The University of Montana
Planning Assumptions ‐ Initial
Fiscal Year 2016/2017
Updated May 29, 2015
Low Risk
Worker's Compensation
Unemployment Social Security (FICA)
OASDI
Medicare
Retirement
1
PERS ‐ Increase 0.1%
1
TRS ‐ Increase 0.1%
TIAA‐CREF
Total
Insurance
Monthly
Yearly
FY16 and FY17
Pay Plan Increases
Benefit Rates Going Into FY16
Classified Staff
High Risk
TRS
Faculty/Contract
TIAA‐CREF
0.650%
0.250%
3.820%
0.250%
0.650%
0.250%
0.650%
0.250%
6.200%
1.450%
6.200%
1.450%
6.200%
1.450%
6.200%
1.450%
8.370%
‐
‐
16.920%
8.370%
‐
‐
20.090%
‐
11.050%
‐
19.600%
‐
‐
10.676%
19.226%
FY17
FY16
$887
$1,054
$10,644
$12,648
Since any Pay Plan to be implemented would be the result of collective bargaining, planning assumptions are always only a rough projection at best. As of March 2015, there is only the Governor's proposed $0.50/hour pay plan. The current Legislative Session has not yet addressed funding any pay plan. However, prudent planning should include at least a conservative pool for increased or incremental salary costs. Failure to do this could lead to an understatement of costs, and therefore understatement of revenue requirements. Please, include a reasonable pool in a Pooled Position Number.
Low Risk
Worker's Compensation
2
Unemployment Social Security (FICA)
OASDI
Medicare
Retirement
PERS 1 ‐ Increase 0.1%
1
TRS ‐ Increase 0.1%
TIAA‐CREF
Total
Benefit Rates Going into FY17
Classified Staff
High Risk
TRS
Faculty/Contract
TIAA‐CREF
0.550%
0.250%
3.800%
0.250%
0.650%
0.250%
0.650%
0.250%
6.200%
1.450%
6.200%
1.450%
6.200%
1.450%
6.200%
1.450%
8.470%
‐
‐
16.920%
8.470%
‐
‐
20.170%
‐
11.150%
‐
19.700%
‐
‐
10.676%
19.226%
1
Starting in FY15, there will be a 0.1% increase for the next ten years.
2
This is FY16 rate because FY17 rate is not published until spring of FY16. This is subject to change and could be a higher value for FY17.
FY16
FY17
$887
$1,054
Monthly
$10,644
$12,648
Yearly
There is no increase in the first year of the biennium. However, a dramatic increase of nearly 19% is proposed for the second year of the biennium
Hourly Minimum Wage for Classified ‐ $10.00
Hourly Minimum Wage for Students and some short‐term Temporary Employees ‐ $8.05 Effective January 1, 2015
OASDI Taxable Wage Base $118,500 (through 12/31/15)
Insurance
Faculty Pools
Hourly Part‐Time (Low risk) w/PERS
Hourly Part‐Time (Low risk) w/o PERS
Hourly Part‐Time (High risk) w/PERS
Hourly Part‐Time (High risk) w/o PERS
FY16
19.226%
16.920%
8.550%
20.090%
11.720%
TA's
State Work Study
State Non‐Work Study
Federal Work Study
Federal Non‐Work Study
Work/Non‐Work Study (taking less than 6 credits)
0.650%
0.650%
0.650%
0.650%
0.650%
8.550%
Compiled by OPBA. These assumptions are for modeling purposes only. They are subject to change.
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FY17
19.226%
17.020%
8.550%
20.190%
11.720%
0.650%
0.650%
0.650%
0.650%
0.650%
8.550%
The University of Montana
Planning Assumptions ‐ Initial
Fiscal Year 2016/2017
Updated May 29, 2015
Higher Education Price Index (HEPI)*
Fiscal Year
HEPI
Yearly %
2006
253.1
5.1
260.3
2.8
2007
273.2
5.0
2008
279.3
2.2
2009
281.8
0.9
2010
2.3
288.4
2011
293.2
1.7
2012
297.8
1.6
2013
2014
306.7
3.0
*All US Public Colleges and Universities, 2014 Revised Series
https://www.commonfund.org/CommonfundInstitute/HEPI/Page
Utility Assumptions
% Rate increases over past FY
FY16
2.1%
Electricity
0.0%
Fuel Oil
0.3%
NG‐Non‐Term
0.3%
NG‐Term
3.6%
Lab Gas
2.0%
Water
4.8%
Sewer
Garbage
3.6%
Estimates are within +5%
Based on projections provided August 2014.
FY17
2.1%
0.0%
2.0%
2.0%
3.4%
2.5%
5.5%
5.2%
Projected Enrollment
FY16
FTE
Summer
Fall
Spring
Fiscal Year
Part time
Full time
Part time
Full time
Headcount
Total
0
0
0
11,237
FY17
FTE
Summer
Fall
Spring
Fiscal Year
Headcount
Total
0
0
0
11,237
Administrative Assessment Assumptions
8.0% of actual expenses in FY14 for the FY16 assessment and in FY15 for the FY17 assessment excluding the following:
Capital
Transfers Out
Scholarships and Waivers
Assessment Paid in FY2014 for FY2016
Assessment Paid in FY2015 for FY2017
See the OPBA website for the preliminary FY16 Administrative Assessment calculations: http://www.umt.edu/plan/Budget/default.aspx Notes:
If total assessment amount is over $1,000 the expense will be charged to your index code once per quarter. If the assessment amount is less than $1,000 then the expense will be charged to your index all at once ‐ usually this charge is made in the first quarter.
Additional areas for consideration in planning
Tort/Liability Insurance Inflation ‐ 29.4% in FY16 & 6.9% in FY17
Property Insurance Inflation ‐ 27.8% in FY16 & 5.1% in FY17
Auto Insurance Inflation ‐ 19.3% in FY16 & 6.9% in FY17
Library Acquisitions Inflation ‐ 7%
IT Fixed Costs ‐ 7%
All Other Operating Expense ‐ 3% See HEPI Index above
Other State Pass Through Expense ‐ 0%
All Other Operating Expense: (as supplied by the Governor's Office of Budget and Program Planning, OBPP)
http://budget.mt.gov/Portals/29/Memo%208%20‐%20Budget%20Instructions%2017B.pdf FY16
FY17
62601 Electricity
2.30%
3.68%
0.39%
0.72%
62604 Laboratory Gas
62607 Propane
0.39%
0.72%
62216 Gasoline
‐4.93%
‐5.80%
‐4.93%
‐5.80%
62216A Aviation Gasoline
62242 Diesel Fuel
‐4.93%
‐5.80%
62242A Jet Fuel
Compiled by OPBA. These assumptions are for modeling purposes only. They are subject to change.
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63125 Library Books
The University of Montana
Planning Assumptions ‐ Initial
Fiscal Year 2016/2017
Updated May 29, 2015
3.32%
5.03%
Food Accounts
62205
62205A
62251
62252
62253
62254
62264
62275
62278
62279
62288
62289
62291
62292
Food Supplies
Frozen Foods
Meat
Dairy
Produce
Bakery
Grocery
Poultry
Beverages
Red Meat
Canned Goods
Food Staples
Seafood
Pork
3.98%
3.98%
3.98%
3.98%
3.98%
3.98%
3.98%
3.98%
3.98%
3.98%
3.98%
3.98%
3.98%
3.98%
5.46%
5.46%
5.46%
5.46%
5.46%
5.46%
5.46%
5.46%
5.46%
5.46%
5.46%
5.46%
5.46%
5.46%
Compiled by OPBA. These assumptions are for modeling purposes only. They are subject to change.
Page 3 of 3