REG 07.40.02 - Reporting Misuse of State Property

Authority: Issued by the Chancellor. Changes or exceptions to administrative regulations issued by the Chancellor may only be made by the Chancellor.

History: First Issued: February 1, 1995. Last Revised: November 5, 2013. 

Related Policies: 
N.C.G.S. 114-15.1
UNC Policy Manual, Section 300.8.4[G]
NCSU REG07.30.14 - Home Use of Equipment

Additional References: 
SBI-78 Form 
SBI-78 Form Word Version
IRM Auto Accident Reporting Kit
University Police Department Online Crime Reporting
Summary of Selected Rules and Regulations on Frequently Used State Property

Contact Info: Office of General Counsel (919-515-3071); Internal Audit Division (919-515-8862)


1. Reporting

1.1 University employees who have a suspicion, information or evidence of misuse of state property must report such information or evidence to the University Police, Internal Audit or their immediate supervisor within three days. The immediate supervisor, University Police and/or Internal Audit must in turn report the matter to the Office of General Counsel as soon as possible. Crimes in progress are to be reported to University Police immediately. Accidental damage to property is to be reported by the supervisor using SBI-78 Form to the Office of General Counsel. Damage caused to a State Motor Pool vehicle from an automobile accident is to be reported directly to the Director of Insurance and Risk Management.

1.2 Misuse of state property is interpreted to mean damage, theft, embezzlement or unauthorized use of any state owned personal or real property. An illustrative, but not exhaustive, list of university property is as follows: Pcards, equipment, tools, supplies, electronics, telecommunications, IT infrastructure, vehicles, office space and buildings.

1.3 Employees who in good faith report suspected criminal activity are protected from retaliation by the University for making such a report.

1.4 The Chancellor delegates to the Vice Chancellor and General Counsel the function of reporting information or evidence of misuse of state property to the State Bureau of Investigation (“SBI”), after appropriate consultation with Internal Audit and University Police.

2. Investigations

2.1 University Police is responsible for the investigation of all crimes that occur pertaining to or on university property. University Police will consult with and seek assistance from Internal Audit as needed but particularly in relation to matters of fraud and embezzlement. Employees are required to cooperate with any investigation. The assistance of the SBI, local law enforcement or the State Auditor in reviewing or investigating the allegations may be requested in particular cases.

2.2 The results of University Police and/or Internal Audit reviews of alleged misuse and investigations will be reported to the Vice Chancellor and General Counsel. In consultation with the Director of Internal Audit and the Chief of Police, the Vice Chancellor and General Counsel will determine whether or not it is appropriate to notify the SBI of any misuse within ten (10) days of being notified of the possible misuse. .

3. Notification

3.1 If the Vice Chancellor and General Counsel determine that notification to the SBI is appropriate, the Vice Chancellor and General Counsel will send written notification to the SBI ("SBI Notification"). Copies of each SBI Notification shall be sent to University Police, Internal Audit and the Vice Chancellor for Finance and Business.

3.2 If the allegations of misuse involve an identified department or employee, copies of the SBI Notification will also be sent to the appropriate Executive Officer to which the unit reports, and the Associate Vice Chancellor for Human Resources. The supervisor of the unit in which the suspected misuse is alleged to have occurred also may be notified, as appropriate. Each Executive Officer and unit supervisor will consult with the designees of the General Counsel, University Police, Internal Audit and Human Resources, as appropriate; to address resolution of personnel and other issues relating to the reported allegations. For personnel matters, the relevant disciplinary procedures will be followed based on the category of employee.

3.3 If the allegations involve a student, a copy of the SBI Notification will also be sent to the Vice Chancellor for Academic and Student Affairs for handling in accordance with the Code of Student Conduct.

3.4 The Director of Internal Audit and the Chief of Police may make other reports to state or local government units as are otherwise necessary and appropriate for the performance of their respective professional responsibilities. The Vice Chancellor and General Counsel and/or the Director of Internal Audit shall inform the Chancellor of all significant misuse matters.

3.5 A decision to file criminal charges will be determined at the conclusion of an investigation by the Chief of Police and the district attorney’s office.