83
AGENDA ITEM BACKGROUND
TO: GOVERNING BOARD
DATE
FROM: PRESIDENT
SUBJECT:
November 7, 2011
2011-12 thru 2014-15 Budget Planning
REASON FOR BOARD CONSIDERATION
INFORMATION
ENCLOSURE(S)
ITEM NUMBER
Page 1 of 5
D.1
BACKGROUND:
The college has concluded the budget planning cycle for 2011-12 and is beginning the planning cycle for
2012-13.
The College Planning Council has reviewed the budget calendar, the updated budget planning assumptions
for 2011-2 through 2014-15, and the operating reserve balance. The documents are included as an
information update for the Governing Board’s information.
The college will provide an update on the use of carryover, one-time fund allocations and other planning
updates at the December Board meeting.
Administrator Initiating Item:
Graciano Mendoza
Victoria Lewis
Academic and Professional Matter
If yes, Faculty Senate Agreement
Senate President Signature
 No
Final Disposition
CABRILLO COLLEGE
Base/Categorical Budget Development Timeline Draft
FY 2012-13 and 2013-14
Board Meeting
November 7, 2011
September 7, 2011
September 21 & 22
SANTA CRUZ COUNTY COMMITMENT KICK OFF
BUDGET TOWN HALL MEETINGS
CPC MEETING
- Budget Planning Kick Off For 2012-13
September - December, 2011 FACULTY SENATE- Program Review Task Force meets to develop recommendations
October 3, 2011
BOARD MEETING
October 4/5, 2011
October 25/19, 2011
October 4-November 30,
2011
October/November
November 7, 2011
November 8/2, 2011
November 22/16, 2011
December 5, 2011
December-February
December 6/7, 2011
December 20/21, 2011
January - June 2012
January 9, 2012
January 10, 2012
January ?, 2011
January 10/4, 2012
January 24/18, 2012
February 6, 2012
Information Items:
- Budget Presenation 2012-13
- Review of 6/30/11 Ending fund balance
ADMINISTRATIVE COUNCIL/MANAGER'S MEETING/CPC MEETING
Information Items:
- Budget Planning Parameters for 2012-2014
- Budget Reduction Goals (Base, Categorical Budgets & Other funds)
- Budget Development Timeline
ADMINISTRATIVE COUNCIL/CPC MEETING
Carryover and One-Time Fund review by Components, Cabinet, Admin. Council and CPC
Faculty Prioritization Process/ Determine FON requirements for Fall 2012
BOARD MEETING
Action Items:
- Budget Planning Parameters for 2012-2014
- Budget Reduction Goals (Base, Categorical Budgets & Other funds)
- Budget Development Timeline
- Review Faculty Obligation number for 2012/ FTES Projections for FY 2012-13
ADMINISTRATIVE COUNCIL/MANAGER'S MEETING/
CPC MEETING
ADMINISTRATIVE COUNCIL/MANAGER'S MEETING/
CPC MEETING
BOARD MEETING
Information Items:
- Budget Update
Carryover and One-Time Fund review
- Program and Service Reduction Reviews for 2012-13
SPRAC Review of Program Reduction Plans for 2012-13
ADMINISTRATIVE COUNCIL/MANAGER'S MEETING/
CPC MEETING
ADMINISTRATIVE COUNCIL/CPC
Negotiations- All groups
BOARD MEETING
2012-13 GOVERNOR'S STATE BUDGET
STATE BUDGET WORKSHOP
ADMINISTRATIVE COUNCIL/MANAGER'S MEETING/
CPC MEETING
ADMINISTRATIVE COUNCIL/CPC
BOARD MEETING
Information Items:
- Update Budget Parameters FY2012-13 and FY 2013-14
- Update Budget Development Timeline- FY 2013-14
- FY 2011-12 Mid Year Cuts from the State
- FY 2011-12 Mid Year Report (Projected Ending Balance for 6/30/12)
84
CABRILLO COLLEGE
Base/Categorical Budget Development Timeline Draft
FY 2012-13 and 2013-14
Board Meeting
November 7, 2011
February 7/1, 2012
February 21/15, 2012
March 5, 2012
March, 2012
March 6/7, 2012
March 20/21, 2012
April, 2012
April 2, 2012
April 3/4, 2012
April 24/18, 2012
May 2012
May 7, 2012
May 8/2, 2012
May 29/16, 2012
May 25, 2012
June 11, 2012
June 12/6, 2012
June 26/20, 2012
August 6, 2012
August 7/1, 2012
August 28/15, 2012
September 10, 2012
September 11/5, 2012
September 25/19, 2012
85
ADMINISTRATIVE COUNCIL/MANAGER'S MEETING/
CPC MEETING
ADMINISTRATIVE COUNCIL/CPC
BOARD MEETING
Action Items:
- March 15 Notices to Faculty- Reduction or Discontinuance of Services
- First Round-Resolution-Reduction or Discontinuance of Classified/Confidential/Management Service
First Principal Apportionment 2011-12 Received
ADMINISTRATIVE COUNCIL/MANAGER'S MEETING/
CPC MEETING
ADMINISTRATIVE COUNCIL/CPC MEETING
Continue to Evaluate/Revise Planning Parameters
BOARD MEETING
Action Items:
- Budget Parameters FY2012-13 and FY 2013-14
- Budget Reduction Plans for 2012-13 (Base, Categorical Budgets & Other funds)
ADMINISTRATIVE COUNCIL/MANAGER'S MEETING/
CPC MEETING
ADMINISTRATIVE COUNCIL/CPC
Second Principal Apportionment 2011-12 Received
BOARD MEETING
Action Items:
- Final Notices to Faculty- Reduction or Discontinuance of Services
ADMINISTRATIVE COUNCIL/MANAGER'S MEETING/
CPC MEETING
ADMINISTRATIVE COUNCIL/CPC MEETING
Governor's May Revise for 2012-13 released
BOARD MEETING
Action Items:
- 2012-13 Preliminary Budget
ADMINISTRATIVE COUNCIL/MANAGER'S MEETING/
CPC MEETING
ADMINISTRATIVE COUNCIL/CPC MEETING
BOARD MEETING
Information Items:
- Update Budget Parameters FY2012-13 and FY 2013-14
ADMINISTRATIVE COUNCIL/MANAGER'S MEETING/
CPC MEETING
ADMINISTRATIVE COUNCIL/CPC MEETING
BOARD MEETING
Action Items:
- 2012-13 Final Budget
ADMINISTRATIVE COUNCIL/MANAGER'S MEETING/
CPC MEETING
ADMINISTRATIVE COUNCIL/CPC MEETING
Board Meeting
November 7, 2011
Difference between ongoing Revenues &
Expenses (Structural Deficit)
Increase in State Revenue Anticipated
General Apportionment adjustment
Part-time faculty compensation
Gen. Apportionment reduction- $400 million
net of student fee increase
Increase in Student Fees $110 mil to offset
apportionment reduction
2011-12 Student Fee Revenue Shortfall
Net change in revenue
86
2011-12 through 2014-15
Base Budget
Planning Parameters
2011-12 State
Enacted Budget
2012-13
Mid-Range Projected
2013-14
Projected
2014-15
Projected
(145,000)
(3,478,200)
(5,746,200)
(7,267,700)
(1,000,000)
(4,412,000)
1,097,000
(250,000)
(3,710,000)
(4,478,200)
0
0
150,000
(395,000)
0
(230,000)
0
(66,000)
200,000
(345,000)
(112,500)
(345,000)
(112,500)
(345,000)
(575,000)
?
(85,000)
(333,000)
?
(30,000)
?
(100,000)
(633,000)
?
(145,000)
(36,000)
?
?
?
(100,000)
(150,000)
(696,000)
?
(145,000)
(24,000)
?
?
?
(100,000)
(150,000)
?
?
?
?
?
?
(1,268,000)
?
(1,521,500)
?
(1,572,500)
?
(7,267,700)
(8,840,200)
Net Increases in Ongoing Expenses
Full-time Faculty Position changes (-3, -4, +3,
+3) (net of adjunct backfill)
Step, Column, Longevity Increases, etc.
Classified Positions
Medical Plan Rate Increase-- 4%, 10%, 10%, 10%
Management Positions
Retiree Benefit Increase
PERS Rate Increase
STRS Rate Increas
Worker's Comp, Unemployment Insurance
New Facilities Supplies & Operating, Staff
Utilities
Net Operating Increases
District Contribution- Bus Pass Program
Retiree Benefits- New Employees
Labor agreements
Reduction in Indirect Reimbursements from
grants
Total Expenditure Increases
Budget Reductions
Budget Reductions Phase I, Round I
Budget Reductions Phase I, Round II
Ongoing Shortfall*
730,500
97,653
(3,478,200)
(5,746,200)
Allocation of 66 2/3% of operating reserves
3,478,200
2,500,000
0
(3,246,200)
Deficit net of One-time funds
0
(194,353)
0
0
174,000
100,000
?
?
(135,000)
(596,353)
*Estimates will change as more information becomes available
87
CABRILLO COLLEGE
GENERAL FUND BALANCE
Board Meeting
November 7, 2011
Projected Operating Reserves
OPERATING RESERVES
Beginning Balance (Mid Year-Bridge Fund Reserves, Final Budget)
ADD:
Projected Ending balance
2012-13 Estimated One-Time Subfund Allocations
Projected
FY 2011-12
1,309,000
1,500,000
(500,000)
LESS:
66.67% Allocated to 2012-13 Deficit
Projected Ending Operating Reserves
= (2309000+1500000) *66.67%
Projected
@ 66.67%
FY 2012-13
2,309,000
1,500,000
(2,500,000)
2,309,000
1,309,000
3,809,000
2,539,460.30