After Tribune reporting, USU will now limit presidential spending. Here’s how it works.

The spending of Utah State University’s president will now be subject to four reviews a year to check all purchases for “prudence and integrity” — and most large expenses will first require approval from the school’s board of trustees.

The board approved those changes last week with a major new policy that for the first time limits presidential expenditures. Prior, the school had no rules about what a president could buy or caps on how much they could spend. And there was little done by USU to review receipts.

Those gaps were exposed this year when The Salt Lake Tribune reported on the more than $660,000 that previous USU President Elizabeth “Betsy” Cantwell spent during her brief 18-month tenure.

That included Cantwell using university funds to buy a new 2023 Toyota Highlander SUV for $42,969. She also bought a new Chevy Suburban, which she rode to events around the state in as a USU police officer (acting as both chauffeur and security) drove; those typically run about $60,000.

That doesn’t include the new $28,300 climate-controlled golf cart she bought to drive around campus and a $750 bidet for her office, among other lavish furnishings and a costly remodel to the space in the Old Main building.

Those splashy buys have sparked concern among Utah lawmakers and other stakeholders, coming at a time when the state ordered million-dollar budget cuts to public higher education.

An initial state assessment of spending at the school — conducted in response to The Tribune’s reporting and tips from whistleblowers — found a “culture of policy noncompliance,” including executive staff regularly and unilaterally approving contracts up to $430,000 without completing a set purchasing process.

Now, the state will conduct a full audit of USU’s spending. And the Utah System of Higher Education, which oversees the state’s eight public colleges and universities, has vowed to do its own review of each institution’s presidential purchases.

In the meantime, USU has promised to make its own changes immediately.

“We feel it’s important for good governance,” said trustee Ryan Dent during a recent board meeting.

The school’s board of trustees fast-tracked the new policy in time for newly announced leader Brad Mortensen, who took the helm Monday. The board said in September it’s had “robust conversation” around the new rules, and it gave the final green light this month.

The policy specifically notes: “The role of the president is unique within the university. The position requires a high level of trust and is subject to high ethical expectations.”

In addition, trustees also approved updates to five existing university policies that generally govern all employees’ spending and travel.

Those updates clarified what kind of expenses are allowed, including:

• Employee gifts from the university should not be more than $100 in value. And they must be approved by department heads.

• For large university expenses requiring a competitive bid process (those over $10,000), the school’s Purchasing Department needs to be formally involved.

• The hotel room rate for any university-related travel is set at $540 per night; anything above that will require approval. (Cantwell regularly stayed in rooms that went above that amount, expense records indicated.)

• Meal and entertainment expenses require clear documentation, including the business purpose of the meeting, the names and affiliations of those involved, the date and location, as well as itemized receipts.

There will be employee trainings on those changes.

The presidential spending policy is more open. It says that purchases by the top leader “must be made with prudence and integrity and reinforce the characteristics of sound judgment, moderation and appropriate use of university funds.”

As far as how much the president can specifically spend on purchases without being flagged, the policy isn’t prescriptive. But it states a president should only spend “what a prudent person would purchase under the circumstances.”

A key update is that all presidential spending at USU will now be much more closely monitored moving forward. And the policy states the president specifically cannot grant any self-exceptions for expenses, including on travel.

The board of trustee’s audit committee will now conduct a quarterly review of presidential spending. And there will be an annual budget review completed and reviewed by the full board.

The trustees also expect the president to ask for their approval before making any large expenses. Again, there is not an explicit threshold listed. But the guidance says: “Areas may include transactions that, due to their size, sensitivity, or impact to the university, notification and review with the board chair is deemed prudent.”

Dent said the policy was based on similar procedures at other comparable universities, including reviews of rules in California, Texas and Missouri. The board also looked at the University of Utah’s standards.

“It’s focused on reinforcing sound judgment, moderation and appropriate use of all funds at their disposal,” Dent said. “It enhances transparency. And it provides both, I think, preventative and detective type controls in the process.”

The board said it will formally review the policy again in October 2026 but may continue to refine it as it rolls out.