2.11.1 Financial Resources

Core Requirement 2.11.1: Financial Resources

The institution has a sound financial base and demonstrated financial stability to support the mission of the institution and the scope of its programs and services.

(1) An institutional audit (or Standard Review report issued in accordance with Statements on Standards for Accounting and Review Services issued by AICPA for those institutions audited as part of a system-wide or statewide audit) and written institutional management letter for the most recent fiscal year prepared by an independent certified public accountant and/or an appropriate governmental auditing agency employing the appropriate audit (or Standard Review Report) guide; (2) A statement of financial position of unrestricted net assets, exclusive of plant assets and plant-related debt, which represents the change in unrestricted net assets attributable to operations for the most recent year; and (3) An annual budget that is preceded by sound planning, is subject to sound fiscal procedures, and is approved by the governing board. 

USF Sarasota-Manatee Focused Report Response

Please find USF Sarasota-Manatee’s audit and management letter for FY 2015 at the links below.

USF Sarasota-Manatee Financial Audit FY 2015

USF Sarasota-Manatee Management Letter FY 2015

Following submission of its Reaffirmation Report, USF Sarasota-Manatee received information on General Revenue Performance Funding. The table below reflects the operating budget sources for FY 2015, including the additional $958,549 in Performance-Based Funding (PBF).

Updated General Fund Operating Budget Sources
FY 2015
State Appropriations
     General Revenue (GR) $13,687,983
     GR Performance Funding $958,549
     Educational Enhancement (Lottery) $1,344,676
Tuition $8,999,637
Total $24,990,845

Below are updated financial tables with the FY 2015 information from the audit included. Financial results have been positive. The operating fund has ended each year with a balanced budget. In financial reporting, however, unrestricted net assets declined due to GASB 68–Accounting and Financial Pensions. The financial statements contain adjustments for compensated absences, OPEB, and the unfunded liabilities of pension plans. Up until now, public universities were only required to report a pension liability to the extent that they were behind on their annual actuarially-determined payments into the pension plan. Under GASB 68 universities now have to report liability for the entire underfunded status of the plan. As a result, we experienced a $5,292,743 increase in Total Liabilities and Deferred Inflows of Resources.  However, except for these adjustments, total unrestricted net assets continue to be positive.

Revised Table 2: Statement of Unrestricted Net Assets Exclusive of Plant and Plant-Related Debt
FY 2011 FY 2012 FY 2013 FY 2014 FY 2015
Net Assets $43,051,905 $41,873,174 $42,358,551 $41,292,612 $38,158,049
Less Property, Plant, Equipment  and Assets Limited to Plant $30,625,831 $29,141,253 $29,141,253 $27,584,386 $27,203,386
Plant Related Debt $0 $0 $0 $0  $0
URNA Not Including Plant and Debt $12,426,074 $12,731,921 $13,217,298 $13,708,226 $10,954,663

 

Revised Table 3: Net Assets
ASSETS FY 2011 FY 2012 FY 2013 FY 2014 FY 2015
Current Assets
Cash and Cash Equivalents $2,151,725 $1,854,611 $2,441,671 $1,685,503 $1,611,735
Investments $13,158,733 $14,703,102 $15,183,659 $17,872,711 $19,343,485
Accounts Receivable, Net $310,157 $358,489 $324,164 $344,209 $495,850
Due from State $1,525,000 $1,215,127 $479,302 $793,183 $984,519
Loans and Notes Receivable, Net $42,988 $38,948 $54,316 $48,704 $47,177
Other Current Assets $0 $1,280 $1,280 $1,280 $1,279
Total Current Assets $17,188,603 $18,171,557 $18,484,392 $20,745,590 $22,484,045
Noncurrent Assets
Restricted Cash and Cash Equivalents $32,923 $5,024 $194,788 $41,018 $25,733
Restricted Investments $201,345 $39,981 $1,212,715 $435,736 $309,357
Loans and Notes Receivable, Net $100,306 $90,878 $92,484 $94,544 $80,329
Capital Assets, Net $29,245,641 $28,505,091 $27,628,149 $26,740,849 $26,182,975
Land and Nondepreciable Capital Assets $1,380,190 $636,162 $576,368 $843,537 $1,020,411
Total Noncurrent Assets $30,960,405 $29,277,136 $29,704,504 $28,155,684 $27,618,805
TOTAL ASSETS $48,149,008 $47,448,694 $48,188,896 $48,901,274 $50,102,850
DEFERRED OUTFLOWS OF RESOURCES  
Deferred Amounts Related to Pensions $0 $0 $0 $0 $1,400,403
   
LIABILITIES
Current Liabilities
Accounts Payable $262,339 $187,442 $335,968 $404,453 $287,656
Construction Contracts Payable $212,069 $0 $0 $0 $70,316
Salaries and Wages Payable $169,172 $276,570 $278,962 $393,007 $452,102
Deposits Payable $5,691 -$6,286 $5,730 $5,790 $5,964
Deferred Revenue $131,987 $173,970 $74,936 $98,013 $130,893
Compensated Absences Payable $68,048 $70,244 $77,358 $85,360 $94,580
Net Pension Liability $0 $0 $0 $0 $53,572
Total Current Liabilities $849,306 $701,941 $772,954 $986,624 $1,095,083
Noncurrent Liabilities
Federal Advance Payable $0 $0 $72,423 $0 $72,930
Compensated Absences Payable $742,634 $770,673 $813,512 $910,346 $1,001,988
Other Non-Current Liabilities $101,302 $72,051 $0 $73,825 $0
Postemployment Benefits Payable $569,148 $926,306 $1,324,396 $1,803,871 $2,353,386
Net Pension Liability $2,660,799
Total Noncurrent Liabilities $1,413,084 $1,769,030 $2,210,331 $2,788,041 $6,089,103
TOTAL LIABILITIES $2,262,390 $2,470,971 $2,983,285 $3,774,665 $7,184,186
NET ASSETS
Invested in Capital Assets $30,625,831 $29,141,253 $29,141,253 $27,584,386 $27,203,386
Expendable
Loans $46,179 $60,728 $77,758 $72,443 $57,348
Capital Projects $1,546,669 $1,192,175 $1,664,978 $1,264,664 $1,211,320
Other $1,242,165 $1,851,646 $2,041,059 $2,496,889 $2,957,169
Unrestricted $12,426,074 $12,731,921 $13,217,298 $13,708,226 $10,954,663
TOTAL NET ASSETS $45,886,918 $44,977,723 $46,142,346 $45,126,609 $42,383,886
TOTAL LIABILITIES AND NET ASSETS $48,149,308 $47,448,693 $49,125,631 $48,901,274 $49,568,072
Revised Table 4: Revenues, Expenses and Changes in Net Assets  
USF Sarasota-Manatee A Component Unit of the State of Florida
History of Revenues, Expenses and Changes in Net Assets
 
REVENUES 2011 2012 2013 2014 2015
Operating Revenues:
Student Tuition & Fees, Net of Scholarship $6,907,136 $7,791,763 $8,718,800 $8,870,276 $9,241,450
Federal Grants and Contracts $190,981 $160,679 $14,945 $5,629 $123,158
State and Local Grants and Contracts $0 $0 $0 $75 $0
Nongovernmental Grants and Contacts $495,009 $275,979 $253,020 $807,122 $476,651
Sales and Services of Auxiliary Enterprise $480,258 $523,876 $376,999 $464,879 $533,532
Interest on Loans Receivable $2,487 $2,007 $2,890 $1,228 $1,494
Total Operating Revenues $8,075,871 $8,754,304 $9,366,654 $10,149,210 $10,376,285
EXPENSES
Operating Expenses:
Compensation & Employee Benefits $14,518,377 $14,949,201 $15,057,778 $16,524,566 $18,227,037
Service and Supplies $5,543,253 $4,217,176 $5,175,436 $5,636,313 $6,236,337
Utilities and Communications $386,959 $330,309 $319,559 $392,541 $350,920
Scholarships, Fellowships and Waivers $3,282,255 $3,172,308 $2,806,746 $3,075,688 $2,934,642
Depreciations Expense $1,106,367 $998,602 $1,087,615 $1,038,343 $1,109,677
Total Operating Expenses $24,837,211 $23,667,596 $24,447,134 $26,667,451 $28,858,613
OPERATING INCOME (LOSS) -$17,736,607 -$15,713,147 -$15,710,499 -$17,790,243 -$18,482,328
Non-Operating Revenues (Expenses)
State Appropriations $11,975,834 $11,424,679 $10,146,573 $13,276,534 $14,074,110
Federal & State Student Financial Aid $4,350,050 $3,964,547 $3,343,404 $3,519,786 $3,496,191
State Appropriated American Recovery & Reinvestment $971,648 $0 $0 $0 $0
Noncapital Grants and Donations $0 $172,250 $0 $160,679 $162,936
Investment Income $5,419 $71,588 $351,442 $20,407 -$305,648
Unrealized Gains and Losses $254,926 -$128,608 $314,544 $334,131
Other Non-Operating Revenue $42,814 $25,072 $75,201 $115 $208
Other Non-Operating Expenses -$26,760 -$716,696 -$167,866 -$185,471 -$150,684
Net Non-Operating Revenues $17,573,931 $14,812,831 $14,063,298 $17,126,181 $17,277,113
Income (Loss) Before Other Revenues, Expenses, Gains or Losses -$162,676 -$900,316 -$1,647,201 -$664,062 -$1,205,215
Capital Appropriations $375,000 $245,636 $34,314 $553,512 $393,462
Capital Grants, Contracts, and Donations $8,950 $0 $0 $0 $180,000
Transfers to/from Other University Campuses -$18,523 -$1,219,878 $1,210,755 -$1,139,452 $1,352,316
Total Other Revenues (Expenses) $365,427 -$974,242 $1,245,069 -$585,940 $1,925,778
Increase (Decrease) in Net Assets $202,751 -$1,874,558 -$402,132 -$1,250,002 $720,563
Net Assets, Beginning of Year $44,708,900 $45,886,919 $44,977,723 $45,205,610 $45,126,609
Adjustment to Beginning Net Assets $0 $156,507 $0 $0 -$3,463,286
Beginning Net Assets $44,708,900 $46,043,426 $44,977,723 $45,205,610 $41,663,323
Net Assets, End of Year $44,911,651 $44,168,868 $44,575,591 $43,955,609 $42,383,886

The ratios in the table below demonstrate solid financial management provided by USF Sarasota-Manatee to improve its position based on available resources. It is important to note that USF Sarasota-Manatee has no long-term, plant-related debt. As the Current Ratio demonstrates, USF Sarasota-Manatee has a very strong capability of meeting our current liabilities as they come due. As noted in the Composite Financial Index (CFI) described in further detail below, between FY 2013-15 USF Sarasota-Manatee has scored from 4.7 to 8.7 with an average of score of 6.99.  On the CFI scale, which ranges from 1 to 10, a score of 3 or above indicates that an institution has sufficient, adequately-managed resources to fulfill its mission objective.

 

USF Sarasota-Manatee Ratios FY 2013 FY 2014 FY 2015
Invested in Capital Assets/Total Net Assets 62.4% 61.1% 65.2%
Restricted Expendable Assets/Total Net Assets 8.4% 8.5% 10.1%
Unrestricted Net Assets/Total Net Assets 29.2% 30.4% 24.6%
Current Assets/Total Net Assets 40.9% 46.0% 53.9%
Current Liabilities/Total Net Assets 1.7% 2.2% 2.5%
Current Ratio – Current Assets/Current Liabilities 23.9 21.0 21.6
Total Operating Revenues/Total Revenues 40.0% 37.0% 37.5%
Total Operating Expenses/Total Revenues 123.0% 98.1% 88.4%
Net Non-Operating Revenues/Total Revenues 40.0% 37.0% 37.5%
Long-term liabilities-current portion/Total Long-term liabilities 0.0% 0.0% 0.0%
Long-term liabilities-non-current portion/Total Long-term liabilities 74.1% 74.5% 88.6%

Composite Financial Index and Principal Ratios

The following four ratios are derived from Strategic Financial Analysis for Higher Education, published by KPMG Prager, Sealy & Co., LLC and ATTAIN.

Primary Reserve Ratio
(Total expendable net assets/total expenses)

(1) The Primary Reserve Ratio measures the financial strength of the institution by comparing expendable net assets to total expenses. This ratio reveals financial strength and flexibility by indicating how long the institution could function using expendable reserves. Over the past 3 years, USF Sarasota-Manatee has consistently maintained a Primary Reserve Ratio above .60. Research suggests that a Primary Reserve Ratio of .40X or better is advisable to ensure resources are sufficient and flexible enough to support the mission. A ratio of .60x implies the institution would have the ability to cover about seven months of expenses (60% of 12 months).

Primary Reserve Ratio

Net Income Ratio
(Change in unrestricted net assets/total unrestricted income)

2) The Net Income Ratio indicates whether total unrestricted activities result in a surplus or a deficit. This ratio is a primary indicator, measuring if an institution is living within its available resources. The determination of net income includes depreciation expense as a component, indicating that a positive return in this area would suggest the institution lived within its means. The 2013-14 negative ratio was a result of a $1,139,452 transfer to the USF campus in Tampa. This transfer resulted in a negative change in net assets from the beginning of the year to the end. A transfer back to USF Sarasota-Manatee in the amount of $1,352,316 as noted in the in FY 2015 financial statement compensates for the negative transfer in FY 2014.

Net Income Ratio

 The Return on Net Assets Ratio
(Change in net assets/Total net assets: beginning of the year)

(3) The Return on Net Assets Ratio measures asset performance. It determines whether an institution is financially better off than in the previous year by measuring economic return. Items that impact this ratio can include those that impact the net operating revenues ratio along with capital appropriations, capital gifts and grants and endowment gifts. Because of changes in market performance can significantly impact the numerator of this ratio from year to year, each institution should set its own goal for the Return on Net Assets Ratio. The 2013-14 year decrease is again attributed to the decrease in net assets because of large transfer between USF campuses. As explained above, a transfer back to USF Sarasota-Manatee in the amount of $1,352,316 as noted in the in FY 2015 financial statement compensates for the negative transfer in FY 2014.

Return on Net Assets

The Viability Ratio
(Expendable net assets/long-term debt)

(4) The Viability Ratio measures expendable resources that are available to cover debt obligations and generally regarded as governing an institution’s ability to assume new debt. A ratio of 1.25 or greater generally indicates that there are sufficient resources to satisfy debt obligations. Under GASB 68 – Accounting and Financial Pensions, the USF Sarasota-Manatee financial statement changed in 2014-15 to include the entire underfunded status of compensated absences, other post-employment benefits (OPEB), and unfunded liabilities of pension plans. In the previous fiscal years, public universities were required to report liability only to the extent that they were behind on their annual actuarially-determined payments into the pension plan. Regardless of this change in reporting, USF Sarasota-Manatee still reported a ratio of expendable net assets to long-term debt well above the acceptable threshold of 1.25.

Viability Ratio

When combined, the four ratios generate the Composite Financial Index (CFI) which provides a view of USF Sarasota-Manatee’s overall financial health. The measures blended into a single number provide a more balanced view of the state of USF Sarasota-Manatee’s finances because weakness in one measure can be offset by the strength of another measure. With a current CFI Score of 4.7, USF Sarasota-Manatee is positioned to focus toward directing resources to compete.

CFI Scoring Guide

CFI Scale

 

Off-site Committee Report
Non-Compliance

USF S-M has not yet received its FY2015 financial audit. Also, a written institutional management letter has not been provided by the Auditor General of the State of Florida.

The institution has provided a Statement of Unrestricted Net Assets Exclusive of Plant and Plant-Related Debt, but not for FY2015.  The institution provided four years of numbers, but did not show any ratios of any kind. Three years of budget summaries along with budget templates, budget instructions, budget policies, the budget calendar, and documentation of Board approval of the budget were supplied as was evidence that budget requests are tied to the goals and objectives of the institution’s Strategic Plan.

 

USF Sarasota-Manatee’s original submission narrative is shown below.  

Compliance Partial Compliance Non-compliance

At the time of submission of the University of South Florida (USF) Sarasota-Manatee’s Compliance Certification, the State of Florida Auditor General, had not yet completed the financial statement audit ending June 30, 2015, and the statement of unrestricted net assets. The Auditor General provides these reports annually between November and January while the Reaffirmation submission date was September 11, 2015. Please see the 2014-15 Fiscal Year Engagement Letter for USF Sarasota-Manatee for additional information.

(1) Institutional Audit

The Auditor General of the State of Florida audits the University of South Florida (USF) System annually in accordance with Florida Statute 11.45(2)(c). Recent financial audits (FY 2014 Audit, FY 2013 Audit, FY 2012 Audit,  and FY 2011 Audit ) of the USF System demonstrate that it complied with government auditing standards and that there were no material weaknesses in matters of internal control and operation. USF Sarasota-Manatee is included as a part of the USF System audits, receiving a separate audit only during the year of a required Reaffirmation of Accreditation by the Southern Association of Colleges and Schools Commission on Colleges.  The State of Florida Auditor General will provide the USF Sarasota-Manatee Financial Audit sometime between November 2015 and January of 2016 as noted in the 2014-15 Fiscal Year Engagement Letter for USF Sarasota-Manatee.

A written institutional management letter is not provided by the Florida Auditor General of the State of Florida. The Auditor reports any material weaknesses, significant deficiencies, fraud, illegal acts, abuse, or violations of provisions of contracts in a separate section of the audit report called “Findings and Recommendations.”  Additionally, the auditor reports any findings in the “Independent Auditor’s Report on Internal Control over Financial Statements Performed in Accordance with Government Auditing Standards.” In the past four USF System Financial Audits the auditors reported no such findings. The USF System financial audits, which include USF Sarasota-Manatee’s finances, for the last four years include the statement, “the results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards” (2014 No Audit Findings , 2013 No Audit Findings, 2012 No Audit Findings, and 2011 No Audit Findings.

(2) Statement of Financial Position of Unrestricted Net Assets

USF Sarasota-Manatee has consistently maintained a sound financial base and demonstrates adequate financial stability to support the Mission Statement of the institution. This financial stability is consistent with growth in enrollment and Unrestricted Net Assets Not Including Plant and Debt. In addition, USF Sarasota-Manatee continues to maintain reserves well in excess of the 5% required by Florida Board of Governors Regulation 9.007.

Table 1: General Revenue Fund Balance

FY 11 FY 12 FY 13 FY 14 FY 15
General Revenue Fund Balance $9,259,788 $10,620,867 $10,524,867 $10,167,913 $11,029,629

Additional information on the financial stability of USF Sarasota-Manatee is provided in Comprehensive Standard 3.10.1 (Financial Stability). 

The following tables provide a statement of financial position of Unrestricted Net Assets, exclusive of plant assets and plant related debt, which represents the change in unrestricted net assets attributable to operations for the four most recent years.

Table 2: Statement of Unrestricted Net Assets Exclusive of Plant and Plant-Related Debt
  FY 11 FY 12 FY 13 FY 14
Unrestricted Net Assets $43,051,905 $41,873,174 $42,358,551 $41,292,612
Less Property, Plant, Equipment  and assets limited to plant $30,625,831 $29,141,253 29,141,253 $27,584,386
Plant Related Debt $0 $0 $0 $0
URNA Not Including Plant and Debt $12,426,074 $12,731,921 $13,217,298 $13,708,226

 

 Table 3: Net Assets
  FY 11 FY 12 FY 13 FY 14
ASSETS
CURRENT ASSETS
Cash and Cash Equivalents  $2,151,725 $1,854,611 $2,441,671 $1,685,503
Investments, Net $13,158,733 $14,703,102 $15,183,659 $17,872,711
Accounts Receivable, Net $310,157 $358,489 $324,164 $344,209
Due From Other SUS Universities $0 $0 $0 $0
Due From Primary Government $1,525,000 $1,215,127 $479,302 $793,183
Inventories $0 $0 $0 $0
Loans and Notes Receivable, Net $42,988 $38,948 $54,316 $48,704
Other Assets $0 $1,280 $1,280 $1,280
Total Current Assets $17,188,603 $18,171,557 $18,484,392 $20,745,590
NON-CURRENT ASSETS
Restricted Cash and  Cash Equivalents $32,923 $5,024 $194,788  $41,018
Restricted Investments $201,345 $39,981 $1,212,715 $435,736
Loans and Notes Receivable, Net $100,306 $90,878 $92,484 $94,544
Buildings, Equipment, and Other Depreciable
Capital Assets, Net $29,245,641 $28,505,091 $27,628,149 $26,740,849
Land and Other Nondepreciable Capital Assets $1,380,190 $636,162 $576,368 $843,537
Total Noncurrent Assets $30,960,405 $29,277,136 $29,704,504 $28,155,684
TOTAL ASSETS $48,149,008 $47,448,694 $48,188,896 $48,901,274
LIABILITIES
Current Liabilities
Accounts Payable $262,339 $187,442 $335,968 $404,453
Construction Contracts Payable $212,069 $0 $0 $0
Accrued Salaries and Wages $169,172 $276,570 $278,962 $393,007
Deposits Payable $5,691 ($6,286) $5,730 $5,790
Deferred Revenue $131,987 $173,970 $74,936 $98,013
Current Compensated Absences Liability $68,048 $70,244 $77,358 $85,360
Total Current Liabilities $849,306 $701,941 $772,954 $986,624
Noncurrent Liabilities
Federal Advance Payable $0 $0 $72,423 $0
Compensated Absenses $742,634 $770,673 $813,512 $910,346
Other Non Current Liabilities $101,302 $72,051 $0 $73,825
Post Employment Health Care Benefits Payable $569,148 $926,306 $1,324,396 $1,803,871
Total Noncurrent Liabilities $1,413,084 $1,769,030 $2,210,331 $2,788,041
TOTAL LIABILITIES $2,262,390 $2,470,971 $2,983,285 $3,774,665
NET ASSETS
Invested in Capital Assets, Net of Related Debt $30,625,831 $29,141,253 $29,141,253 $27,584,386
Restricted:
  Nonexpendable:
    Endowment $0 $0 $0 $0
  Expendable:
       Debt Service $0 $0 $0 $0
       Loans $46,179 $60,728 $77,758 $72,443
       Capital Projects $1,546,669 $1,192,175 $1,664,978 $1,264,664
      Other Restricted Net Assets $1,242,165 $1,851,646 $2,041,059 $2,496,889
Unrestricted $12,426,074 $12,731,921 $13,217,298 $13,708,226
Total Net Assets $45,886,918 $44,977,723 $46,142,346 $45,126,609
Total Liabilities and Net Assets $48,149,308 $47,448,693 $49,125,631 $48,901,274
Table 4:  Revenues, Expenses and Changes in Net Assets
  FY 11 FY 12 FY 13 FY 14
 REVENUES
Operating Revenues:
 Student Tuition & Fees, Net of Scholarship Allowance $6,907,136 $7,791,763 $8,718,800 $8,870,276
 Federal Grants and Contracts $190,981 $160,679 $14,945 $5,629
 State and Local Grants and Contracts $0 $0 $0 $75
 Nongovernmental Grants and Contracts $495,009 $275,979 $253,020 $807,122
 Interest on Loans Receivable $2,487 $2,007 $2,890 $1,228
 Other Operating Revenue  $0 $0 $0 $0
 TOTAL OPERATING REVENUES $7,595,613 $8,230,428 $8,989,655 $9,684,331
EXPENSES
Operating Expenses:
 Compensation & Employee Benefits $14,518,377 $14,949,201 $15,057,778 $16,524,566
 Services & Supplies $5,543,253 $4,217,176 $5,175,436 $5,636,313
 Utilities & Communications $386,959 $330,309 $319,559 $392,541
 Scholarships, Fellowships and Waivers $3,282,255 $3,172,308 $2,806,746 $3,075,688
 Depreciation Expense $1,106,367 $998,602 $1,087,615 $1,038,343
 TOTAL OPERATING EXPENSES $24,837,211 $23,667,596 $24,447,134 $26,667,451
OPERATING INCOME (LOSS) ($17,241,598) ($15,437,168) ($15,457,479) ($16,983,120)
 NON-OPERATING REVENUES (EXPENSES)
 State Appropriations $11,975,834 $11,424,679 $10,146,573 $13,276,534
 Federal & State Student Financial Aid $4,350,050 $3,964,547 $3,343,404 $3,519,786
State Appropriated American Recovery & Reinvest $971,648 $0 $0 $0
Noncapital Grants and Donations $172,250 $0 $160,679
 Investment Income $5,419 $71,588 $351,442 $20,407
 Unrealized Gains and Losses $254,926 ($128,608) $314,544 $334,131
 Other Non-Operating Revenue $42,814 $25,072 $75,201 $115
 Interest on Asset-Related Debt 0 0 0 0
 Other Non-Operating Expenses ($26,760) ($716,696) ($167,866) ($185,471)
Net Non-operating Revenues $17,573,931 $14,812,831 $14,063,298 $17,126,181
Income (Loss) Before Other Revenues,
Expenses, Gains, or Losses $332,333 ($624,337) ($1,394,181) $143,061
 Capital Appropriations $375,000 $254,636 $34,314 $553,512
 Capital Grants, Contracts, and Donations 8,950 $0 $0  $0
 Transfers To/From Component Units/ Primary Gov $0 $0 $0 $0
 Transfers To/From Other SUS Universities $0 $0 $0  $0
 Transfers to/from Other University Campuses ($18,523) ($1,219,878) $1,210,755 ($1,139,452)
Total Other Revenues (Expenses) $365,427 ($965,242) $1,245,069 ($585,940)
Increase (Decrease) In Net Assets $697,760 ($1,589,579) ($149,112) ($442,880)
Net Assets, Beginning of Year $44,708,900 $45,886,919 $44,977,723 $45,205,610
 Adjustment to Beginning Net Assets $0 $156,507  $0 $0
Beginning Net Assets $44,708,900 $46,043,426 $44,977,723 $45,205,610
Net Assets, End of Year  $45,406,660  $44,453,846  $44,828,611  $44,762,730

(3) Annual Operating Budget 

USF Sarasota-Manatee has a sound financial base, verified financial stability, and access to a variety of resources that support the Mission Statement, Vision, Goals, and Values of USF Sarasota-Manatee and the comprehensive USF System Strategic Plan, both of which focus on student success, teaching, research, community engagement, and service. The budget includes allocation of resources within programs with and without a distance learning program and off-site, such as Communications Sciences and Disorders and North Port. The following tables provide a summary of the last three operating budgets.

  2012-13 2013-14 2014-15
Academic Affairs  
Administration $648,920 $678,734 $746,413
Commencement $4,000 $4,000 $4,000
Institutional Research $0 $10,000 $302,302
North Port $135,595 $138,738 $142,881
Campus Computing $465,176 $516,577 $483,317
Library $477,690 $501,664 $434,769
STEM/Library $90,493
Summer School $318,074 $326,098 $329,658
Performance Funding (funded by USF System) $958,549
Arts and Sciences
    Administration $786,331 $538,144 $498,669
    Interdisciplinary Studies $89,215 $92,423 $171,084
    STEM TBD $365,337
    STEM Biology $84,274 $854,558 $806,304
    STEM Chemistry $66,897
    STEM Environmental Sciences $68,858
    STEM Mathematics and Statistics $0 $128,180 $113,842
   Communication Sciences and Disorders $87,704 $359,390 $138,568
   Criminology $287,821 $296,056 $450,281
   English $230,899 $360,348 $370,639
   World Languages $68,242
   Government and International $3,551 $0 $0
   History $153,740 $168,772 $170,517
   Psychology $297,933 $371,114 $392,643
   Social Work $221,023 $240,033 $202,332
   STEM Non Recurring $0 $882,604 $0
   STEM @ Mote Marine $483,031
College of Business
   Administration $409,540 $355,405 $385,394
   Accounting $399,879 $419,114 $519,485
   Economics $9,130 $0 $82,699
   Finance $415,574 $423,332 $445,179
   Management $385,930 $380,935 $366,641
   Marketing $373,390 $383,252 $392,757
   STEM ISDS $103,630
   Information Systems Decision Science $240,563 $399,385 $233,143
   SBDC Non Recurring $100,000
College of Education
   Administration $558,872 $410,915 $355,099
   Edu Measures and Research $9,163 $67,540 $1,461
   Childhood/Language Arts/Reading $817,203 $626,271 $695,246
   Secondary Education $85,333 $69,618 $70,604
   Psychological and Social Foundations $194,238 $190,240 $194,599
   Special Education $8,518 $0 $0
   Ed Leadership and Higher Education $285,960 $156,025 $165,038
   PAInT Non Recurring $100,000
School of Hotel and Technology Leadership
   Hotel and Restaurant Management $923,697 $1,009,848 $1,222,546
   STEM/IT $179,424
   Informational Technologies $151,024 $269,816 $91,825
   Global Engagement $66,477
Student Services
   Administration $425,737 $515,996 $702,383
   Counseling and Wellness $78,285 $80,225 $81,102
   Recruitment $175,181 $201,444 $345,577
   Financial Aid $163,484 $224,738 $236,946
   Academic Advising $335,413 $249,112 $201,164
   Career Center $74,755 $78,281 $73,881
   Student Affairs $114,318 $112,857 $117,492
   Disability Services $62,552 $59,498 $69,958
   Enrollment Management $87,449 $178,981 $164,172
   STEM/Advising $82,235
   Admissions $220,061 $146,585 $136,587
Business and Finance  
Business Office/HR/Purchasing $436,338 $463,677 $457,600
Budgets $370,381 $363,165 $375,734
Lapse Reserve $11,201 $79,070 $5,360
Facilities Planning and Management
   Administration $306,387 $332,640 $327,928
   Facilities Operations $180,558 $202,290 $207,687
   STEM/Mote $80,000
   North Port $102,450 $99,000 $99,000
   Custodial $292,105 $292,105 $292,105
   Grounds $33,897 $33,897 $33,987
   Utilities $283,150 $283,150 $284,918
   Maintenance $145,474 $134,924 $134,924
Postal and Receiving Services $130,110 $137,101 $142,410
Public Safety $472,739 $490,301 $508,257
USF System Services $1,010,066 $1,354,588 $1,010,066
Development and University Relations  
Development and University Relations $619,813 $723,652 $808,417
Regional Chancellor  
Regional Chancellor $400,622 $429,298 $404,082
External Affairs $171,384
Reserves and Financial Aid  
Campus Reserves $1,339,893 $1,010,170 $1,101,484
Tuition Authority Reserves (Excess Authority) $1,043,493 $1,537,261 $1,252,000
Tuition Waivers $24,571 $75,200
Financial Aid (Differential Tuition) $498,541 $556,646 $492,583
 GRAND TOTALS $18,998,984 $22,074,981 $24,032,296

Fiscal Procedures and Governing Board Approval

Appointed by the USF Board of Trustees and established by Florida Statute 1004.34 (Budget), the USF Sarasota-Manatee Campus Board has the power and duty to “approve and submit an annual operating plan and budget for review and consultation by the USF System Board of Trustees (BOT). The campus operating budget must reflect the actual funding available to USF Sarasota-Manatee in each annual General Appropriations Act.” The USF Sarasota-Manatee Campus Board November 2014 Minutes reflect the acceptance of the last annual Operating Budget prior to submission of this reaffirmation document. The Campus Board approved the 2015-16 Continuation Budget of USF Sarasota-Manatee as documented in the Campus Board June 2015 Minutes, and the BOT approved the 2015-16 Continuation Budget of the USF System as documented in the BOT June 2015 Minutes.

The USF Sarasota-Manatee Campus Board also has the power and duty, according to Florida Statute 1104.34 (LBR), to “review and approve an annual legislative budget request to be submitted to the Commissioner of Education. The [legislative budget request] must include items for campus operations and fixed capital outlay.”

The USF Sarasota-Manatee budget planning process is collaborative among the administrative and academic leadership. The cycle generally begins with the development of a Legislative Budget Request (LBR) created by following the LBR Policy Guidelines provided by the BOG. The USF Sarasota-Manatee’s LBR (LBR Example) annually reflects the goals and objectives of the USF Sarasota-Manatee Strategic Plan and the goals and objectives of the Florida Board of Governors (BOG). The USF Sarasota-Manatee Campus Board and the USF Board of Trustees (BOT) approves the LBR in a timeline and format directed by the Florida Board of Governors. USF Sarasota-Manatee budgeting processes are governed by the USF System Policy 0-513, USF System Budgets.

The major activities in developing the operating budget for any given fiscal year generally follow the time line below:

Time Frame Activities
January – March (Q3) USF Sarasota-Manatee begins Legislative Budget Request (LBR) planning process; Board of Governors (BOG) staff develop LBR Guidelines; BOG approves LBR Guidelines; USF Sarasota-Manatee units make budget requests based on the strategic plan and on priority order, vetting them through the USF Sarasota-Manatee Senior Leadership Team. Universities submit updated salaries and benefits information to BOG. BOG makes updates to LBR guidelines. BOG approves amended LBR guidelines if necessary.
April – June (Q4) The Regional Chancellor produces the LBR based on requests and by following guidelines; USF Sarasota-Manatee Campus Board and USF Board of Trustees (BOT) review and approve LBR; USF BOT submits LBR to BOG; BOT sets tuition for coming academic year; Regional Chancellor determines final budget for coming fiscal year based on actual appropriations from the Legislature.
July – September (Q1) BOG prepares and approves State University System (SUS) LBR for the Legislature.
October – December (Q2) BOG submits the LBR to the Legislature. Governor prepares his budget recommendations.
January – March (Q3) Legislature reviews LBR submitted by BOG.
April – June (Q4) Legislature approves funding for SUS, and USF Sarasota-Manatee allocates new funding based on legislative directive.
July – September (Q1) USF Sarasota-Manatee receives new budget based on legislative funding.

 

SUPPORTING DOCUMENTATION AND EVIDENCE