System Administration Budget Office Update Faculty Council of Community Colleges (FCCC) Spring Plenary April 6, 2018

Items for Discussion Historical Trends Revenue Expenses New York State Budget Update Enrollment and High School Graduates Questions / Concerns / Feedback

Historical Trends: Revenue and Spending

Net Operating Budget History: 2006/07 to 2016/17

Components of the Net Operating Budget Expense Components People (Salary) Benefits for People Non-People (Contracts/Supplies/Etc.) Revenue Components State Operating Aid Tuition Revenue County Support Use of Fund Balance By themselves, these numbers are somewhat arbitrary. So, to “normalize” them, we look at the amount each college has per Full-Time Equivalent (FTE) Student

Percent Change in Fall FTE Student Numbers by College

Percent Change in Expense Components: People (Salary)

Percent Change in Expense Components: People (Benefits)

Funding Trends – Salary and Employee Benefits

Percent Change in Expense Components: Non-People

Percent Change in Expense Components: Total Expenses

Percent Change in Revenue Components: State Aid

Year-to-Year Base Aid/FTE Changes and Counts of Colleges with Increased and Decreased State Support

Percent Change in Revenue Components: Tuition Revenue

Change in Tuition Rates:

The 1991/92 Change… or When the Model “Broke”

Community College Tuition Rates Versus National Average Source: Annual Operating Budget Submissions College Board 2016 Trends in College Pricing

Percent Change in Revenue Components: Sponsor Support

Percent Change in Revenue Components: Chargeback Revenue

Percent Change in Revenue Components: Total Revenues

“Winners” and “Less Than Winners”: 2016/17 Expenses Vs. Revenues

How Do Colleges Survive These Situations? Fund Balance (An important – but limited – resource)

New York State Budget Update

Direct State Tax Comparison Detail: SUNY Impact (Totals may not add due to rounding) 2017/18 Received 2018/19 Enacted 17/18 Received Vs. 18/19 Enacted Percentage Change Components of Direct Support (Academic Year Basis) State-operated Campuses $708.0 - Community Colleges 478.6 477.3 (1.3) (0.3)% Hospitals 78.6 (78.6) (100.0)% University-wide Programs 156.7 159.0 2.3 1.5% System-wide Activities (CIF/OER) 22.0 Statutory Campuses 133.8 Total $1,578.4 $1,500.1 ($77.6) (4.9)% Community Colleges Base Aid per FTE was increased $100/FTE, from $2,747 to $2,847 The legislation for changing the Chargeback rate calculation was eliminated. Prior-year adjustments to the Chargeback rate formula were eliminated.

University-Wide and Categorical Programs University-Wide Programs ($M) Categorical Programs ($M) Program 2017/18 2018/19 $ Change % Change Opportunity and Diversity Programs $95.4 $95.6 $0.2 0.2% Strategic Priorities and System-Wide Resources 48.5 50.6 2.1 4.4% Student Grants and Loans 12.7 - Total $156.7 $159.0 $2.3 1.5% Program 2017/18 2018/19 $ Change % Change Rental Aid $11.6 $- -% Job Linkage 3.0 - SUNY Apprentice Child Care 2.1 Contract Courses 1.9 High Needs 1.7 GAP1 1.5 (1.5) (100.0)% Low Enrollment 0.9 Orange CC Bridges 0.1 Total $25.8 $24.3 $(1.5) (5.8)% -Program Increases Included -New Programs Included -Rockefeller Institute - Stony Brook Algonquian Language of Government $0.7M Revitalization $0.1M -Cord Blood Center $0.5M - Cornell Center in Buffalo $0.2M -Mental Health Services $0.3M - Center for Women in Government $0.1M - Stony Brook Center for Italian Studies $0.3M 1Graduation, Achievement, and Placement Program (GAP)

State Budget Impact: by Community College Columns indicate $ Change from 2017/18 Percentages indicate % Change from 2017/18

2018/19 SUNY Capital Budget ($M) TOTAL Program $- - $155.8 19.2 $450.0   Program 2017/18 Enacted Budget 2018/19 Enacted Budget Enacted vs. Enacted Educational Facilities Base Critical Maintenance Critical Maintenance / New Construction Total $450.0 100.0 $550.0 $- - Hospitals 255.8 $155.8 Residence Halls (Self-Supported) 50.0 Community Colleges 55.1 74.3 19.2 TOTAL $705.1 $930.1 $225.0

Non Direct State Tax Related Items- Enacted: SUNY Impact Student Focused Items: Adjusts Excelsior Scholarship to provides clarity on making eligibility determinations for applicants with adjusted gross incomes levels from specific causes. Also makes explicit that non-tuition scholarships and programs are not applied to tuition prior to the Excelsior scholarship award. Expands E-Tap to For-Profit Degree Granting Institutions. Also eliminates need to match E-TAP awards for institutions that have lowered its tuition by more than 15 percent in the past six years. This match will be provided by the State. Adds the provision of supplemental housing and meals for Foster Youth enrolled in the Foster Youth College Initiative who are also enrolled in opportunity programs to the allowable uses of these funds Expands the NYS STEM Scholarship to all Higher Ed and modifies tuition / institutional scholarship matching requirements Provides that no professional licenses may be denied, suspended, or revoked due to a failure to pay student loans Creates a Teacher Loan Forgiveness Program Campus Centered Items: Eliminates the proposed changes and phase in of the Operating Chargeback, however, maintains other components of prior legislation including a uniform Certificate of Residency and elimination of prior year adjustments to current rates Creates the Eastern Long Island Hospital Escrow Account Funding added for “safety net providers” hospitals, including SUNY, who meet certain criteria with regards Medicaid Other: Creates the Small Business Innovation Research / Small Business Technology Transfer Technical Assistance Program with the intent of providing funds to eligible entities competing for grants Provides for the opportunity of contributions made to the SUNY Impact Foundation / CUNY Research Foundation to receive a tax credit to contributors

Enrollment and High School Graduates

Enrollment Plans: Hopes and Dreams Actuals from 06/07 – 16/17 Decrease of 2,430 or 1.5 percent (17 colleges showed an FTE increase while 13 showed a decrease) From Actual 16/17 to Projection 24/25 Increase of 31,527 or 19.6 percent (All 30 colleges showed an FTE increase)

Enrollment Plans: Possible Reality Actuals from 06/07 – 16/17 Decrease of 2,430 or 1.5 percent (17 colleges showed an average FTE increase of 399 while 13 showed an average decrease of 709) From Actual 16/17 to Projection 24/25 Decrease of 12,893 or 8.0 percent (All 30 colleges showed an average FTE decrease of 440)

NYS High School Graduates as Part of SUNY’s Community Colleges 2016/17 FTE Share by Category (160,511.0) 58% of FTE are either in High School or Recently Graduated. Increased from 54% in 2012/13

Possible Reality Basis: Projected High School Graduates - NYS (3,371) (10,833) (7,872) (7,681) (10,788) (11,269)

Possible Reality Basis: Projected High School Graduates - NYC 5,765 5,065 127 (4,035) 1,836

Possible Reality Basis: Projected High School Graduates – Rest of NYS (3,498) (8,479) (11,532) (12,431)

Historical Live Births in New York State 1983 - 2015 From 1999 (2017/18 Academic Year) to 2015 (2033/34 Academic Year) Live Births Decline 7.5 percent 2.8 percent Decline 2010-2015 *Data from New York State Department of Health

Thank You Questions? Concerns?