Clayton State University Budget Meeting Insights

Open Budget Meeting November 3, 2015

Open Budget Meeting State of the University Our Successes and Challenges AJC Top Workplace U.S. News & World Report ranking Opening of new Science building Completion of Library renovations Enrollments MOWR Film & Digital Media Program New Leadership - Drs. Schultheis, Reddy, Lane & Jarrett Terry Partnerships with Fayette and Henry County Student Success Merit Increases 2

Budget Calendar & Timeline Governor s Proposal January CSU/BOR Request to OPB Aug- Sept General Assembly Winter CSU s Internal Budget Process BOR Allocation June/July Finalized & BOR Axn Spring 3

Clayton State Universitys Resources Tuition & Fees Auxiliary Enterprises StateAppropriations 2016 Major Repair & Renovations (MRR) Sponsored Programs CSU Foundation Endowments Scholarships Unrestricted Annual Giving State Approp. 42.6% Other 57.4% Uses Restrictions Realities Salaries and Wages Utilities Supplies/Equipment & Travel Technology Facilities and Maintenance Public Safety Campus Activities and Services Capital funds can not be used to pay for salaries and wages State procurement guidelines must be followed Student fees must be used in conjunction with specific services Prudent fiscal management required for all sources State Appropriation varies Focus on Financial Ratios Economic conditions have a direct impact on our ability to collect the revenues necessary to satisfy the needs and obligations of the University 4

Open Budget Meeting STATE APPROPRIATION & TUITION TRENDS FY12-FY16 Fiscal Year State Appropriation Tuition FY12 $21,788,136 $25,084,587 FY13 $22,799,099 $26,520,536 FY14 $23,251,922 $27,338,759 FY15 $24,067,121 $27,333,575 FY16 $25,198,595 $26,735,500* $30,000,000 $25,000,000 $20,000,000 State Appropriation Tuition $15,000,000 $10,000,000 $5,000,000 FY12 FY13 FY14 FY15 FY16 * FY16 Tuition is projected 5

Open Budget Meeting Tuition, Enrollment Projections, and Impacts Tuition revenue projection based on a Fall 2015 headcount of 6,950 used. Actual enrollment headcount for Fall 2015 is 6,992. With this enrollment, we were able to exceed our tuition revenue projections for Fall 2015. Spring 2016 Projected Headcount 6,850 Summer 2016 Projected Headcount 2,700 2,800 The Summer 2016 tuition revenue projection was based on a headcount of 2,700. All indications are that we are not expecting a shortfall for Summer 2016 as we have experienced the last two Summer semesters. 6

Open Budget Meeting FY 2016 REVENUE PROJECTIONS Institution: Clayton State University Due: December 5, 2014 TUITION New Entering Freshmen Class Fall 2015 (FY16) Continuing undergraduate & graduate students TOTAL ESTIMATED NUMBER OF STUDENTS (FALL HEADCOUNT) Undergraduate Freshmen 975 900 1,875 Undergraduate Sophomores 1,140 1,420 1,140 Undergraduate Juniors 1,420 2,115 Undergraduate Seniors 2,115 All Graduate/Professional students 400 400 TOTAL NUMBER OF STUDENTS 975 5,975 6,950 ESTIMATED NUMBER OF FULL TIME EQUIVALENT (FALL FTE) Undergraduate Freshmen 760 695 1,455 Undergraduate Sophomores 980 1,180 980 Undergraduate Juniors 1,180 1,735 Undergraduate Seniors 1,735 All Graduate/Professional students 320 320 TOTAL NUMBER OF STUDENTS 760 4,910 5,670 REVENUE ESTIMATED AT CURRENT RATE WITH NO TUITION INCREASE (BASED ON UNDUPLICATED HEADCOUNT, ALL SEMESTERS) In-state undergraduate students $ 2,400,000 $ 19,150,000 $ 21,550,000 Out-of-state undergraduate students $ 340,000 $ 1,530,000 $ 1,870,000 All Graduate/Professional students $ 2,730,000 $ 2,730,000 TOTAL REVENUE $ 2,740,000 $ 23,410,000 $ 26,150,000 Increase in revenue for each 1% increase in tuition $ 27,400 $ 234,100 $ 261,500 7

Open Budget Meeting Enrollment Headcounts PROJECTIONS FY12 FY13 FY14 FY15 FY16* FY17 FY18 FY19 FY20 FY21 FY Total 17,240 17,538 17,180 16,540 16,624 16,850 17,018 17,188 17,446 17,708 Fall 6,860 7,140 7,261 7,022 6,992# 7,050 7,120 7,191 7,299 7,409 Spring 6,872 6,954 6,976 6,747 6,850 6,900 6,969 7,039 7,144 7,251 Summer 3,508 3,444 2,943 2,771 2,782 2,900 2,929 2,958 3,003 3,048 *FY16 includes Fall 2015, Spring 2016, and Summer 2016 #Based on preliminary institutional counts 8

Open Budget Meeting Mandatory Fees Fall 2015 Actuals vs. Budget Description Description Fees Fall Semester Fee Waivers Fall Semester Fees Fall Semester Fee Waivers Fall Semester Fees Fall Semester Fee Waivers Fall Semester Fees Fall Semester Fee Waivers Fall Semester Fees Fall Semester Fee Waivers Fall Semester Fees Fall Semester Fee Waivers Fall Semester Fees Fall Semester Fee Waivers Fall Semester Budget Budget 277,219.00 Collected Collected (285,279.72) 22,484.57 (211,025.88) 16,635.03 (139,505.40) 14,641.60 Remaining Remaining 8,060.72 (22,484.57) 6,124.88 (16,635.03) 15,565.40 (14,641.60) 36,716.20 (78,287.20) 11,609.20 (29,297.70) 21,710.50 (51,270.50) 42,002.55 (42,152.94) 204,901.00 0.00 (14,423.85) (14,423.85) Health Fee Health Fee 0.00 (10,510.15) (10,510.15) Parking Fee Parking Fee 123,940.00 0.00 923.80 923.80 Laker Card Fee Laker Card Fee 964,240.00 (1,000,956.20) 0.00 361,590.00 (373,199.20) 0.00 614,150.00 (635,860.50) 0.00 353,229.00 (395,231.55) 0.00 78,287.20 (41,571.00) (41,571.00) Athletic Fee Athletic Fee 29,297.70 (17,688.50) (17,688.50) Student Activity Fee Student Activity Fee 51,270.50 (29,560.00) (29,560.00) SAC Fee SAC Fee 42,152.94 (150.39) (150.39) Technology Fee Technology Fee (112,980.09) (112,980.09) TOTAL TOTAL 9

Open Budget Meeting Revenue FY16 Budget Build 25,198,595 26,735,500 5,656,650 State Appropriation Tuition Fees & Other General Carry Forward Funds 600,000 58,190,745 Includes current Salary, Benefits, Travel, & OS&E Increase TRS $171,099 Increase Health Insurance $ 58,837 Additional funding for AVP Marketing & Communications $ 2,700 M & O Funded Positions: Lab Technician $ 53,200 (2) Custodial Positions $ 54,000 Priority Items Funded by BOR: (3) Academic Advisors $160,000 New Storage Area Network (SAN) $150,000 Expenditures Updated current budget 57,675,885 514,860 Funding Available to Distribute 61,765 17,079 59,030 20,000 Required Funding Items added: University Contingency Increase in software licenses Faculty Promotions including benefits Salary Stressors including benefits (ITS) Funding for Merit Raises including benefits 356,986* 514,860 * 47% provided by BOR; 53% provided by CSU 10

Open Budget Meeting Capital Budget FY 2016 Major Repairs & Renovations(MRR) allocation of $653,000 can be used for these projects: o Upgrade HVAC System in Arts & Sciences 1st Floor o Remediate and Prevent Mold Intrusion Arts & Sciences o HVAC in Edgewater Hall and CE o Replace all Air Handler Units at Library o Replace Electrical Heating System at Spivey Hall o Utility Meters Installation for Unmetered Buildings Academic Core Renovations-Design Phase $1.4M Looking Back Opening of new Lakeview Discovery and Science Center FF&E $2.9M Looking Forward Academic Core Renovations-Construction Phase $13.1M 11

Open Budget Meeting Unresolved Issues Chemical Management System - $10K to $25K Trammell Property - $200K Enterprise Back-Up system - $220K Backup Server - $200k 12

Open Budget Meeting FY15 One Time Expenditures Majority of funding available for one time expenditures was utilized to complete Library renovations We did fund almost 440K of additional requests from various departments across campus 13

Open Budget Meeting Campus-Wide Renovation Update Library Project Completed - $1.9M Construction $1.8M FF&E Arts & Sciences $635K Center for Advising & Retention Phase I Clayton Station Renovations Building 400 Lower Trammell Due Diligence 14

Open Budget Meeting FY 2017 Budget Budget Narrative submitted in preparation for BOR Budget Hearing later this month. (November 12th) Prepare and plan for an 8.8% budget cut ($2.2M) No tuition increase We recommended a 3% merit increase oneusg HR, Payroll, Position Management, etc. 15

Discussion and Questions 16