Auxiliaries

What is an Auxiliary?

Auxiliaries are revenue generating business type activities that support the mission of the institution and provide essential services to the campus community. There are several different types of auxiliaries: Enterprise, Educational, Labs, Service & Other. Auxiliaries, unlike E&G funds, operate on a cash basis and therefore spending is not controlled by budget. Rates for each auxiliary should be developed based on the costs it takes to provide the goods or services to the customer and may differ depending on the type of auxiliary. To find more information about these different auxiliaries and rates, please see the Auxiliary Policies and/or Training available through the links below.

To establish an auxiliary, the Request to Establish an Auxiliary Operation (this includes rates and rate methodology) and FSU Department ID forms should be filled out and returned to the Budget Office for review and approval. After which, the request will be sent to other University entities, including the Office of Research, Controller, Audit Services and finally the Auxiliary Service Board (ASB) for approval. This process takes several weeks, so please allow ample time prior to the anticipated implementation date of the new auxiliary to obtain the appropriate approvals.

Once established, cash balances will be reviewed monthly by the Budget Office and deficits will be reported to the ASB. The status of each auxiliary will be requested once a year through the Annual Auxiliary Information Form (AAIF). This form is sent out to Budget Managers each August to complete and return with updated rates and financial activity from the previous fiscal year. The operating budget must be submitted by the Budget Manager each July. In order for the Budget Manager to input the budget, he/she must also have the Budget Preparer Role, which can be requested through OMNI HR eORR. If the requested budget exceeds the previous fiscal year's expenditures by more than 25%, an explanation must be provided.

Overhead Assessment

The ASB makes an annual Overhead Assessment (OHA) for University indirect costs. The assessment represents the costs borne by central administrative units (such as Human Resources or Controller) in support of auxiliary activities. The classification of an auxiliary determines the overhead assessment rate. In general, Labs and most Other auxiliaries are assessed 0% of expenditures, Educational and Service auxiliaries are assessed 0% or 1%, and Enterprise auxiliaries are assessed the "full rate" (usually between 2% - 4%). The ASB may also approve special OHA agreements. For more information on auxiliary classifications and the OHA, please review the Auxiliary Policies and Procedures.