Academic Affairs Budget Workshop for Academic Deans Department

Academic Affairs Budget Workshop for Academic Deans, Department Heads, and Directors 1 OVERVIEW OF THE WKU FY 2009 -10 BUDGET OCTOBER 2009 PRESENTED BY MIKE DALE & LADONNA HUNTON OFFICE OF THE PROVOST & VPAA WESTERN KENTUCKY UNIVERSITY SOURCE INFORMATION: WKU BUDGET 2009 -10

University Budgets 2 University budgets contain two key ingredients: Revenues Expenditures Let’s discuss revenues and then expenditures.

Revenue Funds Glossary 3 Tuition & Fees: Includes fall, spring, summer, and winter tuition revenues, DELO distance learning and contract revenues, restricted tuition accounts, mandatory student fees, and other fees. State Appropriations: For FY 10, includes regular state operating appropriations, budget reduction reserve, and debt service. Restricted Grants & Contracts: Includes instructional, research, and public service funds received from federal, state, local, and private sources.

Revenue Funds Glossary (cont) 4 Restricted Student Financial Assistance: Includes financial assistance grants such as Pell Grants, KEES, and College Access Programs. Net Asset Allocation: FY 09 carry forward funds budgeted in FY 10. These represent one-time funds. Other Revenue Funds: Includes a wide variety of other fund sources such as indirect cost recovery funds, sales and services of educational activities, ticket sales, conferences and workshops, parking permits, etc. Auxiliary Enterprises: Food and vending contracts, University Centers, commissions, housing, and bookstore revenues.

FY 10 Total Budgeted Revenue by Source 5 Public Funds (Tuition & Fees and State Appropriations) account for about 65 percent of WKU’s total budget revenues:

FY 10 Total Budgeted Revenue by Source 6 Source $ Amount % Amount Tuition & Fees $142, 338, 000 40. 73% State Appropriations $ 83, 371, 600 23. 86% Res – Grants & Contracts $ 25, 319, 000 7. 25% Res – Student Fin Aid $ 41, 407, 000 11. 85% Net Asset Allocation (CF) $ 15, 621, 000 4. 47% Other $ 20, 716, 400 5. 93% Auxiliary Enterprises $ 20, 672, 000 5. 92% $349, 445, 000 100. 01% Total

FY 2009 -10 WKU Tuition & Fees 7 Fall and spring registration fee tuition represent about 80 percent of WKU’s total estimated tuition and fees for FY 2009 -10:

FY 2009 -10 WKU Tuition & Fees 8 Tuition & Fees $ Amount Fall Registration Fees (T) $ 58, 858, 000 Spring Registration Fees (T) $ 54, 352, 000 Summer Registration Fees (T) $ 8, 541, 000 Other Registration Fees (ELDP) (PMBA) (T) $ DELO Registration Fees (T) $ 9, 186, 000 Restricted Tuition Accounts (RTAs) (T) $ 3, 345, 000 Student Athletic Fee (MSF) (F) $ 6, 144, 000 Other Fees (F) $ 1, 256, 000 Total Tuition & Fees 656, 000 $142, 338, 000

FY 2009 -10 WKU State Appropriations 9 The Commonwealth of Kentucky has appropriated over $83 million to support WKU in FY 10. State Appropriations usually include operating funds and debt service funds. For FY 2009 -10, WKU has set aside about $4 million of the operating funds as a state budget reduction reserve:

FY 2009 -10 WKU State Appropriations 10 State Appropriations Regular Appropriation (Includes $4, 012, 300 which $ Amount $81, 413, 500 WKU set aside as a budget reduction reserve for FY 10) Debt Service Total State Appropriations $ 1, 958, 100 $83, 371, 600

WKU Budget 11 The FY 2009 -10 WKU Operating Budget contains three types of budgeted funds: Unrestricted E & G Funds Restricted E & G Funds Auxiliary Enterprises

Operating Budget Glossary 12 Unrestricted E & G: Most of the regular departmental and office budget indexes represent Unrestricted E & G budget funds. Restricted E & G: These represent grant funds, including instruction, research, and public service grants as well as student financial assistance grants such as Pell Grants, KEES, and College Access Programs. Auxiliary Enterprises: Campus service units that generate funds to sustain and grow operations such as housing and bookstore operations.

WKU Operating Budget Summary 13 The University’s total budget is made up of Unrestricted and Restricted Educational & General (E & G) funds along with Auxiliary Enterprises funds. About ¾ of the total University budget represents Unrestricted E & G funds:

WKU Operating Budget Summary 14 The University’s total budget is made up of Unrestricted and Restricted Educational & General (E & G) funds along with Auxiliary Enterprises funds: Budget Category Total WKU Budget Total E & G Budget FY 2009 -10 Budget $349, 445, 000 $328, 773, 000 Unrestricted E & G Budget $262, 047, 000 Restricted E & G Budget $ 66, 726, 000 Total Auxiliary Enterprises $ 20, 672, 000

Unrestricted E & G Expenditures by Major Classification 15 About 57 percent of Unrestricted E & G expenditures represent personnel (salaries and benefits) expenses.

FY 10 Budgeted Expenditures (In Millions) 16 Major Classification Unrestricted Restricted Auxiliary Total Personnel $148. 2 $ 0. 8 $ 7. 0 $156. 0 Operating $ 58. 6 $24. 9 $ 93. 4 Budget Reduction Reserve $ 4. 0 $ 0. 0 $ 4. 0 Utilities $ 8. 9 $ 0. 0 $ 2. 5 $ 11. 4 Capital Outlay $ 5. 3 $ 0. 0 $ 0. 8 $ 6. 1 Student Aid $ 22. 9 $41. 0 $ 0. 0 $ 63. 9 Debt Service $ 14. 1 $ 0. 5 $ 14. 7 $262. 0 $66. 8 $20. 7 $349. 5 Total

WKU FY 10 Unrestricted E & G Budget 17

WKU FY 10 Unrestricted E & G Budget 18 Org Area Regular Rev Dep Total $ Total % Academic Affairs $140, 160, 586 $13, 762, 000 $153, 922, 586 58. 59% Athletics $ 18, 950, 938 7. 21% Campus Services $ 29, 102, 238 11. 08% C of S / GC $ $ Finance & Admin $ 5, 889, 681 Information Tech $ 11, 701, 893 Institutional Adv 465, 230 0. 18% $ 4, 112, 000 $ 10, 001, 681 3. 81% $ $ 11, 881, 893 4. 52% $ 3, 355, 075 1. 28% President $ $ 804, 214 0. 31% Public Affairs $ 2, 043, 421 $ 2, 418, 421 0. 92% Research $ 2, 556, 036 0. 97% Student Affairs $ 5, 863, 632 $ 6, 022, 632 2. 29% University – Wide $ 23, 223, 657 8. 84% Total $244, 116, 601 $262, 704, 601 100. 00% 180, 000 804, 214 $ $ 375, 000 159, 000 $18, 588, 000