Things to know
E&G Funds - Permanent and current budgets
Education and General (E&G) Funds are also known as 1-ledger funds or operating funds, and are considered state funds. As state funds, E&G dollars have restrictions as to how they may or may not be spent. Please see the VCU Allowable and Non-Allowable Expenditures policy for a complete list of these restrictions.
Budgets for E&G can be viewed as either permanent or current allocations. Each fiscal year, departments should strive to fully utilize their current year’s E&G allocation based on the teaching and educational needs within the department. For more information on the differences between these types of budgets, please see Definitions: Permanent, Current and Adjusted Budget under the Budget Administration section of the VCU Fiscal Handbook.
Excellence funding is a presidential initiative created to support continued research excellence at VCU. To be eligible for excellence funds, the Dean must nominate and receive approval from the VP for a recently recruited faculty member or position under recruitment. Once approved, VPHS transfers the E&G funds into an index their office has established specifically for that faculty member. This index is to be used solely for that faculty member’s excellence funds so expenses can be tracked. The funds may only be used to support that faculty member’s salary and fringe or research activities (i.e., equipment, postdoctorate salary, graduate student stipends or lab resources). This funding is permanent and remains in the department as long as the faculty member remains in his/her position.
An eminent scholar shall be a person who has achieved national eminence in a discipline as judged by his or her peers on the evidence of effective teaching and productive scholarship, or on the basis of distinguished accomplishments in areas that lie beyond academic endeavor. The appointee must hold the rank of associate professor or professor and must be full-time faculty.
The State Council of Higher Education for Virginia (SCHEV) administers the Eminent Scholars Program, which provides matching funds to partially fund a compensation supplement for eminent scholar faculty positions over and above a base salary for the position. State eminent scholar funds may be available under the program to partially match qualifying eminent scholar endowment income (endowment funds are maintained by the MCV Foundation). State eminent scholar funds may only be used to supplement base salary.
The VCU indexes tied to eminent scholars can be either SA-XXXX (State Matching Funds) or SS-XXXX (MCV Foundation Funds). Departments who have faculty paid from an eminent scholar index (SS-XXXX) must submit quarterly reports.
Facilities and Administrative Cost Recoveries (FACR), also known as 2-ledger or overhead funds, are indirect dollars the university receives based on specific direct cost expenditures from certain sponsored program/research awards. As state funds, FACR dollars have restrictions on how they may or may not be spent. Please see the VCU Allowable and Non-Allowable Expenditures policy for a complete list of these restrictions.
MCVF processing and instructions
Often departments use accounts maintained at the MCV Foundation as a source of funding to clear deficits in VCU unrestricted (4-ledger) or restricted (6-ledger) indexes. The MCV Foundation requires documentation showing the charges were paid on a VCU 4- or 6-ledger index – this is typically the monthly e-print reports (FGRODTA and FGRBDSC) in order to reimburse expenses. In addition to those reports, they also require a completed Request for payment form .
The foundation will process the request and, once approved, send a check to VCU to post the revenue to the index. You can verify the revenue has been received by checking the Banner screen FGIBDSR (the executive summary) for the specific index — make sure to leave the Include Revenue Accounts box checked.
If the request for reimbursement is related to a Dean’s commitment which is to be reimbursed from the MCV Foundation, follow the steps below:
- Complete this request for payment form found on MCVF website (submit two copies).
- Submit Banner e-print reports, FGRODTA and FGRBDSC.
- Banner index to be reimbursed must be a 4- or 6-ledger.
- Submit breakdown of expenses to be reimbursed by individual commitments made by the Dean.
- Submit above documentation to Candy Gordon or Sung-Hee Jeu in the Dean’s office. The Dean’s office must authorize release of our funds at MCVF for reimbursement to the department.
- Dean’s office reviews and submits to MCVF for payment. Dean’s office will send department a copy of signed authorization.
- Request for payments received by MCVF by noon on Wednesday are paid to the university the following Monday.
- The department is responsible for ensuring payment was made in the appropriate amount and to the proper index through the monthly reconciliation process.
Undistributed card charges
The Commonwealth Accounting Policies and Procedures (CAPP) requirement for Purchasin from the Virginia Department of Accounts advises that:
“In a timely manner, agencies should allocate the expenditures recorded in the convenience object codes to the appropriate actual object codes which reflect the actual type of purchase or credit within CARS.”
For VCU, this convenience code is account number 620002 (Undistributed Charge Card Supplies) and Banner would replace the CARS system.
When using the purchasing card, some charges will post directly to the appropriate account code based on the type of expenditure or credit the transaction is. However, purchasing card expenditures that post to Banner orgs under account number 620002 should be moved to the appropriate account code which reflects the actual type of purchase or credit.
Departments should review the Banner orgs tied to their P-Cards each month to determine which charges need to be moved off of the correct account. The best method would be to use FGIBDSR (executive summary) and drill-down on the YTD activity field for account 620002. This will give you detailed information about any charges which have posted to the convenience code that need to be moved. Transferring the expenses to the correct account is accomplished by submitting a journal voucher to move the expense to the correct index/account.
The University Budget Management Policy Statement states that:
“Departmental administrators and fiscal personnel are responsible for reviewing information in Banner Finance for accuracy and ensuring that sufficient revenue budget and expenditure budget is available to support the fiscal year activities. In the event that a Banner org/index goes into a deficit, the deficit must be resolved as soon as possible but no later than the next month-end.”
Reports are available in the VCU Reporting Center including a “Grant Deficit” report and a “Non-Grant Organization Deficit” report. These are located in the “Finance” folder and can be run by your department number and fiscal period. It provides, by index, a snapshot of those in deficit status. Appropriate journal vouchers or reimbursement requests should be processed each month to ensure compliance with the deficit monitoring policy.
The processing of Journal Vouchers (JV) is the method used by the university to transfer expenses or budget from one Banner index/account to another. These transfers can be within the same department or between different departments, and have different approval requirements based on dollar amount. For more information related to the types of JVs, how to process transfers, approval levels, etc., please see Banner Finance – Creating Cash Receipts, Journal Vouchers & Budget Entries Using FGAJVCM .
List of documents requiring Dean's Office approval
Although this is not a comprehensive list, below are some common forms requiring Dean’s Office approval along with guidelines of what to provide with the forms.
- Travel authorizations for:
- Department Chair (domestic travel greater than $500)
- All foreign/OCONUS (Outside Continental U.S., including Hawaii, Alaska, etc.) travel
- All travel exceeding $5,000
- All travel when lodging expenses exceed 200% of the base rate (a memo with an explanation/justification is required)
- All authorizations must include the following information:
- Detailed business purpose — please note “Attending a conference” is not an adequate purpose; please explain how it benefits VCU
- Supporting documentation that shows the dates of the event (invitation, conference program/agenda)
- Per diem rate sheet
- Travel reimbursements for:
- All Department Chair or School of Medicine Dean reimbursements
- Business meals ifover 150% of meal per diem or any alcohol expenses
- Business meal reimbursements must include:
- Completed Business Meal Calculator Form
- Detailed business purpose — please note, “Having a business meeting” is not an adequate purpose; you must include what was discussed in general terms and a list of the attendees
- Business meal reimbursements must include:
- All travel reimbursements when the reimbursement amount exceeds the original travel authorization by 10% rate (a memo with an explanation/justification is required)
- Contracts, agreements and memos of understanding
- In-band adjustments, salary adjustments, awards or position establishment for pay band 4 or above
- Include a copy of the latest employee evaluation with this submission
- Moving and relocation agreements
- Include a copy of the offer letter
- Request to serve alcohol at university events(on- or off-campus)
- Excludes recruitment events/meals
- Fixed price agreements
- Honorariums exceeding $2,000 (include business purpose with submission)
- Cellular telephone authorizations
- Parking requests
- Evaluations of all Department Administrators