§ 18A:64-42 — Financial standards

17. The board of trustees shall, prior to the operation of any auxiliary organization under this act: a. Institute with the approval of the Director of the Division of Budget and Accounting a standard Statewide accounting and reporting system for businesslike management of the operation of auxiliary organizations. b. Implement financial standards which will tend to assure the fiscal viability of auxiliary organizations. These standards shall include proper provisions for professional management, adequate working capital, adequate reserve funds for current operations and capital replacements, insurance, and adequate provisions for new business requirements. c. Institute procedures to assure that transactions of the auxiliary organizations are within the educational purposes of the college. d. Develop policies for the appropriation of surplus funds not required to implement section 15 of P.L.1982, c.16 (C.18A:64-40). Uses of such funds shall be regularly reported to the board of trustees of the college. e. Determine which college employees may also be employed by the auxiliary organization and the terms and conditions of such employment. L.1982,c.16,s.17; amended 1994,c.48,s.106.