Amanda Malone: So thank you all for being here today for joining in with us, you were invited to this session, as a member of either the universities budget advisory committee.
Amanda Malone: The central unit allocations Committee or the space management repair and renovations committee and we've also got a couple of other colleagues that are joining us from other offices.
Amanda Malone: Across campus so just wanted to say, welcome and thanks for being here for this afternoon, my name is amanda i'm alone i'm the director of for those budget services.
Amanda Malone: And going to kind of walk us through the actual mechanics of the way that auburn strategic budget initiative works, and I will not do.
Amanda Malone: kind of point out introductions because there are 30 some of us on this on this meeting, but Brian elmore Jimmy newberry and other colleagues from budget and planning services are also with us they're going to come out and help me manage the chat.
Amanda Malone: For any questions if you do have questions feel free to raise your hand unmute put it in chat we will do our very best to get to that.
Amanda Malone: as quickly as we can, and without further ado, I will go ahead and share my screen and we will get this started, some of you, if you are returning into your.
Amanda Malone: role on a committee or, if you have served on one of the strategic budget committees before this is probably a refresher and if you are new to this welcome and I look forward to working with you in this kind of round of budget season.
Amanda Malone: Just to kind of give you a little bit of backstory very, very briefly on the strategic budgeting initiative is an outcropping of our prior strategic plan and the.
Amanda Malone: Strategic Plan.
Amanda Malone: And as part of that initiative and that strategic planning process, the initial Steering Committee.
Amanda Malone: For the strategic budget developed some guiding principles and I showed this to show you the principles that we continue to operate around as it relates to budget and planning.
Amanda Malone: And as we go through this conversation today, I would ask that you please keep in mind that the way that we allocate resources at auburn is not perfect, I have yet to find a perfect method to do that.
Amanda Malone: And, but the model that was created that we have been using for the last seven years and it really operates within these five strategic plans most most commonly we come back to this fifth.
Amanda Malone: This fifth guiding principle that what is the method that we can allocate resources that simple that's transparent that's logical it's not perfect i'll share as much of the logic with you as I am aware of, as we go through, but just wanted to put that on your on your radar.
Amanda Malone: I just mentioned, that we have been in this environment for seven years now, this is just a.
Amanda Malone: timeline to give you a point of reference of how long this conversation has been going on and all burn we actually implemented, the strategic budget and the fall of 2016.
Amanda Malone: As part of that original implementation, the Steering Committee and leadership at the time, committed to a periodic or the, you have the elements of the strategic budget.
Amanda Malone: That happened last year and that's the the five year review of model variables is listed on this timeline.
Amanda Malone: And so we have gone through that first round of review if you've got questions about that we can talk about that in a separate conversation.
Amanda Malone: But did just want to to provide this to you to show that this is a very long and intensive Tom on and process that it continues to be kind of a living breathing.
Amanda Malone: model that gets looked at very closely, in addition to the five year review, you know, every year, there are different initiatives or different things that come up that we have to.
Amanda Malone: kind of take a step back and say Okay, is this the best way to do this, is this the most simple and transparent logical way to do that.
Amanda Malone: Within the strategic budget within the actual model itself i'm kind of kind of break this down into four sections.
Amanda Malone: The first section is going to be revenue and that will probably be where we spend the majority of our time, just because these are the largest numbers, and this is also where there's the most calculations.
Amanda Malone: and probably the most inconsistency, as far as understanding how this works and so appreciate your patience, as I kind of.
Amanda Malone: Take very slow and deliberate steps through this revenue section, but once I leave that section we'll talk about expenses, we will talk about.
Amanda Malone: How administration has central administration is funded and that part of the conversation is going to be really key For those of you that are serving on the central unit allocations committee.
Amanda Malone: Also, within the central unit allocations, there will be a brief conversation around facilities deferred maintenance and that is really For those of you that are serving on the space that management and repair and renovations committee will really want to kind of pay extra special attention.
Amanda Malone: So i'm also before we kind of jump in i'm going to be very specific, as I go through this presentation, as it relates to vocabulary.
Amanda Malone: Those of you who have worked with me previously know that there are certain words that you say that I kind of cringe and it's not that it's the wrong word it's just in this context, some of the words have very different meanings they saw on your own just life.
Amanda Malone: Life experiences so i'm going to be very specific about the words that I use, and I think you'll understand why, as we go through so with that said.
Amanda Malone: As we're going to talk about revenue and revenues are distributed two ways and you'll see the very first asterisk.
Amanda Malone: On this slide pertains to allocated revenue, when I say allocated anytime through this conversation is going to be that those dollars are distributed based on some type of formula and we're going to talk through each of those formulas.
Amanda Malone: allocated revenue and the strategic bottles in the strategic budget is going to consist of undergraduate tuition graduate tuition and including the associated.
Amanda Malone: Financial aid and waivers for those two populations, students and then also the state appropriation for the main campus is also allocated.
Amanda Malone: I put emphasis on main campus because a UN the experiment station and the cooperative extension system have their own estate appropriations.
Amanda Malone: That are not impacted by the strategic budget, so I made very clear that only the main campus data preparation is included in those calculations.
Amanda Malone: Other revenues that you see listed on the bottom of this slide really are their direct to revenues, meaning that they are not.
Amanda Malone: fooled and reallocated by formula, and these are dollars that colleges and schools and programs have always generated through their own efforts and they are able to retain those dollars within their units.
Amanda Malone: You also say the little asterisk next to allocated revenue i'll just reference you to the note at the bottom of the screen that only those revenues are subject to the participation right for the mission enhancement fine and we'll talk about that and just a few minutes.
Amanda Malone: So, in your hand out in the handouts, if you can see, those in the chat and want to pull those out and all of the calculation slides are included in this handouts, and there is also a sample budget.
Amanda Malone: That the numbers that we're actually going to look at tie back to so that sample budget is what.
Amanda Malone: The deans directors Vice Presidents the format that they are used to looking at this is also the level of detail about which we prepare our budgets, so I wanted you to have a very real live active document.
Amanda Malone: So that we can also look at the math and tie those back to, so I will try to do that just specific line numbers as we go through this.
Amanda Malone: So we're going to start at the top of that sample budget and we're gonna talk about undergraduate tuition and there's a couple of other just fine points that i'll kind of go through on this particular slide that I won't go into quite as much detail within the others.
Amanda Malone: But as we go through these slides you saying that undergraduate tuition for auburn university.
Amanda Malone: For the fiscal year that we're in right now, and when I say fiscal year I mean October 1 of 2021 through September 30 2022.
Amanda Malone: That does not follow the traditional fiscal year for higher ED institutions nor does it cleanly break between academic semesters.
Amanda Malone: known understood not ideal, but that is what it is.
Amanda Malone: And anytime that we're going through this conversation today and we're talking about dollars we're talking about dollars, that the university anticipates getting or spending in that fiscal year that I just said.
Amanda Malone: So these are current year dollars that we expect to see as opposed to anytime we're talking about a formula a calculation that an allocation is based upon.
Amanda Malone: that's going to be historic data and i'll get more information about that in a minute.
Amanda Malone: So the reason that 449 million on your screen is an orange is because that is the amount of undergraduate tuition that auburn thanks, we will build for for October 1 2130 Sep tember 22 I say bill for this is the sticker price, this is not count any aid and leavers.
Amanda Malone: From a budget standpoint, we do actually separate these dollars into tuition buckets so we look at.
Amanda Malone: The tuition that we think we're going to build based on students that meet the residency requirements.
Amanda Malone: We do the same thing, based on non resident So you see that the way that 449 million breaks out among non resident and resident student populations.
Amanda Malone: So now i'm going to start on kind of their resident side of this calculation and if you've been around all around for a while, you might have heard.
Amanda Malone: kind of this tuition distribution based on.
Amanda Malone: Based on credit hours seven day 3060 about 35 depending on how long you've been around and kind of what.
Amanda Malone: What your role has been on campus you may have heard any number of those and really what that comes into.
Amanda Malone: Our the distribution that you see on your screen so of the hundred and $55 million and resident tuition.
Amanda Malone: We are going to distribute 65% of that to the colleges and schools, based on the credit hours that faculty members in that unit are teaching.
Amanda Malone: So that's credit, that is the definition of credit hours instructed faculty is on to your college or school or teaching those hours as opposed to credit hours taken, and those are hours that students who are majoring in your programs are taking.
Amanda Malone: And i'm going to say that again at least one more time, maybe two more times before we go through this and so hundred and $55 million is the amount of tuition that all burn thanks.
Amanda Malone: we're going to build a resident students we're going to distribute 65% of that to a unit this particular college.
Amanda Malone: This particular college faculty members have instructed 38,383 credit hours that resident students have enrolled in resident students have enrolled in 440 8029 credit hours 38,383 of which faculty members in this particular college fault.
Amanda Malone: I mentioned a few minutes ago that when we are talking about multipliers or formulas within this model we're looking at historic datum.
Amanda Malone: pause from an exact to have to get my head right to get these dates are right, so the dollars in the year that we're talking about our for the fiscal year that we're in right now, which includes.
Amanda Malone: spring of 27 or 22 ish I just said that the fiscal year doesn't align perfectly with the academic year so as we are developing the budget.
Amanda Malone: we're not we don't have a whole year we don't have a whole prior year of data about which we can make these calculations, so we use the whole year, two years prior for these calculations, so if we are working on the.
Amanda Malone: Budget, we are looking at fall 19 spring 20 and summer 24 the underlying data that we are using in the formulas to allocate current year dollars.
Amanda Malone: There I can use now that a good job with confusing everybody on that.
Amanda Malone: I will probably say that one more time before we leave kind of this allocation section, but these are the real kind of fun nuance points that sometimes get overlooked when we're when we're talking about resources.
Amanda Malone: So, going back to our calculation here this particular college it's faculty members taught 38,333 credit hours of the 440 8029 hours shaken by resident students, which equates to about five and a half percent of the credit hours for residents students so here's the math.
Amanda Malone: eight and a half percent of the 65% of 150 $5 million of resident tuition is what is allocated to this college.
Amanda Malone: Which is about 5.6 million know which is 8.6 million sorry.
Amanda Malone: So, because this particular college is faculty talk about eight and a half percent of the credit hours for residents students this college gets about eight and a half percent of the 65% of the tuition bucket associated with residents students.
Amanda Malone: I want to walk through the credit hours taken for resident students and then i'll kind of stop and calls and see where we are before we move forward.
Amanda Malone: So, of the hundred and 55 million for resident students we're going to distribute 35% of that amount to colleges and schools.
Amanda Malone: Based on the credit hours that students enrolling in their program students majoring in their programs are taking.
Amanda Malone: For this particular college their students are taking 40,345 credit hours, which is 9% of the total credit hours enrolls the resident students.
Amanda Malone: So the same formula kind of working back up the tree this particular college is going to receive 9% of 35% of 155 million.
Amanda Malone: Which is about 4.8 million if I take the 8.6 million that's allocated based on credit hours that this College is faculty your teaching and add it to the 4.8 million that's allocated based on credit hours that this College is students are taking.
Amanda Malone: 13 and a half million dollars is allocated to this college attributed to resident undergraduate students and that number should tie back to line, one on that sample budget document.
Amanda Malone: How we doing on questions I can't see everybody on my little five pain of things so i'm going to kind of rely on my colleagues and budget and planet services to tell me if I need to stop anything that I need to kind of go back and reiterate i'm happy to do that.
Amanda Malone: Hearing none.
Amanda Malone: let's go through the exact same calculations for non resident students.
Amanda Malone: And then, if we've kind of got this math down the rest of it's pretty pretty straightforward to kind of walk through.
Amanda Malone: But this is there's lots of little fun points in here, so I want to be sure, I give the appropriate time for that.
Amanda Malone: and of the 440 $9 million that amen thanks, we are going to bill to undergraduate students 294 million of that is attributed to non resident students we're going to do the same.
Amanda Malone: Distribution 65% to colleges, based on how many credit hours their faculty are instructing to these non resident students, the other 35% allocated to colleges, based on credit hours that students majoring in their programs are taking.
Amanda Malone: For this particular college, they are teaching 18,454 credit hours of the 280 9418 that non resident students are enrolled in which is about little more than 6% so this particular College will be allocated 6.38% of the 65% of 290 $4 million.
Amanda Malone: And that's based on credit hours that this particular college is faculty are teaching.
Amanda Malone: Just like we did with the resident population non resident students that are majoring and this College is programs are taking 15,083 credit hours of the total 289,418, which is a little more than 5% so this College will receive 5% back went to 1% of the 35% of 294 million.
Amanda Malone: So if I take the credit hours instructed allocation of 12.1 million plus the credit hours taken.
Amanda Malone: Allocation of 5.3 million this particular college is going to get about 17 and a half million dollars allocated to it, based on non resident tuition and that should try to Line two on your on your sample budget.
Amanda Malone: So all told this particular college for undergraduate tuition is going to receive an allocation of $31 million, based on the 449 million total that we think we're going to build for undergraduate tuition.
Amanda Malone: Everybody good with that, so far, for the most part, I know it's early.
Amanda Malone: I was telling the group before everybody got lined it signed in and I, you know, this is the first hour after lunch I get it, I hope we all may get protein choices at lunch, I did not so thanks for thanks for bearing with me, giving me the head nods and the feedback, I appreciate that.
Amanda Malone: let's move over to graduate tuition and this is the exact same thought process the exact same logic and calculations are slightly different so i'm going to move through this kind of quickly again stop ask, as many questions as as as you need to.
Amanda Malone: But for graduate tuition and this is gross graduate this is sticker price, this is not counting any kind of AIDS discount waivers assistantships sticker price graduate tuition.
Amanda Malone: For.
Amanda Malone: fall 21 spring 22 in summer 22 we think we're going to collect at or we think we're going to build and we're going to build $85 million worth of tuition associated for graduate and professional students.
Amanda Malone: We break that into buckets resident and non resident, just like we did for the undergraduate students and we still follow the same.
Amanda Malone: Distribution logic and we're talking about there's a portion of it that is allocated based on credit hours that your faculty are teaching.
Amanda Malone: At the graduate professional level that's a 10% distribution, we also allocate 90% of those residency buckets based on credit hours that your faculty are teaching.
Amanda Malone: That just like we did before this particular college is teaching faculty members and this particular college are teaching about 13 and a half credit hours, so this particular college gets 13 and a half percent of the 10% of $22 million.
Amanda Malone: same thing is true for credit hours taken students majoring and this College is programs are taking about 14% of the credit hours, so this particular college is getting a 14% of the 90% of $22 million associated with resident tuition.
Amanda Malone: same thing on the non resident side 10% is distributed based all on credit hours that faculty members are teaching 90% of that non resident tuition buckets 63,000,090% of that.
Amanda Malone: is allocated based on credit hours that students majoring in that college programs are taking.
Amanda Malone: And so, this particular college when we add all of those orange numbers up across the bottom this this particular college is getting about $12 million based on graduate tuition both resident and non resident, and that should attach alon three on your sample on your sample budget.
Amanda Malone: So checking chat looks good so before we leave tuition a want to spend some time talking about aid and waivers, and this is a conversation that gets a little tricky and by no means are my comments today the.
Amanda Malone: The finest point, and this conversation i'm going to give you some generalities.
Amanda Malone: That will hold true, as we walk through this particular section, depending on the type of aid and waivers that you're talking about there's a lot of.
Amanda Malone: Little Asterix and lots of little qualifiers so I just said, full disclosure want want to offer that, as I say, what i'm about to say so, student aid in waivers and add as we were talking about aid.
Amanda Malone: Aid is typically undergraduate and graduate financial aid and scholarships and this is not passed through like federal financial aid pell things like that.
Amanda Malone: waivers can be at the undergraduate or graduate level most commonly in this audience, we think about waivers as applying.
Amanda Malone: to graduate students who meet the criteria for assistantships and for the most part that's true so you can kind of put that in your head.
Amanda Malone: and full disclosure that's not perfect and that's not 100% accurate in this conversation, but for generalities that will work.
Amanda Malone: And and those waivers really are just tuition that auburn doesn't collect so when the conversation we just had about allocated tuition that really is about the sticker price.
Amanda Malone: Now we're going to talk specifically about the amount of discount that those students get as a completely separate thing that makes up that students see bill for any given semester.
Amanda Malone: i'm also going to be very specific about vocabulary in this section, because there is a portion.
Amanda Malone: of student aid and waivers that is allocated based on formula and that's what i'm going to walk through but there's also a portion of aid in way aid, aid really.
Amanda Malone: That comes in, through your annual or endowed gifts that are awarded and administered.
Amanda Malone: Through at your colleges or your school scholarship Committee, and those are going to be direct so those dollars come directly into your college and scroll through the development office.
Amanda Malone: Your scholarship committee manages as makes those awards, and they get applied to the students email so that's a direct process i'm going to spend some time on the allocated process, just so that you've got a full understanding of what those are and how those.
Amanda Malone: feed into the budget so i'm going to start with undergraduate we think, as an institution that we are going to set aside $64 million.
Amanda Malone: to award and institutional aid most commonly this is at the undergraduate level, but not always, and we actually allocate that to the colleges and schools, based on the amount of tuition.
Amanda Malone: That that college receives relative to the total So if you recall, when we were on the undergraduate tuition slide at the very bottom of that slide.
Amanda Malone: That protect this particular college receives $31 million of the total 440 $9 million that all of our thanks for going to build based on undergraduate this is across both residency categories.
Amanda Malone: Which is about almost 7% which means this particular College will fund, if you will 7% almost 7% of the $64 million that the University has set aside and its budget process to award and institutional aid.
Amanda Malone: That number ties to line eight on your sample budget and again this is this is really reconciling what we charge from a sticker price to what we discount or award or institutional, financial aid, the difference is what the student actually pays on his or her or even.
Amanda Malone: So that is from an undergraduate standpoint.
Amanda Malone: From a graduate standpoint I need to further.
Amanda Malone: clarify that.
Amanda Malone: The budget process for graduate aid and waivers.
Amanda Malone: is an exercise by which we can populate that field in the budget.
Amanda Malone: The way that it actually happens throughout the year is different, so if you've been around for a while and you've been involved in these conversations just bear with me for like two more minutes and I will make this as clear as I can, and in a session like this.
Amanda Malone: For the budget purpose to populate this field in banner we still think that we're going to wave 63 and a half million dollars worth of graduate tuition.
Amanda Malone: For budget purposes, we treat this the same way that we treat undergraduate tuition.
Amanda Malone: The amount of allocated graduate tuition that you received relative to the whole is the amount of graduate waivers.
Amanda Malone: That are allocated to you in the budget process so for this particular college they received $12 million of the $85 million in total through the allocations process, and that was on the previous slide.
Amanda Malone: Which is about 14% so this particular College will recognize a little more than eight and a half percent of graduate waivers now on your sample budget.
Amanda Malone: That is reflected in lines nine which is waivers it's also reflected in line 43 as an employee benefit as it relates to graduate students.
Amanda Malone: who receive an out of state waiver as part of their graduate assistantship way more details and you ever needed or wanted to know, but to make the math work out, I have to go through that process.
Amanda Malone: graduate waivers actually post throughout the year.
Amanda Malone: If a graduate student meets the requirements to be on an assistantship and they are eligible for the graduate tuition waiver those waivers are applied to the College in which that student is majoring.
Amanda Malone: So that's the difference between budget and the actual operations, the day to day of that.
Amanda Malone: So just wanted to share those with the this is this is kind of a really deep dark hole that is really easy to go down, I would love to not do that in this setting, but if you have questions feel free to reach out, and I will do my best to answer those.
Amanda Malone: I don't want to leave this without mentioning again direct aid and waivers those are the dollars that are coming into your colleges your schools in your programs typically through gifts or endowments that you can award through your scholarship committees.
Amanda Malone: In line with whatever that donor agreement or whatever the stipulations are.
Amanda Malone: So really not fun kind of set a map i've got one more piece of one more piece of math but the logic is is very consistent, so if you're bear with me and then we'll maybe take a break from numbers for just a few minutes.
Amanda Malone: The last piece of the budget and the revenue section that is allocated is the state of preparation for the main campus.
Amanda Malone: That state of preparation amounts a little over 200 and $4 million and we actually allocate a portion of that.
Amanda Malone: To support the instruction and academic support for residents, students and then the other 35% we distribute based on sponsored activities of that particular college or school so walking through the resident instruction.
Amanda Malone: The distribution of this 65% of the state of procreation really is.
Amanda Malone: To support resident students it's a state of procreation, to support those activities that will attract and retain and support residents students.
Amanda Malone: We distribute that in relation to the amount of resident tuition that a unit receives and again, you can pull the undergraduate and graduate resident tuition numbers off of the prior slots.
Amanda Malone: relative to the total resident undergraduate and graduate tuition that's another that's another reason I provide that level of detail, and this presentation, so you can tie the resident numbers from the non resident numbers, specifically, so it relates to the State appropriation.
Amanda Malone: going through that calculation for this college about nine and a half percent of the hundred and $32 million state of procreation is allocated to this particular college, which is about 12 and a half million dollars.
Amanda Malone: same logic for sponsored activities this particular.
Amanda Malone: college was responsible for almost 4 million of the university's 120 $2 million dollars and sponsored activities.
Amanda Malone: Which is about 3% of the $71 million of the 35% state of procreation, so the total state of procreation allocated to this College is just under 15 million which ties to Lon.
Amanda Malone: On your sample budget.
Amanda Malone: Before we leave the revenue section I just want to offer again, and this list of revenues that are.
Amanda Malone: generated directly by the unit So these are courses, some of these are program fees, you say indirect costs recovery.
Amanda Malone: is included in this list as well sales and service and other is you know that's that's that big bucket that can include anything from study abroad fees to you know if you sell any kind of swag or any kind of products.
Amanda Malone: T shirts fish hey anything like that that's really going to be included in those buckets and I offer this again for two points one.
Amanda Malone: These are dollars that units have always generated that they retain within the unit, if you look at the little side note on the side you see that these are the buckets, these are the categories of revenues that do not.
Amanda Malone: pay into the mission enhancement find we haven't gotten to the mission enhancement fun, yet we will very soon so bear with me on that.
Amanda Malone: I will pause for a SIP of water and to also just give space for your brain to think very quickly about any questions before we leave this revenue conversation.
Amanda Malone: Then hearing none.
Amanda Malone: man like I can't say everybody in.
S -Don Mulvaney: Here I am in.
Amanda Malone: My doctor mulvaney I can.
S -Don Mulvaney: So just what you're going to pick a slide you're doing a great job instantly but um give us an example of a sponsored program, I think, had it.
S -Don Mulvaney: On a previous slide the unit sponsored activity yeah.
Amanda Malone: yeah so sponsored activities i'm Brian I don't want to put.
Amanda Malone: too fine a point on this, but these.
Are.
Amanda Malone: In banner speak.
Amanda Malone: These are dollars that all burn has spent associated with an externally funded activity, so you got it and I project and you spend $50,000 of that project in a year that $50,000 that you spent goes into this calculation.
Bryan Elmore: And, and I would also.
Bryan Elmore: like to point out, you know a lot of people would think this research dollars that we generate.
Bryan Elmore: And while that's the vast majority of this is not just research, it could be outreach grants that can be done, but if it's external dollars that come in for sponsored activity, then that's what's factored into this, and so it would basically be outreach and research grants that would.
Bryan Elmore: be the source of where these calculations are derived.
Amanda Malone: The question Dr mulvaney Thank you.
Matthew Campbell: hey man before you want guys to interject one moment.
Amanda Malone: Yes, please.
Matthew Campbell: So this is Matthew Campbell over an institutional research and we supply a lot of the credit hour and soon data to brian's group that that they turn on to produce these these data.
Matthew Campbell: For you department heads and dean's out there that want to go look at this, the same data, the same category, this is all based on census data it's an ir stream.
Matthew Campbell: On click.
Matthew Campbell: And if you would like me to talk about that with with your group or with you personally just just shoot me an email be glad to do that we're trying to make this as transparent as possible, so we're all singing from the same from the same hymnal.
Amanda Malone: Thank you Matthew.
Janaki Alavalapati: So the next segment is yeah the quick question.
Janaki Alavalapati: In other sponsored dollars expenditure does it include experiment station dollars.
Janaki Alavalapati: Yes, okay.
Amanda Malone: Yes, Sir, it does.
Janaki Alavalapati: Thank you.
Amanda Malone: Okay, we can we can certainly if we've got time at the end jump back to any any other questions on revenue i'm happy to answer those.
Amanda Malone: offline as well.
Amanda Malone: But in the interest of time to kind of keep us moving expenses are the element of the strategic budget that really didn't get touched, and what I mean by that is.
Amanda Malone: departments and units and offices have always paid for their employees from their own budget, they have always paid for travel and equipment and you know.
Amanda Malone: telephones and computers and and all of the things from their own budget, and so that was that was something that really did not change within the strategic budget.
Amanda Malone: And the way that we've talked about the changes in revenues, the way that we're fixing to talk about changes in the way that budgets for administrative units have changed, so this is an area that I did not.
Amanda Malone: want to exclude from this conversation, but really and the big picture strategic by didn't change the way that we handle these expenses and I will also offer.
Amanda Malone: That there is a very conscious effort to make sure that business decisions.
Amanda Malone: are made consistently across the institution that just because a college or a department.
Amanda Malone: Actually, or in perception quote unquote has money or does not have money that they can't make different decisions that other units on campus Let me give you an example of that.
Amanda Malone: payroll decisions salary enhancements and if you have been with us for the last probably 10 or so maybe six or so months, we had an opportunity for.
Amanda Malone: Permanent salary enhancements raises based on merit, for the year that we are in.
Amanda Malone: That was a uniform across the board campus wide initiative of individual colleges and individual offices were not given different parameters to award merit.
Amanda Malone: Based on their budget situation, based on how many dollars, they had or didn't have that was an institutional decision that was applied uniformly across campus.
Amanda Malone: There is, there is no such thing, and if you've worked with me for any length of time.
Amanda Malone: You that's one of the things that you'll see me cringe is, if you say Oh well, that College has money they can do that no that's that's I we're not doing that we're not having.
Amanda Malone: haves and have nots that there are certain business decisions that are campus law that are uniform that are consistent most commonly those relate to expenses and typically it's around salary and just because that is most organizations largest expense.
Amanda Malone: So I will just offer that again if you've got questions on this topic, and we can certainly follow up at the end of this or offline or if we have time later we can come back to it.
Amanda Malone: So, the third element anytime and i'm talking with a group about the strategic budget kind of breaking this down the third element.
Amanda Malone: Is the central unit allocation process so i'm at my friends that are on the Center unit allocations Committee, this is where i'll kind of call you out and ask that you.
Amanda Malone: pay attention to this section i'm not going to walk through every single calculation in this section and but I will walk through to just to give you a frame of reference for what the role that you are serving on that committee factors into.
Amanda Malone: All of the conversation around revenue that we just walked through all of those calculations only distribute dollars.
Amanda Malone: To the 12 academic colleges and schools, the library is not is not counted in that, and the graduate school is not counted in that so if all of the revenues that come into the university are distributed to.
Amanda Malone: colleges and schools, how does the provost office budget get funded, how does business and finance get funded, how does facilities get its funding, the mechanism for that is the central unit allocations committee is the century and allocations process that is governed by that committee.
Amanda Malone: All of the offices that are not included in the colleges and schools are categorized into one of these calls pools, that is, on the left hand of the chart in front of you.
Amanda Malone: The budgets for each of those pools is funded based on a calculation based on.
Amanda Malone: The right hand side of this table we're going to walk there two examples I just wanted to set that that frame of reference for you as we walk through this.
Amanda Malone: And so i'm going to start with the academic and student services cost pool, and these are very financial words I don't like these words but doesn't get I can even can student services call school includes the budget for each of these offices.
Amanda Malone: Another fun point if any of these offices generates revenue i'm going to use the james's us performing arts Center as an example.
Amanda Malone: Many of us have had opportunities to purchase tickets and attend shows and events there and the amount of funding that goes to support these offices is net of revenue that they can generate on their own so.
Amanda Malone: let's skip ahead just for a second.
Amanda Malone: $2.2 million of.
Amanda Malone: University kind of quote unquote based budget.
Amanda Malone: is attributed to the James who's performing arts Center that is not the total budget for the performing arts Center and they have their own revenues, they have gifts, they have a lot.
Amanda Malone: of other resources that they are able to utilize, this is just the amount of institutional support and that's a true statement for every.
Amanda Malone: Budget that you see off here, you also say that there is allotted for associated square footage as it relates to square footage.
Amanda Malone: Each office each area on campus has some amount of square footage associated with it, and that gets included in these calls schools.
Amanda Malone: To support the facilities budget on campus that's a really fuzzy way for me to say that I know, given the amount of time that we have.
Amanda Malone: And I know that Dan is on this as well, so if you are serving on the space management and repair and renovations committing.
Amanda Malone: Then at our meeting that is later or a day ends meeting someone getting started, and then the meeting later we can probably get more in detail into that square footage and that calculation.
Amanda Malone: But I did just want to offer that that, in addition to the budget for each of these offices net of revenue that they are able to collect on their own, the square footage associated with each of these offices is also included in this ensure unit allocation calculation.
Amanda Malone: I mentioned in the previous slide that them, the amount of funding that is provided by the colleges and schools is based on a calculation, so the bottom part of this slide shows you what that calculation is.
Amanda Malone: For academic and student services, the $96.2 million budgeted need for all of these offices in their associated square footage is funded by college is based on the credit hours.
Amanda Malone: That faculty in that college teach undergraduate and graduate So if you are to look back at the previous slides where we walked through credit hours taught by faculty this particular college fault.
Amanda Malone: 73,000 at 30 credit hours of the total 848 three 840 8310 credit hours, which is about 8.6% so this particular college is going to find $8.2 million of the need from academic and student services, and that should tie to row at one on your sample budget.
Amanda Malone: So saying fewer words i'm going to walk through another central unit call school all six of them work exactly the same way and i'll walk through one more calculation and then i'll show you what.
Amanda Malone: What offices are included in which poll, and what those.
Amanda Malone: What those calculations are again because I want to make sure we've got time to get through Commission enhancement find.
Amanda Malone: answer any questions about this and also talk about governance, so the other calls full that I wanted to walk through was university wide support you can see, which offices are included in this category.
Amanda Malone: And you can see that the budgets for these offices is funded by the colleges and schools total F T and when I say total F T that students.
Amanda Malone: As students plus their employees, but then we back out student employees, because we don't want to double count those those individuals so here is the budget and square footage.
Amanda Malone: For each of these offices it's about 61 million no 51 $51 million.
Amanda Malone: And this particular College has almost 8% of the total F T, including students, including employees, but backing out student employees, so this particular college is going to provide 4 million of the $51 million budgetary need for university wide support.
Amanda Malone: The other four call schools operate and function exactly the same, the role of the century and allocations committee is really looking at a deep dive into the budget for each of these offices and doing a lot of evaluation, a lot of question asking.
Amanda Malone: about not only the dollars, but level of service, the responsibility for use of those resources, those of you they're serving on that committee.
Amanda Malone: And edit Kelly schoemaker will start reaching out to y'all and if she hasn't already to get those those meetings scheduled.
Amanda Malone: Probably in the very near future, and so just want to offer to you the breakdown of which offices are included in each of these.
Amanda Malone: Call schools in these buckets and then below, you can see, based on how those budgets are funded based on credit hours based on direct expenses alumni affairs and development is based on student headcount.
Amanda Malone: This is quite often the category or the the part of the budget that there's the most conversation about well direct expenses really isn't a really good.
Amanda Malone: predictor of how a particular unit utilizes administration or the president's office, for instance.
Amanda Malone: This is the part that we I very often go back to those guiding principles, how do we fund the budgets of these units simply in a very transparent way that makes a little bit of sense it's not perfect, but it serves its purpose for the most part.
Amanda Malone: So these are the last three facilities sponsored programs and university wide support and for those of you that are serving on the space management repair and renovation Committee, I will draw your attention to the facilities buckets specifically.
Amanda Malone: deferred maintenance, that is a section that you will have some some input on, and then the other.
Amanda Malone: Real tie to the strategic budget for that committee, as you stated, the facilities bucket is funded by certain adjusted square footage kind of walking through and validating that square footage.
Amanda Malone: To make sure that that calculation is logical and and within certain parameters is another is another component of that committees activities.
Amanda Malone: So the final element of the strategic budget submission enhancement bind I did provide a a an actual calculation in your handouts.
Amanda Malone: That walks through that I will offer for this part of the conversation again those elements of the budget that are paying into the mission enhancement find the a participation rate and what that is is a.
Amanda Malone: It looks and functions very much the way that a tax would work and that.
Amanda Malone: These elements of the these pieces of revenue tuition aid and waivers and the main campus of operation 20% of the amount that is allocated.
Amanda Malone: To the colleges and schools comes back centrally and finds the mission enhance that find it mission hasn't been as a pool of resources that has two purposes, the first purpose really is a redistribution, the way that all over.
Amanda Malone: The way that we approach tuition I talked about you know institutional business processes create situations for not all colleges and schools, not all offices.
Amanda Malone: can create a balanced budget this mission handsome bond is is the redistribution mechanism that's the balancing mechanism from a budget standpoint, at the end of the day, the goal is to have a pool of resources after that redistribution process that we can then make.
Amanda Malone: strategic investments and the last two years, we have done that, via a competitive call for proposals and been able to make some awards from mission enhancement find in some very key areas.
Amanda Malone: So this is just the math on that again again the numbers that tie back to your sample budget and your file.
Amanda Malone: All of these numbers tie back there in your in your packet and like I said 20% is that participation rate that makes that formula work.
Amanda Malone: This particular college contributes 9 million of its allocated almost $46 million in revenue back to the mission enhancement bond, which is online at nine on your handouts.
Amanda Malone: And so I am looking at time and I knew we're getting really close I will offer this is just the budget structure or the the governance structure around the strategic budget, I will pause there.
Amanda Malone: And kind of open up for any questions, Brian if you have anything if there are no questions from participants Brian any kind of closing comments RON is the.
Amanda Malone: assistant Vice President for budgets and business operations and he's kind of jumping in and helping me answer some questions, along with my colleagues and the budget and planning services area so want to thank them for their work and kind of preparing all of this.
Amanda Malone: i'll just kind of stopped there and see who has questions or who wants to provide any additional comments.
Bryan Elmore: If there are, I mean i'll i'll speak up first, and you know, certainly, we can take time to answer any questions, but first off, you know, to think amanda for doing this, I mean she loves doing this part talking about the math I can't I can't sit for an hour and try to make math interesting.
Bryan Elmore: But you know i'm appreciative of what her taking on this challenge of you know orienting you, especially those of you who are new to these committees.
Bryan Elmore: You know a lot of you are coming back on the committee's and you know, this is an opportunity to just be refreshed on how this works.
Bryan Elmore: The committee structure is very important to making sure that this entire thing works, the right way okay.
Bryan Elmore: We depend on and in this kind of drawn it up, we depend on each of you to play an important part in the overall advisement of senior leadership and the President on what a an appropriate budget is for the institution.
Bryan Elmore: You know, certainly the the space management repair innovation Committee and the central unit allocation committee or subservient to the budget advisory committee.
Bryan Elmore: The reason that the budget Advisory Committee is there is to really provide oversight, because you see different things, and you will hear different things from me, you will hear different things from Kelly.
Bryan Elmore: That talk about our challenges that we may be facing in or are opportunities that we have to be able to invest in the mission of the institution on an annual basis and moving forward into 23 and beyond, and so.
Bryan Elmore: You will be able to hear overall what the picture looks like it may be able to weigh in on the appropriateness of the budgets that may come up or the different.
Bryan Elmore: recommendations that come up from the Central Unit allocation committee in the space management committee so that is the role that the budget advisory.
Bryan Elmore: advisory committee, please in this entire process since your unit allocation comedian I go through this every year when we talk with the central unit allocations committee we want you to really provide.
Bryan Elmore: feedback on appropriateness of budgets for our central units, you know, are they providing the service that you expect them to provide you know, one of the things that we're working on towards that is a service level agreement.
Bryan Elmore: documents that we're trying to get those rolled out we've provided some samples and trying to you know get feedback if that's the route we want to go and then push those for.
Bryan Elmore: The central units to try to provide some some level of documentation as to what services they are providing to the revenue generating units, but.
Bryan Elmore: I appreciate all of you, taking the time to sit in today, and we appreciate all of your efforts in doing this.
Bryan Elmore: You play an important part in in what we do on a regular basis, and so i'm thankful for that.
Bryan Elmore: and obviously space management committee meeting going on the first one is on Thursday.
Bryan Elmore: I sent out budget advisory committee meeting invite yesterday so you've all got those if you're on that committee central unit, we will be reaching out soon about those particular meeting so.
Bryan Elmore: All I can say is Thank you again for your willingness willingness to listen to to this and just kind of be oriented to how this whole thing works so with that you know anybody have any questions that I can help address or amanda can address.
Amanda Malone: i've had our contact information and Jamie buries the manager and budget and planning services, she and her team are on this meeting as well the qr code that is.
Amanda Malone: on the screen will get you to the.
Amanda Malone: Strategic budgeting initiative website that is is hosted as part of the provost Office, this is where i'll post the recording of this meeting, as well as the abbreviated slide deck within the budget planning services website they actually.
Amanda Malone: own and retain the the institutions official operating budget you're welcome to to visit their site all of the data points that we had talked about are included in that annual operating budget document so you can you can go through and see.
Amanda Malone: as it relates to credit hours or total F G, you can see that you can also see.
Amanda Malone: Where those those big revenue numbers that I talked about came from, so all of that information is there, I wanted to leave you with that I do want to be conscientious of time, so I will.
Amanda Malone: Formally, and officially, thank you for for being with us, we got through the hour, I didn't see my not all I don't think i'll say on the meeting for a few more minutes.
Amanda Malone: And if you do have any questions that you want to want to address i'll be glad to do that but, otherwise, thank you for being here, look forward to working with the.
Amanda Malone: Either through the committee or just through my role and the provost office it's good to see y'all let me know if I can do anything for you and yeah thanks for being here.
Amanda Malone: Have a great rest of the day.