4:022 Operation of State-Owned and Rental Automobiles
|Austin Peay State
|Operation of State-Owned and Rental Automobiles
||May 11, 2018
||Vice President for Finance and Administration
It is the policy of Austin Peay State University to allow the use of vehicles for
approved business purposes.
The purpose of this policy is to establish regulations and procedures concerning the
use of motor vehicles owned by APSU or by off campus rental service for university
-State vehicle or motor vehicle
- General Provisions
- Fleet Vehicles
- Usage of University Vehicles
-Policy for Assignment of Motor Vehicle to the President
-Insurance and Accidents
-APSU Policy 4:015
State vehicle or
Any motor vehicle owned by Austin Peay State University or purchased or leased from
Any person employed full or part-time by Austin Peay State University or any person
serving as an ‘official volunteer’ at Austin Peay State University. An ‘official
volunteer’ is defined as a person whom the institution has properly registered with
the Tennessee Board of Claims pursuant to Tenn. Code Ann. § 8-42-101(3)(B).
- Motor vehicles are maintained at Austin Peay State University to facilitate the official
business of the University. It is the responsibility of all employees who use state
vehicles to ensure the efficient and economical utilization of such vehicles.
- All state vehicles shall be used in accordance with the provisions of this policy.
- All state vehicles shall be marked in accordance with the current APSU Marking Plan
as contained in this policy.
- Austin Peay State University maintains fleet vehicles, which are permanently assigned
to specific campus departments.
- Permanently assigned vehicles may not be used for commuting purposes unless the employee:
- Is departing upon or returning from an official trip away from his or her headquarters
or the employee needs the vehicle to conduct institution business after regular working
hours or before his or her usual working hours on the next day; or
- Has been approved by the President to be authorized to use the vehicle for commuting
Usage of University
- Vehicles may be rented for official APSU business.
- The vehicles may be used only for an approved University activity.
- The drivers of a vehicle must have a valid driver’s license.
- The person to whom the vehicle is assigned must abide by approved policies and procedures
during the period of assignment.
- Seat belt use is required in all vehicles used by any department and drivers are responsible
for enforcing this requirement for all vehicle occupants.
- The use of a cell phone is not allowed while operating a University vehicle.
- The use of tobacco products is not allowed in any University vehicle.
- The use of alcohol is not allowed in any University vehicle.
- The use of any prescription, over-the-counter medication or other substance that could
impair the ability of the driver to safely operate the vehicle is prohibited.
- Regular full-time or part-time employees are the only persons allowed to drive APSU
vehicles. As a general rule, students are not permitted to drive state motor vehicles.
However, a student may drive a state motor vehicle provided he/she is an employee
of the institution, is acting within the scope of his/her employment in driving the
state vehicle, has been given proper authorization and would be paid by the institution
for services rendered.
- Student Government Association (SGA) officers are not considered university employees
although they may receive a stipend. Therefore, even if their travel is in connection
with SGA business, such students are not permitted to drive state motor vehicles.
- Passengers in Austin Peay State University vehicles or leased vehicles should be limited
to Austin Peay State University employees within the scope of their job, students
engaged in school sponsored activities and other individuals with an approved travel
- Employees who choose to use personal vehicles for official university business shall
be compensated under Austin Peay State University travel policy 4:015.
|Policy for Assignment
of Motor Vehicle to the President
The president of Austin Peay State University may be provided an assigned motor vehicle
for his/her use or receive an automobile allowance. The terms of such use shall be
set forth in his/her employment agreement.
At the time of employment, the Austin Peay State University President may elect to
receive an assigned Austin Peay State University motor pool vehicle for his/her use
or a fleet vehicle allowance.
If assigned an Austin Peay State University fleet vehicle:
If receiving a motor vehicle allowance
- An appropriate motor vehicle is defined as a late model (no more than five years old)
four-door passenger sedan.
- Operating and maintenance cost of the assigned motor vehicle shall be the responsibility
of the institution.
- The replacement should occur as needed based on the useful life of the vehicle and
- If the vehicle is used for non-business purposes, the institution should report on
the employee’s Form W-2 the value in the employee’s income as compensation subject
to withholding for federal income taxes and applicable FICA taxes. In addition, these
amounts shall be considered as compensation for employee benefit purposes.
- The President shall receive a monthly cash allowance from the institution.
- The President will be responsible for all expenses to include a purchase or lease
of a motor vehicle defined as a late model (no more than five years old) four-door
- The President will be responsible for the operation, insurance, maintenance, and repair
cost of the said vehicle.
- The monthly automobile allowance amount shall be set in the President’s employment
agreement and consist of:
- The estimated monthly lease value of the suited motor vehicle.
- The operating component that applies a mileage rate that considers only the marginal
operational cost of a vehicle and assumes 12,000 business miles are driven annually.
- The Business Office is responsible to calculate and periodically update the monthly
vehicle allowance amount.
- Adjustments should be made periodically in conjunction with future compensation studies.
- The monthly automobile allowance must be included in the compensation on the employee’s
Form W-2 and is subject to federal withholding and applicable FICA taxes. In addition,
these amounts shall be considered as compensation for employee benefit purposes.
- A log that documents the President’s business related travels that exceed 12,000 miles
annually are eligible to be reimbursed for business related mileage. The log should
comply with IRS guidance for documentation of business usage of a motor vehicle and
submitted for reimbursement. The reimbursement rate is equal to the current approved
mileage rate less the current IRS standard mileage rate attributed to depreciation.
Mileage reimbursement paid under this item is not considered compensation for income
tax purposes and not subject to federal withholding and applicable FICA taxes.
- Neither the state nor APSU carries an automobile liability insurance policy for the
protection of faculty, staff, and students driving University-owned vehicles.
- The State Board of Claims, Nashville is the agency established to function in lieu
of liability insurance. Using staff attorneys, the board investigates and adjudicates
all claims against the state, including those arising from negligence of state employees.
The board makes decisions regarding the awarding of damages and the amount. The board
endeavors to make awards consistent with what would be awarded in a civil court of
- In accidents involving automobiles, two criteria must be met before the board will
consider a claim: (1) The driver must be a state employee and (2) the state employee
must be on official business. If these conditions exist, the claimant must establish
that he/she was injured and that the injury was the result of negligence of the state
- Austin Peay State University will affix an identifying decal containing a minimum
surface area of sixty square inches to all licensed vehicles. Small vehicles (one-and
two-passenger vehicles) may have smaller decals if necessary (minimum of thirty-six
- The identifying decal will be displayed on the passenger and driver’s door unless
otherwise stated. Some vans will be marked on the side at mid-panel height, and some
vehicles will be further identified as security, maintenance, etc.
- Vehicles for use by commissioned campus police offices will have markings as deemed
appropriate by the APSU Police Chief.
- Vehicle(s) assigned to the president will carry regular series license plates and
no decal identification.
Any exception to this policy must be approved in writing by the President.
APSU Policy 4:022 – Rev.: May 11, 2018
APSU Policy 4:022 (previously 4:025) – Rev.: March 9, 2017
APSU Policy 4:022 – Rev.: April 27, 2011
APSU Policy 4:022 – Issued: January 24, 2007
President: signature on file