Unrestricted Operating Budget Overview December 6, CCR Committee Presentation

Transcription

1 University of New Orleans Cost Containment and Revitalization Committee Unrestricted Operating Budget Overview December 6, :00a to 12:00p

2 Positive o Pi Principles i Despite this difficult situation, we have a bright future. The S/O part of the SWOT analysis is promising. Practical o However, first we have to accept the present reality and deal with the W/T aspect immediately. Paradigm shift o We live in a different world now and have a new operating model. Some old processes, behaviors and structures are counterproductive. Professional o A thoughtful approach is required. No room for personal animosity. Proactive o Habit One of Covey s Seven Habits of Highly Effective People.

3 FY Projected Structural Deficit Unrestricted Revenue Projection as of October 7, 2013 $105,280,185 $106,000,000 $105,000, $104,000,000 $103,000,000 $102,000, Total Revenues $101,000,000 $100,000,000 $98,913,654 $99,000,000 $98,000,000 $97,000,000 $96,000,000 $95,000,000 Budgeted Projected

4 FY Realistic Revenue compared to a Realistic View of University s Spending Habits 115,000, ,499, ,000, ,000, ,000,000 96,793,006 95,000,000 90,000,000 85,000,000 Projected Revenue Projected Expenditures

5 Unrestricted Operating Budget (initial) FY thru FY $125,000,000 $120,000,000 $121,119,578 $122,669,203 $119,953, $115,000,000 $110,620,566 $110,000,000 Total Revenues $105,000,000 $105,280, $100,000,000 $95,000, Between FY and FY , 14 UNO s unrestricted operating budget was reduced by $15,839,293 (13%)

6 $112,000,000 Unrestricted Operating Budget Revenue FY and FY Budget, Actual, Projected $110,620,566 $110,000,000 $108,000,000 $106,000,000 $105,280,185 $104,000,000 $102,922,935 $102,000,000 $100,000,000 $98,913,654 $98,000,000 $96,000,000 $94,000,000 $92,000,000 Budget Actual Budgeted Projected

7 Revenue Budget

8 Unrestricted Budgeted Revenue FY thru FY By Source of Revenue $140,000,000 $120,000,000 $100,000,000 Budg get as of July 1st $80,000,000 $60,000,000, $40,000,000 $20,000, $ Self Generated Funds $55,898,840 $61,296,011 $72,277,400 $71,239,333 $72,566,669 State Funds $65,220,738 $61,373,192 $47,676,321 $39,381,233 $32,713,516 FY State Funds include funding from Overcollections in the amount of $12,631,022

9 Unrestricted Budgeted Revenue By Source FY By Source FY General Fund Direct 38% General Fund Direct 17% General Fund Restoration Amount 0% Self Generated Funds 46% Self Generated Funds 69% Statutory Dedicated 14% Interagency Transfers ARRA 10% General Fund Restoration Amount 3% Statutory Dedicated 3% Interagency Transfers ARRA 0%

10 Adjustments to Revenue Between FY and FY Unrestricted Budget Approved Initial Budget Budget FY Adjustments FY State General Fund (Direct) 36,756,393 (19,189,715) 17,566,678 Self Generated 71,239,333 1,327,336 72,566,669 *Statutory Dedications 2,624,840 12,521,998 15,146, ,620,566 (5,340,381) 105,280,185 *Includes Overcollections of $12,631,022

11 Adjustments to Revenue Between FY and FY Unrestricted Budget FY Initial Budget 110,620,566 Mid Year Budget Reduction Made Permanent (948,120) State General Fund (18,241,595) Statutory Dedication Overcollections 12,631,022 Statutory Dedication SELF (109,024) Grad Act Tuition Increase 4,327, Self Generated (3,000,000) Total Adjustments (5,340,381) FY Approved Budget 105,280,185 Additional Adjustments Needed (6,366,531) FY Projected Revenue 98,913,654

12 Budgeted vs. Actual Headcounts FY thru FY UNIVERSITY OF NEW ORLEANS Budgeted and Actual Headcounts for Fiscal Years Undergraduate / Graduate FALL Compare Actual to Budget Headcount SPRING Compare Actual to Budget Headcount Fiscal Years Budgeted Headcounts *Actual Headcounts Increase (Decrease) Budgeted *Actual Headcounts Headcounts Increase (Decrease) ,774 11,180 (594) 10,867 10,320 (547) ,335 11, ,462 10, ,656 10,996 (660) 10,893 10,222 (671) ,250 10,606 (644) 10,380 9,612 (768) ,476 9,858 (618) 9,765 8,765 (1,000) Projected ,445 9,020 (425) 8,595 * Excludes non paying students

13 Expenditure Budget

14 Unrestricted Budgeted Expenditures FY thru FY By Function $60,000,000 $50,000,000 Instruction $40,000,000 Research Public Service Academic Support $30,000,000 Student Services Institutional Services Plant Operations/Maintenance $20,000,000 Scholarships/Fellowships Athletics $10,000,000 $

15 Unrestricted Budgeted Expenditures By Function FY By Function FY Plant Operations/ Maintenance 12% Scholarships/ Fellowships 10% Athletics 0% Instruction 41% Scholarships /Fellowships 10% Plant Operations/ Maintenance 11% Athletics 1% Instruction 37% Institutional Services 17% Student Services 5% Academic Support 12% Research 1% Public Service 2% Institutional Services 18% Student Services 6% Academic Support 11% Research 3% Public Service 3%

16 Unrestricted Budgeted Expenditures FY thru FY By Object $70,000,000 $60,000,000 Salaries $50,000,000, Other Compensation Related Benefits $40,000,000 $30,000,000 $20,000,000 Travel Operating Services Supplies Professional Services Other Charges General Acquisitions Library Acquisitions $10,000,000 $ Fiscal Year

17 Unrestricted Budgeted Expenditures FY thru FY By Object $90,000,000 $80,000, $70,000,000 $60,000,000 $50,000,000 $40,000,000 $30,000,000 $20,000,000 $10,000,000 $ Salaries and Benefits $81,204, $83,742,072 $80,766, $75,317, $73,492, Other Expenditures $39,915,088 $38,927,131 $39,186,892 $35,303,406 $31,787,768

18 General Acquisitions 0.45% Unrestricted Budgeted Expenditures FY By Object Library Acquisitions 1.16% 16% Professional Services 0.95% Supplies 2.40% Operating Services 9.02% Travel 0.21% Other Charges 16.01% Related Benefits 19.30% Salaries 46.07% 60 Other Charges Budgeted Scholarships $10,211,865 Athletics $1,340,000 Bad Debt Expense $300,000 Banking Services $279,000 Civil Service $35,751 Risk Management Insurance $4,008,104 UL System Allocation $293,259 External Audit Expense $145,735 Other $241,918 Total $16,855,632 Other Compensation 4.44%

19 Professional Services 0.95% Operating Services 9.02% General Acquisitions 0.45% Supplies 2.40% Travel 0.21% Unrestricted Budgeted Expenditures FY By Object Library Acquisitions 1.16% 16% Budgeted Operating Services Facility Services $1,352,142 Johnson Controls $1,177,405 Other Charges Utilities (incl. restricted support 16.01% of $2,150,592) 592) $3,435,120 MBA & EMBA Programs $261,529 Related Benefits 19.30% Other Compensation 4.44% Salaries 46.07% 60 Lakefront Arena $256,350 Campus Mail $215,000 UCC $584,202 Communications, Marketing, and Public Relations $525,420 Enrollment Management and Student Affairs $490,344 CERM $325,000 Conference Services $129,800 Other $744, Total $9,497,055

20 Timeline o o PthF Path Forward Cost Containment recommendations forwarded to president no later than February 3 rd. Revitalization effort continuous. Sub-group formation for Cost Containment o o o o One: focus on non-personnel costs (recognize that potential amount and timing are problematic) Two: ancillary and auxiliary units (acknowledge overlap personnel) Three: personnel costs staff Four: personnel costs academic Revitalization ti efforts o o Academic program priorities identified Staff business process review and structural changes

21 Lagniappe

22 FY Unrestricted Expenditure Budget % to Expenditure FY Budget Budget Fixed Costs (includes utilities) 32,098, % Self Supporting 8,931,273.00, 8.48% Scholarships 10,211, % Contingency 948, % Attrition (1,128,000.00) ) 1.07% 1 Utilities Support Indirect Cost (600,000.00) 0.57% Utilities Support Fuel Recovery Charge (2,150,592.00) 2.04% Eligible for Reduction 56,969, % Total 105,280, %

23 FY Unrestricted Expenditure Budget Fixed Costs Unfunded Mandates Civil Service CPTP 35,751 External Audit Expense 145,735 Related Benefits 19,370,089 Risk Management Insurance 4,008,104 UL System Allocation 293,259 Unfunded Mandates 23,852,938 Other Fixed Costs Bad Debt Expense 300,000 Banking Services 279,000 Building Leases 80,000 Collection Services 53,000 Johnson Controls 1,177,405 Legal 40,000 Campus Mail 220,000 CERM 325,000 Utilities 5,585,712 National WWII Museum 140,000 Ogden Museum 45,000 Oh Other Fixed Costs 8,245,117 Total Fixed Costs 32,098,055

24 FY Unrestricted Expenditure Budget Self Supporting Executive MBA Program 782,294 MBA Program 700,000 Summer 2,533,758 Conference Services 349,400 Lakefront Arena 3,088,163 Global UNO 821,050 Continuing Education 534,608 Facility Rental/Event Coord 122,000 Total Self Supporting 8,931,273

25 FY Unrestricted Expenditure Budget Other Scholarships 10,211,865 Contingency 948,565 Attrition (1,128,000) Utilities Support Indirect Cost (600,000) Utilities Support Fuel Recovery Charge (2,150,592) Eligible for Reduction Salaries* 47,410,718 Eligible for Reduction Non Salaries 9,558,301 *Includes Student Wages, Grad Assts, Overtime, Transient Wages, etc.

26 Budget Increases/Decreases

27

28 $70,000,000 Budget Increases/Decreases By Object FY vs. FY Budgeted Personnel $60,000,000 $60,170,304 19% $50,000,000 $48,498,216 $40,000,000 $30,000, % $20,000,000 $16,556,531 $20,321,651 $10,000,000 $4,477,655 $4,672,550 $0 Salaries Other Compensation Related Benefits

29 $14,000,000 $12,615,474 Budget Increases/Decreases By Object FY vs. FY Budgeted Non Personnel (Except Other Charges) $12,000,000 $10,000, $9,497,055 $8,000,000 $6,000,000 $4,000,000 $2,000,000 $0 $884,958 $216,843 $3,032,875 $2,528,243 $1,387,513 $999,807 Travel Operating Services Supplies Professional Services $996,699 $470,307 General Acquisitions $1,717,459 $1,219,881 Library Acquisitions

30 Budget Increases/Decreases By Object FY vs. FY Budgeted Other Charges $19,500,000, $19,280, $19,000,000 13% $18,500,000 $18,000,000 $17,500, $17,000,000 $16,855,632 $16,500, $16,000,000 $15,500, Other Charges

31 FY Auxiliary Analysis Auxiliary Services FY Projection Summary as of 10/30/13 Unit Beginning Fund Balance Budgeted Revenue Projected Revenues Budgeted Expenditure Projected Expenditures Projected Auxiliary Management Overhead Allocations Projected Debt Services Allocations Projected Total Expenditures Revenues Less Expenditures Projected Ending Fund Balance Auxiliary Services 776, Athletics* (4,804,137) 5,018,898 4,852,476 5,018,898 4,855,549 4,855,549 (3,073) (4,807,210) Bookstore 250, , ,000 15,000 40,000 51,093 35, , , ,337 Bookstore (old) 22,697 22,697 (22,697) (22,697) Pontchartrain Hall** 2,450,801 3,833,172 3,871,785 3,674,969 3,760,903 63,866 23,998 3,848,767 23,018 2,473,819 Lafitte Village 888, , , , ,113 25,546 7, , ,746 1,306,775 ARA Meal Plans 0 2,104,550 2,214,859 2,104,550 2,214,859 2,214, Cove 168,536 25,000 25,000 25,000 25,000 12,773 1,534 39,307 (14,307) 154,229 Copy Center 24,524 24,000 24, ,773 1,496 14,269 9,731 34,255 University Center 2,281, , , , , ,702 (326,321) 1,955,254 UC Food Service 0 155, ,000 42,000 42,000 63, ,866 49,134 49,134 Vending 25,633 90,000 90, ,546 4,294 29,840 60,160 85,793 Parking 1,126, , , , , , ,458 8,226 1,134,931 2,411,666 13,279,947 13,380,504 13,279,947 12,199, , ,807 12,854, ,953 2,937,620 *includes 1,340,000 ** include 2,000 for Privateer Place

32 FY Restricted Fee Analysis

33 Unrestricted Budgeted Revenue FY thru FY By Source of Revenue $80,000, $70,000, $60,000, Budget as of July 1st $50,000, $40,000, $30,000, $20,000, $10,000, $ General Fund Direct $46,520, $41,779,723 $45,100,735 $36,756,393 $17,566,678 General Fund Restoration Amount $4,042, $0 $0 $0 $0 Statutory Dedicated $3,072,841 $2,592,740 $2,575,586 $2,624,840 $15,146,838 Interagency Transfers ARRA $11,585,148 $17,000,729 $0 $0 $0 SlfG Self Generated dfunds $55,898, $61,296,011 $72,277, $71,239, $72,566, FY Statutory Dedication include funding from Overcollections in the amount of $12,631,022