Budget Overview February 3, 2017

Revenue Projection – Regular Tuition Tuition projection based on tuition rate increase and enrollment projections   Projected Actual Difference FY 2015 $178,264,281 $178,507,370 $243,089 FY 2016 $182,077,390 $187,141,920 $5,064,530 FY 2017 $191,540,612 $188,490,753 ($3,049,859) FY2017 revenue projection based on projected 3.5% decrease in enrollment, 4% projected decrease in revenue, with a 5% tuition rate increase; The net projected increase in revenue was 1% FY2017 Allocation FY2018 Initial Projection   Projected Actual Revenue $191.5 $188.5 Unit Allocation $115.7 Utilities $25.0 Scholarship $35.0 Off-The-Top / WC $11.0 Contingency / Reserves $4.8 $1.8   Projected Revenue $181.0 Unit Allocation $115.7 Utilities (10% Increase) $27.5 Scholarship $35.0 Off-The-Top / WC $11.0 Contingency / Reserves (Shortfall) -$8.2 FY2018 revenue projection based on projected 3% decrease in enrollment, 4% projected decrease in revenue, and no tuition rate increase

Actual Enrollment Headcount   Fall 2015 Fall 2016 Difference % Undergraduate 13,616 13,043 (573) -4.39% Graduate 5,176 4,924 (252) -5.12% Other Campus 73 88 15 17.05% No Data 1 100.00% TOTAL 18,865 18,056 (809) Resident 12,488 12,046 (442) -3.67% Non-Resident 6,377 6,010 (367) -6.11% NR Non-Exempt 2,612 2,364 (248) -10.49% NR WUE 2,390 2,284 (106) -4.64% NR Exempt 1,375 1,362 (13) -0.95% Average enrollment decline by type of student: ~4.8% Data from IRAO Enrollment Data Table 4

Proposed Budget Model Analysis Proposed Model Alternate Model Tuition Return Undergraduate: 40% Graduate: 70% Funding Pool Where possible, units were adjusted to receive a similar distribution as their FY2017 allocations There is insufficient tuition revenue to guarantee the proposed rate of return and to hold harmless Tuition Return Undergraduate: 20% Graduate: 70% Funding Pool Where possible, units were adjusted to receive a similar distribution as their FY2017 allocations There is sufficient tuition revenue to guarantee the rate of return for FY2018 using the percentages above Tuition return could increase in future years

Budget Model Calculation Off the Top Adjustments Scholarships Assessments Undergraduate Revenue and waivers are pooled for all undergraduate students 40% of the net undergraduate revenue is attributed to the unit based on SSH, Majors and Degrees 60% goes to the funding pool Graduate Revenue and waivers are attributed to the program where the student is enrolled 70% of the net graduate revenue is attributed to the unit 30% goes to the funding pool Differential Programs The difference between the program’s tuition rate and the regular graduate tuition rate is considered the differential 100% of the differential is attributed to the respective unit The amount up to the regular graduate rate is attributed based on the graduate calculation Prior agreements for differential tuition and scholarships are no longer applicable Fees (Program and Course) 100% of fee revenue is returned to the respective unit Funding Pool Re-baselining General funds and remaining tuition to meet funding pool requirements

Budget Model Data Dictionary Data Source (Students) Retrieved from IRAO ODS Data System Summarized snapshot data from Banner Undergraduate Measure Data SSH and Major from CENSUS data SSH based on primary unit offering the course Majors are the first recorded major for the student Degrees from End of Semester (EOS) data Degrees are based on which unit awarded the degree to the student Graduate Data Determined by the program each graduate student is enrolled

Going Forward Funding Pool Distribution Revenue Considerations Current model holds allocations level with FY2017 A more strategic method of distributing the funding pool is needed for future fiscal years. Revenue Considerations Impact of enrollment, retention and graduation rates Impact of scholarships and waivers Efficiency and effectiveness of all units Summer and Outreach Extension are being considered for inclusion for FY2019’s model