Meals and Refreshments Under a Contract

Purpose

To obtain a waiver allowing appropriated funds to be used for the purchase of light refreshments and meals for either federal employees or contractors under a contract.

Procedure

NIH must maximize the use of appropriated funds to accomplish its research mission. Therefore, expenditure of funds for entertainment will be limited to those activities clearly in support of the goals and objectives of NIH and as authorized by NIH Manual Chapter 1160-1, Entertainment.

The HHS Policy on the Purchase of Food with Appropriated Funds, dated June 12, 2007, states that food cannot be purchased with appropriated funds unless it can be established as a necessary expense and one of the following four established exceptions to the HHS policy are applicable:

1. Federal employee training and conference training activities that qualify under the government Employees Training Act (GETA).
2. Federal employees’ award ceremonies per the Government Employees’ Incentive Awards Act.
3. Statutory authority to accept gifts and to use that money for the providing of food at various functions if deemed appropriate use of the funds and consistent with any conditions placed on the gift by the donor.
4. Extreme emergencies involving imminent danger to human life or the destruction of federal property.

In most cases none of the four established exceptions will apply. However, a waiver to the HHS policy may be requested. The standard for review is extremely high and a compelling case must be made to justify granting any requested waiver. Waiver requests must be approved in advance of the event using NIH Form 2408-1, Request for Use of Appropriated Funds or Gift Funds for Light Refreshments or Meals and Other Entertainment Expenses, as provided in paragraph G of the NIH Manual Chapter 1160-1.

All solicitations and contracts that may require the contractor to use contract funds to furnish light refreshments and/or meals must include the Article entitled Provisions Applicable to Direct Costs in Section B. This article indicates that use of contract funds to provide light refreshments and/or meals to either federal or nonfederal employees is unallowable unless the contractor has obtained the written authorization of the contracting officer.

Contractors

At least six weeks before a planned event, send a request to the project officer. Include the following information:

• Name, date, and location of the event at which the light refreshments or meals will be provided.
• Brief description of the purpose of the event.
• Cost breakdown of the estimated light refreshment or meal costs.
• Number of nonfederal and federal attendees receiving light refreshments or meals.
• If the event will be held somewhere other than a government facility, provide an explanation, including a detailed description of the efforts made to secure a government facility.

Ensure that per diem reimbursement claims against your contract are adjusted for meals furnished to you by the government by deducting the appropriate amount detailed in the GSA Meals and Incidental Expenses Breakdown. View the per diem rate for the primary destination to determine which meal and incidental expense rates apply.

Project Officers

Request approval to provide meals and light refreshments by following the procedure in Requesting Approval to Provide Meals and Light Refreshments.

Contracting Officers

Ensure the request is within the scope of the contract and follow the procedure in Requesting Approval to Provide Meals and Light Refreshments.

Contacts

See the OA staff listing for the appropriate contract specialist.

Links

Departmental Policy on Use of Appropriated Funds for Food at HHS-Sponsored Conferences

NIH Policy Manual Chapter 1160-1, Entertainment

NIH Policy Manual Chapter 1500, Travel Policies and Procedures

NIH Form 2408-1, Request for Use of Appropriated Funds or Gift Funds for Light Refreshments or Meals and Other Entertainment Expenses