planning and budget training (may 2010)

Planning and Budget Committee

2010-2011 Budget Overview Workshop

Thursday, May 13, 2010ST-501

Part 1: Anatomy of an Account

Part 1: Anatomy of an Account

Fund- Five (5) digits – Identifies the source of funds for

intended use- Examples: 10100 – Basic; 10420 – DSPS

General Ledger (GL)- Six (6) digits; Always end in “00” – Identifies

expenditure category- Examples: 452100 – Office Supplies; 111100 –

Instructor, Regular

Cost Center/WBS (Work Breakdown Structure)

- 6 to 11 Alpha-Numeric – Indentifies department/discipline/org. unit

- Example of Cost Centers: T4050A – English- Example of WBS: 10435-T6744 – Faculty & Staff

Development

Chart of Accountshttp://sap.laccd.edu/sap/ChartofAccounts.htm

http://sap.laccd.edu/sap/ChartofAccounts.htm

UNRESTRICTED General Fund

Sum of funds that make up initial allocation and year-end balance that colleges may transfer (unrestricted) between funds as needed.

10043 Labor Center 10099 Winter Intersession 10100 Basic 10117 Contract Education 10119 Non-Resident Capital Outlay 10152 Apprenticeship 10210 Summer Session (Census falls in July 2010) 10211 Summer Session (Census falls in June 2011)

RESTRICTED General Fund

Stand-alone (restricted) funds that receive their own distinct allocation and funds may not be transferred between or among any other funds:

10010 Community Services

10135 Student Health Services

10145 Parking

10417 BFAP-SFAA (Board Financial Assist Pgrm – Student Financial Aid Admin)

10420 Disabled Students Program and Services

10425 Foster and Kinship Care Education

10427 Non-Credit Matriculation

10432 Credit Matriculation

10443 CalWORKs Child Care

10448 Cal WORKs

10447 TANF (Temporary Assistance for Needy Families)

10489 EOPS (Equal Opportunity Program & Services) + 20489

10869 EOPS-CARE (EOPS – Cooperative Agencies Resources for Education) +20869

Other Funds

60006 Cafeteria

70007 Child Development Center

80008 Bookstore

Specially Funded Programs (SFP’s)(Awards of funding with specific beginning dates, end dates and intended purposes that are contractually defined. )

Specially Funded ProgramExample: 17209 – EDD Green Jobs Corp

Questions? Check Point.


What is an example of a “Fund” number?



What is an example of a “General Ledger” number (or GL)?




What is an example of “Cost Center?”





What is an example of a “WBS?”





What is an example of a “WBS?”Who knows an example of an entire

account number and can define its components?





What is an example of a “WBS?”Who knows an example of an entire

account number and can define its components?

What is a primary difference between an “Unrestricted” & “Restricted” General Fund?

Part 2: Revenue Sources

Part 2: Revenue Sources Unrestricted General Fund

- Full-time Equivalent Students (FTES)- Dedicated Revenue

Restricted General Fund (Categoricals)- FTES within targeted populations

Other Funds (Bookstore, Cafeteria, CDC)- Revenue projections and actual earnings

Specially Funded Programs - Competitive awards that are contractually defined

18

FTES: What is it, and why should you

care?

ALP, 12/14/07• Kathleen Burke-Kelly• Vice President, Academic Affairs, City College

• Cathy Iyemura• Attendance Accounting, District Office

Full-time Equivalent Students (FTES)

1 FTES = 525 Contact Hours- 1 Student- 5 Classes per primary term, at- 3 Hours per week, per class for- 17.5 weeks per primary term,

attending- 2 primary terms, yields

Standard measure for funding, key performance indicators, productivity measures, program review, etc.

FTES Calculations &Accounting Methods

WSCH (Weekly Student Contact Hours)- Credit courses, full/primary term, same hours per week

DSCH (Daily Student Contact Hours)- Credit courses, short/any term, same hours per day

PA (Positive Attendance)- Less than 5 days duration, irregular schedule, open

entry/open exit, apprenticeship, in-service training, non-credit courses

IS/WE (Independent Student/Work Experience)

What is Enrollment Management?

Schedule of Classes is… Focus of academic and fiscal planning

Central to the community college mission

Primary source of both instructional income and expenditures

Balance between academic needs and fiscal realities

Schedule Planning

Size of the schedule—Growth? To grow or not to grow…

▪ Is growth funded?

▪ How much growth can the college afford?▪ Costs of additional faculty and staff▪ Impact of other project expenditures

▪ What is the capacity for growth?▪ Facilities and budget▪ Faculty and staff▪ Student support services

Schedule Planning

Size of the schedule—Reduction? Is a reduction necessary?

▪ Is there a choice? Can greater efficiency/productivity address the problem?

▪ Can have unintended long-term impact▪ Need to carefully consider contractual

obligations

What key scheduling policies, practices, and techniques are essential for decision-making?

Credit FTES:- Base Rate = $4,564.83

Non-Credit FTES:- Base Rate = $2,744.96

Enhanced Non-Credit (CDCP) FTES: - Base Rate = $3,232.07

2010-2011 LACCD Funding Rates

Calculation of College Allocation

Credit FTESNon-Cred FTES

Enh Non-Cred FTES Total FTES

Basic Allocation

Allc Adj for Sm Coll

Credit Base

Non-Cred Base

Enh Non-Cred Base

Total Base

11,575.75 268.62 199.57 12,043.94 3,875,136 500,000 52,841,273 737,353 645,039 58,598,800

Total BaseAppren-ticeship

Non-Resident

Dedicated Rev Lottery

Interest/ Oth State Total Rev

Assessment ($/FTES)

Adjusted Rev Fac OvrBse Sheriff's ITV Distr Prelim Alloc

58,598,800 124,782 492,091 417,126 1,618,293 606,082 61,857,174 (13,134,427) 48,722,747 778,793 (1,375,642) 18,310 48,144,208

PARAMETERS USED TO DETERMINE COLLEGE REVENUE 1. Base Revenue a. Base revenue shall be calculated using the SB 361 marginal funding rates. For fiscal year 2010-11, each college shall receive an annual basic allocation based on the following basic allocation base rate:

FTES >= 20,000 $4,428,727 large college 10,000 <= FTES < 20,000 $3,875,136

medium college FTES < 10,000 $3,321,545 small college


What is the standard measure for funding?



What is WSCH, DSCH, PA, IS/WE?



What is WSCH, DSCH, PA, IS/WE?What tool is the focus of academic

and fiscal planning?




and fiscal planning? What are considerations to make

when determining the size of the schedule to offer?






What is an example of a LACCD funding rate?






What is an example of a LACCD funding rate?

Along with FTES, what is one other factor used to determine Preliminary Allocation?

Part 3: Budget Planning Calendar

Budget Calendar (District) December

- “Snap-shot” of current year budget taken

January - Campus budget workshops scheduled- Department worksheets w/instructions and due date distributed

February- Department worksheets due

March (1st week)- Budget Prep file transmitted to District

May- Operational Plan Due

Budget Calendar (Campus)1. Annual Reports for the Year are Due (June 1st each year)

Each unit submits an annual report detailing accomplishments of the annual operational plan for the unit and assessments of SLOs for that year. The annual report is due to the Dean/Manager by June 1st. The Vice President meets with the Dean/Manager to prepare a summary Annual Division Report due to the President the Monday before the end of the year Convocation.

2. State of the College Town Hall Meeting (year end Convocation each year)

The President updates the college community on the state of the college from the annual plan and year end reports, the budget ending balance, and the outlook for the coming year for plans, enrollment, and budget.

3. College Council Annual Retreat (2nd Thursday and Friday of June each year)

One of the outcomes of the retreat each year is to review the college strategic plan and set annual goals for the college for the coming year. The review of the college mission takes place at the retreat each year.

4. Annual Goals are Distributed to Division (by June 15th of each year)

Each division meets with their respective division members to develop a matrix of division activities with persons responsible for each unit of the division to delineate how they will meet their annual goals.

5 Collect Data and Recommend Budget Formula for Subsequent Year (2nd Thursday of

August)Budget Subcommittee works through the summer to review data from expenditures of prior year and other trends and develops a formula to recommend to the Planning and Budget Committee (PBC).

Budget Calendar (Campus)6. Planning and Budget Committee Approves Budget Formula (3rd Thursday of August)

The PBC meets to evaluate and approve a budget formula to be recommended to College Council for the budget planning for the subsequent year.

7.. College Council Meeting (1st meeting of September)

College Council receives the recommended budget formula for the coming year from the PBC for approval.

8.. Planning and Budget Forum (Last Thursday of September)

This forum is held to review the planning and budget forms and the budget formula for the coming year.

9. Distribute Unit Planning Documents and Budget Worksheets (October 1st each year)

The PBC (through the Vice President for Administration) distributes the unit planning documents and budget worksheets with instructions to complete the documents. Completed worksheets are due to the Dean/Manager by November 20th. Training will be held regularly from October 1st through October 20th for unit managers.

10.Resource Requests are Prioritized (Dean/Manager Priorities due to VP by Nov

20th/Division to Budget Subcommittee by December 18th/Budget Subcommittee to PBC by January Meeting/PBC to College Council by February Meeting)The Dean/Manager reviews the plans and works with the departments to prioritize resource requests that are due to the Vice President by November 20th each year. The Vice President works with Deans/Managers to prioritize division requests by December 18th each year. The Budget Subcommittee prioritizes division requests into a master list for the PBC to approve at its January meeting. The PBC brings the approved list to the February College Council meeting for approval.

Budget Calendar (Campus)

11.State of the College Town Hall (3rd Friday of February)The President holds a state of the college meeting to discuss enrollments for the year, the expected year end budget balance, and progress on the annual operating plan for the year.

12.Evaluate the Process (PBC Evaluates the Process at their April Meeting)

PBC meeting in April devoted to reviewing the process. The meeting is open to anyone who wishes to comment on the process.

13.Evaluate Plans (Same as #1 above).

Approved by College Council, 9/21/2009


When does the District Budget Calendar begin?



When does the current Campus Budget Calendar begin?




What other process needs to take place on campus before the budget is developed?




What other process needs to take place on campus before the budget is developed?

What meeting begins and ends the campus budget calendar?

Part 4: Monitoring & Ongoing Efforts

Part 4: Monitoring & Ongoing Efforts

Monthly Financial Projections

Quarterly Reports

Enrollment Management

Budget Contingencies

Emergency Expenditures

Resources

Business Warehouse- Employee Self Service Portal- Instructional Department Links at

http://college.lattc.edu/pbc/

SAP FI/MM Applications and Services http://sap.laccd.edu/sap/

Administrative Services- Sookhee Kim, Administrative Assistant, ST-524, x7049- Bill Gasper, Associate Vice President, Administrative Services, ST-522, x7043- Dr. Mary Gallagher, Vice President of Adminstration, ST-534, x7040

http://college.lattc.edu/pbc/

http://sap.laccd.edu/sap/

Wrap Up

Frequently Asked Questions (FAQ)- What is my account number?- What is my current balance?- What is the correct GL for _____?- How to transfer funds?- How to adjust salary/benefits

expenditures?- How to charge overtime to another

budget?- Prop A, AA, J funds (another whole

workshop)?- Others?