Finance

"gift"

A given or granted item or benefit which falls outside the definition of a token gift.

"hospitality"

Food, entertainment and token gifts provided to the recipient at no cost or less than full cost, including such items as tickets to sports and performance events. Hospitality does not include purchases under the entertainment allowances of senior public officers, meals and refreshments (e.g., non-alcoholic beverages, snacks) provided to staff within regular employment, duty travel meals, gifts and celebrations in recognition of staff service.

"token gift"

A given or granted item of value to the recipient only with no other appreciable economic value. Examples are trophies, certificates or other customized symbols of appreciation, recognition or courtesy; free promotional items such as advertisers' calendars, pens, notepads, etc. Token gifts do not include personal benefits offered as purchase incentives (e.g., frequent flyer bonus points).

General

Hospitality must only be extended and accepted where appropriate.

Hospitality must be extended economically.

Authorization and Payment for Hospitality, Gifts, and Token Gifts Extended by the Government

Only Ministers, Deputy Ministers and their duly authorized delegates and service contractors may have expenditure authority for hospitality, gifts, and token gifts. An expense for hospitality, a gift or token gift must be authorized in advance by the appropriate expenditure authority and a separate accounting officer with the appropriate payment authority.

Where it is a functional responsibility of a Minister, Deputy Minister or their duly authorized delegate’s position to provide meals, beverages, refreshments, or participate or provide for reception, shows, or performances, in the conduct of government business, alcoholic beverages are permitted to be purchased with public funds, when appropriate, and subject to ministerial approval in advance of the event.

Every application for reimbursement of expenses for hospitality, a gift or token gift must be submitted on an approval form separate from all other approvals and must identify the recipient(s) of the hospitality, gift or token gift for audit purposes.  A public officer shall not claim expenses for hospitality, a gift or token gift as any other type of reimbursable expense (e.g., duty travel).

Hospitality, Gifts and Token Gifts Extended to Public Officers

Hospitality extended by the Government to public officers (as defined in the Financial Administration Act ) on any occasion must be limited to individuals required to participate, unless it is in the public interest to invite others. Expenses for staff social events and gifts to staff must not be charged to an appropriation, except as permitted in the Human Resources Manual.

Except as permitted in the Human Resources Manual, public officers shall not accept any gift or hospitality that could be perceived as influencing or rewarding their public function other than the pay and benefits accruing to their position. They shall not, in relation to their public function, accept personal gifts from parties outside the Government. To do so would be in conflict with the public interest. Public officers are permitted to accept token gifts from other public officers and parties outside the Government.

In relation to their public function, Ministers and Deputy Ministers and their duly authorized delegates and service contractors may accept gifts on behalf of the Government only. The benefit of any such gifts must accrue to all people of the Northwest Territories.

Alcoholic Beverages

Alcoholic beverages must not be charged to an appropriation. Alcohol purchased or consumed by a public officer must be paid for by others or at personal expense. This Directive does not apply to the entertainment allowances of senior public officers.

Variance from the Guidelines

Any variance from the following Guidelines must be made with good reason and justified for audit purposes in writing by the responsible expenditure officer, whose written justification must be attached to the related internal financial control documents.

Extending Hospitality and Giving Gifts

The extension of hospitality should be limited to:

1. Significant public or internal Government occasions such as conferences, dedications, commemorations, award presentations, ceremonies and exhibitions; and,
2. Working circumstances in which it is appropriate to extend hospitality to participants.

Formal or elaborate meals, paid entertainment and gifts should not be provided unless very special hospitality or the giving of gifts is appropriate (e.g., at events involving senior government visitors, guests of honour or staff service award recipients) as specified in the Human Resources Manual.

Accepting Hospitality and Gifts

Parties outside the Government might offer hospitality and gifts to public officers in order to promote their products, services and interests. Public officers should not accept hospitality in relation to their public duty unless it is provided equally to all interested parties (e.g., all participants in a conference).

Accepting Token Gifts

Public officers offered or accepting token gifts from parties outside the Government for special appreciation or recognition in relation to their public duties should inform their supervisors of their acceptance or intention to accept. Expenditure officers, contract authorities and purchasing officers who accept advertizing items should only use them with discretion. They should not allow them to influence or reward the performance of their duty to purchase economically on behalf of the Government. Officers responsible to recommend or award contracts should be especially careful of public perception.

Accepting Personal Benefits Offered as Purchase Incentives

Public officers should not accept personal benefits offered as purchase incentives unless all eligible suppliers offer comparable benefits. Public officers should not allow any such benefit to influence or reward the performance of their duty to purchase economically on behalf of the Government.

Meals and Refreshments Provided to Staff Within Regular Employment

This Guideline does not apply to duty travel meals, nor to the strict definition of hospitality set out in this policy.

Meals should only be provided to staff within regular employment when it is practical and economical to require staff to work through meal times (e.g., at "working lunches"). Refreshments (non-alcoholic beverages, snacks, etc.) should only be provided to staff within regular employment when the work is performed outside the normal work location of the majority of participants (e.g. at staff conferences).