Your Wake-up Call:THE MINNESOTA STATE COLLEGES and UNIVERSITIES EMPLOYEE CODE OF CONDUCT

Gail M. Olson, General CounselJohn Asmussen, Internal

AuditingJune 2008

What is it? The MnSCU Employee Code of Conduct

is a system procedure, effective 7/1/2008: see http://www.mnscu.edu/board/procedure/1c0p1.html

It is a compilation of various existing statutes and policies that apply to employees.

Also contains introduction describing expectations for employees.

Where did it come from?

Leadership Council Human Resources Committee created Ethics Task Force.

Task Force studied other agency codes, other institutions, etc.

Many conduct policies were already in place, but not easy to find.

Wanted to create a comprehensive, codified resource.

Other Codes of Conduct

Not to be confused with the Department of Finance code of conduct related to financial statements.

The system procedure supersedes any conflicting campus codes of conduct.

Goals of the MnSCU Employee Code of Conduct Reinforce the importance of ethical behavior. Create a unified reference for major

employee conduct policies. Provide better tools for training, enforcing

ethics issues. Make policies more accessible for

supervisors and employees. Establish laudatory goals as well as

proscribed behavior.

Part 1. Purpose and scope.

Applies to all employees administrators, faculty, staff, students

employees, FT or PT, temporary or permanent.

Employees also subject to standards for their particular discipline.

Part 2. General.

System to provide high quality education with sound stewardship.

Employees to act with integrity, fairness, respect, inclusivity.

Employees to be honest, trustworthy, efficient and effective, accountable and compliant with law, policy.

Part 3. Employee ethics. Compensation, benefits, gifts from

other sources Personal advantage Use of state property Political influence Purchasing state property

Part 4. Other policies. Nondiscrimination—1B.1 Fraud and other dishonest acts Intellectual property Nepotism Weapons and safety Acceptable use of

computers/technology Information security and privacy Alcohol and drug use

Part 5. Reporting fraud.

Board Policy 1C.2 requires reporting suspected fraud and abuse.

Refers employees to supervisor, manager, Office of Internal Auditing, Office of the Legislative Auditor.

Reporting Fraud: Who?

An employee with a reasonable basis for believing fraudulent or other dishonest acts have occurred has a responsibility to report the suspected act in a timely manner. (Board Policy 1C2, Part 4)

Reporting Fraud: What? Fraud Indicators

Accounting Anomalies Missing Receipts False or altered documentation Duplicate payments Highly unusual items Unreconcilable shortages

Complaints and Tips

Reporting Fraud: How?

To supervisor or manager Unless linked to incident, then to a

higher level employee Institutional Fraud Contact HR Director MnSCU Office of internal Auditing Legislative Auditor

Reporting Fraud: How to report to law enforcement? For emergencies, report incident

immediately to law enforcement Robberies Break-in thefts

Other matters, report to Internal Auditing Consultation with General Counsel Referral to USDOE when warranted

Reporting Fraud: When?

Internal reporting channel Incident Inquiry Escalate if respondent is

uncooperative, belligerent, or unduly argumentative

Report to Internal Auditing Inquiry Investigation

Case Study: Texas Southern University Dr. Priscilla Slade, President

$650,000 in university funds spent on landscaping on personal residence, kitchenware, a bar tab > $100,000

“Very fearsome leader” who intimidated underlings

Charmed the governing board and enjoyed their absolute trust

March 2008 Plead “no contest”, repaid $126,000, 10 years of

deferred adjudication, 400 hours of community service

Case Study: Texas Southern University

Quintin F. Wiggins, Vice President for Finance May 2007, found guilty on one count

of misapplication of fiduciary property with a value of over $200,000

Felony conviction Sentenced to 10 years in prison

What’s next?

Effective 7/1/08 to provide campuses time to review policies, practices.

On-line training is being developed. Roll-out in conjunction with

compliance program. FAQs will also be on line.

Compliance Program

Assistant General Counsel Nancy Joyer is the Compliance Coordinator. Proactive approach to compliance with laws

and policies. Will foster developing good practices rather

than be “regulatory” in nature. Projects will involve cross-section of campus

representatives. Watch for more information.

Test your knowledge!

Frequently asked questions will be online, linked to Code of Conduct.

FAQs include topics often raised by employees, supervisors.

FAQs still in draft form but will be final by 7/1/08.

# 1. Accepting free books.

Q. I received a free textbook [or software or other course materials] from a publisher to review for possible use in one of my courses and am not required to return the textbook to the publisher. May I accept the textbook?

# 2. Selling free textbooks.

Q. Am I permitted to sell the free textbook sent to me by the publisher and keep the proceeds from the sale?

# 3. Outside employment--private college.

Q. I am a faculty member in a highly specialized field. I have been asked by another institution to teach one course per semester in this field, similar to courses I teach at my current institution. Accepting this employment would not interfere with my regular teaching duties at my current institution. May I accept this outside employment?

#4. Romantic relationships with students.

Q. I team teach an evening graduate course geared toward secondary teachers wishing to complete a master’s degree. All of the students are mature adults. The other instructor in the course is interested in asking one of our students for a dinner date following class some night. Is that permissible?

#5. Gift from outside source.

Q. In the course of my work as a college employee, I work with the local country club to plan an annual college foundation golf tournament/fundraiser. The country club has offered me 18 free holes of golfing because of my working relationship with staff there. May I use the free round of golf?

#6. Free meal.

Q. As part of my job duties at the university, I meet frequently with local officials. May I accept a meal provided by the city manager or other city officials with whom I am meeting?

#7. Travel paid by vendor.

Q. I just received a vendor invitation to a February training seminar about their new product line. The vendor is offering to pay all travel and accommodation expenses for three employees; the product is of a type we use regularly. May I accept this travel? If so, what approval process must I go through? Does it matter where the seminar is held?

#8. Cell phone use.

Q. Because my position frequently requires me to be away from my office, my college provides me with a cellular phone. May I use my business cell phone for personal calls during the “free call” periods under the plan or if I reimburse the college for the personal calls I’ve made?

#9. Employee discounts

Q. Am I allowed to take advantage of a special discount offered by a local business to “government employees”?

#10. Bookstore sale of faculty textbook.

Q. Our college operates its own bookstore on campus. One of our faculty members has authored and published her own texts for use in her class, and use of the textbook has been approved by her dean. May the bookstore sell the faculty member’s textbook?