review of som allocation process new faculty orientation session september 15, 2010 g. allen bolton,...
TRANSCRIPT
Review of SOM Allocation Process
New Faculty Orientation SessionSeptember 15, 2010
G. Allen Bolton, MPH, MBASr. Associate Dean for Administration & Finance
SOM Revenues - $567 Million(FY08)
Values are in millions
Mission-Aligned BudgetingBegan in FY03 in SOM
Missions: Teaching Research Patient Care
Budget Sources:
Tuition IER HSF ASETF Grants Hospital
SOM State Funding Distribution(FY08)
Purpose of the ASETF (state) Allocation Process
Align state funding with appropriate missions of the SOM and its departments
Develop a model that helps the Dean evaluate the performance of departments with regard to teaching, research and space utilization
Propose methods to identify and correct inequities in the historic allocation of state funding to departments
Allocation Model for SOM/JHS Depts
7.5% for departmental infrastructure 7.5% based on faculty FTEs 35% based on graduate, professional, postdoctoral, and
resident teaching efforts 35% based on research productivity 15% left for the Dean’s discretion, including $300,000
set-aside for “quality” awards Space costs are factored into final allocation Legislative earmarks are respected outside of the model Basic and Clinical departments are treated the same in
the model The Model is a guide for allocation decisions
Teaching Subcomponent of the Model
Teaching (35% overall)
- Graduate teaching : credit for graduate students registered/mentored; # of didactic credit hours; # PhDs conferred
- Medical teaching : credit for # of course or clerkship directors; faculty contact hours in MS1&2; contact weeks in MS3&4; mentorship of scholarly activity
- T-series & R21s: credit for NIH training grants
- Post-docs & Residents : credit for headcount
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Research Subcomponent of the Model
Research (35% overall)
- Total expenditures : credit for total expenditures on extramural funding as a market share across the School – incentivizes grant getting
- Extramural salary coverage : credit for extramural salary support as a market share across the School – incentivizes collaboration on grants
Accountability for Space Space is assigned to departments and charged back at three
different rates per square foot per year: research space (~$24), admin space (~$15), and clinical space (~$18)
If a department generates sufficient indirect costs to cover the space costs assigned to them, it is held harmless in the allocation
If a department does not cover its space costs via generation of indirect costs, the ASETF allocation is reduced accordingly
What About Quality? 15% (~$7.65M) of the allocation of state
dollars to departments is based on Dean’s discretion – primarily now determined by quality and special circumstances as discussed with the Dean by the chairs.
In FY09, the Dean also instituted a $300,000 “quality” pool that is divided among six (6) exemplary departments
SOM State Appropriation History:Includes Operations and Special Program Support
State Support: Principles for FY09-FY11 Protect core missions
Education Research Patient Care/Service
Continued investment in areas of strategic priority – we still have some resources for faculty recruitment
Assessment of primary revenue streams (i.e., IER, HSF/Health System, Philanthropy) for new opportunities to improve operations and strategic growth
Improve productivity and efficiency where possible
State Support: Strategies for FY09 - FY11
Capital projects and renovations without a dedicated funding sources will be deferred, unless they are of a life-safety nature
Soft hiring freeze (staff) Maintain utility costs at a constant level Prices are escalating at 8+% per year Faculty and staff must take responsibility for more efficient
utilization Temperature and light control is a big factor Other ideas???
“When written in Chinese, the word "crisis" is composed of two characters. One represents danger and the other represents opportunity.”
John F. Kennedy
Looking Ahead
A Glass Half-Full Perspective
Every other medical school will be negatively impacted by the current economy – some will figure out how to weather, and even competitively strike, during this down time
UAB ranks 14th in “support from parent institution” among 125 medical schools
So, Our Allocation Model is complicated, but
tested and transparent We believe that we are rewarding the
behaviors that fulfill the School’s mission The SOM and its departments are well
supported relative to our peer institutions
But, Is There Enough Institutional Funding In Departmental Budgets
to Support Growth
Yes, if we are Productive & Efficient:
- extramural funding thresholds are met and maintained (probably 55-70%)
- faculty reasonably participate in teaching (Medical School and Graduate School)
- departments are efficiently operated (i.e., spending less than 35-40% of state funding on things other than faculty salaries
Questions?
Thank you!