G-31-8.1 Budget Changes
There are two types of budget changes that occur at the College. The first type involves a budget change that crosses appropriation categories (e.g., Instruction to Student Services). Appropriation categories are broad spending categories approved by the College's Budget Committee and adopted by the College's Board of Directors in the annual budget process, and identified in the College's annual budget document. Per the Oregon Revised Statutes (ORS), any change of budget, which moves funds and/or spending authority from one appropriation category to another requires approval of the Board of Directors.
The second type of budget change is between departments within an appropriation category (e.g., Admissions to Enrollment Cashiering) or between accounts (e.g., salaries to outside services). Changes within an appropriation category require the approval of the College President or the appropriate Vice President/Dean.
Budget changes can be approved at the Vice President/Dean level under the following conditions:
- The budget change(s) does not exceed $10,000 in any fiscal year. If for example, money is transferred from material to outside services for the same reason three times and they together total more than $10,000, the budget change which brought the dollar amount over the $10,000 threshold would need to go to the President for approval.
- Budget changes which can be approved by the Vice President/Dean are in the following
- Salary lines (money can only be moved from one salary line item to another salary line)
- Irregular Wages to a non-salary line item
- Transfers to capital account for purchases between $1,000 and $4,999.99.
The President's signature is specifically required for budget changes under the following conditions:
- Any budget transfer over $10,000
- Any budget transfer to a capital line item that is $5,000 or more
- Any budget change that moves a salary line item to a non-salary line item
- Any budget change that involves payroll assessments
- Any budget change that involves a transfer line item
The Director of Accounting will review budget changes for compliance and bring those in violation to the appropriate Vice President/Dean.
The philosophy behind permitting budget changes is to provide flexibility in meeting unanticipated changes in operating conditions during the budget year. If the reasons requiring the budget change are expected to continue into the future, the cost center's budget should be discussed during the budget preparation process. Budget changes are not to be made for the same reason year after year.