FY 2014 In Context
Strategies for Securing Our Future
Open Forum
March 2013
Vision 2020
• Our Mission: To ensure student success and leverage
our region’s unique assets in the creation of knowledge
and application of research that benefits humankind.
• Our Vision: To set a new standard for public research
universities in adding economic value and enriching lives.
• Pathways to Success
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Academic and Inclusive Excellence
Globally Relevant and Distinctive Programs
Interdisciplinary Clusters of Entrepreneurial Innovation
Connectivity for Economic Vitality
Campus and Community Enhancement and Engagement
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Today’s Agenda
• 10-year history of revenues and expenses
• Current revenue and spending patterns are not
sustainable
– New Reality of State Funding
– Increasing Concerns about the Cost and Benefits of
Higher Education
– Demographics of the Traditional College Student
Population
• Review strategies going forward
– Seek input and ideas
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Preparing for FY 2014
• Our Budgetary Reality
• Strategies to Find New Efficiencies and
Diversify and Grow Revenues
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FY 2014 Budget Development Context
UA Faces an Ongoing Imbalance in the General Fund
• Our projected deficit results from a fundamental
imbalance in receipts and expenditures; not tied to shortterm or cyclical factors
• Reduction in State Support of roughly $14 million per
year with the loss of Federal Fiscal Stabilization funds
• Developed a biennial plan (FY’s 12 and 13) to balance by
tapping reserves, controlling spending and generating
enrollment growth
– Enrollment was flat in FY 12 and declined in FY 13
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FY 2013 Budget Balancing
• Budget approved at June 2012 Board meeting assumed
flat enrollment, identified $8 million in one-time
adjustments and $9 million unallocated reductions
necessary to balance
• Target reductions of $2.5 million for Academic Units,
$3.5 million for Academic Support Units
– Achieved 75% of $6 million goal - $4.6 million in
reductions
• Set goal of $3 million in attrition savings
– Increased goal by $1.4 million to $4.4 million to recover
the remainder of necessary reductions
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FY 2014 Budget Options
• Enrollment Initiatives
– Each 1% of enrollment growth will generate $2 to
$2.5 million
• Effectiveness Initiatives Projects
– 13 Teams reviewing specific initiatives for opportunities
to increase revenue and generate savings
• Incubator Initiative Group
– Project team developing a framework for identifying
opportunities to pursue new markets and generate
additional revenue
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Enrollment Initiatives
Universal Accountability for Student Attraction,
Success, Completion and Placement
• Enrollment Growth
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“New Traditional” Student Focus
International Student Focus
Expansion of Numbers at Branches/Centers
Connection with Northeast Ohio Business Community
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Tuition Reimbursement Students
Workforce Development
Certificate Programs
Continuing Education
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Enrollment Initiatives
Universal Accountability for Student Attraction,
Success, Completion and Placement
• Improved Retention
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Pre-major Plan
Intensive Advising
Peer Mentoring
Tutoring
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Effectiveness Initiatives
• Operational Systems Review
• Talent Recruiting, Development, Retention and
Management
• Academic Program Review
• Allocation and Administration of Scholarships
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Operations Systems Review
• Evaluate spending growth over 5 – 10 years
and analyze what is driving growth
• Provide staffing and cost analysis based on peer
sources, benchmark data and organization
charts
• Combine services across departments and
colleges to reduce redundancies and eliminate
unsustainable initiatives
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Talent Recruiting, Development, Retention
and Management
• Enhance performance planning, assessment, and
management to support staffing decisions
• Offer alternative employment options to respond to
employees’ stages of life and stages of career,
including work-life and retirement issues
• Staff for cyclical variations in demand, using
alternate work schedules and 9 or 10 month
contracts
• Evaluate cost and competitiveness of employee
benefits
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Academic Efficiencies
• Ensure fulfillment of faculty teaching load and
research expectations
• Improve space scheduling to optimize utilization
of existing infrastructure
• Expand on-line course delivery and
evening/weekend offerings
• Re-allocate resources away from programs of
low demand/productivity and into those
deemed as strategic for investment via
academic program review
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Allocation, Administration of Scholarships
• Review recommendations recently provided by
Scannell and Kurz
• Evaluate the return on UA’s investment in
institutional scholarships and develop plan to
maximize yield
– Creative use of all scholarship resources
• Evaluate how UA compares to other Ohio, as
well as out-of-state and on-line, universities in
scholarship investment
• Develop Partnership Scholarships with business
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Staying true to Vision 2020…
A market-driven construct is being developed that uses
industry standards to vet the viability and sustainability of all
new ventures
• This construct is for new products that will generate
margins, so we can keep strategic/critical programs even if
they are not self-sustaining
• We want to make sure that we do not move forward with
creating new programs that are not self-sustaining
• The entire University community will be engaged in this
exercise  creating ideas for new products
• We recognize that some existing products are strategic
and/or critical, and may not be self-sustaining
• With time this construct may percolate down to existing
product reviews, but that is not today…
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In Conclusion…
• Current revenue and spending patterns are not
sustainable
• We all are part of the solution
• UA Needs to be an Attractive Option
– Effective and Efficient
– A Good Value for the Student
• UA Needs to be Entrepreneurial
– Increased Revenue per FTE
– Diversify our Revenue Sources
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Questions?
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