OVERVIEW OF THEWKU FY 2009-10 BUDGET

OCTOBER 2009

PRESENTED BY MIKE DALE & LADONNA HUNTONOFFICE OF THE PROVOST & VPAA

WESTERN KENTUCKY UNIVERSITY

SOURCE INFORMATION: WKU BUDGET 2009-10

Academic Affairs Budget Workshopfor Academic Deans, Department

Heads, and Directors1

University Budgets2

University budgets contain two key ingredients: Revenues Expenditures

Let’s discuss revenues and then expenditures.

Revenue Funds Glossary

Tuition & Fees: Includes fall, spring, summer, and winter tuition revenues, DELO distance learning and contract revenues, restricted tuition accounts, mandatory student fees, and other fees.

State Appropriations: For FY 10, includes regular state operating appropriations, budget reduction reserve, and debt service.

Restricted Grants & Contracts: Includes instructional, research, and public service funds received from federal, state, local, and private sources.

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Revenue Funds Glossary (cont)

Restricted Student Financial Assistance: Includes financial assistance grants such as Pell Grants, KEES, and College Access Programs.

Net Asset Allocation: FY 09 carry forward funds budgeted in FY 10. These represent one-time funds.

Other Revenue Funds: Includes a wide variety of other fund sources such as indirect cost recovery funds, sales and services of educational activities, ticket sales, conferences and workshops, parking permits, etc.

Auxiliary Enterprises: Food and vending contracts, University Centers, commissions, housing, and bookstore revenues.

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FY 10 Total Budgeted Revenue by Source

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Public Funds (Tuition & Fees and State Appropriations) account for about 65 percent of WKU’s total budget revenues:

FY 10 Total Budgeted Revenue by Source

Source $ Amount % Amount

Tuition & Fees $142,338,000 40.73%

State Appropriations $ 83,371,600 23.86%

Res – Grants & Contracts

$ 25,319,000 7.25%

Res – Student Fin Aid $ 41,407,000 11.85%

Net Asset Allocation (CF)

$ 15,621,000 4.47%

Other $ 20,716,400 5.93%

Auxiliary Enterprises $ 20,672,000 5.92%

Total $349,445,000 100.01%

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FY 2009-10 WKU Tuition & Fees7

Fall and spring registration fee tuition represent about 80 percent of WKU’s total estimated tuition and fees for FY 2009-10:

FY 2009-10 WKU Tuition & Fees

Tuition & Fees $ Amount

Fall Registration Fees (T) $ 58,858,000

Spring Registration Fees (T) $ 54,352,000

Summer Registration Fees (T) $ 8,541,000

Other Registration Fees (ELDP) (PMBA) (T)

$ 656,000

DELO Registration Fees (T) $ 9,186,000

Restricted Tuition Accounts (RTAs) (T) $ 3,345,000

Student Athletic Fee (MSF) (F) $ 6,144,000

Other Fees (F) $ 1,256,000

Total Tuition & Fees $142,338,000

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FY 2009-10 WKU State Appropriations9

The Commonwealth of Kentucky has appropriated over $83 million to support WKU in FY 10. State Appropriations usually include operating funds and debt service funds. For FY 2009-10, WKU has set aside about $4 million of the operating funds as a state budget reduction reserve:

FY 2009-10 WKU State Appropriations

State Appropriations $ Amount

Regular Appropriation (Includes $4,012,300 which WKU set aside as a budget reduction reserve for FY 10)

$81,413,500

Debt Service $ 1,958,100

Total State Appropriations $83,371,600

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WKU Budget11

The FY 2009-10 WKU Operating Budget contains three types of budgeted funds: Unrestricted E & G Funds Restricted E & G Funds Auxiliary Enterprises

Operating Budget Glossary

Unrestricted E & G: Most of the regular departmental and office budget indexes represent Unrestricted E & G budget funds.

Restricted E & G: These represent grant funds, including instruction, research, and public service grants as well as student financial assistance grants such as Pell Grants, KEES, and College Access Programs.

Auxiliary Enterprises: Campus service units that generate funds to sustain and grow operations such as housing and bookstore operations.

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WKU Operating Budget Summary

The University’s total budget is made up of Unrestricted and Restricted Educational & General (E & G) funds along with Auxiliary Enterprises funds. About ¾ of the total University budget represents Unrestricted E & G funds:

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WKU Operating Budget Summary

The University’s total budget is made up of Unrestricted and Restricted Educational & General (E & G) funds along with Auxiliary Enterprises funds:

Budget Category FY 2009-10 Budget

Total WKU Budget $349,445,000

Total E & G Budget $328,773,000

Unrestricted E & G Budget $262,047,000

Restricted E & G Budget $ 66,726,000

Total Auxiliary Enterprises $ 20,672,000

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Unrestricted E & G Expendituresby Major Classification

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About 57 percent of Unrestricted E & G expenditures represent personnel (salaries and benefits) expenses.

FY 10 Budgeted Expenditures (In Millions)

Major Classificatio

nUnrestricted Restricted Auxiliary Total

Personnel $148.2 $ 0.8 $ 7.0 $156.0

Operating $ 58.6 $24.9 $ 9.9 $ 93.4

Budget Reduction Reserve

$ 4.0 $ 0.0 $ 0.0 $ 4.0

Utilities $ 8.9 $ 0.0 $ 2.5 $ 11.4

Capital Outlay $ 5.3 $ 0.0 $ 0.8 $ 6.1

Student Aid $ 22.9 $41.0 $ 0.0 $ 63.9

Debt Service $ 14.1 $ 0.1 $ 0.5 $ 14.7

Total $262.0 $66.8 $20.7 $349.5

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WKU FY 10 Unrestricted E & G Budget

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WKU FY 10 Unrestricted E & G Budget

Org Area Regular Rev Dep Total $ Total %

Academic Affairs

$140,160,586

$13,762,000

$153,922,586

58.59%

Athletics $ 18,950,938

$ 18,950,938

7.21%

Campus Services

$ 29,102,238

$ 29,102,238

11.08%

C of S / GC $ 465,230

$ 465,230

0.18%

Finance & Admin

$ 5,889,681

$ 4,112,000

$ 10,001,681

3.81%

Information Tech

$ 11,701,893

$ 180,000

$ 11,881,893

4.52%

Institutional Adv $ 3,355,075

$ 3,355,075 1.28%

President $ 804,214

$ 804,214 0.31%

Public Affairs $ 2,043,421

$ 375,000

$ 2,418,421 0.92%

Research $ 2,556,036

$ 2,556,036 0.97%

Student Affairs $ 5,863,632

$ 159,000

$ 6,022,632 2.29%

University – Wide

$ 23,223,657

$ 23,223,657

8.84%

Total $244,116,601

$18,588,000

$262,704,601

100.00%

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