Finance Committee Agenda Tuesday, October 2, 2018 * 9:00 am ELCFV, 135 Executive Circle, Daytona Beach Call-In Information: 1-888-670-3525 Password: 4275-2656-51# Welcome Public Input Regular Business A Agenda B Minutes from 7.17.18 Reports/Discussion Topics C 17/18 Draft Final, 18/19 August Draft Financials D 18/19 Amendment V04 E Raising Match Funds Continued Conversation F Monitoring Summary Update Next Steps G Next Quarterly Meeting January/April/July/October H Future Topics Member Comments/Announcements & Adjournment K Perry M Barclay H DiRenzo K Perry This committee provides financial oversight for the organization. Tasks include budgeting & financial planning, financial reporting and the creation and monitoring of internal controls and accountability policies. They might also report to the Board and/or Executive Committee the financial condition of the organization. This Committee shall recommend the frequency of selection and selection of an independent auditor, shall review the independent auditor's report and oversee any corrective actions deemed necessary as a result of any audit review. Mission: To enhance children s school readiness by providing opportunities for quality early learning, while strengthening family stability for a healthy community. 1
Meeting: Date: Location: Present: Absent: ELCFV Staff: Guests: ELCFV Finance Committee Tuesday, July 17, 2018 * 9:00 am ELCFV, 135 Executive Circle, Daytona Beach Kristen Perry, Tom Cox, Christine Sikora, Rebecca DeLorenzo Donald O Brien Heather DiRenzo, Lisa Brantley, Melanie Barclay James Halleran, James Moore and Co. Agenda Item Summary/Discussion Action/Follow-Up Welcome The meeting was called to order at 9:00am. Public Input Regular Business Reports / Discussion Topics None Agenda The agenda was reviewed and accepted. Minutes The minutes from 4/3/18 were reviewed and accepted. Committee Description A description of the Finance Committee responsibilities will be included at the bottom of each meeting agenda. Building Unrestricted Dollars There is approximately $250,000 available in unrestricted funds. James Halleran of James Moore and Co. attended to discuss ways to increase and sustain unrestricted funds. The following suggestions were discussed: Special events are good for fundraising and more importantly awareness, as staff time can be costly in comparison with dollars raised. Board Member Responsibility form completed annually with a minimum gift amount required. Members should be active in seeking donations from their resources in the community. Any funds received should be specifically designated. If not, they may be used in unrestricted. Cultivate donors over time and pursue big money in the community. Consider a Legacy gift to the ELCFV in estate planning. Explore National Foundations that do research in early childhood education. Corporate memberships - $50-$100 yearly Board members volunteer time to work an ELCFV event, as staff time can only be used to generate match dollars. Finance Committee Meeting Minutes July 17, 2018 Page 1 2
Agenda Item Summary/Discussion Action/Follow-Up 17/18 Financial Status There s an increase in Tangible Personal Property due to purchasing a new server, phone system and computer stations. School Readiness SR administrative budgeted at 4.7 (cap at 5%). Provider Services and Eligibility recommending 5.7% (increased from 4.7%, cap at 14%) Quality 7.4%. Must be at least 4%. o Resource & Referral increases recommended due to the new RV and surrounding services. o Inclusion new rule on expulsion and keeping children in school, requires more training for teachers. We are recommending 82.2% budget for Direct Services (minimum is 78%). Have been spending over 82% for the past two years. VPK VPK administrative expenses decreased to 3.5% (cap is 4%). Monitoring 100% of VPK providers. Encouraging parents to use their certificates. Wait list continues to be low. Pulling families from wait list weekly. Monitoring Summary The Finance Director provided an update of monitoring status and what is expected through the end of the fiscal year. The ELCFV is still considered low risk. Quarterly Meeting Schedule The next meeting will be held in October at the ELCFV, 135 Executive Circle, Daytona Beach. Date and time TBD. Future Topics Fiscal policies Raising Match Comments Meeting adjourned at 10:25 am. JULY 17, 2018 Finance Committee Minutes Approved: Kristen Perry, Treasurer Early Learning Coalition of Flagler & Volusia Board of Directors Date Finance Committee Meeting Minutes July 17, 2018 3
The Early Learning Coalition of Flagler and Volusia Counties, Inc. Statement of Financial Position As of June 30, 2018 and 2017 Draft Assets 6/30/18 6/30/17 Current Assets Cash 826,047 749,885 Total Cash 826,047 749,885 Accounts Receivable 918,862 1,257,159 Other Current Assets Utility Deposits 550 550 Prepaid Expenses 108,145 81,062 Provider Prepayments - - Total Other Current Assets 108,695 81,612 Total Current Assets 1,853,604 2,088,656 Fixed Assets Company Vehicle 13,880 - Computer Equipment 103,210 100,620 Office Equipment 104,345 106,845 Building Improvements 70,202 70,202 Accumulated Depreciation (232,561) (195,548) Net Depreciable Assets 59,076 82,119 Total Assets $ 1,912,680 $ 2,170,775 13,880 1,898,800 Liabilities & Net Assets Current Liabilities Accounts Payable 1,498,685 1,684,593 Other Current Liabilities Payroll, Taxes & Benefits Payable 123,575 141,807 Advances SR - - VPPRV Prepayment Deferred Revenue - - VPPRP Prepayment Deferred Revenue - - Deferred Revenue & Contributions - Match 34,016 56,114 Deferred Revenue & Contributions - Other 43,510 36,159 201,101 234,080 Total Liabilities 1,699,786 1,918,673 Net Assets Unrestricted Beginning of the Year 252,481 309,293 YTD Activity (39,587) (56,812) Ending Balance 212,894 252,481 Restricted Beginning of the Year (379) (107) YTD Activity 379 (272) Ending Balance - (379) Total Combined Net Assets 212,894 252,102 Total Liabilities and Net Assets $ 1,912,680 $ 2,170,775 4
YTD Expenditures % YTD Actual as a % of Annual The Early Learning Coalition of Flagler and Volusia Counties, Inc. Administration not to exceed 5% of 4.7% SR & PFP VPK Other Statement of Activities by Fund - YTD Provider Services and Eligibility not to exceed 14% 5.5% % of Year Complete 100.0% 100.0% 100.0% for the Twelve Months Ended June 30, 2018 Quality must be at least 4% of Base Allocation 7.7% Support and Revenues 100.4% 95.1% 78.4% DRAFT Direct Services minimum expenditures 78% 82.1% Direct Expenses 103.7% 95.3% 138.2% Total SR % 100.0% Employee Compensation 83.8% 101.7% 137.4% VPK Administration not to exceed 4% 4.0% Other Expenses 95.2% 67.1% 61.3% School Readiness VPK Other Total YTD Actual YTD % of YTD Actual YTD % of YTD Actual YTD % of YTD Actual YTD % of Support & Revenues State of Florida 14,353,533 14,285,543 100% 9,860,290 10,364,833 95% 53,925 40,409 133% 24,267,748 24,690,785 98% Childcare Match & Local Grants 435,889 438,845 99% 0 0 N/A 70,698 136,401 52% 506,587 575,246 88% Other Grants 0 0 N/A 0 0 N/A 4,750 0 N/A 4,750 0 N/A Contributions 0 0 N/A 0 0 N/A 59,174 88,686 67% 59,174 88,686 67% Contributions In-Kind 0 0 N/A 0 0 N/A 13,880 0 N/A 13,880 0 N/A Earned Interest 0 0 N/A 0 0 N/A 5,936 4,329 137% 5,936 4,329 137% Miscellaneous Income 0 0 N/A 0 0 N/A 16,547 20,000 83% 16,547 20,000 83% Total Support & Revenues 14,789,422 14,724,388 100% 9,860,290 10,364,833 95% 224,910 289,825 78% 24,874,622 25,379,046 98% Expenses Direct Expenses Direct Expenses 12,263,020 11,826,149 104% 9,455,822 9,925,080 95% 50,163 36,288 138% 21,769,005 21,787,517 100% Total Direct Expenses 12,263,020 11,826,149 104% 9,455,822 9,925,080 95% 50,163 36,288 N/A 21,769,005 21,787,517 100% Employee Compensation Salaries 1,335,132 1,562,976 85% 273,020 246,667 111% 70,597 54,188 130% 1,678,749 1,863,831 90% Taxes 110,421 136,787 81% 14,214 20,243 70% 3,916 24 16317% 128,551 157,054 82% 401K 29,346 48,071 61% 3,760 7,666 49% 0 9 0% 33,106 55,746 59% Other Benefits 240,974 298,989 81% 30,461 41,407 74% 0 0 N/A 271,435 340,396 80% Total Employee Compensation 1,715,873 2,046,823 84% 321,455 315,983 102% 74,513 54,221 137% 2,111,841 2,417,027 87% Other Expenses Communications 41,033 37,662 109% 6,020 8,813 68% 0 0 N/A 47,053 46,475 101% Depreciation 0 0 N/A 0 0 N/A 39,512 42,000 94% 39,512 42,000 94% Insurance 20,666 20,372 101% 2,605 3,672 71% 0 0 N/A 23,271 24,044 97% Local Activities 0 3,687 0% 0 587 0% 4,382 5,043 87% 4,382 9,317 47% Occupancy 294,471 285,705 103% 39,021 51,295 76% 0 0 N/A 333,492 337,000 99% Other Expenses 59,508 103,323 58% 7,582 14,913 51% 31,212 19,628 159% 98,302 137,864 71% Postage, Freight, & Delivery 2,390 5,476 44% 337 624 54% 0 0 N/A 2,727 6,100 45% Professional Services 85,246 103,187 83% 12,599 15,332 82% 205 12,598 2% 98,050 131,117 75% Quality 208,634 168,750 124% 3,416 3,746 91% 64,168 145,608 44% 276,218 318,104 87% Rentals 34,583 36,064 96% 4,371 5,936 74% 0 0 N/A 38,954 42,000 93% Supplies 14,193 12,379 115% 1,770 3,058 58% 1,566 1,808 87% 17,529 17,245 102% Tangible Personal Property 12,867 38,370 34% 1,575 11,171 14% (2,411) 0 N/A 12,031 49,541 24% Travel 36,559 36,441 100% 3,717 4,623 80% 1,189 1,251 95% 41,465 42,315 98% Total Other Expenses 810,150 851,416 95% 83,013 123,770 67% 139,823 227,936 61% 1,032,986 1,203,122 86% Total Expenses 14,789,043 14,724,388 100% 9,860,290 10,364,833 95% 264,499 318,445 83% 24,913,832 25,407,666 98% Change in Net Assets 379 0 0 0 (39,589) (28,620) (39,210) (28,620) 5
The Early Learning Coalition of Flagler and Volusia Counties, Inc. Children Served - As of June 2018 School Readiness 17/18 WAITLIST Enrollment 15/16 16/17 17/18 Priority 3 Priority 4+ Voluntary Prekindergarten Combined Enrollment 15/16 16/17 Month Actual Actual Actual Flagler Volusia Flagler Volusia Total Month Actual Actual Actual July 3,308 3,040 3,500 3,410 2 6 - - 8 July 288 207 243 201 August 3,463 3,200 3,500 3,471 8 57 1 4 70 August 3,799 4,032 4,860 4,075 September 3,080 2,955 3,175 3,096 8 61 1 4 74 September 3,974 4,040 4,860 3,981 October 3,150 3,055 3,200 3,149 1 8 - - 9 October 4,000 4,089 4,860 3,945 November 3,104 3,135 3,225 3,143-13 - 1 14 November 3,989 4,275 4,860 3,978 December 3,084 3,205 3,225 3,147 6 59-7 72 December 3,968 4,084 4,860 3,962 January 3,082 3,245 3,250 3,293 1 12-6 19 January 3,919 4,067 4,860 3,976 February 3,084 3,285 3,275 3,259 1 9 - - 10 February 3,976 4,040 4,860 3,969 March 3,126 3,325 3,300 3,332 6 48-5 59 March 3,956 3,933 4,860 3,863 April 3,102 3,365 3,325 3,270 1 25-2 28 April 3,908 3,827 4,860 3,836 May 2,976 3,415 3,350 3,370 1 16-1 18 May 3,852 4,003 4,860 4,043 June 2,947 3,465 3,546 3,293 4 33-2 39 June 3,776 572 632 4,486 17/18 3,750 School Readiness 6,000 Voluntary Prekindergarten 3,500 5,000 3,250 3,000 15-16 Actual 16-17 Actual 17/18 17/18 Actual 4,000 3,000 2,000 15-16 Actual 16-17 Actual 17-18 17-18 Actual 2,750Advertising 1,000 2,500 0 6
Account Title 17-18 Early Learning Coalition of Flagler and Volusia Counties, Inc. Agency wide Revenue and Expense Projection Multi-Year Comparison 17-18 Projected 18-19 (V03) 18-19 Proposed Changes 18-19 (V04) 83.42% 10.40% 6.19% SR & PFP VPK & OAMI Other Income State of Florida $ 24,690,784 $ 23,890,784 $ 24,702,374 $ 845,579 $ 25,547,953 $ 15,591,088 $ 9,893,891 $ 62,974 Other Grants - - 154,089-154,089 - - 154,089 Childcare Match & Local Grants 575,246 575,246 472,163 25,119 497,282 497,282 - - Contributions 88,686 88,686 75,500-75,500 - - 75,500 Earned Interest 4,329 4,329 6,050-6,050 - - 6,050 Miscellaneous Income 20,000 20,000 - - - - - - Total Income $ 25,379,045 $ 24,579,045 $ 25,410,176 $ 870,698 $ 26,280,874 $ 16,088,370 $ 9,893,891 $ 298,613 Expenses Direct Expenses Direct Expenses 21,787,517 21,027,517 21,659,841 765,532 22,425,373 12,872,266 9,493,107 60,000 Total Direct Expenses $ 21,787,517 $ 21,027,517 $ 21,659,841 $ 765,532 $ 22,425,373 $ 12,872,266 $ 9,493,107 $ 60,000 Employee Compensation Salaries 1,863,831 1,863,831 1,858,631-1,858,631 1,566,169 268,596 23,866 Taxes 157,054 157,054 157,870-157,870 139,968 17,902-401K 55,746 55,746 75,000-75,000 68,682 6,318 - Other Benefits 340,396 340,396 289,112-289,112 256,327 32,785 - Total Employee Compensation $ 2,417,027 $ 2,417,027 $ 2,380,613 $ - $ 2,380,613 $ 2,031,146 $ 325,601 $ 23,866 Other Expenses Communications 46,475 46,475 47,220-47,220 41,865 5,355 - Depreciation 42,000 42,000 50,000-50,000 - - 50,000 Insurance 24,043 24,043 27,413 2,500 29,913 26,804 3,109 - Local Activities 9,317 9,317 4,500-4,500 - - 4,500 Occupancy 337,000 337,000 321,860-321,860 285,928 35,932 - Other Expenses 136,965 125,865 205,482 84,262 289,744 273,410 6,234 10,100 Postage, Freight, & Delivery 6,100 6,100 4,005-4,005 3,650 355 - Professional Services 132,017 143,117 233,800 17,154 250,954 108,891 10,849 131,214 Quality 318,104 318,104 309,045-309,045 241,542 6,003 61,500 Rentals 42,000 42,000 37,300-37,300 33,070 4,230 - Supplies 17,245 17,245 20,539-20,539 19,554 885 100 Tangible Personal Property 49,541 9,541 90,000-90,000 90,000 - - Travel 42,315 42,315 61,740 1,250 62,990 60,244 2,231 515 Total Other Expenses $ 1,203,121 $ 1,163,121 $ 1,412,904 $ 105,166 $ 1,518,070 $ 1,184,958 $ 75,183 $ 257,929 - - Total Expenses $ 25,407,665 $ 24,607,665 $ 25,453,358 $ 870,698 $ 26,324,056 $ 16,088,370 $ 9,893,891 $ 341,795 Net Income/(Loss) $ (28,620) $ (28,620) $ (43,182) $ - $ (43,182) $ - $ - $ (43,182) Increase (Decrease) in Direct Services 0.6% -2.9% -0.6% -96.4% 3.5% Increase (Decrease) in Salaries & Benefits 15.1% 15.1% -1.5% -100.0% 0.0% Increase (Decrease) in all other Expenses -17.7% -20.4% 17.4% -91.0% 7.4% \\fs01\public\finance\accounting\\18-19 \20180713_1819_Pending_Approval V04 9/28/2018 7
The Early Learning Coalition of Flagler and Volusia Counties, Inc. Monitoring Reports Listing July 1, 2014 - current Fiscal Year 14-15 15-16 16-17 17-18 18-19 14-15 Annual Single Audit 15-16 Annual Single Audit 16-17 Annual Single Audit 17-18 Annual Single Audit, Part 1 - in progress 18-19 Annual Single Audit, to be scheduled May 19 14-15 Programmatic & Accountability Review 16-17 OEL Programmactic Monitoring: May 17 18-19 OEL Programmactic Monitoring 14-15 OEL Fiscal Monitoring 15-16 OEL Fiscal Monitoring 16-17 OEL Fiscal Monitoring 18-19 OEL Fiscal Monitoring 14-15 OEL Quarterly Desk Review: Sept 14 15-16 OEL Quarterly Desk Review: July 15 16-17 OEL Quarterly Desk Review: Nov 16 18-19 OEL Biannual Desk Review 14-15 OEL Quarterly Desk Review: Dec 14 15-16 OEL Quarterly Desk Review: Nov 15 16-17 OEL Quarterly Desk Review: Feb 17 17-18 OEL Quarterly Desk Review: July - Sept 17 18-19 OEL Biannual Desk Review 14-15 OEL Quarterly Desk Review: May 15 15-16 OEL Quarterly Desk Review: May 16 17-18 OEL Quarterly Desk Review: Oct - Dec 17 15-16 OEL Quarterly Desk Review: June 16 17-18 OEL Quarterly Desk Review: Jan - June 18 14-15 OEL Data Accuracy TA 15-16 OEL Data Accuracy TA 16-17 OEL Data Accuracy TA 17-18 OEL Data Accuracy TA 18-19 OEL Data Accuracy TA 14-15 Onsite Review- City of Deltona 15-16 Desk Review - City of Deltona 16-17 Desk Review - City of Deltona 17-18 Desk Review - City of Deltona 18-19 Desk Review - City of Deltona AG Audit: July 13 - Dec 14 16-17 Onsite Review-County of Volusia 17-18 Onsite Review-County of Volusia 18-19 Onsite Review-County of Volusia 8