THE UNIVERSITY OF MEMPHIS OPERATING PROCEDURE


SUBJECT:  Employee Debts to the University     

PROCEDURE NO.:  2D:01:09A                    DATE:   July 1, 1994
                                         
SUPERSEDES PROCEDURE NO.:  2D:01:09A         DATED:  March 1, 1991


                                INDEX

                             GENERAL 
                             NOTICE
                             HEARING
                             APPEAL
                             GARNISHMENT LIMIT
                             PAYMENT ARRANGEMENT
                             FRAUD AND EMBEZZLEMENT


                                GENERAL

In accordance with Tennessee Code Annotated Section 9-4-604, the
University may not pay any funds due an employee if the employee
has an outstanding indebtedness.  Tennessee Board of Regents
Guideline B-010 provides that an employee be given an opportunity
to appeal or otherwise have a hearing concerning the obligation
before the amount due is deducted from any payment to the employee,
i.e., wages, travel claims, or refunds.  This procedure is to
outline how an employee will be given notice of the indebtedness
and how the employee may appeal or request a hearing concerning the
indebtedness.


                                NOTICE

If an employee is indebted to the University, he/she shall be sent
a notice of the debt.  The notice shall be provided prior to
deducting any debt from amounts due the employee.  The notices will
be provided by the Department of Human Resources or the Payroll
Office in the case of salary-related debts; the notice will be
provided by the Parking Office for traffic and parking fines; and
the notice will be provided by the Bursar's Office in other cases. 
The notice (Attachment A) will state that if the employee does not
pay the indebtedness or request a hearing by a specified date, then
the indebtedness shall be deducted from the employee's next
paycheck and/or other payment due the employee.  Usually the
employee will be allowed a period of ten (10) days from the date of
the notice to pay the debt, request a hearing, or otherwise resolve
the debt; in cases of salary overpayment or termination of
employment a shorter time may be allowed if necessary to permit
deduction of the debt from the next salary or wage payment.


                               HEARING

Upon request by the employee, the Office issuing the notice shall
conduct a hearing whereby the employee will be provided an
opportunity to review the documentation of the indebtedness and
allowed to provide documentation (evidence) to dispute the debt. 
A representative of the department from which the indebtedness was
generated may be present at the hearing to answer questions by
either the hearing Office's representative and/or the employee.


                               APPEAL

An appeal by the employee of the decision by the hearing Office
concerning indebtedness may be made in accordance with the Appeals
of University Fees/Charges and Refunds Section of UOM Operating
Procedure No. 2D:01:04C, "University Fees and Charges."


                         GARNISHMENT LIMIT

Normally the amount deducted from any single paycheck will not
exceed the maximum amount that would be deductible under state
garnishment laws.  An exception may be made at termination of
employment.


                        PAYMENT ARRANGEMENT

Normally the University may not allow an employee to pay an
indebtedness by reduced periodic payments.  Depending upon the
circumstances, however, the Director of Finance may approve a
periodic payment arrangement.  A request for periodic payment must
be made in writing by the employee to the Bursar's Office.  Payment
arrangements are not subject to a hearing or appeal.


                      FRAUD AND EMBEZZLEMENT

Special procedure will apply to cases involving fraud and embezzle-
ment before funds will be withheld.




Attachment A


                         THE UNIVERSITY OF MEMPHIS
                         NOTICE OF INDEBTEDNESS AND
                          INTENT TO WITHHOLD FUNDS

Notice Issued to:                         Date Issued:
________________________________          _________________________________
________________________________          Date to File Request for Hearing:
________________________________          _________________________________
________________________________
SSN: ___________________________
Amount of Indebtedness: $_______
Description of Indebtedness: ______________________________________________
___________________________________________________________________________
___________________________________________________________________________
___________________________________________________________________________

Notice to Person Named Above:

Based upon records in this office, you are indebted to the University in the
amount shown above for the reason shown.  This notice is provided to advise 
you of the indebtedness and to provide you the notice required by The Univer-
sity of Memphis and Tenness Board of Regents policies and procedures.

Pursuant to UOM Policy No.:  1:2D:01:09 and Procedure No.:  2D:01:09A, any
funds owed to ;you by the University, i.e., wages, travel claims, refunds,
terminal leave, etc., may not be paid until such time as the debt owed by you
to the University is satisfied in full or appropriate payment arrangements
have been made.

If you believe that the amount of the debt is incorrect or that you do not
owe a debt to the University, you have the right to request a hearing in this
matter.  Please notify this office in writing by the date shown above if you
elect to have a hearing.  If you do not pay the debt, make appropriate pay-
ment arrangements, or request a hearing to dispute the debt by the date spec-
ified, the amount of the debt will be deducted from funds due you.

From each salary payment due you, only the maximum amount that is deductible
under Tennessee Board of Regents guidelines will be deducted (except in case
of a final payment).  If the debt is not satisfied with the first or subse-
quent deduction, deductions will continue to be made from all future payments
due you until the debt is fully satisfied.

If you have any questions concerning this notice or your rights in this mat-
ter, please contact the office shown below.  This is the only notice you will
receive on this matter.

                                          Direct Request for Hearing or
Notice Issued by:                         Questions to:
Name: _________________________           Name: ___________________________

Title: ________________________           Address: ________________________

Signature: ____________________           _________________________________

                                          Location: _______________________

                                          Telephone: ______________________