Supplier or Manufacturer Rebates

Purpose

This establishes requirements and procedures for handling supplier and manufacturer rebates to ensure compliance with North Carolina ethics and procurement laws and to promote fiscal accountability across all University departments.

Statement

University employees are prohibited from using their official position to obtain personal financial gain or anything of substantial value for themselves, their immediate family, or any organization with which they are associated.

Violations of this may result in disciplinary action, up to and including termination.

Definition

A rebate is defined as the return of all or part of an amount paid for a product, whether as money, credit, merchandise, or other benefits based on prior purchases.
Examples include—without limitation—cash payments, credit toward future purchases, coupons, free goods, or gift cards.

Rebate Guidelines

Rebates associated with University purchases are considered the property of North Carolina A&T State University.
Employees may not personally retain, use, or otherwise benefit from any rebate or incentive obtained as a result of University-related transactions.

If a cardholder or department qualifies for a rebate, all instructions and legal requirements on the rebate documentation must be followed.

Procedures for Rebate Reimbursement

  1. Rebate Checks
    • Rebate checks must be made payable to North Carolina A&T State University.
    • If a rebate check is issued to an individual, it must be endorsed to the University or reimbursed using cash, money order, cashier’s check, or debit card.
    • Rebate funds must be deposited into the same account and object code from which the original purchase was made.
  2. Non-Cash Rebates (Certificates, Property, or Gift Cards)
    • Rebates in the form of merchandise, certificates, or gift cards must be returned to the department for University use.
    • Department heads must establish internal procedures to document and control the use of such rebates.
  3. Documentation
    • All rebate documentation must be retained with the original purchase records.
    • Records must clearly indicate the disposition of the rebate and verify that it was returned to the University.

Prohibition on Soliciting Rebates

Departments and employees may not solicit rebates or other incentives from suppliers.
Rebates must only be accepted when offered as part of a vendor’s standard sales promotion and must be credited to the University in accordance with this.

Authority

This is governed by: