Management of risk is a priority function of the University to ensure the use of resources for the established program purposes rather than for funding losses due to foreseeable risks. College, department and program management is responsible for: conducting campus operations in a manner that does not create unreasonable risks of loss or injury; the identification and analysis of risks; development and selection of risk controls and risk financing to manage risks; implementation and evaluation of risk management techniques; and documentation of these actions to ensure the responsible planning, organizing, leading, and control of resources.
Colleges or departments responsible for program management shall bear the financial burden associated with risk management losses.
Risk Management, Environmental Health & Safety shall provide assistance to campus entities in identification and examination of risks, selection of risk control and risk financing techniques, evaluation of the results, and improvement of risk management.
361.1 Responsibility for Programmatic and Operational Risks
University divisions, colleges, programs and departments shall be responsible for comprehensive risk management of their respective activities, programs, and operations. All campus entities shall preserve resources for the established mission of the entity. Risks of loss in the areas of personnel, property, freedom from liability and financial resources can substantially impact campus entities’ resources, programs, and operations. Campus entities responsible for activities and conditions shall manage risk of loss through a proactive and collaborative process enabling both specific and shared responsibility for management of risks in the conduct of activities.
Risk identification and analysis shall be a part of the initial development of programs and projects prior to commitment to perform. Responsibility of risk involved in a program or project shall be specifically assigned to campus entity(ies) prior to commitment to perform.
Campus entities shall:
- Prevent/reduce losses due to risk through control/management of programs, projects, and properties;
- Finance or transfer losses due to risk through retention, insurance or contractual transfer; be singularly and/or severally (as agreed) responsible to address risk in their program, projects, and properties; and
- Document losses and “near misses” to enable analysis and projection of future losses.
Acceptance of responsibility for a program, project, or property shall include authority and responsibility for control within the parameters of an overall contractual agreement/understanding.
Risk Management shall coordinate and advise on risk management efforts for the University to preserve resources for the institutional mission.
361.3 Risk Financing
The University has established and maintains cost effective risk mechanisms to address the financial liability for catastrophic losses. The vice president for Administration and Finance may consider requests for financial assistance with costs of program losses from University resources based upon the exercise of risk management by the program manager responsible for the design, direction, and control of the activity, program, operation and/or resources involved in the loss.
Coverage for insurable liability losses is provided by the University above a $250,000 self-insured retention for primary programs, and $35,000 for University special funds programs (housing, parking, health center, extended education). Program Managers are responsible for liability losses (including related costs of investigation, defense, regulatory fines, settlements, etc.) within the self-insured retention.
361.3.2 Illness and Injury
Work related illness and injury coverage is provided for employees on a cost plus basis. Campus departments and/or programs are responsible for worker’s compensation and employment liability loss costs. (Costs are currently paid within University resources.)
Coverage for real and personal property is generally not provided unless initial funding was provided through public bonds. Campus departments and/or programs are responsible for property losses (including related costs).
361.3.4 Accident and/or Health
In general, accident and/or health insurance are not provided by the University for students or visitors on campus. Limited coverage is provided for students traveling on University programs (e.g., field trips) within the United States. Registered students have access to the University Health Center.
361.4 Accident Reporting
All accidents involving personal injury and/or property damage/loss either on campus or at campus programs located off site shall be reported to Risk Management, Environmental Health & Safety. Traffic accidents, criminal activity, or serious bodily injury/property damage shall be reported directly to University Police, who will in turn notify the RMEH&S office.
361.4.1 Automobile Accidents While On University Business
Employees involved in vehicle accidents while on official University business shall file a “Vehicle Accident Report” (as required by the State of California automobile liability program) with the RMEH&S office within 24 hours after the accident. The employee’s supervisor shall be responsible for completing a “Review of State Driver Accident” report and submitting it to Risk Management, Environmental Health & Safety.
361.4.2 Employee Accidents
Employees who are injured or become ill because of their job shall immediately report the injury or illness to their supervisor. Supervisors shall provide the employee with an “Employee’s Claim for Worker’s Compensation Benefits” form and process the form as directed by Risk Management, Environmental Health & Safety.
361.4.3 Student and Visitor Accidents
Faculty and staff responsible for activities, equipment, facilities, programs and services shall initially report all accidents resulting in personal injury to students and/or visitors which occur either on campus (e.g., classrooms, laboratories) or off site at campus programs (e.g., field trips, Swanton Pacific Ranch) to RMEH&S within 24 hours. Students and/or visitors shall be responsible for filing an accident report when they are involved in an accident on campus that results in personal injury or property damage that is not part of a campus activity (e.g., trip and fall while walking to class) as soon as possible but within five working days of the incident.
361.4.4 Property Damage
Faculty and staff responsible for activities, equipment, facilities, programs, and services shall report all university property damage and/or loss which occurs either on campus or off site at campus programs (e.g., Swanton Pacific Ranch) to RMEH&S as soon as possible but within five working days of the incident.
RMEH&S shall review and recommend specifications for insurance purchases for the University.
361.6.1 Public Entity Liability
The University may be exposed to liability for injury to persons and/or damage to property related to operations and programs (i.e., slip and fall, medical malpractice, failure to provide recommended safety devices). Liability expenses may include, but are not limited to, investigation, expert witnesses, legal defense, reimbursement for medical services and/or replacement of property, plus other related costs and damages.
The University shall bear the cost of minor liability losses at the program management level, including the payment of insurance deductibles. The University shall maintain insurance to finance the cost of major liability losses resulting from general operations of the University or from professional services on behalf of the University.
RMEH&S may review and recommend the purchase of additional insurance for high risk and/or unusual activities, events, or programs. Additional insurance expenses shall be a responsibility at the program management level.
361.6.2 Automobile Liability and Damage
The University participates in the State of California automobile liability program. This program provides for payment for expenses, defense and damages on behalf of the University and its employees related to the operation of stateowned automobiles within the course and scope of employment. Cost of repair for damages to state-owned vehicles when it is determined the state driver is “at fault” shall be a responsibility at the program management level.
State of California approved commercial rental car contracts provide for payment of automobile liability and repair of the rental car by the rental car agency on behalf of the State of California’s entities and their employees related to the operation of rental cars within the course and scope of employment.
The State of California automobile liability insurance program provides for payment for expenses, defense and damages in excess of the vehicle owner’s required automobile insurance for the University and its employees related to the operation of privately owned vehicles within the course and scope of employment.
361.6.3 Real and Personal Property
Real property refers to land and buildings and structures attached to the land; personal property refers to all other types of property, such as furniture, equipment, livestock, supplies, etc. Risk exposures are the loss and/or damage of property from theft, fire, flood, misuse, etc. The University shall bear the cost of state-owned property losses, including the payment of insurance deductibles, at the program management level. The University shall not provide insurance for property that is not owned by the State of California. RMEH&S may review and recommend the purchase of additional insurance for high risk and/or unusual property. Additional insurance expense shall be a responsibility at the program management level. Insurance will be purchased to satisfy the requirements of bonds and contracts.
361.6.4 Employee Injury and Illness
The State of California requires employers to maintain Worker’s Compensation benefit programs to provide for medical services for work related injuries or illness of employees. This benefit is available to all persons employed by the University, including volunteer employees and student assistants. The University shall maintain insurance to finance the cost of medical and related services for work related injuries or illness of employees as required by statute.
361.6.5 Student Injury and Illness
Students participating in on-campus activities, classes, laboratories, events and/or programs may be injured or become ill. The University does not provide primary accident or medical insurance for students.
The University shall maintain insurance which provides limited payment for medical services in excess of a student’s personal health insurance benefits for injuries related to travel for University activities, classes, field trips, events and/or programs. Coverage excludes participation in intercollegiate athletic activities.
The University shall maintain insurance which provides for payment for medical services, in excess of a student’s personal health insurance benefits, for injuries sustained during participation in regularly scheduled intercollegiate sports events, practices, and tryouts.
Students participating in University programs involving international travel shall obtain and maintain in force health insurance consistent with CSU International Programs’ requirements for the entire period abroad.
361.6.6 Certificates of Coverage
The University may provide certificates of insurance, evidence of self-insurance, or endorsements demonstrating coverage or providing additional coverage as required in contracts administered through Contract and Procurement Services. Contracts and Procurement shall be responsible for the acquisition and distribution of certificates of coverage.
361.6.7 Agreements, Contracts, Leases, Memorandums, and Purchases
Agreements between the University, its Auxiliaries, and other entities for the construction of University facilities, materials, and services for the University, and educational placements shall include language which transfers the risks related to the products provided and performance of the terms of the agreement to the other entity(ies) to the fullest extent possible. In addition, the other entities shall provide proof of insurance for risks and losses that may occur related to the performance of the agreement commensurate with those risks.
361.6.8 Release Agreements (Waivers)
RMEH&S shall be responsible for the development and authorization of Release Agreements for University programs.
Claims against the University-maintained insurance programs shall be reported to and coordinated by RMEH&S (liability, property, injury and illness).
RMEH&S shall be responsible for direct handling of all workers compensation claims by employees.
Intercollegiate Athletics shall be responsible for the direct handling for their athletes’ injury claims.
361.7 Air Travel
361.7.1 Employee Air Travel
Travel by a group of employees in the same aircraft or other mode of transportation is discouraged when the employees’ responsibilities are such that an accident could seriously affect the functioning of the University.
Before a private aircraft (including a rented aircraft) may be used for official travel, the pilot must register with and obtain written approval from the CSU Executive Vice Chancellor/Chief Financial Officer or University President.
When private aircraft are used on University business, the appropriate campus officials are responsible for requiring that employees have adequate Bodily Injury, Property Damage, and Passenger Liability Insurance coverage. In addition, pilot and insurance requirements outlined in the CSU Travel Procedures and Regulations must be met.
361.7.2 Donor Provided Air Travel
Donor provided air travel involving private aircraft requires that campus Risk Management complete the “Donor Provided Plane Travel-Supplemental Form” to document pilot and insurance information. Travel itinerary, donor identity, pilot license number, pilot flight experience, aircraft description, evidence of insurance and endorsement of the University as an additional insured by the aircraft insurer will be documented on the Supplemental Form.
The completed Supplemental Form will be forwarded to the vice president for Administration and Finance for final approval prior to the use of the donated aircraft.
361.7.3 Student Air Travel
Any student air travel sponsored by, or pursuant to, a program of the University and any affiliated organizations, e.g., student clubs, academic programs, and enterprise projects, shall be conducted in ways which offer the least risk to the safety of participants and the least liability to the University. Use of scheduled or chartered air transportation services must be reviewed and approved by the appropriate respective campus administrator or their designee (i.e., executive director of the Associated Students, Inc., provost and executive vice president for Academic Affairs, executive director of the Cal Poly Corporation). Selection of air carriers, planning of travel itineraries, and conduct of student air travel shall be done prudently by employees with demonstrated good judgment and with paramount concern for the safety of program participants.
361.8 Motor Vehicle Use
361.8.1 University Vehicles
University vehicles shall be used only in the conduct of official University business. This means “only when driven in the performance of, or necessary to, or in the course of, the duties of University employment.” Only University employees may drive University vehicles. The campus shall not loan or lease a University vehicle to an auxiliary organization.
361.8.2 University Vehicles
Employees may be authorized to use a privately-owned vehicle for official University business if the employee certifies that the vehicle being used is covered by standard liability insurance, adequate for the work to be performed, equipped with safety belts in operating condition, and in safe mechanical condition as required by law.
361.8.3 Commercial Rental Vehicles
Employees shall use one of the commercial vehicle rental companies currently under contract with the State of California when renting a vehicle for official University travel. If none of the contracted companies can provide vehicles in a specific location, employees may seek the services of a non-contract company.
361.8.4 Eligibility to Drive Vehicles on Official University Business
To be eligible to drive University-owned, privately-owned, and/or commercial rental vehicles on official University business, the vehicle driver must be a University employee and must have a valid California state driver’s license.
Drivers must certify they have no outstanding traffic warrants and have not been issued more than three moving violations or have been responsible for more than three at fault accidents (or any combination of more than three thereof) during the past twelve month period. Employees with unacceptable driving records should not be authorized by their supervisor to drive vehicles for University business purposes. RMEH&S shall be responsible for reviewing employee Motor Vehicle Driving Records, notifying supervisors of those employees whose driving records are poor and/or unacceptable, and recommending appropriate action.
361.8.5 Defensive Driver Training
RMEH&S shall be responsible for providing defensive driver’s training for University employees and student assistants as a part of Safety Training (CAP 362.2.2).
361.8.6 15-Passenger Vans
Use of multiple passenger vehicles can provide economical transportation for such University programs as academic field trips, athletic teams, activities and ride pooling to and from work. However, use of specialized vehicles requires increased efforts to address safety of operations related to the drivers, their supervisors, the vehicles and passengers. In order to minimize the frequency and severity of bodily injury or property damage related to the use of 15-passenger vans on University business, increased attention to risk control of drivers, passengers, vehicles, and operations is necessary.
Drivers of 15-passenger vans shall comply with the “California State University Use of University and Private Vehicles” policies and procedures which includes equipping the vans with passenger seatbelts and requiring their use. In addition and prior to driving a 15-passenger van, drivers shall be required to complete driver/passenger van safety training, submit a driver license/identification record information or driving record from the Department of Motor Vehicles, and have a Class B driver’s license* and a medical certification. RMEH&S shall provide the driver with written approval indicating that University requirements have been met upon submission of the required documentation. (*As University vanpool drivers are only driving 15-passenger vans to and from work, they are not required to have a Class B driver’s license.)
Employees supervising/assigning employees to drive 15-passenger vans shall ensure compliance with Cal Poly procedures, and that employees assigned to drive passenger vans on University business have completed the University requirements and have received written approval from RMEH&S. Employees that are regularly assigned to drive passenger vans on University business shall have this duty included in their position description.
361.8.7 Student Drivers on Academic Instructionally-Related Field Trips
Faculty members shall insure that each student driving a state-owned or privately-owned vehicle and transporting other students on academic/instructionally-related field trips, as directed and coordinated by the faculty member for his/her respective course, is appointed as a Volunteer Employee of the University in advance of the scheduled field trip. As an employee, the student will be provided coverage and defense as well as access to Worker’s Compensation coverage.
361.10 Cal Poly Unmanned Aircraft Systems (UAS) Policy
The purpose of this policy is to ensure that the University purchases, uses and operates all unmanned aircraft systems (UAS) in furtherance of its educational, research, and service missions, in compliance with applicable federal and state laws.
The Federal Aviation Administration (FAA) has jurisdiction over all navigable airspace in the United States, including all airspace proximate to the University. The FAA’s primary mission is to ensure the safe and efficient oversight and management of the national airspace system (NAS). All aircraft, whether manned or unmanned, are subject to FAA rules and regulations, and violations carry severe federal penalties. Additionally, both the Department of State (under International Traffic in Arms Regulations or ITAR) and the Department of Commerce (under Export Administration Regulations or EAR) regulate export control over various forms of unmanned aircraft systems (UAS) technology.
This policy applies to all UAS purchases, uses and operations conducted on, around, or originating from University property, and/or on behalf of the University, including activities conducted off campus on behalf of or affiliated with Cal Poly.
Aircraft means any object invented, used, intended to be used, or designed to navigate, or fly, in the air.
Airspace means the airspace of the United States subject to regulation by the regulations of the FAA. Generally, this is all airspace other than indoors.
Certificate of Waiver or Authorization (COA) is an authorization from the Federal Aviation Administration to conduct unmanned aircraft flight operation, subject to specified limitations.
Civil Operation means any aircraft operation, including UAS, falling outside the scope of a public aircraft operation. Civil operations include commercial and private aircraft operations, as well as operations by publicly-owned (including University-owned) aircraft where the purpose is outside the definition of a public aircraft operation. All civil aircraft operations must be conducted in accordance with all applicable FAA regulations.
Commercial Purpose means the transportation of persons or property or other use of UAS for compensation or hire.
Governmental function means an activity undertaken by a government, such as national defense, intelligence missions, firefighting, search and rescue, law enforcement (including transport of prisoners, detainees, and illegal aliens), aeronautical research, biological or geological resource management. This list is not inclusive and other governmental functions may exist.
Unmanned Aircraft System (UAS) means an aircraft that is operated without the possibility of direct human intervention from within or on the aircraft and associated elements (including communication links and the components that control the unmanned aircraft) that are required for the pilot in command to operate safely and efficiently in the navigable airspace of the United States under the regulatory authority of the Federal Aviation Administration (FAA).
University is defined as the California Polytechnic State University, San Luis Obispo, also known as “Cal Poly” and includes all auxiliaries, recognized student organizations, affiliated entities, volunteers, etc.
No UAS purchase, use and/or operation may be conducted by faculty, staff, students, auxiliaries or third parties (including, but not limited to, consultants, volunteers, contractors, vendors, or suppliers) on, or around University property, whether acting on behalf of the University or not, whether on or off Cal Poly property ,without: 1) prior review and approval by the University’s UAS Committee; 2) approval by the FAA (such as a COA and/or other authorization or exemption applicable to UAS operation) if needed; and 3) review and approval by the University’s Flight Readiness Committee. UAS use and/or operation by faculty, staff, students, or third parties on University property, including but not limited to recreational or hobby flight of model aircraft, is prohibited, except as approved by the UAS Committee. Use and/or operation means no take-offs, landings, or operations of any kind from University property or on behalf of the University on non-University property.
The University, in carrying out its educational, research, and service missions, may make use of UAS, when such operations are conducted in compliance with applicable FAA regulations, state and federal laws and University policies. As a “governmental instrumentality for the dissemination of knowledge and learning,” some Cal Poly UAS operations qualify as Public Aircraft Operations (PAO). Other Cal Poly UAS operations may not qualify as PAO, and must be conducted as civil aircraft operations. It is the responsibility of the operator to determine whether the specific operation qualifies as PAO or civil, and to comply with all relevant FAA regulations, and this policy.
A qualified PAO operation may require a certificate of waiver or authorization from the FAA that permits the University to fly UAS in furtherance of a governmental function. The University has committed to the FAA that it will not use any UAS operated under a COA for purposes that are not governmental functions.
Civil operations of Cal Poly UAS, including but not limited to commercial purposes, must be operated with authorization from the FAA, including but not limited to authorization through a Special Airworthiness Certificate, exceptions that may be granted under Section 333 of the FAA Modernization and Reform Act of 2012 (Section 333), or other applicable parts of 14 Code of Federal Regulations.
361.10.4 Unmanned Aircraft System (UAS) Committee
The UAS Committee is a committee established for the specific objective of overseeing UAS activity on campus or on behalf of the University. The Committee will report to Cal Poly’s Senior Vice President of Administration and Finance. The UAS Committee shall review all COAs or other requests and applications made to the FAA. The UAS Committee is the principal body by which the University ensures that it is meeting its obligations under federal and state laws applicable to UAS use. Membership on the UAS Committee should include members from research administration, security, safety and emergency management, risk management, academic affairs, legal, and at least one faculty or administrative member with UAS research expertise. Deliberations and recommendations by the UAS Committee should consider and conform with all other applicable University policies and review procedures including, but not limited to, the Institutional Review Board (e.g., for human subjects protection, if applicable), the Office of Research and Economic Development (for export controls and trade sanctions), and the International Center (i.e., for overseeing activity abroad).
Flight Readiness Review (FRR) Subcommittee: The FRR Subcommittee is a subcommittee established by the UAS Committee. The FRR Subcommittee conducts a technical assessment of the aircraft and system configuration, and operational limitations for a planned UAS activity to ensure an acceptable level of risk. The FRR Subcommittee may be composed of Cal Poly personnel and/or outside technical experts.
361.10.5 Scope of Authority and Responsibility for Review, Approval, and Monitoring of Use of UAS
The UAS Committee will review any proposed use or operation of UAS by any members of the Cal Poly community including faculty, staff, students, auxiliaries or by third parties. The UAS Committee will consider the legal issues and risk related to the UAS use and will apply relevant law and regulatory guidance in determining whether a proposed use or operation should be approved.
The UAS Committee will determine whether a proposed use or operation can be approved as described, requires modification to be approved, or should be denied. The UAS Committee shall only approve those uses and operations that it reasonably believes can be conducted in compliance with FAA regulations: to be a Governmental Function and therefore eligible for a Public Operations COA; to be within those areas of activity covered by other authorizations or exemptions that may be granted by the FAA to the University for Civil Operations; or to be covered by an authorization by the FAA for Civil Operations held by a third party, subject to an agreement between the University and the third party with respect to such services.
The UAS Committee may deny a proposed UAS use or operation on the basis of factors including, but not limited to: the proposed use or operation is not in compliance with FAA regulation; the proposed use or operation presents an unacceptable risk; the proposed use or operation is unethical; the proposed use or operation may generate unfavorable public relations; the proposed use or operation is prohibited by law without written consent of the property owner, and such consent has not and/or cannot be obtained; or the proposed use or operation is otherwise not in the best interest of the educational mission of Cal Poly.
The UAS Committee, with the assistance of the FRR Subcommittee, shall provide ongoing review of any use or operation approved and covered by a COA or other form of authorization provided by the FAA. The UAS Committee may, with the assistance of the FRR Subcommittee, develop and implement: standard operating procedures for use and operation of UAS; procedures for submission of a proposal to the UAS Committee; procedures for appeal of any denial of a proposed UAS use by the UAS Committee; and internal rules and procedures for the operation and administration of the UAS Committee, as may be consistent with this policy.
Only those uses approved by the UAS Committee may be covered by: a COA application submitted by the University to and approved by the FAA; an application submitted by the University for authorization for civil operations; or a public operations COA or other authorization from the FAA for civil operations
held by a third party performing services on behalf of or collaborating with the University. Only the UAS Committee may submit an application for a public operations COA to the FAA and/or submit an application for authorization for civil operations to the FAA on behalf of the University, after consultation with University Counsel/Office of General Counsel.
The FRR Subcommittee may recommend suspension or termination of any use it deems inconsistent with the use or operation approved and/or the requirements of the applicable COA or other authorization granted by the FAA.
The UAS Committee may suspend or terminate any previous approval of UAS under this policy on the basis that actual use is inconsistent with the previous grant of approval and/or the requirements of an applicable FAA authorization.
Any University employee, student, or department purchasing a UAS (or the parts to assemble a UAS), or UAS services with university funds or funds being disbursed through the Cal Poly Corporation, Cal Poly Foundation, ASI or Grants Development, must contact Cal Poly’s Risk Management office in order to assess the University’s ability to obtain a Certificate of Authorization (COA) from the FAA, other necessary FAA exemptions, or meet local compliance requirements. Approval for purchase will be granted by the UAS Advisory Committee.
If approval is granted by the UAS Advisory Committee, the purchase must be submitted via a purchase requisition. Procurement Card (ProCard) or personal purchases (reimbursements) are not permitted.