Report 2016-122 Recommendation 5 Responses
Report 2016-122: California State University: Stronger Oversight Is Needed for Hiring and Compensating Management Personnel and for Monitoring Campus Budgets (Release Date: April 2017)
Recommendation #5 To: University, California State
To ensure effective, consistent budget oversight at CSU campuses, the Chancellor's Office should require campuses to develop and implement budget oversight policies that define the minimum level and frequency of reviews that budget managers are required to perform, including the periodic comparison of budgets to actual spending levels, the types of corrective actions to take when they identify budget anomalies, and the retention of appropriate records of those reviews.
6-Month Agency Response
On October 13, 2017, the Chancellor's Office issued additional guidance regarding best practices for campus budget oversight. The guidance, contained in the Integrated California State University Administrative Manual, Section 2002, instructs each campus and the Chancellor's Office to establish written policies and procedures that specify the minimum level and frequency of reviews to monitor budget performance. The reviews to compare budgeted and actual revenue and expenditures must be documented, occur at least twice per year, and include any actions taken to resolve discrepancies. The documentation should be retained in accordance with campus written retention policies and should include details on the research to be conducted, a resolution plan, and expected and final completion dates.
- Completion Date: October 2017
- Response Date: October 2017
California State Auditor's Assessment of 6-Month Status: Fully Implemented
60-Day Agency Response
The Chancellor's Office is developing additional guidance regarding best practices for campus budget oversight.
- Estimated Completion Date: November 2017
- Response Date: June 2017
California State Auditor's Assessment of 60-Day Status: Pending
Agency responses received are posted verbatim.