FOR ACTION
Board of Trustees
Charles Stewart Mott Community College
Regular Meeting,
June 18, 2014
Volume
Treasurer’s Report for May 2014
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 May 2014 as presented
by the Administration.
Reviewed and Submitted By:
_____________________________________
Larry Gawthrop, CFO
Date: June 18, 2014
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.”
May’s Treasurer’s Report
Larry Gawthrop, CPA
Chief Financial Officer
June 18, 2014
Summary of Expenditures:
Month of May Spending:
General Fund:
All Other Funds:
Total:
$
$
$
8,951,749
3,843,146
12,794,895
Comments on General Fund Financial Statements:
•
Statement of Revenues, Expenditures and Changes in Net Assets
In summary, total revenues for the eleven months ended May 31, was approximately
$68.3 million, representing 93.1% of the annual budget. This is 2.3% higher than last
year at this time, when we had recognized 90.8% of budgeted revenues. The most
significant changes continue to be in the Tuition and fees, Property taxes, and State
appropriations which are discussed further below. Expenditures year-to-date are at $66.4
million dollars, which represents 89.8% of the annual budget, 0.2% higher than it was one
year ago.
Revenues
Tuition and fees revenues are $36.3 million for the eleven months ended, which is $600
thousand more than last year. The final winter tuition and fee enrollment numbers were in
line with the decrease from fall and higher than what were originally budgeted.
Property taxes collected are $16.4 million through May. The amount budgeted is $17.3
million, down $324 thousand from last year’s $17.7 million and is based on final taxable
value figures provided by the Genesee County Equalization Department.
State appropriations payments for FY 2013-14 are paid in monthly installments starting
with October. We received the eighth of ten payments without exception. The total
budgeted amount for the current fiscal year is $15.3 million or approximately $285
thousand (2%) more than last year. Also included in this line item is roughly $1.1 million
sent to MCC from the State of Michigan for pass-through to the Office of Retirement
Services.
Expenditures
Salaries and Wages are at $35.7 million, or 90.2% of the annual budget, 1.9% lower than
it was one year ago.
Fringe Benefits are at $16.0 million, or 91.8% of the budgeted amount and 7.8% higher
when compared to the previous year. This increase is entirely the result of the $1.1
million passed through to us from the State of Michigan and remitted to the office of
Retirement Services.
Other Expenditures
The changes in the Other Expenses area are in line with the past trends after factoring in
timing differences on payment of bills. The increase in operations and communications
is a result of software and license expense reclassification in the technology area and
recording of bad debt expense on a monthly basis. The increase in Transfers out line item
when compared to the previous year is a timing difference of when the transfer was made.
•
Balance Sheet
Total Assets are at approximately $20.4 million, up $118 thousand from last May. The
largest differences are a $1.1 million increase in Cash and Cash Equivalents, a $330
thousand increase in Due from other funds and an $873 thousand decrease in Accounts
receivable. These variances are due to timing of cash transfers between funds and the
changes made in delaying the timing of the Pell transmission, receipt and distribution in
an effort to reduce exposure on the Return of Funds.
Due to/Due from Other Funds
The College maintains 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 $12 million, Total Liabilities are down approximately $1.3 million from last
May’s balance. The most significant changes were decreases in Accounts payable and
Accrued payroll and Accrued payroll and related liabilities, and Accrued termination
pay.
Comments on spending from other funds:
•
Of the $3.8 million expended in the other funds, $276 thousand was expended out of the
Maintenance and Replacement Funds for maintenance and improvements, $556
thousand in monthly depreciation, $279 thousand from the Debt Funds, $140 thousand
from the Bond funds, and the remaining $2.6 million 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 11 Months Ended May 31, 2014
With Comparative Totals at May 31, 2013
FY 2013-2014
Budget
YTD Actuals
as of 05/31/14
Actual to
Actual $
Change
YTD Actuals
as of 05/31/13
Actual to
Actual %
Change
Revenues:
Tuition and fees
Property taxes
State appropriations
Ballenger trust
Grants and other
36,350,790 $ 36,340,535 $
17,328,840
16,409,586
15,306,817
12,359,931
1,765,763
1,618,616
2,561,244
1,530,680
35,732,239
16,655,321
10,983,450
1,526,036
1,218,250
73,313,454
68,259,348
Salaries and wages
Fringe benefits
Contracted services
Materials and supplies
Facilities rent
Utilities and insurance
Operations/communications
Transfers out
Equipment and Improvements
39,574,756
17,523,780
5,326,968
2,275,398
243,400
2,978,500
4,610,286
1,324,863
38,800
Total expenditures
73,896,751
Total revenues
$
$
608,296
(245,735)
1,376,481
92,580
312,430
1.70%
-1.48%
12.53%
6.07%
25.65%
66,115,296
2,144,052
3.24%
35,677,418
16,080,755
4,140,936
1,734,355
170,626
2,696,037
4,326,193
1,371,462
177,503
36,370,372
14,911,813
4,163,718
1,680,891
232,801
2,609,586
5,017,636
459,328
170,816
692,954
(1,168,942)
22,782
(53,464)
62,175
(86,451)
691,443
(912,134)
(6,687)
1.91%
-7.84%
0.55%
-3.18%
26.71%
-3.31%
13.78%
-198.58%
-3.91%
66,375,285
65,616,961
(758,324)
-1.16%
1,884,063
498,335
Expenditures:
Net increase/(decrease) in net
assets
(583,297)
1,385,728
278.07%
Mott Community College
General Fund
Balance Sheet - Modified Accrual
May 31, 2014
With Comparative Totals at May 31, 2013
As of
May 31
2014
Assets
Current Assets
Cash and cash equivalents
Due from other funds
Accounts receivable - net of allowance
for uncollectible accounts ($5,286,901
for 2014 and $6,637,556 for 2013)
Inventories
Prepaid expenses and other assets
Total Assets
Liabilities and Net Assets
Current Liabilities
Accounts payable
Accrued payroll and related liabilities
Deposits held for others
Unearned revenue
Other accrued liabilities
$
13,193,139 $
(1,191,696)
7,946,851
44,069
431,408
As of
May 31
2013
12,113,662 $
(861,441)
8,784,279
28,730
240,313
$
20,423,771 $
20,305,543 $
$
1,150,904 $
2,024,772
14,670
5,869,054
451,470
1,225,198 $
3,195,051
3,195
5,607,112
542,178
Total Current Liabilities
$
Change
1,079,477
(330,255)
(837,428)
15,339
191,095
118,228
(74,294)
(1,170,279)
11,475
261,942
(90,708)
9,510,870
10,572,734
(1,061,864)
Accrued termination pay
2,447,677
2,729,251
(281,574)
Total Liabilities
11,958,547
13,301,985
(1,343,438)
Net Assets
Unrestricted
8,465,224
7,003,558
1,461,666
Total Net Assets
8,465,224
7,003,558
1,461,666
Total Liabilities and Net Assets
$
20,423,771 $
20,305,543 $
118,228