CSU Stanislaus 2012-13 FY Budget General Operating Fund 2012-13 FY Base Budget General Operating Fund One- Time Carryforward Lottery 2012-13 FY Base Budget Lottery One- Time Budget University Extended Education 2012-13 FY Business Plan Budget University Extended Education One- Time Carryforward Reserves
TABLE OF CONTENTS 1. Memorandum to President Sheley 2. 2012/13 General Operating Fund Base Budget 3. 2012/13 General Operating Fund One- Time Funds 4. 2012/13 Lottery Base Budget 5. 2012/13 Lottery Budget One- Time Funds 6. 2012/13 Extended Ed Business Plan Budget 7. 2012/13 Extended Ed Reserves
To: President Joseph F. Sheley From: Julie Benevedes, Interim Associate Vice President for Financial Services RE: CSU Stanislaus General Operating Fund FY 2012-13 Budget I am pleased to present to you the proposed 2012-2013 General Operating Fund Base Budget for CSU Stanislaus. As in past years, Division budget adjustments and allocations for each area are outlined. Budget Assumptions This document is a presentation of CSU Stanislaus s proposed estimated operating budget for the 2012-13 fiscal year. Although this document includes other funds, the main focus is the campus general fund support budget, also referred to as the General Fund Base Budget. The university s general fund base budget has two main components, funding from the State of California that is distributed by the California State University (CSU) Chancellor s Office to CSU Stanislaus, and Student Tuition Fee revenues collected by the campus. The continuing financial pressure leading to declining state support is apparent in the fiscal year 2012-13 budget. This led to our current California state budget attempt to balance baseline expenditure levels with revenues. The CSU developed its 2012-13 fiscal year budget anticipating significant mid- year reductions in the Governor s final budget. Specifically, should Proposition 30 (to increase tax revenues) fail to win voter approval in November, the CSU will experience an automatic trigger cut of $250 million. The CSU Board of Trustees also passed a 9% student tuition fee increase in November of 2011 in anticipation of further funding reductions. The tuition fee increase was critical to the University s ability to serve its current population but did not entirely offset the reduction in state support. This tuition fee increase has gone into effect this year and is calculated in the campus 2012-13 revenue projections. If Proposition 30 passes in November, the CSU will not receive the trigger cut but will need to reset student tuition fee levels to the prior year s levels. CSU Stanislaus has worked diligently to begin FY 2012-13 with a balanced general fund budget approach. Shared governance and consultation is important within the higher education community. The recommended expenditure plan is a collaborative process involving many dedicated members of our faculty, staff, administration, and student body who constitute the President s University Budget Advisory Committee (UBAC). UBAC and the Vice Presidents have deliberated various cost cutting measures and scenarios, and their impacts to our campus as a whole. Based on the Chancellor s Office July 2012 Budget allocation memo, we are recommending base budget reductions to meet our campus s projected mid- year trigger reduction of $4,928,500. 1
General Fund Base Allocation The General Fund Base Budget represents the largest source of revenue available to the campus and includes both an allocation by the Chancellor s Office from the state general fund appropriation to the CSU and funds generated from state university student tuition fees. Overall and assuming lack of voter support of Proposition 30 in November, CSU Stanislaus s General Fund allocation for 2012-13 FY reflected a $6 million reduction over the previous year. As Table 1 indicates, after adjustments to the budget (including projected retirement benefit savings and unallocated reductions from the 2011-12 FY budget), our campus was left with an effective $4.9 million trigger reduction and a corresponding total General Fund 2012-13 FY base budget of $40,491,147. State University Tuition Fee Revenue Fiscal year 2012-13 finds, for the first time, campus student tuition fee revenues constituting more than half (53%) of general fund support for the campus. This year, our projected State University Tuition Fee revenue is $46,472,227. (This amount includes $4 million in revenue based upon a 9% student tuition fee increase approved by the CSU Board of Trustees on November 14, 2011. If Proposition 30 passes, this increase will be rescinded, and the resultant gap in revenue will need to be addressed on a one- time basis.) Total General Fund Support Together, the General Fund Base Allocation and the projected State University Tuition Fee Revenue total a projected $86,963,374 (Table 1). Measures to Balance the General Fund Budget The proposed budget includes recommended base budget reductions to meet our campus mid- year trigger reduction of $4,928,500. These recommended base budget reductions are provided in Table 1, in the column labeled 2012/13 Trigger Budget Reduction. These include nearly $3 million in reductions to university divisions and nearly $2 million in mandatory allocation savings and reductions. General Operating Fund Base Budget Adjustments Please note that there are also proposed annual general fund base budget adjustments to fund non- mandatory and mandatory costs and funding changes. These adjustments total $3,027,350, and include adjustments to such specific items as Faculty Promotions, Faculty Promotion Benefits, and Energy Cost Increases. These adjustments are provided in Table 1, in the column labeled 2012/13 General Fund Base Budget Adjustments. Lottery Funds CSU Stanislaus will receive $660,000 in Lottery funding allocations in FY 2012-13. Though the campus suffered budget reductions in general operating support over the past few years, the 2
funding levels and Lottery base budget allocations remain the same level as in the prior year. Proposed budget allocations of Lottery funds are provided in Table 3. Self-Support Funds CSU Stanislaus has five self- sustaining funds, including the Health Center, Housing Program, Extended Education, Parking, and the Student Recreation Complex. Self- sustaining funds receive no taxpayer support and are expected to reimburse the general fund for any provided services. Overall, revenue from the various self- supporting programs grew in the previous fiscal year. This change reflects increases in revenue due to a change in the academic year calendar and accompanying distribution of annual fee schedules, along with increases in revenue in Extended Education due to growth in summer session and winter intersession programs. We count on extended education annual cost allocation reimbursements to the general operating fund to garner additional resources which provide a larger revenue stream to the campus divisions. University Extended Education s 2012-13 Business Plan and projections are provided as an additional information item on available resources in the 2012-13 fiscal year. See Table 5. One-Time Funds This proposed budget also relies on the use of some one- time funds. The challenge for using one- time funds is knowing that we have a finite amount of these funds, and that we need to steward (stretch out) these funds over an extended length of time (probably three to four years). See Tables 2, 4, and 6. 3
California State University Stanislaus General Operating Fund Base Budget General Fund Base Budget Allocations by Division Based on Campus 7/19/12 Trigger Allocation from CSU 2012/2013 FY Table 1 General Operating Fund Base Budgets General Fund Base Budget 2011/12 FY 2012/13 Trigger Budget Reduc2on ($4,928,500) Division Reduction Percentage 2012/13 General Fund Base Budget Adjustments 2012/13 General Fund Base Budget August 2012 Percentage of General Fund Budget General Fund Sources of Funds General Fund CO Allocation 46,552,297 (6,061,150) 40,491,147 46.56% State University Tuition Fees 42,312,227 4,160,000 46,472,227 53.44% Total General Fund Revenue Sources 88,864,524 (1,901,150) 86,963,374 100.00% Non Mandatory Discretionary Budget Allocations Academic Affairs 29,819,439 (1,031,920) - 3.46% 246,860 29,034,379 33.39% President 608,871 (10,000) - 1.64% 598,871 0.69% Business and Finance 8,311,305 (616,400) - 7.42% 49,042 7,743,947 8.90% Human Resources & Faculty Affairs 1,326,252 (109,770) - 8.28% 29,400 1,245,882 1.43% Enrollment & Student Affairs 4,330,458 (241,370) - 5.57% 4,089,088 4.70% University Advancement 1,133,743 (159,000) - 14.02% 974,743 1.12% Contingency Reserve Unallocated 1,148,908 (764,900) - 66.58% 489,528 873,536 1.00% Subtotal Non Mandatory Budget Allocations 46,678,976 (2,933,360) -6.28% 814,830 44,560,446 51.24% Mandatory University Wide Budget Allocations Benefits Centralized University Wide 19,833,786 (1,495,140) - 7.54% 116,790 18,455,436 21.22% Financial Aid 15,056,282 2,561,700 17,617,982 20.26% Work Study 212,000 212,000 0.24% CMS Annual Loan Payments 546,825 546,825 0.63% CSU Stockton Lease Payments 491,962 491,962 0.57% One Time Course Funding Salary & Benefits 1,170,700 (500,000) - 42.71% 670,700 0.77% Faculty & Staff Development 180,000 180,000 0.21% Centralized University Expenses 1,340,065 (757,970) 582,095 0.67% Risk Management & Annual Insurance Premium 1,418,240 1,418,240 1.63% Utilities 2,115,688 112,000 2,227,688 2.56% Subtotal Mandatory Budget Allocations 42,185,548 (1,995,140) -4.73% 2,212,520 42,402,928 48.76% Grand Total General Fund Base Budget 88,864,524 (4,928,500) -5.55% 3,027,350 86,963,374 100.00% * GF 2011/12 FY Base Budget has been reduced from $89,129,686 by the Federal Work Study Revenue ($265,162) reducion to $88,864,524
California State University Stanislaus General Operating Fund G0106 One Time Carryforward Budget Allocations 2012/2013 FY Table 2 General Fund One Time Budget Alloca5ons Amount Financial Commitments Accredita)ons 34,693.59 Research Grants 332,606.00 Encumbrances 30,760.54 Financial Aid 175,088.00 Work Study 380,236.00 Part Time Faculty End of Year Contract Payouts 971,035.00 Cost Recovery Fund Commitment to Student Affairs & Academic Affairs 149,139.00 Facili)es Roofing, A/C, landscape design, cooling tower 1,150,000.00 Admission Reserva)on Fees- intent to enrollment revenue received in 11/12 FY 581,519.00 An)cipated one )me transi)on costs- employee separa)on 356,229.00 Advancement- one )me bridge funds to mitagate base budget reduc)on 80,000.00 Athle)cs One )me budget mi)ga)on 140,000.00 Faculty Affairs & Human Resources- One )me alloca)on 20,000.00 Enrollment & Student Affairs- Advising con)ngency funds 25,000.00 Enrollment & Student Affairs- Tutoring Center con)ngency funds 18,771.00 Webpage Development 80,000.00 U)li)es FY 11/12 Cost Savings 700,045.00 Grant Administra)on Unrecovered Salaries & Wages 133,165.00 Founda)on Cost Alloca)on Unrecovered Salaries & Wages 377,453.00 Subtotal One Time Budget Commitments 5,735,740.13 Unallocated Resources Con)ngency Reserve One Time and Long Term Stewardship 5,246,549.87 Poten)al Chancellor's Office Tax Penalty for Over Enrollment 11/12 FY 1,604,540.12 Poten)al CMS Loan Se^lement Reserve 2,200,073.61 Subtotal Unallocated Reserves 9,051,163.60 General Fund One Time Alloca5ons 12/13 FY Grand Total 14,786,903.73 * In addi5on the campus has $4,200,219 in campus fees and one 5me Chancellor's office alloca5ons in general fund restricted GR106 which is highly restricted in origin and use of funds
California State University Stanislaus Lo3ery Base Budget Alloca9ons 2012-13 FY Table 3 Division Department Descrip9on 2012-13 Lo3ery Base Budget Academic Affairs College of Educa3on Teacher Diversity EAP 50,025 Academic Affairs Vice Provost Pre- Doctoral 5,000 Academic Affairs Library Library Acquisi3ons 504,075 Enrollment & Student Affairs Enrollment Services High School Outreach 60,900 Enrollment & Student Affairs Financial Aid CSUS Scholarship Pgm 40,000 Total Lo3ery 12-13 FY Base Budget Alloca9ons 660,000
California State University Stanislaus Lo3ery One Time Budget Alloca<ons 2012-13 FY Table 4 Division Department Descrip<on 2012-13 One Time Lo3ery Budget Academic Affairs College of Educa3on One Time Carryforward Alloca3on 5,247 Academic Affairs Vice Provost Pre- Doctoral One Time Carryforward Alloca3on 9,951 Student Affairs Financial Aid Scholarship Program One Time Carryforward Alloca3on 5,972 Academic Affairs Library One Time Carryforward Alloca3on 6,019 Academic Affairs Wri3ng Center One Time Carryforward Alloca3on 20,000 University Wide Unviersity Wide Con3ngency Reserve One Time Carryforward Alloca3on 34,364 Total 12-13 Lo3ery One Time Alloca<ons 81,553
California State University Stanislaus University Extended Education Budget Summary 2012/13 Proposed Budget Table 5 Item Description Summer Session Other Spec Session Winter Intersession Contract Extension Open University Non Credit/CEU Reimbursements Misc Revenue Executive Mgmt Totals Sources of Funds Fee Revenues $ 2,458,346 $ 2,606,400 $ 471,420 $ 35,000 $ 230,000 $ 50,000 $ - $ - $ - $ 5,851,166 Interest $ - $ - $ - $ - $ - $ - $ 5,000 $ - $ 5,000 Other Revenue $ - $ - $ - $ - $ - $ - $ 4,000 $ - $ 4,000 Total Sources of Funds $ 2,458,346 $ 2,606,400 $ 471,420 $ 35,000 $ 230,000 $ 50,000 $ - $ 9,000 $ - $ 5,860,166 Uses of Funds Salaries and Wages (includes benefits) $ - $ 42,900 $ - $ - $ - $ - $ - $ - $ 760,158 $ 803,058 Special Consultants $ - $ 49,000 $ - $ - $ - $ 10,000 $ - $ - $ - $ 59,000 Extension Faculty $ 1,047,957 $ 844,918 $ 179,820 $ - $ - $ - $ - $ - $ 2,072,695 Student Assistants $ - $ - $ - $ - $ - $ - $ - $ - $ 25,363 $ 25,363 Salary Increases $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - General Operating Expenses $ 20,000 $ 133,800 $ 5,000 $ - $ - $ 25,000 $ - $ - $ 20,500 $ 204,300 Marketing $ 5,000 $ 65,500 $ 5,000 $ - $ - $ - $ - $ - $ 12,000 $ 87,500 Postage $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Telephone $ - $ - $ - $ - $ - $ - $ - $ - $ 8,500 $ 8,500 Travel $ - $ 51,000 $ - $ - $ - $ - $ - $ - $ 8,500 $ 59,500 Special Session Revenue Sharing to Colleges $ - $ 386,750 $ - $ - $ - $ - $ - $ - $ - $ 386,750 Provost Share of SS Rev Share/policy $ - $ 380,000 $ - $ - $ - $ - $ - $ - $ - $ 380,000 Winter Intr. Prog Dev. To Faculty $ - $ - $ 7,071 $ - $ - $ - $ - $ - $ - $ 7,071 Open University Revenue Sharing $ - $ - $ - $ - $ 20,000 $ - $ - $ - $ - $ 20,000 Special Lecturers $ - $ 11,500 $ - $ - $ - $ - $ - $ - $ - $ 11,500 Contractual Services $ - $ 63,860 $ - $ - $ - $ - $ - $ - $ 15,000 $ 78,860 Equipment Purchases $ - $ - $ - $ - $ - $ - $ - $ - $ 8,000 $ 8,000 Summer Scholarship $ 171,402 $ - $ - $ - $ - $ - $ - $ - $ 171,402 Total Uses of Funds $ 1,244,359 $ 2,029,228 $ 196,891 $ - $ 20,000 $ 35,000 $ - $ - $ 858,021 $ 4,383,499 Transfers In (Out) Mandatory Reimbursements to General Operating Fund $ - $ - $ - $ 1,266,470 $ - $ - $ 1,266,470 Systemwide expense to C/O $ 79,611 $ - $ 79,611 Total Transfers In (Out) $ - $ - $ - $ - $ - $ - $ 1,346,081 $ - $ - $ 1,346,081 Projected 12/13 FY Unallocated Reserve $ 1,213,987 $ 577,172 $ 274,529 $ 35,000 $ 210,000 $ 15,000 $ (1,346,081) $ 9,000 $ (858,021) $ 130,585
California State University Stanislaus University Extended Education Budget Summary 2012/13 Reserve Fund Balances Table 6 Item Description Detail of Operating Reserve Operating Reserve Amounts Totals Extended Ed Fund Balance Reserves Extended Education Operating Reserve $ 1,229,000 Program Contingency Reserve $ 150,000 Operations Reserve $ 735,000 Revenue collected 11/12 FY in Advance of 12/13 Expense $ 194,000 Program Development $ 150,000 Academic Depts - Program Development $ 395,067 Academic Affairs Provost Development Fund $ 707,910 CEU BSN 11/12 Program Allocation Carryforward $ 58,258 College Partners Program Development $ 718,190 Unallocated Reserve $ 280,905 Total Extended Ed Fund Balance Reserves $ 3,389,330