Subsistence is an allowance related to lodging and meal costs, and gratuities thereon.

Out-of-State Travel Status begins when the employee leaves the state and remains in effect until the employee returns to the state.  However, in-state allowances and reimbursement rates apply when employees and other qualified official travelers use hotel and meal facilities located in North Carolina immediately prior to and upon returning from out-of-state travel during the same travel period.

Out-of-Country Travel Status begins when the employee leaves the United States and remains in effect until the employee returns to the United States.  If the employee and other qualified official travelers use hotel and meal facilities located outside North Carolina, but within the United States, immediately prior to and upon returning from out-of-country travel during the same travel period, out-of-state subsistence rates shall apply.

9.03.02 Subsistence Rates – Meals and Lodging

1. In-State and Out-of-State Travel

The maximum allowable statutory rate (G.S. 138-6) for meals and lodging is $97.75 for in-state travel and $111.75 for out-of-state travel.  The payment of sales tax, lodging tax, local tax, or service fees applied to the cost of lodging is allowed in addition to the lodging rate and is to be paid as a lodging expense. 
The following schedule of allowances shall be used for reporting allowable subsistence expenses incurred while traveling on official state business:

 
2. Out-of-Country Travel

All out-of-country travel must be approved by the Vice Chancellor or Chief of Staff in advance of the trip.  Employees may elect to claim either out-of-state rates for subsistence or the lesser of the actual cost of meals and lodging or 90% of the subsistence rate published by the U.S. Department of State for the applicable foreign site (available on-line at http://www.state.gov/m/a/als/prdm/). Excess subsistence for both meals and lodging requires approval by the Vice Chancellor  in advance of the trip.  A receipt for lodging expenses from a commercial lodging establishment must be presented for reimbursement. Requests for excess meals must be documented by a receipt if paid from state-appropriated funds.

9.03.03 Lodging

1. General Guidelines for Reimbursement

The traveler must document that overnight lodging was necessary and accomplished.  The travel must involve a travel destination located at least 35 miles from the employee’s regularly assigned duty station (vicinity) or home, whichever is less.

Requests for reimbursement should be filed within 30 days after the travel period ends for which the reimbursement is being requested.  Specific dates of lodging must be listed on the reimbursement request, and substantiated by a receipt from a commercial lodging establishment. Reimbursement for lodging is limited to the single occupancy rate up to a maximum of $63.75 per night for in-state lodging or $75.50 per night for out-of-state lodging.

2. Room Sharing

If one state traveler pays the full lodging expense for him/herself and one or more other individuals traveling on official state business with whom he/she shares a room in a commercial lodging establishment, the traveler bearing the expense should include the full lodging expense on his/her reimbursement request.  A note of explanation should be included on each traveler’s reimbursement request with a list of those sharing the room.  The total per night lodging charge will be divided by the number of state travelers sharing the room for purposes of applying the statutory limitation.  As long as each traveler’s share of the room charge is less than the allowable rate, no additional approvals are needed for excess lodging.

3. Excess Lodging

Authorization for excess lodging must be obtained in advance as specified in Section 9.02.01.  Excess lodging is allowed when the employee is in a high cost area and unable to secure lodging within the current allowance, or when the employee submits in writing an opinion that his/her personal safety or security is unattainable within the current allowance.  Excess lodging authorization is not allowed for reasons of convenience or personal preference.  The employee may exceed the part of the ceiling allocated for lodging without approval for excess if the total lodging and food reimbursement does not exceed the maximum allowed daily subsistence.

 
9.03.04 Meals

1. General Guidelines for Reimbursement

The employee must document that the payment for meals was necessary and accomplished.  Reimbursement rates listed in 9.03.02 (1) are inclusive of gratuities.  Each reimbursement form must show the time of departure and time of return for purposes of ensuring compliance with travel regulations.  The costs of meals included in other related activities (registration fees, conference costs, hotel registration, etc.) may not be duplicated in reimbursement requests.

2. Meals During Overnight Travel

A state employee in overnight travel status on official state business may be reimbursed for meals including lunch.  The travel must involve a travel destination located at least 35 miles from the employee’s regularly assigned duty station (vicinity) or home, whichever is less.
A state employee in overnight travel status may be reimbursed for meals for partial days of travel when the partial day is the day of departure or the day of return.  To be eligible the following criteria must be met:
• Breakfast - Depart duty station prior to 6:00 A.M. and the normal workday is extended by two (2) or more hours.
• Lunch - Depart duty station prior to Noon on day of departure or
Return to duty station after 2:00 P.M. on day of return.
• Dinner -  Depart duty station prior to 5:00 P.M. on day of departure or
Return to duty station after 8:00 p.m. on day of return and the normal workday is extended by three (3) or more hours.

3. Meals during Daily Travel

Allowances cannot be paid to an employee for lunches if travel does not involve an overnight stay.  To be eligible for breakfast and evening meal allowances when overnight travel is not involved, the following criteria must be met:
• Breakfast (morning) – Depart duty station prior to 6:00 A.M. and
The normal workday is extended by two (2) hours
• Dinner (evening) –  Return to duty station after 8:00 P.M. and
The normal workday is extended by three (3) hours
• The travel must involve a travel destination located at least 35 miles from the employee’s regularly assigned duty station (vicinity) or home, whichever is less.
 
4. Meals and Day-to-Day Activities

University employees may not be reimbursed for meals eaten in conjunction with a congress, conference, assembly, convocation or meeting, by whatever name called, of the employees within the University, or between employees of the University and other state departments, institutions, or agencies to discuss issues relating to the employee’s normal day-to-day business activities.
 
5. Meals for Required Employee Attendance

A University employee may be reimbursed for meals, including lunches, when the employee’s job requires his attendance at the meeting of a board, commission, committee, or council in his/her official capacity and the meal is preplanned as part of the meeting for the entire board, commission, committee or council.  Such board, commission, committee, or council must include persons other than University employees.

6. Meals and Commercial Air Travel

Employees are allowed to claim reimbursement for meals even though they are shown and offered as a part of one’s flight schedule on a commercial airline.

7. Excess Meals

No excess reimbursement will be allowed for meals unless such costs are included in registration fees and/or there are predetermined charges or the meals were for out-of-country travel.