In the budgeting process, collections are based on estimated cash price and utilization. These are reviewed by the Treasurer prior to each board meeting, at a minimum, and any recommendations for change would be provided to the full Board for consideration and approval. Collections are the basis for the development of the USB budget.
- The administration budget cap is set at five percent of estimated collections as provided in the Act and Order. A detailed budget category administration budget is established, managed and monitored by the Executive Committee and USB staff. Any funds under the five percent that are not required to accomplish the administrative objectives are held in Administrative Unallocated and remain available until the end of the fiscal year. Administrative Unallocated balances revert to unrestricted net assets.
- Non-project spending allocations are established for USDA oversight, direct-managed projects, QSSB Assessment Credits, purpose-specific reserves and other activities as determined necessary by the Board.
- Indirect program costs associated with primary contractors are allocated prior to action team funding allocation and re-evaluated on a semi-annual basis, which are direct-managed by the Executive Committee.
- Audit and Evaluation Committee funding equals two percent of funding to all other action teams and support committees.
- The Strategic Management Committee and Treasurer will submit budget recommendations for Board approval. This recommendation encompasses action team and support committee allocations.
- Budgets are established and approved by the Board and USDA prior to the beginning of each fiscal year. Budget allocations will be changed only in response to significant reductions in anticipated Collections.