Budget Office News

State Budget

The budget office has recently completed its FY14 state budget request. The request is based on a funding formula that takes a bottom up approach in determining the total cost of the core business funded by state and unrestricted revenues. The funding formula was developed in the 1990’s when the University was coming together as a five campus system. This yearly submission is a requirement mandated by the state. The funding formula takes into consideration 10 key components prevalent to higher education activities (ex. instruction, research, operation of plant & maintenance, academic support, financial aid, & public service, etc.).  Using a combination of actual expenses and 3 year averages, the funding formula looks at costs associated with the core business of the University. Student/faculty ratios are the key drivers of the funding formula and are used in the calculation of instructional lines. Once the 10 key components have been calculated, they are added together to determine the campus' total need.  The amount of non-state revenues is then subtracted from the total need to determine the net state support needed from this amount, current state support is subtracted leaving the amount of additional funding needed or "the Gap." The funding formula, once complete, is submitted to the President's office, where it is then combined with the other campuses and submitted to the state as a system wide request.