Allocations of Other Revenue Sources

For purposes of this allocation model, "Other Revenue Sources" refers to revenue other than E&G and research appropriations, statutory/designated tuition, and AP program fees.

Differential Tuition

Definition: Differential tuition is assessed by college/school on a per student credit hour (SCH) basis to support the instructional budget needs of that college/school. Differential tuition is usually charged for colleges/school that have programs with higher-than-average cost of instruction and strong post-graduate outcomes. [Fund Code 3106]

Decisions: Differential tuition is allocated 100% to the college of the instruction. This aligns the revenue with the intent for which it is collected.

Impact: Differential tuition provides additional budget to colleges/school with programs with higher-than-average cost of instruction to help cover those costs.

International Programs

Definition: International Programs refers to UTA degree programs that are taught at an approved international location with a contracted agreement. Program fees are paid by the students or the sponsoring institution in lieu of UTA tuition and fees for those students.

Decision: The revenue from International Programs flow to the colleges teaching the courses, as per the contract. From those fees, the colleges are taxed at 20% of gross revenue to cover the cost of administrative/support units.

Impact: The revenue transparently flows to the college and then to the administrative/ support units that provide services.

Other Appropriated Funds

Definition: Other appropriated funds include NRUF, NSRP, and Non-Formula (Special Item) Appropriations. National Research University Fund (NRUF) has been provided by the Texas Legislature as a source of funding to enable UTA to achieve national prominence as a major research university. These funds will end with FY2023. Beginning in FY2024, Core Research Funds replaced NRUF funds for the same purpose as NRUF funds. [Fund code 2116]

Decisions: NRUF funds have been held centrally in the Office of the Vice President of Research and Innovation, who works with the President and Provost to use these funds strategically to advance research at UTA. Nursing Shortage Reduction Funds (NSRF) are provided by the Texas Legislature to supplement current nursing program funding... These funds are allocated to the College of Nursing and Health Innovation to supplement current nursing program funding. [Fund code 2130][cite: 20] Non-Formula Appropriations are provided by the Texas Legislature for specific projects, programs, or initiatives. These are treated similarly to restricted funds and allocated to the respective college, school, or support unit.

Impact: These appropriations help to fund strategic projects, programs, and initiatives.

Grants and Contracts

Definition: Grants and contracts are funding given by a government or other organization for a particular purpose or research project.

Decision: Grants and contracts are set up as projects in the unit in which the principal investigator (PI) resides. These are monitored by the unit as well as the Office of the Vice President of Research and Innovation (VPRI).

Impact: Funds are distributed and used as intended.

Indirect Cost Recovery

Definition: Indirect Cost Recovery (IDC) refers to the recovery of overhead costs related to grants, specifically facilities and administrative (F&A) costs. As a PI spends direct funds from a grant, UTA bills the granting agency for those direct expenses and receives a reimbursement for the F&A indirect expenditures at a rate that was agreed on when the grant was awarded. [Fund code 3135]

Decisions: IDC is allocated by formula. The formula established in 2018 has distributed approximately 18% to the VPRI, 4.5% to the libraries, 1.5% to business affairs, 12% to facilities, 31% to the provost, and 33% to the unit head (dean) where the primary investigator (PI) resides. The exceptions to this distribution are the division of enterprise development (DED) receives 100% of the IDC from their grants and the Texas manufacturing assistance center (TMAC) receives 50% of the IDC from their grants...

Impact: The majority of the funds are used to cover the facilities and administrative costs, with a portion being used by the provost and deans to help fund start-up costs for new research faculty.

Gifts and Endowments

Definition: A gift could be given for current use or given to permanently invested for current and future use. An endowment is a gift that is invested rather than used as cash for immediate needs. A portion of the earnings from an endowment is distributed to the University for current use while the remainder is added back into the principal. [Fund codes 5500 for non-endowed and 5600 for endowments]. In addition, some units have Quasi Unrestricted Endowments. [Fund code 3120]

Decision: Gifts and endowments are distributed to the unit for which the donor intended and used by that unit for the purpose(s) for which the donor intended.

Impact: Funds are being used as the donors intend.

Mandatory Fees

Definition: Mandatory fees are fee that are required of all students as a condition of enrollment. [Fund code 3140 or Fund code 3115 for Student Service Fees]

Decision: Mandatory fees are distributed 100% to the unit that is providing the services for which the fee was charged. Mandatory fees include things like a computer/technology fee, ID card fee, intercollegiate athletics fee, library services fee, medical services fee, recreational facilities fee, registration fee, shuttle bus fee, student services fee, and student university fee.

Impact: Mandatory fees are distributed to the unit providing the services and help to cover the costs of those services that the students receive.

Non-Mandatory Fees

Definition: Non-mandatory fees are fees related to a specific course, program, or activity. [Fund code 3100]

Decision: Non-mandatory fees are distributed 100% to the unit that is providing the services for which the fee was charged. Non-mandatory fees include fees for late registration, testing center, transcripts, graduation, student orientation, distance learning, and other fees for specific purposes.

Impact: Non-mandatory fees are distributed to the unit providing the services and help to cover the costs of those services the students receive.

Non-Degree Programs

Definition: Non-degree programs are those programs for which a student is not in a degree program and not receiving academic credit. This would include non-degree seminars, workshops, and summer-camps.

Decision: Non-degree programs are charged a 10% overhead charge on gross revenue.

Impact: The overhead charge helps to ensure that non-degree programs are contributing in a manner consistent with their use of university resources.

Auxiliaries

Definition: Auxiliaries are units that support the University by providing services to students, faculty, and staff. They are considered self-supporting, meaning they charge fees for their services and are expected to cover all their costs from those fees. Auxiliaries include, but are not limited to, Athletics, Housing, Food Services, Bookstore, Parking, Student Health Center, Student Activities. [Fund codes 4100 through 4800]

Decision: Auxiliaries receive 100% of their fee revenue. Since they are self-supporting and expected to cover all of their costs, they are charged a tax on gross revenue to cover the cost of services that the University provides.

Impact: This decision aligns with the definition and intent of auxiliaries.