ACTION ITEM:

Approval of Biennial Budget Request Amount to Cover Projected FY 2022 Cash Shortfall.

FACTS:

On July 20, 2021, Governor Andy Beshear signed an executive order relating to Kentucky State University to ensure that the Council on Postsecondary is able to provide guidance, oversight, and resources to the Kentucky State University Board of Regents for a review of KSU's financial condition, so that KSU may continue to provide a high-quality education to its students.

The executive order includes four areas of focus:

1. CPE shall provide an assessment of the current financial status of KSU, and shall provide a report to the Governor detailing its assessment prior to providing recommendations concerning appropriations for the next biennial budget.
2. To assist CPE in performing its assessment, KSU shall provide CPE access to any records CPE deems necessary to preparing its assessment.
3. CPE shall assist the KSU Board of Regents in developing a management and improvement plan with goals and measurable metrics, which shall be subject to the approval of CPE. The management and improvement plan shall be designed to assist with organizational and financial stability. The management and improvement plan shall provide for continuing oversight by, and reporting to, CPE concerning the implementation of the plan.
4. CPE shall make recommendations to the KSU Board of Regents concerning the KSU administrative structure and leadership.

Focus #1 states CPE shall provide an assessment of the current financial status of KSU and shall provide a report to the Governor detailing its assessment prior to providing recommendations concerning appropriations for the next biennial budget.

CPE's President Aaron Thompson and Vice President/General Council Travis Powell will present the finance assessment and the projected FY 2022 Cash Shortfall for the Board's consideration for approval.

Finance and Administration