3.2.2.2 Fiscal Stability of the Institution

Comprehensive Standard 3.2.2: Governing Board Control

The legal authority and operating control of the institution are clearly defined for the following areas within the institution’s governance structure. 

3.2.2.2 fiscal stability of the institution

Compliance Partial Compliance Non-compliance

NARRATIVE

The Constitution of the State of Florida, Article IX, Section 7(d) assigns responsibility for the fiscal stability of each university in the State University System of Florida (SUS) to the Board of Governors (BOG). The BOG is responsible for “cost-effective policy decisions appropriate to the university’s mission, the implementation and maintenance of high-quality education programs within law, the measurement of performance, the reporting of information, and the provision of input regarding state policy, budgeting, and education standards” (FS 1001.706(1)). In turn, BOG Regulation 1.001(1) delegates to the university boards of trustees “all of the powers and duties necessary and appropriate for the direction, operation, management, and accountability of their respective universities.”  Chapter 1010, Financial Matters, and Chapter 1011, Planning and Budgeting, of the Florida Statutes govern regulation of fiscal matters in the public universities of Florida, including the University of South Florida Sarasota-Manatee (USF Sarasota-Manatee).

The USF Board of Trustees (BOT) is responsible for the institution’s fiscal stability at the highest level. As provided in BOG Regulation 1.001(6)(a), the BOT is “responsible for the financial management of its university.”  Among the powers and duties related to this responsibility, the BOT must develop the USF System strategic plan; annually submit an institutional budget request; account for expenditures of all state, local, federal, and other funds; and maintain an effective information system to provide accurate, timely, and cost-effective information. The BOT has established fiscal policies to ensure the continued fiscal stability of the institution regarding investments (BOT Policy 06-001), derivatives (BOT Policy 06-002), debt management (BOT Policy 06-003), and real property (BOT Policy 09-001).

The BOT has delegated authority for financial oversight of the University to its Finance and Audit Workgroup, one of four university workgroups (BOT Operating Procedures, Article III, Section B). A recent agenda and minutes of the Finance and Audit Workgroup ( & , February 26, 2015) reflects its activities and actions.

In 2001 the Florida Legislature established that USF Sarasota-Manatee shall “be operated and maintained as a separate organizational and budget entity of the University of South Florida and that all legislative appropriations” will “be set forth as separate line items in the General Appropriations Act” (FS 1001.34(1a)). USF Sarasota-Manatee prepares a Legislative Budget Request and Capital Improvements Plan for consideration for inclusion in the USF System priorities. The USF Sarasota-Manatee Campus Board is responsible for approval of the budget, which it submits to the BOT.

Core Requirement 2.2 (Governing Board) provides additional information on USF Sarasota-Manatee’s governance. Please also see Core Requirement 2.11.1 (Financial Resources) and Comprehensive Standard 3.10 (Financial Resources) sections.

SUPPORTING DOCUMENTATION AND EVIDENCE

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