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University Grants Commission - Sri Lanka

Finance Circular Letter No. 4/2008

5th June, 2008



Vice-Chancellors  of Universities,
Directors of Institutes,
Rectors of Campuses.

 

 

BUDGET  ESTIMATES  FOR  2009


Your attention is invited to section 15(ii) of the Universities Act No. 16 of 1978, which empowers the University Grants Commission to prepare triennial budgets of the Higher Educational Institutions, in consultation with the governing authorities of such HEIs.  Accordingly you are requested to submit the Recurrent and Capital estimates of your Institution for the year 2009, in the formats annexed to this circular.

1. Recurrent Estimates

1.1 Personal emoluments

1.1.1  Salaries & Wages payable for the year 2009, should be based on the restructured salaries as per Commission Circular No. 879 of 11th August, 2006.

1.1.2 Provision should be made for annual increments based on the new salary structures.

1.1.3 The Cost of Living Allowance payable for 2009 should be based on Establishment Circular Letter No. 02/2008 of 29th January, 2008.

1.1.4 Payment of the Academic Allowance should be based on 25% of the new salaries, in terms of Department of Management Services Letter UGC/D/1/UGC/S&A of  7.8.2006.

1.1.5 Estimates for Academic staff salaries & allowances for existing staff only should be shown in Schedule 1.

1.1.6 Estimates for Non-Academic Staff (Administrative & Non-Administrative) salaries & allowances for existing staff only, should be shown in Schedule 2.

1.1.7 The totals of Schedules 1 and 2 should be transferred to item 1 (Personal Emoluments) in Annex A.

1.1.8 Provision should be included in respect of the following cadre posts, in addition to existing staff.

(i)       vacancies to be filled in 2009 (if any), the filling of which have been approved by the Department of Management Services - to be shown in Schedule 3.

(ii)       new cadre posts for 2007/2008, approved by the  Department of Management  Services, to be filled in 2009 (if any) - to be shown in Schedule 4.

(iii)       cadre  for  new  degree  programmes  –  2008,   approved   by   the Department   of   Management   Services,  to  be  filled   in  2009 (if any) – to be shown in Schedule 5.

The totals of schedules 3,4 and 5 should be transferred to item 2 (filling vacancies and new cadre posts).

1.2       Other Expenses

The Estimates for the following items of expenditure should be shown in items 3 - 7 respectively in Annex A.

  • Travelling
  • Supplies
  • Maintenance
  • Contractual Services
  • Other Recurrent Expenses

The estimates of recurrent expenditure should be realistic, based on academic programmes and activities planned for 2009, and should take account of the student enrolment for 2009.

2.      Internal Income

Internal Income from Interest, Tuition fees, Examination fees etc. should be a realistic estimate based on academic programmes, the student enrolment for 2009, and other activities planned for 2009, and should be shown in Annex B.

3.       Grants, Donations, Endowments

Grants, Donations and Endowments receivable in 2009, from any source other than through the UGC, should be reported in Annex C.

4.       Comparative Figures

It is essential that accurate comparative figures for 2007 and 2008 are shown in the relevant columns of Annexes A, B and Schedules 1 and 2.

5.       Capital Estimates

5.1    Rehabilitation & Improvements
Estimates for Rehabilitation & Improvement to capital assets during the year 2009, should be shown in Annex D.

The Commission will not be in a position to support the estimates for rehabilitation & improvement of assets, unless the nature of the rehabilitation work is clearly identified.

5.2    Acquisition of Fixed Assets
Estimated expenditure for Acquisition of Fixed Assets should be shown in Annex E.
It is essential to give a brief description of the programmes which require furniture, office, laboratory & teaching equipment, in order to be able to justify the expenditure, during negotiations with the Treasury.

5.3    Estimates for Continuation Construction Projects
Construction projects for which funds have been allocated upto 2008 should be listed as continuation projects.  Budgetary provisions should be sought for these projects, only if construction work will continue in 2009, or if the payment of bills will fall due in 2009.  However, budgetary provisions should not be sought in excess of the spending capacity of the HEI.  Estimates for continuation projects should be shown in Annex F.  Funding of projects will be rejected unless complete information is provided vide Annex F.

5.4   Estimates for New Construction Projects
Only new construction projects which have been recommended by the Department of National Planning/approved by the Cabinet of Ministers will be accommodated for funding in 2009.  Budgetary provisions should be sought only for the value of payments to be made in 2009, and not for the full TEC (Total Estimated Cost).  Estimates for New construction projects should be shown in Annex G.

6.    General
The Estimates for 2009 should be prepared strictly in accordance with the Annexes and Schedules enclosed with this circular, and should be submitted to reach the University Grants Commission on or before the 20th June 2008.

All schedules and annexes must be in Excel worksheets, and a hard copy should be submitted with soft copies. (either in a diskette or emailed to finance@ugc.ac.lk).  The UGC formats of the schedules and annexes should not be changed under any circumstances. Any rows or columns which are not relevant or which are left blank should be given Zero value, instead of being deleted.   Estimates submitted without the soft copies, or with amended formats will not be accepted.

The UGC will not accommodate requests for extra budgetary requirements from time to time, arising as a result of inadequate forward planning by the HEIs.  Therefore all HEIs are advised to plan their activities for 2009 well in advance, (eg. award of construction contracts, procurement of equipment, furniture & library material, major rehabilitation projects etc.) and to estimate the budgetary requirements according to the planned activities.

Registrars/Bursars are requested to bring the contents of this circular, to the notice of all Deans and Heads of Department of their respective Universities.

This circular together with all Annexes and schedules are available for downloading at www.ugc.ac.lk

 

 

Prof. S. V. D. G. Samaranayake
Chairman

Cc:

  1. Chairman/UGC
  2. Vice-Chairman/UGC
  3. Secretary/UGC
  4. Financial Controller
  5. Director/IDD/UGC
  6. Registrars of Universities
  7. Bursars of Universities
  8. SAR/AR/ of Institutes/Campuses
  9. SAB/AB/ of Institutes/Campuses
  10. Accountant/UGC
  11. Chief Internal Auditor/UGC
  12. Snr. Asst. Accountant/UGC
  13. Snr. Asst. Secretary/Supplies & Administration/UGC
  14. Auditor General
  15. Govt. Audit Superintendent/UGC
  16. Govt. Audit Superintendent/Universities

 

Download: Annexes and schedules

 

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