Me Meeting of of the B Boa oard of of Visi sitors F Finance Com Committee March 24, 24, 2015 2015
Ag Agenda I. ACTION ITEMS A. Enrollment Projections B. 2015-2016 Tuition and Required Fees for Undergraduate, Graduate, Professional and Special Programs C. Faculty, Staff and Student Housing Rates 2015-2016 D. Contract Rates for Dining Services 2015-2016 E. Capital Project Approvals F. Medical Center Quasi-Endowment - Extension of Delegated Authority G. Endowment Spending Rate 2
E NROL ENT P ROJECTI TIONS OLLM LMEN PAT H O G AN E X E C U T I V E V I C E P R E S I D E N T A N D C H I E F O P E R AT I N G O F F I C E R
UVa Enrollme ment P Projections, Fall 201 014 4 – Fall 20 2022 22 • Continues enrollment growth plan that started in Fall 2011 and will Undergraduate: continue through Fall 2018, after which enrollment levels off at 15,688 • +566 undergraduate students over the period • Slight decrease in projected growth, still represents positive growth Graduate: • +390 graduate students (from 4,653 to 5,043) over the period • Law class size will decline by 102 (from 1,067 to 965) and Medicine Law & Medicine: class size will remain level at 620 over the period Continuing and • Overall growth of 40 students (from 338 to 378) over the period Professional Studies • Overall decline of 215 over the period due to discontinuation of the Off-Grounds: Semester at Sea program and moderate growth in other programs 4
Co Colle llege a at Wise E ise Enrollment P Project ctions Fall 2014 Fall 2021 Total Headcount 2,164 2,305 Student Full-time Equivalent 1,514 1,619 • Enrollment projections forecast a 7% increase in both total headcount and student full-time equivalent by fall 2021. 5
2015 2015-16 T 16 T UIT UITION AN AND F EES EES FOR OR U NDERGRADU DUATE , G , G RAD TE , , ADUATE P ROF AL , , AN AND S PECI AL OFES ESSIONAL PECIAL P ROGRAMS C O L E T T E S H E E H Y V I C E P R E S I D E N T F O R M A N A G E M E N T A N D B U D G E T
Underg rgraduate T e Tuition 7
Tu Tuit ition Set Setting Co Context • BOV approved the 2014-15 undergraduate tuition increase: – In-state: +4.5% – Out-of-state: +6.0% – Blended rate: +5.4% • After BOV approved the FY2014-15 budget and the 2014-15 tuition increase, the General Assembly applied a mid-year $8.2 million reduction in base budget appropriation that we had to absorb in FY14-15 operations. This was addressed largely through one-time savings. • The 2015 General Assembly session resulted in additional funding for enrollment, but also mandated unplanned compensation increases for classified staff and the acceleration of VRS funding. 8
Tu Tuit ition Set Setting Co Context • For FY 15-16 there are incremental spending requirements we face in several key areas: – Compensation: net impact of $9.8 million after state share of funding – Safety and Support Services: $2.8 million; 13 FTE – Compliance: $1.6 million; 10 FTE – Financial aid contingency: $5.0 million; reflects anticipation of elimination of federal Perkins Loan program – Enhanced Library costs: $1.3 million 9
General Assembly Approved FY2015-16 General Fund Budget Actions 1 UVa Academic Division (in millions) E&G Financial Aid Research Total FY15 Base Appropriation (approved June 2014) $127.57 $10.52 $6.73 $144.82 (8.16) 0.00 0.00 (8.16) Less: Permanent Base Reduction (approved September 2014) Revised FY15 Base Appropriation $119.41 $10.52 $6.73 $136.66 Plus Incremental Funding Included in Conference Committee Actions: Restoration of Budget Reduction and Enrollment Growth 2 $1.61 0.00 0.00 1.61 Research – Cancer 0.00 0.00 1.00 1.00 0.00 0.10 0.00 0.10 Undergraduate Financial Aid Virginia Foundation for the Humanities 0.09 0.00 0.00 0.09 $1.70 $0.10 $1.00 $2.80 Total Incremental Funding Approved Plus State-Authorized Compensation Increases: T&R Faculty Salary Increase (2% average) $1.03 $0.00 $0.00 $1.03 Classified Staff Salary Increase (2% + $65/year of service for those with at least 5 years of 0.84 0.00 0.00 0.84 continuous service up to 30 years) University Staff, A&P Faculty, GTA Salary Increase (2% average) 1.08 0.00 0.00 1.08 0.06 0.00 0.00 0.06 High Turnover Positions (additional 2%) VRS Rate Increase from 12.33% to 14.22% 1.26 0.00 0.00 1.26 Total Compensation Funding 3 $4.27 $0.00 $0.00 $4.27 $125.38 $10.62 $7.73 $143.73 FY16 Appropriation % Change – FY16 over original FY15 (1.72%) 0.95% 14.86% (0.75%) Additional funding actions not reflected above: $5.64 M for the Rotunda renovation; $1.54 M in the Higher Education Equipment Trust Fund (HEETF); $1.00 M for the Virginia Kindergarten Readiness Program administered by the Curry School of Education (pass through from Department of Education). 1 Subject to approval by the Governor. 2 State share of actual and planned enrollment growth estimated at $5.3 M over the biennium. 10 3 State funding of compensation increases represents approximately 1/3 of total cost.
Us Use of of R Revenue L Levers Finance Subcommittee analyzed various revenue levers to fund base operations and strategic priorities. Revenue Lever Supporting Activity Endowment Spending Distribution Base Operations Debt Restructuring Strategic Priorities (Cornerstone Plan and Generational Faculty Turnover) Organizational Excellence Base Operations Balance Sheet/Investment Earnings Strategic Priorities (Cornerstone Plan and Generational Faculty Turnover) Philanthropy Base Operations and Strategic Priorities (Cornerstone Plan, Generational Faculty Turnover) Tuition Base Operations 11
Incremen enta tal FY FY16 16 Oper erati ting R Requirem emen ents ts (Under ergraduate S te Schools) Sala larie ies & & Ben enefits s Total Net Less: State Principal Categories 2014-15 UVa 2015-16 Impact on Expected % Increase General (in $ thousand) Cost Base Cost 2015-16 Funds A Increase Budget T&R Faculty Salaries and $98,630 4.50% $4,438 +1,234 FB Benefits 5,672 2.5% from reallocations (3,151) 2,521 ($1,027) $1,494 Non-T&R Faculty, U Staff 110,628 1% market adjustment 4,265 (1,090) 3,175 Salaries, GTA/GRA 2% merit-pool 34,184 2.00% 939 (361) Classified Staff Salaries and 1,466 $65 per year of service up to Compression Adjustment 1,364 (476) 30 years Retention Increase for High 2.00% 179 (62) 117 Turnover Positions B Accelerate VRS contribution Fringe Benefits (FB) Rate rate to 90% of Board certified 79,646 4,772 (1,256) 3,516 Increase C rates ($3,600), Fringe Rate increase (~1%) Subtotal Compensation $323,088 $14,040 ($4,272) $9,768 A. FY15-16 state budget information is subject to approval by the Governor. B. State Mandated C. Rate increase is driven by increase in VRS employer rate ($3.6 million), assumption of unused leave payout at employee termination ($1.0 million), FICA base increase ($0.2 million ) 12
Incremen enta tal FY1 Y16 Ot Other Ope Operating Requirem emen ents ( ts (Undergraduate S te Schools) Total Net Impact Less: State Principal Categories 2015-16 on Expected % Increase General (in $ thousand) Cost 2015-16 Funds Increase Budget Subtotal Compensation $14,040 ($4,272) $9,768 Enhanced Safety & Support Services 2,760 2,760 Separate Schedule O&M; Res Life; Lease and Property insurance; Contractual Obligations 2,293 2,293 communications; Managerial Reporting Enhanced Library Operations 1,300 1,300 Staffing and Collections Student Life 307 307 Greek Life, OAAA, Graduation FOIA, Legal, Audit, Title IX, Compliance 1,550 1,550 Clery Anticipated elimination of Financial Aid Contingency 5,000 5,000 Perkins Loan Program 2.0% CPI Increase on non-personal services 7,300 7,300 TOTAL FY16 Operating Requirements $34,550 ($4,272) $30,278 13
Enha nhanc nced S Safety & & Sup upport S Servic ices F Fund undin ing R Requir uirement nts FY 15-16 (in $ thousands) Upgrade UVa camera system $160 Police officers (6 FTE) 287 IT support for monitoring station (1 FTE) 55 Camera control operators (3 FTE) 116 Evaluate and update emergency phones 20 Police sub-station on the Corner 65 Ambassadors to provide additional security support 1,600 "Buddies on Call" and "Student Watch" student-led programs 10 Safety app for personal phones 12 Expand after-hours transportation system 150 Improved Safety Subtotal $2,475 Women's Center Counselors (3 FTE) 225 Sexual assault and safety education programs 60 Increased Counseling, Support and Education Subtotal $285 Enhanced Safety and Security Total (13 FTE) $2,760 14
Incr crea eased C d Complia pliance F ce Fundin ding R Requir irem emen ents (in $ thousands) 2015-16 FOIA Staff + Software (1 FTE) $100 Auditing Staff 170 Attorney and administrative support (2 FTE) 235 Title IX and Clery Coordinators and support 550 (4 FTE) Sexual Misconduct Investigators (3 FTE) 495 Compliance Total (10 FTE) $1,550 15
Recommend
More recommend
