1. UNIVERSITY OF KENTUCKY 2010-11 Tuition and Mandatory Fees see blue.

2. Considerations Tuition and Mandatory Fees CPE Parameters State Appropriations Fixed Cost Increases Maintaining Momentum Affordability

3. 2010-11 Tuition and Mandatory Fees Schedule January – April: Discussions with CPE President and Staff April 21: Campus Forum April 23: CPE sets tuition parameters April 27: UK Board of Trustees approves tuition/fees May 21: CPE reviews UK’s tuition/fees June 8: UK Board of Trustees approves 2010-11 Operating and Capital Budget, including program and course fees

4. Where the money comes from and what it pays for (2009-10 Operating Budget - $2.4 billion) Undesignated General Funds Money comes from: State appropriations Tuition and Mandatory Fees Investment income Service assessments Pays for: Teaching Public service Administrative support Scholarships Designated General Funds Money comes from: UK HealthCare County Appropriations Course and program fees Pays for: Public service Instruction

5. Auxiliary Funds Money comes from: UK Athletics Housing Dining Parking Pays for: Self-supporting auxiliary units pay all their expenses and receive no taxpayer or tuition support Restricted Funds Money comes from: Research grants and contracts Endowment income Gifts Federal and state student aid Pays for: Research Scholarships Public service Fund Balance Money comes from: Savings from prior years Pays for: Capital projects Faculty start-up packages Pilot programs Where the money comes from and what it pays for (2009-10 Operating Budget - $2.4 billion)

6. Revised 2009-10 Operating Budget Revenue Undesignated General Funds: State Appropriation – Operating $310,521,400 Tuition and Mandatory Fees 262,628,600 Other Undesignated 24,046,000 $597,196,000 Designated General, Auxiliary, and Restricted Funds 1,668,937,500 Fund Balance - Nonrecurring 164,509,100 Total 2009-10 Operating Budget Revenue $2,430,642,600

7. State Appropriations, net of debt service (in millions) For FY 2009-10, the state replaced $21.1 million in state appropriations with federal stimulus funds. For FY 2010-11, it is anticipated that the state will replace $17.2 million in state appropriations with federal stimulus funds. $289.2 Federal Stimulus Funds

8. Gross Tuition and Mandatory Fee Revenue and Net State Appropriations (actual in millions) State appropriations net of debt service and mandated programs. *Projected

9. Undesignated General Funds Estimated Fixed Cost Increase - FY 2010-11 Personnel: Faculty Promotions/Fighting Funds$937,700 Benefits 7,281,900 $8,219,600 Operating Expenses: Student Financial Aid?* Implementation of General Education Curriculum 2,000,000 Utilities1,000,000 Other Operating Expenses 689,000 Total Fixed Cost Increase $11,908,600 *The increase in the cost of student financial aid is dependent upon the increase in the level of tuition.

10. Maintaining Momentum Total Enrollment

11. Maintaining Momentum First- to Second-Year Retention

12. Maintaining Momentum Degrees Awarded

13. Maintaining Momentum General Education Reform In May 2009, the University Senate adopted a new General Education curriculum. When implemented, every course in the new General Education Foundation curriculum will: Be conducted as a small class or, at least, incorporate a small-group breakout session; and Have defined outcomes and an embedded “assessable product.”

14. Affordability RESEARCH UNIVERSITIES

15. Resident Undergraduate Tuition and Fees, FY 2010 Affordability Resident Undergraduate Tuition and Fees, FY 2010 Median: $8,679 *Per the Top 20 Business Plan Source: 2009-10 Survey of Tuition and Required Fees Summary - University of Virginia UK and Top 20 Institutions*

16. Non-Resident Undergraduate Tuition and Fees, FY 2010 Affordability Non-Resident Undergraduate Tuition and Fees, FY 2010 Median: $23,990 UK and Top 20 Institutions* *Per the Top 20 Business Plan Source: 2009-10 Survey of Tuition and Required Fees Summary - University of Virginia

17. Applications, Acceptances, and Enrollment – Week 32 First-Time Freshmen Applications Acceptances Enrollments

18. Applications and Acceptances – Week 32 Transfers Acceptances Applications

19. Student Financial Assistance In FY 2009-10, 16,207 undergraduate students (84.5%) received some type of financial assistance. Federal - Pell Grants ($5,350 maximum FY 2009-10 – increasing to $5,500 maximum in FY 2010-11) State Kentucky Educational Excellence Scholarships (KEES) ($2,500 maximum award) College Access Program ($1,900 maximum award) Institutional Scholarships Merit and need-based programs Employee and family education programs

20. Institutional Scholarships General Funds Original Budget (in millions)

21. FY 2010-11 Funding Sources - Operating State Appropriations (1.42% budget cut)($4,395,700) Short-term Investment Income (2,337,500) Other Income 748,200 Total Source Increment - Operating($5,985,000)

22. FY 2010-11 Funding Gap - Operating Total Fixed Costs Increases ($11,908,600) Total Revenue Decreases (5,985,000) Funding Gap – Operating($17,893,600)

23. 2010-11 Tuition and Mandatory Fees Schedule January – April: Discussions with CPE President and Staff April 21: Campus Forum April 23: CPE sets tuition parameters April 27: UK Board of Trustees approves tuition/fees May 21: CPE reviews UK’s tuition/fees June 8: UK Board of Trustees approves 2010-11 Operating and Capital Budget, including program and course fees