FY 2018 Preliminary
2019 Budget
OPERATING FUNDS
Budget
Actual
% Budget Variance
Budget 2018 vs. 2019
Revenues State & Tuition Local General
122,711 121,398 29,655 30,175 50,244 50,440 13,608 13,461
98.9% (1,313) 101.8% 520 100.4% 196 98.9% (147) 99.7% (744) 98.3% 2,112 94.4% 1,974 95.4% 2,133 96.3% 502 96.9% 6,721
125,329 32,306 52,122 13,454 223,211 125,073 35,006 47,834 13,300 221,213
3,931 2,131 1,682
Enterprise
Student Activities
(7)
Total Operating Revenues 216,218 215,474
7,737
Expenses State & Tuition Local General
121,604 119,492 35,199 33,225 46,220 44,087 13,489 12,987 216,512 209,791
5,581 1,781 3,747
Enterprise
Student Activities
313
Total Operating Expenses Revenue Less Expense
11,422 (3,685)
(294)
5,683
5,977
1,998
State and Tuition Fund The State and Tuition fund represents 56 percent of the total operating budget. As it is where most of the core instruction and administrative support occurs, it is the most often-discussed group of funds on campus. As discussed already, the main revenue sources are net tuition revenue and the state allotment, which are nearly equal in size. Of course, wages and benefits account for 88 percent of all spending, and so faculty and staff FTE and wage-and-benefit increases have the most impact on total expenses. State Allotment State funding has certainly stabilized since the dramatic swings following the Great Recession, and with the advent of the new tuition law, dubbed the “College Affordability Program (CAP).” The new policy reduced tuition by 20 percent in FY 2016 and FY 2017, but backfilled most of the lost revenue. In FY19 we expect over $11M in backfilled tuition from the state. The state allotment does however remain difficult to predict, as it is the result of the legislative process and the state has many competing funding priorities. One significant change that occurred in the FY17-19 biennium is that compensation increases were not fully funded. The state funded half of the increase lawmakers approved from the state general fund and directed universities to cover the balance with tuition—which by law cannot increase fast enough to cover state-approved wage increases. Tuition is capped at the rate of historic inflation (currently 2.2 percent) and wages and benefits are increasing at 3-4 percent. The university will have to cut costs or grow.
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