Transcription
Board of Regents2020-2021 Tuition &Annual Operating BudgetMay 13, 2020
SummaryPART I : TUITION & FEES Undergraduate tuition freeze to provide students with stability duringthe COVID-19 uncertainty Overall housing fees are proposed to increase at a weightedaverage of 3% with a simplified fee structure that has 30% of roomsat same or below rates Parking rates for students, faculty and staff will be held flat New meal plan options as part of the new contract with theuniversity’s dining partner, Chartwells
SummaryPART II : ANNUAL OPERATING BUDGETThe 2020-21 operating budget spendingauthorization is recommended at 251,000,000.
OverviewPART I : TUITION & RATES Context for Tuition Rate Setting Current Registration Activity Enrollment Projection Tuition Proposed Rates Dining/Parking/Housing Proposed Rates
Current Registration ActivityAs of May 11,2020
Enrollment Projection
RECOMMENDED TUITION RATES2019-20TuitionRateFY 2020-21 RecommendedTuitionRate Increase%IncreaseUNDERGRADUATECredit Hour (1-11, 17 hours)Resident, Ohio Reciprocity, Indiana RateMetro (returning)NonresidentOnline (accelerated and all other)RN-BSN Online Partner (Note 1)School Based Scholars (Note 2) 413 625 828 448 330 58 413 625 828 448 330 69 0 0 0 0 0 110.0%0.0%0.0%0.0%0.0%19.0%Full-Time 12-16 Hours (Semester)Resident, Ohio Reciprocity, Indiana RateMetro (returning)Nonresident 4,956 7,500 9,936 4,956 7,500 9,936 0 0 00.0%0.0%0.0%
RECOMMENDED TUITION RATES2019-20TuitionRateFY 2020-21 RecommendedTuitionRate Increase%IncreaseGeneral: Graduate and DoctorateCredit HourResidentOhio/ IndianaNonresidentOnline 613 738 943 653 613 738 943 653 0 0 0 00.0%0.0%0.0%0.0%COIMHI- accelerated online 640 520 -120-18.8%
RECOMMENDED TUITION RATES2019-20TuitionRateFY 2020-21 RecommendedTuitionRate Increase%IncreaseEducation Masters, Post Masters, and DoctorateMasters-Credit HourMaster of Arts in Education- non accelerated onlineMaster of Arts in Education- accelerated onlineAlternative Certification in Special Education- aolMasters of Arts in Teaching- accelerated onlineMAED: Teacher as Leader- Great 8 Cohort 518 400New 400 351 400 400 400 400 351 -118 0N/A 0 0-22.8%0.0%N/A0.0%0.0%Post Masters- Credit HourEducation Specialist T&L-accelerated onlineEducation Specialist-other than accelerated onlineGraduate certifications/Rank 1 400 653 653 400 400 400 0 -253 -2530.0%-38.7%-38.7%Doctorate-Credit HourResidentOhio/ IndianaNonresident 684 803 998 684 803 998 0 0 00.0%0.0%0.0%
RECOMMENDED TUITION RATES2019-20TuitionRateFY 2020-21 RecommendedTuitionRate Increase%IncreaseBusiness GraduateCredit HourResidentOhio/ IndianaNonresidentAccelerated Online Master of Business 627 737 1,022 499 565 664 921 460 -62 -73 -101 -39-9.9%-9.9%-9.9%-7.8%Program RateELOC (Note 3)MBLI (Note 4)MBA International Partnership (Note 5) 34,950 28,950 10,000N/A 28,950 10,000N/A 0 0N/A0.0%0.0%
RECOMMENDED TUITION RATES2019-20 FY 2020-21 RecommendedTuitionRate% TuitionRateIncreaseIncrease -78 0 0 0N/A -71 0 -104 0-12.0%0.0%0.0%0.0%N/A-11.4%0.0%-16.7%0.0%College of Health & Human ServicesCredit HourDoctor of Nursing Practice (DNP)-accelerated onlineDNP- Post Master-non accelerated onlineDNP-Nursing Anesthesia (resident)DNP- Nursing Anesthesia (non resident)DNP- Nurse Anesthesia Post Masters-non acceleratedMaster of Science in Nursing (MSN)-accelerated onlineMSN-non acceleratedMS- Health Science-accelerated onlineMaster of Science in Exercise Science-non accelerated 648 673 746 954New 621 645 624 450 570 673 746 954 673 550 645 520 450
RECOMMENDED TUITION RATES2019-20TuitionRateFY 2020-21RecommendedTuitionRate Increase%IncreaseNewNewNew 450 550 845N/AN/AN/AN/AN/AN/A 613 613 00.0% 943 943 00.0% 738 630 -108-14.6%College of Health & Human Services (continued)Credit HourMaster of Science in Athletic Training (resident)Master of Science in Athletic Training (non resident)Occupational Therapy DoctorateMA School Counseling and/or MSClinical Mental Health Counseling (resident)MA School Counseling and/or MSClinical Mental Health Counseling (non resident)MA School Counseling and/or MS ClinicalMental Health Counseling (Graduate Metro)
RECOMMENDED TUITION RATES2019-20TuitionRateFY 2020-21 RecommendedTuitionRate Increase%IncreaseLawCredit Hour (1-12, 17 hours)ResidentNonresidentMLS accelerated onlineSemester (13-16 credit hours)ResidentNonresidentProgram RateLLM (Note 6) 821 1,328New 854 1,381 854 33 53N/A4.02%3.99%N/A 10,673 17,264 11,100 17,955 427 6914.0%4.0% 28,950 30,108 1,1584.0%Note 1: Rate for students enrolled through Academic Partnerships agreement.Note 2: Rate for high school students taking an NKU college course. Rate is the ceiling set by the Kentucky Higher EducationAssistance Authority to participate in Dual Credit Scholarship program.Note 3: Discontinued Fall 2020.Note 4: Master of Business in Leadership and Innovation (MBLI) is a 2 year program. Price includes 3,750 for 10 day global seminartrip. Begins Fall 2020.Note 5: Program rate for NKU MBA in partnership Indian Universities. Courses will be jointly taught by NKU and Indian partner faculty.Note 6: LLM (Master in Law for International students) is a one year program.
Dining: Residential Meal PlansCurrent Residential Meal PlansUltimate Meal Plan plus 100 Flex 2,03515 Meal Plan plus 100 Flex1,87515 Meal Plan (carryout)1,935Block Plans (all categories)1,900Proposed FY21 Residential Meal Plans and ComparisonsPlansNKUEKUMSUWKUUCUltimate/ 100 Flex 2,150 2,340 2,305 2,200 2,405225 Block/ 200 Flex1,9252,120N/A1,920N/A8 Meals/ 500 Flex2,175N/AN/AN/AN/A5 Meals/ 700 Flex2,100N/AN/AN/AN/A15 Meals No Frills1,650N/AN/AN/AN/A50400100300N/AMandatory Commuter Meal Plan
Highlights: New Contractwith Chartwells New (10) year food and beverage contract with Chartwells; effective date July1, 2020 Commitment of 4.1M in capital funding for program enhancements, residentialrenovations, and new/upgraded retail locations Development of a new slate of residential meal plans that reflect our studentsdesires as well as the needs of the university Expanded evening operating hours to meet the needs of our non-residentialstudents and support our new commuter meal plans What’s Happening This Summer: Completion of 2nd phase construction for our SBARRO’s Restaurant:Design/Build of our QDOBA Restaurant, 1st Floor of the Student Union:Renovation of the Norse Commons Residential Cafeteria:Development of new service platforms for the Norse Commons Cafeteria:Total funding for summer, 2020 food and beverage development: 100K 1.25M 500K 250K 2.1M
PARKING RATESFaculty, Staff and StudentsApprovedRates 19-20 IncreaseApprovedRates 20-21Faculty & Staff (full-time, per year) 395 0 395Staff (part-time, per year) 195 0 195 37 0 37Reserved parking (per year) 835 0 835Students (full- and part-time, per year) 256 0 256Student (per semester) 150 0 150 60 0 60Faculty (part-time, per semester)Summer Students
Proposal for Housing RatesProposed FY21 RateTotal Beds at Price PointValue Accommodation 2,37517.2%Standard Accommodation 2,70042.5%Premium Accommodation 3,32540%Private Accommodation 4,000.5%Overall average rates would increase approximately 3%
ANNUAL OPERATINGBUDGET
Budget Principles Preserve the university’s academic priorities centeredon student success Invest in our people Position NKU for both short- and long-term success Be bold and innovative when prioritizing functions andactivities for investment and disinvestment Create efficiencies and effectiveness across campus Take an incentive-based approach to allocatinguniversity resources aligned with our mission
What we are doing now – FY20 Building towards goal of 2 million net position Hiring freeze and cost containment Processing refunds for housing, dining and parking Tracking COVID-related expenses Adapting recruitment and retention strategies for avirtual environment
2019-20 PROJECTION( 's in millions)FY20BudgetFY20ProjectionFav (Unfav)to FY20 BudTuition/Fees (Gross) - ResidentTuition/Fees (Gross) - non ResidentAccelerated Online (Gross)Sales/ServicesAuxiliary RevenueOther Revenue (e.g., Invest Income, rentals)State Appropriation 79.669.916.04.517.18.252.3 74.167.428.04.513.611.051.8- 5.5-2.512.00.0-3.52.8-0.5Total nefitsEstimated AOL AP ShareOperatingStudent Financial AidTransfers (e.g., Debt Service)ReservesTotal ExpendituresSurplus (Deficit)
FY21 Budget Development Context State Budget update Due to COVID-19 uncertainty, produced a one-year budgetNo additional funding providedAnnounced April 30, 2020 1% cut to FY20 ( 523K)Possibility of mid-year cut for FY21 Pension update All decisions regarding the pension system delayed by one year Our contribution rates are frozen at current levels through6/30/21 Requires decision by January 1, 2021 Recommendation to board at November meeting
FY20 State Appropriation Per FTE StudentAfter Performance Funding ModelKSU 14,118 18,607,700 ( 1,318 FTE Students)Nat'l Avg 8,196 6,795 125,938,500 (28,850 FTE Students)UL 6,297 181,673,900 (18,533 FTE Students)UK 5,383 35,644,400 (6,622 FTE Students)MOSU 5,079 41,381,400 (8,148 Students)MUSUEKUWKUNKU*** 4,743 61,681,700 (15,005 FTE Students) 4,547 4,526 68,225,600(13,005 FTE Students) 50,976,100 (11,263 FTE Students)*Student FTE calculated using Fall 2019 three year average provided by the Council on Postsecondary Education**State appropriation calculated as regular appropriation less debt service and mandated programs.***National average per the State Education Executive Officers Association.
FY 21 Budget Planning ParametersScenario A (campus open with restrictions) Undergraduate tuition held flat Enrollment assumptions (Overall UG/Genrollments down 5-6%; AOL enrollments up 10%) State appropriations flat * Investments in AOL programs, Steely Library, andcompliance initiatives Reallocations of 6 million from divisions/colleges
FY 21 Budget Planning ParametersScenario B (campus remains in virtual continuity of operations) Undergraduate tuition held flat Enrollment assumptions (Overall UG/G enrollments down 1213%; AOL enrollments up 10%) State appropriation flat * Auxiliary Revenues down over 50% Investments in AOL programs, Steely Library, and complianceinitiatives Reallocations of 6 million from divisions/colleges Projected deficit is approximately 10 million Ad Hoc Contingency Planning Group formed
Ad Hoc Contingency Planning Group Established an Ad Hoc Contingency Planning Groupearly May The group is a small set of faculty and staff who willtake a university view with strategic thinking Group charged with developing and proposing ideas tocreate savings and revenue opportunities By June 8th, a draft of recommendations will be providedto Budget Executive Committee, Cabinet and President By June 30th, final recommendations will be presentedto campus
2020-2021PROPOSED BUDGET
5-YEAR BUDGET TRENDSFY16 BudgetFY17 BudgetFY18 BudgetFY19 BudgetFY20 Budget 143.648.515.912.5 142.246.416.212.0 143.551.616.811.5 149.753.917.212.1 s (Gross)State AppropriationAuxiliary RevenueOther RevenueTotal nt Financial AidTransfers (e.g., Debt Service)ReservesTotal Expenditures ’s in millions
Recurring Investment Priority Requests Steely Library resources for SACS compliance - 1.5M Technology compliance resources (PCI, GLBA, GDPR, Accessibility, etc.)- 130K Women's Softball, Women's Volleyball, Gender Equity Personnel - 67K Accelerated online investment in faculty and support staff for thecontinued growth on AOL programs - 3.8M
Summary of Recurring InvestmentsCompliance Investments Salary/Benefits (7 positions) 446K1 Faculty 6 StaffOperatingTotal Compliance Investments 1.3M 1.7MAccelerated Online Salary/Benefits (40 positions) 3.7M 28 Faculty 12 Staff OperatingTotal Accelerated OnlineSummary Salary/Benefits (47 positions) 60K 3.8M 4.2M29 Faculty 18 Staff OperatingTOTAL RECURRING INVESTMENTS 1.3M 5.5M
Non-recurring Priority RequestsNon-Recurring - 2M Student Union & University Center equipment/technology upgrades 350K University Police Facility Relocation - 850K Softball field regrading - 490K Marketing and advertising funds - 295K Technology Compliance Resources (PCI, GLBA, GDPR, Accessibility,etc.) - 50K
REALLOCATIONS BY DIVISIONDivisionAmountAcademic Affairs 3.9MAdministration & Finance 1.3MStudent Affairs 300KAthletics 245KAdvancement 225KTOTAL 6.0M
Summary of ReallocationsSalary/Benefits 4.7M Elimination of 26 faculty positions(all vacant) Elimination of 23.5 staff & 3 administrator positions(4.5 filled staff & 1 filled administrator; 21 vacant)Operating Expenses 1.3MTOTAL REALLOCATIONS 6.0M
REVENUE ASSUMPTIONS Flat undergraduate tuition Enrollment projected to decline 6% resident and 4%non-resident (impact of 6 million) AOL enrollments projected to increase 10% bringing ingross revenues of 31 million State appropriation budget flat Other revenues up slightly with auxiliary revenues down 3 million due to lower housing occupancy offset byhigher miscellaneous budget (FY20 budgetunderstated)
EXPENSE ASSUMPTIONS No compensation increase No increase in pension contributions Student financial aid approximately flat 50% share of AOL revenue to Academic Partnershipincrease of over 6 million due to continued growth Operating expenses down over 3 million due to lowerutilities, reduced housing expenses, and other costsavings Contingency reserve lower 1 million to cover budgetshortfall Non-recurring salary reductions (3-10%) for membersof President’s Council earning over 100K
2020-21 PROPOSED BUDGETIncr (Decr)FY20 BudgetFY21 Proposedto FY20 BudgetRevenueTuition/Fees (Gross) - ResidentTuition/Fees (Gross) - Non ResidentAccelerated Online - AOL (Gross)State AppropriationOther RevenueTotal Revenue 79.669.916.052.329.8 70.165.431.052.330.1( 9.5)(4.5)15.00.00.3 247.6 248.9 1.3 99.345.336.86.047.910.81.5 98.745.036.912.444.610.80.5( 0.6)(0.3)0.16.4(3.3)0.0(1.0) 247.6 248.9 1.32.72.0(0.7) 250.3 250.9 0.6ExpendituresPersonnelBenefitsStudent Financial AidEstimated AOL AP ShareOperatingTransfers (e.g., Debt service)ReservesTotal ExpendituresNonrecurring investmentsTotal Operating Budget ’s in millions
POTENTIAL RISKS FY21Impacts from COVID-19 Enrollment declines Loss of international and diverse students Auxiliary revenue impacts (housing, dining, parking) COVID-19 expenses (Cleaning, technology, professionaldevelopment/training for online, etc.) Fundraising State appropriation cut Athletics impact – fundraising, canceling games Macroeconomic impact Loss of staff from illness
POTENTIAL RISKS FY22 Same impacts as FY20 related to COVID-19 Endowment spending Pension - 12 million additional contributions if we remain in KERSunder SB249
SummaryPART II : ANNUAL OPERATING BUDGETThe 2020-21 operating budget spendingauthorization is recommended at 251,000,000.
QUESTIONS?
DNP- aster-non accelerated online 673 673 0 0.0% DNP-(resident) 746 746 0 0.0% DNP- ) 954 954 0 0.0% . Note 5: Program rate for NKU MBA in partnership Indian Universities. Courses will be jointly taught by NKU and Indian partner faculty. . Plans NKU EKU MSU WKU UC Ultimate/ 100 Flex 2,150 2,340 2,305 2,200 2,405
