TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) ANNUAL REPORT ARIZONA UNIVERSITY SYSTEM Arizona State University Northern Arizona University University of Arizona For the fiscal year ended June 30, 2003, as required by A.R.S. §15-1648(D). September 1, 2003 Board Members Chris Herstam Phoenix President Fred T. Boice Tucson Robert B. Bulla Scottsdale Jack B. Jewett Tucson Kay McKay Flagstaff Christina Palacios Tucson Gary L. Stuart Phoenix Donald J. Ulrich, Jr. Paradise Valley Student Regents Danelle Kelling ASU Wes McCalley NAU Janet Napolitano Governor of Arizona Tom Horne Superintendent of Public Instruction Executive Director Linda J. Blessing, Ph.D. 2020 N. Central Ave. Suite 230 Phoenix, AZ 85004 (602) 229-2500 fax (602) 229-2555 www.abor.asu.edu August 29, 2003 The Honorable Janet Napolitano Governor of Arizona Arizona State Capitol 1700 West Washington Street Phoenix, AZ 85007 Dear Governor Napolitano: On behalf of the Arizona Board of Regents, Arizona State University, Northern Arizona University, and the University of Arizona, and in accordance with A.R.S.§15-1648(D), I am pleased to submit the attached annual report for the Arizona Board of Regents’ Technology and Research Initiative Fund (TRIF) for the fiscal year ended June 30, 2003. TRIF is continuously appropriated to the Arizona Board of Regents with Education 2000 (Proposition 301, November 2000) sales tax revenues pursuant to A.R.S. §42-5049(E)(2). As required, ABOR has adopted rules to administer TRIF and has incorporated these rules into Board Policy 3-412. This annual report provides budget and expenditure information on each TRIF initiative. These initiatives are consistent with statutory language calling for TRIF funds to support university research, development, and technology transfer related to the knowledge-based global economy; to expand access to baccalaureate or post-baccalaureate education for time-bound and placebound students; to implement recommendations of the Governor’s Task Force on Higher Education and the Arizona Partnership for the New Economy; and to develop programs that will prepare students to contribute in high technology industries located in Arizona. Our FY 2003 TRIF budget supported initiatives in biosciences and biotechnology, information science and technology, and access and workforce development, as well as optical sciences, water sustainability, and environmental research and development. These programs have been designed and implemented to better position Arizona as a major player in the global marketplace. Detailed business plans for each initiative have been developed and are available on the ABOR website. Arizona State University Northern Arizona University University of Arizona The Honorable Janet Napolitano August 29, 2003 Page Two Please contact me at 602-229-2505 or linda.blessing@asu.edu, if I can answer any questions or provide additional information about these important and exciting initiatives. Sincerely, Linda J. Blessing Executive Director cc: The Honorable Ken Bennett, President, Arizona State Senate The Honorable Jake Flake, Speaker, Arizona House of Representatives The Honorable Jan Brewer, Secretary of State Ms. GladysAnn Wells, Director, Arizona State Library, Archives and Public Records Members of the Arizona Board of Regents Dr. Michael Crow, President, Arizona State University Dr. John Haeger, President, Northern Arizona University Dr. Peter Likins, President, University of Arizona Arizona Board of Regents TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) ANNUAL REPORT For the Fiscal Year Ended June 30, 2003 TABLE OF CONTENTS Executive Summary.........................................................................................................................................................................ii Arizona University System Summary FY 2003 Actual/FY 2004-2006 Budget TRIF Expenditures......................................................................................................... 1 FY 2003 Budget/Actual System Summary by Program Area ...................................................................................................... 2 FY 2003-2006 Budget/Actual TRIF Capital Expenditures ........................................................................................................... 3 Arizona State University Summary ..................................................................................................................................................................................... 5 Arizona Biodesign Institute .......................................................................................................................................................... 7 ASU East Campus Capital Infrastructure Development ............................................................................................................ 11 ASU West Classroom Laboratory/Computer Classroom II Building and Central Plant Expansion ........................................... 12 Northern Arizona University Summary ................................................................................................................................................................................... 13 Access and Workforce Development ........................................................................................................................................ 15 Biosciences/Biotechnology........................................................................................................................................................ 17 E-Learning ................................................................................................................................................................................. 18 Environmental Research, Development and Education for the New Economy (ERDENE) ...................................................... 20 Capital Projects ......................................................................................................................................................................... 22 University of Arizona Summary ................................................................................................................................................................................... 23 Access to Higher Education ...................................................................................................................................................... 25 Workforce Development: Teacher Preparation ......................................................................................................................... 26 Technology Transfer Infrastructure ........................................................................................................................................... 27 Institute for Biomedical Science and Biotechnology.................................................................................................................. 28 Internet Technology and Commerce Institute............................................................................................................................ 30 Optical Science and Technology ............................................................................................................................................... 32 Water, Economic Development and Sustainability.................................................................................................................... 33 Arizona Board of Regents Central Office Summary ................................................................................................................................................................................... 35 Arizona Regents University (ARU) ............................................................................................................................................ 37 Regents Innovation Fund Summary .......................................................................................................................................... 39 Learner Centered Education................................................................................................................................................ 40 Arizona Biomedical Collaborative for Education and Research ........................................................................................... 42 Information Technology Collaborative.................................................................................................................................. 44 Changing Directions ............................................................................................................................................................. 46 Expansion of Nursing Programs........................................................................................................................................... 49 TRIF Program Evaluation..................................................................................................................................................... 51 Operating.............................................................................................................................................................................. 53 Appendix Arizona Board of Regents Policy 3-412..................................................................................................................................... 55 i TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) ANNUAL REPORT For the fiscal year ended June 30, 2003 EXECUTIVE SUMMARY ► Education 2000 (Proposition 301), passed by Arizona voters in November 2000, approved a six-tenths-cent increase in the state sales tax to be dedicated to K-12, the community colleges, and the state’s three public universities. Collection of the tax began on June 1, 2001. ► A.R.S. §15-1648 establishes the Technology and Research Initiative Fund (TRIF) to receive Proposition 301 revenues and gives the Arizona Board of Regents the authority to administer the fund. ► In March 2001 the Arizona Board of Regents approved a five-year TRIF budget plan for FY 2002-2006 and guidelines for implementation of the budget. The Board annually approves a revised budget and detailed performance measures for each initiative. ► A.R.S. §15-1648(D) requires the Board to submit to the Governor and the Legislature by September 1 of each year a report to include “a description of the amount and duration of each new award distributed and a description of the purpose and goals for each award. For existing awards, the Arizona Board of Regents shall use a detailed set of performance measures to determine the overall effectiveness of each award.” ► All TRIF-funded initiatives during FY 2003 were “existing awards,” i.e., they were continuing projects contained in the five-year (FY 2002-2006) budget plan approved by the Regents in March 2001. Detailed business plans for each initiative have been developed by the universities and are available on the Arizona Board of Regents website at http://www.abor.asu.edu/1_the_regents/TRIF/business_plans/businessplans_index.html. This detail is not included in this report. ► The Regents Innovation Fund, by definition, consists of “new awards” each year. Accordingly, the ABOR Central Office section of this report includes a description of each initiative, its goals and objectives, as well as detailed performance measures. ► The lower range of the Board-approved FY 2003 budget was $47,900,000. Total TRIF revenues received during FY 2003 were $46,024,410, resulting in a revenue shortfall of $1,875,590 (3.92%). [Note: For purposes of this annual report, revenues consist of actual receipts into TRIF for August 2002 through June 2003 plus an estimated amount for July 2003 revenue. An estimate was required to record the June 30, 2003, year-end revenue accrual and to prepare this report on a timely basis. Actual TRIF revenues for the 12-month period August 2002 through July 2003 were $46,159,172, a shortfall of $1,740,838 (3.63%) from the budgeted amount.] ii ► Total TRIF expenditures in FY 2003 were $57,841,953, representing 81% of total revenue available (Including carryforward amounts from the prior year). ► Recognizing the volatility and unpredictability of the TRIF revenue stream, the universities and central office exercised sound budgetary and financial management in the expenditure of TRIF funds throughout FY 2003. This is the second year of the TRIF program, with most initiatives now approaching full implementation. ► TRIF budget guidelines call for full expenditure of FY 2003 funds by December 31, 2003. At that time, the universities and central office may request that any unexpended funds be reallocated for the same or different use. ► Expenditure detail by university and by initiative is presented in this report. ► Detailed performance measures for evaluating individual initiatives were approved by the Board, as required by statute. Performance measures and outcomes have been compiled by each university and the central office for each TRIF initiative and are included in this report. An evaluation system for compiling information on measures and outcomes across multiple initiatives is currently under development and will be included in future annual reports. ► This report reflects the statutorily required funding for costs of Certificates of Participation (COPs) issued for the lease-purchase of buildings and associated infrastructure at ASU East and ASU West. ► This report reflects compliance with the statutory 20% limitation on use of TRIF funds for capital projects expenditures. In FY 2003, 7.7% of TRIF budgeted expenditures were used for capital projects. iii ARIZONA UNIVERSITY SYSTEM TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL / FY 2004 - FY 2006 BUDGET SYSTEM SUMMARY FY 2003 REV BUDGET REVENUE Carryforward TRIF Revenue TOTAL REVENUE EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating Grants/Projects TOTAL OPERATING BUDGET $ $ $ CAPITAL BUDGET Building Renovation Debt Service COPs Lease Purchase Payment TOTAL CAPITAL BUDGET EXPENDITURES GRAND TOTAL 25,421,811 47,900,000 73,321,811 25,447,275 4,648,737 27,287,054 4,593,945 61,977,011 FY 2003 ACTUAL $ $ $ 3,644,800 1,600,000 6,100,000 11,344,800 $ 73,321,811 18,258,351 2,998,643 23,674,812 2,810,046 47,741,853 $ $ $ 2,972,100 1,000,000 6,128,000 10,100,100 $ 57,841,953 $ 28,919,543 5,251,405 5,808,983 577,644 1,502,885 6,014,645 827,112 575,165 1,961,431 6,128,000 132,946 142,194 57,841,953 $ 50,325,000 50,325,000 22,246,451 4,346,364 10,843,285 2,588,900 40,025,000 FY 2004 REV BUDGET $ $ $ 400,000 5,800,000 4,100,000 10,300,000 $ 50,325,000 14,183,833 49,825,000 64,008,833 26,027,811 5,184,072 18,884,398 4,869,752 54,966,033 FY 2005 REV BUDGET $ $ $ 975,800 3,000,000 4,851,200 8,827,000 52,329,100 52,329,100 20,792,671 4,280,724 14,787,205 2,664,400 42,525,000 FY 2006 REV BUDGET $ $ $ 4,000,000 6,019,900 10,019,900 55,423,200 55,423,200 20,433,901 4,287,719 17,817,480 2,751,900 45,291,000 4,000,000 6,132,200 10,132,200 $ 63,793,033 $ 52,544,900 $ 55,423,200 $ 27,768,723 8,361,869 8,310,881 814,033 1,764,067 4,809,615 2,093,799 824,272 3,805,657 3,356,200 1,565,454 318,463 63,793,033 $ 23,700,000 3,800,000 6,350,000 800,000 2,060,000 4,200,000 2,300,000 $ 24,500,000 3,800,000 6,700,000 800,000 2,360,000 4,200,000 3,500,000 $ $ Note: FY 2003 expenditures include encumbrances at 6/30/03. Note: FY 2004 and FY 2005 revenues differ from expenditures due to ASU East and West COPs payment schedule. Difference offsets by end of FY 2005. 2,315,000 3,779,900 2,240,000 1,000,000 52,544,900 $ 2,431,000 3,782,200 2,350,000 1,000,000 55,423,200 1 Arizona University System Initiative Expenditures SUMMARY BY PROGRAM AREA Biosciences/ Biotechnology Access/ Workforce Development Information Technology Technology Transfer ERDENE Optics Water Learner Centered Education ARU ASU East/ West COPs Capital Projects (NAU) Other EXPENDITURES GRAND TOTAL 25,454,516 46,032,571 71,487,087 FY 2004 ORIG BUDGET 2 ARIZONA UNIVERSITY SYSTEM TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 BUDGET / ACTUAL SYSTEM SUMMARY BY PROGRAM AREA FY 2003 REV BUDGET GRAND SYSTEM SUMMARY ARIZONA STATE UNIVERSITY Az Biodesign Institute ASU East COPs ASU West COPs Subtotal NORTHERN ARIZONA UNIVERSITY Access and Workforce Development Biosciences/Biotechnology E-Learning ERDENE (Environmental) Capital Subtotal UNIVERSITY OF ARIZONA Access and Workforce Development Biosciences/Biotechnology Technology Transfer Optical Sciences Internet Technology & Commerce Water, Economic Development and Sustainability Subtotal ABOR CENTRAL OFFICE Arizona Regents University Regents Innovation Fund Subtotal EXPENDITURES GRAND TOTAL $ 25,892,000 3,400,000 2,700,000 31,992,000 $ 20,673,100 3,434,400 2,693,600 26,801,100 5,177,259 1,535,482 1,887,315 1,798,942 819,322 11,218,320 2,925,173 976,078 1,199,058 1,502,885 132,946 6,736,140 2,846,125 7,761,724 717,080 6,535,952 5,982,413 942,080 24,785,374 2,326,232 7,199,779 577,644 6,014,645 4,286,510 827,112 21,231,922 3,650,118 1,675,999 5,326,117 73,321,811 1,961,431 1,111,360 3,072,791 57,841,953 $ $ $ 28,919,543 5,251,405 5,808,983 577,644 1,502,885 6,014,645 827,112 575,165 1,961,431 6,128,000 132,946 142,194 57,841,953 FY 2003 SYSTEM ACTUAL TRIF EXPENDITURES (in millions) Other $0.1 0% Biosciences/ Biotechnology $29.0 51% Access/ Workforce Development $5.3 9% IT $5.8 10% Capital Projects (NAU) $0.1 0% ASU E/W COPs $6.1 11% Tech Transfer $0.6 1% ARU $2.0 3% LCE $0.6 1% Water $0.8 1% Optics $6.0 10% ERDENE $1.5 3% Arizona University System Initiative Expenditures SUMMARY Biosciences/ Biotechnology Access/ Workforce Development Information Techology Technology Transfer ERDENE Optics Water Learner Centered Education ARU ASU East/West COPs Capital Projects (NAU) Other EXPENDITURES GRAND TOTAL $ FY 2003 ACTUAL Arizona University System Capital Expenditures ARIZONA UNIVERSITY SYSTEM FY 2003-2006 BUDGET/ACTUAL TRIF CAPITAL EXPENDITURES (In Thousands) 2003 Revised • R&D: 2004 Revised 2005 Revised 2006 Revised $3,485 n/a $2,812 $976 $1,000 $1,000 n/a n/a n/a n/a Total Capital $3,485 $2,812 $976 $1,000 $1,000 Capital as % of Total ASU Budget 13.5% 13.6% 4.6% 5.9% 5.5% $0 $0 $0 $0 $0 Az Biodesign Institute • ASU East/West COPs* • Access/Workforce • R&D: NAU $600 $0 $1,495 $2,240 $2,350 Biotechnology $0 $0 $0 $0 $0 Information Technology/E-Learning $0 $0 $0 $0 $0 Environmental (ERDENE) $0 $0 $0 $0 $0 Capital Projects $600 $0 $1,495 $2,240 $2,350 Total Capital $600 $0 $1,495 $2,240 $2,350 Capital as % of Total NAU Budget 5.3% 0.0% 11.4% 24.0% 24.0% $0 $0 $0 $0 $0 • Access/Workforce • Technology Transfer • R&D: UA 2003 Actual Exp $0 $0 $0 $0 $0 $1,160 $1,160 $3,000 $3,000 $3,000 $2,000 Biotechnology $160 $160 $2,000 $2,000 Info/Internet Technology & Commerce $0 $0 $0 $0 $0 Optics $1,000 $1,000 $1,000 $1,000 $1,000 Water $0 $0 $0 $0 $0 $1,160 $1,160 $3,000 $3,000 $3,000 4.7% 5.5% 14.3% 15.6% 14.9% $0 $0 $0 $0 $0 Total Capital Capital as % of Total UA Budget • ARU • Regents Innovation Fund $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 0.0% 0.0% 0.0% 0.0% 0.0% • Access/Workforce $0 $0 $0 $0 $0 • Technology Transfer $0 $0 $0 $0 $0 ABOR Total Capital Capital as % of Total ABOR Budget • R&D: $5,245 $3,972 $5,471 $6,240 $6,350 Biotechnology $3,645 $2,972 $2,976 $3,000 $3,000 Information Technology $0 $0 $0 $0 $0 SYSTEM Environmental (ERDENE) $0 $0 $0 $0 $0 Optics $1,000 $1,000 $1,000 $1,000 $1,000 Water $0 $0 $0 $0 $0 Capital Projects $600 $0 $1,495 $2,240 $2,350 Total System Capital $5,245 $3,972 $5,471 $6,240 $6,350 20% Limit on Capital $13,440 $10,340 $12,080 $9,740 $10,320 7.8% 7.7% 9.1% 12.8% 12.3% Capital as % of Total System Budget * Not applicable. TRIF allocations for ASU East and ASU West debt service are allocated by statute. Therefore, these amounts are excluded from calculation of the 20% capital limitation. from calculation of the 20% limitation. 3 This page intentionally left blank. 4 ARIZONA STATE UNIVERSITY TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL / FY 2004 - FY 2006 BUDGET SUMMARY FY 2003 REV BUDGET REVENUE Carryforward TRIF Revenue TOTAL REVENUE EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating TOTAL OPERATING BUDGET CAPITAL BUDGET Building Renovation Debt Service COPs Lease Purchase Payment TOTAL CAPITAL BUDGET EXPENDITURES GRAND TOTAL $ $ $ 12,892,000 19,100,000 31,992,000 6,698,400 1,229,300 14,479,500 22,407,200 FY 2003 ACTUAL $ $ $ 3,484,800 6,100,000 9,584,800 $ 12,892,000 18,450,600 31,342,600 5,907,800 938,900 11,014,300 17,861,000 FY 2004 ORIG BUDGET $ $ $ 2,812,100 6,128,000 8,940,100 20,000,000 20,000,000 8,821,400 1,631,900 4,046,700 14,500,000 FY 2004 REV BUDGET $ $ $ 400,000 1,000,000 4,100,000 5,500,000 FY 2005 REV BUDGET 5,080,200 19,500,000 24,580,200 $ 9,028,500 1,689,800 9,314,100 20,032,400 $ $ 975,800 3,356,200 4,332,000 FY 2006 REV BUDGET 20,464,100 20,464,100 $ 6,649,800 1,337,800 7,912,400 15,900,000 $ $ 1,000,000 3,779,900 4,779,900 21,982,200 21,982,200 5,435,400 1,108,600 10,656,000 17,200,000 1,000,000 3,782,200 4,782,200 31,992,000 $ 26,801,100 $ 20,000,000 $ 24,364,400 $ 20,679,900 $ 21,982,200 25,892,000 $ 20,673,100 $ 15,900,000 $ 21,008,200 $ 16,900,000 $ 18,200,000 Note: FY 2003 expenditures include encumbrances at 6/30/03. SUMMARY: ARIZONA STATE UNIVERSITY MAIN $ ARIZONA STATE UNIVERSITY EAST 3,400,000 3,434,400 2,300,000 1,869,900 2,116,100 2,116,600 ARIZONA STATE UNIVERSITY WEST 2,700,000 2,693,600 1,800,000 1,486,300 1,663,800 1,665,600 EXPENDITURES GRAND TOTAL $ 31,992,000 $ 26,801,100 $ 20,000,000 $ 24,364,400 $ 20,679,900 $ 21,982,200 Arizona State University Summary 5 6 ARIZONA STATE UNIVERSITY TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 BUDGET / ACTUAL SUMMARY FY 2003 REV BUDGET REVENUE Carryforward TRIF Revenue TOTAL REVENUE EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating TOTAL OPERATING BUDGET $ $ $ CAPITAL BUDGET Building Renovation Debt Service COPs Lease Purchase Payment TOTAL CAPITAL BUDGET EXPENDITURES GRAND TOTAL FY 2003 ACTUAL 12,892,000 19,100,000 31,992,000 $ 6,698,400 1,229,300 14,479,500 22,407,200 $ $ 3,484,800 6,100,000 9,584,800 $ 31,992,000 $ - $ $ 12,892,000 18,450,600 31,342,600 EXPENDITURES GRAND TOTAL Az Biodesign Institute $20.7 77% 5,907,800 938,900 11,014,300 17,861,000 2,812,100 6,128,000 8,940,100 $ 26,801,100 25,892,000 3,400,000 2,700,000 $ 20,673,100 3,434,400 2,693,600 31,992,000 $ 26,801,100 Note: FY 2003 expenditures include encumbrances at 6/30/03. SUMMARY BY INITIATIVE Az Biodesign Institute Campus Capital Infrastructure Development (ASU East) CLCC II Building and Central Plant Expansion (ASU West) FY 2003 ASU ACTUAL TRIF EXPENDITURES (in millions) ASU West COPs $2.7 10% ASU East COPs $3.4 13% Arizona State University Summary ARIZONA STATE UNIVERSITY MAIN TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL / FY 2004 - FY 2006 BUDGET AZ BIODESIGN INSTITUTE AND CAPACITY BUILDING PROJECT INVESTMENTS FY 2003 REV BUDGET REVENUE Carryforward - AZ Biodesign Institute Carryforward - Capacity Building Project Investments TRIF Revenue - AZ Biodesign Institute TRIF Revenue - Capacity Building Project Investments TOTAL REVENUE EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating TOTAL OPERATING BUDGET CAPITAL BUDGET Building Renovation Debt Service COPs Lease Purchase Payment TOTAL CAPITAL BUDGET EXPENDITURES GRAND TOTAL $ FY 2003 ACTUAL FY 2004 ORIG BUDGET FY 2004 REV BUDGET FY 2005 REV BUDGET FY 2006 REV BUDGET $ $ $ 10,392,000 11,481,800 4,018,200 $ 25,892,000 $ 10,392,000 11,135,400 3,715,200 $ 25,242,600 $ 15,900,000 $ 15,900,000 2,632,700 2,475,500 9,584,900 6,315,100 $ 21,008,200 11,429,200 5,470,800 $ 16,900,000 13,667,600 4,532,400 $ 18,200,000 $ $ $ $ $ $ 6,698,400 1,229,300 14,479,500 22,407,200 5,907,800 938,900 11,014,300 17,861,000 8,821,400 1,631,900 4,046,700 14,500,000 9,028,500 1,689,800 9,314,100 20,032,400 6,649,800 1,337,800 7,912,400 15,900,000 5,435,400 1,108,600 10,656,000 17,200,000 3,484,800 3,484,800 2,812,100 2,812,100 400,000 1,000,000 1,400,000 975,800 975,800 1,000,000 1,000,000 1,000,000 1,000,000 $ 25,892,000 $ 20,673,100 $ 15,900,000 $ 21,008,200 $ 16,900,000 $ 18,200,000 Note: FY 2003 expenditures include encumbrances at 6/30/03. INITIATIVE OVERVIEW ASU dramatically reshaped its TRIF funding portfolio this year by creating the AZ Biodesign Institute (AzBio) to bring greater focus, integration, and impact to our investments. Research within AzBio is strategically positioned at the confluence of three of today's most rapidly advancing technology streams: biotechnology, nanotechnology, and information technology. AzBio's research agenda will emphasize the application of discoveries for commercial uses and societal benefits, translating new insights into innovations to improve human health and quality of life. The Institute will provide a primary vehicle for strengthening regional research capacity, capabilities, and facilities, increasing the total external funding for bioscience/biotech/biomedical research coming to Arizona. It will also accelerate the rate of skilled workforce development, regional economic development, and technology transfer opportunities. The vision for AzBio is to establish a benchmark for excellence in use-inspired, collaborative research, focused on the understanding of biological systems. The Institute provides the catalyst for discovery and innovation in a physical and intellectual environment that promotes communication, collaboration, and integration of resources. AzBio will provide a hub for biotechnical and biodesign research in central Arizona, building collaboration networks among scientists and clinical researchers from leading industries and institutions. It will integrate the research of multiple disciplines to design the new biodevices, biointerfaces, biomechanical systems, and bioinformatics networks required to solve emerging health care and societal needs. AzBio will strengthen the connections between ASU's efforts in the basic biosciences and health sciences and its historically strong programs in the physical sciences, computing sciences, microelectronics, materials characterization, and materials engineering. Arizona State University Arizona Biodesign Institute 7 The Institute is organized into a number of networked research and design centers that link collaborators within ASU and affiliated institutions. Each center has developed a set of goals and strategic plans to support the overarching goals of the Institute. The creation of new centers in the future will provide additional opportunities for growth. The eight charter centers are: - Infectious Diseases and Vaccines (IDV) -- research focuses on selective pathogens, identifying vaccine antigens and using transgenic plants as low-cost, efficient production systems for orally active antigens. - Protein and Peptide Pharmaceuticals (CP3) -- research focuses on working to identify, characterize, and optimize biologically active protein analogs as pharmaceuticals. - Bio-Optical Nanotechnologies (BON) -- research focuses on working to integrate biomolecular sciences with materials engineering and solid-state electronics to develop the next generation of biosensors, implants, pharmaceuticals, biomaterials, and nanoscale power sources. - Single Molecule Biophysics (SMB) -- research focuses on examining the physical processes on which life is based using the simplest model systems at the molecular level to develop new health care tools. 8 ARIZONA STATE UNIVERSITY MAIN TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL / FY 2004 - FY 2006 BUDGET AZ BIODESIGN INSTITUTE AND CAPACITY BUILDING PROJECT INVESTMENTS INITIATIVE OVERVIEW (continued) - Applied NanoBioscience (ANBC) -- research focuses on applying advances in nanoscience, molecular biology, and genomics to a new generation of biological tools to understand disease at the molecular level. - Neural Interface and Brain Control (NIBC) -- research focuses on developing novel approaches to evaluate and rehabilitate motor function disorders due to central nervous system disease or injury through neural interface and brain control technologies. - Rehabilitation Neuroscience & Rehabilitation Engineering (RNRE) -- research focuses on designing and developing technologies to counteract the effects of neurological disorders, enhancing therapeutics and devices for improved health, fitness, and assistance with daily activities. - Evolutionary Functional Genomics (EFG) -- research focuses on examining how genes, gene families, and genomes of model organisms change over time and elucidate the gene interaction networks responsible for development of a single fertilized egg cell in a complex adult animal. AzBio serves as ASU's formal link to the rapidly expanding Translational Genomics Research Institute (TGen). We are providing the computational capability for TGen through acquisition and operation of a new IBM Supercomputer recently installed on the Main campus. We will have a large number of affiliated faculty and four to five with formal joint appointments. We anticipate that collaborative research with this strategic partner will ultimately be on a large scale and will have high impact. We have likewise recrafted our additional Capacity Building Project Investments in Information Science, Advanced Materials for the New Economy, and Manufacturing (previously referred to as Ancillary Project Investments) to provide better focus, interdisciplinary integration, and impact. We have strengthened the Information Science (IT) TRIF-funded portfolio through creation of the Institute for Computer Information Science and Engineering (InCISE). InCISE (ABOR approval pending) provides core fundamental research capability and supporting infrastructure in the Information Sciences and Technologies. It will serve as the focal point for interdisciplinary collaboration and entrepreneurial activity targeted at frontier challenges in the IT field and beyond. Current TRIF-funded core research in application domains ranges from Security and Information Integration and Assurance, to Networked Embedded Systems, and Cognitive Ubiquitous Computing for enhancing human performance. This new initiative links and facilitates the missions of the following affiliated research centers and consortia: - The Center for Research in Arts, Media and Engineering (AME) -- provides an exemplar of intellectual fusion that integrates principles and methods of communication and multimedia with artistic ideas and artful expression to enable new paradigms of human experience. - The Center for Advancing Business through Information Technology (CABIT) -- provides leadership research and education partnerships with industry in the emerging E economy business management arena. - The Consortium for Embedded and Internetworking Technologies (CEINT) -- represents our exemplar partnership with industry, substantially expanding our capacity through an integrated program of short and long-term research, curriculum development and delivery, for-credit internships and scholarships, and local, regional and national marketing. - The ASU Software Factory -- simultaneously provides a unique, hands-on learning experience in software engineering for student interns, and software development services to a host of projects across campus, including several in AzBio. Arizona State University Arizona Biodesign Institute We have integrated most of our original Advanced Materials for the New Economy (now referred to as Nanotechnology) investments into AzBio. The continued supporting investments build on our strength in nanoelectronics and emerging strengths in nanoscience and technology. Current directions focus on integrated micro/nanosystems for high value added applications in sensing and communications technologies. In the sensing arena we have recently broken through with a major new award from DARPA on Nanojunction Array Molecular Sensing in collaboration with Sandia National Laboratories (SNL) and Motorola. To align with a state and national Telecom industry that is converging toward ubiquitous distributed wireless access, ASU is creating the Wireless Nano Technologies Center (WINTECH), with operations set to begin in FY 2004 (pending ABOR approval). This new initiative is situated squarely at the convergence of IT and Nanotechnology. Wireless nanotechnology will enable many new technological breakthroughs ranging from medical nanosensors, implanted wireless biomonitoring, and distributed wireless security monitoring, to environmental monitoring, biochemical detection, and other civilian and defense applications. The Center will provide a comprehensive collaborative research environment for ASU researchers and industry partners to identify and develop new technologies that enable fully autonomous nanointegrated circuit communication devices. WINTECH will work closely with Connection ONE, the new National Science Foundation Industry/University Cooperative Research Center (NSF I/UCRC) at ASU, which now has twelve member companies and two academic partners (University of Arizona and Hawaii). Connection ONE provides core capability and funding that complements WINTECH by focusing on shorter term research projects that meet industry needs. ARIZONA STATE UNIVERSITY MAIN TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL / FY 2004 - FY 2006 BUDGET AZ BIODESIGN INSTITUTE AND CAPACITY BUILDING PROJECT INVESTMENTS FY 2003 RESULTS AND ACCOMPLISHMENTS AzBiodesign Institute - Implemented a major reorganization, chartering, and appointing directors for eight research and design centers. Each center developed a business plan for growth in research, staffing, and collaboration networks. More than 70 ASU researchers are directly involved with these centers. - Hired Dr. George Poste in May 2003 as the new director to lead AzBio. Dr. Poste is a nationally recognized research and development manager from the pharmaceutical industry as well as a national policy leader. - Successfully recruited 5 new senior tenured faculty (4 with TRIF funding), 22 research faculty, 4 visiting scientists, and 24 post-doctoral research associates. - Completed the programming and design for the $69 Million Phase 1 AzBio Building (4 floors, 170,000 sq. ft.). Construction began in February 2003, and the building is on schedule for occupancy in October 2004. The University held a groundbreaking public relations event in April 2003. With Legislative approval for the capital expenditure, preliminary programming for Phase II construction will lead to the completion and occupancy of a second building of similar size in the Fall of 2005. - Coordinated an aggressive effort for submitting new large-scale research grant proposals. Pending research proposals submitted by the AzBio Center directors total more than $115 Million. - Increased annualized federal research funding in the Biosciences and Health Sciences at ASU to $28.1 Million, an annual increase of $3.1 Million (12%). However, this growth is below the 20% increase we established as a target. Industrial contracts and donations are also less than target. We can attribute this underperformance to the transitional nature of the first year of AzBio operations, with major efforts being dedicated to the generation of new proposals (as discussed in the previous bullet) and the continuing recessionary economy. With regard to new federal awards, note that the reported numbers are the annualized value of awards, i.e., the value of the award in FY 2003 only. The total value of new awards in FY 2003 in the Biosciences was $14.7 Million. - Successfully competed for a large FBI Technology Development contract based on the development of a gene-based forensics product platform to be prototyped within the next three years. The FBI is looking toward mass production of this technology for adoption at all FBI reference labs, with subsequent implementation at all jail facilities and crime scenes. - Continued to develop the potential for the Carl Hayden VA Medical Center to lease space in the new AzBio building complex. The Medical Center is pursuing an appropriation for capital funding of space in Phase II. - Made major improvements in instrumentation and equipment. In collaboration with TGen, ASU completed the purchase of high performance supercomputing capabilities tied to a substantial donation from IBM. This system provides for a much enhanced capability for bioinformatics and imaging research as part of an agreement for support of TGen as they begin operations in Arizona. In addition, AzBio established a core genomic sequencing lab and received a mobile patient evaluation lab through a donation to the University. - Created a new biotechnology startup company, Arizona Engineered Therapeutics, INC (AzERx), to commercialize protein-based pharmaceuticals initially targeting the vascular surgery market. Capacity Building Project Investments Successfully competed for federal funding to win a new NSF Nanotechnology Interdisciplinary Research Team award, which resulted in attracting IBM as a partner. Successfully competed for federal funding to win a new DARPA award in Nanojunction Array Molecular Sensing, with creation of a new partnership with SNL and Motorola. Successfully competed for federal funding to win awards for the acquisition of a Dual Focused Ion Beam (FIB), and Wafer Alignment and Bonding tools for nanomanufacturing. Received $1 Million per year in new industry funding committments to CEINT for the next two years. Connection ONE, NSF I/UCRC membership increased to twelve companies providing $1.5 Million per year in new industry funding. The Software Factory delivered six new, professional-quality software products in support of ASU research, innovation, and education projects. Built working prototype for a facial recognition system and test bed for Security and Cognitive Ubiquitous Computing applications (patent submitted). Built two working prototypes (hardware/software) for Blind/Deaf student learning: tabletop book reader and ubiquitous learning environment. Developed a common ground research agenda for the AME computer mediation experiences across twelve participating disciplines. Completed and delivered core Embedded Systems curriculum (four courses). Developed and introduced new undergraduate curriculum in mixed signal design and wireless systems. Newly incorporated ASU spin-off company, Crawdad Technologies, released its first product, Crawdad Text Analysis System 1.0. Acquired and installed substantial new state-of-the-art characterization instrumentation and micro/nano fabrication equipment. The equipment is now operational and includes an Electron Beam Lithography (EBL) tool, high density plasma etchers (two -- one for silicon and one for Group III-nitrides), a laser direct-write mask maker, and an environmental scanning/transmission electron microscope. Technology Transfer - Recruited new Technology Transfer leadership. AZTE created and is now fully operational. IP Licensing: nine new licenses and six license amendments. Master Connection ONE consortium/partnership agreement with licensing options. Five research agreements or amendments with partners. Inner-institutional agreements -- two new agreements with three universities. 9 Note: Narrative detail is provided for this initiative because although the total budgeted amount for ASU has not changed, several initiatives have been collapsed into one, the AZ Biodesign Institute and Capacity Building Project Investments. Arizona State University Arizona Biodesign Institute - 10 ARIZONA STATE UNIVERSITY MAIN TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL / FY 2004 - FY 2006 BUDGET AZ BIODESIGN INSTITUTE AND CAPACITY BUILDING PROJECT INVESTMENTS FY 2002 FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 ACTUAL PROJECTED ACTUAL PROJECTED REVISED REVISED REVISED $10.86 M $8.50 M $7.34 M $11.00 M $11.00 M $14.00 M $17.00 M $1.06 M $3.20 M $1.29 M $3.40 M $2.50 M $3.00 M $51 K 5 $421 K $120 K 3 $420 K $92 K 3 $400 K $240 K 4 $780 K $240 K 4 $500 K $360 K 5 $750 K $3.50 M $540 K 6 $1.00 M 9 5 0 29 10 5 0 45 0 48 19 120 15 5 3 50 15 10 8 50 25 10 10 55 25 10 10 55 0 39 -21 0 50 40 33 84 10 20 52 60 20 60 60 25 65 60 30 65 60 X X Partially Approved 88 32 4 30 40 6 227 88 6 50 50 4 75 90 4 75 95 4 75 100 4 0 2 6 2 8 10 12 X In Progress In Progress 97 108 11 3 6 2 1 Complete 27 8 2 1 5 3 10 Completed 91 106 17 3 6 6 13 36 12 3 2 5 4 15 109 117 20 3 6 3 15 130 70 10 5 8 5 20 130 70 10 5 8 5 20 9 3 20 4 24 30 30 1. New research collaborations with industry and national laboratories 9 7 13 8 10 14 16 1. Companies identifying ASU as a factor for relocating 2 large 1 large 3 small 0 large 2 small 1 large 4 small 1 large 2 small 1 large 3 small 1 large 4 small PERFORMANCE MEASURES/DELIVERABLES Return on Investment 1. External funding: new federal awards External funding: new industrial contracts and 2. donations 3. Value of new startups to ASU (R&D $'s) 4. New products in marketplace 5. Value of new products to ASU Work Force/Access Contributions 1. Increase in number of teachers who graduate with math/science certification 2. New post-doctoral students in pipeline 3. New post-doctoral students entering workforce 4. New graduate students in pipeline 5. Graduate students earning degrees and entering workforce 6. Undergraduate students with research experience 7. Growth in CS/CSE Graduates Curriculum Innovations 1. Tier 1 Introduction to Information Technology for all students 2. Tier 2 package of 3 courses 3. Tier 3 concentration for BIS degree 4. BS Applied Computing (ASU West) 5. High school students completing software design material 6. Internships (industry or Software Factory) 7. New courses introduced (Bio, Info, Nano) Technology Transfer X X Partnerships Economic Development or expanding in AZ Arizona State University Arizona Biodesign Institute 1. New software packages distributed 2. Form industry-university nationwide research consortium 3. Create research road map in collaboration with industry 4. Invention disclosures 5. Patent applications 6. Patents 7. Startup companies 8. Fund proof of concept grants to faculty 9. Business plans written 10. Technology transfer portal inquiries from industry 11. Licenses/options signed (technologies adopted by industry) Completed Partially ARIZONA STATE UNIVERSITY EAST TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL / FY 2004 - FY 2006 BUDGET CAMPUS CAPITAL INFRASTRUCTURE DEVELOPMENT FY 2003 REV BUDGET REVENUE Carryforward TRIF Revenue TOTAL REVENUE $ $ EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating TOTAL OPERATING BUDGET CAPITAL BUDGET Building Renovation Debt Service COPs Lease Purchase Payment TOTAL CAPITAL BUDGET EXPENDITURES GRAND TOTAL $ 1,400,000 2,000,000 3,400,000 FY 2003 ACTUAL $ $ 1,400,000 2,000,000 3,400,000 FY 2004 ORIG BUDGET FY 2004 REV BUDGET FY 2005 REV BUDGET FY 2006 REV BUDGET $ $ $ $ $ 2,300,000 2,300,000 $ (34,400) 2,000,000 1,965,600 $ 2,020,400 2,020,400 $ 2,116,600 2,116,600 - - - - - - 3,400,000 3,400,000 3,434,400 3,434,400 2,300,000 2,300,000 1,869,900 1,869,900 2,116,100 2,116,100 2,116,600 2,116,600 3,400,000 $ 3,434,400 $ 2,300,000 $ 1,869,900 $ 2,116,100 $ 2,116,600 The ASU East Proposition 301 initiative funds $27.5 million of Certificates of Participation (COPs) for infrastructure development, including multiple building renovations, campus infrastructure improvements, and a new campus student union. The building renovations will prepare academic space, including classrooms, faculty and staff offices, and student support services to meet anticipated growth. The infrastructure improvements continue the transition of the former Williams Air Force Base to an attractive university campus. The major projects include campus street and roadway improvements, new campus malls, lighting and emergency telephones, and campus landscape improvements. 11 Arizona State University East Capital Infrastructure Development The COPs were issued in June 2002 with the first payment in December 2002. The combined FY 2002 carryforward and FY 2003 TRIF allocation funded the FY 2003 debt service. Approximately $12.3 million of the building renovaion and campus infrastructure projects are complete, including the Administration Building and the Simulator Building renovations, as well as the North and South Pedestrian Malls. The scheduled completion date for construction on the new Union Building and the Agribusiness Cente renovation projects is July 2004. We will complete construction on the Wanner Hall and Sutton Hall renovations in August 2003. Due to the revised scope of construction for a number of the building renovation projects, COPs are not funding the Flightline Facility. ASUE will complete all TRIF-funded capital improvement projects by June 2005. The FY 2004 ASU East COP appropriation is approximately $130,000 greater than the FY 2004 COP payment. We have reduced the FY 2005 request to reflect the use of the carryforward amount. 12 ARIZONA STATE UNIVERSITY WEST TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL / FY 2004 - FY 2006 BUDGET CLASSROOM LABORATORY / COMPUTER CLASSROOM II BUILDING & CENTRAL PLANT EXPANSION FY 2003 REV BUDGET REVENUE Carryforward TRIF Revenue TOTAL REVENUE $ $ FY 2003 ACTUAL 1,100,000 1,600,000 2,700,000 $ $ FY 2004 ORIG BUDGET 1,100,000 1,600,000 2,700,000 $ $ 1,800,000 1,800,000 FY 2004 REV BUDGET $ $ 6,400 1,600,000 1,606,400 FY 2005 REV BUDGET FY 2006 REV BUDGET $ $ $ 1,543,700 1,543,700 $ 1,665,600 1,665,600 EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating TOTAL OPERATING BUDGET CAPITAL BUDGET Building Renovation Debt Service COPs Lease Purchase Payment TOTAL CAPITAL BUDGET $ 2,700,000 2,700,000 $ 2,693,600 2,693,600 $ 1,800,000 1,800,000 $ 1,486,300 1,486,300 $ 1,663,800 1,663,800 $ 1,665,600 1,665,600 EXPENDITURES GRAND TOTAL $ 2,700,000 $ 2,693,600 $ 1,800,000 $ 1,486,300 $ 1,663,800 $ 1,665,600 - - - - - - The ASU West Proposition 301 initiative funds $21.6 million of Certificates of Participation (COPs) for two projects, a 104,400 gross square foot (GSF) Laboratory/Computer Classroom Building (CLCC II) and a Central Plant expansion. The CLCC II building includes approximately 42,000 net assignable square footage (NASF) of instructional space with a 150-seat lecture hall, two 80-seat classrooms, ten 60-seat classrooms, two 40-seat computer classrooms, five science labs, and one computer lab. The COPs were issued in June 2002 with the first payment in December 2002. The combined FY 2002 carryforward and FY 2003 TRIF allocation funded the FY 2003 debt service. Construction on the projects has begun with a scheduled completion date of December 2003. The FY 2004 ASU West COP appropriation is approximately $114,000 greater than the FY 2004 COP payment. We have reduced the FY 2005 request to reflect the use of the carryforward amount. Arizona State University West Classroom Lab/Computer Classroom II Building & Central Plant Expansion The Central Plant expansion will add 4,800 GSF for a new 1,000 ton chiller, a thermal storage tank, and utility line extensions required to service the CLCC II building. NORTHERN ARIZONA UNIVERSITY TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET SUMMARY FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 REV BUDGET ACTUAL ORIG BUDGET REV BUDGET REV BUDGET REV BUDGET REVENUE Carry Forward $ 2,718,320 $ 2,751,025 $ - $ 4,155,009 $ - $ - $ 8,500,000 11,218,320 $ 8,140,124 10,891,149 $ 8,920,000 8,920,000 $ 8,920,000 13,075,009 $ 9,350,000 9,350,000 $ 9,810,000 9,810,000 TRIF Revenue TOTAL REVENUE EXPENDITURES OPERATING BUDGET Personal Services 6,583,771 4,254,890 4,596,679 5,535,992 4,469,063 ERE 1,316,859 868,287 981,872 1,261,004 949,814 982,001 2,717,690 10,618,320 1,612,963 6,736,140 1,541,449 7,120,000 4,783,013 11,580,009 1,691,123 7,110,000 1,854,133 7,460,000 - All Other Operating TOTAL OPERATING BUDGET 4,623,866 CAPITAL BUDGET - - - - - Debt Service Building Renovation 600,000 - 1,800,000 - - - COPs Lease Purchase Payment TOTAL CAPITAL BUDGET 600,000 - 1,800,000 1,495,000 1,495,000 2,240,000 2,240,000 2,350,000 2,350,000 EXPENDITURES GRAND TOTAL $ 11,218,320 $ 6,736,140 $ 8,920,000 $ 13,075,009 $ 9,350,000 $ 9,810,000 $ 2,925,173 $ 3,000,000 $ 6,018,185 $ 2,000,000 $ 2,000,000 Note: FY 2003 expenditures include encumbrances at 6/30/03. SUMMARY BY INITIATIVE EXPENDITURES GRAND TOTAL $ $ 5,177,259 1,535,482 976,078 800,000 1,310,270 800,000 800,000 1,887,315 1,199,058 1,780,000 2,417,033 2,250,000 2,300,000 1,798,942 1,502,885 1,540,000 1,764,067 2,060,000 2,360,000 819,322 132,946 1,800,000 1,565,454 2,240,000 2,350,000 11,218,320 $ 6,736,140 $ 8,920,000 $ 13,075,009 $ 9,350,000 $ 9,810,000 13 Northern Arizona University Summary Access and Workforce Development Biosciences/Biotechnology E-Learning ERDENE (Environmental) Capital 14 NORTHERN ARIZONA UNIVERSITY TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 BUDGET / ACTUAL SUMMARY REVENUE Carry Forward TRIF Revenue TOTAL REVENUE FY 2003 FY 2003 REV BUDGET ACTUAL $ $ 2,718,320 8,500,000 11,218,320 $ $ 2,751,025 8,140,124 10,891,149 FY 2003 NAU ACTUAL TRIF EXPENDITURES (in millions) ERDENE $1.5 22% EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating TOTAL OPERATING BUDGET $ CAPITAL BUDGET Building Renovation Debt Service COPs Lease Purchase Payment TOTAL CAPITAL BUDGET EXPENDITURES GRAND TOTAL 6,583,771 1,316,859 2,717,690 10,618,320 $ 600,000 600,000 4,254,890 868,287 1,612,963 6,736,140 11,218,320 $ 6,736,140 $ 5,177,259 1,535,482 1,887,315 1,798,942 819,322 $ 2,925,173 976,078 1,199,058 1,502,885 132,946 $ 11,218,320 $ 6,736,140 Biosciences/ Biotechnology $1.0 14% Access and Workforce Development $2.9 44% Northern Arizona University Summary $ SUMMARY BY INITIATIVE EXPENDITURES GRAND TOTAL E-Learning $1.2 18% - Note: FY 2003 expenditures include encumbrances at 6/30/03. Access and Workforce Development Biosciences/Biotechnology E-Learning ERDENE (Environmental) Capital Capital $0.1 2% NORTHERN ARIZONA UNIVERSITY TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET ACCESS/WORKFORCE DEVELOPMENT FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 REV BUDGET ACTUAL ORIG BUDGET REV BUDGET REV BUDGET REV BUDGET $ - $ 2,138,185 $ - $ - REVENUE Carry Forward $ TRIF Revenue TOTAL REVENUE 1,297,259 $ 1,328,477 3,880,000 3,734,881 3,000,000 3,880,000 2,000,000 2,000,000 $ 5,177,259 $ 5,063,358 $ 3,000,000 $ 6,018,185 $ 2,000,000 $ 2,000,000 $ 3,204,509 $ 1,884,275 $ 1,900,000 $ 2,462,280 $ 1,254,000 $ 1,254,000 EXPENDITURES OPERATING BUDGET Personal Services ERE 689,000 424,987 379,170 622,152 260,252 All Other Operating 1,283,750 615,911 720,830 2,933,753 485,748 260,252 485,748 TOTAL OPERATING BUDGET 5,177,259 2,925,173 3,000,000 6,018,185 2,000,000 2,000,000 - - - - - - Debt Service - - - - - - COPs Lease Purchase Payment - - - - - - TOTAL CAPITAL BUDGET - - - - - - CAPITAL BUDGET Building Renovation EXPENDITURES GRAND TOTAL $ 5,177,259 $ 2,925,173 $ 3,000,000 $ 6,018,185 $ 2,000,000 $ 2,000,000 Note: FY 2003 expenditures include encumbrances at 6/30/03. Northern Arizona University Access and Workforce Development 15 16 NORTHERN ARIZONA UNIVERSITY TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET ACCESS/WORKFORCE DEVELOPMENT PERFORMANCE MEASURES/DELIVERABLES FY 2002 FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 ACTUAL PROJECTED ACTUAL PROJECTED REVISED REVISED REVISED $100,000 $3,951,834 $150,000 $250,000 $250,000 $250,000 2 5 2 2 2 2 1 0 1 1 1 1 Leveraged Investment 1. Grants/Contracts Proposed Technology Transfer 2. Courses/Modules Sold/Brokered 0 Economic Development Companies identifying NAU as reason for 3. relocating or expanding in AZ Work Force Contributions 4. Potential New Students Served -New Teachers 250 460 542 545 600 600 600 -Nurses/Health Professionals 120 200 266 200 300 300 300 -Engineers with Advanced Training 20 Reported in ARU TRIF 20 30 30 30 -Business/Non-Profit Managers 44 50 182 60 200 200 200 5. Degree/Certificate Programs 11 15 20 20 20 yes 12 yes 19 6. Statewide Access (Rural and Urban) 7. Regional/National Global Access yes yes yes 8. New/Revised Courses 75 80 72 100 80 80 80 9. Community College Partners 14 15 16 15 16 16 16 10. Tri-University (ASU, NAU, U of A) 3 3 3 3 3 3 3 11. K-12 Partners (schools/districts) 12. Industry or Agency Partnerships 30 30 51 30 60 60 60 2 4 21 5 25 25 25 Specific Curriculum Innovations yes Partnerships Northern Arizona University Access and Workforce Development NORTHERN ARIZONA UNIVERSITY TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET BIOSCIENCES/BIOTECHNOLOGY FY 2003 REV BUDGET REVENUE Carry Forward TRIF Revenue TOTAL REVENUE $ $ EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating TOTAL OPERATING BUDGET CAPITAL BUDGET Building Renovation Debt Service COPs Lease Purchase Payment TOTAL CAPITAL BUDGET $ FY 2003 ACTUAL 365,482 1,170,000 1,535,482 $ 554,000 147,500 833,982 1,535,482 $ $ FY 2004 ORIG BUDGET FY 2004 REV BUDGET FY 2005 REV BUDGET FY 2006 REV BUDGET 365,885 1,120,463 1,486,348 $ $ 510,270 800,000 1,310,270 $ $ 315,286 62,275 598,517 976,078 $ 320,000 65,000 925,270 1,310,270 $ - EXPENDITURES GRAND TOTAL $ 1,535,482 $ 800,000 800,000 300,000 88,850 411,150 800,000 $ 976,078 $ $ $ 800,000 $ 800,000 800,000 89,000 17,000 694,000 800,000 $ 1,310,270 $ $ 800,000 800,000 93,000 18,000 689,000 800,000 $ 800,000 $ 800,000 Note: FY 2003 expenditures include encumbrances at 6/30/03. PERFORMANCE MEASURES/DELIVERABLES FY 2002 ACTUAL FY 2003 PROJECTED FY 2003 ACTUAL FY 2004 PROJECTED FY 2004 REVISED FY 2005 REVISED FY 2006 REVISED $1,400,000 $850,000 $6,286,000 $1,500,000 $3,000,000 $1,500,000 $1,500,000 Leveraged Investment 1. Increased External Funding Technology Transfer 2. Patents Applied For 1 3. Products Generated/Disclosed 2 2 1 2 1 1 1 5 1 3 1 1 1 1 0 1 5. Industry Partnerships 0 2 2 1 2 2 2 3 6. Tech Transfer: startup companies created 0 1 2 0 2 0 0 1 1 Economic Development Incubation/Formation of Biotech Concerns in 7. Flagstaff/Northern Arizona 1 1 Work Force Contributions 8. Graduate/postdoc students in pipeline 60 60 62 65 60 70 75 9. Undergraduate students with research experience 80 80 79 90 75 100 110 11 4 12 4 10 4 5 6 2 29 2 10 1 2 10. M.S./PhD/Post-Doc Graduate Increases 17 Specific Collaborations 11. New Research Collaborations Northern Arizona University Biosciences/Biotechnology 4. Business Expansions 18 NORTHERN ARIZONA UNIVERSITY TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET E-LEARNING FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 REV BUDGET ACTUAL ORIG BUDGET REV BUDGET REV BUDGET REV BUDGET $ $ $ $ REVENUE Carry Forward $ TRIF Revenue TOTAL REVENUE 677,315 $ 1,210,000 677,320 1,158,771 1,780,000 637,033 1,780,000 2,250,000 2,300,000 $ 1,887,315 $ 1,836,091 $ 1,780,000 $ 2,417,033 $ 2,250,000 $ 2,300,000 $ 1,471,735 $ 914,254 $ 1,300,000 $ 1,500,000 $ 1,600,000 $ 1,632,000 EXPENDITURES OPERATING BUDGET Personal Services ERE 231,669 All Other Operating 189,015 300,000 350,000 375,000 383,000 183,911 95,789 180,000 567,033 275,000 285,000 1,887,315 1,199,058 1,780,000 2,417,033 2,250,000 2,300,000 - - - - - - Debt Service - - - - - - COPs Lease Purchase Payment - - - - - - TOTAL CAPITAL BUDGET - - - - - - TOTAL OPERATING BUDGET CAPITAL BUDGET Building Renovation EXPENDITURES GRAND TOTAL $ 1,887,315 $ 1,199,058 $ 1,780,000 $ 2,417,033 $ 2,250,000 $ 2,300,000 Note: FY 2003 expenditures include encumbrances at 6/30/03. Northern Arizona University E-Learning NORTHERN ARIZONA UNIVERSITY TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET E-LEARNING PERFORMANCE MEASURES/DELIVERABLES FY 2002 FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 ACTUAL PROJECTED ACTUAL PROJECTED REVISED REVISED REVISED 130 100 90 100 30 40 50 50 Workforce Contributions 1. Number of new Web courses developed and offered 125 2 Number of new IT-enhanced courses developed Increase in enrollments of distance students in Web 3. courses 4. Increase in residential undergraduate enrollments 5. Increase in student academic success in Web courses 6. Total number of faculty participating in Web development 7. Number of NAU students taking Web courses Number of graduates with technical literacy skills (to 8. be assessed directly) 9. Percentage of students satisfied with Web learning opportunities (senior survey data) 10. Number of new certificates in advanced technology for students 20 101 new courses, 140 new sections offered; 9,476 enrollments, in 408 sections 32 500 1,703 600 500 500 500 100 663 DFW dropped from 17.7% to 16.8%, a 5% improvement 150 500 750 750 15% 5% 5% 5% 150 10% 150 150 117 200 120 120 120 4,000 82 on web courses; 35 on web enhanced 12,180 4500 4,000 4,000 4,000 1,750 889 2,000 1,500 1,500 1,500 80% 84%, an improvement from 75% last year; 89%, an improvement from 88% last year 85% 85% 85% 85% 2 1 1 1 1 1 1 $50,000 $50,000 $0 $100,000 $50,000 $50,000 $50,000 1 0 2 1 1 1 0 0 0 0 1 1 1,500 Leveraged Investment 11. Grants and donations for research in best-practices Economic Development 13. Number of spin-off companies 0 19 Northern Arizona University E-Learning Specific Collaborations 12. Number of private sector partnerships 20 NORTHERN ARIZONA UNIVERSITY TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET ENVIRONMENTAL RESEARCH, DEVELOPMENT AND EDUCATION FOR THE NEW ECONOMY (ERDENE) FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 REV BUDGET ACTUAL ORIG BUDGET REV BUDGET REV BUDGET REV BUDGET $ $ $ $ REVENUE Carry Forward $ TRIF Revenue TOTAL REVENUE 178,942 $ 1,620,000 175,540 1,551,412 1,540,000 224,067 1,540,000 2,060,000 2,360,000 $ 1,798,942 $ 1,726,952 $ 1,540,000 $ 1,764,067 $ 2,060,000 $ 2,360,000 $ 1,292,127 $ 1,080,916 $ 1,096,679 $ 1,208,712 $ 1,526,063 $ 1,644,866 EXPENDITURES OPERATING BUDGET Personal Services ERE 237,190 All Other Operating 179,503 213,852 213,852 297,562 320,749 269,625 242,466 229,469 341,503 236,375 394,385 1,798,942 1,502,885 1,540,000 1,764,067 2,060,000 2,360,000 - - - - - - Debt Service - - - - - - COPs Lease Purchase Payment - - - - - - TOTAL CAPITAL BUDGET - - - - - - TOTAL OPERATING BUDGET CAPITAL BUDGET Building Renovation EXPENDITURES GRAND TOTAL $ 1,798,942 $ 1,502,885 $ 1,540,000 $ 1,764,067 $ 2,060,000 $ 2,360,000 Note: FY 2003 expenditures include encumbrances at 6/30/03. Northern Arizona University ERDENE NORTHERN ARIZONA UNIVERSITY TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET ENVIRONMENTAL RESEARCH, DEVELOPMENT AND EDUCATION FOR THE NEW ECONOMY (ERDENE) PERFORMANCE MEASURES/DELIVERABLES FY 2002 FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 ACTUAL PROJECTED ACTUAL PROJECTED REVISED REVISED REVISED Leveraged Investment 1. Leveraged Federal and State Funds $5,525,000 $1,194,000 $4,338,056 $4,275,500 $4,275,500 $5,663,000 $6,308,000 2. Leveraged Industrial $$ $366,000 $116,000 $413,000 $100,000 $100,000 $133,000 $152,000 3. Leveraged other $$ (Private, etc.) $642,000 $308,000 $300,873 $200,000 $200,000 $267,000 $304,000 121 69 180 18 18 24 27 $4,700,000 $4,700,000 1 2 4. Other Returns (presentations and publications) 5. Arizona Economic Losses Avoided $1,600,000 Technology Transfer 6. Products Generated and in the Marketplace 7. Business Spinoffs 1 1 1 8. Patent Applications Generated 1 0 1 1 1 2 9. Conferences Sponsored 14 6 19 5 5 7 8 10. Business Expansions 2 0 1 6 6 8 8 Work Force Contributions 11. Graduate students in pipeline or graduated 56 60 87 40 40 53 61 12. High-end Baccalaureates in Specific Disciplines 38 16 27 55 55 73 84 13. Certificates Granted 0 0 5 5 7 8 14. Post-Doc students in pipeline or graduated 26 12 7 3 3 4 5 15. Continuing Education Professionals 85 25 312 30 30 40 46 Specific Curriculum Innovations 16. New Programs -- full-time students 3 0 1 6 6 8 9 17. Revised Courses and programs 10 4 14 10 10 8 9 18. New Courses -- full-time students 2 3 9 6 6 13 15 2 3 9 3 3 4 5 Partnerships (Specific Collaborations) 19. Community College 2+2 Programs 4 1 6 3 3 4 5 21. Industry/Private Sector Collaborations 17 18 73 18 18 24 27 22. Community-based (including tribes) 34 28 58 30 30 40 46 23. Regional, Nat'l, Internat'l Research and Linkages 20 16 41 10 10 13 15 21 Northern Arizona University ERDENE 20. Tri-University (ASU, NAU, UofA) 22 NORTHERN ARIZONA UNIVERSITY TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET CAPITAL PROJECTS REVENUE Carry Forward TRIF Revenue TOTAL REVENUE FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 REV BUDGET ACTUAL ORIG BUDGET REV BUDGET REV BUDGET REV BUDGET 203,803 574,597 778,400 $ $ $ 2,240,000 2,240,000 $ 60,159 12,507 60,280 132,946 $ - $ $ $ EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating TOTAL OPERATING BUDGET CAPITAL BUDGET Building Renovation Debt Service COPs Lease Purchase Payment TOTAL CAPITAL BUDGET $ 199,322 620,000 819,322 $ 61,400 11,500 146,422 219,322 $ $ 600,000 600,000 EXPENDITURES GRAND TOTAL $ 819,322 $ $ 132,946 1,800,000 1,800,000 - $ $ 1,800,000 1,800,000 $ 1,800,000 645,454 920,000 1,565,454 45,000 10,000 15,454 70,454 $ $ 1,495,000 1,495,000 $ 1,565,454 $ 2,240,000 2,240,000 $ 2,240,000 2,350,000 2,350,000 2,350,000 2,350,000 $ 2,350,000 Note: FY 2003 expenditures include encumbrances at 6/30/03. PERFORMANCE MEASURES/DELIVERABLES FY 2002 FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 ACTUAL PROJECTED ACTUAL PROJECTED REVISED REVISED REVISED X partial Leveraged Investment 1. Site Selection 2. Building occupants defined X 3. "Green" Consultant hired X 4. Charette for building needs held X 5. Identification of matching funds 6. Architect Hired 7. Board Approvals obtained X X 8. Schematic drawings prepared X X 9. Preparations made for bond issuance X X Begin Begin partial X X 0 X finalist selected 10. Building construction 11. Planning for Biology/Chemistry renovations 12. Board Approvals obtained (Bio-Chem) 13. Building renovations partial $300,000 X X X Construction Northern Arizona University Capital Projects $200,000 UNIVERSITY OF ARIZONA TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET SUMMARY REVENUE Carry Forward TRIF Revenue TOTAL REVENUE EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating TOTAL OPERATING BUDGET CAPITAL BUDGET Building Renovation Debt Service COPs Lease Purchase Payment TOTAL CAPITAL BUDGET EXPENDITURES GRAND TOTAL FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 REV BUDGET ACTUAL ORIG BUDGET REV BUDGET REV BUDGET REV BUDGET $ 18,200,000 $ 18,200,000 $2,825,232 18,200,000 $ 21,025,232 $ 19,200,000 $ 19,200,000 $ $ $ $ 7,585,374 17,200,000 $ 24,785,374 $ 7,585,374 16,471,780 $ 24,057,154 $ 11,966,504 2,056,578 9,602,292 $ 23,625,374 $ 7,890,795 1,147,479 11,033,648 $ 20,071,922 8,628,372 1,682,592 4,889,036 $ 15,200,000 $ 11,207,445 2,172,107 4,645,680 $ 18,025,232 9,473,808 1,943,110 4,783,082 $ 16,200,000 $ 10,154,635 2,142,118 4,903,247 $ 17,200,000 160,000 1,000,000 160,000 1,000,000 3,000,000 3,000,000 3,000,000 3,000,000 1,160,000 1,160,000 3,000,000 3,000,000 3,000,000 3,000,000 $ 24,785,374 $ 21,231,922 $ 18,200,000 $ 21,025,232 $ 19,200,000 $ 20,200,000 2,846,125 7,761,724 717,080 6,535,952 5,982,413 942,080 2,326,232 7,199,779 577,644 6,014,645 4,286,510 827,112 1,800,000 5,000,000 700,000 4,500,000 4,200,000 2,000,000 2,243,684 5,350,253 814,033 4,809,615 5,713,848 2,093,799 1,800,000 6,000,000 800,000 4,200,000 4,100,000 2,300,000 1,800,000 5,500,000 800,000 4,200,000 4,400,000 3,500,000 $ 24,785,374 $ 21,231,922 $ 18,200,000 $ 21,025,232 $ 19,200,000 $ 20,200,000 * 20,200,000 $ 20,200,000 Note: FY 2003 expenditures include encumbrances at 6/30/03. SUMMARY BY INITIATIVE UNIVERSITY OF ARIZONA Access and Workforce Development Biosciences/Biotechnology Technology Transfer Optical Sciences Internet Technology & Commerce Water, Economic Development and Sustainability * based on FY 02-03 revenue shortfall of $728,220 23 University of Arizona Summary EXPENDITURES GRAND TOTAL 24 UNIVERSITY OF ARIZONA TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 BUDGET / ACTUAL SUMMARY FY 2003 REV BUDGET REVENUE Carry Forward TRIF Revenue TOTAL REVENUE EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating TOTAL OPERATING BUDGET $ $ $ CAPITAL BUDGET Building Renovation Debt Service COPs Lease Purchase Payment TOTAL CAPITAL BUDGET EXPENDITURES GRAND TOTAL 7,585,374 17,200,000 24,785,374 11,966,504 2,056,578 9,602,292 23,625,374 FY 2003 ACTUAL $ $ $ 7,585,374 16,471,780 24,057,154 7,890,795 1,147,479 11,033,648 20,071,922 160,000 1,000,000 160,000 1,000,000 1,160,000 1,160,000 $ 24,785,374 $ 21,231,922 $ 2,846,125 7,761,724 717,080 6,535,952 5,982,413 942,080 $ 2,326,232 7,199,779 577,644 6,014,645 4,286,510 827,112 $ 24,785,374 $ 21,231,922 Note: FY 2003 expenditures include encumbrances at 6/30/03. SUMMARY BY INITIATIVE Access and Workforce Development Biosciences/Biotechnology Technology Transfer Optical Sciences Internet Technology & Commerce Water, Economic Development and Sustainability EXPENDITURES GRAND TOTAL FY 2003 UA ACTUAL TRIF EXPENDITURES (in millions) Technology Transfer $0.6 3% Optical Sciences $6.0 28% Biosciences/ Biotechnology $7.2 34% Access and Workforce Development $2.3 11% Water, Economic Development and Sustainability $0.8 4% Internet Technology & Commerce $4.3 20% University of Arizona Summary UNIVERSITY OF ARIZONA TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET ACCESS TO HIGHER EDUCATION FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 REV BUDGET ACTUAL ORIG BUDGET REV BUDGET REV BUDGET REV BUDGET REVENUE Carry Forward $ TRIF Revenue TOTAL REVENUE 907,668 $ 907,668 1,000,000 - 957,704 $ 1,000,000 185,578 * - 1,000,000 - 1,000,000 1,000,000 $ 1,907,668 $ 1,865,372 $ 1,000,000 $ 1,185,578 $ 1,000,000 $ 1,000,000 $ 983,839 $ 591,343 $ 681,300 $ 798,795 $ 767,500 $ 805,900 EXPENDITURES OPERATING BUDGET Personal Services ERE 189,691 All Other Operating 111,673 132,900 200,983 149,700 157,200 734,138 976,778 185,800 185,800 82,800 36,900 1,907,668 1,679,794 1,000,000 1,185,578 1,000,000 1,000,000 Building Renovation - - - - - - Debt Service - - - - - - TOTAL CAPITAL BUDGET - - - - - - TOTAL OPERATING BUDGET CAPITAL BUDGET EXPENDITURES GRAND TOTAL $ 1,907,668 $ 1,679,794 $ 1,000,000 $ 1,185,578 $ 1,000,000 $ 1,000,000 * based on FY 02-03 revenue shortfall of $42,296 PERFORMANCE MEASURES/DELIVERABLES FY 2002 FY 2003 FY 2003 FY 2004 FY 2005 FY 2006 ACTUAL PROJECTED ACTUAL PROJECTED REVISED REVISED 1. Increased Capacity to deliver courses 3. New Enrollments Plans revised DS-3 line installed Increase usage Increase usage Increase usage 2 new 2 new 2 new 2 new 2 new 2 new n/a 40 20 60 80 100 25 University of Arizona Access to Higher Education 2. New Programs brought on line 26 UNIVERSITY OF ARIZONA TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET WORKFORCE DEVELOPMENT: TEACHER PREPARATION FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 REV BUDGET ACTUAL ORIG BUDGET REV BUDGET REV BUDGET REV BUDGET REVENUE Carry Forward $ TRIF Revenue 138,457 $ 800,000 TOTAL REVENUE 138,457 - 766,087 800,000 $ 800,000 - - 800,000 800,000 258,106 * $ 938,457 $ 904,544 $ 800,000 $ 1,058,106 $ 800,000 $ 800,000 $ 425,493 $ 273,316 $ 273,200 $ $ 420,025 $ 420,025 EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating TOTAL OPERATING BUDGET $ 490,000 79,132 45,599 53,300 114,170 97,866 97,866 433,832 327,523 473,500 453,936 282,109 282,109 800,000 $ 1,058,106 938,457 $ 646,438 $ $ 800,000 $ 800,000 CAPITAL BUDGET Building Renovation - - - - - - Debt Service - - - - - - TOTAL CAPITAL BUDGET - - - - - - 800,000 $ 1,058,106 EXPENDITURES GRAND TOTAL $ Note: FY 2003 expenditures include encumbrances at 6/30/03. $ 646,438 $ $ 800,000 $ 800,000 * based on FY03 revenue shortfall of $33,913 FY 2002 PERFORMANCE MEASURES/DELIVERABLES 938,457 ACTUAL FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 PROJECTED ACTUAL PROJECTED REVISED REVISED REVISED Workforce Contributions 1 7 6 15 15 20 25 2. Completers of Secondary Math Teacher Prep 3 3 7 10 10 15 15 3. Completers in Elementary Math/Sci Teacher Prep 29 30 28 30 30 30 30 4. Completers in Agricultural Teacher Prep 18 15 15 17 17 16 17 Phase 2 Phase 2 Phase 3 Phase 3 Phase 4 Phase 5 Science Prepcourse developed in College of Science. NSF preproposal submitted to develop and offer 5. specialized science and science ed courses for middle school teachers Collaborations between colleges of Education, 6. Science and Agriculture University of Arizona Workforce Development: Teacher Preparation 1. Completers of Secondary Science Teacher Prep UNIVERSITY OF ARIZONA TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET TECHNOLOGY TRANSFER INFRASTRUCTURE REVENUE Carry Forward $ TRIF Revenue FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 REV BUDGET ACTUAL ORIG BUDGET REV BUDGET REV BUDGET REV BUDGET 117,080 $ 600,000 TOTAL REVENUE 117,080 - 574,597 700,000 $ - - 800,000 800,000 114,033 * 700,000 $ 717,080 $ 691,677 $ 700,000 $ 814,033 $ 800,000 $ 800,000 $ 396,642 $ 281,832 $ 286,700 $ 350,238 $ 301,200 $ 316,300 EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating TOTAL OPERATING BUDGET $ 83,507 52,047 55,900 106,395 58,700 61,700 236,931 243,765 357,400 357,400 440,100 422,000 717,080 $ 577,644 $ 700,000 $ 814,033 $ 800,000 $ 800,000 CAPITAL BUDGET Building Renovation - - - - - - Debt Service - - - - - - TOTAL CAPITAL BUDGET - - - - - - EXPENDITURES GRAND TOTAL $ Note: FY 2003 expenditures include encumbrances at 6/30/03. 717,080 $ 577,644 $ 700,000 $ 814,033 $ 800,000 $ 800,000 * based on FY03 revenue shortfall of $25,403 FY 2002 FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 ACTUAL PROJECTED ACTUAL PROJECTED REVISED REVISED REVISED 1. Patent Applications 69 75 83 100 120 2. Patents Issued 21 11 25 30 36 3. Spin-Off Companies 4 0 5 6 8 4. Invention Disclosures 154 111 185 222 266 PERFORMANCE MEASURES/DELIVERABLES Technology Transfer 64 29 77 92 110 6. Licensing Income $720,645 1,076,870 $900,804 $1,126,007 $1,407,509 27 University of Arizona Technology Transfer Infrastructure 5. Licenses/Options 28 UNIVERSITY OF ARIZONA TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET INSTITUTE FOR BIOMEDICAL SCIENCE AND BIOTECHNOLOGY FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 REV BUDGET ACTUAL ORIG BUDGET REV BUDGET REV BUDGET REV BUDGET REVENUE Carry Forward $ TRIF Revenue TOTAL REVENUE 2,761,724 $ 5,000,000 2,761,724 - 4,788,308 5,000,000 $ 350,253 * 5,000,000 - - 6,000,000 5,500,000 $ 7,761,724 $ 7,550,032 $ 5,000,000 $ 5,350,253 $ 6,000,000 $ 5,500,000 $ 3,637,902 $ 2,792,200 $ 1,861,225 $ 1,861,225 $ 1,950,483 $ 1,890,010 EXPENDITURES OPERATING BUDGET Personal Services 518,362 533,735 362,939 362,939 380,344 368,552 All Other Operating ERE 3,445,460 3,713,844 775,836 1,126,089 1,669,173 1,241,438 TOTAL OPERATING BUDGET 7,601,724 7,039,779 3,000,000 3,350,253 4,000,000 3,500,000 160,000 160,000 - - - - - - 2,000,000 2,000,000 2,000,000 2,000,000 160,000 160,000 2,000,000 2,000,000 2,000,000 2,000,000 CAPITAL BUDGET Building Renovation Debt Service TOTAL CAPITAL BUDGET EXPENDITURES GRAND TOTAL Note: FY 2003 expenditures include encumbrances at 6/30/03. $ 7,761,724 $ 7,199,779 $ 5,000,000 $ 5,350,253 $ 6,000,000 $ 5,500,000 * based on FY03 revenue shortfall of $211,692 University of Arizona Institute for Biomedical Science & Biotechnology UNIVERSITY OF ARIZONA TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET INSTITUTE FOR BIOMEDICAL SCIENCE AND BIOTECHNOLOGY PERFORMANCE MEASURES/DELIVERABLES Return on Investment 1. 2. 3. 4. 5. Federal Grants Received (1) Research Grants Pending New Faculty Hired Research Infrastructure Support SBIR/STTR Grants FY 2002 FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 ACTUAL PROJECTED ACTUAL PROJECTED REVISED REVISED PROJECTED $12,641,087 $21,490,312 8 $2,964,600 $15,000,000 $25,000,000 5 $2,683,498 $15,000,000 $25,000,000 2 $18,000,000 $27,000,000 6 $150,000 2 $21,000,000 $30,000,000 4 $150,000 2 $1,447,470 $19,106,683 7 5 $2,683,498 Economic Development 6. Corporate Contracts 7. Industrial Interactions 8. Industrial Collaborations 2 2 $105,090 64 6 $150,000 60 10 $150,000 60 10 $150,000 60 8 $150,000 60 5 57 75 37 7 55 70 35 5 55 70 35 5 50 65 35 5 50 65 35 5 3 658 229 266 1183 2 660 235 260 1190 2 660 235 260 1190 2 650 230 260 1190 2 650 230 260 1190 79/12 2 19 21 70/15 1 15 20 70/15 1 15 20 70/15 1 16 20 70/15 1 15 20 Technology Transfer(2) 9. 10. 11. 12. Invention Disclosures Licenses Patent Applications Patents Issued 1 Workforce Contributions(3) 13. 14. 15. 16. 17. Training Grants Undergraduate Degrees Awarded Undergrads w/Research Experience(4) Graduate Degrees Awarded Graduate Students Enrolled 18. 19. 20. 21. Media Coverage(4) Web enhancements (5) Presentations/exhibits Political Outreach (7) Promoting Life Science Potential [5] [2] [6] FY 2003 dollars received from research grants from NIH, USDA, NSF, DOE, etc. data represent activity of all UA life science departments [3] all life science departments [4] number of undergrads participating in formal research experience programs (UBRP, MARC, etc.) newspaper, radio, TV stories/background briefings and presentations IBSB website redesign and upgrade, design of life science graduate website [7] includes formal events and individual briefings, presentations 29 University of Arizona Institute for Biomedical Science & Biotechnology [1] 30 UNIVERSITY OF ARIZONA TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET INTERNET TECHNOLOGY & COMMERCE INSTITUTE FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 REV BUDGET ACTUAL ORIG BUDGET REV BUDGET REV BUDGET REV BUDGET REVENUE Carry Forward $ TRIF Revenue TOTAL REVENUE 1,682,413 $ 4,300,000 1,682,413 - 4,117,945 4,200,000 $ 1,513,848 * 4,200,000 - - 4,100,000 4,400,000 $ 5,982,413 $ 5,800,358 $ 4,200,000 $ 5,713,848 $ 4,100,000 $ 4,400,000 $ 2,992,014 $ 1,882,241 $ 2,557,300 $ 4,002,128 $ 2,318,700 $ 2,167,300 EXPENDITURES OPERATING BUDGET Personal Services ERE 541,209 190,774 498,700 567,720 452,100 422,600 All Other Operating 2,449,190 2,213,495 1,144,000 1,144,000 1,329,200 1,810,100 TOTAL OPERATING BUDGET 5,982,413 4,286,510 4,200,000 5,713,848 4,100,000 4,400,000 Building Renovation - - - - - - Debt Service - - - - - - TOTAL CAPITAL BUDGET - - - - - - CAPITAL BUDGET EXPENDITURES GRAND TOTAL Note: FY 2003 expenditures include encumbrances at 6/30/03. $ 5,982,413 $ 4,286,510 $ 4,200,000 $ 5,713,848 $ 4,100,000 $ 4,400,000 * based on FY03 revenue shortfall of $182,055 University of Arizona Internet Technology & Commerce Institute UNIVERSITY OF ARIZONA TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET INTERNET TECHNOLOGY & COMMERCE INSTITUTE PERFORMANCE MEASURES/DELIVERABLES FY 20002 ACTUAL FY 2003 PROJECTED FY 2003 ACTUAL FY 2004 PROJECTED FY 2005 PROJECTED FY 2006 PROJECTED Return on Investment Licensing revenues attributable to ITCDI * * * * * * Number of ITCDI start-up companies 1 1 1 1 1 1 4 Numbers of patents filed attributable to ITCDI 0 1 2 2 2 Arizona sponsored research * * * * * * Number or relocated and retained companies 0 1 2 1 1 1 Jobs attributable to relocation * * * * * * Jobs attributable to start-ups 10 10 10 10 10 10 * * * * * * Jobs attributable to expansion Number of new faculty experts attracted * * 2 * * * New graduates from ITCDI related programs 0 10 69 30 40 50 ITCDI graduates benefiting from minors in related areas 25 50 50 100 100 100 Undergraduates taking non-technical minor 50 100 100 150 200 300 Growth in ITCDI related graduate enrollment 5 5 5 5 5 20 New graduates from Information Sciences Program 0 0 0 0 50 75 40 Curriculum innovations program implemented P1 P2 39 40 40 Government project grants obtained * * * * * * SBIR/SBTT grants obtained * * * * * * Grants/contracts from Industry $120K $150K $234 $500k $1M $1M Value of Sponsorship obtained $1.0M $1.5M $4.8M $2.0M $3.0M $4.0M P1 P2 P2 P3 P4 P5 Network infrastructure upgrades * Indicates metrics not yet estimable. these will be added in coordination with the office of Economic Development's development of the system by which growth will be tracked and attributed in the University/Community Proposition 301 Technology Report University of Arizona Internet Technology & Commerce Institute 31 32 UNIVERSITY OF ARIZONA TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET OPTICAL SCIENCE & TECHNOLOGY FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 REV BUDGET ACTUAL ORIG BUDGET REV BUDGET REV BUDGET REV BUDGET REVENUE Carry Forward $ TRIF Revenue 1,535,952 $ 1,535,952 5,000,000 TOTAL REVENUE - 4,788,308 $ 4,500,000 309,615 * - 4,500,000 - 4,200,000 4,200,000 $ 6,535,952 $ 6,324,260 $ 4,500,000 $ 4,809,615 $ 4,200,000 $ 4,200,000 $ 3,012,183 $ 1,632,856 $ 1,549,400 $ 2,299,400 $ 2,100,000 $ 2,100,000 EXPENDITURES OPERATING BUDGET Personal Services 537,297 148,414 302,100 535,760 489,300 489,300 All Other Operating ERE 1,986,472 3,233,375 1,648,500 974,455 610,700 610,700 TOTAL OPERATING BUDGET 5,535,952 5,014,645 3,500,000 3,809,615 3,200,000 3,200,000 CAPITAL BUDGET Building Renovation Debt Service 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 TOTAL CAPITAL BUDGET 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 EXPENDITURES GRAND TOTAL $ Note: FY 2003 expenditures include encumbrances at 6/30/03. 6,535,952 $ 6,014,645 4,500,000 $ 4,809,615 $ 4,200,000 $ 4,200,000 * based on FY03 revenue shortfall of $211,692 FY 2003 PROJECTED FY 2003 ACTUAL 1. Recruit World-Class Faculty Experts 3 4 Increase Number of Industrial Affiliate Optics 2. Companies 11 3. New Spin-Off Companies in Optics 2 FY 2004 PROJECTED FY 2004 REVISED FY 2005 REVISED FY 2006 REVISED 6 0 2 2 2 3 2 2 2 1 1 0 0 1 4. New Federally Funded Major Optics Projects 2 1 2 1 1 1 5. Number of Additional Graduate Students in 30 3 15 0 0 0 12 5 25 10 10 15 Areas Related to Optics 6. Number of Additional Undergraduate Majors in Areas Related to Optics University of Arizona Optical Science & Technology FY 2002 ACTUAL PERFORMANCE MEASURES/DELIVERABLES $ UNIVERSITY OF ARIZONA TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET WATER, ECONOMIC DEVELOPMENT & SUSTAINABILITY FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 REV BUDGET ACTUAL ORIG BUDGET REV BUDGET REV BUDGET REV BUDGET REVENUE Carry Forward $ TRIF Revenue TOTAL REVENUE 442,080 $ 442,080 500,000 $ 478,831 2,000,000 93,799 * 2,000,000 2,300,000 3,500,000 $ 942,080 $ 920,911 $ 2,000,000 $ 2,093,799 $ 2,300,000 $ 3,500,000 $ 518,431 $ 437,007 $ 1,419,247 $ 1,405,659 $ 1,615,900 $ 2,455,100 EXPENDITURES OPERATING BUDGET Personal Services ERE 107,380 65,237 276,753 284,140 315,100 All Other Operating 316,269 324,868 304,000 404,000 369,000 TOTAL OPERATING BUDGET 544,900 500,000 $ 942,080 $ 827,112 $ 2,000,000 $ 2,093,799 $ 2,300,000 $ 3,500,000 $ 942,080 $ 827,112 $ 2,000,000 $ 2,093,799 $ 2,300,000 $ 3,500,000 CAPITAL BUDGET Building Renovation Debt Service TOTAL CAPITAL BUDGET EXPENDITURES GRAND TOTAL * based on FY 02-03 revenue shortfall of $21,169 University of Arizona Water, Economic Development & Sustainability 33 34 UNIVERSITY OF ARIZONA TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET WATER, ECONOMIC DEVELOPMENT & SUSTAINABILITY PERFORMANCE MEASURES/DELIVERABLES FY 2002 FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 ACTUAL PROJECTED ACTUAL PROJECTED REVISED REVISED REVISED Return on Investment 1. Government project grants obtained 2. Additional funding obtained 0 * $244,700 * $275,000 $275,000 $275,000 $400,000 * $88,000 * $75,000 $75,000 $75,000 1 1 1 1 1 1 1 0 * 0 * * * * Technology Transfer 3. State-wide water conference Companies Relocating/Economic Development 4. Number of relocated research offices 5. Jobs attributable to relocation 0 * 0 * * * * 6. Jobs attributable to expansion 0 * 0 * * * * 7. Number of new faculty attracted 1 * 0 * * * * Workforce Contributions 8. Number of undergraduate employment/research opportuni 0 2 9 12 22 22 22 9. Number of graduate employment/research opportunities 1 4 16 12 37 37 37 10. Number of post graduate employment/research opportunit 2 1 2 4 2 2 2 0 * 40 * 40 40 40 Curriculum Innovations/Education 11. Expanded delivery of K-12 water education programs - number of facilitators trained ** - number of teachers trained/student contact ** 0 12. Interdisciplinary curriculum modules developed 0 - number of teachers trained/student contact ** 0 13. New rural water resources centers established 2 * 2 475/26,500 * * * * 7 * * * * 9/390 * 20/800 20/800 20/800 2 * 2 2 2 72 * * Partnerships * Indicates metrics not available; ** New measure added University of Arizona Water, Economic Development & Sustainability 14. New collaborations with institutions/industry ** ABOR CENTRAL OFFICE TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-2006 BUDGET SUMMARY REVENUE Carry Forward TRIF Revenue TOTAL REVENUE EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating Subtotal Operating Budget GRANTS/PROJECTS Arizona Regents University Regents Innovation Fund Subtotal Grants/Projects TOTAL OPERATING BUDGET FY 2003 FY 2003 FY 2004 FY 2005 FY 2006 REV BUDGET ACTUAL REV BUDGET REV BUDGET REV BUDGET $ $ $ $ CAPITAL BUDGET Building Renovation Debt Service TOTAL CAPITAL BUDGET 2,226,117 3,100,000 5,326,117 $ 198,600 46,000 487,572 732,172 $ 2,980,685 1,613,260 4,593,945 5,326,117 $ $ - 2,226,117 2,970,068 5,196,184 $ 204,866 43,977 13,901 262,745 $ 1,765,548 1,044,498 2,810,046 3,072,791 $ $ - 2,123,392 3,205,000 5,328,392 255,874 61,161 141,605 458,640 3,420,552 1,449,200 4,869,752 5,328,392 $ $ $ $ - 3,315,000 3,315,000 $ 200,000 50,000 400,600 650,600 $ 1,664,400 1,000,000 2,664,400 3,315,000 $ $ - 3,431,000 3,431,000 220,000 55,000 404,100 679,100 1,751,900 1,000,000 2,751,900 3,431,000 - TOTAL EXPENDITURES $ 5,326,117 $ 3,072,791 $ 5,328,392 $ 3,315,000 $ 3,431,000 BUDGET SUMMARY BY INITIATIVE Arizona Regents University Regents Innovation Fund $ 3,650,118 1,675,999 $ 1,961,431 1,111,360 $ 3,805,657 1,522,735 $ 2,315,000 1,000,000 $ 2,431,000 1,000,000 TOTAL $ 5,326,117 $ 3,072,791 $ 5,328,392 $ 3,315,000 $ 3,431,000 ABOR Central Office Summary 35 36 ABOR CENTRAL OFFICE TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 BUDGET / ACTUAL SUMMARY FY 2003 FY 2003 REV BUDGET ACTUAL FY 2003 CENTRAL OFFICE ACTUAL TRIF EXPENDITURES (in millions) REVENUE Carry Forward TRIF Revenue TOTAL REVENUE $ 2,226,117 $ 2,226,117 $ 3,100,000 5,326,117 $ 2,970,068 5,196,184 $ 198,600 $ 204,866 EXPENDITURES Arizona Regents University $2.0 64% OPERATING BUDGET Personal Services ERE 46,000 43,977 487,572 732,172 13,901 262,745 Arizona Regents University 2,980,685 1,765,548 Regents Innovation Fund Subtotal Grants/Projects TOTAL OPERATING BUDGET 1,613,260 4,593,945 5,326,117 1,044,498 2,810,046 3,072,791 Building Renovation - - Debt Service TOTAL CAPITAL BUDGET - - All Other Operating Subtotal Operating Budget Regents Innovation Fund $1.1 36% GRANTS/PROJECTS ARU (in thousands) REGENTS INNOVATION FUND (in thousands) CAPITAL BUDGET EXPENDITURES GRAND TOTAL $ 5,326,117 $ 3,072,791 SUMMARY BY INITIATIVE $ EXPENDITURES GRAND TOTAL $ 3,650,118 1,675,999 $ 5,326,117 $ 1,961,431 1,111,360 3,072,791 Scholars Portal $270 14% Nursing $400 20% TUTOR Link $86 4% MEng $500 26% Campus Coordinators $126 Other 6% $133 7% Operating $23 2% Learner Centered Education $575 52% Info Tech Collab $323 29% Arizona Biomed Collab $71 6% Changing Directions $119 11% ABOR Central Office Summary Arizona Regents University Regents Innovation Fund Operating Math/ $196 Science 10% Teacher Prep $250 13% ARIZONA BOARD OF REGENTS TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET ARIZONA REGENTS UNIVERSITY REVENUE Carry Forward TRIF Revenue TOTAL REVENUE FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 REV BUDGET ACTUAL ORIG BUDGET REV BUDGET REV BUDGET REV BUDGET 1,550,118 2,011,971 3,562,088 $ $ 1,600,657 2,205,000 3,805,657 $ 2,315,000 2,315,000 $ 154,390 34,898 6,594 195,883 $ 200,000 50,000 135,105 385,105 $ 200,000 50,000 400,600 650,600 $ $ $ 1,550,118 2,100,000 3,650,118 $ $ $ 2,205,000 2,205,000 $ $ $ 2,431,000 2,431,000 EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating Subtotal Operating Budget $ GRANTS/AID TO OTHERS Tri-University Master of Engineering Tri-University Master of Engineering Supplement ARU Campus Coordinators Salary, ERE, Start Up UA Nursing PhD ASU & NAU RN to BSN Scholars Portal Math & Science Teacher Preparation APASC/ATASS Partnership Tri-University Online Tutoring Resource (TUTOR) Link Web Development Research Survey Focus Groups Tri-University Master of Engineering-Marketing New Programs Subtotal Grants/Aid to Others TOTAL OPERATING BUDGET 150,000 37,500 481,933 669,433 $ 500,000 250,000 140,400 200,000 400,000 365,550 500,448 12,497 153,600 5,516 70,000 382,674 2,980,685 3,650,118 250,000 250,000 126,379 200,000 200,000 270,050 250,224 18,019 85,800 2,100 21,000 5,850 86,126 1,765,548 1,961,431 - - 2 200,000 50,000 366,100 616,100 $ 250,000 3 147,400 100,000 3 200,000 2 95,500 2 delayed to 04 75,497 67,800 2 115,000 49,000 2,320,355 3,420,552 3,805,657 250,000 147,400 100,000 200,000 195,800 250,224 44,635 400,841 1,588,900 2,205,000 1/2 1 1 1 1 151,106 200,000 195,800 250,224 68,600 798,670 1,664,400 2,315,000 220,000 55,000 404,100 679,100 151,106 250,224 1,350,570 1,751,900 2,431,000 3 3 2 3 CAPITAL BUDGET EXPENDITURES GRAND TOTAL 37 Note: FY 2003 expenditures include encumbrances at 6/30/03. 1, 2, 3 notations reflect year of grant funding. $ 3,650,118 $ 1,961,431 $ 2,205,000 $ 3,805,657 $ 2,315,000 $ 2,431,000 ABOR Central Office ARU Building Renovation Debt Service TOTAL CAPITAL BUDGET 38 ARIZONA BOARD OF REGENTS TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004-06 BUDGET ARIZONA REGENTS UNIVERSITY PERFORMANCE MEASURES/DELIVERABLES FY 2002 FY 2003 FY 2003 FY 2004 FY 2004 FY 2005 FY 2006 ACTUAL PROJECTED ACTUAL PROJECTED REVISED REVISED REVISED 0 $89,070 $89,070 Return on Investment Funds Leveraged $30,000,000 Workforce Contributions Number of Courses Provided 520 546 1,471 573 1,588 1,715 1,852 Number of Certificate & Degree Programs Provided 9 / 14 11 / 15 13 / 24 13 / 16 14 / 25 15 / 27 16 / 28 Number of Enrollments 12,353 14,200 35,616 16,330 37,396 39,265 41,229 $1,378,394 $1,500,000 $1,760,328 $1,500,000 $2,662,972 $1,500,000 $1,500,000 Grant Funds Distributed to Universities Curriculum Innovations Number of Coordinated Student Services Provided not available 5 6 6 7 8 9 Number of Faculty Trained not available Develop baseline Develop baseline 100 100 200 300 Number of Faculty Offering Distance Learning Courses not available + / - 400 400 412 412 424 436 ABOR Central Office ARU ABOR CENTRAL OFFICE TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004 BUDGET REGENTS INNOVATION FUND SUMMARY FY 2003 REV BUDGET REVENUE Carry Forward TRIF Revenue TOTAL REVENUE EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating Subtotal Operating Budget $ $ $ GRANTS/PROJECTS LCE Grants Arizona Biomedical Collaborative for Education/Research Information Technology Collaborative Changing Directions Expansion of Nursing Programs TRIF Program Evaluation Subtotal Grants/Projects TOTAL OPERATING BUDGET CAPITAL BUDGET Building Renovation Debt Service TOTAL CAPITAL BUDGET TOTAL EXPENDITURES TOTAL 675,999 1,000,000 1,675,999 48,600 8,500 5,639 62,739 $ $ $ FY 2004 BUDGET 675,999 958,097 1,634,096 50,476 9,079 7,307 66,862 $ $ $ 522,735 1,000,000 1,522,735 55,874 11,161 6,500 73,535 862,260 200,000 340,000 211,000 1,613,260 1,675,999 554,488 59,595 323,415 107,000 1,044,498 1,111,360 807,772 76,109 180,000 160,319 100,000 125,000 1,449,200 1,522,735 - - - $ 1,675,999 $ 1,111,360 $ 1,522,735 $ 882,364 200,000 340,000 223,000 30,635 $ 575,165 70,586 323,415 119,126 23,068 $ 824,272 100,000 180,000 160,319 100,000 125,000 33,144 $ 1,675,999 $ 1,111,360 $ 1,522,735 39 Note: The Regents Innovation Fund was established to address emerging opportunitites and contingencies. Consistent with this intent, detailed budgets have not been developed for FY 2005 and FY 2006. The total amount of the Innovation Fund in each of those years is $1million. ABOR Central Office Regents Innovation Fund Summary BUDGET SUMMARY BY INNOVATION FUND INITIATIVE Learner Centered Education Arizona Biomedical Collaborative for Education/Research Information Technology Collaborative Changing Directions Expansion of Nursing Programs TRIF Program Evaluation Operating FY 2003 ACTUAL 40 ABOR CENTRAL OFFICE TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004 BUDGET REGENTS INNOVATION FUND LEARNER CENTERED EDUCATION REVENUE Carry Forward TRIF Revenue TOTAL REVENUE EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating Subtotal Operating Budget FY 2003 FY 2003 FY 2004 REV BUDGET ACTUAL REV BUDGET $ $ $ GRANTS LCE Grants (FY 2004) LCE Grants (FY 2003) LCE Grants (FY 2002) Subtotal Grants TOTAL OPERATING BUDGET CAPITAL BUDGET Building Renovation Debt Service TOTAL CAPITAL BUDGET TOTAL EXPENDITURES $ 297,864 584,500 882,364 14,300 2,700 3,104 20,104 $ $ $ 297,864 560,008 857,872 12,962 2,461 5,254 20,677 $ $ $ 307,772 516,500 824,272 9,400 1,600 5,500 16,500 564,396 297,864 862,260 882,364 282,198 272,290 554,488 575,165 500,000 282,198 25,574 807,772 824,272 - - - 882,364 $ 575,165 $ 824,272 Budget Projections: Personal, ERE, and operations projections increase at a rate of 5% each year. For 2003, the Regents approved a one-time increase of $64,396 ove the planned $500,000 allotment to fund two additional grants. ABOR Central Office Regents Innovation Fund Learner Centered Education FY 2003 INITIATIVE OVERVIEW The purpose of the LCE grants is to support the Regents' goal of institutionalizing learner-centered education throughout the university system. The grants provide a source of support for new, innovative academic projects and unforeseen, short-term needs that fall within the framework of learner-centered education. The initial 2002 grants were funded for 15 months from April 2002-June 2003; subsequent grants beginning in 2003 will be 18 months in length from January 1 through June 30. Final reports for the 2002 grants are due by July 31, 2003. ABOR CENTRAL OFFICE TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004 BUDGET REGENTS INNOVATION FUND LEARNER CENTERED EDUCATION FY 2003 GOALS/OBJECTIVES Grants are solicited in four categories considered critical to the full implementation of learner-centered education throughout the university system: Faculty professional development Course/program modification or development Research on learner-centered education Improved assessment of learner-centered education at the course or program level Priority is given to proposals that are collaborative across campuses and among the universities. FY 2003 PERFORMANCE MEASURES/DELIVERABLES FY 2003 FY 2003 FY 2004 REVISED ACTUAL * PROJECTED 80 150 95 188 80 150 10,000 14,000 10,000 Curriculum Innovations 1. Number of courses modified to LCE focus 2. Faculty addressing curriculum through LCE grants Workforce Contributions 3. Students affected by LCE grant projects * Subject to revision upon receipt of final reports. FY 2003 RESULTS AND ACCOMPLISHMENTS 60 proposals were submitted. 18 were approved for funding. The 2003 process resulted in more collaborative projects. In FY 2002, only one of the 20 grants involved multiple campuses or universities. In FY 2003, more than 25 percent of the funded grants are collaborations between two or more campuses or institutions. In FY 2003, proposals with a greater range in funding types were submitted and funded. For example, three of the grants address research; in 2002 none did. An additional one-time increase of $64,396 was approved by the Board to fund two additional grants rated highly by the review panel. Projects are funded from January 2003 through June 30, 2004. Approximately half of the funds were released during FY 2003. The remainder will be released during FY 2004 upon receipt of the progress reports required of each grantee. ABOR Central Office Regents Innovation Fund Learner Centered Education 41 42 ABOR CENTRAL OFFICE TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004 BUDGET REGENTS INNOVATION FUND ARIZONA BIOMEDICAL COLLABORATIVE FOR EDUCATION & RESEARCH FY 2003 REV BUDGET REVENUE Carry Forward TRIF Revenue TOTAL REVENUE EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating Subtotal Operating Budget $ $ $ GRANTS/PROJECTS Ayers/Saint/Gross, Inc. Ryden Architects, Inc. Subtotal Grants/Projects TOTAL OPERATING BUDGET CAPITAL BUDGET Building Renovation Debt Service TOTAL CAPITAL BUDGET TOTAL EXPENDITURES $ FY 2003 ACTUAL 200,000 200,000 - $ $ $ FY 2004 BUDGET 200,000 200,000 9,189 1,802 10,991 $ $ $ 100,000 100,000 19,909 3,982 23,891 200,000 200,000 59,595 59,595 70,586 23,000 53,109 76,109 100,000 - - - 200,000 $ 70,586 $ 100,000 FY 2003 GOALS/OBJECTIVES Phase I tasks include (a) complete environmental assessments on three buildings (62,000 square feet); (b) site plans of areas surrounding buildings; (c) feasibility and estimated cost of renovation of the three buildings; and (d) preliminary programming of facilities. ABOR Central Office Regents Innovation Fund AZ Biomedical Collaborative for Education and Research FY 2003 INITIATIVE OVERVIEW Funding was provided for General Site Assessment Studies on three buildings owned and offered by the City of Phoenix, adjacent to the Translational Genomics Research Institute (TGen) site, for use by the Arizona Biomedical Collaborative for Education and Research (UA, ASU, and NAU). ABOR CENTRAL OFFICE TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004 BUDGET REGENTS INNOVATION FUND ARIZONA BIOMEDICAL COLLABORATIVE FOR EDUCATION & RESEARCH FY 2003 PERFORMANCE MEASURES/DELIVERABLES Return on Investment 1. Site analysis and cost estimate 2. Building utilization and occupants defined 3. Master Plan for site and adjacent ASU Downtown Center Curriculum Innovations 4. Potential for tri-university medical classes and research Partnerships/Collaborations 5. Collaborative effort with three universities FY 2003 REVISED FY 2003 ACTUAL Completed Completed Completed 90% complete 75% complete Included in Phase II TBD In progress Completed Ongoing FY 2003 RESULTS AND ACCOMPLISHMENTS Historic building condition assessment was 90% completed. New facility collaborative utilization plan was 75% completed. FY 2004 INITIATIVE OVERVIEW Funding will be provided for completion of General Site Assessment Studies on three ABC buildings. FY 2004 GOALS/OBJECTIVES Phase II will provide funding for additional planning for renovation of the three buildings, including: 1. 2. 3. 4. Finalize Renovation Feasibility Study. Finalize Tri-University Utilization of Site Study. Identify funding sources for renovation and new construction. Complete Master Plan for site and adjacent ASU Downtown Center. FY 2004 PROJECTED Completed Completed Completed Completed Ongoing 43 ABOR Central Office Regents Innovation Fund AZ Biomedical Collaborative for Education and Research FY 2004 PERFORMANCE MEASURES/DELIVERABLES Return on Investment 1. Site analysis and cost estimate 2. Building utilization and occupants defined 3. Master Plan for site and adjacent ASU Downtown Center Curriculum Innovations 4. Potential for tri-university medical classes and research Partnerships/Collaborations 5. Collaborative effort with three universities 44 ABOR CENTRAL OFFICE TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004 BUDGET REGENTS INNOVATION FUND INFORMATION TECHNOLOGY COLLABORATIVE FY 2003 REV BUDGET REVENUE Carry Forward TRIF Revenue TOTAL REVENUE EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating Subtotal Operating Budget $ $ $ GRANTS/PROJECTS Security Assessment of Tri-University Network and Server Environment Tri-University Business Continuity and Disaster Recovery Software Application To be designated Subtotal Grants/Projects TOTAL OPERATING BUDGET CAPITAL BUDGET Building Renovation Debt Service TOTAL CAPITAL BUDGET $ 178,135 161,865 340,000 - $ $ $ FY 2004 BUDGET 178,135 155,082 333,217 $ - $ $ - 340,000 340,000 323,415 323,415 180,000 180,000 180,000 - - - 340,000 100,000 114,963 65,037 180,000 - 223,415 - $ 323,415 $ 180,000 FY 2003 INITIATIVE OVERVIEW The Arizona Auditor General has recommended that the Arizona Board of Regents exercise more oversight of university information technology. An IT project approval process and extensive reporting requirements for IT expenditures have recently been approved by the Regents. Of particular interest to the Regents are potential collaborative IT projects that can improve service and/or result in cost savings. Such projects need to be initially identified, their feasibility studied, and plans drawn up before they can be implemented. Numerous possibilities exist for the efficient and effective use of seed money, including the use of consultants to develop an architecture for planning future IT development. Other examples include purchase of a Gigapop, a major telecommunications pipeline that networks the universities; contracting with a security consultant to evaluate the network security of the university system; and purchase of a disaster recovery software system. ABOR Central Office Regents Innovation Fund Information Technology Collaborative TOTAL EXPENDITURES FY 2003 ACTUAL ABOR CENTRAL OFFICE TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004 BUDGET REGENTS INNOVATION FUND INFORMATION TECHNOLOGY COLLABORATIVE FY 2003 GOALS/OBJECTIVES Obtain a consultant to conduct a security assessment of the three universities' network and server environments. Purchase and install a Business Continuity and Disaster Recovery Software application for the three universities. Approval for projects was received in late spring 2003 for FY 2003; with timeframe available, it was expected that project completion would overlap budget years. FY 2003 PERFORMANCE MEASURES/DELIVERABLES Return on Investment 1. Security Assessment: Develop, advise, evaluate and award RFP. 2. Business Continuity & Disaster Recovery Plan: Production of a business continuity plan by each university. Contract for hardware and software. FY 2003 REV BUDGET FY 2003 ACTUAL 100% 90% 100% 100% FY 2003 PARTNERSHIPS/COLLABORATIONS Both projects, Security Assessment and Business Continuity and Disaster Recovery Plan, are collaborative among the three universities. FY 2003 RESULTS AND ACCOMPLISHMENTS 1. Security Assessment of Tri-University Network and Server Environment RFP has been completed and advertised. 26 bids were received and are being evaluated by a Tri-University team. A bid award is planned for the end of August 2003. 2. The Tri-University Business Continuity and Disaster Recovery software has been leased and delivered, staff training has been scheduled, and personnel engaged from each of the universities. FY 2004 INITIATIVE OVERVIEW The Arizona Auditor General has recommended that the Arizona Board of Regents exercise more oversight of university information technology. An IT project approval process and extensive reporting requirements for IT expenditures have been approved and implemented by the Regents. Of particular interest to the Regents are potential collaborative IT projects that can improve service and/or result in cost savings. Such projects need to be identified, their feasibility studied, and plans drawn up before they can be implemented. FY 2004 GOALS/OBJECTIVES Goals and objectives will be provided when final IT projects are selected. FY 2004 PERFORMANCE MEASURES/DELIVERABLES Return on Investment 1. Performance measures will be provided when final IT projects are selected. Partnerships/Collaborations 2. Performance measures will be provided when final IT projects are selected. PROJECTED ABOR Central Office Regents Innovation Fund Information Technology Collaborative Numerous possibilities exist for the efficient and effective use of seed money, including the use of consultants to develop an architecture for planning future IT development, expansion of a major telecommunications pipeline that networks the universities, and contracting with IT consultants. 45 46 ABOR CENTRAL OFFICE TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004 BUDGET REGENTS INNOVATION FUND CHANGING DIRECTIONS REVENUE Carry Forward TRIF Revenue TOTAL REVENUE EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating Subtotal Operating Budget $ $ $ GRANTS/PROJECTS Battelle Institute To be designated Subtotal Grants/Projects TOTAL OPERATING BUDGET CAPITAL BUDGET Building Renovation Debt Service TOTAL CAPITAL BUDGET TOTAL EXPENDITURES $ FY 2003 FY 2003 FY 2004 REV BUDGET ACTUAL REV BUDGET 223,000 223,000 9,200 800 2,000 12,000 $ $ $ 213,656 213,656 9,325 786 2,015 12,126 $ $ $ 160,319 160,319 - 211,000 211,000 223,000 107,000 107,000 119,126 160,319 160,319 160,319 - - - 223,000 $ 119,126 $ 160,319 The central office technology resources, both in hardware and personnel, are inadequate to support more robust functions and capabilities. Therefore, a grant in the amount of $223,000 for a Collaborative Institutional Research Data System Upgrade is proposed for implementation in FY 2003. The current system is fragmented, using outdated technology resulting in inadequate reporting capabilities. At the same time, there is a growing need for more and better data to support decision-making and accountability. ABOR Central Office Regents Innovation Fund Changing Directions FY 2003 INITIATIVE OVERVIEW The Board’s Changing Directions initiative will likely result in the need for the central office and the universities to retool admission, tuition, financial aid, and reporting systems to implement recommendations. Grants could be made available to support these efforts. ABOR CENTRAL OFFICE TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004 BUDGET REGENTS INNOVATION FUND CHANGING DIRECTIONS 1. Academic program reviews are now expected to provide outcomes and assessments. 2. ABOR needs to improve its ability to track students in regard to the workforce and accountability. 3. Changing Directions intends to allow greater differentiation among universities while ensuring that students have adequate access to programs. Tracking programs will need to be improved. 4. As more ARU programs go online, students and programs will need to be tracked and managed. FY 2003 GOALS/OBJECTIVES The objectives of this project are to develop a data warehouse environment to better manage information and to produce reports to serve Regents and the universities; to improve tracking of academic program information; to improve and expand reporting mechanisms; and to create infrastructure for ARU to provide critical central services. One- or two-year grants in subsequent years could support university projects to retool their systems. The proposed amount also includes staff support to implement the various projects and funding for meeting costs of groups such as the Business Advisory Team and the healthcare chief executive officers. FY 2003 PERFORMANCE MEASURES/DELIVERABLES Leveraging of Investment 1. Deptartment of Commerce support for Battelle Institute work. Workforce Contributions/Economic Development 2. Address specific, designated labor market shortages, e.g., healthcare workers, teachers. Partnerships/Collaborations 3. Develop partnerships with other entities, e.g., other states, three universities, community colleges, and state agencies. REVISED ACTUAL TBD $400,000 TBD In Progress TBD Ongoing, including partnership with Department of Commerce in Battelle work. FY 2003 RESULTS AND ACCOMPLISHMENTS The Changing Directions initiative has resulted in the need to significantly modify many internal processes. Among the accomplishments in the last year were: 47 ABOR Central Office Regents Innovation Fund Changing Directions 1. Began a comprehensive review of central office computer technology and reporting systems both in terms of how they compare to systems existing in other states and how they fit into the reporting systems of the universities. Identified best practices among the states and began to develop an outline of where ABOR needs to invest its resources. 2. Began implementation of an Academic Program Inventory that provides a centralized catalog of all academic programs for the three universities and tracks their operation over time. 3. In cooperation with the Arizona Department of Commerce, engaged Battelle Institute to identify investment opportunities in advanced communications, information technology, and sustainable systems. 4. Working with the universities, have begun to identify accountability measures and develop reporting structures to support changes in Board policy and the devolution of authority to the universities to differentiate their programs. 48 ABOR CENTRAL OFFICE TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2003 ACTUAL/FY 2004 BUDGET REGENTS INNOVATION FUND CHANGING DIRECTIONS FY 2004 INITIATIVE OVERVIEW Many of the objectives and accomplishments of FY 2003 will continue into FY 2004. Among the principal activities will be: 1. Continue the comprehensive review and development of a plan to improve the reporting mechanisms of the central office. 2. Depending on the needs of the universities, provide resources to the universities to retool admission, tuition, financial aid, and other reporting systems to meet the needs of Regents and the public as identified through Changing Directions. 3. Implement the Academic Program Inventory system for tracking and reporting purposes. 4. Receive, review, and implement recommendations in Battelle Institute work. FY 2004 PERFORMANCE MEASURES/DELIVERABLES Leveraging of Investment 1. Will use these dollars to leverage investments made by the universities or in other states. Partnerships/Collaborations 2. Build partnerships with other system developers. FY 2004 PROJECTED Completed Completed ABOR Central Office Regents Innovation Fund Changing Directions ABOR CENTRAL OFFICE TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2004 BUDGET REGENTS INNOVATION FUND EXPANSION OF NURSING PROGRAMS FY 2004 BUDGET REVENUE Carry Forward TRIF Revenue TOTAL REVENUE EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating Subtotal Operating Budget GRANTS/PROJECTS To be designated (to universities) Subtotal Grants/Projects TOTAL OPERATING BUDGET $ $ $ $ 100,000 100,000 - 100,000 100,000 100,000 CAPITAL BUDGET Building Renovation Debt Service TOTAL CAPITAL BUDGET TOTAL EXPENDITURES $ 100,000 The Legislature provided no funding in FY 2004 for expansion of nursing programs. The universities are making internal reallocations to the extent possible under existing budget constraints. In addition, a number of private sector partnerships have been established, most notably the University of Arizona's partnerships with University Medical Center and Carondelet Health Network to implement a 14-month accelerated BSN program. The Governor's Council on Workforce Policy will award a $505,623 grant to the universities to expand RN programs. This grant will require matching funds. 49 ABOR Central Office Regents Innovation Fund Expansion of Nursing Programs FY 2004 INITIATIVE OVERVIEW Arizona's universities and community colleges were directed by SB 1260 to double the number of students in Registered Nursing (RN) programs by 2007. This will take a combination of funds from private, public, and university sources. These Regents Innovation Funds will support this collaborative effort. 50 ABOR CENTRAL OFFICE TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2004 BUDGET REGENTS INNOVATION FUND EXPANSION OF NURSING PROGRAMS FY 2004 GOALS/OBJECTIVES Expand registered nursing programs at Arizona's public universities. Provide $1.00 of matching money for every $5.00 of grant funds available to a university. FY 2004 FY 2004 PERFORMANCE MEASURES/DELIVERABLES PROJECTED Leveraging of Investment 1. External funds leveraged. $500,000 Curriculum Innovations 2. Develop accelerated BSN curricula. 100% complete Workforce Development 3. Expand RN programs by 8 percent. 8% program expansion Partnerships/Collaborations 4. Collaborate with universities, community colleges, hospitals, and 100% complete Arizona Hospital and Healthcare Association to develop comprehensive plan responsive to SB 1260. ABOR Central Office Regents Innovation Fund Expansion of Nursing Programs ABOR CENTRAL OFFICE TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2004 BUDGET REGENTS INNOVATION FUND TRIF PROGRAM EVALUATION FY 2004 BUDGET REVENUE Carry Forward TRIF Revenue TOTAL REVENUE EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating Subtotal Operating Budget $ $ $ GRANTS/PROJECTS External consultant Subtotal Grants/Projects TOTAL OPERATING BUDGET - 125,000 125,000 125,000 CAPITAL BUDGET Building Renovation Debt Service TOTAL CAPITAL BUDGET TOTAL EXPENDITURES 125,000 125,000 $ 125,000 FY 2004 INITIATIVE OVERVIEW 51 ABOR Central Office Regents Innovation Fund TRIF Program Evaluation It is the intent of the Regents that the TRIF initiatives be evaluated during FY 2004, the third year of the TRIF program, to provide direction for possible reallocation of funds in years four (FY 2005) and five (FY 2006) of the five-year budget cycle and to help inform development of the next five-year cycle. This funding will provide for engaging the services of an external, independent consultant to perform this work. Relevant work performed by the Morrison Institute at ASU, the Office of Economic Development at UA, and the Battelle Institute will help shape the evaluation. 52 ABOR CENTRAL OFFICE TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2004 BUDGET REGENTS INNOVATION FUND TRIF PROGRAM EVALUATION FY 2004 GOALS/OBJECTIVES 1. 2. 3. 4. 5. 6. Form steering committee to oversee evaluation. Issue request for proposals (RFP). Select and engage external consultant. Receive and review final report. Implement any needed modifications to budgeted FY 2005 and FY 2006 TRIF programs. Use final report to aid in development of proposed FY 2007-FY 2011 TRIF budget. FY 2004 FY 2004 PERFORMANCE MEASURES/DELIVERABLES Return on Investment 1. Evaluation report from external consultant. Curriculum Innovations 2. To be determined on review of final report. Partnerships/Collaborations 3. Collaborative evaluation effort with three universities. PROJECTED Completed TBD Completed ABOR Central Office Regents Innovation Fund TRIF Program Evaluation ABOR CENTRAL OFFICE TECHNOLOGY AND RESEARCH INITIATIVE FUND (TRIF) FY 2004 BUDGET REGENTS INNOVATION FUND OPERATING REVENUE Carry Forward TRIF Revenue TOTAL REVENUE EXPENDITURES OPERATING BUDGET Personal Services ERE All Other Operating Subtotal Operating Budget GRANTS/PROJECTS To be designated Subtotal Grants/Projects TOTAL OPERATING BUDGET $ FY 2003 FY 2004 ACTUAL BUDGET 30,635 30,635 $ $ $ 25,100 5,000 535 30,635 $ 30,635 $ $ CAPITAL BUDGET Building Renovation Debt Service TOTAL CAPITAL BUDGET TOTAL EXPENDITURES FY 2003 REV BUDGET 29,351 29,351 $ $ $ 19,000 4,030 38 23,068 $ 23,068 $ $ 30,635 $ $ 26,565 5,579 1,000 33,144 $ 33,144 $ 23,068 33,144 33,144 $ 33,144 FY 2003 INITIATIVE OVERVIEW The Operating budget supports implementation of Regents Innovation Fund projects, as well as the system's TRIF fund, including system budget preparation, accounting, and reporting functions. ABOR Central Office Regents Innovation Fund Operating 53 This page intentionally left blank. 54 APPENDIX Arizona Board of Regents Policy 3-412 55 Policy Number: 3-412 Policy Revision Dates: 3-412 A. Policy Name: 3/01 Administration of Technology and Research Initiative Fund Page 1 Administration of Technology and Research Initiative Fund Authority As authorized by Proposition 301 approved by the voters in November 2000, the Board shall establish and administer a technology and research initiative fund (TRIF), beginning July 1, 2001. The TRIF will consist of sales tax revenues generated through Proposition 301 and other private or public sources of funding which are received by the Board for purposes which are consistent with the proposed uses described herein. B. Funding Criteria The TRIF will be used to support projects and initiatives that meet one or more of the following criteria: C. 1. Promote university research, development and technology transfer related to the knowledge based global economy; 2. Expand access to baccalaureate or post-baccalaureate education for time-bound and place-bound students; 3. Implement final recommendations from the Governor's Task Force on Higher Education and/or the Arizona Partnership for the New Economy. 4. Develop programs that will prepare students to contribute in high technology industries located in Arizona. Calendar and Guidelines The Board shall establish an annual calendar for the allocation of Proposition 301 funding, including guidelines for the submission and evaluation of proposals, and final decisions by the Board. The calendar will incorporate a process to receive and consider input from the Arizona Partnership for the New Economy (APNE) or a successor agency as may be designated by the Governor. 56 Policy Number: 3-412 Policy Revision Dates: D. Policy Name: 3/01 Administration of Technology and Research Initiative Fund Page 2 Formats for Submission of Proposals Funding requests shall be submitted by the university Presidents, or prepared by the Central Office on behalf of the Board, in a format to be approved by the Executive Director, to include the following elements: A description of the proposed need, purpose and goals for each proposed project or activity, an explanation as to the ways in which the project promotes the purposes of the legislation, and/or an explanation of the relationship of the proposed project or activity to the foundation or clusters which are part of the state's overall economic development program; E. 1. The requested duration of the proposed project or activity; 2. Proposed detailed performance measures, desired outcomes, and proposed methodology for evaluating progress in attaining the desired outcomes; and 3. A detailed budget for each proposed project or activity, including the identification of funds which are intended to be either continuing, multiyear, or one time only. Special Factors The Board shall take into account several additional factors in determining its allocations from this fund: 1. Priority shall be given to proposals that involve collaboration between and among the universities and/or collaboration with private industry or public sector agencies. 2. The Board may authorize awards for an annual or multi-year basis, but in no event will the Board make an award on a multi-year basis without incorporating specific requirements regarding periodic review and assessment or progress in implementing the proposed project or activity and in attaining the desired outcomes. 3. Funding may be used to pay salaries only for persons directly involved in projects or activities funded under this program that would otherwise not be funded through general fund appropriations. 57 Policy Number: 3-412 Policy Revision Dates: 58 Policy Name: 3/01 Administration of Technology and Research Initiative Fund Page 3 4. The Board may allocate up to 20% of annual funding for capital projects relating to new economy initiatives, including the payment of debt service; capital projects must be clearly identified with each university's submission of proposals. 5. The Board will honor the legislative intent as described in Proposition 301 that a portion of the revenues in the fund shall be allocated on an annual basis to pay Certificates of Participation costs for leasepurchase of buildings and associated infrastructure at ASU East and West campuses.