Operating Budget Process January 20, 2010 Budget Planning and Development AGENDA  Budget Calendar  Revenue Budgets  Sources of Funds  Projections & Assumptions  Expense.

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Transcript Operating Budget Process January 20, 2010 Budget Planning and Development AGENDA  Budget Calendar  Revenue Budgets  Sources of Funds  Projections & Assumptions  Expense.

Operating Budget Process

January 20, 2010

Budget Planning and Development

AGENDA

      Budget Calendar Revenue Budgets  Sources of Funds  Projections & Assumptions Expense Budgets  Status Quo 14 and 19-7 Accounts  Transfers from Designated to E&G Accounts  NACUBO Operating Expense Classifications  Merit Process  Special Budget Instructions for Non-E&G Budgets What’s New  Budget Update Document (BUD) preview Training Classes Q&A

Budget Calendar - Key Dates

Jan 21 - 28 Feb 5 Feb 10 Feb 15 – 25 May 5 June 1 August 12

Central Budget Office performs testing of UT Austin’s Budget Update Document (BUD) Board of Regents Budget Policies and Guidelines Draft Revenue Projections and Debt Service Budgets to Fee Funded areas Pre-planning efforts depend on UT Austin’s clean up scheduled for February. We plan to validate permanent positions, review funding available in salary accounts and request permanent transfers to cover overages; otherwise updates will be made by departments.

Feb 23 – 25 March 2 - 4 March 2 March

Budget Training – Overview and new BUD Document Budget Training – Hands on training available FY11 Budget BUD Document Preparation Begins (System opens to departments) Strategic Resource Planning Council reviews FY11 Revenue projections; Resources and Requirements; and, Campus Budget Process

TBA (by Areas) March 25

Internal Department Deadlines for Budget Document review and approval FY11 Budget Documents are due to Budget Office (System closes to departments) March 31– April 9 UT System Budget Goals & Priorities Hearing

April

Budget Office updates system for any budget changes Draft FY11 Operating Budget due to UT System Final FY11 Operating Budgets due to UT System FY11 Operating Budgets approved by Board of Regents

Revenue Budgets - Sources of Funds

State Funds (E&G budgets)  State Appropriations: Formula Funding, Special Items, Benefits  THECB Transfers: TX Grant, Work-study, etc.  Statutory Tuition, Certain Fees  Designated Funds (Institutional or Local Funds)  Designated Tuition, Mandatory, Course & Incidental Fees  Indirect Cost Recovery: Facilities & Admin Overhead  Auxiliary Enterprise Funds (100% Self-Supporting Operation)  Housing, Parking, Athletics, Bookstore, University Center, Food Services 

Service Center/Recharge

(New budget form pending to formalize budget requirements and approval of recommended budgets)  Chargeback to other funds for services (18-accts) 

Restricted Funds

(Centralized budgets prepared – no departmental entry required)  Gifts (30-accts)  Sponsored Programs - Grants/Contracts (26-accts)  Federal Financial Aid (26-accts)  Plant Funds (36- accts)  Deferred Maintenance  Repair & Renovations

Revenue Budgets –

Projections & Assumptions

Methodology:

• Revenues projections are based on enrollment (paying SCH and/or student headcount)  Budget Projections FY11 are currently under review. Senior Budget Director will provide revenue projections to fee administrators by February 10 th  Any deviations to these projections will need to be discussed and approved by the Budget Director prior to departmental completion of BUD documents (March 25 th ) 5

Expense Budgets - Status Quo Budgets

E&G (14 accts) + 19 accounts funded with Designated Tuitions (i.e. 19-7)

 Status Quo Base Budgets  Departmental Operating budget preparation assumes no new money, i.e. ‘same base budgets’  BUD process begins before budget planning is complete  University Strategic Resource Planning Council will make budget recommendations in March  Budget Office will update budgets for new funds awarded and any possible required reductions Exception: Budgets funded by fees

Base Budget Allocations / Establishing & Reconciling the Transfers-In from Designated Funds to E&G Budgets

14-Accounts Designated Tuition 19-0232-01 F&A Indirect Cost Recovery 19-8001 01

$32.1 Mil One Way Only $9.8 Mil

E&G Transfer Control 19-0235-06 E&G M&O Clearing 19-0230-97 Misc 19-Accts (Not Fee Accounts)

One Way Only

19-7 M&O Accounts Auxiliary Enterprise Accts Misc Other Income Generating Accts

All such transfers to fund the E&G budget must be authorized by Budget – no exceptions.

When a permanent transfer is authorized between 19-7 accounts, that change should be directly reflected in the BDL E&G M&O Clearing (acct 19-0230-97) vs. showing the transfer to another 19-7 acct. 7

Expense Budgets NACUBO Classifications

 Expenditures are classified according to functional purpose and expanded NACUBO definitions are available on the Budget Website http://www.utsa.edu/financialaffairs/budget  A NACUBO classification account review is currently underway with target completion by the end of February         Instruction (02) Research (06) Public Service (12) Academic Support (14) Student Services (16) Institutional Support (20) Operation and Maintenance of Plant (22) and Scholarships and Fellowships (48) 8

Expense Budgets – Merit Salary Increases

Unknown at this time whether funds will be available for merit increases.

If merit program takes place,

 Policy and process will be issued.

 Individual salary increases will be entered by the Budget Office prior to September payroll.

 Funding for 14-accounts will be allocated from central sources.

 Non- E&G accounts… more information to be provided 9

Special Instructions for Non-E&G Budgets

Fringe Benefit Rates

 Budget should be based on actual cost experience of employees paid from non-E&G accounts.

 Fringe Benefits Calculation Tool http://www.utsa.edu/financialaffairs/budget  Use benefit sub-account with appropriation code (2F) 

Longevity Pay

 Budget Office will provide data by end of February  Use salary sub-account with appropriation code (3D) 

Debt Service

 Preliminary data will be provided by February 10 th   Use debt sub-account with appropriation code (E2) Identify transfer to as XX-XXXX-XXXX 10

What’s New

Budget Document Update (BUD)

 Permanently budgeted positions will be loaded to BUD similar to prior year  Adjustments to permanent budgeted positions after departmental processing of BUD will be coordinated by Budget Office to the extent possible 

Salary Update Document (SUD) - July/August timeframe

 More information will be forthcoming from HRMS  SUD document loads with rate information for “non-budgeted” filled positions (from HRMS) and “budgeted” filled positions (from BUD)  HRMS creates appointments using incumbent rates loaded from SUD and routed to departments for approval  At final approval, SUD rates updates incumbent rates as of 9/1 in HRMS for budgeted and non-budgeted positions 

Reports requested from UT Austin for comparison of positions between BUD Documents and HRMS (expected to be available for Budget Office)

 Report of filled position salary rates between BUD and HRMS  Report of salary changes due to equity/reclassifications, transfers or terminations 11

BUD Mockups

*BUD document in testing phase. Final view may change.

BUD mockups: Document Review (BDL, Cover Sheet)

Previous - BDL Current - BUD

*BUD document in testing phase. Final view may change.

BUD mockups: Account Summary (BDL, Section 1)

Previous - BDL Current - BUD

*BUD document in testing phase. Final view may change.

BUD mockups: Adjust Base Pay (BDL, SALARY – Sections 2-4)

14-1234-00 jd1234 John Doe mj0012 Mary Jane tj5678 Thomas Jefferson

BUD mockups: Adjust Base Pay (BDL, SALARY – Sections 2-4)

Current - BUD

Collapsed View Expanded View

*BUD document in testing phase. Final view may change.

BUD mockups: General Budget Group Information (BDL, Section 7)

Previous - BDL Current - BUD

*BUD document in testing phase. Final view may change.

BUD mockups: Reconciliation (BDL, Section 8)

Previous - BDL Current - BUD

*BUD document in testing phase. Final view may change.

Drill down will be available

Training Classes

Budget Overview and BUD Preparation

Downtown Campus - FS 2.518

Tuesday, February 23 rd 2:00 – 4:00 p.m.

1604 Campus - TBA Wednesday, February 24 th Thursday, February 25 th 9:00 – 11:00 a.m. 2:00 – 4:00 p.m.

Hands-On BUD Preparation

1604 Campus - HSS 2.02.02

Tuesday, March 2 nd Thursday, March 4 th Downtown Campus– TBA Wednesday, March 3 rd 1:00 – 3:00 p.m. 9:00 – 11:00 a.m.

9:00 – 11:00 a.m.

Budget Office Staff

Mary Simon, Senior Director Ext 4344 Eva Burnett, Associate Director Ext 6631 Anita Polendo, Budget Analyst III Ext 6615 Eunice Chen, Budget Analyst III Ext 4230 Sharmin Momen, Budget Analyst II Ext 4345 Office Email: [email protected]

Questions?