Recharge Centers
What are recharge centers?
A recharge center is considered a type of service center. Service centers are departments or units within the university that provide goods or services to other departments or units on a regular basis at approved rates. They also include auxiliary centers.
Why do recharge centers exist?
While recharge and auxiliary centers may both provide goods and services to employees, students and external users, auxiliary centers are self-supporting operations with rates and pricing which may include the goal of earning profit. Recharge centers’ primary customers are internal users and have other federal guidelines they must adhere to.
Other key points to know about recharge centers:
- Billing rates are based on the actual direct costs to produce the goods or service.
- Rates are developed and adjusted so that the center will break-even over its operating life cycle instead of making a profit.
- Recharge centers must submit annual rate proposals to the Office of Finance & Accounting for review and approval by the Associate Vice Chancellor for Financial Services.
Compliance
The university must comply with OMB Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Awards (2 C.F.R. §200) (“Uniform Guidance”) due to receiving funding from the state. The Uniform Guidance requires that service units charge according to actual usage at non-discriminatory rates calculated to recover no more than the actual costs of the service provided (§200.468).
Non-compliance could harm the university's reputation, reflect negatively on future award proposals and could lead to fines from the government. In addition, academic service centers, as prescribed by the Uniform Guidance Audit Requirements (§200.500), are reviewed and tested as part of the annual single audit.
All UA recharge centers must act in accordance with Board of Regents Policy P05.15.
Rate Proposal Requirements
In accordance with the University of Alaska Service/Recharge Centers Procedure, rate proposals need to be submitted on an annual basis. Use the Recharge Questionnaire and Rate Calculation Template to complete this process.
Submission
All submissions should be via Docusign and include the following:
- All the required documents
- An *optional use* text box in which Jason Theis can write notes associated with the rate proposal when he recommends it for approval
- An "initial" field for his use
- Final approval by Amanda Wall, set in signing order with Jason Theis (i.e., the document comes to Jason for review then goes to Amanda after he approves it)
Our staff are happy to answer questions and help navigate recharge centers.