May 11, 1983
COMPTROLLER'S MEMORANDUM NO. 20 (1982-83)
SUBJECT: TRAVEL - PROMOTIONAL ITEMS
Various companies periodically offer
sales promotions to increase business volume. This has been particularly
frequent since the deregulation of the airline industry. Comptroller's Memorandum No. 24 (1979-80) dated January 2, 1980, discussed the
distribution of cash and discount coupons by a particular airline.
Since then several airlines and rental car firms have participated
in some type of promotional activity.
The purpose of this memorandum is to provide
agencies with guidelines to use in determining whether to require
employees to submit to the agency promotional items that they
receive while performing official State business.
Promotional items which can be used for
lawful public purpose by the employee's
agency or another State agency should be submitted to the agency
which paid for the ticket. Also, promotional items such as coupons
which can be redeemed for cash should be submitted to the agency.
However, if the agency has several coupons that can be exchanged
for a gift of greater value than the cash value of the coupons
and the gift can be used by the agency for lawful public purpose,
it is recommended that the agency accept the gift rather than
the cash refund.
If the promotional items have no useful
purpose for the agency or State (such as free food or beverages
on an airline, etc.) the item may be used by the employee.
At the present time Hertz is offering gift
coupons to its customers. Effective immediately through July
31, 1983, Hertz will refund to each State agency $2.50 per gift
coupon which is turned in to Hertz. It is the agency's responsibility to communicate with its renters, accumulate the
coupons from its renters, and turn them in once a month to the
Hertz Sales office as follows:
| Mr. W. D. Morrison |
| 1200 Ford Road |
| Suite 136 |
| Dallas, Texas 75234 |
Hertz is requiring that the coupons be
remitted on an agency basis only and not by district or division.
The refunds should be handled by the agency as a current year
cash refund or prior year cash refund depending on the circumstances.
Please contact the Bureau of Auditing at 410-9194, Suncom 210-9194,
if you have any questions.
