Section: Financial
Policy Number: 3-19
Policy Name: Financial Incentives and Risk-Sharing for Cooperative Professional and Continuing Studies Programs
Date: December 1, 1976
Revisions: February 1, 1980; June 5, 1989; March 1996; July 1, 2005

  1. PURPOSE

    To stimulate the expansion of University activity into the areas of noncredit and professional development institutes, seminars, and "short courses" for professional persons including scholars, managers, engineers, scientists, teachers, supervisors, and other leaders in business, industry, government, educational and other institutions and in private practice.

  2. POLICY

    1. Initiation and Approvals

      1. Although the idea or concept for a seminar or institute governed by this policy may originate with a faculty or professional member in an academic unit, or by a professional member in the Division of Professional and Continuing Studies, a formal proposal for the program must be prepared by the Chairperson or Dean of the unit, or by the Assistant Provost, of Professional and Continuing Studies. A proposal initiated by an academic unit is transmitted by the Assistant Provost and vice versa.

        A proposed program must be approved in writing by the appropriate Chairperson and/or Dean and by the Assistant Provost to ensure that it is consistent with the goals and missions of the respective units.

        The Chairperson or Dean will decide which faculty or professional member(s) to assign to the project. This assignment normally will fall within the full-time administered workload of the faculty member. Where a faculty member's workload already is administered at 100 percent time, overload compensation will be recommended by the Chairperson and/or Dean.

      2. The Chairperson or Dean will indicate agreement in writing to sponsor the program and will guarantee to cover 50 percent of any losses incurred, from identified college or department funds. Offsetting this sharing of risk is a guarantee to the department or college by the Division of Professional and Continuing Studies to share equally (50 percent) any net surplus (revenue after all direct costs are covered) accruing to the program.

      3. The Assistant Provost of Professional and Continuing Studies will review the proposed project and, if he/she considers it a proper risk, will formally accept it for the Division, thereby agreeing to provide appropriate programming and conference services, to cover 50 percent of any losses, and to share any net surplus equally with the sponsoring department or college.

      4. Documentation of the foregoing steps shall be forwarded to the Director of Budget where appropriate account numbers will be assigned:

        1. Expenditures of each individual program will be charged to an account number in the series to be administered by the Division of Professional and Continuing Studies.

        2. Revenues from each individual program will be deposited to an account number in the series to be administered by the Division of Professional and Continuing Studies.

        3. Upon approval by the Provost, the net surplus or loss from each individual program will be allocated equally between the Division of Professional and Continuing Studies and the sponsoring department/college by debiting or crediting the allocation account for the specific program.

        4. Each sponsoring department/college share of surpluses or losses will be credited or debited to an account number to be administered by that unit.

        5. The Division of Professional and Continuing Studies share of surpluses or losses will be credited or debited to an account number to be designated by the Assistant Provost of Professional and Continuing Studies.

    2. Compensation of Faculty and Professional Participants

      1. Faculty Members

        1. Full-time faculty members may be compensated for developing and carrying out such programs through overload payment when the Chairperson or Dean certifies that the required time and effort is in excess of an administered full-time load. These payments are to be charged against the program's expenditure budget by the Division of Professional and Continuing Studies. Payments will be at rates equivalent to teaching overload Continuing Education courses of one to four credit hours and will vary according to the amount of time and effort required, as negotiated between the Chairperson or Dean and the Assistant Provost of Professional and Continuing Studies. Under certain conditions, such Continuing Education activities may replace an appropriate portion of University-funded activities of faculty members.

        2. The salary sources of participating faculty members in academic units should be redistributed by the Chairperson or Dean in appropriate amounts, to the project account in situations where they devote on-load time to this special activity. A Job Employee Data online form (JED) should be processed to reflect the revised account distribution for the period covered by their participation including advance planning, teaching and/or coordination of the program, and post-conference time.

        3. Noncredit programs are not included when calculating total overload payment for which faculty members are eligible during a given term.

      2. Department Chairperson or Dean

        The administrative efforts of the sponsoring Chairperson or Dean may be recognized in the distribution of the unit's share of a project surplus. The exact amounts, if any, are to be agreed upon in writing in advance by these individuals, and the information communicated by the Dean to the Director of Budget Control. In the absence of such arrangement, one-half of the net surplus from a program will be credited directly to the department.

      3. Professional Members

        1. Non-Teaching Capacity

          Professional members may be assigned to participate in these activities as part of their regular load.

        2. Teaching Capacity

          1. Administrative and professional employees may be encouraged to teach in the regular academic program or Professional and Continuing Studies Division if their teaching makes a special contribution to the academic program and if it is difficult to find other instructors of equal competency. In addition, administrative and professional staff may teach in order to stay current in their field or for their own professional development.

          2. Administrative and professional employees at the director level or above, however, will not receive additional University compensation for this teaching. This includes all associate deans and those directors who have line responsibilities bearing some equivalence to deans. Salaries of these individuals are based on their total contribution to the University. Any teaching they do should be considered a part of their assignment for the year and should be taken into account in their annual review and evaluation. Assistant deans are eligible for extra compensation.

          3. The salary sources of participating professional members in academic units should be redistributed by the chairperson or dean in appropriate amounts, to the project account in situations where they devote on-load time to this special activity. A Job Employee Data online form (JED) should be processed to reflect the revised account distribution for the period covered by their participation including advance planning, teaching, and post-conference time.

      4. Staff Members

        All staff and secretarial support will be supplied by the Division of Professional and Continuing Studies and will be listed as direct cost in the program budget. The use of department or college staff personnel is not authorized unless there is advance consultation with and written approval by the Assistant Provost.

      5. Support Funds

        The Division of Professional and Continuing Studies will initiate any expenditures of support funds for the program, including miscellaneous wages. The use of college or departmental support funds will not be reimbursed unless circumstances warrant it. Such arrangement should be approved in writing in advance by the Assistant Provost.

Submitted by: Vice Provost for Academic and International Programs