Annually, the vice chancellor for academic affairs makes allocations to each college and, in CAS, the dean provides an allocation to each division. The allocations are based on a number of factors including, but not limited to, tuition and fee revenues, state general funds appropriated by the legislatures, restrictions imposed by the Governor, research funding, and previous allocations, subject to reallocation based on strategic initiatives, proposed additions and expansions, and various performance measures that may include
- Number of student semester hours taught
- Degrees and certificates granted
- Number of majors
- Class sizes
- Cost of delivering programs
The budget is divided into two major categories—A: Personnel funds, and B: Operating funds. Personnel funds include faculty salaries, lecturer salaries, and student wages. Operating funds include monies for telephone usage, copying, computer equipment, paper, maintenance contracts, etc. Funds may be moved temporarily from one category to the other provided permission is given by the college dean.
The UH system president submits his/her Budget Policy Paper to the Board of Regents (BOR) for approval. Once it is approved by the BOR, the Biennium Budget Advisory Committee convenes to assist in the development of the system-wide budget request. The advisory committee makes its recommendations to the President and s/he will discuss this proposed budget with the Chancellors prior to the Board of Regents Budget Workshop. The Biennium Budget Advisory Committee is comprised of system and campus administrators as well other key University constituent groups. The State of Hawaiʻi operates on a biennial budget system with a two-year budget funded during even numbered years. There is a supplemental budget during odd numbered years that accommodates small changes.
The UH Hilo Long Range Budget Development Committee, created in 2008, is charged with providing:
- broad input to the Chancellor and Chancellor's Cabinet regarding budget criteria
- strategies for obtaining additional financial resources for the University
- long range strategic planning for budget
- suggestions for methods of budget communication.
The committee assists the vice chancellor for administrative affairs to achieve transparency in budgeting through the communication of user-friendly information on UH Hilo's current budget status, the budget process for upcoming years, and other budget information affecting the campus.
Updated June 2013 by LF.