University Finance and Accounts Section

Innovations in Finance section

During the last 6-7 years, university has introduced a number of reforms to improve the financial administration. Shivaji University is the first university to introduce account code which is the official directive of all the financial matters of the university, and defines the general responsibility for university accounting policy. Its goal is to make the accounting procedures as clear and useful as possible.University accounts are computerised in order to prevent delay in closing the accounts and to establish the budgetary control over expenditure. State government authorities are now thinking to adopt Shivaji University system in all the universities.

Here are some of the Innovations introduced in Finance section

  1. BUDGET
    University Budget is restructured as per requirements of the computerisation. We have tried to curtail the recurring expenditure. The departmental expenditure is limited to its income. University Research and Development fund is utilised in income generating projects like, Technology School, Distance Education Centre, etc. The results are enormous. We have spent a lot on renovation of the old buildings. A critical analysis of the budget is submitted to the Senate along with the budget in the form of evaluation report.
  2. ASSET VERIFICATION
    Verification of physical stock of the university assets was not done for a long period. This was done through an external agency. The Dead stock registers of all the units, projects and departments of the University are verified and the dead stock registers are updated. Verification of the equipments purchased under different projects of the University is also done and Project assets are recorded in concerned sections’ registers.
  3. INTRODUCTION OF NEW SYSTEM FOR PAYMENT OF EXAMINATION EXPENDITURE
    • Instead of paying advance to college, University has decided to give grants to colleges to reimburse the examination expenditure.
    • Amount of the grant is based on the number of students.
    • College authorities keep all the vouchers, sub-vouchers with them and get it audited from their auditors.
    • College authorities submit Utilisation Certificate alongwith audited statement of expenditure, on the basis of which the advance is adjusted.
  4. COMPUTERISATION OF FINANCE AND ACCOUNTS SECTION
    A software for automation of accounts was developed during 2004-05 and it is being used since 1 April 2005. I can proudly mention here that without the external technical help, my departmental employees are using it without any difficulty for the last so many years. Some of its benefits are -
    • Fast results - As the same data is used for various reports, the work of preparing various sub-registers/reports is made easier and faster.
    • The updated information of receipts and payments is available at any time, which is necessary in ascertaining the financial affairs of the university as well as review of expenditure.
    • Preparing of receipts and collection of university amounts has become faster than earlier.
    • The work of passing of bills and disbursement has become less time consuming.
    • It has become easier to ascertain bank balances of various bank accounts and to invest surplus funds in fixed deposits.
    • Due to computerisation, closure of the university accounts on 31st March has become possible.
    • With the availability of up-to-date statistical data, the administrators are in a position to submit receipt and expenditure figures for review of the progress of income and expenditure to Finance Committee.
    • It has facilitated control and check on errors or mis-appropriation.
    • Speedy reconciliation of accounts is possible.
  5. FORMATION OF INTERNAL AUDIT WING
    The internal audit wing is functioning since 2005-06. The prominent feature of this section is that every expenditure bill is passed only after pre-audit and every loop-hole of overpayment in the bill is removed.
    • As a result, the objections raised by the statutory audit are reduced since last two years.
    • The irregularities pointed out in the internal audit are corrected from time to time, there was reduction in the number of adverse remarks in the statutory audit report.
    • This Section has been continuously training employees from other sections of the administration.
  6. ACCOUNT CODE
    For the first time, University has framed the “Account Code” which is implemented from 3rd August 2006.

    Salient features of the Account Code

    • Provides guidelines - for working system of the Finance & Accounts Dept. and its sub-sections.
    • Defines the responsibility - of its employees of each section and officers, which is useful for the newly recruited or transferred employees.
    • Delegation of Powers - as a decentralizing policy, we have re-delegated powers to various authorities, which is useful for the ministerial staff as well as authorities.
    • Guidelines for Purchase
      • The guidelines give clear-cut ideas about the procedure of all types of purchases.
      • The guidelines for purchase procedure have made the purchasing easier.
    • Uniformity in the working system - For this purpose, eight formats have been prescribed for obtaining administrative sanction, making purchases, repairing of the equipments, sanction of bills, supply order etc. Due to these formats, there is uniformity in working of all the units of the university.
  7. OUTSTANDING ADVANCES
    the large number of funds were blocked in the form of advances for a very long period. The decision of stopping payment and charging penal interest proved effective as lot of pending cases were disposed off.
  8. FACILITIES TO STAKEHOLDERS
    • Receipt - In the present system of collection of fees, students are required to visit university office for remitting fee amounts. This results in big queues, pressure on administration, involvement of large number of the employees for collection of money including security personnel and unrest amongst the students. To overcome all these drawbacks, we have now started E-banking procedure. Students were allowed to remit fees at their own places in any branch of State Bank of India, Bank of Maharashtra, UCO Bank and Bank of India through ATM Card or Cash deposit. The collected amount is immediately credited into University Accounts at the same moment. On production of the bank deposit slip, one can obtain the official receipt. Details of the account numbers and IFSC numbers are as under –
       NAME OF BANK  ACCOUNT NO.  I.F.S.C. Code
       Bank of India  090020100002531  BKID0000900
       Bank of Maharashtra  20027601139  MAHB0001045
       I.D.B.I.   93010010001667  IBKL0000463
       U.C.O.  02890200000001  UCBA0000289
       State Bank of India  30309146380  
    • Payment- Every day, University cashier makes payment to a large number of individuals. There are queues in front of the cashier. Sometimes, bills travel through many sections and there is always unrest amongst the people whose bills are not traced out and timely payment is not made. Now, all these payments are done through bank. The amount of passed bill is being credited into the payee’s account directly and as a result, there is no rush at cashier’s counter. Payee can withdraw the amount through his ATM Card immediately. Payee is required to give details of his bank account and branch code to the concerned section.
    • Zero balance accounts – The University has put forth its efforts to provide zero balance account to all students and employees through Bank of India and UCO bank.

The purpose of these reforms and innovations is to make the financial administration of the university more efficient and the concerned officers more competent. These changes ensured transparency in the various financial transactions and also saved a good amount of money and time and made it possible for the university to implement its different ambitious projects efficiently.I do not claim that we have a full proof system, and need no change in the present system. On the contrary, continuous change will make every system a perfect one. Suggestions in this regard will be highly appreciated.

Please feel free to contact me on fao . unishivaji @ gmail . com