Unit: Fiscal Affairs

Date: September 16, 2003
 

CORE REQUIREMENTS For every Core Requirement mandating a policy or procedure, it is implicit that the policy or procedure is in writing, approved through appropriate institutional processes, published in appropriate institutional documents accessible to those affected by the policy or procedure, and implemented and enforced by the institution. For obtaining or maintaining accreditation with the Commission on Colleges, an institution must meet the following Core Requirements:   1. The institution has degree-granting authority from the appropriate government agency or agencies.   - Not applicable to unit level.       2. The institution has a governing board of at least five members that is the legal body with specific authority over the institution. The board is an active policy-making body for the institution and is ultimately responsible for ensuring that the financial resources of the institution are adequate to provide a sound educational program. The board is not controlled by a minority of board members or by organizations or interests separate from it. Neither the presiding officer of the board nor the majority of other voting members of the board have contractual, employment, or personal or familial financial interest in the institution. A military institution authorized and operated by the federal government to award degrees has a public board in which neither the presiding officer nor a majority of the other members are civilian employees of the military or active/retired military. The board has broad and significant influence upon the institution’s programs and operations, plays an active role in policy-making, and ensures that the financial resources of the institution are used to provide a sound educational program. The board is not controlled by a minority of board members or by organizations or interests separate from the board except as specified by the authorizing legislation. Neither the presiding officer of the board nor the majority of other voting board members have contractual, employment, or personal or familial financial interest in the institution.     - Not applicable to unit level.       3. The institution has a chief executive officer whose primary responsibility is to the institution and who is not the presiding officer of the board.   - Not applicable to unit level.       4. The institution has a clearly defined and published mission statement specific to the institution and appropriate to an institution of higher education, addressing teaching and learning and, where applicable, research and public service.   - Not applicable to unit level.       5. The institution engages in ongoing, integrated, and institution-wide research-based planning and evaluation processes that incorporate a systematic review of programs and services that (a) results in continuing improvement and (b) demonstrates that the institution is effectively accomplishing its mission.   - Not applicable to unit level.       6. The institution is in operation and has students enrolled in degree programs.   - Not applicable to unit level.       7. The institution   a. offers one or more degree programs based on at least 60 semester credit hours or the equivalent at the associate level; at least 120 semester credit hours or the equivalent at the baccalaureate level; or at least 30 semester credit hours or the equivalent at the post-baccalaureate, graduate, or professional level. The institution provides a written justification and rationale for program equivalency.   b. offers degree programs that embody a coherent course of study that is compatible with its stated purpose and is based upon fields of study appropriate to higher education.   c. offers a general education program at the collegiate level that is (1) a substantial component of each undergraduate degree, (2) ensures breadth of knowledge, and (3) is based on a coherent rationale. For degree completion in associate programs, the component constitutes a minimum of 15 semester hours or the equivalent; for baccalaureate programs, a minimum of 30 semester hours or the equivalent. These credit hours are to be drawn from and include at least one course from each of the following areas: humanities/fine arts; social/behavioral sciences; and natural science/mathematics. The courses do not narrowly focus on those skills, techniques, and procedures specific to a particular occupation or profession. The institution provides a written justification and rationale for course equivalency.   d. makes arrangements for some instruction to be provided by other accredited institutions or entities through contracts or consortia, where appropriate. The institution itself, however, provides instruction for all course work required for at least one degree program at each level at which it awards degrees, or provides an alternative approach to meeting this requirement. The alternative approach is approved by the Commission on Colleges. In all cases, the institution demonstrates that it controls all aspects of its educational program.     - Not applicable to unit level.       8. The number of full-time faculty members is adequate to support the mission of the institution. The institution has adequate faculty resources to ensure the quality and integrity of its academic programs. In addition, upon application for candidacy, an applicant institution demonstrates that it meets the comprehensive standard for faculty qualifications.   - Not applicable to unit level.       9. The institution, through ownership or formal arrangements or agreements, provides and supports student and faculty access and user privileges to adequate library collections as well as to other learning/information resources consistent with the degrees offered. These collections and resources are sufficient to support all its educational, research, and public service programs.   - Not applicable to unit level.       10. The institution provides student support programs, services, and activities consistent with its mission that promote student learning and enhance the development of its students.   - Not applicable to unit level.       11. The institution has a sound financial base and demonstrated financial stability, and adequate physical resources to support the mission of the institution and the scope of its programs and services. The institution provides the following financial statements: (a) an institutional audit (as distinct from a systemwide or statewide audit) and management letter for the most recent fiscal year prepared by an independent certified public accountant or an appropriate auditing agency employing the appropriate audit guide; (b) an annual budget that is preceded by sound planning, is subject to sound fiscal procedures, and is approved by the governing board; and (c) a schedule of changes in unrestricted net assets, excluding plant and plant related-debt (short and long-term debt attached to physical assets).   a. Texas Tech University will be in compliance with the completion of an institutional audit to be scheduled for the year ending August 31, 2004.   b. Texas Tech University prepares and annual budget for the approval of the Board of Regents and which employs planning and financial procedures set out in Board of Regents Policy 07.04 entitled Budget Rules and Procedures (http://www.depts.ttu.edu/oppol/Ch.07.pdf).The more detailed financial procedures are set out in the University Operating Policy and Procedures, Chapter 62 (http://www.depts.ttu.edu/opmanual/Contents.htm#62).   Another aspect of the budget process is the biennial legislative appropriation request, prepared in accordance with instructions from the Legislative Budget Board (http://www.lbb.state.tx.us). This request is the first step in the University appropriations for the next biennium.   c. Statements of financial position of unrestricted net assets will be prepared and audited as of August 31, 2004     COMPREHENSIVE STANDARDS For every Comprehensive Standard mandating a policy or procedure, it is implicit that the policy or procedure is in writing, approved through appropriate institutional processes, published in appropriate institutional documents accessible to those affected by the policy or procedure, and implemented and enforced by the institution. For obtaining or maintaining accreditation with the Commission on Colleges, an institution must meet the following Comprehensive Standards:   Institutional Mission, Governance, And Effectiveness Institutional Mission 1. For every Comprehensive Standard mandating a policy or procedure, it is implicit that the policy or procedure is in writing, approved through appropriate institutional processes, published in appropriate institutional documents accessible to those affected by the policy or procedure, and implemented and enforced by the institution. For obtaining or maintaining accreditation with the Commission on Colleges, an institution must meet the following Comprehensive Standards:   - Not applicable to unit level.       Governance and Administration 2. The governing board of the institution is responsible for the selection and the evaluation of the chief executive officer.   - Not applicable to unit level.       3. The legal authority and operating control of the institution are clearly defined for the following areas within the institution’s governance structure:   a. the institution’s mission;   b. the fiscal stability of the institution;   c. institutional policy, including policies concerning related and affiliated corporate entities and all auxiliary services;   d. related foundations (athletic, research, etc.) and other corporate entities whose primary purpose is to support the institution and/or its programs.     - Not applicable to unit level.       4. The board has a policy addressing conflict of interest.   - Not applicable to unit level.       5. The governing board is free from undue influence from political, religious, or other external bodies, and protects the institution from such influence.   - Not applicable to unit level.       6. Members of the governing board can be dismissed only for cause and by due process.   - Not applicable to unit level.       7. There is a clear and appropriate distinction, in writing and practice, between the policy-making functions of the governing board and the responsibility of the administration and faculty to administer and implement policy.   - Not applicable to unit level.       8. The institution has a clearly defined and published organizational structure that delineates responsibility for the administration of policies.   - Not applicable to unit level.       9. The institution has qualified administrative and academic officers with the experience, competence, and capacity to lead the institution.   - Not applicable to unit level.       10. The institution defines and publishes policies regarding appointment and employment of faculty and staff.   - Not applicable to unit level.       11. The institution evaluates the effectiveness of its administrators, including the chief executive officer, on a periodic basis.   - Not applicable to unit level.       12. The institution’s chief executive officer has ultimate responsibility for, and exercises appropriate administrative and fiscal control over, the institution’s intercollegiate athletics program.   - Not applicable to unit level.       13. The institution’s chief executive officer has ultimate control of the institution’s fund-raising activities.   - Not applicable to unit level.       14. An institution-related foundation, not controlled by the institution, has a contractual or other formal agreement that (a) accurately describes the relationship between the institution and the foundation, and (b) describes any liability associated with that relationship. In all cases, the institution ensures that the relationship is consistent with its mission.   - Not applicable to unit level.       15. The institution’s policies are clear concerning ownership of materials, compensation, copyright issues, and the use of revenue derived from the creation and production of all intellectual property. This applies to students, faculty and staff.   - Not applicable to unit level.       Institutional Effectiveness 16. The institution identifies expected outcomes for its educational programs and its administrative and educational support services; assesses whether it achieves these outcomes; and provides evidence of improvement based on analysis of those results.   - Not applicable to unit level.       PROGRAMS Educational Programs Standards for All Educational Programs: 1. The institution demonstrates that each educational program for which academic credit is awarded is (a) is approved by the faculty and the administration, and (b) establishes and evaluates program and learning outcomes.   - Not applicable to unit level.       2. The institution’s continuing education, outreach, and service programs are consistent with the institution’s mission.   - Not applicable to unit level.       3. The institution publishes admissions policies consistent with its mission.   - Not applicable to unit level.       4. The institution has a defined and published policy for evaluating, awarding, and accepting credit for transfer, experiential learning, advanced placement, and professional certificates that is consistent with its mission and ensures that course work and learning outcomes are at the collegiate level and comparable to the institution’s own degree programs. The institution assumes responsibility for the academic quality of any course work or credit recorded on the institution’s transcript.   - Not applicable to unit level.       5. The institution publishes academic policies that adhere to principles of good educational practice. These are disseminated to students, faculty, and other interested parties through publications that accurately represent the programs and services of the institution.   - Not applicable to unit level.       6. The institution employs sound and acceptable practices for determining the amount and level of credit awarded for courses, regardless of format or mode of delivery.   - Not applicable to unit level.       7. The institution ensures the quality of educational programs/courses offered through consortia relationships or contractual agreements, ensures ongoing compliance with the comprehensive requirements, and evaluates the agreement against the purpose of the institution.   - Not applicable to unit level.       8. The institution awards academic credit for course work taken on a noncredit basis only when there is documentation that the noncredit course work is equivalent to a designated credit experience.   - Not applicable to unit level.       9. The institution provides appropriate academic support services.   - Not applicable to unit level.       10. The institution defines and publishes general education and major program requirements for all its programs. These requirements conform to commonly accepted standards and practices for undergraduate programs as well as graduate and post-baccalaureate professional degree programs.   - Not applicable to unit level.       11. The institution protects the security, confidentiality, and integrity of its student academic records and maintains special security measures to protect and back up data.   - Not applicable to unit level.       12. The institution places primary responsibility for the content, quality, and effectiveness of its curriculum with its faculty.   - Not applicable to unit level.       13. For each major in a degree program, the institution assigns responsibility for program coordination, as well as for curriculum development and review, to persons academically qualified in the field. In those degree programs for which the institution does not identify a major, this requirement applies to a curricular area or concentration.   - Not applicable to unit level. 14. The institution’s use of technology enhances student learning, is appropriate for meeting the objectives of its programs, and ensures that students have access to and training in the use of technology.   - Not applicable to unit level. Standards Specific to Undergraduate Programs: 15. The institution identifies competencies within the general education core and provides evidence that graduates have attained those college-level competencies.   - Not applicable to unit level.       16. The institution awards degrees only to those students who have earned at least 25 percent of the credit hours required for the degree through instruction offered by that institution.   - Not applicable to unit level. Standards Specific to Graduate and Post-Baccalaureate Professional Programs: 17. The institution’s post-baccalaureate professional degree programs, and its master’s and doctoral degree programs are progressively more advanced in academic content than undergraduate programs.   - Not applicable to unit level.       18. The institution ensures that its graduate instruction and resources foster independent learning, enabling the graduate to contribute to a profession or field of study.   - Not applicable to unit level.       19. The majority of credits toward a graduate or a post-baccalaureate professional degree is earned through the institution awarding the degree. In the case of graduate and post- baccalaureate professional degree programs offered through joint, cooperative, or consortia arrangements, the student earns a majority of credits from the participating institutions.   - Not applicable to unit level.       Faculty 20. The institution employs competent faculty members qualified to accomplish the mission and goals of the institution. When determining acceptable qualifications of its faculty, an institution gives primary consideration to the highest earned degree in the discipline in accord with the guidelines listed below. The institution also considers competence, effectiveness, and capacity, including, as appropriate, undergraduate and graduate degrees, related work experiences in the field, professional licensure and certifications, honors and awards, continuous documented excellence in teaching, or other demonstrated competencies and achievements that contribute to effective teaching and student learning outcomes. For all cases, the institution is responsible for justifying and documenting the qualifications of all its faculty.   Credential Guidelines:   a. Faculty teaching general education courses at the undergraduate level: a doctoral or a master’s degree in the teaching discipline or a master’s degree with a concentration in the teaching discipline (a minimum of 18 graduate semester hours in the teaching discipline).     b. Faculty teaching associate degree courses designed for transfer to a baccalaureate degree: a doctoral or a master’s degree in the teaching discipline or a master’s degree with a concentration in the teaching discipline (a minimum of 18 graduate semester hours in the teaching discipline).     c. Faculty teaching associate degree courses not designed for transfer to the baccalaureate degree: a baccalaureate degree in the teaching discipline, or an associate degree and demonstrated competencies in the teaching discipline.     d. Faculty teaching baccalaureate degree courses: a doctoral or a master’s degree in the teaching discipline or a master’s degree with a concentration in the teaching discipline (minimum of 18 graduate semester hours in the teaching discipline). At least 25 percent of the discipline course hours in each undergraduate major are taught by faculty members holding the terminal degree–usually the earned doctorate--in the discipline.     e. Faculty teaching graduate and post-baccalaureate course work: earned doctorate/ terminal degree in the teaching discipline or a related discipline.     f. Graduate teaching assistants: master’s in the teaching discipline or 18 graduate semester hours in the teaching discipline, direct supervision by a faculty member experienced in the teaching discipline, regular in-service training, and planned and periodic evaluations.     - Not applicable to unit level.       21. The institution regularly evaluates the effectiveness of each faculty member in accord with published criteria, regardless of contractual or tenured status.   - Not applicable to unit level.       22. The institution provides evidence of ongoing professional development of faculty as teachers, scholars, and practitioners.   - Not applicable to unit level.       23. The institution ensures adequate procedures for the safeguard and protection of academic freedom.   - Not applicable to unit level.       24. The institution publishes policies on the responsibility and authority of faculty in academic and governance matters.   - Not applicable to unit level.       Library and Other Learning Resources 25. The institution provides facilities, services, and other learning/information resources that are appropriate to support its teaching, research, and service mission.   - Not applicable to unit level.       26. The institution ensures that users have access to regular and timely instruction in the use of the library and other learning/information resources.   - Not applicable to unit level.       27. The institution provides a sufficient number of qualified staff--with appropriate education or experiences both in library or other learning/information resources–to accomplish the mission of the institution.   - Not applicable to unit level.       Student Affairs and Services 28. The institution publishes a clear and appropriate statement of student rights and responsibilities and disseminates the statement to the campus community.   - Not applicable to unit level.       29. The institution protects the security, confidentiality, and integrity of its student records.   - Not applicable to unit level.       30. The institution provides services supporting its mission with qualified personnel to ensure the quality and effectiveness of its student affairs programs.   - Not applicable to unit level.       RESOURCES   Financial and Physical Resources 1. The institution’s recent financial history demonstrates and acceptable financial stability. JUDGEMENT OF COMPLIANCE Yes, Texas Tech University is able to provide evidence supporting compliance. STATEMENT OF RATIONALE FOR JUDGMENT OF COMPLIANCE Texas Tech University defines acceptable financial stability as the ability to continue the institutional mission by providing the highest level of teaching, research and public service in times of declining state appropriations. We have sustained this commitment even with unpredictable state resources by streamlining business operations, making strategic cuts and prioritizing needs that impact our ability to provide a quality educational and research product. Appropriations for higher education in the State of Texas are formula driven based on weighted semester credit hours. However, Texas Tech University has not been fully funded for several years. This lack of funding has required the shortfall to be passed on to students in the form of tuition and fee increases. The university has attempted to minimize the impact on students by exercising a more aggressive approach in awarding financial aid. The drive in institutional advancement across campus has been to focus on scholarship and fellowship funding. However, even with the student paying more for educational services, Texas Tech University remains a bargain when compared with other universities both nationally and within Texas. As non-appropriated resources have become more important, aggressive fund raising efforts have increased. There has also been an increase in grant and contracts sponsored research. The increased emphasis on research funding has brought the university the Carnegie Foundation Doctoral Research Extensive designation (www.carnegiefoundation.org/index.htm). This increased research and sponsored activity funding provides resources to support and complement the educational process. The growth of sponsored project awards has increased dramatically over the last several years. The growth in such awards has been from $27.4 million in fiscal year 1997 to $54.7 million in fiscal year 2003 (www.ors.ttu.edu/reports.htm). External research grants and contracts provide educational opportunities for students in laboratories and by being involved with faculty in the development of scholarly activities. The mentorship of faculty in these activities is an invaluable part of graduate and undergraduate education at Texas Tech University. In addition, indirect costs recovered from external grants are an integral part of the funding process as they are used to enhance research related programs.       2. The institution provides financial statements and related documents, including multiple measures for determining financial health as requested by the Commission, which accurately and appropriately represent the total operation of the institution. STATEMENT OF RATIONALE FOR JUDGEMENT OF COMPLIANCE Financial statements are prepared annually and presented to the TTU Vice President for Fiscal Affairs and the TTU President for review and for submission to the Comptroller for the State of Texas. Accuracy of information is verified through audits performed by the State Auditors Office and external auditors engaged by the State Auditors Office. These statements are prepared in a modified format of the guidelines set by the Governmental Accounting Standards Board, National Association of College and University Business Officers, American Institute of Certified Public Accountants. These modifications are mandated by the State Comptroller’s Office to facilitate the compilation of the state CAFR report. http://www.irs.ttu.edu/Reports/StateReports/TTU/Financial       3. The institution audits financial aid programs as required by federal and state regulations.   - Not applicable to unit level.       4. The institution exercises appropriate control over all its financial and physical resources.   - Not applicable to unit level.       5. The institution maintains financial control over externally funded or sponsored research and programs. JUDGEMENT OF COMPLIANCE Texas Tech University is able to provide a portfolio of evidence supporting compliance. STATEMENT OF RATIONALE FOR JUDGMENT OF COMPLIANCE Texas Tech University (TTU) has clear policies and procedures for both pre-award and post-award financial management of externally funded research and programs. Guidelines established by the TTU Office of Research Services (ORS) for grant and contract submission provide procedures for correct calculations of salaries, fringe benefits, travel and other parts of the budget included in the direct costs of a grant (Budget Preparation Guidelines; Budget Form). The policies on indirect costs and matching funds provide information concerning correct indirect cost rates, instructions for requesting waiver of these rates, and procedures for grants that require matching funds from the institution (Policy on Indirect Costs; Policy on Provision of Matching Funds). Texas Tech University also provides guidance for management of a grant or contract, once an award is made. This guidance from ORS as well as from the Office of Grants and Contracts Accounting includes information on and assistance with authorization of expenditures, cost-sharing, reporting of time and effort, purchasing, travel authorizations, consultants, equipment, post-award changes in the project, retroactive cost transfers, and close-out of the grant (TTU Operating Procedures Manual). The TTU financial procedures for managing grants and contracts are in compliance with the requirements of the TTU Board of Regents (BOR Rules and Regulations). The TTU Office of Audit Services periodically reviews compliance with these policies. Source Location Board of Regents Rules and Regulations http://www.depts.ttu.edu/oppol/ TTU OP 65.02 Personnel Activity Reporting http://www.depts.ttu.edu/opmanual/OP65.02.pdf TTU OP 65.04 Cost Transfers on Federal Sponsored Projects http://www.depts.ttu.edu/opmanual/OP65.04.pdf TTU OP 65.08 Expenditures and Matching Commitments … http://www.depts.ttu.edu/opmanual/OP65.08.htm TTU OP 65.09 Budgeting Sponsored Projects http://www.depts.ttu.edu/opmanual/OP65.09.htm TTU OP 65.10 Budgeting Sponsored Projects Prior to Receipt of Award http://www.depts.ttu.edu/opmanual/OP65.10.htm Budget Preparation guidelines (also includes policy on cost sharing) http://www.ors.ttu.edu/nih_modular_grants_supplemental_.htm Budget forms http://www.ors.ttu.edu/budget_calculation.htm Policy on indirect cost waivers http://www.ors.ttu.edu/Farecov.html Form for indirect cost waivers http://www.ors.ttu.edu/Downloads/F&ADISCO1.doc.       6. The institution takes reasonable steps to provide a healthy, safe, and secure environment for all members of the campus community.   - Not applicable to unit level.       7. The institution operates and maintains physical facilities, both on and off campus, that are adequate to serve the needs of the institution’s educational programs, support services, and mission-related activities.   - Not applicable to unit level.   FEDERAL MANDATES In addition to the Core Requirements and Comprehensive Standards outlined above that have incorporated some of the requirements mandated by the 1998 Higher Education Amendments and its attending regulations, institutions also are responsible for complying with the following requirements that are more specifically stated in federal laws. Compliance will be considered when the institution is reviewed for initial membership and for continued accreditation:   1. When evaluating success with respect to student achievement in relation to the institution’s mission, the institution includes, as appropriate, consideration of