Manual of Policies and Procedures

G/4.1 Budget

Contact Officer

Executive Director, Finance Resource Management

Approval Date

12/10/2016

Approval Authority

Council

Date of Next Review

01/10/2019

4.1.1 Purpose
4.1.2 Application
4.1.3 Roles and responsibilities
4.1.4 Integration of planning and budget management
4.1.5 Budget cycle
4.1.6 Budget development and approval
4.1.7 Monthly forecasting
4.1.8 Budget reporting
4.1.9 Definitions
Related Documents
Modification History

4.1.1 Purpose

QUT is committed to a sound budgeting process which meets the strategic and operational objectives of the University and enhances the transparency and accountability of budgetary decisions. QUT's budget process:

  • complies with relevant legislation and standards
  • is consistent with contemporary professional practice; and
  • provides budget and financial information to inform management decision making.

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4.1.2 Application

This policy applies to QUT and its faculties, divisions and institutes.

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4.1.3 Roles and responsibilities

Position
Responsibility
Council
  • adopts and approves revisions to the University budget
Planning and Resources Committee
  • provides strategic advice to Council on budget issues
  • approves the University budget framework
  • recommends University’s budget to Council annually
  • recommends to Council revisions to the current year of the approved University budget
Chief Financial Officer
  • approves procedures relating to the preparation and submission of the University annual budget

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4.1.4 Integration of planning and budget management

The University prepares and manages its budget in conjunction with the annual planning process (A/2.2). The budget is based on estimates provided in conjunction between the Chief Financial Officer and responsibility centres, and its purpose is to deliver the approved plans of faculties, divisions and institutes. The University's budget includes revenue from all sources (including government funding, student fees and other sources) and all expenditure.

Program budgeting enables the University to monitor the sources and application of funds. Definitions of each of the programs are provided in the University's Finance Manual.

The University's Planning and budget package and the Triennial budget guidelines are released in the second half of each year. Faculties, divisions and institutes submit planning documents and three-year detailed budgets in accordance with the Planning and budget package and Triennial budget guidelines. 

Supporting integrated planning and budget management is the University's Project proposal framework. Further information on the policies and procedures relating to the University's budgeting process and Project proposal framework are contained in the Finance Manual.

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4.1.5 Budget cycle

QUT's financial year is based on a calendar year, and the budget for the University is set within this time frame. The University's budget is developed on a triennial basis. The University's budget for the ensuing triennium is considered and approved by Council at its December meeting.

A five-year Capital Management Plan is developed each year in conjunction with the University's triennial budget.

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4.1.6 Budget development and approval

Budget development

As part of the planning and budgeting process (A/2.2) faculties, divisions and institutes prepare and submit, for detailed review, their proposed budget for all activities, for the coming financial year and two out-years.

The Chief Financial Officer works with various stakeholders to complete the budgets for the various budget programs. Upon completion, all budget programs are consolidated into the University's budget for the triennium.

Budget approval

The University's budget for the triennium is submitted through University Executive Committee to Planning and Resources Committee for review and endorsement, prior to formal submission to Council for approval.

Planning and Resources Committee recommends to Council revisions to the current year of the approved University budget.

Some categories of expenditure/commitment of funds are subject to availability of funds within approved budget limits, as per the Schedule of Authorities and Delegations.

To ensure transparency, written approval from the Vice-Chancellor and President is required for budget transfers from the central contingencies to the Finance Business Solutions Division.

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4.1.7 Monthly forecasting

The University undertakes a review of its financial performance against the approved budget on a monthly basis.

Faculties, divisions and institutes are responsible for managing the monthly forecasting for their own areas.

The Chief Financial Officer consolidates the monthly forecasts for the total University, and works with stakeholders to incorporate changes in revenue and expenditure performance for all programs.

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4.1.8 Budget reporting

Reports on the University budget are made to University Executive Committee and Planning and Resources Committee on a regular basis. The University's budget reporting includes:

  • submission of annual Triennial Budget annually
  • submission of annual five-year Capital Management Plan annually
  • monthly management reports, including to each meeting of Planning and Resources Committee and Council
  • Mid-year Forecast Report
  • Final Outcome Report.

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4.1.9 Definitions

Forecasting is the projecting of the result for the full year, based on year to date actual and anticipated transactions, updated at regular intervals throughout the year.

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Related Documents

MOPP A/2.2 University Planning Framework

MOPP H/1.1 Physical facilities planning and management

Financial Accountability Act 2009 (Qld)

Financial and Performance Management Standard 2009

Project proposal framework (QUT staff access only)

QUT Finance Manual Chapter 11 Budget Management (QUT staff access only)

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Modification History

Date

Sections

Source

Details

12.10.16 All Council Revised policy
06.07.14 G/4.1.2 Executive Director, Finance and Resource Planning Policy revised to embed the Project Proposal Framework
10.10.12 All Council Revised policy to reflect changes to budget forecast process and Australian Government funding and load management. Approval Authority changed to Council.

27.04.10

All

Executive Director, Finance and Resource Planning

Revised policy (including references to revised Financial Management Practice and Procedures Manual and revised budget reforecast process)

06.09.05

All

Executive Director, Finance and Resource Planning

Policy updated (including references to revised Financial Management Practice and Procedures Manual - now incorporates former Budget Policy and Procedures Manual)

02.03.05

All

Executive Director, Finance and Resource Planning

Updated following review of University budget processes and to ensure consistency with Budget Policy and Procedures Manual

06.07.04

All

Acting Director, Financial Services

Editorial amendments (including updated list of specific budget policies)

13.12.01

All

Executive Director, Finance and Resource Planning

Revised policy

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