Glossary – Budget Terms
Base budget
A base budget (permanent budget) is established for those
functions that require a long-term financial commitment or
have a long-term impact on the fiscal operations of the
University (e.g., general funds, student fees, self-supporting
funds). Funds in the base budget are automatically
reallocated at the start of each fiscal year. The base budget
is modified with the DaFIS document Base Budget
Adjustment (BB). The base budget rolls forward every year
and is the starting point that year’s current operating
budget.
Base budget adjustment
The DaFIS document used to transfer or reallocate funds in
the base budget. DaFIS document type BB.
Block grant
A lump-sum allocation used at the discretion of the Block
Grant recipient. Restrictions related to the fund source still
apply.
Budget
A financial plan that aligns resources with goals and
priorities.
Budget review
Periodic review for each major unit headed by a Dean or
Vice Chancellor, where the campus leadership and a Dean
or Vice Chancellor discuss funding issues, program
priorities and faculty recruitment needs.
Capital budget
Budget for capital assets and infrastructure such as
facilities, renovation and certain equipment.
Capital fund
sources
Funds that are allowable for capital renovations. In
general, non-state fund sources such as short-term
investment income (STIP), unrestricted gifts or unrestricted
endowment income are allowed. State funds (general
funds, IER, IUC, lottery, GENICR) are allowed for capital
projects that are less than $100,000.
Categorical funding
Allocations that are required to be spent in a particular way
or for a designated program (e.g., K-12 Outreach, Tobacco
Research).
Chart
Chart identifies the location of the FAU and is the first digit
in the full accounting unit (FAU). Currently there are
separate charts for campus (3), School of Medicine (S),
UCDHS (H) and DANR (L).
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Resource Management and Planning
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Glossary – Budget Terms
Chart of accounts
The set of tables which define the account structure within
DaFIS. The Chart of Accounts is maintained by the
General Accounting Office.
Current budget
The unit’s budget for the current fiscal year. The current
budget can be modified using the DaFIS Current Budget
Adjustment (CB) document. Year-end balances (surplus or
deficit) in the current budget are re-appropriated to the next
fiscal year. Carry-forward reappropriations are combined
with the base budget (if applicable) to provide the
beginning current year budget at July 1.
Current budget
adjustment
The DaFIS Document used to transfer or reallocate current
year funds. DaFIS document CB.
DaFIS
UC Davis Financial Information System. UC Davis’
financial system, implemented July 1, 1997, that provides
electronic financial documents.
Decision support
Web based application to process and print financial
reports. The DaFIS decision support system is available at
the following URL: http://accounting.ucdavis.edu/DaFIS/.
Deferred maintenance
Maintenance projects for capital assets. Example: painting
buildings, repair of roads and sidewalks. Deferred
maintenance is administered by the Office of
Administration and is primarily funded with categorical
funding from the state.
Formulaic allocations
Allocations based upon specified elements. Example:
range funding for open provisions is allocated by the
following formula: annual entry level salary * 2% * 12
months = base budget range augmentation.
Fund accounting
A method of accounting that separates and tracks financial
transactions to meet restrictions and reporting requirements
imposed by funding sources.
Full accounting unit
(FAU)
Fall 2001
30-character string that identifies the university function of
a financial transaction. The complete FAU consists of the
following fields: Chart (1) –Account (7) -Sub Account (5)
–Object (4)- Sub Object (3)-Project (10).
The required FAU fields are: Chart (1) –Account (7) –
Object (4).
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Glossary – Budget Terms
General funds
Higher education
function code
Incremental budgeting
Funding allocated by the State of California through the
annual State Budget act. Also commonly referred to as
"19900" funds.
Standardized reporting classifications for higher education
as defined by the National Association of College and
University Business Officials (NACUBO). In DaFIS, a
four-digit code assigned to each account to categorize
financial transactions into reporting classes. This fourdigit code is driven by the first two digits of the OP
Account number. Example: INSP = Instructional support
(72), INST = Instruction and Departmental Research (40).
An approach to budgeting that adjusts funding
incrementally based on the prior year's budget. Example:
range and merit allocations are provided as an increment of
the prior year’s base budget for staff salaries (SUBS).
Object consolidation codes Four-digit code that groups budget and financial
transactions. Object consolidation codes serve as the
building blocks of budgeting. Example: Staff Salaries =
SUBS, Operating Expenses/ Supplies = SUB3, Travel =
SUB5.
Object codes
Four-digit code, defined by General Accounting, to
categorize financial transactions. All financial transactions
must include an object code. Object codes roll up into
Object Consolidation Codes. Examples: Regular Staff
Salaries = REGS (consolidation = SUBS), General
Supplies = 8000 (consolidation = SUB3).
Operating budget
Budget for current and on-going operations, as well as onetime costs that result in the day-to-day business of a
University department.
Organization
Any unit that reports to another unit or organization within
the University system. An organization is a collection of
accounts or a collection of other units or organizations.
Organizational hierarchies The structure that defines organizational reporting
relationships in DaFIS. Eventually all organizations report
to the highest level organization, the Dean or Vice
Chancellor Office.
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Glossary – Budget Terms
Programmatic allocations Money earmarked for a specific purpose, or program.
Restrictions defined by the funding agency always apply.
Staffing list
The vehicle through which each department aligns its base
budget with its actual staff & faculty salary commitments.
Strategic planning
An approach to long term planning that aligns the unit’s
mission with its specific courses of action and results
measurements.
Sub fund group
A DaFIS account attribute identifying the funding source.
Zero base budgeting
A budgeting methodology that requires budgeting efforts
begin at zero each year. The entire budget is justified and
calculated annually.
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