FY 2019 Preliminary
2020 Budget
OPERATING FUNDS
Budget
Actual
% Budget Variance
Budget 2019 vs. 2020
Revenues State & Tuition Local General
125,401 125,849 33,480 34,638 52,122 52,614 13,661 13,977
100.4% 448 103.5% 1,158 100.9% 492 102.3% 316 101.1% 2,414 99.4% 767 98.0% 718 99.3% 346 101.1% (149) 99.2% 1,682
132,578 35,510 59,056 14,044 241,188 132,578 36,012 56,098 14,269 238,957
6,729
872
Enterprise
6,442
Student Activities
67
Total Operating Revenues 224,664 227,078
14,110
Expenses State & Tuition Local General
125,680 124,913 36,357 35,639 47,438 47,092 13,300 13,449 222,775 221,093
7,665
373
Enterprise
9,006
Student Activities
820
Total Operating Expenses Revenue Less Expense
17,864 (3,754)
1,889
5,985
4,096
2,231
State and Tuition Fund The State and Tuition Fund represents 55 percent of the total operating budget. Because 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 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 FY20 we expect over $12M in backfilled tuition from the state, representing almost 18 percent of the total state allotment. 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 wage inflation (currently 2.4 percent) and wages and benefits are increasing at 3-4 percent. The university has had to manage cost increases and grow to overcome this state policy.
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