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Capital Public Radio: Frequently Asked Questions
What was the purpose of this forensic exam?
The purpose of the independent examination, conducted by CliftonLarsonAllen LLP (CLA), was to ascertain additional facts pursuant to Sacramento State’s oversight responsibility for campus auxiliary organizations, promote transparency within legal parameters, and ensure sound fiscal stewardship of CapRadio moving forward. The review focused on potential impropriety related to expenditures, conflicts of interest and procurement card usage.
Why does the report have redactions?
At the request of law enforcement and legal counsel, names and exhibits were redacted for purposes relating to an ongoing law enforcement investigation.
Why did the external review take so long to be completed - it was initially promised in early 2024.
The examination began in late October 2023. Completion of a final draft initially was estimated to be early 2024, but the forensic accounting firm needed more time to do a thorough and accurate review. The timeline was extended as the examination revealed more information.
The work proceeded as quickly and thoroughly as possible.
What was the rationale behind the focus and scope of the exam?
The purpose of the exam was to address the most pressing concerns of the CSU audit within a manageable timeline, allowing for timely corrective action.
Given the complexities involved, a thorough and effective examination was necessary.
What measures are being taken to recover any lost funds as identified by the exam?
We are fully cooperating with law enforcement and will pursue all reasonable and appropriate means to ensure the recovery of funds by CapRadio.
Will there be ongoing monitoring and future audits of CapRadio to verify compliance?
Yes. Sac State has planned internal control reviews to ensure sustained corrections and continuous improvements. CapRadio also has implemented strengthened financial practices with Sac State oversight.
Was Sacramento State involved in CapRadio's fiscal mismanagement?
There is no evidence at this time that Sac State was involved in fiscal mismanagement or conflicts of interest. However, the University was responsible for financial oversight, and that is where we failed. That is where we took action. We have parted ways with individuals who did not provide the oversight that would be normally expected.
Why does Sac State continue to see value in partnering with CapRadio?
Sac State recognizes CapRadio, an official University auxiliary, as a vital community asset. Operating a public radio station is among the integral functions that an auxiliary may perform in furtherance of CSU’s educational mission. This is a tradition Sac State is proud to carry on through CapRadio to provide educational benefits for the community and opportunities for faculty, staff, and students to engage.
The University’s relationship with CapRadio has grown stronger, especially as it provided unprecedented support and leadership in bringing CapRadio back from severe financial and management challenges. This partnership has demonstrated clear and important benefits, including:
- CapRadio offers valuable internships and hands-on learning experiences.
- CapRadio serves as a trusted source of news and information, enriching the local community.
- The collaboration between Sac State and Cap Radio fosters innovation and growth for both organizations and the greater community at large.
The ongoing partnership is a testament to our shared commitment to excellence and service, making it a cornerstone of Sac State’s community engagement efforts.