- 1 -

CSU Module 4 Procurement Law

An Overview of CSU: Legal Structure

I. In the Beginning

A. The Department of Education and State Colleges (Educ. Code § 66606, 66609)

B. The Master Plan for Higher Education (see now Educ. Code § 66012)

C. The Donahoe Higher Education Act (Stats. 1960, Ch. 49; Stats. 1961, Ch. 1796; now Educ. Code § 66000 et seq.)

II. Trustees of the California State Colleges

A. Early Powers Separating the Academy from State Government

1. Authority over Personnel – Non-civil Service (now, Educ. Code § 66609, 89500 et seq.)

CSEA v. Trustees 237 Cal.App.2d 530 (1965)

2. Authority over Physical Plant - CSU Contract Law (now, PCC § 10700 et seq.) CSEA v. Trustees 237 Cal.App.2d 541 (1965)

3. Authority over Gifts (Now, Educ. Code § 89720)

4. Independence from political and sectarian influence (now, Educ. Code § 66607)

B. History: Exodus from Sacramento - Physical Separation (effecting Educ. Code § 66607)

C. Early Delegation - The 8/4/61 “Statement of General Principles in the Delegation of

Authority and Responsibility”

D. The Phenomenon of Noncomprehensive Statutory Structure — Legislative Reticence to Create another UC

E. The List of Campuses, Real and Imagined — Educ. Code § 89001

Ill. CSU’s Role

A. Within California’s Public Higher Education (Educ. Code § 66010)

B. Policy to Admit California Residents Who Qualify (Educ.. Code § 66011) C. Duty to Strive for Excellence as Assigned in its Sphere (Educ. Code § 66013)

- 2 -

D. Primary Function to Offer Undergraduate and Graduate Instruction Through the Masters

Degree [Educ. Code § 66010.4(b)] IV. Governing the System

A. Board of Trustees

1. Where Trustees Come From (Educ. Code § 66602)

a. Appointment by Governor and Confirmation by 2/3 Senate for Public Members (16)

b. Appointment of Constituent Group Trustees (Faculty, Alumni, Two Students) (4)

c. Ex Officios (Governor is president of the Board) (4)

2. Bagley-Keene Open Meeting Act Applies (Gov’t Code § 11120 et seq.)

3. Policies and Rules Adopted by Board of Trustees (Educ. Code § 89030)

a. Title 5, Cal. Code of Regs (Adopted under Educ. Code § 89030.1)

b. Standing Orders of the Board

c. Rules of Procedure of the Board

d. Resolutions (See Index)

B. Chancellor

1. Appointment [Tit. 5, Cal. Code Regs § 42702(l)]

2. Evaluation (RBOT 09-87-06)

3. Delegation from Board to Chancellor - Standing Orders (Educ. Code § 89035)

4. Governance by Executive Orders, Policy Memoranda, and Consultation in Executive Councils

C. Presidents

1. Appointment [Tit. 5, Cal. Code Regs § 42702(1))]

2. Evaluation (RUFP 01-94-01)

3. Delegation to Presidents - 8/4/61 Board of Trustees Delegation; Chancellor’s Executive

Orders; Title 5, Sections 42402, 40100 et al.

4. Governance by Executive Memoranda and Consultative Bodies on Campus

D. Faculty (Tit. 5, Cal. Code Regs § 40400)

- 3 -

V. Advisory Bodies A. Campus Advisory Boards (Educ. Code § 89060 et seq. now repealed.)

B. Academic Senates 1. Statewide, created by BOT – SO VII 2. Campus, created by BOT – 4/6/61 (Resolution of BOT) 3. Recognized and Role Defined by HEERA (Gov’t Code §§ 3562 ( r ) (4), 3571) 4. See Munsee v. Horn, 71 Cal.App.3d 453, 139 Cal.Rpt.73 (1977)

C. CSSA – Resolution of BOT: REP 07-01-04 D. Alumni – Tit. 5, Cal. Code Regs § 42397 et seq.

VI. Administrative Powers – Educ. Code §§ 666000, 89030 A. Use of Campus — Rules Creating Misdemeanors (Educ. Code § 89031; Tit. 5, Cal. Code Regs § 42350 et seq.) B. Contractual Authority

Educ. Code § 89036 (General; goods and services; federal contracts) Educ. Code § 89046 (CSU as Lessor) Educ. Code § 89048 (Other Real and Personal Property Transactions) Pub. Cont. Code §§ 10295, 10430(a), 12100.5, 12120 (Exclusion from rest of State; Integrated Technology and Telecommunications) Pub. Cont. Code § 10700 et seq. (Construction and Conflict of Interest)

C. Name Change — Educ Code § 89034 D. Internal Audit Staff — Educ. Code § 89045 VII. Personnel Powers A. The Transfer Powers — Educ. Code § 66609 (Nonacademic, Academic, and Administrative

Employees) B. BOT Authority — Educ. Code § 89500 et seq. and Tit. 5, Cal. Code Regs § 42700 et seq. C. HEERA — Gov’t Code § 3560 et seq. D. Thus,

1. Look to MOU for United Employees and to Statutes and Regulations for Items Either not in Supersession or not in MOU.

2. Look to Statutes and Regulations for Nonunited Personnel: Executive, MPP, and Confidential Employees.

- 4 -

E. Oft Cited Law 1. Discipline: Educ. Code § 89535-89540 2. AWOL: Educ. Code § 89541 3. Resignation Set Aside: Educ. Code § 89542 4. Access to Personnel Records: Educ. Code § 89546 5. Layoff: Educ. Code § 89550 et seq. VIII. Financial Powers A. Expenditures — When Money May be Spent

B. Receipts — Where Money Goes

IX. Auxiliary Organizations

A. Principal Purpose: Capability and Flexibility (Bookstores, Food Services, Grant Administration, Student Government, Student Union Operations, Faculty Clubs etc.)

B. Although Legally Separate, Operationally Integral — Educ. Code § 89900 et seq.; Tit. 5,

Cal. Code Regs 42400 et seq.

C. Student Body Organizations, a Special Kind of Auxiliary Organization: Educ. Code § 89300

1. Use of Student Body Organization Funds — Educ. Code § 89302; Tit. 5, Cal. Code Regs § 42659

2. Open Meeting Law — Educ. Code § 89305 et seq.

X. Academic Affairs

A. Gender Equity in Athletic Programs — Educ Code § 89240

B. Religious Accommodation in Scheduling Tests — Educ. Code § 89320

C. Commercial Term Papers — Educ. Code §§ 66400-66405 Xl. Student Affairs

A. Student Discipline — Educ. Code § 66017, 66300; Tit. 5, Cal. Code Regs 41301-41304; E.O. 970.

B. Student Organizations — Tit. 5, Cal. Code Regs § 41500 et seq., E.O 969

C. Student Fees — S.O. III, 6-f; RFIN 03-04-00; E.O. 740

- 5 -

XII. Conflict of Interest

A. Use of Nonpublic Information for Private Gain — Educ. Code § 89006

B. Contracting and State Employment — PCC § 10831 et seq.

C. General Prohibition — Gov’t Code § 87100, 87103

D. Conflict of Interest Codes: Designation, Disclosure, and Disqualification — Gov’t Code § 87300 et seq.; Tit. 5, Cal. Code Regs 43810; 2 CCR 18730; BOT Resolution

E. Other Gov’t Code and Common Law

1. Limits on Gifts, Honoraria, and Travel — Gov’t Code §§ 89501, 89503, 89506

2. Contract Conflicts — Gov’t Code § 1090 et seq.

3. Acceptance of Passes and Discounts from Transportation Companies — California

Constitution, Article 12, Section 7

4. Common Law Conflict of Interest and Incompatibility of Public Office

- 6 -

THE CONSTITUTION OF CALIFORNIA

DONOHOE ACT OF 1960CREATES

THE CSU BOARD OF TRUSTEESAND CAL STATE SYSTEM OF CAMPUSES

(EDUCATION CODE)

ARTI

CLE

IV

ACTIONS OF THE BOARD RESOLUTIONS AND RULES

CALIFORNIA CODE OF REGULATIONS

TITLE 5. EducationDivision 5. Board of Trustees of the California State University Chapter 1. California State University

Subchapter 1. DefinitionsSubchapter 2. Educational ProgramSubchapter 3. Admission RequirementsSubchapter 4. Student AffairsSubchapter 5. AdministrationSubchapter 6. Auxiliary OrganizationsSubchapter 7. EmployeesSubchapter 8. Environmental QualitySubchapter 9. Contracts and PurchasesRE

SOLU

TION

S AN

D OR

DERS

CHANCELLOROF THE CSU

THE CALIFORNIA LEGISLATURESTATE SENATE AND STATE ASSEMBLY

STAT

UTES

AND

AP

PROP

RIAT

IONS

OF

FUND

S

CAMPUSPRESIDENT

EXEC

UTIV

E OR

DERS

, DE

LEGA

TION

S OF

AU

THOR

ITY,

AND

PO

LICIE

S

State laws that govern CSU operations:

Budget ActBusiness and Professions Code

Code of Civil ProcedureCorporations Code

Elections CodeFish and Game Code

Government CodeHealth and Safety Code

Labor CodePenal Code

Public Contract CodePublic Utilities Code

Streets and Highway CodeVehicle Code

Welfare and Institutions CodeCivil Code

Commercial CodeEducation CodeEvidence CodeFinancial Code

Food and Agricultural CodeHarbors and Navigation Code

Insurance CodeMilitary and Veterans Code

Probate CodePublic Resources Code

Revenue and Taxation CodeUnemployment Insurance Code

Water Code

SOURCE, FLOW, AND SCOPE OF STATE GOVERNMENT AUTHORITY AND REGULATIONS(Exclusive of case law, local governments, and Federal law)

September 2005

Selected constitutional articles and sections that

affect CSU:

Article III: State of CaliforniaArticle IV: LegislativeArticle V: ExecutiveArticle VII: Public Officers and EmployeesArticle XII: Public UtilitiesArticle XIII: TaxationArticle XIV: Labor RelationsArticle XVI: Public FinanceArticle XX, §3, §20, §23Article XXI: Architectural and Engineering Services