CALIFORNIA STATE UNIVERSITY, SAN BERNARDINO

POLICY ON REPORTING OF
FISCAL IMPROPRIETIES

RECOMMENDED BY ADMINISTRATIVE COUNCIL:    December 9, 2002

APPROVED BY ALBERT K. KARNIG, PRESIDENT:     January 23, 2003

FOR POLICY INTERPRETATION, PLEASE CONTACT:
Vice President for Administration and Finance:  909-880-5130

BACKGROUND

CSU Executive Order No. 813 outlines the process for reporting fiscal improprieties.  Section 20080 of the State Administrative Manual requires notification of the State Department of Finance, Office of State Audits and Evaluations (OSAE), and the Bureau of State Audits (BSA) of all cases of actual or suspected fraud, defalcation, or other irregularities involving State funds.  This information may arise internally or by an outside referral and may involve either state employees or others.

PURPOSE OF POLICY

The purpose of this policy is to outline campus procedures for complying with Executive Order No. 813.  This policy applies to both State and auxiliary organizations.

POLICY

Incidents of actual or suspected fraud involving State and/or non-State funds and amounting to $1,000 or more will be reported to the Vice President for Administration and Finance no later than the first business day following discovery of the irregularity.  This notification wil include:

1. Means and time/date of discovery
   

2. Names and status of employees who have access to funds and/or records
   

3. Circumstances of discovery of loss
   

4. Actual or estimated dollar amount
   

5. Internal controls that failed
   

6. Immediate corrective action taken
   

7. Punitive actions taken or being considered

The Vice President for Administration and Finance will notify the CSU Chancellor, Executive Vice Chancellor/Chief Financial Officer, University Auditor, and Chair of the Trustees' Committee on Audit within 24 hours after receiving this information.  Written reports will be forwarded to OSAE and BSA for incidents involving State funds.

In cases where complete information is not available by the first business day following discovery, a preliminary report will be sent to the Vice President for Administration and Finance.  A final report will be due within 30 days.  If the report cannot be completed within 30 days, a progress report will be submitted every 30 days until completion.

Questions on this policy may be referred to the Office of the Vice President for Administration and Finance.

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