Non-substantive Amendments*

Policy

It is the policy of the College to protect and preserve both the financial and physical assets of the College from fortuitous loss, and to provide students, employees, trustees and members of the general public with a safe and secure environment, all in a cost-effective manner. The College will take steps to identify potential sources of loss, and will prevent, reduce, mitigate and protect against loss through proactive programs, risk transfer and procurement of appropriate insurance coverage for expenses not covered by the State of New Jersey’s Risk Management program and the Tort Claims Act. (Under the State of New Jersey’s Tort Claims Act, the College and its employees are indemnified and defended by the State for tort liability, including directors’ and officers’ coverage, professional liability and medical malpractice.)

Reason for Policy

To set forth policies and procedures that protect and preserve both the financial and physical assets of the College from loss.

To Whom Does The Policy Apply

Ramapo College students, employees, trustees and members of the general public

Supplemental Resources

• Procedure 419: Risk Management
• NJ Tort Claims Act – NJSA 59:13-1 et seq.
• NJ Workers Compensation Act – NJSA 34:15-1 et seq.

Contacts

Office of the Controller
(201) 684-7117

The College will purchase insurance in such amounts and in specific areas as will provide adequate coverage against catastrophic loss where required by law or contractual agreement and when the degree of loss dictates the appropriateness of purchasing applicable insurance coverage.

Examples of such coverage include:

1. property insurance for buildings and contents as appropriate and financially feasible;
2. fidelity coverage;
3. accident coverage to safeguard students participating in intercollegiate athletics.

Consistent with the objective of protecting persons and protecting and preserving assets in a cost-effective manner, the College participates in the joint risk management program with the other state colleges and universities.

The College self-insures for workers’ compensation and first party auto comprehensive and collision losses, but may purchase excess coverage where appropriate as part of the College’s annual operating budget.

Non-substantive Amendments*

Policy

The College is committed to building and maintaining reserves in fund balances available for operational emergencies, contingency funding, critical needs, and for capital projects, including new construction.

Any drawdown of reserves must be authorized in advance by the Board of Trustees upon recommendation by the Resources Committee except in the case of emergency. In emergency circumstances, the president may approve a drawdown of reserves upon written request by the chief planning officer, and will advise and request approval of the Resources Committee and the full Board of such drawdown of reserves at the next regular meeting. The College plans to maintain unrestricted reserves in the fund balances of approximately 10% of the annual budget for Educational and General expenditures.

Reason for Policy

Sets forth policy and procedures for the use and drawdown of reserve funds.

To Whom Does The Policy Apply

Board of Trustees, President, Senior Leadership, Controller

Supplemental Resources

• None

Contacts

Vice President for Fiscal Health
(201) 684-7494

*Non-substantive amendments.

Policy

Ramapo College maintains a framework for the prudent stewardship of its investments and principal.

Reason for Policy

This policy establishes guidelines and a prudent framework for achieving reasonable returns on Ramapo College of New Jersey (the College) investment accounts while safeguarding principal. These investment accounts are for cash not needed for immediate operations.

To Whom Does the Policy Apply 

Board of Trustees, Senior Leadership Team

Supplemental Resources

• Procedure 403: Investments

Contacts

Office of the Controller

(201) 684-7117

The Investment Policy establishes  policies  and guidelines  related to the investment  objectives  for the Ramapo College  of New Jersey (the College) investment  accounts.  These investment accounts are for cash not needed for immediate operations.  Cash balances of the College accumulate during periods of the year due to the cyclical business cycle inherent to higher education and this policy is intended to create a prudent framework for achieving reasonable returns on its assets while safeguarding principal.

I. Authority

New Jersey Statute 18A:3B-6 Powers, duties of governing boards of institutions of higher education.

This policy does not cover the endowment funds.

II. Responsibilities and Roles

Resources Committee of the Board of Trustees

1. Approve the Investment Policy and any revisions thereto, and review the policy annually.
2. Receive and review investment reports, at least annually, and provide feedback to administration.
3. Approve the selection of the investment manager(s) as recommended by the President and Vice President with oversight of Fiscal Health.

Vice President with oversight of Fiscal Health

1. Recommend revisions to the Investment Policy, and present for review annually to the Resources Committee.
2. Approve the investment plan for each fiscal year.
3. Assess on an annual basis, or as dictated by the market, the request of the Resources Committee, or changed College requirements, the need to rebalance the investment mix.
4. Recommend for approval the investment manager(s) of the portfolio for the Resources Committee approval, if determined necessary.
5. Provide oversight for investments, review the results of the portfolio against the benchmarks established and relevant market indexes, and ensure the assets are invested according to this policy.
6. Provide summary performance results and status of the investment portfolio to the Resources Committee as requested, or at least.

Controller

1. Maintain the cash flow analyses that assess cash flow needs for each level of investment segment on a monthly basis.
2. Monitor the portfolio for compliance with this policy.
3. Ensure that investment manager(s) meet the deliverable responsibilities.
4. Reconcile reports of investment manager(s) and the general ledger, and generate monthly reports regarding portfolio performance and compliance.

Investment Manager(s)

1. Invest assets according to the goals and outcomes presented and approved at time of investment.
2. Optimize investment return and growth of the College’s assets within the guidelines of this policy.
3. Meet with the Vice President with oversight of Fiscal Health or a designee no less than quarterly and be available for regular telephone contact.
4. Monthly, provide statements of transactions along with historical cost and market valuation of portfolio assets, as well as any other information requested by the Vice President with oversight of Fiscal Health or Controller.
5. Quarterly, provide (a) a review of performance, net of fees, relative to an appropriate index agreed to by the Vice President with oversight of Fiscal Health; and (b) the performance results as compared to established benchmarks.

III. Competitive Selection of Investment Manager(s)

The College may choose to hire an investment manager(s) through a competitive bidding process.  The offer that most closely mirrors the guidelines established within this policy will have highest priority.  The investment manager(s) selected will provide the highest rate of return, net of fees, within the required time to maturity, while creating economic stability. Consideration will be given to historical performance and fee structure during the selection process. The Vice President with oversight of Fiscal Health will have authority to select the investment manager(s), with the approval of the Resources Committee.

IV. Investment Objectives and Portfolio Descriptions

The overall investment objective is to maintain appropriate liquidity for day-to-day operational and capital disbursements, and conservatively optimize earnings on excess cash.

Diversification as to liquidity, maturity, market, and risk will be achieved by structuring the portfolio in three segments: operating cash – short-term, intermediate-term and long-term investments, with the following parameters specified for each segment:

Operating Cash – Short-term

Operating cash represents the College’s operating needs to cover payroll and vendor obligations on a daily and weekly basis. This will be invested in highly liquid interest bearing accounts to cover checks drawn, and the focus will be only on maintaining principal. This segment shall have a minimum balance of $10 million, and target 10-50% of the portfolio.

1. Average maturity: No longer than one year
2. Benchmark: To be defined for each individual investment or fund
3. Investment objective: Liquidity and safety

Intermediate-term Investments

The intermediate-term investments represent the College’s less urgent cash needs, which could represent the scheduled debt service payments, capital needs, and strategic funding. There are no minimum balances for this segment, and the target is up to 40% of the portfolio.

1. Average maturity: For fixed income portion, no longer than five years
2. Benchmark: To be defined for each individual investment or fund
3. Investment objective: Maximize total return without undue exposure to capital risk
4. Credit/quality ratings: Investment grade or better for fixed income

Long-term Investments

The long-term investments represent the College’s reserves. The primary objective of this segment is to increase and enhance the College’s overall investment return in a prudent, conservative manner utilizing a diverse array of investment vehicles. There are no minimum balances for this segment, and the target is up to 40% of the portfolio.

1. Average maturity: For fixed income portion, no longer than ten years
2. Benchmark: To be defined for each individual investment or fund
3. Investment objective: Seek higher returns in the five to ten year markets, and maximize returns
4. Credit/quality ratings: Investment grade or better for fixed income

V. Investment Guidelines

Approved Instruments

1. The following fixed income instruments are considered appropriate for the investment portfolio, and a review of the rating will be made at the time of purchase and reviewed at least annually to be consistent with the College’s investment objectives:

• • Obligations of the U.S. government and its agencies
  • Money market instruments, repurchase agreements, commercial paper, bankers’ acceptance, certificates of deposit, and approved money market funds
  • State and corporate bonds
  • Floating rate securities without interest rate caps
  • U.S./international indexed equity funds

Diversification

• The College will diversify its investment portfolio as a way to limit certain types of risk. Investments shall be diversified as to maturities and as to the type of investment to limit the risk of loss which might result from over-concentration of assets in a specific maturity, in a specific kind of security or from an individual issuer. Any deviation from the guidelines established herein shall be allowed only with the express approval of the Vice President with oversight of Fiscal Health.
  • The portfolio will not consist of more than 25 percent of total assets in the securities of issuers in any particular industry, other than United States government securities, or government agency securities. No more than 10 percent of the investments will be invested in securities (other than United States Government) of any one issuer.
  • For purposes of this policy, securities of a parent company and its subsidiaries will always be combined to determine diversification levels.  Securities issued by the U.S. Treasury and U.S. government agencies are specifically exempted from these restrictions.

Restricted Investments

• The portfolio shall not contain derivative instruments, the use of derivatives is prohibited within this policy.
• All cash and investments must be denominated in US dollars, and no amounts can be held in foreign currency, or be subjected to currency risk.

Policy

The Office of Internal Audit shall be governed by the Internal Audit Charter as approved by the Audit Committee of the Board of Trustees.

The Audit Committee of the Board of Trustees shall annually review the Internal Audit Charter and shall receive quarterly reports on the Internal Audit Plan.

Reason for Policy

Sets forth the policy, procedures and regulations for the Internal Audit function.

To Whom Does the Policy Apply

All members of Ramapo College.

Related Documents

Internal Audit Charter

Procedure 415.1: Internal Audit

Contacts

Office of the President c/o Director of Internal Audit

Introduction

Internal Audit of Ramapo College of New Jersey is governed by the Internal Audit Charter approved by the Audit Committee of the Board of Trustees and the Policies and Procedures set herewith. Internal Audit subscribes to the Institute of Internal Auditors’ Standards for the Professional Practice of Internal Auditing and the Core Principles stipulated by the Institute of Internal Auditors.

Mission Statement

The mission of Internal Audit is to provide independent and objective reviews and assessments of the business activities, operations, financial systems and internal accounting controls of Ramapo College of New Jersey. Internal Audit accomplishes its mission through the conduct of operational, financial, regulatory and performance audits, selected as a result of a comprehensive risk analysis and assessment process. The risk assessment plan is reviewed and approved by the Audit Committee of the Board of Trustees and the President of Ramapo College.

Objective

Internal Audit conducts independent reviews and appraisals of the College’s procedures and operations. These reviews provide management with an independent appraisal of the various operations and systems of control. The reviews also help to ensure that College resources are used efficiently and effectively while working towards helping the College achieve its mission, as endorsed by the Board of Trustees. It is the intention of Internal Audit to perform this service with professional care and with minimal disruption to College operations.

Standards of Audit Practice

The internal audit function will conduct its activities in accordance with the Institute of Internal Auditors International Standards for the Professional Practice of Internal Auditing and Code of Ethics. Generally accepted auditing standards promulgated by the American Institute of Certified Public Accountants and government auditing standards issued by the United States Government Accountability Office will be referenced as appropriate.

Core Principles

Internal Audit at Ramapo College subscribes to the Core Principles stipulated by the Institute of Internal Auditors. Internal Audit will align its effectiveness with the following principles:

• Demonstrate Integrity
• Demonstrate competence and due professional care
• Be objective and free from undue influence
• Align with strategies, objectives and risks of the organization
• Is appropriately positioned and adequately resources
• Demonstrates quality and continuous improvement
• Communicate effectively
• Provide risk-based assurance
• Be insightful, proactive and future-focused
• Promote organizational improvement

Code of Ethics

Internal Audit at Ramapo College shall subscribe to the Code of Ethics established by the Institute of Internal Auditors, as well as adhere to the policies set forth by the management of the College and the State of New Jersey. In addition, Internal Audit will uphold the following:

• Integrity- Establish trust and thus provide the basis for reliance on the judgment of Internal Audit.
• Objectivity- Exhibit the highest level of professional objectivity in gathering, evaluating and communicating information about the area under examination. Make balanced assessments of all the relevant circumstances and do not become unduly influenced by individual interests or by others in forming judgments.
• Confidentiality- Respect the value and ownership of information received and do not disclose information without appropriate authority unless there is a legal or professional obligation to do so.
• Competency- Apply the knowledge, skills and experience required in the performance of internal auditing services.

Standards of Conduct

Internal Audit at Ramapo College will adhere to the following standards of conduct:

• Service – Preserve a commitment to carry out all responsibilities with an attitude of service toward College members while maintaining a sincere and dignified attitude.
• Excellence – Uphold a high standard of service and a commitment to quality in performing all projects and assignments.
• Leadership – Provide noteworthy examples which emphasize high ethical and moral standards.
• Professionalism – Conduct business in a manner that reflects favorably on the College and the individual. Exercise skill, integrity, maturity and tact in all relations.

Scope of the Internal Audit Function

While carrying out its duties, Internal Audit is responsible for utilizing a systematic, disciplined approach to evaluating and improving the effectiveness of internal controls and should include the following:

• Developing and maintaining a comprehensive audit program necessary to ensure compliance with, policies and procedures necessary to safeguard College resources.
• Communicating the results of audits and reviews by preparing timely reports, including recommendations for modifications of management practices, fiscal policies and accounting procedures as warranted by audit findings.

Services Provided by Internal Audit

Internal Audit’s primary activity is to implement a program of regular audits of College business operations. The complete range of services provided by Internal Audit may also include special projects and consultations as directed by the President and the Audit Committee. Reviews performed by Internal Audit include:

• Operational Audits– Operational audits consist of critical reviews of operating processes and procedures and internal controls that mitigate area specific risks. These audits examine the use of resources to determine if they are being used in the most effective and efficient manner to fulfill the College’s mission and objectives.
• Compliance Audits– These audits determine the degree to which areas within the College adhere to mandated Federal, State and College policies and practices. Other regulatory agencies are also included within compliance audits (e.g. NCAA, EPA, OSHA, Department of Education, etc.). Recommendations usually require improvements in processes and controls used to ensure compliance with regulations.
• Financial Audits– These audits review accounting and financial transactions to determine if commitments, authorizations and the receipt and disbursement of funds are properly and accurately recorded and reported. This type of audit also determines if there are sufficient controls over cash and other assets and whether there are adequate process controls over the acquisition and use of resources. Unlike external financial audits, internal financial audits do not prepare or express professional opinions on the financial statements fairness.
• Investigative Audits– These audits are conducted to identify existing control weaknesses, assist in determining the amount of loss and recommending corrective measures to prevent additional losses. Internal Audit will also work with outside agencies to determine if misconduct occurred at Ramapo College. These types of investigations can encompass misuse of College funds or assets, fraud or potential conflicts of interest.
• Technology Audits– Technology audits are usually comprised of control reviews of disaster recovery plans, system back up procedures and the general security of data and of the physical plant. The purpose of these audits is to evaluate the accuracy, effectiveness and efficiency of the College’s electronic and information processing systems.

Professional Proficiency

The Internal Auditor has a professional obligation to schedule and attend on-going professional education forums to ensure they maintain academic proficiency and to advance professionally.

Responsibility for Detection of Errors or Irregularities

The management of the College is responsible for establishing and maintaining controls to discourage perpetuation of fraud. Internal Audit is responsible for examining and evaluating the adequacy and effectiveness of those controls. Audit procedures alone are not designed to guarantee the detection of fraud.

An error is an unintentional mistake in financial statements which includes mathematical or clerical mistakes in the underlying records and accounting data from which the financial statements or other reports are prepared, mistakes in the application of accounting principles and oversight or misinterpretation of facts that existed at the time the reports were prepared. An irregularity is an intentional distortion of financial statements or other reported data or the misappropriation of assets.

If Internal Audit believes that a material error or an irregularity exists in an area under review or in any other area of the College, the implications of the error or irregularity and its disposition shall be reviewed with the responsible Vice President and/or the President.

Internal Audit Plan

As noted throughout this Charter, the Director of Internal Audit is responsible for establishing a risk-based plan to determine the priorities of the internal audit activity, consistent with the College’s goals. The risk assessment takes into consideration the risk profile of the College as set by Management as well as the Auditor’s own judgement of risk and input from Management, the President and the Audit Committee. The plan will be adjusted and reviewed as needed in response to changes in the College’s business, risks, operations, programs, external regulations, systems and controls.

At least annually, the Director of Internal Audit will submit to senior management, the President and the Audit Committee an internal audit plan. The Committee will review, discuss, and endorse the plan subject to the Audit Committee members’ concurrence. The internal audit plan will include a summary of engagements and other audit activities, as well as resource requirements for the next fiscal year. The Director of Internal Audit will communicate the impact of resource limitations and significant interim changes to senior management and the Audit Committee. Any proposed changes to the approved Audit Plan will be presented to the President and to the Audit Committee at subsequent meetings.

Risk Factors

Internal Audit will evaluate each identified auditable area based on certain risk factors and the weight of risk impact and risk concerns, as follows:
• Compliance Risk – The threat to the College as a result of violations and nonconformance with State, Federal and Industry laws, regulations or prescribed practices.
• Operational Risk – Risk of loss resulting from inadequate or failed in internal procedures, people and systems or from external events.
• Financial Risk – Multiple types of risk associated with financing, including financial transactions and financial loss.
• Reputational Risk – Risk resulting from damages to the College’s reputation.
• Strategic Risk – Uncertainties and untapped opportunities embedded in the College’s strategic intent and how well they are executed.
• Technology Risk – Threats to assets and processes vital to the business and may prevent compliance with regulations, impact profitability and damage reputation. Risk can result from human error, malicious intent or event compliance regulations.
• Human Capital Risk – Events and employee behaviors that occur both within and outside the workplace that can affect employee productivity and/or otherwise effect the organization’s operation and financial results.

Risk Measures

Risk Measures taken in consideration when rating each auditable area that weigh on the risk impact and risk concern are:
• Analysis and prioritization of the audit universe.
• Input of senior management and the Audit Committee.
• First-hand knowledge of the College and its evolving operations.
• Results of prior audits.
• Understanding of risk in higher education, and biomedical and health care services.
• Quality of management.
• Emerging needs of campus clients.
• Support to external auditors.

Unplanned Audits

The majority of audits are planned. However, said planning does not preclude Internal Audit from conducting unplanned audits. Prior to any audit, the Director of Internal Audit will discuss the engagement with management. The discussion will include the scope, purpose and estimated timeframe of the audit. As unplanned projects emerge, they will be included in the overall plan for the year.

Internal Audit Process

Although every audit project is unique, the audit process is similar for most engagements and normally consists of five stages:
1. Audit Announcement and Initial Meeting
2. Preliminary Review
3. Fieldwork
4. Audit Report
5. Follow-up
Client involvement is critical at each stage of the audit process. As in any special project, an audit results in a certain amount of time being diverted from a unit’s usual routine. A key objective of an internal audit is to minimize this time and avoid disrupting the on-going activities.

1. Audit Announcement and Initial Meeting

The Director of Internal Audit, will schedule a meeting with (as appropriate) the Unit Manager and the Senior Managers of the process to be audited. An initial meeting will take place, during this meeting, the client describes the unit and/or system, the organization, available resources (personnel, facilities, equipment, funds), and other relevant information. The internal auditor meets with the senior officer directly responsible for the unit under review and any staff members he/she wishes to include. It is important that the client identify issues or areas of special concern that should be addressed.

2. Preliminary Review

The development of the Audit Program is based on the preliminary survey and internal control reviews. The auditor talks to key personnel and reviews reports, files and other information as needed to obtain a general overview of the operations. The auditor will review the unit’s internal control structure, which helps the auditor determine the areas of highest risk and design tests to be performed in the fieldwork section. The audit program outlines the fieldwork necessary to achieve the audit objectives.

3. Fieldwork

The field work concentrates on transaction testing and informal communications. It is during this phase that the auditor determines whether the controls identified during the preliminary review are operating properly and in the manner described by the client. The fieldwork stage concludes with a list of issues or/and best practices from which the auditor will prepare a draft of the audit report.

• Transaction Testing – After completing the preliminary review, the auditor performs the procedures in the audit program. These procedures usually test the major internal controls and the accuracy and propriety of the transactions.

• Advice and Informal Communications – As fieldwork progresses, the auditor discusses any significant issues with the client. Hopefully, the client can offer insights and work with the auditor to determine the best method of resolving the issue. Usually these communications are oral. However, in more complex situations, memos/emails can be written in order to ensure full understanding by the client and the auditor. The goal: No surprises.

• Audit Summary – Upon completion of the fieldwork, the auditor summarizes the audit issues, conclusions, and action to be taken (as agreed upon by both auditor and client) for the audit report discussion draft.

• Workpapers– Audit workpapers are the connecting link between fieldwork and audit report. They serve as the systematic record of work performed and shall contain sufficient, competent and relevant evidence to support the auditor’s findings, opinions, conclusions, judgements and recommendations in the audit report. All workpapers will be kept electronically secure within Internal Audit’s private Network Drive.

4. Audit Report

Internal Audit’s principal product is the final report in which we express our opinions, present the audit issues, and action to be taken for improvements. To facilitate communication and ensure that the final report is practical, Internal Audit will discuss the rough draft with the auditee prior to issuing the final report.

• Discussion Draft and Draft Report– at the conclusion of fieldwork, the auditor drafts the issues. This discussion draft is prepared for the unit’s operating management and is submitted for the auditee’s review. The Auditor and management will meet to discuss the issues, reach an agreement of audit issues, resolution and implementation date. If management does not agree to the issue, management must accept the risk of not implementing the recommendation. The auditor then prepares a formal draft, taking into account revisions resulting from the meeting with management. Managers and senior managers will have one last review before the report is issued.

• Final Report – The final Audit Report will include the scope of the review, Audit’s opinion, and Audit Issues (with management’s response, responsible party and implementation date). Final Audit Reports will be issued timely and distributed, via email, to the Audit Committee of the Board of Trustees, the President, General Counsel, and Vice Presidents.

Internal Audit reports are considered advisory, consultative, deliberative and highly confidential. Approval is required from the Director of Internal Audit and General Counsel prior to release to anyone not noted on the report distribution list.

5. Audit Issue Follow Up

The Institute of Internal Auditors (IIA) Professional Standard 2500, requires the Auditor to establish a follow-up process to monitor and ensure that management actions have been effectively implemented or that senior management has accepted the risk of not taking action.

• Responsibility – it is the responsibility of management to implement the corrective action, however the Director of Internal Audit is responsible for assessing that corrective action has been taken to achieve the desired results, or that senior management has assumed the risk of not taking corrective action on reported issues/observations.

• Follow up process: the Auditor will follow up with the responsible party prior to the issue due date, and at a minimum quarterly. When, according to management, the issue has been implemented and is complete, the auditor will conduct a review and obtain documentation to ensure the process has been properly implemented. This may occur on or before the due date.

• Closure: If by the due date the issue has been satisfactorily handled and addressed, the auditor will consider the issue closed and no further action will be required from management at that time. If the issue is not properly addressed, the issue will remain opened and will be considered past due.

• Reporting: The Director of Internal Audit will report quarterly to the President and to the Audit Committee of the Board of Trustees and such reports shall include issue follow up status. Open, closed and past due items will be reported. Past due items will be aged and tracked until resolution.

Evidential Matter

Evidential matter obtained during the course of fieldwork provides the documented basis for the auditor’s opinions, observations and recommendations as expressed in the auditor’s opinions, observations and recommendations as noted in the audit report. The Office of Internal Audit is obligated by professional standards to act objectively, exercise due professional care and collect sufficient and relevant information to provide a sound basis for audit observations and recommendations.

Auditors must obtain all evidence necessary for the effective completion of the audit. The decision on how much evidence is enough and what type to seek requires the exercise of the auditor’s judgment based on experience, education and intuition. A thorough knowledge of the concepts underlying audit evidence will help the auditor to improve the audit quality and efficiency of the process.

Standards for the Professional Practice of Internal Auditing require that work papers possess certain attributes to provide a sound basis for audit observations and opinions and to be considered as evidential matter. These attributes are:

• Sufficient information is factual and adequate so that a prudent, informed person would reach the same conclusions as the auditor
• Information is reliable and the best attainable through use of appropriate audit techniques
• Relevant information supports audit findings and recommendations and is consistent with the audit objectives for the audit
• Useful information helps the organization meet its goals. It also provides a reference for the preparer when called upon to answer questions.

Types of Evidence

If the evidence supports the basic test of sufficiency, competence and relevance, it may be used to support the auditor’s findings. The following outlines the different types of evidence obtained during the course of an audit:

• Physical evidence– Obtained through observation and inquiry

• Testimonial evidence – Based on interviews and statements form involved persons
• Documentary evidence– Consists of legislation, reports, minutes, memoranda, contracts, extracts from accounting records, formal charts and specifications of documentation flows, systems design, operational and organizational structure

• Analytical evidence – Secured by analysis of information collected by the auditor.

Documentation of Evidential Matter

Standards for the Professional Practice of Internal Auditing require that audit workpapers reflect the details of the evidence upon which the auditor has relied. The Internal Auditor must maintain adequate documentation of the audit, including the basis and extent of planning, the work performed and the results and findings of the audit. This will allow the workpapers to serve both as tools to aid the auditor in performing their work and as written evidence of the work done to support the auditor’s report. Information included in work papers should be sufficient and relevant to provide a sound basis for audit findings and recommendations. Evidence gathered should be organized and easily correlated with audit program steps and subsequent conclusions and issues reported.

In the process of collecting evidential matter, the auditor is required to perform audit testing to support all observations and opinions. During the performance of such testing, the auditor is not required to test the population in its entirety. Audit sampling may be employed. Audit sampling is performing an audit test on less than 100% of a population. In “sampling”, the auditor accepts the risk that some or all errors will not be found and the conclusions drawn (i.e. all transactions were proper and accurate) may be wrong. The type of sampling used and the number of items selected should be based on the auditors understanding of the relative risks and exposures of the areas audited.

Policy

Managerial employees shall be entitled to days off with pay on such state holidays as are authorized by the Governor.

Reason for Policy

Sets forth policy and procedure regarding State holidays for managerial employees

To Whom Does the Policy Apply

Managerial employees

Related Documents

Procedure

Contacts

Human Resources
(201) 684-7506

Any managerial employee who is required by the College to work on a state holiday shall be entitled to comparable time off on another work day approved by the managerial employee’s supervisor.

Managerial employees must be in pay status the working day immediately preceding and subsequent to a holiday in order to receive credit for the holiday.

Part-time managerial employees in regular titles other than faculty not entitled to representation by a negotiations agent shall receive credit for the holiday on a proportionate basis provided the managerial employee’s work schedule would have included work time on that holiday.

Policy

Alternate work arrangements are designed to enhance productivity and meet the operational and functional needs of a unit or Core. Such arrangements are available to full-time employees in certain positions to perform their job responsibilities from an alternate work location or to have an alternate work hour schedule (hereinafter Alternate Work Agreement). Alternate work arrangements must be aligned with operational needs and mission requirements. Not all College positions lend themselves to alternate work arrangements; therefore, recommendations in support of Alternate Work Agreements will be made on a case-by-case basis by the unit supervisor/manager with approval from the Core Vice President.

Reason for Policy

To clarify and describe alternate work arrangements and Alternate Work Agreements.

To Whom Does the Policy Apply

All full-time staff

Related Documents

Procedure 466: Alternate Work Arrangement

Alternate Work Agreement

Contacts

People Operations and Employee Resources Department

Procedure 466: Alternate Work Arrangement

Revised: October 2023

I. Overview

The purpose of alternate work arrangements  is to support a schedule for full-time employees in certain positions to perform some or all of their job responsibilities from an alternate work location or to have an alternate work hour schedule. Alternate work arrangements must be aligned with operational needs and mission requirements. An Alternate Work Agreement must be in place prior to the start of any alternate work arrangement. Not all College positions lend themselves to alternate work arrangements; therefore, recommendations in support of Alternate Work Agreements will be made on a case-by-case basis by the unit supervisor/manager.

II. Approval Authority and Conditions

The approval authority for Alternate Work Agreements is the Core Vice President.

All terms and conditions of employment remain unchanged during an Alternate Work arrangement except those addressed by the Alternate Work Agreement.

Exempt employees are not covered by the overtime and record keeping requirement of the Fair Labor Standards Act. Therefore, there is inherent flexibility in work scheduling for them. Even though the law allows this latitude, exempt staff members still need to discuss specific scheduling arrangements with their supervisors and obtain their written approval.

Alternate Work Agreements may not be approved for longer than 12 months. Supervisors/managers must evaluate the effectiveness of alternate work agreements prior to recommending approval for renewing the Agreement for an additional period of time.

There may be occasions where an employee may be more productive in completing a particular work assignment or specific project from an alternate work location for a day. In this instance, an Alternate Work Agreement is not required. Rather, the unit supervisor/manager may approve an Occasional Alternate Work Arrangement. Any such Occasional Alternate Work Arrangement shall be documented in writing between the employee and unit/supervisor/manager.

An Alternate Work Agreement will not be approved for the purpose of teaching classes during the employee’s standard work hours for which a salary is already received and the employee is being additionally compensated to teach.

III. Changes to Existing Alternate Work Agreements

Any full-time employee who has an existing alternate work schedule in place prior to the 2023 revision of this procedure, would like to request a change to their existing alternate work schedule, or would like to establish a new alternate work schedule, must complete an Alternate Work Agreement, secure a recommendation from their unit supervisor/manager, secure approval from their Core Vice President, and file the Alternate Work Agreement with People Operations and Employee Resources (POERD) through their POERD Business Partner.

IV. Types of Alternate Work Arrangements

a. Flextime allows for flexible scheduling arrangements that permit variations in starting and departure times, but does not alter the total number of hours worked in a workweek. All flextime alternate work arrangements must conform to the overtime, record keeping and break provisions of the Fair Labor Standards Act and the applicable bargaining unit contract. An Alternate Work Agreement must be completed for any flextime arrangements.

To ensure that the unit supervisor/manager and employees have a mutual understanding of the specifics of the flextime Alternate Work Agreement and schedule therein, employees must complete a written application when the flextime is more than a two week period. Any modifications in the schedule may be made only with the prior written consent of the unit supervisor/manager. Some of the possible variations of flextime are:

• fixed starting and departure times that are selected periodically; and
• variable starting and departure times that can vary daily.

Regardless of the schedule assigned, a staff member must work the total standard number of hours each workweek (35 or 40). Alternate schedules may involve the need for staff to be present on campus or accessible on specific days or during specific core hours each day or days of the week.

All contractual entitlements for lunch and breaks must be adhered to.

b. Telecommuting is a work arrangement between an employee and the unit supervisor/manager whereby the employee may regularly perform work at an alternate work location after full approval by the Unit Supervisor, Manager, and the Core VP.  An Alternate Work Agreement must be completed for any telecommuting arrangements.

Telecommuting allows employees to work away from the College premises on one or more workdays per week and accomplish tasks remotely. Telecommuting arrangements are not intended to allow employees to move outside of commuting distance from the College as they may be required to report to campus at any time. Employees must have the necessary data and technology to facilitate their participation in meetings. If a meeting is being held on campus, the employee cannot expect that a remote option will be specifically set up for them to attend remotely and they must be available to come to campus when needed. Every effort will be made to advise the employee with as much notice as possible when they are required to be physically on campus on a designated telecommuting day.

The employee must also adhere to the following when telecommuting:

• Employee agrees to return to the College all equipment, materials, files (paper and electronic) within 10 business days of terminating any telecommuting Alternate Work Agreement.
• Employee shall be responsible for tax consequences, if any, of a telecommuting Alternate Work Agreement including conformance to any local zoning regulations.
• Employee shall be responsible for keeping their supervisors informed of progress on assignments worked on at an alternate work location, including any problems they may experience while telecommuting. Regular communication with the supervisor is considered vital to the success and integrity of a telecommuting alternate work arrangement.
• Employee shall not duplicate any College owned software.
• Employee shall not use College information or College equipment for personal business.
• Employee must remain accessible (by college extension, e-mail, Jabber, and any other electronic platform the College deems appropriate) during designated work hours, and must be responsive to phone calls placed to their college extension and emails to their @ramapo.edu address during designated work hours.
• Employee shall hold the College harmless for injury caused to others when working from an alternate location. Workers’ Compensation liability insurance for the employee working from an alternate work location shall be limited to a work-related injury(ies) in the workspace. All College procedures with regard to medical treatment must be followed regarding a potential worker’s compensation injury.

V. Procedures for Flextime and Telecommuting

The employee or unit supervisor/manager can initiate the request for alternate work arrangements, either flextime or telecommuting. A written justification prepared by the employee and/or the unit supervisor/manager of the need for an Alternate Work Agreement must be submitted to the unit supervisor/manager. An evaluation of the remote responsibilities should be included in the Alternate Work Agreement request along with a readiness assessment inclusive of the following considerations:

• What routine responsibilities/tasks cannot be fulfilled while working from an alternate work location and how will it impact operations or other people?
• What days of the week will the employee be onsite?
• Are there any special projects or tasks that the employee can advance more effectively while working at an alternate work location?
• What technology will be required to work remotely?
• Employee must provide their phone number and make use of Jabber so that calls to their College phone number are forwarded to them at their alternate work location
• All responsibilities are required to be executed regardless of work location. Employees shall not defer tasks or communication because they are not physically on campus. When an employee is requested to be physically on campus to complete a task, the employee must report to campus regardless of a scheduled flextime or telecommuting day.
• Employees and supervisors will maintain communication throughout the workday to communicate work progress.
• Employee agrees to share their work calendar with their supervisor; failure to do so will result in a termination of the Alternate Work Agreement.

The supervisor and the unit supervisor/manager will determine if the nature of the work performed at an alternate work location is suitable for a particular job or job tasks. The determination and resulting Alternate Work Agreement must meet the operational needs of the College and the department, and enable the employee to complete the job or job tasks associated with their position. All information must be shared with the Core VP before a final determination is made.

The employee and the employee’s unit supervisor/manager, or in some cases the Core VP, must jointly be responsible for determining and documenting:

• how performance will be measured;
• how work will be assigned;
• what the work hours will be;
• how the arrangement will not burden coworkers;
• what the methods for adequate communication during specified hours will be;
• the employee shall come to the primary work site when necessary regardless of the Alternate Work Agreement.

When possible, the employee’s unit supervisor, manager, or Core VP will provide at least 24 hours advance notice if the employee is requested to come to campus on a previously scheduled alternate work location day. Efforts will be made to advise the employee with as much notice as possible.

Supervisors, managers and the Core VP will determine if the nature of the work performed at an alternate work location or during alternate work hours are suitable for a particular position. This determination/decision of the Core VP is final.

VI. Equipment

The College will provide a computer or other necessary equipment and access to the College’s computer network on an as-needed basis within the limits of available resources. Employees agree, in writing, to replace the equipment or repay the College if the equipment is damaged, lost or stolen. A personal computer may be used but must be evaluated and configured appropriately by the Information Technology Services Department and all up to date antivirus software must be installed. Any software changes must be approved by the Information Technology Services Department.

The College is not responsible for damage or loss to the staff member-owned equipment and, if used, is subject to the College’s right of inspection. There will be no expectation of privacy as to files kept on any computer used during an alternate work arrangement. All files shall be subject to the New Jersey Records Retention Act.

College equipment in any alternate work location shall be subject to the same inventory control and disposal procedures as that in the primary work site.

The employee shall be responsible for bringing equipment to the College for inspection, maintenance and repair. The College will repair, upgrade or replace the equipment unless it is lost, damaged or stolen through the employee’s negligence or abuse.

VII. College/Supervisor Responsibilities

The unit supervisor/manager and employee will discuss and document measurable performance expectations in conjunction with job responsibilities as summarized in the employee’s job description prior to implementing the Alternate Work Agreement.

The supervisor shall set expectations for accessibility and accountability. The employee shall be accessible by college phone extension, email, and any other electronic software or application the College deems appropriate during regular business hours or alternate work hours.

All Alternate Work Agreements will provide that all College policies and procedures, including time and attendance reporting and leave time, continue to apply during alternate work arrangements.

The College will compensate fixed workweek employees as required for hours worked. Supervisory approval for overtime for fixed workweek employees is required in advance and no overtime may be worked without such approval.

Job performance will be measured using established College procedures and performance assessment forms. In addition to usual measures of quality, quantity, and timeliness, the supervisor will consider length of time spent on tasks and appropriate use of resources. Therefore, a weekly accounting of the employee’s work specifying the amount of time spent on each task may be useful during the period covered by an Alternate Work Agreement. The supervisor and staff member should plan together with coworkers how workflow issues will be addressed (e.g. callers, mail, meetings) while the staff member is participating in an alternate work arrangement. Email and voicemail access responsiveness must be maintained as if the employee were working at the college during college business hours.

VIII. Employee Responsibilities

The employee shall assure College equipment and records in the alternate work location workspace are maintained in safe and secure conditions.

The employee shall ensure College equipment is used for College business. The employee’s College e-mail account shall be used for College business only. The employee shall protect against unauthorized or accidental access, use modification, destruction, loss, theft or disclosure of College owned equipment, records or materials. Any loss, damage, or unauthorized access to College equipment, records or materials shall immediately be reported to the unit supervisor/manager.

The employee shall provide a safe and secure workspace in an ergonomically sound manner and hold the College harmless for injury or harm caused from employee’s alternate work location equipment.

IX. Termination of Alternate Work Agreement

The College and/or the employee have the right to discontinue the Alternate Work Agreement with one week’s notice, unless otherwise mutually agreed to, for any reason.

The Ramapo College of New Jersey campus (505 Ramapo Valley Road Mahwah, NJ) is the primary and official work site for Ramapo College of New Jersey employees, with the exception of those hired for specific off campus locations. Remote locations are alternate sites. Unless contractually stipulated, an employee who has been granted a 60%, 80% or 100% Alternate Work Agreement in most instances will be provided with a shared office space.

*Non-substantive amendments.

Policy

The Board of Trustees of Ramapo College of New Jersey may declare a state of fiscal emergency by a majority vote of the appointed members of the Board.

Reason for Policy

This policy governs the procedures to be used by the College when it becomes necessary to reduce the number of employees due to a fiscal crisis.

To Whom Does the Policy Apply

To all employees and students

Related Resources

Procedure 441: Fiscal Emergency

Contacts

Office of the President

Once a state of fiscal emergency is declared by the Board of Trustees, the Board of Trustees shall direct the President to implement a plan and make recommendations to the Board of Trustees. Such a plan shall consider a full range of options, from the curtailment of College operations and programs to the layoff of employees.

Policy

Ramapo College rents college facilities and grounds to individuals and organizations on a space available basis. Facilities and grounds may be made available for educational, cultural, and recreational purposes. Ramapo College reserves the right to refuse rental to any individual or organization whose activity or event interferes with or is outside of the scope of the mission of the College and its instructional programs, and/or whose intended use of the facilities and grounds is for the purpose of fundraising.

Reason for Policy

To set forth policy and procedure on the rental of college facilities and grounds

To Whom Does the Policy Apply

Individuals, and organizations

Related Documents

Events & Conferences Website

Contacts

Events & Conferences
(201) 684-7082

*Non-substantive amendments.

Policy

The President or the Vice President with oversight of Fiscal Health are authorized to suspend procurement practices to restore operations and preserve capital when a threat to the health, safety and welfare of the community exists (i.e. a boiler failure during winter) that must be addressed immediately. The Chair and the Treasurer of the Board of Trustees will be notified at the time. The circumstances surrounding the suspension of procurement practices will be reported to the relevant Board Committee at the meeting following the incident.

Reason for Policy

To outline authorization to suspend procurement practices when an emergency situation occurs which must be addressed immediately.

To Whom Does the Policy Apply

The President, Vice President with oversight of Fiscal Heath

Related Resources

Procurement Practices located on the Purchasing Department Website

Contacts

Director of Purchasing/Procurement

Policy

Ramapo College is committed to maintaining a drug free workplace in compliance with applicable laws. The unlawful possession, use, distribution, dispensation, sale or manufacture of controlled substances is prohibited on College premises, including but not limited to: the College’s main campus and off-campus property owned, occupied, leased or used; College owned, leased or rented vehicles (regardless of their physical location); and, during College activities whether on or off-campus (collectively “College premises”).

Reason for Policy

To comply with the Drug Free Schools and Communities Act (DFSCA) of 1989, Drug and Alcohol Abuse Prevention regulations, the Federal Drug Free Workplace Act of 1988, and State of New Jersey Executive Order No. 204.

To Whom Does the Policy Apply

All College employees and students

Related Resources

Procedure 425: Drug Free Workplace

Federal Drug Free Workplace Act of 1988

New Jersey Executive Order No. 204

Contacts

People Operations and Employee Resources Department

Procedure 425: Drug Free Workplace

Revised: September 2013, October 2023

Ramapo College is committed to maintaining a drug free workplace in compliance with applicable laws. The unlawful possession, use, distribution, dispensation, sale or manufacture of illegal drugs or controlled substances is prohibited on College premises.

For purposes of this policy, “illegal drugs or controlled substances” refer to those defined as illegal under federal, state and/or local laws. They include, but are not limited to: all forms of narcotics, depressants, stimulants, hallucinogens or other drugs whose use, possession or transfer is restricted or prohibited by law (except for drugs prescribed by a licensed medical provider and used according to instructions for the purpose for which they are prescribed).

The use, consumption, possession, transfer, display, transportation, sale or growth of cannabis or cannabis items is prohibited in the workplace and during working hours.  Employees are prohibited from coming to work under the influence of cannabis or using cannabis in the workplace and during working hours.

Alcohol consumption is prohibited during college operating hours, including rest periods and meal periods, except at authorized College-sponsored events where alcohol is served.  The use, sale, personal possession of alcohol during work time or on College property shall result in disciplinary action up to and including termination.

Employees who appear to be under the influence of alcohol, drugs or controlled substances shall not be permitted to work and may be subject to a Fit for Duty Evaluation. In the case of suspected impairment, the People Operations and Employee Resources Department (POERD) will utilize a Reasonable Suspicion Observation Report that documents the behavior, physical signs and evidence that support the College’s determination that an employee is reasonably suspected of being impaired during an employee’s prescribed work hours.  Those suspected of impairment will be sent for alcohol/drug testing and can be required to provide medical clearance to return to work.

Where there is reasonable suspicion that an employee is in possession of drugs or a controlled substance, the College has the right to contact law enforcement.

Violation of this policy may result in the imposition of employment discipline up to and including termination as defined for specific employee categories by applicable  statutes, rules, regulations, employment contracts, labor agreements and existing College policies. At the discretion of the College, any employee convicted of a drug offense involving the workplace shall be subject to employee discipline and/or required to satisfactorily complete a substance use disorder rehabilitation program as a condition of continued employment.

As a condition of employment, an employee of Ramapo College will notify their supervisor if they are convicted of a criminal drug offense involving the workplace within five (5) days of the conviction. An employee’s failure to notify the supervisor of a conviction may also result in employment discipline.  In the event any such conviction involves an employee working on a Federal contract or grant, the College will notify the granting or contracting Federal agency within ten (10) days of receiving notice of a conviction. A statement to this effect shall be given to all employees.

The illegal use of controlled substances can seriously injure the health of employees; adversely impair the performance of their responsibilities; and endanger the safety and well-being of fellow employees, students, and members of the public. Therefore, the College urges employees engaged in the illegal use of controlled substances to seek professional advice and treatment. Anyone who is employed at Ramapo who has a substance use disorder is invited to contact the Department of People Operations and Employee Resources or the College’s Employee Advisory Service Provider for information about available assistance. Student employees should contact Counseling Services.

This statement and its requirements are promulgated in accordance with the requirements of the Drug Free Workplace Act of 1988 enacted by the United States Congress. The College will continue its efforts to maintain a drug free environment by adhering to the above policy and by providing ongoing drug and substance use disorder awareness programs.