Budget Allocation Process
| Policy Administrator:
Vice President for Administration
March 11, 1991
Policy File Number:
BUDGET ALLOCATION PROCESS
PRINCIPLES FOR RESOURCE ALLOCATION
The principles upon which the resource allocation process is built are: 1) consistency with University priorities identified through the University planning process; 2) openness and accessibility to all who have an interest in it; 3) rationality (i.e., based upon data); and 4) timeliness.
CONSULTATION AND INTERACTION
A key element of the resource allocation process is the opportunity for interaction between the deans of the schools and other program center administrators who have responsibility for achieving results with the resources available and the vice presidents (e.g., the Vice President for Academic Affairs for the schools and the educational program and the President).
The Council for University Planning is responsible for recommending University plans and priorities and for reviewing and commenting to the President about the budget and those plans and priorities.
The staff work on a preliminary budget, based upon the stated priorities (essentially, based upon the principles listed above) is accomplished by the Vice President for Administration and other designated staff members. A small staff group is identified to do the work.
STEPS IN THE ALLOCATION PROCESS
l. School and other unit plans given to the appropriate Vice President. After review and discussion, plans given to Council for University Planning.
2. Council for University Planning recommendations on unit plans (and a recommended overall or integrating University plan, prepared by the Council) given to the President, along with statement of priorities.
3. President acts on recommendations. This action--the final statement about plans and priorities--is distributed to the program center administrators and generally on the campus.
4. School deans and other program center administrators submit budget requests to the appropriate Vice President (for example, VPAA for schools, library, etc.). The Vice Presidents submit the requests, with appropriate comment, to the budget staff for the development of preliminary allocation recommendations.
5. A faculty allocation proposal is prepared early in this process. The proposal is prepared by the Vice President for Academic Affairs, assisted by appropriate staff, in consultation with the school deans, and given to CUP for review and comment to the President. The president acts on this.
6. In the preparation of the preliminary budget allocations, the Vice President for Administration and each dean and program center administrator will meet. The Vice President can be assisted by the budget staff.
7. A preliminary budget allocation proposal is completed. This is given to all program center administrators for further discussions and proposed adjustments.
8. Any proposed changes are given to the appropriate Vice President by the program center administrators. The vice president reviews, may make adjustments, and gives to budget staff for preparation of budget proposal. The Vice President for Administration is responsible for assembling the final proposed budget and giving it to the members of the Administrative Council (the program center administrator) for review and comment. Changes may be made in the draft budget at this point.
9. The Council for University Planning reviews the budget allocation proposal. The Council is responsible for review and comment to the President about the budget with supporting narrative that reflects University plans and priorities.
10. At this stage in the budget allocation process, the deans and other program center administrators, normally in the context of the Administrative Council have an opportunity to have input.
11. Adjustments may have to be made to reflect external budget changes. See 5 & 6 below.
12. The President allocates the budget. The allocation document is normally accompanied by a narrative statement about the rationale and purposes of the allocation; this is not to be a "line item" statement.
CONCEPTS AND TIMING
1. The budget allocation cycle is a two-year process.
2. A "basic" faculty allocation will be ordinarily made to each school prior to the end of the fall semester.
3. The Council for University Planning recommendation on the overall budget will be made prior to the end of the spring semester--normally in May.
4. The Governor's Budget is made public, normally, in early January. The Governor signs and completes the budget normally in mid to late June. This may be July, however. The Board of Trustees, in some circumstances, acts upon major changes or unanticipated directions at its July meeting, normally July 10-15.
5. Thus, under usual circumstances, the President acts upon the budget allocations some time after the May CUP recommendations. Each year provision is made for consultation with CUP and with the Administrative Council about changes in the budget not anticipated or included in the May CUP recommendation, before the President takes final action.