Operating Budget OverviewOperating Budget OverviewOperating Budget OverviewOperating Budget Overview

Presented to the Tuition and Fee CommitteeNovember 13, 2009Presented to the Tuition and Fee CommitteeNovember 13, 2009

UTSA Operating Budget OverviewAGENDA

UTSA Operating Budget OverviewAGENDA

Fund Sources State / Designated / Auxiliary / Restricted

Where the Money Comes From and Where the Money Goes

State Funds - Educational & General Discretionary vs. Non-Discretionary

State Revenue and Tuition Trends

Other Revenues - Designated, Auxiliary, Restricted Discretionary vs. Non-Discretionary Funds

Designated Tuition Uses

Fund Sources State / Designated / Auxiliary / Restricted

Where the Money Comes From and Where the Money Goes

State Funds - Educational & General Discretionary vs. Non-Discretionary

State Revenue and Tuition Trends

Other Revenues - Designated, Auxiliary, Restricted Discretionary vs. Non-Discretionary Funds

Designated Tuition Uses

Fund SourcesFiscal Year 2010Fund SourcesFiscal Year 2010

State Funds ($178.9 M) State Appropriations: Formula Funding, Special Items, Benefits THECB Transfers: TX Pub Ed Grant (TPEG), Work-study, etc. Statutory Tuition and Certain Lab Fees

Designated Funds ($151.3 M) Designated Tuition, Mandatory, Course & Incidental Fees Indirect Cost Recovery: Facilities & Administrative Overhead

Auxiliary Enterprise Funds ($50.6 M)Housing, Parking, Athletics, Bookstore, University Center, Food Services

Restricted Funds ($86.7 M)GiftsSponsored Programs – Grants/ContractsFederal Financial Aid

State Funds ($178.9 M) State Appropriations: Formula Funding, Special Items, Benefits THECB Transfers: TX Pub Ed Grant (TPEG), Work-study, etc. Statutory Tuition and Certain Lab Fees

Designated Funds ($151.3 M) Designated Tuition, Mandatory, Course & Incidental Fees Indirect Cost Recovery: Facilities & Administrative Overhead

Auxiliary Enterprise Funds ($50.6 M)Housing, Parking, Athletics, Bookstore, University Center, Food Services

Restricted Funds ($86.7 M)GiftsSponsored Programs – Grants/ContractsFederal Financial Aid

State Funds Also referred to as E&G:

Educational & General budgets

Designated FundsAlso referred to as Institutional funds

Auxiliary FundsMust be 100% Self-Support; no subsidies from other funds

$34.6 Mil

Where the Money Comes FromFiscal Year 2010Where the Money Comes FromFiscal Year 2010

State Appropriations

$127.3 M (27.2%)

Designated Funds:Designated Tuition, Misc.

Fees including F&A/Indirect Cost

Recovery

$151.3 M (32.4%)

Statutory Tuition & Fees $40.9 M

(8.7%)

THECB-Tx Grant Pgm, CWS & TARP/TATP

$10.7 M (2.3%)

Auxiliary Enterprise:Athletics Fee, University

Ctr Fee, Parking, Housing, Food Service,

UTSA Card, Child Dvlpmt,

ITC Store

$50.6 M (10.8%)

Restricted: Gifts $8.5 M (1.8%)

Restricted: Financial Aid $35.5 M / Grants & Contracts $42.7M

Total = $78.2 M (16.7%)

Revenue Sources $467.4 MillionRevenue Sources $467.4 Million

Where the Money GoesFiscal Year 2010 (By Expense)Where the Money GoesFiscal Year 2010 (By Expense)

Operating Expenses $467.4 MillionOperating Expenses $467.4 Million

Travel $8.8 M (2%)

Telecommunications$2.6 M (1%)

Repairs, Mnt. & Leases$13.4 M (3%)

Printing, Reprod & Other $20.6 M (4%)

Utilities $13.5 M (3%)

Capital Asset Purchases, $19.4 M (4%)

Salaries and Wages$238.7 M (51%)

Benefits $58.4M (12%)

Professional Fees & Services $16.6 M (4%)

Scholarships and Fellowships $41.7 M (9%)

Materials and Supplies, $33.7 M (7%)

State Funds Educational & General (E&G)

State Funds Educational & General (E&G)

State Appropriations - TOTALState Appropriations - TOTALGeneral RevenueGeneral RevenueTuition Revenue Bond RetirementTuition Revenue Bond RetirementResearch Development FundResearch Development FundSpecial ItemsSpecial ItemsBenefits Paid by the StateBenefits Paid by the State

General Revenue Dedicated - TOTALGeneral Revenue Dedicated - TOTALStatutory TuitionStatutory TuitionLab & Supplemental FeesLab & Supplemental Fees

State Grants & ContractsState Grants & ContractsTHECB – Incentive FundingTHECB – Incentive FundingTHECB – College Work StudyTHECB – College Work StudyTHECB – Texas Grant ProgramTHECB – Texas Grant Program

Budget 2010Budget 2010

$127,276$127,27672,89272,89212,48012,480

3,4023,40215,27315,27323,22923,229

$40,240$40,24039,89639,896

344344

$10,690$10,6902,4912,491

2002008,0008,000

Type of RevenueType of Revenue

DiscretionaryDiscretionaryNon-Discretionary Non-Discretionary Non-DiscretionaryNon-DiscretionaryNon-DiscretionaryNon-DiscretionaryNon-DiscretionaryNon-Discretionary

DiscretionaryDiscretionaryNon-DiscretionaryNon-Discretionary

Non-DiscretionaryNon-DiscretionaryNon-DiscretionaryNon-DiscretionaryNon-DiscretionaryNon-Discretionary

(In thousands)

State Funds - Statutory TuitionState Funds - Statutory Tuition

Rates established by Texas Education Code 54.051($50/SCH since Fall 2005 for resident undergraduate students) Same rate for all UT institutions

Graduate students pay 2 times undergraduate rate, referred to as Graduate Incremental Tuition(Rate has remained at $100/SCH since Fall 2005)

Non-resident students pay rates equal to the average non-resident tuition at the 5 most populous U.S. states Rates are determined by The Higher Education Coordinating Board (THECB) and listed under Texas Ed Code §54.051(d). The current non-resident student rate is $331/SCH for UG and $662/SCH for GR.

Statutory Tuition is a revenue source for the Instructional & Operation (I/O) Formula, an amount estimated in the General Appropriations Act The Institution bears the impact of any over or under collection of budgeted revenue – The Institution bears the impact of any over or under collection of budgeted revenue –

worse for campuses who lose enrollmentworse for campuses who lose enrollment

Rates established by Texas Education Code 54.051($50/SCH since Fall 2005 for resident undergraduate students) Same rate for all UT institutions

Graduate students pay 2 times undergraduate rate, referred to as Graduate Incremental Tuition(Rate has remained at $100/SCH since Fall 2005)

Non-resident students pay rates equal to the average non-resident tuition at the 5 most populous U.S. states Rates are determined by The Higher Education Coordinating Board (THECB) and listed under Texas Ed Code §54.051(d). The current non-resident student rate is $331/SCH for UG and $662/SCH for GR.

Statutory Tuition is a revenue source for the Instructional & Operation (I/O) Formula, an amount estimated in the General Appropriations Act The Institution bears the impact of any over or under collection of budgeted revenue – The Institution bears the impact of any over or under collection of budgeted revenue –

worse for campuses who lose enrollmentworse for campuses who lose enrollment

State Appropriations by UT CampusState Appropriations by UT Campus

State Appropriations

FY 2002 2003 2004 2005 2006 2007Arlington 5,700$ 4,900$ 4,600$ 4,600$ 4,900$ 5,000$ Austin 6,300 5,900 6,000 6,200 6,500 6,500 Dallas 6,100 5,700 5,700 5,500 6,100 6,100 El Paso 5,400 5,200 4,800 4,800 5,200 5,100 Pan American 4,700 4,500 4,200 4,000 4,400 4,300 Permian Basin 8,300 7,400 6,500 6,200 6,300 6,400 San Antonio 4,900 4,400 3,900 3,800 4,400 4,300 Tyler 9,000 7,600 6,900 6,000 6,500 6,400

Per Full-Time Equivalent Student (1), Real DollarsUT Academic Institutions

(1) Full-Time Equivalent students = 30 undergraduate semester credit hours (SCH) or 24 master's or professional SCHs or 18 doctoral SCHs.

(in millions)

$322.2$353.3

$389.9$410.3

$425.5

$127.3$115.5$114.7$98.1$97.1

$0

$100

$200

$300

$400

$500

FY 2006 30.1%

FY 2007 27.8%

FY 2008 29.4%

FY 2009 28.1%

FY 2010 29.9%

State Appropriations Total Revenues *

State Appropriations and Total RevenuesState Appropriations and Total Revenues

*net of adjustments for comparison to Annual Financial Report

State Appropriations and Tuition RevenueState Appropriations and Tuition Revenue

(in millions)

$201.9$222.6

$248.1

$127.3$115.5$114.7

$98.1

$120.8$117.2$107.9$103.8

$232.7

$0

$50

$100

$150

$200

$250

$300

FY2007 FY2008 FY2009 FY2010

State Appropriations Tuition (Statutory & Designated) Total

Revenue per FTE StudentRevenue per FTE Student

$4,518

$5,200$4,782 $4,892

$5,210 $5,265

$9,300

$10,092$10,343

$10,812

$5,133$5,547

$0

$2,000

$4,000

$6,000

$8,000

$10,000

$12,000

FY2007 FY2008 FY2009 FY2010

State Appropriations Tuition (Statutory & Designated) Total

$4,518

$5,200$4,782 $4,892

$5,210 $5,265

$9,300

$10,092$10,343

$10,812

$5,133$5,547

$0

$2,000

$4,000

$6,000

$8,000

$10,000

$12,000

FY2007 FY2008 FY2009 FY2010

State Appropriations Tuition (Statutory & Designated) Total

Other Revenues Other Revenues

DESIGNATED REVENUEDESIGNATED REVENUEDesignated TuitionDesignated TuitionMandatory Student FeesMandatory Student FeesProgram, Course Related/IncidentalProgram, Course Related/IncidentalNet Sales & Service Net Sales & Service F&A Indirect Cost Recovery F&A Indirect Cost Recovery Net Investment Income Net Investment Income Other Other

AUXILIARY REVENUEAUXILIARY REVENUEMandatory Student FeesMandatory Student FeesNet Auxiliary EnterprisesNet Auxiliary EnterprisesNet Investment IncomeNet Investment Income

RESTRICTED REVENUERESTRICTED REVENUEGrantsGrantsFinancial AidFinancial AidGiftsGifts

BUDGET 2010BUDGET 2010$151,278$151,278

79,98479,98439,88239,88217,42017,420

5,0195,0196,1506,1502,5152,515

308308

$50,617$50,61723,15423,15426,89826,898

565565

$86,693$86,69342,69142,691

35,496 35,496 8,5068,506

Revenue TypeRevenue Type

DiscretionaryDiscretionaryNon-DiscretionaryNon-DiscretionaryNon-DiscretionaryNon-DiscretionaryNon-DiscretionaryNon-Discretionary

DiscretionaryDiscretionaryDiscretionaryDiscretionaryDiscretionaryDiscretionary

Non-DiscretionaryNon-DiscretionaryNon-DiscretionaryNon-Discretionary

Quasi-DiscretionaryQuasi-Discretionary

Non-DiscretionaryNon-DiscretionaryNon-DiscretionaryNon-Discretionary

Quasi-DiscretionaryQuasi-Discretionary

(In thousands)

Designated Funds - Designated TuitionDesignated Funds - Designated Tuition

In 2003, the legislature ‘deregulated’ designated tuition rates to counteract declining state revenue.

Rates are set by the Board of Regents FY 08 = $101/SCH FY09 = $110/SCH FY10 = $120.85

Very important revenue stream Only discretionary source of new revenue in the 2nd year of the

biennium to fund merit, mandatory cost increases, new faculty, strategic initiatives, etc.

In 2003, the legislature ‘deregulated’ designated tuition rates to counteract declining state revenue.

Rates are set by the Board of Regents FY 08 = $101/SCH FY09 = $110/SCH FY10 = $120.85

Very important revenue stream Only discretionary source of new revenue in the 2nd year of the

biennium to fund merit, mandatory cost increases, new faculty, strategic initiatives, etc.

Designated Tuition UsesDesignated Tuition UsesBudget 2010Budget 2010

Designated Tuition UsesDesignated Tuition UsesBudget 2010Budget 2010

Designated Tuition RevenueDesignated Tuition Revenue $80.0$80.0

Uses:Uses: % of Total% of Total

Financial Aid ProgramsFinancial Aid Programs $13.7$13.7 17.1%17.1%

Instruction & Academic SupportInstruction & Academic Support 20.720.7 25.9%25.9%

Student ServicesStudent Services 3.73.7 4.6%4.6%

Debt Service & Capital OutlayDebt Service & Capital Outlay 10.410.4 13.0%13.0%

Operations & Maintenance of PlantOperations & Maintenance of Plant 14.814.8 18.5%18.5%

Institutional SupportInstitutional Support 15.015.0 18.8%18.8%

Other ExpensesOther Expenses 1.71.7 2.1%2.1%

Total UsesTotal Uses $80.0$80.0 100%100%

(in millions)(in millions)

Your Tuition Dollars at WorkYour Tuition Dollars at WorkInstruction & Academic SupportInstruction & Academic Support

Your Tuition Dollars at WorkYour Tuition Dollars at WorkInstruction & Academic SupportInstruction & Academic Support

Expenditures for salaries, wages, and all other costs related to those engaged in the teaching function including the operating costs of instructional departments. This would include the salaries of faculty, teaching assistants, lecturers and teaching equipment. Library materials and related salaries are also included.

Budget 2010 funding $20.7 M from Designated Tuition• $16.9 M – Faculty Salaries• $3.1 M – Departmental Operating Costs (office furniture,

computers, printers, office supplies, equipment, travel, etc.)

• $0.6 M – Teaching Assistants• $0.1 M – Special Items (TEX-Prep, Water Research Center)

Expenditures for salaries, wages, and all other costs related to those engaged in the teaching function including the operating costs of instructional departments. This would include the salaries of faculty, teaching assistants, lecturers and teaching equipment. Library materials and related salaries are also included.

Budget 2010 funding $20.7 M from Designated Tuition• $16.9 M – Faculty Salaries• $3.1 M – Departmental Operating Costs (office furniture,

computers, printers, office supplies, equipment, travel, etc.)

• $0.6 M – Teaching Assistants• $0.1 M – Special Items (TEX-Prep, Water Research Center)

Your Tuition Dollars at WorkYour Tuition Dollars at WorkYour Tuition Dollars at WorkYour Tuition Dollars at Work

• 163 new faculty FTE’s added over five years• 14% increase from Fall 2005 to Fall 2009• 36 new budgeted faculty FTE’s for Fiscal Year 2010

• 163 new faculty FTE’s added over five years• 14% increase from Fall 2005 to Fall 2009• 36 new budgeted faculty FTE’s for Fiscal Year 2010

Your Tuition Dollars at WorkYour Tuition Dollars at WorkYour Tuition Dollars at WorkYour Tuition Dollars at Work

• 163 new faculty FTE’s added over five years• Student Faculty ratio has improved 6% over the last

five years

• 163 new faculty FTE’s added over five years• Student Faculty ratio has improved 6% over the last

five years

# of

FTE

stu

dent

s pe

r fac

ulty

mem

ber

Expenditures for central activities concerned with administration and long-range planning for the entire institution. Expenditures related to:

• Executive direction, planning, programming, and legal operations• Activities to maintain relations with the community, alumni, or other constituents;

development and fund raising• Fiscal operations (accounting office, financial services, budget office)• Activities related to general administrative operations and services (human

resources office, purchasing office, etc)

Budget 2010 funding $15.0 M from Designated Tuition• $11.1 M – Salaries, Wages, and Benefit Expenditures• $3.9 M – Departmental Operating costs

Expenditures for central activities concerned with administration and long-range planning for the entire institution. Expenditures related to:

• Executive direction, planning, programming, and legal operations• Activities to maintain relations with the community, alumni, or other constituents;

development and fund raising• Fiscal operations (accounting office, financial services, budget office)• Activities related to general administrative operations and services (human

resources office, purchasing office, etc)

Budget 2010 funding $15.0 M from Designated Tuition• $11.1 M – Salaries, Wages, and Benefit Expenditures• $3.9 M – Departmental Operating costs

Your Tuition Dollars at WorkYour Tuition Dollars at WorkInstitutional SupportInstitutional Support

Your Tuition Dollars at WorkYour Tuition Dollars at WorkInstitutional SupportInstitutional Support

Expenditures for offices of admissions and of the registrar and activities with the primary purpose of contributing to students’ emotional and physical well-being and intellectual, cultural, and social development outside the context of the formal instruction program.

Budget 2010 funding $3.7 M from Designated Tuition• $2.7 M – Salaries, Wages, and Benefits• $1 M – Departmental Operating costs

Expenditures for offices of admissions and of the registrar and activities with the primary purpose of contributing to students’ emotional and physical well-being and intellectual, cultural, and social development outside the context of the formal instruction program.

Budget 2010 funding $3.7 M from Designated Tuition• $2.7 M – Salaries, Wages, and Benefits• $1 M – Departmental Operating costs

Your Tuition Dollars at WorkYour Tuition Dollars at WorkStudent ServicesStudent Services

Your Tuition Dollars at WorkYour Tuition Dollars at WorkStudent ServicesStudent Services

Expenditures of current operating funds for the operation and maintenance of the physical plant. This includes all expenditures for operations established to provide services and maintenance related to grounds and facilities. Also included are utilities, fire protection, property insurance, and similar items.

Campus PoliceEnvironmental Health & SafetyFacilities

Budget 2010 funding $14.8 M from Designated Tuition• $8.2 M – Utilities• $1.3 M – University Leases• $2.0 M – Salaries, Wages, and Benefits• $1.3 M – Misc Projects including fire safety, chemical/radiation waste,

environmental testing, and property insurance• $1.9 M – Departmental Operating costs

Expenditures of current operating funds for the operation and maintenance of the physical plant. This includes all expenditures for operations established to provide services and maintenance related to grounds and facilities. Also included are utilities, fire protection, property insurance, and similar items.

Campus PoliceEnvironmental Health & SafetyFacilities

Budget 2010 funding $14.8 M from Designated Tuition• $8.2 M – Utilities• $1.3 M – University Leases• $2.0 M – Salaries, Wages, and Benefits• $1.3 M – Misc Projects including fire safety, chemical/radiation waste,

environmental testing, and property insurance• $1.9 M – Departmental Operating costs

Your Tuition Dollars at WorkYour Tuition Dollars at WorkOperation & Maintenance of PlantOperation & Maintenance of Plant

Your Tuition Dollars at WorkYour Tuition Dollars at WorkOperation & Maintenance of PlantOperation & Maintenance of Plant

Debt Service – Interest and principal payments from borrowed funds for Capital Projects approved by the Board of Regents such as construction of a building or renovation of existing facilities.

Capital Outlay – acquisition of a long-lived assets

Budget 2010 funding $10.4 M from Designated Tuition• $2.5 M – Renovation Projects (classroom, lab, and restroom renovations, network

upgrades, etc.)

• $3.0 M – Building and facilities repairs (Deferred Maintenance)

• $1.6 M – Miscellaneous Projects• $3.3 M – Debt Service

Debt Service – Interest and principal payments from borrowed funds for Capital Projects approved by the Board of Regents such as construction of a building or renovation of existing facilities.

Capital Outlay – acquisition of a long-lived assets

Budget 2010 funding $10.4 M from Designated Tuition• $2.5 M – Renovation Projects (classroom, lab, and restroom renovations, network

upgrades, etc.)

• $3.0 M – Building and facilities repairs (Deferred Maintenance)

• $1.6 M – Miscellaneous Projects• $3.3 M – Debt Service

Your Tuition Dollars at WorkYour Tuition Dollars at WorkDebt Service & Capital OutlayDebt Service & Capital Outlay

Your Tuition Dollars at WorkYour Tuition Dollars at WorkDebt Service & Capital OutlayDebt Service & Capital Outlay

What debt does Designated Tuition pay for?What debt does Designated Tuition pay for?

Downtown Building Phase II

Downtown Campus Cladding Repairs

Monterey Building Acquisition

Thermal Energy Plant No. 2/Garage

Campus Roadway & Parking Improvements

What debt does Designated Tuition pay for?What debt does Designated Tuition pay for?

Downtown Building Phase II

Downtown Campus Cladding Repairs

Monterey Building Acquisition

Thermal Energy Plant No. 2/Garage

Campus Roadway & Parking Improvements

Your Tuition Dollars at WorkYour Tuition Dollars at WorkDebt Service & Capital OutlayDebt Service & Capital Outlay

Your Tuition Dollars at WorkYour Tuition Dollars at WorkDebt Service & Capital OutlayDebt Service & Capital Outlay

What the state requires (need based programs):Scholarships - $6.1 M

Work-study Programs - $1.2 M

B-on-Time Program - $2.2 M

Total – $9.5 M

Other programs funded by Designated Tuition:Scholarships - $0.6 M

Fellowships - $2.3 M

Incentive Programs - $0.4 M

TX Tomorrow Fund & Interest Free Loan/Forgiveness Program - $0.8 M

Total – $4.1 M

What the state requires (need based programs):Scholarships - $6.1 M

Work-study Programs - $1.2 M

B-on-Time Program - $2.2 M

Total – $9.5 M

Other programs funded by Designated Tuition:Scholarships - $0.6 M

Fellowships - $2.3 M

Incentive Programs - $0.4 M

TX Tomorrow Fund & Interest Free Loan/Forgiveness Program - $0.8 M

Total – $4.1 M

Your Tuition Dollars at WorkYour Tuition Dollars at WorkFinancial Aid Programs - $13.7 MFinancial Aid Programs - $13.7 M

Your Tuition Dollars at WorkYour Tuition Dollars at WorkFinancial Aid Programs - $13.7 MFinancial Aid Programs - $13.7 M

Your Tuition Dollars at WorkYour Tuition Dollars at WorkBudget 2010 RecapBudget 2010 Recap

Your Tuition Dollars at WorkYour Tuition Dollars at WorkBudget 2010 RecapBudget 2010 Recap

Faculty SalariesFaculty Salaries $16.9$16.9

Staff Salaries & WagesStaff Salaries & Wages 15.815.8

Departmental Operating CostsDepartmental Operating Costs 9.99.9

Teaching AssistantsTeaching Assistants 0.60.6

Financial Aid ProgramsFinancial Aid Programs 13.713.7UtilitiesUtilities 8.28.2University LeasesUniversity Leases 1.31.3Misc Projects (O&M of Plant)Misc Projects (O&M of Plant) 1.31.3Renovation ProjectsRenovation Projects 2.52.5Building & Facilities RepairsBuilding & Facilities Repairs 3.03.0

Debt ServiceDebt Service 3.33.3

Misc Capital ProjectsMisc Capital Projects 1.61.6Other ExpensesOther Expenses 1.81.8

Total Designated TuitionTotal Designated Tuition $79.9$79.9

(in millions)(in millions)

Faculty Salaries $16.9 M

(21%)

Staff Salaries & Wages

$15.8 M (20%)

Departmental Operating Costs

$9.9 M(12%)

Teaching Assistants

$0.6 M (1%)

Financial Aid Programs $13.7 M

(17%)

Utilities $8.2 M (10%)

University Leases $1.3 M

(2%)

Misc Projects (O&M of Plant)

$1.3 M(2%) Renovation

Projects $2.5 M

(3%)

Building & Facilities Repairs $3.0 M

(4%) Debt Service $3.3 M

(4%)

Misc Capital Projects $1.6 M

(2%)

Other Expenses $1.8 M

(2%)