Foundation Financial Services
Our Shared Commitment to Strong Stewardship
In January, Fresno State shared the results of a review of the Fresno State Foundation conducted by the CSU’s Audit and Auxiliary Services Office. The University and Foundation are moving forward together with a clear, phased approach and are committed to sharing progress publicly as this work continues.
A Message from the President:
The Fresno State Foundation, in collaboration with the University, submitted an implementation plan to the CSU Chancellor’s Office, which was formally approved in February 2026. The implementation plan reflects the Foundation and Fresno State’s shared commitment to update governance, operational systems, procedures, and practices to further advance the Foundation’s mission to support the University.
Together, the Fresno State Foundation and University are taking meaningful steps to ensure that Fresno State is well-positioned for the future, with optimal systems, accountability, and the continued trust of those we serve.
The implementation plan's progress is represented in the dashboard below, and will continue to be revised until the entire plan is complete.
Respectfully,
Saúl Jiménez-Sandoval
President, Fresno State
Fresno State Foundation Impact
For nearly a century, the Fresno State Foundation has served as a trusted steward of philanthropic and post-research award resources in support of Fresno State’s mission and its vital role in the Central Valley.
Each year, the Foundation:
- Distributes millions of dollars to support academic programs, scholarships, and research
- Has successfully grown the endowment to nearly $260 million to date
- Provides student employment opportunities
- Supports faculty excellence and student success
Implementation Dashboard
The review identified findings across 20 categories, organized into six priority areas. A number of findings have been completed and approved by the Chancellor's Office, or have been completed and are awaiting final Chancellor's Office approval. Click through the timeline below to see the status and target completion date of each finding.
| Finding # | Finding | Completion Date | Status |
|---|---|---|---|
| 3b | The Audit Committee’s composition was revised to align with applicable regulatory requirements, ensuring independent membership and strengthening governance oversight. | Oct. 2025 | Completed |
| Finding # | Finding | Completion Date | Status |
|---|---|---|---|
| 16a | The Board revised the endowment administrative fee structure to implement a percentage-based fee. | March 2026 | Completed |
| 18a | The Board evaluated potential endowment management systems. | March 2026 | Completed |
| Finding # | Finding | Completion Date | Status |
|---|---|---|---|
| 7a | The Board revised its procedures for bank (Citibank) access to require dual authorization within the banking portal for wire/ACH payments to improve the security of the funds disbursed. | Sept. 2025 | Completed - pending approval |
| 7b | The Board reviewed user access and restricted access as needed to ensure adequate segregation of duties for JDE users with access to Foundation data. | Feb. 2026 | Completed - pending approval |
| 9a |
The Board requires all bank accounts to be reconciled at least monthly, including those bank accounts related to investments and subsidiary organizations, ensuring timely, effective internal controls. |
Jan. 2026 | Completed |
| 9b | The Board requires the preparer and reviewer signatures/dates on all reconciliations to establish accountability and ensure that reconciliations are conducted in a timely manner to confirm internal financial controls. | Jan. 2026 | Completed |
| 9c | The Board established a process of reviewing and assigning roles and responsibilities in alignment with proper segregation of duties for reconciliations as described in Item 7 of the Advisory Report. | Oct. 2025 | Completed |
| Finding # | Finding | Completion Date | Status |
|---|---|---|---|
| 14b | The Board reclassified administrative fee revenue separately from the Indirect Cost Recovery for financial reporting purposes to assure accuracy in financial reporting and enhance transparency. | Jan. 2026 | Completed |
| Finding # | Finding | Completion Date | Status |
|---|---|---|---|
|
5a |
The Board revised the Foundation organization chart to distinguish Foundation and Association employees, ensuring the Foundation's organizational transparency and clarity of roles and responsibilities. | Dec. 2025 | Completed |
|
5b |
The Board listed Association titles performing services within the Management Services Agreement in the Corporate Handbook. | March 2026 | Completed |
| 6b | The Board incorporated employee feedback into the effort analysis process to further support the workload breakdown and the established Management Services Agreement fees. | February 2026 | Completed |
| Finding # | Finding | Target Completion Date |
|---|---|---|
| 13b | Document the indirect cost recovery methodology concisely and transparently, and share with stakeholders | March 2026 |
| Finding # | Finding | Target Completion Date |
|---|---|---|
| 1a | Revise board composition to include appropriate university representation | June 2026 |
| 2a | Establish and enforce term limits for governors | June 2026 |
| 2b | Establish officer term limits and rotation (Chair, Vice Chair, Treasurer) | June 2026 |
| 2c | Document a policy for board chair and committee chair rotation in alignment with the requirements outlined in the governance committee charter | June 2026 |
| 3a | Revise bylaws to reflect current leadership roles, including the assignment of the Executive Director to VP for University Advancement | June 2026 |
| Finding # | Finding | Target Completion Date |
|---|---|---|
| 5c | Revise the Foundation–Association management services agreement to reflect current services funded by the management services agreement fee | June 2026 |
| 6a | Develop and document a standardized methodology for preparing annual time-based effort analysis supporting all Management Services Agreement fees, including defined procedures for determining the allocation of effort and the use of actual versus budgeted data | June 2026 |
| 6c | Document and share relevant information supporting the management services agreement fees with stakeholders, including a depreciation schedule supporting additional fees listed within the Foundation's management services agreement | June 2026 |
| 6d | Implement year-end reconciliation process of actual expenses incurred vs effort analysis, to support established fee rates and revisions in future periods | July 2026 |
| Finding # | Finding | Target Completion Date |
|---|---|---|
| 7c | Document policies and procedures, including defined roles and responsibilities in alignment with appropriate segregation of duties for all operations performed by the Foundation | June 2026 |
| 10c | Implement trust account monitoring plan and spending plans to educate and encourage deployment of funds in a timely manner | June 2026 |
| 12a | Include a roll-forward cumulative net surplus balance within its annual budget or other consistent reporting to the board and university management | June 2026 |
| Finding # | Finding | Target Completion Date |
|---|---|---|
| 1b | Update Foundation bylaws and other governing documents to reflect revised board composition and ensure ongoing alignment with regulatory requirements | Oct. 2026 |
| 3c | Document the delegation of Treasurer responsibilities in alignment with current practices or reassign Treasurer responsibilities | Oct. 2026 |
| 3d | Enforce requirements within the new board member election process to ensure necessary approvals are obtained and documented | Oct. 2026 |
| 4a | Revise the training structure to foster an environment of collaboration between the auxiliary, the university, the CSU system, and industry associations | Dec. 2026 |
| Finding # | Finding | Target Completion Date |
|---|---|---|
| 15b | Establish and document equitable methodology for addressing rounding variances within key endowment management calculations, ensuring compliance with underlying donor restrictions and intent | Sept. 2026 |
| 16b | Document the endowment administrative fees methodology within Foundation policies, including assessment for all pools maintained | Oct. 2026 |
| 17a | Implement an endowment income distribution process applying the board-approved distribution rate uniformly across all applicable funds | Dec. 2026 |
| 17b | Eliminate account owner input where documentation of donor intent is present | Sept. 2026 |
| 18b | Implement services offered by the selected system to ensure alignment with the volume and complexity of the Foundation's endowment activity | Dec. 2026 |
| Finding # | Finding | Target Completion Date |
|---|---|---|
| 8a | Implement quarterly (preferably monthly) cash-to-fund reconciliation | Dec. 2026 |
| 8b | Establish written procedures and assign clear responsibilities for fund-level cash reconciliations, including steps for reconciliation, review, and appropriate segregation of duties | Dec. 2026 |
| 10a | Enforce timely renewal of trust account agreements (max 3-year terms), including revision of account signatories when applicable | Sept. 2026 |
| 10b | Revise the trust account policy to address the placement of funds upon closure of trust accounts | Oct. 2026 |
| 11a | Revise reserve methodology to be based on actual/budgeted operating expenditures | Dec. 2026 |
| 12b | Establish a documented net surplus spending policy that outlines the methodology for distribution of that net surplus | Dec. 2026 |
| Finding # | Finding | Target Completion Date |
|---|---|---|
| 13a | Establish a revised indirect cost recovery allocation methodology based on current actuals and expenses, and ensure indirect cost recovery is used appropriately | Dec. 2026 |
| 14a | Establish a formally documented policy or procedure governing the implementation, calculation, and classification of the surcharge, available for university review | Sept. 2026 |
| Finding # | Finding | Target Completion Date |
|---|---|---|
| 19a | Develop and document written policies for identified gaps (A/R, cash management, revenue, debt, fixed assets, vendor master, disbursements, credit cards, reporting, philanthropic processes, admin fees, endowment administrative fees), including definition of roles and responsibilities and appropriate segregation of duties | Dec. 2026 |
| 19b | Establish and document the policy review process with the required frequency of review | Dec. 2026 |
| 20a | Implement formal competitive bidding/periodic review for key service providers (external audit, investment manager) | Dec. 2026 |
| Finding # | Finding | Target Completion Date |
|---|---|---|
| 15a | Increase frequency of market value postings (e.g., quarterly) to provide timely and accurate reporting, w/the understanding that implementation of an endowment management system may be necessary to support this process efficiency and reduce risk of error | June 2027 |
Frequently Asked Questions
Supporting Materials
President Jiménez-Sandoval’s Message to Campus - 1.9.26
CSU Chancellor’s Office Review