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Tuition Policy Advisory Committee

September 16, 2004

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Sources of Funds

• Educational and General – State appropriated and Available University Funds (AUF)

• Designated Funds• Sponsored Research Grants and Contracts• Auxiliary Enterprise Funds• Gift Funds

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Educational and General Funds (E & G)

• 14-accounts – State Appropriated Funds• 20-accounts – Available University Funds (AUF)

Sources of 14-accounts• General revenue appropriations provide by the Legislature• Tuition: statutory and graduate differential• Indirect cost income from sponsored projects• Laboratory and supplemental fees and library fines

Uses of E & G Funds

• Instruction• Research• Administration• Scholarships

Sources of 20-accounts

• AUF derived from income from Permanent University Fund

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Designated Funds19-accounts

Sources of Designated Funds

Academic:

• Base Designated Tuition – ($46/SCH) established by the Legislature• Academic Sustainability Tuition – designated tuition established by the Board of Regents• Mandatory Student Incidental Fees• College and Course Incidental Fees

Use of Designated Funds

Academic:

Other:

• Continuing Education, Conferences, Camps

• Programs and activities relevant to the educational mission of the University

Other:

• Public service activities relevant to the mission of the University

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Sponsored Research Grants and Contracts

26-accounts

Source of Sponsored Funds

Funds provided by external agencies and sponsors for specific research and educational programs

Use of Sponsored Funds

Funds can only be used for the purpose specified in the award

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Auxiliary Enterprise Funds

• Auxiliary Enterprise Units generate income by providing goods and services to the campus community and the general public

29-accounts

Examples of Auxiliary Enterprise Units

• Parking & Transportation

• Housing and Food

• Athletics (includes Frank Erwin Center)

• Recreational Sports

• Texas Union

Sources of Auxiliary Funds

Uses of Auxiliary Funds

• Managed as self-supporting units and all expenditures support the auxiliary function

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Gift and Endowment Funds30-accounts

Source of Gift Funds

Cash received from external donors usually for a specific purpose

Use of Gift/Endowment Funds

Funds are controlled by the terms and conditions of the gift/endowment

Source of Endowments

Annual interest earnings on the investment of the principle

Note:

In addition, substantial, non-monetary gifts are often received (real estate, art work, stocks & bonds, core samples, etc.)

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2004-05 University Budget

Change from

2003-04

Academic 931.6 77.9

(E & G and Designated)

Sponsored Research 314.2 22.0

Gifts and Endowments 143.2 14.1

Auxiliary 178.5 8.9

TOTAL $1,567.5 $122.9

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University FinancesFiscal Year 2004 - 05

Total University Budget = 1.567 B

Other E&G Income$71.44%

Statutory Tuition$95.2M

6% AUF$106.3M

7% Appropriated Funds$292.0M

19%

Designated$366.7M

24%

Gifts$143.2M

9%

Auxiliary$178.5M

11%

Contracts & Grants, $314.2M

20%

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Educational and General Funds 2004 – 05 Fund Sources

General Revenue Appropriations 292.0 M

Tuition 95.2 M

Indirect Cost – Research Support 41.0 M

Interest 2.2 M

Prior Year Balances 3.0 M

Other 0.7 M

Available University Fund 106.3 M

Transfers from the Coordinating Board:

State Research Grants 2.2 M

Texas Grant Program, Financial Aid 15.8 M

TOTAL 558.4 M

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Designated Funds2004 – 05 Fund Sources

Designated Tuition 63.8 M

Academic Sustainability Tuition 70.2 M

Mandatory & Incidental Student Fees 108.3 M

Sub-Total 242.3 M

Student Financial Aid 12.3 M

Continuing Education 20.2 M

University Interscholastic League 6.2 M

Indirect Cost - Research Support 14.3 M

Interest on Time Deposits 1.5 M

Other 69.9 M

TOTAL 366.7 M

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Academic Funding 2004 – 05 Personnel Detail

E & G Designated TOTAL

Staff 151.7 M 84.0 M 235.7M

Faculty 200.5 M 0.6 M 201.1 M

TA’s 17.4 M 0.6 M 18.0 M

Wages 6.3 M 16.0 M 22.3 M

Sub-Total Salaries 375.9M 101.2 M 477.1 M

Fringes 110.0 M 27.8 M 137.8 M

TOTALS 485.9 M 129.0 M 614.9M

Personnel Expenditures = 66.5% of Total Academic Budget

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Academic Budget Over 30 Years

30 Years 20 Years 10 Years Today(in millions) 1973/74 1983/84 1993/94 2004/05

State GR Funding 68.6$ 190.5$ 219.6$ 291.9$

Total ACADEMIC Budget 81.6$ 287.0$ 458.5$ 931.6$

Percent State Funding 84.1% 66.4% 47.9% 31.3%

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Budget Revenue SummaryFiscal Year 2004 - 2005

Revenue Increases/(Decreases) from 2003 – 2004 Budget

General Revenue Appropriations 0.1

Available University Funds (3.0)

Tuition 0.8

ITAC/Library/Designated Tuition/AST/Other Fees 72.6

Other Designated Increases 1.8

Transfers from the Coordinating Board (THECB) 5.1

Net Revenue Increase 77.4

Reductions in Current Budget

Reduction to Contributions for Athletics 0.5

Net Expenditure Decrease 0.5

Available Funds for 04-05 Budget 77.9

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Budget Expenditure SummaryFiscal Year 2004 - 2005

Expenditure Increases from 2003 – 2004 Budget

Salary / Fringe Benefits 25.6

New Faculty Positions 1.8

Faculty Start-Up Cost and New Program Initiatives 6.6

Research Infrastructure 0.9

Repair and Renovation 16.0

Scholarships (AST Set-Aside) 19.7

Utilities – Rate and Consumption Increase 6.0

Commitments List 1.3

Total Budget Increase 77.9

Available Budget 77.9

Budget Surplus 0

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Tuition and Fee Sources

• Statutory Tuition – rate established by the Legislature, scheduled to increase annually by $2/SCH until 2005-06; rate is $48/SCH for 2004-05 academic year

• Base Designated Tuition – authorized by the Legislature, with rate set by the Board of Regents; UT Austin rate is fixed at $46/SCH

• Differential Tuition - authorized by the Legislature, with rate set by the Board of Regents for graduate programs, and Law and Pharmacy first-professional programs

• Academic Sustainability Tuition – flat rate, designated tuition set by the Board of Regents for full time students; for 2004-05: resident $720, non-resident returning $800, first-time enrolled non-resident $1200

• Mandatory Incidental Fees – authorized by the Board of Regents; University wide, required fees assessed on SCH or headcount basis

• College & Course Specific Incidental Fees – authorized by the Board of Regents, assessed on SCH or headcount basis

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Mandatory & Incidental Student Fees

2004 – 05 ExpendituresInformation Technology 31.7 M

Advising 12.5 M

Application / Admissions 4.1 M

Placement 6.3 M

Equipment 5.7 M

Instructional Resource 16.3 M

Orientation 1.5 M

Writing Center 1.1 M

Course Specific Fees 2.3 M

Library 15.7 M

Book Fines / Late Fees 0.7 M

Other 10.4 M

TOTAL 108.3 M

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Academic Sustainability Tuition 2003– 04 vs 2004 – 05 Expenditures

FY 03-04 FY 04-05

Tuition Grants (Financial Aid) 3.9 M 17.1 M

B-On-Time (Financial Aid) 0.6 M 2.6 M

Maintenance, R&R, ADA Compliance 11.7 M 16.0 M

Faculty & Staff Salary Increase 0.0 M 25.6 M

Hire 30 additional Faculty members 0.0 M 2.3 M

Faculty & Program Start-up funding 0.0 M 6.6 M

TOTAL 16. 2 M 70.2 M

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Academic Sustainability TuitionFall 2004 / Spring 2005

SEM Credit Hrs (SCH) Resident Continuing

Non-Resident

New

Non-Resident

Undergraduate

Full-Time 12+ Hours (Fixed) $720 $800 $1,200

Part-Time 8 – 11 Hours (Fixed) $576 $640 $960

1 – 7 Hours (Prorated)

1st Hour $216 $240 $360

Each Add’l Hour $36 $40 $60

Graduate

Full-Time 9+ Hours (Fixed) $720 $800 $1,200

Part-Time 1 – 8 Hours (Prorated)

1st Hour $216 $240 $360

All Other Hours $65 $72 $108

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Financial Aid Grant Award for Academic Sustainability

Resident Undergraduate Tuition

Annual Income Awards

$0 - $40,000 100%

$40,001 - $60,000 75%

$60,001 - $80,000 50%