Campus Colleagues,
As part of the Gift and Endowment Project reconciliation and review effort, additional considerations have been identified regarding the allowability and appropriate use of budget transfers within gift and endowment funding practices.
Based on this review, and to ensure continued compliance with donor intent, fund restrictions, and UC gift and endowment accounting standards, budget transfers will no longer be used as a primary mechanism to move funding across campus for any gift or endowment project, regardless of fund source (Regental or Foundation).
Effective immediately, the following guidance applies:
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Budget transfers are no longer the primary tool for moving dollars on any gift or endowment project.
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Budget transfers may be processed only between the same fund and the same project attribute, and only where explicitly permitted on Regental funded gifts.
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To move funding between gift or endowment projects for actual expenditures, departments must submit a Financial Journal Entry reflecting the actual expense activity to be transferred.
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If the intent is to allocate or sub‑award a portion of a gift or endowment project to another department or individual, budget transfers are not permitted. Departments must instead use one of the following approaches:
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Submit a budget request (using the same project and fund attribute) to the Budget and Financial Planning team to add an additional FIN/HR unit to the project.
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Please note: This method does not restrict FIN/HR units from spending beyond the initial allocation; departments are responsible for monitoring all activity closely
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Budget transfers are permitted only for projects under Funds 10001 and 60002 and fund hierarchies 1010C and 7000C, after the review process is complete.
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Establish a separate GFT/END project attribute and process an actuals fund transfer between the two projects (the fund must remain the same) via a Financial Journal Entry.
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These changes are intended to strengthen consistency, transparency, and compliance in the management of gift and endowment funds across campus. Additional guidance will continue to be incorporated into formal procedures and training materials.
Detailed information is available at https://bfs.ucmerced.edu/gift
Questions may be directed to Financial and Accounting Services or Budget and Financial Planning.
Thank you for your partnership and continued stewardship of donor funds.
Financial and Accounting Services
Budget and Financial Planning
