AGENDA ITEM BACKGROUND
TO: GOVERNING BOARD
DATE
FROM: PRESIDENT
April 7, 2014
SUBJECT:
2013-14 Budget Revision—Allocation of FTES Reserve
REASON FOR BOARD CONSIDERATION
ENCLOSURE(S)
ITEM NUMBER
Page 1 of 2
ACTION
BACKGROUND
The Governing Board took action to create an FTES operating reserve of $500,000 on October 9, 2006.
The reserve was established to provide the college with resources to safeguard the district against a
decline in enrollment. The reserve was established at a time with the college’s enrollment was below
the state enrollment cap. At the time, the college was at risk for a permanent loss of state apportionment
funding.
The FTES reserve was increased from $500,000 to $2.8 million. The college was able to increase
the reserve by capturing growth revenue for the 2006-07 and 2007-08 fiscal years. The increase in
revenue was temporary so the resources were treated as one-time. Funds were allocated and
replenished as follows:
2008-09 FTES Reserve balance:
$2.8 million
2008-09 Allocation to generate FTES
($0.7 million)
2009-10 Bridge 2009-10 budget deficit
($0.3 million)
2010-11 Bridge 2010-11 budget deficit
($1.3 million)
2011-12 Allocate one-time funds to FTES reserve
$0.5 million
2012-13 Allocate one-time teaching units to increase 2013-14 enrollment
($0.667 million)
2013-14 Replenish FTES reserve
$0.667 million
Current balance of FTES reserve
$1.0 million
The college’s enrollment has declined below the current enrollment cap of 10,894. The college is
again at risk for a permanent loss of state apportionment funding.
Continued next page
FISCAL IMPACT: Allocate $403,162 from the One-time FTES Reserve
RECOMMENDATION:
It is recommended that the Governing Board adopt the recommendations of the College Planning
Council and authorize the Vice President, Administrative Services to make the budget adjustments to
Administrator Initiating Item:
Victoria Lewis/
Graciano Mendoza
Academic and Professional Matter
If yes, Faculty Senate Agreement
Senate President Signature
 Yes  No
 Yes  No
Final Disposition
allocate $403,162 of the FTES reserve in 2013-14 for the 2014-15 Academic Year. Enrollment will
be evaluated on an ongoing basis as will the use of the FTES reserve. The college will allocate
ongoing resources to sustain the new enrollment cap and capture the maximum funding available
from the state.
The allocation of resources is consistent with the 2014-15 Budget Reduction Process Commitments,
Strategies and Criteria II.B, C & D. The college is planning to allocate one-time reserves as follows:
Public Safety Courses
1. CEED Related Cos ts
$2.25 per contract hour payment to agencies
Dean CEED, 0.05 FTE S&B
Public Safety Program Coordinator, 0.5 FTE S&B
Program Specialis t, 0.45 FTE S&B (new)
Faculty, 4 TU @ 1,850
Student Worker
Benefits , Vacations , Step @ 10%
Programming, s oftware, s ys tems development
Contingencies
Total cos t allocation to CEED
2. Bus ines s Services Related Cos ts
Sr. Accounting Specialis t
Accounts Payable
Review Proces s
Total cos t allocation to BSO
3. Admis s ions & Records Related Cos ts
20 hours @ $26.81 per hour + 20% mand. Ben. (two times per year)
20 hours @51.90 per hour + 20% mand. Ben. (two times per year)
Total Cos t Allocation to A & R
Public Safety Cos t per FTES
Projected FTES
Total allocation from FTES Res erve
Public Safety Courses
1. CEED Related Costs
$2.25 per contract hour payment to agencies
Dean CEED, 0.05 FTE S&B
Public Safety Program Coordinator, 0.5 FTE S&B
Program Specialist, 0.45 FTE S&B (new)
Faculty, 4TU @ 1,850
Student Worker
Benefits, Vacations, Step @ 10%
Programming, software, systems development
Contingencies
Total Cost Allocation to CEED
PROJECTED
EXPENSES
$274,050
7,878
47,500
27,201
7,400
2,000
9,315
4,000
2,000
$381,344
12,470
4,770
800
$18,040
1,286
2,492
$3,778
1,738
232
$403,162
Projected Expenses
$274,050
7,878
47,500
27,201
7,400
2,000
4,000
4,000
2,000
$381,344
2. Business Services Related Costs
Sr. Accounting Specialist
Accounts Payable
Review Process
Total Cost Allocation to BSO
3. Admissions and Records Related Costs
20 hours @ $26.81 per hour + 20% mand. Ben. (two times per year)
20 hours @ $51.90 per hour + 20% mand. Ben. (two times per year)
Total Cost Allocation to A&R
Public Safety Costs per FTES
Projected FTES
Total Allocation from FTES Reserve
$12,470
4,770
800
$18,040
1,286
2,492
$3,778
$1,738
232
$403,162