OperatingBudgetManual2015

Operating Budget Manual – August 2010

that are divided between the IFR and offset are: add/drop, late registration, late payment, transcripts, library fines, graduate and professional admissions, and bad check service charges. It is expected that campuses continue to evenly split the fees between the offset and IFR, but exceptions should be discussed with the campus budget analyst. Interest Each campus will receive interest earnings on positive fund balances (or will be charged interest expense on negative balances). The interest estimates are prepared by each campus. Interest earned during the year will be calculated by System Administration staff and credited to each campus shortly after each month-end. For this purpose, the monthly STIP rate will be applied to an average daily balance for the affected funds to determine the amount of interest to be distributed (or charged). The funds on which STIP interest will be earned and distributed to the campus offset are: Fund Number 344-XX Collection account Fund Name 345-10 IFR 345-12 Offset 345-47 SUTRA The collection account (the “344 Fund”) is the holding account for all revenue. The Office of the State Comptroller transfers cash from local depositories to this fund, usually on a daily basis. While interest is earned on the 344 fund balance, it will be important for the campuses to distribute the amounts in this 344 fund in a timely manner. Any revenue amounts collected in excess of the established target, including the Supplemental SUTRA target, will be deposited into SUTRA overflow. Note: The funds listed above contribute interest to the offset fund. There are other funds that earn interest, but that interest goes directly to those funds (for example: stabilization, dorm, rehab 074, hospital operations, etc.) • Residence Hall Overhead Each campus estimates its residence hall operations M&O assessment and will be credited in the offset fund for the amount generated. Each campus’s residence hall operation is assessed for M&O overhead at a rate of 1.8% of DIFR operating expenditures (excluding utilities and overhead). Quarterly assessments will be made based on 25% of the budgeted allocation established by each campus in account number 870954 for the first three quarters of the fiscal year. In the fourth quarter, an assessment based on actual total expenditures for the year will be made after adjusting for the quarterly payments already assessed. •

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