CSSA Minutes: December 9, 2001

California State University, San José State University
(Crowne Plaza Hotel)
CSSA Board of Directors Meeting
December 9, 2001, 8 am - noon

1. CALL TO ORDER 8:07 am, Chair Robert Garcia.
   
   
2. ROLL CALL Present: Bakersfield, Chico, Dominguez Hills, Fresno, Fullerton, Hayward, Humboldt, Los Angeles, Monterey Bay, Pomona, Sacramento, San Bernardino, San Francisco, San Jose, San Luis Obispo, San Marcos, Sonoma, Stanislaus. (Long Beach, San Diego late)
   
   
3. COMMITTEE REPORTS
   1. Legislative Affairs. Motion to approve Resolution in Opposition to Student Fee Increases, Sacramento (attached); second, Los Angeles. Robert commended those who worked on this resolution last night. Brandon Kline intends to take it to the University of California and the California Community Colleges and negotiate a common document all three systems will sign. Dante Gomez, Fullerton, said CSSA already adopted a position on student fees and observed that the document before the Board isn't a joint resolution. Brandon noted reluctance to approve a joint resolution not jointly formulated, although the document before the Board does address CSSA's concerns and is a model for a joint resolution. Elexis Mayer, Humboldt, asked if Brandon would work with his peer at UC on this document; Brandon said he would. Moved by Monterey Bay to amend the 3rd "Whereas" to read, "Whereas, the economic recession of the early 1990's, demonstrated that raising student fees has the direct effect of discouraging admissions as hundreds of classes were cut and 200,000 students were driven out of the three segments of California higher education"; second, Humboldt. PASSED. A vote to call the question passed, leading to a vote on the main motion (to approve the Resolution in Opposition to Student Fee Increases), which PASSED.
      
      
4. INTERVIEWS OF CANDIDATES FOR EXECUTIVE DIRECTOR
   Each candidate was allowed a 5-minute opening statement, asked to answer questions from the Board (some of which are attached) and allowed a brief closing statement.
   
   ROLL CALL Present: Bakersfield, Chico, Dominguez Hills, Fresno, Fullerton, Hayward, Humboldt, Long Beach, Los Angeles, Monterey Bay, Pomona, Sacramento, San Bernardino, San Diego, San Francisco, San Jose, San Luis Obispo, San Marcos, Sonoma, Stanislaus.
   
   
   1. Joe L. Hudson Jr.
      Mr. Hudson opened by saying he had 17 years of experience in higher education at the community college level. He observed that culture cuts deeper than race and said there are student, academic and administrative cultures. His career depends upon his ability to bring these different groups together to achieve a mission.
      Question 1 cannot be answered in isolation (develop a resource allocation plan). Resource allocation is part of a greater plan; its success depends on strategic planning. Resources do not drive the train; they support objectives. The board has to establish priorities. The proper role of staff is to take direction and implement policies of the board. Allocation of resources isn't static. The executive director's responsibility is to keep the board apprised of the bottom line; this is a matter of ethics. You can increase resources, cut activities or redirect resources. His first question to the board would be whether it can afford all its priorities. Re Question 2, dealing with alternative sources of funding, Mr. Hudson presently writes and administers grants. CSSA could obtain grants for infrastructure funding and could seek direct contributions from individuals, groups, schools. CSSA could seek funding from ASIs dedicated to supporting student trustees, for example.
      On Question 3, Mr. Hudson with the other candidates was given a hypothetical situation detailing suspected fraud/embezzlement and asked what internal controls could mitigate it. First and foremost, credit card charges should be for budgeted, approved expenditures. There needs to be a monthly review of authorized expenditure line items; an independent CFO (a board member), as well as a finance committee; and the CFO must be a different person from the executive director and not report to the ED. The CFO should get copies of all bills, phone ledgers, mailroom charges and hand them to the committee to be reconciled and expensed back to proper line items. Conference expenses need 2 signatures. All receipts must be deposited within 24 hours or the next business day. Once deposited, the deposit slip and proceeds tally have to match. There needs to be a revenue potential done beforehand that is then reconciled to event proceeds within 30 days following the event. With regard to travel, claims should be made within 72 hours after the travel, with the penalty that the traveler be subject to legal or administrative action. He has found that notifying the IRS, triggering accounting of advances as income, works well. There also could be payroll deductions, though that procedure would have to be indicated on travel authorizations. In the scenario given, the employee was still on probation. The employee ought to have been reviewed after 2 months on the job; the employee would either have been released on the findings or subject to review. For Question 4, Mr. Hudson chose student fees. He prefaced his remarks by again noting that the ED takes direction from the board, so one must be able to read the board. Re student fees, he suggests a nationwide survey of best practice models on student fees, indexed to the cost of living, etc. As students are not always voters, they need to be identified in other ways: CSU students are also teachers, university employees. This turns students into a broader, more inclusive group with tie-ins to a greater pro-education faction. Lobby Day ought to be supported by mobile teams that travel. Celebrities with ties to CSU should be asked to participate. Mr. Hudson said that passion, learning opportunities, the quality of relationships/partnerships formed and services are his indices of job satisfaction (Question 5). Re what he's looking for in his next job (Question 6), it's contact with students.
      The skills, etc. that make him stronger for this position than others are his skills in group facilitation and conflict/problem resolution. He has experience in statewide advocacy for a major education system. He is able to facilitate conversation and bring people to commonality. Monterey Bay asked what goal accomplished or obstacle overcome was a source of pride. Mr. Hudson answered that he'd freed funds from administration oversight by relocating them. It was a win/win situation because the campuses were relieved of liability associated with the funds. San Luis Obispo asked what he'd learned from a project that failed. Mr. Hudson cited an after-school program that failed because the principal never supported it-Mr. Hudson knew the principal was averse from the start and now knows he ought not have wasted his energy trying to change the situation.
      Finally, Mr. Hudson was asked about taking a salary cut and responded that his stated salary includes benefits; without those, it's about $6300/month. The question is, What's your passion?
      
      
   2. Susana Gonzalez
      Responding to 1 re developing a resource allocation plan, Ms. Gonzalez said she would begin by assessing the existing budget to see how things were done in the past. Does the budget reflect programs and offerings to students, student priorities and the organization's mission? Does it fit the strategic plan? Priorities must come from the Board. A strategy she has used in the past is the zero-based budget. Every line item gets zero and builds from there, with reasons for every allocation. Policy for allocations needs to be consistent and personnel need to be compensated well. The Board needs accurate budget information. Re 2, alternate funding, Ms. Gonzalez noted that there's lots of money out there that's just being noticed in these hard times. She is sure there are grants available for student leadership programs, as well as rich folks who don't know what to do with their money. She is sure money can be obtained without violating 501(3)(c) status.
      Re 3, internal controls that would mitigate fraud/embezzlement, Ms. Gonzalez said she had learned lots from going through a Chancellor's Office audit this past summer. There need to be purchasing procedures/policies dictating what purchases can come from trust accounts. There needs to be a signature/authority policy requiring authority beyond the signature of 2 people. There needs to be a credit card policy and procedure spelling out what expenses can be charged. At her ASI, credit cards can't be used to buy computers, phones, etc., and users' Social Security numbers appear on their credit cards. There needs to be a reimbursement policy. Travel claims needs to have approved travel authorizations attached. There needs to be a conflict of interest policy and procedure. One can't approve one's own travel. Travel needs to be monitored through a system of checks and balances and applied sound business practices. Advances should be avoided. Calls to family, friends, should be limited on mobile equipment. Cell phones need to be linked to Social Security numbers, so that charges over approved amounts become the individuals' responsibility. Re conferences, 2 people need to hold cash and receipts; they cannot make deposits themselves. Policies and procedures need to be in place. Re 4, a policy agenda initiative, Ms. Gonzalez chose the budget, because staff can play a more active role in that issue; staff can work with the chair or designee to be sure that students are represented in any Chancellor's Office meetings or talks. Staff can keep in touch with alums and find out what's happening at all the campuses; it can disseminate news releases, establish and maintain good avenues of communication. The ED can draft letters and borrow campus strategies. Lobby Days could be pumped up. The ED should build relationships with important legislators and develop an incentive targeted at students that wouldn't cost much. Re 5, job satisfaction, Ms. Gonzalez likes nonprofits, auxiliaries. She likes to know she has support and be assured that she is addressing what the board wants. She likes to be comfortable in her work environment and know that she isn't jeopardizing her own life to do her job (she gave the example of being assured that she will have time to attend church on Sunday). Re 6, what she'd like from her next job, Ms. Gonzalez stated she'd done every job at San Marcos ASI. She needs a masters degree. She is looking for the opportunity to excel and validate her past experiences. She would like to be a campus vice president some day. Re 7, the skills, knowledge and experience that make her a strong candidate, she has worked with student boards for 5 years and understands the auxiliary system, sometimes even its politics. She knows that structure can be challenged by both the administration and students. She knows the dynamics can be delicate and that it doesn't pay to burn your bridges. She values consensus building, which leads to win/win solutions.
      Ms. Gonzalez then answered questions from the Board. Monterey Bay asked about a goal or obstacle. Ms. Gonzalez cited a trust account at San Marcos that was challenged by the administration. She was able to work with the administration in order to secure the AS money. She's proud of it because it was a significant sum. Re San Luis Obispo's question about a failure, in 1997 she worked with the AS director to write a childcare center grant that wasn't funded. They got feedback on the failed proposal and this year won the grant. Robert Garcia asked about her experience managing staff. She said expectations on both sides need to be known; there needs to be mutual respect. If decisions of staff are challenged, managers must clearly explain why. San Francisco asked how she would handle conflict with her own personal views. She stated her attitude would be that she works for the Board, period. She would make every attempt, though, to be sure that the Board understood the consequences of its directives.
      Asked if she had any questions for the Board, Ms. Gonzalez asked about CSSA debt. Emily Foster explained. Ms. Gonzalez was told that Lori Erdman and Emily handle budgetary matters and that the Chancellor's Office provides accounting services.
      
      
   3. Kara Perkins.
      Ms. Perkins began by saying that as a student at Washington State University, student leadership was what she did when she wasn't in class. One of her activities was serving on the national student council of the YWCA. She has a masters degree in education; her studies for that degree looked at education from philosophical, historical, sociological perspectives.
      Re 1, developing a resource allocation plan, one should know everything the organization might encounter and, as a first step in making a plan, know what everything costs. The board must prioritize. The ED would put together a very comprehensive plan, erring on the side of giving too much rather than too little detail. The board has to set up policies dictating how funds can be spent and from whom they will be accepted, so that there will be very little question by the board as to where money is going. A first priority is making payroll. Grants are a possibility. Everyone needs to be aware of the policies that apply to CSSA's Chancellor's Office trust fund. Re 2, grants should be sought from foundations or others mirroring CSSA's mission and whatever project the funds are needed to support. The establishment of a CSSA foundation opens up lots of growth potential to bring in CSSA and CSU alums. Ms. Perkins has done federal and state grant writing [for a small business grantwriting outfit?]. Typically there is a relationship you can build with funding organizations. The ED should be on all the philanthropy listserves, etc. Re 3, internal controls to preclude fraud/embezzlement, policies and procedures need to be established and the organization monitored for compliance. If an employee is given a credit card, the employee must be absolutely clear about the policies governing its use. Depending upon the employee's position, there could be monthly maximums without additional approvals. All receipts are necessary and someone needs to be double-checking. Irregularities re travel advances must be made known to the board and immediately repaid if improperly obtained. All receipts for advances need to be returned and all justification received within the next couple weeks. Cell phones are hard to control, although phone companies will itemize calls. Conference expenses shouldn't be paid in cash unless previously arranged. Policies governing all these points need to be simple and clear so that everyone can understand them.
      Ms. Perkins chose Cultural Representation in Higher Education as the policy agenda item. When she was an undergraduate diverse faculty were leaving her institution. Steps she would take to see the policy implemented would be that she'd use relationships with the presidents' offices, contacts at the Chancellor's Office, including with Vice Chancellors, to get student representation. She would collect and analyze CSU practices, and she would talk to the compliers. CSSA could see candidate pools and make its goals part of the affirmative action plans that campuses are required to submit yearly. There ought to be comprehensive statistical lists available. Staff can work with existing programs like predoctoral programs, which service underrepresented groups. One could use information about forgivable loan and grants programs, though data isn't collected for these reflecting who returns to the CSU. CSSA could work with the Academic Senate. Staff could monitor systemwide recruitment.
      Re 5, job satisfaction, Ms. Perkins is most satisfied when what she stands for personally is reflected in her job. She has never worked in corporate America, always for nonprofits. It would be satisfying to her to know an ED will make CSSA more effective. She values the ability to work with people in an atmosphere of mutual respect. She spent lots of money of her education and would like to be able to use it. Re 6, what she wants from her next job is a good fit. She also wants interaction with people. Re 7, what recommends her for this job, she has a background in business/finance/organizational controls and the examination of higher education, especially the public education culture. She's very comfortable working with students, boards, committees.
      Monterey Bay asked about a goal attained or obstacle overcome; she said that while she wasn't aware of it in quite that way at the time, getting her masters degree was a significant goal obtained. Re a failure from which she learned, she cited a [grant proposal?] for an after-school program she worked on: she learned that people don't want to pay for after-school programs. Answering another question, she gave a long-term goal as being faculty at a university, while observing that getting a Ph.D. seems to be a goal receding, especially as she's not sure what she'd get it in. She answered San José's question about whether she'd ever been in an organization with a deficit by saying that the YWCA had one while she was on the national board; its debt was also due to past boards (as well as to affiliates deciding not to pay dues). It had an executive staff it really trusted. Her board had to downsize because it couldn't continue to meet payroll. Fresno asked about the need for campuses to be ever more aware of what's happening; Ms. Perkins said staff can influence practices on campus and also serve as a conduit for information. Sacramento asked how long Ms. Perkins saw herself in this job; she said she had no preset idea but stated it is important to her to foster conditions so that she can grow in a job and observed that the CSSA ED looks like a position with lots of room to grow and that it meets her professional goals. She doesn't see it as a stepping stone and can picture herself here for a while.

The Board entered Closed Session to consider personnel matters at approximately 11:15. The Director of University Relations, who takes CSSA Board minutes, was released to leave the meeting, and so these minutes are incomplete.