Latest revision as of 23:10, 26 September 2013

CLOCKSS: Budget and Planning Process

Budget Process

The CLOCKSS Archive directors receive quarterly reports on CLOCKSS and are responsible for approving all strategic directions. Three times a year, the Directors review the business and financial planning to ensure the continued viability of CLOCKSS Archive’s preservation operations.

The CLOCKSS Budget is the annual operating budget, covering all revenue sources and expenses. This report is provided in both a “cash accounting” and an “accrual style” style manner. The main expense areas are staffing, hardware, outreach expenses, and operating overhead.

The Executive Committee reviews the proposed budget prepared by the Executive Director prior to the Board of Director’s Winter Call (usually in late-October or early-November.) The discussions are focused on strategic publisher priorities, revenue growth, library challenges and technical expenses.

At each Winter's Board of Directors meeting:

• The Budget is presented by the Executive Director.
• Full discussion is undertaken by the Board, led by the Treasurer and Co-Chairs.
• A vote is taken to approve the Budget or table it. If tabled, actions are specified for the revisions.

Budget documentation includes:

1. Annual renewal invoice summary listing for the Publisher’s Annual Fee.
2. Annual renewal invoice summary listing for the Library’s Annual Fee.
3. Annual renewal invoice Summary listing for the Archive Node’s Annual Fee.
4. Projection of the Ingest Transaction revenue, based on prior three years’ tracking.
5. Commentary from the Executive Director regarding Revenues and Expenses – Past, Current, and Projected.
6. Bank Balances for preceding 24-30 months
7. Accounts Receivable at end of the most current month

Planning Process

Beginning in the Winter Board Meeting of 2013, a three-year budget forecast will be presented. Revisions are made annually prior to the Winter Directors meeting. The forecast will use the three-year trend lines that start with 2011. The baseline year is chosen as the first year of full-time management by the Executive Director. 2011, 2012, and 2013 will provide a complete baseline of activities that are representative of the actions of the Executive Director, Director of Publisher Outreach, and the contracted work with the Stanford Technical Team.

Part of the input to this process is a projection of staffing and hardware requirements from the LOCKSS Team.