Establishing An Original Budget
PURPOSE
The purpose of this statement is to provide general principles to be used for establishing an original budget for a contract and grant account.
GENERAL GUIDELINES/APPLICABLE POLICIES
The detailed budget for a contract and grant account should reflect the expenditure account code breakdown as submitted and approved by the awarding agency and coincide, where feasible, with the University's banner account code structure (see appendices).
PROCEDURES
The Office of Contracts and Grants will input the original budget data into the banner financial system based on the award, original proposal, and any negotiated budget changes.
AUTOMATIC BUDGET REALLOCATION USED FOR CONTRACTS AND GRANTS
The current system provides for contracts and grants to be budgeted at the major account code, i.e. 72300 with the exception of line items 61100, 61200, 61300 and 6500. Expenditures must be at the detailed level such as 72300. Since the budget is at the major level and the expenditures are at the detailed level and the banner systems does not reallocate budgets as expenditures are made, the major level will have a positive balance and the detailed account codes will have negative balances.
