Accounting & Financial Reporting

Setting up Accounts for Rate-Based Self-Supporting Activities

 Introduction: What is a Rate-Based Self-Supporting Activity?

There are a number of rate-based self-supporting organizations/activities at UCD. These entities have a number of common features:

  • Products or services are provided, for a fee, by campus departments
  • An activity functioning as a non-profit business
  • An activity that collects revenue sufficient to cover all costs
  • Services offered are necessary to advance the educational, research, or public service functions of the university
Click on each of the links above to learn more about rate-based self-supporting activities and how they should be entered on a KFS Account document.

Note: There are self-supporting activities that are not rate-based. Those self-supporting activities not identified in this documentation as rate-based will not require the Rate Names and Account Indicators sections to be completed, but the Assessment Types section will be required.

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Activity Classifications: Rate-Based Sub Fund Group Codes

The Sub-Fund Group Code identifies the type of activity.

Sub Fund Group Code Name Description Examples
SSEDAC Sales and Services of Educational Activities Income producing activities operated by academic departments in connection with the training of students or support of research activities Crocker Nuclear Lab Services, Dental Clinics
SERENT Service Enterprises Provides service to campus departments and operating costs are primarily supported by recharges Storehouse, Fleet Services
OSSSO Other Sources Other sources include income sources which do not fall naturally into any of the other classifications. Primarily sales and services from non-academic departments Recreation Hall

When creating or modifying an account, you can't enter the Sub-Fund Group Code directly on your Account document. The Sub-Fund Group Code will automatically default based on the UC Fund entered:

  • If you click on the lookup icon on the UC Fund field, you can search by the Sub-Fund Group Code and select an appropriate UC Fund.

On the Account Lookup in KFS, you can enter one of the Sub-Fund Group Codes listed above to locate self-supporting accounts in your organization.

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Account Assessment Types

The fields in the Account Assessment Types tab on the Account document are required when completing an Account document with one of the rate-based self-supporting activity sub-fund group types.

  • The Assessment Type Code field identifies the Non-University Differential (NUD) or other assessment(s) approved/required by your Dean's/Vice Chancellor office, Budget & Institutional Analysis office.
  • The NUD is charged to non-university clients when they purchase goods or services from UC Davis. The NUD ensures that self-supporting activities recover full costs by including indirect costs. Indirect costs, also known as Facilities and Administrative (F&A) costs:
    • Are costs of conducting business that are incurred for common or joint objectives
    • Cannot be identified readily and specifically with particular projects or a specific activity
  • The NUD is charged in addition to the calculated recharge rate (direct costs). Direct costs:
    • Are costs that can be directly and consistently traced to product or service (e.g., personnel costs, materials for the end product)
  • Normal NUD = NUD3 Assessment Type
  • Refer to the resources on the Budget & Institutional Analysis website for more information.

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Revenue Account Number

UC Accounting structure reports revenues and expenses in separate accounts. In the Account Maintenance tab of the Account document, the UC Revenue Account Number field identifies the account that will be used to report all revenue/income (object consolidation code INCO) in this KFS Revenue/Expense account.

The account automatically defaults and begins with the number "2" followed by the UC Fund Number. For example, a UC Revenue Account assigned to UC Fund 60240 would be 260240.

Note: This field is only used for accounts assigned to self-supporting funds.

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Rate Names

The fields in the Rate Names tab on the Account document are required when completing an Account document with one of the rate-based self-supporting activity sub-fund group types.

  • There doesn't need to be a name for every rate, but there should be a name for each group of rates that is presented/reviewed together.
  • The Review Date should be the last date that the rate was reviewed by the campus rate group or your Dean's/Vice Chancellor Office. Note: The approval authority for the rate is entered in the Account Indicators tab in the Income Authority Code field.
  • The Expired Date field indicates the next time the rate should be reviewed by your Dean's/Vice Chancellor Office. This date should be no more than 10 years later than the Review Date.

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Account Indicators

The fields in the Account Indicators tab on the Account document are required when completing an Account document with one of the rate-based self-supporting activity sub-fund group types.

  • The Depreciation box should be checked if the approved rate includes depreciation expense. Leave unchecked if no depreciation is included in the rate.
  • The Reserve for Improvement box should be checked if the approved rate includes a reserve for improvement expense. Leave unchecked if no reserve for improvement expense is included in the rate.
  • The Review Date should be the last date that the rate was reviewed by your Dean's/Vice Chancellor Office.
  • The approval authority for the rate is entered in the Income Authority Code field.
  • Select the appropriate option for the source of income in the Income Type Code field.

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Self-Supporting Class PowerPoint Presentations

View Budget Training Classes here.

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Setting up Accounts for Non-Rate Based Self-Supporting Activities

Note: For rate-based self supporting accounts (sub fund group codes SSEDAC, SERENT, OSSSO), see the other informational page.
  • When setting up an account for a self-supporting activity with one of the sub-fund group codes listed below, the Assessment Types section of the Account document is required. Refer to the resources on the Budget & Institutional Analysis website for more information.
  • The Rate Names and the Account Indicators sections are not required and should not be completed when entering an account with one of these sub-fund group codes:
    Sub Fund Group Code Name
    FEDOFF FE OVERHEAD OFF THE TOP
    GSMEXT GSM EXECUTIVE PROGRAM
    MEDEXT CONTINUING MEDICAL EDUCATION EXT
    OTHER OTHER SOURCES - NON RATE BASED
    OTHUNV OTHER SOURCE-UNIV RELATED EVENTS
    PLTSER PLANT SERVICE
    SERMAT SERV ENTR MATERIAL FOR RESALE
    SSAUX SALES AND SERVICE OF AUX ENTERPRISES
    SSEDPI SALES AND SERVICE ED ACT FED PROG INC
    SSEDSM SALES & SERVICE-ED ACT SOM
    SSEDVM SALES & SERVICE-ED ACT VMTH
    SSSOM1 SALES & SERVICE EDUC ACT SOM UNIV EVENTS
    STIP SHORT TERM INVESTMENT POOL
    UNVEXT UNIVERSITY EXTENSION

    VMEXT

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    VET MED CONTINUING EXTENSION

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