The University of Tennessee at Chattanooga Operating & Capital Budget Presentation

1. The University of Tennessee at Chattanooga Operating & Capital Budget Presentation Dr. Richard L. Brown, Jr. Vice Chancellor of Finance & Operations

2. UTC 2010-11 Budget and Financial Planning Financial Re-Balancing For Efficiency and Effectiveness Year Two Reduced State Allocations New Funding Formula Performance Metrics Academic Quality Accreditation Instruction Gen Ed QEP Challenge Change New University Advancement Model Capital Campaign Athletics Master Plan Campus Master Plan Facilities Growth Sustainability IT Strategic Plan Services Governance Communication Transparency Resource Allocations Accountability Gap Analysis Opportunity Transformation Tuition and Fees Benchmarking Student Support Services 2010-2011 Alignment of Resources to the Strategic Initiatives

3. 2011-12 Budget Issues Looking Forward • Support of Instruction and Academic Quality • SACS Reaffirmation • QEP • Compensation (Faculty & Staff) • Operating Budget Support • Maintenance and Operations (Energy) • Control of System Cost • Complete College Act • New Funding Formula • Development as a Source of Revenue Enhancement • Continuous Program Review

4. Summary of New Allocations Requested Total Requested $7,363,562

5. 2011-12 Fixed Costs

6. Aggregate Compensation Pool of 4% • 3% Across the Board Raises - All eligible Faculty and Staff. Cost embedded in the Base 9.9% Tuition and Fee request. • 1% Non-Recurring “BONUS” Pool recognizes exceptional performance and talent management. $660,000 identified from reserve accounts. • $150,000 Equity Adjustment Poolfor competitive salary benchmarking. Cost embedded in the Base 9.9% Tuition and Fee request. * Consistent with Martin compensation plan * Great momentum towards comprehensive compensation strategy * Acknowledges exceptional performance * Limited compression/equity adjustments

7. 2011-12 Proposed Revenue

8. 2011-12 Proposed Expenditures

9. 2011-12 Proposed Expenditures

10. 2011-12 Proposed Expenditures

11. 2011-12 Proposed Expenditures

12. 2011-12 Proposed Expenditures

13. 2011-12 Proposed Expenditures

14. 2011-12 Proposed Expenditures

15. Proposed Expenditures Proposed Expenditures $7,183,884

18. Fee Analysis

19. UTC IT Strategic Plan – Top Five Results • 1. New IT Leadership - New position will synergize IT resources and dollars • 2. Establish Effective IT Governance Model • 3. Create IT Service Catalog • Streamline roles and responsibilities across campus • Clarify roles between System IT and UTC IT • 4. Promote a Culture of Continuous Service Improvement • 5. Develop a Comprehensive Five-Year Planning Strategy • Financial (Tech Refresh) • Governance (Alignment with UTC Strategic Priorities) • Customer Service (Creating a University-Wide Help Desk)

20. Capital Project Status Update

21. 2010 Master Plan • Master Plan Goals and Objectives Development • Strategic Plan relationship to the Physical Campus • Evaluation of 2000 Campus Master Plan • Comprehensive Housing Master Plan • Sustainable Campus Perspective • Greenspace Plan • Athletics & Recreation Spaces • Circulation & Transportation • Land Use & Acquisition Plan • Campus Infrastructure • Campus Renewal, Reprogramming, & Asset Maintenance Plan • Space Utilization and affinity program alignment