Faculty Faculty ConvocationConvocationApril 27, 2009April 27, 2009

James B. DworkinChancellor

Topics to be DiscussedTopics to be Discussed

•Budget Update

•Participation in Campus Events

•Relationship with High Schools & Colleges

Economic Impact on Economic Impact on Colleges and UniversitiesColleges and UniversitiesIndiana UniversityIndiana University

IU President McRobbie has already announced a hiring freeze for 2009-2010 and freeze on salaries of senior administrators.

Arizona State UniversityArizona State UniversityHas eliminated more than 500 jobs, including deans, department chairs and hundreds of teaching assistants. It is going to close 48 programs, cap enrollment and move up the freshman application deadline by five months. Every employee will have 10 to 15 unpaid furlough days this spring.

Yale UniversityYale UniversityPlans to layoff as many as 300 employees; will make a 7.5 cut in non-salary expenditures and; a salary freeze for employees making over $75K.

Dartmouth University Dartmouth University Will be laying off 60 employees and decreasing wages for others. They have implemented 10% cut and a hiring freeze.

Stanford UniversityStanford UniversityCutting budget by $100 million over one year

North Carolina State UniversityNorth Carolina State UniversityBudget cut of $36 million

University of Louisiana SystemUniversity of Louisiana SystemReducing adjunct faculty, cutting spending on equipment and construction, freezing travel and eliminating unfilled positions.

University of California SystemUniversity of California SystemThe total $450 million shortfall for UC consists of $115 million in new cuts, $122 million in underfunded enrollments and $213 million in unfunded mandatory costs over the two-year period for utilities, employee health benefits and other inflationary costs.

University of Kentucky University of Kentucky Has eliminated188 faculty and staff positions

University of Maine SystemUniversity of Maine System2,000 clerical workers and other employees (including senior administrators) will take unpaid furloughs

Minnesota State Colleges & UniversitiesMinnesota State Colleges & UniversitiesNo faculty salary increases in the next two years

Johns Hopkins UniversityJohns Hopkins UniversityFreezing all hiring and most salary increases, cutting top administrators’ pay by 5 percent.

City University of New York (CUNY)City University of New York (CUNY)Facing $5.8 million in cuts from the City of New York in FY09 and $9.5 million in cuts for FY10.

University of Tennessee at ChattanoogaUniversity of Tennessee at Chattanooga20% budget cut & hiring freeze

University of Illinois ChicagoUniversity of Illinois ChicagoDepartment heads to plan for budget cuts of up to 10 percent; medical center to layoff 200 employees

University Endowments Have University Endowments Have Taken Huge HitsTaken Huge Hits•A recent report, issued by the

National Association of College and University Business Officers, surveyed 435 institutions and found that endowments fell by an average of 23% from July to November 2008.

•Private colleges and universities will feel the greatest impact due to the relationship between their endowments and operating budgets.

Losses in Purdue EndowmentsLosses in Purdue Endowments

•The market value of the endowment for the West Lafayette campus declined by $51 million as of June 30, 2008 (latest public report available).

•  From January 2008 to December 2008, the market value of the PNC endowment dropped by $634,500, or a net loss in market value of 24%.

 

Budget Shortfalls Across the Budget Shortfalls Across the CountryCountry

44 statesface totalbudget shortfall ofat least $31billion in2009.

Budget Shortfall in Indiana

•New numbers released in February show that Indiana's revenue collections have fallen $175 million short of expectations in just two months since a revised forecast came out.

•Gov. Mitch Daniels says Indiana’s colleges and universities can expect cuts in higher education spending and schools are already bracing for shortfalls.

Current Legislative Session

•House has passed a one year budget.• PNC’s Student Services and Activities Complex

in this version of the budget

•Senate budget has been approved. It is now in the Conference Committee.

•Fee increases are unknown at this time.

2009-2011 Legislative 2009-2011 Legislative Budget SummaryBudget Summary

CURRENT PURDUE COMMISSION GOVERNOR'S HOUSE PASSED SENATE PASSEDBUDGET REQUEST RECOMMENDATION RECOMMENDATION BUDGET BUDGET

FY09 FY10 + FY11 FY10 + FY11 FY10 + FY11 FY10 FY10 + FY11

STATE OPERATING APPROPRIATION INCREMENTAL INCREASES

West Lafayette 4.0% + 0.0% 0.5% + -0.3% -4.3% + -0.8% 1.0% 0.0% + 0.0%

Calumet 1.7% + 0.0% -0.2% + -1.6% -4.7% + -1.5% 2.3% 0.7% + 0.5%

Fort Wayne 5.2% + 0.0% 1.2% + 1.2% -4.0% + 0.0% 4.6% 1.5% + 1.4%

North Central 10.8% + 0.0% 3.0% + 4.6% -3.1% + 1.8% 6.8% 3.4% + 2.3%

West Lafayette $10,560,085 + $0 $1,296,094 + -$702,912 -$11,386,900 + -$2,031,883 $2,620,337 $0 + $0

Calumet $483,403 + $0 -$50,860 + -$455,155 -$1,321,211 + -$409,468 $639,127 $209,264 + $137,041

Fort Wayne $2,014,853 + $0 $473,967 + $467,140 -$1,528,973 + -$11,576 $1,756,497 $591,056 + $562,411

North Central $1,298,493 + $0 $358,856 + $565,220 -$370,334 + $207,361 $812,698 $410,997 + $286,415

STATE OPERATING APPROPRIATION

West Lafayette $262,033,737 $272,593,822 + $272,593,822 $263,329,831 + $262,626,919 $250,646,837 + $248,614,954 $264,654,074 $262,033,737 + $262,033,737

Calumet 28,212,704 28,696,107 + 28,696,107 28,161,844 + 27,706,689 26,891,493 + 26,482,025 28,851,831 28,421,968 + 28,559,009

Fort Wayne 38,449,705 40,464,558 + 40,464,558 38,923,672 + 39,390,812 36,920,732 + 36,909,156 40,206,202 39,040,761 + 39,603,172

North Central 11,969,824 13,268,317 + 13,268,317 12,328,680 + 12,893,900 11,599,490 + 11,806,851 12,782,522 12,380,821 + 12,667,236

Total $340,665,970 $355,022,804 + $355,022,804 $342,744,027 + $342,618,320 $326,058,552 + $323,812,986 $346,494,629 $341,877,287 + $342,863,154

This base was later cut 1%

Net of Governor's 1% Base

ReductionsFY 09 base restored from

nonrecurring Federal funds

Capital RequestCapital RequestCAPITAL REQUEST

New Capital Projects

1 W.L. Life Sciences Facilities Improvements $60,000,000 $0 $0 $67,000,000 $0

2 Cal. Gyte Annex Demolition and Science Addition 26,500,000 0 $0 26,500,000 0

3 N.C. Student Services and Activities Complex 23,700,000 0 0 23,700,000 0

4 IU/PU Life Sciences Lab Renovations 0 30,000,000 0 0 30,000,000

5 W.L. Medical School Renovations 0 0 0 0 12,000,000

6 IPFW Parking Garage (in twice 0 0 0 16,800,000 16,800,000

-once with fee replacement in error) Authority Only Authority Only

7 W.L. Student Fitness and Wellness Center 0 0 0 98,000,000 98,000,000

0 0 0 Authority Only Authority Only

TOTAL (excluding authority only) $110,200,000 $30,000,000 $0 $117,200,000 $42,000,000

REPAIR AND REHABILITATION - Biennium $49,773,015 $22,069,279 $19,777,318 $9,888,659 $19,777,318

Special R&R - Biennium (IPFW Helmke Library) $6,000,000 $0 $0 $6,000,000 $0

TOTAL CAPITAL PROJECTS AND R&R $165,973,015 $52,069,279 $19,777,318 $133,088,659 $61,777,318

Lease Rentals - ADDL $0 $0 $1,045,098 $1,045,098 $1,046,630

Lease Rentals - ADDL - BSL-3 $0 $0 $2,600,000 $0 $2,600,000

Special Language - Issue and Sell Bonds for outstanding projects

Language to skip any approval by governor

for outstanding projects at the statehouse

Language to skip any approval by governor for outstanding projects at the statehouse

Economic Impact on PNCEconomic Impact on PNC

•Working on various budget scenarios as directed by the President.

•No salary increases for 2009-2010

•2% budget cut contingency plan for 2009-2010.

Local LegislatorsLocal LegislatorsIndiana House of Representatives Indiana Senate

The Indiana General The Indiana General Assembly is scheduled to Assembly is scheduled to end by Wednesday, April end by Wednesday, April 29, 2009 at 12 midnight. 29, 2009 at 12 midnight. At that time we will know At that time we will know much more about the much more about the capital and operating capital and operating budgets.budgets.

Engaging the Faculty in Campus Engaging the Faculty in Campus EventsEventsThe following events have been or will be held (Friday, April 24-Monday, April 27):

•Student Honors Convocation

•3rd Annual Early Childhood Conference

•Baseball Game

•Hall of Fame Athletic Banquet

•Performances of Macbeth

•Oral Interpretation Class Performance

•American Sign Language Club Silent DinnerLook for campus events that interest you. Faculty participation is essential and speaks volumes to students.

High Schools Currently High Schools Currently Participating Participating in Dual Credit Coursesin Dual Credit Courses

Number of High Schools

Number of Courses

Total Number of

Students for Academic

Year 2008-09

19 high schools

25 different courses

offered in multiple

locations

353 students

High School/Startin

g Year

Number of Courses Offered

Years Offered Number of Students in 2008-09

Boone Grove (2008-09)

6 courses 2008-09 25 students in multiple courses

Chesterton (2006-07) 1 course 2006-2009 0 students

Hebron (2007-08) 4 courses 2007-2009 23 students in multiple courses

Kouts (2008-09) 2 courses 2008-2009 4 students in multiple courses

Morgan Township (2008-09)

1 course 2008-2009 0 students

Portage (2006-07) 7 courses 2006-2009 46 students in multiple courses

Washington Township (2008-09)

5 courses 2008-2009 26 students in multiple courses

Wheeler (2006-07) 4 courses 2006-2009 25 students in multiple courses

Porter County High Schools Porter County High Schools Offering Offering Dual Credit Classes at their Dual Credit Classes at their FacilitiesFacilities

High School/Starting

Year

Number of Courses Offered

Years Offered Number of Students in 2008-09

LaCrosse (2008-09)`

1 Course 2008-2009 5 students

LaLumiere (2006-07)

4 Courses 2006-2009 0 students

LaPorte (2006-07) 3 Courses 2006-2009 33 students in multiple courses

Michigan City (2007-08)

11 Courses 2007-2009 29 students in multiple courses

New Prairie (2006-07)

10 Courses 2006-2009 33 students in multiple courses

South Central (2008-09)

4 Courses 2008-2009 34 students in multiple courses

Victory Christian (2006-07)

2 Courses 2006-2009 5 students

LaPorte County High Schools LaPorte County High Schools Offering Offering Dual Credit Classes at their Dual Credit Classes at their FacilitiesFacilities

High School/Startin

g Year

Number of Courses Offered

Years Offered Number of Students in 2008-09

Kankakee Valley (2007-08)

8 courses 2007-2009 39 students in multiple classes

Lowell (2007-08) 2 courses 2007-2009 3 students in multiple classes

North Judson-San Pierre (2006-07)

4 courses 2006-2009 14 students in multiple classes

Winamac (2007-08)

11 courses 2008-2009 14 students in multiple classes

Additional High Schools Additional High Schools Offering Offering Dual Credit Classes at their Dual Credit Classes at their FacilitiesFacilities

High Schools in Process for High Schools in Process for 2009-102009-10Offering Dual Credit Classes at Offering Dual Credit Classes at their Facilitiestheir Facilities•Knox

•Merrillville (under consideration by school corporation)

•Munster

•North White

•Tri County

•Valparaiso

•West Central

Dual Credit Courses Offered Dual Credit Courses Offered at Local High Schoolsat Local High SchoolsChemistry 115 & 116Communication 114English 101 & 102Math 152 & 153Math 161 & 162Sociology 100German 101 & 102Physics 220 & 221History 151 & 152

Psychology 120

Spanish 201 & 202

Biology 121

Biology 131

Statistics 301

Political Science 101

German 201 and 202

High School Students Attending High School Students Attending Classes at PNC 2008 Fall Classes at PNC 2008 Fall SemesterSemester

High School Name Number of Students Attending Classes

at PNC

Crown Point 1

LaCrosse 1

Washington Township 2

South Central 14

Westville 20

Home School Students 7

TOTAL 46

High School Students Attending High School Students Attending Classes at PNC Classes at PNC 2009 Spring Semester2009 Spring Semester

High School Name Number of Students Attending Classes at PNC

Boone Grove 2

LaCrosse 1

LaPorte 2

Morgan Township 2

Washington Township 1

South Central 12

Valparaiso 2

Westville 20

Home School Students 8

TOTAL 49

Courses Taken at PNC CampusCourses Taken at PNC Campus

Chemistry 115 & 116Communication 114English 101 & 102Management 200Math 152 & 153Math 223 & 224Math 167 & 169Math 261Sociology 100

Psychology 120

CGT 110

Spanish 101 & 102

Spanish 201 & 202

Biology 213 & 214

CNIT 107

Physics 220

History 152

Partnering with Ivy TechPartnering with Ivy Tech

•25 degree programs with articulation agreements with Ivy Tech.

•Both institutions will be renting space in new Portage Higher Education facility.

•Continue to find new and innovative ways to partner.

Transfer StudentsTransfer Students

•More students are transferring to PNC than transferring to West Lafayette.

•Caps on WL programs send more students to PNC.

QUESTIONS ?QUESTIONS ?