new budget model second year results. prior budget system featured central control and fixed budgets...

New Budget ModelSecond Year Results

• Prior budget system featured central control and fixed budgets

• New budget system is variable with decentralized decision-making

• New system began in July 2005

• This report summarizes results for the first and second years under the new system.

Note: Prior agreements for special programs, fees and carry forward policy are incorporated into the new

budget model.

Description FY 2006 FY 2007 Total

Tuition $ 10,948 $ 515,448 $ 526,396

Special Programs

$ 1,640,019 $ 1,892,880 $ 3,532,899

Fees $ 2,162,151 $ 2,911,050 $ 5,073,201

Total Distributed

$ 3,813,118 $ 5,319,378 $ 9,132,496

Unit FY 2006 % FY 2007 % Total % ofTotal

CAS $ 583,438

15.3% $ 902,375

17.0% $1,485,813 16.3%

SEHS $ 388,792

10.2% $ 227,309

4.3% $ 616,101 6.7%

SHPS $ 354,871

9.3% $ 508,624

9.5% $ 863,495 9.4%

SOM $ 243,122

6.4% $ 614,507

11.5% $ 857,629 9.4%

OEL $ 511,304

13.4% $ 726,226

13.7% $1,237,530 13.6%

Total Academic $2,081,527

54.6% $2,979,041

56.0% $5,060,568 55.4%

Support Units $ 627,091

16.4% $ 980,542

18.4% $1,607,633 17.6%

Gen Administration

$1,104,500

29.0% $1,359,795

25.6% $2,464,295 27.0%

Total Distributed $3,813,118

100.0%

$5,319,378

100.0%

$9,132,496 100.0%

Support Unit FY 2006 % FY 2007 % Total % ofTotal

Chancellor $ 8,778

0.2% $ 29,716

0.6% $ 38,494 0.4%

Provost $ 70,248

1.8% $ 110,482

2.1% $ 180,730 2.0%

Associate Provost $ 278,828

7.3% $ 355,690

6.6% $ 634,518 6.9%

SSEM $ 118,903

3.1% $ 172,058

3.2% $ 290,961 3.2%

VCA $ 139,812

3.7% $ 276,026

5.2% $ 415,838 4.6%

VCIA $ 10,522

0.3% $ 36,570

0.7% $ 47,092 .5%

Total Support Units

$ 627,091

16.4% $ 980,542

18.4% $1,607,633 17.6%

Revenue Targets:• Undergraduate – assumed tuition up 6.5% and enrollment flat• Graduate – assumed tuition up 5% with varied enrollment

assumptions by program

Change in State Appropriations

Change in Fixed Costs Note: Fixed costs include utilities, debt service payments,

maintenance contracts, business operation and insurance recharges.

School/College FY 2007 FY 2008 Change ($)

Change (%)

CAS $ 24,117,247

$ 26,659,144

$ 2,541,897

10.5%

SEHS $ 4,265,468

$ 4,613,055

$ 347,587

8.1%

SHPS $ 5,008,726

$ 5,780,667

$ 771,941

15.4%

SOM $ 4,389,572

$ 5,046,457

$ 656,885

15.0%

OEL $ 454,434

$ 452,202

$ ( 2,232)

(0.5%)

Total Tuition $ 38,235,447

$ 42,551,525

$ 4,316,078

11.3%

Fees $ 3,787,253

$ 4,573,475

$ 786,222

20.8%

Total Revenue $ 42,022,700

$ 47,125,000

$ 5,102,300

12.1%

Budget Model Worked Well

Level of understanding varies

Results varied by unit

Graduate payouts exceeded targets

Undergraduate payouts exceeded targets

Budget model payouts in line with enrollment

Give top priority to revenue and enrollment growth

Set aside a reasonable reserve, then invest the rest to support increasing enrollment

Consider deployment of limited resources to areas with highest growth potential

Work cooperatively with other groups to increase enrollment

VCA Office Dave Barthelmes

Financial Services Jerry GlascoKaren RuddyChristy Brownell

Website http://umflint.edu/resources/offices/administration/index/php

How is the budget set for the campus? The budget is set based on assumptions regarding

enrollment and tuition rates, state appropriations, changes in fixed costs and new initiatives.

How is my base budget determined each year?

Each unit’s base budget is determined based on its share of dollars assumed for revenue, state appropriations, fixed costs, and new initiatives.

How is my merit funded?Merit is not funded. Merit is covered by increases to budgets for a given year. Funds received by units have exceeded the cost of merit.