Academic Affairs Budget Workshop for Academic Deans, Department Heads, and Directors

1. Academic Affairs Budget Workshopfor Academic Deans, Department Heads, and Directors Overview of the WKU FY 2009-10 Budget October 2009 Presented by Mike Dale & Ladonna Hunton Office of the Provost & VPAA Western Kentucky University Source Information: WKU Budget 2009-10

2. University Budgets • University budgets contain two key ingredients: • Revenues • Expenditures • Let’s discuss revenues and then expenditures.

3. Revenue Funds Glossary • Tuition & Fees:Includes fall, spring, summer, and winter tuition revenues, DELO distance learning and contract revenues, restricted tuition accounts, mandatory student fees, and other fees. • State Appropriations:For FY 10, includes regular state operating appropriations, budget reduction reserve, and debt service. • Restricted Grants & Contracts:Includes instructional, research, and public service funds received from federal, state, local, and private sources.

4. Revenue Funds Glossary (cont) • Restricted Student Financial Assistance:Includes financial assistance grants such as Pell Grants, KEES, and College Access Programs. • Net Asset Allocation:FY 09 carry forward funds budgeted in FY 10. These represent one-time funds. • Other Revenue Funds:Includes a wide variety of other fund sources such as indirect cost recovery funds, sales and services of educational activities, ticket sales, conferences and workshops, parking permits, etc. • Auxiliary Enterprises:Food and vending contracts, University Centers, commissions, housing, and bookstore revenues.

5. FY 10 Total Budgeted Revenue by Source • Public Funds (Tuition & Fees and State Appropriations) account for about 65 percent of WKU’s total budget revenues:

6. FY 10 Total Budgeted Revenue by Source

7. FY 2009-10 WKU Tuition & Fees • Fall and spring registration fee tuition represent about 80 percent of WKU’s total estimated tuition and fees for FY 2009-10:

8. FY 2009-10 WKU Tuition & Fees

9. FY 2009-10 WKU State Appropriations • The Commonwealth of Kentucky has appropriated over $83 million to support WKU in FY 10. State Appropriations usually include operating funds and debt service funds. For FY 2009-10, WKU has set aside about $4 million of the operating funds as a state budget reduction reserve:

10. FY 2009-10 WKU State Appropriations

11. WKU Budget • The FY 2009-10 WKU Operating Budget contains three types of budgeted funds: • Unrestricted E & G Funds • Restricted E & G Funds • Auxiliary Enterprises

12. Operating Budget Glossary • Unrestricted E & G: Most of the regular departmental and office budget indexes represent Unrestricted E & G budget funds. • Restricted E & G:These represent grant funds, including instruction, research, and public service grants as well as student financial assistance grants such as Pell Grants, KEES, and College Access Programs. • Auxiliary Enterprises:Campus service units that generate funds to sustain and grow operations such as housing and bookstore operations.

13. WKU Operating Budget Summary • The University’s total budget is made up of Unrestricted and Restricted Educational & General (E & G) funds along with Auxiliary Enterprisesfunds. About ¾ of the total University budget represents Unrestricted E & G funds:

14. WKU Operating Budget Summary • The University’s total budget is made up of Unrestricted and Restricted Educational & General (E & G) funds along with Auxiliary Enterprisesfunds:

15. Unrestricted E & G Expendituresby Major Classification About 57 percent of Unrestricted E & G expenditures represent personnel (salaries and benefits) expenses.

16. FY 10 Budgeted Expenditures (In Millions)

17. WKU FY 10 Unrestricted E & G Budget

18. WKU FY 10 Unrestricted E & G Budget