Department Budget Allocation Method

Fintel Library uses a simple formula as a guideline to set budget allocations for academic departments. The formula uses two primary factors in its calculations. The first factor is a department's average purchase cost per title and the second factor is circulation use by call number. In addition, the library includes in the formula a minimum dollar amount per faculty member for each department. Once the library determines the allocations then each department determines internally how funds are apportioned. Below is a simple outline of the process:

Step 1       

1. Total available budget
2. Less funds to be used for grants, reference materials, standing orders, etc.
3. Equals funds available for department allocations

Step 2       

1. Calculate the cost per use for each department (average purchase cost times circulation rate)
2. Determine each department's percentage of the total cost per use amount for all departments
3. Determine the minimum amount per faculty FTE for each department

Step 3       

1. Total each department's cost per use percentage amount and its minimum allocation