Regents Approve $103.9 Million Operating Budget, Auxiliary Operating Budgets for FY2014

Board Okays $51.7 Million FY15 Capital Budget Request

Board of RegentsCAPE GIRARDEAU, Mo., June 27, 2013 – The Southeast Missouri State University Board of Regents today approved a $103.9 million operating budget for the University and $36.1 million in auxiliary operating budgets, both for fiscal 2014, the year which begins July 1.

Kathy Mangels, vice president for finance and administration, said the new $103.9 million operating budget includes a faculty base merit salary increase of 2.625 percent, a .375 percent salary pool to fund post-professorial merit increases and an increase in the department chair stipend from $3,000 to $3,500. The budget also includes a staff base merit salary increase of 3 percent for administrative and professional staff, 3 percent or a $700 minimum increase for clerical/technical/service staff and bargaining units, and a 3 percent increase for graduate assistant stipends.

“Considering that University faculty and staff have only received a total of a 4 percent salary increase over the last four fiscal years and the recruitment challenges of replacing a large number of retiring employees, merit based salary increases were a priority for all groups represented on the Budget Review Committee,” said Kenneth W. Dobbins, president of Southeast Missouri State University.

In addition, Mangels says Southeast has contracted with JW Terrill to conduct a compensation and equity study, and the recommendations will be reviewed with employee groups during the fall semester. The Budget Review Committee, Mangels said, has allocated an additional pool of dollars to implement the first phase of the studies’ recommendations in FY14.

The Budget Review Committee is composed of 30 individuals who represent all major interest groups on campus, including Student Government.

Mangels said the Budget Review Committee used the state Senate recommendation of a 2 percent increase in state appropriations for higher education for FY14 when compiling the budget, which equates to an $850,000 increase for Southeast.

The budget approved by the Regents today includes estimated income of $42.8 million in state appropriations. Anticipated income from state appropriations accounts for 41.2 percent of the University’s total operating budget, Mangels said. The budget also includes estimated income of $58.3 million in student fees, accounting for 56.2 percent of Southeast’s total operating budget and $2.7 million from other sources, accounting for 2.6 percent of the total budget.

Also today, the Regents approved the FY14 operating budgets for the University’s “auxiliary” units, totaling $36.1 million. These self-supporting operations include such units as Southeast Textbook Services, the Show Me Center, University Center, Telecommunications, Residence Life, KRCU-FM National Public Radio and the Student Recreation Center.

In related action, the Board approved a $51.7 million capital budget request for FY15 to be submitted to the Missouri Department of Higher Education. The request includes the University FY15 budget request and long-range plan requests.

The University’s FY15 capital budget request contains remaining campus-wide deferred maintenance projects, including updating building envelopes and mechanical, electrical and HVAC systems throughout many of the University’s oldest campus buildings. Funding also is requested for roof replacements to numerous buildings, replacement of deteriorating windows and upgrades to site elements responsible for storm water drainage. Also included in the campus wide renovations is maintenance to the tunnel system.