Proposal to reduce the Energy Fee Rate

1. Proposal to reduce the Energy Fee Rate • The Energy fee was initiated Fall 2006 at $45 per student / semester • Fee rate reduced in: • Fall 2007 by <$10> to $35 • Fall 2010 by <$6.50> to $28.50

2. Proposal to reduce the Energy Fee Rate • Propose fee be lowered to $23 or <$5.50> a 19.3% reduction • In FY11, Energy fee revenue covered 20% of total E&G utility costs • This reduction will lower that cost sharing to ~15%

3. Athletics Fee

4. Athletics Fee Background • A student referendum in September 2009 endorsed an increase in the Athletic fee and support for the addition of football. “UTSA students have spoken, and this vote endorses their dream to take the athletics program at the University to the next level,” said Gage Paine, UTSA’s vice president for student affairs.

5. Athletics Fee Background • Revenue from fee rate increases to a maximum of $240 per semester ($20 per SCH) were incorporated into the financial pro-forma approved by the UT Board of Regents to add football.

6. Athletics Fee Background • Rate History Proposed increases included in the revenue assumptions of the Athletics proforma approved by the Board of Regents

7. Athletics Fee Athletic Initiative Business Plan Approved by the UT Board of Regents in 2008 includesthree primary strategies: • Development of a competitive Athletic Complex. Construction of new soccer & track facilities at the Park West campus begins this winter. • Addition of a Football Championship Subdivision (FCS) football program. The inaugural UTSA football season concludes Saturday. • Advancement of the University’s 17 sports programs to a Football Bowl Subdivision (FBS) Conference. Next Fall, all 17 sports begin competition in the FBS Western Athletic Conference

8. Athletics Fee Risks Athletic Initiative Business Plan Key risks: 1. Delays in realizing student fee revenue through rate increases. 2. Insufficient donor and sponsor response. 3. Construction cost overruns. Avoiding these risks allows UTSA to expand and enhance athletic programs while accelerating student involvement, success, recognition and partnerships with the community.

9. Athletics Fee How do students benefit from this fee? The Athletic Department is committed to: • improving athletic programs to enhance the complete student experience • helping to provide students with a university experience that develops the whole person—academically, socially and personally • providing opportunities for student engagement in a vibrant campus life with programs comparable to universities of similar size and academic standing With the support of student-approved fee increases, Athletics is prepared to take its programs to the next level of NCAA competition.

10. Athletics Fee What does the fee pay for? • Fee revenue supports all UTSA NCAA Division 1 athletic program costs, including: • Athlete scholarships, team travel, recruiting, equipment, coaches salaries and benefits, and support staff. • Addition of football and gradual increases in all sports operations budgets– to allow entry to the Western Athletic Conference (WAC)

11. Athletics Fee Cost Containment • Athletics continually strives to contain costs Examples: • Airfare booked in advance to secure best pricing • Purchases are competitively bid • Teams are housed in competitively priced hotels for out of town competitions • Sponsorship trade-outs are used for local recruiting and business expenses

12. Discussion

13. Review of Proposed Total Academic CostsUndergraduate Students • Undergraduate TAC – Refer to Handout • Proposed UG Resident T&F Cost Increase: • 3.1% in FY13 (Annual Increase for 30 SCH = $278) • 2.9% in FY14 (Annual Increase for 30 SCH = $264)