Budget Guidelines

The University Budget Office oversees the preparation of the University’s annual and biennial budget. Although the University Departments have minimal involvement in the biennial budget process, each is responsible for developing and managing their respective annual budgeted amounts.

The annual budget is a transition between the biennial budget and accounting for how funds are spent. This process provides for allocation and assignment of resources and sets the plan for the coming year. The plan is then placed into the general ledger as the framework for spending.

 

Institutional Budget Philosophy

The annual budget is a plan based on the best information available at any given time. Budgets are completed for most types of funds (appropriated, local, grant/contract, etc.). Each department is expected to assume responsibility for managing the resources assigned to it. This includes living within funds available. Deficits are not an acceptable practice.

 

State Board Requirements

The North Dakota State Board of Higher Education (SBHE) requires the University to submit annual payroll and operating budgets as well as biennial budgets. These budgets are developed consistent with SBHE guidelines. The budgets represent a comprehensive financial plan for the institution, and as such, they include not only state funds, but also local funds, auxiliary funds, and grant and contract funds for both the University and the Medical School.

 

Budget Preparation

The preparation of the individual budget documents vary slightly, but generally fall into the following steps:

Planning

Early in the budget cycle, discussions regarding the budget process and priorities occur with the VPAA Academic Cabinet, Executive Council, and President's Cabinet.  In support of the budget decisions that must be made, the Budget Office updates budget schedules, revenue projections, and various fee/recharge rates, and also determines tentative funds available.

Review

Budgets are reviewed by the Budget Manager and Budget Analyst to ensure accuracy and compliance with SBHE guidelines. A comparison of budget to available funding is also performed.

Department Preparation

Upon completion of the review process, the final budget documents are assembled by the Budget Office and are distributed to the appropriate board, agency, or individual.

Monitoring

Comparison of actual revenue and expenditures to budget occurs at various levels within the University.