RubinBrown Colleges & Universities Stat Book | PUBLIC INSTITUTIONS

Salaries & Benefit Demand Frequency by Percentage of Institutions

only 1.01% in FY16 and 3.68% in FY17. The return on net assets overall average spiked in FY18 to 7.00% due to significant returns for Illinois related to the timing of state appropriations noted. Overall, the margins with which most public institutions operate are typically thin; 25% of the institutions reviewed experienced negative returns in at least two out of the last three years ending in FY18.

80%

41.7% 41.7% 66.6%

70%

60%

50%

22.2% 25.0% 36.1%

40%

Return on Net Assets Averages by Type of Institution & State * 2-year 4-year IL IA KS

30%

16.7% 13.9% 5.6%

20%

PERCENT OF INSTITUTIONS (%)

8.3% 0.0% 0.0%

8.3% 8.3% 5.6%

MO

10%

FY16

6.50% 1.01% -8.19% 4.58% 2.33% 3.47%

0%

FY17

7.30% 3.68% -1.62% 8.12% 7.85% 1.66%

40%–50%

50%–60%

60%–70%

70%–80%

80%–90%

FY18

7.43% 7.00% 18.01% 8.13% 3.68% -1.23%

FY16

FY17

FY18

The average four-year institution had a salaries and benefits demand ratio of 62.70% in FY18 while the average two-year institution had salaries and benefits demand ratio of 55.30%. Pension expenses that vary at times year over year can influence this ratio, but regardless of pension costs, salaries and benefits make up the largest cost at nearly every public institution. The table below illustrates that net tuition and fees revenue generally has remained flat or has not increased significantly to match the continued increase in expenses seen by many public institutions. Enrollment figures below for state averages are estimates for the entire state including private institutions. Year-Over-Year Change in Net Tuition & Fees Revenue

Expense Demand Ratios Public institutions generally present expenses within their financial statements using natural classifications or IPEDS functional classifications often providing a reconciliation to the natural classification presentation in the footnotes. For this reason, expense demand ratios that seek to illustrate how much of a certain type of expense takes up total operating income can generally be compared between institutions. Salaries and Benefits expenses represented 61.73% in FY18, 63.98% in FY17, and 61.46% in FY16 of the total operating income for public institutions. The range for the Salaries and Benefits demand ratio was 42.10% to 78.80% in FY16, 45.30% to 83.30% in FY17, and 47.50% to 73.70% in FY18.

Year-Over-Year Percent (%) Change in Net Tuition & Fees Revenue *

% With Decreases

2-year

4-year

IL

IA

KS

MO % With Increases

Tuition and Fees

-3.52% -0.68% -4.37% 5.44% 3.43% -2.58% 55.6% 44.4%

2016 –2017

Enrollment

-2.50% -0.20% -2.90% -0.90% -0.30% -3.70%

Tuition and Fees

0.03% -1.72% -9.72% 4.70% 4.29% 0.60% 47.2% 52.8%

2017 –2018

Enrollment

-2.00% -0.20% 0.20% 0.00% 0.50% -3.00%

4

Public Institution Scores

* All state averages are for four year institutions for purposes of the statistics in this publication