1. Budgetary Affairs Committee
June 14, 2018
Referrals/issues status:
Solar house sale = April report
Distribution of raises given to administrators, faculty, and staff = still awaiting data from F&O
Report on the “big picture balance sheet”, with tracking of changes in each item = ongoing
Balance sheet for the MSU programs = this report
How are decisions made about faculty retention packages; fairness of resource allocation across departments = discussed
Current and next FY budget = modest changes since last BAC report
New issue: OSP post-award

2. MSU funding Prior to FY 2017, funds went to CEC Dean. FY 2017:
Originally $485K,
Cut in FY 17
Prior to FY 2017, funds went to CEC Dean. FY 2017:
CEC Dean
Civil
Electrical
Parker Hall
Total
Revenue
Tuition
416,387
409,585
91,245
917,397
State
282,906
9,284
301,474
Total:
1,218,871
Expended
Salary & Wages
176,564
186,845
142,902
506,311
Benefits
58,814
49,092
49,665
157,571
Other (incl. VCC)
1,861
88,308
91,199
181,368
Transfers
250
(Teaching & Tech sponsor)
19,065
(Faculty support)
(10k Cashiers, 30k Enroll Mgt,
21k Recruiter
30k Student Aid)
110,740
955,990
Net
45,417
82,361
135,103
262,881

3. Staffing/S&W Administrative MSU Director Admin Asst II
Engr Lab Supervisor
Civil
Assoc Teaching Prof: Jeff Thomas
MSU Assoc. Prof.: Matt Pierson
Adjunct: Todd Brewer
Electrical
Lecturer Stephanie Thomas
Asst. Prof. Tayo Obafemi-Ajayi
Asst. Teaching Prof. Theresa Odun-Ayo
Assoc. Teaching Prof. Rohit Dua

4. Retention
Decisions made by Provost in consultation with appropriate Dean, Chancellor not involved
Retention is to prevent leaving, ≠ equity (equity are raises to make salaries more equitable)
Fairness?

5. Last year (FY 2017) in $ millions
No update since 22 Feb
Operations (GRA)
Global Learning + other services
Auxiliary (Food, Res Halls)
Gifts & Endowments
Grants & Contracts
Total
Revenue
145.0
11.8
24.4
7.6
22.6
211.5
Expended
146.3
3.8
16.5
5.9
21.4
193.9
Transfers
5.8
-10.3
-8.5
-0.3
-1.2
-14.5
Net
+4.5
-2.2
-0.6
+1.4
-0.04
+3.1
Grants F&A is revenue to Operations
Transfers:
into operations is from services (arrow)
from Auxiliary goes to plant fund (pay off loans, maintenance costs, reserves), but also fees to operations, which increased for FY 18
from Gifts largely go to endowment corpus (est. $160 M total S&T endowment)
From Grants largely is fixed price close-outs to operations or maybe to Plant (= building purchase, maintenance, depreciation)

6. Expenditures and revenues (millions of $)
Updated from April’s report
Revenue
Costs
Net
State
Tuition
& Fees
Other
GRA
Transfers to GRA
[Cost dollars?]
Last year (FY 17)
51.4
81.2
12.5
145.1
146.3
(5.8)
4.5
This year (FY 18)
49.4
85.1
10.2
144.7
147.3
(2.8)
0.2
Now next year*
(FY 19)
86.5
10.2?
146.1
144.4?†
(5.8)?
8.0?
April’s next year
44.1
88.5
142.8
144.4?
4.2?
*State 0% cut assumed, 1% tuition rate + enrollment increase
Tuition & Fees is net = scholarships from general operating funds deducted
† Cerney says GRA = $136.0 M, net will be -5 M (= Greitens’ cut)
New costs: $400k OSP (VCR&G, compliance hire); CEC $212k faculty line; $20k E&E for CDiversityO; $50K for sesquicentennial celebration

7. Update based on Greitens resignation
Changes for FY 19 (Cuts)
0% = State, 0.0 M [was -$5.1M] +1.2% = Tuition up 1%, +1.4 M (may be less) -1.5% = 2% merit raise pool (Choi), -2.1 M -0.18% = P&T and PTR, M -0.36% = Insurance, utilities, licenses, mandatory maintenance sum -0.5 M -0.29% = Graduate aid(?), -0.4 M -0.17% = Benefits increases, -0.25? M -1.3% = Net $2.1 M less [Maples May 9: $8.7M] System: “strong guidelines” on how to distribute raises 5.1% cut = $7 M: $2.1 M less, $3.6 M to “Strategic investments”, $1.3 M not designated/conservative

8. 5.1% Cut 4% net cut from CEC ($1.6 M) and CASB ($0.96 M) Reduce E&E
Cancelled searches
Possibly from OSP, IR
There is no low-hanging fruit
Chancellor Maples May 9 brief, next slide

9. -100k
~11%
Excludes $26.5 M “non-cut-able”

10. Non-cut-able Enrollment contingency Maintenance and repair Utilities
IT fee
Dedicated F&A
Debt payments
Insurance
Strategic Initiative Positions
Summer teaching

11. Reinvestments Half of cuts are reinvestment
“Faculty and faculty support, supplemental core instruction, phonathon funding, enrollment contingency”
Library open 24/7, $100K (mostly for swipe card access, add two part-time staff as security)

12. OSP post-award Suggestion: post-award administration at MU
MU cost is roughly half of ours per grant dollar
Process is largely electronic, physical presence not vital
Likely to reduce risk; S&T now carrying perhaps $1M in non-pay accounts (e.g. not invoiced in time, not document effort)
5 of 15 staff (w/o VCRGS)
$0.3 M of Provost’s $1.3 M cut
BAC expressed concern might not work better, might simply be layoffs; F&O would require performance in any service-level agreement and possibly pre-award needs more staff