Budget Planning April 2017

04/11

Table of Contents

Budget Background 13-28Includes detail on budget, compensations, tuition and fee rates and operational efficiency

Enrollment Planning 29-32Overview of 2017-18 enrollment planning

Budget Planning 33-51Detailed review of budget planning

Operating Information 3-12Overview of university operating accolades and metrics

2

MSU - Value Proposition

the constant pursuit of effective and efficient operations; and intensifying our ongoing programmatic commitment to quality, inclusion and connectivity.

Michigan State University builds stakeholder value as one of the world’s top 100 universities, while serving Michigan first. This accomplishment is in the face of diminished state support and limiting tuition increases. MSU has focused on: increasing external support through donors and grants,

3

Academic Programs (National Standing, U.S. News and World Report)

* Indicates graduate program

4

Global Standing

5

Research Portfolio• For the 2012-2015 period, MSU is 4th in the Big Ten for rate of change for

National Science Foundation Higher Education Research & Development (HERD) report R&D expenditures.

• The combination of Department of Energy (DOE) and National Science Foundation (NSF) funding is best in the Big Ten by 25 percent.

• Sponsored awards now stand at $589 million which reflects an increase of more than 50 percent over the last ten years.

• These increases are in the face of stable research budgets except for increases in NIH.

6

Financial Aid

7

Financial Aid

8

Financial Aid

Source: 2014-15, 43% reduced by 13 percentage points over 10 years.

9

Socio-Economic Status of Class Stable In Face of National Economic Challenges

Data presented in 2016 dollarsFamilies earning more than $200,000 truncated for purposes of this analysis

10

Fall 2016 Undergraduate Student Snapshot37,480

Applications received24,641

66% of applicants were admitted (Admit Ratio)

7,911 32% of those admitted who enrolled for the

first time in Fall 2016 (Yield)

75.5% 22.2% 21.7% 11.1%

are in-state students of domestic students are students of color

are Pell Grant recipients are first generation students (according to the FAFSA)

All Undergraduates

Honors College

11

Persistence and Graduation

12

All Funds Budget

13

General Fund Budget

The General Fund does not provide direct support for:

14

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

$140,000

$160,000

$180,000

$112,687

2016-17 Faculty Salary

Big Ten average*: $118,800

*Does not include Northwestern – average including Northwestern $122,0401 Rankings overtime adjusted to include Rutgers and Maryland

MSU Rank in Big10 Institutions for Faculty SalaryRank 05-06 06-07 07-08 08-09 09-10 10-11 11-12 12-13 13-14 14-15 15-161 16-171

Professor 9 9 10 10 8 9 9 11 10 8 8 6Associate Professor 8 8 7 7 5 8 6 9 9 9 9 9Assistant Professor 13 14 14 13 14 13 14 14 14 14 14 14All Ranks Average 10 11 11 11 9 12 12 13 13 13 11 12

15

$0

$50,000

$100,000

$150,000

$200,000

$250,000

$146,938

2016-17 Faculty CompensationMSU compensation levels will decline over time as fewer faculty are eligible for post retirement health care benefits.

-Includes pro-rata attribution of post-retirement benefits for eligible population

Big Ten average*: $150,712

*Does not include Northwestern – average including Northwestern $154,9601 Rankings overtime adjusted to include Rutgers and Maryland

MSU Rank in Big10 Institutions for Faculty CompensationRank 05-06 06-07 07-08 08-09 09-10 10-11 11-12 12-13 13-14 14-15 15-162 16-172

Professor 9 9 9 8 6 8 11 9 8 7 7 5Associate Professor 3 5 4 6 6 7 6 5 6 8 8 6Assistant Professor 9 10 10 10 10 10 11 12 12 14 14 14All Ranks Average 6 7 7 7 6 10 13 9 9 10 10 10

16

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

$140,000

$160,000

$180,000

$120,909

2016-17 Tenure System Salary

Big Ten average*: $119,431

*Does not include Northwestern – average including Northwestern $122,627 17

2017-18 Peer Faculty Salary Planning

State of MICentral Michigan 2.9% estEastern Michigan naFerris State 2.5% + 0.7% MktGrand Valley NegotiatingLake Superior NegotiatingMichigan Tech 3%Northern 2%Oakland 1.85% +0.65% mkt Saginaw Valley NegotiatingUniverity of Michigan - Ann Arbor naUniverity of Michigan - Dearborn naUniverity of Michigan - Flint naWayne State University naWestern Michigan Negotiating

Big TenIllinois naIndiana naIowa naMaryland 0%Michigan naMinnesota 2%Nebraska <2.5%Northwestern 3.50%Ohio State 2%Penn State naPurdue 2-2.5% ContingentRutgers naWisconsin na

MSU pro-forma planning includes a 2.5% merit raise and ½% central market

18

Big Ten RA Compensation

2014-15 most recent data available.

MSU, $19,734 Big Ten Average, $21,182

$-

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

$35,000

$40,000

A B C D E MSU G H I J K L

19

Big Ten TA Compensation

MSU, $18,804

Big Ten Average, $20,084

$-

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

$35,000

A B C D E MSU G H I J K L

2014-15 most recent data available.

20

Measures of Efficiency

MSU ranks 2nd among 14 Big Ten schools for the number of students per employee.

21

Big Ten Tuition and Fees - Resident

Resident Cost of Attendance Northwestern University $70,496Penn State University $35,758Rutgers University $32,542University of Illinois $30,706University of Michigan $28,776Michigan State University $27,291University of Minnesota $26,482Ohio State University $25,750University of Maryland $25,742University of Wisconsin $25,230Indiana University $24,808University of Nebraska $24,336Purdue University $23,032University of Iowa $22,100

Resident TuitionNorthwestern University $50,855 Penn State University $17,900 University of Illinois $15,698 University of Michigan $15,310 Michigan State University $14,933 Rutgers University $14,567 University of Minnesota $14,224 University of Wisconsin $10,488 Indiana University $10,388 University of Maryland $10,180 Ohio State University $10,010 Purdue University $10,002 University of Iowa $8,800 University of Nebraska $8,628

22

https://nces.ed.gov/programs/projections/projections2021/tables/table_14.asp

Big Ten Tuition and Fees – Non-Resident

Non-Resident TuitionNorthwestern University $50,855University of Michigan $47,004Michigan State University $38,359Indiana University $34,246University of Wisconsin $32,738Penn State University $32,382University of Maryland $32,044University of Illinois $31,320Rutgers University $29,641University of Iowa $29,038Purdue University $28,804Ohio State University $28,202University of Minnesota $23,888University of Nebraska $23,148

Non-Resident Cost of AttendanceNorthwestern University $70,496University of Michigan $59,784

Michigan State University $51,870Penn State University $50,240Indiana University $48,666Rutgers University $48,356University of Wisconsin $48,080University of Maryland $47,606University of Illinois $46,668Ohio State University $44,714University of Iowa $42,338Purdue University $41,994University of Nebraska $38,856University of Minnesota $37,646

23

Michigan Public Tuition and Fees - Resident

Resident Cost of AttendanceUniversity of Michigan $28,776

Michigan Technological University $28,215

Michigan State University $27,291

Wayne State University $26,982

Oakland University $25,306

Western Michigan University $24,680

University of Michigan-Flint $24,350

Ferris State University $23,782

Central Michigan University $23,494

Grand Valley State University $23,194

University of Michigan-Dearborn $23,100

Lake Superior State University $23,096

Eastern Michigan University $22,804

Northern Michigan University $22,362

Saginaw Valley State University $21,075

Resident TuitionMichigan Technological University $16,051

University of Michigan $15,310

Michigan State University $14,933

Wayne State University $13,278

Oakland University $12,923

University of Michigan-Dearborn $12,182

Eastern Michigan University $12,158

Central Michigan University $12,150

Western Michigan University $12,046

Ferris State University $11,925

Grand Valley State University $11,832

University of Michigan-Flint $10,956

Lake Superior State University $10,954

Northern Michigan University $10,024

Saginaw Valley State University $9,345

24

Michigan Public Tuition and Fees – Non-Resident

Non-Resident Cost of Attendance

University of Michigan $59,784Michigan State University $51,870Michigan Technological University $44,549Wayne State University $42,382Western Michigan University $41,615Oakland University $37,719University of Michigan-Dearborn $35,694Central Michigan University $35,618University of Michigan-Flint $34,268Saginaw Valley State University $33,825Ferris State University $30,756Grand Valley State University $28,016Northern Michigan University $27,984Eastern Michigan University $23,404Lake Superior State University $23,096

Non-Resident TuitionUniversity of Michigan $47,004Michigan State University $38,539Michigan Technological University $33,040Eastern Michigan University $28,651Wayne State University $28,590Western Michigan University $28,323Oakland University $24,736University of Michigan-Dearborn $24,422Central Michigan University $23,670Saginaw Valley State University $21,947University of Michigan-Flint $20,443Ferris State University $17,895Grand Valley State University $16,704Lake Superior State University $16,590Northern Michigan University $15,646

25

2017-18 Peer Tuition and Fee Planning

TuitionCentral Michigan Under capEastern Michigan naFerris State Under capGrand Valley Under capLake Superior Under capMichigan Tech Under capNorthern Under capOakland Under capSaginaw Valley Under capUniverity of Michigan - Ann Arbor naUniverity of Michigan - Dearborn naUniverity of Michigan - Flint naWayne State University naWestern Michigan Under cap

TuitionIllinois naIndiana naIowa naMaryland 2%Michigan naMinnesota 1-2%Nebraska 2+%Northwestern NAOhio State 0% Fee increasesPenn State naPurdue 0%Rutgers naWisconsin na

26

Revenue Based Initiatives - OverviewRevenue based initiatives programs take three principal forms

• Targeted undergraduate and graduate programing

• Off-campus and virtual credit instruction

• Study abroad and other international programming

Programming generates approximately $40 million in annual revenue

27

Revenue Based Initiatives - DetailCollege of Agriculture

• FSHN Bench fees• KOLDAND Program

College of Arts and Letters• MAFLT

College of Business • MS Supply Chain• MS Accounting• MS Finance• Marketing• Business Analytics• MBA

College of Human Medicine• Public health

College of Nursing• Nursing-education• RN-BS• BS-Second degree• Nurse Anesthesia

College of Osteopathic Medicine• Pharmacology

College of Veterinary Medicine• Vet Tech

International Studies and Programs• Exchange• OISS• ISP

28

2017-18 Enrollment Planning – First Time FALL FIRST TIME ENROLLEES FS17 ProjHONORS COLLEGE 650

AFRICAN AMERICAN 625OTHER STUDENTS OF COLOR 1075TOTAL STUDENTS OF COLOR 1,700

MICHIGAN 5,483NON RESIDENT TOTAL 2,407DOMESTIC NON RESIDENT 1,324INTERNATIONAL 1,083TOTAL FALL ENROLLED 7,890

HONORS COLLEGE % 8.2%

AFRICAN AMERICAN % 7.9%OTHER STUDENTS OF COLOR % 13.6%TOTAL STUDENTS OF COLOR % 21.5%

MICHIGAN % 69.5%NON RESIDENT TOTAL % 30.5%DOMESTIC NON RESIDENT % 16.8%INTERNATIONAL % 13.7%TOTAL FALL ENROLLED 100.0%

29

2017-18 Enrollment Planning – TransferTRANSFER ENROLLEES FS17 ProjAFRICAN AMERICAN 75OTHER STUDENTS OF COLOR 200TOTAL STUDENTS OF COLOR 275

MICHIGAN 1,430NON RESIDENT TOTAL 120DOMESTIC NON RESIDENT 60INTERNATIONAL 60TOTAL FALL ENROLLED 1,550

AFRICAN AMERICAN % 4.8%OTHER STUDENTS OF COLOR % 12.9%TOTAL STUDENTS OF COLOR % 17.7%

MICHIGAN % 92.3%NON RESIDENT TOTAL % 7.7%DOMESTIC NON RESIDENT % 3.9%INTERNATIONAL % 3.9%TOTAL FALL ENROLLED 100.0%

30

2017-18 Enrollment Planning – Total First TimeFIRST TIME PLUS TRANSFER FS17 ProjHONORS COLLEGE (FIRST TIME ONLY) 650

AFRICAN AMERICAN 700OTHER STUDENTS OF COLOR 1,275TOTAL STUDENTS OF COLOR 1,975

MICHIGAN 6,913NON RESIDENT TOTAL 2,527DOMESTIC NON RESIDENT 1,384INTERNATIONAL 1,143TOTAL FALL ENROLLED 9,440HONORS COLLEGE % (FIRST TIME ONLY) 6.9%

AFRICAN AMERICAN % 7.4%OTHER STUDENTS OF COLOR % 13.5%TOTAL STUDENTS OF COLOR % 20.9%

MICHIGAN % 73.2%NON RESIDENT TOTAL % 26.8%DOMESTIC NON RESIDENT % 14.7%INTERNATIONAL % 12.1%TOTAL FALL ENROLLED 100.0%

31

2017-18 Enrollment Planning – Undergraduate

32

UNDERGRADUATE ENROLLEES FS17 ProjAFRICAN AMERICAN 2,775OTHER STUDENTS OF COLOR 5025TOTAL STUDENTS OF COLOR 7,800

MICHIGAN 29,350NON RESIDENT TOTAL 9,675DOMESTIC NON RESIDENT 4,875INTERNATIONAL 4,800TOTAL FALL ENROLLED 39,025

AFRICAN AMERICAN % 7.1%OTHER STUDENTS OF COLOR % 12.9%TOTAL STUDENTS OF COLOR % 20.0%

MICHIGAN % 75.2%NON RESIDENT TOTAL % 24.8%DOMESTIC NON RESIDENT % 12.5%INTERNATIONAL % 12.3%TOTAL FALL ENROLLED 100.0%

Environmental Scan – Concerns• International/National

• Investment Outlook• Cyber-security • Federal Budget-Discretionary vs. Non-Discretionary, Research Support• Immigration Policy

• State• Income Tax Legislation/State Reductions• State-level ACA Implementation• Phase-in of GF/GP reductions for road funding

• MSU• Pending labor negotiations• Continuing decline in the number of Michigan high school graduates• Escalation in operating costs• H1B Visa requirements

• Positives• FRIB funding on-track• Potential for regulatory relief

33

Governor’s Recommendation• Governor’s recommendation allocates 2.5% to higher education

• MSU appropriation approximates 2.4% based on formula result

• MSU appropriation remains $1.1M below FY11

• Tuition cap for resident undergraduates indicated at 3.8%

• Institutional recommendations range from 1.9% to 3.4%

• MSU AgBio and MSUE overall increase to higher education of 2.5%

• An additional $3.7M non-recurring to support animal agriculture and a portion of agriculture workforce development

34

Performance Funding Model• Performance funding model components consistent with previous years

• MSU allocated 19% of total performance funding pool, approximates U of M proportion, well in excess of other public universities

• MSU at or above Carnegie peer median for all variables except % of students with Pell Grant

• MSU total Pell population significantly greater than peer group average

• MSU better than peer average for institutional support expenditures as a percentage of core expenditures, resulting in an additional two points from the FY17 performance funding model

• Cumulative application of the performance funding model has resulted in slower restoration of appropriations support than any other tuition-compliant institution

35

FY18 Governor’s RecommendationPerformance Funding Model

36

MSU Model Results• Current Base $275.9M• Operations (50%) 1.23%

$3.5M• Crit Skill Degree (11.1%) 2,967 completions x $230.35

$0.7M• Research (5.6%) $1.9M / 1,270.3M =

$0.0015 x $328.4M= $0.5M• Performance Funding (33.3%) 7 pts x 36,765 = 257,355

$11.7M/$1.5M = $7.93$7.93 x 257,355=$2.0M

• Total Investment $6.7 M 2.4%

• 6-Year Grad Rate• Total Degrees• Institutional Support as % of Exp• % of Students Receiving PellPts 2 Impr; 2 > Nat’l Mean; 3 Top 20%

37

$8.6M

$6.0M$5.3M

$2.3M $2.2M $2.2M$1.4M $1.1M $0.9M $0.8M $0.3M

($0.2M) ($0.5M)($1.1M)

($14.2M)

($20,000,000)

($15,000,000)

($10,000,000)

($5,000,000)

$0

$5,000,000

$10,000,000

GVSU CMU FSU UM-F Northern SVSU MTU LSSU UM-D Oakland WSU UM-AA EMU MSU Wayne

Based on Executive Recommendation- Appropriations Support –Change since 2011

Of the institutions complying with tuition restraint provision, MSU lags 2011 formula appropriation by more than any state peer

Institutions complying with tuition restraint provisions Institutions in violation tuition restraint provisions (FY15 or FY16)

38

39

-40.00%

-20.00%

0.00%

20.00%

40.00%

60.00%

80.00%

100.00%

Nort

h Da

kota

Mas

sach

uset

ts

Mon

tana

Wyo

min

g

Geor

gia*

*

Texa

s

Utah

Tenn

esse

e

Mar

ylan

d

Sout

h Da

kota

Nebr

aska

Haw

aii

Calif

orni

a

Sout

h Ca

rolin

a

Arka

nsas

Colo

rado

Idah

o

Wisc

onsin

Oreg

on

Flor

ida

Conn

ectic

ut

Wes

t Virg

inia

Miss

ouri

Indi

ana

New

Yor

k

Alas

ka

Nort

h Ca

rolin

a

Mai

ne

Was

hing

ton

Miss

issip

pi

Virg

inia

Min

neso

ta

Verm

ont

Iow

a

New

Jers

ey

Ohio

Rhod

e Isl

and

New

Ham

pshi

re

Dela

war

e

New

Mex

ico

Kans

as

Neva

da

Kent

ucky

Alab

ama

Mich

igan

Okla

hom

a

Penn

sylv

ania

Loui

siana

Arizo

na

Illin

ois

36.76%34.14%

25.44%20.83%

10.20%

4.35%

-8.01%

-21.40%

n.a. n.a.

10 Year Change in Appropriations

FY18 Governor’s RecommendationMSU U of M Gap

ExecutiveRecommendation

$282.6 $316.0M $33.4M

Per FYES $6,105 $7,232 $1,127Total Funding Gap $52.1M

If non-resident students at Big Ten average of 35%, MSU tuition yields an additional $85M.

40

Governor’s RecommendationMSU Appropriation 2.4% ($6.7M)Total State Appropriation 2.5% ($35M)MSU Ag/Ext 2.5% ($1.6M)Tuition restraint 3.8% or $475One-time Funding MSU Animal Agricultural Initiative, $2.5M

MSU Agriculture Workforce Initiative, $1.2MTuition restraint penalties Loss of new funding

Formula distribution 50% proportional to FY201150% through unchanged formula

Summary of Proposed Appropriations BillsGovernor’s Recommendation

41

Senate Subcommittee House SubcommitteeMSU Appropriation 1.9% ($5.4M) 1.9% ($5.1M)Total StateAppropriation

2.0% ($28.0M) 1.9% ($26.6M)

MSU Ag/Ext 2.0% ($1.3M) 2.5% ($1.6M)Tuition restraint 3.8% or $475 3.8% or $475One-time Funding MSU Animal Agricultural Initiative, $2.5M

MSU Agriculture Workforce Initiative, $1.2MNot included.

Tuition restraint penalties

Loss of new fundingIneligible for capital outlay for 2 years

Legislative intent to revisit appropriations

Loss of new fundingIneligible for capital outlay for 2 years

Legislative intent to revisit appropriations

Formula distribution 50% proportional to FY201150% through unchanged formula

Legislative intent to increase the future percentage of funding driven through

formula

50% proportional to FY201150% through unchanged formula

Summary of Proposed Appropriations BillsHouse & Senate

42

Item Funding Timing NotesGlobal Impact/Academic Excellence

$5M$7M

FY18FY20

Unfunded need of $7-$21M over ten years to advance status as top-100 institution; increasing competition for federal funds

Technology

$13M - $23M R

$45M Data Center

$75M-$150M other NR

FY17-FY21

In Process

Ongoing

IT Stabilization

Data Center

Strategic Technology (NR)–Student Success, Student Information, Research, Analytics, EMR, Network/WiFi

Research/Critical SpaceInfrastructure

$17.5M-$70M$100M-$140M

$10M-$20M

When authorizedFY17-FY20Variable

STEM teaching and learning buildingInterdisciplinary science facilities

Research infrastructure

Power and Utilities $80M-$120M FY18-FY24Address overall obsolescence of Simon Plant, assure water quality, provided

through utility allocations

Deferred Maintenance-Just-in-Time

$300-$500M NR FY17-FY27 5 year projection includes HVAC replacements, need to prioritize projects and define scope

Financial Aid $25M R Ongoing Advancement effort

Adjust proportion of donor versus institutional aid through increasing donor support

Health Care Difference between inflation and actual Ongoing Monitor ACA impact, limit institutional cost growth

10 Year Financial Framework

43

Pro-forma Budget and AdjustmentsBudget Item

2017-18Pro-Forma

2017-18Update (a)

2017-18Update (b)

State Appropriations 4%Includes restoration

2.4%Governor’s recommendation

1.9%House/Senate

Tuition & Fees 4.0% Res Lower Div4.0% Res Upper Div4.0% Non-Res UG

3.8%Res undergrad tuition cap

4% non-res UG4% graduate,

2% graduate professional

3.8% Res LD3.8% Res UD

4% non-res UG4% graduate, 2% res GP

0% NR graduate professional

Financial Aid 4.5% 4.5% 4.5%

Faculty Salaries 2.5% 2.5% 2.5%

Utilities 0.0% -6.0% -6.0%

Health Care 5.0% 5.0% 5.0%

Competitive Programs $5.0 $5.0 $5.0

Competitive Talent 0.5% Provost Market 0.5% Provost Market 0.5% Provost Market

Technology $5.0 $5.0 $5.0

Base Budget Reduction -1.0% -1.0% -1.0%

Performance Reallocation (PERF) -1.0% -1.0% -1.0%

Total Budget $1,363.4 $1,359.3 $1,359.3Surplus/(Deficit) $- ($0.8) ($2.5)

44

Major One Percent Planning ValuesRevenues ValueState Appropriations $2.80M

Resident UG Tuition $4.20MNon-Resident UG Tuition $2.10MGraduate Tuition $1.10MGrad Professional Tuition $1.00M

Indirect Cost Recovery $0.60MInvestment Income $0.30M

Expenditures ValueAcademic Salaries $4.60MNon-Academic Salaries $2.70M

Financial Aid $1.40M

Fringe Benefits $1.90M

Utilities $0.60M

SS&E University Op $2.40M

Includes: faculty $3.5M, academic staff $0.6M, and graduate assistants $0.5MResident UG: Lower division $2.05M, Upper division $2.2MNon-Resident UG: Lower division $1.1M, Upper division $1.0M

45

Incremental 100 StudentsScenario A Scenario B Scenario C Scenario D

Resident 100 75 70 65

Tuition/Fee Rate $13,125 $13,125 $13,125 $13,125

Net Aid $2,600 $2,600 $2,600 $2,600

Net Per Student $10,525 $10,525 $10,525 $10,525

Total Resident $1,052,500 $789,375 $736,750 $684,125

Non-Resident 0 25 30 35

Tuition/Fee Rate $35,364 $35,364 $35,364 $35,364

Net Aid $10,000 $10,000 $10,000 $10,000

Net Per Student $25,364 $25,364 $25,364 $25,364

Total Non-Resident $0 $634,100 $760,920 $887,740

Total Revenue $1,052,500 $1,423,475 $1,497,670 $1,571,865

46

47

UG Enrollment Non-Resident %University of Iowa 19,911 53%Purdue University 28,682 48%Indiana University 31,728 43%University of Wisconsin 28,555 43%University of Michigan 27,258 42%University of Minnesota 29,168 37%Ohio State University 41,117 31%University of Nebraska 18,817 28%University of Illinois 31,989 27%Michigan State University 35,645 24%Rutgers University 33,392 17%

Big Ten Non-Resident Population

Convert 100 StudentsScenario A

Resident -100

Tuition/Fee Rate $13,125

Net Aid $2,600

Net Per Student $10,525

Total Resident -$1,052,500

Non-Resident 100

Tuition/Fee Rate $35,364

Net Aid $10,000

Net Per Student $25,364

Total Non-Resident $2,536,400

Total Additional Revenue $1,483,900

48

Elements to Resolve Budget DeficitProblem to be addressed $2.5M

Revenue:

1% Tuition Non Resident UG $2.1M

1% Resident Lower Div UG $2.0M

1% Resident Upper Div UG $2.2M

Incremental 100 Students (70%/30%) $1.5M

Funds budgeted in prior year Variable

Expenditures:

Base Budget Reduction 1% $6.0M

SS&E/University Operations 1% $2.0M

Faculty/Academic Staff Salary 1% $4.0M

Reduce Framework VariableAcademic CompetitivenessIT Stabilization

49

Detail Preliminary FY18 Budget (reflects update b)

50

INCOME EXPENDITURES VARIABLES2016-17 2017-18 2016-17 2017-18

Appropriations 275.9 281.1 Financial Aid 138.3 144.5 Appropriation 1.9%Page 1- Line 23-25, 28, 29 Page 1- Line 23-25, 28, 29

Tuition and Fees 947.9 947.9 LD Core UD Core LD Prof UD ProfUndergrad 26.4 Page 2-Lin Undergrad -Res 3.8% 3.8% 3.8% 3.8%Grad 6.2 Undergrad - Non Res 4.0% 4.0% 4.0% 4.0%New NR Student Enr 0.0 Undergrad - Int 4.0% 4.0% 4.0% 4.0%Total 980.5 Salaries 689.7 711.7 Grad

Grad Prof-ResidentPage 3- All Salary Increases Grad Prof-Non-Resident

Page 1- Line 29, 25-46 Health Insurance 84.8 89.0Page 3-Line 2 Other Revenue - ICR 3.0%

Other Revenue 93.2 95.2 Other Benefits 109.1 112.4Page 3-Line 2 Ranked Faculty 2.5%

Utilities 59.5 55.9 Academic Staff 2.5%Competitive Talent 0.5%

Page 2- Line 37-40 GA's 2.0%Page 1- Line 29,30 New Space 0.0 0.8 Coalition-Trailing Cohort (APSA, APA) 1.9% Page 2- Line 37-40 Coalition-Leading Cohort (Labor groups, CTU) 1.5%Page 1- Line 33 Supplies/Services 132.9 135.2 Student Labor 4.0%Funds Budgeted in prior year 0.0 0.0 Page 4- Line 1-4

Central University Items 102.8 105.9 Page 3- All Salary IncreasesFinancial Aid 4.5%

Framework 10.0 Page 2-Line 30-35 Health-Faculty & Academic Staff 5.0%

Page 4- Line 10-11 Health-Coalition 5.0%Other Benefits-Faculty & Academic Staff 3.0%

JIT Page 1-Line 32,33 Critical Space 0.0 Res Fac Passthrough 0.0 Res Fac Passthrough 0.0 Utilities -6.0%

Page 1- Line 33 Revenue-Based Initiatives 0.0 Revenue-Based Initiatives 0.0

Page 4- Line 30-38Base Budget Reduction** (6.0) Central University Items 3.0%

Supplies/Services 2.0%

Page 4- Line 1-4 Total 1,317.0 1,356.8 Total 1,317.0 1,359.3 Base Budget Reduction (1.00%)

Surplus/(Deficit) (2.5) Budget Change 3.2%

Does not include 1% efficiency factor

4.0%2.0%0.0%

Preliminary Budget Rates of Change

FY14 FY15 FY16 FY17 FY18Base 2.5% 2.70% 2.69% 2.29% 1.98%Financial aid 0.4% 0.40% 0.61% 0.89% 0.47%Enrollment Growth 0.1% 0.14% 0.00% 0.00% 0.00%Indirect Cost Pass-Through 0.0% 0.00% 0.00% 0.00% na

Sub-Total 3.0% 3.2% 3.3% 3.2% 2.5%

Financial Framework 0.2% 1.02% 0.65% 0.40% 0.76%Sub-Total 3.2% 4.3% 3.9% 3.6% 3.2%

Revenue Based Initiatives 0.8% 0.71% 0.73% 0.63% naTotal 3.98% 4.97% 4.67% 4.21% na

51