objectives and goals self-supporting programs enhanced revenue · back objectives and goals...

objectives and goals

2008-2011 adjustments

efficiency and effectiveness

educational & general financial

innovations

lower cost options

self-supporting programs

enhanced revenue

program eliminations

enrollment caps

access and financial aid

tuition proposal for FY12

PRESENTATION | ABOR SPECIAL MEETING | MARCH 8, 2011

objectives and goalsback

visionTo establish ASU as the model for the New American University, measured not by who we exclude, but rather by who we include; pursuing research and discovery that benefits the public good; assuming major responsibility for the economic, social and cultural vitality and health and well-being of the community.

objectives and goalsback

Non-medical research $700 million

University campus enrollment

85,000

Freshmen retention 90% 6-year graduation

70%

College, online & other enrollment

35,000

2020 2010

84%56%

3,000

$335 million

70,000

Arizona State University, 2010 to 2020

asu 2008 to 2011 academic programs & administrative supportreductions and adjustmentsback

Arizona State University State Investment and Stimulus Impact per Full Time Enrolled Student

adjusted for inflation using the Consumer Price Index FY 1963-2011

$4,000

$4,600

$5,200

$5,800

$6,400

$7,000

$7,600

$8,200

$8,800

$9,400

$10,000

1963

1965

1967

1969

1971

1973

1975

1977

1979

1981

1983

1985

1987

1989

1991

1993

1995

1997

1999

2001

2003

2005

2007

2009

2011

Temporary stimulus funding

State investment with $170 million system cut = $4403

$7,085

$6,365

$9,325$9,170

$4,389

$5,274

$5,746

$8,264$8,079

$5,468

$6,759

Tuition backfill for general fund reductions

Base state investment

$5,902$5,692

Net Decrease in Number of State/Tuition Funded Faculty

2,450

2,525

2,600

2,675

2,750

2,825

2,900

2008 2010

2,609

2,838


Net Decrease in Number of State/ Tuition Funded Staff

3,300

3,450

3,600

3,750

3,900

4,050

4,200

Fall 2008 Fall 2010

3,621

4,178


Employee Reductions by Category: All Funds

0

1,750

3,500

5,250

7,000

Staff Faculty

2,875

6,197

3,095

6,773Fall 2008 Fall 2010


ASU FTE Employees per 100 FTE StudentsState and Local Funding Sources (excludes Sponsored Sources)

0

3

5

8

10

Total staff Total faculty

3.8

7.7

4.0

8.0

4.5

9.7Close of FY2008Start of FY2010Start of FY2011


Fewer Class Offerings: Number of sections

5,600

5,667

5,733

5,800

5,867

5,933

6,000

Fall 2008 Fall 2009

5,740

5,948 Reduction in class offerings provides fewer options for students.


Increased Class Size

500

883

1,267

1,650

2,033

2,417

2,800

Classes with less than 20 students Classes with more than 50 students

912

2,457

819

2,739Fall 2008 Fall 2009


Academic unit level Units disestablished Units established Net reduction

Colleges 9 3 6

Departments 47 15 32

Total 56 18 38

Unit reductions allowed major cost savings through consolidation of administrative structures

Academic Unit Reductions between Fall 2008 and Spring 2010


Furloughs Imposed in FY09 to Avoid Mid-Semester Program Cuts

9.2%

Classified staff

11.1%

Faculty and professional staff10 furlough days 12 furlough days

13.8%

Senior administrators15 furlough days

= reduction in pay (Feb 09 - June 09)

All employees were furloughed for 10 to 15 days in FY09. Paychecks were reduced by 9.2% to 13.8% for five months.

Total one-time savings was $25 millionasu 2008 to 2011 academic programs & administrative support

reductions and adjustmentsback

Annual Administrative Cost Savings

-$3,000,000

-$2,700,000

-$2,400,000

-$2,100,000

-$1,800,000

-$1,500,000

-$1,200,000

-$900,000

-$600,000

-$300,000

$0

-$1,200,000

-$2,500,000


Network Data Services

Energy Efficiency

Annual Administrative Cost Savings

-$700,000

-$630,000

-$560,000

-$490,000

-$420,000

-$350,000

-$280,000

-$210,000

-$140,000

-$70,000

$0

-$155,000

-$500,000

-$200,000-$130,000

-$606,000

-$200,000


document management

procurement process improvements

electronic purchasing

energy performance contracting

energy conservation

waste disposal, water capture

Annual Administrative Revenue Enhancement

$0

$400,000

$800,000

$1,200,000

$1,600,000

$2,000,000

$2,400,000

$2,800,000

$3,200,000

$3,600,000

$4,000,000

Food Service Sports Marketing

$4,000,000

$3,200,000


efficiency and effectivenessback


Note: Texas also receives $165M annually from it “Permanent University Fund”- a state provided endowment. This has a value that would add $12,480 to it cost per degree.


Note Texas also receives $165M annually from it “Permanent University Fund”- a state provided endowment. This has a value that would add $12,480 to it cost per degree.

Tuition and State Appropriation Revenue per Degrees AwardedVery High Research Public Universities with $14k to $17.5k per FTE Revenue (FY09)

Increase in Student FTE per Faculty FTE

23.0

23.6

24.1

24.7

25.2

25.8

26.3

26.9

27.4

28.0

28.5

Fall 2008 Fall 2010

27.9

24.7


Faculty Productivity Increases

$0

$19,000

$38,000

$57,000

$76,000

$95,000

$114,000

$133,000

$152,000

$171,000

$190,000

FY 2009 FY 2010

$185,000

$142,000

Research expenditures per tenured/tenure-track faculty


40%

44%

48%

52%

56%

60%

64%

68%

72%

76%

80%

ABOR guidelnes ASU

71%

60%

Tempe Campus Lecture Halls Percent Full Compared to ABOR Guidelines


Lecture Hall Tempe Hours Used per Week Compared to ABOR Guidelines

0

4

8

12

16

20

24

28

32

36

40

ABOR guidelnes ASU

40

30


Arizona State University vs PeersInstitutional Support and Operations & Maintenance Expenses Per FTE Student (FY09)

0

667

1,333

2,000

2,667

3,333

4,000

Institutional support O&M

1,5502,200

3,450

2,700

Peers ASU


Arizona State University vs PeersFull-Time Employees Per 100 FTE Students (FY09)

0

2.50

5.00

7.50

10.00

12.50

15.00

Executive/Admin/Prof Employees Service/Maintenance Employees

0.60

7.50

2.40

10.75

Peers ASU


educational & general financial situationback

Tracking Overall Student ProgressCohorts are defined by the academic year that the student enters ASU as a full-time freshmen.

eAdvisor Impact

innovationsback

innovationsback

Improvement in Freshmen Retention after Introduction of eAdvisor

76%

78%

81%

83%

85%

Fall 2006 Fall 2007 Fall 2008 Fall 2009

84.0%

81.2%

79.5%

77.2%

innovationsback

innovationsback

Faculty Cost of Teaching 9,225 Freshmen Math Students: Old vs. New Model

$0

$750,000

$1,500,000

$2,250,000

$3,000,000

Old Model New Model

$1,039,216

$2,141,412

innovationsback

$0

$1,075,000

$2,150,000

$3,225,000

$4,300,000

Old Model New Model

$3,383,800

$4,230,550

Faculty Cost of Teaching Freshman English:Old vs. New Model

lower cost optionsback

Cost of degree with traditional and accelerated calendar

$0

$7,500

$15,000

$22,500

$30,000

Traditional 8 semester schedule 6 semester schedule 5 semester schedule

$18,213$21,855

$29,140Calendar changes are effective Spring 2012 for face to face classes, in effect now for online.

Proposed Lower Tuition for Lower Division for New College (West) and College of Technology and Innovation (Poly) if Tuition and Fee Increases Approved

$6,000

$6,325

$6,650

$6,975

$7,300

Other Colleges Tuition New College and Technology & Innovation

$6,557

$7,285

lower cost optionsbackLower Division Tuition Lower Division Tuition


Colleges@ASU: Lake Havasu City Possible Tuition

$0

$2,000

$4,000

$6,000

$8,000

ASU Tuition Possible Tuition in Lake Havasu City

$6,000

$7,285

There are now MAPPs available in more than 90 majors, and as of January 2011, more than 3,600 students are enrolled in the MAPP program.

MAPP and TAG will Reduce Excess Transfer Hours and so Cost of Degree


self-supporting programsback

all other sources69%

resident US tuition20%

state appropriations11%

FY2020

enhanced revenueback

all other sources56%

resident US tuition11%


prior to recent state budget activities FY2008

all other sources62% resident US tuition

20%


following new proposed reductionsFY2012

Gross Revenue for All Activities

program eliminationsback

Bachelor programs: 12 programs eliminated2 programs pending elimination2 programs to be eliminated10 programs under review17% of the total number of programs

Masterʼs programs: 5 programs eliminated1 program pending elimination19 programs to be eliminated2 programs under review20% of the total number of programs

Doctoral programs: 1 program eliminated1 program pending elimination8 programs to be eliminated2 programs under review15% of the total number of programs

Arizona State UniversityPrograms Eliminations 2007 to 2011

0

150

300

450

600

750

900

1,050

1,200

1,350

1,500

Planned New Students in Engineering New Class if Enrollment Cap

1,100

1,500

enrollment capsback

Reduction in New Students in Engineering (if tuition proposal not approved)

0

40

80

120

160

200

240

280

320

360

400

Current Students in BSN 1st year after program elimination 2nd year after program elimination

0

180

350

enrollment capsback

Reduction in Students in Nursing(if tuition proposal not approved)

access and financial aidback

Average ASU In-State Tuition PaidAid Years 2007 through 2009

Published tuition price


FY 2011 Estimate Net Tuition Paid by Level of Family Income Full Time Arizona Resident Undergraduate Students


ASSUMPTIONS

Based on tuition rate projections as of March 2011

Includes estimated use of American Opportunity Tax Credit

Distribution of family income in FY12 comparable to FY11

No change in Pell Grant award maximums

Students enroll and graduate at rates comparable to prior years

Enrollment planning targets are met

Net tuition paid by level of family income will reduce if 2012 merit expenditures are reduced

FY 2012 Projection Net Tuition Paid by Level of Family Income Full Time Arizona Resident Undergraduate Students


Student Indebtedness Change in 4 Year Tuition Sticker Price vs. Change in Resident Indebtedness2005-06 to 2009-10

$0

$1,500

$3,000

$4,500

$6,000

$1,069

$5,700Total change in 4 year tuition charge

Total change in debt on graduation


Average Student Loan Indebtedness at GraduationClass of 2009

$0

$6,000

$12,000

$18,000

$24,000$24,000

$19,142

ASU Undergraduates

National Undergraduates

3/7/11. The Institute for College Access & Success October 2010 report: The Project on Student Debt: Student Debt and the Class of 2009


Arizona State University Student Indebtedness% of Graduating Seniors with Student Loan Debt


0

3,000

6,000

9,000

12,000

15,000

18,000

21,000

24,000

27,000

30,000

2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11

22,487

18,454

13,33411,59711,71412,13712,34811,957

10,3449,238

ASU Pell Grant Recipients: 9 Year Trend 143% increase over 9 years

Average Tuition Paid – Arizona Residents


Tuition and Mandatory Fees Number of Students % of Total Average Amount$0 16,815 48% $0$1 - $499 1,724 5% $153$500 - $999 954 3% $789$1,000 - $1,499 883 3% $1,259$1,500 - $1,999 964 3% $1,830$2,000 - $2,499 521 1% $2,282$2,500 - $2,999 897 3% $2,756$3,000 - $3,499 467 1% $3,297$3,500 - $3,999 363 1% $3,719$4,000 - $4,499 223 1% $4,294$4,500 - $4,999 82 0% $4,792$5,000 - $5,499 70 0% $5,215$5,500 - $5,999 0 0% $0≥ $6,000 0 0% $0No Gift Aid 10,963 31% $5,997TOTAL 34,926Average Tuition Paid $2,231

tuition proposal for FY12back

Two year tuition plan presented in March 2010 to replace stimulus funding in two steps in FY11 and FY12. FY11 component approved in April 2010 and overall plan endorsed by the Board at that time.ASUʼs base proposal for FY12 remains as endorsed last year.

Newly proposed state reductions require a supplemental increase to the endorsed base plan.ASU requests that only 40% ($31M of $78M) of the reduction proposed by the Governor be replaced by increased revenue.Average of an additional $450 for most undergraduates in base tuition.Differential tuition or program fees established, increased, or extended to freshman and sophomores in undergraduate programs.

Arizona State University FY2012 Tuition Proposal


Effect on a Class Size of Differential Tuition in Engineering: Number of First Time Freshmen

0

120

240

360

480

600

720

840

960

1,080

1,200

Before fee (2009) After fee (2010)

1,157

939


0%

13%

25%

38%

50%

Underepresented minorities Pell eligible Admitted to enrolled

46%

32%

25%

43%

28%23%

Effect of Differential Tuition on Freshmen Class Composition and Yield in Engineering

Before fee (2009)After fee (2010)

objectives and goals self-supporting programs enhanced revenue · back objectives and goals...

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