UQ’s Budget Contribution Model An Overview VC Forum Head of Schools Workshop September 14, 2012.
-
Upload
drake-davisson -
Category
Documents
-
view
217 -
download
1
Transcript of UQ’s Budget Contribution Model An Overview VC Forum Head of Schools Workshop September 14, 2012.
UQ’s Budget Contribution Model
An Overview
VC ForumHead of Schools Workshop
September 14, 2012
Introduction
• What is the BCM?
• BCM ~ Centre to Faculty
• Structure of the BCM
• BCM Drivers
• University Funding Model – BCM Distribution
• BCM ~ Income
• BCM ~ Central Overheads
• BCM ~ Infrastructure Support Costs
UQ’s Budget Contribution Model
What is the BCM?
• Mechanism for distribution of income and allocation of costs
• Not all income
• Not all costs
• A common misconception is that the BCM is the budget
• The BCM is an input into the budget process
UQ’s Budget Contribution Model
What is the BCM?
The BCM is used to:
• Distribute CGS Block Grant income to Faculties and Institutes
• Distribute CGS Research (Secondary Gains) to Faculties and Institutes
• Allocate Central Overhead against Faculties and
Institutes
UQ’s Budget Contribution Model
What is the BCM?
The following income is not included in the BCM:
• Research Income• Trading income• Investment income• Donations, Scholarships and Bequests
The following expenditure is not included in the BCM:
• Direct costs at Faculty and Institute • Capital Expenditure from tied income sources
UQ’s Budget Contribution Model
BCM ~ Centre to Faculty
• The BCM is a conduit between the Centre and the Faculties and Institutes
• The Faculty may in turn distribute income in accordance with its own mechanism
• The Faculty may allocate costs in accordance with its own mechanism
• Portion of Central Overhead as levied upon it• Allocation of Faculty Overhead
• Running the Faculty Office• Faculty Initiatives (Strategic)
UQ’s Budget Contribution Model
Structure of the BCM
• Income
• CGS Block Grant
• Secondary Gains on Research (Research Block Grant)
• Tuition Fees
• Deductions
• Central Costs
• Infrastructure Support Costs (Repairs and Maintenance,
Insurance)
• Strategic Initiatives
• Debt Servicing
• CapitalUQ’s Budget Contribution Model
BCM Drivers
• Income distributed and costs (deductions) allocated to Faculties and Institutes on the basis of selected drivers
• The cost or deduction driver is not activity based costing.
• Has been determined as a reasonable proxy for resource usage
• The drivers are influenced by UQ’s strategic objectives. • For example, Research EFTSL and Research secondary gains are not included in
overhead calculations
UQ’s Budget Contribution Model
BCM Drivers ~ Income
UQ’s Budget Contribution Model
Item Driver
CGS Block Grant Weighted Funded EFTSL
Medical Loading Faculty of Health Science
Regional Loading Faculty of Science
Student Contribution Charge Weighted Funded EFTSL
Enhanced Student Contribution Charge 40 % WFETSL, 30 % EFTSL, 30 % SECat
T&L Performance / HEPP / ISP External Strategic Funding distributed directly by office of DVC A and SDVC
JRE / RTS 40 % RHD EFTSL, 10 % RHD Completions, 40 % Research Income, 10 % Weighted Publications (ERA)
APA Scholarships External Strategic Funding distributed directly by office of DVC R
RIBG External Strategic Funding distributed directly by office of DVC R
SRE Fellowships/Research Infrastructure support ex DVC R $4.8m Balance ~ Category 1 Income Weighted by ERA Index, 1/2 Institute Support, 1/2
Tuition Fees Direct to Faculties / Institute
BCM Drivers ~ Costs
• Drivers Include:• Funded EFTSL• Weighted Funded EFTSL• International EFTSL• Non Research EFTSL• Staff FTE• Space• Total Income (BCM)• iCEVAL
• Examples:• Library
• 50 % Staff FTE• 50 % Non Research EFTSL
• DVC I• 100 % International EFTSL
UQ’s Budget Contribution Model
BCM Drivers ~ Costs
UQ’s Budget Contribution Model
Item Drivers
Office of:
Vice Chancellor Total Income, Non Research EFTSL, Staff FTE, International EFTSL
Senior Deputy Vice Chancellor Total Income, Non Research EFTSL, Staff FTE
DVC (Academic) Non Research EFTSL, Total Income, Funded EFTSL
DVC (Research) Total Income, Non Research EFTSL, Staff FTE, International EFTSL
DVC (International) International EFTSL
DVC (External Relations) Total Income
EDO Non Research EFTSL, Staff FTE, Space, International EFTSL, Total Income
Strategic Initiatives Total Income, Funded EFTSL, Weighted Funded EFTSL, iCEVAL
Infrastructure Support Non Research EFTSL, Staff FTE, Space, International EFTSL, Total Income
Capital & Debt Servicing Non Research EFTSL, Space
BCM Drivers ~ Data Sets
UQ’s Budget Contribution Model
Category Calculation/Data Source
CGS Load Forecast data – Planning Office * Funding Index
Tuition Fees - $ and EFTSL Tuition Fee Model
JRE/RTS (4 indexes below)
Research Income HERDC – Average of preceding two years
Publications Average of preceding two years
Awards Average of preceding two years, PhD weighted by 2
RHD Load Immediate prior year actual load
Non Research EFTSL Addition of the above EFTSL streams (non research only)
Space Faculty and Institute space – latest per Reportal
FTE Census data at 31/3/2012
Total Income Total income per BCM less Research Block Grant less Enhanced Contribution Charge less Strategic Contribution
University Funding Model ~ BCM Distribution
Distributed through the BCM 2012
UQ’s Budget Contribution Model
BCM
$882 m
* CGS Block Grant $ 448 m
* Research Block Grant $ 146 m
* Tuition Fees $ 288 m
> Faculties and Institutes $ 407 m
> Central Costs (1)$ 272 m
> Strategic Funding (2) $ 83 m
>Strategic Funding (3) $ 58 m
> Debt Servicing $ 15 m
> Capital $ 47 m
Note (1) ~ Much of these incurred on behalf of total UQNote (2) ~ Discretionary Strategic Funding Note (3) ~ Direct Flow through for RIBG, SRE, APA Scholarships, HEPPNote (4) ~ In excess of 90 % of Strategic Funding flows back to Faculties and Institutes
$ 127 m (4)
Total Effective Distribution to Faculties and Institutes $ 534 m 61 % of BCM Income
Direct Revenue Distributions (2012)
UQ’s Budget Contribution Model
CGS Block Grant• C’wealth Contribution
$269m• Student Contribution
$167m
Tuition Fees• International
$258m• Domestic $
30m
Research Block Grants• JRE $
30m• RTS $
56m• SRE $
11m
Faculties
And
Institutes
Tuition Fee
Modelling
Research Performa
nce
Domestic Load
ModellingFFI
Research Block Grants
JRE $ 30mRTS $ 56m
SRE $ 11m
SRE $ 5m
APA $ 20m
RIBG$ 24m
Research Income 40%RHD Load 40%RHD Awards 10%Publications 10%
Category 1 Income moderated by ERA
Fellowships/Infrastructure
Direct to Scholars
via DVCR
Load Models
One Commonwealth-supported domestic model
Four international tuition fee models • Undergraduate• Postgraduate Coursework• Postgraduate Research• Non-award
Three domestic tuition fee models • Undergraduate• Postgraduate Coursework• Postgraduate Research
TOTAL EFSTL 2012Actual by program
CONTINUING EFTSL 2013Model
COMMMENCING 2013
Faculty Estimate
TOTAL EFTSL 2013
SCHOOL/SUBJECT AREA EFTSL SPLITS 2013
Based on Historical Patterns
FUNDING BAND/COURSE FEE RATES 2013
Actual
REVENUEBy program, faculty etc
Known Value
Modelling Process
Faculty / Institute Input
Legend
Load Models
Load Models
CONTINUING EFTSL 2013Model
Granularity: Program and Program Year
Retention: Semester on SemesterBased on 3 year history
Distribution: 1 year history (annualised)SchoolsTuition Fee Band or CGS/SCC
Band
Load Models
Granularity: SemesterProgram (International)Program and Program Year
(Dom)
COMMMENCING 2013
Faculty Estimate
Faculty Funding Index
BCM:• International tuition fees passed through ‘as
earned• Domestic load weighted by Faculty Funding
Index
Faculty Funding Index:• A multiplier that is applied to Faculties’ student
load (EFTSL) to calculate the weighted student load (WEFTSL)
• Representative of Commonwealth Funding Bands
• Moderated for scale
FFI
Faculty Funding Index
2011 Data
Commonwealth Funding Clusters
Faculty Funding Index
2011 Data
Commonwealth Funding Clusters
Faculty Funding Index
Commonwealth Funding ClustersArts 0.78
BEL 0.59
EAIT 1.24
Health 1.19
Science 1.30
SBS 0.84
2012: Variance “Theoretical” FFI to Actual FFI <.019
Questions?