Delegate Teleconference Meeting
Wednesday, August 20, 2014, 9:00 a.m. – 11:30 a.m.
Members
X
X
X
X
X
Doug Wade (Bakersfield)
Missy Jarnagin (Channel Islands)
Stacie Corona (Chico)
Steve Mastro (Dominguez Hills)
Darrell Haydon (East Bay)
X
X
X
X
X Clinton Moffitt (Fresno)
X
X Sarah Song (Fullerton)
X Carol Lorentzen (Humboldt)
X
X Sharon Taylor (Long Beach)
X Mae Santos (Los Angeles)
X Ken Toet (California Maritime
Academy)
John Fitzgibbon (Monterey Bay)
X Deborah Wallace (Northridge)
X Darwin Labordo (Pomona)
X
X
X
X Justine Heartt (Sacramento)
X Monir Ahmed (San Bernardino)
X Agnes Wong Nickerson (San
Diego)
X Franz Lozano (San Francisco)
X Josee Larochelle (San Jose) Chair
X Shawn Bibb (San Jose) CABO
Liaison
X
Brett Holman (San Luis Obispo)
Mary Hinchman (San Marcos)
David Crozier (Sonoma)
Julie Benevedes (Stanislaus)
George Ashkar (Chancellor’s
Office)
Rodney Rideau (Chancellor’s
Office)
Jean Gill (Chancellor’s Office)
Mike Redmond (Chancellor’s
Office)
Tom Roberts (Chancellor’s Office)
Michelle Schlack (Chancellor’s
Office)
Nancy Freelander-Paice
(Chancellor’s Office)
Lily Wang (Chancellor’s Office)
Sedong John (Chancellor’s Office)
Michelle Norton for Mick
McBride (Chancellor’s Office)
Chris Canfield (Chancellor’s
Office)
Ryan Storm (Chancellor’s Office)
Other Attendees: Anthony Forestiere for AVP Moffitt, Fresno.
1. Welcome and Agenda Approval – Josee Larochelle
Meeting commenced meeting at 9:07 a.m.
Chair Larochelle announced that Mr. Tom Roberts, System-wide Director of Contracts and Procurement, and
AVC George Ashkar, will not be able to attend. Both gentlemen are at CSU Eastbay to attend the CSU and UC
roundtable discussion, therefore no financial or procurement updates.
FOA Executive Committee * Chair, Josee Larochelle * Vice Chair, Deborah Wallace * Secretary, Mae Santos * Treasurer, Mary Hinchman
*One year Member at Large, Vacant * Two year Member at Large, Darrell Haydon * Past Chair, Justine Heartt
2. CABO Update – Shawn Bibb
CABO Liaison VP Shawn Bibb reported that since the last conference, there have been major discussions on the
budget. The Chancellor’s Office issued a revised budget memo in July with significant negative feedbacks from
the campuses. Due to the overwhelming responses, the Chancellor Office sent out two options for campus
Presidents to review and vote on. Steve Rayela, Executive Vice Chancellor, made a commitment to create a
committee on future allocation orders. The budget memo will include a 3% pay raise pending negotiations with
the unions. In other topics, not a lot of commitments have been made on the CHRS implementation. Some
people indicated work is progressing while others say the project has stopped. AVP Sharon Taylor asked for
status on the travel policy from CABO. VP Bibb indicated that no discussion will occur until the next in-person
meeting. VP Bibb indicated that AVP Larochelle will attend for the next CABO in-person
3. Treasurer’s Financial Report and FOA FY1415 Dues – Mary Hinchman
AVP Hinchman reported that the fund balance as of July 31, 2014 is $109,999.
4. Budget Update – Ryan Storm (time certain 9:30 a.m.)
Interim Assistant Vice Chancellor Ryan Storm addressed three items including 1) 2014-15 budget allocation
memo 2) 2015-16 CSU budget request and 3) CSU infrastructure and maintenance needs.
2014-15 Budget Allocation Memo
Overall, the CSU system’s 2014-15 general fund enrollment growth allocation is $142 million. Although the
legislature made commendable efforts towards assisting the CSU to restore additional funding, at the end of
budgetary session, the efforts were not successful. The CSU made unsuccessful efforts to carve out $95 million
in additional funding from the state. State budget decisions were not finalized until June 20th. Since there were
numerous last minute decisions by the Chancellor’s Office because of that June 20th news, the budget memo
reflected some of the challenges facing the CSU. The Interim AVC offered an apology for timing of the memo,
yet the budget strategy was to work until the very end to secure the additional $95 million. A memo was sent to
the campus presidents providing some options to address the shortfall. If the CSU restored funding for the
enrollment bucket, then there has to be an alternative to make the CSU whole. One option that was considered
was that campuses could possibly fund 1% of compensation adjustments; however, this approach would be
problematic since it has the potential to complicate the collective bargaining process. Instead, the Chancellor and
the Presidents decided to do an adjustment to the 2013-14 revised base budgets. The approach is to allocate
proportional shares for the campuses to bring the overall CSU budget augmentation in line with the $142 million
provided by the state while also honoring enrollment target decisions and planning already under while increasing
enrollment. General Fund will increase between 13-14 and 14-15 for all campuses ranging from $1.8 million at
Maritime to $9.2 million at Long Beach and all other campus in between. The System-wide Budget Office will
issue a revised budget memo in the upcoming week. The revision will show some campuses receiving less
allocation than the July memo. If campuses made commitments based on the information from the July memo,
then they can request one-time funding. The Chancellor has extended an offer to provide one-time funding to
mitigate campus impacts if commitments were previously made based on the July allocation memo. The bar has
been set really high since there was only a few weeks between the memo issuance dates. At the Presidents’
council meeting, the Chancellor and the Presidents decided to take $6 million from student success to off-set
General Fund adjustments and to reduce the 2013-14 base allocation. AVP John Fitzgibbon (Monterey Bay)
inquired about the overall percentage de-allocation from the 2013-14 base budget, which will be a little over 1%.
AVP Steve Mastro (Dominguez Hills) asked about the target date for the revised memo. AVC Ryan indicated
that the Systemwide Budget Office will make sure the information is accurate so there will not be any unattended
consequences. AVP Justine Heartt (Sacramento) asked when FIRMS Budget will be due and requested at least a
week’s timeframe for review. Acting Deputy Assistant Vice Chancellor, Budget, Rodney Rideau plans on
sending out the revised memo by this Friday or next Monday with feedback due by next Wednesday. AVP Josee
Larochelle stated that since the annual fee report is due on August 29, it is best to delay FIRMS Budget until
Friday, September 5.
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2015-16 Budget Request
The System-wide Budget Office is planning for the 2015-16 budgets. The CSU needs base budget will be similar
to last fiscal year. The preliminary plan will be approximately $300 - $350 million for infrastructure, IT
upgrades, enrollment, and student success and completion initiatives. The timeframe is for the CO to present
preliminary planning information to the BOT. Despite some criticism of not building the budget around the
Governor’s defined allocation, Interim AVC Storm indicated it was the CSU’s responsibility to put together a
budget plan that reflect the needs of the university. The Governor’s Administration continues to indicate its
preference that tuition fees remain flat through 2016-17. The CSU must let Sacramento know its needs and in
order to meet the need, the Governor and Legislature need to fund them.
Positive Trigger
Interim AVC Storm also presented on overview of the lack of positive trigger on deferred maintenance on a one
time basis which was contingent on property taxes beyond certain level. The $50 million positive trigger was
included in the final state budget but the law required the Department of Finance to determine if that trigger
would be met. Earlier this summer, DOF determined that the trigger would not be pulled and that contingency is
now off the table. Although the Speaker introduced legislation to provide one-time funding to fund $50 million
to the CSU and UC, Interim AVC Storm cautions people to get their hopes too high. The DOF told legislators
they were opposed to providing the funding to the UC or the CSU. At the end of the day, it depends on where the
Governor’s Administration will land.
AVP Fitzgibbon inquired about the plan to use mix in the future. Interim AVC Storm indicated that the EVC
mentioned a desire to work through a new budget allocation process. The EVC and the Presidents understood that
the 2014-15 budget issue has been resolved in principle, with the need to review the change in mix. It is a broader
issue and there is also a need to talk about SUG allocation. The plan is to create a work group. The state has
limited resources and don’t want the system to rely on tuition fee. At the end of the day there are pluses and
minuses. The system is heavily reliant on the State and the State has not been able to fully meet the needs of the
university.
.
5. FOA 1-year Member-at-large – Justine Heartt
AVP Heartt (Sacramento) presented the final vote count for FOA 1-Year Member at Large. AVP Missy Jarnagin
has been elected the new officer. AVP Heartt welcomed AVP Jarnagin to the new officer position.
6. CFS Enhancements/Project Status – George Monsoor and Cheryl Kwiatkowski (time certain 10:00 a.m.)
Chair Larochelle reiterated that FOA has asked for summary status on CFS projects that are in the queue. Mr.
Monsoor will present an overview of these projects and indicated that Michelle Norton will continue to participate
in the FOA conference to discuss updates except for today. He discussed the projects that have gone through
FOA and CABO.
First, the CFS Datawarehouse project has received funding approval. Ms. Kwiatkowski will attend the FOA
meeting in September 2014. She also has been in contact with Debbie Brothwell to understand the requirement
on reporting and get a better sense as to what the entire project entails. The goal is to merge financial and the HR
datawarehouse together. Ms. Kwiatkowski is looking forward to working with the delegates. AVP Heartt
indicated there was an existing workgroup to review potential enhancement. Ms. Kwiatkowski was in agreement
and stressed the need to incorporate Pro-Card data. The sponsored program component needs to be worked on
first before data-warehouse.
Second, Mr. Monsoor indicated that the sponsored program initiative was submitted but funding was not
approved. The datawarehouse component was encapsulated in the program. FOA has approved sponsored
program to be among the projects for CFS enhancement. CABO has endorsed the mini plans and forwarded it to
the EVC, however the EVC did not approve the plan. A question was raised as to whether the information was
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communicated back to CABO. Chair Larochelle asked for the budget related to the sponsored programs project
that was provided to the EVC. Mr. Monsoor will look into it.
Third, E-Procurement was funded and has been approved. Implementation of the procurement model will
proceed in CMS in the current year.
Fourth, system-wide travel expense was funded although FOA was told this was only a CO project. Apparently
the CMS executive committee requested this project to be added for system-wide implementation. AVP Taylor
asked VP Bibb if the CO had informed CABO about the travel project implementation since the travel policy was
being revised. Mr. Monsoor indicated that while requests normally go from FOA to CABO to the EVC, some
projects do go directly from CMS to the executive committee to the EVC. Annually the CMS Executive
Committee meets in October to prepare strategic initiative in the following year. AVP Taylor expressed concern
that FOA voices were not being heard, especially on projects with FOA impacts. Chair Larochelle will engage in
further conversation with Ms. Kwiatkowski and Mr. Monsoor to ensure clear transparency. According to Mr.
Monsoor, Payment Plus appears to be on track. He will also share a time-lime for various projects including EProcurement and Sponsored Programs.
Finally, in regard to CFS operational updates, the main focus is on MP1 with key updates communicated to
campuses on the 14th. CMS will release the next major update on October 23 for campus testing. Project
summary has been released to campuses.
7. Split Testing for upcoming CFS Maintenance Pack (attachment) – Josee Larochelle, Lily Wang & Justine
Heartt
Chair Larochelle thanked Ms. Wang and AVP Heartt for developing the campus sign-up matrix. Some campuses
have expressed concerns on testing responsibilities and its impact. The chair asked Ms. Wang and AVP Heartt
for summary findings on whether campuses should proceed with split testing. According to Ms. Wang, KPMG
approved in concept the possibility of splitting testing among campuses (refer to document from 12/11/13
meeting):
 One instance
 One test script
 Requirement to document that all modules/scenarios were adequately tested to success,
and approved/signed off
 Evidence of training
CMS indicated it is a campus decision and not their initiative. They provided pros and cons and voiced concerns
regarding split testing but leave the final determination to FOA. AVP Heartt provided some historical
perspectives that led to the split testing initiative. Overall, split testing will result in less work for some campuses
especially in light of campuses losing employees over the years. Most campuses have similar CMS system-wide
issues so split testing will reduce redundancy and workload.
AVP Larochelle opened the floor for delegate discussion and asked if there were any concerns. She also asked
whether there needs to be a vote to proceed with split testing with the six campuses. After delegate discussion,
AVP Larochelle indicated split testing will commence once MP1 is released.
8. CFS ProCard Mod to add BU Advisory Committee Recommendation (attachment) – Sharon Taylor
AVP Taylor pointed out that if FOA supports the concept, then the item will be forwarded to CABO. In regard to
Pro-Card, the Business Unit and chartfield needs to be included in the set-up. Including these chartfields will
facilitate not having to bill back and forth from the auxiliaries. FOA delegates unanimously support ProCard Mod
to be forwarded to CABO. AVP Larochelle thanked the committee’s efforts.
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8 20 Procard
Enhancement Request.pdf
9. CO Financial Services Updates – George Ashkar
No updates.
10. Other CO Updates
a. CMS Updates – Michelle Norton
CMS updates were previously discussed above.
b. Procurement – Tom Roberts
No updates.
c. Budget – Rodney Rideau
Mr. Rideau spoke about the reporting requirement on CERF supplemental reporting. He indicated that a
template was created by CSU Northridge and shared with the campuses. The supplemental reporting
requires every course fee to be reported, however there were concerns since not every fee has a fund
balance. FOA delegates asked Mr. Rideau to send out the template again. There was consensus that fund
balance by fee is not realistic.
d. US Bank Payment Plus – Mike Redmond
No updates.
e. Audit – Michelle Schlack
Ms. Schlack reported that OAAS has completed the Accessible Technology audits and is continuing with
the Executive Travel, Information Security, Sponsored Programs – Post Award audits, and Continuing
Education audits.
11. CSU 101 October 2014 Update – Brett Holman
Mr. Holman indicated that 11 campuses have submitted attendee list and currently 8 people are on the waiting
list. Campuses have until August 29th to submit attendee names. He further reported that CSU 101
presentations were due on August 15th to Lori Erdhman.
12. CSU 101 Core FOA Team Discussion – Josee Larochelle
Chair Larochelle held discussion to the upcoming meeting. She asked planning group to help guide FOA to
ensure this vital program with high demand continues. More to come in next few months.
13. CSU Business Conference 2015 update – Josee Larochelle
Not much update. Chair Larochelle will proceed with on-site review in November. The save-the-date flyer
will be sent out.
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14. CSU Business Conference 2016 – Josee Larochelle
Chair Larochelle stated it was difficult to find conference locations to fit the size and lodging limit. She may
need to look at locking in multiple years since appropriate locations are hard to find. One proposed location
is the Oakland Marriot Center on March 28th-29th. The cost per room is $169. This venue can accommodate
room and space requirements. AVPs Haydon and Larochelle will conduct site visits. Chair Larochelle
proposed that FOA move forward to moving conference there for 2016 conference and asked for comments.
AVP Heartt felt it was a good idea and asked if approval is needed from VP Bibb. Chair Larochelle didn’t
believe so. The proposed conference site does not require deposit but has a $100K minimum for catered food
and beverage for 2015 and 2016. One concern about the March 28th-29th dates is that it falls after the Easter
break which is when kids go on vacation. Chair Larochelle will ask the Oakland Center to see if there is
another date and will also look at other venues. There were no bids from the Hyatt or the Marriot in
Sacramento. There are no deposit requirements for the Oakland Center but there is a cancellation
requirement.
15. SubCommittee Reports
a. Strategic Sourcing – Darwin Labordo
AVP Labordo reported that the task force has not met with CABO for two meetings. At this stage, the
initiative is self-propelled. Most of the work currently being done is to develop a common platform for
preferred vendor. Nine campuses have participated and have provided trainings in the last 60-90 days.
The site is live and is in production mode. Pomona will be the first campus to roll it out to the
community. At Pomona, AVP Labordo will meet with the VP to demonstrate how the system is used and
will serve as a test case. East Bay, Sacramento, and Bakersfield will begin testing Monday. Chico and
Los Angeles will need to schedule training. Mike Lee is still the CABO lead on this and AVP Labordo
will call for more participation from campuses on strategy. Chair Larochelle asked for a link to share
with the delegates.
b. Travel Improvements – Darrell Haydon
No progress made in this area.
c. Getting to Know PSSOA (attachments) – Clinton Moffitt
AVP Moffitt was not on the call. AVP Jarnagin had meeting with PSSOA. Tom Roberts and the PSSOA
treasurer explained the history of PSSOA and how the funding originated, which is essentially from
Office Max and REI. The funding arrangements were made by CABO and CO personnel, many of whom
are no longer there. AVP Jarnagin asked PSSOA for a spend down plan on funds and whether it was the
right way to do incentive funding in the future. PSSOA stated that the funds were used on training,
however there were concerns that the spending decisions should not reside within PSSOA, rather by the
campus AVPs. PSSOA’s current fund balance is approximately $300K with another $400K at the CO
from incentive rebates under CABO control. CABO is aware of the funds which are to be used for shared
services. Overall, there is a total of $700K. AVP Haydon clarified that campuses are receiving a
percentage of the OfficeMax rebates; however AVP Jarnagin indicated that not all rebates are returned to
the campuses stemming from system-wide contracts issued by the CO Office. Since PSSOA reports to
FOA, AVP Jarnagin asked Mr. Roberts for reports to be shared with FOA.
16. Liaison Reports
a. Accounts Payable (AP) – Justine Heartt
There were no issues reported on the list-serve. Wells Fargo Bank provided tip sheet on supply chain
fraud where criminals were changing the banking information to commit fraud. Information is attached.
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Supply Chain
Fraud.pdf
b. Student Accounts Receivable (SAR) including CashNet – Brett Holman
Mr. Holman reminded the delegates that the new federal Direct Loan consolidation program no longer
issues consolidation checks at September 30th. Overall, the CashNet system has been slow due to high
volumes of student activities. Campuses asked to refrain from doing tuition calc for all students to free
up system space.
c. Purchasing (PSSOA) – Missy Jarnagin
No further update.
d. Budget – Missy Jarnagin
No further update.
e. Sponsored Programs – Sharon Taylor
AVP Taylor reported that a sponsored programs meeting with be held in Sonoma. San Marcos just went
live and spud listing is now on sharepoint. A request for was for campuses to send names of individuals
who handle sponsored programs on campuses to AVP Taylor. Long Beach will share an AR billing
template with the delegates. Sue is working on the benefits pool rate. Karen Wall was the HR
representative from FOA on LCD; however, since her departure, no delegate has replaced Ms. Wall.
Chair Larochelle pointed out that AVP Moffitt was appointed to replace Ms. Wall since his campus is
used as a baseline. Mr. Forestiere representing AVP Moffitt indicated that CMS has stopped using their
campus baseline. Chair Larochelle will send AVP Moffitt a note.
f.
CFS Advisory Committee – Josee Larochelle
i. CFS ProCard Mod to add BU
No updates. There are plans to forward the ProCard mods to CABO.
Meeting adjourned 11:32 p.m.
17. Future FOA Delegate Meetings
September 24, 2014
Wed 9:00 am – 2:30 pm
LAX Crowne Plaza
November 5, 2014
Wed 9:00 am – 11:30 am
Teleconference
December 10, 2014
Wed 9:00 am – 11:30 am
Teleconference
February 8, 2015 – AOA Conference, Pasadena, The Langham Huntington
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