Moving and Relocation Policy for New Employees

CSU Policy

The California State University HR Coded Memorandum - HR 2018-07 (PDF) provides the Systemwide policy and internal procedures governing reimbursement for moving and relocation expenses of individuals who change their place of residence due to the acceptance of a position with the California State University (CSU) under specified circumstances.

Campus Guidelines

Not all new appointees or current CSU employees will be eligible for reimbursement of moving and relocation expenses. The decision by an appointing authority (hiring manager) to offer moving and relocation expenses is discretionary and contingent upon the availability of funds and compliance with CSU policy, campus guidelines, including monetary limitations and approval authorizations.  All such expenditures must be reasonable, necessary and as economical as possible.

Moving and relocation expenses are permissible when: 

• The new employee possesses highly specialized skills needed by the campus; OR
• The new employee is currently located in a geographic location that makes working at Cal Poly Pomona prohibitive; OR
• Doing so provides incentive for the individual to accept the position. 

Exceptions to the above criteria must be approved by the campus Chief Financial Officer. 

The appointing authority must obtain written approval (signed by the vice president/president) of the proposed dollar amount of moving and relocation expenses to be reimbursed prior to extending the offer to the new employee. Vice Presidents can authorize reimbursements of up to $10,000. Presidential approval is required for reimbursements that exceed $10,000.

Reimbursements are limited to actual costs incurred up to the amounts agreed to by the department and the employee within the limits outlined in these guidelines. An approved Travel Expense Claim (EXCEL), with all of the required receipts and documentation for the new employee’s moving and relocation expenses, must be submitted to the Accounts Payable Department within 60 days of their arrival date.

Approval by the campus president is required for any exceptions for all moving and relocation reimbursements.

Reimbursement for any tax liabilities (“grossing up”) incurred by the employee as the result of receiving reimbursement for relocation expenses is prohibited. 

The CSU Internal Procedures Governing Reimbursement for Moving and Relocation Expenses authorizes expenses that are subject to taxation for the employee. Any such reimbursement shall be documented, paid, and reported in accordance with established accounting practices and state and federal regulations.

Procedures

1. Appointing authority must obtain written approval (signed by the vice president/president) of the proposed dollar amount of moving and relocation expenses to be reimbursed prior to extending the offer to the new employee.  Appointing authority to complete Certification for Reimbursement of Moving/Relocation Expenses form (PDF)
2. Arrange to have household goods relocated.
3. Identify appropriate transportation, lodging, and meal costs for new employee and spouse.
4. Complete the Travel Expense Claim (EXCEL) form.
5. Complete the Direct Pay Form (PDF).
6. Submit Certification form, Travel Expense Claim form, Direct Pay form and all itemized receipts to Accounts Payable electronically via email to cpp-ap@cpp.edu.  One payment request should be submitted per email, with all supporting documentation combined into one PDF document.

I. Complete Certification for Reimbursement of Moving/Relocation Expenses form

• The CPP employee's signature, Dean/Department Chair/Account Responsible Person, the Vice President (approval required for up to $10,000), and the CPP President (if total to exceed $10,000) must sign the Certification for Reimbursement of Moving/Relocation Expenses with the total negotiated payment amount indicated in the appropriate space (original signatures required).
• This form includes repayment information to be applied should the employee fail to start work or complete the terms of their employment, as explained in the section entitled, "Certification of Employee."
• Expenses associated with the relocation (i.e. moving of household goods, land transportation while en route to new location for new employee and spouse, air transportation for new employee and spouse, lodging while en route to new location for new employee and spouse, and meals while en route to new location for new employee and spouse) may be reimbursed up to the approved amount on the Certification Form and in accordance with the procedures outlined below.
• Moving and relocation expenses may be eligible for payment or reimbursement by California State Polytechnic University, Pomona.  As of January 1, 2018, all moving expenses paid or reimbursed by the CSU are taxable as wages to the recipient for federal income tax purposes.  The exclusion from gross income in Internal Revenue Code 217, as well as the fringe benefit rule in 132 (g), are suspended from 2018-2025.  However, California law does not conform to the federal suspension of the exclusion from income of qualified moving expense reimbursements.  Accordingly, California continues to apply the federal rule, which treats “qualified” moving/relocation expense reimbursements as nontaxable.  As a result, “qualified” reimbursements remain excludable from California wage reporting, Personal Income Tax (PIT), and State Disability Income (SDI) withholding.  A separate check will be issued, with the applicable tax withholding, through the Uniform State Payroll System.
• Identify the preparer’s name and the office telephone number at the bottom of the form.

Reimbursement is not allowed for any move less than 50 miles from the new employees former residence or if the new employees former residence was closer to the CSU Pomona campus.

II. Arrange to have household goods relocated 

The following moving companies may provide moving services, but usually require initial contact three weeks before the move to schedule time and resources appropriately.        

 Employees may choose from two payment methods:

If option (a) is chosen, the hiring department must contact the Procurement department to request a purchase order for the moving company to directly invoice the University.

III. Identify appropriate transportation, lodging, and meal costs for new employee and spouse

Original, itemized receipts, showing proof of payment are required for all expenses associated with the moving/relocation of $75 or more for the new employee and spouse, including airfare for the new employee and their spouse.

The reimbursement of daily meals and incidentals will be reimbursed based on the General Services Administration federal location-based per diem rate, with an overnight stay. The first and last day will be reimbursed at 75% of the daily per diem.

The approved Travel Expense Claim (EXCEL), with all of the required receipts and documentation for the new employee’s moving and relocation expenses, must be submitted to the Accounts Payable Department within 60 days of their arrival date.

1. If moving and relocation travel will be completed by a private vehicle:

a. Travelers must keep a record of the mileage traveled (direct route to new residence).

b. Travel on or after January 1, 2024, the mileage rate is $0.21 per mile (Prior travel between January 1, 2023 to December 31, 2023, the mileage rate is $0.22 per mile). 

c. Gasoline costs for private vehicles will NOT be reimbursed.

2. Transporting a personal vehicle

a. No reimbursement for transporting a private/personal vehicle or repairs on a private vehicle.

3. If moving and relocation travel will be completed by a rental vehicle:

a. The new employee may purchase additional insurance offered by a rental car/truck company; however, if additional insurance is selected, the new employee will not be reimbursed for the cost of the additional insurance.  

b. No mileage is reimbursed for rental vehicles.

c. Gasoline for truck rentals and car rentals is reimbursed when original itemized receipt(s) showing proof of payment is provided and attached to the Travel Expense Claim (EXCEL) form submitted to Accounts Payable at the conclusion of travel.

4. For moving and relocation travel, lodging expenses include room charges and applicable taxes (reasonable lodging for new employee and spouse) while en route to new residence.  No reimbursement may be claimed for additional nights in the same location, in-room movies, room service, personal phone calls, in-room mini bar, pet charges/fees, etc.

IV. Complete the Travel Expense Claim (EXCEL) form

V. Complete the Direct Pay Form (PDF)

VI. Submit the Certification form, Travel Expense Claim form, Direct Pay form and all itemized receipts to Accounts Payable electronically via email to cpp-ap@cpp.edu.  One payment request should be submitted per email, with all supporting documentation combined into one (1) PDF document.

References: 
CSU Travel and Business Expense Reimbursement Procedures (PDF) (updated April 2024)
HR Coded Memorandum - HR 2018-07 (PDF)
Tech Letter - HR/Benefits 2019-02 (PDF)
Taxability of Moving and Relocation Expenses (PDF) (updated August 2024)

Questions regarding the reimbursement of Moving and Relocation activity should be sent to Accounts Payable at cpp-ap@cpp.edu.