Much of the Budget activity will flow from on-going operations, formula-based increases and from approved Planning Initiatives.
University budgets will remain static except for the following:
- Tuition Revenue budgets are formulated each year based upon enrollment projections set by the Deans and approved by Academic Affairs, and the tuition rates, as approved by the Board of Trustees
- Non-tuition revenue items will be projected by the responsible managers and reviewed and approved by the Vice President of Business & Finance
- Compensation increases will be determined after considering the recommendations from Human Resources, based on market conditions and contracted obligations with bargaining units
- Capital will be incorporated into the Planning and Budget and Annual Review Process
- Inflation increases will be recommended by the Leadership Team and the Cabinet
- Contracts will be budgeted consistent with the University contract obligations
All University revenues are recorded and treated as general fund revenues. Therefore, all requests for reallocation of revenue, either increase or decrease, should be directed to the Leadership Team, through the Budget Office, for approval and verification of appropriateness given all University priorities, opportunities and constraints.
University departments should not re-charge other university departments for services rendered, including, but not limited to use of space, time, or equipment.
Faculty and Staff Salary Budgets
Each unit shall maintain an adequate budget to fully fund all positions – the elimination of a position budget is equivalent to the elimination of a position. Any surplus or deficit resulting from over or under expenditure of budget in salaries will not result in carryforward. Vacant faculty positions should be budgeted at the rank and step that the school or college expects to fill the position. Vacant staff positions should generally be budgeted at the ending salary of the most recent incumbent, or at 90% of compensation target ratios as calculated by Human Resources. The faculty budget can be moved among faculty salary categories and staff budget can be moved among staff salary categories, but may only be moved to another category of budget with approval of the Vice President or Provost. The Leadership Team, in the Planning and Budget Process shall approve the creation of new, permanent, salaried positions. The Vice Presidents approve compensation amounts.
The University should maintain an operating reserve for revenue and expenses. The enrollment projections should be the rational indicators that drive reserves. The university has a cash balance of at least $4 million, which can be accessed in dire emergency, and has restricted funds, which could function as reserves in the case of a cataclysmic event.
source: Planning, Budget and Annual Review Process Manual, 10/15/02
Carryforward has been eliminated except for major purchase requisitions, approved on a case by case basis.
source: 2006 Fiscal Stability Initiatives, 3/7/05