University of Alabama at Birmingham
POLICY CONCERNING INVESTMENT EARNINGS
May 17, 1989
Investment income earned on the University’s available cash balances constitutes institutional reserves which are controlled by the University’s President. These investment earnings increase the institution’s flexibility and allow it to address institutional priorities. In recent years, a practice has evolved of allowing Deans, Directors, and other University administrators to request that funds be placed in interest-bearing accounts for the benefit of specific units.
The practice of allowing investment income to be redistributed to schools and departments will be discontinued, and investment earnings will be treated as institutional funds, the use of which will be controlled by the President. The only exceptions to this policy will be endowed funds approved by The Board of Trustees of The University of Alabama and certain cases directed by the President of UAB.
Applicability and Implementation
This policy will be effective as of October 1, 1989, and applies to all accounts existing at that time or created thereafter. The implementation of this policy is the responsibility of the University Treasurer. Requests for exceptional case treatment should be directed to the University Treasurer and will require Presidential approval.