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University Relations

University of Central Missouri
Administration 302
Warrensburg, MO 64093
Phone: 660-543-4640
Fax: 660-543-4943



gov.funds.sept2014

Governor’s Action Means UCM Receives $2.5 million in Withholding

Contact: Jeff Murphy
WARRENSBURG, MO (Sept. 12, 2014) –  At the close of the Missouri General Assembly’s veto session Thursday, Sept. 11, Missouri Gov. Jay Nixon announced he will release $143.6 million he had previously withheld for Missouri school districts and institutions of higher education. His decision means for Fiscal Year 2015 the University of Central Missouri will receive $2.5 million in performance funding, which amounts to 5 percent of its total budget.

Nixon withheld funding from education telling the legislature that if they did not override his vetoes of 10 tax cut bills, which he estimated would reduce state revenue by $776 million annually, he would release the appropriations to K-12 schools, colleges and universities. The total withholding for higher education was
$43.4 million.

“The governor’s action today is good news for UCM,” University President Charles Ambrose said in an email sent to university faculty and staff Thursday afternoon. “After the university met all five of its performance criteria and committed to a zero percent increase in tuition, fees, and room rates for the 2014-15 academic year, this additional $2.5 million in appropriations positions our institution to meet its fiscal goals and objectives.”

Part of a new model for determining state appropriations to higher education, performance funding was made possible through legislation supported by Missouri Senator David Pearce, District 21, who serves as chair of the General Assembly’s Joint Committee on Education. Public universities previously received money from the state based on historic funding levels with no consideration of an institution’s success in fulfilling its mission or how it is contributing to state goals. Performance funding emphasizes institutional outcomes and provides a percentage of appropriations to public universities, based on how they meet specific goals. UCM’s performance funding metrics are:

“This is the first year our appropriations were impacted by performance funding,” said John Merrigan, UCM vice president for finance. He noted that with the additional funds released this week, the university will receive $54.9 million in state appropriations, up from $52.3 million the previous year. The university total general fund budget for FY 2015 is $144.2 million, Merrigan said.

Noting impact on K-12 and higher education, the press release issued by the governor stated that Nixon vetoed bills containing “more than a dozen special tax carve-outs and loopholes passed by the legislature in the final hours of the legislative session. These provisions, which were not accounted for by the General Assembly in their budget would have reduced state and local revenues by more than $776 million annually, including $93 million annually from dedicated Proposition C sales tax revenues for local schools.”

In recent months, the governor assembled a broad coalition of Missourians – local elected officials, educators, business leaders, farmers and first responders who came together in opposition to special tax breaks.

Action by the governor comes the same week President Ambrose presented his State of the University Address. In his speech to campus, the president discussed plans to help protect, preserve and advance UCM through strategic governance. This includes finding new net revenue drivers.