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Internal Management Memoranda

EFFECTIVE DATE: December 1, 1993

INTERNAL MANAGEMENT MEMORANDUM NUMBER: 6C1-6.40-4 (Revised)

SUBJECT: IFAS; Policy and Procedures Governing Vending Machines and Concession Type Operations

1. University policy stipulates that drink and snack concessions at the IFAS units outside of Gainesville shall come under the same contractual arrangement in effect as in Gainesville, provided, that competitive bids can be obtained. In those cases where competitive bids cannot be obtained, concession type operations are to be carried on under the policy and procedures outlined herein.

2. The availability of drinks and snacks to the employees of Agricultural Research and Education Centers or other remote unit, serves a useful purpose for most locations. If the employees so desire and the unit administrator approves, a vending or concession type operation may be established. However, such an operation must be established and a record kept of its receipts and disbursements in accordance with the policy and procedures stated herein. The Assistant Director for Fiscal Services, IFAS, should be contacted for assistance with implementing the policy and procedures.

3. There may be two concession type operations:
   1. Coin operated vending machines

   2. Honor system (box, cabinet, refrigerator)

4. A coin operated vending machine may be furnished by the vendor or purchased by the employees.
   1. If the vendor furnishes the device to the unit and collect the revenues, a contract must be entered into between the University and the vendor, coordinated by the Business Services Division, and signed by the President of the University of Florida. Any commission coming from such an arrangement would be remitted by the vendor to Business Services Division for deposit to the concession fund.

   2. A unit may rent a vending device and purchase the drinks or snacks. This procedure would require that the unit personnel load the machine and collect and account for the receipts. The unit administrator must execute a written agreement with the vendor covering the terms of the lease.

   3. If the employees elect to purchase a vending device, no written agreement with the seller is required, except as may be necessary to provide for maintenance of the equipment.

5. If an honor system type of operation as convenience is established, voluntarily maintained by one or more employees of the unit for the benefit of all and no income is generated (cost and sale equal), no reporting is required except as noted in paragraph 9.f. below.

6. Where income is generated, (under 4b) or 4c)) i.e., where there is mark-up on the product, a record of receipts and disbursements must be maintained by someone appointed by the unit administrator. This procedure must be followed whether a coin operated dispensing device is used or not.

7. The equipment (if owned) and stock shall be deemed to be the property of the employees who comprise the unit at any given time. When an employee leaves that unit, he or she no longer holds any right to ownership in the equipment or products.

8. If employees purchase a dispenser, all net proceeds from the sale of the product shall be returned to those employees that share in the purchase until the dispenser is fully paid for.

9. Except as provided in paragraph 8 above, any net proceeds under 4b) and 4c) shall be used as follows:
   1. Awards, presentation of service pins and any costs associated therewith.

   2. An annual employee picnic or other similar group activity.

   3. Any purpose which serves to enhance the working environment and lead to greater employee satisfaction and productivity.

   4. Shall not be used for personal loans.

   5. The unit administrator shall assign responsibility for security and disbursement of the funds.

   6. The unit administrator shall publish internal operating procedures to insure compliance with this policy and shall file a copy of such procedures with the IFAS Office of Planning and Business Affairs. For vending and concession type operations to be established in the future, the internal operating procedures shall be filed in advance of initiating the activities.

10. The informal coffee pot and cracker jar type of operation is not covered by this policy.