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AUXILIARY OPERATIONS POLICY - Kindle edition by Delene Kvasnicka of Survivalebooks, United States Military, United States Department of Defense, Military.
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Inter-program loans must be repaid with interest within a defined time period and must not adversely affect rates in the program making the loan during the period the loan is outstanding. The following additional management expectations pertain to student fee funded auxiliaries and to other appropriation activities that are operated as a going concern and that have the need to accumulate cash for defined future needs such as equipment and facility replacement.

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The use of generally accepted accounting principles is expected for effective fiscal management in order to ensure that revenues and expenditures are recognized and matched in the appropriate periods, that liabilities are fully recognized and that assets and their impairment are fully considered. Sufficient reserve funds should be accumulated to meet debt service requirements, to ensure that equipment and facilities can be maintained, replaced, remodeled or refurbished as needed, and to provide an operating cushion to offset short-term revenue losses or unanticipated expenditures.

Institutions shall have a review process and multi-year plan in place to ensure that adequate but not excessive reserves are maintained. Reserve accumulations must be clearly linked to specific programmatic and operating needs. Anticipated ending reserve levels shall be projected as part of the annual operating budget.

Auxiliary Transfer Policy

Funds in excess of appropriate reserve levels should be used to reduce rates in the next operating budget or, where appropriate, to smooth rates over the next several operating budgets. One-time surplus funds may be transferred to support other student related activities in accordance with the criteria in Attachment 1. See Attachment 3 regarding maximum and minimum reserve accumulations. See Attachment 4. Procedures Auxiliary rate increases are a part of the annual operating budget process and subject to the constraints established by Regent policy.

Institution internal auditors will review the cash handling operations of major auxiliary operations on a regular cycle. Each institution will submit to System Administration — Financial Administration, in August, a report detailing its year-end fund cash balance and providing sufficient information for System Administration to prepare the reserve plan required by s. The format and due date for this report will be prescribed in the annual year-end financial reporting instructions.

Finance, Operations & Auxiliary Services – Policies, Regulations & Rules

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