Budget Development Demystifying the Budget Process. Santa Clarita Community College District September 14, 2015

Transcription

1 Budget Development Demystifying the Budget Process Santa Clarita Community College District September 14, 2015

2 PRESENTATION OVERVIEW The State Budget Development Process Budget Proposals from State Chancellor s Office The January Governor s Budget The May Revise Tentative Budget The Final Budget Adopted Budget State Budget Timeline The Local Budget Process AB1725 The Budget Committee - Roles and Responsibilities Budget Development and Program Review Timeline Budget Parameters 2

3 PRESENTATION OVERVIEW (Continued) The Building Blocks of Budget Development FTES/Growth Target Revenues On-Going One-Time Expenses On-Going One-Time: Instructional/Non-Instructional Equipment Forced Costs Augmentations Fund Balance Beginning Fund Balance Add: Revenues Less: Expenses Ending Fund Balance 3

4 PRESENTATION OVERVIEW (Continued) Compliance with State Policy and Regulations That Govern Community Colleges Fund Balance Minimums and Ranges 50% Law Compliance (Does Not Include Librarians /Counselors) History of 50% Law Right, Wrong and Neutral Expenses Systemwide and Local Percentages FON -Full-Time Faculty Obligation (Includes Librarians/Counselors) Annual FON - State Target Calculating Actual FTEF for FON Timeline FT Faculty Funding Increase to FON 4

5 PRESENTATION OVERVIEW (Continued) 75/25 Regulation for Full-Time to Part-Time Faculty Ratio Law How Calculated STRS/PERS Liability Statewide Liability Employees and Employers Local Cost Increases to Reduce Liability Enrollment Management Strategies That Increase Capacity to Serve Students Statewide Funding Cuts and FTES Trends 5

6 PRESENTATION OVERVIEW (Continued) Revenue Proposition 98 Allocating State Revenues to K-14 Apportionment Funding Where The $ Come From Prior Year Base, Basic Allocation, Growth, COLA, Base EPA/Proposition 30 Timeline of Funding and Allocation to Full-time Faculty Other Revenue Unrestricted Federal, State, Local Other Revenue Restricted Categorical and Grants: Funding Sources and Purpose Base Funding Cuts 5 Year Economic Downturn Restoration Not Fully Achieved Statewide Local Revenue Chart 6

7 PRESENTATION OVERVIEW (Continued) Expenses Prior Year Budget (Base) Forced Costs (Legal, Contractual, Regulatory, etc.) Augmentations Equipment Staffing: Full-time Faculty and Classified Committees Expense Allocation Chart Major Classifications Program Review FTES Targets, Program Goals Tied to Strategic Goals, Budget Requests Tied to Strategic Goals Approval Process FULL-TIME STAFFING REQUESTS - Staffing Committees 7

8 PRESENTATION OVERVIEW (Continued) The Budget Balancing Revenues and Expenses On-Going Revenues New State Revenues Base, COLA, Growth Expenses Status Quo Expenses Forced Costs STRS/PERS Pension Expense Steps/Columns Overload/Adjunct Additional Sections Utilities Insurance: W/C and Property & Liability and Student Health Contract Expenses Facility Total Cost of Ownership Staff 8

9 PRESENTATION OVERVIEW (Continued) The Budget Balancing Revenues and Expenses Program Review Forced Costs, Augmentations, Equipment Staffing Committees Full-time Faculty and Classified Staff Net Revenue Revenue Equal To or Greater Than Expense Fund Balance Beginning Net Revenue Ending Percentage as a Total of Expense 9

10 Budget Development Demystifying the Budget Process THE STATE BUDGET PROCESS

11 THE STATE BUDGET PROCESS The Community College System Budget Proposal July Education Code Section Directs the BOG to Prepare an Annual System Budget Request Each July As Established by Law, the Consultation Process is Used Consultation Council Convened - Members Include Representatives of: Chief Executive Officers Academic Senate Chief Instructional Officers Chief Business Officers Chief Human Resource Officers Chief Student Body Officers Faculty Members Community College Organizations Recommendations Made by the Community College System: Proposition 98 Fully Funded COLA Growth Backfill Property Tax Shortfalls Restoration of Prior Year Budget Cuts 11

12 THE STATE BUDGET PROCESS The January Governor s Budget Governor Releases Initial Budget Proposal ACCCA Sponsors Governor s Budget Workshop Various Presentations are Made on Budget and Related Legislation An Opportunity for Questions and Answers A Workbook is Provided with Details of Preliminary Budget Information Base Funding COLA Growth Categorical Funding Revenue Deferrals 12

13 THE STATE BUDGET PROCESS The Governor s May Revise The Basis for the District s Tentative Budget Governor Revises System Budget Based on Updated Tax Receipts Based on Assembly, Senate and Consultation Council Budget Plans COC Tentative Budget Updated with New Information Base Funding COLA Growth Categorical Funding COC Preliminary Statement of Revenues and Expenses Adjustments Made, if Necessary, to Achieve 6% Fund Balance and a Balanced Budget (revenue = expense) Final Review by Executive Cabinet, Approved by Chancellor 13

14 THE STATE BUDGET PROCESS The System Budget Workshop - The Basis for Adopted Budget Chancellor s Office Hosts Budget Workshop Details of Current Year Budget are Presented for Each District Apportionment Revenue Enrollment Revenue Property Tax Revenue Categorical Revenue Growth Revenue COLA Revenue Capital Outlay Final Approved Growth Rates (with Facility Factor) Basic Skills Some Components of Next Year s Budget are Included Growth Rate, excluding Facility Factor 14

15 STATE BUDGET Timeline January 9 Governor s Budget Released May 13: May Revise May 22: June 9: June 12: June 15: Assembly and Senate Proposed Budget Revisions Conference Committee Reconciled Assembly/Senate Budget bill(s) in print Both Houses Voted on State Budget bill(s) June 24: Governor Approved State Budget For the Fifth Consecutive Year, the Budget was Passed on Time 15

16 STATE BUDGET OVERVIEW Comparison Highlights of New Funding Category January Budget May Revise Budget Conference Committee Final Budget Enrollment Growth 2% 3% 3% 3% COLA 1.58% 1.02% 1.02% 1.02% Increase Base Allocation Funding $125 M $266.7 M $271 M $266.7 M Increase CDCP Non-Credit to Credit Rate $49 M $49 M $49 M $49 M Full Time Faculty Hiring $0 $75M $75 M $62.3 M One-Time Mandate Reimbursement $351 M $626 M $604 M $632 M Student Success & Support (3SP) $100 M Incr. $100 M Incr. $100 M Incr. $100 M Incr. Student Equity Initiative $100 M Incr. $115 M Incr. $115 M Incr. $85 M Incr. Restore EOPS $0 $0 Restore to Pre- Recession Level $33.7 M COLA For Categorical Programs $0 $2.5 M $2.23 M $2.5 M Prop 39 Energy Efficiency Funds $39.6 M $38.7 M $38.7 M $38.7 M Instructional Equipment / Deferred Maintenance (No Match) $0 $148 M $148 M $148 M 16

17 Budget Development Demystifying the Budget Process THE LOCAL BUDGET DEVELOPMENT PROCESS

18 THE LOCAL BUDGET DEVELOPMENT PROCESS The PAC-B Committee: Communication and Collaboration PAC-B Committee (President s Advisory Council on Budget) A Collegial Consultation Committee : Guidelines Developed by a Joint Task Force of CCCT/CEOCCC/Academic Senate of California Community Colleges Education Code (b) (7) Board of Governors to Enact Regulations to Ensure Faculty, Staff and Students the Right to Participate Effectively in District and College Governance AB 1725 Legislation Enacted to Authorize More Responsibility for Faculty Members in Duties that are Incidental to their Primary Professional Duties Collegial Consultation in the decision making process does not necessarily imply total agreement nor does it abrogate the ultimate decision-making responsibility of the local governing board. Title V Section 53203: Requires the Governing Board to Consult Collegially With the Academic Senate on Academic and Professional Matters 11 Areas Included Under Academic and Professional Standards Processes for Institutional Planning and Budget Development BP7215 Academic Senate Participation in Collegial Consultation 2. By Mutual Consent e. The determination of processes to be utilized in institutional planning and budgeting 18

19 THE LOCAL BUDGET DEVELOPMENT PROCESS PAC-B Committee Overview PAC-B Committee - Collegial Consultation Committee Serves an Advisory Role to Make Budget Recommendations to the Chancellor Provides Insight and Feedback on the Budget Process Pre-Meetings Held Prior to Each PAC-B Meeting with Co-Chairs and Support Staff Attends Regular Meetings Throughout the Budget Development Process Posts Board Agenda, Minutes and Presentation Material on Intranet Receives League and Chancellor s Office Budget Updates PAC-B Committee: Co-Chairs Sharlene Coleal - Vice-President, Business Services Bob Maxwell - Faculty Representative Committee Members Representation from Faculty, Classified, Confidential, Administration and ASG Support Staff Cindy Grandgeorge Controller Minghui Zhang Budget Coordinator 19

20 THE LOCAL BUDGET DEVELOPMENT PROCESS PAC-B Committee Roles and Responsibilities Decision Making Guide PAC-B Committee Members Roles and Responsibilities Participate in the gathering of information regarding the District s financial resources and expenditures Develop an understanding of the College s revenue and expenditures as a foundation for the budget process Serve as a forum for dialogue on ongoing fiscal activities, such as monthly and quarterly reports to the Board Identify strategies to make the fiscal environment more user-friendly Review and share information on the State Budget Review priorities of Executive Cabinet members 20

21 THE LOCAL BUDGET DEVELOPMENT PROCESS PAC-B Committee Roles and Responsibilities (Continued) Decision Making Guide PAC-B Committee Members Roles and Responsibilities Review the proposed budget in its developmental stages as presented by staff Review current fiscal year budget change proposals and make recommendations Suggest priorities for expenditures in future budgets Suggest funds available for reallocation Provide a forum in which needs, priorities and issues relative to academic and nonacademic program budgets will be examined. Educate members of the college community and receive feedback from them to provide input into the process of budget development 21

22 THE LOCAL BUDGET DEVELOPMENT PROCESS PAC-B Committee Roles and Responsibilities (Continued) Decision Making Guide PAC-B Committee Members Roles and Responsibilities Review, revise as necessary and approve Budget Parameters each year prior to Executive Cabinet and Board approval Review Forced Cost and Budget Augmentations Requests and make recommendations to Chancellor Ensure that such recommendations are tied to Educational Master Plan and Strategic Plan, as well as Departmental Program Reviews Propose recommendations for income-generating possibilities Provide recommendations on budget items to the Chancellor to review and use to make recommendations to the Board of Trustees 22

23 THE LOCAL BUDGET DEVELOPMENT PROCESS PAC-B Committee Roles and Responsibilities PAC-B Convenes Review Current Year Adopted Budget Establish Budget Calendar and Update Budget Parameters with Current Priorities Reviewed/Approved by Executive Cabinet Reviewed/Approved by PAC-B Reviewed/Approved by Board of Trustees 23

24 THE LOCAL BUDGET DEVELOPMENT PROCESS Budget Parameters - The Foundation for Budget Development FTES Target: Based on the annual FTES target established by the State Chancellor s Office Provides sufficient funding to support student access and retention Will provide for a plan to minimize unfunded FTES which would result in expense with no revenue Budgeted Revenues: Based on reasonable and conservative estimates from the State Chancellor s Office Include formula based or calculated revenues for State Apportionment, Growth, COLA, Categorical Revenue, etc. Budgeted Expenses: Based on the prior year Adopted Budget Adjusted for Forced Costs, Expense Augmentations and/or Equipment Augmentations when submitted through Program Review Tied to Planning Documents and Approved by Executive Cabinet. 24

25 THE LOCAL BUDGET DEVELOPMENT PROCESS Budget Parameters - The Foundation for Budget Development Forced Costs: The Budget will include the required costs, or Forced Costs. A list is included in Program Review/Budget to be selected for consideration: X = External Forces beyond our control: State/Federal Regulations and Compliance, Legal/Contractual Obligations, Risk Management, Health/Safety, Utilities, Insurance, etc. C = Critical Operations Scheduled Maintenance, etc. - campus would shut down without these E = Enrollment Management/Growth Generating FTES Through Outreach, New Classes and Programs, etc. V = Department/Program Viability Crucial for the department to function Costs in these categories may be added to the budget during the fiscal year by District Administration, as necessary, to address unforeseen circumstances 25

26 THE LOCAL BUDGET DEVELOPMENT PROCESS Program Revenue Integrated with Budget Planning Annual Program Review Electronic Templates Made Available to Departments Integrates Program Review with Budget Process Electronically Provides a Framework for Budget Augmentation and Equipment Requests Identifies Forced Cost Requests Based on Budget Parameters Established by PAC-B Links to Strategic Plan Goals and Institutional Mission Requires Priority Ranking of Requests by Executive Cabinet Departments Update Plans Assess Progress on Previous Objectives Review Department Data on Enrollments, Efficiency, and Student Success Set Objectives for New Year Student Learning Outcomes New Online Program Review Three-Year Planning Cycle Adds Industry Trends Incorporates PAC-B Information Peer Review Division Dean Sign Off 26

27 THE LOCAL BUDGET DEVELOPMENT PROCESS Budget Development and Program Review Timeline September PAC-B reviews Budget Parameters and Budget Calendar and forwards to Chancellor/ Executive Cabinet and Board of Trustees for Approval November PAC-B receives update on Budget Development Process Department Chairs/Managers submit prioritized budget requests linked to Strategic Goals included in their Program Reviews January January Governor s Budget Workshop attended by Business Services (No PAC-B Meeting) March PAC-B receives presentation on impact of prior year apportionment recalculation and status of budget requests October PAC-B receives presentation from Business Services on the Assumptions for the Budget Development Process, including: FTES Target, FON, Grant/Categorical Funding, Scheduled Maintenance, other Budget Funds, etc. December PAC-B receives presentation on State Chancellor s Office Budget Proposals for community colleges, approved by Board of Governors and submitted to the Governor February PAC-B receives presentation from Business Services on January Governor s Budget March/April Executive Cabinet reviews Program Reviews and prioritizes budget requests: Forced Costs, Augmentations, Equipment 27

28 THE LOCAL BUDGET DEVELOPMENT PROCESS Budget Development and Program Review Timeline April Executive Cabinet presents budget request priorities to PAC-B with rationale, in accordance with Budget Parameters and Strategic Goals to ensure continuity May PAC-B receives presentation from Business Services on Governor s Revise June Chancellor reviews Tentative Budget, provides input and recommends it to Board of Trustees Board of Trustees approves Tentative Budget September Board of Trustees approves Adopted Budget based on Final State budget, Final District financial statements and changes to District Forced Costs May PAC-B prepares and forwards its recommendations for Budget Request priorities to CEO for review and approval. June PAC-B receives presentation from Business Services on draft Tentative Budget August PAC-B receives presentation on changes to Budget based on the Final Budget signed by the Governor (7/1) as well as changes based on District Year End Close and Forced Costs received between Tentative and Adopted Budgets 28

29 Budget Development Demystifying the Budget Process THE RIPPLE EFFECTS OF COMPLIANCE WITH STATE REGULATIONS

30 The RIPPLE EFFECTS OF STATE REGULATIONS Fund Balance State Chancellor s Office Recommends 5% Minimum for Fund Balance Budget Parameters: In recognition of the State Chancellor s Office recommendation to maintain a minimum 5% Fund Balance and based on the SCCCD Board Policy, a minimum 6% Fund Balance will be established. A larger fund balance will be maintained in anticipation of uncertainty in State funding in order to protect the district against mid-year cuts or other unscheduled revenue shortfalls. The Fund Balance is One-Time Money to be Used for One-Time Expenses or as a Savings Account for a Rainy Day One-Time Funds Should Not be Used for Ongoing Salary or Fringe Benefit Expenses or STRS/PERS Pension Contributions One-Time Funds Can be Used for One-Time Expenditures, such as: Scheduled Maintenance, Computer /Equipment Replacement, Contingency for State Budget Cuts, One-Time Expenditures, Fees, Consultants, etc. 30

31 The RIPPLE EFFECTS OF STATE REGULATIONS Fund Balance - Provides Fiscal Stability Statewide Fund Balances In % to 39.3% 10% to 19.8% 6% to 9.9% 5.8% 24 Districts 36 Districts 11 Districts 1 District College of the Canyons Budget Parameters 6% % % % % % % Ranked 55 of 72 Districts or Bottom 20% % % (Estimated) 31

32 THE RIPPLE EFFECTS OF STATE REGULATIONS California Community College Districts Unrestricted General Fund Ending Fund Balances By District Sorted High to Low Based on Fund Balance % in

33 THE RIPPLE EFFECTS OF STATE REGULATIONS California Community College Districts Unrestricted General Fund Ending Fund Balances By District Sorted High to Low Based on Fund Balance % in (Continued) 33

34 THE RIPPLE EFFECTS OF STATE REGULATIONS California Community College Districts Unrestricted General Fund Ending Balances By District Sorted High to Low Based on Fund Balance % in (Continued) 34

35 THE RIPPLE EFFECTS OF STATE REGULATIONS California Community College Districts Unrestricted General Fund Ending Fund Balances By District Sorted High to Low Based on Fund Balance % in (Continued) With an Ending Fund Balance of 11.5%, COC is in the bottom 25% of all Districts. 35

36 THE RIPPLE EFFECTS OF STATE REGULATIONS 50% Law Compliance Established in 1959 for K-12 Class Size Reduction We Don t Deliver Instruction the Same Way That We Did in the 1950 s Requires Districts to Spend at Least 50% of the Current Cost of Education on Instructional Salaries and Benefits The 50% Law Does Not Take Into Account Recent Activities That Support Education: Technology Conflicts with Many Other Regulations Ab1725 Enacted to Expand the Definition of the Role of Faculty Beyond the Classroom Falls On the Bad Side COCFA President, Academic Senate President, Curriculum and Tenure Coordinators, Faculty Directors: EOPS, DSPS, CWEE, etc. FON and 75/25 - Include Librarians and Counselors in the Calculation 36

37 THE RIPPLE EFFECTS OF STATE REGULATIONS 50% Law Compliance Conflicts with Many Other Regulations (Continued) Title 5 and Ed Code Requirements to Establish Minimum Conditions to Receive Apportionment Funding Fall On the Wrong Side: Meeting Accreditation Requirements Matriculation Plan Monitoring Student Progress Creating an Organized Counseling Program Compliance In , COC Reported 51.36% and Was in Full Compliance In , COC Estimates 53.09% and Will Be in Full Compliance Is In Progress Pending Final Budget Approval 37

38 THE RIPPLE EFFECTS OF STATE REGULATIONS 50% Law Compliance Right Side of the Formula District is Required to Spend 50% of Unrestricted General Fund Expenses on Faculty Salaries and Benefits/Classified Instructional Aides and Benefits Ratio Based on Cost of Salaries and Benefits of Classroom Instructors to the Current Cost of Education Neutral Side of the Formula Examples New Equipment Rents and Leases Lottery Expenses Community Services Expenses (Self-Supporting) Ancillary Services (Student Development) Auxiliary Operations (COC Foundation) Physical Property and Related Acquisitions 38

39 THE RIPPLE EFFECTS OF STATE REGULATIONS 50% Law Compliance Wrong Side of the Formula Examples Counseling and Guidance Expenses Librarians Release Time for Department Chairs Faculty Coordinators and Directors, i.e. Nursing, EOPS Instructional Operational Expenses Instructional Supplies and Materials Conference and Travel Instructional Replacement Equipment Instructional Deans and Administrators On-Line Education Support Computer Technical Support Admissions and Records Campus Safety Facilities Human Resources Utilities, Insurance, Legal, Audit 39

40 RIPPLE EFFECTS OF STATE REGULATION 50% Law Compliance Sample Based on FY Right Side Wrong Side Neutral Faculty Instructional Salaries Faculty Non-Instructional Salaries and Fringe Benefits, and All Salaries, Fringe Benefits, and and Fringe Benefits: Instructional Department Salaries, Fringe, and Operating ExpensesOperating Expenses for the following: Full-Time Faculty (In the Classroom) Faculty Counselors $ 1,029,563 Asset Management Adjunct Faculty (In the Classroom) Dept Chair Reassign Time $ 1,076,311 Athletics (Incl. Athletic Coach Stipends Full-Time Classified Instr Aides Faculty Coordinators $ 480,192 calculated at one month's salary per sport) Instructional Adult Hourly - Institute Teaching & Learning Building/Equipment Rents and Leases Instructional College Assistants - Associate Program Coordinator Civic Center - Tenure Coordinator Community and Continuing Education (Includes all Credit and Non-credit - Basic Skills Coordinator Economic Development instruction, including Faculty and Staff - SLO Coordinator Foundation assigned to the TLC, ZONE and - Field Studies Coordinator International Student's Program Instructional Faculty Sabbaticals) - Nursing Coordinator New Equipment and Software - Forensics Coordinator Physical Plant Public Safety Instruction Costs: - Culinary Arts Coordinator Retirement Incentive Premiums Instructional Services Agreement contract - COCFA President Service Learning costs associated with direct instruction - Academic Senate Student Development - Curriculum Committee University Center - CTA Conference Chair Unrestricted Lottery Funding - Fire Tech - ISA's Faculty Directors $ 391,726 - EOPS, Transfer Center, CWEE, NSF Director Faculty Librarians $ 287,362 Full-Time Faculty Supplemental Services $ 125,023 Adjunct Librarians $ 85,894 Adjunct Flex $ 75,000 Adjunct Counselors $ 54,300 Adjunct Non-Instructional Salaries $ 36,388 Full-Time Faculty Librarians Extra Hours $ 4,500 Sabbatical Leave TBD Fringe Benefits on Faculty Salaries above $ 729,252 Instructional Departments - Deans/Directors $ 1,319,418 Instructional Departments - Classified Staff $ 406,471 Fringe Benefits on Instructional Salaries Above $ 345,178 ISA costs not attributable to inst. salaries $ 2,278,418 Supplies and Operating Expenses - Inst Depts. $ 491,372 Sub-Total $ 9,216,368 Continued on Next Slide 40

41 RIPPLE EFFECTS OF STATE REGULATION 50% Law Compliance - Sample Based on FY Right Side Wrong Side Neutral Support Services Salaries & Operating Budgets: - Academic Senate $ 55,902 - Admissions and Records/Stud Serv $ 2,526,627 - Art Gallery $ 88,666 - Associate Program $ 2,000 - Audio Visual $ 303,080 - Business Services $ 2,119,661 - Campus Safety $ 451,022 - Canyon Country Campus Admin/Stu Svcs/Fac $ 1,575,130 - Chancellor/Board of Trustees $ 427,853 - Counseling $ 125,943 - Distance Education $ 347,267 - Facilities, Maintenance, Warehouse $ 4,026,511 - Financial Aid $ 286,938 - General Inst Support (insurance, legal etc) $ 1,414,382 - Hite and Honors $ 1,762 - Human Resources $ 1,028,948 - Institutional Development $ 250,651 - Instructional Office/Academic Affairs $ 1,411,434 - Library $ 333,099 - MIS/Computer Support $ 1,949,453 - Non-Credit $ 57,350 - PIO/Reprographics/Graphics/Switchboard $ 1,889,702 - Staff Development $ 118,225 - Utilities $ 1,233,887 - Est. Fringe Benefits on Support Svcs. Salaries $ 2,758,139 Sub-Total $ 24,783,632 Total Estimated Expenses $34,000,000 Total Estimated Expenses $ 34,000,000 Total Estimated Expenses $9,000,000 41

42 RIPPLE EFFECTS OF STATE REGULATIONS 50% Law Compliance By District # District % 1 SAN DIEGO KERN PERALTA WEST HILLS SOLANO YOSEMITE CITRUS LASSEN PALOMAR MT. SAN JACINTO SAN LUIS OBISPO ALLAN HANCOCK DESERT WEST VALLEY RANCHO SANTIAGO SHASTA-TEHAMA-TRINITY MIRA COSTA IMPERIAL COAST NAPA VALLEY Districts Under 51% 42

43 RIPPLE EFFECTS OF STATE REGULATIONS 50% Law Compliance By District (Continued) # District % 21 PALO VERDE SAN FRANCISCO REDWOODS COMPTON SAN MATEO COUNTY MENDOCINO-LAKE SISKIYOU JT CHAFFEY HARTNELL Districts Under 51% 30 SAN JOAQUIN DELTA EL CAMINO CABRILLO COPPER MOUNTAIN SIERRA JT WEST KERN SONOMA COU LAKE TAHOE SAN JOSE EVERGREEN YUBA Districts Over 51% 43

44 RIPPLE EFFECTS OF STATE REGULATIONS 50% Law Compliance By District (Continued) # District % 40 STATE CENTER PASADENA SANTA CLARITA GLENDALE ANTELOPE VALLEY JOINT BARSTOW SAN BERNADINO SOUTH ORANGE COUNTY RIO HONDO MERCED LONG BEACH LOS RIOS LOS ANGELES SEQUOIAS OHLONE RIVERSIDE CHABAT-LAS POSITAS MARIN SANTA MONICA VENTURA Districts Over 51% 44

45 RIPPLE EFFECTS OF STATE REGULATIONS 50% Law Compliance By District (Continued) # District % 60 GROSSMONT-CUYAMACA FOOTHILL-DEANZA SOUTHWESTERN CERRITOS GAVILAN CONTRA COSTA NORTH ORANGE MONTEREY PENINSULA BUTTE-GLENN MT. SAN ANTONIO SANTA BARBARA FEATHER RIVER VICTOR VALLEY Districts Over 51% Statewide Average 51.50% 45

46 RIPPLE EFFECTS OF STATE REGULATION FACULTY OBLIGATION NUMBER (FON) A Title 5 Requirement Based on AB 1725 Requires CC Districts to Increase Their Full-Time Faculty Over the Prior Year Fall Chancellor s Office Assigns Estimated FT Faculty Goal to be Achieved by Fall of the Following Year Prior Year Goal Increased by Deficit Credit FTES Growth Percentage From Advance Apportionment Fall of the Following Year Goal is recalculated based on actual growth at P2 Lower Number Becomes Final Full-Time Faculty Obligation The Full-Time Faculty Obligation Report is Due in December 46

47 RIPPLE EFFECTS OF STATE REGULATION FACULTY OBLIGATION NUMBER (FON) HOW THE FON IS CALCULATED Determining FTEF - Full Time Equivalent Faculty Calculated Based on the Percentage of Full Time Credit or Non-Credit (if applicable) Assignments Includes Librarians Includes Counselors Include Released/Reassigned Time (Even if Non-Instructional Time) Include Sabbaticals Include Unpaid Leave Exclude Replacement Faculty, Whether Full Time or Part Time Excludes Overload Includes Late Retirements If District Receives Written Notice within 45 Faculty Duty Days of the End of the Spring Term 47

48 RIPPLE EFFECTS OF STATE REGULATION FACULTY OBLIGATION NUMBER (FON) A Title 5 Requirement Fall 2015 Projected FON FON Estimated FTEF FTEF Over FON Fall 2016 Projected FON Fall 2015 FON Base Base Adjustment True Up 6.00 Required Adjustment Based on P2 Change in Credit FTES of 4.8% Projected Credit FTES Increase 3.00 Add On for FT Faculty Funding Projected FON Fall 2016 FTEF to Meet Goal

49 RIPPLE EFFECTS OF STATE REGULATION FACULTY OBLIGATION NUMBER (FON) Fall 2016 FON Estimate Calculation Normal Obligation Adjustment Base Credit FTES 14,881 Funded Credit FTES 15,329 Funded Credit FTES Adjusted for 15,186 Growth in FTES (15,186 14,881) 305 % Increase (305 / 14,881) % Base Increase by Growth in FTES X % Increase in FON (Round Down) 3.00 New Full-Time Faculty Funding - FON Increase (Districts Ranked on the Ratio of FTES to FON - Determines Quintile) Credit FTES / FON 14,881 / = 79 Quintile 1 = Increase every $73,057 District Workload Proportion = % x $62.3 M = $822,534 FON Increase to FTEF =

50 RIPPLE EFFECTS OF STATE REGULATIONS FACULTY OBLIGATION NUMBER (FON) STRS Unfunded Pension Liability of $58 Billion K-12 and CCDs Solution Implemented by SB860 in June 2014 to Fund STRS Shortfall Phases In Contributions from the State, Employers and Employees Over 8 Years Note: Each 1% increase equals $400,000 to COC. Employer Proposed STRS Contribution Rates Adopted Budget Employee (pre 2013 hire date) Employee (post 2013 hire date) State % 8.00% 8.00% 3.04%

51 RIPPLE EFFECTS OF STATE REGULATIONS College of the Canyons STRS Pension Liability Projected Status Quo STRS Increased STRS Increased Cost Year over Year Fiscal Year STRS Salaries Rate Cost Rate Cost Over Status Quo Increased Cost $ 25,653, % $ 2,116, % $ 2,116,434 $ $ 27,938, % $ 2,304, % $ 2,480,907 $ 176,010 $ 176, $ 28,900, % $ 2,384, % $ 3,100,970 $ 716,720 $ 540, $ 30,171, % $ 2,489, % $ 3,795,569 $ 1,306,424 $ 589, $ 31,493, % $ 2,598, % $ 4,544,468 $ 1,946,279 $ 639, $ 32,867, % $ 2,711, % $ 5,350,760 $ 2,639,226 $ 692, $ 34,295, % $ 2,829, % $ 6,217,693 $ 3,388,351 $ 749, $ 35,779, % $ 2,951, % $ 6,833,813 $ 3,882,035 $ 493,684 $ 20,385,568 $ 34,440,614 $ 3,882, Total On-Going Cost $6,833,813 51

52 RIPPLE EFFECTS OF STATE REGULATIONS College of the Canyons PERS Pension Liability Projected Status Quo PERS Increased PERS Increased Cost Year over Year Fiscal Year PERS Salaries Rate Cost Rate Cost Over Status Quo Increased Cost $ 21,668, % $ 2,478, % $ 2,478,887 $ $ 23,395, % $ 2,676, % $ 2,753,648 $ 77,205 $ 77, $ 25,804, % $ 2,952, % $ 3,057,813 $ 105,798 $ 28, $ 26,728, % $ 3,057, % $ 3,488,064 $ 430,328 $ 324, $ 27,684, % $ 3,167, % $ 4,595,679 $ 1,428,536 $ 998, $ 28,674, % $ 3,280, % $ 5,218,757 $ 1,938,396 $ 509, $ 29,698, % $ 3,397, % $ 5,910,028 $ 2,512,504 $ 574, $ 30,758, % $ 3,518, % $ 6,274,718 $ 2,755,954 $ 243,450 $ 24,528,871 $ 33,777,593 $ 2,755, Total On-Going Cost $6,274,718 52

53 RIPPLE EFFECTS OF STATE REGULATIONS College of the Canyons STRS/PERS Pension Liability STRS/PERS Pension Rate Increases District Contribution Increase Projections Fiscal Year STRS STRS Annual Contribution Increase CalPERS PERS Annual Contribution Increase Total STRS/PERS Increase STRS/PERS Expense Included in Budget % 11.44% $176, % $77,205 $253,215 $253, $540, % $28,593 $569,302 $569, $589, % $324,530 $914,235 $900, $639, % $998,208 $1,638,063 TBD $692, % $509,859 $1,202,806 TBD $749, % $574,109 $1,323,234 TBD $493, % $243,450 $737,134 TBD TOTAL $3,882,035 $2,755,954 $6,637,989 53

54 Budget Development Demystifying the Budget Process ENROLLMENT MANAGEMENT THE GATEWAY TO STUDENT SUCCESS

55 ENROLLMENT MANAGEMENT Cycle of Growth 55

56 ENROLLMENT MANAGEMENT Strategies to Provide Student Access and Success On-Going Strategies Exceeded Target for Summer 2015 Approaching target for Fall 2015 The number of late start classes is being increased A robust Winter term is being planned The Spring Schedule will have a contingency for additional growth What s New Registration Faster Response Time Communication Text vs. Facilities Science Labs Added Class Schedule Friday and Saturday Classes Added 56

57 Year Total FTES Excluding ISAs ENROLLMENT MANAGEMENT The State is Reinvesting in Our Students FTES Funding ISA FTES Total FTES % Change vs Year to Year % Change Unfunded FTES Funded FTES ,324 3,279 16,603 1,136 15,467 % Change vs Year to Year FTES % ,338 3,249 16, % 1,685 14, % ,749 2,545 15, % -7.8% 47 15, % 2.3% , , % - 13, % ,828 1,300 14, %.9% - 14, %.9% ,602 1,013 14, % , % (P2) Adopted 14,257 1,100 15, % 5.1% , % 5.0% 14,514 1,250 15, % - 15, % 57

58 ENROLLMENT MANAGEMENT The State is Reinvesting in Our Students Funding for Student Access Improves Student Success and Base Cuts Approximately 10% Full Restoration State COC Restoration 1.63% 3.75% Restoration 2.75% 4.50% Access 3.00% 3.50% 58

59 and System Wide Workload Reductions Out of 72 Districts: 12 Districts Fully Restored, 54 Districts Only Partially Restored, 6 Rural Districts - No Cut $700 $600 $500 $400 $300 $200 $100 $- State Apportionment Cuts and Repayments $'s in Millions $575 Million Total Cuts = 10.71% $385 Mil $190 Mil $140.4 Mil $86 Mil $50 Mil % $126 Mil On-Going Cuts 7.36% $402.4 Million Repayments = 7.45% Repayments 2.75% 1.6%.9% 2.2% = 70% Only 12 Districts Fully Restored: 1. College of the Canyons 2. Cerritos 3. Desert 4. Hartnell 5. Mt. SAC 6. Mt. San Jacinto 7. No. Orange 8. Pasadena 9. San Bernardino 10. San Diego 11. Riverside 12. State Center 59

60 Budget Development Demystifying the Budget Process REVENUES WHERE DO THEY COME FROM?

61 PROPOSITION 98 How Our State Revenue Allocation is Determined Legislation Enacted in 1988 to Set Minimum Funding Level for K- 14 (K-12 and Community Colleges) Allocates 40% of State Revenues to K-12 and CCDs 29% K-12 11% Community Colleges Adjustments Made for Changes in Workload and Inflation ADA and TEST 1, 2 and 3 for State Revenue Changes Test 1: Percentage share of General Fund Revenues Test 2: Per-Capita Personal Income Growth Test 3: Per-Capital General Fund Revenue Growth, Plus.5% 61

62 HISTORY OF PROPOSITION 98: Community College System Funding Percentage of Split % (Estimated) % (Estimated) % % % % % % % % % % % to : Three-Year Average 10.35% Legal Requirement 10.93% 62

63 SOURCES OF CALIFORNIA COMMUNITY COLLEGE SYSTEM FUNDING : COMPARED TO : 2/3 rds General Fund Apportionment (Income Tax, Sales Tax) 1/3 rd Property Tax/Enrollment Fees : 1/3 rd General Fund Apportionment (Income Tax, Sales Tax) 1/3 rd Property Taxes 1/3 rd Enrollment Fees, EPA and RDA revenues CCC Funding by Source in / % 4.3% 66.2% (Income Tax/Sales Tax) General Fund % Property Tax % Enrollment Fees - 4.3% (RDA) 1/3 (EPA Prop 30) (Tuition) 1/3 (Enrl. Fees, EPA Prop 30, RDA) (1/3 Income Tax/Sales Tax) 2/3 1/3 Prop Tax Note: RDA Redevelopment Agency Dissolution Revenue; EPA Temporary Education Protection Act Funding 63

64 Proposition 30 The State Reinvested in Education Provided Short-Term Funding for Existing Salaries in the Classroom - Board Resolution Approved Each Year Proposition 30 Funded $12.2 M of $13 M in Existing, Full-Time Faculty Salaries But It Is Important To Remember: Proposition 30 is Temporary Funding Sales Tax Increase Ends - December % Sales tax Increase Accounts for 21% of Proposition 30 funds $172.2 M ( ) Income Tax Increase Ends - December 2018 Personal Income Tax Increase - $250,000/$500,000 Accounts for 79% of Proposition 30 funds $647.8 M ( ) 64

65 HISTORY OF STATE APPORTIONMENT FUNDING Cuts To COC Base Funding Since A Snapshot And Review $90,000,000 $80,000,000 $70,000,000 $60,000,000 $50,000,000 $40,000,000 $30,000,000 Ending Base Revenue after Cuts $45,005,638 $38,058,586 $41,245,243 $37,725,404 $39,242,220 Cuts $51,619,965 $80,518,561 $75,135,238 $76,869,534 $74,370,974 $74,370,974 $71,133,380 $72,778,020 $74,241,220 $68,893,627 $76,037,982 $61,841,076 $69,398,939 $74,130,636 $72,618,484 $67,558,276 $71,952,091 $67,116,638 $20,000,000 $10,000,000 $ Est. Cuts/Shortfalls $333,182 $2,003,023 $0 $0 $0 $0 $0 $0 $1,734,441 $1,734,441 $6,277,341 $6,277,341 $2,516,754 $2,516,754 $240,338 $240,338 $6,812,698 $6,812,698 $201,201 $151,175 $825,929 $723,186 $831,552 Description $0 of Cuts: Gr deficit; Gr deficit; No cuts No No cuts cuts No cuts No cuts Gr deficit; Gr deficit; Gr deficit; Gr deficit; Base cut Base Prop cut Tax Prop Enrl Tax Fee Enrl Shrtfl; Fee Deficit Shrtfl; Deficit Deficit Prop Tax Prop Tax; Prop Prop Tax Tax Mid yr Mid cut; year cut; Base cut; Base cut; factor factor; factor: Base Cut Prop Tax Prop Tax Triggers Triggers 1&2; 1&2; Gr deficit Gr (est.) deficit System Shrtfl System Shrtfl 65

66 The Community College Revenue Allocation FUNDING CATEGORY JANUARY GOVERNOR S BUDGET PROPOSAL COC BUDGET Estimates Based on Advance 1.3% * GOVERNOR S MAY REVISE BUDGET PROPOSAL COC BUDGET Estimates Based on Advance 1.3% * Ongoing Funding: Access/Enrollment Funding $ Million 2% $1,410,000 2% 300FTES $ Million 3% $2,100,000 3% 455 FTES Student Success and Support Program (SSSP) Student Equity Plans (.91% of Allocation) $ 100 Million $ 100 Million $1,300,000* $ 910,000 $ 100 Million $ 115 Million $1,300,000* $1,300,000 Increase Base Allocation Funding 1.07% of CCDs Address core funding needs, i.e. STRS/PERS contributions, staffing, etc. $ 125 Million $1,340,000 $ Million $2,000,000 COLA $ 92.4 Million 1.58% $1,200,000* 1.58% $ 61.1 Million 1.02% $800,000* 1.02% CDCP Rate Equalization (To match Credit Rate) $1,800 increase x 90 FTES $ 49.0 Million $ 162,000 $ 49.0 Million $ 162,000 Apprenticeship $ 29.1 Million No Info - TBD $ 29.1 Million No Info - TBD Subtotal Estimated Ongoing Funding $602.4 Million $6,322,000 $ Million $7,662,000 66

67 The Community College Revenue Allocation One-Time Funding: Economic and Workforce Development Program SB1070 CTE Pathway Grant - Yr. Extension $ 48.0 Million TBD One-Time $ 48.0 Million TBD One-Time Proposition 39 Energy Sustainability Per Chancellor s Office Project Allocations $ 39.6 Million $ 345,000 $ 38.7 Million $ 337,000 One-Time Funding Request: PY P2 Funded FTES Mandates to Clear PY (Flexible ) $351 Million (351M/ ) $4,600,938 (14,514 x $317) $626 Million (626M/ ) $6,500,000 (14,514 x $565) Deferral of Revenue Final Repayment $94.5 Million No Revenue $94.5 Million No Revenue Subtotal Estimated One-Time Funding $533.1 Million $4,945,938 $533.1 Million $4,945,938 Regional Board Allocates Funding: AB 86 Adult Education: ELS, Citizenship, Basic Skills, GED, CTE, Apprentices, Disabled Adults Distributed per Chancellor s Office and Superintendent of Education $500 Million Allocation to be Made by Local AB 86 Board $500 Million Allocation to be Made by Local AB 86 Board 67

68 The Community College Revenue Allocation Total Computational Revenue State Chancellor s Office Calculation of Total Revenue from All Sources State General Apportionment Calculation Total Computational Revenue Less: Property Taxes Less: Student Enrollment 98% (2% Uncollectible Fees) Less: Education Protection Act Equals: State General Apportionment Base Revenue Final Funded FTES: Credit, Non-Credit, CDCP Basic Allocation Estimates Fixed Costs Increased by COLA Each Year Basic Allocation Adjustment (If FTES Increase to next level) Growth COLA Restoration/ Stability 68

69 Base Revenue REVENUE CALCULATION Basic Allocation Single College $ 4,536,493 Basic Allocation Center $ 1,134,124 Base Credit 14,156 FTES x $4,636 $ 69,582,767 Base Non-Credit 265 FTES x $2,812 $ 739,096 CDCP Non-Credit 87 FTES x $4,636 $ 406,756 Total Base Revenue $76,399, Projected Growth: 3.5% (State Allocation = 3%) Growth Credit 521 FTES x $4,724 $ 2,460,238 Growth Non-Credit 9 FTES x $2,840 $ 26,132 Growth CDCP Non-Credit 3 FTES x $4,724 $ 14,382 Total Growth $ 2,500,752 Add: 1.02% x Base $ 779,272 Add Base 4.65% of Total Revenue $ 3,588,801 TOTAL COMPUTATIONAL REVENUE $83,268,061 Less: Property Tax Shortfall (One-Time Reduction) ($ TBD) TOTAL ADJUSTED REVENUE $83,268,061 69

70 Other Unrestricted Revenue Funding Sources Other Federal Revenues Veterans Education Reporting Fees Forest Revenue (From students residing in National Forest) Other Federal Revenues Other State Revenues Lottery (Unrestricted) Mandated Cost Block Grant (One-Time and On-Going) Part-Time Faculty Allocation BOG Fee Waivers Administration 70

71 Other Unrestricted Revenue Funding Sources (Continued) Local Revenues Bookstore Rental Civic Center Rental University Center Rentals Interest Income Indirect Support From Grants Interfund Transfers International Services Program (ISP) Student Tuition Out of State Student Tuition Community Education Foundation Contributions Student Fees and Charges (i.e. transcripts, refund processing, etc.) 71

72 Other Restricted Revenue Sources Top 12 Grants Out of 80 Grants MAJOR GRANTS Budget Budget Purpose of Grant Statewide IEI Grant 5,500,000 2,500,000 To provide assistance to colleges that have accreditation and/or audit issues. Closed Captioning 1,000,000 1,000,000 To provide assistance to all California Community Colleges in the facilitation of live and offline captioning and transcription services. Economic Workforce Development 550, ,000 Support the process, application and integration of economic and workforce development and its tools in the Community College System. AB , ,182 Planning and implementation funds to regional consortia of Community College Districts and School Districts for the purpose of developing regional plans to better serve the educational needs of adults. Regional DSN: Manufacturing, Health, Digital Media 600, ,000 Manufacturing: to support the goal of Community Colleges becoming essential catalysts in CA's economic recovery and job creation at local, regional, and state levels. Health: to meet statewide economic & workforce development needs in the Health Industry. Digital Media: to address the "Doing What Matters" strategic framework and consider labor market needs when making decisions about programs; in order to better serve employers and the sector. SB , ,800 Planning and implementation for the South Central Regional Consortium to develop and implement sustainable policies and infrastructure for measurable and successful transition of CTE students from high schools to postsecondary education and careers. Federal Title V 514, ,986 Online student education plan; online counseling and tutoring, OER, Outreach to families of Hispanic high school students, and professional development for faculty. Upward Bound 250, ,000 To encourage low income, first generation students to complete secondary education and enroll in and graduate from postsecondary education. Suicide Prevention (Mental Health) 100, ,798 To support professional development workshops designed to help staff and faculty identify, approach, and refer at-risk students; to reduce the stigma about mental health illness on campus. HIS-STEM 167, ,379 Engineering Boot Camp for MESA students together with tutoring & workshops. NSF 323,767 1,131,068 To meet current and future industry demand by aligning, expanding, and upgrading three programs: Manufacturing Technology, Electromechanical Systems Technology, and Welding (automated robotic & laser) Perkins 419, ,002 To develop more fully the academic, career, and technical skills of secondary and postsecondary students who elect to enroll in career and technical education programs Subtotal - Major Grants $ 10,114,249 $ 7,942,215 72

73 Other Restricted Revenue Sources Top 5 Categorical Programs Out of 13 Categorical Programs Budget Budget Purpose of Grant MAJOR CATEGORICALS SSSP 3,061,307 2,286,307 To fully implement core services: orientation, assessment, counseling, advising, and other education planning services needed to assist a student in making an informed decision about his or her education goal and course of study and to develop an education plan; and follow up for at-risk students. Student Equity 1,403, ,768 To ensure equal educational opportunities and to promote student success for all students, regardless of race, gender, age, disability, or economic circumstances. DSPS 1,121,870 1,122,626 Provides support services, specialized instruction, and educational accommodations to students with disabilities so that they can participate as fully and benefit as equitably from the college experience as their non-disabled peers. EOPS 510, ,406 Primary goal is to encourage the enrollment, retention and transfer of students handicapped by language, social, economic and educational disadvantages, and to facilitate the successful completion of their goals and objectives in college. Basic Skills TBD 480,442 Improving outcomes of students who enter a college needing at least one course in basic skills (reading, writing, and math) or ESL. LOCAL Lottery 642, ,961 To obtain instructional materials that are designed for use by pupils and their teachers as a learning resource and to help pupils to acquire facts, skills, or opinions or to develop cognitive processes. Instructional materials may be printed or nonprinted, and may include textbooks, technology-based materials, other educational materials, and tests. Subtotal - Major Categoricals $ 6,739,958 $ 5,431,510 GRAND TOTAL $ 16,854,207 $ 13,373,725 73

74 Budget Development Demystifying the Budget Process EXPENSES WHERE THEY BEGIN AND THE ROLE OF PROGRAM REVIEW

75 FUNDS AND THEIR PURPOSE Adopted Budget Fund Number Fund Name Description $ 111,020,689 Fund 11 Unrestricted General Fund General Operating Fund. Receives Unrestricted revenue including apportionment. General College expenses are charged here. $ 34,151,595 Fund 12 Restricted General Fund Used for Grant and Categorical revenue and expense. Funding Sources Federal, State, Local, Transfers Federal, State, Local, Transfers $ 19,717,935 Fund 21 Bond Interest/Redemption Fund Used for Budget only-managed by Tax Collector's Office- Receives property tax assessment and pays debt service on GO Bonds. State, Local (Property Taxes) $ 2,783,299 Fund 29 Debt Service Fund $ 104,601 Fund 32 Cafeteria Fund $ 1,209,730 Fund 33 Child Development Fund Used to pay the debt service for 2006 & 2009 COPs. Funded by transfers in from General Fund, Student Parking fees, Student Center Fees and the ISA $1.00 Fire Department contract allocation. Used to record commission revenue from cafeteria and vending machine contractors and record expenses for campus food and expenses related to the repair and upkeep of the cafeteria kitchen facility. Used to record Child Development Center (CDC) Grant revenue and parent fee revenue, as well as expenses associated with these grants and to operate the CDC. Transfers Local (Café Commission Checks) Federal, State, Local, Transfers $ 17,594 Fund 37 Special Revenue-Asset Management Used to record expenses in conjunction with any Asset Management efforts. Local $ 758,018 Fund 39 Special Revenue-Student Center Used to record fees paid by students for the Student Center Remodel ($10 max. per academic year). Part of revenue is transferred to debt service fund to pay annual debt service on the Student Center Remodel portion of the COP. Remainder is accumulated for future debt service payments. Local (Student Fees) 75

76 FUNDS AND THEIR PURPOSE (Continued) Adopted Budget Fund Name Fund Number Description Funding Sources $ 451,088 Fund 41 State Construction Fund Used to record the revenues and expenses for the State funded portion of all construction projects. State $ 932,983 Fund 43 Capital Improvement Projects Used to record expenses in conjunction with locally funded Capital Improvement Projects. Funded through transfers from the Unrestricted General Fund when budget permits. Local, Transfers $ 525,989 Fund 44 Scheduled Maintenance Used to record the revenue from State Scheduled Maintenance funding and all expenses for the state funded portion of Scheduled Maintenance projects. State $ 950,315 Fund 45 GO Bond Fund- Measure M, Series 2012 Used to record proceeds of 2nd Measure M GO Bond issuance and all related project expenses. Local (GO Bond Proceeds) $ 25,000,591 Fund 47 GO Bond Fund- Measure M, Series 2014 Used to record proceeds of 3rd Measure M GO Bond issuance and all related project expenses. Local (GO Bond Proceeds) $ 152,352 Fund 49 Field Turf Replacement Set aside for field turf surface replacement. Annual contributions are made by COC and Hart District. Local $ 270,622 Fund 57 K-12 Arts Education Outreach Fund Used to record revneue and expenses for the K-12 Outreach activities, including assemblies, arts residencies, bus-in shows at COC's PAC, and professional development training for K-12 teachers. Local $ 354,035 Fund 58 Performing Arts Center Used to record revenue and expenses for the "COC Presents" performances held in the Performing Arts Center. Local (Ticket Sales) 76

77 FUNDS AND THEIR PURPOSE (Continued) Adopted Budget Fund Name Fund Number Description Funding Sources $ 1,023,318 Fund 59 Employee Training Institute Used to record revenue and expenses for contract education offered through the Employee Training Institute, including the WorkSource Center. State, Local $ 4,868,146 Fund 69 Internal Services-Retiree Benefits $ - Fund 71 Associated Students Fund $ 263,211 Fund 72 Student Representation Fee Trust Fund $ 29,758,759 Fund 74 Student Financial Aid Fund $ 234,314,870 Total-All Funds Funded by a transfer-in from General Fund based on an actuarial valuation. Used to record expenses for current year negotiated retirees' health benefits and to accumulate annual contributions towards future retirees' medical benefits. Used to record revenue for the optional student support fee. Money is received in Datatel and then remitted to Associated Student Government (ASG). Used to record revenue for the $1 per semester mandatory student representation fee. Appropriate advocacy expenses from the ASG are recorded here. Used to record revenue for PELL, SEOG, Cal Grants and Direct Loans and to disburse these grant and loan monies to students. This fund accepts a required 25% match transfer in from the General Fund for SEOG grants. Transfers Local (Student Fees) Local (Student Fees) Federal, State, Transfers 77

78 EXPENSES Major Classifications Expense Allocation Chart Major Classifications: Salary and Benefits Supplies & Materials Consultants/Lecturers/Contract Services ISA Contract Expense Utilities Mileage/Conference/Meetings/Field Trips/Athletic Trips Memberships, Dues, Insurance Rents/Leases/Maintenance/Repairs Postage, Advertising, Printing Legal/Auditors Capital Debt Interfund Transfers Other Expense 78

79 FORCED COST FUNDING HISTORY BY EXECUTIVE CABINET AREA BY YEAR FY TO FUNDED AND FY FY FY Exec Cabinet X/C E/V Total X/C E/V Total X/C E/V Total Chancellor's Office - 20,000 20, PIO Instruction Office 79, , ,856 25,128 62,310 87,438 9,750 69,047 78,797 Student Services 58,200 25,000 83,200 9,238 1,515 10, ,729 5, ,229 District Wide 551,419 23, , , , , ,550 Business Services ,700 49,680 64,380 Facilities 515,529 30, ,529 80,359-80,359 96,200-96,200 Human Resources Inst. Dev. & Tech. 131,692 58, ,084 73,067 6,865 79,932 23,546 80, ,751 Canyon Country Campus ,000-20,000 Total: 1,336, ,433 1,615, ,675 70, , , ,432 1,006,907 79

80 FORCED COST FUNDING HISTORY BY EXECUTIVE CABINET AREA BY YEAR FY TO FUNDED AND (Continued) FY FY FY Exec Cabinet X/C E/V Total X/C E/V Total X/C E/V Total Chancellor's Office ,000-59,000 60,000-60,000 PIO ,000 15,750 90,750 Instruction Office 11, , , , , ,098 65, , ,602 Student Services 107,785 87, , ,078 17, ,078 57,445 6,500 63,945 District Wide 38,050-38, , , , ,579 Business Services ,052-14, Facilities 86,963-86,963 88,000-88, ,000 61, ,000 Human Resources ,950-15,950 13,000 10,000 23,000 Inst. Dev. & Tech. 14,078-14, ,957 64, ,349 1,447,378-1,447,378 Canyon Country Campus ,687-47,687 Total: 258, , ,721 1,420, ,290 2,068,724 2,344, ,241 2,726,941 80

81 FORCED COST FUNDING HISTORY BY EXECUTIVE CABINET AREA SUMMARY OF 6 YEARS FY TO FY FY (6 Years) Exec Cabinet X/C E/V Total Chancellor's Office $ 119,000 $ 20,000 $ 139,000 PIO $ 75,000 $ 15,750 $ 90,750 Instruction Office $ 326,401 $ 1,248,059 $ 1,574,460 Student Services $ 679,475 $ 142,691 $ 822,166 District Wide $ 1,835,678 $ 23,066 $ 1,858,744 Business Services $ 28,752 $ 49,680 $ 78,432 Facilities $ 1,177,051 $ 91,000 $ 1,268,051 Human Resources $ 28,950 $ 10,000 $ 38,950 Inst. Dev. & Tech. $ 2,176,718 $ 209,854 $ 2,386,572 Canyon Country Campus $ 67,687 $ - $ 67,687 Total: $ 6,514,712 $ 1,810,100 $ 8,324,812 Forced Cost Type X = External (forces beyond our control; i.e. legal/contractual obligations, risk management, health/safety, utilities, insurance) C = Critical Operations (campus would shut down without these) E = Enrollment Management/Growth V = Department/Program Viability (crucial for the department to function) 81

82 ADOPTED BUDGET ESTIMATED EXPENSES Salaries and Benefits Account for 84% of the District s Unrestricted General Fund Adopted Budget All Other Expenses = $14,796,891 16% Salary = $59,656,832 64% Benefits = $18,445,189 20% Detail: $ 20,304,753 FT Faculty, Overload, Stipends, Summer, Winter $ 15,633,214 Classified & Confidential $ 12,667,055 Adjunct Faculty (Incl. ISA Instr.) $ 8,698,453 Administrators $ 1,382,955 Short Term Employees $ 970,402 College Assistants 82

83 ADOPTED BUDGET Estimated Expenses Salaries and Benefits Account for 84% of the District s Unrestricted General Fund Adopted Budget Benefits - $18,445,189 All Other Expenses - $14,796,891 Salaries - $59,656,832 Salaries - 64% Benefits - 20% All Other Expenses - 16% History of Adopted Budget Percentages: % % % % % % % % 83