Revenue Generation Plan – Summary October 8, 2002

It is the mission of University of Missouri Extensionto improve Missourian’s lives by addressing their highest priorities through the application of research-based knowledge and resources. It is our vision that we can improve people’s lives through relevant, lifelong learning. It is our challenge to carry out our mission and achieve our vision within a climate of shrinking resources. Even within this climate, we must be poised to provide a level of excellence in programming that is recognized in Missouri and across the nation. As we focus on our three priority program areas of enhancing economic viability, building strong individuals, families and communities, and creating healthy environments, we must insure that we have the tools necessary for success. This is possible only if we have adequate funds. Funds are required to attract, retain and maintain high-performing faculty and staff and to support continuous improvement in our five critical success factors of learning and achievement, access and quality, innovation, human resources and stewardship of resources.

However, the University of Missouri System FY02 budget was reduced by $80 million. State funding for UM’s core budget for FY03 was cut by 10 percent. While campuses have the option of raising fees and managing enrollment, University of Missouri Extensionmust seek other alternatives. With this is mind, on July 18, 2002, Dr. Ron Turner, Executive Vice President and Director of Cooperative Extension appointed the Revenue Generation Committee to recommend methods for generating additional revenue to achieve our mission. The committee was asked to submit a report of concrete actions to be taken to generate revenue and enhance cost recovery by

Sept 16, 2002.

The committee has completed its work. The ideas that have been generated are bold and require a paradigm shift in thinking about whose responsibility it is to generate revenue. These ideas will require shifts in policies and procedures and in professional development to build the capacity of our workforce to generate revenue. This report outlines the process undertaken by the committee; the principles that guided its work; and the ideas generated in the areas of gifts and endowments, grants and contract acquisition, cost recovery and strategic partnerships.

Strategic Partnerships - Identify a person to take leadership in creating a strategic partnerships working group. The group is to scan the environment and assist in identifying opportunities for UO/E faculty and administrators to forge new partnerships that generate fees through grants and contracts, gifts and endowments, and fee-based programs.

Gifts and Endowments - Establish a UO/E Office of Endowments and Gifts. Projected Amount to be generated: $100 million over the next 6 years.

Cost Recovery - Ask all UO/E programmatic and administrative units to develop a collaborative fee-generation plan to generate funds equivalent to 2 percent of the annual salary costs for the unit.

Grants and Contracts - Improve the infrastructure for obtaining grants and contracts. Projected increased amount to be generated: $11,000,000 with $2,036,000 in indirect.