Audit of CSU Extended Education released

The California State Auditor today released its report on the California State University’s Extended Education, which calls into question supplanting and some campuses possible failure to document their adherence to laws, policies and procedures.

The auditor analyzed total state-supported and self-supported courses, sections and student seats for three CSU campuses – CSU Long Beach, CSU Sacramento and San Jose State University –  over a span of five fiscal years, as well as CSU’s Office of the Chancellor.

One of the biggest findings is that regardless of the interpretation used in terms of the meaning of supplanting, the auditor identified some potential instances of supplanting. Using a narrow definition as defined by CSU in a 2010 lawsuit, a total of 26 courses may have potentially been supplanted. Using a broader definition, the auditor found a total of 914 instances of supplanting, the report states.

Another major finding is that “Contrary to the CSU student fee policy, the three campuses we examined did not always prepare statements of revenues and expenditures when setting fees for extended education programs,” the document states. Two of the three campuses raised fees using unjustified methodologies, and the Chancellor’s Office did not review each campus’s inventory of fees to determine the appropriateness of extended education fees.

The audit also found that “extended education revenues generally exceeded extended education expenditures during fiscal years 2007-08 through 2011-12 for the three campuses we reviewed,” the document states. The Chancellor’s Office’s carry-forward fund policy was not always in place, which resulted in two campuses violating that policy when their reserve balances exceeded six months of their annual operating expenditures, the document states.

The CSU has 60 days to provide a response to the auditor.

Click here to read the report.