The Office of Budget & Planning provides oversight and guidance to ensure that all Income & Recharge programs comply with federal and UC policies and recover costs to avoid impacts on other resources.
Income & Recharge programs are university units created for the primary purpose of providing products and/or services to internal university users and/or external entities in support of the university’s education, research and public service mission.
Income & Recharge programs recover the cost of providing these services from the unit served on a “rate basis”.
- For internal customers an internal charging mechanism, referred to as “recharge”, is used to redistribute expenses for products or services provided by the Income & Recharge Unit.
- Sales and services provided to external entities are not achieved by the internal recharge mechanism. Rather charges and revenue are processed by a billing invoice and a cash receipt or credit card transaction, generating income.
The primary reason recharge programs exist is to share resources and provide services for internal users. Inappropriate outside use of university resources could jeopardize the university’s tax-exempt status for various purposes, give rise to claims of warranty and other liabilities, or appear to involve unfair pricing in relation to service providers in the local business community. As a non-profit business entity, the units providing the products or services function as a non-profit business and recharge in order to recover the costs of providing such products or services.
Income & Recharge activities can include:
- Identifiable Goods or Services provided at the request of the user.
- Central Campus Administration services provided by central campus administration units to self-supporting activities, or for services provided beyond the norm to those activities. Funding for the services should not have been part of the permanent departmental budget. Example: Human Resource training for a fee.
- Common Cost Allocation. A re-allocation of shared costs that are initially charged to one departmental fund when the cost applies to multiple activities or projects. The monthly rate is a formula rather than a set dollar amount.
- Conferences, retreats, meetings, and continuing education type courses which are sponsored by a UCSB department or unit and where some or all participants will charge a UC Account-Fund for their participation.
- Pass-Through Activities. Activities in which one unit, without recovering its own costs for providing the service, collects a series of third-party costs and periodically transfers those costs to another unit. No value is added to the product other than convenience. The cost/rate transferred represents only the invoiced or direct cost of the product/service. Pass-Through Activities, by definition, will always break-even. External users may not be included in Pass-Through Activities. See Pass-Through Activities for more information.
Fees set by regulatory bodies and income subject to control through other specific University policy are excluded from the jurisdiction of the Income & Recharge Program. These include the following:
- Academic fees [System-wide tuition and fees under Regental policy and Course Material Service Fees & Miscellaneous fees]
- Summer Session fees for instructional programs
- Certain Auxiliary Enterprises (i.e., Student Housing, Dining, and Parking)
- Admission to athletic events, arts and lectures programs, and other events
Proposal Submission Deadlines
2021-2022 proposals must be submitted to the Office of Budget & Planning by October 1, 2021
2022-2023 proposals must be submitted the Office of Budget & Planning by April 1, 2022