At its meeting of Wednesday, June 26, the UT Board of Trustees (BOT) passed attached Resolution 24-06-16 titled Fiscal Year 2024 Capital Spending Authorization. The Resolution was proposed to the BOT by the Schroeder Administration.
This Resolution states in part that the financial performance of the University through May is favorable to budget on a cash basis.
It also states that the projection shows a potential net surplus in excess of the FY24 approved budget.
Matt Schroeder, Interim President, reported an operating budget surplus of $24.4 million. As a result of this surplus the BOT Resolution 24-06-16 directs up to $21.4 million of net surplus from FY24 operations to address capital equipment and infrastructure needs. These needs are not yet defined.
The FY 2024 financial performance relative to budget is favorable. As reported in the 2022 Huron Report and in many UT-AAUP newsletters, the University has had a budget surplus for every fiscal year from FY 2012 to present. These surpluses have been generated by the Academic (General Fund) budget.
Since 2020 the Finance Office reports to the BOT have repeatedly projected academic budget deficits that have not materialized. The BOT has been told that we will run out of cash. Again, this has not materialized. The BOT Resolution proposed by the Schroeder Administration is 180 from the prior projections and reports to the BOT. However, it is good news and we are pleased it has been reported by the Schroeder Administration and acknowledged by the BOT in the Resolution.
UT-AAUP Executive Board