HTML — PaddleOCR-VL (Baidu)

KENTUCKY STATE UNIVERSITY MISSION STATEMENT

Kentucky State University is a public, comprehensive, historically black land-grant university committed to advancing the Commonwealth of Kentucky, enhancing society, and impacting individuals by providing quality teaching with a foundation in liberal studies, scholarly research, and public service to enable productive lives within the diverse global economy.

KENTUCKY STATE UNIVERSITY VISION STATEMENT

Kentucky State University prepares today's students as global citizens, lifelong learners and problem solvers. To accomplish this, Kentucky State University must challenge itself and its students to be the best. It must recognize its strengths, expand and excel. Notwithstanding, it must also welcome change and quality improvement. By doing so, KSU will gain widespread recognition as one of the region's strongest universities. As a university of distinction, Kentucky State University will create an environment where:

Students are first.

☑ Diversity is valued, understood and respected.

Diverse, motivated and talented students, staff and faculty are actively recruited and retained.

An intellectual environment conducive to leadership in teaching, research and community service is encouraged and supported.

● Effective teaching is promoted both inside and outside the classroom.

Students are taught how to obtain, evaluate and use information.

Learning is lifelong.

Effective and efficient fiscal management by the administration is the norm.

● Collegiality is the norm, not the exception.

Each person is a change agent.

Excellence starts with me.

Page 3 Download HTML

KENTUCKY STATE UNIVERSITY CORE VALUES

Through the core values, we- the faculty, staff, administration and students of Kentucky State University – communicate to all our stakeholders and constituents the way in which we choose to do business. The following values that we hold are essential to achieving the University's mission:

Student Centered Philosophy

In everything we do, our students come first. We strive to create an environment that values the unique backgrounds, perspectives and talents of all our students and provide them with the academic, leadership and social tools to help them grow as responsible, knowledgeable and creative global citizens. We encourage attitudes and behaviors that lead to a desire to learn, a commitment to goals and respect for the dignity of others. Ultimately, we encourage attitudes and behaviors that build success.

Excellence and Innovation

We believe in student's potential to learn and to connect what they learn inside and outside the classroom to solving problems for productive changes. We strive to offer excellent academic programs; to encourage exploration and discovery through providing outstanding instruction, technology and facilities; and to ignite a curiosity toward the world and a passion for lifelong learning. We seek to reward the pursuit and achievement of excellence and innovation in an environment where freedom of thought and expression are valued. We want all members of our campus community to leave a mark through their creativity, curiosity, discovery, exploration and ingenuity.

Ethical Conduct

We encourage the sharing of information in an open and responsible manner while maintaining the highest ethical and moral standards. The standards are reflected in our commitment to accountability and to personal responsibility for our choices and actions. We encourage respect for the dignity, diversity and right of individuals. We welcome all students who commit themselves to learning, knowing that students and faculty with diverse perspective enhance our classroom experience.

Social Responsibility

We share responsibility for each other and are committed to providing opportunities for the participation in the economic, political and cultural life of our local, state, regional, national and global communities. We are sensitive to our surrounding community; therefore, we recognize the value of integrating classroom learning with the community experience. Our commitment is to provide leadership and to establish partnerships for addressing community and workforce needs and to make a positive difference in the city of Frankfort, the Commonwealth of Kentucky and the world.

Page 4 Download HTML

KENTUCKY STATE UNIVERSITY COUNCIL OFFICERS

Dr. M. Christopher Brown II Eighteenth President

Dr. Beverly Schneller Acting Provost and Vice President for Academic Affairs

Mr. Douglas R. Allen II Executive Vice President for Finance and Administration / CFO

Ms. Clara Ross Stamps Senior Vice President for Brand Identity and University Relations

Vacant Institutional Advancement

Dr. Derek F. Greenfield Vice President for Student Engagement and Campus Life

Ms. Lisa Lang General Counsel, and Records Custodian

Page 5 Download HTML

KENTUCKY STATE UNIVERSITY BOARD MEMBERS

Mr. Ron Banks (2023) Ms. Mindy Barfield, Esq. (2021) Ms. Kierra Donald (2020), Student Regent Dr. Elaine Farris (2020), Chairperson Ms. Chandee Felder (2020), Staff Regent Mr. Paul C. Harnice, Esq. (2022) Mr. Dalton Jantzen, MS (2022) Dr. Joe Moffett (2020), Faculty Regent Dr. Syamala H.K. Reddy (2021) Mr. Roger Reynolds (2018)

KENTUCKY STATE UNIVERSITY ELECTED BOARD OFFICERS

Dr. Elaine Farris, Chairperson Mr. Dalton Jantzen, Vice Chairperson Dr. M. Christopher Brown II, Secretary Mr. Douglas R. Allen II, Treasurer

Page 6 Download HTML

KENTUCKY STATE UNIVERSITY BOARD COMMITTEES

ACADEMIC AFFAIRS Regent Dalton Jantzen, Chair Regent Mindy Barfield Regent Kierra Donald Regent Elaine Farris Regent Joe Moffett Regent Roger Reynolds

BRAND IDENTITY AND UNIVERSITY RELATIONS Regent Roger Reynolds, Chair Regent Ron Banks Regent Elaine Farris Regent Dalton Jantzen Regent Joe Moffett

INSTITUTIONAL ADVANCEMENT

Regent Ron Banks, Chair Regent Elaine Farris Regent Chandee Felder Regent Paul Harnice Regent Syamala Reddy Regent Roger Reynolds

FINANCE AND ADMINISTRATION Regent Mindy Barfield, Chair Regent Elaine Farris Regent Paul Harnice Regent Dalton Jantzen Regent Roger Reynolds

ENROLLMENT MANAGEMENT AND STUDENT ENGAGEMENT Regent Elaine Farris, Chair Regent Ron Banks Regent Kierra Donald Regent Chandee Felder Regent Paul Harnice Regent Dalton Jantzen

GOVERNANCE Regent Paul Harnice, Chair Regent Mindy Barfield Regent Elaine Farris Regent Chandee Felder Regent Syamala Reddy Regent Roger Reynolds

EXECUTIVE Regent Elaine Farris, Chair Regent Ron Banks Regent Mindy Barfield Regent Paul Harnice Regent Dalton Jantzen Regent Roger Reynolds

Page 7 Download HTML

KENTUCKY STATE UNIVERSITY BOARD OF REGENTS Special Meeting of the Board of Regents

Tuesday, May 5, 2020, 1:00 p.m.

Meeting Will be Conducted by Teleconference***

Zoom Link: https://kysu.zoom.us/s/93449485204 Webinar ID: 934 4948 5204 Phone One-Tap: +16468769923,,93449485204# or +13017158592,,93449485204#

AGENDA

Call to Order

Regent Elaine Farris, Chair, Board of Regents

Roll Call

Dr. M. Christopher Brown II, Board Secretary

Adoption of the Agenda

Regent Elaine Farris

Information Item(s)

Dr. M. Christopher Brown II

Thorobred Strong: Adjusting to New Realities, Advancing Our Historic Mission

Dr. M. Christopher Brown II

Action Item(s)

Approval of Budget Adjustment and Reduction in Force

Approval of Campus Travel Policy

Approval of Proposed 2020-2021 Tuition & Fees

Adjournment

Regent Elaine Farris

Kentucky State University Board of Regents 2020 Quarterly Meeting Dates June 4-5, 2020 September 3-4, 2020 December 3-4, 2020

Page 8 Download HTML

KENTUCKY STATE UNIVERSITY BOARD OF REGENTS

DATE: May 5, 2020

SUBJECT: Thorobred Strong: Adjusting to New Realities, Advancing Our Historic Mission

FROM: GOVERNANCE

ACTION ITEM: NO

BACKGROUND: In response to the declaration of a State of Emergency issued by Governor Beshear, Executive Order 2020-215, Kentucky State University must realign operations and reduce the ongoing personnel budget to help in mitigating any current and future challenges to institutional finances. The attached document outlines the complex budget realities facing the campus.

SUMMARY OF PROGRAMS/ACTIVITIES: Overview of the fiscal actions that will be undertaken by Kentucky State University in response to the COVID-19 pandemic to provide sustainable support to the students, faculty, staff, and institutional stakeholders.

ALIGNMENT WITH STRATEGIC GOALS:

Goal 1: Enhance Student Enrollment, Improve Student Life and Engagement, and Improve Student Advising and Career Development.

Goal 2: Achieve Academic Excellence Across all Programs and Colleges, Increase Student General Education Skills, Degree Persistence, Career Readiness and Graduation Rates.

Goal 3: Increase the University's Financial Strength and Operational Efficiency.

Goal 4: Enhance the Impact of External Relations and Development.

Goal 5: Obtain Maximum Institutional Effectiveness through the Implementation of a Continuous Quality Improvement Process framed within the seven Baldrige Performance Excellence in Education criteria.

PROGRAM IMPLICATIONS: N/A

FISCAL IMPLICATIONS: N/A

RECOMMENDATION: N/A

ATTACHMENTS: YES

Page 9 Download HTML

Page 10 Download HTML

Page 11 Download HTML

Kentucky State University New Realities Impacting Fiscal Stability

Many individuals who grow up in coastal South Carolina learn early in life how to predict shifts in the weather. It is very common to tune in to the smell of sulphur in the atmosphere, detect moisture in the wind, and observe dark clouds approaching from the distance. As the hub of the national hurricane corridor, sensory perception is critical for preparedness. Inasmuch as I bring my whole-self to my role as president of Kentucky State University, it is my assessment that our campus faces a gathering storm of new realities and fiscal stress in the near future. It is imperative that the campus respond to the current fiscal year pressures and anticipate a continued downpour of financial constraints. In the pages that follow, I detail the campus plan to cut expenses for the last two months of the fiscal year and to brace for a potentially steeper fiscal cliff next year.

It is imperative that the campus respond to the current fiscal year pressures and anticipate a continued downpour of financial constraints. In the pages that follow, I detail the campus plan to cut expenses for the last two months of the fiscal year and to brace for a potentially steeper fiscal cliff next year.

Kentucky State University cannot continue business as usual. We must realign our workforce and operations to best-endure the new uncertainties related to face-to-face instruction, residential student housing composition, implications from parental/guardian unemployment, declining state appropriations, and a predicted downturn in college-going nationwide. We cannot wait to see what happens, we must act now.

To this end, campus management has posed and responded to three questions for the short-term: (1) What are the historic institutional activities/operations prior to the coronavirus (COVID-19) pandemic that we no longer need to continue?; (2) What are the new institutional activities/operations required as a result of COVID-19 that are now the new normal?; and (3) What efficiencies can we capture as a result of our present situation that will position us for growth and long-term sustainability?

Kentucky State University is readying the FY2021 annual budget for review by the Board of Regents. It is imperative that cost-containment measures occur early rather than late. An immediate set of permanent reductions will increase our institutional agility as we weather the aftermath and/or continuing effects of the COVID-19 pandemic.

These decisions are not pleasant, but necessary for the near term. As such, the campus needs stakeholders to support Kentucky State University's efforts to sustain our historic mission into the future by making prudent fiscal decisions in the present.

We will be lean for the ensuing years. But we will remain Thorobred Strong.

Christopher Brown II, Ph.D.

18th President

Kentucky State University

Page 12 Download HTML

CAMPUS MANAGEMENT & DAILY OPERATIONS

The COVID-19 pandemic has provided Kentucky State University an opportunity to learn a great deal about our institutional capacity and our workforce. We have learned that amid profound challenges the staff has an ability to work cohesively to complete time-sensitive tasks. We have discovered the adaptability of our students to multiple modes of academic and social engagement. We have studied how to manage our campus facilities to comply with social distancing and health safety. Even more, we have confirmed that Kentucky State University has a core identity and set of values emblematic of the strong, focused, and swift thorobred.

These strengths are countered by challenges in staffing levels and workforce efficiency. The campus has identified areas that are overstaffed and areas that are understaffed. It is now very apparent that the aging complex of residence halls are not conducive to student health in the face of a pandemic. These facilities are also noncompliant with first responder needs in terms of bathroom facilities and current privacy models. These truths are a part of the fact that higher education is undergoing a set of changing circumstances and institutional operations must adjust to survive.

Resultingly, Kentucky State University is also closely tracking the substantial new expenses required to manage the impact of the COVID-19 virus. Like our postsecondary compeers, our campus faces the potentiality of significant losses in expected revenues due to numerous refunds and cancellations of programs. There are also the existential questions of when, how, and if our campus (or any campus) will resume normal operations. With these facts in mind, Kentucky State University is implementing a series of steps to address our immediate budgetary concerns and uncertain fiscal landscape.

address our immediate budgetary concerns and uncertain fiscal landscape.

As the administration plans for a murky future, we have elected to employ the following actions. While the below are not the full sum of possible management or operational adjustments, they are designed to accommodate what the campus can reasonably forecast and control at this time.

Discretionary Spending

All discretionary spending is suspended immediately. This includes travel, food/meals, conferences and events, recognition banquets, and other expenditures that are not critical to the operation of the University. All divisions, colleges, schools, units, departments and programs must pause new non-salary expenditures, including (but not limited to): contracts, service or consulting agreements; computer, office and laboratory equipment; renovations; furniture; travel and entertainment; meetings and conferences. Any ongoing expenditure of University funds (including grant, gift and endowment funds) greater than $1,000 will require pre-approval by the Executive Vice President and President. Only essential expenditures that directly support the mission of Kentucky State University will be approved; even so, they will require both the signature of the Provost or Executive Vice President.

• Restricted Hiring of Personnel

We have enacted a university-wide hiring pause on targeted vacancies. The only hiring permitted will be related to academic instruction, online-course delivery, accreditation, and/or revenue generating/oversight positions. Requests for exceptions to the above positions that are essential to the operation of

Page 13 Download HTML

the university must be made through the vacancy management process, which requires the final approval of the Executive Vice President and President. It is unlikely that any exception will be granted unless the position is extramurally funded and required by the grantor. Even so, the position must be mission-critical, essential to business operations, and described in a manner that no current staff member is able to assume the duties.

• Realignment of Workforce and Operations

As we strive to build community with and among those we serve, Kentucky State University will ask some employees to shift responsibilities in order to fulfill our mission. These shifts will account for the current and potential ongoing remote and telecommuting nature of campus operations. Even more, the campus acknowledges that there are some tasks that cannot be completed remotely and will need to eliminate those positions. Between now and the end of the fiscal year, there must be a significant effort to reduce ineffective manpower and refocus on only those positions that can expand and enhance remote engagement with our current and future students. Additionally, all management staff have been tasked to significantly reduce their budget proposals and generate continued savings by reducing non-essential programs, activities, events, and positions. Given the breadth of institutional personnel expenditures, it is necessary to make reductions to uphold our core mission and attend to the needs of our students physically or virtually.

engagement with our current and future students. Additionally, all management staff have been tasked to significantly reduce their budget proposals and generate continued savings by reducing non-essential programs, activities, events, and positions. Given the breadth of institutional personnel expenditures, it is necessary to make reductions to uphold our core mission and attend to the needs of our students physically or virtually.

There is no question that the COVID-19 pandemic presents an ever-changing set of circumstances for Kentucky State University to navigate. In response to this still developing crisis, our campus must adjust thoughtfully and swiftly to a new operational model and more sustainable set of institutional practices. Just as the nation's healthcare professionals have taken measures to contain the spread of the virus, higher education professionals must act to address emerging fiscal realities and new financial constraints. The above actions have all been taken with two aims in mind: to sustain our historic mission and to support the financial well-being of the campus for the foreseeable future.

Page 14 Download HTML

A LOOK AT THE NUMBERS

A review of the Kentucky State University budget highlights the current sources of revenue. However, attention to fund categories and agency restrictions clarify the $20,003,000 variance in available campus management funds. While the campus oversees federal agricultural land-grant programs and corollary extramural funds, these passthrough funds cannot be utilized for general operational expenses.

TOTAL 2019-2020 INSTITUTIONAL REVENUES BUDGET

State General Appropriations	$18,674,200
State Land-Grant Match	$6,584,900
Federal Appropriations	$9,585,300
Tuition and Fees	$17,500,000
Title IV Disbursements	$10,417,700
Auxiliary Services	$5,240,000
Interest and Indirect Costs	$675,000
TOTAL	$68,677,100

ACTUAL 2019-2020 CAMPUS MANAGEMENT BUDGET

Total Institutional Revenues	$68,677,100
Federal Land-Grant Match	($6,584,900)
State Land-Grant Match	($6,584,900)
Other Grants/Contractual Awards	($6,833,200)
TOTAL	$48,674,100

Annually, Kentucky State University divides the available campus management funds into various areas of activity to deliver the services necessary to fulfill our institutional mission. The largest portion of campus funds are focused on academic functions, closely followed by general/clerical administration, and then student support services. The lowest expense activity is managerial staffing costs.

2019-2020 CAMPUS MANAGEMENT BUDGET BY ACTIVITY AREA

Academic Instruction	$16,886,014	35%
Administrative Services	$3,484,617	7%
Campus Operations	$15,242,592	31%
Facilities and Grounds	$2,589,113	6%
Intercollegiate Athletics	$2,745,540	6%
Managerial Costs	$1,388,400	2%
Student Support	$6,337,824	13%
TOTAL	$48,674,100	100%

Page 15 Download HTML

Normal campus operations have been upended by the COVID-19 global pandemic. The statewide shelter-in-place led to reassigning non-essential campus personnel into teleworking professionals and ultimately nullified the on-campus student census. In this new reality, campus staff have been unable to collect outstanding student balances (in some cases complicated by furloughed or unemployed parents) and/or collect outstanding grant funds. Campus administration has also expended unbudgeted funds to purchase personal protective equipment for campus workers (and potential returning students). All of which is underscored by the need to refund in cash or credits a prorated portion of auxiliary revenues to students in campus housing or with meal plans. As a result, Kentucky State University projects a $6,072,860 loss of revenues and/or unbudgeted expenditures in the final quarter of the fiscal year.

PROJECTED LOSS OF REVENUES & UNBUDGETED EXPENSES

Additional Internet Points and Connectivity	157,586
Auxiliary Services (e.g., Flex, Bookstore)	415,250
Cash Housing Refunds	74,500
COVID-19 Liberal Leave Extension	691,321
Extension Personnel Communication Kits	78,000
Evans-Allen Research Assistantships	500,000
Graduation Fee Collection	30,000
Housing Credits Applied to Accounts	728,937
Inactive Poultry and Vegetable Processing	63,000
Online Expansion and Instructional Software	447,550
Quality Matters\circledR Review of Online Courses	135,760
Sodexo\circledR Contract Costs	319,722
Uncollected Accounts Receivables	2,431,234
TOTAL	6,072,860

It is important to note that in addition to the immediate campus concerns with the loss of revenues and/or unbudgeted expenditures related to COVID-19, external to the campus there are serious concerns about future state revenues and appropriations. Even more there are national concerns about a likely recession impacting the ability of students and parents to afford college tuition and fee payments.

Kentucky State University is closely monitoring the shifting higher education landscape to assess and interpret real-dollar implications for future campus operations. Consider the unusual decision of the Commonwealth legislature to pass a one year rather than biennial budget citing concerns about future tax receipts and economic activity for the short term and possibly long term. Shifting revenue reports create a tangible possibility for midyear cuts from the upcoming FY2021 one-year budget appropriation.

Page 16 Download HTML

As further evidence of the above, the State Budget Director has already issued a directive on April 29, 2020 for public colleges in the Commonwealth to return 1% of “each institution’s regular appropriation plus any performance fund distribution and the current year appropriation for KSU’s land grant match”. This actual twelve-month budget cut in the final two months of the current fiscal year highlights the tremendous financial constraints our campus can anticipate in the months and years to come. Even more, there is growing nationwide uncertainty about the nature and volume of fall higher education enrollments given the absence of a proven treatment or vaccine for COVID-19 and the increasing rate of unemployment and furloughs among parents and guardians of college-aspiring students.

Kentucky State University has engaged in internal and nondisruptive cost containment measures to address the unprecedented financial impacts of the COVID-19. With focus and diligence, management has frozen targeted vacancies, halted travel, renegotiated existing contracts, and eliminated personal service agreements. These efforts have mitigated a large brunt of the potential FY2020 average. Some examples of campus management actions include:

Freezing more than $863,000 in vacant positions;

Terminating $195,000 worth of personal services agreements;

Revising contractual terms and agreements for a savings of $687,000;

Transitioning to a shared-service university prescription program for an annualized savings of approximately $200,000;

Elimination of the Commonwealth-supported Go365 wellness program with a fiscal year participation cost of almost $50,000; and

Implementing a Shared Sick Leave Policy with a projected annual savings of more than $35,000.

While campus management has reduced the potential fiscal year short-fall arising from the impacts of COVID-19 on operating revenues to a substantial degree, there is more fiscal attention needed to close the current fiscal year and plan for FY2021. Kentucky State University still needs to identify an additional $1,342,822 before the close of the current year to maintain compliance with the Commonwealth's HB-303 passed in 2016, Southern Association of Colleges and Schools Commission on Colleges accreditation standards, and the charge from the Board of Regents at the March 2020 quarterly meeting to be certain to end the year with a positive balance. It is not practicable to fully absorb the projected loss of revenue and unbudgeted expenses without eliminating duplicative staffing services and reducing administrative costs. The strategic realignment of remaining personnel can lead to improved institutional effectiveness, better customer service, and enhanced transparency and accountability across the campus.

Kentucky State University believes it is necessary to immediately reduce the annual campus management budget by $2,320,355. The result will be no less than $290,044 in current year fiscal savings. This reduction is permanent and will carry-forward into FY2020-21. It is possible to achieve these savings through a reduction in force, employee realignment, and cessation of duties. This action is prudent and achieves the fiduciary duty the institution owes to the Commonwealth of Kentucky and our stakeholders. Immediate action to realign the workplace allows the campus to adjust to our new realities and advance our historic mission.

Page 17 Download HTML

ANNUALIZED WORKFORCE REALIGNMENT SAVINGS

ACTIVITY AREA	CURRENT BUDGET	REDUCTION	SAVINGS
Academic Instruction	$16,886,014	0%	$0
Administrative Services	$3,484,617	20%	$696,923
Campus Operations	$15,242,592	5%	$762,129
Facilities and Grounds	$2,589,113	5%	$129,455
Intercollegiate Athletics	$2,745,540	5%	$137,277
Managerial Costs	$1,388,400	20%	$277,680
Student Support	$6,337,824	5%	$316,891
TOTAL	$48,674,100	~4.76%	$2,320,355

Page 18 Download HTML

REALIGNING THE WORKFORCE

The traditional residential public liberal arts campus community context for which Kentucky State University is regarded has been challenged this semester by the need to respond to the COVID-19 pandemic. The one-week shift from synchronous in-person instruction to asynchronous virtual modules has tested the campus' ability to deliver on our mission and values set. However, the shift also revealed duplications in some job descriptions, the inability of some personnel to work-remotely, and the extent to which some traditions are inconsistent with the new post-COVID-19 business logic. Notwithstanding, Kentucky State University has met this unprecedented context with unusual innovation and determination.

Despite our short-term successes, two challenges remain and must be addressed for the long-term.

A review of telecommuting forms submitted across units confirm that some of the current institutional positions are not necessary for new campus realities in the near future. To this end, it is untenable to expend Commonwealth resources without maximal return.

New workplace expectations no longer require certain traditional positions given the increasingly autonomous nature of campus work-products and deliverables. In the past several weeks there are myriad operational tasks that were completed by adjustable employees without difficulty.

These are stark truths that portend an opportunity for the campus to redefine employee expectations in a manner consistent with the 21st-century post-COVID-19 workplace.

The current manpower staffing level is further complicated by multiple national reports on whether or not students will elect to return to residential college campuses this fall and at what levels. A report by SimpsonScarborough suggests that four-year colleges may face a loss of up to 20 percent in fall enrollment based on recent surveys. The report also asserts:

whether or not students will elect to return to residential college campuses this fall and at what levels. A report by SimpsonScarborough suggests that four-year colleges may face a loss of up to 20 percent in fall enrollment based on recent surveys. The report also asserts:

Ten percent of college-bound seniors who had planned to enroll in college before the COVID-19 outbreak have already made alternative plans;

Twenty-six percent of college students said they were unlikely to return to their current college or university in the fall, or it was “too soon to tell”; and

Although college students do not like the online education they have been receiving, 15 percent want to finish online.

Comparable surveys of minority and low-income students portend even more startling projections. According to one report, 41 percent of minority high school seniors say it's likely they will not go to college this fall.

This data is complicated by national reports of unemployment and organizational furloughs. Even if aspiring or matriculating students wish to pursue higher learning in-person or virtually, those who are IRS-registered dependents may lack parental resources to enroll. In parallel, the tenuous employment status and federal delay in the deadline for income tax submissions will make it impossible for students and parents to complete the FAFSA – the entry application to federal and most institutional financial aid.

It is clear that the pandemic will also produce profound and lasting effects across higher education, and potentially severe and negative effects on Kentucky State University's operations and finances. While it is too soon to determine with precision the magnitude of

Page 19 Download HTML

disruption our campus may experience, it is clear that the impacts will be both significant and prolonged. All of our formerly reliable sources of revenue – state appropriations, tuition, research grants, auxiliary revenue, and private philanthropy – will almost certainly be adversely affected, even as in the face of any increase in student enrollment.

The only responsible institutional course of action is a comprehensive and strategic review of our operations and finances, and a realignment of the workforce with a reduction in overall personnel.

To achieve this fiduciary mandate, Kentucky State University will implement our only three legally permissible options – a reduction in force, employee realignment, and cessation of duties.

• Reduction in Force

Reduction in force is the permanent termination of employment of an employee or a group of employees for business reasons, including, but not limited to, financial exigency, a lack of sufficient work, reorganization, changes in technology or research needs, or other factors.

• Employee Realignment

Employee realignment is the movement of an employee and her/his position when an organizational change (such as reorganization, transfer of function, or departmental reorganization) occurs, the employee stays in the same agency, and there may or may not be a change in the employee's position, grade, or pay.

• Cessation of Duties

Cessation of duties occurs when an employee is voluntarily or involuntarily terminated, and all job duties related to her/his employment terminate or end.

Each of the above is supported by Commonwealth of Kentucky jurisprudence. Kentucky courts have defined these terms and/or phrases as it relates to colleges and universities. These terms have also been addressed by the Sixth Circuit of Appeals. Additionally, similar language is found in a review of definitions from other Kentucky regional public universities and from multiple United States Office of Personnel Management and Budget guidances. In fact, the phrase, “Cessation of Duties” is used in both federal contractual language and human resources policies.

The long-term sustainability of Kentucky State University has been tested by the current global pandemic, but we are committed to emerging from this crisis stronger than before. Granted the massive disruptions to society, education, business and even our ability freely move around our communities is deeply unsettling, but our campus is committed to advancing our mission and ensuring fiscal health. Our campus is a critical actor in the statewide function of producing the educated citizens needed to advance the Commonwealth, particularly in the areas of healthcare, education, social services, and military preparedness.

Page 20 Download HTML

STUDENTS, INSTITUTIONAL RELIEF AND THE CARES ACT

Several weeks ago, the United States Congress passed the largest federal relief legislation in history – the Coronavirus Aid, Relief and Economic Security (CARES) Act – offering more than $2 trillion to assist people, companies and organizations overcome the unexpected and short-term impacts of the COVID-19 pandemic. Kentucky State University has been working with urgency to understand and make recommendations regarding opportunities for our campus and the students we serve. The funds are divided into tranches – each with separate rules, eligibility guidelines, and usage requirements. Below is the clearest understanding, as of this publication.

TRANCH 1 – Student Relief

On April 11, 2020, Kentucky State University submitted the official application for part one of the Higher Education Emergency Relief Funds (HEERF). On April 20, 2020 we received an award notice in the amount of $686,039. On April 22, 2020, the institution received the deposit in a restricted agency account. Tranch 1 requires the funds to be expended on direct student assistance. None of the funds can be used for institutional purposes or applied to student accounts. The campus has until April 19, 2021 to expend the funds with required monthly reporting.

To fulfill the obligation of the grant award, the campus established the KSU CARES Initiative for student support in response to COVID-19. The committee has planned to dispense the funds over the current, Summer 2020, Fall 2020, and Spring 2021 terms. The campus has also transferred $18,860 to the KSU Foundation to make immediate emergency awards. Additionally, the campus has allocated $18,860 to create a Student Government Association Student Relief Fund to be managed by the students for themselves. With the remaining funds designated to stipends to support food, housing, healthcare, child-care, and parent care for Pell-eligible full-time students at both the undergraduate and graduate levels.

Association Student Relief Fund to be managed by the students for themselves. With the remaining funds designated to stipends to support food, housing, healthcare, child-care, and parent care for Pell-eligible full-time students at both the undergraduate and graduate levels.

TRANCH 2 – Institutional Relief

The second HEERF distribution remains more elusive. At present, the United States Department of Education has released no details regarding requesting or receiving the funds allocated to institutional relief. Similarly, no guidance had been issued as to the allowable use of funds and/or restrictions. Campus staff continues to monitor federal notices for updates on the legislated appropriations.

TRANCH 3 – State Relief

On April 14, 2020, the United States Department of Education announced the Governor's Emergency Education Relief Fund (GEERF). The federal government released the legislated funds to each state within three days of application. As promised, the Commonwealth of Kentucky received $43.8 million under a formula based on the state's population. Each state governor has complete autonomy and discretion as to the manner, timing, and purpose of GEERF awards. Governor Beshear has expressed an interest in allocating a portion of his funds to public and private higher education institutions. To date, no allocations have been made or awards given.

TRANCH 4 – MSI Relief

On April 30, the U.S. Department of Education announced the availability of $1.04 billion in funding for Minority-Serving Institutions (MSIs). Minority-Serving Institu-

Page 21 Download HTML

tions include Historically Black Colleges and Universities (HBCUs) and Tribally Controlled Colleges and Universities (TCCUs), as well as institutions serving low-income students. Kentucky State University is a federally designated HBCU.

On May 1, 2020, Kentucky State University submitted the official application for the supplemental MSI award from the HEERF. The campus has yet to receive an award notification. The funds will arrive via the existing Title III streams (Strengthening Historically Black Colleges and Universities and Strengthening HBCU Master's Program). Unlike Tranch 1, these funds may be used to defray institutional expenses, including lost revenue, reimbursement for expenses already incurred, technology costs associated with the transition to distance education, faculty and staff training, and payroll.

costs associated with the transition to distance education, faculty and staff training, and payroll.

The COVID-19 pandemic has impacted every area of American higher education. Not surprisingly, the greatest immediate and continuing impacts are financial. It is important that Kentucky State University cautiously employs the use of federally legislated and appropriated one-time relief funds. While the CARES appropriations buttress weakening fiscal projections, they cannot supplant cost containment, liquidity, and a meaningful reduction in continuing personnel liabilities. The furtherance of the institutional mission requires rapid adjustment to the new academic, fiscal, and operational realities of our time.

Page 22 Download HTML

FY2021 AND BEYOND

Managing campus operations, attending to the financial realities, reducing the workforce, and stewarding the deployment of federal relief funds are all a part of the new normal for Kentucky State University. These actions must serve as the foundation for building the FY2021 budget and beyond. The campus must have more than a Plan B. We require a Plan C, a Plan D, and even a Plan E to prepare for a host of unknowns in enrollment, revenue, and public safety.

The FY2021 budget will need to consider at least six scenarios for the 2020 Fall semester.

Kentucky State University may operate normally as any other year. Under such a scenario, residential students would populate the campus with all the public health guidelines and recommendations for social distancing, temperature/wellness checks, and the stockpiling of personal protective equipment.

Kentucky State University may select an earlier semester start date than usual. While all of the preceding measures would still need to be in place, the early start would allow the term to end before Thanksgiving (when some scientists predict a second wave of the coronavirus).

Kentucky State University chooses a later start date than usual electing to begin courses in September or October. While this too looks like the preceding, it centers on the availability of vaccinations and or personal protective equipment. 4. Kentucky State University allows students to return in residence and pursue their coursework virtually. This would allow campus auxiliaries and extracurricular activities to continue, while limiting large clusters in compact classrooms.

Kentucky State University allows students to return in residence and pursue their coursework virtually. This would allow campus auxiliaries and extracurricular activities to continue, while limiting large clusters in compact classrooms.

Kentucky State University could select a low-residency model asking students to only appear physically on campus for selected labs, practicums, or in-person exams. The aim would be continuity of educational rigor with maximal social distancing.

Kentucky State University could deliver the fall academic term fully online with no face-to-face instruction and no on campus residents. This would replicate the close of the current term and initial pandemic response.

None of the above options is a clear institutional choice at this juncture. Each day the campus must consider all of the above options while we await guidance from the Governor, the White House, as well as state and federal public health officials. Eventually, a decision will have to be made with all of the attending financial repercussions.

In sum, Kentucky State University faces a number of external and internal pressures that are straining our financial health and ability to plan long-term. Enrollment questions, declining state support, and a potentially shifting student demographic will impact our bottom-line in ways not yet imaginable. Kentucky State University must stand firm amidst uncertainty and move cautiously forward to protect our core mission and long-term stability.

Page 23 Download HTML

Page 24 Download HTML

OFFICE OF THE PRESIDENT

PRESIDENT@KYSU.EDU | 502.597.6260 | HUME HALL, SUITE 201 400 E. MAIN STREET | FRANKFORT, KY 40601

KYSU.EDU Page 24 of 68

Page 25 Download HTML

KENTUCKY STATE UNIVERSITY BOARD OF REGENTS

DATE:	May 5, 2020
SUBJECT:	Approval of Budget Adjustment and Reduction in Force
FROM:	OFFICE OF FINANCE AND ADMINISTRATION
ACTION ITEM:	YES

BACKGROUND: Kentucky State University is in the midst of challenging times as the world attempts to navigate through a myriad of serious issues resulting from the COVID-19 pandemic. One of the biggest challenges facing Kentucky State University, along with all higher education institution across the nation, is the significant financial impact brought about by the global pandemic.

Kentucky State University must strengthen its financial position in order to face these current and future challenges by acting strategically while maintaining fiscal accountability. Kentucky State University has reviewed all budgets and workforce for operational effectiveness and sustainable finances.

SUMMARY OF PROGRAMS/ACTIVITIES: Following the onset of the COVID-19 pandemic, Kentucky State University has been forced to face this crisis as it continues to unfold for an indeterminate amount of time. In the best interest of the university and the mission in which she serves, Kentucky State has been tasked with the difficult decision to review, in a consistent and equitable manner, its current workforce, the distribution of labor, and costs given the current financial and enrollment considerations. With the notation of challenges to institutional operations and adjusting to new realities, there was a review of all university personnel in the areas of Executive Staff and Managers, Academic Instruction, Student Support, Administrative Services and Physical Plant.

A decision has been made that a financial condition exists necessitating both a budget adjustment and reduction in force to improve operational efficiency.

ALIGNMENT WITH STRATEGIC GOALS:

Goal 3 - Increase the University's Financial Strength and Operational Efficiency.

PROGRAM IMPLICATIONS: N/A

Page 26 Download HTML

FISCAL IMPLICATIONS: FY 2019-20 budget adjustment will yield a reduction of no less than $290,044 in current year spending costs. The reduction in force will save no less than $2,320,355 in operating costs during FY 2020-21.

RECOMMENDATION: The President recommends that the Board approves the proposed Budget Adjustment and Reduction in Force.

ATTACHMENTS:

Board of Regents Resolution Approving Budget Adjustment and Reduction in Force

Letter from Kentucky Council on Postsecondary Education

Letter from Office of State Budget Director

Crosswalk of CPE Institutional Budgetary Responses to COVID-19

Page 27 Download HTML

KENTUCKY STATE UNIVERSITY BOARD OF REGENTS Resolution APPROVAL OF BUDGET ADJUSTMENT AND REDUCTION IN FORCE

WHEREAS, the Commonwealth of Kentucky and its constituent agencies must operate such that expenditures not exceed revenues for any given fiscal year; and

WHEREAS, Kentucky State University is a constituent agency of the Commonwealth chartered in 1886 for the public purpose of providing postsecondary access; and

WHEREAS, the declaration of a global coronavirus (COVID-19) pandemic on March 3, 2020 has resulted in a general recession within the national economy and has concomitantly caused a decline in state revenue; and

WHEREAS, the General Assembly of the Commonwealth of Kentucky deferred the passage of a biennial budget electing to make only a one-year fiscal allocation; and

WHEREAS, Kentucky State University (KSU) was advised by the Commonwealth Budget Director that 1% of “each institution’s regular appropriation plus any performance distribution and the current year appropriation for KSU’s land grant match” must be returned within seven days; and

WHEREAS, the continuing global pandemic threatens to cause a substantial reduction in state resources available for the 2020-21 fiscal period and portends a likelihood of further mid-year reductions; and

WHEREAS, the campus response to COVID-19 required unbudgeted expenditures to procure personal protective equipment for campus workers (and potential returning students) and the need to refund in cash or credits a prorated portion of auxiliary revenues to students previously residing in campus housing or with meal plans; and

WHEREAS, Kentucky State University has experienced other losses of income, including revenues associated with auxiliaries, grants management, and the collection of final student balances via monthly payments; and

WHEREAS, Kentucky State University extended extraordinary liberal leave hours to support the necessary campus-wide transitions to telecommuting and online instructional delivery in response to COVID-19;

Page 28 Download HTML

2

WHEREAS, Kentucky State University estimates that by the end of the current fiscal year the campus will have expended and our encumbered liabilities approaching $6,072,860 in response to the COVID-19 pandemic; and

WHEREAS, Kentucky State University is unable to assert when, how, and if pre-COVID-19 residential campus operations will resume pending guidance from the Governor of the Commonwealth, the White House, and public health officials; and

WHEREAS, Kentucky State University cannot ascertain with any modicum of certainty the rates or volumes at which currently matriculating and/or newly admitted students will enroll for the Fall 2020 or subsequent semesters; and

WHEREAS, Kentucky State University has engaged in prudent budget reduction measures in response to COVID-19 with the exception of furloughs for classified and unclassified employees, employee layoffs, and other reductions in personnel costs; and

WHEREAS, Kentucky State University acknowledges that failure to make direct and affirmative steps toward budget constriction may potentially place campus operations in a deficit position for the current and forthcoming fiscal year;

THEREFORE, BE IT RESOLVED that the Board of Regents directs Kentucky State University to continue campus management actions which limit discretionary spending, restrict the hiring of personnel, and realigns the workforce and operations; and

BE IT FURTHER RESOLVED that the Board of Regents for the Kentucky State University directs campus management to make an immediate and permanent budget adjustment to the campus management budget of an amount not less than 4.76% or $2,320,355 of the annual accrued budget in no less than 15 business days; and

BE IT FURTHER RESOLVED that the Board of Regents authorizes Kentucky State University to make the necessary reduction in force, employee reassignments, and the cessation of duties for selected personnel; and

BE IT FURTHER RESOVED that it is critical that the required budget adjustment and reduction in force occur in advance of FY2021 so that campus management can finalize the academic plans requisite for efficient and effective operations and the stakeholders we serve can make appropriate plans; and

BE IT FURTHER RESOLVED that the Board of Regents directs the President of Kentucky State University to present a formal update on the budget adjustment and reduction in force no later than the June quarterly board meeting;

APPROVED AND ADOPTED on May 5, 2020.

Page 29 Download HTML

3

~ Certificate ~

We, duly qualified and acting officers of the Board of Regents of Kentucky State University, do hereby certify that the foregoing is a true and correct copy of a resolution adopted by the Kentucky State University Board of Regents at its special called meeting on May 5, 2020.

Dr. Elaine Farris, Chairperson

Kentucky State University

Board of Regents

Dr. M. Christopher Brown II, Board Secretary

Kentucky State University

Board of Regents

Page 30 Download HTML

Andy Beshear Governor

April 30, 2020

Kentucky Council on Postsecondary Education

100 Airport Road, 2nd Floor Frankfort, Kentucky 40601 Phone: 502-573-1555 http://www.cpe.ky.gov

Aaron Thompson, Ph.D. President

Kentucky Public University Presidents, KTCS President

Presidents.

The Council on Postsecondary Education and the heads of all state agencies received the attached memo from State Budget Director John Hicks toward the end of the day yesterday. As can be seen in the memo, the State Budget Director is anticipating a General Fund revenue shortfall in the current fiscal year and is asking Executive Branch agencies to submit 1.0% General Fund reduction plans for 2019-2020 appropriations by close of business Friday, May 8th.

Council staff received word this morning from OSBD staff that the 1.0% budget reduction plan request applies to the public postsecondary institutions' revised General Fund appropriations (each institution's regular appropriation plus any performance fund distribution and the current year appropriation for KSU's land grant match), with the only exemption being UK's debt service. The State Budget Director has asked that CPE share this information and coordinate with postsecondary institution presidents to ensure that the budget reduction plans are submitted by the deadline. Council staff believes that the hiring and discretionary spending provisions outlined in the memo should not apply to the institutions and have contacted OSBD to ensure that they share this understanding. We will follow up with any guidance we receive.

Obviously, this is a very fluid situation and there will likely be additional information forthcoming from OSBD in coming days. CPE Budget and Finance staff will be communicating with OSBD staff later today and will pass along any additional information as soon as it is received.

We understand that a 1.0% reduction in General Fund with only two months remaining in the fiscal year will be a difficult challenge. Please know that CPE staff is available to support you and your institutions in any way we can.

Sincerely, Aaron Thompson, Ph.D.

Aaron Thompson, Ph.D. President

Attachment

KentuckyUnbridledSpirit.com

An Equal Opportunity Employer M/F/D

Page 31 Download HTML

Andy Beshear Governor

April 29, 2020

Office of State Budget Director 284 Capitol Annex, 702 Capitol Avenue Frankfort, Kentucky 40601

(502) 564-7300 Internet: osbd.ky.gov

Governor's Office for Policy and Management Governor's Office for Economic Analysis Governor's Office for Policy Research

John T. Hicks State Budget Director

Dear Cabinet Secretary or Independent Agency Head:

The Commonwealth is expecting a severe economic downturn resulting in a revenue shortfall for the remainder of the current fiscal year and the prospect of an unprecedented revenue shortfall for fiscal year 2020-2021. Due to the public health emergency and its resulting impacts on the economy, there is a lot of uncertainty about how much state revenues will fall in the coming months.

The Commonwealth must end each fiscal year with a balanced budget. Despite the expected decline in revenues over the rest of this year and next fiscal year, there is just two months remaining in this fiscal year. Nonetheless, all Executive branch agencies must put in place the following fiscal policy actions:

A restriction on hiring personnel that is unrelated to responding to the coronavirus public health emergency.

An immediate cessation of all discretionary spending that is unrelated to responding to the coronavirus public health emergency.

An exception process for both items will be communicated soon.

Given the uncertainty of the revenue shortfall and that only a short amount of time is left in the current fiscal year, each Cabinet and independent agency is requested to submit a plan to refrain from spending a minimum of one percent of their fiscal year 2019-2020 General Fund appropriation to the Office of State Budget Director by close of business, Friday, May 8. A one percent reduction now is the equivalent of about 12.5 percent annually (only three payrolls remaining). If personnel vacancies or other lesser spending requirements would result in additional amounts, the plan is expected to include that.

Cabinets and agencies should keep all materials in draft form and marked “preliminary”. Please direct all media calls about this planning effort to the Governor’s Communications Office.

Once an official revenue estimate revision for fiscal year 2019-2020 has been established, these plans will be the primary input into the Governor's Budget Reduction Order. We expect to meet with most Cabinets and agencies prior to the Governor's actions to better understand the impacts of your plans, and to begin discussions on plans to reduce spending from the fiscal year 2020-2021 budget.

Your Policy and Budget Analyst will be in contact with you to further clarify the General Fund target amounts.

Sincerely,

John T. Hicks State Budget Director

Page 32 Download HTML

INSTITUTIONAL BUDGETARY RESPONSES TO COVID-19

	EKU	KCTCS	KSU*	MOREHEAD	MURRAY STATE	NKU	UK	U of L	WKU
FURLOUGHS	YES (60 positions; May 1 - August 1)	TBD	NO	TBD	TBD	TBD	YES (1700 positions; 1500 from healthcare and 200 from university)	YES (45 positions; in Athletics for at least 60 days)	TBD
LAYOFFS	TBD	TBD	YES	TBD	TBD	TBD	YES	YES (30 positions in Athletics)	TBD
SALARY CUTS	TBD	TBD	NO	TBD	TBD	TBD	TBD	YES (Temporary leadership salary cuts through June 30; tiered for $100K and above)	TBD
CHANGES TO BENEFITS	TBD	TBD	NO	TBD	TBD	TBD	Proposed decrease in retirement contributions from 10 percent of employees' salaries to 5 percent	No retirement contributions for all employees (May 1 - July 31)	TBD
MISCELLANEOUS	4-day work week through August 7	TBD	Pause on hiring and discretionary spending	TBD	TBD	Hiring and reclassification freeze	Hiring freeze; no standard merit raises	Hiring freeze	TBD

*Pending Board Approval

Page 33 Download HTML

KENTUCKY STATE UNIVERSITY BOARD OF REGENTS

DATE:	May 5, 2020
SUBJECT:	Approval of Campus Travel Policy
FROM:	FINANCE AND ADMINISTRATION
ACTION ITEM:	YES

BACKGROUND: This staff note replaces the original submission at the Board of Regents September 5, 2019 meeting. Action was tabled at the request of the President due to typographical errors and a missing approval form.

Governance directives for the University include reviewing and revising (as needed) the University’s systems and procedures to improve operational accountability. One area of opportunity to maximize financial and administrative savings is to minimize travel expenditures by transitioning to a 100% reimbursement travel policy. This benefit is achieved through the consolidation of all authorized travel through our approved vendor offering discounted costs for hotels and airfare, as well as special incentives for University rebate options.

The University intends to pay 100% of travel costs for staff, Board of Regents, and other persons conducting official KSU business procured through the authorized travel vendor. Faculty and Staff will also be required to adhere to the general travel policy when making travel arrangements. Per diem rates will be governed by the University Procurement and Accounts Payable Office.

SUMMARY OF PROGRAMS/ACTIVITIES: N/A

ALIGNMENT WITH STRATEGIC GOALS:

Goal 3: Increase the University's Financial Strength and Operational Efficiency.

Goal 5: Obtain Maximum Institutional Effectiveness through the Implementation of a Continuous Quality Improvement Process framed within the seven Baldrige Performance Excellence in Education criteria.

PROGRAM IMPLICATIONS: N/A

FISCAL IMPLICATIONS: N/A

Page 34 Download HTML

Page 35 Download HTML

Kentucky State University Official Business Travel Policy Effective May 5, 2020

Governance directives for the University include reviewing and revising (as needed) the University’s systems and procedures to improve the organization’s health. One area of opportunity to maximize financial and administrative savings is to minimize travel expenditures by transitioning to a 100% reimbursement travel policy. This benefit is achieved through the consolidation of all authorized travel through an approved vendor offering discounted costs for hotels and airfare, as well as special incentives for rebate options.

The University intends to pay 100% of travel costs for staff, Board of Regents, and other persons conducting official KSU business procured through the authorized travel vendor. The University will identify a travel vendor through which all staff and KSU Board members must make their travel arrangements. This will reduce staff time used to make travel arrangements and will result in fiscal savings for the University. Staff will also be required to adhere to the general travel policy when making travel arrangements. Per diem rates will be governed by the University Accounting and Budget Office.

KENTUCKY STATE UNIVERSITY TRAVEL POLICY

It is Kentucky State University (KSU) policy to reimburse employees and other persons authorized to travel on official KSU business for all reasonable and necessary expenses incurred when traveling on authorized University business. The primary means through which this is accomplished is the authorized KSU travel vendor and per diem reimbursement policy. Travel should be consistent with the needs of the business. It should be used to accomplish business objectives in a cost-efficient manner, and in keeping with normal safety requirements.

All travel expenses must be properly documented, approved, and procured through the authorized KSU travel vendor. It is each individual employee's responsibility to adhere to University policy when expenditures are incurred on behalf of the organization.

OUT OF TOWN TRAVEL IS DEFINED AS A RADIUS OF 100 MILES OR MORE FROM YOUR HOME BASE. This means that you are not entitled to be reimbursed for meals if you travel less than 100 miles from your home base and you do not stay overnight. All overnight lodgings must be supported by a bill from the hotel unless otherwise approved by a Vice President or above. Airline reservations must be made no less than 15 days prior to travel departure date unless approved by a KSU Vice President or above.

Page 36 Download HTML

TRAVEL BY AIR OR RAIL

A copy of all applicable airline/Amtrak tickets must be submitted with your travel or monthly expense report. Do not list the cost of the ticket on your expense report. The copy of the ticket will be used to support your trip.

All domestic travel on University business will be Coach/Tourist Class unless approved with rationale by the appropriate Vice President or above. All travel must be authorized by the traveler’s immediate manager.

Given the great variety of airfares available, the primary objective is to use the routing and airline that will provide the lowest fare to a destination, without preventing an employee from achieving the business purpose. All efforts should be employed to book flights as far in advance as possible, to enhance the opportunity of secured discounted fares and to consolidate trips when feasible.

AIR TRAVEL GUIDELINES

Coach/Tourist Class air travel to be used for domestic flights. Business Class air travel is authorized only for international flights. A domestic flight is defined as a flight which originates and terminates within the continental limits of the United States, Canada, Mexico, and surrounding Caribbean Islands. International flights encompass all other areas.

All travelers are expected to fly nonstop flights. But if a one-stop flight saves more than $100 on air cost and is available within thirty minutes of desired departure time, then travelers are expected to take one-stop flights.

To save money on airfares, as well as ensure employees are not abusing University policy to collect additional mileage on Frequent Flyer Programs, the University requires travelers to fly using the lowest logical airfare. The lowest logical airfare is the lowest fare available during a two-hour window period for departure and arrival time. Instead of requesting a specific Carrier to reach a destination, the traveler should indicate to KSU's official travel agency representative his/her arrival time frame. It is then the agency's responsibility to ensure air travel at the lowest available cost.

Generally speaking, most discounted fares are restricted fares, which means you may not be allowed to change your itinerary once the ticket is issued. On many unused tickets, there may be only partial or even no refund. The University expects the traveler to adhere to restrictions. It is also expected that the employee will exercise the same judgment and control in avoiding penalties that a prudent person exercises when traveling on personal business.

AIRLINE RESERVATIONS

KSU has implemented a mechanism to secure and centralize all travel-related arrangements. Contact the Vice President and/or CFO for specific information. Only travel booked through the authorized KSU travel vendor will be reimbursed.

RESERVATIONS PROCEDURE

1. Identify yourself – Ask for KSU representative

Page 37 Download HTML

Give the agent the name of your location, your name, and name of the traveler(s), cost center and budget code to be charged.

Indicate whether passenger has a “profile” (used by KSU’s official travel agency to identify frequent travelers’ personal data).

Please provide the following information in the order shown below:

Date of flight

From city to city

Preferred departure time or required arrival time. Example: On August 11 from Washington National to Atlanta, departing about 9:00 a.m. arrival must be by 12 noon.

NOTE: A specific airline or flight should not be requested, since it may not offer the lowest available airfare.

Specify when and where you wish to receive the ticket.

If airline or flight information is needed but you not yet ready to book, follow the steps listed below:

Indicate you need schedule information only.

Give date of travel.

Provide the origin and destination city.

Give the approximate time of departure.

Always be familiar with the change and cancellation restrictions of airline tickets. Often, heavily discounted tickets carry cancellation and charge penalties.

OTHER REIMBURSABLE TRANSPORTATION EXPENSES

KSU will pay actual expenditures for transportation to and from residence, hotel or office to airport, railway station or bus terminal, parking fees, each way. Local transportation while visiting a city will be reimbursed upon receipt of supporting documentation. Each local trip must be listed separately, indicating the places visited and the cost of the trip.

NOTE: KSU will not absorb the expense of airport lounge club membership on behalf of employees.

TRAVEL BY AUTOMOBILE

Ordinarily, all staff are expected to use their personal automobiles for business, unless the distance is beyond a 200-mile radius. All exceptions must be authorized by the appropriate Vice President or above.

Rental cars, generally, are the most expensive mode of transportation. A rental car should only be used when the nature of the trip or location of place being visited is such that the use of local transportation (e.g., taxi, limousine) is not practical or would be more expensive.

USE OF PERSONAL AUTOMOBILES FOR BUSINESS

The use of personal automobiles in conducting company business and the related expense for which you are entitled must be reported on the monthly expense report.

Page 38 Download HTML

Automobile travel should be used for out of town trips only when the cost is less than other modes of transportation.

Transportation to and from work is not a reimbursable expense. You will not be reimbursed for transportation to and from work. In addition, you will not be reimbursed for routine daily parking.

CAR RENTAL GUIDELINES

Car rental must be justified by business need and should be shared whenever possible.

Rental arrangements should be made through the authorized KSU travel vendor.

All rentals should be limited to compact or economy (sub-compact) cars unless specific business requirements dictate the use of a larger vehicle. Generally, renting a compact or economy car can effect an 8-10% savings.

Employees will be personally liable for all violations of traffic laws and parking tickets.

Insurance for rentals within the United States is covered by the rental company. Therefore, for domestic car rentals, do not purchase any insurance offered on the rental contract. Employees will not be reimbursed for the cost of such insurance.

CAR RENTAL PROCEDURES

Call KSU official travel agency to obtain a rental car for your destinations.

Reserve type of car (compact or sub-compact) and confirm the rate. Car rental confirmation number, type of car, rate, and mileage charge will be indicated on your itinerary. Always insist on a confirmation number. If the reservation is lost or misplaced, you will be assured of getting a car, and at the confirmed rate.

Be specific about “return location” even within the city of rental. Confirm whether corporate rate still applies if the traveler returns the car to a location other than rental location.

If you intend to drop car at another city, determine whether a drop charge applies. If so, confirm the amount.

AT RENTAL COUNTER

Ask if a promotional/weekend rate is available. In some instances, special rates may exist but may not be offered or known at the time initial reservation is made.

Check “car class and rate” on rental agreement against “car class and rate” confirmed upon reservation of the car.

Do not accept an upgrade at a rate higher than the reserved rate. All car rental companies have a policy that provides a larger car, at the confirmed rate if the class of car originally reserved is not available.

Decline Collision Damage Waiver (CDW) and Personal Accident Insurance (PAI). At 49 per day for CDW and $2 a day for PAI, these charges can increase daily rental costs by 30%. CDW does not have an hourly rate. If CDW is purchased and car is rented for one day and one hour, the CDW charge will be for two days.

Page 39 Download HTML

BEFORE ACCEPTING CAR

Check the car thoroughly for damages.

Have any damages noted on the rental agreement and have agreement initialed by the rental agent.

Check the trunk for spare tire and jack.

AT CHECK-IN

Verify that check-in and time are correct. Major car rental companies allow a 50-minute grace period beyond the 24-hour rental.

Be cautious when using speedy check-in service. Dropping rental agreement in a slot does not provide an opportunity to review the charges until later.

Refuel vehicle before returning. By refueling prior to returning the car, you can save 70-80% on fuel cost.

IN CASE OF ACCIDENT

Should you be involved in an automobile accident while on Company approved business, the management recommends the FOLLOWING procedure:

Seek proper medical attention, if required.

Report any accident to car rental company.

Retain a copy of the accident report.

Contact your Vice President or the Chief Financial Officer as soon as practical to make a full report.

LODGING ON TRAVEL

GUIDELINES

All employees are required to stay in moderately priced hotels.

When rooms in moderately priced hotels are unavailable, comparably priced hotels should be used. Advance travel planning should be emphasized to minimize this situation.

In situations where employees are attending third-party meetings or special events, it may be more feasible to stay in a higher-priced hotel. Such conditions are permitted with prior approval, as per policy.

The hotel location should be as convenient as possible to the place where business is being transacted. If, however, the nearest hotel is a luxury or premium hotel, consideration should be given to reserving alternate accommodations. It is advisable to check with a local office or other places of business for a recommendation on the appropriate hotel accommodations.

HOTEL/MOTEL GUIDELINES

Reservations for hotel/motel accommodations should be confirmed through the KSU official travel agency. The itinerary will indicate hotels, address, telephone number, corporate rate, and confirmation number of the reservation. The KSU official travel agency has negotiated rates for

Page 40 Download HTML

In some cases, it may be desirable to contact the hotel directly for reservations. Reservations should be confirmed by using the appropriate "800" number.

The KSU official travel agency “will guarantee for late arrival” all hotel reservations for personnel, whether or not they will be arriving later than the normal check-in time of 6 p.m. In most cases, the hotel will ask for a credit card guarantee.

Because of the different hotel cancellation policies, it is advisable to cancel unneeded space no later than 3 p.m., local time of the hotel, on check-in date.

Normally hotel “no-show” bills are an unnecessary expense and not reimbursable to the Association. The traveler should cancel any unneeded hotel reservations directly or through the KSU official travel agency. Be sure the cancellation number, date, time, and name of the person who handled the cancellation are documented in case there are any discrepancies later. Employees will be held financially responsible for “no-show” charges, unless incurred for reasons beyond the traveler’s control.

An employee should always confirm at the hotel check-in desk that the corporate discount or appropriate room rate is being honored. The employee may also inquire to see if the hotel is offering any special or promotional rates which are lower than the rates quoted at the time of reservation.

Personal expenses such as valet service, beauty salon charges, and/or room movie charges are the responsibility of the traveler. One telephone call, of reasonable length, may be made to traveler's family daily.

When checking out of the hotel, inspect your final hotel bill carefully. Please examine meal charges, telephone charges, room rates, etc. Do not sign charge slip if any item is in dispute. There must be details supporting the hotel/motel bill, itemizing all room charges incurred, attached to the expense report. Credit card slip with total is not sufficient.

employees at selected hotels in major cities. Employees should stay in these hotels wherever possible.

TRAVEL REIMBURSEMENT

KSU staff members and other persons who are authorized to travel on official KSU business are required to indicate the time of departure from and arrival at their permanent stations on their travel or monthly expense report forms when appropriate. For computing meals, official travel begins when you leave your home, office, or other point of departure (permanent station) and ends when you return to the permanent station.

Permanent station may be defined as follows: The office to which the traveler is assigned; place of residence from which the traveler generally leaves to go to the office; other authorized point of departure or arrival. All reimbursements are calculated according to

Page 41 Download HTML

the OMB travel policy. Receipts are required for all expenditures for which receipts are normally obtainable.

GENERAL

The monthly expense report is for expenses relating to out-of-town travel, as well as expenses incurred locally. The report should be used for explanations and additional details to support your reimbursements. This report should be prepared correctly, and all required information must be provided. Expense reports must be submitted on a monthly basis. All receipts should be attached to a blank sheet of paper in the order listed on the expense report.

Expense Report

Complete Expense Report, as per KSU Travel Policy, no later than 30 business days following the event.

COMPLETE BUDGET TO BE CHARGED. Please include the appropriate cost center and budget code for the charges.

Attach the original copy of your Travel Request and reservation form.

Attach a copy of plane fare ticket stubs, hotel bills, and other documentation, if applicable.

Submit report to the appropriate manager and/or Vice President for approval.

Make a copy for your file (reference copy).

Forward Expense Report to the Accounts Payable Department within the 30 business day time limit.

TRAVEL CANCELLATION

As soon as it has been determined that a trip has been canceled or postponed, a memorandum must be sent to the appropriate Vice President and/or Chief Financial Officer. If a ticket has been issued, the ticket should accompany the memorandum.

TRAVEL POLICY WAIVER

Any exceptions to this policy should be approved by the Executive Vice President and/or President.

Page 42 Download HTML

TRAVEL REQUEST FORM

TRAVEL AUTHORIZATION CONTACT travel@kysu.edu (502) 597-7010

In-State Out-of-State International Request for travel advance Yes No If yes, amount $___

To be reimbursed for travel expenses incurred while traveling on behalf of the University, this Travel Request Form must be submitted to the Travel Department at least 15 days prior to the expected date of travel. For international travel, the Travel Request Form must be submitted at least 30 days prior to expected date of travel. A separate form is required for each person requesting approval.

TRAVELER'S INFORMATION

Name _____ KSU ID# _____ Male Female

Department/Project ___

Telephone ___ Email ___

BUDGET(S)

Fund ___ Organization ___ Account ___ Program ___

Externally sponsored travel? ☐ Yes ☐ No If yes, Sponsor Contact ___

External Sponsor Telephone ___ Email ___

TRAVELER'S DESTINATION

ཞབས་ཆེན་ཆེན་ཆེན་

Destination ___ From Date ___ To Date ___

Conference/Meeting Title ___ No. of Students ___ (Attach Roster with KSU ID)

Purpose of Travel/Statement of Benefit numbers)

MODE OF TRANSPORTATION

Airline Train Campus Transportation Rental Vehicle Personal Vehicle

Airline Reservation Confirmed By: ☐ Traveler ☐ Travel Coordinator (charge via P-Card)

Departure Time _____ Return Time _____ Estimated No. Driving Miles _____

LODGING

Hotel Name _____ Address _____

Hotel Telephone Number of Room(s) ___

TRAVEL COST ESTIMATE

	Per Diem	Lodging	Car Rental	Mileage	Personal Vehicle	Public Carrier	Registration	Misc. Expenses	TOTAL
Travel Card
P-Card
Travel Advance
Personal Credit Card
Estimated Cost of Trip

SIGNATURE APPROVAL

My signature below indicates that I understand and I am responsible for making good faith effort to secure the most economical and reasonable method of transportation, lodging and all other costs. I will certify that all costs incurred and reported by me for this period of travel is true and accurate in all respects.

Traveler	Date	Business Office	Date
Department Head/Chair (if funds are available)	Date	Grants (if funds are available)	Date
Department Head/Chair (if funds are available)	Page 42	of 68
Vice President	Date	President (required for International and VP Travel)	Date

REVISED 4/30/20

Page 43 Download HTML

KENTUCKY STATE UNIVERSITY BOARD OF REGENTS

DATE: May 5, 2020

SUBJECT: Approval of Proposed 2020-2021 Tuition & Fees

FROM: FINANCE AND ADMINISTRATION

ACTION ITEM: YES

BACKGROUND: The Council on Postsecondary Education approved a flexible tuition and fee structure for FY 2020-2021. In conformance with the HB303 management plan, the University must assess tuition and fees to more closely align with University operations and program activities. The University is recommending a 3.9% tuition increase for the incoming FY 2020-2021 freshmen class only. The Board of Regents approved the Thorobred Promise Tuition Program (TPTP) during the June 7, 2018 Board of Regents meeting and the University will continue to honor this promise for our returning students.

SUMMARY OF PROGRAMS/ACTIVITIES: N/A

ALIGNMENT WITH STRATEGIC GOALS:

Goal 1: Enhance Student Enrollment, Improve Student Life and Engagement, and Improve Student Advising and Career Development.

Goal 3: Increase the University's Financial Strength and Operational Efficiency.

PROGRAM IMPLICATIONS: N/A

FISCAL IMPLICATIONS: The impact per incoming freshmen is $150 per semester or $300 per year. The University expects an increase in net revenues of up to $484,701 for FY2020-2021 assuming traditional face to face instruction with no COVID-19 impacts.

RECOMMENDATION: Approve

ATTACHMENTS: YES

FY 2020-21 Tuition and Fee schedule

Thorobred Promise Tuition Program

Sample Four Year Tuition Rate Guarantee Agreement

2017-2021 Management Plan

Page 44 Download HTML

Tuition Schedule	Current Rate	3.9% Increase	Diff (+/-)
Full Time Resident - 12 to 18* Hours	$3,850	$4,000	$150
Full Time Resident - 19 Hours	$4,170	$4,335	$165
Full Time Resident - 20 Hours	$4,490	$4,665	$175
Full Time Resident - 21 Hours	$4,810	$5,000	$190
Full Time Non- Resident - 12 to 18*	$5,775	$6,000	$225
Full Time Non- Resident - 19 Hours	$6,255	$6,500	$245
Full Time Non- Resident - 20 Hours	$6,735	$7,000	$265
Full Time Non- Resident - 21 Hours	$7,215	$7,495	$280
Undergraduate Resident - Per Credit Hour	$325	$340	$15
Undergraduate Non-Resident - Per Credit Hour	$488	$505	$17
Online Undergraduate - Per Credit Hour	$400	$415	$15
Online Graduate - Per Credit Hour	$500	$520	$20
Graduate Resident - Per Credit Hour	$420	$435	$15
Graduate Non-Resident - Per Credit Hour	$630	$655	$25
Dual Enroll High School <2> - Per Credit Hour	$58	$60	$2
Dual Credit Math 115 <3> - Per Credit Hour	$20	$20	$0
Dual Credit English <3> - Per Credit Hour	$20	$20	$0
Residence Halls	Current Rate	3.9% Increase	Diff (+/-)
Chandler Hall - Single	$2,220	$2,305	$85
Chandler Hall - Double	$1,670	$1,735	$65
Chandler Hall - Suite	$2,120	$2,205	$85
Kentucky Hall - Single	$2,220	$2,305	$85
Kentucky Hall - Double	$1,670	$1,735	$65
Kentucky Hall - Triple	$1,620	$1,685	$65
Kentucky Hall - Suite	$2,120	$2,205	$85
The Halls - Single	$2,220	$2,305	$85
The Halls - Double	$1,670	$1,735	$65
Combs Hall - Double	$1,670	$1,735	$65
Hunter Hall - Double	$1,670	$1,735	$65
McCullin Hall - Single	$2,220	$2,305	$85
McCullin Hall - Suite	$2,120	$2,205	$85
Young Hall - Suite	$2,120	$2,205	$85
Meal Plans	Current Rate	3.9% Increase	Diff (+/-)
Plan A $355 declining balance	$335	$350	$15
Plan B $490 declining balance	$460	$480	$20
Plan C $620 declining balance	$570	$590	$20
14 Weekly Meals w/$500 declining	$1,675	$1,740	$65
9 Weekly Meals w/$650 declining	$1,675	$1,740	$65
Mandatory Fees	Current Rate	3.9% Increase	Diff (+/-)
Activity Fee	$170	$175	$5
Asset Preservation Fee - Resident/Non-Resident) - Per Semester	$150	$155	$5
Asset Preservation Fee - Part Time - Per Credit Hour	$10	$10	$0
Course Material Fee - Full Time <4>	$195	$205	$10
Course Material Fee - Part Time Undergraduate & Graduate <4>	$45	$45	$0
Homecoming Fee (fall semester only)	$50	$50	$0
Safety & Security Fee - Resident/Non-Resident - Per Semester	$50	$50	$0
Safety & Security Fee - Part Time - Per Credit Hour	$10	$10	$0

Page 45 Download HTML

Technology Fee – Resident/Non-Resident – Per Semester	$155	$160	$5
Technology Fee – Part Time – Per Course	$30	$30	$0
Non-Mandatory Fees	Current Rate	New Rate	Diff (+/-)
Application Fee – International Students	$100	$105	$5
Auto Registration – Student Green Parking (per year)	$30	$100	$70
Auto Registration - Student Gold Parking (per year)		$500	$500
Auto Registration - Staff/Faculty Green Parking (per year)	$100	$100	$0
Auto Registration - Staff/Faculty Gold Parking (per year)		$250	$250
Auto Registration - Thorobred Parking (per year)		$500	$500
Auto Registration - 1886 Parking (per year)		$1,000	$1,000
Visitor Parking (per day)		$5	$5
Metered Parking (per hour)		$1	$1
Deferred Payment Fee (per semester)	$75	$80	$5
Diploma Replacement (undergraduate)	$13	$15	$2
Diploma Cover Replacement (undergraduate)	$20	$20	$0
Diploma Replacement (graduate)	$20	$20	$0
Diploma Cover Replacement (graduate)	$40	$40	$0
Drop/Add Fee	$30	$30	$0
Enrollment Deposit (non-refundable)	$50	$50	$0
Graduation Fee-Undergraduate (excluding cap/gown) Non-refundable	$75	$80	$5
Graduation Fee-Graduate (excluding cap/gown) Non-refundable	$125	$130	$5
ACT Test Fee National	$34	$34	$0
ACT Test Fee Residual	$34	$34	$0
Correspondence Exams	$25	$25	$0
MAT (Miller Analogies Test)	$77	$77	$0
NLN/ACE	$70	$70	$0
NCLEX Review	$350	$350	$0
Housing Reservation – Room Maintenance Fee	$100	$105	$5
ID/Meal Replacement (per card)	$20	$20	$0
Late Registration (per semester)	$100	$105	$5
Laundry Fee (per semester)	$50	$50	$0
Nursing student Liability Insurance (fall semester)	$16	$15	($1)
Nursing Student Drug Screening	$50	$50	$0
Orientation Fee	$35	$35	$0
Payment Plan System Maintenance Fee	$25	$25	$0
Re-Instatement Fee	$50	$50	$0
Return Check Fee	$50	$50	$0
Transcript Fee	$10	$10	$0
Thesis Fee	$30	$30	$0
SAT 1 Test (Reasoning)	$49	$49	$0
SAT 2 Test – subject (each)	$22	$22	$0
SAT 2 Test (Listening)	$22	$22	$0
TOEFL Test	$125	$125	$0
Testing Transcript (per copy)	$5	$5	$0

Page 46 Download HTML

Kentucky State University Thorobred Promise Tuition Program Frequently Asked Questions

Q. What is the Thorobred Promise Agreement?

A. The Kentucky State University Thorobred Promise Agreement will make it easier for students and families to plan for a four-year education by freezing in-state tuition and mandatory fees for four years.

New first-year undergraduate students entering in 2018-19 will be the first to enroll under the guarantee. For these students, tuition and mandatory fees will be set as follows for the 2018-19 academic year and then be frozen for four years:

In-state (resident) tuition and mandatory fees - $8,500.

Out-of-state (non-resident) tuition and mandatory fees - $19,800

Q. Do I qualify to participate?

A. Beginning with the 2018-19 academic year, the Kentucky State University tuition guarantee will apply to all incoming first-year undergraduate students.

After the fall semester of 2018, students who transfer to Kentucky State University would also join the agreement for a term of two, three or four years, based upon Student's completed credit hours prior to the fall semester of 2018.

The program does not apply to non-degree-seeking students, part-time students, dual credit students or other pre- enrollment or postsecondary option programs.

Q. How long does the guarantee last?

A. The Thorobred Promise Agreement holds in-state tuition and mandatory fees flat for four academic years. The specific four-year rates are set for each entering class of new first-year students.

Q. What fees are included in the Thorobred Promise Agreement?

A. The agreement includes in-state tuition and mandatory fees. It does not include registration and class fees, dining and housing fees, and all program based tuition, whether now existing or to be approved in the future.

Q. What happens if I do not graduate in four years?

A. Students who do not complete in four years would revert to the least-expensive guaranteed rate (the rate that rising fourth-year students would be paying).

That continues each year, moving to the next cohort's guaranteed rate.

Page 47 Download HTML

Q. What if I enroll starting in spring or summer?

A. Students who enroll in spring semester would be charged the current academic year's tuition guarantee rate for the next four years.

Students who started in summer 2018 will be part of the guarantee that applies to students who began in fall 2018. Starting in summer 2018, students who enroll for summer term would pay the current academic year's guarantee rate for the summer and then would pay with the next academic year's guarantee rate for the next four years.

Q. If I leave school and come back, what happens?

A. The Thorobred Promise Agreement lasts four years. Students who leave and re-enroll during their initial four-year time period would pay the guaranteed rate for the remainder of the initial four-year term.

Students who do not complete during that initial four-year period would revert to the least-expensive guaranteed rate (the rate that rising fourth-year students would be paying). That continues each year, moving to the next cohort's guaranteed rate.

Q. Does this impact financial aid?

A. It depends on each student's individual circumstances. Check with the Financial Aid Office to see if your financial aid package will be affected.

I began attending Kentucky State University in summer 2018. Am I included in the guarantee?

Yes. Students who began as new first-year students over the summer are admitted as part of the autumn class.

I am enrolled in more than one major. Does that make me eligible for an extension of the four-year guarantee?

No.

I changed majors and was not able to complete my program in four years. Am I eligible for an extension of the four-year guarantee?

No.

Page 48 Download HTML

FOUR YEAR TUITION RATE GUARANTEE AGREEMENT Academic Year 2018-19

This Four Year Tuition Rate Guarantee Agreement (the “Agreement”) is entered into this ___ day of___, 20___ by and between Kentucky State University and___, an undergraduate student admitted to and enrolled at Kentucky State University (“Student”). In consideration of the representations and agreements set forth herein, Kentucky State University and Student agree as follows:

AGREEMENT

The Four Year Tuition Rate Guarantee is available only to full-time undergraduate students admitted to and enrolled in a degree granting course of study at Kentucky State University. The Guarantee is available to full-time resident and non-resident undergraduate students and will provide Student a fixed tuition rate during the term of this Agreement. The intent and goal of the Guarantee is to provide tuition predictability. Accordingly, there is no guarantee that Student will realize any tuition savings by participating in the Guarantee Agreement.

Student. Student represents and agrees that Student is a full-time degree-seeking undergraduate student and:

Check one box:

□ a resident of Kentucky as determined by Kentucky State University's Registrar's Office.

□ a non-resident

and

is enrolled at Kentucky State University.

Tuition. The Plan is offered for a term of two, three or four years, based upon Student's completed credit hours prior to the fall semester in which the Agreement commences. Completed credit hours include credits earned at Kentucky State University, credits projected to be earned at the end of the preceding spring and summer semester, and transfer credits accepted by Kentucky State University.

Page 49 Download HTML

The fixed rate term for the Agreement is indicated by the box checked below (the “Fixed Rate Term”):

Check One box	Fixed Rate Term for Agreement	Number of Completed Credits
☐	4	0 – 15
☐	3	16 – 45
☐	2	46 – 75

The Fixed Rate Term will always begin on the Fall semester following execution of this Agreement and terminate after the number of years indicated above.

For this Agreement beginning with the 2018-2019 Academic Year, the annual fixed tuition rate is $8,500 for resident students and $19,800 for non-resident students.

The annual Fixed Tuition Rate will be split evenly between the Fall and Spring semester, rounded to the whole dollar. The Fixed Tuition Rate is assessed every Fall and Spring semester in which the Student enrolls in one or more credit hours while classified as an undergraduate student. The Fixed Tuition Rate is not paid in semesters in which Student enrolls in no classes.

At the end of the Fixed Rate Term, Student reverts to the then prevailing annual tuition rate. If the Plan continues to be available Student may choose to enter into a new agreement.

Page 50 Download HTML

[Unabel]

Student's Initials

The Fixed Tuition Rate specified above covers only Kentucky State University's base tuition and mandatory fees for the Fall and Spring semesters. Student is responsible for and shall pay, in addition to the annual Fixed Tuition Rate, all registration and class fees, dining and housing fees, and all program based tuition, whether now existing or to be approved in the future, all at the then prevailing rate. The Fixed Tuition Rate does not include summer and winter semesters. Student agrees to pay, in addition to the Fixed Tuition Rate, any tuition applicable to summer and/or winter programs for which Student is enrolled.

Student's Initials

The Fixed Tuition Rate is applicable only at the time Student signs this Agreement and is valid throughout the Fixed Rate Term. Student acknowledges and agrees that Kentucky State University will set the tuition rate annually and new agreements with new Fixed Tuition Rates will be available to students not then enrolled in the Plan after annual and Fixed Tuition Rates are approved for the upcoming year. For example, while the tuition rate specified above is guaranteed to Student throughout the Fixed Rate Term, another student who enters into a Fixed Rate Tuition Plan Agreement for a different academic year may have a higher Fixed Tuition Rate applicable to him or her. New Fixed Rate Tuition Plan Agreements will be available for students not currently subject to an Agreement every year while Kentucky State University offers the Plan.

!

3. Payment. Student shall pay the Fixed Tuition Rate as billed on Kentucky State University Student Accounts using one of the available payment options. Past-due accounts are subject to late fees and the withholding of University services, for example registration and graduation, and assignment to an outside collection agency.

Student's Initials

Enrollment. The Agreement is for full-time enrollment. There is no pro-rata reduction of the Fixed Tuition Rate for part-time enrollment, even if Student registers for less than a full course of study. Continuous enrollment is not required; however, interruptions in enrollment (whether due to medical withdrawal, required military service, mission service or study abroad) do not extend the Fixed Rate Term. Student agrees that there shall be no extensions whatsoever of the Fixed Rate Term.

Financial Assistance.Student remains eligible for all financial assistance offered by Kentucky State University. Student's eligibility for financial aid is not affected by enrollment in the Agreement.

Page 51 Download HTML

Student's Initials

Student acknowledges and agrees that enrollment in the Plan will not increase any financial aid offered to Student. However, the Student’s budget for financial aid purposes will reflect the Fixed Tuition Rate under the Plan instead of Kentucky State University’s then prevailing normal tuition rate.

Student's Initials

Student acknowledges and agrees that financial assistance programs are based on the number of credit hours for which Student enrolls. However, regardless of number of credit hours for which Student enrolls, Student shall always pay the full-time Fixed Tuition Rate on an annual basis. Student acknowledges that s/he will receive financial assistance based on the actual number of enrolled credits which may be less than full-time study, but Student will be responsible for paying the full-time Fixed Tuition Rate.

6. Termination and Refund. If Student withdraws from Kentucky State University, any refund of tuition paid shall be subject to Kentucky State University's normal policies governing refunds.

Student's Initials

No Assignment or Transfer. This Agreement may not be assigned or transferred to any other person or party.

Tax Issues. Student acknowledges and agrees that s/he shall be responsible for any and all tax implications as a result of this Agreement; that s/he has received no tax advice or representation from Kentucky State University; and that s/he has been given the opportunity to obtain advice from an independent tax professional.

Miscellaneous. If Student is under 18 years of age, this Agreement has been signed by Student's parents or legal guardian and shall remain valid for the term of this Agreement. In addition, Student consents to the release of personally identifiable educational records to Student's parent or legal guardian.

Kentucky State University may terminate the Rate Guarantee at any time for any reason provided that any Student in the Plan at the time of termination will be able to receive the benefits of the Rate Guarantee until the termination of the Student's Agreement.

Page 52 Download HTML

Student's Initials

The elections made herein by Student are irrevocable. Upon execution of this Agreement and during the applicable Fixed Rate Term, Student may not revert to Kentucky State University's annual tuition payment plan but must pay tuition at the Fixed Tuition Rate applicable to Student as provided in this Agreement. If Student is still enrolled at Kentucky State University upon the completion of the Fixed Rate Term, Student shall pay tuition at Kentucky State University's then prevailing tuition rate or enter into a new Fixed Rate Tuition Plan Agreement at the then new Fixed Tuition Rate. This Agreement may not be earlier terminated by either Kentucky State University or Student.

In witnesss whereof Kentucky State University and Student have signed this Agreement as of the date first set forth above.

Kentucky State University

By: ___

Name: M. Christopher Brown II

Title: President

STUDENT _____

Print Name: _____

KSU ID Number: ___

PARENT (if student is under 18 years of age)

Print Name _____

Page 53 Download HTML

Racing Toward KSU's Brightest Future

2017 – 2021 Management Plan

November 29, 2016 Page 53 of 68

Page 54 Download HTML

___ ___ ___ ___ ___ ___ ___ ___ ___

Kentucky State University

Office of the President

Kentucky State University has faced significant financial challenges over the past several years and I knew, when I accepted the invitation to serve as KSU's Interim President, that establishing a sound and sustainable financial plan for the University would be one of my primary tasks.

House Bill 303, enacted by the 2016 Regular Session of the Kentucky General Assembly, requires KSU to develop, in consultation with the Kentucky Council on Postsecondary Education, a management and improvement plan. I have expanded this charter because a sound financial plan must be grounded in the strategic direction of the university.

The management plan for the University is a comprehensive plan that addresses strategic direction, enrollment management, student success, and financial stability. These components are included in this document. I have worked with the University's partners at CPE to evaluate the financial projections that are included in this plan as well as to validate the proposed metrics. These metrics and projections represent the financial "scorecard" that the University will present to the Interim Joint Committee on Appropriations and Revenue on December 1st of each year, as required by HB 303.

In this 130th year of KSU, I am honored to lead the efforts to solidify the financial structure of the University and to help create a foundation that will endure for another 130 years.

Sincerely,

Gavin Thompson

Aaron Thompson, Ph.D. Interim President

Suite 201, Hume Hall (502) 597-6260

400 East Main Street

Frankfort, Kentucky 40601 www.kysu.edu

Kentucky State University is an Equal Educational and Employment Opportunity/Affirmative Action Institution.

Page 55 Download HTML

二、基本概念

物理量

运动状态

速度

方向

单位二、基本概念物理量运动状态速度方向单位二、基本概念物理量方向单位二、基本概念物理量方向单位

Kentucky State University – Management Plan – FY 2017-2021

Overview

HB 303 enacted by the 2016 General Assembly, contained a provision that requires the University to develop, in consultation with the Council on Postsecondary Education, a management and improvement plan, with annual goals and measurable metrics to meet those goals. This plan has been developed in coordination with both the University's strategic plan and enrollment management plan and, as a result, represents an integrated approach to transforming Kentucky State University into the high-performing, small liberal arts institution envisioned in the University's statutory charter.

Over the past four years, Kentucky State University has experienced a steep decline in both its student headcount and full-time equivalent (FTE) student enrollment. Between fall semesters 2010 and 2015, the University's student headcount enrollment decreased by 1,265 students, or 44.4 percent. About two-thirds of this decline was caused when over 600 students were not allowed to continue enrollment due to nonpayment of bills, but other factors contributed, as well.

The loss in student enrollment resulted in marked declines in both gross billable tuition and fee revenue and total public funds' revenue1 during this period. In fact, between fiscal years 2010-11 and 2015-16, KSU's gross billable tuition and fee revenue decreased by 10.2 million, or 44.4 percent, and when combined with cuts in state funding of about 2.5 million over this same period, the university's total public funds revenue decreased by 12.7 million, or 24.6 percent.

Among institutions in the comprehensive sector, the set of circumstances described above is unique to Kentucky State University. During the same period, the average increase in gross tuition and fee revenue among comprehensive universities other than KSU was $28.6 million, or 20.5 percent, and the average increase in total public funds revenue was $22.3 million, or 10.4 percent (CPE, Comprehensive Database).

The loss in total public funds revenue has placed considerable stress on KSU's operating budget. The University responded by implementing a number of cost savings and cost avoidance strategies, including several rounds of personnel layoffs. Actions to stabilize university finances resulted in a balanced budget for fiscal year 2015-16. Enrollment declines continued in 2015-16 and as a result, the University did not meet the budgeted revenue level leading to an unplanned use of fund balance. The University has a balanced budget in place for 2016-17 that does not anticipate use of any reserves for ongoing operating expenses. Fall enrollment exceeded projections and use of fund balance for operations is not anticipated in FY 2016-17.

1 Total public funds are the sum of net General Fund appropriations and gross tuition and fee revenue.

Page 56 Download HTML

The University has continued to implement cost containment strategies, including staff reductions, elimination of vacant positions, reorganization of administrative and academic functions and elimination or renegotiation of contracts.

These actions, while difficult, have positioned the University to function within its current revenue stream. However, while enrollment has stabilized with the fall 2016 incoming class, the University has limited resources to implement the aggressive plan necessary to complete the planned transformation and build enrollment to the levels necessary to sustain the University over the long term.

This management plan is part of a comprehensive planning process at the University that has culminated with a new Strategic Plan (Attachment A), a new Strategic Enrollment Management Plan (Attachment B) and this management plan.

Current Indicators

Enrollment

For the first time since 2013, fall headcount enrollment has increased over the prior year. Fall 2016 headcount is 1,736, a 9.46% increase over the fall of 2015. This reverses the recent enrollment trends at the University and is an early indicator that the changes put in place in enrollment management over the summer of 2016 are having an impact.

Page 57 Download HTML

Retention

Before 2015, the University's retention rate ranged between 40% and 50%, due primarily to an over-reliance in past recruiting on significantly underprepared students, who often did not have a financial path to complete a college degree.

While the University has had smaller incoming classes over the past two years, additional strategies have been put in place to retain more of those students. Staff is in place to contact students that are struggling and work through strategies to get those students back on track. Beginning this fall, a program has been implemented to evaluate the financial viability of incoming freshmen and to chart a path through aid, family contributions, and work study to ensure that students have a good chance of remaining in school for the four years necessary to complete their degree. As a result of these efforts, retention rates for first-time, degree-seeking freshmen, have increased from the mid-40s to 60.2% in the fall of 2015 and to 59.2% in the fall of 2016.

Progression

Kentucky State University has historically had low six-year graduation rates. Some of the factors indicated above such as financial stability and preparation have contributed to this; however, the University must do a better job of keeping students enrolled and keeping students on track to graduate. In addition to improving retention rates for first time freshmen, the strategies put in place last year have begun to increase the number of students who return beyond their second year. The percentage of students returning for their third year increased markedly with the 2014 cohort. This is the first cohort where interventions were put in place to monitor and retain students. Significant numbers of students from the 2010, 2011, 2012, and 2013 cohorts left the University before the infrastructure was in place to support them.

Page 58 Download HTML

Financial Performance

Declining enrollment and falling tuition revenue have put the University under severe financial stress over the past three years. As outlined above, a number of cost reduction measures have been put in place over this period. Mid-year budget reductions have become common. Limited resources have been available for student services and support.

This began to change with the 2016-17 fiscal year. Enrollment exceeded projections and gross tuition revenue is expected to be near budgeted levels. This provides stability for the University community and allows faculty and staff to have some certainty in the resources they will have available to serve students in this year.

Page 59 Download HTML

The Board of Regents and President are committed to the long term financial stability of the University. In accordance with that commitment, preservation of the University's fund balance has been paramount. Over the past two years, use of the fund balance for operating expenditures has been reduced. This has been accomplished even in the face of significant tuition revenue declines. The board's philosophy has been that the University's fund balance should be used only for long term investments in the stability of the University. In fiscal year 2016-17, the University is projected to use a portion of the fund balance to complete implementation of an Enterprise Resource Planning System, to complete the renovation of the main research facility on campus, and to pay potential settlements to federal agencies, stemming from grant management issues which occurred between fiscal years 2010-11 and 2012-13.

Financial Stability

A headcount enrollment of 2,100 students will provide sufficient resources for the University to reach long-term financial stability. A financially stable budget will provide for deferred maintenance, as well as, a budgeted contingency fund each fiscal year. Consistent state funding is critical to the long term stability of the University, as is continued full funding of the Land Grant match. Financial projections incorporated into this management plan do not assume additional state funding other than for projected increases in the required Land Grant Program match, but they do assume that the FY 2017-18 base operating appropriation will be maintained going forward.

The overall planning process for the University includes an enrollment management strategy with clear enrollment targets for the next four years:

Semester	Headcount
Fall 2017	1,800
Fall 2018	1,950
Fall 2019	2,100
Fall 2020	2,100

The University, as part of its Strategic Enrollment Management Plan (Attachment B), has implemented a number of activities to increase enrollment and retention. While the comprehensive plan is outlined in Attachment B, higher profile activities are outlined below:

Identify a profile of what constitutes best “fit” students who are interested in Kentucky State University.

Develop relationships with feeder high schools and community colleges to build a stream of prospective students yearly.

Develop a communication plan that is effective and appropriate for applicants

Page 60 Download HTML

based on where they may be in the process.

Develop a student-centered atmosphere with exemplary customer service.

Develop and enhance a transfer program for KSU.

Capture data on transfer students to evaluate processes, procedures, and policies to improve services.

Personalize communication and marketing campaigns to target prospective students.

Optimize enrollment through continuous improvement and integration of campus services, resources, best practices, policies, and procedures to attract, retain, and graduate more transfer students.

Facilitate ease of enrollment for transfer students.

In addition to increased enrollment, a consistent tuition setting strategy is required to stabilize revenues. Published tuition prices are projected to increase 4% per year between the fall semesters 2017 and 2020. Additional operating funding from the state will lower the required tuition increases. Operating reductions in state funding will necessitate higher tuition increases or further expenditure reductions that could threaten the long term financial stability of the University.

As tuition revenues increase, institutional aid funding will increase proportionally, as is typical for universities. Projected institutional aid expenditures are approximately 30% of gross tuition and fee revenues. Four years of revenue projections are outlined below.

(Dollars in thousands)

	FY 2018	FY 2019	FY 2020	FY 2021
Gross Tuition and Fees	16,299	18,361	20,567	21,389
Institutional Aid	5,000	5,600	6,200	6,500
Net Tuition and Fees	11,299	12,761	14,367	14,889
State Appropriation*	26,729	27,029	27,029	27,029
Other Income	1,160	1,263	1,365	1,445
Total Operating Revenue	39,188	41,053	42,761	43,363

*This revenue projection assumes an additional 300,000 in state funding beginning in FY 2018-19 for additional land grant match.

Page 61 Download HTML

In addition to rebuilding the revenue base of the University, expenditures must be aligned with ongoing revenue. For the past several years, the University has operated with a structurally imbalanced budget. Ongoing expenditures were supported with one-time funds or with time-limited grant funds. Over the past three years, the University has continually realigned staff and faculty positions and reduced operating expenditures to balance the operating budget. This realignment will continue over the next four years and base personnel expenditures are not projected to increase.

Approximately $1 million in salaries for staff working on student success initiatives will be transitioned to permanent funding or reallocated to other areas, over the next four years.

The only projected increases in operating expenditures relate to inflation and an increased allowance for bad debt as tuition increases. The University also will implement an allocation plan for indirect cost recovery from grants that will stimulate increased grant activity from faculty.

Increases in information technology costs relate to the implementation of a new Enterprise Resource Planning system (PeopleSoft/Oracle) and the transition of ongoing costs from a time-limited funding source.

The University has not budgeted spending for deferred maintenance for the past several years. Beginning in fiscal year 2018-19, funding will be allocated for deferred maintenance in the budget. The past two budgets also have not allowed for a reserve for contingencies. That reserve is reinstituted in fiscal year 2018-19.

Auxiliary Operations at the University have operated at a deficit for the past two years due to decreases in the number of residential students. Contracts have been restructured to minimize or eliminate this deficit for the current fiscal year (FY 2016-17). As enrollment increases, any surplus funds in auxiliary services will be dedicated to addressing deferred maintenance issues and modernizing residence halls and food service locations.

Below are projected Education and General operating revenues and expenditures for the next four fiscal years (excluding auxiliaries).

Page 62 Download HTML

	FY 2017-18	FY 2018-19	FY 2019-20	FY 2020-21
Total Operating Revenue	$39,188	$41,053	$42,761	$43,363
Base Personnel Costs	23,375	23,375	23,375	23,375
Title III Transition - Personnel	600	700	800	900
Cost of Salary Adjustment	0	0	360	480
Retirement and Health Ins Inc	300	520	820	1,100
Base Operating Costs	7,038	7,038	7,038	7,038
Operating Increases	250	500	700	800
Initiate IDC Allocation	50	120	148	150
Title III Transition - Operating	200	500	600	600
Increased Costs (Oracle)	200	200	220	220
Land Grant	6,900	6,900	6,900	6,900
Deferred Maintenance		500	1,000	1,000
Total Expenditures	$38,913	$40,353	$41,961	$42,563
Contingency	275	700	800	800
Total Surplus/(Deficit)	$ 0	$ 0	$ 0	$ 0

Financial Metrics and Ongoing Assessment

The primary metric to evaluate the financial stability of the University is the change in unrestricted net assets excluding plant and net of compensated absences and pensions each year and the reason for that change. Any use of unrestricted net assets (fund balance) should be a planned investment in the future of the University, not a use to support ongoing operations. Changes in unrestricted net assets will be evaluated and reported each fiscal year.

Page 63 Download HTML

Year End Unrestricted Net Assets Excluding Plant Net of Comp Absences and Pensions (Millions)

KSU's goals for Unrestricted Net Assets Excluding Plant Net of Compensated Assets are follows:

Fiscal Year	Amount (in Millions)
2017-18	$16.4
2018-19	$16.3
2019-20	$18.8
2020-21	$22.0

The Composite Financial Index (CFI) is a structured approach for evaluating the financial health of a university developed by KPMG and Prager, McCarthy, and Sealy, LLC in the late 1990s. It has been revised a number of times and provides four core measures as well as an overall index score:

Primary Reserve Ratio

Viability Ratio

Return on Net Assets Ratio

Net Operating Revenue Ratio

Composite Financial Index

For the KSU management plan, the CFI and component ratios are presented without the impact of the Governmental Accounting Standards Board Statement 68 (GASB 68). GASB 68 requires entities to report an allocation of net pension liabilities if they

Page 64 Download HTML

participate in a pension plan. KSU reports liabilities from both the Kentucky Retirement System and the Kentucky Teachers' Retirement System. While these liabilities are important, they mask the evaluation of day to day operations. For comparison, the CFI and component ratios including the effect of GASB 68 are presented in attachment C.

The first component in the CFI is the Primary Reserve Ratio. This ratio measures financial strength by comparing expendable net assets to total expenses. The ratio represents the portion of the year the institution could meet financial obligations with assets readily available. If the ratio is above 0.40 then the entity is considered to have sufficient cash for short term operations.

KSU's goals for the Primary Reserve Ratio are as follows:

Fiscal Year	Industry Standard	Goal
2017-18	.40	.34
2018-19	.40	.33
2019-20	.40	.37
2020-21	.40	.43

The second component ratio is the Viability Ratio. This measures the ability of the institution to meet its entire debt obligation with assets that are readily available. A ratio of less than 1.0 is an indicator of possible credit risk, while a ratio of over 2.0 is a strong indicator of financial health. KSU has a low level of debt and the majority of that debt will be retired over the next five years, resulting in strong performance in this ratio through 2021.

Page 65 Download HTML

KSU's goals for the Viability Ratio are as follows:

Fiscal Year	Industry Standard	Goal
2017-18	2.00	5.30
2018-19	2.00	6.83
2019-20	2.00	10.82
2020-21	2.00	19.34

The third component of the CFI is the Return on Net Assets ratio. This ratio indicates whether the institution's total assets, restricted and unrestricted, are increasing or decreasing. The threshold for this measure is approximately 3% above the inflation rate. Stress on KSU's revenue base and ongoing operations as well as costs related to growing enrollment and improving academic quality, have led to subpar performance in this indicator. KSU is expected to approach a measure of 1% on this ratio by 2021 with current projections.

Page 66 Download HTML

KSU's goals for the Return on Net Assets Ratio are as follows:

Fiscal Year	Industry Standard	Goal
2017-18	3.0% plus Inflation	-1.43%
2018-19	3.0% plus Inflation	-0.41%
2019-20	3.0% plus Inflation	0.30%
2020-21	3.0% plus Inflation	0.89%

The fourth component of the CFI is the Net Operating Revenues ratio. This measure indicates whether institutional operations resulted in a surplus or a deficit for the year. This measure does include depreciation expense, a non-cash expense. As a result, while KSU's budget is balanced from a cash revenue-to-expenditure standpoint, the ratio will be below 1.0 until revenues exceed expenditures by the depreciation expense for a given year.

Net Operating Revenues Ratio

KSU's goals for the Net Operating Revenues Ratio are as follows:

Fiscal Year	Industry Standard	Goal
2017-18	4.00	-2.22
2018-19	4.00	-0.61
2019-20	4.00	0.43
2020-21	4.00	1.26

As stated above, the Composite Financial Index (CFI) is a measure of the institution's overall financial health based on sufficiency and flexibility of resources, management of debt, performance of assets, and results of operations. A score of 3.0 is considered the

Page 67 Download HTML

threshold for financial health. KSU is projected to exceed that score by a significant amount through 2021 as remaining debt is retired. However, the Return of Net Assets ratio is one measure where the University has a sub-par score and efforts will be made to improve efficiencies and increase revenues to exceed these targets over the next four years in that measure.

KSU's goals for the Composite Financial Index are as follows:

Fiscal Year	Industry Standard	Goal
2017-18	3.00	5.02
2018-19	3.00	6.52
2019-20	3.00	10.12
2020-21	3.00	17.54

GASB 68

As can be seen in Attachment C, when the impact of GASB 68 is taken into account, the Composite Financial Index decreases from 17.54 to -36.52 (fiscal 2020-21). This is a situation faced by all the comprehensive universities in Kentucky. The University has little to no control over the pension situation.

Annual Report

Each December for the next four years, the University will provide a report on the prior year's financial results. This report will evaluate both the changes in unrestricted net assets and changes in the measures that make up the Composite Financial Index.

The report will also compare each year's actual results to the goals included in this management plan and detail any differences.

Page 68 Download HTML

This process will provide the General Assembly with the information necessary to evaluate funding needs for the University and to have confidence in the path to stability that the University will follow.

Below is a summary of annual targets.

Metric	Target
	Unaudited 2015-16	Budgeted 2016-17	Projected 2017-18	Projected 2018-19	Projected 2019-20	Projected 2020-21
Enrollment	1,586	1,736	1,800	1,950	2,100	2,100
Primary Reserve Ratio	0.42	0.38	0.34	0.33	0.37	0.43
Viability Ratio	4.37	4.85	5.30	6.83	10.82	19.34
Return on Net Assets Ratio	-2.89%	-2.43%	-1.43%	-0.41%	0.30%	0.89%
Net Operating Revenues Ratio	-5.26	-3.94	-2.22	-0.61	0.43	1.26
Composite Financial Index	4.08	4.52	5.02	6.52	10.12	17.54
Use of Reserve for Ongoing Expenses	($2,200,000)	$0	$0	$0	$0	$0

Rebuilt HTML — PaddleOCR-VL (Baidu)