The university’s recommended FY 2023-24 consolidated original budget totals $6,780,322,900, an increase of $1,168,630,400 (20.8 percent) compared to the prior fiscal year original budget. Since FY 2013-14, the university’s original operating budget will have increased 150.3 percent, from $2.7 billion to $6.8 billion.
FY 2023-24 is the seventh year the Kentucky General Assembly has used performance funding models to allocate state appropriations to the public universities and the Kentucky Community and Technical College System (KCTCS). There is a model for the eight public universities and a separate model for KCTCS’ colleges. The performance funding model for the public universities is based on 11 metrics primarily focused on student success such as bachelor’s degrees produced, earned student credit hours, and undergraduate student progression. The competitive-based model rewards universities with rates of growth that exceed the sector average.
For AY 2023-24, senior leadership recommends 2.75 percent and 3.50 percent rate increases for most resident and nonresident students, correspondingly. The recommended rates comply with CPE’s tuition and mandatory fees ceilings and policy. Over the last 10 years, the four-year average annual increase for resident undergraduate students will have dropped from 5.3 percent to 1.7 percent.