Quick Guide to Divisional Budget Planning Tool – Undergraduate (DBPT-UG)

21 Aug 2008 Purpose of the DBPT-UG To assist divisions with preliminary multi- year enrolment and budget planning To assist divisions with preliminary multi- year enrolment and budget planning To enable divisions to explore different scenarios before narrowing down to 1 or 2 options To enable divisions to explore different scenarios before narrowing down to 1 or 2 options To integrate different components of overall planning: enrolments, tuition, revenues, University Fund contribution, student aid, staffing changes, space changes, and other university-wide costs. To integrate different components of overall planning: enrolments, tuition, revenues, University Fund contribution, student aid, staffing changes, space changes, and other university-wide costs.

21 Aug 2008 Starting the Model Before starting the tool please refer to the following website for instructions Before starting the tool please refer to the following website for instructions

21 Aug 2008 Main User Sections Within the Model Inputs_and_Results Section where divisions input their incremental plans and receive resulting projections Inputs_and_Results Section where divisions input their incremental plans and receive resulting projections Other_Automatic_Assumptions This section provides a summary of the various additional assumptions used to generate the projections. Based on historical data. Other_Automatic_Assumptions This section provides a summary of the various additional assumptions used to generate the projections. Based on historical data.

21 Aug 2008 Incremental Input Section [1] Faculty/Program [2] Full-time fall new intake [3] Domestic international percentage mix and mix calculator [4] 2008 Intake variance adjustment and resulting domestic/international headcount

21 Aug 2008 Incremental Input Section [5,6,8] Domestic/International tuition fee rate increase factor and the resulting first year tuition fee [7] University-wide cost drivers

21 Aug 2008 Other Automatic Assumptions This section automatically updates assumptions depending on the faculty/program selected This section automatically updates assumptions depending on the faculty/program selected Most of these factors are derived from the P&B models used to project the annual budget numbers Most of these factors are derived from the P&B models used to project the annual budget numbers

21 Aug 2008 Other Automatic Assumptions – List of Variables Built into Tool Tuition fee methodology (course, program) Tuition fee methodology (course, program) Tuition increases for continuing students Tuition increases for continuing students The institutional fees write-off factor The institutional fees write-off factor Student aid provisions Student aid provisions

21 Aug 2008 Other Automatic Assumptions – List of Variables Built into Tool Fall year-to-year retention rates Fall year-to-year retention rates Average course loading: conversion from headcounts to FTEs Average course loading: conversion from headcounts to FTEs Winter over fall retention Winter over fall retention

21 Aug 2008 Other Automatic Assumptions – List of Variables Built into Tool Eligible FTE (EFTE) over Total FTE ratio Eligible FTE (EFTE) over Total FTE ratio Formula fee rate (as per Ministry) Formula fee rate (as per Ministry) BIU Weight – Either Ministry value or blended average BIU Weight – Either Ministry value or blended average BIU Value (as per Ministry) BIU Value (as per Ministry)

21 Aug 2008 Other Automatic Assumptions – List of Variables Built into Tool University-wide per unit costs University-wide per unit costs Undergraduate FTEsUndergraduate FTEs Operating RevenueOperating Revenue Faculty FTEsFaculty FTEs Administrative FTEsAdministrative FTEs Space: Net Assignable Square Meters (NASMs)Space: Net Assignable Square Meters (NASMs)

21 Aug 2008 Results

Results (Legend) [1] Starting Tuition Level: For most, tuition to be charged to year 1 students. For some programs with delayed entry, fee will be the year 2 rate. [2] Enrolment Results: The enrolment measures used to project revenues and costs [3] Net Revenue Available to the Division [4] Total Revenue, with domestic/international details [5] Cost Deductions [6] Rounding option checkbox, determine whether to round the values in the result section.

21 Aug 2008 Future Developments Graduate: Graduate: To develop a similar toolTo develop a similar tool

Appendix: Supplementary Background Materials

21 Aug 2008 Supplementary Sections Enrol_working This section contains the detailed steps translating the divisional inputs and automatic assumptions into the resulting enrolment, revenue, and cost projections. Enrol_working This section contains the detailed steps translating the divisional inputs and automatic assumptions into the resulting enrolment, revenue, and cost projections. Univ-wide Costs This section displays the steps translating a per-unit cost for each driver into incremental University-wide cost allocations. Changes in enrolment and budget planning will have a material impact on cost allocations driven by NASMs, Student FTEs, and Staff FTEs. Univ-wide Costs This section displays the steps translating a per-unit cost for each driver into incremental University-wide cost allocations. Changes in enrolment and budget planning will have a material impact on cost allocations driven by NASMs, Student FTEs, and Staff FTEs. PriceVarianceOnBase PriceVarianceOnBase This section contains the detailed calculations for determining the revenue change related to existing enrolments as one modifies the tuition/price assumption.

21 Aug 2008 Main Differences Between Divisional Budget Planning Tool Undergraduate and the detailed P&B Budget Report Model DPT-UGOfficial Models Nature of the ModelIncremental: only takes the new intake into consideration. Complete: Projection derived using actual from previous year and projecting at a program by year level. Student GroupFull-time student population only.Both full-time and part-time student populations are included. Faculties/DivisionExcludes: Centennial, TYP, Woodsworth Certificates, Post Graduate Medicine Education (PGME), OISE Diploma / Certificates, PharmD, Toronto School of Theology (TST), Commerce Majors, Nursing Diplomas All faculties and divisions International Exempt (IE)International students in this model are assumed to pay international tuition levels and are assumed not to generate government funding (BIU). Includes the possibility that some international students are exempt and that a small proportion of them may generate BIU funding. Average Course Load Factor (Headcount to Fall FTE Ratio) Average is used across all years and all subgroups. Individual subgroups of students may have a different course loading factor that is used in the calculation. Some factors vary by year.

21 Aug 2008 Main Differences Between Divisional Budget Planning Tool Undergraduate and the detailed P&B Budget Report Model DPT-UGOfficial Models Summer SectionFall/winter only. Summer section not considered for most faculties/programs, except for Radiation Sciences and Nursing. Some summer projections are expressed as a percentage of the prior fall/winter and thus are automatically updated. Program Fee Entry PointStudent intake entry point is year 1 for everyone.Some programs’ entry point are in year 2. Retention RatesRetention rates for the “year 1 continuing” and “year 1 to 2” are adjusted to equal a maximum of 100%. Sum of “year 1 continuing” and “year 1 to 2” retention can be larger than 100%. Students with Transfer CreditsDoes not take these students into account. All assumed to start in Year 1. New students with transfer credits are distributed between Years 1-3. Tuition – Minimum Charges and Retained Fees Not consideredConsidered. BIU Funding - System Constraints Not consideredConsidered, decision required concerning probability of system funding discount. BIU CalculationAverage BIU weight by year is used for some programs. Detailed model considers mix issues (e.g. science, arts, commerce) in detail and then uses Ministry BIU program values.

21 Aug 2008 Main Differences Between Divisional Budget Planning Tool Undergraduate and the detailed P&B Budget Report Model DPT-UGOfficial Models Future University-wide Cost Allocation Variable: only considers the individual division’s planning changes in students, staff or space Fixed: considers planning changes made by all divisions. Costs are allocated based on each division’s share of students, staff or space Cost DriversAssumes enrolment and budget planning changes only affect NASMs and UG, Grad, Faculty, Admin FTEs Assumes any planning change has the potential to affect all methods cost allocations. Subsequently, all cost drivers are considered. Student FTEsEstimated fall and winter combined FTEsFactbook FTEs (Fall doubled) NASMsWeighted average across all buildingsCost allocations are determined based on the individual buildings occupied