GENERAL SERVICES ADMINISTRATION
Washington, DC 20405
OGC 5090.1A CHGE 1
October 1, 2021
GSA ORDER
SUBJECT: Purchase of Promotional or Memento Items
1. Introduction. This Order provides practical guidance for using GSA (GSA or Agency) funds to purchase "promotional" or "memento" items. The general rule, expressed through a long line of decisions of the Comptroller General of the United States, is that government funds should not be used to purchase promotional or memento items. The purchase of promotional items is appropriate, however, under circumstances where their purchase is reasonably necessary to further an authorized Agency function or mission.
a. The purchase of promotional or memento items, even in situations where the purchase is generally permitted, should be carefully considered because individual employees can be held personally liable for the improper purchase of such items. If an improper purchase of promotional or memento items is made with Agency Funds, the Agency approving, certifying or disbursing officials or employees, or their supervisors, can be held personally liable. This would require such Agency official or employee to reimburse the Agency the entire amount of Agency Funds used for the improper purchase of the promotional or memento items. 31 U.S.C. §§ 3527 & 3528.
b. In general, any item with a value of $5 or less may be purchased as part of a marketing effort without prior approval. Any items with a value of greater than $5 may be purchased as part of a marketing effort upon approval of the appropriate Head of Service or Staff Office or Regional Administrator. Personal items such as food, eating utensils, clothing, toys or sporting equipment normally should not be used as promotional items as they have been considered to be prohibited personal gifts in past decisions of the Comptroller General.
c. Agency Funds include all Agency monetary resources derived from any source and held or maintained in any account (except for the Administrator’s Official Reception and Representation (R&R) fund). Agency Funds include: annual Congressional appropriations; revolving funds; franchise funds; enterprise funds; cooperative administrative support unit (CASU) funds; and funds derived from any other type of reimbursable activity, such as funds transferred or paid to the Agency from other federal agencies. All agency monetary resources are Agency Funds, unless otherwise indicated.
d. Employees who have questions about the propriety of purchasing a particular promotional or memento item should contact their servicing legal office in advance of any purchase.
2. Cancellation. GSA Order OGC 5090.1A is cancelled.
3. Purchase of Promotional Items. Promotional Items are items intended to communicate an authorized Agency event, service, product or business line. Promotional Items may be purchased with Agency Funds as part of a marketing strategy or in order to provide information about authorized Agency activities.
a. Marketing Activities.
(1) An essential part of GSA's core mission is to supply the federal government with quality goods, services and solutions. It is important for the Agency to disseminate information to federal customer agencies regarding the availability and advantages of selecting GSA as the preferred provider of goods and services. Agency Funds can be used without restriction or limitation for Promotional Items when:
(a) The primary purpose of the items is to communicate information about authorized services, products or business lines to our customers;
(b) The items are valued at $5 or less each; and
(c) The items are consistent with Agency marketing guidelines.
(2) Items with a value of $5 or less that are consistent with the Agency marketing guidelines may be purchased without prior approval and used as Promotional Items. Such Promotional Items may be provided to both employees and customer agencies as part of a marketing effort.
(3) Items with a value greater than $5 may be purchased with Agency Funds if they likewise meet the criteria set forth in paragraph 3.a.(1)(a) and (c) above, but only if the purchase is approved by the appropriate Head of Service or Staff Office or Regional Administrator or designee, as a reasonably necessary part of the promotion or marketing strategy. Personal items, such as food, eating utensils, clothing, toys, or sporting equipment normally should not be used as promotional items as they have been considered to be prohibited personal gifts in past decisions of the Comptroller General.
(4) Promotional Items generally should display GSA’s or the specific office’s information, such as the telephone number or website, so that customers can contact GSA or the specific GSA office. Employees should be prepared to demonstrate or document results of the marketing investment made in Promotional Items. Employees should consult the Office of Strategic Communication for applicable agency marketing guidelines and procedures.
b. Informational Activities. Agency Funds may be used to purchase promotional items that convey official information about authorized Agency functions when the objective of providing the item is to inform or educate GSA employees, prospective employees, customer agencies or the public about official Agency activities. Promotional Items, such as balloons or leaflets, announcing an upcoming official activity or event may be purchased with Agency Funds. Other items, such as lapel pins, also may be purchased if they are informational in nature or designed to assist the Agency in achieving internal management objectives.
4. Purchase of Memento Items. Memento Items are items given to an employee or other individual to serve as an award or gift other than as part of a promotional or marketing strategy. There is no authority to use appropriated funds to provide Memento Items such as souvenirs, keepsakes, or as informal thanks to employees or others. Generally, unless they are specifically authorized, Memento Items are considered to be prohibited personal gifts to the recipient and are not considered essential to the accomplishment of an authorized Agency mission. The following two exceptions may apply:
a. Employee Awards and Awards Ceremonies.
(1) Under the Government Employees Incentive Awards Act (Awards Act), 5 U.S.C. §§ 4501-4513, agency heads are authorized to present awards and incur necessary expenses for the honorary recognition of federal employees. The Office of Personnel Management (OPM) defines an "award" as "something bestowed or an action taken to recognize and reward individual or team achievement . . . in executing their official duties . . . that contributes to meeting organizational goals or improving the efficiency, effectiveness, and economy of the Government." 5 C.F.R. §§ 451.102, 451.104 to 451.106.
(2) The purchase of "honorary awards" or non-monetary awards, including Memento Items, is acceptable as long as the items are bona fide awards bestowed to recognize and reward achievement. The Awards Act provides federal agencies the authority to purchase items that are considered personal gifts if the Memento Items are used as bona fide awards. Agency awards also must comply with GSA’s internal award programs and guidance. For further guidance on non-monetary awards, refer to internal agency guidance currently contained in GSA Order HRM 9451.2, GSA Associate (Employee) Performance Recognition System (APRS) dated December 20, 2017 or contact your servicing personnel office.
(3) The Awards Act does not apply to non-federal employees. It may be appropriate, however, to present a memento item, such as a certificate or plaque of nominal value, to a non-federal employee in recognition of a significant contribution to the Agency if the award can be justified as being reasonably necessary to the accomplishment of an authorized Agency function or program.
(4) The presentation of an employee award is often accompanied by an awards ceremony. Agency Funds may be used to support or enhance an awards ceremony. It is permissible to purchase items such as banners, balloons and light refreshments, i.e., items of food and drink less than a meal, in order to make the ceremony a celebration. The Agency can properly pay for these items as a necessary expense incident to an awards ceremony.
b. The Training Act. The Government Employees Training Act (Training Act) authorizes agencies to purchase training materials such as pens, paper and notebooks. Such training material should be used during an Agency sponsored conference or meeting so that employees can participate fully in the conference session. 5 U.S.C. §§ 4101-4119. Memento Items of any dollar value given to agency employees as a souvenir or keepsake of the training conference or meeting that are not necessary to carry out the official agency business are considered personal gifts and are prohibited. The Training Act does not provide authority to use Agency Funds for the purchase of personal gifts to employees.
NITIN SHAH
General Counsel
U.S. General Services Administration