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<p class="MsoNormal"><span style="font-family:"Tahoma",sans-serif;color:black">FYI…<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Tahoma",sans-serif;color:black"><o:p> </o:p></span></p>
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<p class="MsoNormal"><span style="font-size:11.0pt;color:black">Jeffrey C. Silvertooth, Ph.D.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;color:black">Associate Dean<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;color:black">Director for Extension & Economic Development<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;color:black">Division of Agriculture, Life, & Veterinary Sciences, and Cooperative Extension<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;color:black">Forbes 301, Bldg. #36<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;color:black">University of Arizona<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;color:black">Tucson, AZ 85721-0036<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;color:black">520-621-7205<o:p></o:p></span></p>
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<p class="MsoNormal"><span style="font-family:"Tahoma",sans-serif;color:black"><o:p> </o:p></span></p>
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<p class="MsoNormal"><b><span style="font-size:11.0pt">From:</span></b><span style="font-size:11.0pt"> prov_heads_2-request@list.arizona.edu <prov_heads_2-request@list.arizona.edu>
<b>On Behalf Of </b>Miller, Robert J - (millerr)<br>
<b>Sent:</b> Wednesday, October 7, 2020 12:18 PM<br>
<b>To:</b> heads@list.arizona.edu<br>
<b>Cc:</b> Helm, Sabrina V - (helm) <helm@arizona.edu>; Brummund, Barry T - (brummund) <brummund@arizona.edu><br>
<b>Subject:</b> [heads] subject: HEADSUP | action: DIGEST: SPBAC + PROV COUNCIL | time: 2020.10.07 | priority: NORMAL<o:p></o:p></span></p>
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<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><b><span style="font-size:24.0pt;color:#7F7F7F">digest</span></b><br>
<span style="font-size:14.0pt;color:#7F7F7F">Strategic Planning and Budget Advisory Committee (SPBAC)<o:p></o:p></span></p>
<p class="MsoNormal" style="margin-bottom:12.0pt"><span style="font-size:14.0pt;color:#7F7F7F">Provost’s Council</span><br>
2020.10.07<o:p></o:p></p>
<p class="MsoNormal">SPBAC and Provost’s Council covered similar territory today.<br>
<b><span style="font-size:18.0pt">budget update</span></b><br>
The Senior Leadership Team (SLT) has developed a revised DRAFT budget for FY 21 and is in the process of getting advisement from Shared Governance groups. The Draft Budget itself is confidential, so cannot be shared.<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">SPBAC and Provost’s Council were asked to provide a recommendation to SLT (by Friday, but may roll into next week). A final budget release is anticipated within 2-3 weeks.<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">Current Net Tuition Revenue (NTR) projections are 40% better than the Moderate Case scenario; NTR is now projected to be down $55M rather than $96M. Online and Distance enrollments are up, offsetting some of the losses from the drop in
campus activity.<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><b>revenue-producing units<o:p></o:p></b></p>
<p class="MsoNormal">Executive Decision Adjustments to the colleges are being re-adjusted to take into account programs that have grown, cash reserves in the colleges, and other internal impacts.
<o:p></o:p></p>
<p class="MsoNormal">Colleges are generally doing better than expected (averaging -10.9%, rather than -17% under the Moderate Scenario, relative to FY20), prior to Adjustments and use of reserves.<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><b>support units<o:p></o:p></b></p>
<p class="MsoNormal">The Support Units, which do not participate in RCM, are facing greater challenges (averaging -14.9% relative to FY20).
<o:p></o:p></p>
<p class="MsoNormal">Losses in Marketing and Communications have been offset (keeping funding roughly equivalent to FY20) to keep recruiting and enrollment support as strong as possible.<o:p></o:p></p>
<p class="MsoNormal"><br>
<b><span style="font-size:18.0pt">Furlough revision</span></b><br>
The Draft Budget proposes an early end to the Furlough proportional to the improved forecast for Net Tuition Revenue (NTR) relative to FY20 (i.e., scaled to the 40% improvement over the Moderate Scenario). The timing of an early Furlough end, along with related
implications, is under advisement:<o:p></o:p></p>
<p class="MsoNormal" style="margin-left:.5in">>The earlier the end to the Furlough, the less help comes to unit budgets.
<o:p></o:p></p>
<p class="MsoNormal" style="margin-left:.5in">>Units with high salaries received more help from the Furlough than those with lower salaries.<o:p></o:p></p>
<p class="MsoNormal" style="margin-left:.5in">>Support units rely more on the Furlough for relief than do the colleges.
<o:p></o:p></p>
<p class="MsoNormal" style="margin-bottom:12.0pt">Equitably balancing the trade-offs is complex and not facilitated by current university structure. (For example, centrally-sponsored support operations, like IT, are being cut more than similar operations that
are supported in the colleges due to their status as support units.<o:p></o:p></p>
<p class="MsoNormal"><b><span style="font-size:18.0pt">RCM (Provost’s Council only)</span></b><br>
The formulation of RCM is being reconsidered. <o:p></o:p></p>
<p class="MsoNormal">The 2018 report on RCM prepared by the UA RCM 3-YEAR REVIEW COMMITTEE was never released, but soon will be.<o:p></o:p></p>
<p class="MsoNormal"><br>
<b>Robert Miller, AIA</b><br>
<span style="font-size:10.0pt">Executive Director, HeadsUp</span><br>
<a href="mailto:millerR@u.arizona.edu"><span style="font-size:10.0pt">millerR@arizona.edu</span></a><br>
<br>
<span style="font-size:8.0pt">copy</span><br>
<span style="font-size:8.0pt">Sabrina Helm, Co-Chair SPBAC</span><br>
<span style="font-size:8.0pt">Barry Brummond, Co-Chair SPBAC</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-size:11.0pt"><o:p> </o:p></span></p>
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