Fiscal Operations Manual
Section 200: Revenue (Internal)
Effective: 01/01/2003
Revised: 12/01/2014

 

WARNING:  THESE ARE NOT CURRENT POLICIES!!

Please see current Fiscal Policy Manual for current policies

 

 

Investment earnings are credited to a central Fund based upon an average daily collected bank balance. These earnings are then distributed on a quarterly basis based on average daily balances according to Banner records.

Some types of funds have legal requirements or covenants that require investment earnings to be directly attributed and distributed to that particular fund. This includes the following fund types which are all bank codes except B1:

  1. Student Loan and other Federal Funds
  2. Gift, Grant, Donation, and Matching Funds
  3. Student Building Fee and other Student Funds
  4. Invention Fund
  5. Bond Building and Unexpended Plant Funds
  6. Renewal and Replacement Funds
  7. Retirement of Indebtedness Funds
  8. Agency and Deposit Trust Funds
  9. Retirement Funds

The interest earnings attributable to all other fund types using the B1 bank code include:

  1. Budgeted Operating Funds
  2. Designated Operating Funds
  3. Service Center Funds
  4. Auxiliary Enterprise Funds (except Intercollegiate Athletics)
  5. Restricted Funds – Cost Reimbursable

Interest earned on Education & General (E&G) funds is distributed only to the campus level, not to individual funds.

Pooled endowment funds (bank code SH) are not eligible to receive investment earnings under this policy.

A custom report is used that computes the average daily balance for each Banner bank fund. The report uses the “posting” date rather than “effective” date. This makes it very important that cash-related transactions be recorded in Banner on the actual day they occur to the extent possible.

Interest earned on money that comes from the State General Fund is deposited into ZARN11.