(FOX40.COM) — Capital Public Radio board members voted to hire a new general manager on Tuesday, a move that is being opposed by Sacramento State.
According to the university, the new hire is coming at a cost of nearly half a million dollars per year.
•Video Above: Sacramento State CFO to oversee operations at CapRadio
“With the serious issues of accountability, financial processes and controls, and fiscal instability highlighted in the CSU audit, the board still decided to move forward with the hiring, despite the university’s request not to do so,” Sacramento State said in a release.
Student board representative Nataly Andrade-Dominguez, who is also the student body president, has asked for members of CapRadio’s Board of Directors to resign. The university said no resignations have been confirmed.
“As a public institution, we believe in transparency and accountability. We also believe in saving CapRadio,” Sacramento State said.
The campus administration is taking on a larger role in CapRadio operations after a recent audit revealed financial and management issues.
The public radio station can’t file for bankruptcy due to it being a nonprofit auxiliary for the university, leaving Sacramento State responsible for its debt.
Sacramento State appointed chief financial officer Jonathan Bowman to oversee an internal analysis that found that the radio station may be insolvent by January 2024.
“The board has the right to hire a general manager, notwithstanding, the University, as CapRadio’s fiduciary in light of their ill financial health, does not support this decision and will not fund this hire,” the university said.