The State Executive Budget Act (G.S. 143-1 through 143-34.5) constitutes the legal basis for the budget system in North Carolina. The State Budget Officer issues directives to East Carolina University (along with other branches of the University System) through UNC General Administration to serve as the basis for the preparation and submission of budgets as may be required by the General Assembly, either on a biennial or annual basis.
The Board of Governors of the University of North Carolina is required by G.S. 116-11(9) to present requests for funds for the continuing operation of each constituent institution of the University System.
The statute further specifies that appropriations made in response to such Continuation Budget requests be made directly to the individual units of the University System. The statute specifies that all Change Budget requests and Capital Improvement requests are to be submitted by the Board of Governors without regard to the individual campus affected. After legislative approval is obtained, the Board of Governors of the University of North Carolina will allocate to each constituent university those portions of the Change Budgets and Capital Improvement Budgets which they determine are necessary for the programs and activities on this campus. The allocations may be on a specific one-time basis (e.g., Capital Improvements and one-time Change Budgets) or on a continuing basis, as is usually the case for most Change Budgets for educational and service activities.