UNIVERSITY OF VIRGINIA
BOARD OF VISITORS
MEETING OF THE
FINANCE COMMITTEE
FEBRUARY 25, 2011
FINANCE COMMITTEE
Friday, February 25, 2011
9:15 – 10:35 a.m.
Board Room, The Rotunda
Committee Members:
Helen E. Dragas, Chair
A. Macdonald Caputo
Hunter E. Craig
The Hon. Alan A. Diamonstein
Marvin W. Gilliam Jr.
Sheila C. Johnson
Mark J. Kington
Randal J. Kirk
Vincent J. Mastracco Jr.
John O. Wynne, Ex-officio
Daniel M. Meyers, Consulting Member
AGENDA
PAGE
I.
II.
CONSENT AGENDA (Mr. Sandridge)
School of Medicine Quasi-Endowment Investments
ACTION ITEMS (Mr. Sandridge)
A.
Enrollment Projections through 2018-2019
B.
2011-2012 Tuition and Fees for Special Programs
1.
Darden Executive Master of Business
Administration Program
2.
Darden Global Executive Master of Business
Administration Program
3.
McIntire Executive Programs
4.
School of Engineering and Applied Sciences
Systems Engineering Accelerated Program
5.
School of Continuing and Professional Studies
Post-Baccalaureate Pre-Medicine Program
6.
McIntire School of Commerce Undergraduate
Tuition Differential
C.
Additions to the 2010-2011 Annual Renovation and
Infrastructure Plan (Mr. Sandridge to introduce Ms.
Colette Sheehy; Ms. Sheehy to report)
1.
Aquatics and Fitness Center HVAC Upgrade
2.
Renovation of the Camp Library at the Darden
School
3.
Medical Center Bone Marrow Inpatient Bed
4.
Medical Center Pain Center Expansion
1
2
6
9
PAGE
III. REPORTS BY THE EXECUTIVE VICE PRESIDENT AND CHIEF
OPERATING OFFICER (Mr. Sandridge)
A.
Governor’s Budget, Budget Amendments Transmitted
to the General Assembly, and 2011-2012 Academic
Division Budget Planning and Preliminary
Assumptions (Mr. Sandridge and Ms. Sheehy to
report)
B.
Endowment Report – Market Value and Performance as
of December 31, 2010 (Mr. Sandridge to introduce
Mr. Larry Kochard; Mr. Kochard to report)
C.
Vice President’s Remarks
D.
Enterprise Risk Management Status Report
E.
Miscellaneous Financial Reports
1.
Academic Division Accounts and Loans
Receivable
2.
Medical Center Financial Report
3.
Internal Loans to University Departments
and Activities
4.
Capital Campaign
5.
Endowment/Long-Term Investments for University
of Virginia and Related Foundations
6.
Quasi-Endowment Actions
7.
Quarterly Budget
8.
Sponsored Programs Restricted Grants and
Contracts
IV.
APPENDIX
A.
Summary of Governor’s Budget Bill
B.
2010-2012 Proposed Amendments
V.
EXECUTIVE SESSION
Discussion of proprietary business-related information
pertaining to operations of the Medical Center
including a potential strategic joint venture or other
competitive effort which impacts the long-range
strategic goals of the Medical Center and Health
System Decade Plan and where disclosure at this time
would adversely affect the competitive position of the
Medical Center, as provided for in Sections 2.2-3711
(A) (6) and (22) of the Code of Virginia.
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16
26
27
29
31
33
34
35
36
37
40
UNIVERSITY OF VIRGINIA
BOARD OF VISITORS CONSENT AGENDA
SCHOOL OF MEDICINE QUASI-ENDOWMENT INVESTMENTS: Approves
investments in two School of Medicine quasi-endowments.
In June 1996, the Board of Visitors authorized the
Executive Vice President and Chief Operating Officer to approve
individual quasi-endowment transactions, including
establishments and divestments, that are less than $2 million.
Individual quasi-endowment transactions of $2 million or more
require the approval of the Board of Visitors.
The School of Medicine received $20,998,759 in support of
its academic mission from the UVa Medical Center. The School of
Medicine wishes to transfer $18,000,000 of this contribution
into its Fund for the Future Quasi-Endowment. The remaining
portion of the gift will be held back to fund current
commitments.
The School of Medicine is the sole beneficiary of a bequest
valued at approximately $4 million. The School recently
received an advance of $2 million from this bequest and wishes
to add this amount to its School of Medicine Quasi-Endowment.
ACTION REQUIRED: Approval by the Finance Committee and by the
Board of Visitors
APPROVAL OF INVESTMENTS TO THE SCHOOL OF MEDICINE’S FUND FOR THE
FUTURE AND SCHOOL OF MEDICINE QUASI-ENDOWMENT
WHEREAS, the School of Medicine received $20,998,759 from
the UVa Medical Center to support its academic mission and
wishes to take $18 million of this money to invest in its Fund
for the Future Quasi-Endowment account; and
WHEREAS, the School
bequest of approximately
been advanced, and seeks
Medicine Quasi-Endowment
of Medicine is the beneficiary of a
$4 million, of which $2 million has
to invest this advance in its School of
account;
RESOLVED, the Board of Visitors authorizes the investment
by the School of Medicine of $18 million and $2 million into its
Fund for the Future and School of Medicine Quasi-Endowment
accounts, respectively.
1
UNIVERSITY OF VIRGINIA
BOARD OF VISITORS AGENDA ITEM SUMMARY
BOARD MEETING:
February 25, 2011
COMMITTEE:
Finance
AGENDA ITEM:
II.A.
2019
Enrollment Projections through 2018-
BACKGROUND: The enrollment projections have been amended
periodically by the Board of Visitors to accommodate enrollment
changes and to assist the State Council of Higher Education in
Virginia (SCHEV) in overall enrollment planning for the state.
The proposed enrollment projections are brought to the Board in
the spring of odd-numbered years, to coincide with SCHEV
submissions.
In 1990, the Board of Visitors approved a phased enrollment
growth plan for the next 15 years, culminating in projected onGrounds enrollment in 2004-2005 of 20,170: 12,685 undergraduate
students, 5,185 graduate students, 1,700 first-professional
students (law and medicine) and 600 on-Grounds continuing
education students. In 2005, the Board of Visitors extended the
enrollment projections to 2009-2010. During the study and
planning for the restructuring legislation, when asked by SCHEV
to predict maximum enrollment growth, the University determined
it could accommodate 1,500 new students – 1,100 undergraduates
and 400 graduate students – over the next ten years (to 2014).
This projection was reaffirmed by the Board of Visitors in both
2007 and 2009.
DISCUSSION: The proposed 2018-2019 enrollment projections
increase undergraduate enrollment from today’s 14,015 students
to 15,688 students in 2018-2019, an increase of 1,673 students - 1,400 attributable to new growth and 273 from the former
plan. Graduate enrollment is projected to increase from 4,831
to 4,930 in the same period, an increase of approximately 100
students. Combined with 66 more first professional students and
39 fewer Continuing and Professional Studies students, the
proposal results in a total on-Grounds enrollment of 22,848 in
2018-2019.
At the end of five years (by 2015-2016), the University
will have achieved a first-year enrollment level that will
sustain our commitment to provide 1,400 new spaces for
2
undergraduates (and allow for an appropriate level of
attrition). This growth creates 980 spaces for undergraduate
Virginians provided we keep our current Virginian/non-Virginian
ratio of 70 percent/30 percent, representing a 10 percent
increase in Virginians from 2010 enrollment numbers. In
addition, the University is currently operating under enrollment
projections for 2010-11 to 2014-15 that add 191 in-state
undergraduate students. The current planned growth plus new
growth will add 1,171 total in-state undergraduate spaces,
representing a 12 percent increase in in-state undergraduate
students.
In April, the University will submit for SCHEV’s
consideration the proposed enrollment projections through 20182019. The Executive Vice President and Chief Operating Officer
and the Executive Vice President and Provost will meet with
SCHEV leadership this spring to review the University’s
submission and convey the Board’s position on these enrollment
projections.
ACTION REQUIRED: Approval by the Finance Committee and the
Board of Visitors
APPROVAL OF REVISED ENROLLMENT PROJECTIONS – THROUGH 2018-2019
WHEREAS, the University’s existing enrollment plan,
approved by the Board of Visitors in April 2009, must be revised
to reflect projected increases in the undergraduate and graduate
enrollment levels; and
WHEREAS, the Board of Visitors previously discussed and
approved enrollment growth of 1,100 undergraduate students and
400 graduate students over a decade, from 2004-2014; and
WHEREAS, the Board of Visitors supports the recommendations
of the Governor’s Commission on Higher Education Reform,
Innovation and Investment, one of which is to confer an
additional 100,000 undergraduate degrees on Virginians over the
next 15 years in order to make the Commonwealth one of the most
highly educated states in the nation; and
WHEREAS, the University is committed to serving the higher
education needs of the Commonwealth of Virginia and the nation;
and
3
WHEREAS, the revised enrollment projections for 2011-2012
through 2018-2019 are to be submitted to the State Council of
Higher Education in Virginia by April 1, 2011;
RESOLVED, the Executive Vice President and Chief Operating
Officer is authorized to develop plans with the State Council of
Higher Education in Virginia which will allow the University to
increase enrollment by 1,500, to be comprised of 1,400
undergraduate students and 100 graduate students; and
RESOLVED FURTHER, enrollment growth will occur only with
appropriate state support as set forth in The Higher Education
Opportunity Act of 2011; and
RESOLVED FURTHER, that all undergraduate student growth
maintains the current 70 percent in-state/30 percent out-ofstate ratio.
4
University of Virginia
Proposed Fall Census Headcount Enrollment Projections
1992
Actual
Total Undergraduate
1st-Year
New Transfers (full-time)
1993
Actual
1994
Actual
1995
Actual
1996
Actual
1997
Actual
1998
Actual
1999
Actual
2000
Actual
2001
Actual
2002
Actual
2003
Actual
2004
Actual
2005
Actual
11,371
2,802
469
11,392
2,675
454
11,502
2,761
479
11,949
2,876
577
12,040
2,827
558
12,296
2,908
535
12,440
2,907
577
12,463
2,924
540
12,489
2,927
494
12,595
2,980
541
12,748
2,999
508
12,907
3,101
493
13,140
3,096
529
13,401
3,112
532
Graduate
4,565
4,633
4,505
4,403
4,220
4,155
4,110
3,998
4,160
4,301
4,459
4,616
4,632
4,699
1st-Professional
1,668
1,683
1,697
1,703
1,699
1,680
1,652
1,645
1,607
1,608
1,608
1,631
1,650
1,694
412
365
307
343
320
286
261
240
294
344
382
489
596
605
18,016
18,073
18,011
18,398
18,279
18,417
18,463
18,346
18,550
18,848
19,197
19,643
20,018
20,399
3,519
3,321
3,410
3,330
3,209
3,525
3,636
4,087
3,861
3,891
3,947
3,434
3,323
3,366
2011
Projected
2012
Projected
2013
Projected
2014
Projected
2015
Projected
2016
Projected
2017
Projected
2018
Projected
Cont & Prof Studies (CPS)
On Grounds Total
Off-Grounds
5
2006
Actual
Total Undergraduate
1st-Year
New Transfers (full-time)
2007
Actual
2008
Actual
2009
Actual
2010
Actual
13,353
3,091
503
13,636
3,248
552
13,762
3,256
534
13,928
3,246
566
14,015
3,243
573
14,157
3,360
546
14,245
3,360
552
14,455
3,465
558
14,785
3,570
564
15,100
3,675
570
15,395
3,675
570
15,590
3,675
570
15,688
3,675
570
Graduate
4,791
4,830
4,904
4,835
4,831
4,830
4,845
4,860
4,875
4,890
4,905
4,920
4,930
1st-Professional
1,699
1,724
1,725
1,695
1,694
1,706
1,724
1,742
1,754
1,760
1,760
1,760
1,760
554
644
666
437
509
400
410
420
430
440
450
460
470
20,397
20,834
21,057
20,895
21,049
21,093
21,224
21,477
21,844
22,190
22,510
22,730
22,848
3,671
3,423
3,484
3,460
3,342
3,450
3,475
3,500
3,525
3,550
3,525
3,550
3,575
Cont & Prof Studies (CPS)
On Grounds Total
Off-Grounds
Institutional Assessment and Studies
February 21, 2011
REVISED PAGE
Notes: The 1st-Year and New Transfer counts are also included in the Undergraduate totals.
Beginning in 2011, BIS students in Tidewater, Richmond, and Northern Virginia are included in Off-Grounds.
No CPS students are included in the Undergraduate or Graduate totals.
CPS enrollments include Post-Baccalaureate-Pre-M ed students.
Off-Grounds enrollments include Semester at Sea students and FBI Academy students..
UNIVERSITY OF VIRGINIA
BOARD OF VISITORS AGENDA ITEM SUMMARY
BOARD MEETING:
February 25, 2011
COMMITTEE:
Finance
AGENDA ITEM:
II.B. 2011-2012 Tuition and Fees for
Special Programs
BACKGROUND: The University currently has four programs whose
academic year begins in May or June rather than in August. The
University will be introducing a fifth such program in 20112012. For that reason, the Finance Committee considers their
tuition proposals each year at this meeting. Additionally, the
University proposes a differential tuition rate for third-year
undergraduate students enrolled in the McIntire School of
Commerce.
DISCUSSION: After analyzing competitive trends among peer
programs, market intelligence on price as a driver of applicant
behavior, and instructional delivery costs, the University
recommends that tuition and fees for the Darden School’s MBA for
Executives program increase by 3.5 percent for both Virginians
and non-Virginians to $119,500 for the 22-month program.
The Darden School is launching a new Global MBA for
Executives program in 2011-2012. Based on an analysis of market
pricing for peer programs and forecasted instructional delivery
costs, the University recommends that tuition and fees for this
program be established at $139,500 for both Virginians and nonVirginians for the 21-month program. This price does not
include travel to and from education sites, which is the
student’s responsibility.
The charge for the McIntire School of Commerce’s Executive
MS in Management of Information Technology (MIT) is recommended
at $39,655, amounting to an increase of $1,155 (three percent)
for both Virginians and non-Virginians.
The recommended tuition charge for the School of
Engineering and Applied Science’s Accelerated Master’s Program
in Systems Engineering is $36,500. This represents an increase
of $1,500 (4.3 percent) for both Virginians and non-Virginians.
Tuition and fees for the School of Continuing and
Professional Studies’ Post-Baccalaureate Pre-Medical Certificate
6
Program are proposed to increase by $1,300 for Virginians (5.5
percent) and non-Virginians (4.5 percent) to address increasing
program costs and to price the program more competitively.
The University proposes a differential tuition rate for
third-year undergraduate students beginning in the McIntire
School of Commerce. The proposal takes into account the
additional costs McIntire incurs to provide value-added career
services and technology support to students over and above those
available from core University services and the need to increase
faculty salaries to close the gap between McIntire salaries and
the Association of American Universities 60th percentile salaries
to retain the best teachers and researchers. The University
recommends a $3,000 tuition differential be assessed to
Virginian and non-Virginian third-year McIntire students in
2011-2012. The differential is expected to be in addition to
the Board of Visitors-approved increase in base undergraduate
tuition for 2011-2012. The differential program will be
assessed further and brought back before the Board of Visitors
for consideration and approval before it continues beyond 20112012.
ACTION REQUIRED: Approval by the Finance Committee and by the
Board of Visitors
7
APPROVAL OF 2011-2012 TUITION AND FEES FOR CERTAIN PROGRAMS
RESOLVED, the Board of Visitors approves the tuition and fees
applicable to the following programs as shown below, effective May 1,
2011, unless otherwise noted:
MBA for Execs
Virginian
Amount Percent
2010-11
of
of
2011-12
Approved Increase Increase Proposed
Non-Virginian
Amount
Percent
2010-11
of
of
Approved Increase Increase
$115,500
$115,500
$ 4,000
3.5% $119,500
$
4,000
2011-12
Proposed
3.5%
$ 119,500
The price is all inclusive for the 22 months of the full program and includes estimated
2011-2012 and 2012-2013 special session mandatory fee, books, materials, computer
leasing, software licenses, group meals, and lodging.
Global MBA
for Execs
The price
2012-2013
licenses,
education
n/a
n/a
n/a
$139,500
n/a
n/a
n/a
$139,500
is for the 21 months of the full program and includes estimated 2011-2012 and
special session mandatory fee, books, materials, computer leasing, software
group meals, and lodging. The price excludes transportation to and from
sites.
MIT
$ 38,500
$ 1,155
3.0% $ 39,655
$ 38,500
$ 1,155
3.0%
$ 39,655
The price includes the estimated 2011-2012 special session mandatory fee, books,
materials, software licenses, group meals, and lodging.
MIT Optional
Indep. Study
$1,283/
cr. hr
$39
Systems Eng.
$ 35,000
$1,500
3.0%
$1,322/
cr. hr
$1,283/
cr. hr
$39
3.0%
$1,322/
cr. hr
4.3% $ 36,500
$ 35,000
$1,500
4.3%
$ 36,500
The price includes the estimated 2011-2012 special session mandatory fee, books,
materials, technology, group meals, and lodging.
Post-Bac, Pre- $ 23,700
Med
$1,300
5.5% $ 25,000
$ 28,700
$1,300
4.5%
$ 30,000
The price includes the estimated 2011-2012 full-time mandatory fee.
McIntire School of Commerce Undergraduate Tuition Differential
Third-years
n/a
n/a
n/a
$3,000
n/a
n/a
Fourth-years
n/a
n/a
n/a
$0
n/a
n/a
8
n/a
n/a
$3,000
$0
UNIVERSITY OF VIRGINIA
BOARD OF VISITORS AGENDA ITEM SUMMARY
BOARD MEETING:
February 25, 2011
COMMITTEE:
Finance
AGENDA ITEM:
II.C. Additions to the 2010-2011 Annual
Renovation and Infrastructure Plan
BACKGROUND: Under Restructuring, the Board of Visitors has been
delegated the authority to approve all capital projects
(acquisitions, capital leases, or new construction or renovation
projects costing more than $1 million and impacting more than
5,000 gross square feet) funded with non-general funds. To
facilitate the consideration of certain projects, the Board of
Visitors considers the Annual Renovation and Infrastructure
Projects (ARIP) Plan in conjunction with the annual budget
summary each June. The ARIP consists of a detailed list of
renovation and infrastructure projects expected to cost between
$1 million and $5 million, to be funded with non-general fund
cash (no debt) and expected to be initiated within the next
fiscal year.
DISCUSSION: There are four ARIP-eligible projects which will
begin prior to June 1, 2011 and require Finance Committee
approval. These projects are:
1. $1.75 - $2.12 million replacement of the HVAC system at
the Aquatic and Fitness Center
2. $1.36 - $1.65 million renovation of the Camp Library at
the Darden School to create office space on the second
floor of the Library
3. $1.18 - $1.61 million renovation of the Medical Center
Bone Marrow Inpatient Bed Unit
4. $1.25 - $1.51 million renovation of the Medical Center
Pain Center Expansion
APPROVAL OF ADDITIONS TO THE 2010-2011 ANNUAL RENOVATION AND
INFRASTRUCTURE PLAN
RESOLVED, the Board of Visitors approves the addition of four
projects to the 2010-2011 Annual Renovation and Infrastructure
Plan: an HVAC upgrade at the Aquatic and Fitness Center and
renovations of the Camp Library at the Darden School, the Medical
Center’s Bone Marrow Inpatient Bed Unit, and the Medical Center’s
Pain Center.
9
UNIVERSITY OF VIRGINIA
BOARD OF VISITORS AGENDA ITEM SUMMARY
BOARD MEETING:
February 25, 2011
COMMITTEE:
Finance
AGENDA ITEM:
III.A. Governor’s Budget, Budget Amendments
Transmitted to the General Assembly, and
2011-2012 Academic Division Budget Planning
and Preliminary Assumptions
ACTION REQUIRED:
None
Governor’s Budget
BACKGROUND: On December 17th, Governor McDonnell presented
to the Legislature his amendments to the 2010-2012 biennial
budget. The General Assembly will consider the Governor’s
amendments to the Budget Bill during its short session, which
began January 12th. The House of Delegates and Senate versions
of the Budget Bill crossed over on Tuesday, February 8th, and the
Joint Conference Committee is slated to present its reconciled
budget on Thursday, February 24th. At the February 25th Finance
Committee meeting, the Executive Vice President and Chief
Operating Officer and the Vice President for Management and
Budget will review the status of the General Assembly activity,
particularly any new developments which may have occurred after
the distribution of these materials.
DISCUSSION: Governor McDonnell's operating budget proposes a
new Higher Education Innovation and Performance fund of $50
million in order to support student enrollment, retention, and
graduation; undergraduate financial aid; on-line course
availability; and academic transformation through technology.
This fund is to be distributed by the Secretary of Education in
response to proposals submitted by higher education
institutions. The Governor also has created a $25 million fund
to support research and the commercialization of technology.
The Governor’s budget incorporates the prior changes approved by
the 2010 General Assembly, including a $196.8 million reduction
in base fiscal year 2012 support distributed to higher education
institutions and a $10 million reduction held in central
accounts pending distribution.
The Governor has developed a proposal that will require all
employees enrolled in the Virginia Retirement System (VRS)
10
defined benefit plan to contribute five percent of their base
salary towards their retirement; this will be offset partially
by a three percent increase in base salary. Employees enrolled
in the University’s Optional Retirement Plan (ORP) will see the
contributions to their defined contribution plan decrease from
10.4 percent to 8.5 percent. Finally, the Governor has included
a provision for a two percent faculty and staff bonus on
December 1, 2011, if June 30, 2011 state balances are at least
twice the cost of the bonus.
Governor McDonnell has allocated funds for maintenance
reserve - $5 million for UVa – in 2011-2012. Just as the 20102011 maintenance reserve funding and Equipment Trust Fund are
not yet distributed due to state debt capacity issues, this
funding will rely on the state’s ability to issue debt.
Specific actions can be found in Appendix A.
Budget Amendments Transmitted to General Assembly
BACKGROUND: Each January, the University may propose operating
and capital budget amendments to the General Assembly.
DISCUSSION: The action taken by the Board of Visitors in
September 2010 to approve the budget amendment requests to the
Governor permitted the resubmission of requests not addressed by
the Budget Bill to the General Assembly for its consideration.
On January 14th, the Academic Division resubmitted two
amendments, the Medical Center resubmitted one amendment, and
the College at Wise resubmitted one amendment – all previously
approved by the Board of Visitors – to the General Assembly for
consideration. Specific actions can be found in Appendix B.
2011-2012 Academic Division Budget Planning
and Preliminary Assumptions
BACKGROUND: Each year at this time, the University begins
formulating the Academic Division budget for the subsequent
fiscal year, including the establishment of preliminary budget
assumptions. The Executive Vice President and Chief Operating
Officer and the Vice President for Management and Budget will
review the status of several key components to the 2011-2012
operating budget: 1) initiatives which the Board of Visitors
has previously considered and approved; 2) unavoidable and nondiscretionary expenditures to which the University is already
committed; 3) other areas of critical need which the Board of
11
Visitors may wish to consider for investment in 2011-2012; and
4) certain assumptions about the availability of various revenue
streams to the extent they are known at this time.
DISCUSSION: The following budget planning items and assumptions
will be used in the development of the 2011-2012 budget, to be
presented to the Board of Visitors for action at its June 2011
meeting:
Operating Budget Assumptions
Initiatives which the Board has previously considered and
approved:
Full funding will be provided for the projected cost of
AccessUVa. The supplement from unrestricted institutional
resources (i.e., need not met from federal aid programs, state
general funds, or restricted private funds) is approximately
16 percent of gross undergraduate tuition revenue in 20102011. We expect the 2011-2012 contribution to be a similar
proportion of undergraduate tuition.
Full funding will be provided for the incremental cost of
operations and maintenance for newly-constructed or renovated
buildings. In the absence of state support, the primary
funding source for educational and general (E&G) buildings
(e.g., the ITC Data Center, Rice Hall, College of Arts &
Sciences Research Building, Rehearsal Hall, Garrett Hall,
Thrust Theater) is tuition.
A seventh $1.5 million installment (of ten) will be allocated
to increase maintenance funding and reduce the deferred
maintenance backlog for E&G facilities.
Funds will be provided to the School of Engineering and
Applied Sciences for three new faculty to match the commitment
of the Commonwealth in the Rolls-Royce Partnership.
Full funding will be provided for the incremental cost of the
employer share of the UVa Health Plan.
The implementation of the third year recommendations of the
Commission on the Future of the University will be
incorporated in the budget.
12
The Darden School and Law School financial self-sufficiency
models will continue in 2011-2012. In the future it is
anticipated that these agreements with the schools will be
superseded with the implementation of a new Academic Division
resource allocation model.
Self-supporting units will comply with the Board of Visitors
Capital and Operating Reserves Policy established in April
2006.
Unavoidable and non-discretionary items to which the University
has already committed:
Funding will be provided for unavoidable cost increases in
utilities (estimated at a 3 percent increase) and other
services (e.g., E-911 and fire services and rent escalations).
Funding will be provided for prior commitments to newly hired
or re-appointed deans in the College of Arts & Sciences; the
School of Architecture; and the School of Engineering and
Applied Science and to the Director of the Center for
Politics.
State authorized changes, as approved by the 2011 General
Assembly, to faculty and staff compensation, whether permanent
changes to base salary, one-time bonuses, or benefits, will be
funded.
There are other critical areas on which the Board of Visitors
may want to provide guidance in the development of the 2011-2012
operating budget:
There will be incremental costs associated with the enrollment
growth proposal to be considered by the Board of Visitors at
its February meeting. Costs to be considered include:
AccessUVa; new faculty to maintain existing faculty-student
ratios; start-up packages for new science and engineering
faculty in the College of Arts & Sciences and the School of
Engineering; and other support costs (e.g., academic support,
library, technology, admissions, student affairs, student
financial services, etc.)
The Board may consider faculty and University staff salary
actions to supplement any actions by the state. University
employees last received base salary increases in November 2007
and recruitment, retention, and morale are being negatively
13
impacted. [State classified employee salaries may only be
increased if authorized by the state.]
New initiatives may arise from the Governor’s Commission on
Higher Education Reform, Innovation and Investment.
Assumptions Related to Funding Sources
1. In 2010-2011, tuition and fees are budgeted to fund 31 percent
of the Academic Division operating budget. Tuition and fee
charges for 2011-2012 will reflect rates that will be approved
by the Board of Visitors at its April 2011 meeting after
consideration of actions taken by the 2011 General Assembly.
2. In 2010-2011, reimbursements for direct and indirect costs
related to externally sponsored research (primarily federally
funded) is budgeted to fund 24 percent of the Academic
Division operating budget. The 2011-2012 projection will be
based on historical spending patterns, sponsored program
awards, and expected indirect cost recoveries. The University
will consider the decreasing impact of the American Recovery
and Reinvestment Act of 2009 (ARRA) on 2011-2012 sponsored
research.
3. In 2010-2011, activity related to auxiliaries (self-supporting
entities that exist to provide services to students, faculty,
and staff, such as Housing, Bookstores, Athletics) will make
up approximately 14 percent of the Academic Division operating
budget. For 2011-2012, projections of activity will be based
upon services to be provided, including fees which will be
considered by the Board of Visitors (housing, dining and
mandatory student fees) in April.
4. In 2010-2011, funds from annual giving and other activities
are expected to provide 11 percent of the Academic Division
operating budget; $23 million of this funding source is
allocated to the University through the Commonwealth as State
Financial Stabilization Funds (SFSF) from the ARRA. For 20112012, annual giving will be projected based upon estimates
from University Development and school officials. We will not
include any funding from the ARRA’s SFSF program in 2011-2012.
5. In 2010-2011, the state appropriation is budgeted to fund 10
percent of the Academic Division operating budget. The 20112012 state appropriation will reflect budget changes as
approved by the Governor and the 2011 General Assembly,
including the $14.7 million budget reduction approved in the
14
2010 General Assembly. Beginning state budget targets issued
to major budget units (MBUs) reflect a 2.5 – 3.0 percent
decrease from 2010-2011, recovering approximately $9.0 million
of the budget reduction. Since October 2007, the University
has incurred budget reductions, which total an annual amount
of $51.5 million. To offset these reductions, MBUs have seen
a 14-15 percent reduction in their state budget targets.
6. In 2010-2011, distributions from the endowment are expected to
fund 10 percent of the Academic Division operating budget.
For 2011-2012, projected contributions from the endowment will
be budgeted based upon the University’s approved endowment
spending policy.
15
UNIVERSITY OF VIRGINIA
BOARD OF VISITORS AGENDA ITEM SUMMARY
BOARD MEETING:
February 25, 2011
COMMITTEE:
Finance
AGENDA ITEM:
III.B. Endowment Report – Market Value and
Performance as of December 31, 2010
ACTION REQUIRED:
None
BACKGROUND: The University of Virginia Investment Management
Company (UVIMCO) provides investment management to the Rector
and Visitors of the University of Virginia and its related
Foundations. Assets deposited in UVIMCO are held in the custody
and control of UVIMCO on behalf of the University and
Foundations within a long-term, co-mingled investment pool.
DISCUSSION:
The December 31, 2010 Report is included below.
Quarter-End December 2010
PERFORMANCE
The Long Term Pool returned 16.0 percent in 2010, beating
the policy benchmark return of 12.4 percent during the year.
While we prefer to focus on long-term returns, we recognize that
there have been and will continue to be short periods –
typically during strong markets – where we trail our policy
benchmark. For example, the Pool’s absolute return in 2009 was
an attractive 18.8 percent, but we trailed our policy benchmark
return by 730 bps. The last six months of 2010 (the first six
months of fiscal year 2011) represented another period of
rapidly increasing stock prices. The Long Term Pool returned a
healthy 12.6 percent during the six months ending December 31,
2010, but trailed the policy benchmark return of 17.2 percent
over the same time period.
An overweight to emerging markets and active stock
selection by our public equity managers provided a boost to the
Long Term Pool’s performance in 2010. Sizable gains in our
growing resources program were an additional contributor to the
total portfolio return. The year was characterized by a
continued outperformance of risky assets: low quality over high
quality, small caps over large caps, and emerging markets over
developed markets. However, our long/short equity tilt toward
16
large cap quality caused the program to generate slim returns,
which was a drag on the Long Term Pool’s total performance.
Negative private real estate returns also hurt both absolute and
relative performance as the public real estate portion of our
policy benchmark had a strong year.
UVIMCO’s investment strategy involves making commitments to
investment managers and themes that pay off over a number of
years. Therefore, we focus more attention on long-term returns
than on short-term. The past decade saw two sizable stock
market downturns and a real estate collapse. It was a tough
decade to produce returns. Despite the challenging environment,
the Long Term Pool earned an annualized 7.9 percent return over
the last ten years, exceeding the policy benchmark of 5.1
percent. The Pool’s ten-year returns were aided by a long-term
overweight to emerging markets. In addition, the same
long/short portfolio that caused a drag on short-term
performance in 2010 provided a significant contribution to the
Pool’s ten-year returns. The Pool’s relatively large allocation
to long/short equity managers helped cushion the blow from the
equity sell-off in 2001 and 2002 as our managers took advantage
of attractive shorting opportunities.
The difficult decade of 2001–2010 was preceded by the bull
market of the 1990s. The Long Term Pool achieved attractive
absolute and relative returns during this time period as well.
Over the 20-year period ending December 31, 2010, the Pool’s
annualized return was 12.6 percent, exceeding the policy
benchmark return by 450 bps.
Public Equity
During 2010, our public equity portfolio returned 22.3
percent versus a return of 13.2 percent on global equities as
measured by the MSCI All Country World index (ACWI). Over the
past ten years, our public equity portfolio returned 10.1
percent versus 3.7 percent on global equities. The strong
performance – for the year and for the decade – was helped by a
long-standing bias toward the emerging markets in our portfolio.
The MSCI Emerging Market Index returned 19.2 percent and 16.2
percent per year over the last one and ten years, respectively.
Over the past five years, an emphasis on consumer-oriented
stocks also provided a boost to performance. The degree of
outperformance, especially over the past year, cannot be fully
explained by these factors. We attribute a good portion of the
results to the strong stock selection skills of our managers.
We expect there will be periods in which both the stock picks of
17
our managers and the biases within the portfolio do not line up
as favorably, and we will need to borrow from those periods of
outperformance.
Long/Short Equity
Long/short equity returns were an anemic 6.3 percent during
2010, compared to 13.2 percent on the MSCI ACWI and 9.3 percent
on the Dow Jones Credit Suisse Long/Short Equity Index. We have
been here before. In 2003 our portfolio returned 11.4 percent,
the market was up 34.6 percent, and the long/short index was up
17.3 percent; in 2006, our portfolio returned 12.0 percent, the
market was up 21.5 percent, and the long/short index was up 14.4
percent. UVIMCO’s long/short portfolio has a quality and large
cap bias. In 2003, 2006 and 2010, high quality equities
underperformed low quality, and large companies underperformed
small. In each instance, subsequent outperformance rewarded our
patience.
We believe that recent equity price movements have been
influenced more by macroeconomic news than changes in the
underlying company fundamentals. The market has not
differentiated between the valuation of stocks with different
growth prospects. We expect to be rewarded as the market
recognizes fundamental differences, but we continue to assess
the risks to this thesis. Over the past ten years, the
long/short equity portfolio returned 8.3 percent versus 3.7
percent on global equities and 6.4 percent on the long/short
index.
Private Equity
The private equity portion of the Long Term Pool includes
buyout and venture investments. In 2010, the private equity
portfolio returned 23.6 percent, with the buyout portfolio
returning 23.5 percent and the venture capital portfolio
returning 24.1 percent. The one-year returns compare quite
favorably to the 13.2 percent return for the MSCI ACWI. Fiscal
year to date, the private equity portfolio lagged the public
markets, returning 12.4 percent versus the 24.6 percent for the
MSCI ACWI over the six months ending December 31, 2010. As
noted in past reports, returns on the private equity portfolio
typically lag the public markets during rapidly increasing
markets, as returns are based on the values reported on the most
recent manager statements (in many cases, it is September as of
this report). For the ten-year period, the private equity
portfolio, as a whole, had a return of 3.1 percent versus 3.7
18
percent for the MSCI ACWI. The buyout portfolio generated an
annual return of 10.6 percent while the venture capital
portfolio lost 9.3 percent per year, on average, over the
decade.
Liquidity in the Long Term Pool was enhanced by an increase
in distributions from our private equity managers during 2010.
Distributions from our buyout and venture managers increased
from $26.9 million in 2009 to $168.9 million in 2010.
Resources
UVIMCO’s resources portfolio generated extraordinary
returns in 2010. The strategy returned 78.2 percent for the 12
months ending December 31, compared to nine percent for the
Goldman Sachs Commodity Index and 16.8 percent for the Dow Jones
UBS Commodity Index. The performance also exceeded energy
focused public equities, as the S&P 500 Energy Index and the
Morgan Stanley All Country World Energy Index appreciated 20.5
percent and 9.2 percent, respectively. Our allocation to
resources grew during the year from 5.6 percent to 7.8 percent.
Our resources portfolio remains weighted towards domestic oil
and gas investments. The tailwind from commodity markets fueled
strong returns across our portfolio of managers. However,
several large and highly successful exits boosted our returns
even beyond most broad energy indexes. Of particular note were
investments in early stage upstream oil and gas companies, both
through our managers and directly through co-investments, which
capitalized on opportunities in oil and gas shales. Strong
drilling and operating execution at the company level combined
with an acceleration of public and private capital flows into
the space helped create a supportive market for these assets.
Additionally, our private mining investments benefited from
rising mineral prices and related concerns about supply
constraints over the next few years.
While we are certainly pleased with these results, we are
also reminded that past returns do not necessarily predict
future success. The resources portfolio remains a focus area
for UVIMCO given the current market environment and global
macroeconomic backdrop. However, we are also cognizant that
simply re-investing gains at higher asset prices may not be a
prudent course of action.
As with all strategies in which we invest, we remain
committed to only allocating capital where a manager can
purchase assets below their long-run intrinsic value while
19
implementing sensible business plans to create additional value
going forward.
Real Estate
The private real estate portfolio fell by 21.9 percent
during 2010, almost exclusively as a result of write-downs taken
by managers in the first half of the year. This significantly
trailed public market comparables as the Morgan Stanley Real
Estate Index returned 23.7 percent. The return also
underperformed broad private market proxies such as the NCREIF
Property Index, which rose 13.1 percent during the year. 2010
was a positive year for broad real estate markets, bringing a
sharp increase in transaction activity and improving
fundamentals across property sectors. These developments, along
with low interest rates and a dearth of other sources of yield,
created a favorable environment for publicly traded REITs such
that those in our public benchmark.
Conversely, UVIMCO’s private real estate managers revalue
their portfolios on a periodic basis using a conservative
methodology. Therefore, we are not surprised that our managers’
pricing of UVIMCO’s real estate portfolio lags public market
valuations by a wide margin. Furthermore, our U.S. focused
portfolio did not participate in the strong gains realized by
Asian real estate during 2010. Our under-allocation to Asia
remains an important difference between our real estate
portfolio and the policy benchmark.
UVIMCO’s real estate assets purchased before the financial
crisis have underperformed the broader real estate market,
especially those involving business plans reliant on ground-up
development and the for-sale housing market. However, nearly 40
percent of the current NAV of our real estate portfolio was
invested by our managers during 2010 and is essentially being
held at cost. We invested significant new capital into the
portfolio during the year, with our allocation to real estate
increasing from four percent of the Pool at the end of 2009 to
five percent at the end of 2010. Importantly, over 50 percent
of our real estate portfolio consists of investments were made
after the 2008 financial crisis. Such acquisitions typically
involve existing assets located in urban markets with in-place
cash flow. We expect our real estate allocation to rise in
coming years as our managers put capital to work in this more
attractive environment.
20
Absolute Return
During calendar year 2010, the absolute return portfolio
returned 10.9 percent, versus a 12.4 percent return for the
policy portfolio benchmark. Returns across the three managers
were split, with low single digit returns from our fixed income
arbitrage manager being offset by strong returns from our
emerging markets macro manager and multi-asset class manager.
The latter manager continued to benefit from their credit
portfolio and strong rebound in those markets. Over the past
decade, the absolute return portfolio returned 7.3 percent
versus 5.1 percent on the policy portfolio benchmark.
Credit
The Credit portfolio returned 13.2 percent during 2010
versus 15.1 percent on the Barclays High Yield Index. Returns
across managers were mixed, with very strong returns from
opportunistic managers and managers focused on loans and
residential mortgages offset by relatively poor results from two
managers taking an opportunistic approach towards private
opportunities. We are disappointed with the overall results
within our credit portfolio over the medium-term. We made
missteps in timing our investments, particularly in mortgages.
Over the past decade, the Credit portfolio returned 9.9 percent
versus 8.9 percent on high yield bonds.
Bonds and Cash
Our government bond portfolio is primarily a source of
liquidity, and low yields on longer duration bonds and a concern
for rising interest rates have caused us to hold the entire
portfolio in short-term, high quality securities. Returns of 11
bps on these short-term cash investments are consistent with an
environment in which current interest rates are near zero
percent.
ASSET ALLOCATION
Our policy portfolio continues to be an allocation of 60
percent to equity, ten percent to real assets and 30 percent to
fixed income. Hence, the policy portfolio benchmark is the
return on a portfolio that is 60 percent global public equity
plus ten percent global public real estate plus 30 percent
global investment grade fixed income.
21
This portfolio is designed to provide long-term growth from
equities, an inflation hedge from real assets and deflation
hedge from fixed income. The Long Term Pool’s actual allocation
is 64.2 percent to equity managers, 12.9 percent to real asset
managers and 22.9 percent to fixed income (including credit),
cash and absolute return managers. Looking through our
managers’ funds to the underlying investments, the Long Term
Pool has a 52.8 percent allocation to equities, 15.0 percent
allocation to real assets and 32.2 percent allocation to fixed
income (including credit) and cash.
LIQUIDITY
We need sufficient liquidity within the Long Term Pool to
achieve the following:
1. Meet redemptions and payouts for the university and
foundations,
2. Fund capital calls for our private managers when they
make investments,
3. Rebalance the portfolio, and
4. Fund opportunistic investment opportunities that occur
during infrequent market dislocations.
We continue to hold adequate liquidity within the Long Term
Pool to meet these liquidity needs. Cash and government bonds
have remained fairly consistent during the past year, from
$490.6 million at the end of 2009 to $458.8 million at the end
of 2010. In addition, the percentage of the endowment that can
be turned into cash within one quarter has increased from 24.3
percent to 26.3 percent of the Long Term Pool. Unfunded private
investment commitments have decreased from $1.3 billion or 29.2
percent of the Long Term Pool at the end of 2009 to $1.0 billion
or 20.5 percent of the Long Term Pool at the end of 2010.
22
INVESTMENT MANAGEMENT COMPANY
Investment Report
December 31, 2010
Investment Activity
Beginning Net Asset Value (NAV)
Month
FYTD 2011 (1)
$4,810,320,966.92
$4,454,689,896.34
947,656.61
$5,076.02
$1,294,012.15
($4,933,311.26)
$109,460,126.13
($801,720.16)
Beginning Shares
NAV Per Share at Beginning of Period
+ Contributions
- Redemptions
+ Investment Return
- Fees
Ending Net Asset Value (NAV)
Ending Shares
NAV Per Share at End of Period
965,976.04
$4,611.59
$14,152,354.19
($102,862,256.49)
$557,402,360.56
($8,042,280.82)
$4,915,340,073.78
946,801.17
$5,191.52
$4,915,340,073.78
946,801.17
$5,191.52
Long Term Pool
% of NAV
Shareholder Summary
$3,036,541,213.94
$1,071,671,578.41
$807,127,281.43
$4,915,340,073.78
University of Virginia Endowment
Affiliated Organizations
University Operating Funds
Total
61.8%
21.8%
16.4%
100.0%
Performance
Market Value (2)
$ Millions %
Long Term Pool
Policy Benchmark
Equity
Public
Long / Short
Buyout
Venture Capital
4,915
Total Real Assets
Barclays Aggregate Bond
(5)
20 YR
12.6
16.0
(0.0)
7.4
7.9
12.6
100.0
4.7
17.2
12.4
(0.3)
4.8
5.1
8.1
1,120
1,144
776
117
22.8
23.3
15.8
2.4
4.8
2.5
2.2
(0.1)
24.4
10.4
12.7
10.7
22.3
6.3
23.5
24.1
(2.0)
(2.0)
(1.3)
(4.7)
8.2
6.7
9.7
2.8
10.1
8.3
10.6
(9.3)
12.7
--17.5
3,157
64.2
60.0
3.1
7.4
15.6
24.6
16.4
13.2
(1.1)
(3.8)
8.1
4.0
7.8
3.7
14.8
7.8
247
384
5.0
7.8
(0.0)
1.3
0.6
26.0
(21.9)
78.2
(28.7)
18.4
(16.0)
19.3
(5.2)
24.8
---
632
12.9
0.8
15.6
30.4
(5.2)
2.2
9.7
--
10.0
5.6
24.3
23.7
(4.1)
1.9
7.8
10.1
1.4
0.5
0.0
0.0
6.3
6.1
0.2
0.1
10.9
13.2
0.1
0.1
9.0
3.5
6.6
0.8
8.8
5.7
6.5
--
7.3
9.9
---
-----
0.7
4.0
9.1
6.5
7.5
7.5
8.3
(0.8)
0.9
5.6
5.5
5.3
5.5
6.8
502
280
459
(114)
Total Fixed Income, Cash & AR
Annualized
5 YR 10 YR
2.3
(4)
MSCI Real Estate
Fixed Income, Cash & AR
Absolute Return
Credit
Cash & Currency
Short-Term Borrowing
3 YR
100.0
(3)
Total Equity
MSCI All Country World Equity
Real Assets
Real Estate
Resources
Time-Weighted Returns
MO
FYTD
1 YR
1,127
10.2
5.7
9.3
(2.3)
22.9
30.0
23
Investment Report
December 31, 2010
Short-Term Liquidity(6)
Actual Liquidity (Cumulative Total % of NAV)
Weekly
1 YR
2 YR
3 YR
2%
4%
10%
12%
16%
17%
17%
Long / Short Equity
-
-
4%
5%
15%
18%
21%
Absolute Return
-
-
2%
3%
7%
8%
10%
9%
9%
10%
10%
10%
10%
10%
11%
13%
26%
29%
48%
53%
58%
549
652
1,291
1,428
2,376
2,610
2,833
Public Equity
Cash
Total
Available Liquidity ($ in Millions)
Monthly
Quarterly
Semi-Annually
Private Funds Market Values and Commitments (7)
($ in Millions)
Market Value of Private Investments
Amount
% of NAV
Uncalled Commitment
Amount
% of NAV
Private Aggregate
Amount
% of NAV
Public Equity
92
2%
6
0%
99
Long / Short Equity
26
1%
-
-
26
1%
Private Equity
893
18%
419
9%
1,312
27%
Real Estate
247
5%
337
7%
585
12%
Resources
384
8%
150
3%
534
11%
20
0%
-
-
20
0%
279
6%
97
2%
376
8%
1,942
40%
1,009
21%
2,952
60%
North
America
Europe
Asia
LAMA(9)
Absolute Return
Credit
Total
2%
Market and Currency Exposure Estimates (8)
(% of NAV)
Equity
Policy Ranges
Actual
Exposure
40 - 70
52.8
31.5
6.9
8.6
5.8
Real Assets
5 - 20
15.0
12.9
0.8
0.9
0.4
Credit
0 - 20
5.9
5.3
0.0
0.3
0.3
Government Bonds
5 - 20
-
-
-
-
-
Total Market Exposure
70 - 100
73.7
49.7
7.8
9.8
6.5
0 - 20
Policy Ranges
25 - 75
10 - 40
10 - 40
0 - 30
26.3
26.6
(0.4)
(0.0)
Currency Exposure
--
100.0
76.3
7.4
9.8
6.5
Policy Ranges
--
--
50 - 100
0 - 30
0 - 30
0 - 20
--
74.0
Cash & Currency
Market Beta Exposure (10)
--
--
24
--
--
--
0.0
--
Investment Report
December 31, 2010
Endnotes
(1)
UVIMCO's fiscal year runs from July 1 through June 30.
(2)
All investments are recorded at estimated fair market value in accordance with UVIMCO's valuation policy.
(3)
The Policy Benchmark is the geometrically linked monthly average of the underlying asset classes' benchmarks, weighted by
the Fiscal Year 2011 policy target allocations: 60% Equity, 10% Real Assets, 30% Fixed Income.
(4)
The Real Estate component of our Fiscal Year 2011 policy portfolio is comprised of 50% MSCI U.S. Real Estate Index and 50%
MSCI All Country World Real Estate Index. Prior to January 1995, the benchmark is comprised of 100% FTSE National
Association of Real Estate Investment Trusts Equity Index.
(5)
The Fixed Income component of our Fiscal Year 2011 policy portfolio is comprised of 50% Barclays Capital U.S. Aggregate
Bond Index and 50% Barclays Capital Global Aggregate Bond Index (Hedged in U.S. Dollars). Prior to January 1990, the
benchmark is comprised of 100% Barclays Capital U.S. Aggregate Bond Index.
(6)
Represents securities and funds that may be readily sold for cash within the designated time periods.
(7)
Represents the market values of investments where distributions are at the sole discretion of the managers, plus all uncalled
commitments.
(8)
Market and currency exposures are estimated by looking through managers and funds to the underlying security positions.
Policy ranges express the expected variation in asset class, regional, and currency exposures during normal market
circumstances. Totals may not add due to rounding.
(9)
Latin America, Middle East, and Africa.
(10)
Estimated market beta of the Long Term Pool with each asset class adjusted for its level of market risk.
25
UNIVERSITY OF VIRGINIA
BOARD OF VISITORS AGENDA ITEM SUMMARY
BOARD MEETING:
February 25, 2011
COMMITTEE:
Finance
AGENDA ITEM:
III.C.
ACTION REQUIRED:
None
Vice President’s Remarks
BACKGROUND: The Executive Vice President and Chief Operating
Officer will inform the Board of recent events that do not
require formal action, but of which it should be made aware.
26
UNIVERSITY OF VIRGINIA
BOARD OF VISITORS AGENDA ITEM SUMMARY
BOARD MEETING:
February 25, 2011
COMMITTEE:
Finance
AGENDA ITEM:
III.D. Enterprise Risk Management (ERM)
Status Report
ACTION REQUIRED:
None
BACKGROUND: As reported at the June 2008 meeting, the
University engaged KPMG to conduct an initial assessment of the
University’s current framework for assessing and managing the
University’s strategic and high-level operational risks.
There are two phases to the ERM project. At the February
2009 board meeting the Vice President and Chief Financial
Officer presented a report to summarize the work completed in
Phase I, during which the University explored the feasibility
and desirability of developing a framework that could link the
different risk management programs that are already in place,
including through the use of common vocabulary and metrics.
As part of Phase II, KMPG conducted interviews with
selected University officials and members of the Board of
Visitors to begin developing the University’s portfolio of top
risks. The product of Phase II is a set of risk registers that
have been finalized. The Vice President and Chief Financial
Officer sorted the identified risks in the registers into four
categories: compliance risks, safety and security risks,
operational risks and strategic risks.
At the November 15, 2010 meeting of the Finance Committee,
President Sullivan reported that the consolidated risk register
had been reviewed by the vice presidents, who identified the
most significant risks in their areas. The Health System was
excluded from the original work on the risk register, but the
President said it will be included in the future.
DISCUSSION: Since November, the President has tasked the vice
presidents with developing plans to handle the high-priority
risks in their areas.
At the same time, the President and vice presidents, with
General Counsel and the Athletics Director, are now in the
27
process of examining prioritized institutional risks across all
divisions. To determine appropriate action steps and oversight,
the President is leading a working group that includes the vice
presidents and General Counsel. A progress report will be
provided to the Finance Committee.
28
MISCELLANEOUS FINANCIAL REPORTS
Finance Committee
University of Virginia
February 25, 2011
UNIVERSITY OF VIRGINIA
ACADEMIC DIVISION
ACCOUNTS AND LOANS RECEIVABLE
AS OF DECEMBER 31, 2010
Summary of Accounts Receivable:
The University's Academic Division's total accounts receivable at December 31, 2010 was
$228,549,000 as compared to $51,698,000 at September 30, 2010. The December 31, 2010 amount includes billing for the
spring semester due January 11, 2011. The major sources of receivables at December 31, 2010 were student accounts of
$206,465,000 and sponsored programs of $19,302,000.
The past due receivables over 120 days old were $3,037,000 as of December 31, 2010 or 1.33% of total
receivables, which is below the Commonwealth's management standard of 10%.
Student
Accounts
Gross Accounts Receivable
Less: Allowance for
Doubtful Accounts
Net Accounts Receivable
Accounts Receivable
Greater than 120
Days Past Due
Sponsored
Programs
Other
Receivables
Total
$206,465,000
$19,302,000
$2,782,000
$228,549,000
$1,532,000
$807,000
$34,000
$2,373,000
$204,933,000
$18,495,000
$2,748,000
$226,176,000
$1,335,000
$1,613,000
$89,000
$3,037,000
SOURCE: Financial Administration
DATE:
January 21, 2011
29
UNIVERSITY OF VIRGINIA
ACADEMIC DIVISION
ACCOUNTS AND LOANS RECEIVABLE
AS OF DECEMBER 31, 2010
Summary of Loans Receivable:
The default rate for the Perkins Student Loan Program was 6.69 percent for the quarter ending December 31, 2010.
This is based on the cohort default calculation and is well below the 15 percent threshold set by federal regulations. The Health
Professions Loan Program default rate remained the same at 0.0 percent. The Nursing Undergraduate Student Loan Program default
rate decreased from 2.51 percent to 1.79 percent. Both medical loan programs are well below the 5 percent federal threshold.
The University Loan Program default increased from 2.64 percent to 2.65 percent for the quarter ending December 31, 2010.
Gross
Loan
Receivables
Perkins Student Loans
Health Professions Loans
Undergraduate Nursing Loans
University Loans
Current
Default
Rate
Inc/(Dec)
From Last
Quarter
$19,504,000
6.69%
5.09%
$0
0.00%
0.00%
$1,316,000
1.79%
-0.72%
$15,856,000
2.65%
0.01%
Total Student Loans Outstanding $36,676,000
SOURCE: Financial Administration
DATE:
January 21, 2011
30
Medical Center Financial Report
University of Virginia Medical Center
SUMMARY OF OPERATING STATISTICS AND FINANCIAL PERFORMANCE MEASURES
Fiscal Year to Date w ith Com parative Figures for Prior Year to Date - Decem ber 2011
OPERATING STATISTICAL MEASURES - Decem ber 2011
DISCHARGES and CASE MIX - Year to Date
Actual
DISCHARGES:
Adult
Pediatrics
Psychiatric
Transitional Care
Subtotal Acute
Budget
OTHER INSTITUTIONAL MEASURES - Year to Date
% Variance
Prior Year
11,598
1,435
727
19
13,779
11,478
1,678
548
55
13,759
1.0%
(14.5%)
32.7%
(65.5%)
0.1%
11,394
1,423
678
13,495
4,500
4,275
5.3%
4,304
Total Discharges
18,279
18,034
1.4%
17,799
Adjusted Discharges
24,556
24,017
2.2%
24,213
Short Stay/Post Procedure
CASE MIX INDEX:
All Acute Inpatients
Medicare Inpatients
1.90
2.04
1.90
2.04
0.0%
0.0%
1.88
2.06
Actual
Budget
% Variance
Prior Year
ACUTE INPATIENTS:
Inpatient Days
Average Length of Stay
Average Daily Census
Births
83,178
6.05
452
834
83,693
6.08
455
824
(0.6%)
0.5%
(0.7%)
1.2%
82,962
6.25
451
819
OUTPATIENTS:
Clinic Visits
Average Daily Visits
Emergency Room Visits
336,042
2,896
28,817
321,758
2,791
29,969
4.4%
3.8%
(3.8%)
337,093
2,922
29,816
9,359
4,181
13,540
9,283
4,078
13,361
0.8%
2.5%
1.3%
9,294
3,996
13,290
SURGICAL CASES
Main Operating Room (IP and OP)
UVA Outpatient Surgery Center
Total
OPERATING FINANCIAL MEASURES - Decem ber FY 2011
31
REVENUES and EXPENSES - Year to Date
($s in thousands)
NET REVENUES:
Net Patient Service Revenue
Other Operating Revenue
Total
EXPENSES:
Salaries, Wages & Contract Labor
Supplies
Contracts & Purchased Services
Bad Debts
Depreciation
Interest Expense
Total
Operating Income
Operating Margin %
Non-Operating Revenue
Net Income
Actual
$
509,671
15,205
524,876
Budget
$
506,594
14,414
521,008
$
$
228,097
108,621
106,319
17,858
28,850
4,107
493,852
31,024
5.9%
41,264
$
227,660
113,382
110,542
19,695
31,432
3,947
506,658
14,350
2.8%
4,698
$
72,288
$
19,048
$
$
$
$
OTHER INSTITUTIONAL MEASURES - Year to Date
% Variance
0.6%
5.5%
0.7%
Prior Year
$
(0.2%)
4.2%
3.8%
9.3%
8.2%
(4.1%)
2.5% $
116.2% $
487,459
14,366
501,825
778.3%
$
217,229
110,413
98,740
17,834
27,074
3,038
474,328
27,497
5.5%
50,396
279.5%
$
77,893
($s in thousands)
NET REVENUE BY PAYOR:
Medicare
Medicaid
Commercial Insurance
Anthem
Southern Health
Other
Total Paying Patient Revenue
OTHER:
Collection % of Gross Billings
Days of Revenue in Receivables (Gross)
Cost per CMI Adjusted Discharge
Total F.T.E.'s (including Contract Labor)
F.T.E.'s Per CMI Adjusted Discharge
Actual
$
$
$
172,351
55,873
81,959
91,949
27,910
79,630
509,671
Budget
$
$
36.06%
45.97
10,202 $
6,270
24.72
166,473
63,338
87,485
87,121
28,301
73,876
506,594
35.52%
45.0
10,671
6,253
25.21
% Variance
3.5%
(11.8%)
(6.3%)
5.5%
(1.4%)
7.8%
0.6%
1.5%
(2.2%)
4.4% $
(0.3%)
1.9%
Prior Year
160,184
60,945
84,181
83,830
27,232
71,086
487,459
37.41%
45.46
10,020
6,140
24.80
University of Virginia Medical Center
SUMMARY OF OPERATING STATISTICS AND FINANCIAL PERFORMANCE MEASURES
Fiscal Year to Date w ith Com parative Figures for Prior Year to Date - Decem ber 31, 2010
Assumptions - Operating Statistical Measures
Discharges and Case Mix Assum ptions
Discharges include all admissions except normal new borns
Pediatric cases are those discharged from 7 West, 7 Central, NICU, PICU and KCRC
Psychiatric cases are those discharged from 5 East or Rucker 3
All other cases are reported as Adult
Short Stay Admissions include both short stay and post procedure patients
Case Mix Index for All Acute Inpatients is All Payor Case Mix Index from Stat Report
Other Institutional Measures Assum ptions
Patient Days, ALOS and ADC figures include all patients except normal new borns
Surgical Cases are the number of patients/cases, regardless of the number of procedures performed on that patient
Assumptions - Operating Financial Measures
32
Revenues and Expenses Assum ptions:
Medicaid out of state is included in Medicaid
Medicaid HMOs are included in Medicaid
Physician portion of DSH is included in Other
Non-recurring revenue is included
Other Institutional Measures Assum ptions
Collection % of Gross Billings includes appropriations
Days of Revenue in Receivables (Gross) is the BOV definition
Cost per CMI Adjusted Discharge uses All Payor CMI to adjust, and excludes bad debt
UNIVERSITY OF VIRGINIA
INTERNAL LOANS TO UNIVERSITY DEPARTMENTS AND ACTIVITIES
AS OF DECEMBER 31, 2010
PURPOSE
DATE OF
LOAN
INTEREST
RATE
Cocke Hall
06/30/06
4.75%
1,941,787
1,753,931
187,856
June 2011
National Radio Astronomy
Observatory Piping
09/01/06
6.25%
706,833
600,824
106,009
August 2011
Varsity Hall
06/30/07
4.75%
1,517,726
1,119,538
398,188
March 2012
Wilsdorf Hall
11/01/06
4.75%
3,311,328
3,142,719
168,609
November 2011
Wise Football Facility
10/01/07
4.75%
629,171
136,349
492,822
October 2022
Total Internal Loans Subject to
ORIGINAL
PRINCIPAL PAYMENTS OUTSTANDING APPROXIMATE
LOAN AMOUNT
MADE TO DATE
PRINCIPAL
FINAL PAYMENT
$
8,106,845
$
6,753,361
$
1,353,484
1
$15M Limit Established by BOV
NOTES: 1. Per January 1990 Board of Visitors resolution establishing the internal loan pool at $10 million and per April
2003 Board of Visitors resolution approving the expansion of the internal loan pool from $10 million to $15
million. All internal loans are subject to the approval of the Executive Vice President and Chief Operating
Officer.
2.
The University's blended borrowing rate for tax exempt financing is 4.75%. A taxable rate of 6.25%
is being charged for the National Radio Astronomy Observatory Piping project.
SOURCE: Financial Administration
DATE:
January 13, 2011
33
University of Virginia
Capital Campaign Summary
As of 12/31/10
All Units
Expendable
992,109,111
Endowment
444,987,391
Total
1,437,096,502
Outstanding Pledge Balances
Deferred Gifts
169,697,588
91,727,282
45,244,429
26,802,065
214,942,017
118,529,347
Private Grants
195,914,771
0
195,914,771
71,381,484
3,333,472
74,714,956
Gift and Pledge Total
1,520,830,236
207,842,636
520,367,357
53,531,715
2,041,197,593
261,374,351
Campaign Total
1,728,672,872
573,899,072
2,302,571,944
-148,880,236
1,107,682,643
958,802,407
1,371,950,000
1,628,050,000
3,000,000,000
Gifts and Pledge Payments
Gifts in Kind
Future Support
Additional Amounts To Be Raised
(1)
Total
Rector & Visitors Gift Accounts Only
Expendable
Gifts and Pledge Payments
Outstanding Pledge Balances
Endowment
Total
356,985,034
32,913,388
244,012,193
5,767,135
600,997,227
38,680,523
Deferred Gifts
Private Grants
60,038,845
0
11,524,077
0
71,562,922
0
Gifts in Kind
30,370,218
17,312
30,387,530
480,307,485
129,742,841
261,320,717
4,242,539
741,628,202
133,985,380
Gift and Pledge Total
Future Support
Campaign Total
Additional Amounts To Be Raised
610,050,326
TBD
Total
265,563,256
TBD
610,050,326
875,613,582
TBD
265,563,256
875,613,582
8,718,899
0
8,718,899
200,000
0
200,000
270,260
9,189,159
0
0
270,260
9,189,159
Rector & Visitors Unrestricted Giving
Gifts and Pledge Payments
Deferred Gifts
Outstanding Pledge Balances
Total
(1) Excludes future or revocable support
Source: Office of Development and Public Affairs
Date: January 28, 2010
34
UNIVERSITY OF VIRGINIA
ENDOWMENT/LONG TERM INVESTMENTS FOR UVA AND RELATED FOUNDATIONS
AS OF DECEMBER 31, 2010
(in thousands)
The University of Virginia Medical School and related foundations
Rector and
Visitors Funds
Related
Foundation
Funds Invested
by UVIM CO
Alumni
Association
Funds Invested
by UVIM CO
Related Foundation
Funds Invested by
Direction of
Foundation Board
$
$
$
$
The College of Arts and Sciences and related foundations
692,100
31,473
7,487
-
Total
$
731,060
309,256
45,240
10,194
3,521
368,211
40,737
201,787
-
93,197
335,721
Darden School and related foundation
103,544
195,709
-
6,201
305,454
Batten School of Leadership and Public Policy
102,921
-
-
-
102,921
The McIntire School of Commerce and related foundation
72,263
-
25,569
679
98,511
School of Engineering and related foundation
81,271
298
2,552
2,682
86,803
University of Virginia's College at Wise and related foundation
39,848
4,678
1,919
3,144
49,589
Graduate School of Arts and Sciences
46,307
-
-
-
46,307
School of Nursing
36,559
-
1,768
-
38,327
Curry School of Education and related foundation
11,799
7,679
-
1,746
21,224
School of Architecture and related foundation
15,450
208
380
712
16,750
School of Continuing and Professional Studies
1,601
-
46
-
1,647
University of Virginia Medical Center and related foundations
370,097
51,169
4,109
23,833 **
449,208
Centrally Managed University Scholarships
143,389
-
-
-
143,389
Athletics and related foundation
37,076
58,260
350
512
96,198
Provost
84,217
-
-
-
84,217
-
-
51,632
11,343
62,975
49,630
8,104
-
-
57,734
University of Virginia Foundation and related entities
-
56,815
-
221
57,036
Alumni Board of Trustees
-
47,601
3
-
47,604
46,960
-
44
-
47,004
University - Unrestricted but designated
287,749
-
-
-
287,749
University - Unrestricted Quasi and True Endowment
159,987
-
-
-
159,987
University - Unrestricted Other
139,685
-
-
-
139,685
All Other
210,364
51,800
184,808
5,474
452,446
153,265
$ 4,287,757
The University of Virginia Law School and related foundation
Alumni Association
Miller Center and related foundation
University Libraries
$
3,082,810
$
760,821
$
290,861
*
$
*Includes funds on deposit for other areas/schools not individually listed.
**Excludes approximately $44.7 million of board designated pension funds.
SOURCE: Financial Administration
DATE:
January 27, 2011
35
UNIVERSITY OF VIRGINIA
QUASI-ENDOWMENT ACTIONS
OCTOBER 1, 2010 – DECEMBER 31, 2010
The quasi-endowment actions listed below were approved by either (1) the Executive Vice President and Chief
Operating Officer, under the following Board of Visitors’ resolutions, or (2) the Vice President and Chief Financial
Officer, under the delegation of authority from the Executive Vice President and Chief Operating Officer:
In October 1990 and June 1996 the Board of Visitors approved resolutions delegating to the Executive Vice
President and Chief Operating Officer the authority to approve quasi-endowment actions, including
establishments and divestments of less than $2,000,000, with regular reports on such actions.
In February 2006, the Board of Visitors approved a resolution permitting approval of quasi-endowment
transactions, regardless of dollar amount, in cases in which it is determined to be necessary as part of the
assessment of the business plan for capital projects. Additionally, to the extent that the central loan program
has balances, they may be invested in the long term investment pool managed by UVIMCO or in other
investment vehicles as permitted by law.
Additions from Gifts
Amount
Commonwealth Engineering Professorships
$
Commonwealth Commerce Professorships*
1,000,000.00
1,000,000.00
McIntire School of Commerce Bequest Gifts Quasi-Endowment
10,000.00
Osher Reentry Scholarship Quasi-Endowment Fund
30,884.00
President's Fund for Excellence Unrestricted Quasi-Endowment
133,088.54
Southwest-Dishner Gift Quasi-Endowment Fund
18,675.00
University Quasi-Endowment Fund (1)
399,909.62
Total Additions from Gifts to Quasi-Endowments
$
2,592,557.16
$
265,000.00
Divestments
Carlson Psychiatry Research Fund
McIntire School of Commerce Operations Fund
898,758.75
Total Divestments from Quasi-Endowments
$
1,163,758.75
Notes:
*Quasi-endowment newly established or initially funded since October 1, 2010.
(1) Includes current unrestricted gifts to the University which, under a standing Board of Visitors resolution,
are required to be added to the University's Unrestricted Endowment Fund.
SOURCE: Financial Administration
DATE:
January 13, 2011
36
QUARTERLY BUDGET REPORT
As of December 31, 2010
This report compares the actual results for the sources and uses of funds to the Academic Division annual
budget (excluding the Medical Center and the University of Virginia’s College at Wise). At the end of the second
quarter of 2010-2011, 68.8 percent of the budgeted sources were collected and 51.5 percent of the budgeted uses
were expended.
The operating budget is developed using differing rules and conventions from the audited financial
statements, which are developed in accordance with generally accepted accounting principles (GAAP). In some
cases, similar descriptions are used in both reports even though the precise definitions and the specific amounts are
not identical. However, both sets of figures are accurate for their particular purposes, and both are drawn from the
University’s financial applications. Outlined below are several of the differing conventions used in the operating
budget and the actual results presented on the accompanying statement:
The operating budget is prepared on a cash basis.
The operating budget presents tuition and fees as gross income and the full amount of student aid as an
expense.
In the operating budget, depreciation is not funded and non-capital outlay purchases are recognized as
expensed rather than spread over the useful life of the purchase. Major repair or renovation expenditures
occur within the capital outlay accounts – and off the operating budget.
The Federal Family Education Loan Program is excluded from the operating budget.
Sources of funds are shown net of transfers to capital reserves/projects in the operating budget for all
sources other than auxiliaries, which are shown as gross sources, with the reserve transfers appearing as an
auxiliary use.
Fringe benefit expenditures are included in the operating budget using pooled benefit rates.
The operating budget recognizes recoveries of indirect costs only upon distribution of those revenues, and
not when billed to granting agencies.
A definition of terms is included to explain the categories for the sources and uses of funds.
SOURCE: University Budget Office
DATE:
January 13, 2011
37
University of Virginia Academic Division
2010-11 Operating Budget Report
As of December 31, 2010
(in thousands)
2010-11
Revised
Budget
Sources of Available Funds
Tuition & Fees
State General Fund Appropriation
Sponsored Research for Operating Plan
Endowment Distribution for Operating Plan
Net Gifts Available for Operating Plan
Sales, Investment Income & Other
American Recovery and Reinvestment Act of 2009
Auxiliary Enterprises, including private sources
Total Sources of Available Funds
Uses of Available Funds
Direct Instruction
Research and Public Service
Library, Information Tech., & Academic Administration
Student Services
General Administration
Operation & Maintenance of Physical Plant
Scholarships, Fellowships, & Other Graduate Support
Athletics
Bookstore
Housing and Conference Services
Other Auxiliary Operations
Total Operating Expenses
Operating Reserves and Temporary Allocations
Total Uses of Operating Funds
Net Sources and Uses for Operations
38
12/31/2010
Actual
Results
Variance
12/31/2010
Results
Percentage
$409,892
136,431
323,988
131,466
89,642
23,460
21,893
195,864
$1,332,636
$398,979
134,906
177,190
13,234
35,283
31,507
126,123
$917,222
$10,913
1,525
146,798
118,232
54,359
(8,047)
21,893
69,741
$415,414
97.3%
98.9%
54.7%
10.1%
39.4%
134.3%
0.0%
64.4%
68.8%
$328,692
316,057
125,729
36,195
76,482
95,084
146,640
$155,115
165,056
68,635
15,980
44,930
55,632
79,229
$173,577
151,001
57,094
20,215
31,552
39,452
67,411
47.2%
52.2%
54.6%
44.1%
58.7%
58.5%
54.0%
51,395
29,875
37,227
76,907
$1,320,283
29,598
17,956
18,129
32,707
$682,967
21,797
11,919
19,098
44,200
$637,316
57.6%
60.1%
48.7%
42.5%
51.7%
6,370
1,326,653
682,967
6,370
643,686
0.0%
51.5%
$5,983
$234,255
($228,272)
DEFINITION OF TERMS
Sponsored Research -- primarily research projects, but also includes activities restricted to institutional and
service programs.
Auxiliary Enterprises -- those activities which are supported entirely through fees charged to users, such as
housing, athletics, dining services, the telephone system and the bookstore.
Instruction -- expenditures for the primary mission of the University, which includes teaching faculty,
support staff, instructional equipment, and related routine operating costs.
Research -- includes expenditures for activities such as support for research faculty and sponsored research.
Activities include the Center for Public Service, the State Climatologist, and the Center for Liberal Arts.
Public Service -- includes activities such as the Miller Center of Public Affairs, the Virginia Foundation for
the Humanities, and that portion of the medical school's clinical physicians’ salaries and fringe benefits
related to patient care.
Library, Information Technology and Academic Administration -- encompasses the libraries, the activities
of the deans of the schools, and other related expenditures.
Student Services -- activities whose primary purpose is to contribute to the students' emotional and physical
well-being and to their intellectual, cultural, and social development outside the classroom.
General Administration -- includes the financial, administrative, logistical, and development activities of the
University.
Operation and Maintenance of Physical Plant -- includes expenditures for activities related to the operation
and maintenance of the physical plant, net of amounts charged to auxiliary enterprises and the Medical
Center.
39
UNIVERSITY OF VIRGINIA
SPONSORED PROGRAM GRANTS AND CONTRACTS
MID-YEAR COMPARISON REPORT OF AWARD DATA
FISCAL YEAR 2011, as of DECEMBER 31, 2010
(in millions)
SCHOOL
DHHS
DOD
DEd(1)
DOE
NASA
4.45
Education
1.58
Engineering
2.28
0.71
1.13
8.59
0.46
6.78
6.18
0.13
1.58
Non-Federal (1) (2)
State (1)
FY 2011 (3)
FY 2010 (3)
0.06
0.07
0.02
0.15
0.32
-53%
7.05
2.12
3.45
0.20
28.17
30.04
-6%
0.87
0.05
2.40
1.46
13.14
10.95
20%
9.56
0.31
10.29
1.62
31.94
36.70
-13%
0.93
0.08
1.01
0.58
74%
30.50
2.89
120.69
147.28
-18%
1.29
0.00
2.59
3.13
-17%
Law
Medicine
79.89
Nursing
1.31
Other (4)
0.15
Mid-Year Total FY 2011 (3)
89.65
Mid-Year Total FY 2010 (3)
% Increase/Decrease
6.62
0.13
0.00
0.36
Mid-Year
Total
Federal (1)
NSF
Architecture
Arts & Scs.
Mid-Year
Total
%
Increase/
Decrease
Other
0.30
0.54
0.05
0.00
0.33
2.65
1.19
2.04
6.95
4.47
55%
13.51
8.59
8.77
2.40
18.11
5.19
50.11
8.30
204.63
233.47
-12%
126.51
8.20
7.70
7.11
1.98
20.57
4.55
48.26
8.60
233.48
-29%
65%
12%
23%
21%
-12%
14%
4%
-3%
Notes: Historically, mid-year totals have not been predictive of performance for the entire fiscal year.
Totals may be off slightly due to rounding.
1) The University also provides administrative support for awards (not included here) for the Virginia
Foundation for the Humanities and the Southwest Virginia Higher Education Center, totaling $0.71 million
for the current period.
2) Items listed as "Non-Federal" include support from foundations; industrial sponsors; and subcontracts from
other institutions, which may have originated from a federal agency.
3) Totals for mid-year FY2011 include $18.37 million in ARRA funding. Totals for mid-year FY2010 include
$38.31 million in ARRA funding.
4) Includes: Associate Provost For Academic Support & Classroom Management; Center for Public Service;
Darden School of Business; Miller Center; School of Continuing and Professional Studies; University
Librarian; UVA College at Wise; Vice President and Chief Student Affairs Officer; Executive Vice President
and Provost; Vice President for Research.
SOURCE: Office of Sponsored Programs
DATE:
January 13, 2011
40
APPENDIX
APPENDIX A
UNIVERSITY OF VIRGINIA – ACADEMIC DIVISION
SUMMARY OF BUDGET REQUESTS AND GOVERNOR'S BUDGET BILL
(in 000s)
2010-2011
Request
Governor's Budget
GF
NGF
GF
NGF
Operating
Federal Stimulus Funds
Operations and Maintenance, New
Facilities
STEM Faculty Start-up Packages
Subtotal Operating
Capital
Maintenance Reserve
Rotunda Maintenance – Phases 1
and 2
Subtotal Capital
A-1
Total
$
-
$
$
542
-
$
542
-
$5,026
$
-
(contingent on debt capacity)
26,795
26,795
23,845
23,845
5,026
-
(contingent on debt capacity)
$31,972
$31,942
$5,026
5,177
$5,177
$
-
-
8,097
$8,097
$
$
-
$
2011-2012
Request
Governor's Budget
GF
NGF
GF
NGF
$
542
$
-
7,084
5,850
$12,934
$12,934
$
-
11,080
$11,080
$11,080
$
-
$
$
$
-
-
$
-
-
$
-
APPENDIX A (continued)
UNIVERSITY OF VIRGINIA – MEDICAL CENTER
SUMMARY OF BUDGET REQUESTS AND GOVERNOR'S BUDGET BILL
(in 000s)
2010-2011
Request
GF
2011-2012
Governor’s Budget
GF
NGF
NGF
Governor’s
Budget
GF
NGF
Request
GF
NGF
Operating
Medicaid Inpatient Payment Rates
$ 9,484
$
-
$
-
$
-
$15,296
$
-
$
-
$
-
$
-
$
-
$
-
$
-
$
-
$
-
$
-
$
-
$ 9,484
$
-
$
-
$
-
$15,296
$
-
$
-
$
-
Capital
None
Total
A-2
APPENDIX A (continued)
UNIVERSITY OF VIRGINIA’S COLLEGE AT WISE
SUMMARY OF BUDGET REQUESTS AND GOVERNOR'S BUDGET BILL
(in 000s)
2010-2011
Request
Governor’s Budget
GF
NGF
GF
NGF
2011-2012
Request
Governor’s Budget
GF
NGF
GF
NGF
Operating
Federal Stimulus Funds
Operations and Maintenance, New
Facilities
Subtotal Operating
$
$
$
-
$
-
$
-
$
144
$
-
$
-
$
-
$
-
340
340
$
$
191
191
$
$
-
$
$
144
$
$
854
854
$
$
480
480
$
$
-
$
$
-
-
$
-
$
105
$
-
340
$
191
$
105
$
144
Capital
Maintenance Reserve
Total
$
$
(contingent on debt capacity)
$
854
$
480
$
-
$
-
A-3
APPENDIX B
UNIVERSITY OF VIRGINIA - ACADEMIC DIVISION
2010-2012 PROPOSED LEGISLATIVE BUDGET AMENDMENTS
(in 000s)
GF
Operating
STEM Faculty Start-up Packages
$
Capital
Rotunda Renovation ($2,590 GF needed
in 2011-12)
Total
Patrons:
-
$
$
Senator Quayle, Delegate Tata
2010-2011
NGF
-
2011-2012
GF
-
$
$
-
NGF
5,850
$
26,795
$
32,645
-
23,845
$
23,845
B-1
APPENDIX B (cont’d)
UNIVERSITY OF VIRGINIA – MEDICAL CENTER
2010-2012 PROPOSED LEGISLATIVE BUDGET AMENDMENTS
(in 000s)
2010-2011
GF
NGF
Operating
Medicaid Inpatient Payment Rates
$
Capital
None
$
-
Total
Patrons:
9,484
$
Senator Quayle, Delegate Tata
Revised from submission to the Governor.
9,484
2011-2012
GF
-
$
$
-
NGF
12,693
$
$
12,693*
-
$
-
B-2
APPENDIX B (cont’d)
UNIVERSITY OF VIRGINIA'S COLLEGE AT WISE
2010-2012 PROPOSED LEGISLATIVE BUDGET AMENDMENTS
(in 000s)
2010-2011
GF
2011-2012
NGF
GF
NGF
Operating
Operations and Maintenance,
New Facilities
$
340
$
191
Capital
None
$
-
$
-
$
-
TOTAL
$
340
$
191
$
854
Patrons:
Senator Puckett, Delegate Kilgore
$
854
$
480
$
$
480
B-3