501 - Budget
| Title: |
Budget |
| Owner: |
Chief Financial Officer |
| Last Update/Revised: |
02/25/2021 |
Policy: The budget policy provides an overview and defines the overall approach to the annual institutional planning process. This process assist the university in support to achieve its goals, initiatives and overall strategy.
Budget Owners by Functional Area
Below is a list of the functional areas and the respective budget owners.
| Faculty (Full-Time) |
Provost and Deans |
| College Administration |
Provost and Deans
|
| President's Office |
President
|
| Accreditation and Regulatory Fees |
CFO, VP of Institutional Effectiveness and Regulatory Compliance (AGI) |
| Provost's Office |
Provost |
| Student Services/Academic Advising |
Provost, Director of Student Services |
| Registrar/Student Records |
Provost, Exec Director, Registrar Ops & Academic Compliance |
| Office of Field Experience |
Dean, Director, Office of Field Experience |
| Faculty (adjunct) |
Provost, CFO
|
| Admission/Enrollment |
President, Director of Enrollment |
| Marketing |
VP, Marketing (AGI) |
| Finance |
CFO
|
| Facilities and General Administration |
CFO |
| Financial Aid |
CFO, VP, Financial Student Services (AGI) |
| Student Accounts |
CFO, VP, Financial Student Services (AGI) |
Roles and Responsibilities
Chief Financial Officer
-
Model enrollment scenarios to produce student populations by month, cohort, and program. Collaborate with budget owners of functional areas to account for costs driven by student counts. This will include staffing for ratio-driven functions (i.e., student advising, full-time faculty), as well as for non-labor costs (i.e., SIS costs and tutoring expenses).
-
CFO will pre-populate budget templates with existing employees for budget owners for their respective functional areas. Overall assumptions will be provided for payroll taxes and fringe benefits.
-
CFO will provide historical expenses by vendor and month for budget owners to assist with establishing the non-labor expense baseline.
-
CFO will work with AGI employees such as the AGI VP of Marketing or the VP of Financial Student Services to account for costs directly charged to the institution.
-
CFO will also aggregate the budget submissions from all budget owners into a consolidated P&L format for review with the President and Provost. Incremental cossts (labor & non-labor) will be separated and prioritized based on institutional goals and overall profitability targets.
-
Other analysis will be performed on an ad-hoc basis (i.e., cost-benefit analysis).
Budget Owners
-
Validate existing employees and timing of annual merit increases. Provide key assumptions for incremental positions (month of hire, estimate of annual compensation) as well as business justification (how this position will support institutional goals).
-
Provide assumptions for employee-drive-costs: this will include travel, conferences, training, professional memberships/licensing, and hardware. Submissions should include employee professional development with estimates on timing and expense type (i.e., could be training cost, conference fee, and/or related travel).
-
Provide assumptions and justifications for existing and incremental non-labor costs. Leverage student population data for student driven costs (i.e., external testing, supplies, other program driven expenses). This could be software, database subscriptions, or other vendors. New cost proposals should be aligned with annual institutional goals. Budget owners should work with the CFO to run any ad-hoc analysis, as needed.
-
Incorporate and update any recommended changes and adjustments based on feedback after internal consolidated reviews by the President, Provost, and CFO.
Purpose: To describe the overall structure and process of the annual budget process.
Scope: The scope of this policy applies to all department heads responsible for budgeting within their department.
Document and Form(s):