Minutes of the University Budget Committee
Meeting
Date: Thursday, October 21, 2010, at
4:00 p.m.
Regular
Members Present: Scott MacGilvray, Todd Fraley, Don Palumbo, John Given,
Alexandra Shlapentokh, Maureen Ellis
Ex-officio
Members Present: Joe Gaddis, Gary
Vanderpool, Wanda Wynne, Anne Jenkins, Kevin Seitz, Jinling Huang, Patricia
Anderson, and Dillon Godley
Meeting
was called to order by Chairman, Scott MacGilvray at 4:00 p.m.
Minutes
from the September meeting were approved and seconded: unanimously approved.
Vice
Chancellor Kevin Seitz: guest speaker.
All the
documents have been posted on the faculty senate website, revenue streams:
·
Budget
reduction
·
Revenues
·
Expenses
·
Tuition
& fees
·
How
the budget is put together for the university
·
Bookstore,
food store, housing, rec center, athletics, printing
& graphics
State
support is only about 30% of total budget
Kevin
suggests that committee members review all of the documents and then contact their
department directly if there are any additional questions.
The
University does not 0-based budget annually. Instead, the money rolls over from
one year to the next (occasionally some changes, but nothing major). This is a
strategy to deal with the University mission and “get done what you need to get
done”. This method does cause some angst when taking money from different
programs because money is funneled to strategic priorities with funds. We don’t
reallocate – manage money that comes in each year. Put
new money into initiatives as an executive council based on priorities stated
in the strategic plan.
The
University has experienced about $100 million reduction in base budget over the
past 3 years; has had an impact on the university. So far the university has
been able to absorb all of the losses through elimination of unnecessary
departments (i.e. incinerator on West campus). Minimal effect
on the academic core to this point.
How to
meet the reduction for 2010/11? Use our
9% savings bank (took vacant positions, banked them and used them to offset reductions
with money left over). GA came up with supplemental tuition increases to go for
financial aid (20%) and budget cuts, as a result, Students bore most of the
cost of the reduction. For 2011/2012, debating fee increases, supplemental
tuition increases, etc.
New
sources of funding: enrollment growth; state appropriation; campus based
tuition increases.
Enrollment
growth funding goes to:
·
78
positions/faculty salaries
·
Other
academic support (benefit costs/operating costs)
·
Library
·
General
institutional support – academic administrative office that support faculty,
staff and students.
With enrollment growth
funding, we need 12.3 million
Use the money for
·
78
new positions, salary and benefits
·
Operating
support for colleges
·
Strategic
Academic Initiatives
·
STEM
·
Outreach
Students
·
Health
Disparities
·
Metabolic
programs
·
·
Infrastructures
o
Enrollment
management
o
Financial
services
o
Research
infrastructure
·
Institutional
Mandates
o
Campus
safety
o
o
SACS
& assessment office
·
Structural
corrections (one-time items have permanent money)
Campus based tuition
increases:
·
Undergraduate
$3.6 M
·
Graduate
$0.6M
·
Professional
$0.1M
·
Totaling:
$4.5M
The medical school has
the lowest tuition in the country.
Dental school tuition –
set at $20,0000 – one of the 6th /7th lowest in the
nation
Supplemental tuition:
used to cover base budget reduction. Legislature allowing us to increase
tuition. For every dollar we get, they take one dollar from our state
appropriated base budget, this results in a net shifting of a portion of the
budget to students and off of GA funding.
Question from panel --
How do these increases effect student retention?
State Appropriations:
$6M recurring Dental School Operating: hire faculty and staff necessary to
develop the academic program.
Budget Management
Guidelines:
Preview of 2011/2012
The State budget is
going to be short $3.28B shortfall in revenue
Revenue for sunset
clauses not available for 11/12
Hopefully things will be
better as we go through fiscal year and following the election.
Currently planning for a
5%/10% reduction – little over $30M; savings, supplemental tuition, vacancies
are being looked at as ways to cover these reductions.
Priorities for 2011/12
·
Enrollment
growth funding
·
Financial
aid funding
·
Dental
school funding
·
Repair
and renovation instead of capital funds
Scott
suggested that the Committee take some time to go through the information Kevin
Seitz presented and then if there are additional question, we can bring him
back at a later date.
No other
agenda items.
Next
meeting: Scott will extend invitations to: Director of Financial Aid
(retention) and the Dean of the Honor’s College; John Fletcher – retention
Next
meeting: November 18 @ 4:00 p.m. in Rawls Annex
Meeting
dismissed: 5:10 p.m.
Submitted
by Maureen Ellis