BUDGET TOWN HALL MEETING. March 25, 2015

Transcription

1 BUDGET TOWN HALL MEETING March 25, 2015

2 Sales and Services 19% FY 2015 Revenue Budget Investment Income 1% State Appropriations 28% Contributions 3% Contracts and Grants 16% Total Revenue Budget: $136,030,000 Tuition and Fees (Net) 33% 2

3 FY 2015 Expenditure Budget Operations and Maintenance (Net) 16% Debt Service and Renovations 11% Personnel Costs 46% Equipment (Capitalized) 3% Scholarships 21% Utilities 3% Total Expenditure Budget $136,030,000 3

4 State Appropriations - GR (Less TRB's) (in thousands) $28,000 $27,000 $26,000 $25,000 $24,000 $23,000 $22,000 $21,000 $20,000 $26,840 $26,867 FY 2010 $23,096 $22,880 $23,238 $23,153 FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 State Appropriations -GR (Less TRB's) (in thousands) 4 Based on HB1 Substitute $26,466 $26,566 FY 2016 FY 2017

5 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% GR and T&F - % Revenue Comparison FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 General Revenue Tuition and Fees 5

6 Guaranteed Tuition and Fees Current Proposed $ Increase FY15 Rate 1 FY16 Rate 1 per Semester % Increase Freshman Resident $ 3,686 $ 3,757 $ % Freshman Border State $ 4,161 $ 4,241 $ % Freshman Non-Resident $ 9,421 $ 10,023 $ % Sophomore Resident $ 3,645 $ 3,715 $ % Sophomore Border State $ 4,115 $ 4,194 $ % Sophomore Non-Resident $ 9,318 $ 9,918 $ % Junior Resident $ 3,606 $ 3,676 $ % Junior Border State $ 4,071 $ 4,150 $ % Junior Non-Resident $ 9,216 $ 9,814 $ % Senior Resident $ 3,566 $ 3,635 $ % Senior Border State $ 4,026 $ 4,104 $ % Senior Non-Resident $ 9,116 $ 9,712 $ % Graduate Resident $ 4,124 $ 4,204 $ % Graduate Border State $ 4,492 $ 4,579 $ % Graduate Non-Resident $ 8,563 $ 9,064 $ % 1 Based on 15 SCH for undergraduate students and 12 SCH for graduate students 6

7 HB1 FY16/17 Variance FY 14/15 Biennium HB 1 FY 16/17 Biennium $ Variance % Variance General Revenue $ 53,662,491 $ 59,770,556 $ 6,108, % GR Dedicated Tuition Increase $ 2,560,400 $ 3,176,682 $ 616, % GR Dedicated - Other $ 22,232,674 $ 21,984,353 $ (248,321) -1.1% Total Method of Financing $ 78,455,565 $ 84,931,591 $ 6,476, % 7

8 HB1 FY16/17 Variance FY 14/15 FY 16/17 $ % Biennium Biennium Variance Variance INSTRUCTION/OPERATIONS Operations Support $ 43,080, $ 49,309, $ 6,228, % Teaching Exp Supplement $ 2,050, $ 1,882, $ (168,899.00) -8.2% Staff Group Insurance $ 3,197, $ 3,601, $ 403, % Workers' Compensation Ins. $ 67, $ 67, $ - Unemployment Compensation $ 36, $ 36, $ - TPEG $ 3,221, $ 3,384, $ 162, % Organized Activities $ 183, $ 183, $ - INFRASTRUCTURE SUPPORT E&G Space Support $ 6,901, $ 7,749, $ 848, % TRB Retirement $ 7,271, $ 6,748, $ (522,931.00) -7.2% Small Institution Supplement $ 627, $ 309, $ (318,300.00) -50.7% SPECIAL ITEM SUPPORT Killgore Research Center $ 62, $ 62, $ - Wind Energy Research $ 143, $ 143, $ - Industry Support & Devel. $ 1,246, $ 1,246, $ - Integrated Pest Management $ 187, $ 187, $ - PPHM $ 767, $ 767, $ - Rural Agri-Business $ 1,650, $ 1,650, $ - SBDC $ 411, $ 411, $ - Institutional Enhancement $ 6,747, $ 6,747, $ - Research Development Fund $ 600, $ 443, $ (157,346.00) -26.2% GRAND TOTAL $ 78,455, $ 84,931, $ 6,476, % 8

9 THECB Formula Funding Recommendation FY16/17 Formula Formula Funding FY14/15 Formula Funding Recommendation FY16/17 Variance % Change Formula Funding FY16 Formula Funding FY17 Operations Support Teaching Experience Supplement Outcomes- Based Funding Operations Support Subtotal E&G Space Support Small Institution Supplement Space Support Subtotal Formula Total $40,520,242 $ 46,985,895 $ 6,465, % $23,492,947 $23,492,947 $ 2,050,967 $ 1,763,222 $ -287, % $ 881,611 $ 881,611 $ 0 $ 3,295,648 $ 3,295,648 $ 1,647,824 $ 1,647,824 $ 42,571,209 $ 52,044,765 $ 9,473, % $ 26,022,382 $ 26,022,382 $ 6,901,394 $ 8,100,841 $ 1,199, % $ 4,050,421 $ 4,050,421 $ 627,300 $ 309,000 $ -318, % $ 154,500 $ 154,500 $ 7,528,694 $ 8,409,841 $ 881, % $ 4,204,921 $ 4,204,921 $ 50,099,903 $ 60,454,606 $ 10,354, % $ 30,227,303 $ 30,227,303

10 Outcomes Based Funding Model Weights Outcome Weight Undergraduate At-Risk Degrees 25% Undergraduate Degrees Adjusted by 6-Year Graduation Rate 25% Retention Rate 60 Hours 20% Retention Rate 90 Hours 15% Retention Rate 30 Hours 10% Undergraduate Degrees 5% Undergraduate Degrees per 100 Undergraduate FTSE 0% 10

11 Higher Education Fund (HEF) Current Annual Allocation Model 1 $ Variance From Current Allocation % Variance From Current Allocation Model 1a $ Variance From Current Allocation % Variance From Current Allocation Status Quo $ Variance From Current Allocation % Variance From Current Allocation $ 4,652,995 $7,164,408 $ 2,511, % $4,776,272 $ 123, % $4,340,957 $ -312,038-7% Model 1 Increase funding level 50%. Allocation based on Space Deficit (25%); Facilities Condition (25%); and Institutional Complexity (50%). Model 1a No change in funding level. Allocation based on Space Deficit (25%); Facilities Condition (25%); and Institutional Complexity (50%). Status Quo No change in funding level. No change in allocation; based on Space Deficit (28.9%); Facilities Condition (21.1%); and Institutional Complexity (5). 11

12 Exceptional Item Request Electrical Engineering Requested Amount: $1,130,000 ($650,000 in FY 2016; $480,000 in FY 2017) Program Description: This exceptional item is designed to increase the number of engineering graduates from West Texas A&M University by offering a degree programs in electrical engineering. This exceptional item appropriation will fund two new electrical engineering faculty positions in the program ($240,000). Faculty members hired will hold doctorates in electrical, power, or energy systems engineering. To support the program a lab technician and a clerical support staff person will be hired ($100,000) and an M&O budget established ($40,000). In addition, equipment costs are projected at $750,000 for the biennium. One time funding. 12

13 Capital Project Request Agricultural Sciences Complex Total Cost: $53,000,000 Total Request: $43,000,000 Project Description: Complex will be approximately 140,000 sq. ft. Teaching and research portion of complex will be 64,450 sq. ft. of space to include 7 classrooms, 50 faculty offices, 5 administrative offices, a student lounge, computer lab and 10 research labs. Meat lab portion of complex totals 76,400 sq. ft. of space to include an abattoir, BCRC offices, conference room, fresh meat fabrication and packaging area, retail space, meat lab manager office, 5,600 sq. ft. pavilion for live animal evaluation, and a 60,000 square foot covered arena for animal handling training 13

14 Capital Project Request Amarillo Center Total Cost: $23,100,000 Total Request: $10,000,000 Project Description: Fund Phase II construction of a stand-alone 100,000 sq. ft. facility in downtown Amarillo to house the Amarillo Center. Phase I: Purchase of Commerce Building and an adjacent city block by AEDC (value of $4,100,000). AEDC will renovate 50,000 sq. ft. of the Commerce Building and upon completion of renovations will deed the Commerce Building to West Texas A&M University. Funding for renovations is from the local community. The Harrington Foundation has pledged $3,000,000 and Amarillo National Bank has pledged $1,000,000 to date. An additional $5,000,000 will be raised to complete the initial renovation. Phase II: Renovate remaining 48,000 square feet for classrooms, labs, faculty offices, administrative offices. 14

15 Anticipated Revenues to Support New Initiatives FY16 GR Appropriations $3,001,279 Increase in Net Tuition due to Enrollment Growth (Assumes 2% growth) $621,764 Total $3,623,043 15

16 Planned Expenditures Five Year Financial Plan Reference Site: Year-Plan Financial-Plan_UPDATED pdf 16

17 Planned Expenditures Salary Increases (Merit, Market & Promotions) $1,500,000 Electrical Engineering Programs (2 Faculty Members, Lab Tech, Staff Support, M&O) $388,500 Office of Service Learning $85,000 Nursing Faculty Member $77,000 Increase in Faculty to Keep Pace with Enrollment Growth $435,000 Increase in Staff to Keep Pace with Enrollment Growth $150,000 Increase in M&O for all Divisions $55,000 Librarian $56,900 Regional Admissions Recruiter - Salary and M&O $85,000 Increase Support for Graduate Admissions $20,000 Increase in Funding for Athletics Department $200,000 Increase in Support for Veterans Office $5,000 Increase in Support for International Student Office $48,000 Increase in Support for Writing and Math Labs $25,000 Increase in Support for Supplemental Instruction $31,250 Funding for Predictive Modeling for Recruiting and Retention of Students $15,000 Increase in Funding for Academic Affairs for Faculty Recruiting $25,000 Increase in Funding for Faculty Research (Summer Grant Program, GR Assistance, Incentives for Submission of Grant Proposals) $95,000 Increase University Marketing Budget $10,000 Total $3,306,650 17

18 Questions & Answers