Budget Planning & Reporting

Christen HarrymanTiffany Gillis

What is a budget?

a. An itemized summary of estimated or intended expenditures for a given period along with proposalsfor financing them;

b. A systematic plan for the expenditure of a usually fixedresource, such as money or time, during a given period;

c. The total sum of money allocated for a particular purpose orperiod of time

Source: thefreedictionary.com

OSU Reporting Structure & Accountability

• OSU is no longer part of OUS and is now overseen by an independent Board of Trustees

• OSU is now being held to a higher standard of accountability for transactions and operations

• Budget’s are becoming more important and more highly scrutinized

Who is responsible for developing & administering Extension budgets?

Budget Authority is held by the Regional Administrator (RA)

• The RA has the authority and responsibility to set and administer the budget, including authorizing expenditures;

• The RA has the authority to delegate their budget authority & responsibility to County Leaders (CL);

• Each RA determines the CL/Office Manager’s role in the budget process

The Budget Process

Annual Budget Timeline• February – UABC Provides salary and OPE projections to RA’s/CL’s;• February to April Extension Offices meet with County, develop budgets

and submit to County for formal approval;• July to August After approval by County, UABC requests OSU Extension

Service Budget Worksheet:http://extension.oregonstate.edu/employees/county-resources/county-

operations-and-procedures• September to October OSU Budgets are loaded into Banner

OSU Extension Service Budget Worksheet

Budget Development – Extension Budget Worksheet

3 Major Columns:• Revenues/Expenditures run through OSU County

Funds/Indexes (Columns A & B)

• Revenue & Expenditures retained at the County or Service District, dedicated to Extension (Column C)

• In-Kind County or Service District contributions (Column D)Example: Provide Building or Office Space

Budget Development – Extension Budget Worksheet

Line items: RevenuesCounty Appropriations • Appropriation sent to OSU to fund expenditures paid through OSU indexes• Appropriations retained at the County or Service District to fund expenditures paid

directly by the County or Service District (outside OSU)

Sales and Service Revenue • Publication Sales• 4H Fees

Other Revenue• Contracts for special projects or program delivery • Contracts with the County or Service District for reimbursement of expenses, in

addition to regular County Appropriations

Budget Development - Cost RecoveryCost Recovery Worksheet – tool to assist with calculating the total cost of delivering a program, service or workshop, allowing an accurate fee to be established.

Budget Development - Personnel Costs

• Important factors for projecting personnel costs:

Estimated increase in OPE RatesClassified Step Increases, on employee anniversary dateCost of Living Adjustments (COLA) for Classified EmployeesUnclassified Estimated Raises Verify all active positions, filled or vacant, are budgetedProject any new positions

Budget Development - Personnel Costs Continued……

• Ensure employees are working within their position FTE as outlined in their job description.

• PEBB Benefits Eligibility is for Classified or Unclassified in a benefits eligible position at 0.50 FTE for at least 90 days.

• ACA – Affordable Care Act - http://hr.oregonstate.edu/benefits/affordable-care-act

• Employees subject to ACA are all employees (hourly or salaried) – Classified, Unclassified, Temporary, Seasonal, Undergraduate and Graduate Students. *Exception: Federal work-study hours are not counted for ACA purposes.

Budget Development – Service & Supplies

Recurring Service & Supplies Expenses• Telecommunications

• Network Access Charges

• Utilities

• Building Lease, repairs, and maintenance

• Accounting Services

Non-Reoccurring (One-Time) Service & Supplies Expenses• Furniture, Speaker fees, or Contracted services• Services and supplies related to revenue generating activities

UABC Finance is here to help you! • Revenue Estimates – appropriations, workshops, sales, partnerships• Payroll Projections • Special Analysis of individual OSU Funds/Indexes • Multi-year historical views or projections• Grant Proposals and grant budget development• Grant monitoring and reporting• Fee for service development

What’s a reserve?

Estimated Ending Balance:Prior Year Ending Balance+ New Revenue - ExpendituresEnding Balance/Reserve!

Fund Balances or Reserves:• OSU County Fund Balances must be Zero or Positive at Year end.

• Recommended reserve amount: Between 5-15% !

• To be used for One-Time Expenditures, not Reoccurring

For those counties with service districts, what is the preferred method for receiving budgeted $$?

Several options:• No funds come to OSU - all funds held at the county

• Reimburse OSU for current year expenses only - done on a quarterly basis

• Full appropriation received from County - excess returned at year end

Regardless of whether you have a service district:

Options for receipt of County Appropriations:

• Four equal Quarterly invoices for Full Appropriation;

• Four Quarterly invoices for Reimbursement of Actual Expenses;

• Three Quarterly invoices of equal amount with 4th quarter settle-up

OSU will return unspent funds to the County or Service District at the written request of either the RA or the County/Service District

Reporting & Accountability

Quarterly Projections and Reporting:

• Important to estimate yearly expense as accurately as possible

• Variances from the Budget will need to be explained

• Timely review and monitoring of your indexes is important, to ensure accuracy and accountability

Grant tips!

• Awarded for Multiple years

• Grant period crosses OSU fiscal year

• Separate budget and index

• Can ONLY be charged for allowable expenses within budget

and scope of work

• Budget the fully loaded personnel costs – Don’t forget OPE!

What’s a Grant?

Contact UABC for personnel estimates!

Who receives the returned on overhead from grants?

• Determined by org code on proposal – county or program

• County org = returned to county E&G index

• Program org = returned to program area use is determined by program area

Getting to the CORE of reporting - Helpful CORE reports!

FIN1864 = Operating Statement – Year over Year Variance by IndexProvides Current and Prior 2 years Variance Report by Index and Fiscal Period Reports by “Budget” Category: Income, Salaries-Wages, OPE, Other ExpensesHave option to expand categories to see specific account code detail

FIN1857 = Operating Statement by Index

FIN1869 = Expense Crosstab

FIN1909 = Transaction Detail by Period

FIN1801 = Fund Balance (Non-E&G Funds)

PAY1350 = Payroll Expense by Month for Index

PAY1554 = Default Pay for Employee Currently only shows the dollar amount for each index, not % of allocation

Link to CORE: http://core.oregonstate.edu/

Questions