California State University Foundation

“The audit committee shall have the responsibility for reviewing the organization's form 990 (including all pertinent schedules). Before it is filed with the internal revenue service, a final copy of the form 990 will be forwarded to the entire board of directors.”

“Board members and key csu staff are annually asked to review and affirm that they have no conflicts of interest as described in the conflict of interest policy statement. Upon the identification of any conflict, the information is then forwarded to the executives of the board and appropriate action is taken. This action may range from the board not approving a contract based on potential conflict to removal from the board.”

“The csu or an executive compensation consulting firm conducts periodic market surveys and produces a comprehensive analysis of csu executive compensation. In addition to annual performance evaluations, the board of trustees uses this analysis in the formal evaluation process, which occurs every three years. This closed door session assesses the officers and employees abilities to perform their duties within the csu system. In addition, compensation paid by the foundation to the chancellor is reviewed and approved by the entity's board of governors, independent of the compensated entity. Compensation policy: 1. The goal of the csu continues to be to attract, motivate, and retain the most highly qualified individuals to serve as faculty, staff, administrators, and executives, whose knowledge, experience, and contributions can advance the university's mission. 2. It is the continued intent of the board of trustees to compensate all csu employees in a manner that is fair, reasonable, competitive, and fiscally prudent, in respect to the system budget and state funding. 3. To that end, the csu will continue to evaluate competitive and fair compensation for all csu employees based on periodic market comparison surveys. 4. In addition, the csu will maintain and update annually a tiered list of csu comparison institutions for presidential compensation. The list will take into account location, enrollment, budget, percentage of students receiving pell grants, six year graduation rates, research funding, and such other subjects as from time to time be deemed appropriate. Presidential compensation will be guided with reference to the mean of the appropriate tier of comparison institutions, together with an individual candidate's reputation for national policy leadership and length and depth of executive experience. 5. Notwithstanding the presidential compensation criteria enumerated in item 4 (above) and until the board of trustees of the california state university determines otherwise, when a presidential vacancy occurs, the initial base salary, paid with public funds to the successor president, shall not exceed ten percent of the previous incumbent's pay.”

“The form 990, the articles of incorporation, the bylaws, the irs determination letter, the audited statements, and the conflict of interest policy are posted on the following website: http://www.calstate.edu/foundation/”

“Csu foundation conducted one fundraising event and expenses were underwritten by a donor. Thus, there are minimal fundraising expenditures incurred by the organization. Charitable support received results from efforts by the california state university.”