North Dakota University System 2018-19 Annual Budget ...

1 1. North Dakota University System 2018-19 Annual Budget guidelines for consideration by the SBHE March 28, 2018. The Board's approval of the 2018-19 Annual Budget guidelines includes the following: 2018-19 salary guidelines . Carryover authority and extraordinary repairs reporting requirements. 2018-19 approved maximum tuition rate increases, detailed on tables 1-5. 2018-19 ConnectND fee of $66 per semester or $ per credit (no change from 2017-18). 2018-19 NDSA fee of 4 cents per credit, capped at 12 credits per semester (no change from 2017-18). 2018-19 total mandatory fee increases.

2 Provide the Chancellor the authority to approve the Annual budgets within the guidelines set forth by the Board; however, any line item transfers from operations to capital assets line item must be approved by the Board. As part of the Annual Budget , campuses and related entities shall: Include descriptions and amounts of targeted investments and allocations that will assist with carrying out the goals set forth in the Board and campuses strategic plans. Include descriptions and amounts of reallocations/reductions from the legislative Budget cut, including adjustments to staffing, spending and operations to control costs, and the corresponding effect on ability to carry out Board and campus strategic plans.

3 Include a brief explanation of other significant changes in the Budget , not specifically addressed otherwise. Disclose 2018-19 tuition rate increases by category. Include descriptions and amounts of any salary increases provided to employees. Disclose 2018-19 overall average salary increase and a brief description of related salary increase policy for FY19. Disclose estimated 2015-17 carryover, and the proposed use of these funds. Disclose base extraordinary repairs match and source of funds for FY19. Campuses shall submit Annual Budget schedules to the NDUS Office by no later than June 15, 2018.

4 The Chancellor shall review and approve the Annual budgets consistent with the guidelines established by the SBHE. salary guidelines : NDUS entities should prepare their 2018-19 payroll Budget consistent with their campus/entity approved salary administration plan, and within the following guidelines : As per NDUS 5 Pay Policy, General Adjustments are defined as follows: 1. 2. General adjustments are made based on the decisions and directions of the Legislature or the State Board of Higher Education. General adjustments may also be determined for an institution at the discretion of the institution's president.

5 The 2017 Legislative Assembly did not provide funding for general salary or equity increases for the 2017-19 biennium. The SBHE prohibited these types of increases in FY18. For FY19, campuses and NDUS- entities may provide reasonable general salary or equity increases with Chancellor notification. The current and ongoing cost of general salary or equity increases funded with state general fund or tuition dollars must be supported by documented Budget reallocation or Budget cuts. The Chancellor and campus Presidents may authorize other salary adjustments as defined in institution/entity approved salary administration plan and NDUS 5 Pay Policy.

6 Other salary adjustments may include temporary adjustments, promotion adjustment, and market adjustments. Adjustments in salary will be made with appropriate administrative approval and consultation with the Human Resource Office. Rationale for these adjustments will include changes in level of responsibility as documented by a Position Description; and changes in band and/or job family. May also use other salary administration tools, including one-time payments. All salary or one-time pay adjustments must be reported within the Annual Budget documents. Probationary increases may be awarded as per funding availability and shall be awarded at the discretion of the Chancellor / campus President.

7 The Chancellor and campus Presidents are authorized to adjust full-time equivalent positions as needed, subject to the availability of funds. 2. 3. Strategic Investments The 2015-2020 NDUS strategic plan includes the following goals, followed by examples of actions to attain the goals: Deliver degrees that are the best value in the nation (Adaptation of open education resources; exploration of more business and industry contributions; work within legislative guidance/limitations on tuition). Provide programs people want, where and when they need them (Implementation of new programs based on workforce needs; increase enrollment in STEM.)

8 Disciplines). Equip students for success (Implementation of predictive analytics; increase retention rates). Maximize the strengths of the unified System ( increase collaborative enrollments;. explore administrative collaboration opportunities). As part of the Annual Budget document, campuses should specifically identify targeted investments (dollar amount and the source of funds) to support the attainment of the goals set forth in the 2015-2020 strategic plan. Carryover: SB2003, Section 12 permits the carryover of any unexpended appropriations from 2015-17. to the 2017-19 biennium.

9 Annual budgets should disclose the estimated carryover and proposed uses. Campuses must track and report to subsequent appropriation committees on the amount and use of these funds, as required per Section of the ND. Century Code. Extraordinary Repairs SB2003,Section 28 requires that institutions shall provide two dollars of matching funds from operations or other sources for each one dollar of extraordinary repairs funding . As part of the Annual Budget , campuses should disclose the amount of match, and source of funds, planned for FY2019. If the source is state general fund operating, a request for a line item transfer (from operations to capital assets) should be included on Schedule 1 of the Annual Budget document, as allowed per SB2003 Section 20.

10 Tuition Increases, Excluding Rates for High School Students Enrolled in College Coursework: SB2003, Section 27 limits resident undergraduate tuition rate increases to 4 percent per year during the 2017-19 biennium. There is no limit for non-resident undergraduate tuition rates. Tuition rate increases are not capped for graduate programs, including the UND. School of Medicine and Health Sciences, UND School of Law and NDSU School of Pharmacy. 3. 4. The bill section also excludes from the tuition cap calculation any adjustments to tuition rates resulting from a change in an institution's method of charging tuition, including the consolidation of existing fees into tuition rates or charging tuition base on a per-credit rate.