• Section 1 - Overview and Scope
• Part A -  Delegations to support execution of the approved budget
• Table 1 – Authority to Commit Operating Expenditure
• Table 2 – Authority for Capital Expenditure
• Table 3 – Authority to Transact Investments
• Part B - Delegations to support execution of the operating and capital budget
• Section 2 - Authority and Compliance
• Section 3 - Quality Assurance
• Section 4 - Definitions

Section 1 - Overview and Scope

(1) The purpose of this policy is to establish and communicate the delegated authority levels for amending and executing the approved budget.

(2) This Rule applies to all staff of the University and members of the Council.

(3) Within this Rule:

1. Part A covers the delegations to support the execution of the approved budget; and
2. Part B covers the delegations in relation to the University’s annual operating and capital budgets.

Part A -  Delegations to support execution of the approved budget

(4) In order to enable the orderly execution of the approved business plan and budget, and in accordance with Section 16 and 17 of the University of New England Act, 1993, the Vice-Chancellor and Chief Executive Officer is delegated authority to collect revenue, enter obligations, incur expenditure and transact investments up to the maximum level identified in the tables below.

(5) The authority provided to the Vice-Chancellor and Chief Executive Officer under Article 3 comprises:

1. Unlimited authorisation to collect revenue consistent with the approved business plan and budget;
2. Within the limits established in Table 1 and Table 2, authorisation of capital and Operating Expenditure in the following forms:
   1. the authorisation of purchase requests and purchase orders;
   2. the authorisation of suppliers invoices and payment requests;
   3. the execution of contracts or other binding legal agreements;
3. Within the limits established in Table 1, certifying payments for recurring expenditures that are not typically subject to a business case or purchase order and are non-discretionary once contracted, including payroll and periodic payments under multi-year contracts for the supply of utilities, periodicals, and licensing arrangements;
4. Within limits established in Table 3, placing financial investments; and
5. Within limits established in Table 2, write off or dispose of debts, property, plant and equipment.

Table 1 – Authority to Commit Operating Expenditure

Table 2 – Authority for Capital Expenditure

(6) Authority above the maximum level of the Vice-Chancellor and Chief Executive Officer indicated in the tables is subject to prior approval by Council or Committees of Council as established under the University of New England Act, 1993.

(7) Where funding is received under a grant scheme or other funding agreement, the Vice-Chancellor and Chief Executive Officer has the delegation to expend funding up to the amount received where that expenditure is consistent with the terms and purpose of the agreement.  The use of this delegation is conditional on the fact that the expenditure is reported immediately to the Finance and Infrastructure Committee and Council for information following signing of the agreement.

(8) For approvals of Council and Committees of Council, the Vice-Chancellor and Chief Executive Officer is delegated the authority to sign all documents and to do all things reasonably required to implement the approval in accordance with its terms.

(9) The Vice-Chancellor and Chief Executive Officer may delegate their authority to other positions within the University, provided however that no position may have a delegated financial authority that is higher than the authority of the position to which the holder of that position reports and in no circumstance higher than the authority of the Vice-Chancellor and Chief Executive Officer. Such delegations will be maintained in the Tables, and Council will be advised of any changes to these delegations within three (3) months of the change.

(10) For approvals of the Vice-Chancellor and Chief Executive Officer, the Chief Financial Officer and Head of Finance are nominated to approve purchase orders, and authorise expenditure as reasonably required to implement the financial administration aspects of approval in accordance with its terms.

(11) Delegations pass to the person acting in the role where so approved by the delegate’s direct manager in writing.

(12) All delegations are governed by Section 21A of the University of New England Act and paragraph 10 of the University’s Commercial Activities Rule.

(13) Staff nominated to sign cheques and/or release University funds via electronic funds transfer (EFT) can do so at any value provided they have satisfied themselves that the expenditure has been authorised in accordance with the authority limits set above.

(14) Staff issued with a University Credit Card will have an authorised upper limit which may be varied from time to time by notice from the University. Use of credit cards is subject to clause (15) and to Credit Card Policy which may limit use for some categories of purchases. Where travel or airfare expenditure charged to a traveller’s credit card exceeds $10,000 then the travel must be approved via the University’s Travel Management System in accordance with the schedule of authorities detailed in Table 1 prior to travel being undertaken.

(15) This document should be interpreted using the following principles:

1. Where a dollar amount is stipulated as an approval limit, it is to be taken as a reference to the maximum contract value or maximum financial commitment/exposure of the University, whichever is the greater.
2. All delegation limits are inclusive of Goods and Services Tax (GST).
3. This document does not override or otherwise affect:
   1. The UNE Delegations Framework Rule or
   2. The Vice-Chancellor Functions Rule.

(16) The authority level for the approval of contract variations is to be assessed at the full value of the revised contract, not just the variation amount. For example; if a contract was initially approved for $1,000,000 and a variation is sought for $100,000 then the approval for this variation can only be granted by those individuals or Committees who have authority for $1,100,000.

(17) Approvals under all delegations are subject to specific approved budget allocations and adherence to conflicts of interest policy.

Part B - Delegations to support execution of the operating and capital budget

(18) In relation to the University’s annual operating and capital budgets approved by Council:

1. The Vice-Chancellor and Chief Executive Officer is authorised to
   1. revise revenue estimates in the budget to reflect updated forecasts that are made during the year.
   2. re-allocate budget between cost centres and projects.
   3. amend the budget to reflect the timing of the expenditure of revenue tied to a specific project, provided that such change does not alter the total projected value of expenditure for the lifetime of the project
2. When revenue exceeds budget, the Vice-Chancellor and Chief Executive Officer is authorised to allocate the necessary resources, and therefore expenditure, to support the relevant areas, provided that the annual net operating margin target (%) is not reduced.
3. When revenue does not exceed budget, the Vice-Chancellor and Chief Executive Officer is authorised to approve items/projects outside the general operations budget (income, expenditure and capital expenditure), provided that these are consistent with the approved business plan, up to an annual limit of one percent (1.0%) of total budgeted expenditure.
4. The Vice-Chancellor and Chief Executive Officer may authorise an adjustment to the budget to accommodate the completion of projects which were underspent in the prior year, provided that the total expenditure on such project aligns with the approved project plan/business case for such project and the resulting change in the budget does not add more than 3% to the total value of budgeted expenditure or consume more than 20% of untied cash and investments available at the end of the prior year.
5. All other delegates are authorised to re-allocate operating (not capital) budget within each cost centre for which they are accountable provided the individual budget holder:
   1. achieves the annual budget net operating surplus margin target ($ and %);
   2. operates within the total expenditure budget; and
   3. does not exceed the salary budget (permanent FTE, casual FTE or $).
6. Any such action by the Vice-Chancellor and Chief Executive Officer under this clause must be reported to Finance and Infrastructure Committee by way of presentation of a revised budget, compared against the original budget, at the next meeting.
7. The Finance and Infrastructure Committee, having reviewed amendments made by the Vice-Chancellor and Chief Executive Officer, has the authority to cancel or further amend any such amendments, where such action is within the terms of reference of the Finance and Infrastructure Committee.

Section 2 - Authority and Compliance

(19) The University Council (or delegated committee) makes this Rule.

(20) UNE Representatives must observe this Rule in relation to Financial Delegations.

(21) This Rule is consistent with UNE’s obligations under Section 16 and 17 of the University of New England Act 1993 (NSW).

(22) UNE Representatives are required to store all decisions relating to the exercise of financial delegations in the approved electronic Records Management System (RMS).

(23) This Rule operates as and from the Effective Date. Previous versions of the Financial Management Rule are replaced and have no further operation from the Effective Date.

(24) Notwithstanding other provisions of this Rule, the Council may by resolution approve an exception to the Rule where it is determined the application of the Rule would otherwise lead to an unfair, unreasonable or absurd outcome.

Section 3 - Quality Assurance

(25) The implementation of this Policy will be supported and measured by the Chief Financial Officer conducting an annual review of UNE’s financial management, particularly investment practices and performance, and reporting on compliance with this Policy to the Finance and Infrastructure Committee and Vice-Chancellor and Chief Executive Officer.

Section 4 - Definitions

(26) Capital Expenditure is expenditure as described in the Asset Management Financial Rule that creates a future economic benefit for the University. Capital expenditure is incurred when funds are expended to acquire, build or upgrade assets. This expenditure will create an asset which appears on the University’s Balance Sheet.