Clayton State University Budget Meeting Insights

Open Budget Meeting April 21, 2016

Budget Calendar & Timeline Governor s Proposal January CSU/BOR Request to OPB Aug- Sept General Assembly Winter CSU s Internal Budget Process BOR Allocation June/July Finalized & BOR Axn Spring 2

Clayton State Universitys Resources Tuition & Fees Auxiliary Enterprises StateAppropriations 2017 Major Repair & Renovation (MRR) Sponsored Programs CSU Foundation Endowments Scholarships Unrestricted Annual Giving State Approp. 42.6% Other 58.6% Uses Restrictions Realities Salaries and Wages Utilities Supplies and Equipment Technology Facilities and Maintenance Public Safety Campus Activities and Services Capital funds can not be used to pay for salaries and wages State procurement guidelines must be followed Student fees must be used in conjunction with specific services Prudent fiscal management required for all sources State Appropriation varies Focus on Financial Ratios Economic conditions have a direct impact on our ability to collect the revenues necessary to satisfy the needs and obligations of the University 3

Open Budget Meeting STATE APPROPRIATION & TUITION TRENDS FY09-FY15 Fiscal Year FY11 FY12 FY13 FY14 FY15 FY16 FY17 State Appropriation Tuition $22,635,358 $21,503,584 $21,736,525 $23,251,922 $24,067,121 $25,198,595 $24,687,217 $22,945,975 $25,539,502 $27,046,979 $28,162,460 $27,243,207 $26,928,500* $27,000,000* $29,000,000 $27,000,000 $25,000,000 State Appropriation $23,000,000 Tuition $21,000,000 $19,000,000 $17,000,000 $15,000,000 FY11 FY12 FY13 FY14 FY15 FY16 FY17 * * * FY16 and FY17 Tuition is projected 4

Open Budget Meeting FY2014 FY2015 FY2016 (Estimated) FY2013 $8,000,000 Mandatory Fee $437,869 $1,102,434 $1,103,884 $1,346,374 $7,000,000 $8,293,122 $7,950,159 $7,942,996 $7,922,016 $7,505,127 $6,818,132 $6,000,000 $6,603,785 $6,348,248 $5,000,000 $4,000,000 $3,000,000 17,533 17,386 16,608 16,667 Total Students Full Payment Actual Collected Mandatory Fee Chart Laker Card Technology Student Activity Athletic Health Parking Student Activity Center Categories that pay less/none: Distance Learning, eCore, Employees/TAP, Fayette County, Joint Enrolled, Main Campus - less than 3 hrs, Senior Citizens, WBSIT FY 2013 20 57 60 160 46 34 75 FY 2014 20 57 60 160 46 34 100 FY 2015 20 57 60 160 46 34 100 FY 2016 20 57 60 160 46 34 100 5

Open Budget Meeting BOR Approval Required Fees Fee BSN Program Fee Teacher Education Internship Fee Telecourse/Online Course Fee FNP Program Fee FY2015 $ 111,219 $ 3,500 $ 524,363 $ - FY2016 (Estimated) $ 113,000 $ 4,500 $ 525,000 $ - FY2017 (Projected) $ 113,200 $ 5,000 $ 500,000 $ 20,580 MBA Program Fee UG Business Program Fee Fayette Special Site Charge $ - $ 47,986 $ 34,372 $ 2,300 $ 50,000 $ 35,000 $ 4,500 $ 35,629 $ 39,000 Fee Rates Fee BSN Program Fee Teacher Education Internship Fee Telecourse/Online Course Fee FNP Program Fee MBA Program Fee FY2015 $ 283 $ 100 $ 35 N/A N/A FY2016 $ 283 $ 100 $ 35 N/A $ 30 FY2017 (Proposed) $ 283 $ 100 $ 35 $ 1,029 $ 30 BOR Action APPROVED APPROVED APPROVED APPROVED NOT APPROVED UG Business Program Fee $ 41 $ 41 $ 41 NOT APPROVED Fayette Special Site Charge $ 20/cr hr max $ 120 $ 20/cr hr max $120 $ 20/cr hr max $120 NOT APPROVED 6

Open Budget Meeting Special Institutional Fee $5,000,000 FY2016 (Estimated) FY2015 FY2014 FY2013 $4,500,000 $541,586 $295,916 $298,085 $519,402 $4,000,000 $3,500,000 $3,000,000 $4,085,165 $3,870,834 $3,837,848 $3,610,414 $2,500,000 $4,383,250 $4,357,250 $4,166,750 $4,152,000 $2,000,000 $1,500,000 $1,000,000 $500,000 $- $250 $250 $250 $250 SIF Rate Full Payment Actual Collected 7

Open Budget Meeting Allocation of State Appropriations FY2017 State Appropriation $25,198,595 Formula Funding Enrollment and Other Allocations Health Insurance & Retiree Fringes (One-time Funding in FY17) $134,015 Maintenance & Operations (M&O) $23,180 Merit Based Pay & Employee Recruitment/Retention Initiative $911,789 Department of Administrative Services Premiums (DOAS) $(56,108) Total of Enrollment and Other Allocation $1,012,876 Institutional Reduction Actions: Faculty and staff reductions linked to right-sizing institutions based on enrollment $(1,524,254) Total FY 2017 State Funds Budget $24,687,217

CSUs Budget Build Revenue - 7,000 Fall Enrollment FY17 Budget 24,687,217 27,000,000 5,646,350 800,000 State Appropriation Tuition Fees & Other General Carry Forward Funds 58,133,567 Expenditures SEE SCENARIO HANDOUT 56,862,822 * Updated current budget including cuts needed Funding Available to Distribute 1,270,745 Required Funding Items added: University Contingency Increase in software licenses Faculty Promotions including benefits Funding for Merit Raises including benefits 99,000 11,311 48,175 1,112,259 1,270,745 Additional Funds Needed 0 9

Summer Budget CSU Annual Budget is divided into three parts: Fall/Spring/Summer Summer 2016 Revenue is split about 60% for FY16 and 40% FY17 Enrollment Report as of April 19th 3,013 Headcount 10

Open Budget Meeting Merit Salary Increase Salary and Wage Administration Policy The Board of Regents allocated to each institution funds to provide for salary increases for employees. Salary increases shall be awarded solely on merit, ranging from 0% to a high of 5%. Institution presidents are permitted to narrow the range but may not exceed the range. It is expected that individual merit salary increases will be reasonably distributed among employees based on the range determined by the institutional president. Institutions are required to develop a merit increase matrix demonstrating reasonable distribution. Across-the-board increases are not permitted. Institutions must request prior approval from the Chancellor in writing of any merit increases exceeding five percent. Institutions will need to identify other appropriate sources to fund salary adjustments related to promotions or position reclassifications, adjustments for targeted populations or adjustments to address market and compression issues. Additionally, such salary adjustments must be supported by appropriate documentation (e.g., market analysis or internal salary studies). Employees covered from other fund sources such as sponsored funds and auxiliary funds will be subject to the same policy requirements noted above and must be paid from the corresponding fund source rather than state funds.* Total 3% $167,056 (benefits only for State funded positions) *Total 3% $105,201 (salary and benefits for Auxiliary and other non-State funded positions) CSU amount $911,789 from USG $200,438 from CSU Total 3% $945,171 (salary only for State funded positions) 11

Open Budget Meeting Capital Budget & Projects FY 2016 Major Repairs & Renovations(MRR) allocation of $653,000 can be used for projects Funding for design of Academic Core ($1.4M) Library renovation project completed Successful Request for FY17 (Partial Funding) Funding for construction of Academic Core Renovation ($1.35M) Capital Improvement Plan (2018-2021) Four Large Capital Projects $80.3M Eight Small Capital Projects $29.7M 12

Open Budget Meeting FY16 Annual One-Time Early Expenditures 1.Dental Hygiene X-ray machine - $28,475 2. Campus emergency notification system (RAVE) - $25,000 3. Repairs to prevent power outages - $140,000 4. Chemical inventory system - $18,400 5. Security cameras for Clayton Station - $85,000 6. Enterprise system backups - $216,500 7. Redesign and restructuring of University website - $67,000 8. Replace exterior signs for buildings and areas on campus - $30,433 13

CSU Internal FY17 Budget Meetings No new funding requests due to budget cut 14

ePro/GAFirst Marketplace New procurement and purchasing system implemented April 4th by Procurement Services 15

Discussion and Questions 16