2011-2012 ADOPTED BUDGET
2011-2012 State Budget $1.7 billion in cuts from higher education, including $650 million from both the UC and CSU $400 million from California i Community Colleges Major revisions to the CCC system budget include: 1. $400 million cut to apportionment 2. $110 million in increased fee revenue as a result of a fee increase from $26 to $36/unit. 3. No restoration of categorical program reduction from the 2009-2010 year 4. Extension of categorical funding flexibility through the 2014-20152015 year 5. No COLA or Growth
2011-2012 State Budget Adopted Budget Reflects New Mid Case Scenario: 7% BOT approved reserve Tuition fee increase of $10 per semester credit unit (from $26 to $36) 6.21% workload reduction 1% Deficit Factor Categorical programs and flexibility extends two more years
2011-2012 State Budget Impact to SJECCD Apportionment FTES Percent Reduction Reduction Change District-wide $4,274,154 933.62-6.21%
2011-2012 State Budget Adopted Budget Reflects Mid Year Adjustments These triggers will be determined by November 15 and implemented by December 15 Tier 0 (at least $3 of the $4 billion materializes): No cuts Tier 1 (between $2 and $3 billion of revenue materializes): $30 million apportionment cut, backfilled by an increase in fees by $10/unit to $46/unit Tier 2 (between $0 and $2 billion of new revenue materializes): Tier 1 cut and fee increase PLUS a $72 million additional apportionment cut (workload reduction assumed)
2011-2012 State Budget Impact to SJECCD TOTAL DISTRICT APPORTIONMENT REDUCTION FTES REDUCTION PERCENT CHANGE TIER 1 SCENARIO ($30 mil. system-wide) TIER 2 SCENARIO ($72 mil. system-wide) $409,663 89.85-0.63% $983,192 214.76-1.52% Deficit Factor $645,300-1.00%
2011-2012 State Budget Impact to SJECCD Revenue Basic Aid = 0
Revenue Sources Expenditures FY 2011-2012 FY 2011-2012 State Formula Transfer Other Local Support Revenues Sources 4% Other State 0% 2% Support 3% Tuition & Fees 8% Other Statutory Benefits 9% Discretionary Operating Costs 5% Other 1% 7% College Contingency 0% Transfers Out 1% Property Taxes 83% Medial/ Dental/Vision 13% Wages 64% G l F d General Fund Total Employee Costs = 86%
OPEB Related Debt Service P83Ch P. Chart
Ensuring Long-Term Fiscal Solvency & Stability
Impact to Access FY2011-2012 District-wide Summer Fall Funded Unfunded Total YTD YTD FTES* FTES Percent Addition/ Reduction Over Last Year Credit Non-Credit Non-Resident Total 14,055 241 14,296-8.18% 40 59 100 0.00% 215 0 215 0.00% 547 6,573 14,310 300 14,611-8.02% State Funded Cap* 14,095 Local Funded 215
Categorical Flexibility & Backfill Fund 17 San Jose City College To: DSPS $34,308 From: Childcare Tax Bailout ($34,308) General Fund Backfill San Jose City College $403,172 Evergreen Valley College $292,507
Bookstore Declining Sales + Increasing Costs = Losses Competition Benefits E-Materials Retirement Equity = $884,391 at June 30, 2011 Must begin the discussion with faculty, staff and students on the future of the bookstores and the delivery of instructional materials.
Additional Longer-Term Strategy Property Development RFP for Public Private Partnership Consultant Out Now l f f Next Step: Development of RFP for Developers
Next Steps 1 st Quarter Report October 2011 November 15 State Revenue Analysis District Allocation Model Development Continues
2011-2012 2012 ADOPTED BUDGET Jeanine Hawk, Vice Chancellor, Administrative Services Peter Fitzsimmons, Director of Fiscal Services Anthony Oum, Assistant Director of Fiscal Services Penny Garibay, Executive Assistant Grace Zheng, Business Services Supervisor, SJCC Henry Gee, Vice President, Administrative Services, EVC And in collaboration with Fiscal Services Staff With special thanks to the 2010 2011 District Budget Committee