Budget Transfer Guidelines

Budget Transfers Two types of budget transfers:Two types of budget transfers: –Intrafund Within the same fund group as allowedWithin the same fund group as allowed Within the same budget groupWithin the same budget group –Interfund Between fund groups as allowedBetween fund groups as allowed Two types of budget transfers:Two types of budget transfers: –Intrafund Within the same fund group as allowedWithin the same fund group as allowed Within the same budget groupWithin the same budget group –Interfund Between fund groups as allowedBetween fund groups as allowed

Intrafund Transfers E&G 14-accounts E&G Operating Budget is our plan approved by the Board of Regents – –Published document shows how we intend to use funds by expenditure type and NACUBO classification. –. –Each VP is responsible for assuring allocations are used for the intended purpose. E&G Operating Budget is our plan approved by the Board of Regents – –Published document shows how we intend to use funds by expenditure type and NACUBO classification. –. –Each VP is responsible for assuring allocations are used for the intended purpose.

Intrafund Transfers E&G 14-accounts Intrafund transfers between 14-budget groups are allowed with some restrictions: 1. 1.No transfers to/from F&A (14-7 accounts) and other 14- E&G accounts. 2. (a) An eligible institution may use money received from the research development fund only for the support and maintenance of educational and general activities, including research and student services, that promote increased research capacity at the institution. 2.Research Development funds must be used in accordance with Ed Cd § : (a) An eligible institution may use money received from the research development fund only for the support and maintenance of educational and general activities, including research and student services, that promote increased research capacity at the institution Special Items may have restrictions TRBs can only be used for debt payments for the construction project authorized. Intrafund transfers between 14-budget groups are allowed with some restrictions: 1. 1.No transfers to/from F&A (14-7 accounts) and other 14- E&G accounts. 2. (a) An eligible institution may use money received from the research development fund only for the support and maintenance of educational and general activities, including research and student services, that promote increased research capacity at the institution. 2.Research Development funds must be used in accordance with Ed Cd § : (a) An eligible institution may use money received from the research development fund only for the support and maintenance of educational and general activities, including research and student services, that promote increased research capacity at the institution Special Items may have restrictions TRBs can only be used for debt payments for the construction project authorized.

Intrafund Transfers E&G 14-accounts Movement to other budget groups can impact financial reporting. –SRECNA is by NACUBO program = Instruction, Research, etc. Movement within a budget group can also impact financial reporting.Movement within a budget group can also impact financial reporting. –Summary of Operating Results based on natural classification of expenses = Salaries, Benefits,etc. –User Defined Budget Pools drive these controls. Movement to other budget groups can impact financial reporting. –SRECNA is by NACUBO program = Instruction, Research, etc. Movement within a budget group can also impact financial reporting.Movement within a budget group can also impact financial reporting. –Summary of Operating Results based on natural classification of expenses = Salaries, Benefits,etc. –User Defined Budget Pools drive these controls.

Intrafund Transfers 19-accounts Movement between fee funded accounts and accounts (and certain other 19-accounts is restricted); same with movement into F&A accounts 19-8 (or others that do not lapse). Movement to Official Occasions accounts is restricted. Increases must be approved by AVP-Financial Affairs.Movement to Official Occasions accounts is restricted. Increases must be approved by AVP-Financial Affairs. – Movement between fee funded accounts and accounts (and certain other 19-accounts is restricted); same with movement into F&A accounts 19-8 (or others that do not lapse). Movement to Official Occasions accounts is restricted. Increases must be approved by AVP-Financial Affairs.Movement to Official Occasions accounts is restricted. Increases must be approved by AVP-Financial Affairs. –

Budget Pools >> All budget categories have been displayed > All budget categories have been displayed << Set up Budget Categories for Screen: 3 Set up Budget Categories for Screen: 3 Bud Bud Cash Bud Bud Cash Cat Pool Type Status Source Budget Category Title Cat Pool Type Status Source Budget Category Title _ EX A SCHOLARSHIPS AND FELLOWSHIPS _ EX A SCHOLARSHIPS AND FELLOWSHIPS _ EX A TRAVEL (ALL TYPES) _ EX A TRAVEL (ALL TYPES) _ IN A BALANCE FORWARD _ IN A BALANCE FORWARD All subaccounts have the same assigned pool All subaccounts have the same assigned pool number – funds can be used for any of the authorized purposes. number – funds can be used for any of the authorized purposes. MOST EFFICIENT, ELIMINATES THE NEED TO PROCESS TRANSFERS BETWEEN SUBACCOUNTS >> All budget categories have been displayed > All budget categories have been displayed << Set up Budget Categories for Screen: 3 Set up Budget Categories for Screen: 3 Bud Bud Cash Bud Bud Cash Cat Pool Type Status Source Budget Category Title Cat Pool Type Status Source Budget Category Title _ EX A SCHOLARSHIPS AND FELLOWSHIPS _ EX A SCHOLARSHIPS AND FELLOWSHIPS _ EX A TRAVEL (ALL TYPES) _ EX A TRAVEL (ALL TYPES) _ IN A BALANCE FORWARD _ IN A BALANCE FORWARD All subaccounts have the same assigned pool All subaccounts have the same assigned pool number – funds can be used for any of the authorized purposes. number – funds can be used for any of the authorized purposes. MOST EFFICIENT, ELIMINATES THE NEED TO PROCESS TRANSFERS BETWEEN SUBACCOUNTS

Budget Pools All budget categories have been displayed << All budget categories have been displayed << Set up Budget Categories for Screen: 3 Set up Budget Categories for Screen: 3 Bud Bud Cash Bud Bud Cash Cat Pool Type Status Source Budget Category Title Cat Pool Type Status Source Budget Category Title EX A EGPR2 FACULTY SALARIES - CONSULTANTS EX A EGPR2 FACULTY SALARIES - CONSULTANTS EX A EGLOC ADMIN & PROFESSIONAL SAL EX A EGLOC ADMIN & PROFESSIONAL SAL EX A EGLOC CLASSIFIED SALARIES EX A EGLOC CLASSIFIED SALARIES EX A EGPR2 WAGES EX A EGPR2 WAGES EX A EGPR2 WORK-STUDY WAGES EX A EGPR2 WORK-STUDY WAGES EX A EG MAINTENANCE, OPER & EQPT EX A EG MAINTENANCE, OPER & EQPT EX A UNALLOCATED EX A UNALLOCATED Pool numbers assigned restrict budget usage by subaccount or groups of subaccounts. LEAST EFFICIENT – REQUIRES AN INTRAFUND TRANSFER TO MOVE FUNDS INTO OTHER SUBACCOUNTS. (Unless you want to restrict this with hard rules.) All budget categories have been displayed << All budget categories have been displayed << Set up Budget Categories for Screen: 3 Set up Budget Categories for Screen: 3 Bud Bud Cash Bud Bud Cash Cat Pool Type Status Source Budget Category Title Cat Pool Type Status Source Budget Category Title EX A EGPR2 FACULTY SALARIES - CONSULTANTS EX A EGPR2 FACULTY SALARIES - CONSULTANTS EX A EGLOC ADMIN & PROFESSIONAL SAL EX A EGLOC ADMIN & PROFESSIONAL SAL EX A EGLOC CLASSIFIED SALARIES EX A EGLOC CLASSIFIED SALARIES EX A EGPR2 WAGES EX A EGPR2 WAGES EX A EGPR2 WORK-STUDY WAGES EX A EGPR2 WORK-STUDY WAGES EX A EG MAINTENANCE, OPER & EQPT EX A EG MAINTENANCE, OPER & EQPT EX A UNALLOCATED EX A UNALLOCATED Pool numbers assigned restrict budget usage by subaccount or groups of subaccounts. LEAST EFFICIENT – REQUIRES AN INTRAFUND TRANSFER TO MOVE FUNDS INTO OTHER SUBACCOUNTS. (Unless you want to restrict this with hard rules.)

Interfund Transfers Between E&G and Designated Accounts Interfund transfers between 14 and 19-accounts are only allowed because approx $27M of designated tuition and other fee revenues are transferred-in as a funding source for the E&G budget. Otherwise, this practice would not be allowed. – –State Appropriations must be fully accounted for in E&G accounts and fully expended in the fiscal year awarded. We are required to spend every $ of our state appropriated funds in the same fiscal year awarded. Interfund transfers between 14 and 19-accounts are only allowed because approx $27M of designated tuition and other fee revenues are transferred-in as a funding source for the E&G budget. Otherwise, this practice would not be allowed. – –State Appropriations must be fully accounted for in E&G accounts and fully expended in the fiscal year awarded. We are required to spend every $ of our state appropriated funds in the same fiscal year awarded.

Interfund Transfers Between E&G and Designated Accounts To and from 14- and 19-accounts: –Temporary transfers Access to money in the required fund is provided through a swap of budget. Subject to availability of funds.Access to money in the required fund is provided through a swap of budget. Subject to availability of funds. –Permanent transfers Allowed at the beginning of each fiscal year through the BDL process.Allowed at the beginning of each fiscal year through the BDL process. –During a fiscal year, the Budget Office will track permanent requirements through the commitment process. To and from 14- and 19-accounts: –Temporary transfers Access to money in the required fund is provided through a swap of budget. Subject to availability of funds.Access to money in the required fund is provided through a swap of budget. Subject to availability of funds. –Permanent transfers Allowed at the beginning of each fiscal year through the BDL process.Allowed at the beginning of each fiscal year through the BDL process. –During a fiscal year, the Budget Office will track permanent requirements through the commitment process.

Interfund Transfers Between E&G and Designated Accounts What is allowed/not allowed? –Transfers to 14-accounts must first meet the definition of E&G From 19-accounts sourced from designated tuition is allowed.From 19-accounts sourced from designated tuition is allowed. From other 19-accounts as approved.From other 19-accounts as approved. –Transfers out of 14-accounts must not violate Ed Code or General Appropriations Act (GAA) Can not EVER move 14-funds to 36-accounts for construction (e.g. renovations)Can not EVER move 14-funds to 36-accounts for construction (e.g. renovations) Can not move Special Items funding.Can not move Special Items funding. –Should not move funds to avoid lapse rules unless approved by AVP-Financial Affairs. What is allowed/not allowed? –Transfers to 14-accounts must first meet the definition of E&G From 19-accounts sourced from designated tuition is allowed.From 19-accounts sourced from designated tuition is allowed. From other 19-accounts as approved.From other 19-accounts as approved. –Transfers out of 14-accounts must not violate Ed Code or General Appropriations Act (GAA) Can not EVER move 14-funds to 36-accounts for construction (e.g. renovations)Can not EVER move 14-funds to 36-accounts for construction (e.g. renovations) Can not move Special Items funding.Can not move Special Items funding. –Should not move funds to avoid lapse rules unless approved by AVP-Financial Affairs.

Interfund Transfers Between E&G and Designated Accounts –Budget Office makes the determination of what is allowed. –Request via to Include the following minimum information: 1.From Account 2.To Account 3.Amount 4.Reason for the transfer –Budget Office makes the determination of what is allowed. –Request via to Include the following minimum information: 1.From Account 2.To Account 3.Amount 4.Reason for the transfer

Service Center 18-accounts –Intrafund – only within same budget group –Interfund – other than accounting charges budget transfers would be done to subsidize large deficits and are subject to the approval of the AVP-Financial Affairs. –Increases in budget must be approved by AVP- Financial Affairs. –Intrafund – only within same budget group –Interfund – other than accounting charges budget transfers would be done to subsidize large deficits and are subject to the approval of the AVP-Financial Affairs. –Increases in budget must be approved by AVP- Financial Affairs.

Grants & Contracts 26-accounts –Intrafund – only within same budget group if allowed by the sponsor. –Interfund – never allowed –Intrafund – only within same budget group if allowed by the sponsor. –Interfund – never allowed

Auxiliary Enterprise 29-accounts –Intrafund – within same budget group allowed; to other 29-budget groups should be appropriate based on the revenue and justification for collecting the revenue. Otherwise, it may be more appropriate to transfer the expense, not the revenue. –Interfund – allowed to fund 36-plant projects; transfers from 19-accounts may also be allowed upon approval of the AVP-FA. –Intrafund – within same budget group allowed; to other 29-budget groups should be appropriate based on the revenue and justification for collecting the revenue. Otherwise, it may be more appropriate to transfer the expense, not the revenue. –Interfund – allowed to fund 36-plant projects; transfers from 19-accounts may also be allowed upon approval of the AVP-FA.

Gift 30-accounts –Intrafund – within same budget group generally allowed; to other 30-budget groups if appropriate, upon approval. Approvals by the University Controller or designee.Approvals by the University Controller or designee. –Interfund – never allowed. –Intrafund – within same budget group generally allowed; to other 30-budget groups if appropriate, upon approval. Approvals by the University Controller or designee.Approvals by the University Controller or designee. –Interfund – never allowed.

Plant Funds 36-accounts –Intrafund – within same budget group to another project upon approval. Approvals by the University Controller or AVP-Financial Affairs or designee.Approvals by the University Controller or AVP-Financial Affairs or designee. –Interfund – allowed to Establish a new project account – but never from E&GEstablish a new project account – but never from E&G –Amounts over $100,000 subject to UT System approval. –Amounts over $500,000 require BoR approval. Return funds to the original revenue source in excess of need when a given project is closed-out.Return funds to the original revenue source in excess of need when a given project is closed-out. –Intrafund – within same budget group to another project upon approval. Approvals by the University Controller or AVP-Financial Affairs or designee.Approvals by the University Controller or AVP-Financial Affairs or designee. –Interfund – allowed to Establish a new project account – but never from E&GEstablish a new project account – but never from E&G –Amounts over $100,000 subject to UT System approval. –Amounts over $500,000 require BoR approval. Return funds to the original revenue source in excess of need when a given project is closed-out.Return funds to the original revenue source in excess of need when a given project is closed-out.