Minutes of the Board of Regents of Stephen F. Austin State University. 2006, Volume No. 221

              Stephen F. Austin
State University
Minutes of the
Board of Regents
Nacogdoches, Texas
January 19, 2006
Volume 221
Board Minutes for January 19,2006
(Volume 221)
Recognitions 1
06-13 Approval of October 19, October 20, November 12, December 9,
and December 14, 2005 Minutes 2
Correction of July 14, 2005 Minutes 2
06-14 Approval of Personnel Items
A. Faculty Appointments for 2005-2006 2
B. Staff Appointments for 2005-2006 3
C. Changes of Status for 2005-2006 5
D. Retirements 7
E. Voluntary Modification of Employment 7
06-15 Approval of Academic and Student Affairs Items
A. Faculty Workload Report for Fall 2005 8
B. Last Class Day Reports for Summer and Fall 2005 8
C. Name Change for Office of International Studies and Programs 8
D. Department of Accounting Name Change 8
E. Naming Of Department of Accounting 8
06-16 Rescisson of Faculty Workload Reports and Last Class Day Reports 10
06-17 Approval of Financial Affairs Items
A. Approval for Purchase Over $50,000 (Student Affairs-Jack Camp)... 10
B. Food Service Expenditure 10
C. Strength and Cardio Fitness Equipment Replacement 10
D. Resolution to Review Qualified Investment Brokers and
Financial Institutions 10
E. Resolution to Acknowledge Review of Investment
Policy and Strategy 11
F. Microsoft Site License 11
G. Lease of Xerox Docucolor 250 and Xerox 4100 for
Printing Services 11
H. Reallocation of HEAF 11
I. Daktronics Contract (Scoreboard/Marquee Athletic Sponsorship) 12
06-18 Approval of Building and Grounds Items
A. Approval of Pineywoods Native Plant Center Trail 12
B. Real Estate Purchases 12
C. Sewer Easement (Item Tabled) 12
D. Contracting with Environmental Consultant 13
E. Contracting with Construction Manager at Risk for Baseball/Softball
Complex 13
06-19 University Policies and Procedures
Policy Revisions ....13
VIII. Reports 13
A. Faculty Senate
B. Student Government Association
C. Audit Services Report
D. Signage Report from Student Design Class
E. Vice President for University Advancement
F. President
Appendix 1 - Resolution to Review Qualified Investment Brokers and
Financial Institutions
Appendix 2 - Resolution to Acknowledge Review of Investment Policy and
Strategy
Appendix 3 - HEAF Available for Board Reallocation
Appendix 4 - Policy Revisions
A-2 Academic Appeals by Students 4
A-9.1 Academic Integrity 6
A-12.1 Course Incidental Fees 10
A-24 Laboratory Fees 11
A-XX Research Development Program 12
C-4 Budget Change and Additional Appropriation 14
C-33 Purchasing Ethics and Confidentiality 15
C-34 Request to Establish An Account 17
C-36 Special Purchases 18
C-41 Investments 21
C-41.A Investments-Endowment Funds 34
C-44 Procurement Card 43
D-l Access to University Records 48
D-5 Asbestos Removal 49
D-7 Authority to Act in the Absence of the President 52
D-8.1 Computer and Network Security 53
D-9 Disposition of Abandoned Personal Property 56
D-ll Emergency Management Plan 58
D-12 Faculty/Staff Traffic Appeals 67
D-19 Illicit Drugs and Alcohol Abuse 71
D-19.1 Inclement Weather and Other Emergencies 79
D-28 Records Management 80
D-43 Computing Software Copyright 83
E-ll Discipline and Discharge 85
E-15 Employee Conduct 92
E-3 3 Nepotism 94
E-44 Security Sensitive Positions 96
E-47 Sick Leave 97
E-63 USA Patriot Act 100
E-64 Employee Training 101
E-66 At Will Employment 104
F-10 Emergencies 106
F-36 Administrative Systems Software Changes 108
F-37 Computer System Access 109
F-38 Restart and Recovery 115
F-40 Acceptable Use of Information Resources 120
06-20 Approval of Personnel Items (Football Coaches 2006-2007) 14
06-21 Appointment of Nominating Committee 15
Approved 4/13/06
Stephen F. Austin State University
Minutes of the Regular Meeting of the Board of Regents
Nacogdoches, Texas
January 19,2006
9:00 a.m.
Austin Building 307
The Meeting of the Board of Regents was called to order at 9:02 a.m., Thursday, January
19, 2006, by Chair Fred Wulf.
PRESENT:
Board Members: Mr. Richard Boyer
Dr. Margarita de la Garza-Grahm
Ms. Valerie Ertz
Mr. Joe Max Green
Mr. Kenneth James
Mr. Paul Pond
Mr. James Thompson
Mr. Melvin White
Mr. Fred Wulf
President: Dr.Tito Guerrero
Vice-Presidents: Dr. Mary Cullinan
Dr. Jerry Holbert
Dr. Baker Pattillo
Dr. Marlin Young
General Counsel: Ms. Yvette Clark
Other SFA administrators, staff, and visitors also were present in Room 307.
Chair Wulf presented a Board of Regents Lumberjack Axe to Monique Cossich for her
contributions in student recruitment.
Vice President Baker Pattillo introduced the following championship teams:
Southland Conference Women's Soccer Champions; Jamie Frias, Coach
Southland Conference Women's Volleyball Champions; Debbie Humphreys,
Coach
Southland Conference Men's Cross Country Champions;
Louis Snelling and Phil Olsen, Coaches
ESPN College Smash-Mouth Bass Champions; Dr. Ray Worsham, Coach
Ms. Sally Ann Swearingen, Associate Professor of Human Sciences, introduced her
design students who made a presentation on their Signage and Wayfinding Plan.
Approved 4/13/06
APPROVAL OF MINUTES
06-13
Upon motion by Regent Pond, seconded by Regent Ertz, with all members voting aye, it
was ordered that:
1. The minutes of the October 20, 2005 meeting be corrected to add the
following note to the Financial Affairs item in Board Order 06-05:
Research Development Fund (Clarification)
The original board item incorrectly noted that the Research Development
Fund involved an additional appropriation beyond that which was
originally appropriated by the Legislature and augmented the budget to
add $271,591 to the University's total budget. These funds were included
in the original Legislative appropriation and the University's budget
should not have been increased. These funds will still be expended as
noted, but are not an addition to the budget.
2. The minutes of the October 19, October 20, November 12, December 9, and
December 14, 2005, meetings be approved and that the correction to the July
14, 2005, minutes be approved as follows:
The minutes of the July 14, 2005, board meeting are corrected to add the
following Financial Affairs item to Board Order 05-48:
Automobile Insurance
Approval was given to secure Auto Insurance through the SORM program
for Fiscal Year 2006. The President was authorized to sign all contracts.
PERSONNEL
06-14
Upon motion by Regent Thompson, seconded by Regent Green, with all members voting
aye, it was ordered that the following personnel items be approved:
A. FACULTY APPOINTMENTS FOR 2005 - 2006
1. Applied Arts and Sciences
a) Karren Price, Assistant Professor of Criminal Justice, J.D. (Mississippi
College School of Law), at a salary of $45,000 for 100 percent time for nine
months, effective January 12, 2006.
b) Georgen Guerrero, Instructor of Criminal Justice, M.A. (Texas State
University), at a salary of $19,500 for 100 percent time for one semester,
effective January 12, 2006, contingent upon completion of Ph.D. by May 31,
Approved 4/13/06
2006. Upon completion of doctorate the position will be that of Assistant
Professor at a salary of $45,000 for nine months.
2. Business
a) Todd Brown, Assistant Professor of Economics and Finance, Ph.D.
(University of Nebraska), at a salary of $87,500 for 100 percent time for nine
months, effective August 22, 2006.
3. Education
a) Erica Dillard, Instructor of Elementary Education, M.Ed. (Stephen F. Austin
State University), at a salary of $41,000 for 100 percent time for nine months,
effective January 12, 2006, contingent upon completion of doctorate by
January 2012.
b) Jannah Nerren, Instructor of Elementary Education, M.Ed. (Stephen F. Austin
State University) at a salary of $41,000 for 100 percent time for nine months,
effective January 12, 2006, contingent upon completion of doctorate by Fall
2011.
c) Claudia Whitlev, Instructor of Elementary Education, M.Ed. (Stephen F.
Austin State University), at a salary of $41,000 for 100 percent time for nine
months, effective January 12, 2006, contingent upon completion of doctorate
by Fall 2011.
4. Forestry and Agriculture
a) Matthew McBroom, Assistant Professor of Forestry Hydrology, Ph.D.
(Stephen F. Austin State University), at a salary of $46,000 for 100 percent
time for nine months, effective December 1, 2005.
5. Sciences and Mathematics
a) Laura Logan, Clinical Instructor of Nursing, B.A. (Lamar University), at a
salary of $43,000 for 100 percent time for nine months, effective January 12,
2006, contingent upon completion of M.A. by August 2006 and with a waiver
from the Board of Nurse Examiners for the State of Texas.
B. STAFF APPOINTMENTS FOR 2005 - 2006
1. Auxiliary Services
a) Edward H. Burr, Manager of Computer Support at a salary of $41,000 for 100
percent time for 12 months, effective November 2, 2005.
Approved 4/13/06
2. Education
a) H. Ray Brown Jr., Director of State Leadership Consortium of the College of
Education at a salary of $72,000 for 100 percent time for 12 months, effective
September 13, 2005. This position is contingent upon grant funding.
b) Barbara Davis, Director of Gear Up Project of Secondary Education at a salary of
$72,000 for 100 percent time for 12 months, effective October 1, 2005. This
position is contingent upon grant funding.
3. Forestry and Agriculture
a) Stacy L. Ownbv, Medicinal Plant Research Associate at a salary of $28,000
for 100 percent time for 12 months, effective September 22, 2005. This
position is contingent upon grant funding.
b) Ping Wang, Medicinal Plant Research Associate at a salary of $28,000 for 100
percent time for 12 months, effective October 28, 2005. This position is
contingent upon grant funding.
c) Wei Yuan, Medicinal Plant Research Associate at a salary of $28,000 for 100
percent time for 12 months, effective October 3, 2005. This position is
contingent upon grant funding.
d) Wanli Zhang, Medicinal Plant Research Associate at a salary of $30,000 for
100 percent time for 12 months, effective October 3, 2005. This position is
contingent upon grant funding.
4. Health Services
a) Flamen David Ball Jr., M.D., Physician at a salary of $84,000 for 100 percent
time for 10.5 months, effective January 17, 2006.
5. Human Resources
a) Kristen Herring, Human Resource Representative at a salary of $38,600 for
100 percent time for 12 months, effective November 28, 2005.
6. Information Technology Services
a) Novel G. Schmidt, Programmer/Analyst I at a salary of $27,810 for 100
percent time for 12 months, effective December 5, 2005.
Approved 4/13/06
7. Sciences and Mathematics
a) Irina Teplova, Biotechnology Research Associate at a salary of $35,000 for
100 percent time for 12 months, effective December 1, 2005.
8. University Advancement
a) Kristen E. King, Telephone Outreach Program Supervisor at a salary of
$28,706 for 100 percent time for 12 months, effective December 1, 2005.
C. CHANGES OF STATUS FOR 2005 - 2006
1. Admissions
a) Andrea R. Graves, from Admissions Counselor at a salary of $18,000 for 100
percent time for 9 months to Admissions Counselor at a salary of $24,000 for
100 percent time for 12 months, effective November 2, 2005.
b) Stephanie L. Porter, from Accounting Clerk III at a salary of $24,801 for 100
percent time for 12 months to Admissions Counselor at a salary of $24,000 for
100 percent time for 12 months, effective October 3, 2005.
2. Applied Arts and Sciences
a) Jennifer M. Crenshaw, from Assistant Outreach Coordinator at a salary of
$30,024.54 for 100 percent time to Outreach Coordinator at a salary of
$35,880 for 100 percent time for 12 months, effective November 1, 2005.
3. Auxiliary Services
a) Shelly Lackey, from Assistant to the Director of Auxiliary Services at a salary
of $53,162 for 100 percent time for 12 months to Interim Director of Student
Center at a salary of $53,162 and an additional $500 per month while Interim
Director, effective January 1, 2006.
4. Education
a) Edward F. WitteL from Manager Computer Support Auxiliary Services at a
salary of $41,748.96 for 100 percent time to Technology and Data
Management Coordinator at a salary of $45,000 for 100 percent time for 12
months, effective October 1, 2005.
Approved 4/13/06
5. Forestry and Agriculture
a) James H, Bills, from Research Associate Systems Administrator at a salary of
$42,000 for 100 percent time to Research Associate Forestry Systems
Administrator at a salary of $43,260 for 100 percent time for 12 months,
effective September 1, 2005. This position is contingent upon grant funding.
b) Paul R. Blackwell. from Information Scientist at a salary of $75,261.65 for
100 percent time to Assistant Director Operations CRGSCS at a salary of
$80,000 for 100 percent time for 12 months, effective December 1, 2005. This
position is contingent upon grant funding.
c) Terry A. Corbett from Research Technician at a salary of $32,445 for 100
percent time to Research Technician Measurement/Biometrics at a salary of
$33,418.35 for 100 percent time for 12 months, effective September 1, 2005.
This position is contingent upon grant funding.
d) Jason B. Grogan, from Research Associate Forest Measurement at a salary of
$36,249.82 for 100 percent time to Geospatial Data Acquisition Specialist II
at a salary of $45,000 for 100 percent time for 12 months, effective November
14, 2005. This position is contingent upon grant funding.
e) Ching-Hsun Huang, from Research Scientist at a salary of $68,250 for 100
percent time to Research Scientist at a salary of $70,297.50 for 100 percent
time for 12 months, effective September 1, 2005. This position is contingent
upon grant funding.
f) Benjamin H. Koerth, from Research Associate at a salary of $43,328.28 for
100 percent time to Research Associate at a salary of $44,628 for 100 percent
time for 12 months, effective October 1, 2005. This position is contingent
upon grant funding.
g) James C. KrolL from Professor/Director at a salary of $97,356 for 100 percent
time to Professor/Director of Columbia Regional Geospatial Service Center at
a salary of $114,999.96 for 100 percent time for 12 months, effective
September 1, 2005, for the duration of this grant.
6. Information Technology Services
a) Richard M. Barnhart from Programmer/Analyst III at a salary of $41,219 for
100 percent time to Manager ITS SIS for 100 percent time at a salary of
$51,000 for 12 months, effective October 1, 2005.
b) Tracey P. Foster, from Programmer/Analyst I at a salary of $27,810 for 100
percent time to Programmer/Analyst III at a salary of $37,500 for 100 percent
time for 12 months, effective November 1, 2005.
6
Approved 4/13/06
7. Social Work
a) Becky L. Price-Mayo, from Lecturer/Interim Director at a salary of $47, 377 for
100 percent time to Lecturer/Interim Director at a salary of $51,847 for 100
percent time for 12 months, effective September 1, 2005.
8. Sciences and Mathematics
a) Jennifer A. Edwards, from Research Specialist at a salary of $32,919 for 100
percent time to Research Specialist Lab Management at a salary of $34,670 for
100 percent time for 12 months, effective September 1, 2005.
9. University Advancement
a) April L. Smith, from Telemarketing Program Supervisor at a salary of $28,707 for
100 percent time to Assistant Director of Development Giving for $32,702 for 100
percent time for 12 months, effective October 5, 2005.
E. RETIREMENTS
1. Auxiliary Services
a) Jack Nelson, Director of Auxiliary Services, effective December 31, 2005.
2. Education
a) Paulette D. Wright, Lecturer/Director Accessibility and Accountability,
effective December 31, 2005.
3. Liberal Arts
a) William D. Whitescarver, Assistant Professor of English and Philosophy,
effective December 31, 2005.
4. Physical Plant
a) Sherry Moore, Assistant Director of Physical Plant, effective January 31,
2006.
F. VOLUNTARY MODIFICATION OF EMPLOYMENT
1. Human Sciences
a) Rachel Underwood, at a salary of $26,484, effective August 28, 2006.
Approved 4/13/06
2. Psychology
a) Heinz Gaylord, at a salary of $34,089, effective August 28, 2006
ACADEMIC AND STUDENT AFFAIRS
06-15
Upon motion by Regent Green, seconded by Regent Boyer, with all members voting aye,
it was ordered that the following academic and student affairs items be approved:
A. FACULTY WORKLOAD REPORT FOR FALL 2005
The faculty workload report for Fall 2005 was approved.
B. LAST CLASS DAY REPORTS FOR SUMMER AND FALL 2005
The last Class Day Reports for Summer sessions and Fall 2005 were approved as
presented.
C. NAME CHANGE FOR OFFICE OF INTERNATIONAL STUDIES AND
PROGRAMS
The name of the Office of International Studies and Programs was changed to the
Office of International Programs.
D. DEPARTMENT OF ACCOUNTING NAME CHANGE
Approval was given to change the name of the Department of Accounting to the
School of Accountancy.
E. NAMING OF DEPARTMENT OF ACCOUNTING
The Board of Regents adopted the following resolution:
RESOLUTION
Adopted on January 19, 2006 by the
Board of Regents
of
Stephen F. Austin State University
WHEREAS, Gerald W. Schlief has served Stephen F. Austin State University with
distinction and honor as an outstanding student, varsity athlete, ROTC cadet and
fraternity officer; and
WHEREAS, he continues to faithfully serve Stephen F. Austin State University as
a dedicated and loyal alumnus; and
WHEREAS, he has distinguished himself as an innovative leader in the
independent oil and gas industry in Houston and internationally; and
WHEREAS, he has contributed and continues to contribute generously to the
programs of Stephen F. Austin State University and especially the Department of
Accounting; and
WHEREAS, in his loyal dedication to Stephen F. Austin State University, generous
spirit of service and standards of excellence, he has set a distinguished example for
others;
NOW THEREFORE, BE IT RESOLVED, that for his record of effective and
devoted service to Stephen F. Austin State University, the Board of Regents
expresses its admiration, gratitude and high regard by naming the Department of
Accounting at Stephen F. Austin State University the
Gerald W. Schlief Department of Accounting
Margarita de la Garza-Grahm, Secretary
Approved 4/13/06
06-16
Upon motion of Regent James, seconded by Regent de la Garza-Grahm, with all
members voting aye, it was ordered that the approval of Academic and Student Affairs
Items A (Faculty Workload Report for Fall 2005) & B (Last Class Day Reports for
Summer and Fall 2005) be rescinded and that these items be tabled. These items will be
placed on the agenda for the next board meeting.
FINANCIAL AFFAIRS
06-17
Upon motion of Regent Ertz, seconded by Regent Pond, with all members voting aye, it
was ordered that the following financial affairs items be approved:
A. APPROVAL FOR PURCHASE OVER $50,000 (STUDENT AFFAIRS - JACK
CAMP)
The Board of Regents authorized the President to approve contracts between the
University and Camp Olympia in excess of $50,000 necessary for the production
of the 2006 sessions of Jack Camp.
B. FOOD SERVICE EXPENDITURE
The Food Service expenditure budget was increased by $325,000.00 to cover
increased food service costs. This increase will be covered by over realized meal
plan revenue from the Fall 2005 semester.
C. STRENGTH AND CARDIO FITNESS EQUIPMENT REPLACEMENT
Approval was given to proceed with the purchase and installation of new strength
and cardio fitness equipment for the Norton HPE Complex weight room at a total
cost not to exceed $110,000. The source of funding will be the student
Recreational Sports fee.
D. RESOLUTION TO REVIEW QUALIFIED INVESTMENT BROKERS AND
FINANCIAL INSTITUTIONS
The Resolution Approving Financial Institutions and Brokers for Investment
Transactions was approved as presented in Appendix 1. The following
brokers/investment managers were approved: Merrill Lynch, Inc., ING,
Neuberger Berman, Fayez Sarofim & Co., Davis Advisors, Lazard Asset
Management, Franklin Private Client Group, Inc., MLIM L.P. Relative Value and
NFJ Investment/PIMCO Allianz. The following financial institutions were
approved: Citizens First Bank, Commercial Bank of Texas, First Bank and Trust
East Texas, Bancorp South Fredonia, Regions Bank Stone Fort, and Texas Bank.
10
Approved 4/13/06
E. RESOLUTION TO ACKNOWLEDGE REVIEW OF INVESTMENT POLICY AND
STRATEGY
The Resolution to Acknowledge Review of the Investment Policy and Strategy
was ratified as presented in Appendix 2.
F. MICROSOFT SITE LICENSE
Approval was given to proceed with the Microsoft site license renewal, but rather
than only for Office and OS components, for Microsoft Desktop Package which
includes Office Pro, Windows OS and CORE CAL at a cost not to exceed
$62,514.00 in FY06. Source of funds will be HEAF and Library O&M. The
President was authorized to sign the contract.
G. LEASE OF XEROX DOCUCOLOR 250 AND XEROX 4110 FOR PRINTING
SERVICES
Approval was given for Printing Services to terminate the two existing copier
lease agreements with Xerox for a Docucolor 12 and Xerox 5995 and replace
them with two new copier lease agreements for a Docucolor 250 and Xerox 4110
at a cost not to exceed $236,559 over the five year term of the leases. The new
leases are currently on the TCPN contract list. The President was authorized to
sign the necessary documents.
H. REALLOCATION OF HEAF
Approval was given to reallocate $899,000.00 of HEAF for the following:
Ferguson Building Renovations $ 150,000.00
Utility Energy-Saving Upgrades $ 100,000.00
Poultry House $200,000.00
Austin Building Offices $50,000.00
Police Communication System $ 160,000.00
Campus Signage (Way-Finding) $100,000.00
Theatre Scene Shop $60,000.00
UPD Roof Repair $30,000.00
Science Technology $24,000.00
(Support for Biology and
Chemistry Equipment)
Welcome Center Upgrade $25,000.00
Total $899,000.00
This reallocation is from previously funded projects specified in Appendix 3 and
totaling $1,815,540.97.
11
Approved 4/13/06
I. DAKTRONICS CONTRACT (SCOREBOARD/MARQUEE ATHLETIC
SPONSORSHIP)
Approval was given to enter into an agreement with Daktronics to manufacture,
install, finance and obtain sponsorships for new scoreboards and marquees at
Homer Bryce Stadium, the William R. Johnson Coliseum and the soccer field,
and the President was authorized to sign the contract. The University will later
purchase the baseball/softball complex scoreboards. Cost of the current order
placed with Daktronics shall not exceed the sponsorship revenues contracted to
finance the project.
BUILDING AND GROUNDS
06-18
Regent Green recused himself from the discussion and vote for the selection of the
Construction Manager at Risk for the Baseball/Softball Complex. Upon motion by
Regent Thompson, seconded by Regent Ertz, with eight members voting aye, Regent
Green abstaining, it was ordered that the following Building and Grounds items be
approved:
A. APPROVAL OF PINEYWOODS NATIVE PLANT CENTER
The Board of Regents authorized the SFA Pineywoods Native Plant Center
Recreational Trail Project and allowed construction to proceed at a cost not to
exceed $120,877. Source of funds: Texas Parks and Wildlife grant and Temple
College of Forestry and Agriculture matching funds.
B. REAL ESTATE PURCHASES
The University was authorized to purchase Lot 2 of the J. F. Feazell Subdivision
otherwise known as 214 Feazell Street and Lot 9-H of the City Block 45
otherwise known as 305 East Starr Avenue as authorized by Chapter 101,
Sections 95.31 and 95.33 of the Texas Education Code, if required, subject to
approval by the Texas Higher Education Coordinating Board. The price is
$130,000 for the Feazell property and $105,000 for the Starr property, subject to
seller removing houses as part of the consideration. Mr. John Rulfs, Director of
the Physical Plant, was authorized to sign necessary documents. The source of
funds will be Designated Fund Balance.
C. SEWER EASEMENT
This item was tabled and will be considered at a future Board Meeting.
12
Approved 4/13/06
D. CONTRACTING WITH ENVIRONMENTAL CONSULTANT
Approval was given for Hydrex Environmental, Inc. to be employed as an
environmental consultant for a period of five years at a cost not to exceed
$150,000. Costs will be allocated to specific projects as needed.
E. CONTRACTING WITH CONSTRUCTION MANAGER AT RISK FOR
BASEBALL/SOFTBALL COMPLEX
J.E. Kingham Construction Company was selected as the Construction Manager
at Risk for the Baseball/Softball Complex. (See Building and Grounds Committee
minutes of January 18, 2006, for basis of selection.)
UNIVERSITY POLICIES AND PROCEDURES
06-19
Upon motion by Regent Ertz, seconded by Regent Green, with all members voting aye, it
was ordered that the Board of Regents adopt the policy revisions as presented in
Appendix 4.
REPORTS
A. FACULTY SENATE
Chair Brian Oswald presented a report from the Faculty Senate. The Faculty is
working with the Provost in developing an improved Faculty Handbook. The Faculty
has expressed concern over the lack of funding for faculty searches. The Faculty has
heard presentations from administrators from various areas of the university during
this past semester, and the effort has improved communication and understanding.
The Faculty Senate is conducting an opinion survey of the faculty concerning whether
SFA should be part of a university system. Results will be reported in April at the
board meeting.
B. STUDENT GOVERNMENT ASSOCIATION
President Amber Lara reported that the Student Regent should be appointed on
February 1. The Chamber Connection, a forum between local businesses and
students, will be held on February 22. SGA Day was a big success; another one is
planned for the spring semester. Vice President Brittany Scott reported that the SGA
scholarship of $1000 over two semesters will be awarded soon. Pizza with the
President is a popular event and will be held again this semester. Reaction from
students to the new Lumberjack Lodge has been very positive.
C. AUDIT SERVICES REPORT
Gina Oglesbee reported results of a wireless security review and a public funds
investment act review. An NCAA audit has been conducted and results are available.
13
Approved 4/13/06
The Ethicspoint fraud reporting mechanism is due to be implemented in February.
Trainings for employees are being held during the next two months.
D. VICE PRESIDENT FOR UNIVERSITY ADVANCEMENT
Dr. Jerry Holbert presented a development report for the first quarter of FY06.
E. PRESIDENT
Dr. Tito Guerrero reported on the following topics:
• Presentation to the Texas Lyceum on the Challenges of Higher Education
in a Geographically Diverse State—Texarkana, Texas (January 21, 2006)
• Coordinating Board Meeting (January 26, 2006)
• Dinner Hosted by Nelson and Gertrude Rusche in Honor of the Schlief
Family (January 27, 2006)
• Ballet Hispanico in Turner Auditorium (January 31, 2006)
• Nacogdoches/Lufkin/SFA Day in Austin (February 8, 2006)
• Harlem Globetrotters in Johnson Coliseum (February 8, 2006)
• Symphonic Band in Cole Auditorium (February 9, 2006)
• NCAA Peer Review Campus Site Visit (February 22 and 23, 2006)
. Big Switch (February 28, 2006)
• Swinging Axes in Cole Auditorium (February 28, 2006)
• Salzburg Chamber Soloists in Turner Auditorium (March 6, 2006)
• Women's Choir and Choral Union in Cole Auditorium (March 7, 2006)
• Speaking Engagement with the Nacogdoches County Medical Society
(March 8, 2006)
• A Capella Choir in Cole Auditorium (March 8, 2006)
• Spring Break (March 13-17, 2006)
• Showcase Saturday (March 25, 2006)
Chair Fred Wulf announced an executive session of the board at 10:40 a.m. to discuss
the personnel items, football coaches and president.
The board returned to open session at 11:55 a.m.
06-20
Upon motion by Regent Ertz, seconded by Regent de la Garza-Grahm, with all
members voting aye, it was ordered that the following Personnel items be approved:
Athletics
a) Robert McFarland, Head Football Coach, at a salary of $113,300 for 100
percent time for twelve months, effective February 1, 2006.
b) James C. Harper, Assistant Football Coach, at a salary of $63,860 for 100
percent time for 10.5 months, effective February 1, 2006.
14
Approved 4/13/06
c) Matthew Graves. Assistant Football Coach, at a salary of $53,560 for 100
percent time for 10.5 months, effective February 1, 2006.
d) Jay Rodgers. Assistant Football Coach, at a salary of $54,000 for 100 percent
time for 10.5 months, effective February 1, 2006.
e) Gerald Broussard. Assistant Football Coach, at a salary of $61,800 for 100
percent time for 10.5 months, effective February 1, 2006.
f) Arlington Nunn. Assistant Football Coach, at a salary of $58,200 for 100
percent time for 10.5 months, effective February 1, 2006.
g) Darren Drago, Assistant Football Coach, at a salary of $53,000 for 100
percent time for 10.5 months, effective, January 11, 2006.
REPORT UPDATE FROM VICE PRESIDENT FOR ADVANCEMENT
Jerry Holbert was asked to add to his advancement report in the area of marketing.
Specifically, the board wanted to know what publicity was received for the Ribbon
Cutting Ceremonies the previous day. Jerry indicated that both the newspaper and
television had covered these events and offered to show the television news report during
the lunch hour.
06-21
Chair Wulf appointed the following regents as members of the nominating committee:
Regent Margarita de la Garza-Grahm, Chair; Regent Paul Pond; and Regent James
Thompson.
The meeting was adjourned at 12:05 a.m.
15
Appendix 1
BOARD OF REGENTS
OF
STEPHEN F. AUSTIN STATE UNIVERSITY
Nacogdoches, Texas
RESOLUTION APPROVING
FINANCIAL INSTITUTIONS AND BROKERS
FOR INVESTMENT TRANSACTIONS
WHEREAS, The Texas Public Funds Investment Act requires the University to submit a
resolution approving a list of qualified investment brokers to the governing body of the
institution for adoption and/or review; and
WHEREAS, the following firms are approved investment brokers:
Merrill Lynch, Inc.
ING
Neuberger Berman
Fayez Sarofim & Co.
Davis Advisors
Lazard Asset Management
Franklin Private Client Group, Inc.
MLIM L.P. Relative Value
NFJ Investment/PIMCO Allianz
WHEREAS, the following firms are approved financial institutions:
Citizens First Bank
Commercial Bank of Texas
First Bank and Trust East Texas
Bancorp South Fredonia
Regions Bank Stone Fort
Texas Bank
NOW THEREFORE BE IT RESOLVED that the Stephen F. Austin State University
Board of Regents, by the issuance of this Resolution, does hereby approve the above Jisted
firms for investment transactions by Stephen F. Austin State University; and
BE IT FURTHER RESOLVED that a copy of this resolution be spread upon the minutes of
the January 19, 2006 meeting of the Board.
THE BOARD OF REGENTS, STEPHEN F. AUSTIN STATE UNIVERSITY
Margarita de la Garza-Grahm, M.D., Secretary
Appendix 2
BOARD OF REGENTS
OF
STEPHEN F. AUSTIN STATE UNIVERSITY
Nacogdoches, Texas
RESOLUTION TO ACKNOWLEDGE
REVIEW OF INVESTMENT POLICY AND STRATEGY
WHEREAS, The Texas Public Funds Investment Act requires that each University's
investment policy and strategy must be annually reviewed by the governing board of the
institution; and
WHEREAS, the law also requires the governing body to adopt a written instrument stating
that is has reviewed the investment policy and strategy;
NOW THEREFORE BE IT RESOLVED that the Stephen F. Austin State University
Board of Regents, by the issuance of this Resolution, does hereby approve the investment
policy and strategy as reviewed on January 19, 2006; and
BE IT FURTHER RESOLVED that a copy of this resolution be spread upon the minutes of
the January 19, 2006 meeting of the Board.
Attest:
Fred Wulf, Chair fl Margarita de la Gar^a^rahfrt M.D&Secretary
Appendix 3
HEAF Plant and R&R Analysis
HEAF Plant and R&R Available for Board Reallocation
January 3, 2006
Appendix 4
Policies for Board Review
January 19,2006
Appendix 4
Appendix 4
Appendix 4
Academic Appeals by Students A-2
Original Implementation: August 31, 1981
Last Revision: January 15, 2002 January 19, 2006
Good communication between faculty and students will make disputes between them
infrequent, but if disagreements occur, it is University policy to provide a mechanism
whereby a student may formally appeal faculty decisions. When a student uses the
appeals procedure, all parties should endeavor to resolve the dispute amicably at as early
a stage as possible and in compliance with applicable laws, regulations and policies. The
faculty member, after considering the outcome of the appeals process, shall retain
complete academic freedom to make the final determination on the matter, and to assign
semester grades.
All materials under consideration at each step will be forwarded to the appropriate parties
at the next procedural level. These steps are to be followed when making an academic
complaint:
1. In the event of course-related complaints or disputes, the student must first appeal to
his/her the instructor for a resolution te of the matter and must do so within 30 days after
the first class day of the next long semester/session. Exceptions will be granted in which
appeals may be considered after this time period given extenuating circumstances. Given
extenuating circumstances, exceptions to this deadline may be granted.
2. If a complaint or dispute is not satisfactorily resolved, the student may appeal to the
Chair/director of the academic department in which the complaint or dispute is centered.
If a formal complaint is to be registered, it should be made in writing stating the specific
issues. The faculty member will respond with a written statement to the department chair.
3. If the complaint or dispute is still unresolved after appeal to the Chair/director, the
student or faculty member may appeal in writing to the dean Dean of the academic
college in which the complaint or dispute is centered. The dean Dean will notify the
faculty member or student of the appeal.
4. If a resolution of the matter is not reached, the dean student or the faculty member may
refer the -appeal to the College Council of the college in which the complaint or dispute
is centered. The College Council will evaluate the oral and written statements of the
student and the faculty member. If the College Council does not have at least one student
member, the President of the Student Government Association will be asked by the dean
Dean to recommend no more than two student representatives from that college to serve
for each case. The College Council will submit its recommendation to the dean Dean of
the academic college.
Appendix 4
5. If a resolution of the matter is not reached, the student or the faculty member may
appeal in writing to the Provost/Vice President for Academic Affairs. The Dean's written
recommendation in addition to all previous materials will be submitted to the
Provost/Vice President for Academic Affairs. The College Council of the College in
which the complaint or dispute is centered may serve as an advisory body to the Vice
President who will make the final decision (regarding professional judgments) in the
appeal process. The Vice President will evaluate all previous materials and any additional
oral presentations from the student and faculty member.
6. After making a decision, the ProvostAlice President for Academic Affairs will inform
the student and all persons involved in the appeal process of the final disposition
recommendation of the matter within a reasonable period of time.
STEPS FOR RESOLVING STUDENT-INITIATED ACADEMIC COMPLAINTS
Student
Instructor
Department Chair/Director
College Dean
College Council and 1 or 2 students
College Dean
Provost/Vice President for Academic Affairs
Appeals heard by the University Committee on Academic Integrity will not be processed
under Policy A-2, Academic Appeals by Students.
Source Of Authority: ProvostA/ice President for Academic Affairs
Cross Reference: Faculty Handbook, Student Handbook and Activities Calendar
Contact For Revision: Provost/Vice President for Academic Affairs
Forms: None
Appendix 4
Academic Integrity A-9.1
Original Implementation: Unpublished
Last Revision: July 15,2003 January 19, 2006
Academic Integrity is a responsibility of all university faculty and students. Faculty
members promote academic integrity in multiple ways including instruction on the
components of academic honesty, as well as abiding by University policy on penalties for
cheating and plagiarism.
Education
Faculty members are responsible for providing information about academic integrity and
education for maintaining academic honesty during their regular coursework. Course
syllabi provide information about penalties and the appeal process.
Definition of Academic Dishonesty
Academic dishonesty includes both cheating and plagiarism. Cheating includes but is not
limited to (1) using or attempting to use unauthorized materials to aid in achieving a
better grade on a component of a class; (2) the falsification or invention of any
information, including citations, on an assigned exercise; and/or (3) helping or attempting
to help another in an act of cheating or plagiarism. Plagiarism is presenting the words or
ideas of another person as if they were your own. Examples of plagiarism are (1)
submitting an assignment as if it were one's own work when, in fact, it is at least partly
the work of another; (2) submitting a work that has been purchased or otherwise obtained
from an Internet source or another source; and (3) incorporating the words or ideas of an
author into one's paper without giving the author due credit.
Procedure
A faculty member who has evidence and/or suspects that academic dishonesty has
occurred shall gather all pertinent information, approach the student or students involved,
and initiate the following procedure.
The faculty member shall review all evidence of cheating or plagiarism and discuss it
directly with the student(s) involved. After hearing the student(s)' explanation or
defense, the faculty member will determine whether or not academic dishonesty has
occurred and will decide what penalty will be imposed. The faculty member will consult
with his/her ehak Chair and deaft Dean in making these decisions. Penalties may include
reprimand or no credit for the assignment or exam, or re-submission of the paper, or
make-up exam, or failure of the course. (Penalties for academic dishonesty and
information on the appeals process should be outlined in the course syllabi.)
Appendix 4
After a determination of dishonesty, the faculty member shall notify the Office of the
Dean of the student's major by submitting a Report of Academic Dishonesty form, along
with supporting documentation as noted on the form. This report shall be made part of
the student's record and shall remain on file with the Dean's office for at least four years.
The Dean shall refer second or subsequent offenses to the University Committee on
Academic Integrity established under this policy. The faculty member shall also inform
the student of the appeals process available to all SFA students. (Academic Appeals by
Students, Policy A-2) (Policy A 2).
The Student File
A student's file on academic dishonesty will not be available to faculty members. The
purpose of the file is for the 4em Dean to track a pattern of multiple cases of academic
dishonesty during a student's academic career at Stephen F. Austin State University.
Students who are found to have cheated/plagiarized and have withdrawn prior to the
award of a grade will continue to have the determination of the infraction within their
student records. This finding will be considered by the University Committee on
Academic Integrity should the student commit future offenses.
Appeals
A student who wishes to appeal decisions related to academic integrity follows
procedures outlined in policy A-2. A student must appeal within 30 days of the
beginning of the long semester following the incident. The student(s)' grade may be
withheld by the instructor pending resolution through the above procedures.
If the student wishes further appeal, he/she may apply to the Provost V.P. for Academic
Affairs for a hearing by the University Committee on Academic Integrity.
The University Committee on Academic Integrity
This committee shall be formed by the academic vice president Provost and Vice
President for Academic Affairs for the purpose of monitoring academic integrity among
students. The committee shall be composed of a faculty representative elected from each
college and one student representative appointed by the provost Provost and viee
president Vice President for academic affairs Academic Affairs. The committee chair
will be appointed by the Academic Vice President Provost. A faculty member who
reports an offense may not serve on the committee considering that offense.
The Committee is charged to adjudicate in the following situations:
-k appeal by student
2r referral by academic dean on account of repeat offenses
Appendix 4
^7 direct referral by faculty member for potentially grievous infraction
When a student is found guilty of two or more infractions, the case will be referred to the
University Committee on Academic Integrity. In addition, faculty members may request
that the Dean refer particularly serious cases (buying or selling papers, stealing an exam,
significant plagiarism at the graduate level, etc.) directly to the University Committee on
Academic Integrity.
When the committee is convened for a hearing, the case will be reviewed, and the
professor and student(s) will be interviewed. The committee may will make one of the
following recommendations to the Academic V.P. who is responsible for the
implementation of this policy.
a. no action is taken—
b. the faculty decision is upheld
c. the student is found not guilty
d. probation
e. suspension from the university
a. no action is taken
b. probation
c. suspension from the university
A student must accept the decision of the committee; however, the committee may not
interfere in the faculty member's selection of a penalty for a confirmed instance of
academic dishonesty. If the committee rules that the student did not commit academic
dishonesty, the faculty member may not impose a penalty of any kind. The faculty
member retains the right to assign student course grades without interference from the
committee. When a student who is found guilty of two or more infractions, the case will
be referred to the University Committee on Academic Integrity. In addition, faculty
members may request that the dean refer particularly serious cases (buying or selling
papers, stealing an exam, significant plagiarism at the graduate level, etc.) directly to the
University Committee on Academic Integrity. The committee may also function when a
student has exhausted the normal appeals process and wishes to have an additional
hearing.
Source of Authority: Provost and Vice President for Academic Affairs and Vice
President for University Affairs
Appendix 4
Cross Reference: Faculty Handbook. Student Handbook, Academic Appeals by
Students, Policy A-2. and Add/Drop, Policy A-5
Contact for Revision: Provost and Vice President for Academic Affairs
Current Policy Committee
Forms: Report of Academic Dishonesty Form.doc
Appendix 4
Course Incidental Fees A-12.1
Original Implementation: April 30, 2001
Last Revision: October 27, 2005 January 19, 2006
Each course other than a laboratory class that is offered by the University will may
charge a course incidental fee e£$6. The course incidental fee charged must reasonably
reflect the actual cost to the University of the materials and services for which the fee is
collected. These funds will be used to provide cover the cost of materials, supplies,
and/or services which result in a direct educational benefit in the classroom, including
such things as guest lecturers or travel expenses to off-campus locations.
Laboratory classes charge a fee for the purpose of providing materials and supplies in the
laboratory (See Policy A-24, Laboratory Fees): therefore, the course incidental fee will
not be charged for a laboratory class.
In those cases where the costs of classroom materials, supplies, expendable equipment,
and guest lecturers or travel expenses to off campus locations as an integral part of the
classroom learning experience exceed the $6 minimum, tho additional per capita cost of
these goods and sendees and other educational opportunities may bo added to tho
minimum foo. The course incidental fee charged must reasonably reflect the actual cost to
the University of the materials and services for which the fee is collected.
Course incidental fees in excess of $6 shall by may-be-recommended by the department
chair/director must be -aad-approved by the Dean of the College and the Provost and
Vice President for Academic Affairs. These fees shall bo . and published in the
appropriate bulletin media, of the University. New and changed These fees will be
reviewed and approved annually by the Board of Regents. All course incidental fees will
be published in the appropriate media and will be are to be collected by the Controller's
Office through student billings. T All course incidental fees collected are to be spent for
materials, supplies and/or services which provide a direct benefit to the classroom
environment.
Source of Authority: Texas Education Code, Sec. 54.501 and 54.504, VTCA, Board of
Regents, President, Provost and Vice President for Academic Affairs
Cross Reverence: Nono
Contact for Revision: Provost/Vice President for Academic Affairs
Forms: Lab and Course Incidental Fee
10
Appendix 4
Laboratory Fees A-24
Original Implementation: June 29, 1981
Last Revision: July 25, 2002 January 19, 2006
Laboratory fees shall be assessed in an amount sufficient to cover in general the cost of
laboratory materials and supplies used by a student. A department division or a-school
may choose to average the costs over its total laboratory program and set an appropriate
uniform fee. The basic fee is $10. For those classes where it can clearly be demonstrated
that the value of expendable supplies is well beyond $10, a reasonable laboratory fee, not
to exceed $30 may be charged.
Laboratory fees will be recommended by the department Chair/Director and approved by
the Dean of the College and the Provost and Vice President for Academic Affairs and
published in the appropriate bulletin media, of the University. Fees will be reviewed
annually in conjunction with the April meeting of the Board of Regents.
Source Of Authority: Texas Education Code, Sec 54.501 and 54.504. VTCA, Board of
Regents, President, Provost and Vice President for Academic Affairs
Cross Reference: Faculty Handbook
Contact For Revision: Provost/Vice President for Academic Affairs
Forms: None
11
Appendix 4
Research Development Program A-XX (New Policy)
Original Implementation: January 19, 2006
Research Development Program funds are intended to provide funding to promote
increased research capacity at eligible general academic teaching institutions (Texas
Education Code, Chapter 62).
The Research Development Program at Stephen F. Austin State University provides
support for building research capacity, collaborative research, and/or activities that will
increase competitiveness in the acquisition of external funds for research.
The Associate Vice President for Graduate Studies and Research (AVP) will evaluate
research development grant proposals and award funding based upon criteria established
by the AVP and approved by the University Research Council. For proposals that request
$50,000 or more in Research Development Program funds, the AVP will make
recommendations for funding to the Provost and Vice President for Academic Affairs.
Any faculty member of the rank of instructor or higher, research associate, or any
professional librarian is eligible to apply for a research development grant, subject to the
following conditions:
1. A research development proposal must address the purpose of the Research
Development Fund (i.e., to increase the research capacity of the University) and
therefore proposals which would benefit or address only the research interests of a
single individual will not be considered.
2. Except in extraordinary circumstances, an applicant is limited to one faculty
research grant award, one minigrant award, or one Research Development grant
in a single year.
3. Research development grant funds may not be used to supplant funds for research
activities or equipment supported by other sources. However, research
development funds may be used for matching or cost-sharing.
Researchers who have access to research funds from other sources are encouraged
to exhaust all alternative funding pathways before applying for a research
development grant.
4. In the expenditure of research development grant funds, a recipient is subject to
all local, state, and federal regulations.
5. Any research proposal that would involve the use of human subjects, laboratory
animals, or hazardous materials must be accompanied by a memorandum of
approval from the chair of the appropriate University committee. These
committees are: Institutional Review Board for the Protection of Human Subjects,
12
Appendix 4
Institutional Animal Care and Use Committee, Environmental Safety and
Health/Radiation Committee, Biosafety Committee, and Public Health
Committee.
6. A research grant recipient must meet deadlines for deliverables as outlined in the
approved proposal. Periodic reports are expected and are to be filed with the
Office of Research and Sponsored Programs. The final report must include a 200-
word abstract of the results of the award and a statement of the increased research
capacity that has resulted from the award.
7. Any publication resulting from a research development grant shall acknowledge
the source of funds as a Stephen F. Austin State University research development
grant. Copies of the publication shall be filed with the Office of Research and
Sponsored Programs and with the Steen Library.
8. Each recipient of a research development grant is subject to the provisions of, and
shall be responsible for adherence to, the University policy on Intellectual
Property (Policy D-20), which applies to "... intellectual property of all types
(including any invention, discovery, trade secret, technology, scientific or
technological development, computer software, conception, design, creation or
other form of expression of an idea ) regardless of whether subject to protection
under patent, trademark, or copyright laws or common law."
In addition, each recipient is responsible for securing and disposing of all other
legal claims, such as copyrights, to any publication or other original creation
made or conceived in the course of research or other activity supported by a
research development grant.
For information on application procedures, program guidelines, submission deadlines,
methods and criteria for evaluating research development proposals, contact the Office of
Research and Sponsored Programs.
Source of Authority: Texas Education Code, Ch. 62, Subchapter E; Provost and Vice
President for Academic Affairs
Cross Reference: University Policy D-20, Intellectual Property; University Policy A-62,
Human Research Subjects Protection; Research Development Fund Proposal Guidelines
Contact for Revision: Associate Vice President for Graduate Studies and Research
Forms: Application cover page (link to)
13
Appendix 4
Budget Change and Additional Appropriation C-4
Original Implementation: Unpublished
Last Revision: April 30, 2002 January 19, 2006
A "Budget Change and Additional Appropriation" form is used to transfer budgeted
funds from one budget category to another within an account, from account to account,
used to request funds to supplement existing budgets, and may be used to transfer funds
between accounts. In addition, the form may be used to request a budget change. If a
departmental income account's actual revenue exceeds its revenue estimate, a department
may request a budget revision to increase its revenue estimate and expenditure budget.
All budget changes in excess of $1,000 require approval of the Vice President for
Business AffaivsFinance and Administration and the President, and budget changes in
excess of $50,000 require approval of the Board of Regents.
The "Budget Change and Additional Appropriation" form must be completed by the
originator and approved at appropriate division levels. After division approval, the form
will be sent to the budget office. The request will be reviewed, and if appropriate,
approved and recorded. If additional information is needed, the originating department
will be contacted.
Account managers should verify that the transaction has been recorded in the accounting
system.
Source of Authority: Board of Regents, President, Vice President for Business
AffairsFinance and Administration
Cross Reference: None
Contact for Revision: Director of Financial Services
Forms: Budget Add/Change and additional Appropriation form (available om SFA
FormsServer Budget Office https://apache, sfasu, edu/sfaforms/budget chg. shtml)
14
Appendix 4
Purchasing Ethics and Confidentiality C-33
Original Implementation: Unpublished
Last Revision: October 20, 2005 January 19, 2006
Credibility and public confidence are vital throughout the purchasing and contracting
process. If any involved party displays a lack of honesty, integrity or openness, the entire
program is injured. Even the shadow of doubt can be as harmful as the conduct itself.
Any SFA employee involved in any form of procurement or the procurement process
may not:
• participate in work on a contract by taking action as an employee through decision,
approval, disapproval, recommendation, giving advice, investigation or similar action
knowing that the employee, or member of their immediate family has an actual or
potential financial interest in the contract, including prospective employment;
• solicit or accept gifts or gratuities which might tend to influence purchasing decisions;
• be employed by, or agree to work for, a vendor or potential vendor;
• knowingly disclose confidential information for actual or anticipated personal gain, or
for the actual or anticipated gain of another person.
When an actual or potential violation of any of these standards is discovered, the person
involved shall promptly file a written statement concerning the matter with an appropriate
supervisor. The person may also request written instructions and disposition of the
matter.
Written disclosure must be signed by submitted to the President for any contract of $1
million or more in value. All such written disclosures will be retained in the Purchasing
Office. Reference Ethics Policy E-56 for specific information regarding the disclosure.
If an actual violation occurs or is not disclosed and remedied, the employee involved may
be either reprimanded, suspended, or dismissed. The vendor or potential vendor may be
barred from receiving future contracts and/or have an existing contract canceled.
If not related to a particular transaction, University employees may accept from vendors
and others: (1) unsolicited advertising or promotional material such as pens, pencils,
scratch pads, and calendars; (2) occasional business lunches or food and refreshments of
insignificant value; and (3) other items of nominal or minor value (i.e., a box of candy or
fruitcake, etc.) that are merely tokens of appreciation. Refer to Ethics Policy E-56 for the
statutory definition of a "benefit."
Purchasing professionals have the right under law to have any ethics question reviewed
and decided by the State Ethics Commission. If you wish to learn whether a specific
15
Appendix 4
action violates the ethics rules, please contact the State Ethics Commission, 1101 Camino
La Costa, Austin, Texas 78752 or call them at 1-800-325-8506.
Source of Authority: Vice President for Finance and Administration, Texas Government
Code 2262.004
Cross Reference: Ethics Policy E-56
Contact for Revision: Director of Purchasing and Inventory
Forms: None
16
Appendix 4
Request to Establish an Account C-34
Original Implementation: Unpublished
Last Revision: October 23, 200Uanuary 19, 2006
Requests to establish a new account must be submitted on the "Request to Establish an
Account" form. This form originates in the requesting department and is submitted
through appropriate division channels for approval. The request is submitted to the
Director of Financial Services after division approval. The Director of Financial Services
may approve the request or obtain the approval of the Vice President for Business
ABaksFinance and Administration, establish the account, or forward the request to the
Controller to approve and establish the account. Requests for expenditure accounts must
include a detailed budget. No account will be established until funding for the account is
available. No funds will be obligated or expended until the account is established.
The office that assigns the account number will notify the account manager when the
account is ready for use.
Source of Authority: Vice President for Business Affairs Finance and Administration
Cross Reference: None
Contact for Revision: Director of Financial Services
Forms: Request to Establish an Account (available m-on SFA FormsServer University
Printing Services, the Controllers Office and the Director of Financial Servicosa Office
https://apache, sfasu. edu/sfaforms/frsacctjreq. html)
17
Appendix 4
Special Purchases C-36
Original Implementation: Unpublished
Last Revision: July 15,2003 January 19, 2006
The following items require special consideration for proper processing:
1. Advertising copy Requires approval fey(radio spots, newspaper ads, billboards,
etc.) should be submitted to the Director of Public Affairs for approval prior to
release. See Policy D-39 University Publications.
2. Account Types Purchasing generally views the distinction between types of
accounts as follows:
lxxxxx (except for the 17xxxx series);- State Appropriated Fundst
- Purchases Use of funds must relate directly to the educational
purpose of the University.
17xxxx; HEAF and Instructional Capital (IC) - Use q/These funds
must be used are allocated for the purchase of equipment only.
Books and videos may also be purchased with HEAF and IC.
Maintenance may be purchased only if purchased concurrently
with equipment.
2xxxxx; Designated Funds other than Course Fee Accounts - The
uUse of tfeese-funds is designated by the University and. Purchases
must relate to the educational purpose of the University or be of
benefit to the University department.
2xxxxx; Course Fee Accounts - Use of funds must be for the
specific course to which it applies
3xxxxx; Auxiliary Funds - The u[/se of these-funds mustis be
related to a University business type enterprise.
4xxxxx; Restricted Grant Funds — These Use of funds is restricted
are limited to the purpose and/or restrictions of the grant.
5xxxxx; Gift Funds — These Use of funds is&& restricted to certain
departments or specific purposes^-aad includmge use at the
discretionary funds from which purchases are made at the
discretion of the Account Manager/Department Head.
09xxxx; Agency Funds - Purchases cannot bo initiated on a
requisitioning off unds is never processed through the
requisition/purchase order process. See Policy C-01.2 Agency
Accounts for detailed information about the use and disbursement
of funds from these accounts.
18
Appendix 4
3. Aggregate Total $50,000 Or Greater. Requires Board of Regents approval
unless otherwise exempted by Policy D-20.5 Items Requiring Board of Regents
Approval or C-9 Contracting Authority.
4. Bus Charters. Requires standard contract from vendor plus Addendum to
Charter Bus Contract.
5. Consultant Contracts. The rules are numerous and complicated. Review the
Professional and Consultant Services Policy, C-45, carefully before making any
commitment on behalf of the University.
6. Purchases from Employees. Any payments for SERVICES made to a current
employee or an individual employed during the past 12 months is to be submitted
on an additional compensation request form. Any purchase of GOODS from a
current employee must be submitted through the requisition process and must
comply withSee Policy C-27 Purchases from Employees.
5. Entertainers. See Professional Services.
7. Food Purchases. All purchases of food must be submitted on a Purchase
Requisition and must be certified by the account manager in accordance with
Policy C-13 Food Purchases.
7. Guest Speakers, Lecturers, Instructors, Artists, Musicians. See Professional
Sendees
8. Insurance. Purchase of insurance is to be submitted on a Purchase Requisition
and requires approval by the State Office of Risk Management. Specific insurance
requirements should be brought to the attention of the Safety and Risk
Management Officer.
9. Interagencv and InterLocal Contracts. See Policy C-18 Inter agency and
Interlocal Contracts
9. Lease of Real Property. The rental or lease of real estate requires approval of the
Vice President for Business Affairs. State funded rentals or leases require
approval of the Facilities, Construction, and Space Management Division of the
General Sendees Commission. Such issues as access to the handicapped, fire
safety, and the availability of other space on a competitive basis will be
considered.
10. Memberships, in professional organizations require approval by the appropriate
vice president and/or the President. Memberships are to be submitted on a
"Purchase Requisition". See Policy C-17 Memberships.
11. Moving Expenses, may be made by direct pay to the vendor or reimbursement to
the University employee. See Policy C-21 Moving Expenses)
12. Printing. University Printing Services is to be utilized to the extent possible for
printing and duplication. All official University publications require editorial
approval prior to printing regardless of the source of printing services. See Policy
D-39 University Publications. All printing requires competitive bids, regardless of
the dollar amount, if using state funds.
19
Appendix 4
13. Professional Services. Review the Professional and Consultant Services Policy
C-45 carefully before making a commitment on behalf of the University.
14. Proprietary Purchases. Purchase requisitions which aro submitted for items to
be purchased for a single brand and/or from a single vendor shall include a Solo
Product/Solo Source Justification Form, which is available from the Purchasing
Department. See Policy C-26 Proprietary Purchases.
15. Radioactive or Radiation Producing Materials or Equipment. All "Purchase
Requisitions" for radioactive or radiation producing materials or equipment must
be identified by completing the on line purchase requisition with Requisition
Type fDR. See Policy D-27 Radioactive or Radiation Producing Material or
Equipment.
16. Real Property - Rental, Lease or Purchase. The rental, lease or purchase of real
estate requires approval of the Vice President for Finance and Administration.
17. TIBH (Texas Industries for the Blind and Handicapped). Required source if
using state funds. If TIBH is not used an exception report must be completed and
submitted to the Director of Purchasing.
18. Used Equipment. The purchase of used equipment valued over $5000 requires
additional documentationpaperwork be completed for the order filo. See Policy C>
29 Purchase of Used Equipment or Supplies.
Source of Authority: Texas Government Code, Title 10, Subtitle D, Chapters 2151
through 2176, 2254 and General Appropriations Act; Board of Regents; Vice President
for Finance and AdministrationBusiness Affairs; President
Cross Reference: Agency Accounts, Policy CO 1.2; Food Purchases, Policy C-13;
Memberships, Policy C-17; Moving Expenses, Policy C-21; Proprietary Purchases,
Policy C-26; Purchases From Employees, Policy C-27; Purchase of Used Equipment or
Supplies, Policy C-29; Professional and Consultant Services, Policy C-45; Radioactive
or Radiation Producing Materials or Equipment, Policy D-27; University Publications,
Policy D-39
Contact for Revision: Director of Purchasing and Inventory
Forms: Purchase Requisition (See Policy C-30 Purchase Requisition); State of Texas
Purchase Voucher (available in University Printing Services); Sole Product/Sole Source
Form (available from Purchasing)^ddendum to Charter Bus Contract (available on
General Counsel's website)
20
Appendix 4
Investments C-41
Original Implementation: April 30, 1996
Last Revision:April 30, 2004 January 19, 2006
Policy Statement
Stephen F. Austin State University invests the public funds in its custody with primary
emphasis on the preservation and safety of the principal amount of the investment.
Secondarily, investments must be of sufficient liquidity to meet the day to day cash
requirements of the University. Finally, the University invests to maximize yield within
the two previously indicated standards. All investments within this policy conform to all
applicable State statutes and local rules governing the investment of public funds. This
policy is promulgated in accord with the Public Funds Investment Act (Government
Code, Chapter 2256), related portions of the Texas Education Code, and the applicable
portions of H. B. 2459, 74th Texas Legislature.
This policy establishes rules for the investment of all University and agency funds except
endowment funds. Endowment funds are invested in accordance with separate policy
approved by the Board of Regents and are the responsibility of fund managers selected by
the Board of Regents.
Objectives
The foremost objective of all investment decisions shall be safety of principal. All
investments must be undertaken with the fiduciary responsibility associated with that of a
reasonable and prudent person. Investments must be in accord with Texas law.
Investment maturity must be diversified to match the University's liquidity requirements.
Investments shall incur no unreasonable risk in order to maximize potential income.
Investments shall remain sufficiently liquid to meet all reasonably anticipated operating
requirements.
Investments may be diversified in order to respond to changing economic and/or market
conditions.
No investments within the portfolio or investment practices conducted to effect
investment activities shall violate the terms of this policy.
Authorized Investments
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All University funds and funds held in trust for others may be invested only in the
following securities:
A) obligations of the United States of America, its agencies and instrumentalities;
B) direct obligations of the State of Texas or its agencies and instrumentalities;
C) collateralized mortgage obligations directly issued by a federal agency or
instrumentality of the United States of America, the underlying security for which is
guaranteed by an agency or instrumentality of the United States of America;
D) other obligations, the principal of and interest on, which are unconditionally
guaranteed or insured by, or backed by the full faith and credit of, the State of Texas
or the United States of America or their agencies and instrumentalities;
E) obligations of states, agencies, counties, cities, and other political subdivisions of
any state rated as to investment quality by a nationally recognized investment rating
firm of not less that A or its equivalent;
F) certificates of deposit issued by a state or national bank or savings and loan
association domiciled in Texas that is:
1) guaranteed or insured by the Federal Deposit Insurance Corporation;
2) fully collateralized by obligations described in Authorized Investments section
A-E listed above, including mortgage backed securities directly issued by a
federal agency or instrumentality that have a market value of not less than the
principal amount of the certificates, but excluding those mortgage backed
securities of the following nature:
a) obligations whose payment represents the coupon payments on the
outstanding principal balance of the underlying mortgaged-backed security
collateral and pays no principal;
b) obligations whose payment represents the principal stream of cash flow
from the underlying mortgage-backed security collateral and bears no interest;
c) collateralized mortgage obligations that have a stated final maturity date of
greater than 10 years; and
d) collateralized mortgage obligations the interest rate of which is determined
by an index that adjusts opposite to the changes in a market index.
G) fully collateralized repurchase agreements with a definite termination date,
secured by obligations described by Authorized Investments section F, requiring the
securities being purchased by the entity to be pledged to the entity, held in the entity's
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Appendix 4
name, and deposited at the time the investment is made with the entity or with a third
party selected and approved by the entity; and placed through a primary government
securities dealer, as defined by the Federal Reserve, or a financial institution doing
business in this state;
H) bankers acceptances having a stated maturity of 270 days or fewer from the date
of issuance, to be liquidated in full at maturity, eligible for collateral for borrowing
from a Federal Reserve bank, and accepted by a bank organized and existing under
the laws of the United States of America or any state, if the short-term obligations of
the bank, or of a bank holding company of which the bank is the largest subsidiary,
are rated not less than A-l or P-l or an equivalent rating by at least one nationally
recognized credit rating agency;
I) commercial paper that has a stated maturity of 270 days or fewer from the date of
its issuance, and is rated not less than A-l or P-l or an equivalent rating by at least
two nationally recognized credit rating agencies or one nationally recognized credit
rating agency and is fully secured by an irrevocable letter of credit issued by a bank
organized and existing under the laws of the United States of America or any state;
J) no-load money market mutual funds regulated by the Securities and Exchange
Commission, having a dollar-weighted average stated maturity of 90 days or fewer,
and including in their investment objectives the maintenance of a stable net asset
value of $ 1 for each share;
K) guaranteed investment contracts conforming to Section 2256.015 of the
Government Code;
L) investment pools conforming to Section 2256.016 of the Government Code;
M) cash management and fixed income funds sponsored by organizations exempt
from federal income taxation under Section 501 (f), Internal Revenue Code of 1986
(26 U.S.C. Section 501(f));
N) Assets and/or funds reportable within the scope of the University's annual
financial report may not be invested in or used to purchase securities, including
obligations, of a private corporation or other private business entity that owns 10% or
more of a corporation or business entity which records or produces any song, lyrics or
other musical work that explicitly describes, glamorizes or advocates:
(1) acts of criminal violence, including murder, assault, assault on police officers,
sexual assault, and robbery;
(2) necrophilia, bestiality, or pedophilia;
(3) illegal use of controlled substance;
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Appendix 4
(4) criminal street gang activity;
(5) degradation or denigration of females; or
(6) violence against a particular sex, race, ethnic group, sexual orientation, or
religion.
Insurance or Collateral
All deposits and investments of University funds other than direct purchase of United
States Treasury securities or United States Agency securities and in money market funds
invested in U. S. Treasury or Agency securities shall be secured by a pledge of collateral
with a market value equal to no less than 100% of the deposits or investments less any
amount insured by the FDIC or FSLIC and pursuant to Article 2529d, the Public Funds
Collateral Act. Evidence of the pledged collateral associated with bank demand accounts
shall be maintained by the University Controller. Evidence of the pledged collateral
associated with investments shall be maintained by the Director of Financial Services.
Eligible repurchase agreements shall be documented by a specific agreement noting the
collateral pledged in each agreement. Collateral shall be reviewed monthly by the
Controller and Director of Financial Services to assure the market value of the securities
pledged equals or exceeds the related bank and certificates of deposit balances.
Pledged collateral shall be maintained for safekeeping by a third party depository.
Collateral Defined
The University shall accept only the following securities as collateral:
A) FDIC and FSLIC insurance coverage;
B) United States Treasury, Agency, or Instrumentality securities;
C) Other obligations, the principal of and interest on which are unconditionally
guaranteed or insured by the State of Texas or the United States of America;
D) Obligations of states, agencies thereof, counties, cities, and other political
subdivisions of any state having been rated as to investment quality by a nationally
recognized investment rating firm and having received a rating of no less than A or its
equivalent.
Investment Strategy
All investments will be made in accordance with the University's Investment Policy.
Investments may be diversified as needed to provide investment suitability to the
University's financial requirements. The preservation and safety of principal is the first
priority, however, it is recognized that unrealized losses will occur in a rising interest rate
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Appendix 4
environment Just as unrealized gains will occur during periods of falling interest rates.
Investments will be of the type to provide sufficient liquidity and marketability for any
operating requirements. The investment portfolio may be diversified with authorized
securities to accommodate changing market conditions. However, United States Treasury
securities are preferable because of their low risk and high liquidity. An investment
decision shall consider yield only after the requirements for principal preservation,
liquidity, and marketability have been met.
Investments may be categorized and described as:
A) Short Term - less than 90 days
Funds needed to meet short term operating requirements normally will be invested in
either the Texpool investment vehicle managed by the State Treasurer or overnight
sweep accounts established with banking institutions. The benchmark is the average
three month Treasury Bill yield.
B) Intermediate Term - 90 days to one year
United States Treasury and Agency securities, United States Agency Discount Notes
are the primary investment vehicles. United States Treasury securities are preferable
because of their low risk and the ease with which they are traded. The benchmark is
95 percent of the average one-year Treasury Bill yield.
C) Long Term - over one year
United States Treasury and Agency securities are the primary investment vehicles.
Normally, investments are laddered so that most principal is returned over a five year
period in increments sufficient to meet anticipated operating and capital needs. The
30 Year Treasury Bond rate is the benchmark for long term funds.
D) Maturity
The length of time for investments within this policy will vary according to fund type
and will be dependent on funding requirements. As a general rule, funds will be
invested for the time periods indicated:
Current Unrestricted and 2 days to one year
Restricted Funds
Plant Funds 3 months to 3 years
Delegation of Authority
The Vice President for Business Affairs (VPBA) Finance and Administration (VPFA) of
Stephen F. Austin State University is responsible for investment management decisions
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Appendix 4
and activities. The VPBA VPFA delegates the day-to-day management of the investment
activities to the Director of Financial Services.
The VPBA VPFA shall be ultimately responsible for all transactions undertaken and shall
establish a system of controls (Appendix A) to regulate the activities of officials and staff
involved in investment transactions.
The VPBA VPFA shall develop and maintain written administrative procedures and
guidelines for the operation of the investment program which are consistent with and part
of this Investment Policy (Appendix B).
The VPBA VPFA shall be designated as the University's investment officer and is
responsible for the duties outlined herein. The name and title of the investment officer
shall be filed with the Board of Regents. Changes of name and/or title must be filed with
the Board of Regents as they occur.
The maximum stated maturity date of any security may not exceed ten years, and the
weighted average duration of the portfolio shall not exceed five years without approval
by the VPBA VPFA and ratification by the Board of Regents.
No officer or designee may engage in an investment transaction except as provided under
terms of this policy as approved by the Stephen F. Austin State University Board of
Regents.
Prudence
The "prudent person" standard will be used in the investment function and shall be
applied in the context of individual transactions as well as management of the overall
portfolio.
Accordingly, all investments shall be made with judgment and care, under circumstances
then prevailing, which persons of prudence, discretion, and intelligence exercise in the
management of their own affairs, not for speculation, but for investment, considering the
probable safety of their capital as well as the expected income to be derived.
Internal Controls
Stephen F. Austin State University has established a system of written internal controls
designed to prevent loss of public funds due to fraud, employee error, misrepresentation
by third parties, unanticipated market changes, or imprudent actions by employees of the
University. These controls are shown in Appendix A of this Investment Policy. These
controls are subject to the review of and recommendations from the University's
Department of Audit Services' office.
Investment Authority
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Appendix 4
The VPBA VPFA shall invest only those funds regulated by this policy and shall
purchase only those securities authorized by the Authorized Investments section of this
policy.
Authorized Financial Dealers and Institutions
Investment transactions (bids and offers) will occur only between the University and
Board authorized broker/dealers.
A written copy of the investment policy shall be presented to any person offering to
engage in an investment transaction with Stephen F. Austin State University. The
qualified representative of the business organization offering to engage in an investment
transaction with Stephen F. Austin State University shall execute a written instrument
substantially to the effect that the business organization has (a) received and reviewed the
investment policy of the University and (b) acknowledges that the business organization
has implemented reasonable procedures and controls in an effort to preclude investment
transactions conducted between the University and the organization that are not
authorized by Stephen F. Austin State University's investment policy.7
Securities may not be bought from any organization whose representative has not
provided the University with the acknowledgment required in the above paragraph.
Disclosure Reqauirements for Outside Financial Advisors
External financial advisors and service providers shall comply with Texas Government
Code Chapter 2263, Ethics and Disclosure Requirements for Outside Financial Advisors
and Service providers.
Disclosure Requirements for Investment Officers
Pursuant to Texas Government Code Sec. 2256.005, an investment officer of an entity
who has a personal business relationship with a business organization offering to engage
in an investment transaction with the entity shall file a statement disclosing that personal
business interest. An investment officer who is related within the second degree by
affinity or consanguinity, as determined under Chapter 573, to an individual seeking to
sell an investment to the investment officer's entity shall file a statement disclosing that
relationship. A statement required under this subsection must be filed with the Texas
Ethics Commission and the governing body of the entity. For purposes of this subsection,
an investment officer has a personal business relationship with a business organization
if:
1) (ty—the investment officer owns 10 percent or more of the voting stock
or shares of the business organization or owns $5,000 or more of the fair market
value of the business organization;
2) (2)-funds received by the investment officer from the business
organization exceed 10 percent of the investment officer's gross income for the
previous year; or
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Appendix 4
~(3}-the investment officer has acquired from the business organization
during the previous year investments with a book value of $2,500 or more for the
personal account of the investment officer.
Diversification
Investments may be diversified to minimize the risk of loss resulting from unauthorized
concentration of assets in a specific maturity, specific issuer, or specific class of
securities. The diversification limits by security type and issuer shall be:
Category Maximum
U. S. Treasury securities and securities having
principal and interest guaranteed by the U. S.
Government
100%
U. S. Government agencies, instrumentalities
and government sponsored enterprises
(excluding mortgage backed securities)
50%
Collateral mortgage backed securities 25%
Fully insured or collateralized certificates of
deposit
100%
Bankers' acceptances
Commercial paper
Repurchase agreements
25%
25%
100%
Registered money market funds 80%
Local Government Investment Pool 100%
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Appendix 4
The VPBA VPFA and his or her designee may diversify investment maturity. To the
extent possible, investment maturity will be matched with anticipated cash flow
requirements. Matching maturity and cash flow requirements will minimize occasions for
sale of securities prior to maturity, thereby reducing market risk. However, no provision
of this policy shall be interpreted as prohibiting the sale of any security prior to maturity,
provided that it is in the University's financial interest to aeffect the sale.
The weighted average maturity of the entire portfolio shall be maintained at no more than
10 years and shall be reported quarterly to the Board of Regents. Pooled fund groups
eligible for University investment shall have a maximum weighted average maturity of
10 years.
Safekeeping and Collateralization
All securities transactions, including collateral for repurchase agreements, but excluding
mutual funds and investment pools, must be settled on a delivery versus payment basis.
Collateral for certificates of deposit shall be held by a third party custodian in the name of
the University. The third party custodian shall be required to issue a safekeeping receipt
to the University listing the specific instrument, rate, maturity, safekeeping receipt
number, and other pertinent information. Any collateral safekeeping receipt shall be
clearly marked on its face that the security is "pledged to Stephen F. Austin State
University".
Collateralization shall be required on certificates of deposit and repurchase agreements.
The collateralization level shall be no less than 100% of the market value of the principal
and interest due on these instruments.
Collateral for certificates of deposit and repurchase agreements shall consist of any of the
securities authorized for investment within this policy.
Performance Evaluation
The VPBA VPFA shall submit quarterly reports to the Board of Regents through its
Finance Committee and the President of the University in the format prescribed by the
Public Funds Investment Act, within a reasonable time after the end of the quarter.
The reports must:
(A) describe in detail the investment position of the University on the date of the
report;
(B) be prepared by the investment officer(s) of the University;
(C) be signed by the investment officer(s) of the University;
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Appendix 4
(D) contain a summary statement prepared in compliance with generally accepted
accounting principles of each pooled fund group that states the:
(1) beginning market value for the reporting period;
(2) additions and changes to the market value during the period;
(3) ending market value for the period; and
(4) fully accrued interest for the reporting period;
(E) state the book value and market value of each separately invested asset at the
beginning and end of the reporting period by the type of asset and fund type invested;
(F) state the maturity date of each separately invested asset that has a maturity date;
(G) state the account or fund or pooled group fund for which each individual
investment was acquired; and
(H) state the compliance of the investment portfolio of the University as it relates to
the relevant provisions of the Public Funds Investment Act.
Training
Xhe VPBA VPFA and Director of Financial Services are required by Section 2256.007(a)
of the Government Code to attend at least one session of investment training not later
than March 1, 1996, and, as appropriate, periodically thereafter.
Audits
In order to comply with the audit requirements of the Texas Public Funds Investment
Act, the University's Department of Audit Services shall conduct audits and reviews of
the University's investment function and report the findings to the appropriate oversight
authorities.
Investment Policy Adoption and Certification
Upon adoption by the Stephen F. Austin State University Board of Regents, the
University's investment policy shall be reviewed annually to ensure current applicability
and significant modifications thereto submitted to the Board of Regents for approval.
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Appendix 4
Source of Authority: Board of Regents, Stephen F. Austin State University, Texas
Government Code
Cross Reference: Texas Government Code Chapters 2256 and
Contact for Revision: Vice President for Business AffaimFinance and Administration
Forms: None
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Appendix 4
APPENDIX A
INTERNAL CONTROLS
The University has prepared an Investment Policy as of April 12, 1996. The policy was
approved by the Board of Regents April 30, 1996.
The Investment Policy will be reviewed and/or updated no less than annually.
All pledged securities shall be held by a third party custodian in the name of the
University. A safekeeping receipt will be issued to the University listing the specific
instrument, rate-, maturity, safekeeping receipt number, and other relevant information.
The signature of the President, YFBAVPFA, or Director of Financial Services is required
for release of pledged securities from safekeeping unless the securities being released are
replaced by securities with the same market value. Only changes in the level of
collateralization require approval by the above.
The Controller's Office will reconcile the appropriate investment accounts to broker's
statements and other supporting documents monthly.
All purchases of securities from and deposits of funds to or withdrawals of funds from
Texpool require the signature of the-¥PBAFPF^4, and either the Director of Financial
Services or the Controller.
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Appendix 4
APPENDIX B
ADMINISTRATIVE PROCEDURES
The Bursar's Office will maintain a daily list of cash balances held in depository bank
accounts.
All investment transactions and related cash transfer requests, except for investment
"rollovers" as defined, will be prepared by the Director of Financial Services and will
require an appropriate second signature.
"Rollovers" are investment transactions whereby an investment of certain type held by an
entity matures and the proceeds are then used to purchase an investment of the same type
within the same account within the same entity.
The Controller's Office will record investments in compliance with GASB and State
Comptroller's reporting requirements and reconcile the appropriate investment accounts
to broker's statements and other supporting documents monthly.
Quarterly investment reports are prepared by the Director of Financial Services and
approved by the Vice President of Business Affairs Finance and Administration in
accordance with the Performance Evaluation section of this investment policy.
The market price of securities will be monitored quarterly using industry published data
or appropriate financial publications.
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Appendix 4
Investments - Endowment Funds C-41.A
Original Implementation: Unpublished
Last Revision: October 20, 2005January 19, 2006
GENERAL
This Investment Policy Statement (IPS) applies to all Stephen F. Austin State University
(the "University") endowment funds. These funds are given to the University by
individuals and institutions to promote, encourage and advance education and to improve
the degree and non-degree educational functions by establishing scholarships,
fellowships, professorships, academic chairs and other academic endeavors at the
University, as specified by donors.
As provided in the Texas Education Code, each member of the Board of Regents (Board)
has the legal responsibilities of a fiduciary in the management of funds under the control
of the University. The Board recognizes its responsibility to insure that the assets of the
endowment funds are managed for the exclusive benefit of the University in accordance
with its donors' intentions, effectively and prudently, in full compliance with all
applicable laws.
Separate fund balance accounts are maintained for all funds. Funds may be restricted
either by the donor or the Board. Restricted funds are available primarily for specific
purposes considered beneficial to the University.
The investment of the Endowment funds is governed by Section 51.0031 of the Texas
Education Code. This section states that the University "... with regard to donations, gifts
and trusts may establish endowment funds that operate as trusts and are managed under
prudent person standards. As used in this section, "prudent person standard" is the
standard of care described in Article VII, Section 1 lb. of the Texas constitution, and
means that standard of judgment and care that persons of ordinary prudence, discretion,
and intelligence exercise in the management of their affairs in regard to the investments
of their funds, considering probable income as well as probable safety of their capital.
In the management of the University endowment investments, consideration will be given
to the need to balance a requirement for current income for present activities with a
requirement for growth in principal to compensate for inflation. Consideration will be
given to the need for safety of principal, liquidity, diversification, yield and quality.
The overall objective of the IPS is to assure that the University's endowment funds are
invested in a manner to achieve as high a level of return as can reasonably be expected to
be achieved given the primary objective of safety and preservation of principal. The IPS
clearly and concisely states the responsibilities of all parties involved with the
endowment funds. The IPS will assist the Board, the Finance Committee ("Committee")
34
Appendix 4
and the University Administration in effectively communicating with and monitoring the
investment manager(s) and the investment firm(s) that will be engaged from time to time
to facilitate the management of the endowment assets of the University. It states the
Boards' attitudes, guidelines and objectives in the investment of the endowment assets.
RESPONSIBILITIES
The University acknowledges that the ultimate responsibility for satisfactory investment
results rests with the Board. The Board believes that this responsibility is best discharged
by delegating certain authority to the University administration and by appointing one or
more investment management organizations to assume certain responsibilities.
The specific responsibilities of the Board in the investment process include and are
limited to developing a sound and consistent investment policy, developing sound and
consistent investment policy guidelines, establishing reasonable investment objectives,
allocating the endowment assets between equity and fixed-income investments, and other
investment mediums which it may deem appropriate and prudent, communicating clearly
the major duties and responsibilities of those accountable for investing the endowment
assets and achieving investment results, evaluating performance results, and abiding
within all applicable laws, including conflict of interest provisions therein.
The Vice President for Finance and Administration (Vice President) is designated as the
investment officer for the University. As such, the Vice President or designee(s), is
responsible for accounting for investments, monitoring and evaluating performance
results, and ensuring that policy guidelines are being adhered to and investment
objectives are being met. In addition, the Vice President or designee(s), is responsible for
the purchase, sale, assignment, transfer and management of investments, for
communicating with investment managers, brokers and dealers, for compiling
performance results, and for determining the proper distribution of investment returns to
the various accounts. The Vice President is also responsible for determining the
appropriate distribution of income in accordance with the distribution policy in the
distribution policy section. The Vice President or his designee will submit an annual
investment perspective to the Board of Regents.
INVESTMENT POLICY
The Board believes that the endowment assets should be managed in a way that reflects
the application of sound investment principles.
The Board adheres to the traditional capital market theory that maintains that over the
long term, the risk of owning equities should be rewarded with a somewhat greater return
than available from fixed-income investments. This reward comes at the expense of
higher volatility of returns and more exposure to market fluctuations than with fixed-income
investments. Fixed-income investments provide a more predictable return and
higher current income than do equities. Thus assets should be allocated between fixed-
35
Appendix 4
income investments and equities are such a manner as to provide for current income
while providing for maintenance of principal in real terms.
Avoiding large risks is essential. The University is willing to trade off some potential
opportunities for gain from high-risk investments (with high loss potential) by assuming a
moderate-risk posture in order to have a more stable positive return. This may result in
sacrificing some potential opportunities for gain during rising markets in order to avoid
large short term declines in market value during falling markets. Since the University is
adverse to large downward fluctuations in the value of its investments resulting from
volatile market value fluctuations, such year-to-year volatility should be minimized.
INVESTMENT POLICY GUIDELINES
For the purpose of this policy all securities which use long-term credit ratings must be
rated the equivalent of "A" or better by a nationally recognized credit rating service.
Securities using short-term credit ratings must be rated at least A-2, P-2, F-2 or the
equivalent by a nationally recognized credit rating service.
The following categories of securities are permissible investments:
a) Direct obligation of the United States Government or its direct agencies.
b) Direct obligations of federally-sponsored agencies in accordance with
the above paragraph.
c) United States dollar denominated bonds, debentures, or commercial
paper and convertible securities issued by corporations in accordance with
the above paragraph.
d) Common stock and preferred stock issued by United States domiciled
corporations and common stocks of foreign companies listed on the major
U.S. or foreign security exchanges.
e) Certificates of Deposit issued by federally insured state banks, federally
insured savings and loan associations and saving banks or federally
insured credit unions. Amounts over the insurance limit of the institutions
must be secured by pledged securities.
f) Bankers acceptances accepted by a bank organized and existing under
laws of the United States or any state in accordance with the above
paragraph.
g) Money Market Mutual Funds. Funds must be registered with the
Securities and Exchange Commission, have a maximum dollar weighted
average maturity of no longer than 13 months, and be no-load funds. Funds
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Appendix 4
must have assets consisting of securities described in the paragraphs above
and seek to maintain a stable net asset value of $1.00 per share (or unit).
h) Direct Security Repurchase Agreements. Direct Repos must be fully
secured (collateralized) by securities authorized under the sections (a)
through (f) above. Such collateral must be held by a third party. All
agreements will be in compliance with Federal Reserve Bank guidelines.
i) Shares of investment companies as defined by the Investment Company
Act of 1940. These companies include both closed-end investment
companies and open-end investment companies (mutual funds). Shares in
these companies may be purchased if they own securities described in
sections (a) through (h) above.
j) Certain types of transactions and purchase of certain types of securities
are specifically prohibited by this policy. Commodity trading including all
futures contracts, purchasing of letter stock, short selling, option trading,
and margin trading are specifically prohibited. Neither tax-exempt debt of
state and local governments, private placements, nor guaranteed
investment contracts may be purchased. No investments will be made in
derivative products as defined by the Financial Accounting Standards
Board in SFAS, No. 119. Collateral mortgage obligations that do not pass
the FFIEC test may not be purchased.
k) Assets and/or funds reportable within the scope of the University's
annual financial report may not be invested in or used to purchase
securities, including obligations, of a private corporation or other private
business entity that owns 10% or more of a corporation or business entity
which records or produces any song, lyrics or other musical work that
explicitly describes, glamorizes or advocates:
(1) acts of criminal violence, including murder, assault,
assault on police officers, sexual assault, and robbery;
(2) necrophilia, bestiality, or pedophilia;
(3) illegal use of controlled substance;
(4) criminal street gang activity;
(5) degradation or denigration of females; or
(6) violence against a particular sex, race, ethnic group,
sexual orientation, or religion.
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Appendix 4
1) Except for up to three cases, no more than five percent (5%) of the
portfolio, including convertible securities, can be invested in any one
company. This will be measured on a cost basis. No more than ten percent
(10%) of the portfolio can be invested at any time in one company based
on the market value of the stock and portfolio. This section is not
applicable to investments in U.S. Government securities.
m) No more than fifteen percent (15%) of the portfolio can be invested in
any one industry, as defined by Standard and Poor's broad categories,
based on the cost value of the portfolio. No more than thirty percent (30%)
of the portfolio can be invested in any one industry based on the market
value of the portfolio. The holdings do not have to be invested in industry
groups that represent a cross-section of the economy.
n) All of the equities purchased for the portfolio (based at market value)
should have a minimum market capitalization of $250 million.
The allowable range and target asset allocation for the endowment funds
is:
Target
60%
40%
0%
For the fixed income portion of the portfolio the asset mix should be,
maximum U.S. government bonds 100%, minimum government bonds
0%, maximum corporate bonds 50%, minimum corporate bonds 0%,
maximum cash 100%, minimum cash 0%.
Gifts of individual securities will be liquidated or transferred to an equity fund manager
currently employed by the University under the Use of Investment Firms section. The
liquidation or transfer will take place as soon as possible. If liquidated, the proceeds will
be invested in accordance with the allowable range and target asset allocation set forth in
this policy. Exceptions to this policy are securities described by sections (a), (b) and (c)
above. Such securities may be held so long as the asset allocation ranges are maintained.
The policy in this section can be overridden by a written directive from a donor.
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Appendix 4
USE OF INVESTMENT FIRMS
The Vice President or designee, is responsible for selecting of brokers and dealers for the
execution of security transactions and for the safe keeping of securities. Sales, purchases
and exchanges will be transacted through well-capitalized, nationally-recognized
investment firms which are major participants in the equity and fixed-income markets.
Firms should be selected to provide the maximum benefit to the University. The Vice
President may choose to use a request for proposals to select the firm or firms with which
the University deals.
Selection of outside investment managers will follow these guidelines:
a) The Vice President or designee, within statutory and other regulatory
authority, may place selected funds of the University with investment
managers outside the University for investment purposes. The investment
of such funds will be subject to the provisions of this investment policy
statement. The Vice President is authorized to negotiate with outside
investment managers for the benefit of the University.
b) Outside investment manager(s) will receive a copy of the IPS and a
Letter of Instructions outlining investment instructions and asset allocation
parameters expressed in writing by the Vice President. The Letter of
Instructions will state return objectives that are reasonable and achievable
within the guidelines provided herein. These return objectives should be
achieved over a reasonable time frame, thus it is not necessary for the
outside manager(s) to exceed the return expectations each quarter. In
addition, each outside investment manager must execute a written
statement to the effect that the registered principal of the organization has
received and thoroughly reviewed the investment policy of the University,
The statement must also acknowledge that the organization has
implemented reasonable procedures and controls in an effort to preclude
imprudent investment activities.
c) Consistent with this investment policy statement and their Letter of
Instruction, the outside investment manager(s) will be responsible for
making decisions on a discretionary basis. This includes buy, hold, sell
and timing decisions. The outside manager(s) must make responsible
decisions in the selections of specific securities and the general timing of
purchases and sales necessary to achieve a satisfactory overall return for
the assets.
d) Outside manager(s) will invest only into the security class(es) for which
they were retained to manage. The manager(s) have discretion to place
funds into cash, however, their performance will be measured against an
index which measures their security class without deducting the cash
position.
39
Appendix 4
Investment managers employed by the University to invest in equities may be evaluated
using the following guidelines:
a) The average portfolio Beta should be between 1.10 and 0.90. That is to
say that the volatility of the fund should not differ from the volatility of
the S&P 500 by more than ten percent. The Beta calculation should
include any cash position in the portfolio.
b) The R-Squared may be as high as 100% over a time frame of one year
or longer if all investment objectives are met. R-Squared is a statistical
evaluation to measure similarity in behavior of the portfolio to the market.
c) The annualized Alpha should be greater than the managers fee
essentially showing that value is being added for the risk taken. Alpha
measures the excess return for the amount of risk taken.
d) Portfolio turnover will be monitored. If the performance results of the
portfolio meet the objectives stated herein, the rate of turnover in the
portfolio will not be an evaluative factor. However, a portfolio turnover
higher than the average of similar fund managers is considered a negative.
Files will be maintained on investment firms with which the University deals. The files
will contain information that supports the financial stability of the firms. These files will
be updated annually. A list of approved brokers and firms will be maintained and changes
will be approved by the Board of Regents.
DISTRIBUTION POLICY
The spending policy should balance the long-term objective of maintaining the
purchasing power to the endowment funds with the goal of providing a reasonable,
predictable, stable, and sustainable level of income to support current needs. The Vice
President may review the nature of the various endowments to determine the need for
income for current spending and the ability to tolerate variability in current income. The
asset allocation between fixed-income securities and equities may reflect diversification
needs of the endowments.
PERFORMANCE EVALUATION
The Vice President will submit quarterly reports to the Board on the performance of the
investment portfolio. The reports will disclose the book value and market value of the
portfolio at the beginning and ending of the reporting period by the type of asset and fund
type invested. The reports will disclose the realized and unrealized gains/losses on the
portfolio for the reporting period. Additions and changes in the market value of the
portfolio during the period will be reported. The reports will show the pooled fund value
as well as individual assets by fund type. The reports will state the maturity date of each
40
Appendix 4
asset that has a maturity date. The total return on the portfolio, on each asset class and for
each manager will be reported.
The performance of the total portfolio, each asset class and each manager will be
compared to appropriate benchmarks and included in the quarterly reports to the Board.
The report will contain sufficient information for the Board to determine if actions should
be taken to correct any deficiencies that may exist.
CONFLICTS OF INTEREST
Members of the Board are frequently persons of wide-ranging business interests.
Therefore, a prudent, independent investment decision process may result in investments
in firms or organizations with which a member of the Board is affiliated. Affiliation shall
be interpreted within this section to mean an employee, officer, director, or owner of five
percent or more of the voting stock of a firm or organization. The investment staff or an
unaffiliated investment manager may invest in such securities. However, the following
restrictions shall apply:
a) a member of the Board shall not direct nor participate in the decision to
purchase or sell securities of a firm with which such member is affiliated;
and
b) investments will not be purchased from or sold to a member of the
Board.
DISCLOSURE REQUIREMENTS
Disclosure Reqauirements for Outside Financial Advisors
External financial advisors and service providers shall comply with Texas Government
Code Chapter 2263, Ethics and Disclosure Requirements for Outside Financial Advisors
and Service providers.
Disclosure Requirements for Investment Officers
Pursuant to Texas Government Code Sec. 2256.005, an investment officer of an entity
who has a personal business relationship with a business organization offering to engage
in an investment transaction with the entity shall file a statement disclosing that personal
business interest. An investment officer who is related within the second degree by
affinity or consanguinity, as determined under Chapter 573, to an individual seeking to
sell an investment to the investment officer's entity shall file a statement disclosing that
relationship. A statement required under this subsection must be filed with the Texas
Ethics Commission and the governing body of the entity. For purposes of this subsection,
an investment officer has a personal business relationship with a business organization
if:
41
Appendix 4
(1) the investment officer owns 10 percent or more of the voting stock
or shares of the business organization or owns $5,000 or more of the fair market value of
the business organization;
(2) funds received by the investment officer from the business
organization exceed 10 percent of the investment officer's gross income for the previous
year; or
(3) the investment officer has acquired from the business organization
during the previous year investments with a book value of $2,500 or more for the
personal account of the investment officer.
AUDITS
The Department of Audit Services of the University shall include endowment assets as a
component of its annual audit risk assessment. If the department determines that the
endowment assets meet its risk assessment criteria, Audit Services may perform an
annual audit of the endowment assets to ensure compliance with the endowment
investment policy.
Source of Authority: Board of Regents
Cross Reference: Texas Education Code, Section 51.0031
Contact for Revision: Vice President for Finance and Administration
Forms: None
42
Appendix 4
Procurement Card C-44
Original Implementation: July 26, 1999
Last Revision: October 11, 2001 January 19, 2006
University employees other than the Director of Purchasing and Purchasing Department
Buyers may ©orders^e* supplies and small items in amounts not exceeding $2000-may
be purchased using a University Procurement Card (ProCard). The Director of
Purchasing and Purchasing Department Buyers may purchase on behalf of the
University any item of any amount using a Procurement Card if they have determined by
payment by ProCard represents the best value to the University and so long as all
procurement policies and rules have been followed.
The terms and conditions of the MasterCard Procurement Card contract were specified
and awarded by the General ServicosTexas Building and Procurement Commission for
the State of Texas. In addition to internal policies and procedures, Stephen F. Austin will
comply with the terms and conditions of the state contract.
Responsibilities
ProCards will be issued in the name of the employee with the State of Texas emblem and
the wording 'Official Use Only1 clearly indicated on the card. The ProCard is to be used
for official University business purposes only and may not be used for ANY personal
transactions. The employee is responsible and accountable for the security and
documentation associated with the use of the SFA Procurement Card. Documentation
shall include maintaining a Transaction Log or providing Transaction Detail information
for each transaction through the Oracle System and keeping documentation of all
transactions including returns, credits and disputed charges as required in the ProCard
Procurement Guide.
The Account Manager or his/her designee is responsible for: 1) designating departmental
cardholders; 2) determining spending limits; 3) establishing yearly encumbrance amounts
for each account against which credit card charges will be made; and 4) approving
monthly reconciliations of ProCard cardholder statements and supporting documentation
to ensure purchases are within SFA's policies and procedures and departmental budgets.
Account Managers should be sure that all employees issued a card understand the
departmental budget constraints under which they are to use the card.
The Purchasing Department is responsible for maintaining complete and accurate
information regarding ProCard users and associated credit limits, for establishing and
updating restricted Merchant Category Codes, and for determining compliance with
University policies and procedures through periodic audits.
43
Appendix 4
Card Use By Another Employee
The only person authorized to use the ProCard is the cardholder whose name appears on
the card. The cardholder may not allow someone else to use their card unless the
cardholder and account manager have completed a ProCard Use form and it is on file
with the Program Coordinator in the Purchasing Office.
Training and Issuing Cards
All account managers will be required to attend training and sign the Cardholder
Application/Approval Form before any cards will be issued to employees within the
department. All employees will be required to attend training and sign a Cardholder
Agreement before being issued a card.
Making A Purchase with the ProCard
Refer to the Procurement Card Program Guide for detailed information related to making
a purchase with the ProCard. The Director of Purchasing and Purchasing Department
Buyers are not subject to the Procurement Card Program Guide, but rather to University
policies and procedures relating to procurement.
Transaction Detailh&g, Monthly Statement, Reconciliation and Approval
The Transaction Log or Transaction Detail entries are required and provide an audit trail
for expenditures made with the ProCard. Each individual purchase must be recorded in
the log or detailed in the Oracle ProCard System. See the Procurement Card Program
Guide for detailed instructions on completing the Transaction Log or Transaction Detail
entries. The Transaction Log must be maintained electronically in MS Excel. If the
cardholder does not have access to Excel, contact the Program Coordinator to discuss
alternatives. Transaction Detail entries are completed on-line through the Oracle system
accessed through MySFA.
Upon receipt of the monthly statement from the credit card vendor, the cardholder shall
reconcile the statement with the Transaction Log or Transaction Detail Summary and
forward the reconciled statement, Transaction Log or Transaction Detail Summary and
all supporting documentation to the Account Manager or his/her designee/or review and
signature. After reconciliation the Transaction Log Excel file MUST BE E MAILED to
the Accounts Payable Supervisor. Those individuals utilizing the Oracle System are not
required to submit anything to Accounts Payable.
The Account Manager is responsible to verify that all purchases are appropriate
expenditures and should take necessary disciplinary action with employees making
inappropriate expenditures.
The documentation identified in the ProCard Program Guide must be kept for three (3)
years plus the current fiscal year to comply with the University's Records Retention
44
Appendix 4
Schedule. These are the official University records. The records for procurement card
purchases will be required for periodic audits by the Purchasing Office or when SFASU
is audited by the General ServicesTexas Building and Procurement Commission, the
State Auditor or Internal Audit Services.
Card Termination
Be sure arrangements are made for detail entry information and monthly reconciliation
when people will be out of the office; i.e. vacation, sick leave, jury duty, etc.
1. NON-USE - If it is found that a cardholder has not used the procurement card for four
consecutive months, this card may be terminated at the discretion of the Program
Coordinator. Any cards so deactivated may be reactivated within 8 months upon
submission of an Application/Approval Form and a Cardholder Agreement form. Beyond
8 months, the individual will be required to attend training again before the card will be
reactivated.
2. TERMINATION OF UNIVERSITY EMPLOYMENT - When a cardholder terminates
employment with the University, the department has specific obligation to reclaim the
ProCard and return it to the Program Coordinator prior to the employee termination date.
Failure to do so may result in the department being responsible for payment of any
fraudulent charges and revocation of all department card privileges. Verification of card
return will be part of an employee's exit interview with Human Resources?ersonne\.
Fraudulent charges will be reported to the University Police Department and the
terminated employee will be expected to reimburse the University.
3. TRANSFER TO A DIFFERENT UNIVERSITY DEPARTMENT - When a cardholder
changes employment from one University department to another, the department has
specific obligation to reclaim the ProCard and return it to the Program Coordinator prior
to the effective date of change. Failure to do so may result in revocation of all department
card privileges.
4. INSUFFICIENT BUDGET - Payments will not be delayed due to insufficient
department budgets. In making adjustments to the purchase ordevencumbrance amounts
during the year, if an over-ride has to be made (in order to make payment) resulting in an
account having a negative balance which is not approved by the Budget Office, all cards
utilizing the account in question will be deactivated immediately. The cards will be
reactivated after budget problems are resolved. Repeated budget problems may result in
all cards for the account in question being deactivated at the Program Coordinator's
discretion for a 4-month waiting period.
5. FAILURE TO PASS AUDIT - The Program Coordinator will audit transactions on a
periodic basis. Cards will be deactivated immediately for any cardholder who fails to
produce the required documentation. The cardholder will be subject to a minimum 4-
month waiting period and will be required to attend training again at a cost to the
department of $25 before the card will be reactivated. Repeated failures to produce the
45
Appendix 4
required documentation may result in the card being permanently terminated at the
Program Coordinator's discretion. If the documentation is incomplete according to the
Program Guide, the Program Coordinator will provide one on one instruction to the
cardholder. Repeated errors will result in the card being deactivated at the Program
Coordinator's discretion. The cardholder will be required to attend training again at a cost
to the department of $25 before the card will be reactivated.
6. FAILURE TO MAINTAIN THE ELECTRONIC LOG AND SUBMIT TO
ACCOUNTS PAYABLE MONTHLY Failure to omnil thn Ing tn thn Anmnntn Poyohin
Supervisor, when required, will result in the card being deactivated at tfao Program
Coordinator's discretion. The cardholder will be required to attend training again at a cost
to the department of $25 before the card will bo reactivated. Repeated failures to submit
the electronic log to Accounts Payable may result in the card being permanently
deactivated at the Program Coordinator's discretion,
16. CARD USE BY ANOTHER EMPLOYEE - Allowing someone else to use your card
without having completed a ProCard Use form may result in the card being deactivated at
the Program Coordinator's discretion. The cardholder may be required to attend training
again at a cost to the department of $25 before the card will be reactivated.
&7. VIOLATION OF PURCHASING PROCEDURES - If the cardholder, other than the
Director of Purchasing or Purchasing Department Buyers, violates any ProCard
Purchasing Procedures outlined in this Program Guide, the Program Coordinator may
provide one on one instruction or the card will be deactivated immediately at the Program
Coordinator's discretion. If the card is deactivated, the cardholder will be subject to a
minimum 4-month waiting period and will be required to attend training again at a cost to
the department of $25 before the card will be reactivated. Repeated violations may result
in the card being permanently terminated at the Program Coordinator's discretion. If the
violation appears fraudulent or abusive, the cardholder may be subject to personal
liability and/or disciplinary action, which may include termination of employment or
possible criminal penalties.
98. FAILURE TO PROMPTLY REPORT A LOST OR STOLEN CARD - If a
cardholder fails to make a report of a lost or stolen card immediately upon discovery, the
cardholder may be required to reimburse the University for any fraudulent charges made
on the card until it has been cancelled, including a $50 deductible for fraudulent charges
up to $15,000. The University's FRS account will pay the charges and the employee will
be required to reimburse the University. The cardholder will be subject to a minimum 4-
month waiting period and will be required to attend training again at a cost to the
department of $25 before a new card will be issued. Upon the loss of a second card, no
additional cards will be issued to the cardholder.
. ACCOUNT MANAGER AUTHORITY - The Account Manager or supervising
Dean, Vice President, or President has the authority to request that the Program
Administrator terminate an employee's card at any time for any reason. Any cards so
deactivated may be re-issued with appropriate approvals within 12 months upon
46
Appendix 4
submission of an Application/Approval Form and a Cardholder Agreement form. Beyond
12 months, the employee will be required to attend training again before a card will be re
issued.
Source of Authority: Texas Government Code, Title 10, Subtitle D, Chapters 2151
through 2176; President; Vice President for Finance and AdministrationBusiness Affairs
Cross Reference: None
Contact for Revision: Director of Purchasing and Inventory
Forms: Cardholder Application/Approval Form, Cardholder Procurement Card
Agreement, Transaction Log, ProCard Use Form, Tax Exempt Letter, Statement of
Disputed Item Form, ProCard Problem Resolution Form (all available from the
Purchasing Department)
47
Appendix 4
Access to University Records D-l
Original Implementation: 1975
Last Revision: October 23, 2003 January 19, 2006
Access to documents or records in the custody or control of Stephen F. Austin State
University is determined by the provisions of state law. In general, the records of the
University are open to public inspection during normal business hours, upon written
request. However, various exceptions to the public's right to examine University
documents exist under law. These include, but are not limited to, information in
personnel files, the disclosure of which would clearly be an unwarranted invasion of
privacy; documents relating to litigation or settlement negotiations; information relating
to the possible purchase of real property; student records; interagency or intragency
memoranda or letters not available by law except in the context of litigation; and rare
books or original manuscripts held for the purpose of research.
Written requests for tho inspection of records or documents, except for lists of
employees, should bo immediately referred to the Office of the General Counsel.
Requests for lists of employees, with addresses, should be submitted to the Director of
Personnel Services. The Office of the General Counsel has been designated by the Board
of Regents as the Public Information Coordinator responsible for processing public
information requests. Requests for public information by outside entities and vendors are
to be immediately referred to the Office of the General Counsel The requests must be in
writing and may be submitted by mail fax, email or in person. The requestor must
include enough description and detail about the information requested to enable the
governmental body to accurately identify and locate the information requested. The
requestor must also cooperate with the governmental body's reasonable efforts to clarify
the type or amount of information requested. The University may charge for copies of
public information in accordance with the fee schedule created by the Texas Building and
Procurement Commission.
Requests by student organizations that are for organizational use only should be
submitted to the Office of Student Affairs. Requests for Alumni information should be
submitted to the Alumni Association.
This policy does not prevent either students or employees from examining University
records applying to themselves.
Source of Authority: Public Information Act, Texas Government Code, Chapter 552;
President
Cross Reference: None
Contact for Revision: General Counsel
Forms: None
48
Appendix 4
Asbestos Removal D-5
Original Implementation: July 12, 1988
Last Revision: April 30, 2002 January 19, 2006
Stephen F. Austin State University provides for the training of certain University
personnel, the establishment of an inspection and abatement program, and maintenance
procedures relating to asbestos in University buildings and facilities. The University's
objective is that all personnel who may work in an area with asbestos or materials which
contain asbestos be informed of the history of asbestos, its past and present use, health
affects, and remedial action necessary to meet current regulations and to maintain a safe
work environment.
I. Purpose
A. Identification and immediate removal of any asbestos-containing material that
is in a friable state by accredited, competent, trained personnel
B. Strict enforcement of OSHA, EPA, NIOSH, NESAPHS, and the Texas State
Health Department regulations and guidelines to ascertain as well as possible
that no one is exposed to an asbestos hazard
C. Continuance of an on-going program to maintain asbestos-containing material
in a safe condition and remove and/or encapsulate this material as funds are
available.
II. Asbestos Program Manager
A. The Asbestos Program Manager (APM) must be licensed by the Texas State
Health Department as an Asbestos Inspector, Management Planner, and must
satisfactorily complete the appropriate examination administered by the
Environmental Protection Agency. The APM will stay abreast of all pertinent
regulations regarding asbestos.
B. The APM will establish a training program to be completed by all University
employees who might reasonably be expected to come into contact with
asbestos material during the performance of their University employment.
C. The APM will establish guidelines for supervisors who will provide periodic
reminders to employees (following completion of the initial training program)
of the employees' duty to inform their supervi