FY 2009 BUDGET PROCESS
Business Affairs is in the process of updating and documenting the institutional budget process. The intent is to have an open process, inclusive, fully documented and most importantly, linked to the planning process of the institution and strategic goals and targeted enhancements of the University System of Georgia. The current budget process has evolved allowing more input from and balance with the divisions and departments. There will be input from the college community as the process moves forward, culminating in a final recommendation to the President. In all cases, the budget must be responsive to the initiatives of the institution. An overview of this process is represented in the attached flowchart. Each year, in addition to updating the budget process, Business Affairs performs an analysis and review to better understand how resources are currently allocated and to identify areas to be adjusted.
Budget hearings are annually scheduled during February or March. During these hearings, each division or department will be required to submit a comprehensive budget request package. This package will consist of the budget request forms. The completed package will provide information concerning the budgetary needs and priorities of the division or department and should be used as a guide for a concise budget presentation. Two copies of the package will be required and must be sent to the Associate Vice President for Business Affairs to the scheduled budget hearing. The requests allow the divisions or departments to address new positions, additional operating expenses, reallocations, technology and equipment needs. It is the responsibility of each Vice President to include faculty and staff in the development of the budget requests. The requests should be compiled after consultation with the appropriate administration of the division or department.
Budget hearings are open and accessible to everyone; however, it is recommended that the divisions or departments be represented by the administrative team to ensure that the presentation identifies and encompasses the highest priorities associated with the funding request. The budget hearing will be limited to a maximum of one hour in length and should be informal and of a conversational style. The President will serve as the moderator for this meeting.
Please note that the purpose of the budget hearing is to request additional resources based on priority needs linked to the strategic goals of the institution as well as the University System of Georgia. These goals were presented as part of an institutional planning document.
During these hearings, it is assumed that presenters recognize resource constraints and will monitor their requests accordingly. Although there is no formal limit upon the number of requests that may be submitted, divisions and departments are encouraged to focus on items of the highest priority. Only items that meet strategic goals and targeted enhancements will be considered for allocations of new funds. This is not an incremental budget process and each department is expected to review current programs for potential improvements/reallocations prior to presenting a request for additional funds. Other items of request must be funded from within existing budgets via departmental reallocations.
Reallocations can occur at two levels, institutional and departmental. Departmental reallocations occur when current programs and/or activities are reduced, eliminated, or efficiencies are created, and the resulting resources are moved to higher priorities. For the purpose of these hearings, funds that are available for reallocations include any current budgeted commitment including positions and operating expenditures. Positions currently vacant or on hold for FY 2009 are not available for departmental reallocations. Depending on the final budget allocations from the Board of Regents, these positions may be used to create a consolidated pool of resources used to fund priority requests. Given the enrollment projections, it is critical that reallocations be used as a means of funding institutional priorities.
Adjustments in operating funds are to be distributed at a later date. Adjustments in operating funds will provide an opportunity to move budget from object to object and from department to department within the unit. Technically these are reallocations, for the purpose of the budget process these adjustments will be referred to as redistribution.
The Budget Calendar is attached as part of this package. The calendar lists budget activities and dates that are critical to the development of the FY 2009 budget. Please review for dates important to your area.
There are many factors and uncertainties that can impact the FY 2009 Budget. Enrollment and state funding are the most significant. Regardless, the FY 2009 budget process will continue to present many challenges and opportunities. The institution must improve on productivity, increase enrollment, and make hard choices to effectively use limited resources in serving the needs of our students.