University Budget Office
Information Session
June 18, 2015
Agenda
• Overview: Budget Office Responsibilities
• Budget Process
• CSU / CSUSM Budget Process
• Campus Funding Information
• Trust Fund Administration
• Compensation and Benefits Administration
• Mid-Year Review
• Other Support
• Data Warehouse
• Monthly Department Budget Reconciliations
• Budget Transfers / CPO Posting
• Special Projects / Analysis
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Budget Office Responsibilities
Annual Campus Budget Process:
- Planning process for upcoming year
- Participate on University Budget Committee in an advisory capacity
- Receive allocations from the state and determine funding
- Work with divisions on associated budgets each year
- Upload budgets to PeopleSoft and Chancellor’s Office (FIRMS)
Operational:
- Childcare Services Fee Administration
- Trust Account Administration
- Labor Cost Distribution
- Cost Recovery
- Operating Fund Administration
- Budget Transfers / CPO Posting
- Budget Compensation and Benefit Administration
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Budget Office Responsibilities
Mid-year Review process:
- Administer for the campus community
- Analysis of each fund / department / account
- Forecast for remaining year
- Reviewed by EC and the President
Other Support:
- Student Fee Advisory Committee
- Assist with analytics projects for the campus
- Data Warehouse Training and Support
- Annual Fee Reporting to the Chancellor’s Office
- Labor Cost Distribution
•
•
PAN / ATF / REQ’s
Monthly Process
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CSU Budget Cycle
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CSUSM Budget Cycle
• November: UBC Meeting
• January – February: Mid-year review
• March / April / May: Divisions submit proposed initiatives for next FY / UBC ranks the
initiatives / Recommendations made to the President
• June / July: CO notifies the campus of final budget
• July:
• Final campus budget reviewed and approved by the President
• Divisional allocations finalized (Divisions work on detail budgeting)
• Financial Information Record Management System (FIRMS) budget submitted to the
CO
• August / September: Final campus budgets received back to the University Budget
Office
• September: Final divisional budgets reviewed by the UBO and uploaded to PeopleSoft
Finance
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Year-over-year Budget changes…
Each fiscal year, the budget may change incrementally
from the prior year.
• Possible causes of an incremental change
• Enrollment growth
• Student fee increases
• Increase or decrease in mandatory costs
• Retirement rate decreases
• Compensation
• Health Benefits
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Operating Fund Budget…
New incremental funding: Discretionary vs. Non-Discretionary
• Discretionary funds: Resources that can be allocated for use
as determined by executive management
• Non- discretionary funds: Restricted or designated for a
specific purpose
• Athletics, Student Health Services, Academic Records Fee
• Academic Excellence and Student Success Fee (AE&SS)
• Utilities, compensation
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Divisional Budget Considerations…
When establishing the budget with their respective allocation, the
division can plan to provide services to meet their goals.
• Determine goal
• What services and at what level?
• Identifies by account code the line items in each department that the
allocation supports
• Identify funding
• Are there additional resources besides the division’s budget allocation?
• Identify expenses that support the goal
• Analyze spending – look at previous year
• Understand where you are going and that it may look different than before
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Budget Adjustments..
• Supplemental allocations
• One-time funds
• Allocated from the Chancellor’s Office for a specific purpose
• Campus Budgets amended during the year
• Budget transfers initiated by the Provost, Vice Presidents, divisions,
colleges and departments for specific requests and/or purposes
• Increase or decrease in tuition, fee revenues and/or waivers
• Campus Budget Office
• Benefits, compensation, Federal Work Study
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University Budget Funding
State Appropriation and Student / Miscellaneous Fees
Proportion of Total Budget
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University Budget Funding
State Appropriation and Student / Miscellaneous Fees
Percentage Split
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University Budget
Student / Miscellaneous Fees
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University Funding Sources
Total Campus
Operating
Fund
64.0%
State
Appropriation
29.7%
Self Support
24.3%
Fee Revenue
34.3%
Trust
4.6%
Cost Recovery
6.8%
Lottery
0.2%
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University Expenses
Actual 2013 / 14
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Trust Fund Administration
Trust Funds: Budgeting in a trust /special project is slightly different than in the operating
fund:
• Operating fund depends on a budget allocation to spend each year.
• Trust is dependent on the amount of revenue (fees, fines, etc.) expected to be received
in the fiscal year minus any expenditures spent out of the fund.
Revenues: In projecting revenue, consider all the sources that are deposited into the fund.
This may include late fees, user fees, fines, student fees, interest, etc. Using the
Trust/Special Project Worksheet, you can list the description for the various source(s) of
income, enter the rate that these funds are received at, and put in the number of units you
are projecting. This will result in your projected revenues for the fiscal year.
Expenditures: Project expenditures the fund will be charged to provide services. This
could include salaries, benefits, and operating expenses, equipment, etc. A review of past
expenditures, any expected increases and upcoming special projects should be considered
and included.
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Trust Fund Administration
Use of Continuing Appropriation Projected revenues must cover projected expenses,
otherwise costs will need to be reduced or you must rely on the Fund Balance – Continuing
Appropriation to cover the deficit. Trusts/special projects can never end in a deficit.
Budget Submission Plans submitted to the Budget Office and Accounting will be reviewed for
accuracy and verify funds are available to cover any projected deficit, in addition to,
correctness and appropriate signatures.
Net Income To calculate the current year net income, add total revenues to total
expenditures:
Revenue Total =
Expenditures Total =
Net Income =
-75,000
50,000
-25,000
Fund Balance To calculate the current year fund balance, add net income to Fund Balance –
Continuing Appropriation:
Fund Balance – Continuing Appropriation =
Net Income =
Fund Balance =
-33,000
-25,000
-58,000
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Trust Fund Administration
Fund Balance – Continuing Appropriation Fund Balance – Continuing Appropriation is
the accumulation of net income over the life of the fund. This balance increases when
there is a profit (revenues exceed expenditures) and decreases when the year ends in a
loss (revenues fall short of expenditures). Think of this as your savings account. At the
end of each year, the balance of current year activity – or your checking account – is
added to your savings account.
Credits and Debits When working with trusts, revenue is recorded as a credit (negative
number) and is a good thing. Expenditures are recorded as a debit (positive number).
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Compensation and Benefits Administration
• Compensation Pool:
•
Pool of base funds in Campus-wide Activities in university budget
•
Uses include faculty promotions and benefits, general salary increases (GSIs)
•
One-time stipends and bonuses that are bargaining unit driven
•
Campus equity increase programs
•
Sources of funding include CO allocated funding and additional funding approved
by the University Budget Committee (UBC)
• Benefit Pool:
•
Pool of base funds in Campus-wide Activities
•
Funds benefits costs for all operating fund faculty and staff (minus self support)
•
Funding source is a rolling base budget “off-the-top” of our university budget
•
Often annually increases via approval by UBC
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Mid-Year Review
• The mid-year review is a comprehensive financial reconciliation for the entire campus
with the following goals:
• To identify any problematic financial situations that have occurred, or are expected
to occur, before June 30th (fiscal year end)
• For each division to perform an analysis of expenditures vs. budget, which is then
compiled by the Budget Office for a campus-wide analysis
• To identify material concerns, of at least $50,000 favorable or unfavorable, that may
have a significant impact on the university budget
• An analysis on the entire CSUSM budget, including:
• Operating Fund
• Lottery Funding
• Capital Funding
• Financial Aid
• Self-Support
• Trust Funds
• The divisions are typically required to turn in their mid-year documents in early February
• The Vice President of Finance and Administrative Services submits and reviews the entire
campus’ mid-year report with the President in early March
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Data Warehouse 11G and Impending Upgrade
• The data warehouse is a tool where financial data can be queried and pivoted
into various reports.
• The current 11G version is being upgraded.
• User guides for the current data warehouse can be found at
http://www.csusm.edu/budgetoffice/
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Monthly Department Budget Reconciliations
• Budget reconciliation is the process of reviewing transactions and
supporting documentation, and resolving any discrepancies that are
discovered.
• It is required that each department, and each trust fund, be reconciled on
a monthly basis.
• The Budget Office has created two templates, one for department level,
and one for fund level, which can be used as part of a monthly
reconciliation process.
• Makes it easy to plug in projections to see “bottom line” year-end
estimates.
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Monthly Department Budget Reconciliations
(continued)
Data Warehouse Department Monthly Format Template Under FAS Forms
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Monthly Department Budget Reconciliations
(continued)
Data Warehouse Fund Monthly Format Under FAS Forms
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Other Support
• Budget Transfers
• Review, validation and daily Posting
• Reminder: budget can only be transferred within the same fund
• Scenarios
•
•
•
•
BBB-Base Budget: initial budget posting
OTB-One-time Budget: initial budget posting
OBR-One-time Budget Restoration: carry forward
BBT-Base Budget Transfer: transferring base funds (common in
budget transfers)
• OBT-One-time Budget Transfer: trans. one-time funds (common in
budget transfers)
• OSS-One-time salary savings: base salary not being used in the
current fiscal year
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Other Support
• Cash Posting Orders (CPOs)
• Additional funding to/from the Chancellor’s Office or to/from another
CSU
• Can be a debit or credit
• Can be a credit to expense in actuals, or an addition to budget.
• Cost Recovery
• Process to ensure that costs incurred for services provided are
recovered
• Work with Fiscal Services to provide transparency to end-users and
allow them to operate from the Operating Fund
• Various PeopleSoft chartfield values to identify various types of
budget transactions
• Labor Cost Distribution - PAN / REQ’s
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Other Support
• Fee reporting to the Chancellor’s Office
• For accountability of student fees at CSUSM
• Administration of the Child Care Services Fee
• Monitor student enrollment at the Center for Children and Families
monthly
• Review expenses compared to incoming fee revenue
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Contact Information
University Budget Office
budget@csusm.edu
Randy Duncan
Budget Director
Finance and Budget
Cal State San Marcos
rduncan@csusm.edu
Stephen Wren
Budget Analyst
University Budget Office
Cal State San Marcos
swren@csusm.edu
w: (760) 750.4478
c: (760) 415.1420
w: (760) 750.4467
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Questions ?