UA Little Rock Administration Policy 306.1 – Collection of Employee Debts establishes guidelines for the collection of debts owed to UA Little Rock by current or former employees. Such debts arise from circumstances including, but not limited to, overpayment of employee compensation, excess travel reimbursements, educational expenses such as tuition and fees, personal campus services, or personal expenditures erroneously reimbursed from university funds.
In the event that an employee debt arises from educational expenses or charges for personal campus services, standard collection practices of the Office of Financial Services will be followed.
In the event that an employee debt occurs through overpayment of compensation, excess travel reimbursement, erroneous reimbursement of personal expenditures, or other employment related circumstances, the following procedures will be followed:
- Financial Services will inform the employee, in writing, that an overpayment has occurred. This communication will include the dates and amounts of over-payments.
- The employee will have five (5) business days from the receipt of the notice to either repay the money or make formal written arrangements for the repayment. The maximum repayment period will be based on the amount of the overpayment, the employee longevity, and other factors relevant to the decision. This repayment period must be approved by the Office of Financial Services. Appropriate documentation should be kept of all contact with the employee.
- If the employee has not responded after five (5) business days, Financial Services will send a second request with a second five (5) days for response to the employee and a copy to the employing department and the dean or equivalent officer, if applicable, of the employing department. A copy will be sent to the vice chancellor for finance and administration and to the vice chancellor of the responsible department. The maximum repayment period will be based on the amount of the overpayment, the employee longevity, and other factors relevant to the decision. This repayment period must be approved by the Office of Financial Services. Appropriate documentation should be kept of all contact with the employee.
If the employee is still employed by the university and does not repay or make appropriate repayment arrangements pursuant to paragraph 2 or 3 above, the debt amount will be deducted from the employee’s net pay. If the employee is terminating employment, any unpaid debts may also be deducted from the employee’s vacation or comp time balances.
If the employee is no longer working for the university and does not repay or make repayment arrangements pursuant to paragraph 2 or 3 above, the following procedures will be followed:
- All relevant information should be forwarded to the Student Accounts Office for placement with an outside collection agency.
- The former employee will be responsible for payment of all reasonable collection costs and charges necessary for the collection of any amounts due UA Little Rock.
Responsibility for Lost Funds
The chancellor may determine that the employing unit or larger organizational unit of which it is a part share responsibility for any error leading to the loss of funds and must repay all or part of the amount of the loss.