184.108.40.206 Prior Fiscal Balance Brought Forward
A major budgetary unit may petition the President's Advisory Budget Committee to have all or a portion of its unexpended and unencumbered operating budget remaining at the end of a fiscal year to be brought forward for use in the new year. The proposed use must be clearly defined and for a purpose that is not of a recurring nature, i.e., equipment, alterations, etc. The budgetary unit will be specifically notified when the request is ultimately approved or disapproved.
Purchase orders or contracts (see APPM sections 2) which were placed and committed prior to the end of the previous fiscal year for which the requested goods or services were not received or performed until after the start of the new fiscal year are considered encumbered funds. These types of encumbrances constitute the first charges against the operating budget of the new fiscal year. To cover these charges, the operating budget is increased by an amount exactly equal to the encumbered amount.
CARRY FORWARD RULE
If any balance of unexpended funds remain in any budgeted unit at the end of the fiscal year, 75 percent (or more, if authorized by the President or the President's Advisory Budget Committee) of that balance shall be retained in that division in a separate account and be available to the Vice President responsible for that division for expenditure in the following fiscal year. In the Division of Academic Affairs, year-end balances which are unexpended in the schools and colleges will remain in the accounts of these units for allocation by their deans. Such carry-forward funds, if not expended during the following fiscal year, shall carry over completely into subsequent fiscal years. These provisions shall be limited to five percent of the budget in each unit.