Board of Trustees Policy  405.2

AUTHORIZATION TO OFFSET AMOUNTS DUE UNIVERSITY BY AN EMPLOYEE AGAINST AMOUNTS OWED BY UNIVERSITY TO THAT EMPLOYEE

The original PDF version of this policy is linked from the revised date below.

The University shall have the right to set off against amounts due and payable to an employee, including a student-employee, by the University those liquidated amounts due and payable by the employee to the University for any reason, with the University then paying the net amount remaining to the employee in full satisfaction of his or her wages or other amount due, as follows: 

1. If the amounts owed by the employee to the University were the result of moneys advanced to the employee or misappropriation by the employee of moneys or personal property belonging to the University, the University may set off amounts owed to the University against all wages or other moneys owed to the employee.

2. In all other cases of setoffs against an employee's wages, the University may only set off amounts owed the University against those wages which are above the statutory minimum hourly wage.

3. If the amounts owed to student-employees constitute payments for work-study or are student loans under a program guaranteed or established by the U.S. Government, any set off shall be subject to laws and regulations governing those programs.

4. The University may set off amounts owed to the University against all sums owed to an employee other than wages, or student work-study or loan payments. 

Subject to the above limitations, each Chancellor, through the business officers of that campus, may develop with an affected employee a repayment plan for successive offsets so that the entire amount owed to the University is not offset on a single occasion; provided, however, that no such plan shall be developed in the instance of any final settlement of accounts, such as where a final check for wages for a terminating employee may be involved.

This Board Policy shall be reflected in faculty, staff and student handbooks.

January 20, 1995 (Revised)
June 18, 1982