MINUTES OF THE FINANCE COMMITTEE OF THE UNIVERSITY OF LOUISVILLE BOARD OF TRUSTEES. May 23, In Open Session

Transcription

1 MINUTES OF THE FINANCE COMMITTEE OF THE UNIVERSITY OF LOUISVILLE BOARD OF TRUSTEES May 23, 2013 In Open Session Members of the Finance Committee of the University of Louisville Board of Trustees met at 2:18 p.m. on May 23, 2013, in the Jefferson Room of Grawemeyer Hall, with members present and absent as follows: Present: Ms. Phoebe Wood, Chair Mr. Robert W. Rounsavall, III Dr. Larry Benz Dr. Emily Bingham Ms. Dhiane Bradley Dr. Robert Curtis Hughes Ms. Carrie Mattingly Dr. William Selvidge Other Trustees Present: Ms. Marie Abrams Mr. Ron Butt Mr. Jonathan Blue Dr. Kevin Cosby Mr. Douglas Hall Mr. Bruce Henderson Mr. Frank Minnifield Ms. Brucie Moore Dr. Jody Prather Ms. Debbie Scoppechio Mr. Joe Steffen From the University: Dr. James R. Ramsey, President Dr. Shirley Willihnganz, Executive Vice President and Provost Dr. David Dunn, EVP for Health Affairs Dr. William Pierce, EVP for Research and Innovation Ms. Angela D. Koshewa, University Counsel Mr. Michael J. Curtin, Vice President for Finance Mr. Daniel Hall, Vice President for Community Engagement Ms. Shannon Staten, Director, Residence Administration Mr. Keith Inman, Vice President for University Advancement Mr. Sam Connally, Vice President for Human Resources Dr. Priscilla Hancock, Vice President for Information Technology Ms. Becky Simpson, Senior Assoc. VP, University Advancement Mr. Mark Hebert, Director, Media Relations Ms. Carolyn Cochran, Assistant to the Provost Ms. Susan Howarth, Director of Budget, Vice President for Finance

2 Mr. John Drees, Director of Communications, Belknap Campus Ms. Anne Rademaker, Manager, General Accounting and Reporting Mrs. Trisha W. Smith, Director of Special Projects Mrs. Kathleen Smith, Assistant Secretary Mr. Jake Beamer, Interim Boards Liason I. Call to Order Having determined a quorum present, Chair Wood called the meeting to order at 2:18 p.m. II. Consent Agenda Approval of Minutes Approval of Minutes, March 7, 2013 Information Item: Vice President for Finance s report on the Interim Financial Statements for Period Ending March 31, 2013 Information Item: Interim Financial Statements for Period Ending March 31, 2013 Chair Wood read the consent agenda. Hearing no opposition, Dr. Benz made a motion, which Ms. Mattingly seconded, to approve the consent agenda. The motion passed. III. Workshop: Approval of Budget President Ramsey and Chair Wood thanked Vice President Curtin and Ms. Howarth for their excellent work in the development of the budget. The budget review is a year-long procedure, preparing scenarios and working to develop the best possible operating budget for the direction of the University. Vice President Curtin and Ms. Howarth received a round of applause. President Ramsey discussed how the operating budget is the first in a number of years to be based on a state appropriation without a negative adjustment. Revenue is coming from the Health Sciences TIF, transferring $2 million to help support the budget, and the Voluntary Separation Incentive Program, which should generate a conservative estimate of $2.75 million in savings. This will be the first time in a while that the budget includes a 4% recurring salary increase for faculty and staff. Vice President Curtin discussed the budget principles at the University, stating it is open and transparent. Mr. Curtin and a university administrative group meet with all the campus constituencies Faculty and Staff Senates, Student Government Association, Deans, VP s and others. He expressed confidence the University can meet its revenue projections. Ms. Howarth provided an analysis, detailing the major forces affecting the budget. Mr. Curtin and Ms. Howarth referenced tuition rates and discussed the 3% tuition and housing increase; it will be the lowest percentage increase in 14 years. They then compared UofL s tuition rates with its benchmark institutions. Vice President Curtin fielded questions concerning the University s reserve fund, maintenance and operations for new buildings, etc. Board members commended the administration for

3 dealing with the fiscal constraints in a very tough economic environment. Chair Wood thanked Vice President Curtin and his staff for an excellent job. Mr. Benz made a motion, which Dr. Hughes seconded, to approve the. Approval of Student Fees and Tuition President s recommendation that the Board of Trustees approve tuition and fee increases and related changes per the attached schedules for the Academic Year (AY) The recommendation is the result of much deliberation and consultation with the various constituency groups across campus and is within the tuition increase parameters established by the Council on Postsecondary Education. TUITION RATE INCREASES: Percent Increase Tuition Category Resident Non-Resident Undergraduate 3.0% 3.0% Graduate 5.0% 5.0% Law 5.0% 2.2% Dentistry 8.0% 7.0% Medicine 7.0% 8.0%

4 University of Louisville Proposed Regular Tuition Schedule Semester Rates Change Amount Percent Undergraduate Resident 4,733 4, % Nonresident 11,475 11, % Special Fort Knox Rate (per credit hour) % Graduate Resident 5,137 5, % Nonresident 10,689 11, % Special Fort Knox Rate (per credit hour) % Law (Full-time Program) Resident 8,847 9, % Nonresident 16,933 17, % Annual Rates Change Amount Percent Medicine Resident 31,512 33,718 2, % Nonresident 47,452 51,250 3, % Dentistry Resident 26,430 28,546 2, % Nonresident 55,606 59,500 3, %

5 University of Louisville Proposed Special Tuition Schedule Semester Rates Change Amount Percent Intensive English as a Second Language (IESL) Full-time Day Program 4,392 4, % Urban Planning and Public Administration Programs Resident 6,037 6, % Nonresident 11,589 12, % Distance Education (per credit hour) Undergraduate % Graduate % Graduate - Urban Planning & Public Admin % Law, full-time 1,015 1, % Law, part-time % Special Fort Knox Rate % Fixed Price Programs (multi-semester) Change Amount Percent Professional MBA Cohort Program Resident 32,000 32, % Nonresident 32,000 32, % Full-time MBA Cohort Program Resident 32,000 32, % Nonresident 32,000 32, % IMBA Cohort Program Resident 32,000 32, % Nonresident 32,000 32, % Masters in Accountancy Program Resident 21,000 21,000 0 n/a Nonresident 21,000 21,000 0 n/a Certificate Program in Accountancy Resident 12,900 12, % Nonresident 12,900 12, % Ed.D. Practitioner Resident 16,200 16, % Nonresident 16,200 16, % M.S. in Human Resources and Organization Development Resident 0 16,500 16,500 n/a Nonresident 0 16,500 16,500 n/a Fort Knox - GoArmyEd Rate (per credit hour) n/a New Fees College of Business

6 Post MBA Special Non-Degree Program - $500 per course for UofL Alumni and $1,000 per course for non-uofl degree holders International Business Experience - $5,500 for each participating student Undergraduate Study Abroad - $3,395 for each participating student Computer Information Sciences Program - $30 course fee Essentials in Business computer lab fee - $10 per credit hour for selected courses College of Arts & Sciences High School Visiting Students Flat Rate - $ per credit hour Undergraduate Honor Students special program course fee - $1,500 to $1,900 per each participating student. American Sign Language lab fee - $25 Interpreter Training Program lab fee - $15 I. Changes to Existing Fees College of Arts & Sciences ART 509 lab fee - increase to $50.00 per course per semester Chemistry Lab course fee - increases of $5 to $20 per student per course and add to the courses Chemistry 103 with a $60 per student per course fee. Urban & Public Affairs - add PADM 615 to the courses charging a lab fee of $12.50 per credit hour School of Dentistry Dental Hygiene Instrument Fee increase of $550 per year to $650 per year The motion passed. HOUSING RATES Ms. Bradley made a motion, which Dr. Benz seconded, to approve the President s recommendation that the following rates for the University of Louisville housing units be approved effective July 1,

7 2013. CAMPUS HOUSING RATES Rates are per semester/per student or bed in each unit. 3% increase in rate. Traditional Halls: Semester Rates. Miller, Threlkeld, Unitas, Center, West, Wellness: Double $2,395 Single $2,860 Resident Assistant/live in staff rate: All halls: $2,000 Louisville Hall Suites: Semester Rates. UTA Undergrad Apts: Semester Rates. 6 th floor: double with bath $2,540 2 bedroom, single $2,920 4 th /5 th floors: single room $2,860 2 bedroom, double $2,590 4 th /5 th floors: double room $2,440 1 bedroom, single $3,005 3 bedroom suite $2,490 1 bedroom, double $2,600 2 bedroom suite $2,530 Large Studio, single $2,945 Large Studio, double $2.590 Small Studio, single $2,920 Small Studio, double $2,565 UTA Family Apts. and Medical-Dental Apartments: Monthly Rates. Per unit/family. 2% increase in rate. 2 bedroom $930 each 1 bedroom $820 each Large Efficiency $755 each Small Efficiency $725 each The motion passed. SIX-YEAR CAPITAL PLAN Dr. Selvidge made a motion, which Dr. Benz seconded, to approve the President s recommendation that the list of projects on Attachment A be approved for submission to the Capital Planning Advisory Board as the university s Capital Plan.

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14 The motion passed. Ms. Bradley made a motion, which Dr. Rounsavall seconded, to approve the President s recommendation that the Board of Trustees approve the proposed University operating budget for fiscal year , as attached. The motion passed. IV. Update on ULAA Board Matters Mr. Henderson briefed the Board of Trustees on the University of Louisville Athletic Associations budget. The Board of Directors of ULAA, which includes Trustees Henderson and Butt, went through a similar, rigorous process to resolve its budget. With success comes challenges and growth. Due to the success of our athletic programs, the university has entered the Atlantic Coast Conference where we hope to see the fruits of our labor. The Athletic Director, his assistants, and his staff have the same challenges we are facing here, as well as some unique challenges. They have put forth a lot of effort and have worked hard on their budget, just as we have. Chair Wood thanked Mr. Henderson for his update, and encouraged the Board to attend other budget workshops in which they were invited. III. Adjournment Approved by: Dr Benz made a motion, which Dr. Hughes seconded, to adjourn the meeting at 3:31 p.m. The motion passed. Signature on file Asst. Secretary

15 RECOMMENDATION TO THE BOARD OF TRUSTEES CONCERNING TUITION FEE INCREASES AND RELATED CHANGES FOR AY Finance Committee May 23, 2013 Board of Trustees June 13, 2013 RECOMMENDATION: The President recommends that the Board of Trustees approve tuition and fee increases and related changes per the attached schedules for the Academic Year (AY) The recommendation is the result of much deliberation and consultation with the various constituency groups across campus and is consistent with the tuition increase parameters established by the Council on Postsecondary Education. I. TUITION RATE INCREASES: BACKGROUND: Specifically, the President recommends the following tuition rates for the various enrollment categories of students: Percent Increase Tuition Category Resident Non-Resident Undergraduate 3.0% 3.0% Graduate 5.0% 5.0% Law 5.0% 2.2% Dentistry 8.0% 7.0% Medicine 7.0% 8.0% The recommended tuition rate increase of 3% is consistent with the FY maximum 3% tuition cap for resident undergraduate students approved by the Council on Postsecondary Education (CPE). The CPE also requires the undergraduate non-resident tuition rate be a minimum of two times the resident rate. UofL s proposed FY non-resident undergraduate rate is 2.42 times the resident rate.

16 Some cohort, or fixed priced, programs are exceptions to the above chart. Details of these programs and tuition rates are noted below: The Intensive English as a Second Language (IESL) program, offered by the College of Arts and Sciences will increase the tuition rate to $4,792 from $4,392, an increase of $400. Tuition for this program is necessary to meet cost increases of day-to-day operation of the program and to maintain instructional quality. The College of Education and Human Development plans to offer an M.S. in Human Resources and Organization Development at the Ft. Knox Extended Campus. This 33- hour master s program would be provided at a fixed tuition rate of $16,500. Military personnel enrolled in the GoArmyEd program would continue to be charged the established military tuition rate of $250 per credit hour. The schedule below presents the proposed rates for each category during Academic Year University of Louisville Proposed Regular Tuition Schedule Semester Rates Change Amount Percent Undergraduate Resident 4,733 4, % Nonresident 11,475 11, % Special Fort Knox Rate (per credit hour) % Graduate Resident 5,137 5, % Nonresident 10,689 11, % Special Fort Knox Rate (per credit hour) % Law (Full-time Program) Resident 8,847 9, % Nonresident 16,933 17, % Annual Rates Change Amount Percent Medicine Resident 31,512 33,718 2, % Nonresident 47,452 51,250 3, % Dentistry Resident 26,430 28,546 2, % Nonresident 55,606 59,500 3, %

17 University of Louisville Proposed Special Tuition Schedule Semester Rates Change Amount Percent Intensive English as a Second Language (IESL) Full-time Day Program 4,392 4, % Urban Planning and Public Administration Programs Resident 6,037 6, % Nonresident 11,589 12, % Distance Education (per credit hour) Undergraduate % Graduate % Graduate - Urban Planning & Public Admin % Law, full-time 1,015 1, % Law, part-time % Special Fort Knox Rate % Fixed Price Programs (multi-semester) Change Amount Percent Professional MBA Cohort Program Resident 32,000 32, % Nonresident 32,000 32, % Full-time MBA Cohort Program Resident 32,000 32, % Nonresident 32,000 32, % IMBA Cohort Program Resident 32,000 32, % Nonresident 32,000 32, % Masters in Accountancy Program Resident 21,000 21,000 0 n/a Nonresident 21,000 21,000 0 n/a Certificate Program in Accountancy Resident 12,900 12, % Nonresident 12,900 12, % Ed.D. Practitioner Resident 16,200 16, % Nonresident 16,200 16, % M.S. in Human Resources and Organization Development Resident 0 16,500 16,500 n/a Nonresident 0 16,500 16,500 n/a Fort Knox - GoArmyEd Rate (per credit hour) n/a

18 The Executive Vice President and University Provost join the President in making this recommendation. COMMITTEE ACTION: Passed: X Did not Pass: Other: Date: BOARD ACTION: Passed: X Did not Pass: Other: Date: Signature on file Signature on file Asst. Secretary Asst. Secretary g:\budget\budget development\ \publications\board action items\bot recommendation for tuition rates.docx

19 RECOMMENDATION: RECOMMENDATION TO THE BOARD OF TRUSTEES CONCERNING INCREASE AND APPROVAL OF VARIOUS FEES Finance Committee May 23, 2013 Board of Trustees June 13, 2013 The President recommends that the Board of Trustees approve the new fees and increases to existing fees listed below. I. New Fees College of Business Post MBA Special Non-Degree Program - $500 per course for UofL Alumni and $1,000 per course for non-uofl degree holders International Business Experience - $5,500 for each participating student Undergraduate Study Abroad - $3,395 for each participating student Computer Information Sciences Program - $30 course fee Essentials in Business computer lab fee - $10 per credit hour for selected courses College of Arts & Sciences High School Visiting Students Flat Rate - $ per credit hour Undergraduate Honor Students special program course fee - $1,500 to $1,900 per each participating student. American Sign Language lab fee - $25 Interpreter Training Program lab fee - $15 II. Changes to Existing Fees College of Arts & Sciences ART 509 lab fee - increase to $50.00 per course per semester Chemistry Lab course fee - increases of $5 to $20 per student per course and add to the courses Chemistry 103 with a $60 per student per course fee. Urban & Public Affairs - add PADM 615 to the courses charging a lab fee of $12.50 per credit hour 1

20 School of Dentistry Dental Hygiene Instrument Fee increase of $550 per year to $650 per year BACKGROUND: The University-wide Tuition and Fee Setting Task Force (TFSTF) convenes annually to consider all requests on tuition and fees. This year the task force met regularly for a six month period beginning in Fall of 2012 and submitted the committee s formal recommendations to the University s Leadership in late March. Those items detailed above are the fee recommendations accepted by Leadership and are now forwarded to the Board of Trustees for final approval. The Executive Vice President and University Provost joins the President in making this recommendation. COMMITTEE ACTION: Passed: X Did not Pass: Other: Date: BOARD ACTION: Passed: X Did not Pass: Other: Date: Signature on file Asst. Secretary Signature on file Asst. Secretary G:\Budget\Budget Development\ \Publications\BOT Action Items\BOT Recommendation for Fee Rates.docx 2

21 RECOMMENDATION: RECOMMENDATION TO THE BOARD OF TRUSTEES CONCERNING CAMPUS HOUSING FEES FOR Board of Trustees Finance Committee May 2013 The President recommends the following rates for the University of Louisville housing units be approved effective July 1, CAMPUS HOUSING RATES Rates are per semester/per student or bed in each unit. 3% increase in rate. Traditional Halls: Semester Rates. Miller, Threlkeld, Unitas, Center, West, Wellness: Double $2,395 Single $2,860 Resident Assistant/live in staff rate: All halls: $2,000 Louisville Hall Suites: Semester Rates. UTA Undergrad Apts: Semester Rates. 6 th floor: double with bath $2,540 2 bedroom, single $2,920 4 th /5 th floors: single room $2,860 2 bedroom, double $2,590 4 th /5 th floors: double room $2,440 1 bedroom, single $3,005 3 bedroom suite $2,490 1 bedroom, double $2,600 2 bedroom suite $2,530 Large Studio, single $2,945 Large Studio, double $2.590 Small Studio, single $2,920 Small Studio, double $2,565 UTA Family Apts. and Medical-Dental Apartments: Monthly Rates. Per unit/family. 2% increase in rate. 2 bedroom $930 each 1 bedroom $820 each Large Efficiency $755 each Small Efficiency $725 each

22 BACKGROUND: Campus Housing functions as a full auxiliary unit and is totally responsible to cover all expenditures associated with managing the residence hall facilities on campus with no subsidy from the University. This includes the daily operations as well as repair and replacement of facility equipment, furnishings and structures. The budget reflects a projected increase of 10% over the current fiscal year s expenses for utilities, maintenance of facilities, postal, printing and information technology (phone and data service). Revenue is gained through room rates for the on campus halls, and the affiliation agreement fees with the private communities. Together these help Campus Housing continue upgrading and maintaining the existing facilities, pay daily operational costs, and maintain reserve accounts for Greek Life and residence halls for emergencies and upgrades. Due to the large number of additional rooms available in the last three years through the off-campus communities, Campus Housing projects occupancy in the older residence halls will be approximately 89% for the year. A 3% increase, which reflects approximately $166, in new revenue, should provide the revenue needed. The Task Force on Tuition and Fees (comprised of all constituencies) endorsed the housing rates as listed. The Executive Vice President/University Provost joins the President in making this recommendation. COMMITTEE ACTION: Passed: X Did not Pass: Other: Date: BOARD ACTION: Passed: X Did not Pass: Other: Date: Signature on file Asst. Secretary _ Signature on file Asst. Secretary

23 RECOMMENDATION TO THE BOARD OF TRUSTEES UNIVERSITY OF LOUISVILLE REGARDING SIX-YEAR CAPITAL PLAN Finance Committee May 14, 2015 Board of Trustees June 4, 2015 RECOMMENDATION: The President recommends that the list of projects on Attachment A be approved for submission to the Capital Planning Advisory Board as the university s Capital Plan. Committee Action: Passed: X Did not Pass: Other: Date: Board Action: Passed: X Did not Pass: Other: Date: Signature on file Assistant Secretary

24 CAPITAL AGENCY PLAN Dollar Cost of Projects by Requested Fund Source May 23, 2013 Priority Project Title General Funds Agency Bonds Federal Funds Restricted Funds Other Other Designation Total Amount 1 Construct Belknap Classroom/Academic Building 80,560,000 80,560,000 2 Construct Instructional Building at HSC 35,865,000 35,865,000 71,730,000 3 Renovate Capital Renewal Pool ( ) 68,487,000 68,487,000 4 Expand and Renovate Life Sciences Building 72,015,000 72,015,000 5 Expand and Renovate Student Activities Center 21,460,000 21,460,000 6 Purchase Land Support Services (Northeast Quad) 15,600,000 15,600,000 7 Renovate Medical School Tower 55A, Phase I 34,500,000 34,500,000 8 Renovate Medical Dental Research Building Infrastructure 10,406,000 10,406,000 9 Renovate Guaranteed Energy Savings ( ) 10,000,000 10,000, Renovate Burhans Hall 15,000,000 15,000,000 Construct Administrative Office Building 51,245,000 51,245,000 Construct Artificial Turf for Intramurals 733, ,000 Construct Athletic Academic Support Facility 17,040,000 Private Cash 17,040,000 Construct Athletic Equip/Apparel Storage Fac 750,000 Private Cash 750,000 Construct Athletic Grounds Building 1,500,000 Private Cash 1,500,000 Construct Athletics Office Building 7,400,000 7,400,000 Construct Belknap 3rd Street Improvements 2,180,000 2,180,000 Construct Belknap Brandeis Corridor Imp 3,100,000 3,100,000 Construct Belknap Center Place Plaza 8,840,000 8,840,000 Construct Belknap Century Corridor Improvements 990, ,000 Construct Belknap Floyd St Corridor Improvements 3,930,000 3,930,000 Construct Belknap Stormwater Improvements 5,000,000 5,000,000 Construct Center for Creative Studies 10,193,000 10,193,000 Construct Center for Social Change 13,610,000 Private Cash 13,610,000 Construct Center for the Performing Arts 76,660,000 76,660,000 Construct Clinical/Office Space in West End 3,949,000 3,949,000 Construct College of Business Courtyard/Café 1,819,000 1,819,000 Construct Executive/MBA Business Program 12,000,000 12,000,000 Construct Flexner Way Mall Floyd to Preston 1,720,000 1,720,000 Construct Flexner Way Mall Jackson to Hancock 390, ,000 Private Cash 780,000 Construct Flexner Way Mall Preston to Jackson 445, ,000 Private Cash 890,000 Construct HSC Steam Chilled Water Plant II 36,300,000 36,300,000 Construct Intramural Field Complex 7,780,000 7,780,000 Construct IT Center Data Center 38,000,000 38,000,000 Construct Kosair Medical Office Bldg Fitout 19,745,000 19,745,000 Construct Physical Plant Space in HSC Garage 2,440,000 2,440,000 Construct Utilities, Remove Overhead Lines 10,750,000 10,750,000 Expand Chilled Water and Electrical Ser Upgrade 13,300,000 13,300,000 Expand Rauch Planetarium 3,352,000 3,352,000 Expand Sackett Hall 14,758,000 14,758,000 Expand Schnellenberger Football Complex 7,500,000 Private Cash 7,500,000 Expand and Renovate College of Education Building 60,107,000 60,107,000 last revised 5/16/ :38 PM 1 of 6 Plan TR/ Capital Plan/Restricted Access/version 2/ Cap Plan Submission for May BOT6.xlsx Submission 5/16/ :38 PM

25 CAPITAL AGENCY PLAN Dollar Cost of Projects by Requested Fund Source May 23, 2013 Priority Project Title General Funds Agency Bonds Federal Funds Restricted Funds Other Other Designation Total Amount Expand and Renovate Founders Union Bldg Ph II 19,867,000 19,867,000 Lease Digital Output System(s) 2,500,000 2,500,000 Purchase Additive Microdeposition Machine 825, ,000 Purchase Artificial Turf Practice Field Facility 950,000 Private Cash 950,000 Purchase Automatic Bedding Dispensing & Removal System (RRC) 278, ,000 Purchase Biological Material Deposition Machine 600, ,000 Purchase Bulk Sterilizer (RRC) 421, ,000 Purchase Cage and Rack Washer (A Tower) 220, ,000 Purchase Cage and Rack Washers x2 (RRC) 398, ,000 Purchase Cell Isolation System 600, ,000 Purchase Cell Processing Unit (1) 750, ,000 Purchase Cell Processing Unit (2) 750, ,000 Purchase Computer Processing System(s) 8,000,000 8,000,000 Purchase Console for 18.8 T Nuclear Magnetic Resonance Spectrometer 900, ,000 Purchase Cytof Instrument 600, ,000 Purchase Dematic Robotic Retrieval System x2 2,426,000 2,426,000 Purchase Digital Communication System 6,000,000 6,000,000 Purchase Digital Materials 3 D Printing System 300, ,000 Purchase Direct Metal Additive Fabrication Machine 650, ,000 Purchase Electronic Research Information System 2,700,000 2,700,000 Purchase Enterprise Application System 6,000,000 6,000,000 Purchase FACSAria II Special Order System 530, ,000 Purchase Fiber Infrastructure 7,000,000 7,000,000 Purchase Fourier Transform Mass Spectrometer 1,100,000 1,100,000 Purchase High Resolution Echocardiography System 350, ,000 Purchase High Resolution Triple TOF Mass Spectrometer 400, ,000 Purchase Imagine Eyes Adaptive Optic Retinal Imaging System 200, ,000 Purchase Individually Ventilated Caging System (A Tower) 600, ,000 Purchase Individually Ventilated Caging System (RRC) 597, ,000 Purchase IT Data Center Support Systems 20,000,000 20,000,000 Purchase Land Near Belknap Campus East 750, ,000 Purchase Land Near Belknap Campus North 8,320,000 8,320,000 Purchase Land Near Belknap Campus South 6,240,000 6,240,000 Purchase Land Near Floyd Street Parcel I 5,200,000 5,200,000 Purchase Land Near Floyd Street Parcel II 5,200,000 5,200,000 Purchase Land Near HSC Parcel I 35,615,000 Private Cash 35,615,000 Purchase Land Near HSC Parcel II 6,275,000 6,275,000 Purchase Land Near HSC Parcel III 3,120,000 3,120,000 Purchase Land Near HSC Parcel IV 3,240,000 3,240,000 Purchase Large Frame Plastic Deposition Machine 750, ,000 Purchase Large Frame Plastic Sintering Machine 900, ,000 Purchase Leica TCS SP8 Laser Confocal Scanning Microscope 250, ,000 last revised 5/16/ :38 PM 2 of 6 Plan TR/ Capital Plan/Restricted Access/version 2/ Cap Plan Submission for May BOT6.xlsx Submission 5/16/ :38 PM

26 CAPITAL AGENCY PLAN Dollar Cost of Projects by Requested Fund Source May 23, 2013 Priority Project Title General Funds Agency Bonds Federal Funds Restricted Funds Other Other Designation Total Amount Purchase Library Tables, Chairs, Wired Study Carrels 275, ,000 Purchase MALDI TOF Mass Spectrometer 500, ,000 Purchase Metal Evaporation System 250, ,000 Purchase Micron Diagnostic, Imaging System 200, ,000 Purchase Mobile Animal Runs 323, ,000 Purchase MOCVD System 450, ,000 Purchase MS MS Tandem Mass Spectrometer 1,100,000 1,100,000 Purchase Multispectral Imaging Flow Cytometer 390, ,000 Purchase Networking System 8,000,000 8,000,000 Purchase Next Generation DNA Sequencer 525, ,000 Purchase Olympus (Model BX61 M FV1000 MPE) 719, ,000 Purchase PCs, Printers, Scanners for Libraries 350, ,000 Private Cash 700,000 Purchase PET Scanner 3,000,000 3,000,000 Purchase Quadruple Orbitrap Mass Spectrometer 500, ,000 Purchase Research Computing Infrastructure 7,000,000 7,000,000 Purchase Rodent Plastic Caging 398, ,000 Purchase Scanning Electron Microscope 400, ,000 Purchase Security and Firewall Infrastructure 8,000,000 8,000,000 Purchase Soccer Stadium Video Boards 1,050,000 1,050,000 Purchase Storage System(s) 12,000,000 12,000,000 Purchase Super Resolution Confocal Microscope 750, ,000 Purchase Teleconferencing/Computer Equipment 500, ,000 Purchase Tunnel Cage Washer (A Tower) 208, ,000 Purchase Two Photon Imaging System 480, ,000 Purchase Two Photon Laser Scanning Microscope 500, ,000 Purchase UHR TOF Mass Spectrometer 500, ,000 Purchase Ultrasound Trainer 6 Sonosite Edge Ultrasound Units 490, ,000 Purchase Ultraview ERS 6FO Confocal Microscope 420, ,000 Purchase Visualization System for Planetarium 2,000,000 2,000,000 Renovate Abell Administration Building 1,593,000 1,593,000 Renovate Ambulatory Care Building 2,540,000 2,540,000 Renovate Belknap Office Building 8,045,000 8,045,000 Renovate Belknap Playhouse 3,510,000 3,510,000 Renovate Brown Cancer Center 4th Floor 4,388,000 4,388,000 Renovate Burhans Hall 16,284,000 16,284,000 Renovate Chemistry Fume Hood Redesign, Ph II 9,730,000 9,730,000 Renovate Chemistry Teaching Labs/Auditorium 1,957,000 1,957,000 Renovate Code Improvement Pool 12,822,000 12,822,000 Renovate College of Business Classrooms 1,865,000 1,865,000 Renovate College of Business Green Roof 1,030,000 1,030,000 Renovate Concentrated Care Building 1,628,000 1,628,000 Renovate Delia Baxter Building Laboratory 3,100,000 3,100,000 last revised 5/16/ :38 PM 3 of 6 Plan TR/ Capital Plan/Restricted Access/version 2/ Cap Plan Submission for May BOT6.xlsx Submission 5/16/ :38 PM

27 CAPITAL AGENCY PLAN Dollar Cost of Projects by Requested Fund Source May 23, 2013 Priority Project Title General Funds Agency Bonds Federal Funds Restricted Funds Other Other Designation Total Amount Renovate Donald Baxter Bldg 2nd/3rd Floor Labs 3,010,000 3,010,000 Renovate Donald Baxter Bldg Cleanroom Exp 987, ,000 Renovate Dougherty Hall 9,233,000 9,233,000 Renovate Ekstrom Library 58,076,000 58,076,000 Renovate Football Facility Practice Field Lighting 750,000 Private Cash 750,000 Renovate Gross Anatomy Lab 5,558,000 5,558,000 Renovate Housing Capital Renewal Pool 1,795,000 1,795,000 Renovate HPES/Studio Arts Building 9,850,000 9,850,000 Renovate HSC Instructional Building 4,433,000 4,433,000 Renovate J.B. Speed Building 12,862,000 12,862,000 Renovate Kornhauser Library 21,980,000 21,980,000 Renovate Kosair Pediatrics Center Offices 6,850,000 6,850,000 Renovate K Wing Classroom Renovation 1,223,000 Private Cash 1,223,000 Renovate K Wing 1st Floor Office Renovation 5,000,000 5,000,000 Renovate KY Lions Eye Research Institute (KLERI) 20,707,000 20,707,000 Renovate Law School 36,081,000 36,081,000 Renovate Life Sciences Building Vivarium 1,140,000 1,140,000 Renovate Middleton Auditorium 700, ,000 Renovate Miller Hall Infrastructure 750, ,000 Renovate Natural Science Building 29,843,000 29,843,000 Renovate Oppenheimer Hall 5,389,000 5,389,000 Renovate Papa John's Stadium Seat Replacement 5,250,000 5,250,000 Renovate Research Resource Center 15,325,000 15,325,000 Renovate Resurface Track and Cardio Path 1,000,000 1,000,000 Renovate Schneider Hall 21,836,000 21,836,000 Renovate Threlkeld Hall Infrastructure 1,500,000 1,500,000 Renovate W.S. Speed Building 17,196,000 17,196,000 Utility Distribution South Belknap Campus 12,416,000 12,416, TOTAL 256,927, ,876,000 15,837, ,588,000 80,123,000 1,431,351,000 LEASES Lease Masters of Fine Arts Lease West Louisville Center for Community Health, Education and Outreach Lease U of L Foundation Office Space Lease HSC Off Campus Office Space Lease Additional Office/Clinic Space Lease Contract Administration Office Space Lease Dept of Family & Geriatric Medicine Office, Clinical Space Lease Dental Clinic Space Lease Med Center One Lease IT Data Center Lease Office Space Jefferson County last revised 5/16/ :38 PM 4 of 6 Plan TR/ Capital Plan/Restricted Access/version 2/ Cap Plan Submission for May BOT6.xlsx Submission 5/16/ :38 PM

28 CAPITAL AGENCY PLAN Dollar Cost of Projects by Requested Fund Source May 23, 2013 Priority Project Title General Funds Agency Bonds Federal Funds Restricted Funds Other Lease Clinic Space Lease Academic Space Lease East End Clinical Space Lease Belknap Office Space 1 Lease Belknap Office Space 2 Lease Belknap Office Space 3 Other Designation Total Amount Projects Construct Belknap Parking Garage II 43,925,000 43,925,000 Construct Belknap Research/Academic/Conn Center 100,130, ,130,000 Construct Chestnut Street Garage Speed Ramp 945, ,000 Construct Flexner Way Mall Hancock to Clay 1,560,000 1,560,000 Construct HSC Parking Structure III 46,680,000 46,680,000 Construct HSC Research Facility V 181,300, ,300,000 Construct Shelby Campus Conference Center 20,500,000 20,500,000 Construct Shelby Campus Office and Technology Building 41,500,000 41,500,000 Construct Shelby Campus Parking Structure 28,000,000 28,000,000 Construct Shelby Campus Research and Development Building 77,000,000 77,000,000 Construct Residence Hall 44,450,000 44,450,000 Construct Shelby Campus Research Building 63,580,000 63,580,000 Expand School of Public Health and Info Sciences 11,610,000 11,610,000 Expand and Renovate Shelby Campus Hotel 9,000,000 9,000,000 Private Cash 18,000,000 Renovate Bingham Humanities Building 37,374,000 37,374,000 Renovate Capital Renewal Pool ( ) 17,168,000 17,168,000 Renovate Gardiner Hall 9,106,000 9,106,000 Renovate Gottschalk Hall 4,140,000 4,140,000 Renovate Jouett Hall 3,709,000 3,709,000 Renovate Medical School Tower 55A, Phase II 18,964,000 18,964,000 Renovate Sackett Hall 10,440,000 10,440, TOTAL 373,788, ,964,000 66,329, ,081, Projects Construct Belknap Research Building II 88,120,000 88,120,000 Renovate Capital Renewal Pool ( ) 11,576,000 11,576, TOTAL 99,696,000 99,696,000 GRAND TOTAL CAPITAL PLAN 730,411, ,840,000 15,837, ,917,000 80,123,000 2,311,128,000 last revised 5/16/ :38 PM 5 of 6 Plan TR/ Capital Plan/Restricted Access/version 2/ Cap Plan Submission for May BOT6.xlsx Submission 5/16/ :38 PM

29 CAPITAL AGENCY PLAN Dollar Cost of Projects by Requested Fund Source May 23, 2013 Priority Project Title General Funds Agency Bonds Federal Funds Restricted Funds Other Other Designation Total Amount Summary by Category Total TOTAL Budget Construction Other 649,675, ,180,000 88,120,000 1,416,975,000 Construction Protect Investment in Plant 662,453, ,901,000 11,576, ,930,000 Equipment 28,823,000 28,823,000 Information Technology 90,400,000 90,400,000 1,431,351, ,081,000 99,696,000 2,311,128,000 last revised 5/16/ :38 PM 6 of 6 Plan TR/ Capital Plan/Restricted Access/version 2/ Cap Plan Submission for May BOT6.xlsx Submission 5/16/ :38 PM

30 RECOMMENDATION TO THE BOARD OF TRUSTEES CONCERNING THE PROPOSED BUDGET FOR FISCAL YEAR Finance Committee May 23, 2013 Board of Trustees June 13, 2013 RECOMMENDATION: The President recommends that the Board of Trustees approve the proposed University operating budget for fiscal year , as attached. BACKGROUND: The proposed General Fund Operating Budget for the University of Louisville is $496.5 million for the fiscal year. This is an increase of approximately $13.8 million from last year and represents a 2.9% percent overall increase in the budget, including debt service and contractual obligations. UofL continues to embrace transparency, campus collaboration, and linkage with the strategic plan in developing a realistic budget. All campus constituencies were briefed throughout the budget development cycle as successive iterations of the proposed budget were developed and discussed. Based on the enacted Budget of the Commonwealth (HB 265) from the 2012 regular session of the Kentucky General Assembly, the University s state general appropriation for FY is flat-lined at the FY level. After covering fixed costs and other fixed costs, the proposed budget includes investment in strategic initiatives and structural budget problems total approximately $13.9 million. The total investment by category is as follows: 1

31 Investment in Strategic Initiatives & Address Structural Budget Problems Description Amount Student Initiatives Student Financial Aid 3% 942,200 SGA Program Enhancement 200,000 Total Student Initiatives 1,142,200 Faculty & Staff Initiatives Salary Pool and Funds for Minimum Increase of $1,200 9,509,155 Climate Action Plan for Provost 182,000 Faculty Promotions 525,000 Staff Reclassifications and Promotions 250,000 Health 10% for Employees, Jan-June ,199,832 Total Faculty & Staff Initiatives 11,665,987 Research Initiatives Speed School - Conn Center Infrastructure 500,000 Total Research Initiatives 500,000 Structural Budget Problems Total Structural Budget Problems 600,000 Total Investment in Critical Initiatives 13,908,187 Budget Balancing Strategies: The FY contains several specific budget balancing strategies that enable the University to maintain its momentum towards meeting its strategic goals and objectives. The strategies are expected to save $5.2 million in FY with additional savings projected in subsequent years. 2

32 University Budget Balancing Strategies Description Amount Voluntary Separation Incentive Program (VSIP) 2,750,000 Lapsed Fringe Benefits on Vacant Positions 500,000 Over Realization of Administrative Overhead Fee 1,200,000 Procurement Savings 750,000 Total University Budget Balancing Strategies 5,200,000 Per State statute, the recommended FY General Fund Operating Budget is balanced; the proposed revenue budget equals the proposed expenditure budget. COMMITTEE ACTION: Passed: X Did not Pass: Other: Date: BOARD ACTION: Passed: X Did not Pass: Other: Date: Signature on file Asst. Secretary Signature on file Asst. Secretary _ G:\Budget\Budget Development\ \Publications\BOT Action Items\BOT Recommendation for Operating Budget.docx 3

33 BOARD OF TRUSTEES FINANCE COMMITTEE BUDGET WORKSHOP

34 Board of Trustees Finance Committee Budget Workshop May 23, OPERATING BUDGET

35 UNIVERSITY OF LOUISVILLE BOARD OF TRUSTEES Mr. Frank Minnifield, Chair Ms. Marie Abrams Dr. Laurence Benz Dr. Emily Bingham Mr. Jonathan Blue Ms. Dhiane Bradley Mr. Ron Butt Dr. Kevin Cosby Mr. Douglass Hall Mr. Bruce Henderson Dr. Robert Curtis Hughes Ms. Carrie Mattingly Ms. Brucie Moore Dr. Jody Prather Mr. Robert W. Rounsavall, III Ms. Debbie Scoppechio Dr. William Selvidge Dr. Joe Steffen Mr. Steve Wilson Ms. Phoebe Wood Senior Leadership President James R. Ramsey, Ph.D. Executive Vice President and Provost Shirley C. Willihnganz, Ph.D. Executive Vice President for Health Affairs David L. Dunn, M.D., Ph.D. Executive Vice President for Research William M. Pierce, Ph.D.

36 Finance Committee Budget Workshop TABLE OF CONTENTS BUDGET OVERVIEW... 1 GENERAL FUND REVENUE BUDGET Revenue Assumptions Revenue Highlights Proposed Tuition Schedules Summary of Changes in Budgeted Revenue GENERAL FUND EXPENDITURE BUDGET Expenditure Assumptions Expenditure Highlights Investment in Strategic Initiatives Summary of Changes in General Fund Operating Budget PROGRAM BUDGETS AND FEES SUMMARY OF CHANGES IN REVENUE AND EXPENDITURES BUDGET BALANCING STRATEGIES BUDGET TREND DATA Average Annualized Three-year Percent Change in General Funds General Fund Budgeted Expenditures Headcount Enrollment by Level First-time Freshmen at Kentucky State Institutions CAPITAL BUDGET BUDGET CALENDAR The University of Louisville is an equal opportunity institution and does not discriminate against persons on the basis of race, age, religion, sex, disability, color, sexual orientation, national origin or veteran status. This publication was prepared by the University of Louisville and printed with state funds: KRS

37 BUDGET OVERVIEW

38 BUDGET OVERVIEW I. INTRODUCTION President Ramsey and his Leadership Team submit for your consideration a proposed Fiscal Year General Fund operating budget totaling $496.5 million. This is a $13.8 million (2.9%) increase over last year. The budget recommendation is balanced; the proposed revenue budget equals the proposed expenditure budget. II. A UNIVERSITY FOR THE 21st CENTURY The budgetary decisions that support and shape the FY proposed budget reflect the current and foreseeable economic realities facing public higher education institutions in general and the University of Louisville in particular. Because of the changing landscape of higher education across the United States, UofL has embarked on a consultative process aimed at re-shaping and re-engineering the University. The 21st Century Initiative, led by the University Provost, is a broadbased, campus-wide initiative to position the University to meet not only the The 2020 Plan: Making it Happen goals, but to also address ways to better serve students and the community for decades to come. This important initiative will be discussed in greater detail later in this document. III. TRAJECTORY This year, President Ramsey s annual budget forum focused on UofL s Upward Trajectory. Despite thirteen budget cuts in twelve years, the lack of M&O funding, and the dramatic shift in public policy that has, and continues to redirect funding away from higher education, UofL had made tremendous progress in meeting its 2020 goals. The President outlined UofL s successes across a myriad of key academic, research, and public service metrics, noting; it s not just about the numbers, it s about the people. These successes, the result of hard work by the University s faculty, staff and students, has UofL well-positioned to meet H.B. 1 s aggressive mandate to become a preeminent metropolitan research university. 1

39 BUDGET OVERVIEW The following graphic shows a sampling of UofL s progress in several key academic indicators since FY FY2013 FY2002 Percentage Increase since FY2002 Six Year Graduation Rate 57.9% UG Degrees Awarded 46.1% Doctoral Degrees Awarded 108.9% Average ACT Score 7.8% IV. GENERAL BUDGET INFORMATION Based on the enacted Budget of the Commonwealth (HB 265) from the 2012 regular session of the Kentucky General Assembly, the University s state general fund appropriation for FY is flat-lined at the previous FY level. This is a marked departure from years of state appropriation budget reductions including a 6.4% reduction in FY and twelve other state-mandated budget reductions since FY UofL continues to embrace financial transparency, campus collaboration, and linkage with the University s strategic plan; The 2020 Plan in developing it s budget. All campus constituencies were briefed throughout the budget development cycle as successive iterations of the proposed budget were developed, presented and discussed. The President s Leadership Team established a set of budget values and principles to guide the decision making process. These values and principles assist in maintaining a transparent process, prioritizing competing initiatives, and ultimately positioning the University for success. 2

40 BUDGET OVERVIEW Budget Values In developing the budget for FY , the University of Louisville utilized the following budget values: Budget Principles In developing the budget for FY , the University of Louisville utilized the following budget principles: 3

41 BUDGET OVERVIEW The budget values and principles established the framework for the process the Leadership Team employed to develop a budget that is fiscally sound and at the same time enables the University to affirm its commitment to The 2020 Plan: Making It Happen. The consultative process is graphically displayed below: V. UNIVERSITY OF LOUISVILLE CORPORATIONS Also included in this document are references to budgets for the affiliated and nonaffiliated University of Louisville corporations. In the aggregate, the budget for UofL corporations is estimated at $740 million the same level as FY The following entities comprise UofL s corporations; University of Louisville Research Foundation, Inc. University of Louisville Foundation, Inc. University of Louisville Athletic Association, Inc. University of Louisville Medical School Fund, Inc. and the Quality and Charity Care Trust. The respective governing Boards of each corporation will approve their budgets through the organizations normal budget review processes. 4

42 BUDGET OVERVIEW VI. STRATEGIC PLANNING The University continues to make impressive strides in meeting the 1997 HB 1 mandate that the University become a premier metropolitan research university. Since 2008, The 2020 Plan: Making It Happen strategy has served as the University s rudder in meeting this ambitious goal. In the years since 1997, the world has changed considerably. In higher education, the nexus of internet-based technology and the academy offers new and exciting global opportunities. The University continues to feel the impact of the 2008 recession in the form of decreased state and federal appropriations. While the goals of HB 1 remain intact, the financial means necessary to achieve these goals have changed greatly. It is into this changing environment that the 21st Century Initiative was born. This ambitious campus-wide plan was created in Fall 2012 to chart UofL s future as a university. The initiative is being led by the University Provost, and includes over 200 people serving on various committees and sub-groups. The 21st Century Initiative will closely examine UofL s current environment across a broad spectrum of activities. These include whether The 2020 Plan: Making It Happen strategy in whole or in part remains effective and relevant. Special attention will be focused on the relevance of the 2020 performance metrics. In order for the 21st Century Initiative to succeed, University Leadership understands that the process must be inclusive, collaborative, and transparent. The outreach efforts of the initiative s steering committee have been exceptional. A blend of town-hall meetings, social media web technologies, and one-on-one meetings with key stakeholders have provided a voice for all campus constituents. 5

43 BUDGET OVERVIEW The organizational structure of the initiative is shown below. Each of the Committees contain subcommittees whose primary purpose will be focusing on specific topics and issues. 6

44 BUDGET OVERVIEW The timeline for the 21st Century Initiative is fast paced, with recommendations expected to be shared with the Board of Trustees at its retreat in July The complete timeline is presented below: Nov. 8 Trustees review, endorse action Nov. 8 President announces to campus, external community Week of Nov. 13 Open forum held for faculty, staff and students Nov. 21 Provost provides vision, details on project Website launched November/December Meetings with deans, vice presidents, Faculty and Staff senate executive cabinets, other constituents January 2013 Update to campus Presentations to Senates Feedback sought, incorporated into planning February 2013 Planning begins Late spring 2013 Proposal developed July 2013 Proposal presented to trustees Fall semester 2013 Implementation of recommendations begins 7

45 BUDGET OVERVIEW VII. STATE OPERATING SUPPORT FOR HIGHER EDUCATION The continuing pressure on traditional revenue streams, (a.k.a. state funding and tuition and fees) top the list of key issues facing higher education. The American Association of State College and Universities list State Operating Support for public higher education as the number one issue, and ominously note, the greatest pressure point will come from states Medicaid spending commitments, which according to one estimate are slated to increase 29 percent in 2012 alone. The National Association of State Budget Officers more succinctly notes in its Spring 2013 newsletter, the current way of funding public higher education is not sustainable. Since the recession that began in 2008, states are spending $2,353 less per student on public higher education nationwide. The decrease in spending has led to sharp increases in tuition over this time, a 27% increase (adjusted for inflation). For the five-year period of FY , the State of Kentucky s cumulative, inflation adjusted reduction in state support was 26.3%, slightly lower than the 28% national average reduction. Kentucky has fared better than a majority of states in state appropriations per capita, being in or near the upper quartile since FY Corresponding tuition rate increases show that cumulative tuition increases in Kentucky of 22.4% are below the 27% national average. The chart below shows the five-year trend of where Kentucky ranks nationally in state appropriations per capita. COMMONWEALTH OF KENTUCKY State Appropriations Per Capita National Rankings FY97 FY02 FY07 FY Source: Center for the Study of Education Policy at Illinois State University: Grapevine Compilation State Fiscal Support and Tuition Rate Increases During the period from FY , forty-eight states experienced reductions in state appropriation per student. Of this total, thirty-six states had declines in excess of 20%, and seven states experienced declines of 40% and higher. 8

46 BUDGET OVERVIEW For most of these states, there was a strong correlation of declining state support leading to higher than average tuition rate increases. The chart below illustrates the decline in state fiscal support and the corresponding increase in tuition rates for the seven states with 40% declines. The results include comparisons with Kentucky and the U.S. average. Not surprisingly, many of these seven states experiencing the greatest decline in state support were also among the top of states with the highest tuition increases. Decrease of 40% or More in State Fiscal Support & Related Tuition Increase for FY inflation adjusted 100.0% % 78.4% 67.3% 60.0% 51.5% 40.0% 36.7% 27.0% 38.0% 24.3% 22.4% 27.0% 20.0% 0.0% -20.0% -40.0% -60.0% AZ NH OR LA FL AL ID KY U.S % -28.0% -43.6% -42.0% -41.2% -39.8% -39.6% -50.4% -49.9% Change in State Fiscal Support Change in Tuition Rates Tuition Increase Rank in U.S. 9

47 GENERAL FUND REVENUE BUDGET

48 REVENUE HIGHLIGHTS Revenue Assumptions 1. The enacted Budget of the Commonwealth flat-lines the FY general fund appropriation at the previous FY level. 2. Tuition and Fees: Tuition revenue is projected using proposed tuition rates recommended by the President, to be considered by the Board of Trustees at its May 2013 meeting. An increase of $14.6 million in total tuition revenue and fees is budgeted. Of this amount, $8.9 million is attributable to tuition generated solely by tuition rate increases. Approximately $3.8 million, is derived from a 3% tuition rate increase for undergraduates. The proposed tuition revenue budget assumes that the entering freshman class enrollment will increase by 100 students to 2750 effective fall The additional students will generate approximately $975,900. Based on continued enrollment growth in the University s various online education programs, the tuition revenue budgets for both the University and individual colleges, schools, and departments are increased. Because of irregular enrollment patterns across the University, changes in various unit tuition revenue are budgeted. 3. A $2 million transfer from the UofL Foundation is budgeted to help in balance the FY budget. These funds were available from the initial proceeds generated by the HSC Tax Increment Financing (TIF) initiative. 4. Revenue projections for Auxiliaries, Service Centers, University Housing, and other program budgeted activities are realistic estimates of anticipated activity for FY

49 REVENUE HIGHLIGHTS VIII. GENERAL FUND REVENUE The University projects a General Fund revenue budget of $496.5 million for FY The increase in the revenue budget is approximately $13.8 million, or 2.9%, over the original FY budget. The proposed General Fund revenue budget is categorized into the following major revenue categories. Each category of revenue is discussed in detail on the following pages. Projected General Fund Revenue By Source State Appropriation and Other State Funds $164,186,300 Tuition and Fees 271,149,300 Transfers from UofL Corporations 25,422,500 Sales and Services of Educational Activities 712,400 Organized Activities Related to Instruction 1,133,700 Other Non-Educational Revenue * 3,783,700 Auxiliary Enterprises 7,843,600 University Housing 6,823,100 Service Centers 1,572,200 Hospital-Related Revenue 13,860,900 Total Projected General Fund Revenue $496,487,700 * includes adjustment to Reserve for Debt Service Requirement 1. State Appropriation and Other State Funds are projected at $164.2 million for FY This is a net increase of $337,000 from the FY appropriation. The University s total appropriation includes a $2.2 million reduction in state support for the Quality and Charity Care Trust. This reduction is a direct result of language that was included in the Budget of the Commonwealth that stated should Louisville Metro Government not fulfill any portion of its contractual commitment, the State would reduce its contribution by a like amount. The state is also providing $2.5 million to meet Educational and General (E&G) state supported debt service obligations. 11

50 REVENUE HIGHLIGHTS The proposed FY state appropriation amount is the first time since FY that UofL has not had a base budget and/or a mid-year state-mandated budget reduction. Overall, UofL has taken thirteen state mandated reductions since FY The following graph illustrates the steady decline in UofL s constant dollar state appropriation over the past decade. In terms of constant dollars, $164.2 million in calendar year 2013 has the same buying power of $134.7 million in calendar year 2004, an effective reduction in buying power of approximately 21.9%. The continued erosion in state appropriation support has resulted in significantly less state support per full-time equivalent (FTE) student. The following graph shows that constant dollar state appropriation FTE support has decreased by 30% since the FY time. State Appropriation per FTE Student (Net of Debt Service and Hospital, Estimated FTE) $10,000 $9,000 $8,000 $7,000 $6,000 $5, State Appropriation, Net of Debt Service and Hospital, per FTE Constant Dollars 12

51 REVENUE HIGHLIGHTS The University also receives state pass through funds to operate three earmarked programs which provide targeted benefits to the citizens of the Commonwealth. The Equine Trust Program is increased by $20,000 for FY while the other programs remain unchanged. The budgets for the Other State Funds programs are shown below. KY Equine Industry Program $400,000 Equine Trust Program - $60,000 KY Partners Pollution Prevention Program $360,000 Budgeted amounts for State Appropriation and Other State Funds are summarized below: State Appropriation & Other State Funds I State Appropriation & Other State Funds 163,849,400 II. Changes to State Base Appropriation: QCCT Escalator 655,200 Debt Service 2,507,700 Legislative QCCT Reduction (2,845,973) Total Changes to State Base Appropriation 316,927 III. Changes to Other State Funds: Equine Trust Program 20,000 Total Changes to Other State Funds 20,000 IV. Total Projected State Appropriation & Other State Funds 164,186, Tuition and Fees revenue is budgeted at $271.1 million for FY This is $14.7 million higher than last year, an increase of 5.7%. Of the increase, $8 million is attributable to projected tuition and fee rate increases for fall and spring semesters for the upcoming academic year. An additional $975,900 is budgeted from a planned increase of 100 freshmen students for fall These additional freshman students brings the projected freshman class total to 2,

52 REVENUE HIGHLIGHTS As shown in the chart below, student share of the cost of college continues to climb. From FY , the student share of tuition has gone from 29% to 62% in FY UofL Leadership remains keenly sensitive to rising tuition rates and the potential adverse impact on students and their families. 80% Public Funds Revenue 70% 71% 60% 62% 50% State Appropriation 40% 30% 20% 10% 29% Tuition & Fees Revenue 38% 0% Undergraduate The proposed resident, and non-resident undergraduate tuition rate increase for FY is 3%. This is the smallest undergraduate tuition percentage increase in fourteen years, and the second smallest increase since FY The proposed Fall 2013 resident undergraduate tuition is $4,875 per semester. UofL Leadership believes the 3% tuition rate increase is a reasonable and prudent balance between generating the necessary additional revenues to accomplish its critical goals and the need to keep UofL accessible and affordable to students of all income levels. The recommended tuition rate increase of 3% meets the tuition parameters approved by the Council on Post Secondary Education. The CPE also requires the undergraduate non-resident tuition rate be a minimum of two times the resident rate. UofL s proposed FY non-resident undergraduate rate is 2.42 times the resident rate. 14

53 REVENUE HIGHLIGHTS Graduate The proposed graduate tuition rate increase of 5% for both resident and non-resident students is the lowest increase since FY CPE does not typically establish tuition increase caps for graduate tuition but gives individual institutions broad latitude in setting these rates. Professional The demand for the School of Dentistry and the School of Medicine School enrollment remains inelastic. University Leadership relied heavily on national benchmark information among UofL s peer institutions to set tuition for these professional schools. The proposed Fall 2013 tuition rates are slightly less than those at the University of Kentucky. Nationally, applications for Law School have dropped substantially. According to the ABA Journal, the number of law school applicants for the 2013 school year is expected to be between 53,000 and 54,000, a 30-year low. The decrease in applicants since FY 2011 is 34%. The Brandeis School of Law s application s have followed national trends, and are down. Because of this, Leadership chose to moderate the tuition increase for resident and non-resident law students, therefore the increase for Law School tuition is below UofL s other professional schools, Medicine and Dentistry. Percent Increase Tuition Category Resident Non-Resident Undergraduate 3.0% 3.0% Graduate 5.0% 5.0% Law 5.0% 2.2% Dentistry 8.0% 7.0% Medicine 7.0% 8.0% 15

54 REVENUE HIGHLIGHTS The following FY Proposed Regular Tuition Schedule shows the recommended rates by category and residency status: Semester Rates Change Amount Percent Undergraduate Resident 4,733 4, % Nonresident 11,475 11, % Special Fort Knox Rate (per credit hour) % Graduate Resident 5,137 5, % Nonresident 10,689 11, % Special Fort Knox Rate (per credit hour) % Law University of Louisville Proposed Regular Tuition Schedule Resident 8,847 9, % Nonresident 16,933 17, % Annual Rates Change Amount Percent Medicine Resident 31,512 33,718 2, % Nonresident 47,452 51,250 3, % Dentistry Resident 26,430 28,546 2, % Nonresident 55,606 59,500 3, % 16

55 REVENUE HIGHLIGHTS In addition to tuition rate increases on regular programs, the Leadership Team proposes increasing the tuition rates for selected special programs as explained below: University of Louisville Proposed Special Tuition Schedule Semester Rates Change Amount Percent Intensive English as a Second Language (IESL) Full-time Day Program 4,392 4, % Urban Planning and Public Administration Programs Resident 6,037 6, % Nonresident 11,589 12, % Online Education (per credit hour) Undergraduate % Graduate % Graduate - Urban Planning & Public Admin % Law, full-time 1,015 1, % Law, part-time % Special Fort Knox Rate % Fixed Price Programs (multi-semester) Change Amount Percent Professional MBA Cohort Program Resident 32,000 32, % Nonresident 32,000 32, % Full-time MBA Cohort Program Resident 32,000 32, % Nonresident 32,000 32, % IMBA Cohort Program Resident 32,000 32, % Nonresident 32,000 32, % Masters in Accountancy Program Resident 21,000 21,000 0 n/a Nonresident 21,000 21,000 0 n/a Certificate Program in Accountancy Resident 12,900 12, % Nonresident 12,900 12, % Ed.D. Practitioner Resident 16,200 16, % Nonresident 16,200 16, % M.S. in Human Resources and Organization Development Resident 0 16,500 16,500 n/a Nonresident 0 16,500 16,500 n/a Fort Knox - GoArmyEd Rate (per credit hour) n/a 17

56 REVENUE HIGHLIGHTS Comparison of Tuition and Fees Public Kentucky Institutions and University of Louisville As previously noted, student tuition and fee revenue continues to replace state general fund appropriation support. In FY , student tuition covered 36% of the overall total public cost of education; by FY this percentage had grown to 61%. This trend is mirrored nationwide. The overall costs of higher education when comparing the CPI vs. the Higher Education Price Index (HEPI) from 2002 to 2012 shows that the cost of higher education has outpaced the CPI by 10.1% (effectively 36.6% higher than the CPI). UofL has sought creative ways to minimize annual tuition and fee increases. The following chart compares the change of gross tuition and fee revenue for the public state institutions in Kentucky. The chart, which covers the period from FY , shows that UofL s overall gross tuition and fee revenue growth was the 3rd lowest in the state. Only Morehead State University and Kentucky State University had lower percentage changes. The data suggest UofL has relied less on tuition and fee increases than other state institutions. Gross Tuition and Fee Revenue Pct. Change FY KCTCS 198.4% Western Kentucky University 249.8% Northern Kentucky University Murray State University 176.3% 175.0% Morehead State University Kentucky State University 138.4% 155.1% Eastern Kentucky University 198.5% University of Louisville University of Kentucky 164.4% 174.6% Source: Kentucky Council on Postsecondary Education 18

57 REVENUE HIGHLIGHTS Proposed New and Modified Unit and Course Based Fees and Other Tuition Programs Each fiscal year, both academic and support units propose new and/or modified fees for a variety of purposes. The Task Force on Tuition and Fee Setting (TFTFS) is a universitywide committee appointed by Leadership that reviews tuition and fee proposals, and recommends the approval or disapproval of these items to Leadership. The committee is part of the overall creation and consultative apparatus that assists in building the operating budget. Leadership has reviewed the TFTFS recommendations and forwarded the following new or modified fees programs and for FY for the Board s consideration. A discussion of these proposals follow: College of Business Five new proposed and/or amended fees are recommended for FY CIS 100 Introduction to Computer Information Systems course A new $30 course fee is recommended to maintain the Davidson Hall computer lab. The lab is used almost exclusively for CIS 100 students. The COB can no longer afford to maintain the lab adequately without this fee. Essentials in Business computer lab fee Non-business students may elect to pursue a minor called Essentials in Business. A new $10 per credit hour fee is recommended for business minor students taking these courses. These additional funds will help offset the additional computer lab costs that will be incurred by these students. Students enrolled in IMBA , Business Plan Competition II, are required to travel and to participate in graduate-level business plan competitions held in North America and select locations globally. A new program fee of $5,500 is recommended to cover the student travel costs associated with participating at the various business plan competitions. Undergraduate business students may elect to participate in a faculty-led study abroad program. The course is an elective and is not required for program credit. A new fee $3,395 is recommended to fully cover the cost of the trip. Students who have completed their MBA, but wish to take additional MBA classes will be able to take classes at a special discounted rate. Students who earned any degree at UofL and also have earned an MBA at UofL or another approved institution will pay $500 per course. Students with an MBA, but no UofL affiliation will be charged $1,000 per course. 19

58 REVENUE HIGHLIGHTS College of Arts & Sciences Several new proposed and/or amended fees are approved for FY Tuition for the Intensive English as a Second Language (IESL) program, will increase to $4,590 (net of fees) from $4,190, an increase of $400 or 9.5%. The increase will help offset anticipated increases in expenditures and maintain instructional quality. Increases for several new and existing fees in the Chemistry Department are recommended. The increases, which will affect approximately eleven Chemistry courses. The fees will help offset costs for lab chemicals, lab supplies, and equipment maintenance. It is expected that the increases will generate an additional $53,000 in revenue each academic year. New course fees for the Classical and Modern Languages Department are recommended. The fees will go towards the maintenance of equipment and course consumables for American Sign Language (ASL) $25 per course; and Interpreter Training Program (ITP) $15 per course. A $12.50 per tuition hour fee is recommended for the Urban and Public Affairs graduate class PADM 615. This increase in this lab fee will bring the per hour charge to $37.50 for this course. A special program-specific course fee is recommended for undergraduate honors students enrolling in a sponsored international seminar program. The fee will cover the cost of travel and processing costs. Depending on the student s choice of destination, the fee will range from $1,500 to $1,900 per participating student. A new $50 course fee is recommended for students taking ART-509. The fee will be used to compensate live studio models over the course of one semester. College of Education and Human Development The College of Education and Human Development (CEHD) was asked by both Fort Knox and community leaders to offer a M.S. in Human Resources and Organization Development degree on-site at Fort Knox. This program aligns with changes as the U.S. Army moved its Human Resource Command from Virginia to Fort Knox in The proposed 33-hour degree will have a bundled tuition rate of $8,250 for active-duty military personnel participating in the GoArmyEd program and $16,500 for all other students. The effective per hour charge for the GoArmyEd military personnel is $

59 REVENUE HIGHLIGHTS School of Dentistry One existing fee is increased for FY An increase in the Dental Hygiene Instrument/Technology Fee is recommended from $550 to $650 per year. The $100 per student increase will assist in recovering costs associated with providing instruments, supplies, infection control material, course manuals and computer simulation technology products. The fee has not changed since FY An increase of $1,048,000 is projected for Other Unit-based Fees. The Graduate Prosthodontics Program is a new three-year Graduate Program in the School of Dentistry. The program is expected to enroll two students per year, at a cost of $7,000 per student. The College of Business Technology and Career Management Fee program is being increased by $30,000. The additional funding is derived from a new fee for students taking the CIS 100 course. The funds will be used for student wages. The School of Dentistry embarked on an enrollment strategy to admit 120 new nonresident students over a three year period. The Dental Instrument Rental budget is increased by $347,000 based on the School s enrollment of the full complement of additional non-resident students. The School of Nursing charges a $45 per credit hour clinical course fee for students taking Nursing courses numbered NUR 361, NUR 264, NUR 371, NUR 461, NUR 464, NUR 473 and NUR 474. This fee replaced the current $75 per clinical course fee. The restructuring of clinical lab fees on a per credit hour basis better reflects the true utilization of specialized lab equipment and related lab supplies. The additional fee revenue of $146,000 will provide the needed maintenance and improvements to lab equipment and the expansion of electronic health records and other virtual instructional strategies. The Nursing Clinical Lab Fee program will be eliminated by Nursing. Accordingly, the budget is reduced by $56,000. The School of Nursing charges a $200 clinical course fee for students taking Nursing 675 in a new Acute Care Nurse Practitioner track in the Masters of Science in Nursing program. The proceeds from this fee will be used to supplement on-campus lab equipment and provide funds for the reimbursement for clinical placement site visits by faculty. This fee will affect about five new students each year, and earn $1,000 in revenues. 21

60 REVENUE HIGHLIGHTS The School of Nursing charges a clinical course fee for upper division nursing students. This rate is $30 per student credit hour taken in the five program semesters for students enrolled in 300 and 400 level courses. The differential tuition funds of $351,000 will be used to sustain the high quality of the current bachelor s degree program and to further provide funding to recruit and retain faculty at competitive compensation levels. Auxiliaries University Housing rates will increase by 3% for the academic year. The recommended increase will offset projected increases in utilities, maintenance and operation, and other student life initiatives. Parking fees for FY will remain unchanged 22

61 REVENUE HIGHLIGHTS The following chart is a summary of the recommended changes in Unit and Coursebased, and Course and Laboratory fees for FY : Unit and Course-based Fees New or Change FY Fee Unit Existing in Fee Rate International Business Experience - IMBA Program Course IMBA Business New $5,500 $5,500 per Course Undergraduate Summer International Experience - Business New $3,395 $3,395 per Course Course Finance 490 Computer Information Systems Course CIS 100 Business New $30 $30 Per Course Essentials of Business Courses Business New $10 $10 per Credit Hour Post MBA Special Non- Degree Program Dental Instrument/Technology Fee for Dental Hygiene Students Business New $500 - $1,000 Per Course Dentistry Existing $100 $650 per year Urban and Public Affairs Course PADM 615 Arts & Sciences Existing $12.50 $37.50 per Course Chemistry Course Fees for Selected Courses American Sign Language (ASL) and Interpreter Training (ITP) Course Fee Arts & Sciences New $30 - $60 Arts & Sciences New $15 and $25 Per Course; twelve Chemistry classes affected; fees vary by course Per Course: ASL - $25; ITP - $15 High School Visiting Students Flat Rate Arts & Sciences New $ Per Credit Hour Undergraduate Honors Student - International Seminar Program Arts & Sciences New $1,500 - $1,900 $1,500 - $1,900 per Student Fine Arts Lab Fee Course ART 509 Arts & Sciences New $50.00 $50 Per Course 23

62 REVENUE HIGHLIGHTS Other Tuition Revenue Budget Changes Based on Fall 2012 and Spring 2013 tuition revenues, the following tuition revenue budgets are amended for FY : School of Medicine Actual collections for School of Medicine professional tuition continue to substantially exceed budget. Therefore, an additional $300,000 is budgeted for FY Graduate Dentistry Actual revenues have exceeded the budget by approximately $46,000. This amount is being added to the FY budget. Central Online Education Demand for online education courses continues to grow and exceed budgeted amounts. For FY , the revenue budget for central online education is increasing by $400,000. Undergraduate and Graduate Tuition The University has experienced modest revenue growth in non-resident tuition, but decreases in resident tuition over multiple academic units. Units experiencing overall tuition revenue decreases in this category will have their revenue budgets reduced in FY The overall reduction in tuition revenue is $750,000. The College of Business MBA programs have experienced strong enrollment growth and as a result, an additional $700,000 in over realized revenue is budgeted for FY The specifics of this increase include: Full-time MBA Program $450,000; IMBA Program $200,000; Executive MBA Program $50,000. Miscellaneous Fees The largest portion of this increase is attributable to increased collections of the Student Recreation Center Fee. The Student Recreation Center, which is scheduled to open in fall 2013 is being funded by a $98 fee per semester for all new students and pro-rated on a credit hour basis for part-time students. This is the third year for this fee and is projected to generate an additional $337,360 for the upcoming year. 24

63 REVENUE HIGHLIGHTS Online Education Programs are increasing by $1.2 million as demand for on-line courses continues to grow. Over the last six fiscal years, actual revenues have increased 149%. Online Education actual revenues as a percent of total net tuition has more than doubled over the last six fiscal years; from 4.1% in FY 2007 to 9.4% in FY The following charts graphically portray both the growth in Online Education programs and the breakdown by College/School: Online Education Total Revenues FY $18,000,000 $16,000,000 $14,000,000 $12,000,000 $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 $0 $16,518,279 $14,444,349 $12,183,341 $10,665,124 $8,279, Revenues by FY Online Education Revenues Budgeted by School FY KENT 6.2% MUS 0.7% NUR 6.0% SPD 2.4% LAW 0.1% ED 20.5% COB 1.3% A&S 62.7% MED 0.1% 25

64 REVENUE HIGHLIGHTS 3. Other Revenues Major research universities like UofL offer numerous educational opportunities and resources for the entire community. Many of the programs and activities, in addition to the degree granting instruction covered in part by tuition revenue, are offered on a self-sustaining basis. The budgets for these programs, generically titled program budgets, include both projected revenue and expenses; and the programs are required to be self-supporting operations. Hence, the revenue categories described below for such programs generally have associated offsetting expenses which will be detailed in the Program Budget and Fees section. Revenue generated from non-credit Continuing Education Programs is projected to increase by $151,200. Examples of these programs include unit-based continuing education programs, as well as operations at the university-wide Delphi Center. UofL offers a number of Special Instructional Programs that are intended to complement and enrich learning experiences for students. These diverse programs include hosting or providing classes for foreign students, international travel opportunities, music classes, and equine management. For FY , this category of revenue is increasing by $520,500. Transfers from UofL Corporations is increasing by $1,874,800 for FY The largest increase in this category is a $2 million transfer from the UofL Foundation, Inc. These funds are available from the first payment of the Health Sciences Campus Tax Increment Financing (TIF) initiative. This TIF payment was made in December UofL s Leadership pledged $2 million of the $5.5 million to the University s operating budget. The Sales and Services of Educational Activities revenue category is projected to increase by $10,000. Programs in this category include student-based activities such as the popular International Service Learning Program and Disabled Student Services. Projected revenue in the Organized Activities Related to Instruction category will increase by $72,300. The most notable change in this category is the restructuring of the Rauch Planetarium operations. 26

65 REVENUE HIGHLIGHTS The category of Other Non-Educational Revenue will decrease by $445,100. Changes in this category include the following: An increase in revenue from University rental properties of $37,000. University employees enrolled in flexible spending accounts (FSA) are utilizing more of their available funds therefore the residual returned to the University is declining. This budget is being reduced by approximately $150, Auxiliary Enterprise Revenue is budgeted at $7,843,600 in FY This represents a $540,200 increase in various Auxiliary revenue. University Parking is proposing a $543,900 budget increase. This increase is based on the addition of a new Student Recreation Center pay lot expected to open in October 2013 and proposed market rate leasing for existing surface lots. itech Xpress is an auxiliary enterprise offering technology services and electronics to faculty, staff, and students. The program budget is being reduced $11,300 for FY to reflect less demand for the center s services. An increase of $7,600 in revenue is budgeted for the Food Service Contract program to reflect increased Sodexo commissions. 5. University Housing revenue is decreasing by $233,300. Housing has proposed a modest 3% room rate increase for FY The increase is expected to generate $166,500 in new revenue. Despite this room rate increase, Housing is estimating a $249,600 overall decrease in revenue from room rentals. This is due to increased competition the last three years from various off campus communities, and reduced occupancy levels in existing, older residence halls. Revenue from Housing's various business affiliation agreements with local housing/ apartment complexes is expected to decline by $100,000 in FY Housing receives revenue for various housing-related activities such as application fees, damage fees, late charges, etc. An additional $116,300 in revenue is budgeted to reflect recent actual figures. 27

66 REVENUE HIGHLIGHTS 6. Service Centers are established for the purpose of providing goods and services to University customers. The centers are expected to offer goods or services that are unique, convenient, or not readily available from external sources. The sale of goods and services must be consistent with the University's mission and the normal activities of the college/ department associated with the organization. Aggregate revenue for FY service centers is projected to increase $13,400 from last fiscal year. Revenues of the Mass Spectrometry Service Center are expected to decline by $30,400 to a level of approximately $15,000. The change is based upon fewer anticipated recharges and service contract support commitments. The Center for Predictive Medicine Shared Resources program budget expects to continue growing thus has increased the revenues for the program by $25,000. This increase is based on growth since the program began a few years ago and work done by investigators associated with the program budget. The Microtechnology Service Center budget is increasing $34,900 for FY in recognition of increased revenue figures over recent years. The budget of the Rapid Prototyping Service Center is being reduced by $21,100 to reflect reduced anticipated revenue in the forthcoming fiscal year. 28

67 Summary of Changes in Budgeted Revenue EDUCATIONAL AND GENERAL REVENUE FY Adjustments FY Original State Tuition Program Other Proposed Change from FY Budget Appropriation and Fees Budgets Revenue Budget Amount Percent Tuition Revenue Summer School Tuition 17,019, ,022, ,041,400 1,022, % Fall and Spring Tuition 201,100, ,502, ,603,400 9,502, % Student Fees 9,184, , ,584, , % Subtotal Tuition Revenue 227,304, ,924, ,229,300 10,924, % Fee Revenue Continuing Education Fees 3,230, , ,381, , % Online Education Fees 13,691, ,607, ,299,760 1,607, % Special Program Fees 2,390, , ,910, , % Unit and Course-based Fees 4,294, ,143, ,437,300 1,143, % Miscellaneous Fees 5,543, , ,890, , % Subtotal Fee Revenue 29,150, ,770, ,920,000 3,770, % Total Tuition and Fee Revenue 256,454, ,694, ,149,300 14,694, % State Appropriation and Other State Funds State Appropriation 163,049, , ,366, , % Other State Funds 800,000 20, ,000 20, % Total State Appropriation and Other State Funds 163,849, , ,186, , % Transfers from UofL Corporations and Indirect 23,547, (1,091,400) 22,456,200 (1,091,400) -4.6% Cost Transfers Sales and Services of Educational Activities 702, , ,400 10, % Organized Activities Related to Instruction 1,061, , ,133,700 72, % Other Non-Educational Revenue 3,677, (372,100) (73,000) 3,232,200 (445,100) -12.1% Interest Income 3,517, ,517, % Hospital Related Revenue 13,983, (122,600) 0 13,860,900 (122,600) -0.9% Total Education & General Revenue 466,793, ,900 14,694,800 (412,400) (1,164,400) 480,248,800 13,454, % AUXILIARY ENTERPRISES REVENUE Auxiliaries 7,303, , ,843, , % University Housing 7,056, (233,300) 0 6,823,100 (233,300) -3.3% Service Centers 1,558, , ,572,200 13, % Total Auxiliary Enterprises Revenue 15,918, , ,238, , % TOTAL GENERAL FUND REVENUE 482,712, ,900 14,694,800 (92,100) (1,164,400) 496,487,700 13,775, % UofL Corporations Revenue 740,000, ,000, % TOTAL UNIVERSITY REVENUE 1,222,712, ,900 14,694,800 (92,100) (1,164,400) 1,236,487,700 13,775, % 29

68 GENERAL FUND EXPENDITURE BUDGET

69 EXPENDITURE HIGHLIGHTS Expenditure Assumptions 1. The proposed expenditure budget is based on total General Funds available from a carefully-developed projection of revenue. The University of Louisville employs several methods of budgeting such as traditional incremental budgeting, program budgeting, formula budgeting and a few elements of Responsibility Center Management (RCM). 2. In total the University s fixed costs are scheduled to increase approximately $2.8 million. Increases to fixed costs include utilities, insurance premiums, employerpaid benefits, bad debt expense and payroll tax contributions. Decreases in fixed costs include Audit Fees, and University Leases. Increases in fixed-cost items are typically covered first from new discretionary dollars before other program considerations and strategic initiatives are funded. 3. Four separate university-wide balancing strategies totaling $5.2 million will be employed in FY A Voluntary Separation Incentive Program (VSIP) is the largest of the balancing strategies. The VSIP is being offered to faculty and staff who meet the eligibility criteria. Other balancing strategies are from the over realization of the administrative fee on program budgets; procurement savings, and lapsed fringe benefits. These will be detailed later in this document. 4. The proposed expenditure budget includes strategic initiatives totaling approximately $13.3 million. The most significant of these is a 4% permanent faculty and staff salary pool, that also includes additional funds to provide a minimum $1,200 salary increase for employees making $30,000 and less. Other initiatives include those funds set aside for students, research, and faculty and staff issues. 5. In addition to the above strategic initiatives, another $600,000 has been included to partially address ongoing structural budget problems in utilities and information technology. 30

70 EXPENDITURE HIGHLIGHTS IX. GENERAL FUND EXPENDITURES The University of Louisville projects a General Fund expenditure budget (balanced to the projected General Fund revenue) of $496.5 million for FY The proposed General Fund expenditure budget is an increase of approximately $13.8 million, or 2.9%, over the FY budget. 1. Fixed costs provide for the University s basic operating needs and such increases routinely must come off the top of available General Funds before other discretionary increases are funded. Increases in fixed costs requires a substantial amount of new money annually. The chart below illustrates the annual incremental budget increases that are devoted to fixed costs (exclusive of mandatory debt service payments). Proportion of Fixed Cost Increases to Total Budget Increases Exclusive of Mandatory Debt Transfers From FY FY 2014 FY FY FY FY FY FY FY Average 3.1% 25.2% 40.5% 23.2% 4.1% 20.6% 20.5% 19.6% Healthcare costs continue to outpace consumer spending as measured by the United States Bureau of Labor consumer price indices. The change in CPI-U for the period of January 2011 to January 2013 was 4.6%. However, the Medical Care Index increased by 6.8% during this time frame. This two-year snapshot mirrors a long-term trend in these indices. For the period of January 2001 to January 2013, health care costs have increased 57.5% vs. a CPI-U figure of 31.5%. The FY budget includes funding to cover a 5% increase in employer paid health care premiums for the period of July 2013 through December This increase covers a premium increase that was implemented January 1, The budget also includes strategic initiative funding to cover an expected additional 10% premium increase that takes place on January 1, The total increase for health care costs is $1.8 million in FY

71 EXPENDITURE HIGHLIGHTS Employer-paid health insurance premiums for calendar year 2013 are currently $675 per month per employee, which pays the cost for single coverage on UofL s basic health plan. Effective January 1, 2014 funds are budgeted to cover a 10% increase to the health insurance premium to a projected $743 per month per employee. Employer-paid Social Security Taxes A increase of $350,000 is budgeted to cover the projected increased cost of funding FICA taxes on a higher Social Security wage base (salary maximum) for the January June 2014 time period. At the time of publication the Social Security Administration has not yet finalized the 2014 contribution and benefit base. Because of this, the University must anticipate a cost increase and project the 2014 base. The $350,000 budgeted increase for FY is predicated on an estimated increase in the current $113,700 base. mployee Retirement Program Employees meeting eligibility guidelines may elect to participate in UofL s optional 2.5% matching retirement plan. Enrollment in this program continues to grow each year, which increases the cost of this employee benefit. Included in this budget is an additional $300,000 to cover these projected cost increases. Worker s Compensation This insurance premium is based on worker s compensation classifications, historical claims experience and the insurance market. These three factors, applied to the University s payroll determine the cost. Due to an increase in worker s compensation claims and market changes over the previous few years, this budget is projected to increase $75,600 for FY Insurance The proposed budget includes additional funding $100,000 to fund projected life insurance premium increases, and $200,000 to fund unemployment insurance increases. Building Leases It is anticipated that the University will decrease its use of leased space in FY Consequently, a decrease of $95,000 for building leases is budgeted. Utilities Once again, UofL will experience utility rate increases in the new fiscal year. Electricity, which comprises nearly half of all utility costs is expected to increase 12%, while water rates are expected to rise 6.5%. Overall, utilities are projected to increase 5% over last fiscal year. Therefore, the budget for utilities is increasing by $991,

72 EXPENDITURE HIGHLIGHTS 2. Debt Service In total, payments to meet the University s debt service requirements will decrease approximately $694,735 in FY The following table details the changes in principal and interest payments by individual debt service series: Change in Debt Service Requirements 2007 Series A General Receipts Bonds (500) 2008 Series A General Receipts Bonds (200) 2010 Series A and B General Receipts Bonds (999) 2011 General Receipts - Student Recreation Center (Series A) 1,775 Consol Educ Bldg Rev Bonds (Series M) 88.5% (229,790) Consol Educ Bldg Rev Bonds (Series M) Parking portion 11.5% (29,860) Consol Educ Bldg Rev Bonds (Series P) 3,370 Revenue Refunding Bonds (Series E) - Housing 76% (1,415) Revenue Refunding Bonds (Series E) - Miller Renovation +Shelby 24% (447) Revenue Refunding Bonds (Series F) - Housing (1,269) Series A : General Receipts (435,400) Total Change in Debt Service (694,735) 3. In addition to the aforementioned fixed costs, the Leadership Team approved a limited number of mid-year budget adjustments that total $243,300 and are recurring commitments. Most of these adjustments are directly tied to the strategic academic and research mission of the University. As a general rule, the President and his Leadership Team limit permanent, off-cycle budget adjustments and make every effort to utilize the annual budget development cycle to make permanent budget decisions. 4. Strategic Initiatives The FY budget includes commitments totaling $13.3 million for strategic initiatives. The approved strategic initiatives are a culmination of a months-long Leadership-led process of identifying, researching, and communicating with Deans and Vice-Presidents. The Leadership Team allocated these initiatives in such a way to align with the University s strategic plan and contribute to the goal of making the University of Louisville a premier metropolitan research university. The initiatives are presented below in one of three distinct strategic categories. I. Student Initiatives: These initiatives assist in further advancing The 2020 Plan goals of Educational Excellence; Research, Scholarship and Creative Activity; Diversity, Opportunity and Social Justice, Creative and Responsible Stewardship; and Community Engagement. Funds are being directed to this initiative to make UofL an attractive choice for all students, produce graduates who are responsible, engaged, and ready for the global community, support the research and recruitment of faculty, and add to UofL s public service principles. 33

73 EXPENDITURE HIGHLIGHTS Financial Aid To aid in the recruitment and retention of quality students, the proposed budget includes an additional $942,200 for the student financial aid budget. The $942,200 represents a general increase to the central undergraduate financial aid programs that are administered by the University s financial aid office. This budget item directly offsets the projected 3% tuition rate increase and maintains undergraduate financial aid budgets at roughly the same relative program expenditure levels as in FY All other unit-based General Fund financial aid budgets will remain budgeted at July 1, 2012 levels. Units with unused endowed financial aid funds are required to apply these endowment funds first and then, if needed, request General Funds through the Office of the Executive Vice President and University Provost. Student Government Association (SGA) In FY , the University s Leadership made a three-year commitment to provide an additional $200,000 per fiscal year to enhance student programming and activities. This allocation is the second of the three year commitment and brings the additional allocation to $400,000 in total. These funds will supplement the yearly $470,600 that SGA currently receives from the $12 per student, per semester Student Activity Fee. II. Research Initiatives: Initiative totaling $500,000 is budgeted for FY Research initiatives support UofL s strategy to meet the Kentucky legislature s H.B. 1 mandate that the University of Louisville become a premier metropolitan research university. Specifically the initiatives meet and advance The 2020 Plan goals of Educational Excellence; Research, Scholarship and Creative Activity; Creative and Responsible Stewardship; and Community Engagement. The Conn Center For Renewable Energy Research is receiving $500,000 to continue the expansion of its operations. These funds will be used to recruit eminent scholars for leading energy storage, power electronics and advanced energy materials themes within the center. This is part of the overall vision to develop expertise and facilities in five thematic areas of research within renewable energy research: solar, biofuels, energy storage, energy efficiency and advanced energy materials. This investment completes Leadership s two year commitment to provide $1 million to the Conn Center. 34

74 EXPENDITURE HIGHLIGHTS III. Faculty and Staff Initiatives: These initiatives correspond with The 2020 Plan goals of Educational Excellence, and Creative and Responsible Stewardship. Salary Pool The recent recession, declining state appropriations, and the general uncertainty of the economy have presented severe challenges in compensating employees over the past five years. Still, the University s Leadership continues to place employee compensation as an important goal for the institution and identified providing a recurring salary increase for faculty and staff as one of the five Budget Principles for this budget. A slightly improved economy, the absence of a state appropriation reduction, and implementing several balancing strategies made it possible for UofL to provide a 4% permanent salary increase pool for employees meeting eligibility criteria. The total general fund cost of the salary increase is $9.5 million and over $20 million for all university funding sources. The salary increase was distributed to faculty and board appointed administrators based on their annual performance evaluation. These increases could range from 0% to 6%. Staff receiving a satisfactory performance evaluation received a 4% salary increase. To ensure that no staff would earn less in FY than in FY , staff earning $30,000 or less and with a full-time equivalency (FTE) of 1.00 will receive a minimum $1,200 salary increase (those less than 1.00 FTE will receive a proportional share of the $1,200). Faculty Promotion Fund A total of $525,000 is provided for the Faculty Promotion Fund. Because academic rank and tenure decisions are based on performance factors independent of unit budgets, this central pool funds salary increases for faculty who receive academic promotions during the year. These academic promotion funds are typically awarded on top of the performance based salary increase. Staff Promotion and Reclassification Fund This budget proposal includes $250,000 for the Staff Reclassification and Promotion Fund. Allocations are made to departments during the year on an as needed matching basis. Requests to use this fund usually arise as a result of expanded duties in a position, promotion to a higher level of duties, or an administrative determination that current duties are incorrectly classified. 35

75 EXPENDITURE HIGHLIGHTS Health Insurance The implementation of several key components of the Patient Protection and Affordable Care Act (PPACA), commonly called Obamacare take effect in October The financial effects of this legislation on UofL is largely uncertain at the time of this publication. In order to be fiscally prudent, the health insurance budget for the period of January June 2014 is increased by 10% or $1.2 million. Climate Action Plan for the Provost Office The UofL Sustainability Office, a department under the aegis of the Provost s Office is receiving $182,000 towards the coordination and continued development of the University s Climate Action Plan. The Climate Action Plan is required by the American College & University Presidents Climate Commitment (ACUPCC) of which UofL is a member. UofL s plan aims to make the University climate neutral by IV. Structural Budget Problems Over a period of time, costs associated with a department may increase at a rate exceeding available budget dollars. These costs are often the result of unexpected events or changing University priorities. As a result, such cost overruns create budget deficits over time and therefore sometimes create structural budget imbalances. These imbalances mask the validity of budget data, and consequently, strategic decision making. A total of $600,000 is budgeted for two structural budget problems as follows: Utilities $300,000 - The university wide utilities budget has a $1 million on-going annual deficit. This deficit is directly attributable to the lack of state funding for Maintenance and Operations (M&O) for new, large research facilities such as the Center for Translational Research building on the Health Sciences Campus (opened in 2009), the Center for Predictive Medicine on the ShelbyHurst campus (opened in 2010), and the Shumaker Research building on Belknap campus (opened in 2009). Utilities received a $650,000 structural imbalance allocation for the FY budget. Information Technology $300,000 - The PeopleSoft enterprise system was never fully funded when it was implemented thirteen years ago. The $300,000 will be applied towards this on-going deficit. Information Technology received a $500,000 structural imbalance allocation for the FY budget. 36

76 EXPENDITURE HIGHLIGHTS The FY initiatives described above are summarized in the following charts: Investment in Strategic Initiatives & Address Structural Budget Problems Description Amount Student Initiatives Student Financial Aid 3% 942,200 SGA Program Enhancement 200,000 Total Student Initiatives 1,142,200 Faculty & Staff Initiatives Salary Pool and Funds for Minimum Increase of $1,200 9,509,155 Climate Action Plan for Provost 182,000 Faculty Promotions 525,000 Staff Reclassifications and Promotions 250,000 Health 10% for Employees, Jan-June ,199,832 Total Faculty & Staff Initiatives 11,665,987 Research Initiatives Speed School - Conn Center Infrastructure 500,000 Total Research Initiatives 500,000 Structural Budget Problems Total Structural Budget Problems 600,000 Total Investment in Critical Initiatives 13,908,187 Strategic Initiatives - By Type 3.6% 4.3% 8.2% Student Initiatives Faculty & Staff Initiatives Research Initiatives 83.9% Structural Budget Problems 37

77 EXPENDITURE HIGHLIGHTS More than 68 cents of each dollar funds academic activities Instruction Student Aid Academic Support Research 12 cents of each dollar pays for Debt Service Student Services Public Service Auxiliary Hospital 9 cents of each dollar pays for Maintenance Utilities 11 cents of each dollar funds Administrative Services Institutional Support Information Technology Human Resources Budgeting, Finance & Accounting Public Safety 38

78 EXPENDITURE HIGHLIGHTS Academic Units: Summary of Changes in to General Fund Operating Budget by CSD Salary Increase Budget Change In Proposed Original New Offset by One-day Fac / Admin- ILS / Fixed Balancing Policy Fringe Proposed Change from Percent Budget Funds Revenue Transfers Variance Staff istrators PT Fac Costs Strategies Initiatives Benefits Budget Original Change Academic Support Programs 3,196, ,083 (3,901) 1,086 54,164 5, ,197 96,901 3,364, , % College of Arts and Sciences 56,622, , ,339 7,083 1,140,365 7,303 48, , ,540 59,247,375 2,625, % College of Business 19,014, ,047,935 7,546 1, ,725 7,969 20, , ,250 20,775,110 1,760, % School of Dentistry 17,527, ,988 83,777 7, ,233 12, , ,792 18,586,358 1,059, % College of Education and Human Development 17,928,247 0 (189,940) 2,168 3, ,601 9,000 40, , ,945 18,684, , % School of Interdisciplinary and Graduate Studies 3,727,003 20, , ,872 9, ,514 4,018, , % Kent School of Social Work 4,315, ,520 10, ,283 8,240 8, ,419 99,928 4,699, , % Brandeis School of Law 6,038, ,000 95, ,449 6,523 2, , ,705 6,415, , % Libraries 17,941, (48,309) 6, ,314 7, , ,135 18,232, , % School of Medicine 50,702,835 0 (11,791) 183,566 8, ,295 1,504 10, , ,112 52,295,916 1,593, % Metropolitan College - UL 264, (14,972) (9,292) 240,412 (24,264) -9.17% School of Music 5,806, ,052 (9,670) ,085 7,414 20, , ,595 6,213, , % School of Nursing 5,621, ,288 98, ,980 15,096 3, ,143 16,518 6,351, , % Other Academic Programs 7,444, ,930 (71,319) ,213 9,615 2, ,800 8,142, , % School of Public Health and Information Sciences 4,734, , ,741 43,772 4,951, , % J. B. Speed School of Engineering 20,435, , ,189 1, ,975 12,600 7, , ,244 21,846,243 1,410, % Undergraduate Affairs 3,660,915 0 (6) (24,475) , ,451 3,779, , % Total Academic Units 244,982,027 20,000 3,033, ,062 40,362 4,699, , , ,187 3,040, ,843,446 12,861, % Support Units: General Institutional Expenses 5,838, ,000 74, , (151,800) (1,950,000) 0 (878,160) 3,151,024 (2,687,916) % Executive Vice President Health Affairs 7,970, ,947 (90,548) 1,609 82, ,302 8,327, , % Institutional Support: 0 0 Office of the President 1,587, ,907, ,124 4, ,636 4,020,584 2,432, % Provost Office 5,789,901 0 (2,277) 47, ,213 62, , ,129 6,381, , % Vice President Business Affairs 7,695, ,936 6,102 11, ,598 21, ,316 8,096, , % Vice President Information Technology 11,497, , , ,755 16, ,000 80,467 12,273, , % Vice President University Advancement 2,538, (1,953,763) , (404,296) 227,366 (2,311,541) % Vice President Community Engagement 758, , , ,049 19, % Vice President Finance 5,365, ,600 (3,994) 81,161 3, ,833 16, ,777 5,862, , % Vice President Human Resources 1,833, , ,159 3, ,555 1,951, , % Physical Plant 44,915, , , , , ,029 47,198,997 2,283, % Executive Vice President Research and Innovation 11,803, (147,102) 3, ,828 12, ,570 12,023, , % Reserves 10,677, (76,603) 0 841, , (2,750,000) 573, ,309 9,517,292 (1,159,762) % Student Affairs 5,202, , ,290 96,849 12, ,738 5,759, , % Student Financial Aid 50,803,005 50,000 0 (340,489) , ,454, , % Student Government Association 670,600 0 (5,813) ,000 5, , , % Enrollment Management 6,787, , ,604 1, , ,944 7,201, , % Mandatory Transfers (Debt Service) 23,595, (694,735) ,901,015 (694,735) -2.94% Total Support Units 205,332, , ,480 (219,321) 70,648 2,546, , ,272 (4,700,000) 2,498,041 1,082, ,996,841 2,664, % Auxiliary Enterprises: Auxiliary Enterprises 3,614, , ,084 26, (5,888) 4,271, , % Service Centers 1,034,800 0 (182,716) 0 2, , ,487 1,048,200 13, % University Housing 5,814,600 0 (426,560) , ,923 5,583,986 (230,614) -3.97% Total Auxiliary Enterprises 10,464, , , , ,522 10,903, , % Quality Charity Care Trust (QCCT) 21,934,400 0 (2,190,773) ,743,627 (2,190,773) -9.99% Total General Funds 482,712, ,600 1,679, , ,340 7,425, , , ,272 (4,700,000) 3,429,228 4,356, ,487,700 13,775, % UofL Corporations 740,000, ,000, % TOTAL UNIVERSITY 1,222,712, ,600 1,679, , ,340 7,425, , , ,272 (4,700,000) 3,429,228 4,356,352 1,236,487,700 13,775, % 39

79 PROGRAM BUDGETS AND FEES

80 PROGRAM BUDGETS & FEES X. PROGRAM BUDGET & VARIOUS FEES-EXPENDITURE SUMMARIES Major research universities like UofL offer opportunities and resources for the entire community. There are the student-focused services such as housing and parking, there are new and convenient learning distribution models such as online education, and there are the many laboratories and departments that are part of the greater fabric of the city and the university. The latter category engages in multi-varied activities and produces a sizable amount of goods and services for the University and external constituencies. The following section briefly highlights many of these activities, generically entitled program budgets. These revenue increases are mostly offset by like increases on the expenditure side of the budget. Activity - Program Continuing Education Fees Summary of Program Budgets & Various Fees-Expenditure Summaries Revenue Budget Change Expenditure Budget Change Delphi - General Administration 0 27,700 Reason The Delphi Center The General and Administration expense budget is being increase by $27,700. This increase is provided by the Delphi Online Program. Delphi - Professional Development 73,900 73,900 The continuing education budget for Delphi Profession Development is being increased by $73,900. Starting FY , three new training programs will begin---two corporate programs and a new training program for Louisville Metro Government. The new budget revenue and expenditure budgets are $765,000. Delphi - Conferences & Facilities 130, ,000 The Delphi Conferences and Facilities budget is being increase by $130,000. This increase is due to the increase in marketing to secure more conference bookings, weddings, and catering revenue associated with various events. Justice Administration (52,700) (52,700) The program budget for Justice Administration Continuing Education within the College of Arts and Sciences is reduced by $52,700 for FY to bring the total budget of $892,000 into agreement with actual revenue received over recent years. Online Education Fees Delphi Online - 25% 441, ,600 Delphi Online 25% - The Delphi Center Online revenue is being increased by $441,300. The online education offerings remain robust as units add additional courses and increase the revenue of existing programs. The revenue increase for online programs is used to cover operating expenses for office administration ($27,700) and the operating expenses associated with the management of the many online courses is being increase by $413,600. Online Education 766, ,600 Demand for Online Education classes remains strong, and tuition revenue has exceeded current budget estimates. Consequently various new and existing Online Education program revenue and expense budgets are increased in FY The Colleges of Arts and Sciences and Education and Human Development comprise over 80% of all online education revenues and expenses.tuition for online education classes will remain 130% of the undergraduate and graduate rates. 40

81 PROGRAM BUDGETS & FEES Activity - Program Special Program Fees Summary of Program Budgets & Various Fees-Expenditure Summaries Revenue Budget Change Expenditure Budget Change IESL Program 6,000 6,000 Reason The Intensive English as a Second Language (IESL) program, offered by the College of Arts and Sciences will increase the tuition rate for the IESL Program to $4,590 from $4,190, an increase of $400 or 9.5%. The increase will help offset anticipated increases in expenditures and maintain instructional quality. Equine Special Program (5,000) (5,000) Music Non-credit Prep 45,000 45,000 Panama MEEM Program (5,000) (5,000) Joint MBA Tuition 67,500 67,500 Full-time MBA Program 450, ,000 IMBA Program 200, ,000 Equine Special Programs The budget is being reduced by $5,000, therefore, this program will no longer have an operating budget. As events are hosted and the revenue is generated and budgeted, the expenses incurred will be paid from this program during FY The Community Music Program in the School of Music is increased $45,000 to $190,000 in recognition of the demand for the program in recent years. The Speed Engineering School s Panama MEEM Program (Master of Engineering in Engineering Management) assists in the delivery of a Masters degree program in Panama City. Actual revenues over the past three years led to a decision to decrease the revenue and expenditure budget by $5,000. The College of Business is estabishing a Joint MBA tuition program that will enable students to earn the Professional MBA and a Master's Degree in either Medicine, Accountancy, Law, or Engineering. The initial budget is set at $67,500. Revenues are considered tuition. The Full-Time MBA Program is a non-joint cohort MBA program in the College of Business and continues the College's strategic emphasis to create graduate programs that meet the multi-varied needs of today's students. This program records the fixed price tuition revenue collected equally over three (3) semesters. The budget is being increased by $450,000 to reflect the actual revenue received in recent years. The new budget for FY 2014 is $900,000. Revenues are considered tuition. This award-winning Entrepreneurship MBA program (IMBA) allows students to create a new venture and participate in national business plan competition. This program is a cohortbased, 2-year program. The tuition revenue for FY 2014 is projected at over $600,000 due to the increase in cohart class size from 15 to 25 students. The new revenue and expenditure budgets are $600,000 for this program. Revenues are considered tuition. Executive MBA 50,000 50,000 Miami/Europe 9,500 9,500 The Professional MBA program is a cohort-based, 2-year program offered in a Saturday or evening format. Six elective courses allow stduent to choose an araa of focus. The budget is being increased to reflect the actual revenue in recent years. The new revenue and expenditure budgets are $500,000 for this program. Revenues are considered tuition. The Miami / Europe Program - The summer Europe and Miami University in Ohio program is being increased by $9,500 to $400,000. This will being the budget in line with actual revenue over the past several years and the additional funding will cover operating expenses. IMBA/MBA International Trip 300, ,000 College of Business MBA students participate in the Global Learning International Trip that is required for their program. A total of $4,000 from each student's MBA cohoart program tuition is allocated to this fund. The initial budget is set at $300,000. QLU Program 320, ,500 SPD-IE German Ph.D. Programs (164,000) (164,000) SPD - GE Edison Program 200, ,000 WHRE Panama Int'l Program 113, ,500 For FY , the College of Arts and Sciences is budgeting $320,000 for a new Panama QLU Program. Under this program, A&S instructors teach courses at the Panama Quality Leadership University. The associated program budget is funded through international program tuition revenue. The J.B. Speed School of Engineering German Ph.D. Program has not been renewed and will be closed. As a consequence the program budget of $164,000 is removed. A new program budget, GE Edison Program, is planned for FY with an initial budget of $200,000. This program will offer off-campus instruction leading to an M.S. in engineering. For FY the College of Education and Human Development has established a Panama International Program, with an initial budget of $113,500. The program represents collaboration between the University of Louisville and the Institution of Higher Education and Quality University in Panama City, Panama. This new program will offer a Master s of Science in Human Resource Education. Tuition revenue generated from the program will be split between the two universities. 41

82 Activity - Program Miscellaneous Fees Revenue Budget Change Expenditure Budget Change PROGRAM BUDGETS & FEES Summary of Program Budgets & Various Fees-Expenditure Summaries Student Recreation Center Fee 337, ,585 Campus Health Services 400, ,000 Hope Tax Credit 5,000 5,000 Reason This line item has been established to account for the anticipated revenues and expenditures related to the funding and construction of a proposed new Student Recreation Center. Funding for the Center is expected to be a mixture of private donations, and a $98 per semester fee for students. The per semester fee would be pro-rated for non-full-time students. Campus Health Services provides primary and psychiatric care to students, and also a variety of health education services to students. The fees that support the program are not increasing, but the increased budget is a reflection of actual revenues. Revenues are considered mandatory fees. For FY , the Vice President of Finance is budgeting an additional $5,000 in anticipated revenue and expenses to bring the total revenue and expense budget to $35,000. The increase is due to an increased number of students to receive the tax form and additional setup costs associated with expanding the use of the electronic delivery system. University Testing Service 5,000 5,000 The Enrollment Management University Testing Service anticipates that revenue will increase by $5,000 to bring the revenue budget of $130,000 into agreement with actual revenue received over recent years. Unit and Course-Based Fees Dental Instruments Rental 347, ,000 Business Technology and Career Mgmt 30,000 30,000 Medical School Technology Fee 5,000 5,000 The School of Dentistry embarked on an enrollment strategy to admit 120 new non-resident students over a three year period. The Dental Instrument Rental budget is increased by $347,000 based on the School s enrollment of the full complement of additional non-resident students. Technology Career Management Fee The College of Business Technology and Career Management Fee program is being increased by $30,000 in association with CIS courses. The additional funding will be used to cover student wages. The revenue and expenditures are expected to increase $5,000 to reflect recent historical financials. NSG Instructional Course Fee 351, ,000 The School of Nursing charges a clinical course fee for upper division nursing students. This rate is $30 per student credit hour taken in the five program semesters for students enrolled in 300 and 400 level courses. The differential tuition funds will be used to sustain the high quality of the current bachelor s degree program and to further provide funding to recruit and retain faculty at competitive compensation levels. Acute Care NP Cln Course Fee 1,000 1,000 The School of Nursing charges a $200 clinical course fee for students taking Nursing 675 in a new Acute Care Nurse Practitioner track in the Masters of Science in Nursing program. The proceeds from this fee will be used to supplement on-campus lab equipment and provide funds for the reimbursement for clinical placement site visits by faculty. This fee will affect about five new students each year. Graduate Prosthodontic Residents Fee 14,000 14,000 Course and Laboratory Fees Nursing Clinical Course Fee 146, ,000 This is a new three-year Graduate Program in the School of Dentistry that is expected to enroll two students per year. The School of Nursing charges a $45 per credit hour clinical course fee for students taking Nursing courses numbered NUR 361, NUR 264, NUR 371, NUR 461, NUR 464, NUR 473 and NUR 474. This fee replaced the current $75 per clinical course fee. The restructuring of clinical lab fees on a per credit hour basis better reflects the true utilization of specialized lab equipment and related lab supplies. The additional fee revenue will provide the needed maintenance and improvements to lab equipment and the expansion of electronic health records and other virtual instructional strategies. Nursing Clinical Lab Fee (56,000) (56,000) This program will be closed by Nursing. Graduate Nursing Specialty Fee 5,000 5,000 The program budget is increased to reflect actual revenues and expenses from last two fiscal years. 42

83 PROGRAM BUDGETS & FEES Activity - Program Transfers from Affiliated Corporations Summary of Program Budgets & Various Fees-Expenditure Summaries Revenue Budget Change Expenditure Budget Change Reason Transfer from UofL Foundation, Inc. 2,000,000 0 These funds were derived from the downtown Tax Increment Financing district that UofL activated in late Debt Service (125,200) (694,735) Sales and Services of Educational Activities Disabled Student Services (73,300) (73,300) International Service Learning - SA 71,300 71,300 Music Non-credit Dance 7,000 7,000 Food Processing Program 5,000 5,000 Organized Activities Related to Instruction Family Business Center 21,500 21,500 UofL Law Journal 5,000 5,000 AP Summer Institute 5,000 5,000 Rauch Planetarium 35,800 35,800 Sterilizer Service Program 5,000 5,000 Other Non-Educational Rental Income 37,000 0 Revenue will decrease by $125,100 for FY Expenditures will decrease by $694,735. This is primarily due to the refinancing of Series N (HSC Parking, Belknap Research Bldg) and Series O (Natatorium) which resulted in a $435,400 decrease in debt service expense; and a $259,650 decrease in debt service for CEBRB Series M bonds. This category also consists of transfers from various affiliated corporations to pay annual debt service requirements per contractual arrangements. The affected corporations include the Athletic Association, the Research Foundation, University Housing, and various corporations funded by General Receipts bonds. Disabled Student Services will be reducing the revenue and expense budgets by $73,300. This reduction is based on reduced usage of services. The Coordinator for Deaf/Hard Hearing position was eliminated. Remaining budget with be used to pay for outside coordinators as needed. International Service Learning expenses and revenue are increasing by $71,300 based on previous year s actuals and growth in the program. This brings the total program to $400,000. This course teaches dance to anyone that provides the required fee. Classes are held both in and out of the School of Music. Increased revenue and expenditures of $7,000 reflect anticipated demand in the fiscal year. A $5,000 increase in the Speed School s Food Processing Program is budgeted due to salary increases. Family Business Center The University of Louisville Family Business Center budget is being increase by $21,500. The increase is based upon the increase in event ticket sales and consulting fees. The increase will be used to cover supports staff and other operating expenses. An increase of $5,000 for the UofL Law Review program reflects rising subscription revenue for its publication, the Brandeis Law Journal. The additional revenue will be used to support operations. The AP Summer Institute program is being increased by $5,000 based on anticipated revenue of $155,000 which is in agreement with actual revenue received over recent years. The Rauch Planetarium is upgrading to a full-dome theater, which is expected to result in an upsurge in gate revenue as well as expenses for additional staffing to provide expanded hours of operation. In addition, a substantial increase in revenue is anticipated to be generated from the new portable planetarium. As a result, planetarium revenue and expenditures for FY are expected to increase $35,800. A $5,000 increase is budgeted to account for salary and fringe benefit increases. The programs anticipates earning an additional $5,000 to cover the increased expense. University rental properties revenue is expected to increase by $37,000. The budget in FY is $193,300. Flex Spending (110,000) 0 EBS Clearwire 30,000 30,000 Radiation Safety (36,600) (36,600) University Mobile 2,000 2,000 SAC Special Projects 12,500 12,500 The University records revenue each year on unused Flexible Spending Accounts (FSA). The budget is decreased for FY to better reflect recent historical FSA activity. Clearwire EBS Lease - $30,000 increase based on the EBS Royalty contract the increases the monthly rate to $2,500 for years Radiation Safety budget is being decreased by $36,600 to more closely match actual program expense and revenue. Student Affairs receives commission revenue that is generated by students signing up to receive text messages from an external company. The revenue is used for SGA student initiatives. SAC Special Projects will be increasing the revenue and expense budgets by $12,500. This increase is based on actuals and the fact that student activities will be taking over the running and staffing of the gameroom currently managed by Intramurals. 43

84 Activity - Program Other Non-Educational Revenue Budget Change Expenditure Budget Change PROGRAM BUDGETS & FEES Summary of Program Budgets & Various Fees-Expenditure Summaries Intramurals (60,000) (60,000) Early Learning Campus (364,200) (25,900) Reason Intramural Fees is reducing the budget by 50% or $60,000. The reason for the reduction is the opening of the new Student Recreation Center in October moving a lot of the student centered recreational activities out of the SAC. To help accommodate an imbalance between revenue and expenditures of the Early Learning Campus, the Provost has agreed to centrally fund the fringe benefits of that program. The Early Learning Campus budget is thereby reduced approximately $364,000. Procurement Card 17,200 17,200 Music Therapy 27,000 27,000 Auxiliary Enterprise University Parking 543, ,700 Procurement Card - $17,200 increase in expenses to cover salary increases and the administrative fee. The Crusade for Children charity in Louisville helps children with special needs across a wide variety of programs and activities. This new program, established at the request of the Crusade for Children, continues the music therapy provided to hospitalzied children after they have been released from the hospital. University Parking has proposed to increase the program budget by $543,900. The increase will cover salary increases, equipment replacement and maintenance. itech Express (11,300) (11,300) itech Express - $11,300 decrease based on previous year actuals and the use of student workers for coverage in the store. Bookstore Operations 0 5,000 An increase of $5,000 in expenses is budgeted to reflect rising utility and salary costs. Revenue is expected to remain flat in FY Food Service Contract 7,600 7,600 University Housing Residence Hall Room Revenue (249,600) 0 ULP Affiliated Housing (100,000) 0 Other Income (Administration, Laundry, Vending) 116,300 0 An increase of $7,600 in revenue and expense is budgeted to reflect rising utility and salary costs. The expenditure increase will be offset by increased Sodexho commissions. The decrease in revenue is due primarily to reduced occupancy in the residence halls, including the closure of two halls. The decrease in occupancy is mitigated by a proposed 3% increase in room rates. Revenue from Housing's various business affiliation agreements with local housing/apartment complexes is expected to decline in FY UofL receives a contracted amount of money per agreement. Housing receives revenue for various other housing-related activities such as application fees, damage fees, late charges, etc. General Housing Expenses 0 (230,700) Overall, housing is estimating an increase in expenses for maintenance and utilities, renewal and replacement funding, and residential education and programming. The total expense budget is showing a decrease primarily due to the closure of two residence halls. Service Center Rapid Prototyping Center (21,100) (21,100) Mass Spectrometry (30,400) (30,400) CPM Shared Resources 25,000 25,000 Microtechnology 34,900 34,900 NMR Maintenance 5,000 5,000 Hospital Related The budget of the Rapid Prototyping Service Center is reduced $21,100 to reflect anticipated revenue and expenditures in the forthcoming fiscal year. Expenditures of the Mass Spectrometry Service Center are expected to decline by $30,400 to a level of approximately $15,000 based upon anticipated recharges and service contract support commitments. The CPM Shared Resources program budget expects to continue growing thus has increased the expenses for the program by $25,000. This increase is based on growth since the program began a few years ago and work done by investigators associated with the program budget. The Microtechnology Service Center budget is increased $34,900 for FY in recognition of actual revenue and expenditures over recent years. NMR Maintenance revenue and expenditures are expected to increase $5,000 to reflect recent experience. Hospital Program Offset (122,600) (122,600) Decrease in ULH H9000 program 44

85 SUMMARY OF CHANGES IN REVENUE AND EXPENDITURES

86 SUMMARY OF BUDGET CHANGES I. Educational and General Revenue Budget A E&G Revenue Base Budget 466,793,900 B Adjustments to State Appropriation - Base Adjustments: QCCT Escalator (2,190,773) E&G Debt Service Adjustment 2,507,700 Sub-Total Base Adjustments 316,927 - Change in Other State Funds: Equine Trust Program 20,000 Sub-Total Other State Funds 20,000 Total Adjustments to State Appropriation 336,900 C. Adjustments to Tuition and Fee Revenue - Tuition: Projected Tuition Rate Increase (on budgeted enrollment): Summer Base (6% FY13 Rate Increase) 1,022,000 Regular (Fall & Spring) Base (3.0% Undergraduate; 5% Graduate; Law School Res. 5% NR 2.2%; Medicine Res. 7% NR 8%; Dentistry Res. 8% NR 7%. 7,963,400 Additional Enrollment (100 New Freshmen Students) 975,900 Joint MBA Tuition 67,500 Bad Debt Recovery 200,000 Unit Tuition Adjustments Fall and Spring Semesters (unit adjustment) (750,000) Professional Medicine 300,000 Graduate Dentistry 46,000 Central Distance Education 400,000 Full-time MBA Program 450,000 IMBA Program 200,000 Executive MBA 50,000 10,228, ,000 Sub-Total Adjustments to Tuition 10,924,800 - Fee Revenue: Mandatory Student Fees 400,000 Continuing Education Fees 151,200 Distance Education Fees 1,207,900 Special Program Fees 520,500 Miscellaneous Fees 347,360 Unit and Course-Based Fees 1,048,000 Course and Laboratory Fees 95,000 Total Adjustments to Fee Revenue 3,769,960 Total Adjustments to Tuition and Fee Revenue 14,694,800 D. Adjustments to Transfers from Affiliated Corporations Transfer from UofL Foundation, Inc. 2,000,000 Series A : General Receipts (400) Series A : General Receipts (123,700) 2010 Series A and B General Receipts Bonds (1,100) Total Adjustments to Transfers from Affiliated Corporations 1,874,800 E. Adjustments to Revenue from Sales and Services of Educational Activities 10,000 F. Adjustments to Revenue from Organized Activities Related to Instruction 72,300 45

87 SUMMARY OF BUDGET CHANGES G. Adjustments to Other Non-Educational Revenue (445,100) I. Restore Debt Service Reserve J. Hospital Related Revenue (2,966,166) (122,600) Total Projected Educational & General Revenue 480,248,800 II. Auxiliary Enterprises, Service Centers, and Housing Revenue Budgets A. Auxiliary Enterprises Base Budget 7,303,400 Food Service Contract 7,600 University Parking 543,900 itech Express (11,300) 540,200 Subtotal Auxiliary Enterprises 7,843,600 B. Service Centers Base Budget 1,558,800 Rapid Prototyping Center (21,100) CPM Shared Resources 25,000 Microtechnology 34,900 NMR Maintenance 5,000 Mass Spectrometry (30,400) 13,400 Subtotal Service Centers 1,572,200 C. University Housing Base Budget 7,056,400 Residence Hall Room Revenue (249,600) ULP Affiliated Housing (100,000) Other Income (Vending, Laundry, Administration) 116,300 (233,300) Subtotal Student Housing 6,823,100 Total University Revenue 496,487,700 I. Educational and General Expenditure Budget A Expenditure Base Budget 472,248,500 B. Fixed Costs: - Personal Services, Fringe Benefits One Extra Work Day for Classified Employees in FY14 140,000 Health 5%, July-Dec (Employees, Grad Stu, Fellows) 585,285 Employer Contribution for Increase in FICA Maximum 350,000 Employer's Retirement Contribution 300,000 Total Adjustments to Personal Services 1,375,285 - Current Expenses Life Insurance 100,000 Unemployment Insurance 200,000 Worker's Compensation Insurance 75,600 Music Licensing Contracts 3,600 Consulting and Professional Fees 17,600 Building Leases (95,000) Bad Debt Expense 200,000 Audit Fees (78,000) Total Adjustments to Current Expenses 423,800 - Physical Facilities Utility budgets increase (estimated at a 5% average) 991,807 46

88 SUMMARY OF BUDGET CHANGES - Change in Debt Service Requirements 2007 Series A General Receipts Bonds (500) 2008 Series A General Receipts Bonds (200) 2010 Series A and B General Receipts Bonds (999) 2011 General Receipts - Student Recreation Center (Series A) 1,775 Consol Educ Bldg Rev Bonds (Series M) 88.5% (229,790) Consol Educ Bldg Rev Bonds (Series M) Parking portion 11.5% (29,860) Consol Educ Bldg Rev Bonds (Series P) 3,370 Revenue Refunding Bonds (Series E) - Housing 76% (1,415) Revenue Refunding Bonds (Series E) - Miller Renovation +Shelby 24% (447) Revenue Refunding Bonds (Series F) - Housing (1,269) Series A : General Receipts (435,400) Total Change in Debt Service (694,735) Total Adjustments to Physical Facilities and Debt Service 297,072 Total Adjustments to Fixed Costs 2,096,200 C. Other Expenditures: FY13 Permanent Budget Revisions Carried Forward 243,330 Total Adjustments to Other Expenditures 243,300 D. Investment in Stategic Initiatives & Address Structural Budget Problems - Student Initiatives Student Financial Aid 3.0% 942,200 SGA Program Enhancement 200,000 Total Student Initiatives 1,142,200 - Faculty and Staff Initiatives Salary Pool - 4% Salary Pool and Add'l Funds for $1200 Employees up to $30,000 9,509,155 Faculty Promotions 525,000 Staff Reclassifications and Promotions 250,000 Climate Action Plan for the Provost Office 182,000 Health 10% for Employees, Jan-June ,199,832 Total Faculty and Staff Initiatives 11,665,987 - Research Initiatives Speed School - Conn Center Infrastructure 500,000 Total Research Initiatives 500,000 - Structural Budget Problems 600,000 Total Structural Problems 600,000 Total Investment in Strategic Initiatives and Structural Budget Problems 13,908,187 - Balancing Strategies Voluntary Separation Incentive Program - Faculty, Staff Salary and Fringe (2,750,000) Budget Over Realization of Administrative Overhead Fee (1,200,000) Procurement Savings (750,000) Capture University-wide Fringe Benefits on General Fund Vacant Positions (500,000) Total Budget Savings and Reductions (5,200,000) E. Expenditure Changes Offset by Specific Revenue or Departmental Credits - Continuing Education 178,900 - Distance Education 1,180,200 - Special Programs 1,926,300 47

89 SUMMARY OF BUDGET CHANGES - Unit-Based Fees 748,000 - Course and Laboratory Fees 95,000 - Miscellaneous Fees 745,585 - Sales and Services of Educational Activities 7,000 - Organized Activities Related to Instruction 72,300 - Other Non-Educational Programs (352,100) - Quality and Charity Care Trust (QCCT) (2,190,773) Total Adjustments to E&G Expenditures Offset By Revenue 2,410,400 G. Hospital Related Expenses: (122,600) Total Projected E&G Expenditure Budget 485,584,000 II. Auxiliary Enterprises, Service Centers, and Housing Expense Budgets A. Auxiliary Enterprises Base Budget 3,614,600 itech Express (11,300) Food Service Contract 7,600 Bookstore Operations 5,000 University Parking 655, ,000 Subtotal Auxiliary Enterprises 4,271,600 B. Service Centers Base Budget 1,034,800 Rapid Prototyping Center (21,100) CPM Shared Resources 25,000 Microtechnology 34,900 NMR Maintenance 5,000 Mass Spectrometry (30,400) 13,400 Subtotal Service Centers 1,048,200 C. Student Housing Base Budget 5,814,600 Residence Hall Expenses (178,000) Administration and Programming (52,700) (230,700) Subtotal Student Housing 5,583,900 Total University Expenditures 496,487,700 48

90 BUDGET BALANCING STRATEGIES

91 XI. UNIVERSITY BUDGET BALANCING STRATEGIES for FY While most University academic and support units have faced multiple budget reductions over the recent past, Leadership has made every attempt to absorb the majority of state appropriation reductions centrally. Fortunately, the FY budget does not include a budget reduction. It does, however, contain several central budget-balancing strategies that enable the University to balance the budget and maintain its upward trajectory towards meeting its goals and objectives. The strategies detailed below are expected to save UofL $5.2 million in FY with additional savings projected in subsequent years. The strategies and projected savings are detailed below: 1. Voluntary Separation Incentive Program (VSIP) - $2.75 Million BUDGET BALANCING STRATEGIES In Spring of 2013, UofL announced it will implement a Voluntary Separation Incentive Program (VSIP) that would provide eligible faculty and staff a financial incentive to separate from employment status with the University. The primary goals of the VSIP are threefold: It will reward dedicated faculty and staff who have worked for years in support of UofL are interested in retirement, but who need some assistance in making a transition from active employment to retirement. The voluntary separation incentive will provide a degree of financial security that will offer many individuals a chance to move to their next phase in life. Also, at a time when state funding has been reduced, it will enable the University to reduce salary expenditures, which in turn will help us limit tuition increases, support strategic investments, and support salary increases for faculty and staff. The program will also provide Leadership with the opportunity to strategically reorganize and reallocate faculty and staff positions across the University. 49

92 BUDGET BALANCING STRATEGIES The following chart details the program s incentives and separation dates. Employee Type Incentive Pay Health Plan Separation from University Faculty 12 Months of Annual Base Salary Voluntary Separation Incentive Program for Eligible Employees All employees who have not reached age 65 may continue to participate in the University s health plan until they become Medicare eligible. University will pay 50% of the health plan subsidy that applies to regular full-time employees for up to three years. Generally will separate within 12 months of VSIP Activation Date Administrators and Staff 6 Months of Annual Base Salary All employees who have not reached age 65 may continue to participate in the University s health plan until they become Medicare eligible. University will pay 50% of the health plan subsidy that applies to regular full-time employees for up to three years. Generally will separate within 6 months of VSIP Activation Date As of the date of publication, approximately 365 employees had signed a non-binding expression of interest for the VSIP. The ratio of staff to faculty VSIP non-binding participants is 2:1. Employees will have until May 31, 2013 to sign and execute a formal VSIP contract that will effectively separate them from the University. Though employees may opt-out of the program prior to May 31, 2013 all financial modeling shows that a conservative estimate of $2.75 million in savings will be realized in FY VSIP savings will be generated by not retaining some staff positions and re-hiring replacement personnel at salaries less than the current employee earned. University Leadership will begin working with the Dean s and Vice President s in early summer to formulate a plan that will strategically reallocate positions. 2. Capture Lapsed Fringe Benefits - $500,000 Currently the University allows lapsed salaries from general fund vacant positions to accrue back to the unit where the vacancy exists. However, the fringe benefits associated with these general fund positions accrue to the University s central budget. Because of the current hiring freeze, some of these lapsed fringe benefits can be permanently reduced. The University will capture $500,000 in lapsed fringe benefits permanently to help balance the FY budget. 50

93 3. Over Realization of Administrative Overhead Fee $1.2 Million General Fund programs that are self-supporting in nature (i.e. generate their own revenue, pay expenses from the earned revenue) are subject to the University s 10% Administrative Overhead Fee. This fee partially covers the cost the University bears in providing general overhead services such as accounting, purchasing, budgeting, maintenance and operations to these entities. The budget for the Administrative Overhead Fee was originally established at a conservative level to prevent budget shortfalls. After several years of sizable budget surpluses, the Leadership has decided to fully budget this fee to help balance the FY budget. This will generate approximately $1.2 million. 4. Procurement Savings $750,000 BUDGET BALANCING STRATEGIES The University is streamlining and economizing purchasing operations and options with prorated savings of $750,000 for FY While purchasing selection of goods and services will be winnowed down, it is expected that economies of scale will enable UofL to realize savings on volume purchases as well as on new favorable vendor contracts. University Budget Balancing Strategies Description Amount Voluntary Separation Incentive Program (VSIP) 2,750,000 Lapsed Fringe Benefits on Vacant Positions 500,000 Over Realization of Administrative Overhead Fee 1,200,000 Procurement Savings 750,000 Total University Budget Balancing Strategies 5,200,000 51

94 TREND DATA

95 BUDGET TREND DATA Average Annualized Three Year Percent Change in General Funds Average 3-Year Original Original Recommended Proposed Percent Percentage Budget Budget Changes Budget Change Change REVENUE BUDGET State Appropriation and Other State Funds 178,525, ,849, , ,186, % -4.01% Tuition and Fees 231,511, ,454,500 14,694, ,149, % 8.25% Other Revenue 61,009,900 62,408,600 (1,256,500) 61,152, % 0.14% TO TAL REVENUE 471,046, ,712,500 13,775, ,487, % 2.67% EXPENDITURES Academic Units Academic Support Programs 4,577,322 3,317,919 46,300 3,364, % % Arts and Sciences 55,677,469 56,765,834 2,481,541 59,247, % 3.16% Business 19,040,781 19,014,982 1,760,128 20,775, % 4.56% Dentistry 17,448,550 17,601, ,295 18,586, % 3.24% Education & Human Development 17,700,212 17,928, ,396 18,684, % 2.75% School of Interdisciplinary & Graduate Studies 3,753,895 3,727, ,105 4,018, % 3.55% Kent School of Social Work 4,005,807 4,315, ,005 4,699, % 8.32% Brandeis School of Law 6,071,376 6,038, ,811 6,415, % 2.85% Libraries 17,644,166 17,941, ,783 18,232, % 1.65% Medicine 54,441,207 54,002,835 (1,706,919) 52,295, % -1.98% Metropolitan College 265, ,676 (24,264) 240, % -4.81% Music 5,729,744 5,806, ,765 6,213, % 4.17% Nursing 5,206,642 5,621, ,462 6,351, % 10.48% Other Academic Programs 6,758,313 7,451, ,174 8,142, % 9.77% Public Health 4,831,427 4,734, ,498 4,951, % 1.29% J. B. Speed School 19,731,798 20,435,900 1,410,343 21,846, % 5.23% Undergraduate Affairs 3,714,469 3,660, ,098 3,779, % 0.89% Total Academic Units 246,599, ,628,925 9,214, ,843, % 2.26% Executive Officers and Service Units E. V. P. Health Affairs 7,725,218 7,970, ,028 8,327, % 3.82% President 1,642,949 1,639,147 2,381,437 4,020, % 72.53% Provost 6,516,312 5,857, ,153 6,381, % -0.58% V.P. Business Affairs 9,867,966 8,809,183 (712,768) 8,096, % -9.41% V.P. Info Technology 11,297,307 11,612, ,920 12,273, % 4.24% V.P. Advancement 2,147,917 2,538,907 (2,311,541) 227, % % V.P. Community Engagement 773, ,479 19, , % 0.29% V.P. Finance 6,181,958 6,214,224 (351,714) 5,862, % -2.57% V.P. Human Resources 2,071,893 2,014,778 (63,731) 1,951, % -2.96% Physical Plant 30,870,042 33,151,657 2,283,732 35,435, % 7.14% E. V. P. Research 11,010,127 11,803, ,777 12,023, % 4.54% Reserves 11,906,748 10,677,054 (1,159,762) 9,517, % % Student Affairs 5,410,900 5,270, ,787 5,759, % 3.35% Student Government Association 452, , , , % 39.04% Enrollment Management 6,723,338 6,787, ,785 7,201, % 3.53% Debt Service/Transfers 22,836,093 23,595,750 (694,735) 22,901, % 0.19% Auxiliary Enterprises 3,695,400 3,882, ,500 4,271, % 7.54% Service Centers 16,557,200 16,798,100 13,400 16,811, % 0.77% University Housing 5,734,859 5,960,600 (376,614) 5,583, % -1.19% University Hospital Allocation 20,718,900 21,934,400 (2,190,773) 19,743, % -2.06% Total Executive Officers and Service Units 184,141, ,946,755 91, ,038, % 1.06% University Items General Institutional Expenses 4,587,594 5,867, ,863 6,531, % 19.61% Student Financial Aid 45,338,620 50,803, ,711 51,454, % 6.67% Utilities 19,698,353 19,026, ,807 20,018, % 0.90% Insurance 1,795,850 2,015, ,015, % 6.13% Legal and Professional Fees 215, , , % 0.00% Departmental Credits (31,329,787) (31,792,177) 2,161,847 (29,630,330) -6.80% -2.66% Total University Items 40,306,191 46,136,820 4,469,228 50,606, % 12.08% 2.23% TO TAL EXPENDITURES 471,046, ,712,500 13,775, ,487, % 2.67% 52

96 GENERAL FUND BUDGETED EXPENDITURES Fiscal Years 2009 to 2014 (Dollars in Thousands) BUDGET TREND DATA Six Year Percent Increase/ (Decrease) ACADEMIC UNITS Academic Support Programs 3,944 2,870 2,621 4,469 3,196 3, % College of Arts and Sciences 51,291 51,039 52,545 55,677 56,622 59, % College of Business 16,762 16,515 17,118 19,041 19,015 20, % School of Dentistry 15,788 16,159 16,801 17,407 17,527 18, % College of Education and Human Development 14,044 14,405 14,823 17,700 17,928 18, % School of Interdisciplinary and Graduate Studies 3,901 3,759 3,872 3,754 3,727 4, % Kent School of Social Work 3,465 3,596 3,785 4,006 4,316 4, % Brandeis School of Law 5,601 5,597 5,871 6,071 6,038 6, % Libraries 17,601 17,162 17,616 17,644 17,941 18, % School of Medicine 48,851 48,143 49,612 51,141 50,703 52, % Metropolitan College - UL % School of Music 5,425 5,429 5,623 5,730 5,807 6, % School of Nursing 4,394 4,739 4,984 5,207 5,621 6, % Other Academic Programs 5,014 5,636 6,054 6,758 7,444 8, % School of Public Health and Information Sciences 4,146 4,530 4,683 4,831 4,735 4, % J. B. Speed School of Engineering 17,927 18,305 19,118 19,722 20,436 21, % Undergraduate Affairs 4,127 3,981 3,725 3,714 3,661 3, % Total Academic Units 222, , , , , , % SUPPORT UNITS General Institutional Expenses 4,606 4,520 4,154 4,339 5,839 3, % Executive Vice President Health Affairs 6,466 8,063 8,115 7,725 7,970 8, % Institutional Support 34,696 35,747 36,673 37,703 37,067 39, % Physical Plant 35,478 39,892 43,450 43,571 44,915 47, % Executive Vice President Research and Innovation 10,803 9,710 10,659 11,010 11,804 12, % Reserves 10,845 10,617 10,207 11,907 10,677 9, % Student Financial Aid 39,960 41,309 43,813 45,339 50,803 51, % Student Affairs / Student Government 5,517 5,521 5,580 5,796 5,873 6, % Enrollment Management 5,954 5,586 6,601 6,723 6,788 7, % Mandatory Transfers (Debt Service) 15,798 22,123 21,874 22,836 23,596 22, % Total Support Units 170, , , , , , % AUXILIARY ENTERPRISES Auxiliary Enterprises 3,397 3,096 3,494 3,407 3,615 4, % Service Centers 1, ,021 1,244 1,035 1, % University Housing 6,125 5,851 5,443 5,589 5,815 5, % Total Auxiliary Enterprises 10,768 9,910 9,958 10,241 10,464 10, % Quality Charity Care Trust (QCCT) 21,170 21,204 20,918 20,719 21,934 19, % TOTAL UNIVERSITY EXPENDITURES 424, , , , , , % 53

97 HEADCOUNT ENROLLMENT BY LEVEL (Fall Semesters) BUDGET TREND DATA Six Year Trend Amount Percent Undergraduate Change Change Arts and Sciences 8,071 8,097 8,236 8,660 8,804 8, % Business 2,629 2,590 2,268 1,906 1,672 1,597 (1,032) -39.3% Continuing Studies (116) -51.1% Dentistry (14) -10.0% Education and Human Development 1,346 1,619 1,825 1,956 2,008 2, % Kent School of Social Work % Music % Nursing ,014 1,018 1, % Public Health and Information Sciences N/A J.B. Speed School of Engineering 1,511 1,476 1,468 1,423 1,480 1, % Metroversity % Total Undergraduate 15,119 15,485 15,615 15,818 15,772 15, % Graduate Arts and Sciences (1) % Business (130) -29.8% Dentistry (1) % Education and Human Development (1) 1,480 1,446 1,431 1,306 1,209 1,130 (350) -23.6% School of Interdisciplinary and Graduate Studies % Kent School of Social Work (91) -17.5% Medicine - Basic Sciences (1) (45) -11.1% Music % Nursing % Public Health and Information Sciences (1) % J.B. Speed School of Engineering (1) % Total Graduate 4,624 4,315 4,415 4,428 4,403 4,283 (341) -7.4% Professional Dentistry % Brandeis School of Law (32) -7.4% Medicine % Total Professional 1,372 1,370 1,410 1,456 1,454 1, % Interns and Residents Dentistry % Medicine % Total Interns and Residents % TOTAL UNIVERSITY 21,689 21,761 22,031 22,290 22,249 22, % (1) Total of 126 graduate students across these schools are studying at the post-doctoral level for

98 BUDGET TREND DATA FIRST-TIME FRESHMEN AT KENTUCKY STATE INSTITUTIONS Enrollment Market Share Analysis Fall 2011 Fall 2012 INSTITUTION Students Percent Students Percent Eastern Kentucky University 2, % 2, % Kentucky State University % % Morehead State University 1, % 1, % Murray State University 1, % 1, % Northern Kentucky University 2, % 2, % University of Kentucky 3, % 4, % University of Louisville 2, % 2, % Western Kentucky University 3, % 3, % Total Kentucky Public Universities 17, % 18, % Kentucky Community Technical College System (KCTCS) 13, % 13, % TOTAL FIRST-TIME FRESHMEN IN KENTUCKY 30, % 31, % 55

99 CAPITAL BUDGET

100 CAPITAL BUDGET XII Agency Capital Plan The Commonwealth of Kentucky requires all agencies of state government to maintain an Agency Capital Plan (six-year capital plan). It is routinely updated every two years. The first two years of this six-year plan becomes the basis for the State biennial budget request for capital projects. The six-year capital plan includes all contemplated new construction, renovations, research equipment and IT system purchases and leases, and property leases. In accordance with State requirements for provisions of KRS , legislative authorization is required for all capital projects regardless of funding source, as follows: Construction / renovation project costing $600,000 or more, Equipment purchase costing $200,000 or more, Information technology system costing more than $600,000, and Any lease over $200,000 per year. On an exception basis, a capital project that is not authorized by the General Assembly in the Budget of the Commonwealth may be granted authority by the Capital Projects and Bond Oversight Committee during the interim based on certain criteria. The goals of HB1 and the 2020 Plan were the basis of the recommended projects included in the capital plan. The projects funded using general or agency bond funding are listed in priority order. The planned capital projects recommendations are supported by the findings of a 2007 statewide space study commissioned by the Council on Postsecondary Education. The study showed the University of Louisville had an overall space deficit that is projected to be over 2,000,000 square feet by year The study also recommended that the University spend approximately $1.5 billion on new space to meet the projected demand. In addition to the new space needs, the study further recommended that the University spend nearly $700 million by year 2014 to address the backlog of capital renewal and space adequacy issues. The proposed Agency Capital Plan for the University of Louisville was vetted by the Leadership Team, Vice Presidents, Deans, and the Faculty, Staff and Student Senates. 56

101 CAPITAL AGENCY PLAN Dollar Cost of Projects by Requested Fund Source Priority Project Title General Funds Agency Bonds Federal Funds Restricted Funds Other Other Designation Total Amount 1 Construct - Belknap Classroom/Academic Building 80,560,000 80,560,000 2 Construct - Instructional Building at HSC 35,865,000 35,865,000 71,730,000 3 Renovate - Capital Renewal Pool ( ) 68,487,000 68,487,000 4 Expand and Renovate - Life Sciences Building 72,015,000 72,015,000 5 Expand and Renovate - Student Activities Center 21,460,000 21,460,000 6 Purchase - Land Support Services (Northeast Quad) 15,600,000 15,600,000 7 Renovate - Medical School Tower - 55A, Phase I 34,500,000 34,500,000 8 Renovate - Medical Dental Research Building Infrastructure 10,406,000 10,406,000 9 Renovate - Guaranteed Energy Savings ( ) 10,000,000 10,000, Renovate - Burhans Hall 15,000,000 15,000,000 Construct - Administrative Office Building 51,245,000 51,245,000 Construct - Artificial Turf for Intramurals 733, ,000 Construct - Athletic Academic Support Facility 17,040,000 Private - Cash 17,040,000 Construct - Athletic Equip/Apparel Storage Fac 750,000 Private - Cash 750,000 Construct - Athletic Grounds Building 1,500,000 Private - Cash 1,500,000 Construct - Athletics Office Building 7,400,000 7,400,000 Construct - Belknap 3rd Street Improvements 2,180,000 2,180,000 Construct - Belknap Brandeis Corridor Imp 3,100,000 3,100,000 Construct - Belknap Center Place Plaza 8,840,000 8,840,000 Construct - Belknap Century Corridor Improvements 990, ,000 Construct - Belknap Floyd St Corridor Improvements 3,930,000 3,930,000 Construct - Belknap Stormwater Improvements 5,000,000 5,000,000 Construct - Center for Creative Studies 10,193,000 10,193,000 Construct - Center for Social Change 13,610,000 Private - Cash 13,610,000 Construct - Center for the Performing Arts 76,660,000 76,660,000 Construct - Clinical/Office Space in West End 3,949,000 3,949,000 Construct - College of Business Courtyard/Café 1,819,000 1,819,000 Construct - Executive/MBA Business Program 12,000,000 12,000,000 Construct - Flexner Way Mall - Floyd to Preston 1,720,000 1,720,000 Construct - Flexner Way Mall - Jackson to Hancock 390, ,000 Private - Cash 780,000 Construct - Flexner Way Mall - Preston to Jackson 445, ,000 Private - Cash 890,000 Construct - HSC Steam Chilled Water Plant II 36,300,000 36,300,000 Construct - Intramural Field Complex 7,780,000 7,780,000 Construct - IT Center Data Center 38,000,000 38,000,000 Construct - Kosair Medical Office Bldg Fitout 19,745,000 19,745,000 Construct - Physical Plant Space in HSC Garage 2,440,000 2,440,000 Construct - Utilities, Remove Overhead Lines 10,750,000 10,750,000 Expand - Chilled Water and Electrical Ser Upgrade 13,300,000 13,300,000 Expand - Rauch Planetarium 3,352,000 3,352,000 Expand - Sackett Hall 14,758,000 14,758,000 Expand - Schnellenberger Football Complex 7,500,000 Private - Cash 7,500,000 CAPITAL BUDGET 57

102 CAPITAL BUDGET Priority Project Title General Funds Agency Bonds Federal Funds Restricted Funds Other Other Designation Total Amount Expand and Renovate - College of Education Building 60,107,000 60,107,000 Expand and Renovate - Founders Union Bldg Ph II 19,867,000 19,867,000 Lease - Digital Output System(s) 2,500,000 2,500,000 Purchase - Additive Microdeposition Machine 825, ,000 Purchase - Artificial Turf - Practice Field Facility 950,000 Private - Cash 950,000 Purchase - Automatic Bedding Dispensing & Removal System (RRC) 278, ,000 Purchase - Biological Material Deposition Machine 600, ,000 Purchase - Bulk Sterilizer (RRC) 421, ,000 Purchase - Cage and Rack Washer (A Tower) 220, ,000 Purchase - Cage and Rack Washers x2 (RRC) 398, ,000 Purchase - Cell Isolation System 600, ,000 Purchase - Cell Processing Unit (1) 750, ,000 Purchase - Cell Processing Unit (2) 750, ,000 Purchase - Computer Processing System(s) 8,000,000 8,000,000 Purchase - Console for 18.8 T Nuclear Magnetic Resonance Spectrometer 900, ,000 Purchase - Cytof Instrument 600, ,000 Purchase - Dematic Robotic Retrieval System x2 2,426,000 2,426,000 Purchase - Digital Communication System 6,000,000 6,000,000 Purchase - Digital Materials 3-D Printing System 300, ,000 Purchase - Direct Metal Additive Fabrication Machine 650, ,000 Purchase - Electronic Research Information System 2,700,000 2,700,000 Purchase - Enterprise Application System 6,000,000 6,000,000 Purchase - FACSAria II Special Order System 530, ,000 Purchase - Fiber Infrastructure 7,000,000 7,000,000 Purchase - Fourier-Transform Mass Spectrometer 1,100,000 1,100,000 Purchase - High Resolution Echocardiography System 350, ,000 Purchase - High Resolution Triple TOF Mass Spectrometer 400, ,000 Purchase - Imagine Eyes - Adaptive Optic Retinal Imaging System 200, ,000 Purchase - Individually-Ventilated Caging System (A Tower) 600, ,000 Purchase - Individually-Ventilated Caging System (RRC) 597, ,000 Purchase - IT Data Center Support Systems 20,000,000 20,000,000 Purchase - Land Near Belknap Campus - East 750, ,000 Purchase - Land Near Belknap Campus - North 8,320,000 8,320,000 Purchase - Land Near Belknap Campus - South 6,240,000 6,240,000 Purchase - Land Near Floyd Street - Parcel I 5,200,000 5,200,000 Purchase - Land Near Floyd Street - Parcel II 5,200,000 5,200,000 Purchase - Land Near HSC - Parcel I 35,615,000 Private - Cash 35,615,000 Purchase - Land Near HSC - Parcel II 6,275,000 6,275,000 Purchase - Land Near HSC - Parcel III 3,120,000 3,120,000 Purchase - Land Near HSC - Parcel IV 3,240,000 3,240,000 Purchase - Large Frame Plastic Deposition Machine 750, ,000 58

103 CAPITAL BUDGET Priority Project Title General Funds Agency Bonds Federal Funds Restricted Funds Other Other Designation Total Amount Purchase - Large Frame Plastic Sintering Machine 900, ,000 Purchase - Leica TCS SP8 Laser Confocal Scanning Microscope 250, ,000 Purchase - Library Tables, Chairs, Wired Study Carrels 275, ,000 Purchase - MALDI-TOF Mass Spectrometer 500, ,000 Purchase - Metal Evaporation System 250, ,000 Purchase - Micron Diagnostic, Imaging System 200, ,000 Purchase - Mobile Animal Runs 323, ,000 Purchase - MOCVD System 450, ,000 Purchase - MS-MS Tandem Mass Spectrometer 1,100,000 1,100,000 Purchase - Multispectral Imaging Flow Cytometer 390, ,000 Purchase - Networking System 8,000,000 8,000,000 Purchase - Next Generation DNA Sequencer 525, ,000 Purchase - Olympus (Model BX61-M FV1000 MPE) 719, ,000 Purchase - PCs, Printers, Scanners for Libraries 350, ,000 Private - Cash 700,000 Purchase - PET Scanner 3,000,000 3,000,000 Purchase - Quadruple Orbitrap Mass Spectrometer 500, ,000 Purchase - Research Computing Infrastructure 7,000,000 7,000,000 Purchase - Rodent Plastic Caging 398, ,000 Purchase - Scanning Electron Microscope 400, ,000 Purchase - Security and Firewall Infrastructure 8,000,000 8,000,000 Purchase - Soccer Stadium Video Boards 1,050,000 1,050,000 Purchase - Storage System(s) 12,000,000 12,000,000 Purchase - Super Resolution Confocal Microscope 750, ,000 Purchase - Teleconferencing/Computer Equipment 500, ,000 Purchase - Tunnel Cage Washer (A Tower) 208, ,000 Purchase - Two Photon Imaging System 480, ,000 Purchase - Two-Photon Laser Scanning Microscope 500, ,000 Purchase - UHR-TOF Mass Spectrometer 500, ,000 Purchase - Ultrasound Trainer - 6 Sonosite Edge Ultrasound Units 490, ,000 Purchase - Ultraview ERS 6FO Confocal Microscope 420, ,000 Purchase - Visualization System for Planetarium 2,000,000 2,000,000 Renovate - Abell Administration Building 1,593,000 1,593,000 Renovate - Ambulatory Care Building 2,540,000 2,540,000 Renovate - Belknap Office Building 8,045,000 8,045,000 Renovate - Belknap Playhouse 3,510,000 3,510,000 Renovate - Brown Cancer Center 4th Floor 4,388,000 4,388,000 Renovate - Burhans Hall 16,284,000 16,284,000 Renovate - Chemistry Fume Hood Redesign, Ph II 9,730,000 9,730,000 Renovate - Chemistry Teaching Labs/Auditorium 1,957,000 1,957,000 Renovate - Code Improvement Pool 12,822,000 12,822,000 Renovate - College of Business Classrooms 1,865,000 1,865,000 59

104 Priority Project Title General Funds Agency Bonds Federal Funds Restricted Funds Other Renovate - College of Business Green Roof 1,030,000 1,030,000 Renovate - Concentrated Care Building 1,628,000 1,628,000 Renovate - Delia Baxter Building Laboratory 3,100,000 3,100,000 Renovate - Donald Baxter Bldg 2nd/3rd Floor Labs 3,010,000 3,010,000 Renovate - Donald Baxter Bldg Cleanroom Exp 987, ,000 Renovate - Dougherty Hall 9,233,000 9,233,000 Renovate - Ekstrom Library 58,076,000 58,076,000 Renovate - Football Facility Practice Field Lighting 750,000 Private - Cash 750,000 Renovate - Gross Anatomy Lab 5,558,000 5,558,000 Other Designation Total Amount Renovate - Housing - Capital Renewal Pool 1,795,000 1,795,000 Renovate - HPES/Studio Arts Building 9,850,000 9,850,000 Renovate - HSC Instructional Building 4,433,000 4,433,000 Renovate - J.B. Speed Building 12,862,000 12,862,000 Renovate - Kornhauser Library 21,980,000 21,980,000 Renovate - Kosair Pediatrics Center Offices 6,850,000 6,850,000 Renovate - K-Wing Classroom Renovation 1,223,000 Private - Cash 1,223,000 Renovate - K-Wing 1st Floor Office Renovation 5,000,000 5,000,000 Renovate - KY Lions Eye Research Institute (KLERI) 20,707,000 20,707,000 Renovate - Law School 36,081,000 36,081,000 Renovate - Life Sciences Building Vivarium 1,140,000 1,140,000 Renovate - Middleton Auditorium 700, ,000 Renovate - Miller Hall Infrastructure 750, ,000 Renovate - Natural Science Building 29,843,000 29,843,000 Renovate - Oppenheimer Hall 5,389,000 5,389,000 Renovate - Papa John's Stadium Seat Replacement 5,250,000 5,250,000 Renovate - Research Resource Center 15,325,000 15,325,000 Renovate - Resurface Track and Cardio Path 1,000,000 1,000,000 Renovate - Schneider Hall 21,836,000 21,836,000 Renovate - Threlkeld Hall Infrastructure 1,500,000 1,500,000 Renovate - W.S. Speed Building 17,196,000 17,196,000 Utility Distribution - South Belknap Campus 12,416,000 12,416, TOTAL 256,927, ,876,000 15,837, ,588,000 80,123,000 1,431,351,000 LEASES Lease - Masters of Fine Arts Lease - West Louisville Center for Community Health, Education and Outreach Lease - U of L Foundation Office Space Lease - HSC Off-Campus Office Space Lease - Additional Office/Clinic Space Lease - Contract Administration Office Space CAPITAL BUDGET 60

105 CAPITAL BUDGET Priority Project Title General Funds Agency Bonds Federal Funds Restricted Funds Other Lease - Dept of Family & Geriatric Medicine Office, Clinical Space Lease - Dental Clinic Space Lease - Med Center One Lease - IT Data Center Lease - Office Space - Jefferson County Lease - Clinic Space Lease - Academic Space Lease - East End Clinical Space Lease - Belknap Office Space 1 Lease - Belknap Office Space 2 Lease - Belknap Office Space 3 Other Designation Total Amount Projects Construct - Belknap Parking Garage II 43,925,000 43,925,000 Construct - Belknap Research/Academic/Conn Center 100,130, ,130,000 Construct - Chestnut Street Garage Speed Ramp 945, ,000 Construct - Flexner Way Mall - Hancock to Clay 1,560,000 1,560,000 Construct - HSC Parking Structure III 46,680,000 46,680,000 Construct - HSC Research Facility V 181,300, ,300,000 Construct - Shelby Campus Conference Center 20,500,000 20,500,000 Construct - Shelby Campus Office and Technology Building 41,500,000 41,500,000 Construct - Shelby Campus Parking Structure 28,000,000 28,000,000 Construct - Shelby Campus Research and Development Building 77,000,000 77,000,000 Construct - Residence Hall 44,450,000 44,450,000 Construct - Shelby Campus Research Building 63,580,000 63,580,000 Expand - School of Public Health and Info Sciences 11,610,000 11,610,000 Expand and Renovate - Shelby Campus Hotel 9,000,000 9,000,000 Private - Cash 18,000,000 Renovate - Bingham Humanities Building 37,374,000 37,374,000 Renovate - Capital Renewal Pool ( ) 17,168,000 17,168,000 Renovate - Gardiner Hall 9,106,000 9,106,000 Renovate - Gottschalk Hall 4,140,000 4,140,000 Renovate - Jouett Hall 3,709,000 3,709,000 Renovate - Medical School Tower 55A, Phase II 18,964,000 18,964,000 Renovate - Sackett Hall 10,440,000 10,440, TOTAL 373,788, ,964,000 66,329, ,081, Projects Construct - Belknap Research Building II 88,120,000 88,120,000 Renovate - Capital Renewal Pool ( ) 11,576,000 11,576, TOTAL 99,696,000 99,696,000 GRAND TOTAL CAPITAL PLAN 730,411, ,840,000 15,837, ,917,000 80,123,000 2,311,128,000 61

106 Capital Agency Plan Capital Construction, Renovation, and Equipment - Summary Summary by Category TOTAL Construction 649,675, ,180,000 88,120,000 1,416,975,000 Construction - Protect Investment in Plant 662,453, ,901,000 11,576, ,930,000 Equipment 28,823, ,823,000 Information Technology 90,400, ,400,000 Total 1,431,351, ,081,000 99,696,000 2,311,128,000 CAPITAL BUDGET 62

107 CAPITAL BUDGET Capital Agency Plan Financial Summary - Number of Projects by Funding Source Capital Construction, Renovation, and Equipment - Summary Number of Fund Source Projects Total Agency Bonds ,011, ,964, ,975,000 Agency Bonds / Private ,000, ,000,000 Federal Funds 23 15,837, ,837,000 General Funds ,062, ,788,000 99,696, ,546,000 General & Bond Funds 1 71,730, ,730,000 Private / Cash 9 78,938, ,938,000 Restricted Funds ,403,000 66,329, ,732,000 Restricted / Private 3 2,370, ,370,000 Total 177 1,431,351, ,081,000 99,696,000 2,311,128,000 63

108 BUDGET CALENDAR