An Income Fund Reimbursable (IFR) account is a funding device to operate activities that are not included in the regular campus general operating budget and cannot be funded through other mechanisms, such as the Research Foundation, the Brockport Foundation, or the Brockport Auxiliary Services Corp.
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An IFR account is operated on a self-supporting basis; revenues must equal or exceed expenses. State regulations require that all revenues from the IFR account be deposited into a state bank account through the Student Accounts & Accounting Office. A private bank account cannot be used. All expenditures of IFR funds are subject to State and campus purchasing and payroll regulations. Also, a petty cash or change fund cannot be kept using IFR revenues. A change fund can be established by contacting the Budgeting Office.
A simple way to understand the operation of an IFR account is to think of it as a checking account. Revenue derived from the IFR activity is deposited into the account. Expenses for operating the account are deducted from it. Allocations for personal service, temporary service, supplies, travel, contractual services and equipment expenditures are established to serve as your spending plan, and as a "line of credit" allowing you to make expenditures before revenues are received and credited to your account. You must generate enough revenue by the end of the fiscal year, June 30, to pay for the expenditures made against your “line of credit.”
There are two types of expenses in an IFR account -- direct and indirect. Direct expenses can be for personal service, temporary service, supplies, travel, contractual services or equipment and must be directly related to the operations of the account. As stated above, all expenditures from an IFR account are subject to State and campus purchasing and payroll regulations. For non-payroll expenditures requisitions must be submitted to the Procurement and Payment Services Office or as another option, the VISA procurement card can be used. Regular payroll appointments are made through the Human Resources Office and student appointments are administered through the Student Employment Office. Indirect expenses include fringe benefits, administrative overhead and maintenance overhead. Fringe benefits cover the costs of health insurance, retirement, payroll taxes, etc. and are automatically charged to the account as payroll expenditures are made. Administrative overhead is charged to offset the general administrative costs of operating an IFR, such as accounting, procurement & payment services, and payroll. Maintenance overhead is charged in order to recover the costs of using on-campus space and consuming utilities. Administrative overhead and maintenance overhead are charged to an IFR account when revenue is credited to it.
For 2018-19 the indirect costs are calculated as follows:
- Fringe benefits = 63.89% of personal service and regular temporary service expenditures (GA/TA and student temporary service are not charged for fringe benefits).
- Administrative overhead = 6.5% of revenues.
- Maintenance overhead = 9.5% of revenues.
Administrative and maintenance overhead expenses may be partially or fully waived upon approval of the Budgeting Office. Waivers are determined by the nature of the IFR account. The possible waiver categories for each type of overhead are:
- Administrative overhead waivers
- W-2 Research Foundation grants and contracts
- W-4 Federal programs
- W-13 Fiscal pass-through
- W-50 Campus approved waiver
- Maintenance overhead waivers
- M-2 Research Foundation grant
- M-4 Off campus
- M-5 Fiscal pass-through
- M-6 Pays maintenance and operating expense
- M-50 Campus approved waiver
As mentioned above, in most cases revenues from an IFR accounts’ operations should be collected by the account manager and deposited at the Student Accounts & Accounting Office on a regular basis. Proper internal controls should be in place to receive and record all receipts and to safeguard cash and checks that have not been deposited. Contact the Student Accounts & Accounting Office for procedures related to depositing IFR receipts. IFR revenues that are billed to students through the student billing process are collected by the Student Accounts & Accounting Office. Revenue collections are credited to IFR accounts in the SUNY Accounting System on a weekly basis.
At the end of each fiscal year, June 30, certain financial statistics for your account are required for reporting to SUNY System Administration for development of SUNY's year-end financial statements. These may include amounts for accounts receivable, inventories, and prepaid expenditures. The Budgeting office will send you information concerning these items in July of each year.
Account balance information and transaction detail for an IFR account can be viewed via the Internet by accessing SUNY's BI application (www.suny.edu/analytics). For instructions or to have access to this application, contact Mary Covell in the Budgeting Office at x2516.
To request a new IFR account, visit https://www.brockport.edu/support/budget/department_info.html and click on the link “New Account/Change Account Request.” On the form that comes up, fill out the section labeled “New Accounts.” If you have any questions, please call Crystal Hallenbeck at x2393.