Financing - Operational Budgeting.
Each program will be required to make an initial contribution (the infrastructure "buy-in fee") to an infrastructure capital development fund. In principle, this contribution is in recognition of the contributions to common infrastructure made by previous programs. The algorithm by which these contributions will be calculated will be established by the Directors' Council and may be revised by the Council from time to time. The currently adopted algorithm sets a buy-in fee of 1.19 percent of the declared capital cost and shall be used to establish the infrastructure capital buy-in of all programs or projects seeking residence on the AURA Observatory.
The contributions will be used to improve, create or build new infrastructure, such as: communication/data services, new or improved roads, utilities, etc. The specific application and use of the funds will be determined by the AURA-O Management Council of Directors on an ongoing basis.
It should be noted that the funds provided by such initial contributions
do not represent the only funds that are made available for infrastructure
renewal. An ongoing renewal program will be provided, with AURA-O Directors'
Council approval (see #5, below), which will be additionally financed
by recurring contributions from the various Programs and Projects. These
contributions will include provisions for funding large capital expenditures.
Association of Universities for Research in Astronomy, Inc.