Transaction Authority Policy

Institutional Policy on Authority of Transactions

Category: Governance/Legal
Title: Transaction Authority Policy
Approved by: Board of Trustees
Date Approved: November 29, 2007
History:
Related Policies: Settlement Authority Policy 
Additional References:
Responsible Official: Office of the General Counsel

• Policy Statement
• Entities Covered by this Policy
• Contacts
• Definitions
• Procedures

Policy Statement

The purpose of this policy is to provide a process for approval of certain types of unbudgeted/unplanned transactions requiring action before the Board of Trustees can meet.

Entities Covered by this Policy

All units of the College.

Contacts

Office of the General Counsel
(909) 607-0348

Definitions

Procedures

• Transactions that bind the College to $1 million or more require Board of Trustees approval, and therefore must await the next meeting of the Board of Trustees for approval.
• Transactions that bind the College in the range of $500,000 - $1 million require Executive Committee approval.
• Transactions in this range must also, to the extent applicable, comply with the Finance Committee’s policy of pre-approving all operating budget changes greater than $125,000.
• Transactions that bind the College in the range of $125,000 - $500,000 require the President’s approval after consultation and agreement from the Chair of the Board of Trustees, the chair of the Finance Committee (or vice chair if the chair is not available), and any other relevant committee chair (or vice chair if the chair is not available) (e.g., chair of the Buildings & Grounds Committee if the matter relates to capital projects). Transactions in this range must also, to the extent applicable, comply with the Finance Committee’s policy of pre-approving all operating budget changes greater than $125,000. Transactions in this range will also be ratified by the Executive Committee or Board of Trustees at the next respective meeting (whichever is first).
• Transactions less than $125,000 require approval by the President.
• Transactions related to the purchase of property in the Arbol Verde neighborhood shall follow the previously approved policy statement for land purchase near campus.