http://inside.redwoods.edu/BudgetPlanning/documents/
BPCSUMMARYNOTES08292012.pdf
BUDGET PLANNING COMMITTEE
Monday, August 29, 2012
3:30 p.m.
L107
Summary Notes
MEMBERS
PRESENT
Bob Brown, Solomon DeCamp, Michael Dennis, Tami Engman, Tim Flanagan,
Dave Gonsalves (phone), Utpal Goswami, Anita Janis (phone), Lee Lindsey,
Tami Matsumoto, MaryGrace McGovern, Carla Spalding, Steve Stratton
CALL TO ORDER
ACTION
SUMMARY
NOTES
The meeting was called to order by committee co-chair Bob Brown.
COMPLETED
RESULTS OF
LATEST BUDGET
RECOMMENDATIONS
There was discussion regarding the results of the rankings of the latest budget
recommendations. It was noted that this list will go to cabinet for review. There was also
discussion regarding the tax initiative on the November ballot and the effect there will be
on this district whether it passes or fails. Solomon stated that the $10,000 listed for clerical
support to the ASCR is almost 20 percent of their budget and Ed Code only allows for 7
percent. Mr. Lindsey noted that he would remove the dollar amount from that item of the
list of recommendations. The committee expressed concern regarding the probability that
the final budget will have a deficit balance and that the district will not have the 5 percent
fund balance required by the chancellor’s office. Concern was also expressed regarding
the ACCJC’s perception of our fiscal crisis and how it may affect the district’s
accreditation.
DISCUSSION
REVIEW AP 2512
FINALIZE
MEETING
SCHEDULE
BUDGET UPDATE
$790,000 BAD
DEBT WRITE OFF
BUDGET CUT
OPTIONS TO THE
BOARD
The summary notes from July 26, 2012 were approved with recommended
changes and will be posted on the BPC website.
Mr. Brown and Mr. Lindsey will work together on the appropriate language to
further update AP 2512, “Financial Advisory Committee” and bring it back to the
committee for review before forwarding to cabinet.
The committee agreed to meet the 3rd Wednesday of each month. Additional
meetings will be scheduled when necessary.
Vice President Lindsey reported that the district will be writing off approximately
$790,000 in bad debts that have accrued from uncollected student accounts. He
stated that several years ago the district used a more relaxed accounting method to
write off these accounts. We now need to use more conservative methods which
means that the district will not meet the required 5 percent fund reserve. Students
will still be held responsible for the debts and will be required to pay before
enrolling or receiving a transcript.
Mr. Lindsey also reported that the comprehensive list of expenditures is going to
the Board of Trustees on September 10. Most items have been to BPC in one form
or another. Items that BPC may not have seen until today are contracting out the
services of various departments and changes to medical and dental benefit plans.
Discussion also took place on the following topics:
 Eleven month employee contracts



More furlough days
Voluntary unpaid leave
Require all potential retirees to give 6 months advance notice
STABILITY AND
2012-13
ENROLLMENTS
For the 2011/12 academic year the district did not meet its enrollment target and as
a result were placed on enrollment stability by the Chancellors’ office for one year.
If the enrollment target is not reached during the 2012/13 year funding will be
reduced. Some FTES from summer 11/12 can be counted towards the 12/13 year
to help reach the target. Currently the fall enrollment numbers appear to be lower
than expected. It was also noted that the auditors discovered a problem with how
the lab hours for English 150 were being counted and it may jeopardize
approximately 300 FTES for 11/12.
2012-13 FINAL
BUDGET
The 2012-13 Final Budget is going to show a deficit balance which is different
from what the Tentative Budget showed. The difference is due to taking the
recommended more conservative accounting approach which does not count any
saving until they are actually booked. Preliminary counts on the 50 percent law
requirements have been done and it looks like we’re on target to meet them, but
will not know for sure until October 10.
ADJOURNED
The meeting was adjourned at 4:00 p.m.
SUBMITTED
lw