UW UW Bothe Bothell ll Budget Budget Overv Overview iew FY 17 - PowerPoint PPT Presentation

UW UW Bothe Bothell ll Budget Budget Overv Overview iew FY 17 Operating Budget Update & FY 18 Planning Process November 2016 Segan Jobe : seganj@uw.edu Ruth Johnston : ruthj@uw.edu

AGENDA  Budget overview  Sources/uses of funds  FY 2017 budget update  FY 2018 budget planning process  Recalibrated budget model planning process  Purpose  Commitment tracking  Central pool  Discussion 2

UW UW-WIDE WIDE INST INSTITUT ITUTIO IONAL NAL BUDGET BUDGET

UW ADMINISTRATION ORG CHART 4

UNIVERSITY OF WASHINGTON BUDGET FY 17 B FY 17 Bud udgete geted d Reve Revenu nues and es and Expe Expend nditures itures = $7 = $7.07 .07B State Tuition 5% 9% Local Operations 5% Includes: Endowment Distributions • UW Medical Center 2% • Harborview Medical Center Gift Income • Valley Medical Center UW Medicine Health 2% Systems • NW Hospital 49% Private Grants • UW Physicians Public Grants & 4% • Airlift NW Contracts 12% • UW Neighborhood Clinics Auxiliary Activities 12% Self-sustaining functions including: Intercollegiate Athletics, Housing and Dining, Educational Outreach & Parking 5

STATE OPERATING SUPPORT AND TUITION TRENDS – UW WIDE $25,000 $19,371 $17,011 (TOTAL COST PER FTE) (TOTAL COST PER FTE) 35% State, 65% Families Funding per Student FTE (2015 $) $20,000 $15,000 $10,000 $5,000 Tuition Revenue per FTE State Funding per FTE Total Funding per FTE $0 6

UW BOTHELL UW BOTHELL SOU SOURCES RCES & USES & USES OF OF FUNDS FUNDS

UW BOTHELL COMPREHENSIVE BUDGET ($109M) FY 17 Budgeted Revenues & Expenditures Gifts & Discretionary 5% State Appropriation State Appropriation 20% Grants and Contracts Tuition 13% Other Revenues Student Fees (SAF & Bldg) Auxiliary Enterprises 7% Student Fees (SAF & Bldg) Auxiliary Enterprises 6% Grants and Contracts Gifts & Discretionary Other Revenues 2% Tuition 47% 8

UW BOTHELL NON-OPERATING BUDGET ($34M) Gifts & Discretionary Auxiliary Enterprises 17% 20% Student Fees (SAF & Bldg) 21% Grants and Contracts 42% 8

UW BOTHELL CURRENT OPERATING BUDGET ($75M) Other Revenues 3% Tuition 70% State Appropriation 27% 9

Operating Budget: Sources of Funds UNIVERSITY OF WASHINGTON BOTHELL Financial Sustainability Plan - Sources and Uses of Funding OPERATING BUDGET Fiscal Year 2016 Actuals WHERE DOES UNIVERSITY OF WASHINGTON BOTHELL'S FUNDING COME FROM? 71.4% 22.0% 6.6% Tuition Miscellaneous Revenue State Appropriations $70,850,763 $50,613,454 $15,563,042 $4,674,267 Tuition is the largest funding State Appropriation funds are Miscellaneous Revenue SOURCES OF FUNDS source for the University for general institutional consists of Summer Quarter which comes directly from support revenues, carryover and our enrolled students other miscellaneous revenue generating activities 10

Operating Budget: Uses of Funds UNIVERSITY OF WASHINGTON BOTHELL Financial Sustainability Plan - Sources and Uses of Funding OPERATING BUDGET Fiscal Year 2016 Actuals HOW IS FUNDING USED? Operational Expenses, 27% 41.8% 31.3% 3.4% 4.9% Faculty Real Estate Leases Campus Services Staff $29,582,532 $22,195,625 $2,432,318 $3,465,429 $70,850,761 The largest expenses for the Academic Staff directly Costs associated with Real Campus services are University are the personnel. support academic operations, Estate lease activity including expenses paid to non-state USES OF FUNDS Of which, faculty are the including the support of Operations and Maintenance budgets supporting physical largest portion Students and Faculty costs plant operations Salaries & Benefits, 73% 9.7% 0.7% 5.2% 6.3% Mandatory Costs Travel Misc Contractuals Supplies, Materials & Equip $6,858,796 $464,975 $3,682,444 $4,465,109 Includes UW Seattle All travel related expenses Contractual Personal Services Includes supplies & materials and Other Contractual Services Overhead costs and Utilities and equipment (excluding: Campus Services, (including: water, fuel, Real Estate Leases, Mandatory electricity & tech recharge) Costs) 11

ENROLLMENT ENROLLMENT TRENDS TRENDS FY 17 BUDGET EXPENSES

Enrollment History ENROLLMENT HISTORY 5,000 201 229 162 129 4,000 PROJECTED ACTUAL 129 105 3,000 36 14 4,855 4,564 4,342 2,000 3,972 3,546 3,204 2,769 2,396 1,000 - FY 2010 FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 FY 2016 FY 2017 STATE-BASED FTE FEE BASED FTE 13

Classroom Utilization  615 timeblocks available  873 official courses  446 courses taught on campus in general classroom  Average utilization of available classrooms – 71% Autumn 2016 Classroom Utilization Averages by Time Period Average Day 7:10‐8:30 8:45‐10:45 11:00‐1:00 1:15‐3:15 3:30‐5:30 5:45‐7:45 8:00‐10:00 71% MON - 105% 100% 98% 84% 91% 22% 83% TUE - 100% 107% 85% 100% 76% 27% 68% WED - 95% 90% 102% 80% 88% 22% 80% THUR 95% 102% 95% 90% 71% 27% 53% FRI 110% 49% 0% 0% Mon‐Thur Average - 99% 100% 95% 89% 82% 25% 14

BUDGET PLANNING

FY 2017 Operating Budget Expenditures Allocated and Projected Expenditures for FY 2017  Merit Increases: $2.11M  New Faculty Hires: $1.04M  Faculty Startup Packages: $300K  HR Payroll Modernization Project: $300K  Cost of doing business escalation: $200K 14

Fiscal Year 2018 Budget Development Some Assumptions:  Operating Budget assumes some backfill from state legislature  Budget assumes small (approx. 2%) undergraduate resident tuition increase as permitted by the legislature  Operating Budget assumes 4% compensation increase for faculty, librarians and professional staff with funding the same as FY 2017:  1.8%: State funding  2.2%: UW Bothell contributed funds  With these assumptions as a minimum, new resources and or new budget model will be required to stay even 16

UW Bothell Sustainability Plan UW BOTHELL FINANCIAL SUSTAINABILITY PLAN DRAFT UNIVERSITY OF WASHINGTON BOTHELL OPERATING FUNDS (excluding fee-based programs) DRAFT (dollars in thousands) FY 2016 - FY 2026 REAL ESTATE PURCHASE: Original Projection UPDATED Adjusted Stdnt Ratios BI 2015 ENROLLMENT: FY 2016 FY 2017 & Realizable Rate PROJECTED STATE BASED FTE 4,894 PROJECTED STATE BASED FTE (REALIZABLE) 4,564 4,661 4,855 FINANCIAL SUSTAINABILITY PLAN FY 2016 Actual FY 2017 Projected FY 2017 Projected REVENUES: GENERAL FUND-STATE $ 15,563 $ 20,620 $ 20,620 NET GERNERAL FUND-STATE $ 15,563 $ 20,620 $ 20,620 TUITION : UNDERGRAD ( UG) RESIDENT 35,050 30,993 31,743 NON-RESIDENT 10,430 13,517 15,565 UG TUITION REVENUE $ 45,481 $ 47,308 $ 44,510 GRAD (G) RESIDENT 4,107 4,557 4,798 NON-RESIDENT 1,026 693 986 G STUDENT TUITION REVENUE $ 5,133 $ 5,249 $ 5,784 TOTAL TUITION REVENUE $ 50,613 $ 49,759 $ 53,092 INCREMENTAL FTE 223 97 291 OTHER SOURCES NET OTHER REVENUE $ 4,674 $ 1,920 $ 1,920 TOTAL REVENUES $ 70,851 $ 72,299 $ 75,632 EXPENSES: TOTAL SALARIES & BENEFITS 51,832 54,980 54,980 REAL ESTATE LEASES 2,529 2,580 2,580 REAL ESTATE LEASE EXPANSION & PURCHASES: - - - OPERATING EXPENSES 8,058 8,050 8,050 OTHER OPERATING EXPENSES 9,047 9,277 10,033 DEFICIT BACKFILL ADJUSTMENTS (615) (2,588) (2,588) TOTAL EXPENSES: 70,851 72,299 73,055 BALANCE $ 0 $ 0 $ 2,577 17

FY 18 Budget Planning  Submission of answers to Provost’s questions were due November 18  Re-calibration of the budget model to begin in December/January 2016 – stages:  Establish project and decision path  Identify partners and steering committee  Develop model, policies and future governance, decision making and management  Communicate and build consensus  Build and test model  Develop tools and reporting  Implement and fine tune 18

Developing a Commitment Funding Pool (not including source of funds or inclusive list)  Diversity Center space  Diversity Center staff  Race & Equity Awareness  Husky Purple & Gold Training scholarships  Parent Resource Center  Graduate scholarships  Safety Corridor  Master Plan development  Modern Think Survey –  Childcare consultant related improvements  Reflection Room  Interfolio Costs  Gender Neutral Bathrooms  Library cost increases  HR/Payroll contribution  Reserve, Equity Pool & Contingency Fund 19

Draft Principles for Budget Planning  Transparent  Inclusive process - open to input and participation from faculty, staff, students  Iterative process  Aligns with UW Bothell strategic plan  Acknowledge and plans for temporary and desired commitments  Provides flexibility  Identify criteria for funding new ideas  tbd  tbd 20

Questions for You  What more do you need to know about the budget?  How do you want to be involved/informed as we re-calibrate the budget model? 21