the University, units are authorized to give employees mobile communications stipends.
Employees may receive a taxable stipend that defrays the cost of using personally-owned mobile communications equipment and data or Internet service plans for University business. These stipends must be approved by college-level chief executives (deans, vice chancellors, or associate vice presidents). At the discretion of the campus, additional approvals may be required.
Stipends are not to exceed the established annual limits. Stipends may not be grossed-up for tax purposes.
The University will not reimburse employees for business use of personally-owned mobile communications equipment or related service plans, including Internet service plans. (Mobile communication and data/Internet business expenses incurred while in travel status will continue to be reimbursed through the travel reimbursement process.)
Employees are not permitted to receive both a stipend and a University-owned mobile communications device.
Before You Begin
Before you request an employee stipend for mobile communications:
- Make sure that the employee’s job requires the use of mobile communications equipment and/or data or Internet service plans. Consult Question #1 of FAQs for guidance on how to determine the business need.
- Consult Question #2 of FAQs for allowed Mobile Communications devices.
- Ensure that the intended stipend does not exceed these limits:
- $500 per year – for mobile communications device only
- $500 per year – for data or Internet service plan only
- $900 per year – for both mobile communications device and data or Internet service plan
- Keep in mind the stipend may not be grossed-up for tax purposes.
Begin
To request an employee stipend for mobile communications:
- Complete the Employee Stipend Approval form.
- Have the form approved and signed by your college-level executive. At the discretion of the campus, additional campus-level approvals may be required.
- Using the HR Front End (HRFE) system, submit and attach the approved stipend request to your campus HR (or Employee Relations and Human Resources for employees in University Administration).
- HR processes the request by adding the stipend amount to the employee’s appointment.
- Retain a copy of the submitted, approved form in your unit as documented evidence that the request was approved by your college-level chief executive.
Stipends remain in force until the employing unit notifies the campus HR office to remove the stipend from the employee’s appointment.
Purchase Mobile Communications Equipment/Service Plans for an Employee or Employee Groups
Policy Statement
In general, the University discourages assigning University-owned mobile communications equipment/service plans to individual employees. However, when the benefit of providing this equipment/plan justifies the cost to the University, units are authorized to make these purchases.
With college-level chief executive approval (deans, vice chancellors, or associate vice presidents), units may purchase mobile communications equipment, including pagers, and related service plans for individual employees or groups of employees who will share the equipment for University business purposes. At the discretion of the campus, additional campus-level approvals may be required.
Units and campus telecommunications offices must retain documented evidence of college-level chief executive approval for all individual and shared group equipment purchases.
Employees are not permitted to receive both a stipend and a University-owned mobile communications device.
Before You Begin
Before you request the purchase of mobile communications equipment/service plans:
- Make sure that the employee’s job requires the use of mobile communications equipment and/or data or Internet service plans. Consult Question #1 of FAQs for guidance on how to determine the business need.
- Identify equipment or services that meet the business needs in the most economical fashion.
Begin
To purchase mobile communications equipment/service plans for individual employees or employee groups:
- Obtain college-level chief executive approval for the purchase, as required by your campus telecommunications office. Retain documented evidence of the approval in your unit. At the discretion of the campus, additional campus-level approval levels may be required.
- Coordinate all purchases of equipment and services through your campus telecommunications office. Consult Additional Resources for information about your campus telecommunications office. Be sure to follow their established purchasing procedures.
- Monitor the use of individual and group equipment and related services to ensure they are used only for University business.
- Ensure that charges associated with personal calls on University-owned devices are reimbursed to the University account against which the total charges have been applied.
- Follow return/disposal procedures required by your campus telecommunications office when there is no longer a business need for the mobile communications device.
FAQs for Mobile Communications
1. How do we determine the legitimate business need for a stipend or purchase?
It is within the discretion of a unit to determine whether there is a business need and funds available to support any expenses associated with mobile communications stipends or purchases. It is important to ensure that the employee receiving a stipend or University-owned equipment/service plan is in a position where the associated benefits justify the cost to the University. Some considerations to identify a legitimate business need for a stipend or purchase may include:
- Employees who work in the areas of Advancement, Information Technology, or Public Safety.
- Faculty members who frequently travel on University business and must maintain regular communication while in travel status.
- Employees who support or are responsible for programs, services or systems that necessitate frequent and immediate communications throughout the day, after-hours, or while away from the office on travel.
- Employees who must be available 24/7 to monitor essential systems or for immediate service calls or trouble-shooting.
2. For which mobile communications equipment and/or services can we give an employee a stipend?
- All mobile telecommunications equipment and cellular-delivered data service plans across any type of network for mobile communications equipment including cell phones, smart phones, IPads, tablet devices, and other equipment utilizing cellular connectivity.
- All service plans (and required hardware) intended to provide non-mobile communications equipment access to the Internet (such as cable Internet, DSL, mobile WIFI hotspot, cellular broadband modem, etc.).
3. I will be receiving a stipend. Will it be considered taxable income?
Yes, it is considered taxable income. If eligible, employees may claim un-reimbursed business-related expenses on their personal income tax returns. The stipend may not be grossed-up by the unit for tax purposes.
4. Will a stipend count towards SURS contributions or the 6% rule?
No, the stipend does not count towards SURS, nor does it count toward the SURS 6% rule.
5. My researchers frequently hire staff (non-faculty) that are required to carry cell phones. Does the policy apply to sponsored project employees?
Yes. The policy applies to all University employees.
6. My unit pays for a full-time employee’s Internet access. The employee’s headquarters are outside of Illinois, and the majority of the employee’s work is done online. Does the policy apply to this service?
Yes. The policy includes Internet service plans, which means Internet access cannot be paid for by a unit unless approved by the college-level executive.
7. Can units request an exception to the maximum annual dollar amounts for stipends?
No. Stipends are not intended to cover fully the cost of service for personally owned mobile communications devices or for Internet service. It is assumed there is personal as well as business use of the devices/services, and units should ensure stipends do not allow the employee to fully cover the cost of the equipment and services.
8. We have a grant that requires the use of a high-speed internet connection to transmit data. The cost of this connection will exceed the allowable stipend limit. Can we get an exception?
Yes, in these grant-funded situations only, the faculty member should contact their campus OBFS executive officer to determine the best means of meeting their needs. It is rare that telecommunications costs can be charged to grants since these costs are typically recovered through the Facilities and Administration (indirect cost) rate.
9. If a federal grant allows/requires service for cell phones to be charged to the grant, how should this be handled?
Most federal grants do not permit telecommunications costs to be charged to grants since these costs are typically recovered through the F & A (indirect cost) rate. However, in cases where such costs are permitted, funding the purchase is permitted. Submit all completed forms to the Senior Director of the Grants and Contracts Post-Award Office who will verify that the service is required under the terms of the grant and forward the approved form to the campus telecommunications office for processing.
10. What does it mean to have mobile communications equipment and related service plans for groups of employees for University business purposes? How are groups different than individuals?
Group equipment is not assigned to any one individual, but is used by various individuals on duty at a given time. Some employees in service units with multiple shifts, such as Facilities or Housing, need to be able to communicate with their central offices as they go from location to location conducting their work. In the case of group phones, the employee turns in the mobile communications equipment at the end of the shift, and the equipment is used by the next employee on the shift. Such phones typically do not leave the campus, although there are some cases where group equipment is used in the field.
11. What mobile communications equipment and/or services can we purchase for a group of employees?
These may be purchased in accordance with University procurement and property management policies:
- All cellular phone and cellular-delivered data service plans across any type of network for mobile communications equipment.
- Wireless/handheld devices that require a service or data contract for operation, such as cell phones, smart phones, Blackberry devices, or push-to-talk phones.
- Tablets and related service plans, two-way radios (such as those used by security or maintenance personnel), and pagers
12. If I receive a stipend for cell phone service for my personal phone used for both University and personal use, could my personal phone calls, texts, or e-mails be subject to disclosure in response to Freedom of Information Act (FOIA) requests?
Possibly. The definition of public record under FOIA is very broad and includes electronic communications regardless of the physical form of the communication. The FOIA specifies that public records relate to “the transaction of public business” and includes an exemption from disclosure related to personal privacy. However, recent revisions to the FOIA have narrowed certain exemptions and have strengthened the role of the Attorney General’s office in interpreting the application of the FOIA for all public bodies. Accordingly, it is difficult to predict whether data related to personal phone calls, personal text messages, and personal e-mail messages would ultimately be deemed to be protected from disclosure.
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