Revolving fund enterprises can be set up in governing bodies upon the proposal of boards concerned and with the approval of the Council of Higher Education; in universities and in their attached faculties, graduate schools, schools of higher education, conservatories, research centers, upon the proposal of administrative boards concerned and the recommendation of the Rector and with the approval of the Council of Higher Education. The amount of the initial fund is indicated in the budget. This amount can be increased by the addition of its own incomes and also by the decision of the Council of Higher Education in governing bodies of higher education. In universities this is to be done with the approval of the Rector upon the proposal of the relevant administrative board.

Fields of activities for revolving fund enterprises, their capital limits, the principles governing the administrative procedures related to management, and accounting procedures are set down in the revolving fund regulations, in accordance with principles established by the Council of Higher Education and the recommendation of the Ministry of Finance.

Enterprises of a revolving fund are not subject to the provisions of Law No. 1050 on General Accounting and Auditing of the State, or of Law No. 2490 on Auction, Bids and Award of Contracts. The revenues acquired from the revolving fund and also each year’s unspent funds are added to the revolving fund of the following fiscal year. The balance sheets and their supplements together with all income-expenditure documents, prepared within four months from the end of the fiscal year, are submitted to the Government Accounting Bureau, and copies sent to the Ministry of Finance within the same period.

At least 30 % of the income accruing to the revolving fund, which is established by the contributions of the teaching faculty members of all the individual units (teaching, research, practice), is allocated to the provision of the various needs of that particular unit, including materials, equipment, research projects, etc. The remaining portion is divided among the relevant teaching faculty members and administrative personnel subject to Law No. 657 on Civil Servants in accordance with proportions established by the University Administrative Board. Teaching staff members and faculty members in units proposed by the Inter-university Board and approved by the Council of Higher Education may, in one year, receive a total payment from the revolving fund not to exceed twice the total income they receive from the university including their salary (including supplementary coefficient and all other supplementary payments). Other faculty members’ total payment from the revolving fund shall not exceed an amount equal to the total income they receive from the university (all-inclusive). This is not to exceed 50 % in the case of administrative personnel subject to Law No. 657 on Civil Servants. However, the share that teaching staff members receive for contributions to the revolving fund outside of regular working hours shall not be taken into account with regard to the limit of a maximum payment of double their all-inclusive income.