Is your department going to provide a service to an external client? Please follow the steps below to obtain a revenue contract. This form can be used for services that have an approved Income & Recharge proposal or a one-time service request. Revenue Contracts must be completed prior to the start of service.
Use Gateway’s Revenue Contract Request Form
The request will stop in Budget and Planning first to review your budget and service. Your department will need either an approved Income and Recharge package or a "one time" approval.
If you have a current approved Income & Recharge proposal:
- Submit a Revenue Contract Request form through Gateway and attach the following documents:
- Budget that includes the approved I&R rate and unit quantity
- Relevant contract documents
- Note - Income & Recharge proposals require an annual review and adhere to Academic Personnel Manual APM-020, BFB policy A-56, and BFB policy A-47
If you do not have a current approved Income & Recharge proposal:
The Revenue Contract may be submitted as a one-time service request. One-time service requests are intended to be used when the department does not plan to provide the same or similar services to other clients. If this work will be reoccurring or made available to more than one client, the activity may be subject to Income & Recharge guidelines and requirements.
For one-time service requests:
Prior to submitting Revenue Contract Request form in Gateway, obtain control point approval of the preliminary budget and the work to be conducted by submitting the One-Time Revenue Contract Control Point Approval form to your departments divisional control point along with the preliminary budget and Revenue Contract Request (Form B).
The following is a list of divisional control points:
- Office of the Executive Vice Chancellor for all departments under Academic Affairs
- Departments under the Bren School of Environmental Science and Management, College of Creative Studies, College of Engineering, College of Letters & Science, and Gevirtz Graduate School of Education must secure approval from their respective Dean on the One-Time Revenue Contract Control Point Approval form first and then submit to the Office of the Executive Vice Chancellor.
- Vice Chancellor for Administrative Services for all departments under Administrative Services
- Associate Vice Chancellor for External Affairs for all departments under External Affairs
- Vice Chancellor of Research for all departments under Office of Research
- Vice Chancellor of Student Affairs for all departments under Student Affairs
- Vice Chancellor – Chief Financial Officer of Finance & Resource Management for all departments under:
- Finance & Resource Management
- Control point approval must note any exceptions to full cost recovery and provide justification.
- Please note the following when drafting the budget:
- It is recommended that departments use the One-Time Revenue Contract Budget Template
- External clients may not be subsidized and full cost recovery must be sought
- Include CBR, VLA, UCRP Supplemental Interest and GAEL as appropriate. See the Office of Budget & Planning website for more information: https://bap.ucsb.edu/budget/composite-benefit-rates/rate-tables
- Include a Non-University Differential (NUD) markup of at least 55.5% on total direct costs. NUD is to be increased based on what the market will bear. The minimum NUD markup rate will be reviewed annually and is subject to change.
- Anticipate a Non-State Funded Administration Support (NSFAS) assessment of 7% (or current NSFAS rate) on all expenditures (not including the actual NSFAS expense) to be funded from NUD
- Control points may require departments to recover the UCOP/ETS assessments that are generated from the revenue contract
- Exceptions must be justified and approved by both the control point and the Office of Budget & Planning
- Is it possible that the activity will be subject to UBIT? As a Section 501(c)(3) entity, the UC must be operated exclusively for charitable and educational purposes.
- If it is possible that the activity is subject to UBIT, department will need to complete an Unrelated Business Income questionnaire
- See Office of Budget & Planning website for more information: https://bap.ucsb.edu/budget/income-and-recharge/external-users#unrelated-business-income-tax