Planning & Reporting
FY21 Budget Report Guidance
All university units are asked to use one of the following budget report guidelines, as appropriate, in the development of annual reports as part of the annual unit review process.
Goal IV of our Strategic Plan calls for us to be good stewards of our resources. We strive to make investment and allocation decisions in a comprehensive and collective way and to manage carryforward balances. The University of Illinois at Urbana-Champaign has implemented the Integrated and Value-Centered Budgeting (IVCB) model, with FY20 allocations determined under the model. We will carefully study the impacts of the model and consider changes that might be needed as the roll-out proceeds, and will continue the conversation with the campus community to gain valuable feedback.
An important budget reform-related activity, implemented last year, is a multi-year financial planning initiative that was developed to aid units, departments, colleges, campus, and the University System Office in building a cohesive and comprehensive plan that is consistent with our strategic plan, university mission, and campus values. These continued efforts will improve our transparency, accountability and risk assessment, enable us to identify and prioritize opportunities, facilitate participatory decision-making, and provide accurate and meaningful financial reports to university leadership, the Board of Trustees, and other stakeholders.
In reviewing and making funding decisions on centrally-funded unit requests for central resources, we are consistently directing units to look at their cash balances to leverage those first. For requests that are recurring in nature, we expect centrally-budgeted units to self-fund on a cash basis for the initial two to three years, where appropriate.
We are launching Operational Excellence at Illinois to increase our university’s efficiency and effectiveness at all levels while implementing continuous improvement processes and procedures. The initiative includes the following goals:
- Manage cash strategically
- Develop smarter budgeting systems
- Reduce redundancies
- Innovate processes and services
- Streamline decision making
- Identify cost and scale efficiencies
- Enhance productivity
In conjunction with the launch, we are asking units to provide explicit information regarding steps being taken to contain costs, opportunities for reorganizations or consolidations within units to help streamline administration and/or eliminate redundancies, as well as detailed information regarding plans for cash balances (see section 8). We look forward to partnering with the campus community as this important initiative gets underway.
We must continue with our longer-term strategy of reducing our reliance on the State of Illinois. This strategy includes the possibilities of reduced state appropriations as well as a shift in benefit costs from the State to the university. The initiatives must be guided by our commitment to advancing our reputation and diversifying and increasing our net revenue.
Units should submit their report to firstname.lastname@example.org by Monday, February 3, 2020.