Dive Transient:
- Connecticut Gov. Ned Lamont has requested a state audit into the Connecticut State Schools and Universities system after a information investigation discovered the system’s chancellor spent public cash on expensive meals and chauffeurs.
- Throughout his three-year tenure, Chancellor Terrence Cheng has typically put costly meals on his state-funded bank card , together with $1,114 at eating places throughout one week in September 2023, CT Insider reported final week. Cheng has additionally often used chauffeurs, together with $490 in in the future in November 2022, the publication discovered.
- In a Friday letter, Lamont urged Connecticut’s state comptroller workplace to overview the group school system’s spending, together with bills associated to meals, leisure and journey. He additionally requested for an itemized report of purchases made with p-cards, which refers to buy playing cards staff can use for institutional bills.
Dive Perception:
The CT Insider investigation additionally discovered a number of examples of Cheng’s spending which will have damaged state guidelines or institutional insurance policies, together with expensing alcohol and lacking some receipts. Cheng informed the publication that the potential violations had been clerical errors and defended his bank card spending, arguing that the exercise was a part of establishing relationships that would profit the system.
The probe into the chancellor’s spending comes at a time when the system is elevating tuition and grappling with cuts.
In early 2024, CSCU rolled out a voluntary buyout program to assist tackle a $140 million deficit, although a college union mentioned in March that its members would refuse to take part. The system’s governing board additionally authorized a 5% tuition hike throughout all however one in every of its establishments over vocal opposition from college students and college. The rise took impact this fall.
“Current reviews of controversial spending selections have raised critical issues concerning the transparency and accountability of CSCU’s monetary administration,” Lamont mentioned in a press release Friday. “As CSCU has not too long ago carried out measures equivalent to tuition will increase and program reductions to deal with important funds shortfalls, it’s crucial that the general public have full transparency into how public funds are being utilized.”
The community’s system workplace is able to assist the state’s comptroller workplace by offering any requested data or documentation, Adam Joseph, the system’s vice chancellor for public affairs, mentioned Tuesday in an emailed assertion.
Within the meantime, the system’s governing board has elevated its oversight of spending throughout the system’s central workplace, and the community will quickly rent a brand new chief compliance officer and authorized counsel.
“As soon as they’re on the job, Chancellor Cheng will instruct each people to provoke a overview of CSCU’s p-card and journey insurance policies,” Joseph mentioned.
He added that the system is “dedicated to the accountable use of state funding,” noting that the central system’s workplace and shared providers division lowered their spending by about $12 million in fiscal yr 2024.
As a part of the audit, Lamont requested that the comptroller’s workplace overview how state-owned automobiles are utilized by staff, together with wanting into their gasoline prices. He additionally requested that the probe assess whether or not public cash is being managed in a approach that aligns with state insurance policies.
“It’s essential that the general public trust within the monetary stewardship of the CSCU,” Lamont wrote within the letter to the state comptroller’s workplace. “College students, college and the residents of Connecticut should know that the general public sources are getting used appropriately.”
Cheng didn’t reply to an emailed request for remark Tuesday.
In response to CT Insider’s investigation, Connecticut State Senate Minority Chief Stephen Harding, a Republican, blasted Cheng’s spending habits.
“The tone deaf champagne tastes of Chancellor Cheng aren’t a great search for the chancellor or for the CSCU system,” Harding mentioned in a press release. “It ought to frustrate anybody who reads about it. It smacks of vanity and disrespect for taxpayers, college students, and college students’ households alike.”
The system has two- and four-year establishments spanning over a dozen campuses.