Orientation Workshop: Collections Budget
January 31, 2001, 10:00 - 11:00
(revised 2/26/01)

Questions

  1. What is the historical background of the collection budget?  How was the dollar amount set for each collection?
  2. What is the overall library budget?  What percentage and what amount go to collection?
  3. How is the collection budget divided?  Where else does it go besides to collections managed by collection managers?
  4. What factors are taken into consideration when allocating new collection money, including one-time and permanent funds?
  5. What is the origin of the one-time and permanent funds?
  6. What are the procedures for moving funds between serials and monographs?
  7. What is the timeline for spending book budget?
  8. What is the purpose of interdisciplinary funds, i.e. SOCS, HUMA, AREA, SCIE?
  9. When is the year-end closing?  What is involved?  How do funds get moved around?
  10. Can unspent collection money be rolled over to the next fiscal year?
  11. Are there funds that collection managers can apply use for special purchases, e.g., electronic resources, back files, A/V materials, newspapers, etc.?  What are the criteria?
  12. How does prepayment to serials or approval plans work?  How does it affect the overall collection budget for the next fiscal year?

Answers
1. What is the historical background of the collection budget?  How was the dollar amount set for each collection?

The library budget allocation for U.C. campuses was historically based on a library planning study called, The University of California Libraries: A Plan for Development, 1978-1988, or the Salmon Plan (authored by Stephen Salmon).  Specifically, the method for determining the library budget for each campus is called the Voigt-Susskind formula.  A copy of the Salmon Plan is in Special Collections: Z733.C154 C345 1977

The base amount of campus library collection budgets rests with the Voigt-Susskind allocation and any additional funds campuses may have added.  Since 1998, the process of allocating money to the UC Libraries has changed.  Campus chancellors receive their budgets as "block grants" where each campus has discretionary authority to allocate money among departments on campus including the libraries.  But, a few line budget items are still part of the state budget that goes directly to the library.  Amount per campus is determined by percent of budgeted campus enrollment compared to the total UC wide enrollment  (currently 11.2 %). In the last two years, the library has been given supplemental permanent funding from the campus.

2.   What is the overall library budget?  What percentage and what amount go to collection?

Fiscal year 2000/2001 - Total Library budget: $14,895,000
Collections budget: $4,878,000 (about 33%)

3. How is the collection budget divided?  Where else does it go besides to collections managed by collection managers?

New collection funds are allocated in the following ways:

Collection budget also funds the following:


4.  What factors are taken into consideration when allocating new collection money, including one-time and permanent funds?

The allocation of new money is based the evaluation of objective data including  enrollment, majors, average cost of materials, faculty FTE (full-time employment), and number of graduates & researchers.  Collection managers' requests for additional funds are often based on special needs of the academic program, such as new degree programs.  The reputation of the academic program, degrees offered, and administrative discretion are some of the subjective factors taken into consideration for special allocations.

5.  What is the origin of the one-time and permanent funds?

6.  What are the procedures for moving funds between serials and monographs?

a.  Monographs to serials: no problem as long as on-going money is transferred

b. Serials to monographs: requires consultation and approval from the AUL for Collections. Before approval is granted the collection manager should do the following:

7.  What is the timeline for spending book budget?

50% of the budget spent by December 31
75% by March 31
100% May 15

8.  What is the purpose of interdisciplinary funds, i.e. SOCS, HUMA, AREA, SCIE?

The purpose of the interdisciplinary funds are to acquire items that are pertinent to more that one discipline. These funds also provide a supplementary source of money for items that may be too expensive for individual funds.  HUMA also acquires materials on popular culture.  SOCS has a list of "hot" topics they target for funding.

9.  When is the year-end closing?  What is involved?  How do funds get moved around?

The fiscal year closes on June 30th.

In a nutshell, all the open Pegasus orders are transferred to the new fiscal year along with their encumbrances.  The unencumbered money left in a fund at the end of the year can either be carried forward to the following "new year," fund or it can be transferred to another "new year" fund.  Reports are generated that summarize the expenditures and fund balances at the end of the fiscal year.

Funds can be transferred manually by someone with the proper Pegasus security.  System generated transfers happen automatically at the end of the fiscal year.

Here's an example of system generated fund transfers.  User ID ######## = system action.  The 7/3/00 entry for $6032.96 represents the money needed to cover the ANTH open orders transfer.  (Orders encumbered in the "old year" are carried forward with their associated funds.)  The 7/3/2000 entry for $4088.12 represents the unencumbered balance in the ANTH fund at the close of the fiscal year.  (Free balance transferring to "new year")

LTMA DONE
                                              NOTIS FUND RECORD       0146
FUND CODE:  ANTH                  FUND NAME: ANTHROPOLOGY
STATUS:   A       GP:  LIBR       OFFICIAL ID: 8-605200-19900-4-9200
FY: 00/01 07/01/2000 - 06/30/2001 BUDGET ID: LIBRARY BOOKS
 
 FUND ALLOCATION CHANGES SUMMARY
 
       DATE           AMOUNT  USER ID        COMMENTS
 
001 06/26/2000        5102.00 VITUR    INITIAL ALLOCATION
002 07/03/2000        6032.96 ######## FISCAL PERIOD CLOSE TOTAL ALLOC. CHANGES
003 07/03/2000        4088.12 ######## UNC. BAL. TRANSFERRED FROM ANTH   99/9
004 12/04/2000        2510.00 VITUR    trans from LIBRES

Allocation for next fiscal year must be input by mid-June.  AUL for Collections works with the Budget Committee, and Head of Acq/Cat, to determine allocations for next fiscal year.  Typically allocations are based on current FY allocations plus inflation until we know the university budget for collections.

10.  Can unspent collection money be rolled over to the next fiscal year?
The AUL for Collections makes decision about any unspent money.  Unspent funds can be carried forward into the next fiscal year with several options.

11. Are there funds that collection managers can apply use for special purchases, e.g., electronic resources, back files, A/V materials, newspapers, etc.?  What are the criteria?
 
Collection managers can request supplemental funding from the following funds for special purchases as long as they meet academic needs for instruction and/or research:


* This fiscal year (2000-01) extra money has been allocated for special funding, such as the following:

12. How does prepayment to serials or approval plans work?  How does it affect the overall collection budget for the next fiscal year?

The Library makes serial prepayment using unspent funds at the end of the fiscal year (FY).  As a result, the cost of our serials is discounted by 2.5% to 4.5%.  The payment goes to serial vendors to prepay large serial invoices not due until the next fiscal year. When the new budget for serials is allocated in the new FY, it replenishes the serial's fund, which serves as a reserve fund for collections budget emergency.


Back to Collection Manager's Manual.
Authors: Task Force for Orientation of New Collection Managers; comments on content and arrangement to Sherri Barnes.

Updated: 10/15/04 10:37:44