Service Finance

Service Finance is responsible for budget execution, and expenditure analysis. Staff also tracks appropriations and expenditures by service category, provides estimates of expenses, and works with Service owners to strategize on optimal cost recovery methodology. Budget execution is the process of monitoring, adjusting, and reporting on the current year's budget. Fiscal Partners monitor service spending throughout the year. Each service owner develops a spending plan at the start of the fiscal year, which runs from July 1 through June 30, and actual spending is then compared to these plans. Service owners periodically submit reports with summaries of spending to date and projections for the remainder of the year. Careful monitoring of the budget, including periodic review of these reports, is crucial for early identification of spending pressures -- areas of the budget which, if not adjusted, could lead to overspending by the end of the year. Spending pressures can then be resolved by altering spending patterns within a service or by initiating a budget action in partnership with the Budget Office.

Budget Management Flow Chart»

Service Finance is also charged with setting rates for each service. Rate setting involves detailed compilation of prior years actual expenditures in conjunction with the formulation of the next fiscal year's forecasted spending. Rates are set each year for each individual service. These rates, along with other factors, combine to determine common policy billing.