University of São Paulo: University Council Approves Budget Guidelines for 2022
On November 30, the University Council approved the budget guidelines for the application of USP resources in the year 2022. The guidelines are intended to guide the preparation of the University’s budget proposal, which should be voted on at the next Council meeting , scheduled for December 14th.
The budget proposal of the State of São Paulo for the next year foresees that the budget of the University, which receives a share of 5.02% of the state ICMS collection, will be in the order of R$ 7.5 billion.
Of this amount, R$7.1 billion refer to transfers from the state government (22.2% higher than last year); and R$386.4 million referring to funds from own revenues (rendering of services, rents, reimbursements, etc.).
According to the guidelines approved by the Council for 2022, USP’s payroll expenses will be BRL 5.9 billion, 26% higher than last year, and include the resources necessary to enable the actions to value resources Human resources at the University, such as hiring, assessment and career progression processes, recomposition of the purchasing power of salaries, pensions and benefits, which were limited by Complementary Law No. 173, of May 27, 2020, which prohibits the granting of any type salary adjustment or benefits until December 31, 2021.
Expenses with other costs and investments will be at the level of R$ 1.23 million, 24.6% above the closing projection for 2021. This increase is mainly due to the need to resume investments in expansion and modernization of the teaching infrastructure and a survey by the University, after years of containing expenses in these items, as well as the difficulties of budget execution this year due to the restrictions imposed by the measures to combat covid-19.
By the end of 2022, USP’s financial reserves are expected to reach R$3.12 million. Currently, it is estimated that, at the end of 2021, reserves will be at the level of R$2.4 million.
“Our care was not to stifle the policies of the new rectory management in relation to civil servants and investments. It is important to emphasize that we are returning to having financial reserves similar to those of 12 years ago, but without running the risk of spending above what we received thanks to the greater control power given to the University Council, the creation of the University Controllership and the implementation of sustainability parameters ”, highlighted the dean Vahan Agopyan.
The University’s budget, which will be voted on at the next Council meeting, should be based on the analysis of data on budget execution, on the information and suggestions obtained from the units about their specific needs and on the contributions of the members of the University Council and of the bodies of the University Administration.
2023-2026 planning
In the same session, a new estimate of USP’s Multi-Year Planning was presented, a document that establishes the parameters for the evolution of the University’s general expenses, for the period 2023 to 2026.
According to the president of the Budget and Property Commission (COP) and director of the Faculty of Economics, Administration and Accounting (FEA), Fábio Frezatti, for this new estimate, an inflation rate of 4.5% per year was projected to be measured. by the IPCA-IBGE, in accordance with the goals defined by the Central Bank. In relation to economic growth, the projection is for a favorable scenario, with an increase in GDP of around 2.5% per year.
According to Frezatti, the occurrence of financial surpluses at the University is estimated in every year of the period and the level of commitment to the payroll is close to 80%, below the maximum limit of 85% defined in USP’s sustainability parameters.