Florida International University Budget Concepts & On-Line Tool Training

February 25 – 28, 2014

1

Budget Assumptions

Budget Development

Important Concepts Forecast Versus Requested Budget

Practical Applications – Tools & Resources

2

Workshop Objectives

Important Concepts

3

1) Assumptions

2) Data Entry

3) Review

4

BUDGET ASSUMPTIONS Enrollment

FTE 29,517

FTE 29,963

FTE 30,863

FTE 31,486

FTE – Annual Count based on Fiscal Year Fall, Spring, Summer Enrollment Figures are preliminary and subject to change. Professional includes College of Medicine and Law

23,921 24,101 25,154 25,555

3,918 3,420 3,193 3,192

732 814 822 944

-

8,000

16,000

24,000

32,000

FY 2012-13Actuals

FY 2013-14Budget

FY 2013-14Forecast

FY 2014-15Preliminary

Budget

Professional

Graduate

Undergraduate

Will be based on FY 2013-14 final budget adjusted for: • Recurring and nonrecurring legislative actions • Changes in fringe benefit rate • Recurring salary adjustments

University-wide recurring salary adjustments • Budgeted centrally for E&G • Budgeted by units for non-E&G

• Existing bargaining commitments

Departments should budget for individual salary actions

Interdepartmental Rates - refer to the OFP website for the

various rates Property Insurance rates will be provided by Auxiliary &

Enterprise Development

5

BUDGET ASSUMPTIONS Expenses

E&G Control Totals

Salaries

Other Direct Expenses

A NEW ERA—ACCOUNTABILITY AND PERFORMANCE!

6

How can you help to restructure / refocus?

Find alternative revenue streams that benefit the university

Identify areas that we should focus on that will assist in ensuring we achieve performance expectations

Look for operational efficiencies and redundancies

Ask the tough questions, what activities / services do we need? Not need? Where can we do more with less?

Be the financial gatekeeper for ideas generated in your department

Important Concepts

7

1) Assumptions

2) Data Entry

3) Review

Important Concepts

8

Detail Budget Maintenance

= DBM

Forecast = 2013-14

Current Year (CY)

Control Total =

Budget Author/Max

Budget = 2014-15

Next Year (NY)

Budget Manual & Other Resource

available on OFP Website

FORECAST AND BUDGET PROCESS Timeline

Mar.3 Mar.11 Mar.28 Apr.21 Feb.24 Apr.25

DBM is open Actuals Periods 1-7

& Positions data uploaded into DBM

FCST DUE FY 2013-14 FCST

due in DBM to OFP.

Position Tool

load from HR

ACTUALS 1-8 Position data refreshed

(based on March 3rd. pay period)

BUDGET DUE FY 2014-15 BUD due

in DBM to OFP

CFO / Unit Budget Reviews start

Data Entry Stage Required Actions

10

Forecast FY 2014 Requested Budget FY 2015

July 1, 2013 – February 28, 2014

March 1, 2014 - June 30, 2014 July 1, 2014 - June 30, 2015

Salaries

Actuals pre-populated

Pre-populated with Salary Encumbrance (includes Contractual OPS)

Action: Verify projections

Projections will be automatically populated in Detail Budget Maintenance on a cash accounting basis

Action: Update budgeted positions in

the Position Tool

Other Direct Expenses

Actuals pre-populated

Pre-populated with Original Budget of corresponding period; except E&G, based on YTD run rate

Actions: Verify projections Enter hourly temporary employee

projections into Detail Budget Maintenance

Update Cash transfer tool

Action: Enter projections into Detail

Budget Maintenance Update Cash transfer tool

Monthly budgeting of line items by Activity Number by account

Individual units are also now required to submit their budget online for the following funds:

Financial Aid (Fund 471 & 472)

• Sources of revenues to account for:

Institutional Aid – Allocations will be provided by Office of Financial Aid

Foundation – Available funds will be provided by the Foundation Office

Departmental Scholarships – Monies set aside from your E&G or Auxiliaries Funds

• Expenses should equal your Revenues.

• Timing:

Fall Disbursements

Expenses should be recognized in September and Revenues in October

Spring Disbursements

Expenses should be recognized in January and Revenues in March

11

Data Entry Stage Financial Aid

New Processes

Each Executive Area Budget Manager will be required to submit a request for Concession funds to the Office of Financial Planning

• Requests will be reviewed and approved by the CFO; guidelines memo and request form posted on OFP website

• Funding will be determined based on:

Major Events & Commitments – first priority funding

Other Initiatives – funded with remaining available funds

General Notes

12

Individual units will not be required to submit their budget online for the following funds:

• Sponsored Research Projects and Miscellaneous/Overhead ID’s (Funds 651 and 652)

Forecast and budget developed and input into PantherSoft by the Division of Research

• Recharge Centers (Fund 350)

Forecast and budget provided by the Division of Research with input from the Recharge Center

• Concessions (Fund 461)

Forecast developed by the Office of Financial Planning

Budget based on EABM requests that have been approved by the CFO

Input into PantherSoft by the Office of Financial Planning

General Notes

13

Important Concepts

14

1) Assumptions

2) Data Entry

3) Review

OFP Website - http://finance.fiu.edu/ofp/index.html

• Comprehensive Budget Manual • On-Demand Videos • Rate Guide • Timeline

Open Labs • BBC in HL-124

• March 5, 2014 9am – 12pm

• MMC in W6-106A • March 14, 2014 from 9am – 12pm • April 11, 2014 from 9am – 12pm

15

Resources

16

Questions & Answers

Case Study

17

18

Case Study

MENTAL MAP

19

WHAT IT ALL MEANS

• Brad’s Last Day = Next Week

• Is that before June = Yes

• Change in Responsibility = HR Update

• To be filled Next Year (NY)=

– Position Tool Updates

– Update Employee Type

– Comp Rate

ACTION ITEMS

FORECAST

• Run FC & Update end date

• The worksheet should calculate

the new salary & fringe totals.

BUDGET

• Complete HR Process to change

the position to Admin

• Verify that you have the new

comp rate.

SYSTEM DATA

FORECAST

• Enter lump sum from FC in

DBM ACTUAL ledger.

• If this is the only update, the

salary and fringe will decrease.

• Rerun FC and review

BUDGET

• Position Tool: Find the position

and edit the employee type

and comp rate

• Run R2 and review

Review Stage Report Options

20

RQ Report shows the requested budget by activity number for total revenue, salaries and

benefits, OPS, OCO, Debt Service and Total Operating Expenses. Review for incremental rollup

FC Report shows the salaries & benefits and encumbrance amounts for filled permanents and

bi-weekly temporary positions for the last 4 months of the CY. This report also has other expenses. Great for what-if scenarios

R2 Report shows the requested budget request by account and month. It also shows the CY

original budget vs. the forecast entered with a summary by employee type. Detailed rollup

BX Report shows both the forecast and the requested budgets. It also show the prior year

actual and CY original budget. Great for management review meeting.