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FY17 Statewide Budget Request

August 21, 2015

What we did

FY 14

Non-personnel

Reduced base budget another 4.8% after allocation $2.1M

Eliminated University of Alaska Corporate Programs $400K

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What we did

FY 15

Non-personnelSalary Savings from 90 Day Hiring Delay $600KReduced Institutional Support to the UA Foundation $200K (part of a long-term reduction plan)Reduced Travel Budget $200K

PersonnelReduced 12 positions $400K 3

What we didFY 16

Non-personnelReduced departmental (non-labor) budget by 6% $465KReduced Institutional Support to the UA Foundation $200KReduced Institutional Support to MAPTS $110KTerminated Bowers Building lease which housed K12 $110KEliminated cell phone allowance $40KDiscontinued Patton Boggs Contract (Federal Relations) $210KEliminated various expenses $720K (Such as: ACAS Pool, prepaid Series Q & S debt service, and video conference subsidy)Furloughs to Officers, Senior Administrators $153K

PersonnelReduced 17 positions $2,104K

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Budget Impacts

• Statewide has reduced 29 positions over the last two years, or 11% of total positions

• The reductions cut across all functional areas

• There are no more easy areas to reduce - future reductions will likely be positions

• In FY16, SW took a dis-proportionate GF reduction (17.5% instead of 7.7%)

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FY 17 Requests

OPERATINGCost Drivers:

Fixed Costs increases $200KSalary and Benefit increases $700K

CAPITALDeferred Maintenance

$1.3M

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Operating Budget ImpactReduction Assumption Scenario 1 Scenario 2

UA State General Fund Reduction

$15M $25M

Statewide portion @ 6.7% $1.0M $1.7M

Operating Budget Impact

General Funds reduction ($1.0M) ($1.7M)

Salary and Benefit increases (700K) (700K)

Other Fixed Costs increases (200K) (200K)

UA Foundation reduction 200K 200K

MAPTS reduction 100K 100K

Total Operating Budget Impact ($1.6M) ($2.3M)