LINN — Gov. Mike Parson last week signed the FY 2022 state budget, which includes an allocation of $5 million in HB19 for Phase B of the Utility Technology Center.
Phase B project is a 21,355 square-foot addition to the existing Utility Technology Center. The main areas of the addition include classroom and lab spaces, including a dirt floor lab used for boring and drilling. The remaining space is allocated for mechanical, restroom, and storage areas. Renovations to the existing building amounting to 1,930 square feet include converting two classrooms into faculty offices and a dean’s suite.
The objective of the Utility Technology Center is to support the growth of State Tech’s utility-related programs to 500 students in 2025.
State Tech was facing up to $7 million in appropriation budget cuts, however, since the General Assembly passed the FRA bill and the governor has signed the FY22 state operating budget, these cuts were eliminated and the college will receive a $2 million increase in core appropriation in addition to the $5 million capital appropriation.
State Tech will be making a significant investment in the replacement and expansion of fiber optic cabling including interconnecting Osage Country Club clubhouse and all fiberoptic cable on the main campus.
The purpose is to improve State Tech’s primary backbone network cabling. State Tech President Dr. Shawn Strong explained the idea is to improve internet speeds throughout the campus, and additional cabling will be placed for eventual connection to buildings yet to be constructed. Each classroom will be updated as well so that all technology is current, consistent and able to accommodate any form or remote learning.
Each College employee received a Microsoft Surface laptop computer which continued to improve connectivity.
In financial news, regents adopted a $30,453,781 operating budget for the 2021-22 school year that began July 1, well above the FY21 budget which totaled $24,312,019 after revisions were approved.
Unrestricted budget revenues anticipate $15,108,010 in tuition and fees, up from $13,835,815 in FY 21, state appropriations of $13,165,371 (which includes $135,000 in MoExcel funds, $8,030,371 in core appropriations, the aforementioned $5 million for Phase B of the UTC project, and $2 million in new core appropriation), federal grant funding of $93,000, private gifts of $85,000, state grants totaling $1,012,450, sales and service income of $735,750, interest income of $35,000, and other sources $219,200.
Expenditures approved by the board include $12,380,034 in instructional costs, academic support in the amount of $1,654,472, student services amounting to $2,102,842, institutional support totaling $5,696,165, operations/maintenance in the amount of $1,995,441, capital projects totaling $5,250,000, scholarships/fellowships of $295,000, debt retirement of $657,975, and transfers of $421,851.
VP of Finance Jenny Jacobs explained there was a 9% increase in health insurance costs. The annual renewal is moving to Jan. 1, which may mean additional costs at that time.
State Tech’s auxiliary budget was approved with anticipated revenues and expenditures of $4,813,347, just over last year’s revised total of $4,794,124.
Income from bookstore revenue led the list at $2,072,874 while cafeteria/meal plan sales stayed the same at $603,593, SGA recreation and student activity fees are budgeted at $552,480 each, and housing revenues are estimated to be $532,800.
Jacobs noted the initial five-year contract with Great Western Dining was set to expire on June 30, 2021, but the college exercised a one-year renewal option. The plan is to solicit requests for proposals (RFP) once some of the COVID issues settle.
“We’ll be in a better position to receive competitive bids this fall,” she added.
On the expense side, bookstore costs are estimated to be $1,799,164, with $582,710 in cafeteria costs, and housing budgeted at $168,897.
In the restricted grant budget, revenues and expenditures total $5,100,274, while the restricted aid budget was approved in the amount of $13,396,418 for revenues and expenditures.
* Regents approved budget revisions for the FY21 school year. Unrestricted budget revenues and expenditures were higher by $1,313,789, coming in at $24,312,019, compared to the anticipated $22,998,230 approved last year.
Revenues from tuition and fees came in at $14,816,252, which is $980,437 more than anticipated last year.
Sales and service totaled $954,389, which is $352,758 more than anticipated. Private gifts, which were originally budgeted at $685,000 came in at $718,818. State appropriations increased from 5,261,291 to $6,030,371, an increase of $769,080, while federal grants totaled $467,809, down $704,255 from the anticipated $1,172,064 originally budgeted.
The auxiliary budget was revised from $3,617,121 to $4,794,124, an increase of $1,177,003. Restricted grants came in much higher at $8,172,514, a difference of $3,941,889 more than budgeted ($4,230,625). The restricted aid budget was revised as well, from $9,673,905 to $12,050,948, an increase of $2,377,043.