Budget & Planning

FY24 Budget

In June 2023, Governor Dunleavy released the State of ÃÛÌÒÓ°Ïñ FY24 budget. ÃÛÌÒÓ°Ïñ’s FY24 financial position improved with requested base funding for compensation as outlined below:

Base Operating Budget
The UA System received $19.6 million in compensation increases for faculty and staff and includes:

  • $6.4 million for supplemental FY23 and retroactive pay increases.

  • $13.2 million for a 2.75% compensation increase for faculty and staff in FY24.

Of the combined total ($19.6 million), $9.4 million will come to ÃÛÌÒÓ°Ïñ.

As part of the budget setting process, the governor reduced what the legislature passed for UA by using line item vetos. Included in the governor’s UA vetoes were high priority program requests and some deferred maintenance capital projects. Addressing these priorities remains a top concern. 

Capital budget
ÃÛÌÒÓ°Ïñ initially did not receive any capital funding for deferred maintenance. However, ÃÛÌÒÓ°Ïñ was awarded $2.3 million in supplemental funding for deferred maintenance after the legislative session concluded. 

Also included in ÃÛÌÒÓ°Ïñ’s capital budget is $2.5 million in non-general funds/receipt authority for the University Park Early Childhood Development Center. This receipt authority means that ÃÛÌÒÓ°Ïñ can receive funds from an external source, should such a partnership be developed.

Research and Workforce Training
The ÃÛÌÒÓ°Ïñ ÃÛÌÒÓ°Ïñ Center for Unmanned Aerial Systems received $10 million of additional investment to support its ongoing work in researching, developing, testing, and eventually implementing commercial drone operations. This funding will help ensure ACUASI becomes the premier drone research center in the United States and helps to fuel the state economy.

ÃÛÌÒÓ°Ïñ also received $500,000 in support of ÃÛÌÒÓ°Ïñ Food Security and Independence agricultural research to address increasing food security demands through the Institute for Agriculture, Natural Resources and Extension.

FY24 UA BOR Approved Operating and Capital Budgets - Yellowbook

FY24 UA BOR Approved Operating Budget Request
In November 2022, the Board of Regents approved UA's FY24 operating budget request at $319.9 million, an increase of 8.4 percent from the FY22 level of $295.1 million. This represents a stable base level of state funding that includes modest increases for compensation, other operating fixed cost increases, and programmatic needs to build capacity for ÃÛÌÒÓ°Ïñ's workforce.

FY24 UA BOR Approved Capital Budget Request
The BOR approved capital budget request includes $72.3 million for UA deferred maintenance (the ÃÛÌÒÓ°Ïñ portion is approximately $38.5 million, if funded). The UA System FY24 capital budget request also includes $21.2 million for facilities modernization, which includes two ÃÛÌÒÓ°Ïñ facilities: Lola Tilly Repurpose for Student Engagement and University Park Early Childhood Development Center.

FY24 UA Operating and Capital Budget Requests - Redbook

FY24 ÃÛÌÒÓ°Ïñ Operating Program Budget Request
ÃÛÌÒÓ°Ïñ's FY24 programmatic operating budget request is crafted with three major theme areas in mind: faculty capacity for teaching and research, enrollment and retention, and workforce development. It is centered on ÃÛÌÒÓ°Ïñ Strategic Goals, UA Goals and Measures, and incorporates guidance issued by the UA System. ÃÛÌÒÓ°Ïñ also requested fixed cost increases for funding in compliance and critical support areas for emergency response services and dispatch, IT capacity, NCAA/TIX and employee onboarding. The UA Board of Regents approved this request in November 2022.

FY24 ÃÛÌÒÓ°Ïñ Operating Program Budget Request - Approved November 2022

FY24 budget guidance provided by the UA System Office asked for the universities to consider the following guidelines that will be used to develop the overall FY24 budget request:

  • Priority focus areas as provided in the goals and measures
    • Increase enrollment through retention in degree programs for ÃÛÌÒÓ°Ïñ’s workforce
    • Develop workforce and focused economic development initiatives
    • Promote Arctic policy, research, and leadership
    • Strengthen teacher education through the ÃÛÌÒÓ°Ïñ College of Education Consortium
    • Advance the ÃÛÌÒÓ°Ïñ Native Success Initiative
    • Build finance industry partnerships to expand business workforce
    • Increase fisheries and ocean sciences presence in Southeast ÃÛÌÒÓ°Ïñ
    • Revise business models for efficiency and modernization
  • Stability
    • Staff and faculty compensation necessary to attract and retain quality employees
    • Other fixed-cost funding
    • Bridge funding as enrollment rebounds
    • Key program investments for economic return
    • Expansion of WWAMI program
    • TVEP programs mature to UGF funding
    • Fund balance 4% (± 1%) of operating expense
  • Revenue
    • Earned revenue transition to greater revenue contributor
    • Partnership opportunities
    • Infrastructure package opportunities
    • Enrollment/Tuition (including dual enrollment)
    • State funding environment
  • Capital funding for deferred maintenance and renewal projects
    • Governor and Legislative Opportunities
    • Elections
    • Address rural campus bandwidth issues
    • Address IT/Broadband redundancies and resiliency
    • Timing issues with eligibility for ÃÛÌÒÓ°Ïñ Performance Scholarship (APS) and ÃÛÌÒÓ°Ïñ
    • Education Grant (AEG)
    • Consider advocating for student loan forgiveness
    • Consider advocating for K-12 (e.g. middle college legislation)
  • Key Communication Areas
    • Continue to rebuild public trust in the university
    • Affordability/Accessibility
    • Quality and Value of Higher Education
    • UA's contribution to the fueling of ÃÛÌÒÓ°Ïñ's Economy & in meeting state workforce needs
    • Impact of research in solving issues important to ÃÛÌÒÓ°Ïñ and the world