[Important Information for Employees] FY2021/22 Budget Development Update

Tue Mar 16 19:21:40 UTC 2021

Campus Community,

I am writing today to provide the campus with an update on the College’s
fiscal year 2021/22 budget development progress, The American Rescue Plan
Act of 2021, and the NYS budget.

*SUNY Plattsburgh FY21/22 Budget Development*
While the College has not received guidance from SUNY on the FY21/22 budget
submission requirements, the College has been diligently working on the
FY21/22 budget.  The College has four funds in which we operate our daily
activities from:  State Operating, IFR, DIFR and SUTRA and each fund’s
budget development process is currently underway.

*State Operating Fund*
On February 19, 2021 President Enyedi sent a campus wide communication
indicating that he has charged each Vice President to reduce their State
Operating Fund budgets by 7% for a combined total of approximately $3.6M.
There is currently $4.7M in vacant State Operating Fund positions and each
Vice President is charged to focus on reducing these vacant positions to
accomplish their division’s reduction targets.  The Vice President’s budget
reduction plans are due by May 1st to the Budget and Financial Reporting
Office.

*DIFR Fund*
The DIFR Committee held its’ FY21/22 budget development kick-off meeting on
January 6, 2021.  The DIFR Committee changed the budget development process
to a zero-based budgeting process in which all account managers were
required to justify all expenditures (both salary and non-salary).  All
DIFR Fund budgets have been submitted to the Budget and Financial Reporting
Office and are currently under review.

*Broad-Based Fees*
The Broad-Based Fee (athletic, recreation, health center, career and
technology fees) kicked-off FY21/22 budget development on December 16,
2020.  Account managers were required to develop two budgets:  1) flat
budget with no increase to the student fee levels 2) a HEPI increase to the
fee levels.  The FY21/22 Broad-Based Fee budgets are being presented to
President’s Cabinet and the Student Association during the month of March.

*IFR & SUTRA Fund *
IFR and SUTRA Fund account managers will be sent guidance on the FY21/22
budget development process on March 17, 2021.  Similar to last fiscal year,
members of the Budget and Financial Reporting Office will work with account
managers throughout the month of April to develop the College’s IFR and
SUTRA fund budgets.

*Federal Stimulus and NYS Budget*
On March 11, 2021, President Biden signed the American Rescue Plan Act of
2021 (The Act).  Included in this new bill is $39.6B in funding for
Postsecondary Education and $350.0B in aid to States and Localities.  The
$39.6B in funding for Postsecondary Education will provide SUNY Plattsburgh
with $14.8M of which, $7.5M must go directly to our students in the form of
an emergency student grant and $7.3M is designated for institutional
support.  Guidance from NYS and SUNY will be forthcoming on how the College
is permitted to utilize the $7.3M in institutional support.

A comparison chart outlining the differences between the CARES Act, CRRSA
Act and the American Rescue Plan Act can be found on the budget plan update
website
<https://www.plattsburgh.edu/about/offices-divisions/administration-finance/financial-services/budget-financial-reporting/budget-development.html>
.

The $350.0B in aid to States and Localities has the potential for New York
State to receive funding in excess of the $6.0B that was outlined in the
Governor’s Executive Budget.  However, the ultimate impact of The Act on
the final State Budget and what it means for SUNY and SUNY Plattsburgh will
be decided in the next few weeks when the final NYS budget is enacted on
April 1st.

*Balancing Today and Tomorrow*
In summary, the infusion of one-time federal stimulus funding is so
important to Higher Education and SUNY Plattsburgh.  The recognition that
Higher Education is a critical element to the success of our Country, our
Region, and our State is very much welcomed.  However, we must recognize
that these funds are one-time and have a specific use identified by the
federal government and the State of NY.  As we look forward to the outyears
(beginning 2021/22) the College continues to have a structural deficit.
This structural deficit is the driving force behind the 7% reduction for
the operating budget.

Within the next few weeks, the State will be enacting the budget for our
coming year and stay tuned for a Budget Open Forum later in April that will
highlight our financial position.

Further information regarding the College’s FY21/22 budget development can
be found on the budget plan update website
<https://www.plattsburgh.edu/about/offices-divisions/administration-finance/financial-services/budget-financial-reporting/stability-plan/updates.html>
.

*ADMINISTRATION AND FINANCE*
701 Kehoe Building

101 Broad Street

Plattsburgh, NY 12901

(o) 518-564-2130
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