Section 72675 Of Article 6. Auxiliary Organizations From California Education Code >> Division 7. >> Title 3. >> Part 45. >> Chapter 6. >> Article 6.
72675
. (a) The board of directors of an auxiliary organization
shall approve all expenditures and fund appropriations.
Appropriations of funds for use outside of the normal business
operations of the auxiliary organization shall be approved in
accordance with district policy and regulations by an officer
designated by the district governing board.
(b) The district governing board, in accordance with regulations
of the Board of Governors of the California Community Colleges, shall
do all of the following:
(1) Institute a standard systemwide accounting and reporting
system for businesslike management of the operation of these
auxiliary organizations.
(2) Implement financial standards that will ensure the fiscal
viability of these various auxiliary organizations. The standards
shall include proper provision for professional management, adequate
working capital, adequate reserve funds for current operations and
capital replacements, and adequate provisions for new business
requirements.
(3) Institute procedures to ensure that transactions of the
auxiliary organizations are within the educational mission of the
district.
(4) Develop policies for the appropriation of funds derived from
indirect cost payments not required to implement paragraph (2). Uses
of these funds shall be regularly reported to the district governing
board.