Reassess fund restrictions

Project Goals

  • Review UCOP restricted funds and fund commitments to determine whether any of them can be reclassified as unrestricted (“discretionary”) budget for reallocation to campuses, according to the following process:
    • Review and update as necessary definitions of current restrictions on the approximately 250 existing restricted funds.
    • Determine if any funding currently classified as “centrally controlled restricted” or “restricted” can be reclassified as “unrestricted funding.”
    • If there is a recommendation to change funding restrictions, determine and quantify the overall impact, if any, on the UCOP budget resulting from change in funding designation (both revenue and expense impacts).
    • Quantify the impact, if any, on the campus allocation resulting from the change in funding designation from restricted to unrestricted.

Plan Assumptions

  • UCOP can identify, categorize and document all current restricted fund sources.
  • Restricted funds can be multi-year commitments, and these agreements must also be documented to ensure they are managed accordingly.
  • UCOP can develop clear parameters for each fund source and outline the approved purposes for use.
  • In cases that are unclear or require judgement, UCOP will outline scenarios to mindfully select conservative or aggressive positions.
  • Reserve policy must be in place before redirecting any available funds, and UCOP reserves must be adequately funded before consideration of discretionary funding reallocation.
  • UCOP’s primary goal is to effectively limit assessment growth, aiming to incorporate areas of savings where available.

CSA Recommendations

By April 2018

  • Document and review the restrictions on its funds and fund commitments to determine whether it can reallocate any of these funds to its discretionary budget for reallocation to campuses.

By April 2019

  • Publish the results of its review of fund restrictions and fund commitments and any funds it anticipates reallocating to campuses.

By April 2020

  • Reallocate to the campuses funds that it identified during its review of fund restrictions and fund commitments.