TRUSTEES: Trustees Adopt #1.5 Billion Budget for 1996-97

TRUSTEES ADOPT $1.5 BILLION BUDGET FOR 1996-97

COLUMBUS -- The Ohio State University Board of Trustees 
approved a $1.531 billion budget Friday (7/12) for fiscal 1997.  
Overall spending will be up 4.1 percent from last year's 
$1.469 billion amount.

The General Funds Budget provides for revenues of $615.1 
million, expenditures of $612.3 million -- up 3.8 percent from 
the previous year -- and a $2.8 million contingency to cover 
unanticipated changes in enrollments.  The General Funds Budget 
covers daily operating expenses, including academic programs.

State support makes up $283.4 million of General Fund 
revenues.  The budget contains a 6 percent increase in tuition 
and fees for in-state undergraduates, a 5 percent increase for 
in-state graduate students, and a 5 percent increase in the out-
of-state surcharge for undergraduate and graduate students.  
Student fees overall are expected to generate $252.5 million.  
All other sources of income total $79.2 million.

University officials said the budget was designed to help 
Ohio State achieve three priorities:  improve the quality of 
education students receive, improve the quality of the student 
experience in and out of the classroom, and protect financial 
resources and stimulate growth in revenues.

"All three of those goals support each other and focus on 
the students," said William J. Shkurti, vice president for 
finance.  "The key is the academic product.  If we don't have a 
good academic product, we don't get the students.  If we don't 
get the students, then we don't get financial growth."

Likewise, he said, providing a poor experience outside the 
classroom could adversely affect enrollment, which would reduce 
financial resources.  In addition, failure to continually invest 
tuition in education and student services will affect the quality 
of both.

According to Shkurti and Edward Ray, senior vice provost, 
the budget will help achieve the three priorities by:

-- Providing competitive pay raises to retain and attract 
the best faculty and adding $4.4 million to improve course 
offerings, academic computing and library resources; provide for 
a more diverse faculty; and fund more academic enrichment and 
research activities.

-- Providing an additional $1.9 million to improve academic 
and career counseling, student programs, and student recruitment 
and retention; provide more financial aid; and create a better 
physical environment and a more diverse student body.

-- Providing an additional $3.1 million to protect assets 
and stimulate financial growth.  Of that amount, $2.6 million 
will be used to comply with unfunded federal and state mandates, 
clean up a waste site near North Star Road and monitor another 
site near the Fawcett Center.

Strategic objectives outlined

Ray and Shkurti outlined some strategic objectives for 
strengthening the university's academic, fiscal and physical 
resources in the year ahead.  Goals include continuing to be 
proactive regarding the federal budget and state subsidies; 
finishing and supporting the university's plans for student 
recruitment and retention and for information technologies; 
assisting the medical center in responding to managed care 
issues; and increasing Ohio State's rainy day fund to $10 million 
by June 30.

Administrators plan to further explore adoption of an 
incentive based budgeting system by examining alternative 
budgeting formats that can be compared and contrasted with actual 
operating budgets and by conducting extensive consultation and 
evaluation, in preparation for a recommendation to the board by 
next May.

The university also plans to review funding mechanisms for 
research support, use of space on campus, and fee authorizations.

Another goal is to make better use of existing resources.  
Ohio State plans to implement the first phase of a plan to 
continually reallocate money in areas where it is most needed.  
Also planned is an inventory and review of assets, and continued 
implementation of the Administrative Resource Management System, 
a project designed to streamline business functions and reduce 
paperwork in the human resources and financial accounting and 
processing systems.

In academic planning, goals include finishing the first 
compendium of the academic plan, cataloging and focusing 
priorities, and developing a first draft of strategic indicators.

"The academic plan will help us address budget priorities 
in fiscal 1998 and beyond," said Ray.  "The document will 
provide a consolidated statement of the various activities we're 
involved in and anticipate initiating for the academic and 
support units.  It will evolve over time as priorities shift, 
technology changes, and resources become more or less available.  
The plan will be revised annually and wedded to the budget 
process."

Ray said strategic indicators will be developed to measure 
the university's success in meeting its priorities and attaining 
its goals.  Examples are undergraduate recruitment and retention 
and measures reflecting the quality and effectiveness of 
undergraduate professional and graduate programs.

Ray said the university community will be involved in 
developing the plan.  The administration hopes to have a first 
draft ready in autumn or winter quarter.

Final plan announced for 1 percent tuition set aside

Trustees heard an update from the Student Affairs Committee 
on final plans for appropriating 1 percent of the 6 percent 
increase in student tuition.  The funds are being set aside to 
improve the quality of the undergraduate experience at Ohio 
State.  The allocations, totaling $1,076,500, are as follows:

-- $500,000 to enhance career counseling, boost academic 
advising and fund the academic and career counseling portions of 
the proposed Academic Learning Center, and to enhance advising 
and degree audits in the Colleges of the Arts and Sciences.

-- $250,000 to fund student programs and organizations, and 
purchase additional recreational equipment in Larkins Hall.

-- $250,000 to improve student access to computers.

-- $40,000 to improve student transportation.

-- $36,500 to implement proposals of the Committee on the 
Undergraduate Experience.  Proposals include: $20,000 to enhance 
Welcome Week activities; $10,500 to publish a brochure to orient 
new freshmen; and $6,000 to expand phone services in the Office 
of Fees and Deposits.

The final recommendations were based on input from student 
representatives of the President's Council, Undergraduate Student 
Government, the Board of Trustees, and the university's academic 
planning process.
                             #

Contacts: Ed Ray, (614) 292-5881, and William Shkurti, 
(614) 292-9232.

Written by Tom Spring, (614) 292-8309, and Tracy Turner, 
(614) 688-3682.


[Submitted by: Von Reid-Vargas (ereid@magnus.acs.ohio-state.edu)
               
Fri, 12 Jul 1996 16:07:49 -0400]
All documents are the responsibility of their originator.