FOR ACTION
Board of Trustees
Charles Stewart Mott Community College
Regular Meeting,
March 23, 2015
Volume
Treasurer’s Report for February 2015
This resolution is recommended.
Be it Resolved, that
The Charles Stewart Mott Community College Board of Trustees
Accepts the financial report of the College for the month of February 2015 as
presented by the Administration.
Reviewed and Submitted By:
_____________________________________
Larry Gawthrop, CFO
Date: March 23, 2015
Board Policy Statement Reference:
“3100 Budget Adoption: General: The Board recognizes that its annual budget represents the programmatic
direction and vision of the College. It is also designed to meet both the legal requirements and needs of the College.
1. The Finance Committee shall receive and review budget reports on a monthly basis.”
February Treasurer’s Report
Larry Gawthrop, CPA
Chief Financial Officer
March 23, 2015
Summary of Expenditures:
Month of February’s Spending:
General Fund:
All Other Funds:
Total:
$
$
$
5,501,010
2,885,159
8,386,169
Comments on General Fund Financial Statements:

Statement of Revenues, Expenditures and Changes in Net Assets
In summary, total revenues for the eight months ended February 28, was approximately
$55.1 million, representing 72.9% of the annual budget, compared to 72.4% in the prior
year. The most significant changes are in the Tuition and fees and Property taxes which
are discussed further below. Expenditures for the eight months ended were $46.3 million,
which represents 61.4% of the annual budget, 1.5% higher than it was one year ago, due in
large part to the combination of the UAAL payment to ORS, timing difference in when the
transfers were made, and offset by savings in Salaries and wages.
Revenues
Tuition and fees revenues are $30.7 million, $294 thousand less than last year and 85.7%
of the budget, compared to 84.9% at this time last year. This is attributable to the fall
enrollment being less than originally budgeted. The amended budget reflects the new
estimate for the fiscal year.
Property taxes collected are roughly $13.5 million. The amount budgeted is $17.4
million, the same as it was in the 2013-2014 fiscal year and is based on final taxable value
figures provided by the Genesee County Equalization Department.
State appropriations payments for FY 2014-15 are paid in eleven monthly installments
starting in October. The total budgeted amount for the current fiscal year is $18.4 million
or roughly $400 thousand (2.7%) more than last year excluding the UAAL stabilization
pass-through. We received our February payment as expected.
Expenditures
Salaries and Wages are roughly $23.3 million, or 61.6% of the annual budget, 4.2% lower
than it was one year ago, when we were at 60.8% of the budget. The decrease is
attributable to the lower enrollment, continued holds on vacant positions and transfer of
Mott temporary workers to a temporary agency on January 1.
Fringe Benefits are at $11.5 million, or 58.8% of the budgeted amount compared to
57.1% of the budget one year ago. The increase in this line item is directly attributed to
the UAAL stabilization payment received by the State if Michigan that is directly remitted
to the Office of Retirement Services (ORS) for the unfunded portion of the retirement
obligation.
Other Expenditures
A majority of the changes in the Other Expenses area for February is due in large part to
timing differences of invoices from receipt and vouchering of invoices from last year as
well as a change in the recognition of prepays from monthly to once a year. In addition,
there continues to be an increase in the contracted services line item in the area of
maintenance and ITS.

Balance Sheet
Total Assets are at approximately $19.5 million, down $1.7 million from last February.
The largest differences are a $5 million decrease in Cash and cash equivalents, a $3.2
million decrease in Due from other funds and a $130 thousand increase in Accounts
receivable. The Accounts receivable increase is due to the reduction of the allowance for
doubtful accounts due to better collection and student accounts receivable management.
Due to/Due from Other Funds result from the College maintaining one checking account
for all of its funds; deposits and disbursements. This necessitates the short-term “loaning”
or “borrowing” between the funds throughout the year depending on which funds revenue
or expenditures are being deposited or paid out. Each month the accounting department
clears these “due to’s” and “due from’s” respectively assigning the activity to the proper
fund. However, significant activity can occur after these transfers are completed, causing
large variances when compared to the previous period.
At roughly $4.5 million, Total Liabilities are down $800 thousand from the prior year.
The most significant changes were decreases in Accounts payable, Other accrued
liabilities and Accrued termination pay and an increase in Accrued payroll and related
liabilities. The Accounts payable was due to the timing of vendor payments and increase
in the employer health insurance expenses and the other accrued liabilities were due to an
overall reduction in the valuation we recorded for past property tax refund obligations and
reduction in the actuarial valuation of the college liability for termination benefits paid
upon leaving employment at MCC.
Comments on spending from other funds:

Of the roughly $2.9 million expended in the other funds, $95 thousand was expended out of
the Maintenance and Replacement funds , $487 thousand out of the Bond funds, $1.6
million in depreciation, and the remaining $700 thousand out of the Agency, Scholarships,
and Federal Grants, for grant activities and student scholarships.
Mott Community College
General Fund
Statement of Revenues, Expenditures and Changes in Net Assets - Modified Accrual
For the 8 Months Ended February 28, 2015
With Comparative Totals at February 28, 2014
FY 2014-2015
Budget
YTD Actuals
as of 2/28/15
Actual to
Actual $
Change
YTD Actuals
as of 2/28/14
Actual to
Actual %
Change
Revenues:
Tuition and fees
Property taxes
State appropriations
Ballenger trust
Grants and other
$
35,872,035 $ 30,755,274 $
17,438,093
13,487,784
18,427,215
8,445,502
1,891,446
1,260,965
1,935,841
1,102,005
31,049,920
13,521,000
7,516,259
1,177,176
1,123,795
75,564,630
55,051,530
Salaries and wages
Fringe benefits
Contracted services
Materials and supplies
Facilities rent
Utilities and insurance
Operations/communications
Transfers out
Equipment and Improvements
37,804,980
19,495,862
5,965,929
2,300,771
172,052
2,734,635
5,261,539
1,345,617
324,137
Total expenditures
Total revenues
$
(294,646)
(33,216)
929,243
83,789
(21,790)
-0.95%
-0.25%
12.36%
7.12%
-1.94%
54,388,150
663,380
1.22%
23,281,273
11,457,087
3,275,393
1,299,106
134,611
2,015,771
3,502,249
1,165,878
188,108
24,295,449
10,627,408
2,833,424
1,234,335
127,556
1,995,269
3,230,091
573,253
134,167
1,014,176
(829,679)
(441,969)
(64,771)
(7,055)
(20,502)
(272,158)
(592,625)
(53,941)
4.17%
-7.81%
-15.60%
-5.25%
-5.53%
-1.03%
-8.43%
-103.38%
-40.20%
75,405,522
46,319,476
45,050,952
(1,268,524)
-2.82%
159,108
8,732,054
9,337,198
(605,144)
-6.48%
Expenditures:
Net increase/(decrease) in net
assets
Mott Community College
General Fund
Balance Sheet - Modified Accrual
February 28, 2015
With Comparative Totals at February 28, 2014
As of
February 28
2015
Assets
Current Assets
Cash and cash equivalents
Due from other funds
Accounts receivable - net of allowance
for uncollectible accounts ($4,212,625
for 2015 and $4,910,571 for 2014)
Inventories
Prepaid expenses and other assets
Total Assets
$
15,019,333 $
(235,501)
4,353,743
48,024
334,201
As of
February 28
2014
19,997,015 $
(3,436,783)
4,220,776
44,069
387,930
$
Change
(4,977,682)
3,201,282
132,967
3,955
(53,729)
$
19,519,800 $
21,213,007 $
(1,693,207)
$
278,476 $
1,700,666
14,997
151,457
818,781 $
1,461,108
15,246
540,536
(540,305)
239,558
(249)
(389,079)
2,145,596
2,835,671
(690,075)
Accrued termination pay
2,354,277
2,458,977
(104,700)
Total Liabilities
4,499,873
5,294,648
(794,775)
Net Assets
Unrestricted
15,019,927
15,918,359
(898,432)
Total Net Assets
15,019,927
15,918,359
(898,432)
19,519,800 $
21,213,007 $
Liabilities and Net Assets
Current Liabilities
Accounts payable
Accrued payroll and related liabilities
Deposits held for others
Other accrued liabilities
Total Current Liabilities
Total Liabilities and Net Assets
$
(1,693,207)