Non-Current Funds

Table of Contents

Agency Funds

Agency Funds (fund range 900000-909999) are held by the University as custodian for others such as student organizations or faculty members acting on behalf of a professional organization. Because the University is serving only as a depository for these funds, they must be used in the fund and by the fund for the purposes of the fund. Expenditures may be transferred to or from an agency fund but the funds themselves may not be transferred. Agency funds usually are managed by academic departments.

Annuity and Life Income Funds

Annuity and Life Income Funds (fund range 700000-749999) are resources acquired by the University subject to an agreement whereby assets are made available to the University on the condition that the University bind itself to pay stipulated amounts periodically to designated individuals. Payments of such amounts terminate at a time specific in the agreement and upon termination the principal of the annuity fund reverts to the University. The Office of the Treasurer manages annuity and life income funds.

Endowment Principal Funds

Endowment Principal Funds (fund range 600000-639999) are resources with respect to which a donor has stipulated, as a condition of the gift, that the gift is to be maintained inviolate and in perpetuity. It is invested for the purpose of producing present and future income that may be expended or reinvested with the original gift depending on the wishes of the donor. Endowment principal cannot be invaded unless specified by the donor. The Office of the Treasurer manages endowment funds.

Introduction to Non-Current funds

In addition to unrestricted funds (general funds and earnings) and restricted funds (current use, endowment income and expense and grants and contracts) there is another group of funds typically referred to as non-current. These funds represent the University's long-lived assets, usually do not have income statements associated with them and are referred to as non-current funds because they are not used to support annual operating expenses. Non-current funds include:

  • Endowment Principal
  • Annuity and Life Income
  • Loan Funds
  • Plant Funds
There also are agency funds that are accounted for as a separate fund group. Transactions of agency funds are not considered transactions of unrestricted or restricted current funds.

Loan Funds

Loan Funds (fund range 750000-799999) are defined as monies entrusted to the institution for making loans, primarily to students. This is a revolving fund with loans made and loans repaid. The Office of the Treasurer manages loan funds.

Plant Funds

Plant Funds (fund range 800000-869998) are defined as funds used to account for the acquisition, maintenance and debt service associated with an institution's land, building, fixtures and equipment. The Office of the University Architect manages plant funds associated with buildings and other long-lived assets. From the perspective of a University department, plant funds in fund range 840000-849999 are used primarily as equipment reserves to replace capital equipment. Expenditures can occur in the plant fund or be transferred to operating when the expenditure occurs.

Revised: January 15, 2001