The primary function of the Budget Office is to facilitate effective budget planning and execution. The Budget Office must ensure the College’s annual financial plan is reflected in the College’s annual operating budget. The annual operating budget process provides for allocation and assignment of the College’s general fund resources and sets the financial plan for each fiscal year (July 1st - June 30th of each year). The budget plan is then placed into the general ledger as the framework for the fiscal year’s general fund spending. Departments are responsible for managing their respective annual budgeted amounts.
Institutional Budget Philosophy
The College’s annual operating budget is a financial plan that is based on the best information available at the time of planning. Each department is expected to accurately plan for their annual operating needs and assume responsibility for managing their allotted financial resources. Budgets are completed for all fund types (appropriated, grant/contract, student fees, etc.) to ensure all departments have a financial plan to use as a framework for their operations.
State Requirements
The Louisiana Board of Regents requires the College to submit an annual operating budget. The annual operating budget is developed consistent with the Louisiana Board of Regents guidelines. The annual operating budget represents a comprehensive financial plan for the College, and as such, it includes not only state appropriated funds, but also self-generated funds from student tuition and fees.
Annual Operating Budget Preparation
The budget process exists to provide a mechanism for compiling an accurate spending plan for each fiscal year. Budget development is a key process to promoting department accountability. The College operates on a Zero-Based Budgeting method instead of a Baseline Budgeting method. The Zero-Based Budgeting method requires all budget requests to be justified each year rather than only requiring justification for changes to the actual expenses from the preceding year. Preparation of the annual operating budget involves all departments and participation by all increases reliability and acceptance by faculty, staff, and administrators.
Planning
The head of each department (Dean, Director, Executive Team member, etc.) is the Budget Manager for their respective areas. The Budget Manager is responsible for identifying their department’s operating needs and their associated costs each fiscal year. The Budget Manager must submit budget requests for their department’s needs each year. The budget requests must be itemized in the College’s Planning and Budget System (PBS) by the specified deadlines each fiscal year.
Review
The Budget Managers inform their Vice Chancellor and the Budget Director that their budget requests have been entered into PBS and are ready for review. The Budget Director reviews the budgets requests to ensure accurate data input. A comparison of the total budget requests to the anticipated available funding for the upcoming year is also performed. The Vice Chancellors will review the budget requests for their respective areas and, upon concurrence, will inform the Vice Chancellor for Finance and Administration of their departments’ proposed budgets. The Vice Chancellor for Finance and Administration will review the proposed budgets and will present them to the Executive Team.
Budget Document Preparation
Once the College is notified of its overall budget for the upcoming year by the Louisiana Community and Technical College System, the departmental budget requests are reviewed again to determine the changes needed to align with the College’s overall budget. The College prepares the annual operating budget consistent with guidance from the Louisiana Board of Regents. To the greatest extent practical, all funds are budgeted based on information available at the time the budget is prepared. The annual operating budget documents are assembled by the Budget Office and the Vice Chancellor for Finance and Administration and are distributed to the appropriate Board and individuals. Budgets are adjusted throughout the year, as needed.
Monitoring
Comparison of actual revenue and expenditures to the approved budget occurs on a continuous basis during the year to ensure alignment with the approved budget. Budget Managers are responsible for managing the allotted financial resources for their respective areas to ensure all needs are met and budget is not exceeded. A variety of inquiries, reports, and queries are available for use in reviewing actual fund activity.