KENTUCKY STATE UNIVERSITY
Management's Discussion and Analysis, continued
June 30, 2015
Total operating revenues were $34.8 million for the year ended June 30, 2015, a decrease of $3.9 million compared to FY14. The primary components of operating revenue were federal, state and local grants and contracts of $10.1 million (29.0%), student tuition and fees, net, of $11.5 million (33.0%), federal appropriations of $6.7 million (19.1%) and auxiliary services and other revenues of $6.5 million (18.8%). FY15 Student tuition and fees revenue decreased $5.6 million compared to FY14. FY15 Grants and contracts of $1.9 million compared to FY14 due to increased awards and spending. FY15 Federal appropriations decreased $57 thousand compared to FY14. FY15 Auxiliary services and other revenue decreased $523 thousand compared to FY14. Refer to Figure 1 for the three year trend of the operating revenues as a percent to total operating revenues and revenue by category.
Operating expenses totaled $68.5 million, a decrease of $5.1 million from last year. Of this amount, $39.7 million (57.3%) was expended directly for the primary mission of the University – instruction (17.5%), research (8.7%), student services (9.2%), student aid (11.0%), and public service (11.0%). Instruction is the main component of Primary Mission expenses amounting to $12.1 million in fiscal year 2015 or 17.5%. Refer to Figure 2 for the operating expenses categorized into the Primary Mission of the University.