An audit released in August reveals Cal State San Bernardino’s housing department has been losing money for years. Faculty and staff say employees and students are suffering because the college’s administration has misused funds.
The audit was conducted by the CSU Chancellor’s Office and shows that CSUSB’s housing department has lost more than $15 million since 2021. It also found the university borrowed $4.5 million from its operating fund and another $4 million from the Santos Manuel Student Union and Continued Education accounts to make up for that debt.
“Based on the results of the work performed within the scope of the audit, the governance, risk management, and control processes for student housing as of March 21, 2025, were unlikely to provide reasonable assurance that risks were being managed, and objectives were met,” the audit concludes.
Thomas Corrigan, a communications professor and vice-president of the California Faculty Association chapter on campus, says that money could have gone to students and faculty.
“We've seen courses get canceled because of funding woes, and when classes get canceled, we also have faculty, particularly part time lecturers who lose work,” he said.
Corrigan also says the audit shows the college’s administration has its priorities wrong. “When there are audits like this that highlight mismanagement, lack of transparency, questionable priorities,” said Corrigan, “those are things that catch our attention. As faculty, we ask, is this just about budget cuts, or is it about mismanagement, or our campus?”
CSUSB spokesperson Alan Llavore said in an email that maintenance costs and housing losses led the campus to borrow from other funds, a move he said is allowed by CSU policy.
“The university cannot ask students for a loan,” said Llavore. “If you meant student organizations, the CSU regulations allow it. Under the Special Loan Transfers Policy.”
The Special Loan Transfers Policy allows the campus president—or a delegated financial officer—to temporarily move money from one special fund to another, or to the operating fund, as long as it’s repaid in time to meet the fund’s original purpose. However, transfers from the operating fund to other funds are not permitted.
The auditors cited issues with the housing department’s staff training and planning, which Llavore says they plan to address.
“As noted in the report, the university is in agreement with the auditors' recommendations and is working to implement them.”
CSUSB has recently faced criticism after failing to secure accreditation for its physician assistant program. In recent years, tensions have also grown between the California Faculty Association and campus administration over issues such as class sizes, instructional opportunities and faculty support.
