1. McGill’s Budget Since Fiscal Year (FY) 2007 in Brief Justin Marleau Vice-President of AGSEM – Teaching Assistants

2. McGill’s Budget is Divided into Four Funds Operating Fund – Fund dealing with day-to-day operations, ‘unrestricted’ -> can be used for anything Restricted Fund – Fund dealing with day-to-day operations, research and other projects -> restricted Plant Fund – Capital assets of the university -> restricted Endowment Fund – The pool of money bequeath to the university in donations and gifts -> some unrestricted, most restricted

3. Let Us Focus on The Operating Fund First Why? – CREPUQ uses it to justify the underfunding of the Quebec University system 1 Will look at – Revenues over time – % of revenues to different activities over time Then look beyond operating revenues when comparing across universities – McGill compared to U of T

4. McGill’s Operational Revenues Have Increased over 30% since FY 2007 2 Note: FY 2011 is only 11 months, hence the ‘drop’ in revenues

5. McGill Has Received An Extra $398.7 Million Since FY 2007 (compared to FY 2007 baseline) Where has that money gone? Only a few possibilities – Academic Salaries – Administrative Salaries – Student Salaries – Student Aid – Benefits – Non-Salary Expenses (including interfund transfers used for capital purchases)

6. 43% Has Gone to Administrative and Non-Salary Expenses 3 Should we prioritize differently?

7. Comparing McGill and U of Toronto Is McGill underfunded compared to U of Toronto? To compare, we need to look at funding per full-time equivalent student – McGill in FY 2012 4 : 30607 FTEs – U of Toronto FY 2012 5 : 68088 FTEs

8. Based on Operating Revenues Alone, There is a Gap, But Not with Total Revenues Operating Revenues – U of Toronto: $1,892.9 million -> $27,800 per FTE – McGill: $709.8 million -> 23,190 per FTE Total Revenues – U of Toronto: $2,403.4 million -> $35,298 per FTE – McGill: $1,141.3 million -> $37,288 per FTE

9. Can’t Just Look at Operating Revenues to Determine Level of Funding Quebec likes to ‘restrict’ funds more than other provinces – They have to be used for specific purposes, which can still be quite broad. Quebec also gave much more research funding and capital grants compared to other provinces – These grants still fund students and education

10. Is McGill Underfunded? There is little evidence of that when you look at total revenues Even in operating revenues, McGill has been doing well in the last five years, though that looks to change with the PQ

11. References 1. http://www.crepuq.qc.ca/IMG/pdf/Etude_CREPUQ_2013_Niveau_Ressou rces_2013-01-15.pdf 2. McGill Financial Reports - 2006: http://www.mcgill.ca/senate/sites/mcgill.ca.senate/files/d06- 12financialreporttothebog2005-2006.pdf http://www.mcgill.ca/senate/sites/mcgill.ca.senate/files/d06- 12financialreporttothebog2005-2006.pdf – 2007 and 2008 due to restatement: http://www.mcgill.ca/senate/sites/mcgill.ca.senate/files/D08- 09_University_Financial_Report.pdf http://www.mcgill.ca/senate/sites/mcgill.ca.senate/files/D08- 09_University_Financial_Report.pdf – 2009: http://www.mcgill.ca/vpadmin/sites/mcgill.ca.vpadmin/files/742041- McGill-University-Client-09.pdf – 2010: http://www.mcgill.ca/senate/sites/mcgill.ca.senate/files/D1008FinancialRepor ttoBOG.PDF http://www.mcgill.ca/senate/sites/mcgill.ca.senate/files/D1008FinancialRepor ttoBOG.PDF – 2011: http://www.mcgill.ca/senate/sites/mcgill.ca.senate/files/d11- 24_financial_report.pdfhttp://www.mcgill.ca/senate/sites/mcgill.ca.senate/files/d11- 24_financial_report.pdf – 2012: http://www.mcgill.ca/senate/sites/mcgill.ca.senate/files/d12- 25_appendix_a_financial_report_to_the_board_of_govenors_2012.pdf

12. References 3. See data tables for raw data used for the calculation. All derived from financial reports in reference 2. 4. p.5 of the FY 2012 report given to the Board of Governors. See reference 2. 5. University of Toronto Financial Report : http://www.finance.utoronto.ca/Assets/Finan ce+Digital+Assets/reports/financial/2012.pdf http://www.finance.utoronto.ca/Assets/Finan ce+Digital+Assets/reports/financial/2012.pdf

13. Data Tables FY Operating BudgetAcademic Student SalariesStudent AidBenefits Administrat ive 2006508.8 2007545.5173.610.04.262.1148.3 2008562.3182.711.27.264.4157.7 2009589.3190.211.613.067.4164.1 2010633.9206.912.116.779.2173.7 2011630.9186.512.318.575.1165.3 2012709.8204.910.922.786.3193.1 All in $Millions

14. Data Tables FYOperating Budget Non Salary Expenses 2006508.8 2007545.5154.5 2008562.3152.1 2009589.3162.0 2010633.9158.2 2011630.9168.1 2012709.8191.2