2012-2013 OHLONE COMMUNITY COLLEGE DISTRICT TENTATIVE BUDGET ALL FUNDS June 13, 2012
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TABLE OF CONTENTS ALL GENERAL FUNDS UNRESTRICTED AND RESTRICTED... 1 NARRATIVE... 1 UNRESTRICTED GENERAL FUNDS... 2 NARRATIVE... 2 UNRESTRICTED GENERAL PURPOSE OPERATING FUND FUND 10... 3 MAJOR REVENUE ASSUMPTIONS... 3 MAJOR EXPENDITURE ASSUMPTIONS... 5 RESERVE ASSUMPTIONS... 8 2 YEAR BUDGET COMPARISON... 9 BREAKDOWN OF ENDING FUND BALANCE... 10 UNRESTRICTED GENERAL FUND PROGRAM DISTRIBUTION FUND 12... 11 NARRATIVE... 11 FUND 12 FINANCIAL SUMMARY... 12 UNRESTRICTED GENERAL FUND COMMUNITY EDUCATION FUND 13... 13 NARRATIVE AND ASSUMPTIONS... 13 FUND 13 FINANCIAL SUMMARY... 14 UNRESTRICTED GENERAL FUND CONTRACT EDUCATION FUND 14... 15 NARRATIVE AND ASSUMPTIONS... 15 FUND 14 FINANCIAL SUMMARY... 16 UNRESTRICTED GENERAL FUND SMITH CENTER FUND 15... 17 NARRATIVE... 17 FUND 15 FINANCIAL SUMMARY... 18 UNRESTRICTED GENERAL FUND AUXILIARY SERVICES/RENTALS FUND 18... 19 NARRATIVE... 19
FUND 18 FINANCIAL SUMMARY... 20 UNRESTRICTED GENERAL FUND SUMMARY... 21 RESTRICTED GENERAL FUNDS FUNDS 20 26... 22 RESTRICTED GENERAL FUND CATEGORICAL FUND 20... 23 NARRATIVE... 23 FUND 20 FINANCIAL SUMMARY... 24 RESTRICTED GENERAL FUND GRANTS FUND 21... 25 NARRATIVE... 25 FUND 21 FINANCIAL SUMMARY... 26 RESTRICTED GENERAL FUND PARKING FUND 25... 27 NARRATIVE... 27 FUND 25 FINANCIAL SUMMARY... 28 RESTRICTED GENERAL FUND HEALTH SERVICES FUND 26... 29 NARRATIVE... 29 FUND 26 FINANCIAL SUMMARY... 30 HEALTH CENTER DETAIL... 31 GENERAL FUND (UNRESTRICTED AND RESTRICTED) SUMMARY... 32 ALL OTHER FUNDS FUNDS 41 74... 33 RESTRICTED CAPITAL OUTLAY FUND 41... 34 NARRATIVE... 34 FUND 41 FINANCIAL SUMMARY... 35 BOND REVENUE CONSTRUCTION FUND GENERAL OBLIGATION: MEASURE A FUND 42... 36 NARRATIVE... 36 FUND 42 FINANCIAL SUMMARY... 37 BOND REVENUE CONSTRUCTION FUND GENERAL OBLIGATION: MEASURE G FUND 43... 38 NARRATIVE... 38
FUND 43 FINANCIAL SUMMARY... 39 INTERNAL SERVICES FUND (RETIREE BENEFITS AND SECTION 125) FUND 69... 40 NARRATIVE... 40 FUND 69 FINANCIAL SUMMARY... 41 RESTRICTED FINANCIAL AID FUND FUND 74... 42 NARRATIVE... 42 FUND 74 FINANCIAL SUMMARY... 43 MAJOR PROGRAM LISTING... 44 GRAND TOTAL ALL FUNDS SUMMARY... 45
NARRATIVE ALL GENERAL FUNDS UNRESTRICTED AND RESTRICTED The District s Total General Fund is a combination of the Unrestricted and Restricted General Funds. The District has established several funds in each of these categories to better provide assistance to the District s budget managers and to add an additional level of oversight for the District s system of internal accounting controls. The Funds have been set up to comply with the and Accounting Manual (BAM) Fund definitions and to follow the hierarchy of Generally Accepted Accounting Principles (GAAP). Governmental accounting is founded upon the same basic concepts and conventions that underlie the accounting discipline as a whole. However, governmental accounting focuses on the sources and uses of resources to attain the institution s objectives rather than on profit or loss. (BAM p. 1-6) A fund is a defined as a fiscal and accounting entity with a self-balancing set of accounts recording cash and other financial resources, together with all related liabilities, expenditures and residual equities or fund balances. The Funds under the General Fund umbrella are categorized by revenue source and related expenditures. 1
UNRESTRICTED GENERAL FUNDS NARRATIVE Unrestricted General Funds are those resources that are available for the general operation and support of the District s educational programs. The Board of Trustees may designate unrestricted monies for specific operating purposes and to establish separate funds. The Board retains discretionary authority to redesignate these funds. The current funds are as follows: Unrestricted General Operating Fund Fund 10 Board Designated Funds Program Distribution Fund 12 Community Education Fund Fund 13 Contract Education Fund Fund 14 Smith Center Operations Fund 15 Auxiliary Fund Fund 18 2
UNRESTRICTED GENERAL PURPOSE OPERATING FUND - FUND 10 MAJOR REVENUE ASSUMPTIONS Apportionment revenue estimates are based on the following assumptions: The District has built the Tentative on Scenario B of the Governor s May Revise, which includes a workload reduction of 6.20%. Apportionment Revenues are projected at conservative levels, predicated on the Governor s November 2012 tax initiative NOT being approved. This results in a workload reduction of $2,264,423. A deficit factor is included of 3%, $1,150,852. This factor includes limited fiscal risk associated with RDA/property tax revenue shortfalls. 2012-2013 FTES are budgeted at the reduced level of 7,232, a reduction of 465 FTES. No COLA is included. Lottery is estimated to be $1,000,000, which is the same as in previous years. Interest Revenue is projected at $80,000, reflecting the trend of 2010-11 of lower interest rates and reduced cash balances. 3
Regular Enrollment Fees have been increased to $46 per unit, at direction of the State. Non-resident international tuition revenue is projected at the 2011-12 estimated actuals level of $1,700,000. Non-resident domestic tuition reflects the addition of capital outlay as now required by law. Mandated Costs Revenue is included at $28 per FTES at $202,487. Rental revenue from Kidango of $60,000 is included. The District will continue to charge an electronic access fee of $5. Bookstore revenue is projected at the contract level of $225,000. Parity funding of $175,480 to support adjunct faculty salaries is now directly included in General Fund Unrestricted Revenue, instead of in Fund 16. Redevelopment AB1290 has yet to be determined but will be as indicated by the state. The District projects the state will provide $960K in supplemental revenue for DSP&S. This revenue is recorded in the Restricted General Fund Revenues in Fund 20. 4
UNRESTRICTED GENERAL PURPOSE OPERATING FUND - FUND 10 MAJOR EXPENDITURE ASSUMPTIONS Salaries are budgeted at negotiated levels and benefit adjustments are included for regular, hourly and student workers. All step, column, and longevity adjustments are included with a net increase of $257,883. The effects of the reorganization that occurred in the third quarter of 2011-12 have been included as have six faculty positions, one custodian, and two Deans. The late resignations and retirees positions have been included as reconstituted. Two half-year sabbaticals have been granted and the related costs are included The regular adjunct faculty budget is based on the current levels of full-time to part-time expenditures which reflect the corresponding workload reduction as noted in the revenue assumptions. Within the regular budget, there are allocations related to large class loads, summer school, new program development, the public safety consortium and high school programs. The District will meet its full-time faculty obligation number (FON). The obligation from the 2012 First Principle Enrollment Certification (320) P1 108.2 FTEF. This includes the effects of the mid-year triggers in 2011-12. The budget is built on 116 FTEF. This number includes the three most recent retirees and the six new faculty positions. 5
The employer paid portion of mandatory benefits is budgeted as follows: STRS 8.250% PERS** 11.417% OASDI (employer rate 6.200% OASDI (employee rate) 4.200% Medicare 1.450% SUI 1.160% Workers Compensation 1.665% GASB45 (OPEB) Faculty* 2.140% GASB45 (OPEB) Classified* 1.700% *GASB45 (OPEB) Faculty & Classified together results in the OPEB expense. The Actual Required Contribution (ARC) will be paid from funds set aside in Fund 69 from the excess of the sale of bookstore assets. In 2013-14 these expenses will revert to the General Fund. **The PERS rate has officially been increased from 10.923% to 11.417%. Health and Welfare benefits (medical, dental, life insurance, vision) are budgeted on actual cost per employee for classified staff. The final budget will reflect any changes in the plan charges and negotiated settlements that occur over the summer. General Fund salaries to support the final stages of the Measure A Bond and Measure G are included. Categorical funds were reduced anywhere from 32% to complete elimination. Each program reduced its budget to the appropriate level. The General Fund will continue to support DSP&S by $750,000 of funding, which represents a $350,000 reduction from prior year final budget, and $55,859 for Financial Aid match. 6
Supplies and operating expenses (discretionary budget items), as well as service contracts, are budgeted at levels determined by budget managers during the budget development process. This process resulted in a net reduction of discretionary budgets of $331,396 compared to the levels. The District matches are: Categorical Fund 10 support $30,000 Pay-as-you go portion of GASB 45* $ 0 College Work Study $14,859 Supplemental Education Opportunity Grant (SEOG) $10,995 Total Matching Funds $55,859 *The entire ARC including the pay-as-you go portion is being funded out of the internal service fund, Fund 69 from the proceeds of the bookstore lease. In 2013-14 this expense will return to the general fund. The State eliminated the instructional equipment/ library books block grant and the scheduled maintenance block grant. The District reinstated support of $42,000 of instructional activity in the Smith Center, instructional tickets are still being honored up to $10,000 and are included in the division instructional supply budget. A District Wide Capital Planning of $100,000 is included. The District s Expenditures are projected to outpace its revenues in 2012-2013 by $2,516,794. 7
UNRESTRICTED GENERAL PURPOSE OPERATING FUND - FUND 10 RESERVE ASSUMPTIONS The District will establish a 5% contingency reserve in the amount of $2,150,407. This reserve calculation is based on Unrestricted General Purpose General Fund 10 Expenditures as stated in California Code of Regulations title V. As the District projects deficit spending in 2012-2013, the District will use all of the unallocated funds that remained at the end of 2011-12, estimated at $1,392,092. The Rainy Day Reserve is down to $568,943. Other components of the Ending Fund Balance include: One-time reserve balance of $543,236. Capital Improvement reserve balance of $300,000. Office Equipment reserve balance of $300,000. SERP reserve of $1,483,915.* *The 2009 SERP generated costs going across 5 years. To make sure the District can meet this obligation for the remaining 2 years, an amount of $460,982, which represents $230,491 times 2 years, has been established. An additional reserve in the amount of $1,022,933 has been set up, for the 3.5 years remaining of the 2011 SERP. This leaves $0 in the unallocated reserve. 8
UNRESTRICTED GENERAL PURPOSE OPERATING FUND FUND 10 2-YEAR BUDGET COMPARISON Scenario B 2012-2013 Tentative Scenario A The initiative passes 2012-2013 Description Final Estimated Actuals Changes In Estimated Actuals to Tentative Revenue 42,304,646 42,327,962 (1,836,625) 40,491,337 42,553,273 State Cut - - - Net Revenue 42,304,646 42,327,962 (1,836,625) 40,491,337 42,553,273 Expenditures 1000 Academic Salaries 13,426,637 13,016,915 346,575 13,363,490 13,363,490 1000 Part Time Academic Salaries 5,391,459 5,931,459 (646,130) 5,285,329 5,866,329 Total 1000 CE Salaries: 18,818,096 18,948,374 (299,555) 18,648,819 19,229,819 2000 CL Salaries 11,271,055 10,975,261 79,996 11,055,257 11,045,388 3000 Benefits 7,028,211 7,252,107 147,249 7,399,356 7,446,606 4000 Supplies 613,908 643,519 69,109 712,628 712,628 5000 Operating Exp. 6,257,163 5,360,304 (324,092) 5,036,212 5,036,212 6000 Capital Outlay 100,000 133,547 (33,547) 100,000 100,000 44,088,433 43,313,112 (360,840) 42,952,272 43,570,653 Other Outgo 7300 Interfund Trf. Out 133,904 143,904 (88,045) 55,859 55,859 Total Expenditures: 44,222,337 43,457,016 (448,885) 43,008,131 43,626,512 Estimated Savings from Discretionary Accounts - - - Net Activity: (1,917,691) (1,129,054) (1,387,740) (2,516,794) (1,073,239) Beginning Fund Balance: 9,792,349 9,792,349 (1,129,054) 8,663,295 8,663,295 Ending Fund Balance: 7,874,658 8,663,295 (2,516,794) 6,146,501 7,590,056 9
UNRESTRICTED GENERAL PURPOSE OPERATING FUND FUND 10 BREAKDOWN OF ENDING FUND BALANCE Description Final Estimated Actuals Changes In Estimated Actuals to Tentative Scenario B: 2012-2013 Tentative Scenario A: The initiative passes 2012-2013 Designated 5% Contingency Reserve 2,211,117 2,211,117 (60,710) 2,150,407 2,181,326 Rainy Day Reserve 1,000,000 1,000,000 (431,057) 568,943 1,000,000 One Time Expenditures 543,236 543,236-543,236 543,236 Assigned to: Bookstore inventory buy back 800,000 800,000-800,000 800,000 Capital Improvement 300,000 300,000-300,000 300,000 Office Equipment 300,000 300,000-300,000 300,000 Faculty Growth - - - - - Obligation for SERP - 2009 1,025,247 691,473 (230,491) 460,982 460,982 Obligation for SERP - 2011 1,268,952 1,425,377 (402,444) 1,022,933 1,022,933 Unassigned: 426,106 1,392,092 (1,392,092) 0 981,579 Total Fund Balance: 7,874,658 8,663,295 (2,516,794) 6,146,501 7,590,056 Estimated actual are based on the Third Quarter Report 10
UNRESTRICTED GENERAL FUND - PROGRAM DISTRIBUTION FUND 12 NARRATIVE This fund is designed to house program distributions, one-time funding allocations, and Verizon antenna rental proceeds. Any of the one-time funding allocations that were no longer needed were moved back to the General Unrestricted Operating Fund 10. We project a 0 Ending Fund Balance at 2012-2013 year end. 11
UNRESTRICTED GENERAL FUND PROGRAM DISTRIBUTION FUND 12 FUND 12 FINANCIAL SUMMARY Description Final Estimated Actuals Changes in Estimated Actuals to Tentative 2012-2013 Tentative Revenue (Including Transfers-In) 34,237 74,495 (40,258) 34,237 Expenditures (Including Transfers-Out) 226,260 276,519 (197,148) 79,371 Surplus/(Deficit) (192,023) (202,024) 156,890 (45,134) BEGINNING BALANCE 247,158 247,158 (202,024) 45,134 Prior Year Adjustments - - Adjusted Beginning Balance 247,158 247,158 (202,024) 45,134 Surplus/(Deficit) (192,023) (202,024) 156,890 (45,134) ENDING BALANCE 55,135 45,134 (45,134) - Assigned to: Reserve for Operations - 45,134 (45,134) - Total Reserve: - 45,134 (45,134) - Estimated actual are based on the Third Quarter Report 12
UNRESTRICTED GENERAL FUND - COMMUNITY EDUCATION FUND 13 NARRATIVE AND ASSUMPTIONS As authorized by Education Code section 78300, the District has established a Community Education program. This code section allows the District to establish a wide range of fee based classes that are not part of the apportionment funding. Ohlone for Kids summer program and the English Learning Institute (ELI) are two of the most popular programs. Others include fitness and wellness classes, sports camps, and the Online Traffic School. These programs must be self-supporting and any remaining funds are distributed based on availability and campus need through Fund 12. The minimum reserve is $50,000. 13
UNRESTRICTED GENERAL FUND COMMUNITY EDUCATION FUND 13 FUND 13 FINANCIAL SUMMARY Description Final Estimated Actuals Changes in Estimated Actuals to Tentative 2012-2013 Tentative Revenue Community Education Revenue 230,000 107,500 117,500 225,000 Ohlone for Kids 550,000 550,000-550,000 English Language Institute 660,000 634,000 1,000 635,000 Total Revenue 1,440,000 1,291,500 118,500 1,410,000 Expenditures 1,250,000 1,298,013 11,987 1,310,000 Net Activity 190,000 (6,513) 106,513 100,000 Distributions to support District Strategic Plan - - - - BEGINNING BALANCE 705,104 705,104 (6,513) 698,591 Prior Year Adjustments - - - - Adjusted Beginning Balance 705,104 705,104 (6,513) 698,591 Transfers Out/Distributions - - - - Surplus/(Deficit) 190,000 (6,513) 106,513 100,000 ENDING BALANCE 895,104 698,591 100,000 798,591 Limited to: Reserve Available for Distribution 845,104 648,591 100,000 748,591 Board Approved Reserve 50,000 50,000-50,000 Total Reserve: 895,104 698,591 100,000 798,591 14
UNRESTRICTED GENERAL FUND CONTRACT EDUCATION FUND 14 NARRATIVE AND ASSUMPTIONS As authorized by Education Code 78300 and 55160, the District has set a Contract Education program. This code section allows for a wide range of fee based courses. The District utilizes this fund to track all company sponsored, community-based courses. Our largest contracts are currently with the Alameda Workforce Investment Board (WIB) Microsoft Office. These programs must be self-supporting and any remaining funds are distributed based on availability and campus need through Fund 12. The minimum reserve is $200,000. 15
UNRESTRICTED GENERAL FUND CONTRACT EDUCATION FUND 14 FUND 14 FINANCIAL SUMMARY Description Final Estimated Actuals Changes in Estimated Actuals to Tentative 2012-2013 Tentative Revenue (Including Transfers-In) 317,950 221,950 (41,950) 180,000 Expenditures (Including Transfers-Out) 317,950 199,350 (99,350) 100,000 Surplus/(Deficit) - 22,600 57,400 80,000 BEGINNING BALANCE 687,487 687,487 22,600 710,087 Prior Year Adjustments - - - - Adjusted Beginning Balance 687,487 687,487 22,600 710,087 Surplus/(Deficit) - 22,600 57,400 80,000 ENDING BALANCE 687,487 710,087 80,000 790,087 Limited to: Reserve for Operations 487,487 510,087 80,000 590,087 Board Approved Reserve 200,000 200,000-200,000 Total Reserve: 687,487 710,087 80,000 790,087 Estimated actual are based on the Third Quarter Report 16
UNRESTRICTED GENERAL FUND SMITH CENTER FUND 15 NARRATIVE Smith Center: This budget accounts for the following activities: Instructional Performances The Professional Artist Series Theatre Operations House Management Box Office Concessions Facility Rental Costume Rental The primary purpose of the Smith Center is to promote the instructional programs of the Division of Fine Arts, Business and Broadcasting. This is achieved in a combination of student performances and labs as well Professional Artist s performances and residencies. The facility is rented to the public when not in use for campus purposes. The facility has two studios and four performance venues: The Jackson Theatre (405 seats), The NUMMI Black Box Theatre (50 to 200 seats), The Amphitheater (726 seats), and the Dance Studio (75 seats). The use of the center is primarily educational, but the number of renters has increased and the amount of time the Center is dark has declined dramatically. 17
UNRESTRICTED GENERAL FUND SMITH CENTER FUND 15 FUND 15 FINANCIAL SUMMARY Description Final Estimated Actuals Changes in Estimated Actuals to Tentative 2012-2013 Tentative Revenue (Including Transfers-In) 250,000 250,000 (40,000) 210,000 Expenditures (Including Transfers-Out) 235,000 245,000 (40,000) 205,000 Surplus/(Deficit) 15,000 5,000-5,000 BEGINNING BALANCE 216,764 216,764 5,000 221,764 Prior Year Adjustments - - - - Adjusted Beginning Balance 216,764 216,764 5,000 221,764 Surplus/(Deficit) 15,000 5,000-5,000 ENDING BALANCE 231,764 221,764 5,000 226,764 Limited to: Reserve for Operations 231,764 221,764 5,000 226,764 Board Approved Reserve - - - - Total Reserve: 231,764 221,764 5,000 226,764 Estimated actual are based on the Third Quarter Report 18
UNRESTRICTED GENERAL FUND AUXILIARY SERVICES/RENTALS FUND 18 NARRATIVE This fund accounts for all facility rentals, Flea Market, and Pay for Print. Flea Market: This budget reflects one monthly Flea Market, one yearly garage sale and one holiday boutique. Civic Center: This budget accounts for the rental revenues charged for the outside use of the District s facilities, including classrooms, the gym, the swimming pool, and fields. Charges include maintenance, utilities, and salaries related to operating the facilities on both campuses. Student Printing: There is a web-based student print solution that is currently in the first year of operation and has only been partially deployed. There is enough to pay for the supplies needed for the operation but an assessment will need to be done at the end of the second full year to determine if the program is working as indicated. Cafeteria Commissions: As part of the contract with Fresh and Natural, the college receives a commission on sales. This revenue is accounted for here and expenditures are used to update and repair cafeteria equipment. 19
UNRESTRICTED GENERAL FUND AUXILIARY SERVICES/ RENTALS FUND 18 FUND 18 FINANCIAL SUMMARY Final Estimated Actuals Changes in Estimated Actuals to Tentative 2012-2013 Tentative Description FLEA MARKET/FUND RAISING: Revenue (Including Transfers-In) 66,000 66,000-66,000 Expenditures (Including Transfers-Out) 60,000 60,000-60,000 Surplus/(Deficit) 6,000 6,000-6,000 STUDENT PRINTING: Revenue (Including Transfers-In) 25,000 25,000 (4,000) 21,000 Expenditures (Including Transfers-Out) 24,000 24,000 (4,000) 20,000 1,000 1,000-1,000 CIVIC CENTER: Revenue (Including Transfers-In) 120,000 125,000 (5,000) 120,000 Expenditures (Including Transfers-Out) 110,000 126,200 (16,200) 110,000 Surplus/(Deficit) 10,000 (1,200) 11,200 10,000 CAFETERIA: Revenue (Including Transfers-In) 5,000 15,000 1,000 16,000 Expenditures (Including Transfers-Out) 3,000 9,360 640 10,000 Surplus/(Deficit) 2,000 5,640 360 6,000 TOTAL REVENUE (Including Transfers-In) 216,000 231,000 (8,000) 223,000 TOTAL EXPENDITURES (Including Trans-Out) 197,000 219,560 (19,560) 200,000 TOTAL SURPLUS/(DEFICIT) 19,000 11,440 11,560 23,000 BEGINNING BALANCE 465,330 465,330 11,440 476,770 Prior Year Adjustments - - - - Adjusted Beginning Balance 465,330 465,330 11,440 476,770 Surplus/(Deficit) 19,000 11,440 11,560 23,000 ENDING BALANCE 484,330 476,770 23,000 499,770 Limited to: Reserve for Operations 484,330 476,770 23,000 499,770 Total Reserve: 484,330 476,770 23,000 499,770 Estimated actual are based on the Third Quarter Report 20
UNRESTRICTED GENERAL FUND SUMMARY Description Fund 10 Fund 12 Fund 13 Fund 14 Fund 15 Fund 18 Total Unrestricted General Fund Revenue (Including Transfers-In) 40,491,337 34,237 1,410,000 180,000 210,000 223,000 42,548,574 Expenditures (Including Transfers-Out) 43,008,131 79,371 1,310,000 100,000 205,000 200,000 44,902,502 Surplus/(Deficit) (2,516,794) (45,134) 100,000 80,000 5,000 23,000 (2,353,928) BEGINNING BALANCE 8,663,295 45,134 698,591 710,087 221,764 476,770 10,815,641 Prior Year Adjustments - Adjusted Beginning Balance 8,663,295 45,134 698,591 710,087 221,764 476,770 10,815,641 Surplus/(Deficit) (2,516,794) (45,134) 100,000 80,000 5,000 23,000 (2,353,928) ENDING BALANCE 6,146,501-798,591 790,087 226,764 499,770 8,461,713 21
RESTRICTED GENERAL FUNDS FUNDS 20-26 The Restricted General Funds were established for programs funded from external sources, including federal, state, local government grants, and programs regulated by granting agencies and/or through state laws or requirements. The Restricted General Funds for consist of the following: Categorical Fund 20 Grants Fund 21 Parking Fund 25 Health Services 26 22
RESTRICTED GENERAL FUND CATEGORICAL FUND 20 NARRATIVE Fund 20 was established to account for programs funded through General Apportionment by federal and state sources. The appropriate Chancellor s Office department regulates these categorical programs. These budgets are updated throughout the year as entitlements are revised and approved by the granting source. The federal and state programs in this fund are formula-driven and received by virtually all community colleges. If the District files a grant application and complies with the provisions, the District will be funded. These grants usually do not vary much from year to year. The categorical funds were cut in 2009-10. Since that time, the programs have been living within the funding except for the Federally mandated programs of DSP&S and Financial Aid. The District received an additional allocation of from the Deaf and Hard of Hearing (DHH) funding to support the DSP&S program. 23
RESTRICTED GENERAL FUND CATEGORICAL FUND 20 FUND 20 FINANCIAL SUMMARY Description Final Estimated Actuals Changes in Estimated Actuals to Tentative 2012-2013 Tentative Revenue (Including Transfers-In) 1,969,803 3,778,654 (1,562,692) 2,215,962 Expenditures (Including Transfers-Out) 2,038,622 3,847,473 (1,631,511) 2,215,962 Surplus/(Deficit) (68,819) (68,819) 68,819 - BEGINNING BALANCE 68,819 68,819 (68,819) - Prior Year Adjustments - Adjusted Beginning Balance 68,819 68,819 (68,819) - Surplus/(Deficit) (68,819) (68,819) 68,819 - ENDING BALANCE - - - - Spendable: Restricted for: Categorical programs - - - - Total Reserve: - - - - Estimated actual are based on the Third Quarter Report 24
RESTRICTED GENERAL FUND - GRANTS FUND 21 NARRATIVE Fund 21 was established to account for programs funded from external sources, including federal, state and local governments and other agencies. These grants are regulated by the appropriate agency. These budgets will be updated throughout the year as entitlements are revised and approved by the granting source. The grants in this fund are primarily competitive and are secured only by active effort on the part of the College staff. Workforce Investment Act provides the foundation for Ohlone s One Stop Career Center. Students and the community can get assistance with a whole array of interview and job seeking techniques. Ohlone College hosts the western regional department office for Gallaudet University. The office provides support programs for the hearing impaired students and faculty. During the 2010-11 fiscal year, the District engaged in a new process for linking the goals of the District to the budget. The linkage was provided through the program review process. The program improvement objectives that came out of this process were prioritized for inclusion in the strategic plan and the budget. The Ohlone College Foundation has again provided a $25,000 grant to assist with some one time funding needs of some of the smaller requests. These requests went through the Committee and will be finalized by the President for inclusion in the final budget. 25
RESTRICTED GENERAL FUND GRANTS FUND 21 FUND 21 FINANCIAL SUMMARY Description Final Estimated Actual Changes in Estimated Actual to Tentative 2012-2013 Tentative Revenue (Including Transfers-In) 1,583,410 1,778,889 (212,903) 1,565,986 Expenditures (Including Transfers-Out) 2,451,372 2,646,851 (1,080,865) 1,565,986 Surplus/(Deficit) (867,962) (867,962) 867,962 - BEGINNING BALANCE 867,962 867,962 (867,962) - Prior Year Adjustments - Adjusted Beginning Balance 867,962 867,962 (867,962) - Surplus/(Deficit) (867,962) (867,962) 867,962 - - - ENDING BALANCE - - - Spendable: Restricted for: Grants - - - Total Reserve: - - - - Estimated actual are based on the Third Quarter Report 26
RESTRICTED GENERAL FUND - PARKING FUND 25 NARRATIVE The Board of Trustees of a community college district may charge a fee for parking as provided in Section 76360 of the Education Code. The collection of fees can be expended only for the purchase, construction, operations, maintenance, enforcement, or improvement of parking facilities, and for purposes of reducing the costs of using public transportation to the college. REVENUE: The daily parking fee is $2 and the semester permit parking fee is $35. A financial analysis has been completed and future fee increases are not contemplated at this time. Citation costs have been raised to the same level of cost as a semester parking permit. EXPENDITURES: It is assumed that all staff vacancies will be filled within the limits of the hiring freeze. The parking machines were replaced in 2009-2010 with new solar powered machines with credit card capability. The ongoing cost of the credit card fees and the wireless connections are included. Parking lot repairs are performed on an as-needed basis, since the location and staging of any new lots or structures has not yet been finalized. There will be a conscious effort to minimize the repairs on lots that may be replaced with athletic fields. 27
RESTRICTED GENERAL FUND PARKING FUND 25 FUND 25 FINANCIAL SUMMARY Description Final Estimated Actuals Changes in Estimated Actuals to Tentative 2012-2013 Tentative Revenue (Including Transfers-In) 710,000 710,000 (60,000) 650,000 Expenditures (Including Transfers-Out) 720,000 786,771 (136,771) 650,000 Surplus/(Deficit) (10,000) (76,771) 76,771 - BEGINNING BALANCE 679,266 679,266 (76,771) 602,495 Prior Year Adjustments - Adjusted Beginning Balance 679,266 679,266 (76,771) 602,495 Surplus/(Deficit) (10,000) (76,771) 76,771 - ENDING BALANCE 669,266 602,495-602,495 Spendable: Restricted for: Parking operation 669,266 602,495-602,495 Total Reserve: 669,266 602,495-602,495 Estimated actual are based on the Third Quarter Report 28
RESTRICTED GENERAL FUND - HEALTH SERVICES FUND 26 NARRATIVE Fund 26 supports the Health Services of the College. A health fee, charged to all students, supports the Health Services Program. At the May 7, 2008 Board of Trustees meeting, the Board voted to increase the fees to the state recommended level of $19 for regular semesters and $15 for summer. The fees for 2012-2013 will remain unchanged. The program is administered by a contract with Washington Hospital. The services include: Primary Care First Aid Referral Services Health education for Ohlone students REVENUE ASSUMPTIONS: Fees are projected at just above last year. EXPENDITURE ASSUMPTIONS: The contract between Ohlone College and Washington Hospital is set at $214,715. 29
RESTRICTED GENERAL FUND HEALTH SERVICES FUND 26 FUND 26 FINANCIAL SUMMARY Description Final Estimated Actuals Changes in Estimated Actuals to Tentative 2012-2013 Tentative Revenue (Including Transfers-In) 331,000 310,599 4,401 315,000 Expenditures (Including Transfers-Out) 341,864 352,258 (28,968) 323,290 Surplus/(Deficit) (10,864) (41,659) 33,369 (8,290) BEGINNING BALANCE 133,180 133,180 (41,659) 91,521 Prior Year Adjustments - Adjusted Beginning Balance 133,180 133,180 (41,659) 91,521 ENDING BALANCE 122,316 91,521 (8,290) 83,231 Spendable: Restricted for: Health center operation 122,316 91,521 (8,290) 83,231 Total Reserve: 122,316 91,521 (8,290) 83,231 Estimated actual are based on the Third Quarter Report 30
RESTRICTED GENERAL FUND - HEALTH SERVICES FUND 26 HEALTH CENTER DETAIL Expenses Year 2012/2013 Full Time Employee 62,275 Part Time Hourly Student - Health and Welfare Benefits 33,000 Other Supplies - Office Supplies 1,000 Other Contract Services(Washington Hospital Contract) 214,715 License Agreement - Conference and Related Expenses 1,000 Dues and Memberships 1,000 Utilities 2,000 Printing - Exhibit, Festival & Programs (HIV testing and festivals) 4,500 Subscription 2,800 Verizon media card - New Equipment 1,000 Total Expenses 323,290 Revenues Fund 26 315,000 Projected Net Activity (8,290) - Beginning Reserve Balance 91,521 Ending Reserve Balance 83,231 31
GENERAL FUND (UNRESTRICTED AND RESTRICTED) SUMMARY Restricted General Fund Description Fund 20 Fund 21 Fund 25 Fund 26 Revenue (Including Transfers-In) 2,215,962 1,565,986 650,000 315,000 Expenditures (Including Transfers-Out) 2,215,962 1,565,986 650,000 323,290 Surplus/(Deficit) - - - (8,290) BEGINNING BALANCE - - 602,495 91,521 Prior Year Adjustments Adjusted Beginning Balance - - 602,495 91,521 Surplus/(Deficit) - - - (8,290) ENDING BALANCE - - 602,495 83,231 Total Restricted General Fund Total Unrestricted General Fund Total General Fund Revenue (Including Transfers-In) 4,746,948 42,548,574 47,295,522 Expenditures (Including Transfers-Out) 4,755,238 44,902,502 49,657,740 Surplus/(Deficit) (8,290) (2,353,928) (2,362,218) BEGINNING BALANCE 694,016 10,815,641 11,509,657 Prior Year Adjustments - - - Adjusted Beginning Balance 694,016 10,815,641 11,509,657 Surplus/(Deficit) (8,290) (2,353,928) (2,362,218) ENDING BALANCE 685,726 8,461,713 9,147,439 32
ALL OTHER FUNDS - FUNDS 41-74 The General Fund is the primary operating fund of the district. It is used to account for those transactions that, in general, cover the full scope of operations of the District (instruction, administration, student services, maintenance and operations, etc.). All transactions shall be accounted for in the General Fund unless there is a compelling reason (e.g. legal or contractual requirement) to report them in another fund type. Examples of activities that should not be reported in the General Fund include non-instructional expenditures of the District s Child Development Center, the Bookstore, retiree benefit programs and capital outlay projects, including scheduled maintenance, facility construction and bond projects. 33
RESTRICTED CAPITAL OUTLAY - FUND 41 NARRATIVE The Capital Outlay Projects Fund is used to account for the accumulation and expenditure of monies for the acquisition or construction of significant capital outlay items, and scheduled maintenance and special repairs (SMSR) projects. In general, this fund shall be established and maintained in the appropriate county treasury and monies shall be used only for capital outlay purposes. In addition, the governing board, by formal resolution, may provide for the accumulation of monies over a period of years for specific capital outlay purposes (including the district match for scheduled maintenance projects through inter-fund transfers as defined in Education Code Section 84660). Scheduled maintenance was cut from the 2009-10 budget act and has not been reinstated for 2012-13. The redevelopment AB 1290 apportionment offset is included in the budget allocation. The Redevelopment Agencies (RDA s) have been dissolved and replaced by Successor Agencies. These agencies are tasked with winding down the activities of the former RDA s. In doing so, the pass through payments will soon be processed by the Department of Finance. Ohlone s pass through payments are slated to be at approximately $472K and should be on going for at least 10 years. The District recently signed a contract with Dolinka Group to audit the amount of the pass through payments and any other payments due to the District. Any recovered funds will become an enforceable obligation of the Successor Agency. 34
RESTRICTED CAPITAL OUTLAY PROJECTS - FUND 41 FUND 41 FINANCIAL SUMMARY Description Final Estimated Actuals Changes in Estimated Actuals to Tentative 2012-2013 Tentative Revenue (Including Transfers-In) 12,701,065 13,109,136 (12,615,136) 494,000 Expenditures (Including Transfers-Out) 12,915,726 13,429,848 (12,935,848) 494,000 Surplus/(Deficit) (214,661) (320,712) 320,712 - BEGINNING BALANCE 320,712 320,712 (320,712) - Prior Year Adjustments - Adjusted Beginning Balance 320,712 320,712 (320,712) - Surplus/(Deficit) (214,661) (320,712) 320,712 - ENDING BALANCE 106,051 - - - Spendable: Restricted for: Capital maintenance projects 106,051 - - - Total Reserve: 106,051 - - - Estimated actual are based on the Third Quarter Report 35
BOND REVENUE CONSTRUCTION FUND - GENERAL OBLIGATION: MEASURE A FUND 42 NARRATIVE This fund is designated under the provisions of Education Code Section 81901 for the deposit of proceeds from the sale of all Community College Revenue Bonds authorized under the provisions of Education Code Section 81901. These deposits are used to meet the costs of acquisition and/or construction and all expenses of authorized projects. Proceeds from the sale of these bonds are deposited with the County Treasurer, and upon order of the County Auditor, credited to the District s Revenue Bond Construction Fund. Monies in the fund are expended for the purposes noted above subject to legal restrictions. Monies in the fund may be invested by the Governing Board, subject to such limitations as may be provided in the indenture providing for the issuance of the Revenue Bonds. Any surplus monies remaining in the fund after all bonds have been fully paid are to remain available for acquisition of sites and constructing, equipping or furnishing of facilities maintained by the District subject to any restrictions in the indenture. The Revenue Bond Construction Fund along with the Revenue Bond Interest and Redemption Fund are the two funds necessary to properly account for the bond proceeds and subsequent repayment. The total authorized amount of bonds $150,000,000 have been issued. The District invested the second issuance, $110,000,000 in a guaranteed investment contract with AIG. The rate of return was 4.745% and returned $9,144,562.15. An analysis was performed that determined the District did not owe any arbitrage as a result of this investment. 36
BOND REVENUE CONSTRUCTION FUND GENERAL OBLIGATION: MEASURE A FUND 42 FUND 42 FINANCIAL SUMMARY Description Final Estimated Actual Changes in Estimated Actual to Tentative 2012-2013 Tentative Revenue (Including Transfers-In) 15,000 8,191 (5,191) 3,000 Expenditures (Including Transfers-Out) 2,086,564 2,043,207 (2,003,659) 39,548 Surplus/(Deficit) (2,071,564) (2,035,016) 1,998,468 (36,548) BEGINNING BALANCE 2,071,564 2,071,564 (2,035,016) 36,548 Prior Year Adjustments - Adjusted Beginning Balance 2,071,564 2,071,564 (2,035,016) 36,548 Surplus/(Deficit) (2,071,564) (2,035,016) 1,998,468 (36,548) ENDING BALANCE - 36,548 (36,548) - Spendable: Restricted for: School construction - - - - Total Reserve: - - - - Estimated actual are based on the Third Quarter Report 37
BOND REVENUE CONSTRUCTION FUND - GENERAL OBLIGATION: MEASURE G FUND 43 NARRATIVE This fund is designated under the provisions of Education Code Section 81901 for the deposit of proceeds from the sale of all Community College Revenue Bonds authorized under the provisions of Education Code Section 81901. These deposits are used to meet the costs of acquisition and/or construction and all expenses of authorized projects of voter-approved Measure G. The amount of Series A issuance was $80,000,000 and was sold in two parts. The first issuance was $70,000,000. Issuance costs of approximately $810,000 were charged against these bond proceeds instead of against bond premiums as was past practice. The second issuance created a Technology Endowment. The amount of the sale was $10,000,000. This Endowment was set up under the guidelines designated by IRS regulations. The funds can be held for longer than three years and are not subject to arbitrage. They have a separate investment policy and must be invested in non-amt investments. To-date, all of the funds have been invested and are reported in the investment section of the quarterly reports. 38
BOND REVENUE CONSTRUCTION FUND GENERAL OBLIGATION: MEASURE G FUND 43 FUND 43 FINANCIAL SUMMARY Description Final Estimated Actual Changes in Estimated Actual to Tentative 2012-2013 Tentative Revenue (Including Transfers-In) 80,000,000 80,018,670 68,687,796 150,000 Expenditures (Including Transfers-Out) 19,000,000 5,665,437 68,687,796 74,353,233 Surplus/(Deficit) 61,000,000 74,353,233 - (74,203,233) BEGINNING BALANCE - - 74,353,233 74,353,233 Prior Year Adjustments - Adjusted Beginning Balance - - 74,353,233 74,353,233 Surplus/(Deficit) 61,000,000 74,353,233 - (74,203,233) ENDING BALANCE 61,000,000 74,353,233 74,353,233 150,000 Spendable: Restricted for: - - School construction 61,000,000 74,353,233 74,203,233 150,000 Total Reserve: 61,000,000 74,353,233 74,203,233 150,000 Estimated actual are based on the Third Quarter Report 39
INTERNAL SERVICES FUND (RETIREE BENEFITS AND SECTION 125) FUND 69 NARRATIVE The Internal Services Fund has been established to account for other internal services; i.e., retiree benefit funds and Section 125 withholdings. The District s share of monies placed in this fund are treated as an expense to the General Fund and as revenue to the Internal Services Fund. During calendar years 2007, 2009 and then again in 2011, the District had actuarial studies performed to identify the present value of the future retiree medical obligation, or the GASB 45 liability. The results of the studies indicated that the liability in 2007 was $4,124,684 and grew to $5,175,598 by 2009. The liability in 2011 is estimated at $5,818,135. The portion of this liability that has already been set aside in an irrevocable trust is $1,562,930. The annual required contribution (ARC) the District was setting aside on a yearly basis was $531,184 of which $181,868 represented the pay-as-you-go portion for 2008-09. The new ARC, based on the 2009 study, is $682,812. This amount will be paid out of the funds that have already been set aside. No new accruals were charged in 2009-10 or 2010-11. A portion of the Bookstore proceeds were set aside to cover the ARC for the 2011-12 and 2012-13 fiscal years. After the 2012-13 fiscal year, the amounts set aside will be exhausted and the General Fund will be expensed. 40
INTERNAL SERVICE FUND (RETIREE BENEFITS AND SECTION 125) - FUND 69 FUND 69 FINANCIAL SUMMARY Description Final Estimated Actual Changes in Estimated Actual to Tentative 2012-2013 Tentative Revenue (Including Transfers-In) 15,000 4,638 (2,638) 2,000 Expenditures (Including Transfers-Out) 718,512 330,000 20,000 350,000 Surplus/(Deficit) (703,512) (325,362) (22,638) (348,000) BEGINNING BALANCE 1,275,725 1,275,725 (325,362) 950,363 Prior Year Adjustments Adjusted Beginning Balance - - - Surplus/(Deficit) (703,512) (325,362) (22,638) (348,000) ENDING BALANCE 572,213 950,363 (348,000) 602,363 Spendable: Restricted for: Undesignated - - - Retiree Benefits Reserve 572,213 950,363 (348,000) 602,363 Total Reserve: 572,213 950,363 (348,000) 602,363 Estimated actual are based on the Third Quarter Report 41
RESTRICTED FINANCIAL AID FUND - FUND 74 NARRATIVE This fund was established to account for the monies received from the federal and state governments in support of Financial Aid Programs. Programs covered in this fund include Pell Grants (formerly the Basic Educational Opportunity Grant), the Supplemental Educational Opportunity Grant Program (SEOG) and the Cal Grant. Pell Grants are available to eligible undergraduate students who have not yet received a bachelor s degree or professional degree, enrolled in degree or certificate programs, and meet program eligibility requirements. Eligibility also includes a determination of financial need. SEOG funds do not require repayment. These funds are designated for undergraduate students with financial need who have not yet received a bachelor s degree or a first professional degree. When selecting SEOG recipients, a school must make awards first to applicants who receive Federal Pell Grants. Cal Grants are administered by the State of California through the Student Aid Commission. To qualify, a student must be a California resident and U.S. citizen or permanent resident, an undergraduate, and attending an eligible college. College Work Study is a program funded by the Department of Education. It is designed to allow low-income students real work experience at no cost to the District. Direct Loan In the past, Ohlone, like other community colleges, served to certify students seeking student Stafford Loans. This allowed outside lenders to provide funds to students to attend college (Wells Fargo, Bank of America, etc.). After the crash of 2008, the majority of these banks got out of the student loan business. The Federal government has stepped in to support student loans directly through the Department of the Treasury. This shift is very similar to the current system used to provide PELL grants. A single application will streamline processing for colleges and students. 42
FUND 74 FINANCIAL SUMMARY RESTRICTED FINANCIAL AID - FUND 74 Description Final Estimated Actual Changes in Estimated Actual to Tentative 2012-2013 Tentative Revenue (Including Transfers-In) 7,385,000 7,225,000 513,436 7,738,436 Expenditures (Including Transfers-Out) 7,385,000 7,248,596 489,840 7,738,436 Surplus/(Deficit) - (23,596) 23,596 - BEGINNING BALANCE 23,596 23,596 (23,596) - Prior Year Adjustments Adjusted Beginning Balance 23,596 23,596 - Surplus/(Deficit) - (23,596) 23,596 - ENDING BALANCE 23,596 - - Spendable: Restricted for: Financial Aid Reserve 23,596 - - - Total Reserve: 23,596 - - - Estimated actual are based on the Third Quarter Report 43
MAJOR PROGRAM LISTING RESTRICTED FINANCIAL AID - FUND 74 Description Final Estimated Actual Changes in Estimated Actual to Tentative 2012-2013 Tentative SEOG 88,750 88,750 (55,765) 32,985 PELL 5,200,000 5,200,000 900,000 6,100,000 College Work Study 65,000 65,000 (20,408) 44,592 Cal Grant 325,000 325,000-325,000 Direct Loan Subsidized 800,000 800,000 (200,000) 600,000 Direct Loan - Unsubsidized 700,000 700,000 (90,000) 610,000 Transfers In 46,250 46,250 (20,391) 25,859 Total Financial Aid 7,225,000 7,225,000 513,436 7,738,436 Estimated actual are based on the Third Quarter Report 44
GRAND TOTAL ALL FUNDS SUMMARY Description Fund General Special Revenue Fund 41 Capital Projects Fund 42 Revenue Bond Fund 43 Revenue Bond - M.G Revenue (Including Transfers-In) 47,295,522 494,000 3,000 150,000 Expenditures (Including Transfers-Out) 49,657,740 494,000 39,548 74,353,233 Surplus/(Deficit) (2,362,218) - (36,548) (74,203,233) BEGINNING BALANCE 11,509,657-36,548 74,353,233 Prior Year Adjustments Adjusted Beginning Balance 11,509,657-36,548 74,353,233 Surplus/(Deficit) (2,362,218) - (36,548) (74,203,233) ENDING BALANCE 9,147,439 - - 150,000 Fund 69 Retirement/ 125 Plan Trust and Agency Fund 74 Financial Aid Fund Total All Funds Revenue (Including Transfers-In) 2,000 7,738,436 150,000 47,942,522 Expenditures (Including Transfers-Out) 350,000 7,738,436-124,544,521 Surplus/(Deficit) (348,000) - 150,000 (76,601,999) BEGINNING BALANCE 950,363 - - 85,899,438 Prior Year Adjustments Adjusted Beginning Balance 950,363 - - 85,899,438 Surplus/(Deficit) (348,000) - 150,000 (76,601,999) ENDING BALANCE 602,363-150,000 9,297,439 45
All District Funds General Fund Unrestricted General Fund Fund 10: Unrestricted General Fund Board Designated Funds Fund 12: Program Distribution Fund 13: Community Education Fund 14: Contract Education Fund 15: Smith Center Fund 18: Auxiliary Services/Rentals Restricted General Fund Fund 20: Categorical Fund 21: Grants Fund 25: Parking Fund 26: Health Services Fund 41: Capital Outlay Fund 42: Revenue Bond GO Bond Measure A Fund 43: Revenue Bond GO Bond Measure G Fund 69: Internal Services (GASB 45 & Section 125) Fund 74: Financial Aid 46