ERIC Number: ED412786
Record Type: RIE
Publication Date: 1997
The Finance Committee. Effective Committees. Board Basics.
Morley, James E., Jr.
Association of Governing Boards of Universities and Colleges
The traditional role of a college or university finance committee is to oversee an institution's financial operations, ensure that a viable long-range fiscal plan is in place, and recommend financial policies to the governing board. The finance committee may assume additional responsibilities in response to changing needs and expectations of the institution's internal and external constituencies and to facilitate discussion within the administration. The role of this committee may differ somewhat among categories of institutions, and committee members must carry out their duties in the context of the institution's unique circumstances. Among the most difficult challenges are fiscal tradeoffs between program and capital decisions in which equally important financial priorities compete for scarce resources. An effective committee must have a balance of members with solid financial backgrounds and with deep understanding of the institution's work and mission; membership continuity is an important factor. Basic responsibilities include: monitoring the institution's financial operations; overseeing annual and long-range operating budgets; ensuring that accurate and complete financial records are maintained; ensuring that timely and accurate information is presented to the board; and submitting to the full board for approval capital budgets that exceed prescribed amounts; and communicating with and educating the board. (MSE)
Descriptors: Administrative Organization, Administrative Policy, Agency Role, College Administration, College Planning, Committees, Educational Finance, Governance, Governing Boards, Group Membership, Higher Education, Long Range Planning, Policy Formation
Association of Governing Boards of Universities and Colleges. 1133 20th Street NW Suite 300, Washington, DC 20036. Tel: 800-356-6317; Tel: 202-296-8400; Fax: 202-223-7053; Web site: http://www.agb.org
Publication Type: Guides - Non-Classroom
Education Level: N/A
Audience: Administrators; Policymakers; Practitioners
Authoring Institution: Association of Governing Boards of Universities and Colleges, Washington, DC.