October 21, 2021 Minutes

PRESIDENT'S BUDGET ADVISORY COMMITTEE

October 21st, 2021

AGENDA

1. Call to Order and Welcome
2. Approval of the Minutes: September 9^th, 2021
3. Year-End Balances & Reserves
4. Strategic Enrollment Discussion
5. Fall Budget and Planning Forum Planning
6. Announcements for the Good of the Order

1. Call to Order and Welcome
   Provost and Vice President of Academic Affairs, Karen Moranski, welcomed the committee and began the meeting at 8:30 am.
    
2. Approval of the Minutes: September 9th, 2021
   Moranski introduced the agenda and asked if there were any additions. Hearing none, Moranski requested a motion to approve the minutes of the September 9th meeting.  Minutes were approved unanimously.
    
3. Year-end Balances
   Laura Lupei presented the 20/21 Year End (YE) Balances and Reserves to the committee. This information is annually reported to the committee per the University Operating Fund Reserve Policy. To begin, the committee reviewed the YE balances for each division. The YE balances graph shows the starting base budget and revised budget for each division, as well as expenses for the year. The year-end balance amount is the sum of the revised budget less expenses. No division ended the year in deficit and all rolled balances into the 21/22 year.
   
   The committee then reviewed the 20/21 YE campus designated balances and reserves.  The total 20/21 campus budget YE balance was $23.4M. Of the $23.4M, $10.1 was kept within the divisions as designated balances, leaving $13.3M in University-Wide. Of the $13.3M in University-Wide, $6.9M is the Higher Education Emergency Relief Funding (HEERF) the University will be using to cover a portion of the deficit for the 21/22 year.
   
   Of the remaining $6.4M in University Wide, $5.1M is the current 20/21 Operating Fund Reserve Balance, $738K is funding designated for expenditures within University Wide for 21/22, leaving $479K to be allocated to the Operating Fund Reserve to end 20/21.  These funds were allocated according to the Operating Fund Reserve Policy and the four categories within the policy.
   
   Including the 20/21 Reserve Balance and the 20/21 YE distribution to the Reserve, the 21/22 opening reserve balances are as follows; Operating Reserve $1.27M, Maintenance Reserve $793K, Capital Reserve $3.4M, and Equipment Reserve $226K.
   
   The committee also reviewed the Self Support Unit’s year-end balances. Three of the eight Self Support units faced net losses due to reduced occupancy and enrollment. Housing’s net loss was $10.6M, the Campus Union’s net loss was $117K, and Parking’s net loss was $1.3M. All three of the self-support units had to spend into reserves in 20/21. The net losses for Housing and Parking will be reimbursed with HEERF funding in 21/22.
    
4. Strategic Enrollment Discussion
   Elias Lopez, AVP for Strategic Enrollment Management (SEM), joined the meeting and briefed the committee on the Strategic Enrollment initiatives to increase enrollment in the short and long term. First, Lopez went over some historical enrollment data.
   
   In 2021, the projected fall headcount is the lowest it has been since 2009 with 7179. This is a 24% decrease from the high of 9408 in 2015. This trend is similar in the new student enrollment except that there has been a slight uptick in 2021’s projected numbers. 2021’s New Student Enrollment of 2113 is still 35% lower than 2015’s high of 3244.
   
   Compared to Fall 2020, there were major decreases in applications submitted (-2,645) and admitted students (-677) for Fall 2021, but even with these decreases in applications and admitted students, the number of deposits increased by 241 due to the large efforts of the SEM unit.
   
   Lopez discussed the main goals to increase enrollment for the Fall 2022 cycle. The main goals consist of bringing in 20k applications by utilizing a purchase of 42k HS student names and partnering with 11 Community Colleges; implementing the 5 Communications Pillars; reducing friction when it comes to admission and financial aid; and using technology to help with the student experience throughout the application and acceptance process and throughout the student’s time at SSU.
   
   These goals will lead to a much more streamlined process for prospective students and make the choice to join Sonoma State more attractive.
   
   Lopez also shared an early version of the new acceptance mailer that will be sent out to prospective students. It will replace the standard letter from with a more colorful informative brochure that will include vital information including available financial aid and a schedule of fees. Even though it was an early example, the committee was enthusiastic about the opportunity to update the standard letter as well as the goals and initiatives the SEM unit has begun implementing.
    
5. Fall Budget and Planning Forum Planning
   Lupei discussed with the committee the preliminary plans for the Fall Budget and Planning Forum on November 15^th. The Forum will be in person in Ballroom A from 10:00 am – 11:30 am opening with presentations followed by roundtable discussions to provide an opportunity for discussion and to receive feedback from the campus community.
   
   The committee thought it would be beneficial to have the attendees regroup and have closing remarks after the roundtable discussions.  The event will also be live-streamed for those unable to attend in person.
    
6. Announcements for the Good of the Order
   None.
    

Moranski adjourned the meeting at 9:55 am. 

Minutes prepared by Shawn Taylor.