FOR ACTION
Board of Trustees
Charles Stewart Mott Community College
Regular Meeting,
March 26, 2012
Volume 44
Treasurer’s Report for February 2012
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, 2012 as
presented by the Administration.
Reviewed and Submitted By:
_____________________________________
Larry Gawthrop, CFO
Date: March 26, 2012
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 26, 2012
Summary of Expenditures:
Month of February Spending:
General Fund:
All Other Funds:
Total:
$
$
$
6,184,818
15,311,793
21,496,611
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 29, was approximately
$56.6 million, representing 74.1% of the annual budget. This is 1% higher than last year
at this time, when we had recognized 73.1% of budgeted revenues. The most significant
changes continue to be in the Tuition and fees, Property taxes and State Aid, and Grants
and other which are discussed further below. General Fund expenditures for the eight
months ended February 29, are at $45 million representing 58% of the annual budget,
comparable to last February’s budgeted amounts.
Revenues
Tuition and fee revenues are $33 million for the eight months ended, which is $2.4
million ahead of last year, mainly due to the tuition rate increase.
Grants and other is at approx $1 million, up approximately $240 thousand from last year.
This is due to the $250 thousand contribution from the Foundation for Mott Community
College.
Property taxes collected are $14.9 million though February. The amount budgeted is
$19.1 million, down $1.8 million from last year’s $20.9 million and is based on final
taxable value figures provided by the Genesee County Equalization Department.
State appropriations We received our fifth installment in February, totaling
approximately $1.3 million. The total budgeted amount for the current fiscal year is $14.4
million or approximately $700 thousand (4.88%) less than last year. This includes the loss
of the renaissance zone payments we received in past years.
Expenditures
Salaries and Wages are at $24.8 million, or 61.7% of the annual budget, down from
63.2% one year ago.
Fringe Benefits are at $10.8 million, or 60.7% of the annual budget, down from 63% one
year ago.
Other Expenditures
The Other Expenses area significant variances when compared to the prior year actuals
were in the Contracted services and Utilities and insurance areas. A majority of the
contracted services area is due to the Information Technology contractors being charged
to and paid out of the general fund instead of the 72 fund as was done previously. The
Utilities and insurance variance is mainly due to the difference in timing of payments
from the previous year.
In addition the Transfers line item increase of approximately $135 thousand reflects an
increase in institutional scholarships.
•
Balance Sheet
Total Assets are at approximately $24.6 million, down approximately $2.5 million from
last February. The largest differences are a $7.6 million decrease in Due from other
funds, a $4.8 million increase in Cash and cash equivalents, and a slight $206 thousand
increase in Accounts receivable. The increase in Accounts receivable is due to a timing
of refunds processed to student accounts and the increase in tuition.
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 approximately $5.6 million, Total Liabilities are down approximately $3 million from
last February’s balance. The most significant changes were in the areas of Accounts
payable-timing differences in payment to Follett’s bookstore, Accrued payroll and
related liabilities- timing difference in the payment of the health insurance payments from
year to year, Other Accrued Liabilities which is the recording of the estimated amount of
the real property tax refunds created by the appeals filed with the Michigan Tax Tribunal,
and a decrease in Accrued termination pay partly due to employee retirements and a
decrease in the actuarial computation at year-end.
Comments on spending from other funds:
•
Of the $15.3 million spent in the other funds, $298 thousand was expended out of the
Maintenance and Replacement Funds for capital improvements, and the remaining $15
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
For the 8 Month Ended February 29, 2012
With Comparative Totals at February 28, 2011
FY 2011-2012
Budget
YTD Actuals
as of 02/29/12
Actual to
Actual $
Change
YTD Actuals
as of 02/28/11
Actual to
Actual %
Change
Revenues:
Tuition and fees
Property taxes
State appropriations
Ballenger trust
Grants and other
Total revenues
$
39,630,462 $ 32,975,644 $
19,125,451
14,925,585
14,383,600
6,602,906
1,514,908
1,058,207
1,736,542
1,017,215
30,625,620
15,588,971
6,931,115
1,089,552
777,221
$
2,350,024
(663,386)
(328,209)
(31,345)
239,994
7.67%
-4.26%
-4.74%
-2.88%
30.88%
76,390,963
56,579,557
55,012,479
1,567,078
2.85%
40,201,485
17,795,304
6,598,791
2,487,767
242,350
2,546,100
4,916,009
2,412,841
409,300
24,815,199
10,807,916
3,338,278
1,192,492
173,952
1,794,889
2,377,476
442,422
47,700
24,724,447
10,388,625
2,879,145
1,290,934
146,755
1,609,989
2,368,470
307,836
21,584
77,609,947
44,990,324
43,737,785
1,252,539
2.86%
(1,218,984)
11,589,233
11,274,694
314,539
2.79%
Expenditures:
Salaries and wages
Fringe benefits
Contracted services
Materials and supplies
Facilities rent
Utilities and insurance
Operations/communications
Transfers
Capital outlay
Total expenditures
Net increase/(decrease) in net
assets
90,752
419,291
459,133
(98,442)
27,197
184,900
9,006
134,586
26,116
0.37%
4.04%
15.95%
-7.63%
18.53%
11.48%
0.38%
43.72%
121.00%
Mott Community College
General Fund
Balance Sheet
February 29, 2012
With Comparative Totals at February 28, 2011
As of
February 29
2012
Assets
Current Assets
Cash and cash equivalents
Short term investments
Due from (to) other funds
Accounts receivable - net of allowance
for uncollectible accounts ($2,833,256
for 2012 and $3,319,998 for 2011)
Inventories
Prepaid expenses and other assets
Total Assets
$
14,602,785 $
936
7,633,608
2,224,335
76,796
88,299
As of
February 28
2011
9,758,433 $
936
15,207,798
2,018,062
72,751
97,053
$
Change
4,844,352
(7,574,190)
206,273
4,045
(8,754)
$
24,626,759 $
27,155,033 $
(2,528,274)
$
825,064 $
1,711,737
25,036
521,023
3,304,501 $
1,826,334
131,129
570,546
(2,479,437)
(114,597)
(106,093)
(49,523)
3,082,860
5,832,510
(2,749,650)
Accrued termination pay
2,488,579
2,773,950
(285,371)
Total Liabilities
5,571,439
8,606,460
(3,035,021)
Net Assets
Unrestricted
19,055,320
18,548,573
506,747
Total Net Assets
19,055,320
18,548,573
506,747
24,626,759 $
27,155,033 $
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
$
(2,528,274)