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General Assembly approves $10 million equity boost for MSU

May 10, 2019 by Clif Smart

Colorful red and yellow flowers bloom in front of Carrington Hall

Missouri State University would like to acknowledge the work of the Missouri General Assembly in passing a $10 million equity increase to the university’s state operating appropriation.

This adjustment is the largest appropriations increase the university has received in at least 20 years.

Missouri State currently receives less state funding per student than any other university in the state. The $10 million equity adjustment eliminates the disparity between MSU and the next lowest-funded university.

This increase will allow the university to expand academic programs, keep tuition affordable and fund long overdue cost-of-living pay adjustments for employees.

During its May 16 meeting, the Board of Governors will discuss the university’s budget for next fiscal year, including changes to the tuition increase authorized by the state and approved at the April 17 Executive Committee meeting. A final budget will be approved at the June 21 board meeting.

Special thanks to Rep. Elijah Haahr and Sen. Lincoln Hough who led the equity increase efforts in the house and senate. Rep. Cody Smith and Sen. Dan Hegeman chaired the committees that supported Missouri State’s equity increase throughout the budget process. All members of the General Assembly — particularly our area legislators from southwest Missouri — were very supportive.

Filed Under: Legislative Session Tagged With: Board of Governors, budget, funding, legislative priorities

Clif’s Notes for Jan. 24, 2017

January 24, 2017 by Clif Smart

Carrington after ice

Clif's Notes

As many of you are aware, Governor Greitens announced a $146 million spending restriction to make up for a projected revenue shortfall. The amount apportioned to the Missouri State University system is approximately $6.3 million.

The percentage increase in state revenue this year to date is only 2.2 percent vs. a projected increase of 4.1 percent. This comes after the state revenue for last year increased by 0.9 percent vs. a projected increase of 2.8 percent. Consequently, the state must close the gap.

What this means to Missouri StateCarrington after ice

The university expected spending restrictions given the state’s revenue shortfall. Because of our enrollment growth and the work we have done to increase efficiency and quality at Missouri State, we have the ability to manage through this readjustment of funds using reserve funding. We are not expecting more restrictions on the current fiscal year’s budget.

State annual appropriations are paid monthly to the university. The $6.3 million restriction is the equivalent of withholding one month’s payment. This withhold will be spread over the next 5 months making it more manageable. To fully understand the impact, Missouri State was awarded a 4.5 percent budget increase for fiscal year 2017, which runs from July 1, 2016 – June 30, 2017. The $6.3 million is approximately 7.1 percent of our current appropriations, so not only are we “returning” the 4.5 percent increase, but also an additional 2.7 percent from the prior year which takes us to a funding level below our Fiscal Year 2015 budget.

However, if these cuts become permanent, or if additional cuts become part of next year’s budget, we will have difficult decisions to make in the coming weeks and months about raising tuition and fees and reducing services. We could essentially be returning permanently to state appropriation levels from fiscal year 2014 or 2015. We’ll have a better understanding after the Governor releases his proposed budget for the state in early February.

Moving forwardSnow-covered walkway

Our goal for the immediate future is to develop principles and priorities to guide us in the process so that we are organized, rational and consistent in our consideration of budget adjustments for fiscal year 2018, which begins on July 1. The Executive Budget Committee and our Chief Financial Officer will lead us through this process.

Shortly after the state budget is released, we will hold a town hall meeting to share information, receive input and review the process set up to make tough decisions on how to handle the short-term withholding and the potential long-term budget reductions.

It is more important now than ever that we continue to move the university forward. Stay positive; developing a bunker mentality will not help us solve these funding problems. We must remain committed to our goal of increasing the number of graduates through growth in enrollment and by increasing retention and graduation rates and enhancing the campus climate.

Thanks for all you do for Missouri State!

Filed Under: Clif's Notes, Financial Outlook, Smart Tagged With: budget, Executive Budget Committee, funding

Clif’s Notes for Sept. 20, 2016

September 20, 2016 by Clif Smart

Clif's Notes

Last week the Missouri legislature held its veto session. The General Assembly overrode the Governor’s vetoes on 13 bills.

Construction workers on Glass Hall renovation projectPartial funding for Glass Hall renovations restricted

Two of the bills will result in an anticipated loss of more than $50 million in tax revenue for the state. The Governor has announced that because of this lost revenue, he will be restricting additional appropriations from the state’s budget.

These restrictions will have a significant impact on K-12 public education and higher education. The restrictions include more than $24 million in ongoing funding for education at all levels and more than $6 million for higher education capital projects.

One of the restrictions will have a direct impact on our campus. The Governor has withheld $1.875 million of the $5 million appropriated for the Glass Hall project. The $33.8 million project is being funded by revenue bonds, gifts to the Missouri State University Foundation, university reserves and capital appropriations. We will deal with this $1.875 million restriction by modifying the work to be completed and minimizing construction deviations. This is unfortunate, but responsible stewardship requires that we respond appropriately.

The Governor has indicated it is unlikely the restricted funds will be released this fiscal year. However, we will continue to work with the current Governor and the Governor-elect in November to advocate that the Glass Hall funds be released. In the event the funds are not released, university reserves and foundation gifts will make up any shortfall after modifications to the project have been made.

Bikers on campusFirearm legislation does not change campus policy

You may have seen media reports on one other bill— a firearm bill (frequently referred to as “constitutional carry”). The General Assembly overrode the Governor’s veto on this bill.

We have received several inquiries regarding the firearm bill. Despite what you may have heard, this bill does not prohibit public universities from regulating possession of firearms on campus, and the Board of Governors still has the power to adopt such regulations.

We are currently reviewing all of Missouri’s firearm laws to ensure that our existing firearm policy complies and best protects the university community. Missouri State’s existing firearm policy, which prohibits unauthorized possession of firearms on campus, will remain in place unless our Board of Governors changes it.

Thanks for all you do for Missouri State!

Filed Under: Clif's Notes, Legislative Session, Smart Tagged With: facilities, funding, missouri general assembly, safety

Clif’s Notes for July 26, 2016

July 26, 2016 by Clif Smart

Aerial photo of Missouri State University

Clif's Notes

Over the past year, the Missouri State Master Planning Committee has collaborated with stakeholders throughout campus to develop the newest edition of the university’s Visioning Guide. This guide assists the Board of Governors and administration in determining the best way to support the future facilities growth of the university. You can view the newest edition of the guide on the planning, design and construction webpage.

Aerial photo of Missouri State UniversityGuide outlines current, future construction plans

The guide separates projects into three categories: underway, planned and potential future projects.

Projects underway

This section includes three of the projects I described in last week’s Clif’s Notes along with the work underway in Meyer Library and the Professional Building.

Planned projects

This section includes projects for which plans are in place to identify and secure funding and begin construction. Planned projects include:

  • Hill Hall – Planned renovations will modernize and improve access to the building. Work will include electrical and mechanical systems upgrades and improvements to lab, office and classroom space.
  • New Residence Hall – Missouri State University is evaluating whether to build a new residence hall as a result of robust enrollment growth in the last five years.
  • Greenwood Laboratory School – Provided that secure funding can be identified, the university plans to add a multi-purpose addition to the southeast corner of Greenwood Laboratory School.
  • Plaster Center – The university plans to build out approximately 30,000 square feet of space in the Robert W. Plaster Center for Free Enterprise to accommodate the expansion of the cooperative engineering program.

Potential future projects

These are projects that the university is mindful of and would begin to develop plans to construct as resources allow and funding is identified. Possible future projects include:

  • Alumni Events Center
  • Carrington Hall renovation
  • Cheek Hall renovation
  • Craig Hall (Scene Shop)
  • Electronic Arts Building
  • Indoor Practice Facility
  • Intermodal Transfer Station/third parking garage
  • Jordan Valley Innovation Center expansion
  • Kemper Hall and Kings Street Annex renovations
  • Lot 24 Ramp (under Grand Street)
  • McDonald Hall renovation
  • Multicultural Center
  • Ozarks Science Center
  • Plaster Student Union expansion
  • Temple Hall renovation/expansion
  • Tent Theatre Pavilion
  • Theatre and Dance Building
  • Welcome Center (new bookstore) expansion

Design for Hall-Darr HallChanges for West Plains

While the visioning guide addresses only projects on the Springfield campus, I would be remiss if I did not also mention an important project that will soon be underway on the West Plains campus—Hass-Darr Hall. This project will renovate the building on the West Plains campus currently leased to the United States Postal Service to add academic space, space for student services and a student union for the campus.  Construction is scheduled to begin spring 2017 with targeted completion in spring 2018.

Thanks for all you do for Missouri State!

 

Filed Under: Clif's Notes, Smart Tagged With: facilities, funding, Smart

Budget and “Equity Funding” Compromise

May 11, 2012 by Clif Smart

I am writing to provide some details about the $3,001,000 in “equity funding” that was allocated to seven four-year public institutions for next year (fiscal year 2013).

Compromise needed to meet deadline

In order to pass the budget by the constitutionally-mandated deadline, which is today (Friday, May 11), the House and Senate had to compromise on a proposal that would have added $2 million to the budget of Southeast Missouri State University. 

In the end, the compromise that was approved consisted of approving an equity pool to $3,001,000, which was allocated to seven public institutions based on their relative funding per student. The amounts for the seven ranged from $55,000 to $886,000.

With this compromise made, the entire $24 billion budget passed.

Reasons for excluding Missouri State

There were three reasons given for Missouri State University not being included in the proposal. 

  • The University of Missouri and Missouri State were identified as the two statewide universities, so they were separated from the other institutions.
  • Missouri State had benefited from the $2 million allocated last year to the University of Missouri-Kansas City for the Doctor of Pharmacy degree in a year where other institutions did not receive similar funding.
  • The inequity in funding for Missouri State was too significant for the pool of money that was available.

I was obviously disappointed in this decision. We were aware of the negotiations as they were occurring and aggressively lobbied our delegation to be included.

Committee to examine equity funding

While we were not awarded any additional appropriations, we were successful in having an amendment added to the bill that establishes a joint legislative committee to examine the question of equity funding for all institutions. Our legislative delegation has assured us that Missouri State will be a significant part of that discussion next year. This will be our first legislative priority next year.

You should know that several members of our area legislative delegation strongly voiced their concern that Missouri State was not included in the equity allocation. That is the primary reason the amendment was added. 

The data speaks for itself — Missouri State is relatively under-funded (third lowest) compared to the other institutions, and Missouri State will be included in any discussion about addressing that inequity.

Missouri State funded at same level as last year

On a positive note, the legislature has passed a budget which funds Missouri State at the same level as last year. Now we wait to see what withholding the Governor will make. We will know that within 45 days.

Filed Under: Financial Outlook, Smart Tagged With: budget, equity funding, funding, FY13

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