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University Forum on Budget Matters Wednesday, March 5, 2014
University Forum on Budget Matters
Wednesday, March 5, 2014
http://www.edtechmagazine.com/higher/article/2013/09/can-white-house-reduce-cost-college-using-big-data
The National Context
* Tuition has increased sharply in recent decades
Education spending has increased, but not significantly
http://www.deltacostproject.org/sites/default/files/products/Trends-in-College-Spending-98-08.pdf
16% 15%
More Important: Students are paying a higher share
The North Carolina Context
* UNC System Budget ~$2.5 billion
The North Carolina Context
* Cuts (~15%) have been
less severe than other states
The North Carolina Context
* Cuts have been offset
by tuition increases
http://www.educationvoters.org/reportcard/funding-accountability/public-effort-in-higher-education-funding/
Dollars spent on higher-
education funding per
$1,000 of personal
income, by state, 2011-12
* State education spending
still relatively high
The ECU Context
* Increasing Enrollments (and State Appropriations)
Permanent One-Time
2008/09 $ 3.6 million $ 40.0 million
2009/10 19.1 million 14.8 million
2010/11 15.2 million 10.0 million
2011/12 49.6 million .0 million
2012/13 .6 million .0 million
2013/14 10.4 million .0 million
Total $ 98.5 million $ 64.8 million
Until recently …
Budget Reductions
* We have continued to receive increases in state appropriations
($46 million since 2009), but less flexible money
* Net decrease in permanent flexible dollars ≈ $40-50 million
0
50
100
150
200
250
300
350
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
$m
illio
ns
Revenue From Selected Sources
Tuition and Fees
State Appropriations
Patient Services
Sales and Services
Grants and Contracts
Revenues
* State Appropriations and Tuition and Fees are not earmarked for a specific purpose
* Most other funds have strings attached
* Net decrease in permanent flexible dollars ≈ $40-50 million
(Housing & Dining,
Athletics, Bookstore)
* Over the past decade, tuition has increased as a share of revenue,
grants and contracts have decreased.
0
50
100
150
200
250
300
350
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
$m
illio
ns
Revenue From Selected Sources
Tuition and Fees
State Appropriations
Patient Services
Sales and Services
Grants and Contracts
17%
34%
21%
35%
11%
19%
12% 5%
10%
15%
0
100
200
300
400
500
600
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Expenses
Salaries and Benefits
Supplies and Materials
Services
Scholarships and Fellowships
Utilities
Other
Expenses
* ECU’s primary expense is employee salaries and benefits
Budget % % Salary
Academic Affairs $174m 47% 92%
Health Sciences $105m 28% 89%
Research and Graduate Studies $14m 4% 74%
Chancellor’s Division $12m 3% 85%
Administration and Finance $59m 16% 83%
University Advancement $4m 1% 81%
Student Affairs $5 1% 85%
ECU Total $374m 89%
* Especially within the permanent state budget
0
5
10
15
20
25
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
$ in
th
ou
san
ds
Expenses per Student
Salaries and Benefits
Supplies and Materials
Services
Scholarships and Fellowships
Utilities
Other
* Salary and benefits per student have increased 38% over the past decade
0
0.5
1
1.5
2
2.5
3
3.5
4
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Expenses per Student
Supplies and Materials
Services
Scholarships and Fellowships
Utilities
Other
* Other expenses have increased as well
20% increase
27%
37%
219%
125%
* Compared with our peer group:
- Instructional expenses on the high side
- ‘Other Education Expenses’ (student services, academic support) much lower
7%
32%
15% 8%
27%
5% 7%
1997
Exec/Admin
Faculty
Professional
Technical
Sec/Clerical
Skilled Crafts
Service/Maint
3%
34%
26%
7%
20%
3% 7%
2010
Exec/Admin
Faculty
Professional
Technical
Sec/Clerical
Skilled Crafts
Service/Maint
ECU’s Workforce (1997-2010)
* Faculty have consistently comprised
about one third
* Administrative positions and clerical
workers have decreased
* Professional and Technical positions
have increased
- in 1997, 71 Prof/Tech per 100 Faculty
- by 2010, 94 (in line with national trends)
0
500
1000
1500
2000
2500
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
ECU Faculty Composition
Non TT - Part Time
Non TT - Full Time
Tenure-Track
Tenured
* Faculty have grown with student numbers …
… and with increases in the number of programs.
- Since 1997, 30 more degrees offered (15 each undergrad and grad)
0
200
400
600
800
1000
1200
1400
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Tenure-Stream vs Contingent Faculty
Tenured and Tenure-Track
Non-Tenure-Track
71%
58%
29%
43%
* Non-Tenure-Track Faculty have become more important
* But much lower than national trends (~70% nationwide non T-T)
0
100
200
300
400
500
600
700
800
900
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
ECU Faculty Composition
Tenured
Tenure-Track
Non TT - Full Time
Non TT - Part Time
* Part-Time instructors have increased from 10% to 16% of all faculty since 1996
* Much lower than national trends (~50% nationwide part time)
10%
16%
The Current Institutional Context
* Campus planning for a 2-4% cut to state appropriations
* University Committee on Fiscal Sustainability
- Tasked with addressing long-term challenge
Budget themes:
● possible centralization of some business/operational services,
● possible consolidation of some academic units,
● possible reduction in the number of divisions,
● possible reduction in uses of paper, energy, and water,
● possible creation and implementation of workforce and workload policies, and
● possible reduction in the number of under-enrolled courses and programs
