UNIVERSITY OF WEST FLORIDA BUDGET CUTS 2009/10 Sara M. Surber
UNIVERSITY OF WEST FLORIDA BUDGET CUTS 2009/10
Sara M. Surber
State of Florida in Economic Turmoil
Unemployment increased by 137% in past 2 years
Residential growth plateaued over last 3 years
State revenue from retail sales down
Factors Contributing to Budget Cuts
Area: Florida Area Type: Statewide State/Region/Division: Florida
Source: Bureau of Labor Statistics, Databases
Factors Contributing to Budget Cuts
Year Period Unemployment Rate Year Period Unemployment Rate
2008 Jan 456,883 5.0 2009 Jan 813,604 8.8
2008 Feb 476,021 5.2 2009 Feb 885,991 9.6
2008 Mar 494,480 5.4 2009 Mar 900,910 9.8
2008 Apr 513,568 5.6 2009 Apr 893,746 9.7
2008 May 534,107 5.8 2009 May 953,627 10.3
2008 Jun 555,013 6.0 2009 Jun 980,130 10.7
2008 Jul 581,658 6.3 2009 Jul 999,011 10.8
2008 Aug 601,194 6.5 2009 Aug 994,125 10.8
2008 Sep 617,921 6.7 2009 Sep 1,017,835 11.1
2008 Oct 644,606 6.9 2009 Oct 1,035,092 11.3
2008 Nov 674,892 7.2 2009 Nov 1,063,615 11.5
2008 Dec 708,927 7.6 2009 Dec 1,087,143 11.8
Source: US Census Bureau, United States Dept. of Labor
Factors Contributing to Budget Cuts
Jul-01-00
Jul-01-01
Jul-01-02
Jul-01-03
Jul-01-04
Jul-01-05
Jul-01-06
Jul-01-07
Jul-01-08
Jul-01-09
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Florida: No-Growth State
Est. 2006Est. 2009
Source: US Census Bureau, Population Estimates Program
Tot
al P
opul
atio
n
Factors Contributing to Budget Cuts
Revenue sources from taxable retail sales have continued to decline.
Sales have decreased by $7 billion from July 2006 to July 2009.
Economists estimate sales will decrease by another $1.2 billion by July 2010.
Source: Florida Taxable Retail Sales, 1/90-7/09, SA
University Budget Adjustments
UWF received a 9 percent reduction from state legislature.
Administration made cuts strategically; not across the board.
University received $4.5 million in non-recurring federal stimulus money.
Utilizing stimulus money and making strategic cuts enabled UWF to plug the budget from 9 percent to 7 percent.
Source: PresSpeech-090930-State_of_the_University_Address
University Budget Adjustments
NACUBO Classification Reduction
Direct Instruction 5.75 %
Academic Support 6.5 %
Student Support 6.75 %
Public Service 8 %
Research 8 %
PO&M 10 %
Institutional Support 10.07 %
Source: PresSpeech-090930-State_of_the_University_Address
University Budget Adjustments
57%
32%
5% 6%
Sales
General RevenueStudent Fee TrustFederal Stimulus FundsEducational En-hancement(Lottery)
Source: PresSpeech-090930-State_of_the_University_Address
University Budget Adjustments
Ramifications of reductions : 26 staff members were laid off Undergraduate tuition raised by 15 percent 40 faculty members(instructors) quit More adjuncts were hired for direct instruction University launched visibility campaigns to grow
and retain student body
Visibility CampaignsCreating Great Futures
• Campaign launched September 25, 2007• Raised $37 million and counting to support
scholarships, facilities, and programsSource: newsletter_spring2009
Visibility Campaigns
Athletic Awareness Student Recruitment: Aug.-Nov. 2009
-Launch: Sept. 21, 2009 Spring Recruitment Campaign: Jan.-Apr. 2010
-Launch : Jan. 20, 2010 Summer Online Campaign: Feb.-Jun. 2010
-Launch: Mar. 8, 2010 Fall Recruitment Campaign: July-Oct. 2010
-Launch: Sept. 15, 2010
Future Trends
In 70s students covered one-third the cost of running the university through tuition and fees.
In 80s state supplemented funding to higher education with the lottery.
Currently students are providing only one-fourth of costs through tuition and fees while the lottery fails to generate enough funds.
State is moving toward raising tuition to cover one-half of university expenses.
Source: Thomas, B.PNJ, 2009
Future Trends
FY 2008 FY 2009 FY 20100%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Federal StimulusStudent Fee Trust FundEducational En-hancement(Lottery)General Revenue
State Support Tuition Increase
Source: PresSpeech-090930-State_of_the_University Address
OVERVIEW
Economic
Factors
•Unemployment•No-Growth•Declining Revenue SourcesBudget
Adjustments
• Discounted Student Services
• Tuition increase• Visibility
CampaignsRelevance
•Enrollment Growth•State supported to Assisted•Further Tuition Increases