More information about the BOG and its role in the university’s mission is provided in Comprehensive Standards: Institutional Mission, Governance, and Effectiveness #1.

(b) Fiscal Stability
Likewise, the university’s fiscal stability is the responsibility of the BOG (The Code, Chapter 7).  The BOG prepares and presents to the governor, the state’s Advisory Budget Commission, and the North Carolina General Assembly a recommended budget for the consolidated university.  Once the legislature approves the state budget, funds for the continuing operation of the campuses are appropriated directly to the campuses.  Funds for new programs, expansions, and salary increases to exempt employees including faculty are appropriated by the BOG to the campuses.  The BOT advises the chancellor about the development of requests for new funding and the execution and administration of the budget.

The BOG sets tuition and fees, consistent with the actions of the General Assembly.  The chancellor, with advice from the BOT, recommends student fee levels and may request a campus-initiated tuition increase in addition to the system-initiated tuition increase.  The BOT retains the authority to declare fiscal exigency.

(c) Institutional Policy
The two governing boards have complementary responsibilities for institutional policy.  In general, their respective authority is divided in this way.  According to The Code (Section 203), the BOG is responsible for the “general determination, control, supervision, management, and governance of all affairs of the constituent institutions” and may delegate any part of its authority to the BOT or the chancellor.  In general, the BOG retains responsibility for selecting the chief executive officer, and for determining each institution’s mission and academic programs, enrollment levels, and budgets.  The BOT grants permanent tenure, hears appeals, and receives the annual State Auditor’s report.  The BOT also sets policies related to the compensation of senior administrators, buildings and property, fundraising and endowment, relationships with foundations, campus tuition and fees, athletics, campus security, and student conduct.

The BOG posts its policies in The Code, which contains a complete outline of the BOG’s responsibilities and its delegations of powers and duties to the campus, including the authority to establish policies and regulations for the efficient and orderly administration of the institution.

For responsibilities delegated to the campus, policy-making authority resides in the BOT.  Its policies are posted in the Policies, Regulations and Rules (PRR) website, which is maintained by the university’s Internal Audit Department and the Office of Legal Affairs.  Campus policies adopted in substantial compliance with the Code are valid and may not be grieved for procedural error.

(d) Related Foundations
As discussed more fully in Comprehensive Standards: Institutional Mission, Governance, and Effectiveness #14, the university’s operating control of related foundations and other corporate entities is defined by the university’s coordination of fundraising activities policy.  Briefly, the university oversees all fundraising for related foundations and corporate entities and a university official acts as treasurer.  These procedures ensure that NC State University maintains operating control of related entities and foundations.   

Supplementary Information
Effective operating control also means that policies, regulations and rules will need review over time and may need overhauling.  Thus, the university has a clear definition of how the policies, regulations and rules governing the university can be amended and new ones adopted.  This definition is provided in REG01.25.05, “Procedure for Adoption and Publication of North Carolina State University Policies, Regulations and Rules.”   

References