CSUMB BUDGET ORIENTATION

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CSUMB BUDGET ORIENTATION

• Presentation for the
• Academic Senate Budget and Resource Management
  Committee
• March 10, 2006

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CSUMB BUDGET ORIENTATION
PREVIEW

• DESCRIPTIONS AND DEFINITIONS
• Legal Entities
• Types of CSU Funds
• CSUMB Funds
• PROCESSES
• State of California Budget Process
• CSU Budget
• csu Budget Process
• CSUMB Campus Budget

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CSUMB BUDGET ORIENTATION

• LEGAL ENTITIES
• CALIFORNIA STATE UNIVERSITY, MONTEREY BAY
• FOUNDATION OF CSU, MONTEREY BAY
• A private, 501(c)3 corporation
• Recognized CSUMB auxiliary organization
• CSUMB Employee Housing, Inc.
• A private, 501(c)3 corporation
• Recognized CSUMB auxiliary organization

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CSU FUNDS Color of Money
CSUMB BUDGET ORIENTATION

• Funds are enacted, defined and amended by
  legislative acts most established/amended by
  one-time acts General Fund each year
• The CSU cannot establish its own funds
• Funds must be accounted separately, and cannot be
  co-mingled
• All funds within CSUMB are state funds and
  governed by state laws, requirements, and CSU
  Board of Trustee policy, CSU Office of the
  Chancellor requirements and CSUMB policies and
  procedures

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CSUMB BUDGET ORIENTATION
TYPES OF CSU FUNDS

• General Fund (governmental)
• Enterprise (proprietary, trust)
• Parking
• Continuing Education Revenue Fund
• Dormitory Revenue Funds
• Lottery (fiduciary, trust)
• Capital Outlay (governmental)
• Trust Funds (fiduciary, trust)

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CSUMB BUDGET ORIENTATION

• CSU TYPES OF FUNDS AND THEIR ATTRIBUTES

GENERAL FUND

• Appropriation, Revenues and Purpose
• Revenues are State of California taxes and
  revenues appropriated to the CSU, aka General
  Fund Support
• Appropriated annually and accounted by
  appropriation
• Primary purpose is record costs of educating
  students
• Specifics
• The General Fund Support allocation from State of
  California is supplemented by Student Fees.
  Note In 06-07, these Student Fees may be
  accounted in Trust
• 5 appropriation years maintained in accounting
  system.
• Most recent 2 years active
• Reverts to the Chancellors Office at 1.5 years
  after July 1 enactment
• Reverts to the State at 2 years after July 1
  enactment

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CSUMB BUDGET ORIENTATION
CSU TYPES OF FUNDS AND THEIR ATTRIBUTES

• ENTERPRISE
• Appropriation, Revenues and Purpose
• Primarily or predominantly self-supporting
  through revenues earned by user fees, or where a
  governmental body has decided to separately
  account for assets and liabilities in order to
  produce a balance sheet
• Appropriated continuously
• Specifics
• Examples of Enterprise funds are Parking,
  Extended Education
• May also be called auxiliary enterprises
• Selected enterprise funds may be accounted in
  trust

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CSUMB BUDGET ORIENTATION
CSU TYPES OF FUNDS AND THEIR ATTRIBUTES

• CSUMB ENTERPRISE FUNDS
• Continuing Education Revenue Fund, aka Extended
  Ed
• Revenues are fees paid by students to enroll in
  classes
• Expenditures must support Extended Ed instruction
• Parking
• Revenues are parking fees paid by users to park
  on campus and at special events, and the parking
  tickets paid by recipients.
• Expenditures support administration of parking,
  maintenance of parking lots, and could be used
  toward construction of parking lots or
  structures. Fine revenue is used for the cost of
  collections and is mandated for alternative
  transportation. At CSUMB, this is the shuttle
  program

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CSUMB BUDGET ORIENTATION
CSU TYPES OF FUNDS AND THEIR ATTRIBUTES
CSUMB ENTERPRISE FUNDS

• DORMITORY REVENUE FUND
• Financing of CSUMB, Auxiliary Enterprise and
  Auxiliary Organizations bond construction and
  renovation projects
• If Housing were not in the Foundation, it would
  be accounted here.

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CSUMB BUDGET ORIENTATION
CSU TYPES OF FUNDS AND THEIR ATTRIBUTES
LOTTERY

• Appropriation, Revenues and Purpose
• Revenues earned from the sale of State lottery
  tickets
• Allocated to CSU annually
• Expenditures restricted by California law to
  bona fide educational experiences
• Specifics
• May be used for instructional equipment
• Restrictions regarding Unit 3 appointments
• May be accounted in trust
• Has history of traditional programs and
  campus-based programs

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CSUMB BUDGET ORIENTATION
CSU TYPES OF FUNDS AND THEIR ATTRIBUTES
CAPITAL OUTLAY

• May be appropriated by the State in annual budget
  act
• Or, sale of bonds by CSU
• Funds project-specific buildings
• Annually funds projects lt400,000, allocated as
  minor capital outlay.

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CSUMB BUDGET ORIENTATION
CSU TYPES OF FUNDS AND THEIR ATTRIBUTES
CSU TRUST FUND

• Extended Ed and Parking are accounted in trust
• Student Financial Aid
• Scholarships, Grants and Loans
• Federal, State, Local
• Some Student Fees
• Instructionally Related Activities
• Other Student Fees
• Associated Students
• Some Grants and Contracts
• Other Trust Projects
• Lottery may be accounted in trust

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CSUMB BUDGET ORIENTATION
CALIFORNIAS 8-STEP GUIDE TO THE BUDGET PROCESS
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CSUMB BUDGET ORIENTATION
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CSUMB BUDGET ORIENTATION
http//www.calstate.edu/BudgetCentral/8-step.shtml
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CSUMB BUDGET ORIENTATION
CSU BUDGET PROPOSAL AND DISTRIBUTION

• Incremental budget
• Additions and deletions for specific purposes
• Addition for enrollment growth
• Compact Agreements if in place, set annual
  expectations for term of agreement

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CSUMB BUDGET ORIENTATION
CSU BUDGET PROCESS TIMELINE

• August Campus submission to Chancellors Office
  of current year budget plan
• October/November CSU Budget Plan for the next
  year to Board of Trustees
• October/November CSU Board of Trustees approve
  plan plan is forwarded to Governor
• Website http//www.calstate.edu/budget/2006_07B
  udIndex/06_07BudInfo.shtml
• January Governor Submits Proposed Plan to
  Legislature, Governors Budget

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CSUMB BUDGET ORIENTATION
CSU BUDGET PROCESS TIMELINE

• February to March
• CSU Chancellors Office may portray Governors
  Budget campus distribution
• May Revise
• CSU Chancellors Office portrays May Revise for
  campus distribution
• July to August
• Legislature enact budget Governor signs
• CSU Chancellors Office allocates to campuses

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CSUMB BUDGET ORIENTATION
CSUMB GENERAL FUND BUDGET
Basic Operating Principles

• Incremental budget
• Resources in CO budget allocation documented by
  Budget Office/Finance
• Division-based decentralized planning process
• Guidelines and Assumptions and Budget Development
  Timeline are published to divisions and campus
• http//af.csumb.edu/site/x5612.xml
• Faculty required for increased FTES funded first
  mandatory cost increases and pre-commitments are
  priority

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CSUMB BUDGET ORIENTATION
CSUMB GENERAL FUND BUDGET
Basic Operating Principles

• Benefits are budgeted centrally and distributed
  at cost throughout the year
• Divisions may modify budgets during the year
• Budget Transfers, either fiscal or base budget
  modification
• Supplemental Allocations from Chancellors Office
  during fiscal year for specific purposes

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CSUMB BUDGET ORIENTATION

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