What’s the difference between an unrestricted and a designated cost center?
Unrestricted Cost Center –Budgets for unrestricted cost centers are determined each year through the annual budget process. Unrestricted budgets are annual budgets, from July 1 to June 30. If any unused funds remain in the cost center at the end of the fiscal year, they do not roll over to the next year. Unrestricted cost centers generally have a fund number of 110001 or 110100 and are assigned a unique individual org (department) number. Designated Cost Center – These cost centers have been designated by the University Trustees to be expended for a specific purpose. Each separate activity is assigned a unique individual fund number and each fund has its own fund balance. The budget will be increased as new revenue is received. At the end of the fiscal year the balance of the fund, the ending balance, becomes the beginning balance for the new fiscal year.
