Academic Revenue Generation

Overview

There are a number of ways that academic units can generate revenue in addition to the typical tuition and fees collected from students. Here are some examples including the benefits and fit, arranged in order from least to greatest cost, startup time, complexity, and risk:

Open classroom space for concurrent enrollment students

  • Feasible for most academic units
  • Relatively light administrative burden
  • Quality students already in pipeline

Open new sections for concurrent or summer students

  • Fast growth for many academic units
  • You already do this well

Create new courses

  • Courses can be targeted at market demand
  • Expand pool of electives for smaller units
  • Enhance experience for current students

New programs

Create a Self Supporting Graduate Professional Degree Program (SSGPDP) or Charge Professional Degree Supplemental Tuition (PDST) for specific graduate and professional degree programs

  • Prestige offering for large professional schools with robust administrative structures
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Programs and Associated Revenue

In this topic, we focus on three types of programs and associated revenues:

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Professional Degree Supplemental Tuition (PDST)

Overview

Professional Degree Supplemental Tuition (PDST) is additional mandatory tuition assessed to students enrolled in specific graduate and professional degree programs. The revenue from this tuition is specifically intended to sustain and enhance the quality of the professional school's academic programs and services. UC Berkeley has 20+ existing programs that charge PDST.

Campus Deliverables

Multi-year Proposal

Existing programs must submit a new multi-year proposal every two to five years to continue charging PDST. The multi-year fee plan is also required for:

  • New programs that will charge PDST
  • Existing programs that wish to establish a PDST charge
  • Increases to existing PDST rates

Establish a New PDST or Maintain an Existing PDST

  • UCOP issues the call for new PDST fees and existing PDST fee increases in August each year
    • The process concludes with the UC Board of Regents review at their January, March, or May meeting
    • Please refer to the General Approval Timeline for details
  • To establish a new program, please contact the Graduate Division for the academic approval timeline
    • Please be aware that academic approval for a new PDST program can take 18 months

Policies that Govern the Work

In addition to policies, the University of California Office of the President (UCOP) has established guidelines for professional degree supplemental tuition:

Roles and Responsibilities

Every two to five years, a PDST-charging program must submit a new multi-year proposal. Divisional Finance Leaders (DFLs):

  • Work with program teams to ensure on-time delivery of draft proposals
  • Coordinate with FP&A to communicate messages and feedback on proposals

Systems Used

UC Graduate PDST Program Demographics Dashboard

The UC Graduate PDST Program Demographics dashboard provides three years of enrollment information by degree level, gender and ethnicity for Graduate PDST programs on all UC campuses. Access to this site is provided based on business need, please contact studentfees@berkeley.edu if you do not currently have access and believe that you should.

Cal Answers

In the General Ledger Reporting and Financial Management Reporting dashboards:

  • PDST revenue can be found in Account 40537 - Prof Degree Supp Tuition and rolls up to Tuition & Fees
  • Filter on the associated Dept ID(s) or Funds to see expenses associated with a specific program
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Self-Supporting Graduate Professional Degree Programs (SSGPDPs)

Overview

Self-supporting graduate professional degree programs (SSGPDPs) are programs whose costs, both direct and indirect, are covered by revenues generated by the program such as student charges. These programs are not allowed to use State General Funds and tuition and fees to pay for expenses associated with program operations.

Many SSGPDPs are: (1) offered through an alternative mode of delivery, such as online or hybrid instruction; (2) alternatively-scheduled (for example: during evenings, weekends, and/or summers); and/or (3) offered in alternative locations (for example: off-campus).

A proposal to create a self-supporting program must make a compelling academic and budgetary case for the program. In addition, it must articulate how it will ensure that the self-supporting program will not have a detrimental impact on state-supported teaching, research, or service, both academically and financially, in the unit proposing the program.

UC Berkeley currently has twenty-one approved self-supporting graduate professional degree programs (SSGPDPs).

Campus Deliverables

Make Annual Fee Submission for Existing SSGPDP

All new and existing Approved SSGPDPs are required to submit an annual fee proposal for review and approval by the President.

Propose a new SSGPDP

Please note the timing and required approvals associated with proposing a new SSGPDP:

  • Please contact the Graduate Division for the academic approval timeline and requirements
    • Please note that approval of a new SSGPDP can take 18 months
  • The Chancellor must endorse all new and existing SSGPDP fee requests
  • The UC President approves all SSGPDP fees
  • UCOP issues the SSGPDP fee call in November of each year

Policies that Govern the Work

UC System-Wide Policies

UC Berkeley Policies

Roles and Responsibilities

Divisional Finance Leader (DFL)

  • For new programs, DFLs work with Graduate Division and program team to draft proposal
  • For new and existing programs, DFLs work with program teams to complete annual narrative and cost analysis templates

Systems Used

Cal Answers

In the General Ledger Reporting and Financial Management Reporting dashboards:

  • Revenue is tracked under the Net Tuition and Fees:
    • Account 40555 - Self-Supporting Program Fee tracks SSGPDP revenue
    • Account 40559 - Contra Rev SSDP Camps Svcs Supp tracks the campus assessment on SSGPDP revenue (currently 15%)
  • To access expenses associated with a specific program, filter on the associated Dept ID(s) or Funds
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Departmental Support Funds

Overview

Departmental Support Funds, also known as Revenue Share, are funds from Summer Session enrollments that are shared with the offering department for the course.

Policies that Govern the Work

All Summer courses are subject to the minimum enrollment policy for 1) course cancellation and 2) Departmental Support Funds as described in Minimum Enrollment Policy.

Roles and Responsibilities

Summer Sessions Academic Department Resource Page has the details you need for planning, conducting, and financing summer session courses.

Systems Used

CalPlanning and Cal Answers

Revenue Share from summer session courses can be found in Account 73110 - Summer Session/UNEX Rev Share, which rolls up to Operating Transfers. Summer Sessions revenue share uses funds 20293 and 20291.

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Concurrent Enrollment Revenue Share

Overview

Concurrent Enrollment Revenue Share are funds from concurrent enrollments that are shared with the offering department for the course.

Policies that Govern the Work

Academic departments hosting concurrent enrollment students are provided 50% of the gross tuition revenue.

Roles and Responsibilities

University Extension Finance team calculates the revenue share amount twice per academic year, around 1 or 2 months after the conclusion of each semester.

Systems Used

CalPlanning and Cal Answers

Revenue Share from concurrent enrollment can be found in Account 73110 - Summer Session/UNEX Rev Share, which rolls up to Operating Transfers. UNEX revenue share comes in the fund 20300 (UNEX Revenue fund).