Asset Protection

  • Policy Type: Executive Limitations
  • Policy Title: Asset Protection
  • Policy Number: 3.6
  • Office Responsible: CEO
  • Related Policies: 1.3 Board Responsibility
  • Related Procedures: N/A
  • Related Laws: Michigan Community College Act; Governmental Immunity Act
  • HLC Criterion: 2A, 2C, 5A

Policy Statement

The Board has a fiduciary responsibility to utilize, maintain, and protect College assets. The CEO shall implement policies, rules, guidelines, procedures and practices to assist the Board with this responsibility. In addition, the CEO shall ensure that the College’s physical facilities and other assets are used in ways that support the Board’s Ends.

Accordingly, the CEO shall not:

  1. Fail to lead the Board in relevant discussion and work to assure a clear long-term vision.
  2. Fail to position the College to be successful and sustainable.
  3. Fail to insure against theft and casualty losses in amounts consistent with replacement values or against liability losses to the College, the Board, Trustees and employees in amounts consistent with limits of coverage obtained by comparable institutions.
  4. Allow employees, without a suitable bond from a responsible bonding company, access to material amounts of funds.
  5. Permit facilities and capital equipment to be subjected to inadequate maintenance or repair.
  6. Allow known conditions to persist that risk the College’s assets and/or expose the College, the Board, Trustees or employees to claims of liability.
  7. Receive, process, or disburse funds under controls which are not sufficient to meet standards established by the Governmental Accounting Standards Board, the Board appointed auditors and Michigan law.
  8. Make investments not permitted by applicable law.
  9. Acquire, encumber, or dispose of real property without Board approval.
  10. Fail to implement a procedure for the disposal of personal property without consideration of market of value and applicable law.
  11. Fail to develop a deferred maintenance plan that considers both the preservation of assets and the needs of the College.
  12. Fail to protect the College's trademarks, copyrights, and intellectual property interests.
  13. Name facilities or parts of facilities without prior Board approval.

Change Log

  • 04-17-2018  Initial policy approved by Board to become effective 7-1-2018
  • 07-01-2018  Effective date of initial policy
  • 04-28-2020  Reviewed; no change

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