Financial Services/Business Operations Center
Delegation of Authority
Major Responsibilities That Can Be Delegated:
  • Operating the unit in compliance with applicable laws and regulations, UC policies and procedures, and the terms and conditions of gifts, grants, and contracts
  • Establishing and maintaining a system of internal controls that assures that resources are used properly and safeguarded against waste, loss, and misuse; this includes methods and procedures for segregation of duties, proper approvals, security of assets and records, and documented review and validation of the ledgers and financial reports
  • Establishing unit policies and procedures to ensure that:
    • Charging costs to each fund is allowable, allocable, and properly documented, and will provide benefit to the project for which the fund was established
    • Transferring of funds or expenses involving restricted dollars is proper; for example, grant funds cannot be shifted to a unit reserve fund
  • Establishing and monitoring controls that prevent one individual from exercising control over all key-processing functions for financial transactions. Such functions include:
    • Recording transactions into the electronic financial information system directly or through an interfacing system
    • Authorizing transactions
    • Receiving or disbursing funds
    • Reconciling financial system transactions
    • Recording corrections or adjustments
  • If the lack of staffing within a unit requires that one person verify policy compliance, accuracy and timeliness, ensure that a second person reviews the transaction
  • Ensuring that employees who prepare financial transactions provide adequate explanations and documentation sufficient to support post-authorization review and audit
  • Identifying unauthorized transactions, and informing management if a loss of UC assets or any material irregularity occurs
  • Ensuring that fiscal support staff receive the core systems training that they need to effectively complete their responsibilities
Major Responsibilities That Cannot Be Delegated:
  • Accountability for ensuring that the proper controls and monitoring procedures are working as intended and documented
  • Accountability for ensuring that reports are accurate and meaningful
  • Managing and coordinating audits and reviews, and responding to audit findings and reports
  • Interpreting financial policy and procedures, consulting with units to establish workable and effective key controls. Available to answer specific policy questions, facilitate workshops designed to address issues and mitigate business risks
Selected Requirements, Risks and Mitigation Measures
  1. Key controls that are not adequately documented could subject UC to greater scrutiny by the federal government, which could impact our ability to obtain funding.
  2. A bank account for either an activity supported by, or for funds disbursed by UC is not to be opened without prior approval by UC’s Treasurer's Office. This must be coordinated through UC ANR Financial Services.
  3. Employees cannot approve payroll or other disbursements to themselves.
  4. Expense reimbursements and payments must follow special limits and approvals as prescribed by UC policy.
  5. When an employee signs any document as the approving authority, they must sign their own name or use an electronic signature where appropriate.
  6. Cash and checks received for UC must be deposited on a daily basis.
  7. Employees cannot accept cash, non-cash gifts, or other benefits from vendors or other organizations that do business with UC.
  8. Financial systems developed by a unit must demonstrate that income and expenses reconcile to the UC ANR operating ledgers in the appropriate campus financial system (UC Davis, UC Riverside, UC Berkeley, and UC Los Angeles). These operating ledgers are the official record for UC ANR financial transactions.
  9. Cost transfers affecting governmental funds, which are after-the-fact adjustments and corrections of errors in posting costs, must be processed on the appropriate campus financial system according to procedures established by the respective campus accounting department.
  10. The establishment of a new recharge account and new or revised recharge rates must be reviewed and approved by the Rate and Recharge Committee.
  11. All payments to, or for the benefit of, UC ANR employees must be in accordance to personnel policies and compensation plans.
  12. The payment of compensation or expense reimbursement to foreign visitors is restricted in many situations by Immigration and Naturalization Services (INS) regulations. See disbursements resources for help before a visitor arrives at UC ANR.
  13. UC resources (funds) cannot be used for personal gain. This includes the purchase of products for personal use, or the purchase of products or services from oneself or a relative, or from other unit employees or their relatives, unless allowed under the provision of UC’s Conflict of Interest policy.
  14. All loans to UC ANR employees must be in accordance with approved UC loan programs.
  15. Paying an individual as an independent contractor or a consultant when they should be paid as an employee is illegal and renders the unit liable to pay required taxes and/or penalties.
  16. Complete records of equipment must be kept in the unit. Equipment that is used in individuals’ homes or other locations remains the property of UC and must be returned when no longer used for UC business.
  17. UC cannot make charitable or political contributions. As allowed by UC policy, the Vice President may grant an exception if charitable contributions are consistent with the mission of UC.
  18. Inadequately trained staff may produce inappropriate transactions that may result in loss to UC and/or substantially delay the approval process.
  19. Staff who have inadequate information about a particular business process are prone to generate erroneous transactions that can lead to inaccurate reporting and loss of productivity. All staff are strongly encouraged to log onto the appropriate campus financial system daily.
Resources and Background Information

For further information contact the Financial Services Director.