OperatingBudgetManual2015

Operating Budget Manual – August 2010

C.5 – Pooled Offset Targets Introduction

The University’s Core Instructional Budget is comprised of campus revenue, state tax support, and, in lieu of state tax support, fringe benefits assessed on personal service expenses associated with special revenue fund activity. The Enacted State Budget assumes that “pooled offset” revenues are, as the name implies, an offset to State tax dollar support. This revenue is distributed as if it were State tax support. The Enacted Budget includes an overall pooled offset target for the University; this target is derived based on a projection of fringe benefit assessments on payroll expenditures in the General IFR, DIFR, DIFR-IFR, HIFR-IFR, SUTRA, and Long Island Veterans Home funds. To avoid a shortfall in State support for the campus core instructional budgets, it is critical that the University’s “pooled offset” target assumed in the State budget is fully collected. The SUNY Budget Office prepares campus fringe benefit collection target based upon the average of actual collections. Any campus that falls short of its targeted collections relative to its established target will be required to make up the difference with other funds. For 2010-11, collections exceeding campus targets will be refunded. Fringe Targets The campuses’ targets are based upon the three-year weighted average of actual collections, with the latest year’s available data being weighted 50%, the previous year’s data 30% and the third year back 20%. This average is used to calculate each campus’ proportionate share of the University target. Fringe Collections The actual IFR, SUTRA, DIFR and HIFR-IFR fringe benefits are determined by applying the fringe benefit rate to the actual expenditure level (see OSC’s website for fringe rates). With the exception of DIFR, which is assessed quarterly, fringe benefit collections are assessed by month and recorded in the following month. Summer session fringe benefits are assessed on revenue. The amount collected is reconciled with the campus target at year end. The LISVH fringe benefits are determined by using a fringe benefit rate based on the Stony Brook hospital rate. This rate is applied to the actual expenditures, and assessed on a quarterly basis. A target has been established for LISVH as well, and as with the campus special revenue fund target, actual collections will be reconciled with the target. To access fringe benefit collection information:

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