diff --git a/Reimbursements/Requirements.mdwn b/Reimbursements/Requirements.mdwn
index dde0999bee05ccaba0d7d411dbebfea219897033..d317467cf389f158e7d6d2086b2656d2114bc4db 100644
--- a/Reimbursements/Requirements.mdwn
+++ b/Reimbursements/Requirements.mdwn
@@ -28,7 +28,7 @@ doable by a bookkeeper with appropriate privileges.
 
 ### Defining the request form
 
-Requests for payment have four states: In Progress, Submitted,
+Requests for payment have five states: Pre-Approval, In Progress, Submitted,
 Accepted, and Rejected.
 
 Administrators can define questions to ask the requestor about the entire
@@ -66,12 +66,21 @@ accommodations expenses, etc.).
 ### Requestor workflow
 
 Requestor can log in and see the status of all their requests.  They can also
-create a new request, which starts in the In Progress state.
+create a new request, which starts either the Pre-Approval or the In Progress
+state.
 
 When they view a report, it shows the questions and answers about the entire
 report, and a list of associated expenses.  Viewing a specific expense
 similarly shows all the questions and answers about it.
 
+When a report is in the Pre-Approval state, the requestor is submitting not
+receipts or invoices, but documents regarding potential expenses that have
+not yet been incurred, but for which organization policies require
+preapproval by organizational management ahead of time.  The appropriate
+management representatives are duly notified by the system of pending
+Pre-Approval requests, and their approval moves the request into the In
+Progress state.  Their rejection moves the request to the Rejected sate.
+
 When a report is In Progress state, the requestor can edit any answer in the
 report or an associated expense.  They can also add an expense, which begins
 by asking them unconditional questions associated with expenses, and then