Budget Process, Controls, and Purchasing Policies

Budget controls and purchasing policies are necessary to enhance the University’s ability to achieve its budget objectives. The Business Office will act as a central agency or clearing house to administer these controls and policies.

Budget Process

The budget process begins with preparing a “pro forma I” budget, which is developed before the beginning of a fiscal year. After registration, this pro forma budget is revisited and revised, if necessary, in the fall, establishing a “pro forma II” budget. Another review and revision, if applicable, is made after spring registration. The preparation of each budget is the responsibility of the Chief Financial Officer (CFO). The CFO will coordinate budget information collection, assimilation, and presentation. The CFO will solicit information regarding budget requests from all academic Colleges and administrative departments having budgetary responsibilities. This information, once assimilated, will be reviewed with the University’s President. Once a budget has been approved by the University’s President, it will be presented to the Finance Committee of the Board of Trustees for approval. The Finance Committee will then present the budget to the full Board of Trustees. It then becomes the official budget under which the University operates.

Budget Control

The achievement of budgetary objectives is the responsibility of all administrative officers, administrative staff, and academic deans. These officials will be responsible for accomplishing each budget area's objectives within that budget's financial limitations. Certain officials are responsible for achieving revenue sufficient to meet income budgets.

The President, Executive Vice President/CFO, and Provost are responsible for seeing that all academic Colleges and administrative departments meet their objectives.

The business office will make budget reporting available to each administrator. These budgets should be reviewed for accuracy as well as status. Any questions regarding the budget reports should be directed to the controller, including requests for new accounts. The controller will also contact administrative department heads when he/she recognizes problems or potential problems in the administration of a particular line item of the budget; however, all responsibility rests with the budget manager. To permit budget management, the budget manager may request in writing to the CFO that funds be reallocated among line items for which he/she is responsible. Authorization to grant this request will lie with the CFO. To reallocate funds from one department to another will require the review and approval of the CFO and the President.  Approval from the Finance Committee of the Board of Trustees will be required for any budgeted net income adjustments.

Persons exceeding budget limitations may be required to submit written explanations for this occurrence to the appropriate Vice President and the CFO. Persons may be relieved of their budgetary responsibilities in the case of budget overruns due to mismanagement or failure to follow University Policies and Procedures.