FRANCIS MARION UNIVERSITY

Report to the University Faculty

I. Financial Review

II. Capital Bond Bill Priorities

III. Capital Reserve Request

IV. Below the Line General Funds Requests

V. Campus Development

Office of Business Affairs

April 2007

Faculty Presentation April 2007.ppt

I. Financial Review

REVENUE

State Appropriations 16,586,166

Student Fee Revenue 22,925,053

Other Revenue 1,773,356

TOTAL REVENUE $41,284,575

EXPENSE

Personnel Costs 24,363,608

Student Wages 514,632

Employer Contributions 6,638,594 31,516,834

Other Operating Expense 9,767,741

TOTAL EXPENSE $41,284,575

FY 2006-07 General Funds Budget

Total Budget

Other Sources4%

Student Fees56%

State Appropriations

40%

FY 2006-07 General Funds

State Appropriations

$16,586,166 40%

Student Fees 22,925,053 56%

Other Sources

1,773,356 4%

Total $41,284,575

General Funds Budget

General Fund Revenue Budget

Other Operating Expenses

24%

Employer Contributions

16%

Student Wages1%

Personnel Costs59%

General Fund Expense Budget

Personnel Costs

$24,363,608

59%

Student Wages

514,632 1%

Employer Contributions

6,638,594 16%

Other Operating Expenses

9,767,741 24%

Total $41,284,575

Facilities16%

Scholarships (Waivers)

2%Instruction46%

Public Service3%

Academic Support10%

Student Services10%

Institutional Support

12%

FY 2006-2007 General Funds Budget

Instruction 46%

Public Service 3%

Academic Support 10%

Student Services 10%

Institutional Support 12%

Facilities 16%

Scholarships (Waivers) 2%

Expense

General Fund Expenditure Budget by Program

Francis Marion University

Comparative History – State Appropriations

2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07

State Appropriation 16,236,120

15,685,023

14,091,406

12,576,814 12,635,500

13,455,404

14,106,988

Change from previous year

264,516 (551,097) (1,593,617) (1,514,592) 58,686 819,904 651,584

Dedicated Projects:

Nursing Program 250,000 1,238,031 1,238,031

Small & Minority Business

500,000 500,000

Early Childhood Program

585,000

Women & Minorities in Science & Math

100,000

Flow Though Projects:

Omega Project 75,000 68,122 56,147 56,147 75,000 56,147

Francis Marion Trail

110,000

Total State Appropriation

16,236,120

15,760,023

14,159,528

12,632,961 12,941,647

15,378,435

16,586,166

Construction Projects:

Center for the Child

2,000,000

Nursing Building 250,000 1,500,000

Center for Performing Arts

7,000,000

Revenue

FMU General Fund Revenues:

5 Year Summary

$0

$5,000,000

$10,000,000

$15,000,000

$20,000,000

$25,000,000

$30,000,000

$35,000,000

$40,000,000

2002 2003 2004 2005 2006

State Appropriations Student Fees Other Sources

Revenue History

FMU General Fund Expenditures:

5 Year Summary

$0

$5,000,000

$10,000,000

$15,000,000

$20,000,000

$25,000,000

$30,000,000

$35,000,000

$40,000,000

2002 2003 2004 2005 2006

Personal Services & Fringes Operating

Expenditure History

Financial Review:

State Appropriations per Fall FTE(Fiscal Year Ended June 30)

$5,530

$4,772

$4,111 $4,127

$4,628

$0

$1,000

$2,000

$3,000

$4,000

$5,000

$6,000

$7,000

2001-02 2002-03 2003-04 2004-05 2005-062001-02 2002-03 2003-04 2004-05 2005-06

State Appropriations $15,760,023

$14,159,528

$12,632,961

$12,941,647

$15,378,435

Fall FTE 2,850 2,967 3,073 3,136 3,323

State Appropriations/Fall FTE

$5,530 $4,772 $4,111 $4,127 $4,628

State Appropriations/Fall FTE

2006-07 Comparison of Undergraduate Student Fees Full-Time In-State Undergraduate Student Fees (Per Semester)

In-State UG Per

Semester

Difference from FMU

Per Semester Increase

Francis Marion University $3,256 264

USC-Aiken 3,335 79 271

Lander 3,581 325 247

The Citadel 3,584 328 323

College of Charleston 3,617 361 283

SC State 3,639 383 399

USC-Upstate 3,712 456 394

Coastal Carolina University

3,750 494 320

USC-Columbia 3,904 648 247

Clemson 4,700 1,444 257

Winthrop 4,750 1,494 372

Average 3,803 547 307

USC-Beaufort 2,862 (394) 255

Note: USC Beaufort was approved to move from two-year to four-year status in June 2002.

Source: SC Commission on Higher Education website, December 2006

Student Fees

II. Capital Bond Bill Priorities

Capital Bond Bill Priority 1

School of Education/School of Business Building

1) Description of Request:

Construction - Build an approximately 61,000 square foot facility.

Description - Provide 13 classrooms, 1 distance learning classroom, 4 computer labs, 1 open computer laboratory, 4 project rooms, a teaching materials center, 50 faculty offices, 2 deans’ offices and various support staff facilities.

Funding Request - Request includes one-time funding of $15,250,000 for construction, start-up equipment and furnishings.

Prior Funding - $750,000 provided in fiscal year 2000 for architectural and engineering design.

2) Justification:

Promote the School of Education and School of Business Programs - Provide two of FMU’s largest undergraduate and graduate degree programs, the School of Education and the School of Business, a building designed for and dedicated to the promotion of their respective programs.

Enhance Instruction through Latest Technology - Facilitate instructional delivery through the use of latest technological media.

Capital Bond Bill Priority 2

Founders Hall Renovation

1) Description of Request:

Renovation - Renovate the 76,366 square foot Founders Hall, the University’s oldest classroom building, which covers two floors and houses 26 classrooms and labs and 99 offices.

Facility Renewal - Address items of facility renewal such as replacement of the HVAC and lighting systems for improved energy efficiency, replacement of carpeting, ceilings, interior finishes, door locks, and classroom seating.

Funding Request - Request includes one-time funding of $6,000,000 for renovation of facility.

2) Justification:

Provide for Renovation of an Extensively Used Facility - As the first of the University’s classroom and faculty office buildings (constructed in 1974), the facility has been extensively used.

Promote Recurring Cost Savings - Effect recurring cost savings to the University through replacement of energy-inefficient HVAC and lighting systems and subsequent decreases in preventative maintenance and deferred maintenance costs.

III. FY 2007-08 Capital Reserve Request

Capital Reserve Funding Request

Center for the Performing Arts

Description Construction of the facility will total $21,000,000 and includes $7,000,000 in

state appropriated funds previously awarded for construction of the facility, $1,000,000 from the City of Florence’s state appropriation for its downtown redevelopment project, and a gift of $10,000,000 from the Drs. Bruce and Lee Foundation.

The facility will consist of a multipurpose theater that will accommodate 750, a 100-seat black box or experimental theater, several classrooms and offices.

The facility will provide instructional and performance space for the theater and music programs of the University’s Fine Arts Department and provide performance venues to benefit the University community, the City of Florence, and the surrounding Pee Dee area.

The City of Florence plans on using this facility as a focal point for their downtown redevelopment initiative.

Request - Francis Marion University is requesting $3,000,000 in capital reserve funding for a new 52,000 square foot facility in downtown Florence. The new facility will be constructed through a partnership between FMU and the City of Florence, and partially funded though a substantial private gift from the Bruce and Lee Foundation.

Capital Reserve Funding Request

Deferred Maintenance

Description - FMU is in its 37th year and many of the academic facilities are reaching a critical stage relative to addressing the progressive, cyclical, and predictable deterioration of the buildings. During 2005, the University defined approximately $3.5 million in deferred maintenance needs within physical structures and an additional $3.7 million outside buildings.

Critical needs include mold and mildew abatement in academic buildings and repairs to storm-water collection and sanitary sewer system replacement & repair.

Smith University Center - Significant deferred maintenance need exists for repairs to the 8,000 sq. ft. indoor pool and the facility which houses it. Repairs extend to the pool itself, the surrounding walls and ceilings, access doors, and decks. A critical issue is the need to repair and replace corroded air handlers and piping which have caused air quality to drop below acceptable standards. This project is estimated to be $600,000.

In a time of reduced state appropriated funding, the postponement of deferred maintenance will only result in higher costs for remedying these situations as conditions worsen over time.

Request - Francis Marion University is requesting $1,000,000 in capital reserve funding to address ever increasing deferred maintenance needs, primarily in the University’s academic and instructional facilities.

III. Financial Overview of AuxiliariesIV. FY 2007-08 Below the Line General Funds Requests

Below the Line Request

Rural Assistance Initiative

Description - The Pee Dee region of South Carolina is a primarily rural area of the state characterized by relatively high unemployment and poverty rates. This region needs a program of expert technical assistance that will increase local capacity to undertake rural development projects in various areas, including housing, community facilities, health care, and economic innovation.

FMU faculty from several different departments and schools—Business, Nursing, Sociology, Psychology, and Political Science—will work with rural communities to assess their health and human services and infrastructure needs and to develop strategies to address those needs.

The University will offer technical assistance to rural communities in the Pee Dee region. This assistance will promote rural development and help individuals, businesses, and local communities participate in the global economy.

Request - Francis Marion University is requesting $600,000 for an interdisciplinary program to assist rural development in the Pee Dee region of South Carolina.

Below the Line Request

Teacher Education Initiative

Description - In order to enhance the performance of teachers who are already in the classroom, this initiative will provide high quality professional development activities. This program will be focused on closing the educational gap through improving the quality of K-12 education in the Pee Dee Region.

The proposed Teacher Education Initiative would be structured to improve the quality of K-12 education in the Pee Dee and enhance the ability of pre-service and in-service teachers to work with parents, local school districts, health and human service providers, and the business community to meet the special needs of children living in under funded school districts in the Pee Dee region.

In particular, the proposed program is intended to help close the gap between the K-12 educational system and what students need to know and do in order to succeed in post-secondary education.

Request - The Francis Marion University School of Education is concentrating on improving the quality of undergraduate and graduate teacher education and preparation in the Pee Dee region of South Carolina. Francis Marion University requests $500,000 for a program to strengthen pre-service teacher education programs in order to attract highly qualified applicants and enable graduates to perform at a very high level in the classroom.

Below the Line Request

Accreditation Support and Program Enhancement

Request - All academic programs at the university that have external accrediting bodies are currently accredited with the exception of Computer Science. Francis Marion University requests $850,000 for funding that will strengthen and extend academic programs and their accreditation.

Description Requested funding will be used to provide academic program support and to enhance

accreditation efforts in the following areas:

• All Academic Programs - Southern Association of Colleges and Schools (SACS) • Early Childhood, Elementary, and Secondary Education - National Council for Accred. of Teacher

Educ. (NCATE)• Business - Association to Advance Collegiate Schools of Business-International (AACSB) • Visual Arts and Art Education - National Association of Schools of Art and Design (NASAD)• Theatre Arts - National Association of Schools of Theatre (NAST)• Graduate Program in Psychology - Master's in Psychology Accreditation Council (MPAC) • Graduate Program in School Psychology - National Association of School Psychologists (NASP)• Chemistry - American Chemical Society (ACS)• Computer Science

Requested funds would allow the university to bring the Computer Science program to the level needed for external accreditation.

Other academic programs, such as Accounting, Physics and Astronomy, Visual and Graphic Arts, Psychology, Chemistry, and Education, would benefit from additional resources in order to satisfy the expectations of professional organizations and external accrediting bodies. 

Funding also needed for activities linked to the SACS reaccreditation effort, including the Quality Enhancement Plan required by SACS that will be a top institutional priority in 2007-08.

III. Financial Overview of AuxiliariesV. Campus Development

Current Campus Projects

Construction of Phase II of the Forest Villas Apartments

190 beds

(including some improvements to existing housing)

$9.2 million

Construction of the Gail and

Terry Richardson Center for the

Child

Estimated 16,200 sq. feet

$3,000,000

Under Construction

In Planning Phase

Construction of theForest Villas Apartments - Phase II

Phase I: Provided 237 beds that were occupied in August 2004.

Phase II: Currently constructing approximately 190 additional beds for August 2007 opening.

Construction of the Gail and Terry Richardson Center for the Child

Conceptual RenderingDescription - Construct an estimated 16,200 square foot building to provide space for instruction, daycare, and administration needs, including classrooms, assessment rooms, videoconferencing room, observation areas, a food preparation area, offices and other support facilities.

Funding - During FY05-06, the University was appropriated $2,000,000 for construction of the facility.

Rendering - Front View

Pee Dee Education Center

Gail and Terry Richardson Center for

the Child

Construction of the Gail and Terry Richardson Center for the Child

Conceptual RenderingProvide a Student Learning Laboratory - Provide a learning laboratory to support practical applications for students in the Psychology and Education curricula in working with children attendees.

Serve as a Community Resource - Serve as a resource for the surrounding community by:

Providing critically needed assessment and intervention services for at-risk children and families through a child development and evaluation clinic, Providing state of the art day-care for children of employees, students, and other community members through a child study lab, Seeking to develop and disseminate best practices in early childhood education and provide technical assistance to the State’s early childhood programs.

Rendering - Rear View

McNair Science Building Auditorium Renovation

McNair Science Building Auditorium: constructed in 1972 is a multi-functional facility serving Academia, Fine Arts, and the local Community design of the facility allows for two classrooms and an auditorium. folding wall partitions between the classrooms and the auditorium can be opened to support events with total seating capacity of 438.

Purpose: To provide a major renovation to the MSB Auditorium (room 12 and classrooms/wings 11 and 13).

Time Frame: Scheduled for May, June 2007

Renovation Plans:

New, modern seating

New interior design with laminated panels, and trim

New carpeting

New lighting design

New audio/visual equipment utilizing current technology

• DVD/VCR combination unit, stereo, speakers with surround sound,

and wireless microphone system.

Smith University Center Pool Renovation

Smith University Center Pool:

constructed in 1974

is a 25 meter pool with a 3 meter diving board and 8 swimming lanes.

Purpose: To renovate the UC pool within the budget constraints provided.

Time Frame:

Already working with an A/E firm to do the design work.

Scheduled to have the design go out for bids in June.

Scheduled to close the pool for the Fall 2007 semester with demolition/construction starting in

early August 2007.

Smith University Center Pool Renovation

Budgeted Cost: Budgeted at $967,000. Break-out below does not include contingency and design amounts.

Activity Description Estimated Cost

HVAC Unit Replace with humidity control unit and duct-sock

$225,000

Room Ceiling Remove suspended ceiling $65,000

Roof Support Structural beams and bar joists need sandblasting and refinishing due to significant corrosion

$150,000

Angle Bracing Replace damaged angle bracing in ceiling $12,500

Inspection Have engineer inspect all sandblasting $40,000

Lighting Room lighting units are severely corroded and need repair or replacing; pool lighting is inoperative

$120,000

Doors & Windows Replace existing storefront window and door frame assemblies with new structures including transoms.

$125,000

Pool Surface Blast off existing gunnite, repair cracks and holes, apply new surface material

$75,000

Special Equipment Replacement/Repair

Metal refinishing; balcony rails $12,500

Founders Hall/CEMC Renovation

Founders Hall•occupied in 1974•houses offices and classrooms for

several academic programs.

Cauthen Educational Media Center •occupied in 1977•contains the Media Center•provides classroom and office space

for academic programs•houses the Dooley planetarium, the

Lowrimore Auditorium, and the Jackson Innovation Place.

Founders Hall Future Renovation: The University’s Comprehensive Permanent Improvement Plan (CPIP) has Founders Hall Renovation scheduled for 2009-10 pending funding.

Purpose: A project list is being developed for small cosmetic renovations this summer.

Time Frame: Scheduled for Summer 2007.

Proposed Renovations:

Renovate Bathrooms

Replace Carpet

Replace Ceiling Tiles

Paint Interior

Replace Some Furniture

Clean/Pressure Wash Building Exterior

Paint Building Exterior

Repair Exterior Entrance Steps

Drs. Bruce & Lee Library

IRBY STREET

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DARGAN STREET

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Proposed Location

Poynor School

Description: Constuct an estimated 52,000 square foot facility at the corner of Dargan and Palmetto streets in downtown Florence through a partnership between FMU and the City of Florence, and partially funded through a substantial private gift from the Drs. Bruce & Lee Foundation.

Specifics - The facility is planned to consist of a multipurpose theater to accommodate 750, a 100-seat black box or experimental theater, several classrooms and offices.

Estimated Cost - approximately $21 million:• $10 million gift from the Bruce and Lee Foundation over 5 years.

• $1 million in downtown redevelopment funds.• $7 million in 2006-07 state appropriation.• $3 million of additional state funds being sought through a Capital Reserve Request.

Justification:• Provide cultural enhancement opportunities for the Pee Dee Region.

• Provide instructional and performance space for FMU theater and music programs.

• Serve as a focal point for the City of Florence downtown redevelopment initiative.

2008 Projected Campus Project: Construction of The Center for the Performing Arts

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CONCESSIONS & PRESS BOX

Development of an Outdoor Athletic Complex

Acquired Land (west of Highway 327)

Conceptual Rendering Only

Major Projects Recently Completed

2000 Smith University Center Commons Renovation $60,000

2000-01 Smith University Gymnasium Renovation $175,000

2003 Ervin Dining Hall Laundry Room - Renovated & Reequipped

$8,000

The Lowrimore Auditorium Renovation $450,000

The John Kassab Tennis Courts Renovation $265,000

The BB&T/Amelia Wallace Faculty/Alumni Cottage Construction

$650,000

2003-04 Mall Fountain Construction and Landscaping $98,000

2004 James E. Dooley Planetarium Equipment Upgrade $235,000

Install Sound System in University Center Gymnasium $83,000

Install Sound System in Fine Arts Center Theatre $35,000

Install Sound and Video System in Univ. Center Commons

$30,000

2004-06 The Village Apartments - Furniture/Appliance Replacement

$1,096,000

2005-06 Hanson Park $15,000

The Dr. Frank B. Lee Nursing Building Construction $8,000,000

The Grille Construction $1,550,000

Proposed Major Projects Projected Cost

2006 FMU Real Estate Foundation purchase from FMU Foundation approximately 95 acres from previous land acquisition.

$730,000

2006-07 Construction of Forest Villas Apartments - Phase II (including some improvements to existing housing)

$9,200,000

Construction of the Gail & Terry Richardson Center for the Child

$3,000,000

2007-08 Construction of the Center for the Performing Arts $21,000,000

TBD Construction of School of Education/School of Business Building

$16,000,000

TBD Renovation of Founders Hall $6,000,000

TBD Development of an Outdoor Athletic Complex TBD

2000-2010 Major Projects and Acquisition - Total Cost Approximation

$80,000,000

FMU Foundation - Land Acquisition

2005 FMU Foundation obtained 109.24 acres across the highway from the FMU campus (west of Highway 327).

$1,300,000

FMU Real Estate Foundation

2004 The Forest Villas Apartments (Phase I) & Forest Villas Community Center Construction

$9,900,000