Legal authority and operating control for institutional policies, including those pertaining to related and affiliated corporate entities and all auxiliary services are clearly defined within the University's governance structure.

Authority and Control of Institutional Policy

All policies related to the ongoing activities of the University are developed and instituted under the authority of the President of the University. Authorized by the University of Louisiana System Policies and Procedures, the President is assigned the following duties with regard to developing and initiating policy:

• Providing academic leadership for the campus through established planning processes and prioritization of goals and objectives; promotion of academic excellence through execution of strategic initiatives outlined by the System President and the Board; development and motivation of personnel to accomplish the campus mission; and promotion of innovative and efficient uses of campus resources;

• Administration of all aspects of campus affairs affecting student life and otherwise promoting the learning environment for the welfare of the student body. (ULS Policies and Procedures, C-III. Section IV.A.7-8)

To guarantee that policies are not developed and instituted without the knowledge of the President or his designee, the University has established a procedure for the development and dissemination of policies. The following procedures are required for all institutional policies:

1. Institutional policies are brought before Executive Staff by the President, Vice President, and Director of Institutional Effectiveness (IE), or Chief Information Technology Officer (CITO) . Upon review, the Executive Staff makes a recommendation for approval to the President. The President is responsible for final approval for all institutional policies.

2. The President’s completed date and signature stamp are placed on all new institutional policies. Stamped institutional policies are archived in the Office of Institutional Effectiveness.

3. Policy revisions are noted as such and include the date of revision. Revised policies do not require additional approval unless the intent of the policy significantly changes. The revised policy is submitted to the Office of Institutional Effectiveness and placed in the Self Policy files.

4. The President, Vice President, Director of IE or CITO authoring new or revised policies is responsible for coordinating dissemination of institutional policies with the Office of Institutional Effectiveness as appropriate to the policy.

5. New policies or revisions to policy are posted on the University Policy website at www.mcneese.edu/policy. The Office of Institutional Effectiveness coordinates with other campus websites to ensure consistency of institutional policies^?.

Authority and Control of Affiliated Entities

In order to ensure that affiliated entities neither compromise the autonomy of the University nor jeopardize any University functions, the University requires annual affiliation agreements, executed under the authority of the President and subject to applicable laws and regulatory agency policies, to govern relationships with related and affiliated corporate entities. Affiliation agreements require that financial records of affiliated entities be kept according to generally accepted accounting principles and that annual audits be conducted by an independent professional auditor. Such audits, audit findings, audit exceptions, and/or evidence of misuse of funds must be reported to appropriate parties as prescribed by the terms of the agreement and applicable laws.

Affiliation agreements establish the private and independent status of the organizations described therein, provide for termination of agreements upon 120 days written notification, and prescribe terms for termination of agreements at the University's discretion in the event of substantial misuse of funds or fraudulent activity by the affiliated organization.

Affiliated Entity: Alumni Association

McNeese State University's Alumni Associated, created in 1947 and incorporated in 1960, is comprised of graduates and former students who express an interest in supporting the University. The purpose of the organization is to “stimulate and nurture alumni interest in McNeese State University and to promote a working relationship among alumni, faculty, students, and the community" (Catalog, 19).

The University and the Alumni Association collaborate through an affiliation agreement in which the organization's primary duty is stated as follows:

The Organization's primary objective shall be to provide support to the University. Therefore the Organization may not engage in activities contrary to this objective. In addition, the acts, deeds, functions, and activities of the Organization shall in no way conflict with the authority of the University.

Affiliated Entity: Cowboy Facilities, Incorporated

Cowboy Facilities, Incorporated (CFI) was formed in 1996 to "promote, assist and benefit the educational, scientific, research, and public service mission of the University.” The objectives of CFI are identified in its affiliation agreement with the university:

• Acquire, construct, renovate, rehabilitate, develop, manage, lease as lessor or lessee, mortgage and/or convey student housing and any other number of facilities on the campus of McNeese State University;

• Provide financial assistance to the University and its students and to aid and facilitate the carrying on by the University of its mission;

• Engage in any other lawful activity deemed by the Organization necessary or advisable in order to support and assist the University in carrying out its mission and objectives.

CFI is overseen by a board of directors comprised of local leaders from education, business, and the community at large. The University maintains authority and operating control of CFI as stated in the affiliation agreement: “When there is doubt [with regard to reimbursement of an expense], the matter shall be referred to the University President (or designee) for a decision on the matter. If there is such a doubt with respect to the University President, the matter shall be referred to the System President for a decision”.

Authority and Control of Auxiliary Services

University auxiliary services fall under the authority of University administrators designated by the President to act in his stead in accordance with University and Board policies. The System Fund Committee, chaired by the Vice President for Administration and Student Affairs, is responsible for establishing budgeting guidelines, for prioritizing fund allocation/reallocation, and for long-range planning for auxiliary enterprises (Faculty/Staff Handbook, Section 637). Funds generated by University auxiliary services are subject to audit under the authority of the Louisiana Legislative Auditor.

Supporting Evidence

Cowboy Facilities Incorporated Affiliation Agreement

Alumni Affiliation Agreement

Powers and Duties of the Legislative Auditor

Sample System Fund Committee Minutes