1. Florida International University G51 BUDGET AND FACULTY FUNDING MODEL April 28, 2006

2. ■ FY 06/07 Budget Overview ■ Determining a New Budget Model ■ Understanding the Faculty Funding Model and Implementation AGENDA

3. FY 06/07 BUDGET ASSUMPTIONS FTE – Incremental State Funding FTE - Incremental Tuition Revenue FTE BUDGET DISTRIBUTION BY LEVEL Lower Upper Grad I Grad II Law RESIDENT/NON RESIDENT MIX TUITION INCREASE UNDERGRADUATE GRADUATE STATE FUNDING % Moderate 924 698 8673 11573 2814 515 312 93% / 7% 2% 5% 50% $9.8 M

4. ■ FY 06/07 Budget Overview ■ Determining a New Budget Model ■ Understanding the Faculty Funding Model and Implementation AGENDA

5. DETERMINING A NEW BUDGET MODEL Faculty and Support Funding Faculty and Support Funding Strategic Initiatives Funding Strategic Initiatives Funding Strategic Enrollment Faculty  Use the Delaware Study to benchmark faculty need by discipline  Establish a long term plan for funding faculty at 75% and 50%  Use the Oklahoma Study to identify amount of funding per faculty position adjusted for Miami cost of living index TWO ELEMENTS OF THE NEW MODEL for allocating funds  Initiatives aligned with university strategic direction  Presented in new brief format and discussed at Budget Hearings  Focused on faculty only for special cases considered investments  Research faculty/start up  New programs/accreditation  Enrollment growth  Open to all University Units  Serve as the basis for future funding - mid year allocations and LBR

6. DETERMINING A NEW BUDGET MODEL PRIORITIZATION MATRIX

7. DETERMINING A NEW BUDGET MODEL STRATEGIC IMPERATIVES Based on FIU Strategic Framework Enrollment Growth and PhD production Health International Environment Critical & Emerging Technology Derived from BOG Strategic Plan Critical Needs Emerging Technologies Economic Development Educated Workforce

8. DETERMINING A NEW BUDGET MODEL Enrollment Contribution Methodology  Based on number of FTE’s generated per faculty  Used Delaware benchmark to place each discipline into a level of FTE student to FTE faculty –Moderate and High = between 16:1 to 25:1 and greater than 25:1 –Low = less than 16:1 Cost Effective Calculation  Based on faculty salaries per FTE and net material costs – what are net material  Used Delaware benchmark to place each discipline into a level of cost-effectiveness per student –Cost-effective = less than $7.000 –Higher cost = over $7,000 (two thirds)  Cost is not considered for Low Student/Faculty Ratio

9. DETERMINING A NEW BUDGET MODEL PRIORITIZATION MATRIX

10. ■ FY 06/07 Budget Overview ■ Determining a New Budget Model ■ Understanding the Faculty Funding Model and Implementation AGENDA

11. DELAWARE STUDY PARTICIPANTS National Study of Instructional Costs and Productivity (Delaware Study) Arizona State University Temple University University of Central Florida University of Delaware University of Florida University of Houston University of South Florida Wayne State University

12. INSTITUTIONAL CLASSIFICATION Research I & II Doctoral I & II Comprehensive (Master’s) I & II Baccalaureate (Liberal Arts) I & II Engineering DefinitionClassification Award >= 50 doctoral degrees annually Receive >= $40M in federal support Award >=10 doctoral degrees in >= 3 disciplines or Award >=20 doctoral degrees in >=1 discipline Award >= 20 masters degrees in >= 1 discipline Receive >= $40M in federal support Award baccalaureate degrees in liberal arts field Award at least a bachelor’s degree in programs limited to technical fields

13. FACULTY CLASSIFICATIONS Delaware Study categorizes Faculty into 3 types:  Regular/Other Regular Faculty Recurring contractual relationship. Assume continuing appointment.  Regular: Tenured/Tenure-Eligible (Professor, Associate, Assistant Professors)  Other Regular: Non-Tenure Track (Instructors, Lecturers, Visiting Faculty, etc.)  Supplemental Faculty (Adjuncts) Paid out of “temporary” (OPS) funds. Non-recurring appointment. No expectation of continuing appointment.  Teaching Assistants (Graduate Assistants) Students receiving stipend for teaching.

14. FIU EXAMPLE: DATA SOURCE TO RATIO BASED ON COURSE CIP CODE Stud FTEs / Fac FTEs Ex. 176.8/13.2 = 13.4 CIP: 13.10 Special Education & Teaching

15. IMPLEMENTATION FACULTY FUNDING MODEL RESULTS= USES BASED ON DEANS’ REQUESTS Need Faculty per DS at 75% Surpassed DS Target at 75% ReplacementDeans have ability to hire per hiring guidelines Place money in a pool to fund below target positions Need Faculty per DS at 75% and within a Priority Level Surpassed DS Target at 75% or in a Assess Level New PositionIncluded in Potential, funded based on Priority Not funded unless approved per Provost and meet specific criteria (accreditation)

16. IMPLEMENTATION