Any University department seeking to establish a recharge center must submit a written request, approved by the departmental executive officer, for review by the Controller’s Office. The sale of goods and/or services must align with the University's mission and the typical activities of the respective college/department.  Furthermore, existing recharge centers are required to furnish a written purpose statement to the Controller’s Office during the initial evaluation of their rate calculation. The Controller’s Office will serve as the primary contact for both new and existing recharge centers, coordinating with the Financial Planning, Budget, and Analysis Office as necessary.

The costs associated with  recharge centers must be clearly identified and can be billed to customers based on approved rate(s). The Controller’s Office will collaborate with each recharge center to ensure recharge rates are accurately calculated and compliant with policy guidelines.  Recharge centers determine the rates for goods and services, which undergo review and approval by both the Controller’s Office and the Financial Planning, Budget & Analysis Office. The billing rates are structured to enable the recharge centers to achieve a break-even point within a one year period. Prior year surpluses or deficits should be factored in the following year rate calculations. Recurring variances exceeding 5% require resolution in consultation with the Controller’s Office and the Financial Planning, Budget & Analysis Office. If surpluses exceed 5% of the permitted 12-month reserve, the recharge rate must be revised to deduct the excess balance in the following year’s rate calculation.  The Financial Planning, Budget, and Analysis Office will not approve recharge budgets without a formally approved recharge rate.

Responsibilities

Recharge Center Director (or designee)

• Submit a request to establish a new recharge center. 
• Manage the daily operations of the recharge center.
• Provide competitive rates and services while maintaining break-even margins and necessary fund balances. 
• Work with your assigned account managers in the Controller’s Office to prepare an annual budget and provide yearly, or more frequent, financial statements for the recharge center. 
• Work with your assigned account managers in the Controller’s Office to perform an annual review and rate analysis timely so that they may include any rate adjustments in their next year’s budgets. 
• Maintain detailed records supporting charges to internal and external users.
• Work with your assigned account managers in the Controller’s office to ensure an accurate listing of equipment utilized in recharge center operations, including its related depreciation. Process any charges for services provided to University customers and bill for services provided to external customers.

Department Executive Officer/Dean/Vice President

• Approve the establishment of new recharge centers and review the continued operation of existing ones. 
• Approve recharge center annual budgets. 
• Fund any deficits or disallowances created by recharge centers under their direction.

Property Control & Surplus Office

• Upon receipt of the equipment inventory schedule from the recharge center director, verify the bar code number to an inventory number in the university fixed asset system. Provide the appropriate depreciation charge amounts to the recharge center director for the listed equipment.  
• Forward the reconciled equipment inventory schedule to the Director of Grants & Contracts and the Controller’s Office for exclusion from the university’s depreciation in the indirect cost proposal. 
• Identify items of equipment that were purchased from federal funds.

Controller’s Office and Financial Planning, Budget and Analysis Office

• Review and approve the rate calculation for all new recharge centers for accuracy and consistency with applicable policies and procedures. 
• Review existing recharge centers revenues annually to verify that all recharge activity is in accordance with the policy.
• Monitor the rates for the recharge centers to determine if total billings for services are reasonable compared to the costs of operation. 
• Review rates periodically to determine if all unallowable costs are being excluded. 
• Notify the recharge center and appropriate administrators if the review identifies practices inconsistent with applicable policies and procedures.