According to University Policy 602.10, Mobile Communication Device (MCD) allowances must be renewed annually.
Actions Required by May 31, 2020
- Review the University MCD policy, procedures, and FAQs.
- Complete the electronic MCD Allowance Request Form (more details provided below) to establish or renew MCD allowances for fiscal year 2021 (July 1, 2020 to June 30, 2021).
Business Use Justification: Employees are required to provide the “substantial noncompensatory business reason” for the allowance. Examples include:
- The employee’s job duties require them to be available at all times for work-related emergencies; or
- The employee’s job duties require them to be routinely available at times outside the normal work schedule or when the employee is away from the duty station.
Note: Teleworking is not an example of a substantial noncompensatory business reason when the employee chooses to telework but could otherwise report to their duty station.
Supporting Documentation: Employees are required to provide a copy of their most recent monthly bill or service provider contract with the request form.
- Departments may establish their own internal guidelines and/or definition of "business-related" when considering an acceptable percentage of total costs incurred by the employee; however, the allowance amount selected should not exceed the employee’s portion of actual monthly service charges incurred.
- MCD equipment charges, including insurance/protection plans, are not covered by this allowance.
- Determine the employee’s portion of actual monthly service charges -- Refer to this FAQ for examples.
- Existing MCD allowances expire June 30 -- A new eForm must be received by May 31, 2020 for an employee’s MCD allowance to continue. Allowances will not be processed retroactively.
- Compliance audit -- Each year, the Controller’s Office conducts a compliance audit of all new MCD allowances and a sample of renewals. This review helps ensure that we can continue to provide MCD allowances to employees as a non-taxable benefit. Employees, supervisors and department heads or delegates will be notified if additional justification, documentation, and/or adjustment is needed.
- Employee allowances established before June 30 must be renewed -- If a new employee starts before June 30, 2020 and is eligible for a MCD allowance in the current fiscal year, submit an MCD Allowance Request Form to establish the new allowance in fiscal year 2020 and renew the allowance for fiscal year 2021.