Duke

Appropriation and Transfers

Represents 1) an assignment by the Board of Trustees of a portion of the unrestricted revenue of the Current Unrestricted Fund or 2) the reallocation/reclassification of revenue or accumulated surplus from one fund to another.

Auxiliary

Enterprises that function in a subsidiary capacity providing services, materials or facilities to University and non-University elements. Generally speaking, they cover their own expenses. Examples are DUAA, DUFS, Golf Course, Press, etc.

BFR (Budget and Financial Reporting) Code

Departmental position code within the company code structure.
Also referred to as "Organizational (Org.) Code".

The BFR code is a series of ten digit codes within the General Ledger that provides a five level organizational hierarchy structure. Every position and cost object at Duke will be linked to a BFR code at some level in the hierarchy.

BPS (Budget Planning & Simulation)

BPS is a web-based module that replaced the use of "Pillar" for Budget Planning.

Budget Incentive Agreement/Formula

Series of agreements established by the Provost's Office, Medical Center, or President in conjunction with the Executive Vice President, whereby a school/organization will share any surplus to budget, consequently the school will also be held accountable for any deficit to budget.

Budget Process

1. Prepare forecast to test assumptions and establish tuition and enrollments.
2. Give departments an opportunity to request funds and set rates according to department's operational requirements.
3. Give Senior Officer's the flexibility to evaluate requests and shift resources according to priorities established by each sector.
4. Consolidate the Budget. If bottom line problem exists, turn back over to Senior Officer for resolution.
5. Present balanced budget to the Board of Trustees for approval.

Company Code

A company code is a four-digit code corresponding to an independent accounting or business unit within Duke. The company code is a division that maintains the accounting balances separately (separate set of books) and creates the legally required Balance Sheet and Profit & Loss Statement.

Cost Center

Previously referred to as "Fund Code", the Cost Center defines the owner of costs or general operating expenses. Cost centers are organized by areas of responsibility. The Cost Centers are briefly outlined by Company Code as follows:

* In Company Code 0010 have seven-digit cost centers beginning with 15x, 168, 180, 190, 4xx, 5xx, 6xx, 8xx, and 9xx (such as example 157-3124). Some of DCRI's Cost Centers contain additional digits.

* Company Codes 0020, 0030, 0040, 0050 and 0060, have nine-digit Cost Centers (such as example 306060025).

Depreciation

Amounts that are calculated to record the decline in value of the operating funds. Duke records depreciation for capital assets, equipment, and buildings.

Direct Codes

Costs directly attributable to a specific project or activity. Examples are salaries & wages, supplies, equipment, personnel benefits, etc.

Disposal of Property

Relinquishment of the title of property: includes the sale, cannibalization, or disassembly of the property.

Distributed Expenses

The process by which the costs incurred by components of the University (while providing a service) are charged to the components receiving the benefit.

Expense Cost Center

Cost Centers in the 15xxxxx thru 180xxxx series.

Facilities and Administrative (F&A) Costs

The Government's Definition of F&A costs are costs that are incurred for common or joint objectives and, therefore, cannot be identified readily and specifically with a particular sponsored project, an instructional activity, or any other institutional activity. Examples include: salaries, wages and fringe benefits for clerical and administrative positions not allowable as direct costs, memberships, subscriptions, library books, periodicals, office supplies, equipment, janitorial services, photocopying charges (for general business use), postage, repair & maintenance, sanitation services, local telephone service, utilities.

Financial Full-Time Equivalent (FFTE)

A FFTE is the revenue dollars divided by a particular school's/organized activities tuition/fees. Depending on the number of part-time students, this number may be quite different from a "head-count". This equivalent is calculated by the Budget Office to monitor variances and utilized by the Cost Allocation & Analysis department to distribute expenses.

Fiscal Year

The fiscal year begins July 1 and ends June 30. The fiscal year is divided into four quarters, each with three fiscal months. The first month of each quarter contains five weeks; the remaining two months each contain four weeks. Fiscal months begin on a Monday and end on a Sunday at midnight. The fiscal months of June and July will often deviate from this because the fiscal year always begins on July 1 and ends on June 30.

Forecast

Process that assists in the preparation of a balanced budget. Budget Office utilizes the current budget and extrapolates a projection of this into the future based on inflators and data received from various departments and offices.

Full-Time Equivalent (FTE)

A FTE is the revenue dollars divided by a particular school's/organized activities tuition/fees. Depending on the number of part-time students, this number may be quite different from a "head-count". This equivalent is calculated by the Budget Office to monitor variances and utilized by the Cost Allocation & Analysis department to distribute expenses.

Fund

A Fund tracks balance sheet information by fund (fund code in old terminology), including expense and revenue balances. A Fund represents the basic unit that comprises the entire organizational and functional structure of Duke. A Fund must have a corresponding Cost Center, Profit Center, or WBS Element (Project) for transaction to be received.

Organizational (Org.) Code

Departmental position code within the company code structure.
Also referred to as "BFR Code".

The BFR code is a series of ten digit codes within the General Ledger that provides a five level organizational hierarchy structure. Every position and cost object at Duke will be linked to a BFR code at some level in the hierarchy.

Organizational Unit

An organizational unit is an eight-digit number that represents the hierarchical organizational structure with regards to HR and Payroll in the SAP system. For example, these eight-digit numbers can represent a department within the School of Medicine or a school within the Provost area. One example of an organizational unit is 50000393, which represents Cardiology within the Department of Medicine.

The term Organizational Units pertains to the HR and Payroll functions for both the University and Health System companies, while the term Org. Units pertains to a similar concept of a hierarchical structure for financial reporting purposes for Duke University.

Position Management

Position Management is handled though iForms and is a concept of position ownership by departments or major units, allowing them to better track and manage positions. Every position at Duke has a unique identifying number known as a "position management number" which will stay with the position throughout its "life" and is independent of the employee who may be filling the position. iForms is used for the processes of creating, modifying, deleting or reorganizing a position.

Project

A Project outlines all the pieces or steps of a project, including the Project Definition and the WBS (Work Breakdown Structure) in both a graphic and spreadsheet type format. At Duke, a Project is defined as any "fund code" with a beginning and ending date. Therefore, all fund codes beginning with 3xx and 7xx are managed as Projects in the PS module. These include the restricted funds, clinical trials (Duke Clinical Research Institute - DCRI), construction funds, and capital acquisitions (mainly for the Health system Company Codes 0020-0060).

Project Costs

All allowable costs, as set forth in the applicable sponsors cost principles, incurred by a recipient and the value of the contributions made by third parties in accomplishing the objectives of the award during the project period.

Project Definition

The framework laid down for all of the objects created within a project. The Project Definition contains dates and other organizational information that is binding for the entire project.