UNIVERSITY OF COLORADO

FINANCIAL STATEMENTS

June 30, 2013 and 2012 (in thousands)

STATEMENTS OF NET POSITION

  2013 2012
      (Restated)  
  University Component Units University Component Units
Assets
Current Assets
Cash and cash equivalents See Note 2 $76,410 25,674 57,235 19,751
Investments See Note 3 264,035 2,044 157,784 2,084
Accounts, contributions, and loans receivable, net See Note 4 271,428 15,855 264,509 16,973
Inventories 19,407 - 18,466 -
Other assets 5,174 1,283 4,787 979
Total Current Assets 636,454 44,856 502,781 39,787
Noncurrent Assets        
Investments See Note 3 1,780,451 1,210,787 1,680,174 1,071,391
Assets held under split-interest agreements See Note 3 - 41,288 - 58,264
Accounts, contributions, and loans receivable, net See Note 4 27,686 43,905 26,686 42,681
Other assets 8,272 6,780 9,083 10,699
Capital assets, net See Note 5 2,713,849 62,537 2,610,597 60,788
Total Noncurrent Assets 4,530,258 1,365,297 4,326,540 1,243,823
Total Assets $ 5,166,712 1,410,153 4,829,321 1,283,610
Deferred Outflows
Loss on bond refundings 39,407 - 31,445 -
Total Deferred Outflows 39,407 - 31,445 -
Total Assets and Deferred Outflows $ 5,206,119 1,410,153 4,860,766 1,283,610
Liabilities        
Current Liabilities        
Accounts payable $ 89,397 9,538 71,468 9,609
Accrued expenses See Note 6 189,380 - 178,190 -
Compensated absences See Note 7 10,018 - 8,866 -
Other postemployment benefits See Note 7 12,706 - 11,766 -
Unearned revenue See Note 8 116,378 1,064 111,510 1,372
Bonds, leases, and notes payable See Note 9 60,096 1,357 71,759 1,053
Split-interest agreements - 2,718 - 3,540
Custodial funds - 8,089 - 7,485
Alternate medicare plan See Note 15 1,411 - 912 -
Early retirement incentive program See Note 15 1,858 - 1,903 -
Other liabilities See Note 10 38,716 - 33,441 -
Total Current Liabilities $519,960 22,766 489,815 23,059
  2013 2012
      (Restated)  
  University Component Units University Component Units
Noncurrent Liabilities        
Compensated absences See Note 7 147,522 - 134,605 -
Other postemployment benefits See Note 7 152,687 - 119,742 -
Unearned revenue See Note 8 30 - 3,468 -
Bonds, leases, and notes payable See Note 9 1,345,008 70,423 1,288,441 69,351
Split-interest agreements - 16,869 - 15,828
Custodial funds - 270,842 - 240,037
Alternate medicare plan See Note 15 5,289 - 4,288 -
Early retirement incentive program See Note 15 4,387 - 6,070 -
Other liabilities See Note 10 8,674 5,060 9,634 2,263
Total Noncurrent Liabilities 1,663,597 363,194 1,566,248 327,479
Total Liabilities $ 2,183,557 385,960 2,056,063 350,538
         
Net Position        
Net investment in capital assets $ 1,579,724 (1,011) 1,473,009 (2,367)
Restricted for nonexpendable purposes (endowments)        
Instruction - 224,825 - 200,209
Research 2,475 27,831 2,475 17,515
Academic support 15,076 15,669 15,076 14,829
Scholarships and fellowships 13,955 122,698 13,955 111,394
Capital and other 1,355 6,967 1,355 6,273
Total restricted for nonexpendable purposes 32,861 397,990 32,861 350,220
Restricted for expendable purposes        
Instruction 22,077 287,414 20,694 254,278
Research 26,432 52,003 24,719 46,987
Academic support 33,434 54,604 24,566 43,153
Student loans and services 39,065 - 38,528 -
Scholarships and fellowships 30,617 115,970 26,085 102,273
Auxiliary enterprises 200,271 - 156,206 -
Capital 17,413 38,394 71,982 59,697
Other 20,807 6,094 17,040 5,475
Total restricted for expendable purposes 390,116 554,479 379,820 511,863
Unrestricted See Note 11 1,019,861 72,735 919,013 73,356
Total Net Position, as restated $3,022,562 1,024,193 2,804,703 933,072

STATEMENTS OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION

  2013 2012
      (Restated)  
  University Component Units University Component Units
Operating Revenues
Student tuition (net of scholarship allowances of $129,379 in 2013 and $123,881 in 2012; net of bad debt of $2,779 in 2013 and $2,030 in 2012; pledged revenues of $70,408 in 2013 and $68,116 in 2012) See Note 13 $ 704,086 - 679,126 -
Student fees (net of scholarship allowances of $12,428 in 2013 and $12,219 in 2012; net of bad debt of $213 in 2013 and $93 in 2012; pledged revenues of $8,175 in 2013 and $9,504 in 2012) See Note 13 67,606 - 65,879 -
Fee-for-service contracts 92,901 - 95,530 -
Federal grants and contracts (pledged revenues of $134,778 in 2013 and $147,277 in 2012) 634,037 - 662,635 -
State and local grants and contracts (pledged revenues of $7,886 in 2013 and $6,364 in 2012) 37,100 - 33,300 -
Nongovernmental grants and contracts (net of bad debt of $263 in 2013 and $1,442 in 2012) 105,277 - 99,150 -
Sales and services of educational departments (net of bad debt of $21 in 2013 and $118 in 2012; pledged revenues of $16,363 in 2013 and $13,020 in 2012) 157,437 - 152,945 -
Auxiliary enterprises (net of scholarship allowances of $3,037 in 2013 and $2,727 in 2012; net of bad debt of $87 in 2013 and $817 in 2012; pledged revenues of $49,428 in 2013 and $48,547 in 2012) See Note 13 211,151 - 191,548 -
Health services (net of bad debt of $48 in 2013 and $97 in 2012; pledged revenues of $29 in 2013 and $44 in 2012) See Note 14 561,249 - 478,364 -
Contributions - 128,041 - 107,770
Other operating revenues (net of bad debt of $1,675 in 2013 and $845 in 2012; pledged revenues of $1,136 in 2013 and $2,274 in 2012) 57,276 18,550 53,715 15,880
Total Operating Revenues 2,628,120 146,591 2,512,192 123,650
Operating Expenses
Education and general
Instruction 774,465 - 738,736 -
Research 511,162 - 530,198 -
Public service 98,606 - 89,032 -
Academic support 144,272 - 140,555 -
Student services 89,662 - 85,437 -
Institutional support 129,528 145,836 121,849 138,574
Operation and maintenance of plant 117,623 - 114,432 -
Student aid 20,363 - 19,009 -
Total education and general expenses 1,885,681 145,836 1,839,248 138,574
Depreciation See Note 5 170,478 3,257 153,680 3,173
Auxiliary enterprises 177,917 - 147,516 -
Health services See Note 14 497,171 - 441,100 -
Total Operating Expenses 2,731,247 149,093 2,581,544 141,747
Operating Loss $ (103,127) (2,502) (69,352) (18,097)
Nonoperating Revenues (Expenses)
Federal Pell Grant $ 44,754 - 44,146 -
State appropriations 14,172 - 14,365 -
Gifts 101,439 - 103,129 -
Investment income (loss) (net of investment expenses of $8,222 in 2013 and $7,384 in 2012; pledged revenues of $15 in 2013 and $2 in 2012) See Note 3 130,685 100,094 24,581 (2,944)
Royalty income (net of royalty expense of $13,322 in 2013 and $21,393 in 2012; pledged revenues of $147 in 2013 and $154 in 2012) 7,718 - 24,178 -
Gain (loss) on disposal of capital assets See Note 5 6,490 - (983) -
Interest expense on capital asset-related debt (including amortization of deferred loss of $4,600 in 2013 and $2,745 in 2012) (45,877) (6,175) (44,500) (4,212)
Bond issuance costs (1,429) - (2,735)
Other nonoperating revenues (pledged revenues of $103 in 2013 and $45 in 2012) 6,690 (296) 6,294 -
Net Nonoperating Revenues (Expenses) 264,642 93,623 168,475 (7,156)
Income (Loss) Before Other Revenues 161,515 91,121 99,123 (25,253)
Other Revenues
Capital contributions from the State 314 - 1,383 -
Capital student fee (net of scholarship allowance of $1,357 in 2013 and $1,591 in 2012) See Note 13 8,517 - 9,879 -
Capital appropriations 2,269 - 1,677 -
Capital grants and gifts 45,244 - 54,160 -
Additions to permanent endowments - - 67 -
Total Other Revenues 56,344 - 67,166 -
Increase (Decrease) in Net Position 217,859 91,121 166,289 (25,253)
Net Position, beginning of year 2,804,703 933,072 2,645,659 958,325
Cumulative effect of adoption of new accounting standard - - (7,245) -
Net Position, beginning of year, as restated 2,804,703 933,072 2,638,414 841,369
Net Position, End of Year $ 3,022,562 1,024,193 2,804,703 933,072

Statements of Cash Flows

  2013 2012
  University
Cash Flows from Operating Activities
Tuition and fees $865,241 843,097
Grants and contracts 783,592 788,126
Sales and services of educational departments 157,437 153,063
Auxiliary enterprise charges 208,826 191,597
Health services 551,905 468,534
Other receipts 63,554 57,559
Payments to employees (2,017,936) (1,896,773)
Payments to suppliers (450,626) (467,468)
Payments for scholarships and fellowships (20,363) (19,009)
Total Cash Flows Provided by Operating Activities 141,630 118,726
Cash Flows from Noncapital Financing Activities
Federal Pell Grant 44,754 44,146
State appropriations 14,172 14,365
Gifts and grants for other than capital purposes 101,439 103,129
Endowment additions - 67
Agency transactions (1,615) (736)
Direct lending receipts 369,198 389,835
Direct lending disbursements (369,274) (389,480)
Total Cash Flows Provided by Noncapital Financing Activities 158,674 161,326
Cash Flows from Capital and Related Financing Activities
State capital contributions 2,269 1,677
Capital student fees 8,517 9,879
Proceeds from capital debt 226,327 431,120
Bond issuance costs paid (1,429) (2,421)
Deferred loss on bond refundings (12,283) (21,613)
Principal paid on capital debt (169,156) (226,214)
Interest paid on capital debt (66,756) (64,224)
Proceeds from sale of capital assets 12,907 4,974
Purchases and construction of capital assets (213,618) (179,139)
Total Cash Flows Used for Capital and Related Financing Activities (213,222) (45,961)
Cash Flows from Investing Activities
Proceeds from sales and maturities of investments 2,820,760 3,925,388
Purchase of investments (2,960,676) (4,247,375)
Interest on investments 64,291 42,088
Royalty income 21,040 45,571
Royalty fees paid (13,322) (21,393)
Total Cash Flows Used for Investing Activities (67,907) (255,721)
Net Increase (Decrease) in Cash and Cash Equivalents 19,175 (21,630)
Cash and cash equivalents, beginning of year 57,235 78,865
Cash and Cash Equivalents, End of Year $76,410 57,235
  2013 2012
  University
Reconciliation of Operating Loss to Net Cash Provided by Operating Activities:
Operating loss $(103,127) (69,352)
Adjustments to reconcile operating loss to net cash provided by operating activities
Depreciation expense 170,478 153,680
Receipts of items classified as nonoperating revenues 6,690 6,294
Changes in assets and liabilities
Receivables (5,685) (16,033)
Inventories (941) (9,217)
Other assets 424 1,653
Accounts payable 11,656 11,493
Accrued expenses 11,092 6,993
Unearned revenue 1,430 (5,920)
Compensated absences and other postemployment benefits 47,954 37,294
Alternate medicare plan and early retirement incentive plan (228) 94
Other liabilities 1,887 1,747
Net Cash Provided by Operating Activities $141,630 118,726
   
Noncash Transactions  
Donations of capital assets $19,889 13,414
State-funded acquisitions of capital assets 314 1,383
Lease-financed acquisitions 696 1,934
Change in unrealized gains on investments (66,609) (18,268)
Amortization of premiums 12,963 11,855
Amortization of deferred loss (4,322) (2,745)

©Office of University Controller 2013. This report must be considered in its entirety.