delegation of authority policy

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Delegation of Authority Policy

Questions regarding this policy should be directed to the Policy Administrator.

Effective Date: July 10, 2017 Cross Reference:

Conflict of Interest Policy

Ethics and Accountability Policy

Contract Management Policy

Policy Owner: Vice-President, Finance & Administration, CFO

Appendices: Delegation of Authority Matrices

Policy Administrator:

Director, Financial Services

Approver: Executive Committee

Review Schedule: Every 4 Years

1. Policy Statement

Keyano College is committed to responsible stewardship of its funds by conducting all business affairs in a consistent and cost effective manner. This policy gives specific authority to designated individuals for the purpose of performing duties, approving transactions, making commitments and authorizing the collection and disbursement of funds on behalf of the College. Delegation of authority is an essential component of sound management and a key internal control mechanism that assists employees in achieving Institution priorities and objectives within appropriate authority levels.

2. Background

The Post-secondary Learning Act (PSLA) outlines the statutory authority of the Board of Governors, the President & CEO and Vice-Presidents of Keyano College. According to the Act:

The Board of a public post-secondary institution shall manage and operate the public post-secondary institution in accordance with its mandate s.60(1)

A board may delegate in writing to any person any power, duty or function conferred or imposed on it by this Act, except the power to make bylaws s.62

The President has general supervision over the direction of the operation of the public post-secondary institution and has those other powers, duties and functions that are assigned to the president by the board s.81(3)

A President may delegate in writing any of the president’s power, duties or functions as the president considers appropriate and may prescribe conditions governing the exercise or performance of any delegated power, duty or function, including the power of sub delegation s.81(4)

A Vice-President has the powers, duties and functions that are assigned to the Vice-President by the Board on the recommendation of the President s.82(2)

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3. Policy Objective

The objective of this policy is to define the scope and limits of the authority delegated by the Board to the President & CEO and Vice-Presidents to ensure decisions made and actions taken are done so:

By those with appropriate authority levels

In an efficient, effective and transparent manner

In accordance with other Keyano College policies, applicable legislation, regulations and requirements from external agencies.

Additionally, this policy also provides guidance on how and when authority can be delegated.

4. Scope

This policy and the procedures associated with it apply to the Keyano College Board of Governors, the President & CEO, Officers and all employees of Keyano College.

5. Definitions

5.1 Contract A written or spoken agreement with specific terms between two or more persons or entities

in which there is a promise to do something in return for a valuable consideration (payment in some form). With respect to the College, this includes, but is not limited to: Memoranda of Understanding, Agreements in Principle, Grants, Academic and non-Academic Service Contracts, Land and Space Agreements.

5.2 Delegate Formally convey the power to act, make decisions and allocate resources on one’s behalf to

someone else. 5.3 Delegated Authority A position that has been delegated authority to make commitments, approve transactions and

authorize the collection and disbursement of funds on behalf of the Institution.

5.4 Delegator A person who is delegating their authority. 5.5 Designated Individuals Employees with delegated authority in accordance with this Policy. 5.6 Down One Level A position that reports directly to a delegator. 5.7 Peer An individual with a similar title, position and responsibilities.

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5.8 Permanent Authority The permanent delegation of authority to designated individuals under the Delegation of

Authority Policy. 5.9 Temporary Authority The temporary conveyance of authority from one employee to another employee as a result

of a temporary absence not to exceed 90 days, unless duly approved by the President & CEO. 5.10 Up any number of levels A position to which the delegator or their manager reports.

6. Guiding Principles

6.1 Authority is delegated to a position as opposed to a person and any person acting in the

position assumes the authority of that position.

6.2 Authority can only be delegated to full-time Keyano College employees. Authority delegated

to the President & CEO and Vice-Presidents by the Board may be further delegated to

designated individuals.

6.3 The authority to approve certain College affairs has not been delegated by the Board.

The below authority shall remain with the Board of Governors.

PSLA SECTION DESCRIPTION

60(1) Setting of tuition fees to be paid by students

62 Power to make bylaws (cannot be delegated)

66-67 Acquisition and disposal of land

69(2) Application for pensions and annuities

72-73 Borrowing of funds and debenture borrowing

76(2) Establishment and management of a pooled trust fund

77 Approval respecting the Financial Administration Act

78-80 Institutional plans and reports

81 Employment activities of the President & CEO

87 Academic staff agreements

6.4 The Board will approve delegations of authority and any changes thereto based on the

recommendation of the President & CEO.

6.5 Delegated authority must be exercised in accordance with all Keyano College policies including

the Conflict of Interest Policy and Ethics and Accountability Policy.

6.6 Notwithstanding any delegation, the control, oversight and accountability for the management of Keyano College property, assets and financial and human resources will be retained by the Board, President & CEO and Vice-Presidents.

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6.7 For the purpose of determining required approval and authority levels, a series of reasonably related transactions will be considered as a single transaction. Under no circumstances shall any single requirement be divided into multiple requirements or be reduced in term or scope with the intent or unintended result of altering the commitment level or the positions which have the delegated authority to approve the requirement.

6.8 Prior to exercising delegated authority in relation to the disbursement of funds, designated individuals must ensure:

Expenditures are reasonable, fair, just and in accordance with a written contract where required

Expenditures are necessary in order to achieve program or administrative goals and appropriate explanations for the expenditures has been obtained

Proof of the expenditures (i.e. supporting documentation) is available

Expenditures reflect due regard for economy

Funds are available and approved within the budget

Goods or services have been received and there is proper evidence thereof.

6.9 Only persons who have delegated authority as set out in this Policy and defined in Appendix A can make decisions or sign documents that create an obligation on behalf of the College.

6.10 Employees who negotiate and sign agreements or contracts (excluding HR related

employment contracts/agreements) on behalf of Keyano College, must seek guidance and

approval from the Procurement department prior to committing College resources. This

applies to, but is not limited to all contracts, grants, MOUs and MOAs, including those with

external funding agencies. This will ensure the College is

Able to realize economies of scale

Ensure obligations and commitments can be met

Ensure compliance with the Contract Management Policy

6.11 All amendment to contracts and agreements will require guidance and approval by the

Procurement department.

7. Roles & Responsibilities

STAKEHOLDER RESPONSIBILTIES

Delegator Ensure designated individuals understand their responsibilities when exercising authority

President & CEO and Vice-Presidents

Approve the Delegation of Authority Policy and any changes thereto

Monitor compliance with the Delegation of Authority Policy

Investigate and take appropriate disciplinary action with respect to violations of the Policy

Executive Committee Approve multi-year contracts and agreements

Approve Decision Support Packages related to employment requests

Approve organizational structure and all related changes

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Approve expenditures of all ‘Unrestricted’ funds received through the Foundation

Board of Governors Delegate authority to the President & CEO and Vice-Presidents

Maintain authority for specific College affairs (s.6.4)

8. Policy Management

Policy Title: Delegation of Authority Policy

Approval Date: May 18, 2017 (Executive Committee)

Effective Date: July 10, 2017

Historical Review Dates: n/a

Next Review Date: May 18, 2021

Related Legislation: Post-Secondary Learning Act, Sections 60(1), 62, 66-67, 69(2), 72-73, 76(2), 77-81, 81(4), 82(2)

Supersedes Policies: 505 Approval Authority Table

Monitoring/Frequency: Monitoring/ Frequency – All transactions, commitments and authorizations for the collection and disbursement of funds on behalf of the College will be reviewed accordingly.

Policy Owner: Vice-President, Finance & Administration, CFO

Policy Administrator: Director of Financial Services

Policy Coordinator: Executive Assistant to the VP, Finance & Administration, CFO

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Appendix A

Keyano College Delegation of Authority Matrices

Authority Limits

The authority table below is intended to provide budget managers with clear guidelines on their

expenditure limits in relation to executing activities within the responsibility of their job functions. These

limits apply to all purchase orders, all contracts and agreements and legal matters.

All limits are valid against the approved operating budget for the current fiscal year

Authorities are restricted to Keyano College employees within these stated or peer roles

Authority is granted to positions, not individuals and is restricted to within the scope of the role’s accountabilities and responsibilities. By accepting delegated authority, the employee is assuming all related budgetary responsibilities and limitations.

All multi-year contracts require the approval of the Executive Committee.

All purchases over $75,000 must go to tender as per the Guidelines to the Procurement Obligations of Domestic and International Trade Agreements.

POSITION AUTHORITY LIMIT

Board of Governors Chair Unlimited

President & CEO Up to approved budget

Vice-Presidents $100,000

Director, Facilities and Asset Management $75,000

Executive Director (Ex.Dir), Deans, Directors, Registrar and Chief Technology Officer (CTO)

$25,000

Chairs/Associate Registrar/Administrative Managers/Campus Managers

$5,000

Coordinators/Executive Assistants $3,000

Office Managers/Assistants/Others $1,000

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Legal Matters

Responsible Department: Office of the Vice-President, Finance & Administration, CFO

All legal matters will typically fall into one of two categories: Employment matters and legal claims against

the College. A legal claim includes a civil action, or complaint before a judicial or quasi-judicial tribunal or

any other action that potentially engages the liability of the College.

Legal assistance with respect to contracts or agreements remain the responsibility of the

Procurement department with the exception of gift/donation agreements, will be at the discretion

of the Vice-President, Finance & Administration, CFO. In the case of gift/donation agreements,

they shall be reviewed by legal counsel at the discretion of the Vice-President, Advancement &

External Relations.

TRANSACTION OR DOCUMENT

DESCRIPTION

BOARD OF

GOVERNORS PRESIDENT & CEO VICE-PRESIDENTS EX.DIR, DEANS,

DIRECTORS, REGISTRAR, CTO

Employment Legal Services n/a VP, Finance &

Administration, CFO

Ex. Dir of Human Resources only

Settlement Legal Services n/a VP, Finance &

Administration, CFO

n/a

Gift/Donation Agreements n/a

VP, Advancement

& External Relations

n/a

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Banking and Transactions

Responsible Department: Financial Services

Day to day banking transactions include gifts of shares, deposits, cheques, money orders, bank drafts, wire

transfers, authorization for direct debits, transfers between bank accounts.

All banking transactions and activities require signatures from two pre-approved bank signing

authorities.

Investment related activities are covered under the Investment Policy, endorsed by the Finance &

Audit Committee and approved by the Executive Committee.

Gifts of shares shall be accepted and transacted as per the gift acceptance policy.


DESCRIPTION BOARD OF

GOVERNORS PRESIDENT

& CEO VICE-PRESIDENTS EX.DIR, DEANS,


Bank Signing Authorities Chair &

Vice-Chair (only)

VP, Finance & Administration, CFO

only

Director of Financial

Services only

Banking Contracts n/a

VP, Finance & Administration, CFO only

Establishing/Drawing down a Line of Credit

n/a

Credit Card Agreements n/a

Investment Strategy Approval n/a n/a

Investment Placement n/a VP, Finance &

Administration, CFO only

Borrowing Resolutions n/a n/a n/a

All other financial agreements

(related to banking & investments)

n/a VP, Finance &

Administration, CFO only

Director of Financial

Services only

Gifts of Shares n/a

VP, Advancement & External Relations

VP, Finance &

Administration, CFO

n/a

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Employment

Responsible Department: Human Resources

Employment refers to the various decisions made with respect to the terms and conditions of employment

of the President & CEO, Senior Officers and all employees of the College.


DESCRIPTION

BOARD OF



Hiring of President n/a n/a n/a

Hiring of Senior Executive n/a n/a n/a

All Staffing Requests n/a Executive Committee (Decision Support Package)

n/a

Appointment Letters

(must be prepared by HR) n/a n/a

Employment Subsidy and Co-op Programs

n/a n/a

Collective Agreements and Compensation Plans

n/a n/a n/a

Terminations n/a

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College Seals and Trademarks

Responsible Department: Varies depending on the seal or trademark.

The use of corporate seals and trademarks and other copyrighted markings identifying the College will be

limited to the following personnel.


DESCRIPTION DEPARTMENT RESPONSIBLE

FOR CONTROL AUTHORITY

College Corporate Seal Office of the President President & CEO

EA, President & CEO and Board of Governors

College Academic Seal Office of the Registrar Vice-President, Academic

Registrar

Trademark License Marketing & Communications

Vice-President, Advancement & External Relations

Director, Marketing & Communications

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Capital Assets, Projects, Construction

Responsible Department: Office of the Vice-President, Finance & Administration, CFO

All capital projects, capital assets, construction, and related renovations are the responsibility of the Office

of the Vice-President, Finance & Administration, CFO.

This includes:

Building/Land: construction of new buildings, additions, alterations or renovations to existing

buildings, site services and landscaping

Technology: purchase of new systems and technology, ever-greening of computer hardware,

software, alterations or upgrades to existing technology infrastructure

Capital Assets: Capital assets are those assets that meet the below criteria

o Have a useful life expectancy of more than one year and meet the asset capitalization

threshold ($5000);

o Are held for the continuing operating activities of the organization; and

o Are not intended for resale in the ordinary course of operations.

The cost of capital asset is the amount of consideration given up to acquire, construct, or better a capital

asset and includes all costs directly attributable to the acquisition, construction, betterment of the capital

asset including installing it at the location and in the condition necessary for its intended use.

All purchases will follow the approved authority limits and associated Domestic and International Trade

Agreements, which state all purchases over $75,000 will go to tender.

All limits are valid against the approved capital budget for the current fiscal year, unless authorized by the

Board.

All limits are valid against the approved project amount and is inclusive of any related change orders.

Should a change order against the approved project, surpass the original authority, then the next level of

signing authority is required.

In certain circumstances, a change order may result in an amendment to the original project scope.

In such instances:

The original approving authority must provide approval to the amended project scope; and

Approve a new limit to the project, which may result in a realignment of authority as noted in the chart.

Invoice signing authority will be the responsibility of the Director, Facilities & Asset Management, Vice-

President, Finance & Administration, CFO and President & CEO. Invoices will be applied directly against the

value of an approved project.

The oversight of capital expenditures will be the responsibility of the Procurement department.

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DESCRIPTION

BOARD OF



<$50,000

(3 quotes from suppliers) n/a

VP, Finance & Administration,

CFO

Director, Facilities and

Asset Management

$50,000 - $75,000

(3 quotes from suppliers) n/a

>$75,000 - $200,000

(Above $75k requires posting to APC for public tender)

n/a n/a

>$200,000 - $500,000 n/a n/a

>$500,000 *Up to approved project

amount n/a

*Should the Board approve a capital project in excess of $500,000, the President & CEO and the VP, Finance

& Administration, CFO (only) will have expenditure authority, up to that approved amount.

delegation of authority policy

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