Template revised: June 2018

REPORT TO THE BOARD OF GOVERNORS

SUBJECT UBC BUDGET OUTLOOK 2019-2020

MEETING DATE FEBRUARY 12, 2019

APPROVED FOR SUBMISSION

Forwarded on the Recommendation of the President

Santa J. Ono, President and Vice-Chancellor

FOR INFORMATION

Report Date January 22, 2019

Presented By Peter Smailes, Vice-President Finance & Operations Andrew Szeri, Provost & Vice-President Academic, UBC Vancouver Deborah Buszard, Deputy Vice-Chancellor & Principal, UBC Okanagan Pam Ratner, Vice-Provost and AVP Enrolment & Academic Facilities, UBC Vancouver David Shorthouse, Director, Academic Initiatives, UBC Vancouver Rob Einarson, Associate Vice-President Finance & Operations, UBC Okanagan Stuart Mackenzie, Acting Comptroller Steve Bow, Assistant to Comptroller

EXECUTIVE SUMMARY The University is in the consultation phase of the 2019-2020 Budget having received budget requests from across the University and undertaken most of the consultation with stakeholders.

The preliminary budget is presented here with the final 2019-2020 Budget for Board approval to be presented at the April 2019 Board meeting.

The attached documents include:

1. UBC Budget Foundation – background on the budget process and historical information about the 2018-2019 budget to provide context for the 2019-2020 budget

2. UBC Vancouver Budget Outlook – including a high-level, longer-term forecast and the 2019-2020 Budget outlook

3. UBC Okanagan Budget Outlook – including a high-level, longer-term forecast and the 2019-2020 Budget outlook

The final 2019-2020 budget will be presented to the Board at the April 2019 meeting for approval.

STRATEGIC CORE AREAS SUPPORTED

a People and Places a Research Excellence a Transformative Learning a Local / Global Engagement

DESCRIPTION & RATIONALE

Update on the 2019-2020 Budget process with final budget to be presented to the Board at the April 2019 meeting.

1

TABLE OF CONTENTS

Topic Package #Table of Contents 0UBC Budget Foundation 1UBC Vancouver – Budget Outlook

• Longer-term Forecast • 19/20 Budget Outlook

2

UBC Okanagan – Budget Outlook • Longer-term Forecast • 19/20 Budget Outlook

3

UBC BUDGET FOUNDATION

February 12, 2019

P AC K A G E 1

2

UBC BUDGET SWOTStrengths Weaknesses• Process is consultative, transparent, and

aligned with Strategic Plan• Tuition allocation model incentivizes

innovation in academic programming• Encourages efficiencies by limiting funding

available

• Provincial domestic tuition limit policy doesnot address inflation

• Tuition for some programs out of alignmentwith peers, e.g. Law, Medicine

• Imbalance in ability of Faculties to admitand/or recruit international students

Opportunities Threats• To reframe the Excellence Fund to include

revenue sharing for Faculties, academiccapital projects, student aid and IRPcontributions

• New programs (online, professional,executive)

• Bank to provide insight into Faculty savings

• Reliance on tuition as main revenue lever• Enrolment of international students can be

subject to shocks• Unfunded cost pressures in areas without

access to revenue-generating opportunities

3

UBC BUDGET FRAMEWORK

The overall operating budget for each campus of UBC is based on the University’s budget model (accounts for $2.0 billion of the consolidated $2.6 billion budget).

The consolidated budget incorporates the following adjustments for accounting purposes:

• The Operating Budget is adjusted for net investment in capital;• Unrestricted endowment earnings, net of the spend allocation;• Matched revenues and expenditures of sponsored research undertaken;• Impact of related organizations; and• Amortization of the land lease revenues.

4

UBC CONSOLIDATED BUDGET FRAMEWORK

Provincial Grants

Tuition

Business Revenue

Land Proceeds

Operating Budget

Faculty Teaching and Research

UBC Excellence Fund

UBC-wide Services

Ancillary Operations

Research Grants

EndowmentRestricted

Funds

Research Projects

Endowment Spend

5

UBC OPERATING BUDGET MODEL

UBC uses a decentralized, balanced budget model, which means that • Administrative Units (by VP) and Faculties are responsible for a balanced budget for

their respective portfolios;• The base budget is based on the prior year budget allocation, which identifies recurring

funding;• Faculties are responsible for managing within their base budget plus allocations from

Tuition Allocation Model (TAM) and requests for funding from the Excellence Fund;• Administrative Units are responsible for managing within base budget plus requests for

funding from Central administration for inflationary cost pressure and strategicinitiatives including allocations from the Excellence Fund;

• Allocation of incremental revenue is assessed based on alignment with UBC’s strategicgoals and ultimately approved by the Board; and

• Both UBC Vancouver and UBC Okanagan use a similar process.

6

FACULTIES AND ADMINISTRATIVE UNITS

Faculties and Administrative Units are expected to:• Maintain positive budgets unless approved by Executive Team;• Be responsible for all capital acquisitions, funded through operating revenues, or

internal loans • Fund inflationary labour and non-labour cost pressures

o GWI on Faculty and staff salaries (generally funded by Ministry)o Faculty progression through the ranks per Collective Agreement (approx. 2.5%)o Staff merit and career progression per Collective Agreement (approx. 2.5%)o Inflation on non-labour costs (approx. 2%)

• Funding for cost pressure through allocation of incremental revenue.

7

UBC INCREMENTAL REVENUE

To fund strategic initiatives and cost pressures, UBC generates incremental revenue from the following sources:

Provincial Grant Recently funding has been flat except for GWI salary increases and specific program expansion of domestic student spaces.

TuitionIncremental tuition from International and Domestic Undergraduate students as well as Graduate students is allocated internally to Central administration, Faculties, and Student Financial Aid through the agreed TAM.

Business Revenue

Incremental revenue is earned to Central administration from Treasury Investment Income as well as dividends from revenue generating business units (e.g. Student Housing and Hospitality Services and Parking).

Land ProceedsThe incremental spend allocation of the various funds held within the Endowment, and UBC Properties Trust (UBCPT) rental dividends are allocated to Central administration.

8

OPERATING REVENUE AND TUITION CORRELATION

25%

30%

35%

40%

45%

50%

$-

$500,000

$1,000,000

$1,500,000

$2,000,000

14/15 15/16 16/17 17/18 18/19 19/20

UBC* Operating Revenue vs. TuitionTuition

Other

Govt Grants

% Tuition toTotalRevenue

Tuition has grown over the last five years and has become an increasingly larger part of total operating revenue, growing from 30% of total operating revenue in FY14/15 to 40% in FY 19/20.

*UBC Vancouver only, UBC Okanagan has followed a similar trend over the last 5 years.

9

Based on UBCV total expenses of $1.9 billion, incremental revenue represents 5% change• Incremental tuition revenue is the largest contributor, primarily through International tuition• Grant to fund GWI and additional specified seats• Tuition, after the Excellence Fund allocation, is allocated via TAM to Faculties/Central/Student Financial Aid• Business Revenues and Land Proceeds is allocated only to Central• Prior Year carry forward only available for one-time funding

UBC VANCOUVER – HISTORIC INCREMENTAL REVENUEIncremental Revenue 2016/17

($ millions) 2017/18

($ millions) 2018/19

($ millions)

Tuition 37.1 51.8 51.9Grant 8.0 13.3 16.7Investment and Business Revenue 8.9 .1 10.0Land Proceeds 4.0 8.4 8.0Prior Year C/Forward 3.3 17.2 15.6Total Incremental revenue 61.3 90.7 102.2

Total Base Operating Revenue 1,655.0 1,804.0 1,901.0% of Total Base Operating Revenue 3.7% 5.0% 5.4%

10

Allocation of incremental tuition through Tuition Allocation Model (TAM)

UBC VANCOUVER – 2018/19 ALLOCATION

Fiscal Year: 18/19 Central($ millions)

Faculty ($ millions)

Excellence Fund

($ millions)

Student Financial Aid($ millions)

Total($ millions)

Incremental RevenueProvincial Grant 15.2 1.5 - - 16.7Tuition 10.2 20.5 17.8 3.5 52.0Investment and Business Revenue 10.0 - - - 10.0Land Proceeds 8.0 - - - 8.0Prior Year C/Forward 15.6 15.6

Total Incremental Revenue 58.9 22.0 17.8 3.5 102.2

Less Allocation of Government funded GWI 11.9

Total Available for Allocations 47.0

11

UBC VANCOUVER ALLOCATIONS

Central Allocation 2018/19($ millions)

Incremental Revenue 47.0

Central Funding AllocationsEngagement 6.1People & Places 4.8Transformative Learning 2.7Research Excellence 5.3Strategic Priorities 5.5Risk 13.3Service Improvements 3.9Maintaining Core Services 3.6Contingency 1.7

Total Funding Allocations 47.0

Excellence Fund Allocation 2018/19($ millions)

Excellence Base Allocation 21.6Excellence Incremental Allocation 17.8Balance Carry Forward 12.3

Incremental Revenue 51.6

Central Funding AllocationsStudent Support and Student Experience 4.7Investment in Education and Research 12.5Research Support and Infrastructure 5.7Strategic Plan Implementation 2.0

Total Incremental Revenue 24.9

Net Funds Available 26.7

12

UBC VANCOUVER – HISTORIC INITIATIVE ALLOCATION Over the past three fiscal years (FY17, FY18, FY19) the University has invested the following in new priority initiatives, as a result of the increases to International Tuition;• Priority Operating Initiatives ($112.9m)

o FY17 - $26.1m (Indian Residential School of History and Dialogue Centre, Undergraduate teaching labs)

o FY18 - $39.8m (Innovation hub, Orchard Commons renovations)o FY19 - $47.0m (IRP, library collections)

• Excellence Fund Initiatives ($59.9m)o FY17 - $5.6m (Research cluster support, Blue and Gold Campaign) o FY18 - $8.9m (Biomedical Engineering School, Canada 150 Chairs)o FY19 - $24.9m (Youth in Care, Digital Research Infrastructure)

• Historically, Faculties have been fiscally responsible and accumulated savings to fund future initiatives and capital expenditures as per budget modelo To be financed through the Faculty Bank managed by the Provost Office.

13

Based on UBCO total expenses of $158.9m (2018/19), incremental revenue represents 10% change• Incremental Tuition revenue is the largest contributor, primarily through International Tuition• Grant mostly flow through of expenses• Tuition, after the Excellence Fund allocation, is allocated via TAM to Faculties/Central/Student Financial Aid• Business Revenues is allocated only to Central• Prior Year carry forward only available for one-time funding

UBC OKANAGAN – HISTORIC INCREMENTAL REVENUE 2016/17 2017/18 2018/19

($ millions) ($ millions) ($ millions)

Tuition 6.5 10.6 10.1Grant 0.8 1.3 1.3

0.3 0.1 0.3Land Proceeds - - -Prior Year C/Forward 3.7 3.7 4.3

11.3 15.7 16.0

134.9 148.0 157.0

8.4% 10.6% 10.2%

Incremental Revenue

Investment and Business Revenue

Total Incremental revenue

Total Base Operating Revenue

% of Total Base Operating Revenue

14

Allocation of incremental tuition through Tuition Allocation Model (TAM)

UBC OKANAGAN – 2018/19 ALLOCATION

Central Faculty Excellence Fund

Student Financial Aid

Total

($ millions) ($ millions) ($ millions) ($ millions) ($ millions)

1.3 - - - 1.32.8 4.0 2.5 0.8 10.10.3 - - - 0.3

Land Proceeds - - - - -4.3 - - - 4.38.7 4.0 2.5 0.8 16.0

1.3

7.4

Fiscal Year: 18/19

Incremental RevenueProvincial GrantTuitionInvestment and Business Revenue

Total Available for Allocations

Prior Year C/ForwardTotal Incremental Revenue

Less Allocation of Government funded GWI

15

UBC OKANAGAN ALLOCATIONS

2018/19($ millions)

7.4

0.22.81.10.21.00.20.10.81.07.4

Engagement

Central Allocation

Incremental Revenue

Central Funding Allocations

Maintaining Core ServicesContingency

Total Funding Allocations

People & PlacesTransformative LearningResearch ExcellenceStrategic PrioritiesRiskService Improvements

2018/19($ millions)

2.82.50.86.1

2.41.80.30.24.7

1.4Unallocated Funds

Funding AllocationsStudent Support and Student ExperienceInvestment in Education and ResearchResearch Support and Infrastructure Strategic Plan Implementation

Total Funding Allocations

Excellence Fund Allocation

Total Funds Available

Excellence Base AllocationExcellence Incremental AllocationBalance Carry Forward

UBC VANCOUVER –BUDGET OUTLOOK

February 12, 2019

P AC K A G E 2

2

UBC VANCOUVER – LONGER-TERM FORECAST

3

UBCV INCREMENTAL REVENUE FORECAST, AVAILABLE FOR UNFUNDED COST PRESSURES

Key assumptions:• Forecasted international tuition based on 4% new and 3% continuing, and graduate and domestic tuition based on 2% new and continuing,

as well as flat enrollment and no growth;• Ministry Grant is net neutral (flow through of GWI costs); • Does not include the impact of the Housing GBE or the possible changes based on Intergenerational Endowment; and• Does not include any carry forward from previous year (one time benefit only);

Forecast Incremental Revenue (recurring) 2019/20($ millions)

2020/21($ millions)

2021/22($ millions)

Grant - - -Tuition 44.5 36.0 29.3Investment and Business Revenue 6.3 4.1 3.7Land Proceeds 1.0 3.9 4.2Total Incremental Revenue 51.8 44.0 37.2

Total Operating Revenue 2,001.6 2,053.4 2,097.52.6% 2.1% 1.8%

Outlook: Revenue growth is slowing (FY17-19 ~3.5% annually, FY20-22 ~2% annually)

4

UBCV INCREMENTAL COST FORECAST

Outlook: Costs are expected to increase by approximately 2.5% annually due to collective bargaining commitments and strategic priorities (IRP, buildings, and faculty renewal)

Key assumptions:• Unfunded salary progressions and merit for Faculty and Staff of 2.5%, as well as 2% inflation on non-labour costs• IRP costs largely related to sustainment and debt servicing

5

UBCV INCREMENTAL COST AND REVENUE FORECAST

Outlook: Growth in unfunded costs will exceed growth in projected revenue leading to progressive reduction in surplus

6

UBC VANCOUVER 19/20 BUDGET OUTLOOK

7

BUDGET PROCESS

Detailed Faculty and VP Portfolio meetings

Budget committee preliminary review of proposals

Oct - Nov

Nov

Deans’ consultations

Dec – Feb

Community consultations

Jan – Feb

Board preliminary review

Feb

March

April

Executive approval

Board approval(Here today)

8

UBCV FY19/20 FORECASTED INCREMENTAL COSTS

For FY 19/20, UBC Vancouver costs are estimated to increase by approximately $103 m• $53 million on a base of $1.9 billion

(approx. 2.5%) if no action is taken on current activities

• $50 million in priority operating initiatives and Excellence Fund –based on previously committed and new priority activities

UBC’s forecast incremental cost pressures come from three key areas:• GWI (funded by the province)• Inflation on non-labour items

• Faculty and staff merit and career progression

*to be renamed, details on slide 11

9

UBCV FY19/20 FORECASTED INCREMENTAL REVENUEUBC’s forecast incremental revenue comes from four key sources:• Provincial grant • Tuition

• Business revenue • Land proceeds

Incremental Revenue ($ millions)

Allocation of Tuition Only (millions)

*to be renamed, details on slide 11

10

UBCV FY 19/20 FORECASTED INCREMENTAL REVENUE ALLOCATION

MM

M

M

M

M

For FY 19/20, UBC Vancouver’s operations to achieve $29.1m in operational efficiencies and transfers to/from savings to fund the recommended priority operating initiatives (Appendix 1) and the Excellence Fund (Appendix 2)

Fiscal Year: 19/20 Central ($ millions)

Faculties ($ millions)

Excellence Fund*

($ millions)

Student Financial Aid ($ millions)

Total ($ millions)

Incremental RevenueGrant 5.4 6.6 12.0Tuition 6.8 13.6 20.4 3.7 44.5Investment and Business Revenue 6.3 6.3Land Proceeds 4.4 4.4Prior Year C/Forward (Contingency) 10.8 10.8

Total Incremental Revenue 33.7 20.2 20.4 3.7 78.0Incremental Costs

Operating Increases 20.9 21.8 42.8GWI 3.6 6.6 10.2Priority Operating Initiatives (Appendix 1) 30.1 30.1Excellence Fund (Appendix 2) 20.4 20.4SFA 3.7

Total Incremental Costs 54.6 28.4 20.4 3.7 103.4Required Operating Efficiencies (20.9) (8.2) - - (29.1)

*to be renamed, details on slide 11

11

UBC EXCELLENCE FUND

The UBC Excellence Fund was established by the Board in February 2016, and was created to provide significant resources to support the University’s strategic initiatives, with focus on:

• Recruiting and retaining exemplary faculty members, students and staff;• Building and supporting world class research infrastructure; and• Providing an exceptional student learning experience.

The Fund is allocated 2/3 of incremental international tuition after Student Financial Aid (SFA) taken off top.

The Terms of Reference include the principle of ‘sustainability’, meaning that the funds are not to be invested in permanently recurring expenditures, multi-year funding commitments were stressed (up to 5-7 years).

For FY 19/20, the available funds are $59.7 M.

12

UBC EXCELLENCE FUND – CONTINUED

There is now a need to expand the fund to better support the needs of academia more broadly and the Administration is recommending a restructuring of the Excellence Fund (and a renaming) to be a new ‘Academic Fund’. The Academic Fund will continue to include funding as originally conceived as the Excellence Fund such that 61% of allocation of international student tuition above baseline will continue to flow to the Academic Fund and four additional categories are proposed to be added to the newly named Academic Fund.

Revenue Sharing Fund

Primarily to aid Faculties/Academic units that have not benefited from international student enrolment.

Academic CapitalFund

Rising to $25M per annum to support debt servicing of new academic infrastructure in support of the 5-year capital plan (both IT and buildings).

IRP Rising to $10M per annum in support of the Integrated Renewal Program (IRP)

Student Financial Aid $6.35M recurring in support of the domestic students’ bursary fund

13

AVAILABLE FUNDS FY 19/20 – FORECASTED AS OF JAN 2019

18/19 19/20

One Time $10.0 M $15.6 M

Recurring $37.0 M $14.5 M

Total $47.0 M $30.1 M

Incremental budget only

Operating Initiatives

Total budget

Academic Fund

18/19 19/20Excellence $39.3M $40.9MRevenue Sharing - $12.5MAcademic Capital - -IRP - -Student Financial Aid

- $6.35M

Total $39.3M $59.75M

14

BUDGET ASKS

One time Recurring One time Recurring

Total $ $15.2 M $14.8 M $33.4 M $22.2 M

SampleInitiatives

• Classroom and learningspaces

• Library acquisitions• Congress• IRSHDC*

• Indigenous curriculum development and student recruitment and retention

• Digital Research Infrastructure

Total $ $1.5 M $7.9 M $8.3 M $1.6 M

SampleInitiatives

• Funding for independent investigations office

• Varsity Team gender equity support

• SVPRO**

• Global partnership with Imperial College London & TRIUMF

• Work Learn expansion

Total $ $2.4 M $7.4 M $2.6 M $1.0 M

SampleInitiatives

• Physical Activities Office and off-campus opportunities (A&R)

• Cross-Campus Connectors

Operating Budget Academic Fund

1

2High priority, pending consultation (A-)

3Medium priority, pending consultation (B)

Highest priority, prior commitments / recommended (A)

*IRSHDC – Indian Residential School History and Dialogue Centre**SVPRO – Sexual Violence Prevention and Response Office

15

Combined Operating & Academic Fund

COMBINED OPERATING AND ACADEMIC FUND BUDGET ASKS IN ALIGNMENT TO STRATEGIC PLAN

People & Places

Research Excellence

Transf.Learning

Local & Global SCOR***

Total $ $26.4 M $32.3 M $7.4 M $6.2 M $13.3 M

SampleInitiatives

• Classroom and learning spaces• Library acquisitions• Congress• IRSHDC*• Indigenous curriculum development and student recruitment and retention• Digital Research Infrastructure

1

2High priority, pending consultation (A-)

3Medium priority, pending consultation (B)

Total $ $8.9 M $2.4 M $3.6 M $3.2 M $0.4 M

SampleInitiatives

• Funding for independent investigations office• Varsity Team gender equity support• SVPRO**• Global partnership with Imperial College London & TRIUMF• Work Learn expansion

Total $ $3.4 M $2.5 M $2.5 M $2.3 M $2.7 M

SampleInitiatives

• Physical Activities Office and off-campus opportunities (A&R)• Cross-Campus Connectors

Highest priority, prior commitments / recommended (A)

*IRSHDC – Indian Residential School History and Dialogue Centre**SVPRO – Sexual Violence Prevention and Response Office***Sustainment, Compliance, Operations, and Risk Mitigation

16

UBC VANCOUVER KEY TAKEAWAYS

17

KEY TAKEAWAYS

• Forecasted incremental revenue and expenses are crossing in 19/20 • Short term implications: Faculties and Admin Units will balance their budgets

by drawing down existing reserves (where available) or otherwise shift/reduce costs

• Opportunities to increase revenue are limited• Costs to appropriately compensate employees, as codified in the relevant

Collective Agreements, create an upward pressure to expenses• Longer-term solutions

• Manage costs through efficiencies (Uniforum, IRP and other measures) and explore other opportunities

• Look to increase domestic and international tuition, government operating grant, and other revenues (including GBE)

UBC OKANAGAN –BUDGET OUTLOOK

February 12, 2019

P AC K A G E 3

2

UBC OKANAGAN – LONGER-TERM FORECAST

3

UBC OKANAGAN – FORECAST INCREMENTAL REVENUEBased on UBCO total revenue, incremental revenue historically represents approx. 10% of base. Projecting forward to FY 22/23, the rate is expected to decrease to 2%. Total revenue:• Does not include any carry forward from previous year (one time benefit only);• Assumes Ministry Grant as net neutral (flow though of costs); and• Assumes forecast international tuition based on 4% new and 3% continuing, and graduate and domestic tuition based

on 2% new and continuing• Assumes flat enrollment and no growth for domestic, and leveling off of international enrollment by FY 22/23

2019/20 2020/21 2021/22 2022/23($ millions) ($ millions) ($ millions) ($ millions)

Tuition 9.9 7.4 7.5 3.5Grant - - - -

- - - -Land Proceeds - - - -

9.9 7.4 7.5 3.5

175.7 183.1 190.6 194.15.7% 4.1% 3.9% 1.8%

Investment and Business Revenue

Forecast Incremental Revenue (recurring)

Total Incremental revenue

Total Operating Revenue% of Total Base Operating Revenue

4

FORECASTED BUDGET OUTLOOK - OKANAGAN

• Incremental revenue and expenses are crossing in FY 21/22 • Revenue sources need to increase• Cost needs to be managed and capitalize on opportunities enabled by IRP

Critical point

5

UBC OKANAGAN 19/20 BUDGET OUTLOOK

6

UBC FY19/20 INCREMENTAL COSTS - OKANAGAN

For FY 19/20, UBC Okanagan costs are estimated to increase by approximately $23.0m• $11.8 million on a base of $158.9

million (approx. 7%) supporting existing university activities, commitments and inflation

• $11.2 million in strategic investments for priority operating initiatives and Excellence Fund

UBC’s forecast incremental cost pressures come from three key areas:• GWI (funded by the province)• Inflation on non-labour items• Student Financial Aid

• Faculty and staff merit and career progression

• Faculty and faculty support staff

7

FY 19/20 INCREMENTAL REVENUE - OKANAGAN

UBC Okanagan’s forecast incremental revenue comes from two key sources:• Provincial grant • Tuition

For FY 19/20, UBC Okanagan’s Incremental Revenue totals $23.0m (13% of total revenue), including $11.7m of surplus funds carried forward from FY18/19.Incremental Revenue ($ millions)

Allocation of Tuition Only (millions)

8

UBC INCREMENTAL REVENUE ALLOCATION - OKANAGAN

MM

M

M

M

M

For FY 19/20, UBC Okanagan will need to assess strategic priorities in achieving a balanced budget in the current year and sustainable costs in the future.

**Includes planned Faculty and faculty support staff hires

Central Faculty Excellence Fund

Student Financial Aid

Total

($ millions) ($ millions) ($ millions) ($ millions) ($ millions)

Grant 0.5 0.9 1.4 Tuition 3.3 3.6 2.3 0.7 9.9 Business Revenue - - Prior Year C/Forward 8.9 2.8 11.7

Total Incremental revenue 12.7 7.3 2.3 0.7 23.0

Operating Increases* 2.5 6.8 9.3 Funded GWI 0.3 0.5 0.8 Operating Strategic Initiatives 16.9 16.9 Excellence Funded 1.5 1.5 SFA 1.0 0.8 0.7 2.5

Total Incremental costs 20.7 7.3 2.3 0.7 31.0 Required Efficiences (8.0) - - - (8.0)

Fiscal Year: 19/20

Incremental Revenue

Incremental Costs

9

REQUESTED FUNDS FY 19/20 – ESTIMATED AS OF JAN 2019 (OKANAGAN)

18/19 19/20

One Time $3.0M $8.7M

Recurring $4.4M $8.2M

Total $7.4M $16.9M

Incremental budget only

Operating Initiatives

Total budget

Excellence Fund

18/19 19/20Excellence $5.3M $6.8M

Total $5.3M $6.8M

10

BUDGET ASK CATEGORIES – OKANAGAN

One time Recurring One time Recurring

Total $ $1.2M $1.1M $4.9M

SampleInitiatives

• Truth and Reconciliation Action Plan

• Campus Planner• EFP Instructors• Building Operating Costs

• Aboriginal Undergraduate Research Mentorship, Indigenous Summers Scholars

• Graduate Awards• Branding• Aspire and Eminence

Research

1

2 High priority, pending consultation (A-)

3 Medium priority, pending consultation (B)

Total $ $2.7M $3.6M $1.2M

SampleInitiatives

• Student recruitment, orientation, support

• Health and Wellness

• PURE (Undergraduate Research Experience)

• Diversity Fund

Total $ $4.8M $3.5M $0.7M

SampleInitiatives

• Innovation UBC initiatives, DES Phase 1 and 2, IT Storage

• Learning Support• Makerspace

Operating Budget Excellence Fund

Highest priority, committed (A)