1. THE COLOR OF MONEY FUND U$E
Sandra Perez
Alan Williams
8/2/2019

2. Agenda Questions [Parking Lot]
Review [Important Concepts and Definitions]
Fund Groups
Fund Uses
Restrictions & Designations

3. QUESTIONS [Parking Lot]
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4. REVIEW
FUND: An income source established for the purpose of carrying out specific activities in accordance with special regulations, restrictions or limitations.
5 digit number assigned - identifies the source of the funds.
The sponsoring agency specifies the terms and conditions of the Funding.

5. FUND GROUPS

6. CURRENT FUNDS (1)

7. CURRENT FUNDS (2)
Group of funds expendable for operating purposes in support of the institution’s mission; expected to be spent in the near term
Unrestricted [e.g. *General Funds*, Tuition, Unrestricted Gifts]
Restricted [e.g. Lottery Funds, State Special Funds for Research, Restricted Gifts]
Designated [e.g. SSF, SMH, *SGFs*: 19903, 19906, 19912, 19924, 19948, 19969, 19955, 19956]

8. CORE FUNDS State General Funds: 19900 – General Fund
19903, 19906,19912,19924,19948,19969,19973, 19955, 19956
UC General Funds:
19933 – UCGF – FICR
19942 – Nonresident Supplemental Tuition
19931,19932, 19934, 19941
Tuition & Fees:
20095* - Tuition
20000/20005 – Student Services Fee/Student Mental Health
20045 – Professional Degree Supplemental Tuition [Technology Management]
20293 – Summer Session – UC Matriculated Students

9. EXTENDED - CORE FUNDS [ICR]
Federal Indirect Cost Recovery:
19933 – UC General Fund [FICR]
07427 – Opportunity Fund
69750 – Off the Top
69763 – Garamendi
State Indirect Cost Recovery:
19933 – UC General Fund [SICR]
Private Contracts & Grants Indirect Cost Recovery:
05397 – Educational Fund [PICR]

10. Core Funds ≠ Free Benefits
CORE FUNDS USES
Provide permanent funding for UC’s core mission and support activities. These include:
Faculty Salaries and Benefits
Academic and Administrative Support
Student Services
Operation & Maintenance of Plant
Financial Aid
Core Funds ≠ Free Benefits

11. SGFs RESTRICTIONS
No Auxiliaries and Intercollegiate Activities Expenditures [State Budget Act]
No Alcoholic Beverages & Tobacco Expenditures [BFB BUS-79]
Restrictions for Capital and Deferred Major Maintenance
Only Projects Per Capital Plan & DM Plan - Approved by State Department of Finance
Entertainment & Travel [except per policy approval, BFB BUS-79]
Gifts to non-university individuals & organizations [except to a student for academic achievement, BFB-G-42]
No Student Services Support Activities (Function 68) [OP Funding Streams Technical Instructions]; Exception - Fund & LCFF Funding

12. TUITION
Regental Policy: “To fund student financial aid and related programs: admissions, registration, administration, libraries, and operation and maintenance of plant. Tuition may be used for general support of the University's operating budget. Revenue from Tuition may be used to fund all costs related to instruction, including faculty salaries. “
Designation: Financial Aid
Restriction: No Capital Funding

13. STUDENT SERVICES FEE/SMH
Regental Policy: “Income generated by the Student Services Fee (formerly referred to as the University Registration Fee) shall be used to support services and programs that directly benefit students and that are complementary to, but not a part of, the core instructional program. These services and programs include, but are not limited to, operating and capital expenses for services related to the physical and psychological health and well-being of students; social, recreational, and cultural activities and programs; services related to campus life and campus community; technology expenses directly related to the services; and career support.”
Designations: Student Support Svcs, Student Mental Health, and Financial Aid
Restriction: No expenditures for Core Instructional Program

14. OTHER CURRENT FUNDS [Not CORE]
Other Restricted State Funds [Lottery Funds and Research Grants: Tobacco, Aids, etc.]
Other Fees:
Campus Based Fees
Extension
Course Materials
Miscellaneous
Other Income Funds & Services
Sales & Services [Educational Activities]
Sales & Services [Auxiliary Enterprises]
Gifts & Endowments
Extramural Funds

15. RESTRICTED FUNDS
State Special Lottery Funds: (18082, 18084, 18086) -- For Instruction and Instructional Support Activities
State Special Funds: (18XXX) -- For Specific Research Activities
Restricted Contracts & Grants & Some Gifts -- Per Grantor and Donor specified instructions.
Extramural Funds -- Contracts & Grants for Specific Research Activities

16. CALIFORNIA LOTTERY FUNDS
California State Lottery Act of 1984 states “that all funds allocated from the California State Lottery Education Fund shall be used exclusively for the education of pupils and students and no funds shall be spent for acquisition of real property, construction of facilities, financing of research, or any other non-instructional purpose.”
FUNDS: 18082, 18083, 18084, 18085, 18086
USES:
Instructional Computing
Instructional Equipment
Instructional Support
Library Support
Science and Math Initiative

17. SUMMARY RESTRICTIONS: GAAP; Legislative Acts; University Policy
DESIGNATIONS: Specific Set-asides or Agreements between funding and receiving entities
RULE OF THUMB:
If in doubt, consult with Accounting, Budget Office; or research policies and campus pronouncements.
Think about how it would sound as a headline in the newspapers

18. QUESTIONS
Use of Summer Session [20293] Funding: is Tuition from Summer Session and has the same use and restrictions as regular Tuition, fund NO research, Sales & Services [Auxiliaries], and Capital expenditures are allowed.
18082 is one of the Lottery Funds: Lottery funds are designated for Instruction and Instructional Support activities. Research is prohibited => no accounts in 44xxxx or 59xxxx. Therefore, IRCA expenditures are disallowed if the costs are going to hit accounts in research function accounts [44-59xxxx].
UNEX [University Extension]: Funding from Extension Courses is not considered core funding. Funding from these fees is to support the programs.
NSFAS [Non-State Funded Administrative Support]: Assessment to non-state funded units for campus overhead [Administrative Support].
STIP [Short Term Investment Pool]: Interest earned from short term cash investments. It is highly discretionary funding.
Income Funds: Departments need to be clear what the income fund is for [source and uses]. If unrestricted, it can be used to fund shortfalls in other funds in the same or similar Fund Group.

19. REFERENCES
2016 CA Budget Act:
UC Budget for Current Operations:
Regent Policy 3101: [A. Tuition; B. Student Services Fee]
Gifts:
Endowments:
Capital Funding: Contact Mark Nocciolo, [ ]
Business & Financial Services:
Health Sciences Faculty Salary:
OP Contracts & Grants Policy:
OP Business and Financial Bulletins:
A Series – Accounting [e.g. A-47 Direct Costing Procedures]
G Series – General [e.g. G-42 Policy on Gifts Presented to Non-Employees on Behalf of University]
BUS Series – Business Affairs [e.g. BUS-79 Expenditures for Entertainment, Business Meetings and Other Occasions]