Research Administration Office

University of California

Memo

Operating

Guidance

No. 94-21

December 15, 1994

Subject: Revised Salary Range Projections

Summarized below for use in calculating budgets for all contract and grant proposals are the revised salary range projections beginning January 1, 1995. These projections supersede those previously transmitted August 31, 1993, by C& G Memo 93-15. Effective January 1, 1995, Schedule 3 enclosed with C& G Memo 93-15 is hereby canceled.

[corrected table follows, as per Supplement 1 to C& G Memo 94-21]

..............................10/1/94........1/1/95........7/1/95........10/1/95........1/1/96

...........................(retroactive;...............& after....& after#....& after

...........................paid in Jan.)

Academic

...Range adjustment.......................3%...............................4%

...Merit increase...........................................5% if appl

Staff

...Range adjustment.....3%**.............................................4%**

...Merit/Jan. anniv.........................5% if appl.........................................5% if appl

...Merit/July anniv........................................5% if appl

MAP/A& PS

...Merit increase...........4.3%**.........................................5.5%**

#The University has requested a 5% increase from the State but is likely to receive less. For budgeting purposes, we are projecting 4% annual range adjustments.

**The staff range adjustment and the MAP/A& PS pool adjustment shown in the table both include a 0.8% incentive portion. Thus the actual average base increase in effect now is 2.2% for staff and 3.5% for MAP/A& PS. By showing a 3% increase for staff and 4.3% increase for MAP/A& PS as of 1/1/95, the table assumes that incentives awarded to employees working on sponsored projects will be charged to those projects, and that employees on average will receive a 0.8% incentive. These assumptions may not be valid for actual charges but can be useful for budget preparation purposes. We will keep you posted as we learn more about how the incentive program is likely to be implemented for employees funded by sponsored agreements.

A reminder: For academic and staff employees, separately budget for cost-of-living and then add merit increases where applicable. For MAP and A& PS personnel, budget an average increase with no separate calculations for cost-of-living and merit.

Rationale for Salary Escalation Projections

For MAP and Administrative and Professional personnel, cost-of-living and merit increases are not separately budgeted and, therefore, a total increase reflecting combined merit and cost-of-living increases have been estimated. The projected merit increases as of 1/1/95 are based upon the State budget. The projected increases as of 7/1/95 and thereafter were developed by Research Administration Office staff and coordinated with staff of the Director of the Budget.

HHS Region IX Notification of Salary Projections

A copy of this C& G Memo has been transmitted to the Division of Cost Allocation, HHS Region IX, to satisfy the requirement that the University notify its cognizant agency of changes in the University's salary escalation projections.

Refer: Bill Sellers (510) 987-9848

william.sellers@ucop.edu (e-mail)

Subject Index: 02, 07, 10

Organization Index: U-115

Cancel: 93-15, Schedule 3

David F. Mears

Director

Research Administration Office

Enclosure

cc:

Vice Chancellors--Research

Accounting Officers

Internal Audit Managers


December 15, 1994

Mr. David Low

Division of Cost Allocation

Department of Health and Human Services

50 United Nations Plaza

San Francisco, CA 94102

Dear Mr. Low:

Enclosed is a copy of Revised Salary Projections for the University of California. This document will be used by campus Contract and Grant Offices for estimating future salary costs in proposals for extramural funding.

Please contact William Sellers of my staff at (510) 987-9847 if you have any questions about the budgeting of salaries at the University of California.

Sincerely,

David F. Mears

Director

Research Administration Office

Enclosure

cc: Campus Contract and Grant Officers, w/o encl.