EXHIBIT EBA.4
UNIVERSITY OF SOUTH FLORIDA
EDUCATIONAL BUSINESS ACTIVITIES
Financial Practices and Glossary of Terms
1.
Accounting Practices - The accountable officer must assure that a positive cash/budget
balance is maintained in the EBA account.
2.
Accounts Receivable - Accounts Receivable collections can be processed through the
centralized accounts receivable system. Staff in Finance and Accounting process billing
documents and record receipts for late charges processed through the Accounts Receivable
system. Refer to Section 8(III)(D)1) "Accounts Receivable Collections" in the University
Standard Operating Procedures for further information.
3.
Activity and Service Fee Accounts (Fund) - Accounts established for the purpose of
expending local student fees for the general benefit of the student population, to include
services and activities which enhance the quality of the student educational experience.
4.
Administrative Overhead - University administrative overhead is currently assessed at a rate
of 6% on all expenditures of an auxiliary account. University administrative overhead is
normally assessed on all expenditures of an auxiliary account. The Budget Office analyzes
the rate each year and advises the Vice President for Budgets, Human resources and
Information Technologies (BHRIT) if the projected revenue supports the approved
administrative costs. The Vice President for BHRIT recommends any change to the rate to
the Executive Budget Council.
5.
Agency Fund - A fund consisting of resources held by the institution as custodian of fiscal
agent for individual organizations of students, faculty, staff members and University clients.
These funds could fall into several categories:
6.
a.
Suspense Accounts - Trust or Escrow Accounts wherein receipts are recorded and
their identity maintained until refunded to or transmitted for the direct benefit of the
payer. (e.g. sales tax collections, contractors bid deposits and employee payroll
deductions).
b.
Organization Accounts - Accounts established and maintained for organizations of
students, faculty, staff and University clients for safekeeping.
c.
Custodial Loans and Scholarships - Funds received for distribution to students
where the recipient is decided by the donor.
d.
Student Fees - Registration fees collected for later distribution to other funds or
agencies.
Auxiliary - An entity that exists to furnish goods or services primarily to students, faculty or
staff and that charges a fee directly related to, although not necessarily equal to, the cost of
the goods or services.
EXHIBIT EBA.4 CONT'D.
7.
Cash Collections - Finance and Accounting will assist departments in establishing
appropriate procedures for cash control. Please refer to Section 8 "Collection of Cash" in
the University On-line Business Procedures for further information.
8.
Central Billing System - The central billing system was designed to process
interdepartmental charges. Billing can be accomplished by individual "Uniform Charge
Document" or through the streamlined billing process. Refer to Section 3 "Billing
Procedures" in the University On-line Business Procedures for further information.
Departments which use the central billing system are responsible for verifying the propriety
of charges to university accounts (e.g., contracts and grants may only be charged for goods
and services during the period of the award). Staff in Finance and Accounting will assist
departments in establishing procedures to utilize the central billing system.
9.
Contracts and Grants Trust Fund - Funds received or made available by grants, contracts
and cooperative agreements from government agencies, private sources (i.e., Foundations,
industry, business, etc.) to conduct public service activities.
10.
Direct Support Organizations (DSO) - An organization which is:
11.
a.
A Florida corporation not for profit incorporated under the provisions of Florida
Statute 6.17 and approved by the Department of State.
b.
Organized and operated exclusively to receive, hold, invest and administer property
and to make expenditures to or for the benefit of a state university in Florida or for
the benefit of a research and development park or research development authority
affiliated with a state university and organized under Part 5 of Florida Statute 159.
c.
An Organization which the Board of Regents, after review, has certified to be
operating in a manner consistent with the goals of the University and in the best
interest of the State.
Extended Studies a.
Service Fees (Conferences and Institutes) - Fees for specific program management
services such as planning, management and program evaluation. These fees may be
fixed price fees based on estimates of effort or they may be variable based on time
and effort expended.
b.
Service Fees (Division of Association Management and Continuing Education) Hourly fees assessed to clients of the Division for professional or clerical level
management and continuing education services.
EXHIBIT EBA.4 CONT'D.
c.
Consulting Fees (Division of Association Management and Continuing Education) Occasionally, the Division may be called upon to perform consulting services to
non-profit organizations and/or agencies. Fixed consulting fees are charged for
these services.
d.
Book Sales - In the conduct of credit and non-credit programs, it is sometimes
advantageous to sell books as an adjunct to the program registration fee. If this is
done, a separate fee is charged and sales tax is collected.
e.
Housing and Food Service Charges - Frequently conferences will be housed on
campus. Sometimes, the fees for housing and food are quoted as separate price
items and assessed and collected in addition to registration fees.
f.
Testing Fees - Some non-credit programs such as the Exercise Laboratory in the
College of Education charge fixed fees for various kinds of physical tests. This
function is a remnant of the Tampa Bay Cardiac Program and is used infrequently.
g.
Tours: Programs in Adult Credit Education (PACE) and Conferences and Institutes
- Fees charged for non-credit programs and tours conducted under the auspices of
PACE or Conferences and Institutes.
h.
Credit Fees (PACE, Executive MBA, etc.) - Credit fees are collected and deposited
in the extension Incidental Auxiliary as part of program registration fees and then
transferred to the appropriate General Revenue accounts.
i.
Miscellaneous Central Billing Revenues - Through the central billing process,
numerous units and programs are charged for copy fees, telephone charges, etc.
12.
Foundation Fund Raising - (1) revenue that is related incidental to the USF Foundation's
sponsorship and conduct of events and activities to serve the Foundation's purposes as a
university direct-support organization; and (2) revenues from the sale of goods and services
owned or administered by the Foundation (excluding the Foundation's investment activities,
which are not subject to this Statement of Policy and
Procedures).
13.
Intercollegiate Athletics - Accounts established for the purpose of expending local student
fees in support of the men's and women's intercollegiate athletic program.
14.
Inventories - Inventory systems are required for consumable supplies in central stores,
merchandise for resale and equipment. Inventory details should be maintained in the area
where the supplies are located. The internal audit staff will observe the taking of physical
counts of inventories and review the reconciliation of differences between the physical
counts and the accounting records.
EXHIBIT EBA.4 CONT'D.
15.
Pricing of Goods - Selling departments are encouraged to operate on a "break-even" basis.
Break-even is not expected to occur in any one year; however, over multiple years the
income and expenditures should be approximately equal. Expenditures include both direct
costs (such as salary and supplies) and indirect costs (such as depreciation). The
Educational Business Activity Committee must be notified whenever there is a change in
the pricing schedule.
It is University Practice that sponsored research accounts cannot be charged for goods and
services at rates higher than non-sponsored research accounts.
16.
Prompt Billing - Billing of customers can be accomplished in several ways; through the
central billing system, through the accounts receivable system, or in person by direct
customer invoicing by the selling department. (See Central Billing and Accounts
Receivable sections).
It is the responsibility of the selling department staff to bill students, staff, departments and
off-campus customers on a timely basis. Complete documentation must be maintained to
support all billings.
17.
Sponsored Research Trust Fund - Programs to support the research and training and
functions of the University. Such programs advance knowledge, aid training of new
scholars and provide support for expanded facilities.