1. I.Welcome and Introductions II.Overview of FY 11-12 Budget and Forecast III.TPAC Process Overview IV.Questions and Answers Tuition Policy Advisory Committee (TPAC) Public Forum Agenda October 12, 2011

2. A Primer on The University Budget Fiscal Year 2011-12 2

3. 3 2011-2012 Budget Summary (Operating Budget) $ Millions Academic Enhancement $693 Total Budget $2,284 Self Supporting $373 Academic Core $1,218

4. 4 2011-2012 Total University Sources (Operating Budget) $2,284 Million

5. 5 The Permanent University Fund (PUF) and Available University Fund (AUF PUF Lands Available University Fund (AUF) 2/3 UT System1/3 A&M System System Costs PUF Bonds UT Austin UT Austin receives about 30% of the total AUF income from the PUF UT Austin FY 11/12 $156 M (recurring) PUF Cash Investments (Leases) (Return on Investment)

6. 6 2011-2012 Total University Uses (Operating Budget) $2,284 Million

7. 7 2011-2012 Academic Core Sources (Operating Budget) $ Millions Academic Core $1,218 State General Revenue $297 AUF* $156 R $23 NR $25 NR Tuition $567 Indirect Cost $73 Other** $77 *AUF includes annual payout (varies annually), $22.9M for FY 11-12 as a result of an increase in the payout rate that may not recur to FY 12-13 and $25M non- recurring to fund the following initiatives as designated by UT System: $13M for excellence, $7M for faculty excellence, and $5M for faculty recruitment. **Other includes Budgeted Balances, Intellectual Property Income, Interest, Administrative Fee, etc.

8. 8 2011-2012 Academic Enhancement Budget (Operating Budget) $ Millions Contracts & Grants* $453 Gifts $194 Other includes budgeted balances, Library Resource Sharing Project, and income collected for specific academic purposes (Executive MBA, Field Trips, Orientation, Application, & Library fees, etc.) *Indirect Cost of $73M is included in the Academic Core Academic Enhancement $693 Other $46

9. 9 2011-2012 Self Supporting Budget (Operating Budget) $ Millions Other $104 Auxiliary Enterprises include: Intercollegiate Athletics:$133M Housing & Food: $75M AT&T Exec. Ed & Conference Ctr. $26M Erwin Center: $18M Parking & Transportation: $17M Other include: Continuing Education, Performing Arts Center, UIL, KUT, McDonald Observatory, Accelerated Schools, Option III programs, Dana Center, LBJ Wildflower Center, etc. Self Supporting $373 Auxiliary Enterprises $269

10. Academic Core Budget Forecast 10

11. FY 2011-12 to FY 2015-16 Academic Core Projected Budget Sources $Millions 11 Budget 2011-12 Budget 2012-13 Forecast 2013-14 Forecast 2014-15 Forecast 2015-16 State General Revenue (GR)296.9296.4298.1298.6299.2 Flat Rate Tuition (net of Texas Tomorrow)560.0559.9559.6559.3559.1 Student Activity Center6.5 AUF System Estimate - Recurring155.6193.4194.8200.7212.3 AUF – Increase in FY 11-12 payout22.90.0 AUF – Faculty Support Non Recurring7.00.0 AUF – Excellence Funding Non Recurring13.00.0 AUF – Faculty Recruitment Non Recurring5.00.0 Indirect Cost72.8 Other Revenue51.5 Balances26.97.9 Total Budget Sources 1,218.11,188.41,191.21,197.31,209.3

12. FY 2011-12 to FY 2015-16 Academic Core Projected Budget Forecast $ Millions 12 ($ in millions) Budget 2011-12 Forecast 2012-13 Forecast 2013-14 Forecast 2014-15 Forecast 2015-16 Total Budget Sources 1,218.11,188.41,191.21,197.31,209.3 Less Total Status Quo Uses 1,218.11,169.21170.11,170.1 Net Funds to Allocate19.221.127.239.2 Less: Required Fringe, Financial Aid, and Facility Increases 18.236.753.569.3 Net Funds to Allocate 1.0(15.6)(26.3)(30.1)