2011/12 Supplemental Documentation

Sources of Revenue: Marginal Cost of Instruction

5/2/11 Update
Refer to Memo B 11-01 April 2011-12 Budget Allocation Memo (.pdf) for the updated 2011-12 marginal cost rate.

Program 2010/11 General
Fund (GF)
Final Budget1
(in 000s)
Program
Area MC
Factor Discounts
(in 000s)
2011/12 GF MC Factor Per FTES2 2010/11 Student
Tuition3
(in 000s)
Program Area MC
Factor Discounts
(in 000s)
2011/12 Student Tuition MC Factor Per FTES2
Instruction $1,463,555 $0 $4,306 $417,150 $0 $1,284
Research 2,201 (2,201) 0 0 0 $0
Public Service 6,276 (6,276) 0 0 0 $0
Academic Support 325,873 (21,923)4 894 179,712 (15,624)4 $505
Student Services 279,644 0 823 118,561 0 $365
Institutional Support 384,227 (129,209)5 750 204,594 (44,958)5 $492
Operation and Maintenance of Plant 303,128 (123,032)6 530 238,964 (46,266)6 $593
Student Financial Aid 33,785 (33,785) 0 454,472 (454,472) $0
Totals $2,798,689 ($316,426) $7,303 $1,613,453 ($561,320) $3,239
Instructional Equipment 33,499 - 99      
Totals
with I.E.
$2,832,188 ($316,426) $7,402      
2011/12 GF Marginal Cost
with 3% COLA7
$7,624  
2011/12 Total Marginal Cost of Instruction $10,863
Less: Tuition Revenue 3,239
General Fund Support $7,624
1 2010/11 Adjusted Final Budget GF includes a post-final budget employer-paid retirement adjustment of an estimated $75.253 million, and a 2010-11 GF adjustment of $305 million for funding restoration, which includes $106 million in one-time federal funds. A small residual amount of $552,869 was also provided as one-time federal funds. However, the $552,869 is not intended to be a permanent base increase, and is not reflected in the marginal cost calculations above. In addition, $60.6 million for 2.5 percent enrollment growth is also included.
2 GF divided by the 2010/11 resident FTES target only, 339,873; tuition is divided by the 2010/11 total FTES target (resident and nonresident), 324,826, which is subject to change due to differing FTES assumptions from the recently enacted 2010-11 Budget.
3 Includes systemwide tuition revenue from resident and non-resident students, except non-resident tuition.
4 Excludes museums and galleries, ancillary support, and academic personnel development.
5 Excludes executive management and public relations/development.
6 Excludes physical plant administration, logistical services, information technology, major repairs, and lease purchase.
7 Reflects DoF Methodology for adjusting current year marginal cost for budget year operating cost increases.