Hard Money Carryforward

UTAH VALLEY STATE COLLEGE
Fiscal Year-End Account Balance Procedures
For Appropriated Funds

The Budget Office and Business Office have developed the following guidelines for the processing of fiscal year-end account balances in appropriated INDEX codes. This process will be implemented beginning fiscal year end 2000-01.

Account Specific

Each fiscal year-end account balance will be carried forward (as outlined below) to the current expense budget of the specificINDEX codegenerating the balance. The only exception to this procedure will be summer schoolINDEX codes(INDEX codes and summer programs change annually) which will carry forward to the appropriate School summer contingency.

Calculation of Carryforward Amount (examples of carryforward calculations below)

Positive balances equal to 10 percent or less of the total account revised budget will be carried forward. Budget managers may petition their supervising Vice President for permission to carry forward positive balances exceeding 10 percent of the revised budget. The Budget Office must receive written approval by the Vice President prior to June 30.

All negative budget balances will be carried forward in total. Budget managers will be held responsible forINDEXcodedeficits.

Entry Timing & Notification

Carryforward amounts (positive and negative) will be entered as budget revisions into current expense by mid-August each year. Budget managers will be notified of the amount of the entry by E-mail. Additionally, Vice Presidents will be notified of each negative carryforward entry to accounts under their direction.

Use of Carryforward Funds

As carryforward funds are one-time in nature, these funds may not be used for on-going salaries/benefits. Temporary hourly help may be hired with carryforward funds. Carryforward funds may be used for current, travel and capital expenses in accordance with institutional policies.

Encumbrances and No Purchasing Cut-off Date

Encumbrances (open commitments) will not be considered when calculating carryforward amounts. There is no need to clear encumbrances by closing open purchase orders unless your account has a negative balance because of them and you want to continue spending on that account. There will be no more purchasing cut-off dates. Requisitions will be processed for purchases year-round.

Carryforward Examples

Negative

Category	Revised Budget	Expenditures	Balance
Salaries	$194,084	$194,080	$4
Hourly	$5,218	$10,643	($5,425)
Benefits	$80,273	$80,276	($3)
Current	$28,610	$25,350	$3,260
Travel	$3,700	$4,002	($302)
Capital	$1,751	$1,751	$0
	_________	_________	_________
TOTAL	$313,636	$316,102	($2,466)

A negative $2,466 budget revision would be processed against this account's new year current expense budget.

Positive within 10%

Category	Revised Budget	Expenditures	Balance
Salaries	$190,043	$190,043	$0
Hourly	$25,625	$25,537	$88
Benefits	$85,483	$85,480	$3
Current	$28,989	$27,041	$1,948
Travel	$2,791	$2,803	($12)
Capital	$4,720	$4,722	($2)
	_________	_________	_________
TOTAL	$337,651	$335,626	$2,025

A positive $2,025 budget revision would be processed to this account's new year current expense budget.

Positive above 10%

Category	Revised Budget	Expenditures	Balance
Salaries	$136,163	$79,653	$56,510
Hourly	$860	$2,000	($1,140)
Benefits	$32,078	$32,081	($3)
Current	$34,188	$45,013	($10,825)
Travel	$4,935	$2,461	$2,474
Capital	$16,000	$1,366	$14,634
	_________	_________	_________
TOTAL	$224,224	$162,574	$61,650

A positive $22,422 (equal to 10% of revised budget) budget revision would be processed to this account's new year current expense budget. The budget manager may petition his/her Vice President for approval to carryforward the entire balance.

For questions contact Linda Makin, Director of Budgets
makinli@uvsc.edu
ext. 8457