New Budget Model Second Year Results

Prior budget system featured central control and fixed budgets New budget system is variable with decentralized decision-making New system began in July 2005 This report summarizes results for the first and second years under the new system.

Funding Tied to Revenue Generated: State Appropriations Tuition Special Programs Fees Facilitates enrollment growth to 8,000 students

State AppropriationsTuitionSpecial ProgramsFees Note: Prior agreements for special programs, fees and carry forward policy are incorporated into the new budget model.

Timing of Transfers Fees – each semester Special programs – each semester Tuition – end of year Updates Provided during the year

DescriptionFY 2006FY 2007Total Tuition$ 10,948$ 515,448$ 526,396 Special Programs$ 1,640,019$ 1,892,880$ 3,532,899 Fees$ 2,162,151$ 2,911,050$ 5,073,201 Total Distributed$ 3,813,118$ 5,319,378$ 9,132,496

UnitFY 2006 % FY 2007 % Total % of Total CAS $ 583, %$ 902, %$1,485, % SEHS $ 388, %$ 227, %$ 616, % SHPS $ 354, %$ 508, %$ 863, % SOM $ 243, %$ 614, %$ 857, % OEL $ 511, %$ 726, %$1,237, % Total Academic $2,081, %$2,979, %$5,060, % Support Units $ 627, %$ 980, %$1,607, % Gen Administration $1,104, %$1,359, %$2,464, % Total Distributed $3,813, %$5,319, %$9,132, %

Support UnitFY 2006%FY 2007%Total % of Total Chancellor $ 8, %$ 29, %$ 38, % Provost $ 70,2481.8%$ 110,4822.1%$ 180, % Associate Provost $ 278, %$ 355,6906.6%$ 634, % SSEM $ 118, %$ 172,0583.2%$ 290, % VCA $ 139,8123.7%$ 276,0265.2%$ 415, % VCIA $ 10,5220.3%$ 36, %$ 47,092.5% Total Support Units $ 627, %$ 980, %$1,607, %

 Revenue Targets: Undergraduate – assumed tuition up 6.5% and enrollment flat Graduate – assumed tuition up 5% with varied enrollment assumptions by program  Change in State Appropriations  Change in Fixed Costs Note: Fixed costs include utilities, debt service payments, maintenance contracts, business operation and insurance recharges.

School/College FY 2007FY 2008Change ($)Change (%) CAS$ 24,117,247$ 26,659,144$ 2,541, % SEHS$ 4,265,468$ 4,613,055$ 347,5878.1% SHPS$ 5,008,726$ 5,780,667$ 771, % SOM$ 4,389,572$ 5,046,457$ 656, % OEL$ 454,434$ 452,202$ ( 2,232)(0.5%) Total Tuition$ 38,235,447$ 42,551,525$ 4,316, % Fees$ 3,787,253$ 4,573,475$ 786, % Total Revenue$ 42,022,700$ 47,125,000$ 5,102, %

 Budget Model Worked Well  Level of understanding varies  Results varied by unit  Graduate payouts exceeded targets  Undergraduate payouts exceeded targets  Budget model payouts in line with enrollment

 Give top priority to revenue and enrollment growth  Set aside a reasonable reserve, then invest the rest to support increasing enrollment  Consider deployment of limited resources to areas with highest growth potential  Work cooperatively with other groups to increase enrollment

VCA OfficeDave Barthelmes Financial ServicesJerry Glasco Karen Ruddy Christy Brownell Website

How is the budget set for the campus? The budget is set based on assumptions regarding enrollment and tuition rates, state appropriations, changes in fixed costs and new initiatives. How is my base budget determined each year? Each unit’s base budget is determined based on its share of dollars assumed for revenue, state appropriations, fixed costs, and new initiatives. How is my merit funded? Merit is not funded. Merit is covered by increases to budgets for a given year. Funds received by units have exceeded the cost of merit.