SSU puts 2 senior officials on leave
Press-Democrat 2/14/07
The target of the probe is the California Institute of Human Services, which receives $22 million a year in state and federal grants for its programs.
"We have noticed some activities we believe are inappropriate. We don't think they meet the terms of the grants," said Larry Furukawa-Schlereth, SSU's vice president of finance and administration on Tuesday. "We want to make sure we don't inappropriately charge the state or federal government."
The review, which will be undertaken by staff from SSU and the CSU chancellor's office, will take about a month.
Furukawa-Schlereth said it will take two weeks to determine how much in funding may be involved. He declined to provide information on what activities are in question.
The institute's founder, Tony Apolloni, 60, of Santa Rosa, is SSU's associate vice president of research and sponsored programs. He and George Triest of Sebastopol, the institute's managing director, were placed on paid administrative leave Monday.
Furukawa-Schlereth said that is standard procedure when a review of a department is undertaken.
"It is a common thing, when we are undertaking a review," he said. "We want to make sure all the records are safeguarded. It implies no wrongdoing."
Apolloni said the problems are technical, dealing with contract billing and following procurement guidelines.
"I think that we followed the procedures of the university as best we understood them," Apolloni said. "Am I saying we didn't make some error? Maybe. But as best I understood the rules and regulations, we were following them."
At issue, he said, is whether the institute inappropriately used funds earmarked for providing social services for administrative costs.
"My interpretation is that under certain conditions it is allowed," Apolloni said. "That is what we are debating."
He said it became an issue 18 months ago, when he said SSU stopped paying the administration costs of the institute in order to pay an $800,000 state charge for retiree health benefits.
Apolloni founded the institute 27 years ago. It has 125 employees on the Sonoma State, Channel Island and San Marcos State university campuses. He has been an SSU associate vice president for seven years.
The institute has programs in which it trains providers of services that deal with pre-school and after-school programs, child abuse, family violence and literacy.
Apolloni is paid $153,120 a year.
"I am profoundly disappointed, because I feel if in fact we made mistakes I let the university down," Apolloni said. "If we didn't make mistakes, I think the university let us down."
Triest, who has been managing director for 10 years, is paid $125,532 a year. He did not return a call for comment.