UC Audit Finds Irregularities, Lack Of Transparency

SAN FRANCISCO (KCBS) – A 15-month review of the books at the University of California uncovered irregularities in how some expenses are listed

The audit called for by State Senator Leland Yee, a San Francisco mayoral candidate, found no evidence of major fiscal malfeasance in the 10-campus system, but raised concerns about a lack of transparency in some areas of its budgeting.

One example is an item in the Office of the President’s budget entitled miscellaneous services that lists about $1 billion annually in expenses without detailing what the money is being spent on.

“The first order of business now is that UC needs to change its accounting procedure so there is a lot more clarity and specificity as to what the expenses are for,” Yee said.

KCBS’ Chris Filippi Reports:

The audit also called on UC to explain why some campuses get more money per student than others.

The University of California has been criticized in recent years for offering high salaries to its administrators while student fees and tuition have steadily climbed.

State auditors warned the UC system could lose public trust if it doesn’t provide more details on where it spends its money, but the audit found no evidence of waste, fraud or abuse.

“We were shown to be exemplary in almost all of our practices,” said Diane Klein, a spokeswoman for the Office of the President.

“We look at this as an affirmation of our practices.”

Klein said the university has already implemented some of the recommended accounting reforms.

(Copyright 2011 by CBS San Francisco. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.)

More from Chris Filippi
Comments

One Comment

  1. genomega1 says:

    “$1 billion annually in expenses without detailing what the money is being spent on.
    Try this in the real world.

  2. Mark says:

    Jeez, does it really matter if we have transparency? These morons are OPENLY paying their executives hundreds of thousands more than they deserve while raping the staff and students. They have no shame for us to use as leverage.

  3. Milan Moravec says:

    University of California Berkeley picks the pockets of foreign, out-of-state and California students clean. University of California (UC) tuition, fee increases are an insult. Californians face mortgage defaults, 12% unemployment, pay reductions, loss of unemployment benefits. No layoff or wage reductions for UC Chancellors, Vice Chancellors, Faculty during greatest recession of modern times.
    There is no good reason to raise tuition, fees when wage concessions are available. UC wages must reflect California’s ability to pay, not what others are paid. If wages better elsewhere, chancellors, vice chancellors, tenured, non tenured faculty, UCOP apply for the positions. If wages determine commitment to UC Berkeley, leave for better paying position. The sky above the 10 campuses will not fall.
    Pitch in (with deeds not words) for all California Democrats, Republicans UC!
    No furloughs. UCOP 18% reduction salaries & $50 million cut.
    Chancellors’ Vice-Chancellors’, 18% cut. Tenured faculty 15% trim.
    Non-Tenured, 10% reduction. Academic Senate, Council remove 100% costs salaries.
    It is especially galling to continue to generously compensate chancellors, vice-chancellors, faculty while Californians are making financial sacrifices and faculty, chancellor, vice-chancellor turnover is one of the lowest of public universities.
    The message that President Yudof, UC Board of Regent Chair Lansing, UC Berkeley Birgeneau are sending is that they have more concern for generously paid chancellors, faculty. The few at the top need to get a grip on economic reality and fairness.
    The California Legislature needs a Bill to oversee higher education salaries, tuition.

  4. Milan Moravec says:

    University of California Berkeley Chancellor Birgeneau ($500,000 salary) has forgotten that he is a public servant, steward of the public money, not overseer of his own fiefdom. These are not isolated examples: recruits (uses California tax $) out of state $50,000 tuition students that displace qualified Californians from public university education; spends $7,000,000 + for consultants to do his & many vice chancellors jobs (prominent East Coast university accomplishing same 0 cost); pays ex Michigan governor $300,000 for lectures; in procuring a $3,000,000 consulting firm he failed to receive proposals from other firms; Latino enrollment drops while out of state jumps 2010; tuition to Return on Investment drops below top 10; QS academic ranking falls below top 10; only 50 attend Birgeneau all employees meeting; visits down 20%; NCAA places basketball program on probation, absence institutional control.

    It’s all shameful. There is no justification for such violations by a steward of the public trust. Absolutely none.

    Birgeneau’s violations continue. Governor Brown, UC Board of Regents Chair Lansing must do a better job of vigorously enforcing stringent oversight than has been done in the past over Chancellor Birgeneau who uses the campus as his fiefdom.

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