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University Budget and Faculty Compacts

Strategic Planning

The University budget is an expression of academic priorities that are established through a strategic planning process. The budget aligns resource allocations to the established academic priorities.

  1. Objectives are set - involves a systematic process in which all alternatives are considered
  2. Resources are determined - those needed to accomplish a set of activities designed to fulfill a particular objective
  3. Budgeting - allocation of funds are systematically related to the planned objectives

Multi-year budgeting

In a radical departure from past practices, McGill has implemented multi-year budgeting which involves:

  • deficit financing - operate under a controlled deficit to incrementally improve the quality of programs and services offered by the University
  • moving towards a balanced budget over the next 4 years

Academic priorities

The following are the top academic priorities:

The Budget

The Office of the Budget helps the Provost manage the budget consisting of the following four funds:

  • Operating - used for all activities normally associated with the University's core teaching and research activities
  • Restricted - specific revenues that have restrictions on the use of funds, for example, research grants
  • Capital - all revenues that are specifically earmarked for the acquisition, construction or renovation of capital assets
  • Endowment - all gifts, donations and bequests, including those for endowed Chairs, financial aid and other specific purposes, that the University has invested and from which a reasonable rate of return is expected