Friday, July 10, 2009 Finance and
Physical Plant
On Agenda Item As Section 6, Part C, #5
Consideration of Proposed Operating
Budget for the
University for the Fiscal Year Beginning July 1, 2009
Will the Committee on
Finance and Physical Plant recommend to the Board of Trustees
adoption of the following resolution:
Whereas, the Commonwealth of Pennsylvania has not
approved its budget and related appropriation to The
Pennsylvania State University as of July 1, 2009; and
Whereas, The Pennsylvania State University
administration, knowing of the depth of the current fiscal
crisis in the state and beyond, determined months ago to forgo
salary increases at the University this year and has reduced the
academic and administrative budgets; and
Whereas, The Pennsylvania State University is committed
to provide exceptional educational experiences and positive
workplace environments for all,
THEREFORE, BE IT RESOLVED, That in the event that the
Commonwealth of Pennsylvania's budget is finalized by July 17,
2009 at the level proposed in the Governor's Budget
Recommendation of March 3, 2009, the proposed Operating Budget
for the University for the fiscal year beginning July 1, 2009,
as shown in Scenario 1 and Schedules I-V which are attached
hereto and made part hereof, is approved.
FURTHER RESOLVED, in the event that the Commonwealth of
Pennsylvania's budget is not finalized by July 17, 2009, or is
finalized at the level proposed in the Governor's Proposal of
June 26, 2009, the Officers of the University are authorized to
effect the Operating Budget for the University for the fiscal
year beginning July 1, 2009, as shown in Scenario 2 and
Schedules I-V which are attached hereto and made part hereof.
FURTHER RESOLVED, in the event that the Commonwealth of
Pennsylvania's budget is finalized at an adjusted level between
the Governor's Proposals of March 3, 2009 and June 26, 2009, the
Officers of the University are authorized to effect the
Operating Budget for the University for the fiscal year
beginning July 1, 2009, as shown in Scenario 2 and Schedules I-V
which are attached hereto and made part hereof, and a revised
operating budget will be prepared and reviewed with the Board of
Trustees at the earliest opportunity to effect appropriate
changes for the Spring Semester 2010.
SCENARIO 1
THE PENNSYLVANIA STATE UNIVERSITY
2009-10 PROPOSED OPERATING BUDGET
SCHEDULE I
SUMMARY SCHEDULE FOR TOTAL UNIVERSITY
(1)
(2)
(3)
Adjusted
Budget
2009-10
2008-09
Changes
Budget
General Funds:
Educational & General (a)
$
1,478,592,000
$
54,273,000
$
1,532,865,000
Agricultural Research
27,955,000
0
27,955,000
Cooperative Extension
31,781,000
0
31,781,000
Sub-Total
1,538,328,000
54,273,000
1,592,601,000
College of Medicine
89,230,000
4,714,000
93,944,000
Pennsylvania College of Technology
94,114,000
(2,128,000)
91,986,000
Total - General Funds
1,721,672,000
56,859,000
1,778,531,000
Federal Funds - Agriculture
19,995,000
0
19,995,000
Restricted Funds (b):
Educational & General (a)
468,500,000
23,424,000
491,924,000
Agricultural Research
28,820,000
1,441,000
30,261,000
Cooperative Extension
15,340,000
767,000
16,107,000
College of Medicine
76,000,000
0
76,000,000
Pennsylvania College of Technology
22,423,000
567,000
22,990,000
Total - Restricted Funds
611,083,000
26,199,000
637,282,000
Auxiliary Enterprises (c):
Educational & General (a)
296,792,000
13,456,000
(d)
310,248,000
College of Medicine
3,899,000
164,000
4,063,000
Pennsylvania College of Technology
22,503,000
1,275,000
23,778,000
Total - Auxiliary Enterprises
323,194,000
14,895,000
338,089,000
TOTAL
$
2,675,944,000
$
97,953,000
$
2,773,897,000
The Milton S. Hershey Medical Center
939,265,000
52,958,000
992,223,000
(e)
TOTAL UNIVERSITY
$
3,615,209,000
$
150,911,000
$
3,766,120,000
Note: Footnotes follow Schedule V.
SCENARIO 1
THE
PENNSYLVANIA STATE UNIVERSITY
2009-10 PROPOSED GENERAL FUNDS BUDGET
SCHEDULE II
SUMMARY OF PROPOSED EXPENDITURES
(1)
(2)
(3)
Adjusted
Budget
2009-10
2008-09
Changes
Budget
GENERAL FUNDS:
EDUCATIONAL & GENERAL (f):
Instruction and Research
$
591,824,000
$
5,197,000
$
597,021,000
Other Public Service
44,121,000
184,000
44,305,000
Academic Support
295,439,000
1,219,000
296,658,000
Institutional Support
240,787,000
1,375,000
242,162,000
Student Services
98,539,000
567,000
99,106,000
Student Aid
39,890,000
6,175,000
46,065,000
Physical Plant Operations
157,956,000
15,353,000
173,309,000
University Contingencies
10,036,000
14,663,000
(g)
24,699,000
Cost Savings/Internal Reductions
0
(17,817,000)
(17,817,000)
Salary Increases & Related Benefits (h)
0
2,919,000
2,919,000
Benefits Cost Increases
0
24,438,000
24,438,000
Total Educational & General (i)
1,478,592,000
54,273,000
1,532,865,000
AGRICULTURAL RESEARCH (j):
Salary Adjustments & Benefits Costs
0
616,000
616,000
Program Changes
27,955,000
(616,000)
27,339,000
Total Agricultural Research (k)
27,955,000
0
27,955,000
COOPERATIVE EXTENSION (j):
Salary Adjustments & Benefits Costs
0
729,000
729,000
Program Changes
31,781,000
(729,000)
31,052,000
Total Cooperative Extension (k)
31,781,000
0
31,781,000
Sub-Total
1,538,328,000
54,273,000
1,592,601,000
COLLEGE OF MEDICINE
89,230,000
4,714,000
93,944,000
PA COLLEGE OF TECHNOLOGY (l)
94,114,000
(2,128,000)
91,986,000
TOTAL GENERAL FUNDS
$
1,721,672,000
$
56,859,000
$
1,778,531,000
Note: Footnotes follow Schedule V.
SCENARIO 1
THE
PENNSYLVANIA STATE UNIVERSITY
2009-10 PROPOSED GENERAL FUNDS BUDGET
SCHEDULE III
SUMMARY OF ANTICIPATED INCOME
(1)
(2)
(3)
Adjusted
Budget
2009-10
2008-09
Changes
Budget
GENERAL FUNDS:
EDUCATIONAL & GENERAL (m):
State Approp. & Federal Stimulus Funding:
Educational & General
$
267,451,000
$
0
(o) $
267,451,000
Recruitment & Retention of
Disadvantaged Students
454,000
0
(o)
454,000
Transfers
(4,032,000)
0
(4,032,000)
(q)
Sub-Total - State App. & Fed. Stimulus Funding
263,873,000
0
263,873,000
Tuition and Fees
1,110,795,000
52,809,000
(p)
1,163,604,000
Facilities & Administration and
Investment Income
66,515,000
3,500,000
70,015,000
Sales and Services Income
28,810,000
0
28,810,000
Other Income
18,599,000
(36,000)
18,563,000
Other Transfers
(10,000,000)
(2,000,000)
(12,000,000)
Total Educational & General
1,478,592,000
54,273,000
1,532,865,000
AGRICULTURAL RESEARCH:
State Approp. & Federal Stimulus Funding:
Agricultural Research
25,594,000
0
(o)
25,594,000
Transfers
1,184,000
0
1,184,000
(r)
Sub-Total - State App. & Fed. Stimulus Funding
26,778,000
0
26,778,000
Sales and Services Income
1,177,000
0
1,177,000
Total Agricultural Research
27,955,000
0
27,955,000
COOPERATIVE EXTENSION:
State Approp. & Federal Stimulus Funding:
Cooperative Extension
30,384,000
0
(o)
30,384,000
Transfers
1,397,000
0
1,397,000
(s)
Sub-Total - State App. & Fed. Stimulus Funding
31,781,000
0
31,781,000
Sales and Services Income
0
0
0
Total Cooperative Extension
31,781,000
0
31,781,000
Sub-Total
1,538,328,000
54,273,000
1,592,601,000
COLLEGE OF MEDICINE
89,230,000
4,714,000
93,944,000
PA COLLEGE OF TECHNOLOGY (n):
State Approp. & Federal Stimulus Funding:
PA College of Technology
14,492,000
0
(o)
14,492,000
Transfers
396,000
0
396,000
(t)
Sub-Total - State App. & Fed. Stimulus Funding
14,888,000
0
14,888,000
Tuition and Fees
75,076,000
1,522,000
76,598,000
Other Income
4,150,000
(3,650,000)
500,000
Total PA College of Technology
94,114,000
(2,128,000)
91,986,000
TOTAL GENERAL FUNDS
$
1,721,672,000
$
56,859,000
$
1,778,531,000
Note:
Footnotes follow Schedule V.
SCENARIO 1
THE
PENNSYLVANIA STATE UNIVERSITY
2009-10 PROPOSED GENERAL FUNDS BUDGET
SCHEDULE IV
SUMMARY OF PROPOSED EXPENDITURES
THE COLLEGE OF MEDICINE AT THE MILTON S. HERSHEY MEDICAL CENTER
