Variance References

A summary of operations is presented below to explain the budget vs. actual report as of August 31, 2009. Significant variances are explained to assist in understanding the results presented.

Overview: Year-to-date actual revenues and expenses are presented for the Educational and General Fund (E&G), the Auxiliary Fund and Land Grant and Action Agenda Funds. The state appropriates funds for Land Grant to match Federal appropriations through the U.S. Department of Agriculture. Land Grant, Action Agenda and Auxiliary Funds are not available to the University for discretionary spending.

Revenue

  • State appropriations are received in installments of 30% (July), 25% (October), 25% (January) and 20% (April) of each year. At August 2009, $8.2 million of appropriations have been received and compares favorably representing 30.0% of the approved budgeted appropriations.
  • Student Tuition and Fees are reflected for Fall 2009 at 56.9% of budget. Auxiliary revenues represent housing and board for resident students enrolled for Fall 2009 with 54.7% of budgeted revenues recorded. Student tuition, fees, housing and board charges may decrease due to enrollment withdrawal and or relocating off campus.
  • Other revenue includes athletic income, indirect cost recovery, facility rentals, and interest income. These sources of revenue are at 17.9% of budget.

Expense

  • Salaries and benefits expenses are at 11.9% of budget or 4.9% less than the percentage of fiscal year expired calculation.
  • Services were expended at a favorable rate of 9.34%. Fixed costs expenses are at 17.2% of budget, slightly above percentage of fiscal year expired calculation. Fixed costs include maintenance agreements that require payment in full at the beginning of the service agreement. These expenses are not spread evenly over the fiscal year. Student Aid is at .38% of budget mainly due to the unposted student aid for Fall 2009 semester that has not been disbursed.
  • Supplies, Travel and Communications were expended at the average rate of 8.79% of budget and compares favorable with the percentage of fiscal year expired calculation. Supplies for printing and copying have been significantly reduced with the implementation of the Managed Services Agreement with Xerox.

Transfers include debt services obligations and internal reallocations to correct prior offsets within the E&G Fund.

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