Each service center must maintain a positive cash balance and be self-funded.  In addition, service centers should not carry forward more than 20% of their revenue from one fiscal year to another.

• A positive cash balance is defined as:
  • Carryforward + Revenue + Outstanding (Invoices) – Expenses (paid and outstanding) ≥ $0.00

• If employees are paid from the service center, then a positive cash balance is defined as:
  • Carryforward + Revenue + Outstanding (Invoices) – Expenses (paid and outstanding) ≥ 3 months' salary (for all employees)

Example 

• In the example below, the equation would be:
  • $162,151.04 + $57,000.00 + $0.00 – ($64,082.24 - $4,549.04) = $150,519.76
    • $150,519.76 > $0 so the service center can continue spending.
• If the example below involves salaries:
  • $162,151.04 + $57,000.00 + $0.00 – ($64,082.24 - $4,549.04) = $150,519.76
    • $150,519.76 > $36,674.25 so the service center can continue spending.
      • Note: The $36,674.25 is 3 months' worth of salary which is a part of the entire $65,468.22 shown below. This amount can always be provided by the EAS business office.

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