Fiscal State of the University Spring 2013
Content
Fiscal State of the University
Academic Senate
May 23, 2013
Stephen G. Garcia
Interim Vice President of Administration & Finance/CFO
Brian K. Jenkins
Associate Vice President of Finance
Charge from Academic Senate
BL 08-02
“In the fall and spring semesters, the Chief Financial Officer shall be
invited to present to the Senate a report on the fiscal state of the
University. The report in the fall will be given as close as possible to the
beginning of the semester. The report in the spring will be given prior to
the spring marathon meeting. The report shall include but not be limited
to:
(a) the sources and uses of all revenues designated to the university
(including auxiliary units and extended education); and
(b) budget priorities, issues, and challenges. Following each address,
the Chief Financial Officer shall answer questions from those in
attendance.”
1
Report Preparation
Paulette Blumberg, Interim Associate Vice President of Administration
and Finance
Frank Mumford, Executive Director/Chief Executive Officer of ASC
Sarah Song, Director of Budget Planning and Administration
May Wong, Executive Assistant to the Associate Vice President
of Finance
2
Contents
Proposition 30 Budget Relief
FY 2012-13 University Revenue Sources
FY 2013-14 Budget Update Summary
State Allocation Funding Changes
Draft CSUF State Operating Fund Budget 2012-13 Summary
Draft CSUF State Operating Fund Budget 2013-14 Summary
FY 2013-14 Operating Fund Revenue Budget
7 Year State Operating Fund Budget Summary
7 Year Operating Fund Revenue Budget Summary
Operating Fund Revenue Budget Change
FY 2013-14 State Allocation per FTE Comparison
3
Proposition 30 Budget Relief
Fiscal Year 2012-2013
Trigger Budget Reduction Removal ($250M)
Tuition Fee Roll Back ($132M)
CERF Transfer ($63M)
FY 2012-2013 Impact
November 2012
April 2013
Estimate
Estimate
$
19,856,250
(11,293,796)
4,350,000
$
19,856,250
(11,293,796)
4,350,000
$
12,912,454
$
12,912,454
$
19,856,250
(10,742,863)
9,925,000
4,900,000
$
19,856,250
(11,687,500)
11,687,500
0
$
23,938,387
$
19,856,250
Fiscal Year 2013-2014
Trigger Budget Reduction Removal ($250M)
Tuition Fee Roll Back ($132M)
Tuition Fee Roll Back Buyout Appropriation ($125M)
Health Benefit Cost Sharing ($70M)
FY 2013-2014 Impact
Modification to the Schedule of Fees, including Graduation Incentive Fee, Third-tier Tuition Fee, and Course Repeat Fee
was placed on hold and will be reviewed later after the Trustees gather additional information and input from stakeholders.
4
FY 2012-13 University Revenue Sources
2011-12
CSU OPERATING FUND
$
LOTTERY EDUCATION FUND
316,414,338
2012-13
$
314,723,027
1,944,000
1,944,000
20,000,000
22,000,000
220,000
220,000
HOUSING FUND
18,500,000
22,000,000
PARKING FUND
10,871,733
10,686,460
PARKING FINDS & FORFEITURES
1,157,480
1,086,324
STUDENT UNION (1)
7,940,320
8,555,440
32,063,073
31,402,850
607,000
577,000
ASSOCIATED STUDENTS INC.
7,203,858
7,541,908
HOUSING AUTHORITY
1,063,344
1,123,437
CONTINUING EDUCATION REVENUE FUND (CERF)
HEALTH FACILITIES FEES
AUXILIARY FUNDS
CUSF AUXILIARY SERVICES CORPORATION
CSUF PHILANTHROPIC FOUNDATION (2)
TOTAL (3)
$
417,985,146
$
421,860,446
1. The Student Union Budget includes the amount to be transferred to ASI
2. Budget figure for operations only, does not include fundraising
3. Excludes Financial Aid and Capital Funds
5
FY 2013-14 Budget Update Summary
Proposition 30 budget relief has been factored into the CSUF budget for FY
2012-13, and into our budget planning for FY 2013-14
The CSU submitted a budget request to the state last November for a $371.9M
increase in state allocation support, accompanied by 5% enrollment growth
Last January, Governor Brown proposed his state budget for FY 2013-14
The Governor’s May Revise state budget proposal confirmed and included all the
key budget elements that were proposed back in January
Years of budget cuts and the passage of Proposition 30 enabled the
Governor to propose a balanced state budget
The on-going annual $20 billion gap between state revenues and
expenditures has been eliminated
Increased funding for K-12 and community colleges, expanded health care,
and of course Higher Education
6
FY 2013-14 Budget Update Summary - Continued
The Governor’s proposed budget for the CSU includes the following:
$125 million appropriation to “buy out” decreased student fee revenues
resulting from the Proposition 30 tuition fee increase roll-back
Various technical appropriation adjustments related to CalPERS Retirement
(and possibly baseline funded contributions at current staffing and pay levels),
interest adjustments to the state, lease revenue bond debt service, and
annuitants’ dental insurance
Proposal to move CSU general obligation bond debt service from the state to
the CSU and possibly “freeze” the allocation amount
$125.1 million programmatic increase appropriation - $115.1 million
undesignated and $10 million to increase the number of undergraduate
courses through the use of technology and online courses
The budget proposal was silent with regards to enrollment targets
A “plan” for future appropriation increases between 4% - 5% through FY 20162017 – with those appropriation increases and cost savings the CSU is
expected to freeze tuition and fee rates
Numerous policy change and student success accountability proposals which
could modify the multi-year funding model for future fiscal years
7
FY 2013-14 Budget Update Summary - Continued
In March, the CO presented more detailed budget plans to the Board of Trustees
which have been incorporated into the FY 2013-14 budget memo issued last
month
Resident enrollment FTES targets have been increased Systemwide by
1.45% (CSUF 1.2%)
Resident over-enrollment threshold established at 5% over FTES target
$115.1 million undesignated state allocation increase prioritized for the most
pressing needs
Mandatory cost increases - $48.2 million
Employee compensation pool (1.2% average increase) - $38.0 million
Enrollment growth - $21.7 million
Student access and success initiatives - $7.2 million
Draft CSUF budget details are highlighted in the remainder of the presentation
8
State Allocation Funding Changes
CSU
FY 2012-2013 Budget Act General Fund Allocation
CalPERS Retirement Adjustment
Fees to Trust Interest Adjustment to the State
SUG Adjustments Based on Campus Relative Student Need
Prop 30 Tuition Fee Roll-Back Buyout
Lease Revenue Bond Debt Service
Annuitants' Dental Insurance Decrease
General Obligation Bond Debt Service From State to CSU
$125.1 Million CSU Programmatic Increase
- Mandatory Cost Increase (Health Benefit Premiums)
- Mandatory Cost Increase (Energy)
- Mandatory Cost Increase (New Space)
- Enrollment Growth
CSUF
$2,010,652,000
$108,382,561
51,449,000
3,595,100
(766,000)
(59,300)
0
1,775,500
125,000,000
11,687,500
19,521,000
N/A - Systemwide
(473,000)
N/A - Systemwide
198,063,000
N/A - Systemwide
36,226,000
5,200,000
6,756,000
21,700,000
- Employee Compensation Pool
38,000,000
- Student Access and Success Initiatives
- Bottleneck Courses Through Use of Technology
- Balance
7,200,000
10,000,000
35,000
2,608,000
347,000
315,000
1,413,000
TBD - Collective
Bargaining Process
TBD - RFP Process
TBD - RFP Process
0
$2,528,563,000
$130,064,361
FY 2013-2014 Governor's Budget General Fund Allocation
9
Draft CSUF State Operating Fund Budget 2012-13 Summary
FISCAL YEAR 2012-2013
28,104 RESIDENT FTES (4.6% OVER 26,875
TARGET), 814 NON-RESIDENT FTES (1.5%
OVER 802 TARGET), AND 9.1% TUITION FEE
INCREASE ROLL BACK
BASELINE
Prior Year Baseline Surplus/(Deficit)
ONE-TIME
TOTAL
1,844,258
1,844,258
(7,460,700)
(7,460,700)
3,595,100
104,500
4,162,485
(328,476)
4,350,000
775,000
Revenues
FY 2011/12 CSU State Allocation - Budget Cut
FY 2012/13 CSU State Allocation - CalPERS Retirement Adjustment
FY 2012/13 CSU State Allocation - Fees to Trust Interest Adjusment
Tuition Fees (FTES & Student Mix Changes)
NRT Fees (FTE Changes)
CERF Fund Transfer
SUG Allocation (Baseline Needs) Returned to Campus
3,595,100
104,500
(4,361,297)
(434,868)
8,523,782
106,392
4,350,000
775,000
Total Revenue Changes (11,377,365)
16,575,274
5,197,909
10
Draft CSUF State Operating Fund Budget 2012-13 Summary - Continued
FISCAL YEAR 2012-2013
28,104 RESIDENT FTES (4.6% OVER 26,875
TARGET), 814 NON-RESIDENT FTES (1.5%
OVER 802 TARGET), AND 9.1% TUITION FEE
INCREASE ROLL BACK
BASELINE
ONE-TIME
TOTAL
Expenditures
Ma nda tory Sys te mwi de Cos t I ncre a s e s (He a l th)
Ma nda tory Sys te mwi de Cos t I ncre a s e s (Ene rgy)
Ca l PERS Re ti re me nt Adjus tme nt
SUG Expe ndi ture s
(1,058,000)
(306,000)
(3,595,100)
(775,000)
(2,139,000)
Total
(3,595,100)
(1,058,000)
(306,000)
(3,595,100)
(775,000)
(5,734,100)
Additional Budget Requirements
Fundi ng Adjus tme nt Ba s e d on Enrol l me nt Cha nge
Fa cul ty Se ttl e me nts
Fa cul ty Promoti ons a nd Be ne fi ts
Pre s i de nt's Schol a r Fundi ng Shi ft
Aca de mi c Affa i rs Pa s s -Through Expe ndi ture I te ms
CMS Loa n (Ye a r 7 of 9)
241,817
(3,771,288)
191,760
(594,035)
Total Additional Budget Requirements
(352,218)
(362,451)
(4,043,705)
(3,338,841)
(11,324,525)
(3,529,471)
191,760
(594,035)
(362,451)
(4,043,705)
(3,338,841)
(11,676,743)
PRBC Recommendations
Ne w Fa cul ty Se a rche s
SFR Budge t Re s tora ti on Pl a n
(350,000)
(2,000,000)
(2,350,000)
Total PRBC Recommendations
(1,600,000)
(1,600,000)
(1,950,000)
(2,000,000)
(3,950,000)
Other
Uni ve rs i ty I ni ti a ti ve s
Cos t Al l oca ti on Ove rhe a d Re cove ry
Chi l d Ca re Subs i dy
(1,000,000)
(73,000)
(1,073,000)
(1,000,000)
1,100,000
(73,000)
27,000
1,100,000
Total Other
1,100,000
Total Expenditure Changes
(3,741,218)
(17,592,625)
(21,333,843)
Total Surplus/(Shortfall)
(13,274,325)
(1,017,351)
(14,291,676)
15,918,396
9,000,000
(12,912,454)
1,000,000
600,000
15,918,396
9,685,734
(12,912,454)
12,005,942
14,291,676
10,988,591
0
Campus Mitigation Strategies
Uti l i ti e s
UMGI (Fundi ng El i mi na ti on)
Di vi s i ona l Budge t Cuts
Ca mpus Re s e rve
Ca mpus Re s e rve Prop 30 Re l i e f
1,000,000
600,000
685,734
Total Campus Mitigation Strategies
Revised Surplus/(Shortfall)
2,285,734
(10,988,591)
11
Draft CSUF State Operating Fund Budget 2013-14 Summary
FISCAL YEAR 2013-2014
28,446 RESIDENT FTES (4.9% OVER 27,198
TARGET), 957 NON-RESIDENT FTES (18.2%
OVER 816 TARGET), AND NO TUITION FEE
INCREASE
BASELINE
Prior Year Baseline Surplus/(Deficit)
ONE-TIME
TOTAL
(10,988,591)
(10,988,591)
3,595,100
11,687,500
1,413,000
(59,300)
2,608,000
347,000
315,000
3,952,693
1,772,208
(424,000)
2,199,500
3,595,100
11,687,500
1,413,000
(59,300)
2,608,000
347,000
315,000
12,857,735
1,772,208
(424,000)
2,199,500
Revenues
FY 2012/13 CSU State Allocation - CalPERS Retirement Adjustment
FY 2013/14 CSU State Allocation - Prop 30 Fee Roll Back Buyout
FY 2013/14 CSU State Allocation - Enrollment Growth
FY 2013/14 CSU State Allocation - Fees to Trust Interest Adjusment
FY 2013/14 CSU State Allocation - Mandatory Systemwide Cost Increases (Health)
FY 2013/14 CSU State Allocation - Mandatory Systemwide Cost Increases (Energy)
FY 2013/14 CSU State Allocation - Mandatory Systemwide Cost Increases (New Space)
Tuition Fees (FTES & Student Mix Changes)
NRT Fees (FTE Changes)
SUG Adjustment (Financial Aid) Paid to CO
SUG Allocation (Baseline Needs) Returned to Campus
Total Revenue Changes
27,406,701
8,905,042
8,905,042
36,311,743
12
Draft CSUF State Operating Fund Budget 2013-14 Summary - Continued
FISCAL YEAR 2013-2014
28,446 RESIDENT FTES (4.9% OVER 27,198
TARGET), 957 NON-RESIDENT FTES (18.2%
OVER 816 TARGET), AND NO TUITION FEE
INCREASE
BASELINE
ONE-TIME
TOTAL
Expenditures
Ma nda tory Sys te mwi de Cos t I ncre a s e s (He a l th)
Ma nda tory Sys te mwi de Cos t I ncre a s e s (Ene rgy)
Ma nda tory Sys te mwi de Cos t I ncre a s e s (Ne w Spa ce )
Ca l PERS Re ti re me nt Adjus tme nt
SUG Expe ndi ture s
(2,608,000)
(347,000)
(315,000)
(3,595,100)
(2,199,500)
(9,064,600)
Total
0
(2,608,000)
(347,000)
(315,000)
(3,595,100)
(2,199,500)
(9,064,600)
Additional Budget Requirements
Fundi ng Adjus tme nt Ba s e d on Enrol l me nt Cha nge
Fa cul ty Se ttl e me nts
Fa cul ty Promoti ons a nd Be ne fi ts
Pre s i de nt's Schol a r Fundi ng Shi ft
Aca de mi c Affa i rs Pa s s -Through Expe ndi ture I te ms
CMS Loa n (Ye a r 8 of 9)
(974,946)
(4,287,175)
140,027
(300,000)
Total Additional Budget Requirements
(1,274,946)
Budget Priorities
(362,451)
(3,886,140)
(2,222,734)
(10,618,473)
(5,262,121)
140,027
(300,000)
(362,451)
(3,886,140)
(2,222,734)
(11,893,419)
TBD Prioritization and Planning
Process
Ope ra ti ona l i za ti on of Stra te gi c Pl a n
Stra te gi ca l l y Addre s s i ng Structura l De fi ci ts
Re i nve s ti ng i n I ns tructi ona l Support Fa ci l i ti e s
Total Budget Priorities
TBD
TBD
TBD
(73,000)
(73,000)
1,300,000
(73,000)
1,227,000
Other
Bond Re fi na nci ng a nd Le a s e Pa yme nts
Chi l d Ca re Subs i dy
1,300,000
Total Other
1,300,000
Total Expenditure Changes
(9,039,546)
(10,691,473)
(19,731,019)
Total Surplus/(Shortfall)
7,378,564
(1,786,431)
5,592,133
13
BASELINE
STATE ALLOCATION
BUDGETED REVENUES
Tuition Fee
Non-Resident Fee
Application Fee
Trust Fund Interest Earnings
Health Fee - Student Affairs
ONE-TIME
$
130,064,361
$
$
181,735,544
9,894,084
1,952,665
290,400
3,550,000
$
Other Receipts
Academic Affairs
Administration and Finance
Information Technology
Student Affairs
University Wide
-
8,905,042
TOTAL
$
130,064,361
$
190,640,586
9,894,084
1,952,665
290,400
3,550,000
2,817,500
432,000
903,000
800,000
1,060,000
2,817,500
432,000
903,000
800,000
1,060,000
Total Revenue
$
203,435,193
$
8,905,042
$
212,340,235
Total State Allocation and Revenues
$
333,499,554
$
8,905,042
$
342,404,596
14
07-08
08-09
09-10
10-11
11-12
12-13
13-14
STATE ALLOCATION
179,133,570
179,775,337
131,357,037
160,655,682
108,625,261
108,382,561
130,064,361
REVENUES
Tuition Fee
Non-Resident Fee
Health Fee
Application Fee
Trust Fund Interest Earnings
Other Receipts
Total Revenues
96,872,700
8,360,757
2,200,000
1,943,065
1,800,000
5,551,748
116,728,270
106,834,312
8,360,757
2,200,000
1,943,065
2,400,000
5,394,420
127,132,554
135,897,450
9,424,620
2,200,000
1,943,065
1,700,000
5,859,420
157,024,555
145,000,307
8,543,352
2,200,000
1,639,365
603,700
5,184,420
163,171,144
182,144,148
8,556,744
2,200,000
1,952,665
290,400
5,184,420
200,328,377
186,306,633
8,228,268
3,550,000
1,952,665
290,400
6,012,500
206,340,466
190,640,586
9,894,084
3,550,000
1,952,665
290,400
6,012,500
212,340,235
Total State Allocation and Revenues
295,861,840
306,907,891
288,381,592
323,826,826
308,953,638
314,723,027
342,404,596
21,418,692
4,000,000
10,546,726
14,035,734
317,280,532
310,907,891
288,381,592
323,826,826
319,500,364
328,758,761
3,475,153
127,271,004
19,643,858
3,141,759
119,210,118
19,995,710
2,717,300
105,512,980
18,613,614
3,017,428
128,084,224
20,526,659
2,761,234
119,641,989
19,135,502
1,859,582
116,451,972
17,828,953
10,549,415
16,460,260
5,089,216
134,791,626
317,280,532
10,304,317
15,216,528
4,657,576
138,381,883
310,907,891
9,407,163
13,453,548
4,594,945
134,082,042
288,381,592
12,595,562
16,037,279
5,696,778
137,868,895
323,826,826
11,619,726
14,796,374
5,268,348
146,277,191
319,500,364
11,081,413
15,021,422
5,406,599
161,108,820
328,758,761
University Reserves/Carryforward
Total Sources of Revenue
EXPENDITURES BY DIVISION
President
Academic Affairs
Administration and Finance
Human Resources
Information Technology
Student Affairs
University Advancement
All University
Total Expenditures
-
-
342,404,596
342,404,596
15
7 Year Operating Fund Revenue Budget Summary
CSUF State Operating Fund
Sources of Revenue
FY 2007-08 to FY 2013-14
(Millions $)
16
Operating Fund Revenue Budget Change
17
FY 2013-14 State Allocation per FTE Comparison
Enrol l ment
Ra nki ng
23
22
21
18
19
20
17
16
15
10
8
12
9
11
14
13
4
3
6
7
5
1
1
Ca mpus
Genera l Fund
Al l oca ti on
2013/14
Res i dent
FTES
Genera l Fund
Al l oca ti on per
Res i dent FTES
Maritime Academy
Channel Islands
Monterey Bay
Humboldt
Bakersfield
Stanislaus
San Marcos
Sonoma
Dominguez Hills
Los Angeles
Fresno
Chico
Pomona
San Luis Obispo
East Bay
San Bernardino
Northridge
San Diego
Sacramento
San Jose
San Francisco
Long Beach
Fullerton
$23,184,576
$48,496,910
$52,092,783
$60,415,210
$51,343,309
$49,835,547
$55,597,552
$49,467,083
$61,880,052
$103,544,039
$108,604,732
$85,954,532
$103,516,842
$95,997,068
$67,147,261
$78,595,208
$141,659,296
$143,411,096
$116,988,137
$111,094,782
$120,275,359
$141,554,836
$130,064,361
1,106
3,367
4,617
7,151
7,056
6,877
7,741
7,540
9,628
16,546
17,778
14,363
17,356
16,192
11,436
14,016
25,573
26,225
21,885
21,298
23,074
27,198
27,198
$20,963
$14,404
$11,283
$8,448
$7,277
$7,247
$7,182
$6,561
$6,427
$6,258
$6,109
$5,984
$5,964
$5,929
$5,872
$5,608
$5,539
$5,468
$5,346
$5,216
$5,213
$5,205
$4,782
Campus Total
$2,000,720,571
335,221
5,968
FY 2013/14 Per FTE Di ff
Ra nki ng to Ful l erton
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
(757)
(686)
(563)
(434)
(430)
(422)
Dol l a r
Impa ct
(20,596,474)
(18,667,574)
(15,324,871)
(11,806,044)
(11,707,729)
(11,490,475)
18
19
Academic Senate
May 23, 2013
Stephen G. Garcia
Interim Vice President of Administration & Finance/CFO
Brian K. Jenkins
Associate Vice President of Finance
Charge from Academic Senate
BL 08-02
“In the fall and spring semesters, the Chief Financial Officer shall be
invited to present to the Senate a report on the fiscal state of the
University. The report in the fall will be given as close as possible to the
beginning of the semester. The report in the spring will be given prior to
the spring marathon meeting. The report shall include but not be limited
to:
(a) the sources and uses of all revenues designated to the university
(including auxiliary units and extended education); and
(b) budget priorities, issues, and challenges. Following each address,
the Chief Financial Officer shall answer questions from those in
attendance.”
1
Report Preparation
Paulette Blumberg, Interim Associate Vice President of Administration
and Finance
Frank Mumford, Executive Director/Chief Executive Officer of ASC
Sarah Song, Director of Budget Planning and Administration
May Wong, Executive Assistant to the Associate Vice President
of Finance
2
Contents
Proposition 30 Budget Relief
FY 2012-13 University Revenue Sources
FY 2013-14 Budget Update Summary
State Allocation Funding Changes
Draft CSUF State Operating Fund Budget 2012-13 Summary
Draft CSUF State Operating Fund Budget 2013-14 Summary
FY 2013-14 Operating Fund Revenue Budget
7 Year State Operating Fund Budget Summary
7 Year Operating Fund Revenue Budget Summary
Operating Fund Revenue Budget Change
FY 2013-14 State Allocation per FTE Comparison
3
Proposition 30 Budget Relief
Fiscal Year 2012-2013
Trigger Budget Reduction Removal ($250M)
Tuition Fee Roll Back ($132M)
CERF Transfer ($63M)
FY 2012-2013 Impact
November 2012
April 2013
Estimate
Estimate
$
19,856,250
(11,293,796)
4,350,000
$
19,856,250
(11,293,796)
4,350,000
$
12,912,454
$
12,912,454
$
19,856,250
(10,742,863)
9,925,000
4,900,000
$
19,856,250
(11,687,500)
11,687,500
0
$
23,938,387
$
19,856,250
Fiscal Year 2013-2014
Trigger Budget Reduction Removal ($250M)
Tuition Fee Roll Back ($132M)
Tuition Fee Roll Back Buyout Appropriation ($125M)
Health Benefit Cost Sharing ($70M)
FY 2013-2014 Impact
Modification to the Schedule of Fees, including Graduation Incentive Fee, Third-tier Tuition Fee, and Course Repeat Fee
was placed on hold and will be reviewed later after the Trustees gather additional information and input from stakeholders.
4
FY 2012-13 University Revenue Sources
2011-12
CSU OPERATING FUND
$
LOTTERY EDUCATION FUND
316,414,338
2012-13
$
314,723,027
1,944,000
1,944,000
20,000,000
22,000,000
220,000
220,000
HOUSING FUND
18,500,000
22,000,000
PARKING FUND
10,871,733
10,686,460
PARKING FINDS & FORFEITURES
1,157,480
1,086,324
STUDENT UNION (1)
7,940,320
8,555,440
32,063,073
31,402,850
607,000
577,000
ASSOCIATED STUDENTS INC.
7,203,858
7,541,908
HOUSING AUTHORITY
1,063,344
1,123,437
CONTINUING EDUCATION REVENUE FUND (CERF)
HEALTH FACILITIES FEES
AUXILIARY FUNDS
CUSF AUXILIARY SERVICES CORPORATION
CSUF PHILANTHROPIC FOUNDATION (2)
TOTAL (3)
$
417,985,146
$
421,860,446
1. The Student Union Budget includes the amount to be transferred to ASI
2. Budget figure for operations only, does not include fundraising
3. Excludes Financial Aid and Capital Funds
5
FY 2013-14 Budget Update Summary
Proposition 30 budget relief has been factored into the CSUF budget for FY
2012-13, and into our budget planning for FY 2013-14
The CSU submitted a budget request to the state last November for a $371.9M
increase in state allocation support, accompanied by 5% enrollment growth
Last January, Governor Brown proposed his state budget for FY 2013-14
The Governor’s May Revise state budget proposal confirmed and included all the
key budget elements that were proposed back in January
Years of budget cuts and the passage of Proposition 30 enabled the
Governor to propose a balanced state budget
The on-going annual $20 billion gap between state revenues and
expenditures has been eliminated
Increased funding for K-12 and community colleges, expanded health care,
and of course Higher Education
6
FY 2013-14 Budget Update Summary - Continued
The Governor’s proposed budget for the CSU includes the following:
$125 million appropriation to “buy out” decreased student fee revenues
resulting from the Proposition 30 tuition fee increase roll-back
Various technical appropriation adjustments related to CalPERS Retirement
(and possibly baseline funded contributions at current staffing and pay levels),
interest adjustments to the state, lease revenue bond debt service, and
annuitants’ dental insurance
Proposal to move CSU general obligation bond debt service from the state to
the CSU and possibly “freeze” the allocation amount
$125.1 million programmatic increase appropriation - $115.1 million
undesignated and $10 million to increase the number of undergraduate
courses through the use of technology and online courses
The budget proposal was silent with regards to enrollment targets
A “plan” for future appropriation increases between 4% - 5% through FY 20162017 – with those appropriation increases and cost savings the CSU is
expected to freeze tuition and fee rates
Numerous policy change and student success accountability proposals which
could modify the multi-year funding model for future fiscal years
7
FY 2013-14 Budget Update Summary - Continued
In March, the CO presented more detailed budget plans to the Board of Trustees
which have been incorporated into the FY 2013-14 budget memo issued last
month
Resident enrollment FTES targets have been increased Systemwide by
1.45% (CSUF 1.2%)
Resident over-enrollment threshold established at 5% over FTES target
$115.1 million undesignated state allocation increase prioritized for the most
pressing needs
Mandatory cost increases - $48.2 million
Employee compensation pool (1.2% average increase) - $38.0 million
Enrollment growth - $21.7 million
Student access and success initiatives - $7.2 million
Draft CSUF budget details are highlighted in the remainder of the presentation
8
State Allocation Funding Changes
CSU
FY 2012-2013 Budget Act General Fund Allocation
CalPERS Retirement Adjustment
Fees to Trust Interest Adjustment to the State
SUG Adjustments Based on Campus Relative Student Need
Prop 30 Tuition Fee Roll-Back Buyout
Lease Revenue Bond Debt Service
Annuitants' Dental Insurance Decrease
General Obligation Bond Debt Service From State to CSU
$125.1 Million CSU Programmatic Increase
- Mandatory Cost Increase (Health Benefit Premiums)
- Mandatory Cost Increase (Energy)
- Mandatory Cost Increase (New Space)
- Enrollment Growth
CSUF
$2,010,652,000
$108,382,561
51,449,000
3,595,100
(766,000)
(59,300)
0
1,775,500
125,000,000
11,687,500
19,521,000
N/A - Systemwide
(473,000)
N/A - Systemwide
198,063,000
N/A - Systemwide
36,226,000
5,200,000
6,756,000
21,700,000
- Employee Compensation Pool
38,000,000
- Student Access and Success Initiatives
- Bottleneck Courses Through Use of Technology
- Balance
7,200,000
10,000,000
35,000
2,608,000
347,000
315,000
1,413,000
TBD - Collective
Bargaining Process
TBD - RFP Process
TBD - RFP Process
0
$2,528,563,000
$130,064,361
FY 2013-2014 Governor's Budget General Fund Allocation
9
Draft CSUF State Operating Fund Budget 2012-13 Summary
FISCAL YEAR 2012-2013
28,104 RESIDENT FTES (4.6% OVER 26,875
TARGET), 814 NON-RESIDENT FTES (1.5%
OVER 802 TARGET), AND 9.1% TUITION FEE
INCREASE ROLL BACK
BASELINE
Prior Year Baseline Surplus/(Deficit)
ONE-TIME
TOTAL
1,844,258
1,844,258
(7,460,700)
(7,460,700)
3,595,100
104,500
4,162,485
(328,476)
4,350,000
775,000
Revenues
FY 2011/12 CSU State Allocation - Budget Cut
FY 2012/13 CSU State Allocation - CalPERS Retirement Adjustment
FY 2012/13 CSU State Allocation - Fees to Trust Interest Adjusment
Tuition Fees (FTES & Student Mix Changes)
NRT Fees (FTE Changes)
CERF Fund Transfer
SUG Allocation (Baseline Needs) Returned to Campus
3,595,100
104,500
(4,361,297)
(434,868)
8,523,782
106,392
4,350,000
775,000
Total Revenue Changes (11,377,365)
16,575,274
5,197,909
10
Draft CSUF State Operating Fund Budget 2012-13 Summary - Continued
FISCAL YEAR 2012-2013
28,104 RESIDENT FTES (4.6% OVER 26,875
TARGET), 814 NON-RESIDENT FTES (1.5%
OVER 802 TARGET), AND 9.1% TUITION FEE
INCREASE ROLL BACK
BASELINE
ONE-TIME
TOTAL
Expenditures
Ma nda tory Sys te mwi de Cos t I ncre a s e s (He a l th)
Ma nda tory Sys te mwi de Cos t I ncre a s e s (Ene rgy)
Ca l PERS Re ti re me nt Adjus tme nt
SUG Expe ndi ture s
(1,058,000)
(306,000)
(3,595,100)
(775,000)
(2,139,000)
Total
(3,595,100)
(1,058,000)
(306,000)
(3,595,100)
(775,000)
(5,734,100)
Additional Budget Requirements
Fundi ng Adjus tme nt Ba s e d on Enrol l me nt Cha nge
Fa cul ty Se ttl e me nts
Fa cul ty Promoti ons a nd Be ne fi ts
Pre s i de nt's Schol a r Fundi ng Shi ft
Aca de mi c Affa i rs Pa s s -Through Expe ndi ture I te ms
CMS Loa n (Ye a r 7 of 9)
241,817
(3,771,288)
191,760
(594,035)
Total Additional Budget Requirements
(352,218)
(362,451)
(4,043,705)
(3,338,841)
(11,324,525)
(3,529,471)
191,760
(594,035)
(362,451)
(4,043,705)
(3,338,841)
(11,676,743)
PRBC Recommendations
Ne w Fa cul ty Se a rche s
SFR Budge t Re s tora ti on Pl a n
(350,000)
(2,000,000)
(2,350,000)
Total PRBC Recommendations
(1,600,000)
(1,600,000)
(1,950,000)
(2,000,000)
(3,950,000)
Other
Uni ve rs i ty I ni ti a ti ve s
Cos t Al l oca ti on Ove rhe a d Re cove ry
Chi l d Ca re Subs i dy
(1,000,000)
(73,000)
(1,073,000)
(1,000,000)
1,100,000
(73,000)
27,000
1,100,000
Total Other
1,100,000
Total Expenditure Changes
(3,741,218)
(17,592,625)
(21,333,843)
Total Surplus/(Shortfall)
(13,274,325)
(1,017,351)
(14,291,676)
15,918,396
9,000,000
(12,912,454)
1,000,000
600,000
15,918,396
9,685,734
(12,912,454)
12,005,942
14,291,676
10,988,591
0
Campus Mitigation Strategies
Uti l i ti e s
UMGI (Fundi ng El i mi na ti on)
Di vi s i ona l Budge t Cuts
Ca mpus Re s e rve
Ca mpus Re s e rve Prop 30 Re l i e f
1,000,000
600,000
685,734
Total Campus Mitigation Strategies
Revised Surplus/(Shortfall)
2,285,734
(10,988,591)
11
Draft CSUF State Operating Fund Budget 2013-14 Summary
FISCAL YEAR 2013-2014
28,446 RESIDENT FTES (4.9% OVER 27,198
TARGET), 957 NON-RESIDENT FTES (18.2%
OVER 816 TARGET), AND NO TUITION FEE
INCREASE
BASELINE
Prior Year Baseline Surplus/(Deficit)
ONE-TIME
TOTAL
(10,988,591)
(10,988,591)
3,595,100
11,687,500
1,413,000
(59,300)
2,608,000
347,000
315,000
3,952,693
1,772,208
(424,000)
2,199,500
3,595,100
11,687,500
1,413,000
(59,300)
2,608,000
347,000
315,000
12,857,735
1,772,208
(424,000)
2,199,500
Revenues
FY 2012/13 CSU State Allocation - CalPERS Retirement Adjustment
FY 2013/14 CSU State Allocation - Prop 30 Fee Roll Back Buyout
FY 2013/14 CSU State Allocation - Enrollment Growth
FY 2013/14 CSU State Allocation - Fees to Trust Interest Adjusment
FY 2013/14 CSU State Allocation - Mandatory Systemwide Cost Increases (Health)
FY 2013/14 CSU State Allocation - Mandatory Systemwide Cost Increases (Energy)
FY 2013/14 CSU State Allocation - Mandatory Systemwide Cost Increases (New Space)
Tuition Fees (FTES & Student Mix Changes)
NRT Fees (FTE Changes)
SUG Adjustment (Financial Aid) Paid to CO
SUG Allocation (Baseline Needs) Returned to Campus
Total Revenue Changes
27,406,701
8,905,042
8,905,042
36,311,743
12
Draft CSUF State Operating Fund Budget 2013-14 Summary - Continued
FISCAL YEAR 2013-2014
28,446 RESIDENT FTES (4.9% OVER 27,198
TARGET), 957 NON-RESIDENT FTES (18.2%
OVER 816 TARGET), AND NO TUITION FEE
INCREASE
BASELINE
ONE-TIME
TOTAL
Expenditures
Ma nda tory Sys te mwi de Cos t I ncre a s e s (He a l th)
Ma nda tory Sys te mwi de Cos t I ncre a s e s (Ene rgy)
Ma nda tory Sys te mwi de Cos t I ncre a s e s (Ne w Spa ce )
Ca l PERS Re ti re me nt Adjus tme nt
SUG Expe ndi ture s
(2,608,000)
(347,000)
(315,000)
(3,595,100)
(2,199,500)
(9,064,600)
Total
0
(2,608,000)
(347,000)
(315,000)
(3,595,100)
(2,199,500)
(9,064,600)
Additional Budget Requirements
Fundi ng Adjus tme nt Ba s e d on Enrol l me nt Cha nge
Fa cul ty Se ttl e me nts
Fa cul ty Promoti ons a nd Be ne fi ts
Pre s i de nt's Schol a r Fundi ng Shi ft
Aca de mi c Affa i rs Pa s s -Through Expe ndi ture I te ms
CMS Loa n (Ye a r 8 of 9)
(974,946)
(4,287,175)
140,027
(300,000)
Total Additional Budget Requirements
(1,274,946)
Budget Priorities
(362,451)
(3,886,140)
(2,222,734)
(10,618,473)
(5,262,121)
140,027
(300,000)
(362,451)
(3,886,140)
(2,222,734)
(11,893,419)
TBD Prioritization and Planning
Process
Ope ra ti ona l i za ti on of Stra te gi c Pl a n
Stra te gi ca l l y Addre s s i ng Structura l De fi ci ts
Re i nve s ti ng i n I ns tructi ona l Support Fa ci l i ti e s
Total Budget Priorities
TBD
TBD
TBD
(73,000)
(73,000)
1,300,000
(73,000)
1,227,000
Other
Bond Re fi na nci ng a nd Le a s e Pa yme nts
Chi l d Ca re Subs i dy
1,300,000
Total Other
1,300,000
Total Expenditure Changes
(9,039,546)
(10,691,473)
(19,731,019)
Total Surplus/(Shortfall)
7,378,564
(1,786,431)
5,592,133
13
BASELINE
STATE ALLOCATION
BUDGETED REVENUES
Tuition Fee
Non-Resident Fee
Application Fee
Trust Fund Interest Earnings
Health Fee - Student Affairs
ONE-TIME
$
130,064,361
$
$
181,735,544
9,894,084
1,952,665
290,400
3,550,000
$
Other Receipts
Academic Affairs
Administration and Finance
Information Technology
Student Affairs
University Wide
-
8,905,042
TOTAL
$
130,064,361
$
190,640,586
9,894,084
1,952,665
290,400
3,550,000
2,817,500
432,000
903,000
800,000
1,060,000
2,817,500
432,000
903,000
800,000
1,060,000
Total Revenue
$
203,435,193
$
8,905,042
$
212,340,235
Total State Allocation and Revenues
$
333,499,554
$
8,905,042
$
342,404,596
14
07-08
08-09
09-10
10-11
11-12
12-13
13-14
STATE ALLOCATION
179,133,570
179,775,337
131,357,037
160,655,682
108,625,261
108,382,561
130,064,361
REVENUES
Tuition Fee
Non-Resident Fee
Health Fee
Application Fee
Trust Fund Interest Earnings
Other Receipts
Total Revenues
96,872,700
8,360,757
2,200,000
1,943,065
1,800,000
5,551,748
116,728,270
106,834,312
8,360,757
2,200,000
1,943,065
2,400,000
5,394,420
127,132,554
135,897,450
9,424,620
2,200,000
1,943,065
1,700,000
5,859,420
157,024,555
145,000,307
8,543,352
2,200,000
1,639,365
603,700
5,184,420
163,171,144
182,144,148
8,556,744
2,200,000
1,952,665
290,400
5,184,420
200,328,377
186,306,633
8,228,268
3,550,000
1,952,665
290,400
6,012,500
206,340,466
190,640,586
9,894,084
3,550,000
1,952,665
290,400
6,012,500
212,340,235
Total State Allocation and Revenues
295,861,840
306,907,891
288,381,592
323,826,826
308,953,638
314,723,027
342,404,596
21,418,692
4,000,000
10,546,726
14,035,734
317,280,532
310,907,891
288,381,592
323,826,826
319,500,364
328,758,761
3,475,153
127,271,004
19,643,858
3,141,759
119,210,118
19,995,710
2,717,300
105,512,980
18,613,614
3,017,428
128,084,224
20,526,659
2,761,234
119,641,989
19,135,502
1,859,582
116,451,972
17,828,953
10,549,415
16,460,260
5,089,216
134,791,626
317,280,532
10,304,317
15,216,528
4,657,576
138,381,883
310,907,891
9,407,163
13,453,548
4,594,945
134,082,042
288,381,592
12,595,562
16,037,279
5,696,778
137,868,895
323,826,826
11,619,726
14,796,374
5,268,348
146,277,191
319,500,364
11,081,413
15,021,422
5,406,599
161,108,820
328,758,761
University Reserves/Carryforward
Total Sources of Revenue
EXPENDITURES BY DIVISION
President
Academic Affairs
Administration and Finance
Human Resources
Information Technology
Student Affairs
University Advancement
All University
Total Expenditures
-
-
342,404,596
342,404,596
15
7 Year Operating Fund Revenue Budget Summary
CSUF State Operating Fund
Sources of Revenue
FY 2007-08 to FY 2013-14
(Millions $)
16
Operating Fund Revenue Budget Change
17
FY 2013-14 State Allocation per FTE Comparison
Enrol l ment
Ra nki ng
23
22
21
18
19
20
17
16
15
10
8
12
9
11
14
13
4
3
6
7
5
1
1
Ca mpus
Genera l Fund
Al l oca ti on
2013/14
Res i dent
FTES
Genera l Fund
Al l oca ti on per
Res i dent FTES
Maritime Academy
Channel Islands
Monterey Bay
Humboldt
Bakersfield
Stanislaus
San Marcos
Sonoma
Dominguez Hills
Los Angeles
Fresno
Chico
Pomona
San Luis Obispo
East Bay
San Bernardino
Northridge
San Diego
Sacramento
San Jose
San Francisco
Long Beach
Fullerton
$23,184,576
$48,496,910
$52,092,783
$60,415,210
$51,343,309
$49,835,547
$55,597,552
$49,467,083
$61,880,052
$103,544,039
$108,604,732
$85,954,532
$103,516,842
$95,997,068
$67,147,261
$78,595,208
$141,659,296
$143,411,096
$116,988,137
$111,094,782
$120,275,359
$141,554,836
$130,064,361
1,106
3,367
4,617
7,151
7,056
6,877
7,741
7,540
9,628
16,546
17,778
14,363
17,356
16,192
11,436
14,016
25,573
26,225
21,885
21,298
23,074
27,198
27,198
$20,963
$14,404
$11,283
$8,448
$7,277
$7,247
$7,182
$6,561
$6,427
$6,258
$6,109
$5,984
$5,964
$5,929
$5,872
$5,608
$5,539
$5,468
$5,346
$5,216
$5,213
$5,205
$4,782
Campus Total
$2,000,720,571
335,221
5,968
FY 2013/14 Per FTE Di ff
Ra nki ng to Ful l erton
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
(757)
(686)
(563)
(434)
(430)
(422)
Dol l a r
Impa ct
(20,596,474)
(18,667,574)
(15,324,871)
(11,806,044)
(11,707,729)
(11,490,475)
18
19
