Several budgetary expenditure and revenue accounts are established
at the College-wide level and administered by Central Office staff.
These accounts may be established to serve all locations for the
- The expenditures are for the benefit of the College and
cannot be attributed to any specific location, i.e., insurance/risk
- There is no rational basis on which to establish original
budgets by specific location.
- The specific need for budgetary funds cannot be determined
at the time the original budget is established.
The following College-wide accounts are being utilized:
- Unemployment Compensation
Unemployment compensation expenditures are budgeted in a College-wide
reserve account. At the end of September, December, March,
and June an analysis is completed for actual expenditures
by location. Budget Transfer Requests are processed to move
budgetary funds from the College-wide reserve to the specific
locations in the amount of actual expenditures.
As of year-end closing, the expenditures for unemployment
compensation should equal the budget allocation.
- Indirect Cost Recovery
During the year, indirect cost recovery accounts may be established
in the operations fund for approved projects funded by outside
agencies and reported in the Sponsored Program area. No original
College-wide revenue budget is established for indirect cost
recovery. However, each calendar quarter, a BTR is processed
to increase the regional expenditure reserve account and the
appropriate indirect cost recovery revenue accounts.
All adjustments are based on the amount of actual collections
in the indirect cost recovery revenue accounts. At year-end
closing the revenue budget should equal the actual collections
in the indirect cost recovery accounts. Corresponding adjustments
will be made to the expenditure budget.
- Apprenticeship Support
At the beginning of each fiscal year a budgetary reserve is
established for College-wide apprenticeship support. An expenditure
account has been established at each location in the operations
fund with the title of "Instructional Staff - Support
Apprentice Programs." The Sponsored Program staff prepares
an analysis of apprenticeship expenditures. Appropriate charges
to the operations and apprenticeship fund is completed by
a journal voucher:
DR. Instructional Staff - Operations support of Apprentice
A budget transfer will be processed to move budgetary allocations
from the College-wide reserve to the regional expenditure
accounts. The amount of the BTR's for the operations fund
will match the accounting entry prepared by Sponsored
Each academic semester as of the official count date,
comparisons are made between the actual student fee assessments
and the current year budget. If the actual student fee
assessments (as adjusted by a collection factor) are either
over or under the current year budgets, a budget adjustment
T he following budgetary entries are made if the adjustment
DR. Regional Student Fee Revenue
CR. Regional Expenditure Reserve Account
If the budgetary adjustment is negative, the following
entries are processed:
DR. Regional Expenditure Reserve Accounts
CR. Regional Student Fee Revenue
An accounting entry to the expense allocation and estimated
revenue accounts must be processed to match the net change
reflected in the budget expense and revenue accounts.
If enrollment growth dollars are allocated to Ivy Tech
by the General Assembly as part of the legislative biennial
budget, they are included in a College-wide account for
enrollment growth. Distribution of the budgetary funds
is determined on the basis of actual student fee assessments.
- Plant Expansion
Plant expansion funds are requested from the State legislature
for operating costs associated with opening new facilities.
The operating costs may include utility expense, custodial/maintenance
services, and lease or rental agreements. The funds are granted
by specific facility and are included in the operating budget
but are determined in conjunction with the capital budget.
The amount of plant expansion funds granted by the General
Assembly is budgeted in a College-wide account. The funds
are initially allocated by facility or location, but budgetary
funds are transferred to the regional institutes only after
approval by Central Office staff. Only the actual amount necessary
to operate expanded facilities which are approved by Central
Office staff will be funded.
All insurance/risk programs other than employee fringe benefit
plans are coordinated and administered by Central Office staff.
Expenditures are not allocated to a specific location. All
payments are processed against the Central Office insurance
accounts for the College in total.
- Contingency Reserve
A College-wide contingency budgetary reserve is established
at the beginning of each fiscal year. The contingency budgetary
funds may be transferred to a location for an emergency or
specified need. The use of budgetary funds from the contingency
reserve must be approved by the President.
- Regional Reserves
College-wide regional reserves may be established for specified
purposes, i.e., to fund special request, quality improvement,
or program improvement. The funding of the regional reserves
is accomplished by reallocation of budgetary resources.