3.2.2.2  

The legal authority and operating control of the institution are clearly defined for the following areas within the institution's governance structure: fiscal stability of the institution

RATIONALE FOR COMPLIANCE JUDGMENT

[TCA]Tennessee Code Annotated 49-8-107(a)(1) [1] gives all of the community colleges and universities under the Tennessee board of Regents (TBR) the authority to operate using their own fiscal procedures under the rules and regulations prescribed the Tennessee Board of Regents.   TCA 49-8-1302 [2] states that Nashville State Technical Community College is under the management and control of the [TBR]Tennessee Board of Regents.  TBR policy 1:02:01:00 [3] defines the purpose of the board, which includes: uniform procedures, accounting for state appropriations and efficient utilization of state resources. 

TBR policy 1:04:01:00 Duties of the Chancellor [4] states that the Chancellor of the TBR is responsible for the execution of all resolutions, policies, rules, and regulations adopted by the Board, and the review and recommendation of all annual appointments, promotions, and salaries of employees of the several institutions and centers of the system, and shall be responsible for compliance by the Presidents and Directors with TBR policies and procedures on personnel matters.

TBR policy 1:02:02:00 Duties of the TBR [5] states that it is the duty of the Board to confirm all appointments and fix the salaries, approve all operating and capital budgets, and assume general responsibility for the operations of the institutions and centers, delegating to the Presidents and Technology Center Directors such powers and duties as are necessary and appropriate for the efficient administration of their respective institutions and centers and their programs.  The following fiscal policies have been issued by the governing board [6]:

4:01:00:00 Budget Control

4:01:01:10 Deposit & Investment of Funds

4:01:02:30 Facilities Planning & Design

4:01:03:00 Payment of Student Fees & Enrollment

4:01:04:00 Solicitation & Acceptance of Gifts

4:01:07:02 Foundations

4:02:05:01 Naming Buildings and Facilities

4-02-09-00 Property Aquisition

4:02:10:00 Purchasing Policies & Procedures

4-02-20-00 Disposal of Surplus Personal Property

4-03-02-00 Motor Vehicles

4-03-03-00 General Travel

4-03-03-50 Athletic & Other Group Travel

4-04-01-50 Revenues from Campus Concession

4-05-01-01 Inventory Methods for TBR Libraries

4-06-00-00 Expenditures of State Funds for Paid Advertising

4:07:00:00 Business Meals

The following fiscal guidelines have been issued by the governing board office [6]:

B-010 Collection of Accounts Receivable

B-020 Classification & Operation of Auxiliary Enterprises

B-021 Building Plaques Affixed to Buildings & Facilities

B-022 Campus Facility Master Plans

B-025 Acquisition & Disposal of Real Property

B-026 Lease Procedures & Guidelines

B-030 Acquisition of Data Processing Equipment

B-035 Procedure for Multi Step Sealed Bidding

B-041 Community College Athletics

B-042 University Athletics

B-043 University Athletic Tickets

B-050 Internal Auditing

B-060 Fees, Charges, and Refunds

B-061 Educational Assistance

B-062 Other Educational Assistance Programs

B-070 Deferred Payment Plan

B-080 Reporting and Resolution of Fiscal Misconduct

B-090 Safe guarding Non Public Financial Information

TBR policy 1:03:02:00 Duties of the President states that the President is responsible to the Board through the Chancellor for the operation and management of the institution and for the execution of all directives of the Board and of the Chancellor.

The fiscal stability of the College is the shared responsibility of the TBR, the Chancellor of the system and the President of the College.  The TBR has established fiscal policies and guidelines to which the college must adhere in order to assure fiscal stability.

The President has operating control over the College. In compliance with TBR budget policy 04:01:00:00, the President presents an original, detailed beginning fiscal year budget and a final estimate of the current year budget to the Chancellor in May of each year. The Chancellor reviews the budget and determines whether it is in compliance with TBR policies and guidelines, and then submits the budget to the TBR. The TBR has final approval or disapproval of the budget. In October of each year each institution submits a budget revision which is approved through the same process.

The President is the final approval authority for all budgets within the college. The President is also responsible for submitting to the Chancellor and TBR annual financial reports and supplemental schedules.  These statements demonstrate both  budget compliance and fiscal stability of the college. The college's finances are audited biannually by the State of Tennessee Comptroller of the Treasury, Department of Audit, Division of State Audit, as required by law (TCA 4-3-304. The Vice President for Business and Finance is responsible for ensuring adherence to the approved budget and for maintaining appropriate procedures and records.