Two budget update presentations were given in mid-October which reviewed the university budget’s current status and outlook, as well as various factors that impact it. A powerpoint that was presented will shortly be available on Bill Manshiem’s blog.
“Things are good, because they are not as bad as they were. We have turned a corner,” said Vice President for Finance & Governmental Affairs Bill Manshiem. He noted the budget reserves have begun to build again; about half of the reserves were expended over the last four years in order to mitigate tuition increases.
While the current budget is short 1 percent ($250,000) in tuition revenue and 4 percent ($200,000) in housing revenue, Extended Studies revenue is up 24 percent ($287,000). Instructional expense are under budget by $89,000. There have also been other savings across campus, resulting in an increase in unrestricted reserves of $227,000.
Director of Human Resources Tracy Rogers reviewed compensation and benefits, including the differences between packages for classified and faculty/exempt staff. She noted the university has absorbed the majority of recent health insurance premium increases, since faculty and exempt staff received only one COLA increase since 2008.
COLA increase for faculty and exempt staff
Manshiem said a determination on a 2 percent cost-of-living salary increase for faculty and exempt staff should be made by Thanksgiving. The increase has been tentatively budgeted to go into effect in January. Manshiem said he is optimistic, but mitigating factors include the Governor’s budget and the new funding model being developed by the CCHE (Colorado Commission on Higher Education.)
Budget requests due Nov. 17
For the first time in several years, the ASU Executive Council will consider budget requests. Those must be submitted to the appropriate Executive Council representative:
- Academics: Dr. Frank Novotny
- Enrollment Management: Dr. Michael Mumper
- Business & Finance: Bill Manshiem
- Student Affairs: Ken Marquez
- Athletics: Larry Mortensen
Executive Council’s prioritized requests are due in the Budget Office by November 17.
Heather Heersink, Asst. VP for Budget & Technology, reminds the campus that while the university’s financial situation has improved, reserves are still low, and the base budget needs to remain balanced. Questions may be directed to Heather Heersink.
At its July retreat, the Board of Trustees formed a Compensation Committee and charged it with making recommendations in conjunction with submission of next year’s proposed budget in the spring. The group intends to finalize those recommendations by mid-January.
President Svaldi explained the group’s main focus will be on faculty salaries, because those are the most off track. Their agenda also includes:
- Review/update peer institutions for salary comparison
- Review compensation analysis and practices for faculty, exempt staff, and classified staff
- Research inversion/compression, equity issues
- Review faculty promotional salary increase policies
- Recommend policy revisions
- Develop recommendations for budget consideration
The committee includes:
- Trustee Tim Walters
- President David Svaldi
- Bill Mansheim, VP Finance & Governmental Relations
- Heather Heersink, Asst. VP for Budget & Technology
- Tracy Rogers, Dir. Human Resources
- Dr. Christy Miller, President, Faculty Senate