Trust Fund Policy

ICSUAMTrust Fund PolicyLorlie Leetham, Assistant Vice President, Fiscal Services & Auxiliary Reporting, SLO Kelly Cox, Associate Director, Financial Services Accounting, COJosee Larochelle, Associate Vice President, Finance, SJSUKristina Randig, Associate Director, Management & Accounting Practices Office, CO 2014 FOA/PSSOA CSU Business Conference2014 FOA/PSSOA CSU Business ConferenceToolbox Authorities

Trust Fund P0licyCarry Forward

The Matrix

Legal Manual

2014 FOA/PSSOA CSU Business ConferenceThe Authority of the CSUThe Constitution of CaliforniaState LawsEducation CodeBudget ActDonohoe Act of 1960Title VBoard of TrusteesChancellorCampus President

2014 FOA/PSSOA CSU Business Conference

2014 FOA/PSSOA CSU Business ConferenceTrust Fund Policy StructurePolicy ObjectiveThis policy is to provide direction for the establishment and management of CSU funds within the SCOs California State University Trust Fund 0948, in order to comply with all applicable laws, codes and regulations.

2014 FOA/PSSOA CSU Business ConferenceTrust Fund Policy StructurePolicy Statement EC 89721 provides for the broad delegation of authority for certain monies to be deposited in SCO Fund 0948. In order to provide management, governance and ensure compliance, the CSU has established unique CSU funds to account for the financial resources collected for a specific purpose. SCO Fund 0948 exists both in the records of the State Controller and in the official records of the CSU.

2014 FOA/PSSOA CSU Business ConferenceTrust Fund Policy Structure: AuthorityAuthority to establish a CSU fund within SCO Fund 0948 is provided through a Delegation of Authority (DOA). Examples: Education Code Budget Act Government Code Financial Aid Regulations EtcFor those categories listed above, a separate Local Trust Agreement is not required.

2014 FOA/PSSOA CSU Business ConferenceTrust Fund Policy Structure: AuthorityIn the absence of a DOA, a Local Trust Agreement (LTA) must be completed to establish a local trust fund. The CSU funds which require LTA include:

CSU #Fund Title491TF-Special Projects Fund-Special Projects496TF-Miscellaneous Trust542TF-Capital Project Management543TF-Cost Recovery/Reciprocal and Nonreciprocal Campus544TF-Cost Recovery/Exchange and Non-exchange Aux Orgs/3rd Party550TF-Restricted Expendable-Capital Projects2014 FOA/PSSOA CSU Business ConferenceThe MatrixCSU Fund, Description and Official definition!!Located in appendix 19 of the Legal Manual

2014 FOA/PSSOA CSU Business ConferenceThe MatrixFor each SCO/CSU Fund there is column for:DOA or LTAOther Authority Sources (i.e. Grantor Agreement or EO 1000)Education or Government code

2014 FOA/PSSOA CSU Business ConferenceDraft Policy Highlights500Service Provider Arrangements and AgreementsChanged review period to be in accordance with the contractual terms of the agreement or if not specified then annually, by the university Chief Financial Officer (CFO), or designee. 300 General Requirements - What Changed:Removed All reference to SCHOLARSHIPS

2014 FOA/PSSOA CSU Business ConferenceDraft Policy Highlights300 General Requirements - What Changed:

Removed from Section 800 Fund Specifics

Add language that additional requirements for individual CSU Funds are addressed in section 2.0 Authority and Fund Specifics, within the Legal Manual chapters.

Although these requirements are contained in the Legal Manual, they are an extension of this policy and campuses must be in compliance.

2014 FOA/PSSOA CSU Business Conference12Next StepsFinal issuance of the Policy - TBD

2014 FOA/PSSOA CSU Business ConferenceThe NewLegal Manual

2014 FOA/PSSOA CSU Business ConferenceThe New Legal ManualEnhancements include: CSU Business standards and InformationProcedure oriented information not appropriate for the policyLarger chapters will be broken into more manageable sectionsStandard formatting within ChaptersOne repository for documents housed elsewhere, i.e. RMP documents, various guidelines, emails, etc.

2014 FOA/PSSOA CSU Business ConferenceThe New Legal ManualTwo New Chapter Templates Chapters by CSU Fund

Chapters by Subject Matter

2014 FOA/PSSOA CSU Business ConferenceThe New Legal ManualThe standard template include the following:Overview Authority Fund Specific: (POLICY)Fund Management and AccountingReporting RequirementsFund BalanceGAAP ImpactResources

2014 FOA/PSSOA CSU Business ConferenceThe New Legal Manual

2014 FOA/PSSOA CSU Business ConferenceThe New Legal Manualhttp://www.calstate.edu/sfsr/Y-E-R_Instructions/2013-2014/LegalManual/index.shtml

2014 FOA/PSSOA CSU Business ConferenceThe New Legal Manual

2014 FOA/PSSOA CSU Business ConferenceDiscussion

2014 FOA/PSSOA CSU Business ConferenceAre we there yet?

2014 FOA/PSSOA CSU Business ConferenceTHE CONSTITUTION OF CALIFORNIA

DONOHOE ACT OF 1960CREATES THE CSU BOARD OF TRUSTEESAND CAL STATE SYSTEM OF CAMPUSES(EDUCATION CODE)

ARTICLE 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 Purchases

RESOLUTIONS AND ORDERS

CHANCELLOR OF THE CSU

THE CALIFORNIA LEGISLATURESTATE SENATE AND STATE ASSEMBLY

STATUTES AND APPROPRIATIONS OF FUNDS

CAMPUSPRESIDENT

EXECUTIVE ORDERS, DELEGATIONS OF AUTHORITY, AND POLICIES

State laws that govern CSU operations:

Budget ActBusiness and Professions CodeCode of Civil ProcedureCorporations CodeElections CodeFish and Game CodeGovernment CodeHealth and Safety CodeLabor CodePenal CodePublic Contract CodePublic Utilities CodeStreets and Highway CodeVehicle CodeWelfare and Institutions CodeCivil CodeCommercial CodeEducation CodeEvidence CodeFinancial CodeFood and Agricultural CodeHarbors and Navigation CodeInsurance CodeMilitary and Veterans CodeProbate CodePublic Resources CodeRevenue and Taxation CodeUnemployment Insurance CodeWater 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