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Legislature Queries CSU Outside Accounts

The CSUEU legislative committee recently found a 2013 state audit that identified accounts held by the CSU outside of the State Treasury. While it is uncertain what the $1.9 billion in funds is used for – or can be used for – legislative leaders at CSUEU’s urging authored a letter to the Chancellor’s Office requesting more information. The 2013 audit also showed that CSU revenues increased by $682 million in 2009-10 from tuition increases and lower spending caused by staff furloughs and layoffsPlease click the attachment and review the letter.  We thank them all for their support of this inquiry!

LEGISLATIVE HEARING ON CSU MANAGEMENT AND BUDGET AUDIT

 

A special legislative hearing has been announced to discuss and review CSUEU’s sponsored state audit. The April 2017 audit was highly critical of the CSU’s growth in management positions, the compensation paid to executives and the lack of adequate oversight and accountability of campus budgets.

 

The State Capitol hearing is scheduled for Wednesday, August 23, from 9:30-Noon in Room 447.

 

The report issued by state auditor Elaine Howle – “California State University: Stronger Oversight Is Needed for Hiring and Compensating Management Personnel and for Monitoring Campus Budgets,” – will be the subject of the Joint Legislative Audit Committee hearing. Highlights of the state audit report include:

 From 2007-2016, CSU management and supervisory positions grew more than double the growth rate of CSU support staff.  (Page 12)

 

·         Compensation for CSU management personnel grew to nearly a half-billion dollars per year, and significantly outpaced the salary increases of other staff.  (Page 7)

 

·         The CSU violated state regulations by granting salary increases to management personnelwithout evaluating their job performance.  (Page 22)

 

·         CSU campuses cannot adequately justify the significant increase in management personnel and their compensation.  (Page 21)

 

·         CSU campuses “do not adequately oversee their budgets,” which “reduce assurances” that state funds are being spent “efficiently and appropriately.”  (Pages 27-30)

 

·         There are no limits on the amount of money CSU executives receive for moving expenses and other “questionably large reimbursements;” payments as high as 30% of salary ($94,000).  (Page 40)

 

·         By 2015-16, in addition to salaries ranging from $283,668 to $370,240/year, most CSU presidents also received $45,000 to $60,000/year housing allowances, and $11,000 to $12,000/year car allowances. Additionally, many CSU presidents received campus foundation stipends ranging from $25,000 to $30,000/year.  (Page 39)

 

Read it yourself. “California State University: Stronger Oversight Is Needed for Hiring and Compensating Management Personnel and for Monitoring Campus Budgets” (Report #2016-122) Go to: http://www.bsa.ca.gov/repo rts/2016-122/index.html

 
More to come...