To: NJIT Faculty, Staff and Students
From: Robert A. Altenkirch
Date: Wednesday, August 1, 2007
Subject: FY08 Budget
The FY08 financial position is an improvement over FY07’s in that there is an increase in base State funding of 2.8% ($1.3 million) for FY08. However, in accommodating FY07’s reduction in base State funding, substantial budget reductions and reallocations were necessary for FY07, some of which needed to be restored for FY08. That, coupled with having to address any salary program for FY08 in the absence of State funding, again makes FY08 a tight budgetary year.
As you can see from the posted summary, we are projecting a $6.6 million increase in revenue from a 7% increase in tuition, and a $4.8 million increase from enrollment growth over that used to budget for FY07. We continue to invest in Strategic Priorities, and student awards are up 17% over last year. The use of one-time funds in the recurring budget was reduced to 0.23% of the budget, down from 1.7% the previous year.
We continue to manage conservatively, which allowed us to carry forward over $5 million, $3.8 million of which was allocated to capital projects. We are beginning the process of developing the budget for Fiscal Year 2009 and look forward to being able to eliminate one-time funds in the recurring budget, fund critical priorities, and support a healthy capital program while minimizing, insofar as practical, tuition and fee increases.