G/4.1 Budget

Policy Owner	Executive Director, Finance and Deputy Chief Financial Officer
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 and divisions.

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4.1.3 Roles and responsibilities

Position	Responsibility
Council	adopts and approves revisions to the University budget
Finance and Planning 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
Vice-President (Finance) and 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 Vice-President (Finance) and Chief Financial Officer and responsibility centres, and its purpose is to deliver the approved plans of faculties and divisions. 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 and divisions 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 and divisions prepare and submit, for detailed review, their proposed budget for all activities, for the coming financial year and two out-years.

The Vice-President (Finance) and 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 Finance and Planning Committee for review and endorsement, prior to formal submission to Council for approval.

Finance and Planning 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 Register of Authorities and Delegations (QUT staff access only).

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.

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

The Vice-President (Finance) and 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 Finance and Planning 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 Finance and Planning 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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Modification History

Date	Sections	Source	Details
26.07.22	All	Vice-Chancellor and President	Revised to update position title from Chief Financial Officer to Vice-President (Finance) and Chief Financial Officer
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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