We are writing to provide advance notice of an upcoming Non-State Funded Administrative Support (NSFAS) assessment posting.
As part of our regular process, the NSFAS assessment is a monthly administrative support recharge applied to auxiliary and external income funds, as well as campus-based student fee funds. The monthly charge is calculated by applying the NSFAS assessment rate to the prior month’s expenditures on eligible accounts and funds within each Financial Reporting Unit (FRU).
The July 2025 transition to the CCOA caused a gap in processing over the past several months. Since these assessments are applied based on fund eligibility, many departments' accounts that previously were not assessed were included based on the historical logic for determining NSFAS eligibility. This has required additional manual work for the Budget Office to review fund-by-fund, FRU-by-FRU eligibility and ensure parity with prior assessment methodology. We will now be posting assessments covering approximately nine months of activity to address this.
These will be reflected on the April ledger for periods July 2025 - March 2026. While the April ledger will not be completed until May, these assessments will show up on department financial reports for April. Departments should monitor their budget and spending for the remainder of the fiscal year in light of these retroactive monthly adjustments to funds. Please see the attached FY 2025-26 Assessment document for more information, including a list of accounts that are exempt from being assessed.
To ensure all eligible funds contribute to overhead expenses, the NSFAS assessment for FY 2026-27 is being extended to include certain legacy non-state funds that are eligible but were previously not assessed for a variety of reasons. All funds residing within Level B “1000B - Unrestricted 2” are eligible unless otherwise stated. Select funds in “1500B-Designated>1460C Campus-Based Fees” are eligible. Please review the Fund Hierarchies in the CCOA explorer. Departments should work to update their rates and/or expenditure plans accordingly.
We recognize this adjustment may not have been anticipated. Our goal is to ensure transparency and provide advance awareness so departments can plan accordingly.
If you have questions or would like to discuss the impact on your department, please contact bap.inquiry@bap.ucsb.edu.
Thank you for your understanding as we work to complete these updates and maintain accurate financial reporting.