East Stroudsburg
University
Environmental Scan
and
Five-Year Budget Projection
January 28, 2011
Presented by:
Donna R. Bulzoni, CPA, MBA
Director of Financial Affairs & Controller
TABLE OF CONTENTS
Environmental Scan
Introduction …………………………………….. 3
Overview ………………………………………... 4
National Outlook ………………………………. 5-9
Pennsylvania Outlook ………………………… 10-11
Monroe County Outlook & Demographics... 12-13
Government ……………………………………. 14-18
Economic Development ……………………… 19-20
Facilities ………………………………………… 21-23
Financial Resources ………………………….. 24-33
Concerns / Issues…………………………………….. 34
5-Year Budget Projection …………………………… 35-36
Acknowledgements ………………………………….. 37
Page 2 of 37
East Stroudsburg University
Environmental Scan
Introduction
As the University considers its financial position for Fiscal Year 2011-12 and
beyond, it is appropriate to give careful consideration to the environment in which we
exist. Our environment is constantly changing and poses opportunities and threats
which should be considered as an integral part of our planning process.
The Environmental Scan presented herein is a product of a campus-wide effort
involving constituents from across campus in collaboration with representatives from the
East Stroudsburg University Foundation and the Office of the Chancellor. No formal
SWOT Analysis was prepared this year. For this and future years, issues/concerns will
be presented with a SWOT Analysis prepared only in the final year of the University’s
Strategic Plan.
Page 3 of 37
Overview
According to the National Bureau of Economic Research, the recent recession
began in December 2007 and ended in June 2009. The recession’s duration of 18
months makes it the longest recession since the Great Depression.
In addition, many believe structural changes in the economy have increased the
natural (or full employment) rate of employment, which will move the economy onto a
lower long-run growth trajectory. This means states’ budget woes will not diminish in
2012 but they will continue to struggle to find revenue needed to support critical public
services for a number of years.
While it is clear the University is financially strong, it is equally clear that our real
fiscal challenge is upon us as we prepare our budget for Fiscal Year 2011-12.
American Reinvestment and Recovery Act funding is no longer available, state
appropriation is uncertain given the inauguration of a new Governor and we are facing a
projected budget gap even when assuming we receive as much in state appropriation
as we have in Fiscal Year 2010-11.
Page 4 of 37
National Outlook
According to the Center on Budget and Policy Priorities, the recent recession
caused a state fiscal crisis of unprecedented severity. States’ fiscal conditions remain
extremely weak even as the economy appears to be moving in the direction of recovery.
Recovery is expected to be slow, however, due to the waning of federal stimulus funds
and constrained spending by households as a result of slow growth of income, lost
wealth, and limits on their ability to borrow. This is coupled with slowed investment
spending due to the large number of vacant homes and offices.
According to “States Continue to Feel Recession’s Impact”, (Center on
Budget and Policy Priorities, December 16, 2010), new shortfalls have opened up in the
budgets of 11 states for the current fiscal year resulting in 46 states reporting budget
shortfalls (FY 2011, which began July 1 in most states). In addition, initial indications
are that 44 states and the District of Columbia will face shortfalls totaling $125 billion for
Fiscal Year 2012 (See Figure 1 and Table 1).
Page 5 of 37
Arizona
California*
Colorado
Connecticut
District of Columbia
Florida
Georgia
Hawaii
Idaho
Illinois
Indiana
Iowa
Kansas
Kentucky*
Louisiana
Maine
Maryland
Massachusetts
Michigan
Minnesota
Mississippi
Missouri
Montana
Nebraska
Nevada
New Hampshire
New Jersey
New Mexico
New York
North Carolina
Ohio
Oklahoma
Oregon*
Pennsylvania
Rhode Island
South Carolina
South Dakota
Tennessee
Texas
Utah
Vermont
Virginia*
Washington
West Virginia
Wisconsin
States Total
TABLE 1:
STATES WITH PROJECTED FY2012 GAPS
FY12 Projected Shortfall
Shortfall as Percent of FY11 Budget
$974 million
11.5%
$25.4 billion
29.3%
$988 million
13.8%
$3.7 billion
20.8%
DK
na
$3.6 billion
14.9%
$1.7 billion
10.3%
$410 million
8.2%
$300 million
12.6%
$15.0 billion
44.9%
$270 million
2.0%
$294 million
5.6%
$492 million
8.8%
$780 million
9.1%
$1.7 billion
22.0%
$436 million
16.1%
$1.6 billion
12.2%
$1.8 billion
5.7%
$1.8 billion
8.6%
$3.9 billion
24.5%
$634 million
14.1%
$1.1 billion
14.4%
$80 million
4.3%
$314 million
9.2%
$1.5 billion
45.2%
DK
na
$10.5 billion
37.4%
$410 million
7.6%
$9.0 billion
16.9%
$3.8 billion
20.0%
$3.0 billion
11.0%
$600 million
11.3%
$1.8 billion
25.0%
$4.5 billion
17.8%
$290 million
9.9%
$877 million
17.4%
$127 million
10.9%
DK
Na
$13.4 billion
31.5%
$437 million
9.2%
$150 million
13.9%
$2.3 billion
14.8%
$2.9 billion
18.5%
$155 million
4.1%
$1.8 billion
12.8%
$124.7 billion
20.0%
Note: Kentucky and Virginia have two-year budgets. They closed their FY2012 shortfalls when they enacted their budgets for the
FY2011-FY2012 biennium. California’s shortfall includes an $8.2 billion shortfall carried forward from FY2011. Oregon’s shortfall is
one half of the state’s total projected shortfall for the 2011-2013 biennium.
Page 6 of 37
In an effort to fill current year budget gaps, at least 46 states plus the District of
Columbia have reduced important services. More than 30 states have raised taxes to at
least some degree while others have increased them significantly. With reserves largely
depleted, if revenue remains depressed, additional cuts in services are likely.
Page 7 of 37
Budget deficits are already projected for Fiscal Year 2012-13 for many states with
Pennsylvania among them. Initial estimates of these shortfalls total almost $70 billion
(See Table 2).
TABLE 2:
States with Projected FY2013 Gaps
FY12
Shortfall as
Projected Percent of FY11
Shortfall
Budget
Arizona
$612 million
7.2%
California
$19.2 billion
22.2%
Connecticut
$3.6 billion
20.2%
Florida
DK
na
Hawaii
$362 million
7.2%
Louisiana
$1.6 billion
20.6%
Maine
$368 million
13.6%
Maryland
$1.9 billion
14.8%
Minnesota
$2.0 billion
12.8%
Montana
$227 million
12.2%
Nebraska
$472 million
13.9%
Nevada
$1.5 billion
45.2%
New
DK
na
Hampshire
New York
$14.6 billion
27.4%
Oregon*
$1.8 billion
25.0%
Pennsylvania
$2.5 billion
9.9%
Rhode Island $328 million
11.1%
South Carolina $1.2 billion
22.9%
Texas
$13.4 billion
31.5%
Vermont
$126 million
11.7%
Washington
$2.9 billion
18.5%
Wisconsin
$1.7 billion
12.1%
States Total
$70.4 billion
21.1%
Oregon’s shortfall is one half of the state’s total
projected shortfall for the 2011-2013 biennium.
Figure 2 shows recent estimates of the size and duration of the state deficits in
the recession that occurred in the first part of this decade and the latest estimates of the
likely deficits in our most recent recession (Center on Budget and Policy Priorities,
January 21, 2011).
Page 8 of 37
Source: “States Continue to Feel Recession’s Impact”, Center on Budget and Policy Priorities, Jan. 21, 2011
Page 9 of 37
Pennsylvania Outlook
Pennsylvania opened the current fiscal year with a $4.1B budget gap. The final
Fiscal Year 2010-11 enacted budget assumed $2.8 billion of federal fiscal relief. This
federal budgeting relief, however, was reduced by $280 million to $2.6 billion while $200
million of the $212 million proposed spending cuts were frozen based on the Governor’s
request. The $70 million severance tax revenue from natural gas drilling in the
Marcellus shale was not enacted.
According to the “Commonwealth of Pennsylvania-2010-2011 Mid-year
Briefing” dated December 16, 2010, revenues are on target. General fund revenue
collections in the first 5 months of Fiscal Year 2010-2011 were $14 million, or 0.15
percent, above estimate. This increase is the result of corporation and consumption
(sales & use) taxes coming in higher than budget while personal income and realty
transfer taxes are somewhat down.
While caution is still necessary, a Pew study of the fiscal status of the states
ranked Pennsylvania seventh in the nation for fiscal stability when assessed against the
factors that led to California’s acute budget crisis.
Pennsylvania Is the Only Major Industrial State to Be Ranked in the Top 10 in a
Recent Pew Study on State Fiscal Crises
1 Source:
State Revenue Report, January 2010. Nelson A. Rockefeller Institute of Government, Albany, NY.
Beyond California: States in Fiscal Peril. The Pew Center on the States, Washington, D.C., November
2009. The states highlighted as being most similar to California were those that Pew identified as being in the
greatest fiscal peril when assessed against the factors that led to California’s acute financial distress.
2 Source:
Page 10 of 37
The Commonwealth’s unemployment rate for November 2010 was 8.6%, down
from 9.0% in September 2010. Since the national recession began in December 2007,
Pennsylvania has held onto jobs better than many other large, competitor or
neighboring states.
As published in the “Commonwealth of Pennsylvania’s 2010-11 Budget in Brief”,
the Governor’s 2010-11 Budget Overview projected $29.03 Billion in General Fund
Expenditures broken down as follows:
General Fund
Expenditures
$26.6 Billion
What does this mean to higher education, the Pennsylvania State System of
Higher Education, and most importantly, East Stroudsburg University?
Looking further down the road, Pennsylvania anticipates a $2.5 billion shortfall in
Fiscal Year 2012-2013. Local governments are also expected to face shortfalls. Given
that a large portion of the Commonwealth’s budget is in education, cuts in state
appropriation are possible. While cuts in Fiscal Year 2010-2011 were tempered by the
American Recovery and Reinvestment Act funds, we need to prepare ourselves for
Fiscal Year 2011-12 when the federal dollars go away.
Page 11 of 37
Monroe County Outlook & Demographics
Northeastern Pennsylvania, Monroe County in particular, has seen steady
population growth during the past several years while the remainder of Pennsylvania
has been experiencing population stability or declines. This trend is likely to extend with
ongoing population declines being likely for all but Northeastern Pennsylvania and
perhaps some of those counties located in Southeastern Pennsylvania. Based on
available data, it is also likely that the region will become increasingly diverse.
Pennsylvania’s population is also older than the vast majority of the nation’s
population. According to the Center for Workforce Information and Analysis “Economic
Review of Pennsylvania 2007”, the number of Pennsylvanians age 65 and over was 1.9
million in 2007. The state’s percentage of those aged 65 and over is 15.3%, second
only in the nation to Florida which has the highest percentage of those 65 and over.
Interestingly, according to the U.S. Census 2008, only 12% of Monroe County’s
population is 65 years of age or older while 24% is under 18 years of age.
Pennsylvania’s total working age population (those aged 25 to 64) will be less
than the year before until at least 2029. Therefore, there will be worker shortages in the
coming years and some areas, industries, and occupations will be affected sooner and
harder than others.
Pennsylvania’s Education & Health Services, Professional & Business Services,
and Leisure & Hospitality industry sectors will account for nearly 90 percent of all annual
employment growth through 2014. The education and health care industries are
expected to dominate growth. East Stroudsburg University currently offers programs in
all growth areas.
The latest employment by industry data available for Monroe County, as per the
American Community Survey (2008) follows. Note that the top three industries in
Monroe County with the highest number of paid employees are retail trade,
accommodation & food services, and health care & social assistance, as highlighted in
yellow in the table that follows.
Page 12 of 37
Employment by Industry in Monroe County, Pennsylvania in 2008
Agriculture, forestry, fishing
and hunting, and mining 1%
Construction
Manufacturing
Wholesale trade
Retail trade
10%
10%
3%
13%
Transportation and
warehousing, and utilities 7%
Information
2%
Finance and insurance, and
real estate and rental and
5%
leasing
Professional, scientific, and
management, and
administrative and waste 8%
management services
Educational services, and
health care and social
22%
assistance
Arts, entertainment, and
recreation, and
accommodation, and food 12%
services
Other Services, except public
administration 4%
Public administration
3%
Percent of employed people 16 years and over
Source: American Community Survey, 2008
Monroe County, in particular, has a heavily tourist-based economy and will
continue to use its scenic resources to provide recreational services for the
Northeastern region of Pennsylvania. However, the county continues to encourage
economic development by attracting new industries to the area. Pennsylvania’s
manufacturing industry continues to shed jobs and its economy continues to adapt and
transform itself from one of goods producing to service providing.
It should be noted, Monroe County is not immune from the impact of the national
economic crisis as evidenced by municipalities struggling to balance budgets, some
through increased taxes.
Page 13 of 37
Government
Given East Stroudsburg University’s position as a member of the Pennsylvania
State System of Higher Education and a “state-owned” institution, trends in
governmental activity are relevant to our future financial health. Slightly less than onethird of the University’s operating budget is derived from state appropriations, now
approximately $26 million per year. Additionally, significant capital (building) funding
also comes from the Commonwealth.
Where once the University received approximately 2/3s of its operating budget
through state appropriations, it now receives slightly less than 1/3 of its operating
resources via state funding. For the past 15 years, appropriations have not kept pace
with either student growth or increased costs due to inflation. The following graph
shows PASSHE Appropriation per Student as adjusted for inflation in 2009 dollars for
the period Fiscal Year 1999-2000 through Fiscal Year 2009-2010.
Page 14 of 37
The burden of addressing these costs has been shifted to the students by
increasing tuition. The following graph shows PASSHE revenue per student from state
appropriation and tuition for the same time period.
The following graph shows similar data in line plot form and compares
appropriation versus tuition and fees only (the previous graph includes all other E&G
revenue sources).
Page 15 of 37
As a result of this shift, college affordability continues to decline. The National
Center for Public Policy and Higher Education’s Measuring Up 2008 Report gave 49 of
50 states, including Pennsylvania, a grade of F in higher education affordability. To
follow is a graph taken from The National Center for Public Policy and Higher
Education’s Measuring Up 2008 Report depicting the percentage of income needed to
pay for public two- and four-year colleges (Pennsylvania vs. United States vs. the
median of the top five states).
Page 16 of 37
Legend
Pennsylvania
United States
Median of Top Five States
There is uncertainty whether the state’s downward trend in support for Higher
Education, and in particular the State System of Higher Education, will continue into the
foreseeable future. In recent years, the exiting Governor focused his higher education
funding efforts on community colleges. However, given the inauguration of our new
Governor, it is difficult to predict his priorities.
An additional issue of some importance to public higher education is the
increased concern on the parts of the executive and legislative branches of government
on accountability. Government expects public universities to run efficiently and to use
the public funds provided as prudently as possible. Further, government expects results
from the universities it funds in the form of well-trained students, who move
expeditiously through their academic programs and become capable of contributing to
the state’s economy.
East Stroudsburg University and PASSHE have been successful in meeting
these expectations, producing skilled, successful graduates. According to the most
recent data available from the PASSHE Institutional Resources Office, more than
454,000 PASSHE alumni live and work in the Commonwealth of Pennsylvania.
The notion of “performance indicators” and “performance funding” grew out of the
concern for accountability. PASSHE was one of the first and continues to be one of
the few public university systems in the nation to voluntarily implement and continue
performance funding. Since the program began in 2000, the Board of Governors has
steadily increased the amount of funding available to the universities for improving their
Page 17 of 37
performance, for outperforming their peers nationally and for meeting System goals.
Approximately $27 million in performance funding dollars were awarded to the
universities in the PASSHE in Fiscal Year 2010-11. It is anticipated that this amount will
remain stable or grow slowly during the next 5 to 10 years. However, how an institution
benefits from such funding in the future is uncertain as the methodology used to
measure performance has changed recently. A review of the program was conducted
resulting in improvements to ensure each University and the System as a whole
continues to achieve desired outcomes. Changes center on improving student success,
increasing access to PASSHE Universities and ensuring stewardship of public
resources.
During the earlier years, when performance funding was implemented, East
Stroudsburg University had experienced a net loss in terms of the potential for
performance funding allocations. This posture changed with improvement in our results
from the indicators that produce revenue. However, when comparing this year’s
allocation to prior years, it appears we may have reached a plateau and had begun a
decline. The University is currently reviewing the new methodology used to allocate
these resources and is developing a plan to ensure we maximize our revenue from this
funding source. A cautious position would be to project level funding from this source
so as not to produce revenue shortfalls from this tenuous source.
The following graph shows a history of East Stroudsburg University’s
performance funding allocation since inception of the program.
Page 18 of 37
Economic Development
East Stroudsburg University is an economic engine for Monroe County. It is well
positioned as a major center for innovation, science and technology in northeastern
Pennsylvania. The university is located 75 miles west of New York City and 85 miles
northeast of Philadelphia, placing it in close proximity to the nation’s top global
pharmaceutical and financial services companies.
The university’s Research and Business Park, and Science and Technology
Center are major attractions in bringing entrepreneurial businesses and educational
opportunities to the region. In addition, the University is actively engaged in the Pocono
Keystone Innovation Zone (PMKIZ) and is developing a 15-acre ESU Research and
Business Park on University owned property. Phase I of the Park, a 51,000 sq. ft.
Center for Innovation and Entrepreneurship, was completed in May 2011. The facility
includes 11,000 sq. ft. of business accelerator space and wet labs to support start-up
companies. The economic impact projection for Phase I of the project includes 595 jobs
and $457M into the Monroe County economy.
The ESU Business Accelerator Program and Entrepreneurial Leadership Center,
located in the Park, are focusing on attracting start-up companies and providing
entrepreneurial opportunities for students and faculty in numerous industry sectors
including homeland security, financial services, biotechnology/life sciences, information
technology, healthcare, and advanced manufacturing. These initiatives, supported by
the creation of the University’s College of Business and Management, and Research
and Economic Development Division, provide a strong foundation for regional alliances
and academic opportunities which prepare students to serve, lead and succeed in a
competitive global society.
East Stroudsburg University’s contributions to regional economic development
efforts are noteworthy. According to the most recent data available from PASSHE, East
Stroudsburg University is the ninth largest employer in Monroe County, providing 806
jobs directly and creating a total employment impact of 1,206 jobs. The university
generates more than $273.5 million annually in direct and indirect business stimulus in
Pennsylvania, $109.9 million annually in Monroe County, and 18.3M in East
Stroudsburg and Stroudsburg. This encompasses the impact spending by the
institution, faculty, staff, students and visitors. Additionally, ESU is located on 256 acres
located in East Stroudsburg Borough and Smithfield Township that are valued at
$322M.
ESU has been identified as a “best practice” model in community and economic
development regionally and by the Pennsylvania State System of Higher Education.
The success of the ESU Business Accelerator Program has led to the creation of nine
high tech companies including one owned by an ESU graduate and one faculty-owned
company. The Pocono Mountains Keystone Innovation Zone Program has resulted in
Page 19 of 37
170 jobs retained, 54 businesses assisted, 70 student internship placements and $8.7M
revenue leveraged by KIZ companies.
In the area of sponsored projects and research, in FY 2009-2010, ESU faculty
and staff submitted 119 external grants and contracts totaling $22M and successfully
secured $3.4M. The Office of Sponsored Projects and Research worked with 161
faculty and staff and coordinated 153 proposals providing over $120,000 in support of
faculty professional development. Workforce development initiatives included
administering $231,070 in employee-training grants involving 27 businesses and
training of over 1577 employees. The Entrepreneurial Leadership Center sponsors
ESU’s Entrepreneurial Boot Camps and Student Business Plan Competitions. A total of
45 students representing 13 majors, and 13 faculty members participated in the
Business Plan Competitions. Additionally, 14 faculty members participated in
Entrepreneurship across the Colleges initiatives which involved over 452 students.
Legislative appropriations supporting economic development initiatives at
PASSHE universities across the Commonwealth totaled $5.4M from FY 2007-2008
through FY 2009-2010. ESU was awarded $562,000 to support the following economic
development initiatives:
 ESU Web-Based Internship Network (WIN) ($90,000)
 ESU Entrepreneurial Leadership Center ($191,000)
 ESU Research and Business Park Infrastructure ($281,000)
Additionally, ESU received two Keystone Innovation Grants totaling $291,598 to
support the development of a PASSHE Technology Transfer and Commercialization
Resource Network that will provide a strategic and integrated approach to protecting
intellectual property and advancing faculty and student projects toward
commercialization across the fourteen PASSHE universities. The grant has enabled
PASSHE to partner with the Penn State Research Foundation (PSRF) to serve as the
PASSHE Technology Transfer and Communication Office.
Page 20 of 37
Facilities
Analysis of our current space inventory, updated by Sightlines Inc. in 2009-2010,
revealed an additional 5% of East Stroudsburg University’s total gross square footage
has crossed into the 25 year threshold. Projects that are currently under construction or
in design will begin to address this issue. Upon completion of these projects, the age of
some of our buildings will decrease. Even though these projects will help decrease our
age, many of our old buildings will remain.
Since Fiscal Year 2008, our deferred maintenance backlog has increased from
$18.3 million to $27.3 million according to data collected by Sightlines Inc. Given the
Legislature reallocated the Key 93 Deferred Maintenance Funds, previously dedicated
to PASSHE Universities, to other Commonwealth needs last fiscal year, this deferred
maintenance backlog will grow at an accelerated rate unless other funding sources are
identified for deferred maintenance requirements.
Page 21 of 37
A new Campus Facilities Master Plan was approved by the Council of Trustees
in April 2010. The center piece of this new Master Plan is a new Keystone Center
which will house the library, the student center, the Hotel, Restaurant and Tourism
program, the Computing and Communications Service department and various
multicultural programs. This new building will be constructed in two phases on the site
of the existing Center for Hospitality Management and the University Center. The
student referendum for the student center portion of the new building passed in
November 2010. The Office of Budget and the Governor released design funds for the
first phase of the project on December 10, 2010. We expect the Department of General
Services to select a design firm and the design to start in the second calendar quarter of
2011.
The Campus Facilities Master Plan proposes that the University will continue to
grow to a headcount of 8,500 students over the next 10 to 20 years. Growth is currently
constrained due to the need for more student resident rooms and a need for additional
classroom and faculty office space. However, projects are on the horizon to move us in
the right direction.
For example, the plans to Renovate Monroe Hall have finally been approved by
the Borough of East Stroudsburg. The construction contracts have been advertised and
bids are due in February 2011. Construction is expected to start in June 2011 and be
completed in June 2012.
Page 22 of 37
Additionally, University Properties Inc., an affiliated non-profit corporation, has
contracted with Allen & O’Hara Development Corporation of Memphis, Tennessee, to
design and construct 969 beds of new suite style student housing in two buildings
northwest of the intersection of Normal and Smith Streets on the Campus. Construction
started in September 2010 and is scheduled to be completed in December 2011 for
occupancy in January 2012. When the new UPI student housing comes on-line,
Hawthorn and Hemlock Residence Halls will be taken off-line. Hawthorn and Hemlock
are scheduled to be demolished as part of a second phase of the UPI student housing
projects for which construction is tentatively anticipated to start in May 2013.
Parking continues to pose a challenge for the University. As a condition of the
Borough’s approval of the first phase of the UPI Student Housing project, the University
has agreed to implement a parking management plan to better manage, allocate and
control parking and to possibly add parking if required. The Borough of East
Stroudsburg is in the process of revising their zoning ordinance with respect to parking
requirements for the University IU Zoning. The preliminary analysis of this draft
ordinance indicates that it will require the University to construct 400 to 1,000 additional
parking spaces before they will approve any future new construction projects. Surface
parking spaces cost approximately $6,000 a space while a new parking garage is
estimated to cost $15,000 to $20,000 per space. Although we can all agree that more
convenient parking is desirable, there is no source of funds for new parking lots or
garages except parking fees.
Page 23 of 37
Financial Resources
East Stroudsburg University is fiscally sound, receiving an unqualified opinion on
its audited financial statements for Fiscal Year 2009-10. For the past four fiscal years,
ESU has enjoyed increases in net assets as follows:
The sources of the University’s operating revenues have been consistent and
predictable. To follow is a Total Operating Revenues summary (in thousands) prepared
by the University’s auditors, ParenteBeard, LLC, and presented to the University’s
Council of Trustees on December 9, 2010.
2010
Tuition and fees, net
Grants and contracts
Sales and services
of educational depts
Auxiliary enterprises
Other revenues
Total
2009
2008
2007
$ 51,658 59% $ 49,561 60% $ 46,253 61% $ 43,585 59%
13,887 16%
11,497 14%
10,362 14%
12,804 17%
1,278 1%
19,634 23%
748 1%
$ 87,205
1,452 2%
19,086 23%
703 1%
$ 82,299
1,195 2%
16,927 22%
619 1%
$ 75,356
1,053 1%
15,960 22%
687 1%
$ 74,089
Page 24 of 37
As is the case with revenues, University operating expenditures have been
consistent and predictable. To follow is a Total Operating Expenses summary (in
thousands) prepared by the University’s auditors, ParenteBeard, LLC, and also
presented to the University’s Council of Trustees on December 9, 2010.
2010
Instruction
Research
Public service
Academic support
Student services
Institutional support
Operations and
maintenance of plant
Depreciation
Student aid
Auxiliary enterprises
Total
$
2009
44,969
1,065
1,913
11,641
8,614
16,145
39%
1%
2%
10%
8%
14%
7,602
6,105
3,434
12,516
7%
5%
3%
11%
$ 114,004
$
2008
42,560
1,237
1,592
10,063
8,170
16,653
39%
1%
2%
9%
7%
15%
8,234
5,623
2,844
12,171
8%
5%
3%
11%
$ 109,147
$
2007
40,637
1,276
1,264
7,077
8,155
16,272
41%
1%
1%
7%
8%
16%
7,160
3,827
2,790
12,300
7%
4%
3%
12%
$ 100,758
$
$
39,024
1,793
1,184
6,841
8,114
14,461
40%
2%
1%
7%
8%
15%
8,407
3,886
2,710
10,381
9%
4%
3%
11%
96,801
There are four core higher-level ratios that can provide information on the overall
financial health of an institution: Primary Reserve Ratio, Viability Ratio, Return on Net
Assets Ratio and Net Operating Revenues Ratio. Each of these ratios was calculated
for East Stroudsburg University using data from our Fiscal Year 2009-10 financial
statements. Although the ratios allow for the inclusion of component unit data, the
results presented for ESU below do not.
The resulting ratio values will be useful when assessing future prospects of the
University as well as when implementing our strategic plan.
Page 25 of 37
Four Core Higher-Level Ratios on the Overall Financial Health of the Institution
Name of Ratio
Primary Reserve Ratio
ESU's Ratio Value
What Does it Mean?
.306x
Can the institution retain expendable
resources at the same rate of growth
as its commitments? The implication
for ESU is that we could cover 3 2/3
months (30.6% of 12 months)
expenses from reserves.
Net Operating Revenues Ratio
2.06%
Return on Net Assets Ratio
(24.75)%
Viability Ratio
.65
Explains how any surplus from
operating activities affect the
behavior of the other 3 core ratios.
For ESU, the positive percentage
indicates we had a surplus for this
past fiscal year equal to 2.06% of our
total Operating Revenues. A target of
2-4% is usually good.
Determines if an institution is
financially better off than in previous
years by measuring total economic
return. A return of 3-4% is usually
good. The negative return is due to
the need to raid reserves to fund
large, unanticipated one-time
expenditures.
Used to determine the availability of
expendable net assets to cover debt
should the institution need to settle
its obligations as of the balance sheet
date. A ratio of 1:1 generally means
sufficient expendable net assets are
available to satisfy debt obligations.
Enrollment trends/predictions
During the past five years, undergraduate enrollment has increased at an
average rate of 2.7% per year. Undergraduate headcount enrollment has increased
13.9% during this five-year period while undergraduate full-time-equivalent (FTE)
enrollment has increased 14.3%.
Graduate enrollment overall has been unchanged in this same five-year period.
Graduate headcount is down 15.2% compared to five years ago but graduate full-timeequivalent (FTE) enrollment is up 3.9% indicating a shift in enrollment patterns.
Page 26 of 37
Taking the same undergraduate growth rate into the future and holding graduate
enrollment at the five year average level of 1,110, we would have a university in 2015
with 7,280 undergraduate students and 1,110 graduate students for a total enrollment of
8,390. Continuing this pattern five more years to 2020 we would have 8,317
undergraduate students and 1,110 graduate students for a total of 9,427.
An area of concern is the beginning of the decline in the annual number of high school
graduates in Pennsylvania. Projections indicate the total number peaked in 2008-2009
and will decline for at least the next five years. The following is a graph of Pennsylvania
high school graduates, actual versus projected, for the period 1990 through 2016.
Source: Institutional Research Office, Pennsylvania State System of Higher Education
While the graduation numbers are expected to increase in Monroe County and
some surrounding areas through 2013, recent teacher layoffs in the region are an early
indicator of the expected decline. The drop in high school graduation numbers
throughout most of Pennsylvania also means other colleges and universities are now
more actively recruiting students in our region and in our traditional recruitment areas.
This presents new challenges for the university. The current economic recession
is also an area of concern because this may prevent some students from affording to
attend any college even though it may also have the effect of bringing us students who
cannot afford more expensive institutions.
There have also been changes in the enrollment patterns of students. They are
changing their plans later in the process so university registration numbers are more
Page 27 of 37
unpredictable. They register at a later date than in the past but are then registering for
more credits.
Therefore, the university needs to be extremely strategic and comprehensive
about overall student enrollment management.
The university’s enrollment goals have been loosely organized around a sense of
our potential for growth, which is great, tempered by the desire to retain the intimate
instructional atmosphere that has characterized the university for many years. When
the university last completed a master plan, the figure settled on for total enrollment was
8,500 over a 10-15 year period. While unofficial annual projections have been for 1%
growth in undergraduates and to allow graduate enrollment to float naturally as capacity
for graduates is less constricted, in six of the last seven years, enrollment increases
have exceeded those projections.
While it is important that issues relative to the University’s enrollment goals
receive the broadest possible input, it is appropriate to continue a trend of assuming
cautious enrollment growth while these discussions begin. For financial purposes it is
assumed enrollment growth will be approximately 1% annually.
Appropriation trends/predictions
In terms of finances, the University is largely dependent on revenue from two
streams: 1) Commonwealth appropriations, and 2) Tuition and Fees.
In the case of appropriations, resources have been decreasing steadily as a
proportion of our overall budget. The following graph depicts East Stroudsburg
University’s state appropriation for the past several years:
Page 28 of 37
Growth in E and G resources has largely rested with increased tuition revenue
during the past 5 years or so. Although the System-approved tuition and fee increases
have been moderate, enrollment increases have supplemented the benefits of these
increases.
For the purposes of discussion, given the uncertainty of the state’s fiscal posture,
we will assume our appropriations will hold at the current year’s level across all five
years of our budget projections.
The University will have to carefully monitor this revenue source and determine
what is likely to be the most accurate reflection of what may occur.
Tuition trends/predictions
Predicting tuition revenue is a difficult and complex task. There has been
increased attention on tuition by the Governor’s office during the past three years. Our
exiting Governor strived to keep increases to an absolute minimum. Given the recent
inauguration of our new Governor, tuition will be especially difficult to predict. Another
issue impacting tuition is the spread between in-state and out-of-state tuition. State
government has expressed the desire to not subsidize out-of-state students in any way.
Out-of-state tuition is 250% of in-state tuition and is so set to ensure that out-of-state
students pay the full cost of educating themselves.
Page 29 of 37
In the past, the University had a limit of 15% on out-of-state students. However,
this has been relaxed somewhat recently and the University’s out-of-state enrollment
has now floated to approximately 23%. This has been very helpful in generating
revenue in a time when appropriation increases have been so limited. For the purposes
of revenue projection, it is appropriate to hold out-of-state enrollment at current levels.
However, if the University were to grow its out-of-state enrollment beyond 30%,
unwanted attention would very likely be drawn to us.
To follow are graphs of tuition and fees for the past 10 years:
Page 30 of 37
It can be seen that increases vary considerably within the various categories. It
is unknown at this time how much the System is willing to increase tuition next year.
We will be using 3% for planning purposes.
The University charges several fees in addition to tuition. All miscellaneous, nonrecurring fees will be held at Fiscal Year 2010-2011 levels for Fiscal Year 2011-2012
with the exception of the transcript fee which will be increased from $3 to $5 per
request.
Other revenues
The University receives some revenue from sources other than appropriations
and tuition and fees. This revenue is primarily interest earned on invested funds, but
also includes rental income and a few other small items. Marginal increases have been
assumed in our projections. Anticipating interest rates, especially during the current
economic crisis, is difficult at best.
Page 31 of 37
Expenditure trends/predictions
Expenditure projections are based on somewhat limited information. Salaries
and benefits comprise greater than 70% of our total operating budget. Salary increases
are governed by collective bargaining agreements, all of which expire June 30, 2011.
The 5-Year Budget Projections that follow attempt to project salaries and benefits using
the best known estimates at this time as per the PASSHE Budget Office. In the area of
non-personnel services (utilities, supplies, etc.) it is wise to assume moderate increases
in utilities with other commodities projected flat with no anticipated increases.
Fundraising as a source of revenue
Restricted gifts to the ESU Annual Fund support the University’s operating
budget in order to assist the University in providing programs. It is a year-round
fundraising program supported through gifts from alumni, parents, friends, campus
community, and businesses and corporations.
Restricted giving to the ESU Annual Fund supports operating expenses of the
University, innovative academic endeavors, student scholarships, student organizations,
and faculty resources. Programs in the ESU Annual Fund include the Student
Phonathon, Parents Scholarship Program, Young Alumni Giving Program,
Undergraduate Awareness Program. It could also support other possible, depending on
the University’s need.
According to 2009 VSE data, ESU ranks LAST in fundraising for restricted
annual support among the 14 Universities comprising PASSHE.
Current Operations - Restricted
California
Lockhaven
Shippensburg
Indiana
West Chester
Edinboro
Bloomsburg
Millersville
Kutztown
Clarion
Mansfield
Slipperyrock
Cheyney
East Stroudsburg
$0
$500,000
$1,000,000
$1,500,000
$2,000,000
$2,500,000
Page 32 of 37
However, the ESU Foundation is showing marked improvement as results for FY
2010-2011 as of December 31, 2010 equal 80% of last fiscal year’s total support and
81% of last fiscal year’s restricted support.
The ESU Annual Fund
• FY 09-10 Results as of
June 30, 2010
– Restricted for your programs
• FY 10-11 Results as of
December 31, 2010
– Restricted for your programs
$506,772
$315,566
$407,404
$256,652
ESU’s opportunity is to collaborate with the ESU Foundation to create a
marketing plan for fundraising with the goal of generating support for our operating
budget and potential relief to our impending budget deficits.
Page 33 of 37
East Stroudsburg University
Listing of Concerns / Issues
























Age and condition of University buildings, including dormitories
No revenue stream to support additional parking
Steam plant, steam & sewer distribution system in need of major upgrades
Significant debt related to Science & Technology Building and GESA project
Ineffective / antiquated student information systems
Difficulty changing curriculum
Lack of policies and standard operating procedures
Funding of backfill plan
Lack of swing space during renovations
Loss of deferred maintenance funds
Decreased enrollments
Increased competition
Popularity of community colleges
Distance education
Tightening of credit resulting from the economic crisis, its impact on enrollment
and our collection rate
Uncertainty surrounding state appropriation and performance funding
Uncertainty regarding the impact of new guidelines on the charging of tuition
Evaporation of federal stimulus funds
Campus master plan requirements in the hundreds of millions while ESU’s share
of the PASSHE capital budget is approximately $3.5 million / year
Oversight (legislative, PASSHE, accrediting bodies)
Perception of diversity on campus
4.5 - 5.0% annual increases in defined benefit retirement costs beginning FY
2012-13
Borough’s unwillingness to approve new projects without a parking solution
Less bureaucratic organizations out-pace ESU and better meet needs &
demands
Page 34 of 37
Page 35 of 37
97,276,845.25
TOTAL REVENUE
$72,274,616.65
HEAT, LIGHT, WATER & SEWER
2,189,776.00
TELEPHONE AND PANET
312,000.00
POSTAGE
181,170.46
SHUTTLE SERVICE
217,870.00
DESIGNATED REVENUES EXPENSE
525,305.43
SUMMER CONFERENCES DIRECT EXPENSE
592,848.00
COOPERATING TEACHERS (Object 625.25)
148,000.00
CENTRAL CHARGES
974,952.00
PAYMENTS MADE CHANCELLOR'S OFFICE ON BEHALF OF ESU
468,000.00
IUP COLLABORATIVE DOCTORAL PROGRAM FEE
35,000.00
MARINE SCIENCE CONSORTIUM MEMBERSHIP DUES
100,000.00
PRESIDENTIAL AWARDS
75,000.00
AUDITOR FEES
50,000.00
LEGAL FEES
75,000.00
CHANCELLORS .5% SHARE OF TUITION & FEES
283,757.02
OPERATING EXPENSES:
TOTAL EMPLOYMENT COSTS
SALARIES - APSCUF - INSTRUCTIONAL
27,536,304.98
SALARIES - SCUPA
1,316,329.97
SALARIES - STATE UNIVERSITY MANAGERS
6,900,608.63
SALARIES - AFSCME - 37.5 HRS
6,775,217.33
SALARIES - PLANT GUARDS, NURSES, FT COACHES
1,890,059.12
WAGES
685,625.00
STUDENT EMPLOYMENT
1,185,328.00
FACULTY SUMMER SCHOOL PAY
2,400,000.00
FACULTY OVERLOAD REGULARLY SCHEDULED CLASSES 1,119,592.00
OTHER PAY
2,000,000.00
OVERTIME
257,880.00
SHIFT DIFFERENTIAL
55,500.00
HIGHER CLASS
36,300.00
SICK LEAVE PAY OUT
237,862.00
ANNUAL LEAVE PAY OUT
108,514.00
SOCIAL SECURITY CONTRIBUTIONS
3,911,579.57
UNEMPLOYMENT COMPENSATION
120,000.00
WORKER'S COMPENSATION (.5%)
361,780.00
EMPLOYEES' HEALTH AND WELFARE FUND
615,579.39
EMPLOYEES' HOSPITALIZATION INSURANCE
6,670,261.86
ANNUITANTS' HOSPITAL
3,339,723.37
EMPLOYEES' GROUP LIFE INSURANCE FUND
87,153.81
RETIREMENT CONTRIBUTIONS
3,854,408.22
TUITION WAIVER-EMPLOYEE & DEPENDANTS
809,009.40
PERSONNEL EXPENSES
21,948,994.00
319,436.00
1,997,363.00
665,788.00
2,130,663.00
56,751,404.46
4,122,110.70
1,836,774.09
782,000.00
1,069,543.00
1,903,115.00
3,749,654.00
REVENUE:
STATE APPROPRIATION - BASE
STATE APPROPRIATION - AFRP
STATE APPROPRIATION - PERFORMANCE FUNDING
STATE APPROPRIATION - PROGRAM INITIAITVES
FEDERAL APPROPRIATION
TUITION
INSTRUCTIONAL SUPPORT FEE
OTHER STUDENT FEES
INCOME ON INVESTMENTS
SUMMER CONFERENCE REVENUE
INSTRUCTIONAL TECHNOLOGY FEE
OTHER INCOME
2010-2011
2,411,327.00
312,000.00
192,170.46
217,870.00
525,305.43
592,848.00
148,000.00
974,952.00
468,000.00
35,000.00
100,000.00
75,000.00
50,000.00
75,000.00
295,107.30
$74,077,894.19
27,944,827.50
1,318,041.20
6,693,258.43
6,899,750.97
1,914,480.81
685,625.00
1,185,328.00
2,400,000.00
1,119,592.00
2,000,000.00
257,880.00
55,500.00
36,300.00
237,862.00
108,514.00
3,938,754.54
120,000.00
361,780.00
675,520.23
7,085,224.34
3,769,029.78
95,233.31
4,342,112.40
833,279.68
2,556,006.62
312,000.00
192,170.46
217,870.00
525,305.43
592,848.00
148,000.00
974,952.00
468,000.00
35,000.00
100,000.00
75,000.00
50,000.00
75,000.00
306,911.60
$76,903,407.45
28,503,724.05
1,344,402.02
6,827,123.60
7,037,745.99
1,952,770.43
685,625.00
1,185,328.00
2,400,000.00
1,119,592.00
2,000,000.00
257,880.00
55,500.00
36,300.00
237,862.00
108,514.00
4,021,503.74
120,000.00
361,780.00
743,072.25
7,793,746.77
4,145,932.75
95,233.31
5,011,493.47
858,278.07
100,357,033.62
61,382,319.06
4,458,474.93
1,948,633.63
797,718.20
1,069,543.00
1,941,367.61
3,827,396.18
59,021,460.64
4,286,995.13
1,891,877.31
789,820.00
1,069,543.00
1,922,146.15
3,788,139.00
97,701,562.23
21,948,994.00
319,436.00
1,997,363.00
665,788.00
2012-2013
21,948,994.00
319,436.00
1,997,363.00
665,788.00
2011-2012
2,709,367.02
312,000.00
192,170.46
217,870.00
525,305.43
592,848.00
148,000.00
974,952.00
468,000.00
35,000.00
100,000.00
75,000.00
50,000.00
75,000.00
319,188.06
$80,275,712.13
29,358,835.78
1,384,734.08
7,031,937.30
7,248,878.37
2,011,353.54
685,625.00
1,185,328.00
2,400,000.00
1,119,592.00
2,000,000.00
257,880.00
55,500.00
36,300.00
237,862.00
108,514.00
4,126,306.67
120,000.00
361,780.00
802,518.03
8,417,246.51
4,477,607.37
95,233.31
5,868,653.76
884,026.41
103,116,557.30
63,837,611.83
4,636,813.93
2,007,092.64
805,695.38
1,069,543.00
1,960,781.29
3,867,438.23
21,948,994.00
319,436.00
1,997,363.00
665,788.00
2013-2014
Fiscal Years 2010-2011 through 2014-2015
2,871,929.04
312,000.00
192,170.46
217,870.00
525,305.43
592,848.00
148,000.00
974,952.00
468,000.00
35,000.00
100,000.00
75,000.00
50,000.00
75,000.00
331,955.58
$83,816,584.51
30,239,600.85
1,426,276.11
7,242,895.42
7,466,344.72
2,071,694.15
685,625.00
1,185,328.00
2,400,000.00
1,119,592.00
2,000,000.00
257,880.00
55,500.00
36,300.00
237,862.00
108,514.00
4,234,253.69
120,000.00
361,780.00
866,719.48
9,090,626.23
4,835,815.96
95,233.31
6,768,196.38
910,547.21
105,984,264.71
66,391,116.30
4,822,286.49
2,067,305.42
813,752.34
1,069,543.00
1,980,389.10
3,908,291.07
21,948,994.00
319,436.00
1,997,363.00
665,788.00
2014-2015
EAST STROUDSBURG UNIVERSITY
5 - Year Budget Projection
Increases vary by year as per latest data available
Held constant
Reflects anticipated inc for 11/12; then held constant
Held constant
Held constant
Held constant
Held constant
Held constant
Held constant
Held constant
Held constant
Held constant
Held constant
Held constant
Increases at the same rate as tuition and fees
Best estimates at this time-Agreements expire 06-30-2011
Best estimates at this time-Agreements expire 06-30-2012
Latest salary increase and benefit assumption data available
Best estimates at this time-Agreements expire 06-30-2011
Best estimates at this time-Agreements expire 06-30-2011
Held constant
Held constant (Univ Fund $757,828; GA's $427,500)
Held constant
Held constant
Held constant
Held constant
Held constant
Held constant
Held constant
Held constant
Latest benefit assumption data available
Held constant
Per latest actuarial valuation report
Latest benefit assumption data available
Latest benefit assumption data available
Latest benefit assumption data available
Latest benefit assumption data available
Latest benefit assumption data available
3% increase per annum
Held constant
Held constant
Held constant
Held constant
Per PASSHE Budget Office
3% tuition increases; 1% enroll Inc
3% tuition increases; 1% enroll Inc
3% inc per annum
10/11 per M&T Bank projection; 1% inc each year thereafter
Held constant
1% enrollment increase per annum; No rate increase
Held constant (excpt Sales/Srvcs & Misc Rev-2% inc per annum)
Budget Assumptions
Page 36 of 37
$17,947,332.94
REVENUE LESS EXPENDITURES AND TRANSFERS
EXPENDITURES AND TRANSFERS TOTAL
TOTAL:
TOTAL TRANSFERS
$280,531.18
$96,996,314.07
$2,225,485.20
SUMMER CONFERENCES SCHOLARSHIP COMMITMENT
93,043.00
HARDSHIP GRANTS
50,000.00
DEBT SERVICE ON MASTER PLAN PROPERTY ACQUISITIONS311,115.33
DEBT SERVICE ON SCIENCE & TECHNOLOGY BUILDING
1,547,555.18
TRF FRM ISF RESERVE FOR SCI & TECH DEBT SERVICE
(547,555.18)
DEBT SERVICE ON GESA PROJECT
$911,792.52
DEBT SERVICE ON PED SAFETY/STORM WATER MGMT PROJECT
526,063.32
CARRYFORWARD TO NEXT FY
CARRYFORWARD FROM PRIOR FY
USE OF PROCEEDS FROM MECCA PROPERTY BOND
(1,300,000.00)
USE OF PROCEEDS FROM BANNER BOND
(292,361.76)
SYTEC PROJECT (SAP)
132,261.00
DEBT SERVICE ON BRIDGE NOTE FOR BANNER
150,000.00
DEBT SERVICE ON BACKFILL PLAN (STROUD & GESSNER ONLY)
71,327.79
DEBT SERVICE ON RESEARCH PARK BUILDING
ACADEMIC FACILITY RENOVATION PROGRAM - BUDRPT DATA
319,436.00
CAPITAL INFRASTRUCTURE IMPROVEMENT COMMITMENT 252,808.00
TRANSFERS:
****** General Support Inst Fee Amt (60.0%) ****** Non-Add
PRESIDENTIAL INITIATIVES FUNDING
$45,000.00
CLASSROOM FURNITURE
$30,000.00
INSTRUCTIONAL SUPPORT FEE EXPENSE
$1,648,844.28
INVESTMENT IN INSTRUCTIONAL TECHNOLOGY
1,903,115.00
LIBRARY ACQUISITIONS BUDGET
538,269.00
SUMMER CONFERENCE PROCEEDS ALLOCATION
383,651.00
TOTAL CAPITAL COSTS
$4,548,879.28
CAPITAL:
TOTAL OPERATING COSTS
A. COHN MEMORIAL JAZZ COLLECTION
20,000.00
SERVICE AGREEMENT WITH ESU FOUNDATION
1,583,333.00
DEPARTMENT OPER BUDGTS
6,585,603.03
LEASE - CENTER FOR RESEARCH & ECONOMIC DEVELOPMENT
589,146.00
TRANSPORTATION EXPENSE - COACHES
156,000.00
UPWARD BOUND MATCH
9,450.00
NEW FACULTY MOVING EXPENSE REIMBURSEMENTS
20,000.00
TUITION WAIVER-OTHER THAN EMPLOYEE
2,755,122.00
2010-2011
($2,652,708.64)
$100,354,270.87
($3,702,439.05)
$104,059,472.67
$4,816,297.58
214,194.00
150,000.00
403,617.00
584,000.00
319,436.00
252,808.00
(707,638.24)
215,235.00
150,000.00
403,617.00
584,000.00
319,436.00
252,808.00
$4,110,219.39
93,043.00
50,000.00
311,115.33
1,547,871.47
(547,871.47)
912,333.69
525,750.56
$45,000.00
$30,000.00
$1,783,389.97
1,941,367.61
538,269.00
383,651.00
$4,721,677.58
93,043.00
50,000.00
311,115.33
1,547,752.28
(547,752.28)
912,547.30
526,056.00
$45,000.00
$30,000.00
$1,714,798.05
1,922,146.15
538,269.00
383,651.00
$4,633,864.20
$17,618,090.05
156,000.00
9,450.00
20,000.00
2,418,939.96
156,000.00
9,450.00
20,000.00
2,590,326.88
$17,532,293.08
20,000.00
1,779,032.96
6,585,603.03
2012-2013
20,000.00
1,678,332.98
6,585,603.03
2011-2012
($4,795,800.11)
$107,912,357.41
$4,836,991.93
235,826.00
150,000.00
403,617.00
584,000.00
319,436.00
252,808.00
93,043.00
50,000.00
311,115.33
1,548,231.30
(548,231.30)
911,151.66
525,994.94
$45,000.00
$30,000.00
$1,854,725.57
1,960,781.29
538,269.00
383,651.00
$4,812,426.86
$17,987,226.49
156,000.00
9,450.00
20,000.00
2,515,697.55
20,000.00
1,885,774.94
6,585,603.03
2013-2014
Fiscal Years 2010-2011 through 2014-2015
Budget Assumptions
($6,162,024.68)
$112,146,289.39
$5,046,150.76
443,241.00
150,000.00
403,617.00
584,000.00
319,436.00
252,808.00
93,043.00
50,000.00
311,115.33
1,547,158.98
(547,158.98)
913,145.43
525,745.00
$45,000.00
$30,000.00
$1,928,914.60
1,980,389.10
539,269.00
383,651.00
$4,907,223.70
$18,376,330.43
Held constant
Held constant
Assumes no additional financing
Assumes no additional financing
Assumes no additional financing
Assumes no additional financing
Assumes no additional financing
Projected FY 2010-11 surplus to be carried forward
Projected FY 2010-11 surplus carried forward
Bridge note
Bridge note
As per PASSHE SAS Budget (Scenario A)
Bridge note to help finance Banner SIS Project
Assumes Stroud/Gessner Backfill Plan is financed w/new debt
Assumes we borrow $9M with Debt Service of $73K/$1M per annum
Held constant
Held constant
Held constant
Held constant
3% tuition increases; 1% enroll Inc
1% enrollment increase in 11/12
Held constant
Held constant
20,000.00 Held constant
1,998,921.43 As per Legal Agreement + 6% estimated escalation
6,585,603.03 Held constant
Lease entire CFRED building effective 1/1/2011 until purchased
156,000.00 Held constant
9,450.00 Held constant
20,000.00 Held constant
2,616,325.46 4% increase per annum adjusted for new approach to Grad. Assts.
2014-2015
EAST STROUDSBURG UNIVERSITY
5 - Year Budget Projection
ACKNOWLEDGMENTS
East Stroudsburg University
Business Office
Facilities Management Department
Business & Economic Group (BERG), Economics Department
Research and Economic Development
Office of Academic & Institutional Effectiveness
Office of University Relations
Chancellor’s Office
Office of Administration and Finance
East Stroudsburg University Foundation, Inc.
Page 37 of 37