Budget Update

1. Budget Update Elva Martinez, Assistant Director Budget Planning and Development February 19, 2013

2. 83rdLegislative Session 2014-2015Budget Update • Legislative Appropriations Request Process • Fiscal Notes Process and Bills to Watch • Operating Budget • Tuition and Fee Forecast • Trend Semester Credit Hours (SCH) • Mid-year Revenue Adjustments • FY14 Budget Planning Calendar • Training Classes • Q&A

3. 83rd Legislature 2014-2015Legislative Appropriation Requests (LAR) Process • Texas’ two-year budget takes roughly twice that amount of time to prepare, • produce, and administer. Agencies develop their appropriations requests in the • first year, the legislature approves the General Appropriations Act in the second • year, and the budget is implemented over the next two years. Texas Budget 101, • http://www.senate.state.tx.us/SRC/pdf/Budget_101-2011.pdf. • Strategic Planning – Spring 2012 • LAR Submission – Summer 2012 • Legislative Budget Board (LBB) and Governor’s Office Budget Recommendations – Fall 2012 • General Appropriations Act – Spring 2013 3

4. 83rd Legislative Session 2014-2015 Fiscal Notes Process and Potential Impacts • Fiscal Notes Process • State statute requires a fiscal note be prepared and accompany a bill or joint resolution as it goes through the legislative process. A fiscal note is a written estimate of the costs, savings, revenue gain, or revenue loss that may result from implementation of requirements in a bill or joint resolution. • Bills to Watch: • Guaranteed Tuition Rate Plan • Set-Aside Tuition for Financial Assistance • Tuition Exemptions – Hazlewood • Concealed Handguns 4

5. Tuition and Student Fees Based on Spring Census data (In thousands)

6. Paying Semester Credit Hours 728.0 714.3 708.4 693.1 (in thousands)

7. Mid-Year and Budget FY14 Revenue Projections & Assumptions • Methodology: Revenue projections are based on enrollment (paying SCH and/or student headcount) • Current Year Revenue Projections FY13 • Forecast Revenue Projections for FY13 are currently under review and will be provided to fee administrators by the end of February with recorded budget adjustments, as needed. • Budget Year FY14 • Revenue Projections for FY14 will be coordinated and provided to fee administrators no later than March 30th. • Any deviations to these projections will need to be discussed and approved by the Sr. Budget Director prior to departmental completion of BUD documents before April 15th 7

8. Expense Budgets - Status Quo Budgets E&G (14 accts) + 19 accounts funded with Designated Tuitions (i.e. 19-7) • Status Quo Base Budgets • Departmental Operating budget preparation assumes no new money, i.e. ‘same base budgets’ • BUD process begins before budget planning is complete • University Strategic Resource Planning Council will review budget recommendations in late Spring pending state budget changes (GAA) and other revenue projections • Budget Office will update budgets for new funds awarded and any possible required reductionsException: Budgets funded by fees

9. Budget Permanent Position FundingPre-Planning Salary Review Reports • Budget Office will provide salary review reports by Thursday, March 7th via Rowdy Space similar to previous years. • Reports are provided to assist in validating budgeted positions and the permanent funding requiring permanent transfers • Permanent positions (filled or vacant) will load from HRMS assignments based on updated salary rates. However, position attributes (i.e., % time, % distribution, etc.) are used to calculate budget dollars from HRMS ‘Budgetary Funding FY13-14’. • To ensure BUD Documents reflect updated permanent positions, we request your review. • Any permanent transfers and HRMS Budgetary Funding updates will need to be processed by March 22nd to be reflected in BUD Documents and updated salary budgets. 9

10. FY 14 Budget Planning Calendar

11. BUD Document Preparation Training Schedule

12. Questions