A top-quality institution of higher education recognized as · footprint, classroom amenities...
Transcript of A top-quality institution of higher education recognized as · footprint, classroom amenities...
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Vision
A top-quality institution of higher education recognized as:
• a national exemplar of excellent, affordable public higher education
• New Jersey’s most selective public college or university, attracting
highly qualified students from the state and beyond
• An engaged, collaborative and inclusive community
• a national leader in retention and graduation rates, with distinction
for underrepresented groups
• a leader in producing the next generation of talent in academia,
business, professions, and civic life
Values
Excellence, Engagement, Integrity,
Inclusiveness, Self-Reflection
Institutional Priority 1
$4.7M investments in:
Institutional Mission: Student
Success
• Teacher-scholar-citizen model -$200K
• Diversity, equity and inclusion capacity
and program - $446K
• Advising and mentoring to close
graduation gaps -$80K
• Disability Support & Prevention
Education - $171K
• Honors program - $30K
• Signature Experiences - $490K
• Planning: master plan, housing,
athletics, P3, space utilization, Trenton
footprint, classroom amenities -$175K
• Targeted financial aid (1st Generation
students, need + merit) - $2.3M
• Academic lab equipment - $458K
• Digital transformation - $322K
Institutional Priority 3
$0.5M investments in:
National Reputation
• Out-of-State marketing -$115K
• Website quality and capacity -$90K
• Communications capacity -$144K
• TCNJ distinction(s) (annual
conference, speakers, etc.) - $$60K
• TCNJ on the Road (presentations,
news making, publications) -$125K
• Strategic partnerships (university,
corporate, government, foundation,
community, international)
Institutional Priority 2$1.2M investments in:
Financial Sustainability/Revenue Diversification
• Increased FTE enrollment (10% over the next six years) -$80K
• Graduate programs in demand – marketing - $310K
• Efficiencies and cost saving initiatives in academic & administrative
units – Goal = $1.3M
• Development and fundraising capacity - $240K
• Planning for new market development (graduate programs) -$130K
• Financial Aid (Out-of-State students) - $460K
1. Targeted enrollment growth of 42 incoming undergraduate, 250 transfers, no growth in graduate and 120 provisional
students, plus a 2.7% tuition and fees increase. Room and board increases projected at 3.0% and 3.5%, respectively.
2. Significant increase in institutional scholarships ($18.5M versus FY19 budgeted allocation of $15.5 million).
3. State operating support increase of $0.52M for outcomes-based funding rationale that is based on:
1. total number of degrees awarded,
2. number of degrees awarded among underrepresented ethnic and racial minority groups, and
3. number of students who qualify for state and federal need-based financial aid awards.
4. Funding for 13 net new positions to address institutional needs. Estimated to add $1.3M to the budget in salary and fringe
benefits. Vacancies & salary savings were used to offset a portion of cost for these new positions.
5. Compensation increase of $2.7M mainly due to the estimated cost of the CBAs and a 2% non-unit merit pool.
6. Consistent with prior years, budgeting salary turnover savings of $0.8M and non-salary turnover savings of $0.4M, for a
total of $1.2M. This strategy allows TCNJ to moderate the annual tuition and fees increase.
7. New cost savings and revenue enhancements target of $1.35M ($1.0 M in cost savings and $0.35M in new revenue
enhancements). This is in-addition to the budgeted turnover savings of $1.2M listed above.
8. $2.0M to fund supplemental projects in the three areas of focus for TCNJ’s Institutional Strategic Priorities.
New Outcomes since April 2019 Tuition Hearing
1. An additional $1.0 million in base state appropriation due to legislative actions.
2. Revised enrollment targets due to strong demand = 62 incoming undergraduate, 257 transfers and 110 provisional students.
3. Tuition and fees increase modeled at 2.25% (the second lowest increase since FY2001).
Full-Time Equivalent (FTE) Enrollment
Undergraduate Enrollment
Over the past 4 years, undergraduate fall FTE enrollment grew
modestly and steadily due to the College’s targeted efforts to
recruit in certain programs that have available capacity.
Freshman FTE enrollment is projected to increase by 62 from
FY2019.
1. Incoming freshmen class target = 1,610 versus the 1,590 initial
goal (deposits at 1,647 as of 7/1/19).
2. Provisional students =110 (49% increase over FY19) versus the
original goal of 120.
3. Transfer students target = 257 versus the 240 initial goal (deposits
at 281 as 7/1/19).
Graduate Enrollment
Graduate FTE enrollment declined slightly since fall 2015.
In an effort to reverse the graduate enrollment negative trend, the
College has adopted a regional graduate tuition rate (in-state
tuition rate) effective FY2018, for Pennsylvania counties within a
40 mile radius of TCNJ’s campus.
Fall 2019 graduate enrollment is projected to remain flat.
6,589 6,608 6,815 6,914 6,976
416 398 384
371 371 7,005 7,006
7,199 7,285 7,347
3,000
3,500
4,000
4,500
5,000
5,500
6,000
6,500
7,000
7,500
8,000
Fall 2015 Fall 2016 Fall 2017 Fall 2018 Fall 2019Projections
Undergraduate Graduate Total
Overarching Goals:
• Decrease admit rate (from 49.5% to
48%)
• Increase yield rate (from 24% to 26%)
• Increase diversity (demographic,
economic, geographic)
• Maintain academic quality
Implementation Strategy:
• Invest additional $1.46 million
(+31%) in institutional aid
• Target aid to 1st gen,
underrepresented groups, OOS, and
low EFC
• Increase discount rate from 12.8% to
14%
Chairman of the Board,
$500,000
Out-of-State,
$460,000
In-State Merit,
$250,000
Need Scholarships,
$250,000
$1,460,000 aid
increase to
entering 2019
class
Targeted to under-represented groups & 1st-
generation students
Improve yield from 19.6% to 24.6%
Increase enrollment by 50 students
Improve ethnic and socio-economic diversity of
entering class
Targeted to Out-of-State students
Prime pipeline from outside NJ
Increase enrollment by 50 students
Improve visibility and national reputation
Broaden geographic diversity of entering class
Targeted to In-State scholars
Improve yield from 17% to 21% (2017 level)
Maintain or improve strength of class by
rewarding top 25% class rank and SAT
1300+/ACT 27+
Targeted to students with $0-$30,000 EFC (low
and middle-income families
Improve yield from 18% to 25% (2017 level)
Note: The plan also commits $1.3M
for continuing undergraduates. The aid
level reflects strong retention of larger
So, Jr, and Sr classes. Combined,
TCNJ’s additional investment in
institutional aid for FY20 is ~$2.4M
above FY19 actuals and $3.0M over
FY19 budget.
$10,370 $10,165 $10,842 $10,534
$11,251
$12,977
$1,816 $1,865
$2,087 $2,678 $2,628
$3,110
$2,350 $2,240
$2,395 $2,304 $2,289
$2,446
$14,536 $14,270
$15,324 $15,516 $16,168
$18,533
2016 Actua l 2017 Actua l 2018 Actua l 2019 Budget 2019 Actua l 2020 Project ion
Institutional Scholarships & Waivers (in thousands)
In-State Scholarships OS Scholarships Tuition Waivers Total
Mission Centric Investments Amount Funding Source
Teacher-scholar-citizen model - Faculty Professional Development 200,000$ Base budget
Diversity, Equity, and Inclusion 371,000 Base budget
Advising and Mentoring - Provisional Students Support 80,000 Base budget
Disability Support & Prevention Education 171,000 Base budget
Staff Professional Development 100,000 Base budget
Mentored Undergraduate Research 310,000 Base budget
Student Leadership Initiatives 180,000 Base budget
Faculty Diversification Fund - Diversity and Inclusion 50,000 Supplemental Allocation
Inclusive Excellence Innovation & Partnership Fund 25,000 Supplemental Allocation
Academic Lab Equipment (Engineering, HHS & Nursing) 458,000 Supplemental Allocation
Honors Program 30,000 Supplemental Allocation
Financial Aid (e.g., 1st Generation students, need +merit, etc.) 2,557,000 Base budget increase
FY2020 Allocation 4,532,000$
Investment in Revenue Generating Initiatives Amount Funding Source
Increased enrollment over six years 80,000$ Base budget
Innovation and entrepreneurship - Supplemental Allocation
Graduate programs in demand - Advertising & Consultants 130,000 Supplemental Allocation
Efficiencies and cost savings - Supplemental Allocation
Development and fundraising 240,000 Base budget
Graduate Programs Marketing Initiatives 310,000 Supplemental Allocation
Out-of-state recruitment 115,000 Base budget
Financial Aid (Out-of-state students) 460,000 Base budget increase
FY2020 Allocation 1,335,000$
One-Time Investments Amount Funding Source
Planning (master, housing,athletics,space,Trenton,classroom, P3, etc) 175,000 Supplemental Allocation
Information Technology 616,000 Supplemental Allocation
Other One-time Requests 206,000 Supplemental Allocation
FY2020 Allocation 997,000$
Needs to be at least 2.0% of operating expenses (BOT approved target) = 4,763,660
Total Allocation 6,864,000
Allocation above 2% Target 2,100,340
FY2020 Strategic Funding Allocation Base Budget Strategic Total
Mission Centric Investments 3,969,000$ 563,000$ 4,532,000$
Investment in Revenue Generating Initiatives 895,000 440,000 1,335,000
One-Time Investments - 997,000 997,000
Total Strategic Allocation 4,864,000$ 2,000,000$ 6,864,000$
Percentage of Operating Expenses 2.04% 0.84% 2.88%
Amount
FINANCIAL MODELING ASSUMPTIONS
Growth AssumptionsFY2019
Actuals
FY2020
Approved
Budget
FY2021
Projection
FY2022
Projection
FY2023
Projection
FY2024
Projection
FY2025
Projection
Operating Budget
Operating Revenues 2.00% 2.00% 2.00% 2.00% 2.00% 2.00% 2.00%
Tuition & fees increase 2.50% 2.25% 2.50% 2.50% 2.50% 2.50% 2.50%
Undergraduate Tuition discount 13.0% 14.8% 14.8% 14.8% 14.8% 14.8% 14.8%
Operational Excellence - Cost Savings ($ in 000's) -$ 1,000$ 850$ 650$ 300$ 250$ 250$
Revenue Diversification Target ($ in 000's) -$ 350$ 750$ 1,450$ 1,850$ 2,000$ 2,000$
Maximum Capacity (including overflow) 3,867 3,867 3,867 3,867 3,867 3,867 3,867
Occupancy Rate 99.0% 99.5% 99.5% 99.5% 99.5% 99.5% 98.9%
Occupied Beds 3,828 3,846 3,846 3,846 3,846 3,846 3,824
Housing Rental Rate Increases 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00%
Other Operating Expenses 1.50% 1.50% 1.75% 1.75% 1.75% 1.75% 2.75%
Salaries & Fringe Benefits 4.20% 4.32% 2.50% 2.50% 2.50% 2.50% 2.75%
Debt Service Savings - bond refinancing ($ in 000's) (4,070)$ (4,067)$ (4,045)$ -$ -$ -$ -$
Nonoperating Revenues 1.50% 1.50% 1.50% 1.50% 1.50% 1.50% 1.50%
State of New Jersey appropriations 0.00% 5.60% 0.00% 0.00% 0.00% 0.00% 0.00%
State of New Jersey fringe appropriation 4.25% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%
Investment Income 9.50% 9.50% 9.50% 9.50% 9.50% 9.50% 9.50%
Contract Food Service 3.50% 3.50% 3.50% 3.50% 3.50% 3.50% 3.50%
Fall Enrollment Projections
In-State Undergraduate FTE 6,489 6,545 6,521 6,506 6,496 6,490 6,490
Out-of-State Undergraduate FTE 425 431 455 470 480 486 486
Total Undergraduate FTE 6,914 6,976 6,976 6,976 6,976 6,976 6,976
In-State Graduate FTE 331 331 371 426 491 566 651
Out-of-State Graduate FTE 40 40 40 40 40 40 40
Total Graduate FTE 371 371 411 466 531 606 691
Total FTE 7,285 7,347 7,387 7,442 7,507 7,582 7,667
UG Enrollment Growth 99 62
Non-Undergraduate Enrollment Growth (13) - 40 55 65 75 85
FTE Enrollment Growth 86 62 40 55 65 75 85
FY2018
Final @
06/30/18
FY2019
Approved
Budget
Preliminary
FY2019
Actuals @
6/30/19
FY2020
Adopted
Budget
FY2021
Projection
FY2022
Projection
FY2023
Projection
FY2024
Projection
FY2025
Projection
Operating Financial PlanOperating Revenues
Undergraduate tuition & fees 117,518 119,682 121,405 125,538 128,677 131,894 135,191 138,571 142,035
Graduate tuition & fees 9,818 10,571 9,213 9,748 10,649 11,854 13,259 14,870 16,692
Less tuition scholarship allowances (15,324) (15,492) (16,312) (18,533) (18,980) (19,454) (19,941) (20,439) (20,950)
Net Student Tuition and Fees 112,012 114,761 114,306 116,753 120,346 124,293 128,509 133,002 137,777
State of New Jersey appropriations 27,177 27,177 27,177 28,698 28,698 28,698 28,698 28,698 28,698
State of New Jersey fringe benefits 26,765 33,227 27,126 33,227 33,227 33,227 33,227 33,227 33,227
Net student housing and board 49,332 51,133 50,026 52,177 53,789 55,403 57,065 58,777 60,199
Auxiliary activities 5,370 5,845 6,267 6,152 6,275 6,400 6,528 6,659 6,792
TCNJ Foundation Support 1,218 1,281 1,198 1,811 1,847 1,884 1,921 1,960 1,999
Revenue Diversification & Cost Savings - - - 1,350 1,600 2,100 2,150 2,250 2,250
Other Revenues 11,551 11,448 12,386 10,475 10,692 10,913 11,139 11,369 11,601
Total Base Financial Plan 233,425 244,872 238,486 250,643 256,473 262,918 269,238 275,941 282,543
Investment Income & Appreciation 5,605 5,571 5,568 6,100 6,680 7,314 8,009 8,770 9,603
TOTAL FUNDING AVAILABLE 239,030 250,443 244,054 256,743 263,153 270,232 277,247 284,711 292,146
FY2018
Final @
06/30/18
FY2019
Approved
Budget
Preliminary
FY2019
Actuals @
6/30/19
FY2020
Adopted
Budget
FY2021
Projection
FY2022
Projection
FY2023
Projection
FY2024
Projection
FY2025
Projection
Operating Financial PlanCompensation 137,466 147,061 141,409 150,410 154,170 158,025 161,975 166,024 170,590
Other Commitments 4,928 5,224 5,526 5,028 5,116 5,206 5,297 5,389 5,538
Maintenance & Utilities 13,353 13,873 13,532 14,123 14,370 14,622 14,878 15,138 15,554
Supplies & General Expenses 13,104 13,231 12,954 13,756 13,997 14,242 14,491 14,744 15,150
Other Expenses 1,479 1,986 1,571 2,188 2,226 2,265 2,305 2,345 2,410
IT Hardware & Software 5,183 6,232 5,401 6,368 6,479 6,593 6,708 6,826 7,013
Library Acquisitions 1,797 2,142 2,128 2,129 2,166 2,204 2,243 2,282 2,345
Contract Food Service 17,252 17,741 17,572 18,147 18,782 19,439 20,120 20,824 21,553
Debt Service (Principal & Interest) 25,001 26,870 26,870 26,034 26,096 30,382 30,471 30,499 27,115
Total Base Expenditure Plan 219,563 234,360 226,963 238,183 243,403 252,977 258,487 264,072 267,268
Operating Surplus before Transfers 19,467 16,083 17,091 18,561 19,750 17,255 18,760 20,639 24,878
Strategic One-Time Projects 2,855 1,500 - 2,000 1,000 - - - -
Asset Renewal Funding 9,663 10,295 10,295 10,295 10,295 10,295 10,295 10,295 10,295
Net Transfers & Carryforward 5,568 3,780 5,705 5,365 6,680 6,814 8,009 8,770 9,603
Total Transfers 18,086 15,575 16,000 17,660 17,975 17,109 18,304 19,065 19,898
Net Operating Surplus (Deficit) 1,381 508 1,091 901 1,775 145 455 1,574 4,980
116,245 119,079 119,079 121,756 121,756 126,365 132,037 139,105 146,277
119,079 120,546 120,546 121,756 126,365 132,037 139,105 146,277 159,1242,018 2,019 2,020 2,021 2,022 2,023 2,024 2,025
Outstanding Principal @ 6/30: 345,732 333,998 333,998 321,240 307,962 289,783 270,778 250,986 233,728
Reserves Ending Balance
Reserves Beginning Balance
FY2018
Final @
06/30/18
FY2019
Approved
Budget
Preliminary
FY2019
Actuals @
6/30/19
FY2020
Adopted
Budget
FY2021
Projection
FY2022
Projection
FY2023
Projection
FY2024
Projection
FY2025
Projection
192,798 201,133 199,837 204,956 210,176 219,750 225,260 230,845 234,041
Eight Key Performance IndicatorsReserves Ratio (50%) 61.8% 59.9% 60.3% 59.4% 60.1% 60.1% 61.8% 63.4% 68.0%
Year-End Operating Margins (2 - 4%) 8.1% 6.4% 7.0% 7.2% 7.5% 6.4% 6.8% 7.2% 8.5%
Net Student Revenue Dependence (66%) 67.5% 66.2% 67.3% 65.8% 66.2% 66.5% 66.9% 67.4% 67.8%
Endowment Power (5 -7% annually) 6.8% 9.0%
Donor Growth and Retention Rates (5% and .90)
Graduate Revenue Stream (15%) 8.8% 9.2% 8.1% 8.3% 8.8% 9.5% 10.3% 11.2% 12.1%
Revenue Diversification (15%) 9.9% 9.6% 10.4% 10.1% 10.3% 10.6% 10.7% 10.9% 11.0%
Debt Ratio (10%) 11.4% 11.5% 11.8% 10.9% 10.7% 12.0% 11.8% 11.5% 10.1%
Other Financial MetricsTuition Discount (10% -16%) 13.0% 12.9% 13.4% 14.8% 14.8% 14.8% 14.8% 14.8% 14.8%
Change in Operating Revenues (%) 4.1% 4.7% 2.1% 2.5% 2.4% 2.7% 2.6% 2.7% 2.6%
Change in Operating Expenses (%) 7.2% 5.6% 3.4% 1.6% 2.0% 3.9% 2.2% 2.2% 1.2%
NJ State Approp. Dependence (%) 22.6% 24.1% 22.3% 24.1% 23.5% 22.9% 22.3% 21.7% 21.2%
E &G Operating
Budget~$193 million
Projected Reserves
Scholarships &
Waivers
FTE Employment
Auxiliary Budget ~$64 million
~$122 million
~$18.5 million
1,198
Increase
from FY19
$1.3M
$3.0M
13
$1.6M
$4.9M
Net Tuition & Fees, $116.8 , 46%
Net Room & Board, $52.2 , 20%
State Appropriations, $61.9 , 24%
Auxiliary Activities, $6.2 , 2%
Investment Income, $6.1 ,
2%
TCNJ Foundation support, $1.8 , 1%
Other, $11.8 , 5%
FY20 Revenues = $256.7M
Compensation, $151.2 , 61%
Contract Food, $18.1 , 7%
Other Commitments,
$5.4 , 2%
Maintenance & Utilities, $14.1 , 6%
General Expenses, $14.9 , 6%
Asset Renewal, $10.3 , 4%
Hardware/Software, $6.4 , 3%
Library Acquisitions,
$2.1 , 1%Debt
Service, $26.0 , 10%
FY20 Expenditures = $248.5M
Invest $7.3M
Strategic Projects, 2.0M
Transfer to Reserves, $5.3M
Δ = $8.2M Surplus
Academic Year Item$ FY2016 FY2017 FY2018 FY2019 FY2020*
Undergrad Tuition & Fees (In-State) $15,446 $15,814 $16,169 $16,571 $16,943
Undergrad Tuition & Fees (Out-of-State) $26,378 $26,991 $27,598 $28,286 $28,921
Room & Board $12,570 $12,881 $13,200 $13,617 $14,048
Total Annual Expenses In-State $28,016 $28,695 $29,369 $30,188 $30,991
Total Annual Expenses Out-of-State $38,948 $39,872 $40,798 $41,903 $42,969
Annual Tuition & Fee Increase 2.95% 2.35% 2.25% 2.50% 2.25%
Annual Room & Board Increase 2.80% 2.50% 2.50% 3.16% 3.16%
Overall Annual Increase 2.90% 2.40% 2.30% 2.79% 2.66%
For every 1% Increase in ChargesAmount per
Student
FY20 Annual Increases
(@2.25% t&f; 3.16% r&b)
Undergrad Tuition & Fees (In-State) $166 $372
Undergrad Tuition & Fees (Out-of-State) $283 $638
Room & Board $136 $430
FY20 Planning:
*Note: This is the second lowest tuition and fees increase since FY2001.
Commonfund Higher Education Price Index (HEPI) was 2.8% for FY2018
and projected at 2.6% for FY2019.
FULL TIME STUDENTS (Flat Rate Over 12 Credits) / 3 Units CHANGE
FY 2019 FY 2020 AMOUNT PERCENT
UNDERGRADUATE - NEW JERSEY RESIDENT
TUITION 12,947.49 13,238.81 291.32 2.25%
GSF/CAPITAL 3,043.22 3,111.69 68.47 2.25%
STUDENT CENTER FEE 266.82 272.82 6.00 2.25%
STUDENT ACTIVITY FEE 293.69 299.56 5.87 2.00%
TOTAL 16,551.22$ 16,922.89$ 371.67$ 2.25%
13,617.21 14,047.61 430.40 3.16%
TOTAL COST 30,168.43$ 30,970.50 802.07$ 2.66%
UNDERGRADUATE - OUT OF STATE RESIDENT
TUITION 24,662.15 25,217.05 554.90 2.25%
GSF/CAPITAL 3,043.22 3,111.69 68.47 2.25%
STUDENT CENTER FEE 266.82 272.82 6.00 2.25%
STUDENT ACTIVITY FEE 293.69 299.56 5.87 2.00%
TOTAL 28,265.88 28,901.13 635.25 2.25%
13,617.21 14,047.61 430.40 3.16%
TOTAL COST 41,883.09 42,948.74 1,065.65 2.54%
CARD SERVICE FEE (FALL AND SPRING) 20.00$ 20.00$ - 0.00%
Pass through annual charge for all students without personal insurance effective August 1, 2019
UNDERGRADUATE STUDENT HEALTH INSURANCE 1,652.00$ 1,797.00$ 145.00 8.78%
GRADUATE STUDENT HEALTH INSURANCE 4,468.00$ 4,468.00$ - 0.00%
ROOM AND BOARD (BASE PLAN: ALA CARTE 1)
ROOM AND BOARD (BASE PLAN: ALA CARTE 1)