CSU Equipment Leasing
Executive Order 775 issued by the
chancellor to campus presidents provides a delegation of authority for
acquisition of personal property and services, including information
technology resources goods and services. When appropriate and desired
by the campus, F&T will review and approve financing transactions related
to acquisitions, and will assist campuses with tax related issues, analysis
of cost of financing of proposed packages, and locate favorable financing
rates when necessary. F&T will assure that all appropriate steps have been
taken so that the required federal tax reporting form IRS 8038-G is
completed on behalf of the Trustees. Contact F&T at (562)951-4570.
Executive Order 669 issued by the chancellor
to campus presidents contains information regarding campus authority for
leasing of real property.
In order to assist campuses with the approval process for finance lease
transactions, the office of Financing & Treasury has issued procedures in
coded memorandum FRM 99-09,
CSU Equipment Lease Financing Program - Program
Update. Campuses should review and process financing lease transactions in
accordance with these procedures in order to ensure a smooth and expedient
approval process.
Beginning with a Commercial Paper issuance on June 1, 2006, F&T began
issuing commercial paper on a quarterly basis to finance campus Common
Management System and equipment needs. Documents relating to the
Commercial Paper/Equipment
Financing (CPEF) program describe the requirements of the
program and provide forms for campuses to complete and submit to F&T.
The current borrowing rate for the CPEF program, which will be in effect for the period of June 1, 2012 through May 31, 2013, is: 2.50%.
State Financing Programs
The CSU, through the normal annual capital budget process,
participates in programs available to state agencies for
development of capital resources. Currently, most capital
funds are provided by the State's general obligation bond
programs. In recent past years, the CSU has also participated
the the State Public Works Board's lease revenue bond program.
The financing activity for these programs in administered
centrally by the Office of Financing and Treasury.
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