Service Unit FAQ
What do business managers need to do their job?
Business managers need training on tools and reports that have been developed specific for the SRM budget model. The business managers have provided their input on what tools would be useful.
What happens with carryforwards at the end of the year?
For service units, it will be up to the Vice President as to how carryforwards are managed.
How is the university participation assessment (UPA) calculated?
If a service unit generates revenue in fund 11, it will not be assessed the UPA. Instead, this revenue is intended to offset fund 11 expenses. These service units are then expected to generate a level of revenue moving forward.
When will the university participation assessment be transferred to the central pool?
The university participation assessment (UPA) will be assessed quarterly.
How will cost expenses be reflected? Where will expenses such as cost of space and the UPA be shown in GLOW?
For service units, cost of space will be allocated at the VP level and the UPA will be assessed to the department generating the revenue.
How often will the budget model be reviewed?
The first review of the budget model will be in five years. Subsequently, it will be reviewed on a three-year cycle.
How will Service Units be held accountable?
Service Units will be held accountable for their budgets just as they are now. They will need to prepare justifications to keep their current budgets and for any additional fund that they request. The format for the justification and the process for requesting additional funds is still being developed. Large carry forward balances will need to be justified.
Which Fund 23鈥檚 are charged the Auxiliary UPA and which Fund 23鈥檚 are charged the College UPA?
Many of the Fund 23 accounts are being moved to Fund 11, such as the course fee accounts. The remaining Fund 23's will be assessed based on the general rule that activities that mirror tuition will be assessed the College UPA and other activities, such as conferences, will be assessed the Auxiliary UPA.
What are the UPA amounts charged to Fund 23鈥檚?
Depending on their activities, fund 23鈥檚 will be charged either the college or auxiliary UPA.
Why are Fund 23鈥檚 charged a UPA?
SRM is a more holistic approach to budgeting and looks at all forms of revenue in the SRM process included UPA. As such, the Designated Fund revenues are not exempt from the UPA as they only occur through association with the University.
Why are Fund 23鈥檚 not charged cost of space?
Typically the Fund 23 activities are not an operating unit but part of a college or service unit. Space was claimed at the college or department level and service units at the VP or department level, not by activity type. If there is a specific Fund 23 activity that is an operating unit we will work to isolate that space and allocate the space costs accordingly.