The Accounting Office is responsible for the accounting
of all financial records and transactions of the university. It maintains individual cost
centers and accounts for approximately 1,000 university departments,
auxiliary service units, and local fund activities. These accounts are subdivided
into four major categories according to their source of funds.
These operating funds are provided to the university by
State and internal appropriations.
Appropriations are made on a one-year basis, the amount of which
is determined from the annual operating appropriation request submitted
by the office of Finance and Facilities. All monies from State appropriations are held by the
State Treasurer. The State
writes all checks for monies expended from State funds requiring the
university to adhere to the State's accounting system.
These funds contain the assets, liabilities, and
operations of the major auxiliary services such as the dormitories,
Holmes Student Center, Huskie Stadium and Convocation Center. These facilities were
constructed from the proceeds of revenue bonds sold on the open
market. All operating
revenues of the system are subject to covenants contained in the Bond
Resolution which authorized issuance of the bonds. Operating funds are disbursed
from a local bank account.
These funds represent monies, which are specifically
allowed, under State statutes, to be retained by the university in a
local bank account. These funds consist primarily of Student Association
accounts, research grants and contracts, various sales and service
accounts, loan accounts, endowment and similar accounts, and
miscellaneous accounts for workshops and agency funds. University policy regarding these
funds is basically the same as those for appropriated and revenue bond
funds. Like revenue bond
funds, local fund disbursements are made by university check rather than
by State of Illinois invoice voucher.
Permanent improvement appropriations are another source
of funds to the university. Not considered part of the operating budget,
these funds are used to construct buildings, purchase land, and for major
rehabilitation of existing facilities. Funded through separate appropriation requests, funds
are often awarded through special agencies, for example, the Capital Development
Board. These monies are expended in much the same manner as the
appropriated operating funds above.