Detailed Financial Schedules

Transcription

1 University of California, San Diego Detailed Financial Schedules For the Year Ended June 30, 2011

2 UNIVERSITY OF CALIFORNIA, SAN DIEGO Unaudited Detailed Financial Schedules for the Year Ended June 30, 2011 CONTENTS A Letter from the Controller 1 Financial Overview 2-5 Summarized selected data for the past Nine Years 6 Statement of Revenues and Expenses 7 Statement of Net Assets 8 Statement of Revenues, Expenses, and Changes in Net Assets 9 Statement of Cash Flows 10 Notes to the Financial Schedules Current Funds Revenues Current Funds Expenditures by Uniform Classification Category Current Funds Expenditures by Department Current Funds Expenditures - Financial Aid Current Funds Expenditures by Fund Source Current Funds Expenditures by Expenditure Category by Fund Source Current Funds Expenditures by Department Loc O Long-Term Debt Schedules 56-62

3 SAN DIEGO: OFFICE OF THE CONTROLLER LA JOLLA, CA TEL: (858) January 5, 2012 STEVEN W. RELYEA VICE CHANCELLOR 0007 I am pleased to submit the Detailed Financial Schedules of the San Diego Campus for the fiscal year ended June 30, The records and accounts of the University from which this report is prepared are maintained in accordance with generally accepted accounting principles prescribed by the Governmental Accounting Standards Board (GASB) and the National Association of College and University Business Officers. The Detailed Financial Schedules are not audited and are intended for internal use. The accounts of the University of California are audited annually on a consolidated basis by the firm of PricewaterhouseCoopers, LLP, whose audit report and opinion statement are transmitted to The Regents. The consolidated financial statements are presented in the modified format required by the GASB. This report is available via BLINK as a PDF document. Donald A. Larson Controller UNIVERSITY OF CALIFORNIA-(Letterhead for Interdepartmental use)

4 FINANCIAL OVERVIEW University of California, San Diego INTRODUCTION The San Diego campus of the University of California was founded in 1912 and designated a general campus in During the fiscal year ended June 30, 2011, the San Diego Campus averaged 28,071 employees [8,787 academic and 19,284 staff] and in the Fall Quarter served 29,899 students [23,663 undergraduate and 6,236 graduate and professional students]. Academic programs are conducted in the residential colleges (Revelle, Muir, Marshall, Warren, Eleanor Roosevelt, and Sixth College), the School of Medicine, the Jacobs School of Engineering, the Graduate School of International Relations and Pacific Studies, the Scripps Institution of Oceanography, the Skaggs School of Pharmacy and Pharmaceutical Sciences, and the Rady School of Management. The UCSD Medical Center serves as the campus teaching hospital. Summarized, unaudited financial statements for the campus are presented in accordance with generally accepted accounting principles as prescribed by the Governmental Accounting Standards Board (GASB) and are included in this report. The three primary financial statements are: statement of net assets; statement of revenues, expenses and changes in net assets; and statement of cash flows. These statements present the financial position, operating activities, and cash flows for the University. The statements represent the combined activities of campus departments and the UCSD Medical Center. Also included are the financial activities of the UCSD Foundation, The Green Foundation, and the Sanford Consortium for Regenerative Medicine, all related but independent organizations. Following the statements, several distinct presentations of current funds revenue and expenses are provided. Lastly, are several schedules of long-term debt. The audited, consolidated financial statements of the University of California are available on the WEB at: The discussion and analysis provides an overview of the financial position and activities of the University of California, San Diego for the year ended June 30, 2011, with selected comparative information for the year ended June 30, 2010 and should be read in conjunction with the financial statements and notes to the financial statements. The discussion and analysis is available at FINANCIAL OVERVIEW Statement of Net Assets The statement of net assets (see page 8) presents information on all the University s assets, liabilities, and net assets at the end of the fiscal year. The difference between total assets and liabilities (net assets) is an indicator of the current financial condition of the University. At June 30, 2011, the University s net assets were $2.52 billion, with assets of $4.88 billion and liabilities of $2.36 billion. Assets UC San Diego total assets increased by $ million to $4.88 billion in 2011, compared to $4.32 billion in 2010, primarily due to capital assets net of depreciation increasing by $ million. Cash and equity in treasurer s investments The University s cash and equity in treasurer s investments totaled $1.34 billion at the end of 2011 and $1.14 billion at the end of The net increase of $ million is due to an increase in the short-term investments component of $ million, offset in part by a decrease in cash of $6.06 million. Accounts receivable, net Accounts receivable in total increased by $66.13 million to $ million in 2011 from $ million in The increase is in the State and Federal Government category, where receivables for state funded construction of the Structural and Materials Engineering Bldg. increased million, and the receivables for the Rady Management School Phase 2 increased $12.60 million. Investments--Investments classified as current assets are generally fixed or variable income securities in the Short Term Investment Pool (STIP) and Total Return Investment Pool (TRIP) with a maturity date within one year. 2

5 FINANCIAL OVERVIEW University of California, San Diego Noncurrent investments include securities in the General Endowment Pool (GEP) or other pools, in addition to fixed or variable income securities in STIP and TRIP with a maturity date beyond one year. The TRIP investment pool, established in 2009, is managed to a total return objective and is intended to supplement STIP. The financial markets, both domestically and internationally, have been volatile in recent times and this has affected the valuation of investments. The Regents of the University of California (The Regents) utilizes asset allocation strategies that are intended to optimize investment returns over time in accordance with their investment objectives, while maintaining an acceptable level of risk. The GEP portfolio return was up 20.2 percent in 2011, an increase of 8.9 percent versus TRIP had a positive return of 11.2 percent in 2011 a decrease of 2.8 percent from STIP had positive return of 2.5 percent in 2011, a decrease of 0.2 percent from Investment of cash collateral--the University participates in a securities lending program incorporating securities owned by both the University and UCRS as a means to augment income. It is managed as a single program for all campuses by the University of California Office of the President. Capital assets, net--capital spending continues at a brisk pace in order to provide the facilities necessary to support the University s teaching, research and public service mission and for patient care. These facilities include core academic buildings, housing and auxiliary enterprises, health science centers, utility plants, infrastructure, and public service. Capital assets, net of accumulated depreciation, increased by $ million to $3.01 billion in The increase reflects current year capital construction expenditures for the Sanford Consortium for Regenerative Medicine building, $96.90 million; the Sulpizio Cardiovascular Center, $37.50 millon; the Telemed Education Facility building, $36.70 million, the Thornton Hospital Bed Tower, $30.40 million; and the Structural and Materials Engineering building, $30.40 million. Other assets--other assets including investments held by trustees, pledges receivable, notes and mortgages receivable, and inventories decreased by $36.52 million in 2011 versus The decrease in 2011 is primarily the result of the use of funds held by trustees in 2010 for the construction of the Sanford Consortium for Regenerative Medicine building, which was essentially completed at June 30. Liabilities The University s liabilities totaled $2.36 billion in This total includes the liabilities of $1.42 billion for capital projects that provide financing for projects on more than one campus and are accounted for centrally at the UC Office of the President (UCOP). Long-term debt This debt, principally recorded at the Office of the President, increased by $51.36 million to $1.74 billion in The major increase in 2011 was for several revenue bonds for a total of $40.10 million to be used for several building construction projects. Other liabilities Other liabilities increased by $35.11 million to $ million in 2011 from $ million in This increase is principally the result of other liabilities of $19.63 million with the vacation leave accrual being the major component at $6.97 million. Net assets Net assets represent the residual interest in the University s assets after all liabilities are deducted. Net assets are reported in five major categories: reserved for minority interests, invested in capital assets, net of related debt; restricted, nonexpendable; restricted expendable; and unrestricted. The University s net assets grew by $ million to $2.52 billion in Invested in capital assets, net of related debt This category increased to $1.27 billion in 2011, compared to $1.04 billion in The increase represents the University s continued investment in its physical facilities. Principal projects financed and capitalized in 2011 were the Sulpizio Cardiovascular Center, the Telemed Education Facility building, the Thornton Hospital Bed Tower, and the Structural and Materials Engineering building. Restricted expendable The increase of $7.17 million in 2011 to $ million reflects an increase of $10.88 million in capital projects, an increase of $4.71 million in debt service and offset in part by a decrease in gifts of $8.41 million. 3

6 FINANCIAL OVERVIEW University of California, San Diego Unrestricted Under generally accepted accounting principles, net assets that are not subject to externally imposed restrictions governing their use must be classified as unrestricted for financial reporting purposes. Unrestricted net assets increased $ million to $1.07 billion in The increase reflects a $98.44 million increase in general funds, and a $30.56 million increase in other state funds, which reflect a change in the accounting treatment for these funds between U.C. San Diego and the UC Office of the President. There was also a $69.12 million increase in unexpended funds for capital projects. GASB Statement No. 14 entities For the period ended June 30, 2011, the inclusion of the Sanford Consortium for Regenerative Medicine included third-party debt of $62.00 million, and gift revenues of $ 0.68 million. The University s results of operations The statement of revenues, expenses, and changes in net assets (see page 9) is a presentation of the University s operating results. It indicates whether the financial condition has improved or deteriorated. In accordance with GASB requirements, certain significant revenues relied upon and budgeted for fundamental operational support of the core instructional mission of the University are required to be recorded as nonoperating revenues, including state educational appropriations, private gifts, and investment income. Revenues supporting core activities Revenues to support the University s core activities, including those classified as non-operating revenues, were $3.23 billion and $2.95 billion in 2011 and 2010, respectively. This diversified source of revenue increased by $ million in State of California educational appropriations, in conjunction with student tuition and fees, are the core components that support the instructional mission of the University. Grants and contracts provide opportunities for undergraduate and graduate students to participate in basic research alongside some of the most prominent researchers in the country. Gifts to the University allow crucial flexibility for support of its fundamental activities or new academic initiatives. Other significant revenues are from the Medical Center; educational activities; and auxiliary enterprises such as student housing, food service operations, parking, and the Bookstore. Student tuition and fees, net Student tuition and fees revenue, net of scholarship allowances, grew in 2011 by $37.80 million to $ million. The increase reflects continued annual increases in fees during the fiscal period for all categories of students due to the ongoing budget difficulties of the State of California which has resulted in several years of decreasing support for higher education. Grants and contracts Revenues from grants and contracts increased $77.75 million in 2011 to $ million. This revenue represents support from a variety of federal, state, private, and local agencies, with funding from the American Recovery and Reinvestment Act (ARRA) being a major contributor in Funding from private corporations and local governments showed a 6.2 percent increase in fiscal Medical Center Revenues of $ million in 2011 reflect an increase of $ million from Net patient service revenue for 2011 increased by $79.80 million over The increase in 2011 over 2010 in this category was due to patient volumes, contract price increases, and improved collections. Net patient service revenue is reported net of estimated allowances under contractual arrangements with Medicare, Medi-Cal, the county of San Diego, and other third-party payers and has been estimated based upon the principles of reimbursements and terms of the contracts currently in effect. Sales and services, educational activities Revenues from educational activities grew by $51.70 million to $ million in 2011 compared to $ million in The increase is due to a $51.7 million increase in the medical group s patient revenue which included a full year s results from the affiliation with Children's Hospital. State educational appropriations Educational appropriations from the state of California increased by $15.68 million to $ million in The State s continued fiscal crisis in 2011 resulted in further reductions in overall state funding by the legislature and the governor. However, this decrease was offset by federal pass-through stimulus funds. Because of the complexity and timing of these actions, it is important to look at year-over-year changes over a four-year rather than one-year period. While the one-year change between 2011 and 2010 appears to reflect an increase in state educational appropriations when compared to 2008, there was actually a decline of $3.28 million over the four-year period. 4

7 FINANCIAL OVERVIEW University of California, San Diego Private gifts Private gifts decreased by $34.32 million in 2011 to $51.28 million. In 2010, UC San Diego recorded $27.45 million for the Sanford Consortium for Regenerative Medicine, a one-time event, to comply with GASB Statement No. 14 requirements. This gift was for the construction of the building to house the Consortium. Private gifts in general are down slightly from historic levels due to the current economic environment. Expenses associated with core activities Expenses associated with the University s core activities, including those classified as non-operating expenses, increased by $ million, from $2.81 billion to $3.07 billion in Salaries and benefits More than 60 percent of the University s expenses are related to salaries and benefits. During 2011, salaries and benefits increased to $1.86 billion. The increase of $ million reflected programmed faculty merits, necessary new hiring, seventeen union contract wage implementations and benefit cost increases. UCRP benefits beginning in May 2010 and for subsequent months, the employer contribution was increased to four percent of covered salary and wages. In the previous years, either no contribution or limited contribution was made to UCRP. This resulted in a $31.89 million increase in 2011 over Utilities During 2011, utility expenses were $46.76 million, a decrease of $0.32 million from fiscal 2010, primarily as a result of an aggressive solar panel installation program and other energy-saving steps taken by the University. Scholarships and fellowships The University is committed to make the world-class education affordable and places high priority on student financial aid. The numbers reported under scholarships and fellowships include total financial aid expenditure and scholarship allowances. The total of financial aid expenditure accounts for a significant portion of the University s operating expenses and has increased annually; total payments for 2011 was $210 million up from $179 million in Scholarship allowance is an accounting adjustment required by GASB Statement No. 34 and prescribes that revenues be reported net of discounts and allowances. The scholarship allowance fluctuates from year to year depending on the timing and types of aid payments. Because of this, the reported number for scholarship and fellowships also fluctuate over time. Other expenses Other expenses consist of a variety of expense categories, including travel, rent, insurance, legal settlements, and repairs and maintenance, plus any gain or loss on disposals of capital assets and other nonoperating expenses. Expenses in this category were $ million in 2011, or an increase of $50.76 million over Key contributors were subcontractor costs (federal grants and contracts related) for an increase of $24.36 million, and repairs and maintenance of $11.97 million. Other Changes in Net Assets Other changes in net assets are also not available to support the University s operating expenses in the current year. State capital appropriations and capital gifts and grants may only be used for the purchase or construction of the specified capital assets. Only income earned from gifts of permanent endowments is available in future years to support the specified program. A $ million decrease occurred primarily as a result of a change in accounting treatment for administrative cost recoveries from federally sponsored programs. These monies, formerly transferred to the UC Office of the President, are now held at the local campus, and reported elsewhere in the financial statements. In accordance with GASB reporting standards, operating losses were $ million in 2011 and $ million in These operating losses were more than offset by net revenues and expenses that are required by GASB to be classified as non-operating, but which remain available to support operating activities of the University, $ million in 2011 and $ million in This income is restricted by either legal or fiduciary obligations, and is allocated for academic and research initiatives or programs, necessary debt service, or required for capital purposes. Statement of cash flows In 2011, net cash inflow from operating activities was $21.20 million, and an additional $ million was provided by noncapital financing activities. By comparison, in 2010 the net cash inflow from operating activities was $7.14 million, with $ million of cash provided by noncapital financing activities. The net cash outflow from capital and related financing activities was $ million in 2011 and $ million in The primary uses of cash were payments to employees, suppliers, utilities, and capital asset purchases. Cash sources include grants and contracts, receipts from the Medical Center, and student tuition. 5

8 University of California, San Diego (Dollars in Thousands) SUMMARIZED SELECTED DATA FOR TEN YEARS (UNAUDITED ) EMPLOYMENT Academic 8,787 8,588 8,143 7,811 7,566 7,346 7,119 6,959 6,605 5,823 Staff 19,284 18,818 18,969 18,454 18,445 17,279 17,068 16,591 16,281 15,403 Total 28,071 27,406 27,112 26,265 26,011 24,625 24,187 23,550 22,886 21,226 STUDENT ENROLLMENT (Fall Quarter) Undergraduate 23,663 23,143 22,518 22,048 21,369 20,679 20,339 19,872 19,088 17,505 Graduate and professional 6,236 5,967 5,682 5,634 5,507 5,285 4,939 4,835 4,460 4,063 Total 29,899 29,110 28,200 27,682 26,876 25,964 25,278 24,707 23,548 21, OPERATING AND NONOPERATING REVENUES Student tuition and fees, net $ 350,453 $ 312,657 $ 260,915 $ 230,451 $ 202,465 $ 192,606 $ 176,265 $ 144,887 $ 119,801 $ 104,370 Grants and contracts 959, , , , , , , , , ,216 Medical Center 959, , , , , , , , , ,460 Educational activities 311, , , , , , , , , ,611 Auxiliary enterprises, net 136, , , , , , , ,455 88,325 80,416 State educational appropriations 298, , , , , , , , , ,049 State financing appropriations 21,113 15,639 13,030 17,602 18,658 21,579 17,313 16,775 14,699 17,412 Federal financing appropriation 6,698 4, Federal pell grants (1) 53,554 44, Private gifts 51,284 85,608 55,791 59,136 62,618 48,014 49,372 51,991 38,571 36,795 Investment income 26,876 20,306 24,613 24,505 22,384 19,562 14,486 12,401 13,329 14,599 Other 50,443 54,497 56,752 54,936 56,930 34,039 30,502 22,294 22,067 21,897 Total $ 3,226,232 $ 2,950,742 $ 2,636,085 $ 2,540,402 $ 2,368,813 $ 2,174,310 $ 2,024,567 $ 1,918,297 $ 1,780,290 $ 1,701,825 OPERATING AND NONOPERATING EXPENDITURES Salaries and wages $ 1,481,492 $ 1,394,308 $ 1,319,900 $ 1,249,558 $ 1,133,959 $ 1,048,463 $ 976,396 $ 922,457 $ 869,260 $ 819,421 Benefits 382, , , , , , , , , ,959 Scholarships and fellowships 80,811 90,265 57,962 51,626 44,870 37,811 43,460 17,644 23,606 22,397 Utilities 46,760 47,082 47,997 43,675 71,752 63,119 51,186 48,769 45,068 43,900 Supplies and materials 363, , , , , , , , , ,802 Depreciation and amortization 195, , , , , , , , , ,853 Interest expense (2) 75,138 55, ,743 5,137 5,810 5,246 5,722 6,034 6,889 Other 381, , , , , , , , , ,132 Total $ 3,007,186 $ 2,807,948 $ 2,585,525 $ 2,479,243 $ 2,247,924 $ 2,090,815 $ 1,956,992 $ 1,835,277 $ 1,721,597 $ 1,613,353 OPERATING EXPENDITURES BY FUNCTION Instruction $ 561,284 $ 513,800 $ 474,703 $ 476,581 $ 431,857 $ 395,072 $ 375,260 $ 338,669 $ 312,508 $ 289,532 Research 700, , , , , , , , , ,038 Public service 20,664 17,482 16,808 16,463 15,767 16,601 10,009 11,790 12,391 11,466 Academic support 236, , , , , , , , , ,717 Student services 75,855 66,999 62,338 57,152 49,962 45,291 42,794 40,607 39,536 38,022 Institutional support 85, , , , ,308 85,058 79,844 74,651 71,879 64,917 Operation and maintenance of plant 62,855 64,688 69,355 63,445 63,548 59,699 48,130 43,017 39,434 44,978 Student financial aid 82,651 94,148 58,932 55,106 49,830 41,425 40,024 36,797 38,774 36,258 Medical Center 793, , , , , , , , , ,974 Auxiliary enterprises 112, , , ,773 97,487 86,366 80,914 74,072 68,159 64,192 Depreciation 195, , , , , , , , , ,853 Impairment of capital assets , Other 3,048 9,144 2,182 10,374 8,974 10,268 4,218 5,011 2,215 2,420 Total $ 2,929,607 $ 2,750,545 $ 2,583,974 $ 2,473,860 $ 2,242,699 $ 2,084,924 $ 1,951,603 $ 1,829,467 $ 1,715,461 $ 1,606,367 PLANT ASSETS Capitalized value $ 5,471,803 $ 4,960,879 $ 4,551,050 $ 4,215,855 $ 3,939,206 $ 3,642,687 $ 3,390,745 $ 3,265,239 $ 2,991,254 $ 2,779,745 Accumulated depreciation (2,462,215) (2,283,128) (2,110,767) (1,973,935) (1,834,174) (1,699,060) (1,570,690) (1,561,944) (1,458,708) (1,373,321) Net plant assets $ 3,009,588 $ 2,677,751 $ 2,440,283 $ 2,241,920 $ 2,105,032 $ 1,943,627 $ 1,820,055 $ 1,703,295 $ 1,532,546 $ 1,406,424 (1) Federal Pell Grant shown as Non-Operating Revenue starting FY2010 per GASB guidelines (formerly shown as a part of Contracts and Grants - Federal). (2) Starting FY Interest expense included interest paid to UCOP for local long-term debt held at UCOP. Previously these interest payments were shown as transfers in the retirement of indebtedness fund group. These changes were reflected on the campus schedules beginning in FY

9 University of California, San Diego (Dollars in Thousands) THE STATEMENT OF REVENUES AND EXPENSES Year Ended June 30, 2011 Year End June 30, 2010 Operating Nonoperating Total Operating Nonoperating Total Revenues Student tuition and fees, net $ 350,453 $ - $ 350,453 $ 312,657 $ - $ 312,657 Grants and contracts 959, , , ,114 Medical Center 959, , , ,759 Educational activities 311, , , ,264 Auxiliary enterprises, net 136, , , ,842 State educational appropriations - 298, , , ,346 Federal financing appropriations - 6,698 6,698-4,325 4,325 Federal pell grants - 53,554 53,554-44,385 44,385 State financing appropriations - 21,113 21,113-15,639 15,639 Private gifts - 51,284 51,284-85,608 85,608 Investment income - 26,876 26,876-20,306 20,306 Other revenues 50,443 50,443 54, ,497 Revenues supporting core activities 2,768, ,550 3,226,232 2,498, ,711 2,950,742 Expenses Salaries and wages 1,481,492-1,481,492 1,394,308-1,394,308 Benefits 382, , , ,095 Scholarships and fellowships 80,811-80,811 90,265-90,265 Utilities 46,760-46,760 47,082-47,082 Supplies and materials 363, , , ,839 Depreciation and amortization 195, , , ,641 Interest expense (1) - 75,138 75,138-55,137 55,137 Other expenses Building maintenance 129, , , ,523 Travel 35,820-35,820 33,460-33,460 Telecommunications 29,734-29,734 29,579-29,579 Other 183, , , ,754 Expenses associated with core activities 2,929,607 75,166 3,004,773 2,750,546 55,137 2,805,683 Income (loss) from core activities $ (160,925) $ 382, ,459 $ (252,515) $ 397, ,059 Other Nonoperating Activities Loss on disposal of capital assets, net (2,413) (2,265) Income before other changes in net assets 219, ,794 Other Changes in Net Assets State capital appropriations 43,156 17,624 Capital gifts and grants 50,869 10,915 Transfers 161,144 (98,896) Increase in net assets 474,215 72,437 Net Assets Beginning of year 2,047,204 1,974,767 Cummulative effect of a change in accounting principle - - End of year $ 2,521,419 $ 2,047,204 Financial statements for the University of California, San Diego are unaudited. Financial statements for the UC San Diego Foundation are audited. See accompanying Notes to the Financial Statements (1) Starting FY interest expense included interest paid to UCOP for local long-term debt held at UCOP. Previously, these interest payments were shown as transfers in the Retirement of indebtedness fund group. These changes were reflected on the campus schedules beginning FY % Grants and Contracts 30% Medical Center 11% Student Tuition and Fees 10% Educational Activities 9% State Educational Appropriations 4% Auxiliary Enterprises 2% Other Revenues 2% Federal Pell Grants 1% Private Gifts 1% Investment Income 49% Salaries and Wages 13% Benefits 12% Supplies and Materials 8% Other Expenses 6% Depreciation and Amortization 4% Building Maintenance 3% Scholarships and Fellowships 3% Interest Expense 2% Utilities 7

10 (Dollar in Thousands) Univeristy of California, San Diego STATEMENT OF NET ASSETS Campus Foundation ASSETS Current Assets Cash and equity in treasurer's investments $ 1,338,619 $ 1,139,382 $ 1,486 $ 980 Investments held by trustees ,953 73,422 Accounts receivable, net State and federal government 102,679 58, Medical Center 171, , Other 97,264 82, Pledges receivable, net 3,483 6,668 24,052 5,297 Notes receivable, net 3,161 3, Inventories 26,727 24, Other current assets 47,385 30, Total current assets 1,791,248 1,510, ,746 79,868 Noncurrent Assets Investments held by trustees 20,675 76, , ,866 Pledges receivable 6,425 10,049 81,804 35,561 Notes and mortgages 34,705 30, Land, buildings, equipment, libraries, and special collections 5,471,803 4,960, Less: Accumulated depreciation (2,462,216) (2,283,130) - - Other noncurrent assets 17,770 15,133 1,136 1,330 Total noncurrent assets 3,089,162 2,809, , ,757 Total assets $ 4,880,410 $ 4,319,722 $ 620,914 $ 473,625 LIABILITIES Current Liabilities Accounts payable $ 154,528 $ 161,124 $ 1,320 $ 1,250 Accrued salaries and benefits 151, , Deferred revenue 126, , Current portion of long-term debt 57,267 50, Funds held for others 1,691 1, Annuities payable ,104 Liabilities to life beneficiaries - - 1,421 1,205 Other current liabilities 99,431 82, Total current liabilities 590, ,325 3,692 3,682 Noncurrent Liabilities Federal refundable loans 27,758 24, Annuities payable - - 5,992 6,785 Liabilities to life beneficiaries - - 8,954 8,143 Long-term debt Revenue bonds 1,258,587 1,297, Mortgages and other borrowings 111,525 21, Capital lease obligations 248, , Third party debt 63,552 64, Other noncurrent liabilities 58,408 61, Total noncurrent liabilities 1,768,186 1,723,193 14,946 14,928 Total liabilities $ 2,358,991 $ 2,272,518 $ 18,638 $ 18,610 NET ASSETS Reserved for minority interests $ 31,418 $ - $ - $ - Invested in capital assets, net of related debt 1,269,933 1,037, Restricted Nonexpendable Endowments , ,220 Annuity and life income funds - - 5,257 3,862 Expendable Endowments ,044 66,858 Endowment income 12,444 12, Annuity and life income funds - - 7,201 5,104 Funds functioning as endowments ,732 10,650 Loans 4,035 3, Gifts 86,216 94, , ,327 Capital projects 35,687 24, Debt service 9,499 4, Other Unrestricted 1,072, ,741 4,492 3,994 Total net assets $ 2,521,419 $ 2,047,204 $ 602,276 $ 455,015 Financial statements for the University of California, San Diego are unaudited. Financial statements for the UC San Diego Foundation are audited. See accompanying Notes to the Financial Statements 8

11 (Dollar in Thousands) University of California, San Diego STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN NET ASSETS Campus Foundation OPERATING REVENUES Student tuition and fees, net $ 350,453 $ 312,657 $ - $ - Grants and contracts Federal 692, , State 50,682 41, Private 204, , Local 13,145 11, Sales and services Medical Center 959, , Educational activities 311, , Auxiliary enterprises, net 136, , Contributions revenue ,219 39,937 Other operating revenues, net 50,443 54, Total operating revenues 2,768,682 2,498, ,219 39,937 OPERATING EXPENSES Salaries and wages 1,481,492 1,394, Benefits 382, , Scholarships and fellowships 80,811 90, Utilities 46,760 47, Supplies and materials 363, , Depreciation and amortization 195, , Grants to campus ,552 52,134 Other operating expenses Building maintenance 129, , Travel 35,820 33, Telecommunications 29,734 29, Other 183, , Total operating expenses 2,929,607 2,750,546 52,552 52,134 Operating income (loss) (160,925) (252,515) 58,667 (12,197) NONOPERATING REVENUES (EXPENSES) State educational appropriations 298, , State financing appropriations 21,113 15, Federal financing appropriations 6,698 4, Federal pell grants 53,554 44, Private gifts 51,284 85, Investment income 26,876 20,306 8,338 7,353 Realized gain on sale of investments (1,853) Unrealized appreciation/depreciation on investments ,864 33,205 Interest expense (1) (75,138) (55,137) - - Change in value of annuity and life income liabilities - - 3, Loss on disposal of capital assets, net (2,413) (2,265) - - Other nonoperating revenues (expenses) (28) Total net nonoperating revenues (expenses) 379, ,309 76,316 39,557 Income before other changes in net assets 219, , ,983 27,360 OTHER CHANGES IN NET ASSETS State capital appropriations 43,156 17, Capital gifts and grants 50,869 10, Permanent endowments ,278 10,520 Transfers 161,144 (98,896) - - Total other changes in net assets 255,169 (70,357) 12,278 10,520 Increase in net assets 474,215 72, ,261 37,880 NET ASSETS Net assets, beginning of year 2,047,204 1,974, , ,135 Cummulative effect of a change in accounting principle Net assets, end of year $ 2,521,419 $ 2,047,204 $ 602,276 $ 455,015 Financial statements for the University of California, San Diego are unaudited. Financial statements for the UC San Diego Foundation are audited. (1) Starting FY interest expense included interest paid to UCOP for local long-term debt held at UCOP. Previously, these interest payments were shown as transfer in the Retirement of indebtedness fund group. These changes were reflected on the campus schedules beginning FY

12 (Dollar in Thousands) University of California, San Diego STATEMENT OF CASH FLOWS Campus Foundation CASH FLOWS FROM OPERATING ACTIVITIES Student tuition and fees $ 350,585 $ 311,457 $ - $ - Grants and contracts 963, , Receipts from sales and services of Medical Center 952, , Educational activities 307, , Auxiliary enterprises 137, , Receipts from contributions ,866 36,086 Collections of loans to students and employees 3,628 2, Payments to employees (1,459,775) (1,316,520) - - Payments to suppliers and utilities (784,582) (739,598) - - Payments for benefits (386,481) (308,098) - - Payments for scholarships and fellowships (80,811) (90,265) - - Payments to campuses - - (46,130) (46,060) Payments to beneficiaries - - (2,416) (2,303) Loans issued to students and employees (8,183) (5,576) - - Other receipts (payments) 25,614 41,136 (4,189) (5,007) Net cash provided (used) by operating activities 21,197 7,140 (7,869) (17,284) CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES State educational appropriations 298, , Federal pell grants 53,420 44, Private gifts for endowment purposes - - 9,281 9,914 Private gifts received for other than capital purposes 56,804 76, Other receipts (payments) (512) 1,261 1,025 8 Net cash flows from noncapital financing activities 407, ,956 10,306 9,922 CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES State capital appropriations , State financing appropriations 16,571 13, Federal financing appropriations 6,698 4, Capital gifts and grants 50,251 11, Proceeds from debt issuance 69, , Proceeds from the sale of capital assets Proceeds from insurance recoveries Purchases of capital assets (466,561) (525,810) - - Refinancing/prepayment outstanding debt (41,263) Principal paid on debt and capital leases (10,704) (11,926) - - Interest paid on debt and capital leases (86,459) (9,859) - - Net cash provided (used) by capital and related activities (461,345) (249,116) - - CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from sale and maturities of investments ,527 45,945 Purchase of investments - - (68,205) (47,577) Other receipts 9,092 5,073 7,747 6,950 Net cash provided (used) by investing activities 9,118 5,115 (1,931) 5,318 CHANGE IN ACCOUNTING PRINCIPLES Cumulative effect of change in accounting principles Net change due to GASB Prouncements CASH FLOWS FROM TRANSFERS Current Intercampus 29, , Interfund 18,669 (118,926) - - Net revenue of bonds and other indebtedness programs Unexpended plant 181, , Retirement of indebtedness (7,870) (71,107) - - Investment in plant Loan Indirect cost recovery - (191,428) - - Net cash flows from transfers 222,502 92, Total net increase in cash 199, , (2,044) Cash beginning of year 1,138, , ,024 Cash end of year $ 1,337,856 $ 1,138,647 $ 1,486 $ 980 RECONCILIATION OF OPERATING LOSS TO NET CASH USED BY OPERATING ACTIVITIES Operating income (loss) $ (160,926) $ (252,515) $ 58,667 $ (12,197) Depreciation and amortization expense 195, , Noncash gifts - - (1,358) (7,954) Allowance for doubtful accounts 46,945 32, Allowance for uncollectible receivables (206) Loss on impairment of capital assets Change in assets and liabilities Receivables, net (75,701) (59,242) (65,177) 4,309 Inventories (2,380) (249) - - Deferred charges (16,428) (10,279) - - Other assets (1,875) (4,399) - - Accounts payable (5,915) 20,825 (116) 272 Accrued salaries and benefits 12,488 74, Deferred revenue 12,259 4, Annuities payable - - (740) (869) Other liabilities 17,427 12, (638) Net cash used by operating activities $ 21,197 $ 7,140 $ (7,869) $ (17,283) Financial statements for the University of California, San Diego are unaudited. Financial statements for the UC San Diego Foundation are audited. See accompanying Notes to the Financial Statements 10

13 NOTES TO THE FINANCIAL SCHEDULES University of California, San Diego FINANCIAL REPORTING ENTITY AND SIGNIFICANT ACCOUNTING POLICIES Financial Reporting Entity The accompanying unaudited financial statements of the University of California, San Diego campus, including the UCSD Medical Center, have been prepared in accordance with generally accepted accounting principles, including all applicable effective statements of the Financial Accounting Standards Board through November 30, 1989 and generally adhering to the statements of the Governmental Accounting Standards Board (GASB), using the accrual basis of accounting. The accounts of the San Diego campus are subject to limited-scope procedures as a part of the annual audit of the financial statements of the entire University of California. The financial statements of the San Diego campus have not been individually audited. The significant accounting policies of the University, not including the campus foundation, are summarized below. The UCSD Foundation is a nonprofit, public-benefit corporation organized for the purpose of accepting and administering the full range of private contributions for the campus. It is qualified as tax-exempt organization under the provision of Section 501(c) (3) of the Internal Revenue Code and is exempt from federal and state income taxes on related income The unaudited financial schedules represent the combined activities of campus departments and the UCSD Medical Center. However, campus activities within Office of the President (UCOP) programs, referred to as Location O funding, are considered operations of UCOP and are not included in summary totals in this report. GASB Statement No. 59, Financial Instruments Omnibus, was adopted by the University during the year ended June 30, This statement updates existing standards regarding financial reporting and disclosure requirements of certain financial instruments and external investment pools. Implementation of Statement No. 59 had no effect on the University s net assets or changes in net assets for the years ended June 30, 2011 and GASB Statement No. 62, Codification of Accounting and Financial Reporting Guidance Contained in Pre-November 30, 1989 FASB and AICPA Pronouncements, was adopted by the University during the year ended June 30, This statement incorporates into GASB s authoritative literature certain accounting and financial reporting guidance that is included in Financial Accounting Standards Board Statements and Interpretations, Accounting Principles Board Opinions and Accounting Research Bulletins of the American Institute of Certified Public Accountants Committee on Accounting Procedures that were issued on or before November 30, Implementation of Statement No. 62 had no effect on the University s net assets or changes in net assets for the years ended June 30, 2011 and THE SIGNIFICANT ACCOUNTING POLICIES OF THE UNIVERSITY ARE AS FOLLOWS: Cash and cash equivalents The University considers all balances in demand deposit accounts to be cash. The University classifies all other highly liquid cash equivalents as short-term investments. The Office of the President/Treasurer s Office maintains centralized management for substantially all of the University s cash. Cash in demand deposit accounts is minimized by sweeping available cash balances into investment accounts on a daily basis. Short-term investments UCSD participates in a temporary investment pool that is administered by the Office of the President. This pool invests primarily in U.S. Treasury securities, commercial paper, and short-term corporate notes with cost approximating market value. These temporary investments are considered cash equivalents for the purposes of the statement of cash flows. Investments Investments are recorded at fair value. Securities, including derivative investments, are generally valued at the last sale price on the last business day of the fiscal year, as quoted on a recognized exchange or an industry standard pricing service, when available. Securities for which no sale was reported as of the close of the last business day of the fiscal year are valued at the quoted bid price of a dealer who regularly trades in the security being valued. Certain securities may be valued on a basis of a price provided by a single source. Investment transactions are recorded on the date the securities are purchased or sold (trade date). Realized gains or losses are recorded as the difference between the proceeds from the sale and the average cost of the investment sold. Dividend income is recorded on the ex-dividend date and interest income is accrued as earned. Gifts of securities are recorded based on fair value at the date of donation. Additional information on cash and investments can be obtained from the annual report of the University. 11

14 NOTES TO THE FINANCIAL SCHEDULES - continued University of California, San Diego Endowments The campus endowment funds are invested and administered by the Endowment and Investment Accounting unit of the Office of the President, and are not included in these financial statements. Income from campus endowment funds is recorded at UCOP and transferred to the campus annually. The University s endowment income distribution policies are designed to preserve the value of the endowment and to generate a predictable stream of spendable income. Investments held by trustees All investments held by trustees are insured, registered, or held by the University s trustee or custodial bank, as fiduciary for the bondholder or as an agent for the University. Indirect Cost Recovery (Transfers) Indirect cost recoveries (ICR) generated by the campus from its own federal, state, and private contract and grant activity are now retained locally effective FY For federal ICR, the campus completed the distribution of ICR funds into categories consistent with the Memorandum of Understanding for Disposition of Receipts from Overhead with the state of California. For state ICR, the campus retained the ICR funds as part of the General Fund. For local government, private contract and grants ICR, the campus retained the ICR funds as part of discretionary funds. Accounts receivable net Accounts receivable, net of allowance for uncollectable accounts, include reimbursements due from state and federal sponsors of externally funded research, patient billings, and other receivables. Other receivables include local government and private grants and contracts, educational activities and amounts due from students, employees and faculty for services. Pledges receivable, net Unconditional pledges of private gifts to the University or to the campus foundation in the future, net of allowance for uncollectible amounts, are recorded as pledges receivable and revenue in the year promised at the present value of expected cash flows. Conditional pledges, including all pledges of endowments and intentions to pledge, are recognized as receivables and revenues when the specified conditions are met. Notes and mortgages receivable, net Loans to students, net of allowance for uncollectible amounts, are provided from federal student loan programs and from other University sources. Home mortgage loans, primarily to faculty, are provided from the University s Short Term Investment Pool and from other University sources. Mortgage loans provided by the Short Term Investment Pool are classified as investments and loans provided by other sources are classified as mortgages receivable in the statement of net assets. Inventories Inventories, consisting primarily of supplies and merchandise for resale, are valued at cost, typically determined under the weighted average method, which is not in excess of net realizable value. Capital assets Land, infrastructure, buildings and improvements, intangible assets, equipment, libraries and collections and special collections are recorded at cost at the date of acquisition, or estimated fair value at the date of donation in the case of gifts. Estimates of fair value involve assumptions and estimation methods that are uncertain and, therefore, the estimates could differ from actual value. Intangible assets include easements, land rights, trademarks, patents and other similar arrangements. Capital leases are recorded at the present value of future minimum lease payments. Significant additions, replacements, major repairs and renovations to infrastructure and buildings are generally capitalized if the cost exceeds $35,000 and if they have a useful life of more than one year. Minor renovations are charged to operations. Equipment with a cost in excess of $4,999 and a useful life of more than one year is capitalized. All costs of land, library collections and special collections are capitalized. Depreciation is calculated using the straight-line method over the estimated economic life of the asset. Leasehold improvements are amortized using the straight-line method over the shorter of the life of the applicable lease or the economic life of the asset. Estimated economic lives are generally as follows: Years Infrastructure 25 Buildings and improvements Equipment 2 20 Computer software 3 7 Intangible assets 2 indefinite Library books and collections 15 12

15 NOTES TO THE FINANCIAL SCHEDULES - continued University of California, San Diego Capital assets acquired through federal grants and contracts where the federal government retains a reversionary interest are also capitalized and depreciated. Inexhaustible capital assets, such as land or special collections that are protected, preserved and held for public exhibition, education or research, including art, museum, scientific and rare book collection, are not depreciated. Interest on borrowings to finance facilities is capitalized during construction, net of any investment income earned on taxexempt borrowings during the temporary investment of project-related borrowings. Deferred Revenue Deferred revenue primarily includes amounts received from grant and contract sponsors that have not been earned under the terms of the agreement and other revenue billed in advance of the event, such as student tuition and fees and fees for housing and dining services. Funds held for others Funds held for others result from the University or the UCSD Foundations acting as an agent, or fiduciary, on behalf of organizations that are not significant or financially accountable to the University or campus foundations. Federal refundable loans Certain loans to students are administered by the University with funding primarily supported by the federal government. The University s statement of net assets includes both the notes receivable and the related federal refundable loan liability representing federal capital contributions owed upon termination of the program. Self insurance programs- The University is self-insured for medical malpractice, workers compensation, employee health care and general liability claims. These risks are subject to various claim and aggregate limits, with excess liability coverage provided by an independent insurer. Liabilities are recorded when it is probable a loss has occurred and the amount of the loss can be reasonably estimated. These losses include an estimate for claims that have been incurred, but not reported. The estimated liabilities are based upon an independent actuarial determination of the present value of the anticipated future payments. Pollution remediation obligations- Upon an obligating event, the University estimates the components of any expected pollution remediation costs and recoveries from third parties. The costs, estimated using the expected cash flow technique, are accrued as a liability. Pollution remediation liabilities generally involve groundwater, soil and sediment contamination at certain sites where state and other regulatory agencies have indicated the University is among the responsible parties. The liabilities are revalued annually and may increase or decrease the cost of recovery from third parties, if any, as a result of additional information that refines the estimates, or from payments made from revenue sources that support the activity. There were no expected recoveries at June 30, 2011 and 2010 reducing the pollution remediation liability. Net assets Net assets are required to be classified for accounting and reporting purposes into the following categories: Invested in capital assets, net of related debt This category includes all of the University s capital assets, net of accumulated depreciation, reduced by outstanding debt attributable to the acquisition, construction or improvement of those assets. Restricted The University and campus foundation classify net assets resulting from transactions with purpose restrictions as restricted net assets until the specific resources are used for the legally required purpose or for as long as the provider requires the resources to remain intact. Nonexpendable Net assets subject to externally-imposed restrictions, which must be retained in perpetuity by the University or the campus foundation, are classified as nonexpendable net assets. Such assets include the University and campus foundation permanent endowment funds. Expendable Net assets whose use by the University or the campus foundation is subject to externally imposed restrictions that can be fulfilled by actions of the University or campus foundation pursuant to those restrictions or that expire by the passage of time are classified as expendable net assets. Unrestricted Net assets that are neither reserved neither restricted nor invested in capital assets, net of related debt, are classified as unrestricted net assets. The University s unrestricted net assets may be designated for specific purposes by management or the Regents. The campus foundations unrestricted net assets may be designated for specific purposes by their Boards of Trustees. Substantially all of the University s unrestricted net assets are allocated for academic and research initiatives or programs, for capital programs or for other purposes. Expenses are charged to either restricted or unrestricted net assets based upon a variety of factors, including consideration of prior or future revenue sources, the type of expense 13

16 NOTES TO THE FINANCIAL SCHEDULES - continued University of California, San Diego incurred, the University s budgetary policies surrounding the various revenue sources or whether the expense is a recurring cost. Revenues and expenses Operating revenues of the University include receipts from student tuition and fees, grants and contracts for specific operating activities and sales and services from medical centers, educational activities and auxiliary enterprises. Operating expenses incurred in conducting the programs and services of the University are presented in the statement of revenues, expenses and changes in net assets as operating activities. Certain significant revenues relied upon and budgeted for fundamental operational support of the core instructional mission of the University are mandated by the GASB to be recorded as nonoperating revenues, including state educational appropriations, certain federal grants for student financial aid, private gifts and investment income, since the GASB does not consider them to be related to the principal operating activities of the University. Campus foundations are established to financially support the University. Private gifts to campus foundations are recognized as operating revenues since, in contrast to the University, such contributions are fundamental to the core mission of the campus foundations. Foundation grants to the University are recognized as operating expenses. Private gift or capital gift revenues associated with campus foundation grants to the University are recorded by the University as the gifts are made. Nonoperating revenues and expenses include state educational appropriations, state financing appropriations, Build America Bonds federal interest subsidies, Federal Pell grants, private gifts for other than capital purposes, investment income, net unrealized appreciation or depreciation in the fair value of investments, interest expense and gain or loss on the disposal of capital assets. State capital appropriations, capital gifts and grants and gifts for endowment purposes are classified as other changes in net assets. Student tuition and fees Substantially all of the student tuition and fees provide for current operations of the University. A small portion of the student fees, reported as capital gifts and grants, is required for debt service associated with student union and recreational centers. The University recognizes scholarship allowances as the difference between the stated charge for tuition and fees, housing and dining charges, recreational center and other fees, and the amount that is paid by the student and third parties on behalf of the student. Payments of financial aid made directly to students are classified as scholarship and fellowship expenses. Certain waivers of student tuition and fees considered to be scholarship allowances are recorded as an offset to revenue. State appropriations The state of California provides appropriations to the University on an annual basis. State educational appropriations are recognized as non-operating revenue; however, the related expenses are incurred to support either educational operations or other specific operating purposes. State financing appropriations provide for principal and interest payments associated with lease-purchase agreements with the State Public Works Board and are also reported as nonoperating revenue. State appropriations for capital projects are recorded as revenue under other changes in net assets when the related expenditures are incurred. Special state appropriations for AIDS, tobacco and breast cancer research are reported as grant operating revenue. Grant and contract revenue The University receives grant and contract revenue from governmental and private sources. The University recognizes revenue associated with the direct costs of sponsored programs as the related expenditures are incurred. Recovery of facilities and administrative costs of federally-sponsored programs is at cost reimbursement rates negotiated with the University s federal cognizant agency, the U.S. Department of Health and Human Services. For the year ended June 30, 2011, the facilities and administrative cost recovery totaled $214.8 million, $164.5 million from federallysponsored programs and $50.3 million from other sponsors. For the year ended June 30, 2009, the facilities and administrative cost recovery totaled $191.4 million, $188.9 million from federally-sponsored programs and $2.5 million from other sponsors. Medical center revenue Medical center revenue is reported at the estimated net realizable amounts from patients and third-party payers, including Medicare, Medi-Cal and others, for services rendered, as well as estimated retroactive adjustments under reimbursement agreements with third-party payers. Laws and regulations governing Medicare and Medi- Cal are complex and subject to interpretation. Retroactive adjustments are accrued on an estimated basis in the period the related services are rendered and adjusted in future periods as final settlements are determined. It is reasonably possible that estimated amounts accrued could change significantly based upon settlement, or as additional information becomes available. 14

17 NOTES TO THE FINANCIAL SCHEDULES - continued University of California, San Diego Scholarship allowances The University recognizes scholarship allowances, including both financial aid and fee waivers, as the difference between the stated charge for tuition and fees, housing and dining charges, recreational center and other fees, and the amount that is paid by the student, as well as third parties making payments on behalf of the student. Payments of financial aid made directly to students are classified as scholarship and fellowship expenses. UCRP benefits and obligation to UCRP- The University s cost for campus and Medical Center UCRP benefits expense is based upon the annual required contribution to UCRP, as actuarially determined. Campus and Medical Center contributions toward UCRP benefits, at rates determined by the Regents of the University, are made to UCRP and reduce the University s obligation to UCRP. Retiree Health Benefits Expense and obligation to UCRHBT The University established the University of California Retiree Health Benefit Trust ( UCRHBT ) to allow certain University locations and affiliates, including the Medical Center, to share the risks, rewards and costs of providing for retiree health benefits and to accumulate funds on a tax-exempt basis under an arrangement segregated from University assets. UCRHBT provides retiree health benefits to retired employees of the University Contributions from the University to the UCRHBT are effectively made to a cost-sharing single-employer health plan administered by the University. The Medical Center is required to contribute at a rate assessed each year by the UCRHBT. As a result, the Medical Center s required contributions are recognized as an expense in the statements of revenues, expenses and changes in net assets. Compensated absences The University accrues annual leave, including employer-related costs, for employees at rates based upon length of service and job classification and compensatory time based upon job classification and hours worked. Endowment spending Under provisions of California law, the Uniform Prudent Management of Institutional Funds Act allows for investment income, as well as a portion of realized and unrealized gains, to be expended for the operational requirements of University programs. Tax exemption The University is recognized as a tax-exempt organization under Section 501(c) (3) of the Internal Revenue Code (IRC). Because the University is a state institution, related income received by the University is also exempt from federal tax under IRC Section 115(a). In addition, the University is exempt from state income taxes imposed under the California Revenue and Taxation Code. UCRS plans are qualified under IRC Section 401(a) and the related trusts are tax-exempt under Section 501(c) (3). The campus foundations are exempt under Section 501(c) (3). Income received by UCRHBT is tax-exempt under Section 115(a). Use of estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenditures during the reporting period. Although management believes the estimates and assumptions are reasonable, they are based upon information available at the time the estimate or judgment is made and actual amounts could differ from those estimates. New accounting pronouncements- In November 2010, the GASB issued Statement No. 60, Accounting and Financial Reporting for Service Concession Arrangements, effective for the University s fiscal year beginning July 1, This Statement requires the University to report the activities for certain public-private partnerships as service concession arrangements in the financial statements. Service concession arrangements are recorded when the arrangements meet certain criteria which include building and operating a facility, obtaining the right to collect fees from third parties, and transferring ownership of the facility to the University at the end of the arrangement. The University is evaluating the effect that Statement No. 60 will have on its financial statements. In November 2010, the GASB issued Statement No. 61, The Financial Reporting Entity: Omnibus, effective for the University s fiscal year beginning July 1, This Statement modifies the existing requirements for the assessment of component units that should be included in the financial statements of the University. The University is evaluating the effect that Statement No. 61 will have on its financial statements. In June 2011, the GASB issued Statement No. 63, Financial Reporting of Deferred Outflows of Resources, Deferred Inflows Of Resources, and Net Position, effective for the University s fiscal year beginning July 1, This Statement modifies the presentation of deferred inflows and deferred outflows in the financial statements. The University is evaluating the effect that Statement No. 63 will have on its financial statements. In June 2011, the GASB issued Statement No. 64, Derivative Instruments: Application of Hedge Accounting Termination Provisions, effective for the University s fiscal year beginning 15

18 NOTES TO THE FINANCIAL SCHEDULES - continued University of California, San Diego July 1, This Statement clarifies the existing requirements for the termination of hedge accounting. The University is evaluating the effect that Statement No. 64 will have on its financial statements. Comparative information In connection with the preparation of the June 30, 2011 financial statements, the University concluded that certain cash flows for accounts receivable and doubtful accounts were being reported on a net basis. Management elected to revise the cash flows reported for changes in accounts receivable and allowance for doubtful to report the cash flows on a gross basis. This revision had no effect on the statement of net assets, statement of revenues, expenses and changes in net assets and cash used by operating activities. Cash and cash equivalents-the University maintains centralized management for substantially all of its cash. Cash in demand deposit accounts is minimized by sweeping available cash balances into investment accounts on a daily basis. Under University policy, deposits are only held at financial institutions that maintain an issuer rating on long term debt of A3 or higher by Moody s, A- or higher by Standard & Poor s or an Asset Peer Group rating of 65 or higher as defined by Sheshunoff Bank Rating Reports. Deposits in transit and cash awaiting investment are the primary differences. Bank balances in excess of the Federal Deposit Insurance Corporation (FDIC) limits are collateralized by U.S. government securities held in the name of the bank. The University does not have a significant exposure to foreign currency risk in demand deposit accounts. Accounts held in foreign countries maintain minimum operating balances with the intent to reduce potential foreign exchange risk while providing an adequate level of liquidity to meet the obligations of the academic programs established abroad. Accrual Basis and Fund Accounting The accompanying unaudited financial statements of the University have been prepared in accordance with generally accepted accounting principles promulgated by the Governmental Accounting Standards Board (GASB), using the accrual basis of accounting. Revenues are recorded when earned and expenses are recorded when incurred and measurable. To ensure the observance of limitations and restrictions placed on the resources available to the University, the accounts are maintained in accordance with the principles of fund accounting. Resources for various purposes are classified for accounting and reporting purposes into funds according to activities or objectives specified. The major fund groups are current funds, endowment and similar funds, loan funds, and plant funds. FUND CLASSIFICATION: Current Funds Current funds are the basic operating funds of the University and provide the resources used for the current operations of the University in meeting its goals of providing instruction, research, patient care, and public service. Current funds balances are separated into those restricted by donors or grantors, and balances that are unrestricted. Restricted funds may be expended only for the purpose indicated by the donor or grantor, whereas the use of unrestricted funds is determined by the University to achieve its objectives. For statement purposes, unrestricted funds have been separated into the general fund, provided by the State of California, and designated, or other funds. Endowment and Similar Endowment funds consist of endowments, funds functioning as endowments, and annuity and life income funds. Endowments require that the principal be invested in perpetuity, with the income used in accordance with the terms specified by the donor. Funds functioning as endowments are primarily gifts and related gains that are treated as endowments. Annuity and life income funds are held in trust with the annuity or income paid periodically to designated beneficiaries. Load Funds Loan funds consist of monies designated for loans to students, faculty, and staff. Loan funds are provided from federal student loan programs, University funds, and private donations. Plant Funds The plant funds group includes four subgroups: unexpended plant funds, renewal and replacement funds, retirement of indebtedness funds, and investment in plant funds. Unexpended plant funds are designated for the improvement or expansion of facilities of the campus. This includes land and building acquisitions, construction of new facilities, initial equipping of new buildings, renovation, remodeling and alteration of existing facilities, and general planning, studies, and surveys connected with the physical planning of the campus. 16

19 NOTES TO THE FINANCIAL SCHEDULES - continued University of California, San Diego Unexpended plant funds are provided by state of California appropriations, federal grants, private gifts and grants, loan and bond issue proceeds, and transfers from current funds. Renewal and replacement funds, consisting of current funds transfers from self-supporting campus activities, are designated for use in the acquisition, construction, or replacement of capital assets. Retirement of indebtedness funds have been established to record debt service payments and to accumulate funds for the retirement of specific outstanding loans, bonds, and certificates of participation. The majority of these funds are maintained at the Office of the President and, therefore, not all such funds are included in the campus financial schedules. As projects are completed and are capitalized, the capitalized amounts and any related liabilities are transferred to the investment in plant subgroup. Within the investment in plant subgroup is recorded the original cost, or the fair market value in the case of gifts, of the land, buildings, libraries and special collections, intangibles and equipment assets of the University. Related liabilities consisting of Regents loans, State Public Works Board loans, bank and commercial paper loans, bonds, conditional sales contracts, and certificates of participation, administered by both the San Diego campus and the Office of the President, are shown on the statement of net assets. Academic Support Costs, Other The academic support function in the schedule of current funds expenditures by uniform classification category includes activities that provide services for the University s three primary missions instruction, research, and public service. Expenses for this category for the year ended June 30, 2011 are summarized as follows (in thousands of dollars): Total Medical group $ 97,837 Technology Transfer 5,811 Marine Sciences recharge and support services 35 Scripps institute of oceanography 898 School of Medicine recharge and support services 1,723 Academic affairs recharge and support services 1,022 Other (1,478) Total Academic Support Other $ 105,848 Retiree Health Plans The University administers single-employer health plans to provide health and welfare benefits, primarily medical, dental and vision benefits, to eligible retirees of the University of California and its affiliates. The Regents has the authority to establish and amend the benefit plans. The contribution requirements of the eligible retirees and the participating University locations, such as University of California San Diego, are established and may be amended by the University. Membership in the UCRP is required to become eligible for retiree health benefits. Contributions toward benefits are shared with the retiree. The University determines the employer s contribution. Retirees are required to pay the difference between the employer s contribution and the full cost of the health insurance. Retirees employed by the campus prior to 1990 are eligible for the maximum employer contribution if they retire before age 55 and have at least 10 years of service, or if they retire at age 55 or later and have at least 5 years of service. Retirees employed by the campus after 1989 and not rehired after that date are subject to graduated eligibility provisions that generally require 10 years of service before becoming eligible for 50 percent of the maximum employer contribution, increasing to 100 percent after 20 years of service. Participating University locations, such as the campus, are required to contribute at a rate assessed each year by the UCRHBT. The contribution requirements are based upon projected pay-as-you-go financing requirements. The assessment rates resulted in campus contributions of $43.34 million and $9.08 million for the years ended June 30, 2011 and 2010, respectively. 17

20 NOTES TO THE FINANCIAL SCHEDULES - continued University of California, San Diego The actuarial value of UCRHBT assets and the actuarial accrued liability associated with the University s campuses and medical centers using the entry age normal cost method as of July 1, 2010 the date of the latest actuarial valuation, were $33.7 billion and $39.1 billion, respectively. The net assets held in trust for pension benefits on the UCRHBT s Statement of Plan Fiduciary Net Assets were $67.5 million at June 30, For the years ended June 30, 2011 and 2010 combined contributions from the University s campuses and medical centers were $313.9 million and $283.5 million, respectively, including an implicit subsidy of $54.9 million and $49.5 million, respectively. The University s annual retiree health benefit expense for its campuses and medical centers was $1.8 billion and $1.6 billion for the years ended June 30, 2011 and 2010, respectively. As a result of contributions that were less than the retiree health benefit expense, the University s obligation for retiree health benefits attributable to its campuses and medical centers totaling $5.1 billion at June 30, 2011 increased by $1.4 billion and $1.4 billion for the years ended June 30, 2011 and 2010, respectively. Information related to plan assets and liabilities as they relate to individual campuses and medical centers is not readily available. Additional information on the retiree health plans can be obtained from the annual reports of the University of California and the University of California Health and Welfare Program. Retirement Plans-Substantially all full-time employees of University of California San Diego participate in the University of California Retirement System ( UCRS ) that is administered by the University. The UCRS consists of The University of California Retirement Plan ( UCRP ), a single employer defined benefit plan, and the University of California Retirement Savings Program ( UCRSP ) that includes four defined contribution plans with several investment portfolios generally funded with employee non-elective and elective contributions. The Regents has the authority to establish and amend the benefit plans. The UCRP provides lifetime retirement income, disability protection, and survivor benefits to eligible employees. Benefits are based on average highest three years compensation, age, and years of service and are subject to limited cost-of-living increases. Contributions to the UCRP may be made by the campus and the employees. The rates for contributions as a percentage of payroll are determined annually pursuant to The Regents funding policy and based upon recommendations of the consulting actuary. The Regents determine the portion of the total contribution to be made by the campus and by the employees. Employee contributions by represented employees are subject to collective bargaining agreements.. The actuarial value of UCRP assets and the actuarial accrued liability associated with the University s campuses and medical centers using the entry age normal cost method as of July 1, 2010, the date of the latest actuarial valuation, were $33.7billion and $39.1 billion, respectively, resulting in a funded ratio of 86.2 percent. The net assets held in trust for pension benefits attributable to the campuses and medical centers included in the UCRP Statement of Plan s Fiduciary Net Assets were $41.9 billion and $34.6 billion at June 30, 2011 and June 30, 2010, respectively. For the years ended June 30, 2011 and 2010, University s campuses and medical centers contributed a combined $2.69 billion and $1.11 billion, respectively. The University s annual UCRP benefits expense for its campuses and medical centers was $1.6 billion for the year ended June 30, The UCRSP plans (DC Plan, Supplemental DC Plan, 403(b) Plan and 457(b) Plan) provide savings incentives and additional retirement security for all eligible employees. The DC Plan accepts both pre-tax and after-tax employee contributions. The Supplemental DC Plan accepts employer contributions on behalf of certain qualifying employees. The 403(b) and 457(b) plans accept pre-tax employee contributions and the campus may also make contributions on behalf of certain members of management. Benefits from the plans are based on participants mandatory and voluntary contributions, plus earnings, and are immediately vested. Information related to plan assets and liabilities, as they relate to campus employees, is not readily available. Additional information on the retirement plans can be obtained from the annual reports of the University of California Retirement Plan, the University of California Retirement Savings Plan and the University of California PERS VERIP. Other Notes Additional notes to the financial schedules are included in the annual financial report for the University of California San Diego and are available at 18

21 CURRENT FUNDS REVENUES

22 UNIVERSITY OF CALIFORNIA, SAN DIEGO (Dollars in Thousands) CURRENT FUNDS REVENUES Unrestricted Total General Designated Restricted TUITION AND FEES Regular session $ 391,219 $ 46,430 $ 344,788 $ 0 Summer session 19, , University extension and continuing education 46, , Student tuition & fees - contra - bad debts 193 (24) Subtotal 457,401 46, , Scholarship allowance (106,949) -- (106,949) -- Total 350,452 46, , FEDERAL GOVERNMENT Appropriations 6, ,697 Grants 722, , ,973 Contracts 23, ,987 19,410 United States government - contra - bad debts (346) (346) Total 752, , ,735 STATE GOVERNMENT Appropriations 334, , ,486 Contracts and grants 35, ,501 27,597 State of California - contra - bad debts Total 369, ,025 7,501 64,294 LOCAL GOVERNMENT 13, ,485 PRIVATE GIFTS, GRANTS AND CONTRACTS Gifts 51, ,153 Grants 41, ,059 (235) Contracts 162, ,178 Total 255, , ,096 SALES AND SERVICES OF EDUCATIONAL ACTIVITIES Medical group activities 286, , Other 25, , Total 311, , SALES AND SERVICES OF AUXILIARY ENTERPRISES Parking operations 17, , Residence and dining halls 110, , Bookstore 26, , Other 4, , Sales & services of auxiliary enterprises - contra - bad debt Subtotal 158, , Scholarship allowance (22,135) -- (22,135) -- Total 136, , SALES AND SERVICES OF MEDICAL CENTERS 959, , OTHER SOURCES Service enterprises 9, , Property rental and other 50,858 (0) 50, Other sources - contra - bad debts Subtotal 60, , Scholarship allowance Total 60, , Total Current Funds Revenues $ 3,209,148 $ 345,052 $ 1,986,437 $ 877,659 20

23 CURRENT FUNDS EXPENDITURES BY UNIFORM CLASSIFICATION CATEGORY

24 (Dollars in Thousands) University of California, San Diego CURRENT FUNDS EXPENDITURES BY UNIFORM CLASSIFICATION CATEGORY Current Funds Total Unrestricted Restricted General Designated Salaries and Wages Distribution Other Expenditures Recharges INSTRUCTION GENERAL ACADEMIC Area studies $ 7,763 $ 6,185 $ 1,394 $ 184 $ 5,751 $ 2, Biological sciences 21,607 19, ,060 6,548 0 Business and management 14,579 4,282 10, ,646 4, Communications 6,115 5, ,228 2, Computer and information studies 25,155 23, ,821 7, Education 3,745 3, ,612 1, Engineering 24,281 23, ,627 6, Fine and applied arts 12,157 11, ,102 3,055 0 Foreign languages 3,870 3, , Health professions Medicine 267,138 42, ,420 8, ,467 80,923 55,253 Pharmacy 10,120 3,450 5, ,682 3, Letters 22,919 21,320 1, ,601 5, Mathematics 10,455 10, ,288 2,167 0 Physical sciences 33,384 30,572 1,000 1,812 23,532 9,851 (1) Psychology 6,448 6,456 (46) 38 5,076 1,372 (0) Social sciences 35,527 33,001 1, ,391 9, Interdisciplinary studies 15,773 13,585 2, ,638 10,135 (0) Compensated absences accrual 2,879 (109) 2, , (0) Other (162) (563) (180) -- Total 523, , ,730 16, , ,832 55,334 SUMMER SESSION 5, , ,656 1,111 0 EXTENSION STUDIES AND PUBLIC PROGRAMS 36, , ,336 22,067 3,685 EDUCATIONAL FEE EXPENSE PRORATION -- (99,673) 99, Subtotal 566, , ,451 16, , ,010 59,019 ELIMINATED CAPITAL EXPENDITURES (4,387) (1,590) (1,838) (960) -- (4,387) -- Total Instruction 561, , ,613 15, , ,623 59,019 22

25 (Dollars in Thousands) University of California, San Diego CURRENT FUNDS EXPENDITURES BY UNIFORM CLASSIFICATION CATEGORY Current Funds Total Unrestricted Restricted General Designated Salaries and Wages Distribution Other Expenditures Recharges RESEARCH INSTITUTES AND RESEARCH CENTERS Area studies Biological sciences g 1, Computer and information studies 54,339 1,801 6,398 46,140 26,583 27, Engineering 28, ,627 12,980 15, Fine and applied arts Health professions - medicine 56,809 1,451 3,122 52,236 28,465 28,347 2 Interdisciplinary studies Physical sciences 124,848 14,419 2, ,277 51,022 76,258 2,431 Psychology 10, ,182 5,418 5, Social sciences 4, ,868 2,261 2,600 (0) Compensated absences accrual (2,131) (47) (1,653) (430) (2,099) (32) -- Total 280,599 20,033 12, , , ,366 2,472 INDIVIDUAL OR PROJECT RESEARCH Area Studies 1, , , Biological sciences 30, ,080 13,871 16,659 1 Business and management Communications Computer and information studies 24,402 1, ,670 12,878 11, Education 1,528 (1) -- 1, Engineering 4, ,372 1,454 2,969 (0) Fine and applied arts Foreign languages (0) Health professions Medicine 337,112 1,127 6, , , , Interdisciplinary studies Letters Mathematics 3, ,118 1,827 1, Physical sciences 34, ,063 15,262 18,815 2 Pharmacy 12, ,075 6,115 5,988 (0) Psychology 8, ,968 3,692 4,608 0 Social sciences 3, ,112 1,488 1,655 (0) Other (1,825) (180) (1,441) (204) 115 (1,939) -- Total 460,464 4,410 6, , , , OTHER PROVISIONS 1, (2,452) 3, , Subtotal 742,537 24,580 16, , , ,418 2,613 ELIMINATED CAPITAL EXPENDITURES (42,236) (1,127) (949) (40,160) -- (42,236) (0) Total Research 700,301 23,453 15, , , ,182 2,613 23

26 (Dollars in Thousands) University of California, San Diego CURRENT FUNDS EXPENDITURES BY UNIFORM CLASSIFICATION CATEGORY Current Funds Total Unrestricted Restricted General Designated Salaries and Wages Distribution Other Expenditures Recharges PUBLIC SERVICE COMMUNITY SERVICE Arts and lectures 1, , , Community service projects 8,640 1, ,364 4,267 4, Work study programs Contracting agencies Other 10,081 2, ,123 5,411 4,670 0 Compensated absences accrual Total 20,882 4,290 2,645 13,947 10,860 10, COOPERATIVE EXTENSION SERVICE Subtotal 21,069 4,290 2,645 14,134 11,009 10, ELIMINATED CAPITAL EXPENDITURES (404) -- (72) (332) -- (404) 0 Total Public Service 20,665 4,290 2,573 13,802 11,009 10, ACADEMIC SUPPORT ANCILLARY SUPPORT Fine arts productions Medical laboratories 13, , ,935 9,426 5,521 Psychology clinic 7, , ,682 3,522 1,096 Research vessels 2, , ,381 14,305 18,509 Shops 2, , ,686 3,207 3,512 Vivarium 1, ,585 6,682 11,851 Other 105, , ,183 72,640 14,975 Total 133,548 1, ,288 2,017 78, ,142 55,524 ACADEMIC ADMINISTRATION 59,897 33,430 23,848 2,619 32,125 37,959 10,187 AUDIO VISUAL SERVICES 4,916 1,152 3, ,391 2, COMPUTING SUPPORT 9,997 1,601 4,875 3,520 7,006 14,699 11,709 COURSE AND CURRICULUM DEVELOPMENT EDUCATIONAL FEE EXPENSE PRORATION -- (8,482) 8, LIBRARIES 33,381 28,246 3,443 1,691 15,535 17,847 1 MUSEUMS AND GALLERIES 6, ,361 1,998 2,844 3, COMPENSATED ABSENCES ACCRUAL 1,408 (261) 1,687 (17) 1, Subtotal 249,542 56, ,656 11, , ,417 78,067 ELIMINATED CAPITAL EXPENDITURES (13,141) (8,597) (2,243) (2,302) -- (13,141) -- Total Academic Support 236,401 48, ,414 9, , ,276 78,067 24

27 (Dollars in Thousands) University of California, San Diego CURRENT FUNDS EXPENDITURES BY UNIFORM CLASSIFICATION CATEGORY Current Funds Total Unrestricted Restricted General Designated Salaries and Wages Distribution Other Expenditures Recharges UCSD MEDICAL CENTER UCSD Medical Center 816,230 6, , , ,588 23,472 ELIMINATED CAPITAL EXPENDITURES (23,192) -- (23,192) (23,192) -- Total UCSD Medical Center 793,038 6, , , ,396 23,472 STUDENT SERVICES ADMINISTRATION 10,313 1,088 3,397 5,827 4,382 5, CULTURAL AND SOCIAL ACTIVITIES Cultural programs Housing services Other social services 12, , ,355 11,300 4,939 Public ceremonies (58) -- (58) -- (0) (58) -- Recreational programs 17,861 (0) 17, ,597 9, Total 31, , ,212 21,996 5,668 COUNSELING AND CAREER GUIDANCE Counseling 6, ,211 1,353 3,426 2,591 8 Disadvantaged student assistance (64) Foreign student programs 1, , , Placement 2, , , Total 10,207 1,250 7,550 1,407 6,176 4, FINANCIAL AID ADMINISTRATION 3,014 2, ,976 1,038 0 STUDENT ADMISSIONS AND RECORDS Admissions 3,639 3,620 (0) 20 2,143 1, Registrar 2,862 2, , Total 6,501 5, ,054 2,450 3 STUDENT HEALTH SERVICES 15, , ,507 10, COMPENSATED ABSENCES ACCRUAL (299) (26) (48) (225) (296) (3) -- EDUCATIONAL FEE EXPENSE PRORATION -- (10,592) 10, Subtotal 76, ,415 7,902 36,011 46,158 5,833 ELIMINATED CAPITAL EXPENDITURES (881) (18) (716) (147) -- (881) 0 Total Student Services 75, ,699 7,755 36,011 45,276 5,833 25

28 (Dollars in Thousands) University of California, San Diego CURRENT FUNDS EXPENDITURES BY UNIFORM CLASSIFICATION CATEGORY Current Funds Total Unrestricted Restricted General Designated Salaries and Wages Distribution Other Expenditures Recharges INSTITUTIONAL SUPPORT EXECUTIVE MANAGEMENT Chancellor and vice chancellors 29,009 14,478 12,151 2,380 13,258 15, General counsel Academic senate secretariat (0) Planning and budgeting (9,347) 4,112 (13,462) 4 3,437 2,266 15,049 Total 21,217 20,036 (1,212) 2,392 17,817 18,472 15,072 FISCAL OPERATIONS Accounting 15,811 7,172 8, ,865 6, Auditing 1,480 1, , Cashiers office Contracts and grants administration 2, , , (0) Bad debt write-off Total 20,804 9,097 11, ,688 8,176 1,059 GENERAL ADMINISTRATIVE SERVICES Environmental health and safety 8,346 1,366 6, ,839 4,876 1,369 Information systems 16,152 9,541 6, ,627 7, Personnel 7,094 5,909 1, ,831 3,884 8,621 Other 1,549 4,946 (4,047) 650 4,399 1,444 4,294 Total 33,141 21,763 10, ,695 18,107 14,662 LOGISTICAL SERVICES Business management (31) -- (34) ,322 Construction management (0) -- (2) 2 4,540 8,921 13,461 Duplicating ,078 2,190 3,194 Garage ,206 4,396 Mail and messenger (124) 3 (136) ,308 2,990 Materiel management 3,629 1,859 1, ,224 3,589 3,184 Police 4,698 2,878 1, ,839 2,192 2,333 Telephone (2,828) 505 (3,335) 1 6,286 13,347 22,462 Total 5,983 5, ,774 37,552 53,342 COMMUNITY RELATIONS Development 6, ,787 1,471 8,519 (2,031) 109 Public information 2,317 1, ,201 1, Publications Total 9,406 2,423 5,488 1,495 10,340 (137) 797 COMPENSATED ABSENCES ACCRUAL (14) (155) (32) -- EDUCATIONAL FEE EXPENSE PRORATION -- (30,619) 30, Subtotal 90,538 27,791 58,012 4,736 93,332 82,138 84,932 ELIMINATED CAPITAL EXPENDITURES (4,875) (204) (4,671) (4,875) -- Total Institutional Support 85,663 27,587 53,341 4,736 93,332 77,263 84,932 26

29 (Dollars in Thousands) University of California, San Diego CURRENT FUNDS EXPENDITURES BY UNIFORM CLASSIFICATION CATEGORY Current Funds Total Unrestricted Restricted General Designated Salaries and Wages Distribution Other Expenditures Recharges OPERATION AND MAINTENANCE OF PLANT Administration 1,881 3,208 (1,329) 2 2,932 7,348 8,400 Building maintenance and major repairs and alterations 14,806 11,831 2, ,488 17,134 4,816 Grounds maintenance 2,668 2, ,354 4,457 4,143 Janitorial service 7,844 7, ,022 9,657 6,835 Plant service (539) -- (539) -- 3,717 35,384 39,639 Refuse disposal 2,164 1, ,702 1,478 Utilities 25,500 25, ,674 34,156 10,330 Other 8,733 5,033 3, ,733 (0) Total 63,057 57,023 5, , ,571 75,640 COMPENSATED ABSENCES ACCRUAL (75) (5) (70) -- (70) (5) -- EDUCATIONAL FEE EXPENSE PRORATION -- (19,711) 19, Subtotal 62,982 37,307 25, , ,565 75,640 ELIMINATED CAPITAL EXPENDITURES (229) (229) (229) -- Total Operation and Maintenance of Plant 62,753 37,078 25, , ,337 75,640 STUDENT FINANCIAL AID Student financial aid 212,143 10, ,264 99, ,418 0 Scholarship allowance (129,494) -- (129,494) (129,494) -- Total Student Financial Aid 82,649 10,884 (28,230) 99, ,924 0 AUXILIARY ENTERPRISES Apartments 35, , ,288 33,188 1,844 Bookstores 23, , ,077 29,854 10,366 Cafeterias (1,172) -- (1,172) (1,271) (0) Parking 14, , ,888 21,337 12,178 Residence halls 35, , ,321 27,982 12,395 Other 4, , ,419 4,897 2,403 Compensated absences accrual (24) -- (24) -- (21) (3) -- Subtotal 112, , , ,984 39,185 ELIMINATED CAPITAL EXPENDITURES (672) -- (672) (672) -- Total Auxiliary Enterprises 112, , , ,312 39,185 Total Current Funds Expenditures $ 2,730,977 $ 319,155 $ 1,597,945 $ 813,877 $ 1,481,492 $ 1,618,987 $ 369,503 27

30 CURRENT FUNDS EXPENDITURES BY DEPARTMENT

31 University of California, San Diego (Dollars in Thousands) CURRENT FUNDS EXPENDITURES BY DEPARTMENT Current Funds Distribution GRADUATE SCHOOL OF INTERNATIONAL RELATIONS AND PACIFIC STUDIES Total Unrestricted Restricted Salaries and Wages Other Expenditures Recharges General Designated INSTRUCTION $ 7,763 $ 6,185 $ 1,394 $ 184 $ 5,751 $ 2, RESEARCH 1, , , PUBLIC SERVICE ACADEMIC SUPPORT Total Graduate School of International Relations and Pacific Studies 10,302 6,192 1,436 2,674 6,931 3, JACOBS SCHOOL OF ENGINEERING INSTRUCTION Bioengineering 4,774 4,603 (28) 198 3,345 1,428 0 Computer science and engineering 9,983 9, ,472 2, Electrical and computer engineering 11,175 10, ,159 3, Material science program 5,384 5, ,808 1,576 (0) Mechanical and aerospace engineering 9,438 8, ,892 2, Structural systems research project 4,685 4, ,582 1,103 (0) Total 45,439 43, ,292 33,258 12,181 (0) RESEARCH Bioengineering 9, ,499 4,656 5, California institute--telecommunications and information technology 26, ,539 21,362 12,573 14, Computer science and engineering 11, ,920 6,500 4, Dean's office--engineering 4, ,372 1,454 2,969 (0) Electrical and computer engineering 13,011 1, ,750 6,379 6, Fusion energy research center (10) -- (10) Mechanical and aerospace engineering 9, ,707 4,257 4,864 0 Structural systems research project 5, ,458 2,177 3, Total 80,254 2,650 5,535 72,069 37,996 42, PUBLIC SERVICE Dean's office--engineering (24) ACADEMIC SUPPORT Dean's office--engineering 3,731 3, ,226 1, Cal it2--support services (81) -- (84) ,194 1,935 Electrical and computer engineering Engineering support services Mechanical and aerospace engineering (0) Structural systems research project Total 4,844 3,133 1, ,070 3,513 2,739 Total Jacobs School of Engineering 131,406 50,223 7,642 73,542 75,731 58,437 2,762 RADY SCHOOL OF MANAGEMENT INSTRUCTION 14,579 4,282 10, ,646 4, RESEARCH Rady student service Total Rady School of Management 14,773 4,296 10, ,778 4,

32 University of California, San Diego (Dollars in Thousands) CURRENT FUNDS EXPENDITURES BY DEPARTMENT Current Funds Distribution Total Unrestricted Restricted Salaries and Wages Other Expenditures Recharges General Designated SCHOOL OF MEDICINE INSTRUCTION Anesthesiology 16,166 1,459 14, ,009 4,068 5,911 Bioengineering--medical (0) Cancer center 1, , , Cellular and molecular medicine 1, Chemistry--medical Dean's office school of medicine (2,330) -- (2,361) 31 3,413 (5,479) 264 Electives program (1) -- (1) (1) -- Emergency medical program 3, , ,050 1,589 7,261 Family and preventive medicine 7,732 1,864 4,427 1,440 6,289 3,283 1,840 Intern and resident program 1,871 1, , Malpractice insurance 3,568 1,486 2, , Medicine 38,965 9,748 26,467 2,750 40,116 12,000 13,151 Neurosciences 11,371 3,139 7, ,346 3, Office of continuing medical education 5, , ,110 5,069 1,258 Office of learning resources-- core courses support 3, , ,692 2,691 1,833 Ophthalmology 11, , ,470 2,576 1,044 Orthopaedics 10, , ,900 2,202 1,685 Pathology 10,629 3,285 6, ,268 3,264 1,902 Pediatrics 55,579 4,232 50,274 1,074 40,750 16,110 1,280 Pharmacology 2,699 1,579 1, , Psychiatry 13,392 4,095 9, ,870 4,058 1,536 Radiology 16,900 1,588 15, ,357 5,350 5,807 Reproductive medicine 11,102 1,541 9, ,803 3,251 2,952 Surgery 41,697 3,488 37, ,517 9,977 6,797 The SIO department--medical Total 267,138 42, ,420 8, ,467 80,923 55,253 RESEARCH Academic geriatric resource program (9) (10) 0 1 (8) (1) (0) Anesthesiology 5, ,013 2,879 2,298 0 Bioengineering--medical Cellular and molecular medicine 16, ,334 15,294 7,392 9, Chemistry--medical Committee on research Dean's office 4, , ,896 1 Emergency medical program 1, , Family and preventive medicine 8, ,021 4,759 3,287 0 Medicine 96, ,387 42,555 53, Neurosciences 49, ,705 16,983 32,264 0 Office of learning resources--research Organized research units centers Cancer center 43, ,430 40,397 22,005 21,378 2 Center academic research and y training gy anthropogen g Organized research units institutes Institute of biocircuits 2, , ,031 (0) Institute for engineering in medicine Institute for research on aging Institute of genomic medicine (0) Institute of molecular medicine Research in biological structures 10, ,270 5,106 5, Ophthalmology p 8, ,681 4,538 4, Pathology 11, ,372 5,246 6, Pediatrics 38, ,081 17,372 20,709 (0) Pharmacology y p 19, ,183 18,606 7,979 11,858 0 Psychiatry 53, ,203 24,383 28,966 (0) Radiology 7, ,953 4,938 3,

33 University of California, San Diego (Dollars in Thousands) CURRENT FUNDS EXPENDITURES BY DEPARTMENT Current Funds Distribution Total Unrestricted Restricted Salaries and Wages Other Expenditures Recharges General Designated Reproductive medicine 6, ,009 2,928 3,329 0 Surgery pp 8, ,516 3,434 5, Total 395,661 2,708 9, , , , PUBLIC SERVICE Area health and education center Family and preventive medicine Organized research units Cancer center g g Medical education 1, , ,135 (0) Medicine Pediatrics 2, , , Reproductive medicine Total 5, ,338 2,650 3, ACADEMIC SUPPORT Anesthesiology support services Center for molecular genetics (0) Dean's office Admissions General operating costs 30,970 14,260 16, ,971 23, Human subjects committee International education Student affairs Student performance Support services 1, , ,041 6,401 6,709 Laboratories and support services Cancer center 5, , ,089 3,717 1,848 Cellular and molecular medicine Center for research in biological structures (26) -- (26) Clinical investigations institute (165) -- (165) Clinical pharmacy services Family and preventive medicine 1, , Medicine 2, , ,253 1, Hospitalist support services Neurosciences Ophthalmology Orthopaedics Pathology 1, , Pediatrics 1, , , Psychiatry 6, , ,085 2, Radiology ,670 1,414 2,279 Reproductive medicine (64) -- (64) -- 6 (52) 18 Surgery Managed care ,568 (2,289) (721) Medical group operations 89, , ,474 54, Office of learning resources 4, , ,921 1, Psychiatry clinic 7, , ,682 3,522 1,096 Vice chancellor health sciences planning 1, , ,810 2,202 5,882 Total 158,437 14, ,660 1,020 76, ,946 21,826 Total School of Medicine 827,197 60, , , , ,104 77,218 SKAGGS SCHOOL OF PHARMACY AND PHARMACEUTICAL SCIENCES INSTRUCTION 10,120 3,450 5, ,682 3, RESEARCH 12, ,075 6,115 5,988 (0) ACADEMIC SUPPORT

34 University of California, San Diego (Dollars in Thousands) CURRENT FUNDS EXPENDITURES BY DEPARTMENT Current Funds Distribution Total Unrestricted Restricted Salaries and Wages Other Expenditures Recharges General Designated Total Skaggs School of Pharmacy and Pharmaceutical Sciences 22,298 3,451 5,946 12,902 12,832 9, CAMPUS-WIDE DEPARTMENTS INSTRUCTION Academic computing Advisor Computing services Instruction and research facility 3,127 2, ,112 1,014 (0) Instructional use of computing advisor Academic field p studies g Anthropology 3,215 3, , Area and ethnic studies and research 1,767 1, , Biological sciences 21,607 19, ,060 6,548 0 California literature project Center for research in educational equity, assessment, and teaching excellence Chemistry and biochemistry 15,097 13, ,274 4, Cognitive science 3,221 3, (0) 2, Community medicine--general campus 4,170 4, , Economics 9,889 9, ,994 1, Ethnic studies 1,885 1, , History 6,404 6, ,933 1, Human development program Interdisciplinary sequence Contemporary issues Cultural traditions (0) Environmental systems Geometry and physics Humanities p g Special studies Urban and rural studies (3) (0) Engineering in medicine International studies program (0) Language learning laboratory Latin american studies Linguistics 2,189 2, , Literature 8,361 8, ,524 1,837 (0) Mathematics 10,377 10, ,232 2, Mathematics placement and testing (0) Music 6,593 5, ,831 1,762 0 Neural computation Philosophy 2,988 2, , (0) Physics 10,935 10, (136) 8,285 2,648 (1) Political science 7,398 7, ,768 1, Pathology Psychology 6,428 6,456 (46) 18 5,064 1, Resource administration data 1,945 1, , Social sciences computing Sociology 5,305 4, ,317 1, Subject a program 3,399 3, ,352 1, Theatre and dance 7,131 5, ,170 1, Undergraduate language program 1,521 1, , (0) Visual arts 5,563 5, ,270 1,293 (0) Writing program 4,195 4,086 (1) 111 3, Educational fee expense proration -- (99,673) 99, Other general campus Total 159,783 50, ,725 4, ,707 43,

35 University of California, San Diego (Dollars in Thousands) CURRENT FUNDS EXPENDITURES BY DEPARTMENT Current Funds Distribution Total Unrestricted Restricted Salaries and Wages Other Expenditures Recharges General Designated RESEARCH African american studies research project Anthropology Biological sciences 30, ,080 13,871 16,659 1 California literature project (0) Chemistry and biochemistry 20, ,657 8,746 11, Cognitive science 2, ,327 1, Communication Education studies 826 (1) Ethnic studies (0) Economics 1, History Humanities Linguistics (0) Literature Mathematics 3, ,118 1,827 1, Music Organized research units centers Astrophysics and space science 3, ,928 2,068 1, Comparative immigration studies Chronogbiology (16) Energy research 6, ,856 3,433 2,766 (0) Global justice center Glycobiology research and training Human development p g 3, , , Iberian and latin american studies Magnetic recording research 1, , (0) Molecular agriculture Molecular genetics Research in biological structure (4) 2 2 (8) 3 (7) (0) Research in computing and the arts Research in educational equity, assessment, and teaching excellence Research in language San Diego supercomputer center 27, ,860 24,778 14,010 13,606 (0) White mountain research station (0) Organized research units institutes Brain and mind Comparative human cognition laboratory Engineering in medicine Global conflict and cooperation 3, ,825 1,602 1, International, comparative, and area studies Neural computation 8, ,703 3,820 4,233 0 Nonlinear science 620 (0) Pure and applied physical sciences Whitaker institute of biomedical engineering 805 (0) Philosophy Physics 13, ,406 6,514 7,459 2 Political science 1, Psychology 5, ,861 2,838 2, Social sciences Sociology Theatre and dance Visual arts Other support 1, , (0) Total 143,400 5,676 4, ,234 68,952 74,

36 University of California, San Diego (Dollars in Thousands) CURRENT FUNDS EXPENDITURES BY DEPARTMENT Current Funds Distribution Total Unrestricted Restricted Salaries and Wages Other Expenditures Recharges General Designated PUBLIC SERVICE Biological sciences California literature project Education studies (0) Mathematics Organized research units centers Research in educational equity, assessment, and teaching excellence San diego supercomputer (0) Organized research units institutes Comparative human cognition laboratory Pharmacy sciences Writing project Total 2, ,071 1, ACADEMIC SUPPORT Academic computing Miscellaneous operations ,090 2,236 Local area p network Word processing operations Academic resource administration Animal care program 1, ,585 6,682 11,851 Biological sciences support facilities (265) -- (269) ,949 Campus research machine shop Chemistry and biochemistry support facilities Classroom management Computer sciences and engineering support services (43) -- (43) Deans' offices Arts and humanities 1, Biological sciences 1,313 1, Natural sciences 1, Social sciences Instructional media program Library photo service Mandeville center operations Mathematics placement and testing program Mechanical and aerospace engineering (1) -- (1) (1) -- Music center studios Organized research units Center for astrophysics and space sciences support services Center for magnetic recording research Center for molecular genetics Institute for biomedical engineering (8) -- (8) Institute for comparative immigration studies Institute for pure and applied physics cims facility Physics support facilities pp Psychology (7) -- (7) (5) 3 Sports facility office San diego supercomputer center support 1, , ,650 3,018 3,246 Educational fee expense proration -- (8,482) 8, Total 9,493 (3,089) 11, ,891 16,858 22,257 Total Campus-Wide Departments 314,701 54, , , , ,454 22,381 34

37 University of California, San Diego (Dollars in Thousands) CURRENT FUNDS EXPENDITURES BY DEPARTMENT Current Funds Distribution PROVOSTS' OFFICES Total Unrestricted Restricted Salaries and Wages Other Expenditures Recharges General Designated PUBLIC SERVICE Provost warren college ACADEMIC SUPPORT Provost eleanor roosevelt college Provost muir college 1, (0) Provost revelle college Provost sixth college 1, Provost thurgood marshall college 1, Provost warren college 1,528 1, , Total 6,746 6, ,524 2,222 0 Total Provosts' Offices 6,753 6, ,524 2,229 0 SCRIPPS INSTITUTION OF OCEANOGRAPHY INSTRUCTION The SIO department 7,351 6, ,167 4,972 2, RESEARCH Institutes California space Geophysics and planetary physics 16,368 2, ,920 8,407 7, Marine resources 4, ,663 1,640 3,154 0 Laboratories Marine physical laboratory 31,590 1, ,410 12,573 21,489 2,472 Biology research section Fluids research section (0) Climate research division 12,105 2, ,064 6,404 5, Geosciences research division 7,469 2, ,110 4,036 3, Marine biology research p division 6,973 1, ,100 3,071 3,902 1 Center for clouds, chemistry, and climate Center for marine biotechnology and biomedicine 3, ,488 2,036 1,007 0 Center for observation, -- modeling, and prediction Committee on research Integrative oceanography division 9,446 2, ,290 4,949 4,497 (0) Shipboard technical support The SIO department (0) Use of ships 18, , ,464 (41) Other Total 111,768 13,623 2,044 96,100 43,588 70,611 2,431 PUBLIC SERVICE Birch aquarium--museum

38 University of California, San Diego (Dollars in Thousands) CURRENT FUNDS EXPENDITURES BY DEPARTMENT Current Funds Distribution Total Unrestricted Restricted Salaries and Wages Other Expenditures Recharges General Designated ACADEMIC SUPPORT Director's office 13,034 4,918 3,472 4,644 7,507 11,144 5,617 Birch aquarium--museum 6, ,361 1,998 2,844 3, Institutes Geophysics and planetary physics Computing ring (80) -- (81) Data system (27) -- (27) Orbit center (0) Support services Laboratories Machine shop ,033 Marine facilities Ships operations 2, , ,381 14,305 18,509 Marine facility shop Marine sciences development and outfitting shop 1, , ,272 1,624 1,083 Research divisions Geological research Support services Sio director-special events Special research units p Center for coastal studies Center for marine biotechnology and biomedicine Integrative oceanography Marine biology research Support services Instrument development group ,598 3,008 Physical oceanography research division support services Total 25,301 4,929 12,879 7,493 21,051 35,350 31,101 Total Scripps Institution of Oceanography 144,458 24,614 15, ,798 69, ,349 33,532 CAMPUSWIDE PROGRAMS INSTRUCTION Social sciences--instruct funds UCSD global seminars Teaching assistant insurance 2, , , The preuss school (1) -- (1) (1) -- Tuition remission program 6,052 6, , Other (185) (586) (185) 0 Compensated absences accrual 2,879 (109) 2, , (0) Total 11,581 5,360 6, ,772 8, RESEARCH Graduate mentorship and dissertation Tuition remission program Credits for disallowance 7 -- (2,661) 2,667 (16) Other (1,825) (180) (1,441) (204) 115 (1,939) -- Compensated absences accrual (1,717) 81 (1,474) (323) (1,886) Total (2,760) (99) (4,803) 2,141 (1,787) (973) 0 36

39 University of California, San Diego (Dollars in Thousands) CURRENT FUNDS EXPENDITURES BY DEPARTMENT Current Funds Distribution Total Unrestricted Restricted Salaries and Wages Other Expenditures Recharges General Designated PUBLIC SERVICE Community college transfer Early outreach programs 1, , Sponsored education program-- medical center Office of graduate studies and research Television channel The preuss school 6, ,685 3,548 3, University events 1, , , Work study program contracting agencies (0) Other (7) (34) 31 (4) -- (7) -- Compensated absences accrual Total 11,577 2,319 2,145 7,113 6,543 5, ACADEMIC SUPPORT Academic business office conference Graduate admissions information system Innovative instructional project Library 33,381 28,246 3,443 1,691 15,535 17,847 1 Media services Office of academic support and information services 1, , , Office of graduate studies and research 1,846 1, , Office of international education Office of technology licensing 5, , , Teaching assistant training program (0) Other (1,386) (39) (1,346) (1,386) -- Compensated absences accrual 1,408 (261) 1,687 (17) 1, Total 44,623 30,978 11,534 2,111 20,285 24, Total campuswide programs 65,021 38,559 15,070 11,391 27,812 37, SUMMER SESSION INSTRUCTION 5, , ,656 1,111 0 EXTENDED STUDIES AND PUBLIC PROGRAMS INSTRUCTION Continuing education General programs 10, , ,587 5, Professional programs 20, , ,046 12,638 2,105 Other 5, , ,703 3, Total Extended Studies and Public Programs 36, , ,336 22,067 3,685 UCSD MEDICAL CENTER 816,230 6, , , ,588 23,472 STUDENT SERVICES ADMINISTRATION Assistant vice chancellors academic services 6,946 1, ,801 2,252 4,693 0 university center Advisory committee Dean of student affairs 2,327 (2) 2, , Student affairs special services 1, , Total Administration 10,720 1,077 3,815 5,827 4,382 6,

40 University of California, San Diego (Dollars in Thousands) CURRENT FUNDS EXPENDITURES BY DEPARTMENT Current Funds Distribution Total Unrestricted Restricted Salaries and Wages Other Expenditures Recharges General Designated CULTURAL AND SOCIAL ACTIVITIES Cultural activities Housing services Other social services Associated y students--government pp 2, , , Resident hall advisors ,290 2,913 4,018 Student activities and programs 1, , , Student center 5, , ,264 3, Student events Student organizations 2, , ,113 1, Total 12, , ,355 11,296 4,939 Public ceremonies Graduation (58) -- (58) -- (0) (58) -- Recreational programs Intercollegiate athletics 10, , ,520 6, Recreational athletic program 5, , ,398 2, Sports facilities 1,990 (0) 1, , Total 17,861 (0) 17, ,597 9, Total Cultural and Social Activities 31, , ,212 21,992 5,668 COUNSELING AND CAREER GUIDANCE Counseling Counseling services 3, , ,424 1,135 8 Early outreach programs 1, , Orientation program Special services 206 (1) Student affirmative action Total 6, ,211 1,353 3,426 2,591 8 Disadvantaged student assistance Office for students with disabilities (64) Foreign student programs International studies 1, , , Placement Career planning and placement center 2, , , Total Counseling and Career Guidance 10,207 1,250 7,550 1,407 6,176 4, FINANCIAL AID ADMINISTRATION Graduate student programs Student financial services 2,547 2, , Total Financial Aid Administration 3,013 2, ,976 1,037 0 STUDENT ADMISSIONS AND RECORDS Admissions office 3,639 3,620 (0) 20 2,143 1,496 0 Registrar's office 2,862 2, , Total Student Admissions and Records 6,501 5, ,054 2,450 3 STUDENT HEALTH SERVICES 15, , ,507 10,

41 University of California, San Diego (Dollars in Thousands) CURRENT FUNDS EXPENDITURES BY DEPARTMENT Current Funds Distribution Total Unrestricted Restricted Salaries and Wages Other Expenditures Recharges General Designated CONTRACTS AND GRANTS ADMINISTRATION (407) 11 (418) (407) (0) COMPENSATED ABSENCES ACCRUAL (299) (26) (48) (225) (296) (3) -- EDUCATIONAL FEE EXPENSE PRORATION -- (10,592) 10, Total Student Services 76, ,410 7,902 36,011 46,152 5,833 INSTITUTIONAL SUPPORT EXECUTIVE MANAGEMENT Chancellor and vice chancellors Chancellor's office 2,902 2, , Chancellor research 2,477 1, , Academic affairs 6,760 6, ,891 1, Business affairs 1,735 1, Development and university relations 12,590 (1) 10,455 2,135 2,108 10,481 0 Resource management and planning 1, (0) Undergraduate affairs 1,157 1, (0) Total 29,009 14,478 12,151 2,380 13,258 15, Academic senate (0) Office of the campus counsel Planning and budgeting Resource management (12,154) 1,592 (13,747) 1 1,420 1,475 15,049 Planning office 2,807 2, , Total (9,347) 4,112 (13,462) 4 3,437 2,266 15,049 Total Executive Management 21,217 20,036 (1,212) 2,392 17,817 18,472 15,072 FISCAL OPERATIONS Bad debts and collections Business and financial services 15,811 7,172 8, ,865 6, Cashiers office Total 16,402 7,684 8, ,236 6, Conflict of interest 2, , , (0) Audit and management advisory services 1,480 1, , Total Fiscal Operations 20,804 9,097 11, ,688 8,176 1,059 GENERAL ADMINISTRATIVE SERVICES Environmental health and safety Health and safety 8,260 1,366 6, ,839 4,790 1,369 Lifeguard service Total 8,346 1,366 6, ,839 4,876 1,369 Information systems Administrative computing 16,152 9,541 6, ,627 7, Personnel Affirmative action programs Employee assistance program (0) Human resources 6,192 5, ,239 3,574 8,621 Total 7,094 5,909 1, ,831 3,884 8,621 39

42 University of California, San Diego (Dollars in Thousands) CURRENT FUNDS EXPENDITURES BY DEPARTMENT Current Funds Distribution Total Unrestricted Restricted Salaries and Wages Other Expenditures Recharges General Designated Other Administrative records Association memberships Campus sculpture collection (0) Campus-wide employee support program (2,903) -- (2,903) ,903 Campus-wide program expenses 2,331 1, ,239 0 Clinical science building Debt service insurance premium Deep sea g drilling project Estancia la jolla hotel and spa Foreign scholars program President emeritus Real estate development p (654) (130) 543 Science research park ground lease Staff association programs Staff recognition awards Interest refunds to agencies (539) -- (539) (539) -- Student corps services (1) -- (1) Technology transfer and intellectual property services 3, , , Torrey pines center south 960 1,350 (390) , Other support Total 6,483 6,414 (582) 650 4,399 6,378 4,294 Total General Administrative Services 38,075 23,231 14, ,695 23,041 14,662 LOGISTICAL SERVICES Construction management (0) -- (2) 2 4,540 8,921 13,461 Media center (31) -- (34) ,322 Imprints ,078 2,190 3,194 Garage and transportation Campus shuttle p Parking citation collection 1, , , Transportation services-central garage (574) -- (576) ,044 4,374 Total ,206 4,396 Mail and messenger services (124) 3 (136) ,308 2,990 Materiel management Chemistry storehouse (54) -- (54) BFS--sale of surplus property BFS--purchasing 2,335 1,231 1, , BFS--receiving g y 1, BFS--storehouse (13) -- (13) ,593 1,776 Total 3,629 1,859 1, ,224 3,589 3,184 Police 4,698 2,878 1, ,839 2,192 2,333 Telecommunications services (2,828) 505 (3,335) 1 6,286 13,347 22,462 Total Logistical Services 6,015 5, ,282 36,753 52,020 40

43 University of California, San Diego (Dollars in Thousands) CURRENT FUNDS EXPENDITURES BY DEPARTMENT Current Funds Distribution Total Unrestricted Restricted Salaries and Wages Other Expenditures Recharges General Designated COMMUNITY RELATIONS Development Alumni affairs g office 1, , , Social sciences General campus 3, ,672 1,173 6,480 (2,527) 107 School of medicine (0) School of pharmacy Total 6, ,787 1,471 8,519 (2,031) 109 University communications 2,317 1, ,201 1, Publications office Total Community Relations 9,406 2,423 5,488 1,495 10,340 (137) 797 EDUCATIONAL FEE EXPENSE PRORATION -- (30,619) 30, CONTRACTS AND GRANTS ADMINISTRATION (4,934) (1,468) (3,466) (4,934) -- COMPENSATED ABSENCES ACCRUAL (14) (155) (32) -- Total Institutional Support 90,538 27,791 58,012 4,736 93,332 82,138 84,932 OPERATION AND MAINTENANCE OF PLANT Administration 1,907 3,241 (1,336) 2 2,932 7,374 8,400 Building maintenance 11,800 11, ,468 14,148 4,816 Chancellor's house maintenance Deferred maintenance projects 2, , , EHS hazardous waste disposal 1,794 1, ,326 1,375 Grounds maintenance 2,668 2, ,354 4,457 4,143 Janitorial service 7,844 7, ,022 9,657 6,835 Plant service (539) -- (539) -- 3,717 35,384 39,639 Purchased utilities 25,500 25, ,674 34,156 10,330 Refuse disposal Utilities operation 8,733 5,033 3, ,733 (0) Educational fee expense proration -- (19,711) 19, Contracts and grants administration (26) (33) (26) -- Compensated absences accrual (75) (5) (70) -- (70) (5) -- Total Operation and Maintenance of Plant 62,982 37,307 25, , ,565 75,640 STUDENT FINANCIAL AID Student financial aid 212,143 10, ,264 99, , Scholarship allowance (129,494) -- (129,494) (129,494) -- Total Student Financial Aid 82,649 10,884 (28,230) 99, ,

44 University of California, San Diego (Dollars in Thousands) CURRENT FUNDS EXPENDITURES BY DEPARTMENT Current Funds Distribution AUXILIARY ENTERPRISES Total Unrestricted Restricted Salaries and Wages Other Expenditures Recharges General Designated APPARTMENTS Administration ,426 (6,706) 4,244 Coast apartments Faculty apartments La jolla del sol apartments 2, , ,863 (0) Marshall college apartments 6, , , Muir apartments p 1, , , Matthews apartments 3, , , Mesa apartments p 3, , , Rita atkinson apartments Roosevelt international house apartments 2, , , South mesa apartments 1, , , Pepper canyon apartments 2, , , Village east apartments 1, , , Village west apartments 2, , , Warren apartments 3, , , Total 34, , ,483 24,969 6,088 RESIDENENCE HALLS Eleanor roosevelt residence halls 1, , , Marshall college residence halls 5, , ,186 4, Muir residence halls 6, , ,321 5, One miramar administration and clerical 1, , , Revelle residence halls 9, , ,779 10,784 3,686 Roosevelt residence halls 4, , ,049 4, Scripps lunch room (164) -- (164) (164) -- Warren college residence halls 6, , ,228 5, Total 36, , ,795 34,389 5,859 OTHER y Auxiliary enterprises manager ,331 1,649 2,292 Bike shop Birch aquarium museum and bookshop Birch aquarium-splash café Bookstore 23, , ,077 29,854 10,366 Catering and food services (308) -- (308) (408) (0) Club med snack bar (700) -- (700) (700) -- Day care center 3, , ,717 3,374 1,744 Grove cafe (170) -- (171) Mac's place (1) -- (1) (1) -- Muir college sundry shop Parking and transportation services 14, , ,888 21,337 12,178 Revelle sundry gift shop and coffee house Triton outfitters Price center operations Game room Mail services Vending machine operations Contracts and grants administration (232) -- (232) (232) -- Compensated absences accrual (24) -- (24) -- (21) (3) -- Total 42, , ,794 56,626 27,238 Total Auxiliary Enterprises 112, , , ,984 39,185 ELIMINATED CAPITAL EXPENDITURES (90,018) (11,764) (34,353) (43,900) -- (90,018) 0 Total Current Funds Expenditures $ 2,730,977 $ 319,155 $ 1,597,945 $ 813,877 $ 1,481,492 $ 1,618,987 $ 369,503 42

45 CURRENT FUNDS EXPENDITURES BY DEPARTMENT FINANCIAL AID

46 University of California, San Diego (Dollars in Thousands) CURRENT FUNDS EXPENDITURES BY DEPARTMENT - FINANCIAL AID Current Funds Distribution Total Unrestricted Restricted General Designated Salaries and Wages Other Expenditures Recharges STUDENT FINANCIAL AID GRADUATE SCHOOL OF INTERNATIONAL RELATIONS AND PACIFIC STUDIES $ 536 $ -- $ 380 $ 156 $ 6 $ 530 $ -- JACOBS SCHOOL OF ENGINEERING Mechanical and aerospace engineering Bioengineering 1, , California institute--telecommunications and information technology Computer science and engineering Electrical and computer engineering (1) Structural systems project Total 2, , , RADY SCHOOL OF MANAGEMENT 1, , , SCHOOL OF MEDICINE Dean's office 7, ,523 (462) (2) 7, Anesthesiology y Cellular and molecular medicine 1, , , Family and preventive medicine Medicine 3, , , Neurosciences 1, (437) 1, , Outreach communication Organized research units Anthropogen Cancer center Clinical translational research institute Institute for research on aging Research g in biostructures-medical Pathology Pediatrics Pharmacology 1, , , Physical sciences Psychiatry 1, , , Radiology Reproductive g medicine Surgery Total 17, ,696 10, , SCHOOL OF PHARMACY AND PHARMACEUTICAL SCIENCES 2, , , CAMPUS-WIDE DEPARTMENTS Anthropology Biological sciences 2, , , Chemistry and biochemistry 1, ,612 (9) 1, Communication Create International studies Economics Ethnic studies History Literature Mathematics Music Organized research units Centers Comparative immigration studies Iberian-latin american studies Magnetic p recording Research in language Super Computer United states-mexican studies Institutes Biomedical engineering

47 University of California, San Diego (Dollars in Thousands) CURRENT FUNDS EXPENDITURES BY DEPARTMENT - FINANCIAL AID Current Funds Salaries and Wages Distribution Other Expenditures Total Unrestricted Restricted Recharges General Designated Engineering in medicine Global conflict and cooperation Neural computation Cognitive science Education studies Nano engineering (3) Philosophy Physicial science Physics (75) Political science Psychology Social sciences Sociology Theatre and dance Visual arts Total 6, , , SCRIPPS INSTITUTION OF OCEANOGRAPHY Marine resources p y y Research divisions Geosciences research division Marine biology research division Marine research division Sea stipend The g SIO department g p Total 2, , , OTHERp y p Eleanor roosevelt p college Warren college Office of graduate studies and research 28,791 9,572 13,201 6, , Student financial services 148, ,317 70, , Summer session Total 177,444 9,767 91,541 76, , Subtotal Student Financial Aid 212,143 10, ,264 99, , Less: scholarship allowance (129,494) -- (129,494) (129,494) -- Total Student Financial Aid $ 82,649 $ 10,884 $ (28,230) $ 99,995 $ 725 $ 81,924 $ -- 45

48 CURRENT FUNDS EXPENDITURES BY FUND SOURCE

49 (Dollars in Thousands) University of California, San Diego CURRENT FUNDS EXPENDITURES BY FUND SOURCE Current Funds Distribution Total Unrestricted Restricted Salaries and Wages Other Expenditures Recharges GENERAL FUNDS (1) Instruction $ 161,289 $ 161, $ 194,029 $ (32,741) $ (1) Research 23,453 23, ,417 7, Public service 4,290 4, ,120 2, Academic support 48,366 48, ,466 13, Medical Center 6,208 6, , Student services ,875 (6,875) 0 Institutional support 27,587 27, ,341 (10,481) 273 Operation and maintenance of plant 37,078 37, ,816 55,206 29,944 Student financial aid 10,884 10, , Auxiliary enterprises Total General Funds 319, , ,188 45,205 30,239 TUITION AND FEES Instruction 169, , , ,021 4,984 Research Public service 1,088 1, Academic support 14,690 14, ,109 10, Medical Centers Student services 54,653 54, ,051 34,602 0 Institutional support 30,833 30, ,670 0 Operation and maintenance of plant 20,023 20, , Student financial aid (11,923) (11,923) (11,964) -- Auxiliary enterprises Total Tuition and Fees 280, , , ,910 5,349 47

50 (Dollars in Thousands) University of California, San Diego CURRENT FUNDS EXPENDITURES BY FUND SOURCE Current Funds Distribution Total Unrestricted Restricted Salaries and Wages Other Expenditures Recharges FEDERAL GOVERNMENT Appropriations Research Public service Academic support Total Grants Instruction 4, ,795 2,201 2, Research 423, , , ,424 (41) Public service 3, ,419 1,995 1,424 0 Academic support 4, , , Medical Centers Student services 5, ,683 1,661 4, Institutional support Operation and maintenance of plant Student financial aid 84, , ,011 0 Auxiliary enterprises Total 526, , , ,973 (41) Contracts Instruction Research 16, ,919 8,760 8, Public service Academic support Medical Centers Student services Institutional support Operation and maintenance of plant Student financial aid Total 16, ,933 8,760 8, Total Federal Government 543, , , ,145 (41) 48

51 (Dollars in Thousands) University of California, San Diego CURRENT FUNDS EXPENDITURES BY FUND SOURCE Current Funds Distribution Total Unrestricted Restricted Salaries and Wages Other Expenditures Recharges SPECIAL STATE APPROPRI- ATIONS AND CONTRACTS (2) Instruction 1, , , Research 31, ,793 14,581 17,213 0 Public service 1, , Academic support Medical Centers Student services Institutional support Operation and maintenance of plant Student financial aid 3, , , Auxiliary enterprises Total Special State Appropriations and Contracts 40, ,680 16,802 23,878 0 LOCAL GOVERNMENT Instruction Research 4, ,438 2,015 2, Public service 8, ,024 3,999 4, Academic support Medical Centers Student services Institutional support Operation and maintenance of plant Student financial aid Auxiliary enterprises Total Local Government 12, ,493 6,044 6, PRIVATE GIFTS, GRANTS AND CONTRACTS Instruction 9, ,993 4,025 4,979 0 Research 181, ,757 91,360 90, Public service Academic support 3, , ,747 (0) Medical Center Student services 1, , , Institutional support 5,090 1,410 3,680 4, Operation and maintenance of plant Student financial aid 10, , , Auxiliary enterprises Total Private Gifts, Grants and Contracts 211,899 1, , , ,

52 (Dollars in Thousands) University of California, San Diego CURRENT FUNDS EXPENDITURES BY FUND SOURCE Current Funds Distribution Total Unrestricted Restricted Salaries and Wages Other Expenditures Recharges ENDOWMENT AND SIMILAR FUNDS Instruction 10,534 10, ,131 6,397 (7) Research 8,040 5,639 2,401 4,136 3,904 (0) Public service Academic support 8,871 7, ,797 7,074 0 Medical Center Student services (34) Institutional support 22,313 21, ,053 12, Operation and maintenance of plant 2,042 1, , Student financial aid 2, , , Auxiliary enterprises 1,609 1, , Total Endowment and Similar Funds 56,020 49,589 6,431 20,486 35, SALES AND SERVICES OF EDUCATIONAL ACTIVITIES Instruction 199, , ,978 53,096 54,018 Research 1,899 1, , Public service Academic support 140, , , ,866 59,287 Medical Centers Student services 3,707 3, ,809 2, Institutional support Operation and maintenance of plant Student financial aid Auxiliary enterprises Total Sales and Services of Educational Activities 346, , , , ,861 SALES AND SERVICES OF AUXILIARY ENTERPRISES Instruction Academic support Student services 1,441 1, Institutional support Operation and maintenance of plant Student financial aid (22,135) (22,135) (22,135) -- Auxiliary enterprises 107, , , ,653 34,271 Total Sales and Services of Auxiliary Enterprises 87,226 87, ,118 87,430 34,322 50

53 (Dollars in Thousands) University of California, San Diego CURRENT FUNDS EXPENDITURES BY FUND SOURCE Current Funds Distribution Total Unrestricted Restricted Salaries and Wages Other Expenditures Recharges SALES AND SERVICES OF MEDICAL CENTERS Medical Center 786, , , ,488 23,345 Student financial aid Total 786, , , ,488 23,345 OTHER SOURCES Instruction 7,429 7, ,452 4, Research 6,184 6, (1,568) 10,350 2,598 Public service Academic support 10,775 10, ,306 20,239 18,769 Medical Center Student services 7,705 7, ,379 8,804 5,478 Institutional support (2,791) (2,791) -- 40,090 41,643 84,524 Operation and maintenance of plant 3,446 3, ,061 42,080 45,696 Student financial aid (311) (311) (325) -- Auxiliary enterprises 1,764 1, ,048 4,630 4,914 Total Other Sources 34,796 34, , , ,182 RESERVES Instruction 3,452 3, ,148 1,309 4 Research 1,030 1, Public service Academic support 4,213 4, , Medical Centers Student services Institutional support 2,253 2, , Operation and maintenance of plant Student financial aid Auxiliary enterprises Total Reserves 11,497 11, ,974 8, Total Current Funds Expenditures $ 2,730,977 $ 1,917,100 $ 813,877 $ 1,481,492 $ 1,618,987 $ 369,503 (1) Excludes State Specific General Funds (2) Includes State Specific General Funds 51

54 CURRENT FUNDS EXPENDITURES BY EXPENDITURE CATEGORY BY FUND SOURCE

55 University of California, San Diego (Dollars in Thousands) TUITION AND FEES CURRENT FUNDS EXPENDITURES BY EXPENDITURE CATEGORY BY FUND SOURCE Salaries Employee Supplies Total and Wages Benefits and Services Travel Regular session $ 228,229 $ 35,034 $ 10,211 $ 180,723 $ 2,261 Summer session 11,968 4, , University extension and continuing education 40,270 20,154 4,280 14,739 1,097 Total 280,467 59,903 15, ,089 3,455 FEDERAL GOVERNMENT Grants 526, ,853 49, ,158 10,955 Contracts 16,933 8,761 2,243 5, Total 543, ,614 52, ,636 11,406 STATE GOVERNMENT Appropriations and contracts 40,680 16,802 3,665 19, General 319, ,188 77,182 (66,628) 4,412 Total 359, ,990 80,847 (47,026) 5,023 LOCAL GOVERNMENT 12,492 6,044 1,905 3,396 1,147 PRIVATE GIFTS, GRANTS AND CONTRACTS Gifts 52,448 23,314 5,337 21,106 2,691 Grants 38,220 16,827 4,372 15,878 1,143 Contracts 121,230 61,236 15,243 40,849 3,902 Total 211, ,377 24,952 77,833 7,736 ENDOWMENT AND SIMILAR FUNDS 56,021 20,486 5,633 27,903 1,998 SALES AND SERVICES OF EDUCATIONAL ACTIVITIES Medical group activities 322, ,232 45,032 26,314 3,073 Other 24,228 44,647 12,317 (34,062) 1,326 Total 346, ,879 57,349 (7,748) 4,399 SALES AND SERVICES OF AUXILIARY ENTERPRISES Parking operations 12,543 2,772 1,233 8, Residence and dining halls 62,982 20,569 8,031 34, Bookstore 24,334 4,229 1,308 18, Other (12,632) 6,549 2,200 (21,460) 79 Total 87,227 34,119 12,772 39, SALES AND SERVICES OF UCSD MEDICAL CENTER 786, , , ,109 1,125 OTHER SOURCES 34,800 64,185 28,795 (62,528) 4,348 RESERVES 11,496 2, , Total Current Funds Expenditures $ 2,730,977 $ 1,481,492 $ 381,186 $ 826,790 $ 41,508 Note: The Schedule of Current Funds Expenditures by Expenditure Category by Fund Source reflects amounts net of the reclassification of capital expenditures and scholarship allowances. 53

56 CURRENT FUNDS EXPENDITURES BY DEPARTMENT LOC O

57 University of California, San Diego - Location "O" (Dollars in Thousands) CURRENT FUNDS EXPENDITURES BY DEPARTMENT Current Funds Distribution Total Unrestricted Restricted General Designated Salaries and Wages Other Expenditures Recharges RESEARCH Global conflict $ 2 $ -- $ 2 $ -- $ 2 $ -- $ -- Biology White mountain research station Total PUBLIC SERVICE Mathematics diagnostic testing project ACADEMIC SUPPORT White mountain research station STUDENT FINANCIAL AID Organized research unit California space Total Current Funds Expenditures $ 1,044 $ 687 $ 357 $ -- $ 517 $ 610 $ 83 Note: Location "O" activity represents expenditures for U.C. Office of the President programs conducted at the San Diego campus. This activity is not included in the campus financial schedule totals. 55

58 LONG-TERM DEBT SCHEDULES

59 COMBINED SCHEDULE OF LONG-TERM DEBT FOR THE SAN DIEGO AND OFFICE OF THE PRESIDENT HELD DEBT (Dollars in Thousands) Outstanding Outstanding Interest Maturity Recorded at Recorded at Total Rate Years the campus UCOP June 30, 2011 Capital lease obligations % , , ,824 Mortgages and other borrowings various , , ,525 Revenue bonds Medical center % , ,167 General revenue bonds 4.9% ,725 1,074,863 1,078,588 Multi-purpose projects 5.1% ,321 34,321 Third party debt 64, ,862 Total External Long Term Debt $ 322,930 $ 1,416,357 $ 1,739,287 Regents' loans 6.5% $ 367 $ -- $ 367 Total Long Term Debt $323,297 $1,416,357 $1,739,654 Note: in some cases, the interest rate represents the weighted average rate. Note: Regents' Loans (Internal borrowings) not reflected on Statement of Net Assets (page3) SUMMARY OF CURRENT AND NONCURRENT LIABILITIES (Dollars in Thousands) Current Portion of Long Term Debt $ 15,200 $ 42,067 $ 57,267 Long Term Debt 307,730 1,374,290 1,682,020 Total Long Term Debt $ 322,930 $ 1,416,357 $ 1,739,287 57

60 (Dollars in Thousands) SCHEDULE OF THE SAN DIEGO CAMPUS LONG TERM DEBT RECORDED AT OFFICE OF THE PRESIDENT Outstanding Additions/ Outstanding FY 10/11 July 1, 2010 Adjustments Repayments June 30, 2011 Interest Mortgages and Other Borrowings Clinical & translational research institute $ -- $ 3,001 $ -- $ 3,001 $ -- East campus office building -- 11, , Health sciences biomed research facility -- 12, , Management school facility phase , , Marine ecosystem sensing laboratory -- 1, , Muir college apartments -- 18, , Muir stewart commons renovation 41 (41) Original student center expansion 6,286 (6,286) Revelle college apartments 13,504 20, , Robert paine scripps center -- 1, ,300 9 SEP program: state operating -- 3, , Telemed & prime-heq education facility -- 20, , Total Mortgages and Other Borrowings 19,831 89, , Capital Lease Obligations Bonner hall improvements 4, , California institute of telecommunications and information technologies, series c (2005) 51, ,570 49,900 2,551 Central library addition 25, ,728 23, Engineering building unit II, series b (1993) & a (2001) 12, , Engineering building unit III B, series f (2004) 33, ,025 1,618 Graduate school of international relations and pacific studies--robinson complex 2, , Management school facility phase 2 30, ,265 1,609 Medical center inpatient tower completion 29, ,038 27, Medical center north annex seismic replacement 4, , Scripps institution of oceanography pier and seawater holding tanks 1, , Social sciences building construction 5, , Visual arts facility 8, , Total Capital Lease Obligations 207, , ,772 9,583 Revenue Bonds Variable Rate Demand (Pool 4) Deferred maintenance 3, ,162 1, Variable Rate Demand (Pool 5) Deferred maintenance 3, , Variable Rate Demand (Pool 6) Deferred maintenance 3, , Variable Rate Demand (Pool 8) Deferred maintenance 2, , Variable Rate Demand (Pool 9) W. m. keck building (fmri) W. m. keck building equipment (fmri) Total Pool Variable Rate Demand (Pool 10) Eleanor roosevelt college housing and dining 38, ,785 21,845 1,053 Powell-focht bioengineering hall 2, , Science research park infrastructure 1, Total Pool 10 43, ,675 25,615 1,236 Revenue Bonds (continued) General Revenue Bond (2003 A) Bookstore 2, ,

61 (Dollars in Thousands) SCHEDULE OF THE SAN DIEGO CAMPUS LONG TERM DEBT RECORDED AT OFFICE OF THE PRESIDENT Outstanding Additions/ Outstanding FY 10/11 July 1, 2010 Adjustments Repayments June 30, 2011 Interest Cellular and molecular medicine east 17, , La jolla del sol 14, ,741 12, North campus recreation area 1, , Parking and roadway improvements, phase I (pool 1) 2, , Parking and roadway improvements (pool 1b) 12, ,013 10, Price center 5, , Roger and ellen revelle laboratory 2, ,068 1, Student residence halls and apartments 14, ,795 12, UCHS (originally series a) 7, ,426 6, UCHS refurbishment (pool 1) 2, , Total General Revenue Bond (2003 A) 82, ,399 72,996 4,067 General Revenue Bond (2003 B) Biology field station/site development 2, , Campus ambulatory care center 1, , Campus services complex, phase I 2, , Clinical sciences building 10, , Early childhood education center 1, , Early childhood education center expansion Managed care Medical center ambulatory care center 6, , Medical center cardiac care unit expansion and modernization 1, , Medical center eleventh floor operating room Medical center outpatient center renovations and cardiac catheterization suite expansion 2, , Medical center west wing renovations Parking and roadway improvements, phase III 2, , Shiley eye center 2, , Torrey pines center north 8, , Torrey pines center south 5, , Total General Revenue Bond (2003 B) 51, ,181 48,366 2,533 General Revenue Bond (2005 C) California institute of telecommunications and information technologies (cal it2) 18, , Student Academic Services Facility Miramar warehouse 6, , Multi-purpose building 17, , Skaggs school of pharmacy and pharmaceutical sciences 11, , Rebecca & john moores ucsd cancer center 42, ,223 1,996 Total General Revenue Bond (2005 C) 96, ,823 94,204 4,562 General Revenue Bond (2005 D) Central utilities plant steam turbine generator and chiller 4, , General Revenue Bond (2005 E) Deferred maintenance B General Revenue Bond (2005 G) Student academic services facility 3, , General Revenue Bond (2005 I) California institute of telecommunications and information technologies (cal it2) Student academic services facility Total General Revenue Bond (2005 I) General Revenue Bond (2007 J) 59

62 (Dollars in Thousands) SCHEDULE OF THE SAN DIEGO CAMPUS LONG TERM DEBT RECORDED AT OFFICE OF THE PRESIDENT Outstanding Additions/ Outstanding FY 10/11 July 1, 2010 Adjustments Repayments June 30, 2011 Interest Central utilities cogeneration addition 25, ,230 1,204 Eleanor roosevelt college housing and dining 46, ,480 2,132 Gilman parking 16, , Torrey pines center north - parking 10, , Torrey pines center south 16, , W. m. keck building (fmri) 2, , W. m. keck building equipment (fmri) Powell-focht bioengineering hall 3, , Science research park infrastructure 2, , Leichtag family foundation biomedical building 36, ,763 1,712 Science and engineering research facility 19, , Total General Revenue Bond (2007 J) 182, , ,120 8,458 General Revenue Bond (2007 K) Nierenberg hall 2, , Recreational/intramural and athletic complex 21, ,007 20,337 1,037 Warren college residence halls 24, ,135 22,939 1,169 Total General Revenue Bond (2007 K) 47, ,242 45,305 2,309 General Revenue Bond (2008 L) SIO storm/seawater management 7, , General Revenue Bond (2009 O) Deferred maintenance 9, , Housing and dining services administration building 22, ,155 1,208 North campus housing 112,480 1, ,730 6,037 Robert paine scripps center 2, , San diego supercomputer center expansion 45, ,150 2,462 University centers expansion/renovation 65,885 1,025 64,860 3,536 Total General Revenue Bond (2009 O) 258, , ,595 13,871 General Revenue Bond (2009 P) W. m. keck building equipment (fmri) 1, , Leichtag family foundation biomedical building 4, ,114 3, Total General Revenue Bond (2009 P) 5, ,114 4, General Revenue Bond (2009 Q) Cogeneration plant expansion 5, , Health sciences biomedical research facility 1, , Health sciences graduate and professional student 6, , housing -- Marine ecosystem sensing laboratory Muir college apartments 1, , Muir stewart commons dining renovation 1, , North campus housing phase 2 10, , Revelle college apartments 2, , SEP program: recreation fee SEP program: state operating 11, , Telemedicine and prime-heq ed facility 1, , Total General Revenue Bond (2009 Q) 42, ,770 1,227 General Revenue Bond (2009 R) Cogeneration plant expansion 5, , Health sciences biomedical research facility 13, , Health sciences graduate and professional student 58, ,645 2,071 housing -- Marine ecosystem sensing laboratory Muir college apartments 11, ,655 1,334 60

63 (Dollars in Thousands) SCHEDULE OF THE SAN DIEGO CAMPUS LONG TERM DEBT RECORDED AT OFFICE OF THE PRESIDENT Outstanding Additions/ Outstanding FY 10/11 July 1, 2010 Adjustments Repayments June 30, 2011 Interest Muir stewart commons dining renovation 8, , North campus housing phase 2 83, ,215 1,738 Revelle college apartments 15, , Telemedicine and prime-heq ed facility Total General Revenue Bond (2009 R) 197, ,975 7,539 General Revenue Bond (2010 S) Biology field station Campus energy conservation, phase1 1, , Campus services complex, phase Clinical sciences building Central utilities cogeneration addition Central utilities plant steam turbine generator and chiller Functional mri center Miramar warehouse Multipurpose building Pharmaceutical sciences building Nierenberg hall Robert paine scripps center San diego dm & fr program, fy Science research park infrastructure SIO storm/seawater management Student academic services facility San diego supercomputer center expansion 1, , Torrey pines center-north Torrey pines center-south 1, , Rebecca & john moores ucsd cancer center 1, , Total General Revenue Bond (2010 S) 9, , General Revenue Bond (2010 T) Student academic services facility General Revenue Bond (2010 U) Eleanor roosevelt college housing and dining -- 14, , Inst.of Geo./Planetary PhysicsIGPP Science research park infrastructure Student academic services facility Total General Revenue Bond (2010 U) -- 16, , LPR (2005 B) Hopkins Parking Structure 20, ,381 17, LPR (2007 D) East Campus Graduate Housing 72, ,115 3,552 LPR (2010 E) Hopkins Parking Structure -- 3, , Total Revenue Bonds 1,141,354 19,638 51,808 1,109,184 52,878 Total Long Term Debt Recorded at the Office of the President $ 1,368,951 $ 109,208 $ 61,802 $ 1,416,357 $ 62,498 61

64 SCHEDULE OF THE SAN DIEGO CAMPUS LONG TERM DEBT RECORDED AT THE SAN DIEGO CAMPUS (Dollars in Thousands) Outstanding Additions/ Outstanding FY 10/11 July 1, 2010 Adjustments Repayments June 30, 2011 Interest Regents' Loans Bachman canyon lot $ 277 $ -- $ -- $ 277 $ -- Science research park Student health center Total Regents' Loans Capital Lease Obligations Equipment - campus 6, ,631 5, Equipment - medical center 17,775 15,666 5,523 27, SPWB hillcrest seismic improvement 39, ,040 38,905 1,769 Total Capital Lease Obligations 64,506 15,740 8,194 72,052 2,541 Mortgages and Other Borrowings Rebecca and john moores ucsd cancer center 2, , Revenue Bonds Cardiovascular center/thornton expansion 123, ,715 7,938 Moores cancer center 19, , Solar energy projects GRB2010W -- 3, , Thornton hospital MCPRB2010G -- 37, , Thornton hospital 44, , ,123 Total Revenue Bonds 187,480 41,225 44, ,892 10,786 Third Party Debt 64, , San Diego Campus $ 319,562 $ 56,965 $ 53,230 $ 323,297 $ 13,358 SUMMARY SCHEDULE OF LONG TERM DEBT (Dollars in Thousands) Outstanding Additions/ Outstanding FY 10/11 July 1, 2010 Adjustments Repayments June 30, 2011 Interest Total Long Term Debt Recorded at the San Diego Campus $ 319,562 $ 56,965 $ 53,230 $ 323,297 $ 13,358 Total Long Term Debt Recorded at the Office of the President 1,368, ,208 61,802 1,416,357 62,498 Total Long Term Debt $ 1,688,513 $ 166,173 $ 115,032 $ 1,739,654 $ 75,856 62

65 University of California, San Diego practices the Principles of Community that provides a framework for diversity and affirms the unique contribution of each member of the UCSD community. Compiled and edited by UCSD Business & Financial Services