It is worthy to note that 1999-‘00 operations reflected record receipts that exceeded $2.7 billion. With only 21.7 percent of this sum delivered from the State of California, UCLA now relies on tuition, fees, grants, contracts, private donations and sales and service activities to play an increasingly important role in funding operating expense.

ADMINISTRATIVE STRATEGIC INITIATIVES 
During 1999-‘00 various administrative initiatives continued to focus on further strengthening campus financial-management practices, enhancing and deploying technology in support of the University’s mission, and continuing to improve business processes and the quality of life for members of the campus community.  An extended suite of on-line reports accessed through the Web made financial and research data more fully available to campus users with added new functionality.  Standardized on-line reports and other financial-inquiry tools have increased the ability to deploy up-to-date data for decision-making and financial-management purposes.  The use of electronic means to process various financial transactions has been expanded and efforts are under way to Web-enable the interface to legacy systems for campus users as part of a transitional information-systems plan to further upgrade existing legacy technology and extend the useful lives of those systems.  This plan will enable the campus to defer the costly investment in new enterprise systems until such time as the market for those systems has matured and successful implementation within the higher-education industry has been well-proven.  The initiative to reinforce the need for appropriate financial controls to ensure that the campus will continue to effectively manage public funds in a changing technical and regulatory environment has retained ongoing focus.  These activities have been undertaken with heightened emphasis on streamlining processes, improving management-information tools and meeting increased compliance and regulatory requirements.

Further, the campus has continued the aggressive effort to improve and retrofit its physical plant, a program which, approximating $2 billion in project value under management, is among the largest and most complex of its type in the country. This program includes significant construction efforts continuing to bring about seismic improvement of core campus buildings; progress toward full realization of the Housing Master Plan, including completion of additional undergraduate on-campus housing and graduate family off-campus housing; and construction of comprehensive new hospital and medical research facilities.  This latter group of projects, which will enable seismic retrofit of the Center for the Health Sciences complex and will reposition the medical enterprise for the future, will entail the deployment of more than $1.3 billion across the upcoming decade.

THE REPORT 
This is the fifth year of publication of a restructured UCLA annual financial report.  The intent has been to create a document that conveys necessary financial and related information in a manner that readily communicates the overall nature of UCLA from a financial-operations point of view.   The following pages should provide a sense of the financial health of the institution, retained through emphasis on strong management of the public trust and fostered through significant contributions from its dedicated faculty, staff, students and supporters.

MISSION
The tripartite mission of the University of California is teaching, research and public service. The accompanying annual financial report reflects the resources and expenditures of the Los Angeles campus, which allow UCLA to fulfill this mission. The objective of the Overview is to help readers of the UCLA Annual Financial Report better understand UCLA’s financial activities for the fiscal year ending June 30, 2000. This discussion should be read in conjunction with the financial statements and the notes to the financial statements

POSITION IN THE UNIVERSITY OF CALIFORNIA SYSTEM
UCLA is financially the largest campus in the 10-campus University of California system. The majority of financial activity of the campus is reflected within UCLA’s accompanying financial statements for current funds. Investments, the campus’ portion of pooled debt and the retirement system are accounted for on a universitywide basis through the Office of the President and are therefore not reflected in UCLA’s stand-alone financial statements

Click on arrow to view chart for Current Funds, All UC Campuses

The above chart reflects the respective revenues and expenditures of the various campuses, along with systemwide programs and administration for the 1999-'00 fiscal year.

FUNDS FOR CURRENT OPERATIONS
The fund balance in the current funds group decreased by $42 million to $451,507,000 during fiscal year 1999-‘00. The Statement of Current Funds Revenue, Expenditures and Other Changes details the activity that occurred.

UCLA receives its funding through a complex structure of governmental appropriations, grants, tuition and fees, gifts and revenue generated from business activities and interest earnings. For the 1999-'00 fiscal year, total receipts reached $2,710,924,000, an increase of 8.7% over the prior year. The expenditures from these sources totaled $2,658,012,000, an increase of 11% over the prior period.

1999-'00
GRAND TOTAL

CHANGE OVER
PRIOR YEAR

$ 224,681

8.3%

$ 222,499

8.9%

1.0%

346,398

12.8%

320,228

12.9%

8.2%

590,023

21.7%

543,667

21.8%

8.5%

27,680

1.0%

27,307

1.1%

1.4%

211,331

7.8%

162,612

6.5%

30.0%

260,338

9.6%

258,547

10.4%

0.7%

216,694

8.0%

211,437

8.5%

2.5%

801,777

29.6%

714,136

28.6%

12.3%

32,002

1.2%

33,532

1.3%

-4.6%

$ 2,710,924

100.0%

$ 2,493,965

100.0%

8.7%

1999-'00
Grand Total

Percent
of Total

Prior Year
Grand Total

Percent
of Total

Change Over
Prior Year

$ 645,872

24.3%

$ 604,225

25.2%

6.9%

388,518

14.6%

351,942

14.7%

10.40%

31,911

1.2%

206,975

8.6%

13.7%

238,295

9.0%

28,066

1.2%

15.1%

848,084

31.9%

740,588

30.9%

14.5%

47,807

1.8%

44,607

1.9%

7.2%

93,688

3.5%

84,894

3.6%

10.4%

72,715

2.7%

53,202

2.2%

36.7%

113,572

4.3%

110,025

4.6%

3.2%

177550

6.71%

170,679

7.1%

4.0%

$ 2,658,012

100.0%

$ 2,395,203

100.0%

11.0%

CURRENT FUNDS:

State Government   Tuition and Fees   Federal Government    Local Government
Private Gifts and Contracts   Gifts and Endowments    The UCLA Foundation
Sales and Services - Educational Department   Sales and Services - Auxiliary Enterprises
Sales and Services - Teaching Hospital   Other Sources  

STATE GOVERNMENT
The University of California is chartered as an instrumentality of the State of California and approximately 90% of students enrolled in the academic programs of the campus are considered residents of the state for tuition purposes. UCLA continues to rely heavily on state appropriations amounting to $531,068,000 in the 1999-'00 fiscal year to maintain its basic academic programs. Also, the state, including lottery funds, contributed $45,972,000 toward special programs in such areas as financial aid, tobacco-related diseases, breast cancer, AIDS research and education-improvement outreach programs. In addition to the funds received directly from the state budget, UCLA’s contractual research and training agreements with various state agencies, including California Health and Human Services, California Social Services, and California Business, Transportation and Housing Agency, reached $12,983,000.

Click on arrow to view chart showing Funds Received From the State Over the Last 10 Years

TUITION AND FEES
Educational- and student-service costs (recreational programs, social services, student union and financial- assistance programs) are funded in part through the assessment of fees to students.