FOR ACTION
Board of Trustees
Charles Stewart Mott Community College
Regular Meeting,
February 27, 2012
Volume 44
Treasurer’s Report for January 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 January, 2012 as
presented by the Administration.
Reviewed and Submitted By:
_____________________________________
Larry Gawthrop, CFO
Date: February 27, 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.”
January Treasurer’s Report
Larry Gawthrop, CPA
Chief Financial Officer
February 27, 2012
Summary of Expenditures:
Month of January Spending:
General Fund:
All Other Funds:
Total:
$
$
$
5,461,220
15,782,635
21,243,855
Comments on General Fund Financial Statements:
•
Statement of Revenues, Expenditures and Changes in Net Assets
In summary, total revenues for the seven months ended January 31, was approximately
$53.0 million, representing 69.3% of the annual budget. This is .6% higher than last year
at this time, when we had recognized 68.7% 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 seven
months ended January 31, are at $38.8 million representing 50.0% of the annual budget,
.9% below last January’s budgeted amounts.
Revenues
Tuition and fee revenues are $32.7 million for the seven months ended, which is $2.3
million ahead of last year, mainly due to the tuition rate increase.
Grants and other is at approx $908 thousand, up approximately $257 thousand from last
year. This is largely due to the $250 thousand contribution from the Foundation for Mott
Community College.
Property taxes collected are $13.1 million though January. 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 fourth installment on January 20, 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 $21.5 million, or 53.5% of the annual budget, roughly the same
percentage as the previous year.
Fringe Benefits are at $9.5 million, or 53.1% of the annual budget, down from 55.4% 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 timing of January payments from the
previous year.
In addition the Transfers line item decrease of approximately $165 thousand reflects a
difference in the timing of the transfer of institutional scholarships.
•
Balance Sheet
Total Assets are at approximately $30.0 million, down approximately $430 thousand
from last January. The largest differences are a $4.1 million decrease in Due from other
funds, a $1.0 million increase in Cash and cash equivalents, and a $2.7 million 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 $8.4 million, Total Liabilities are down approximately $1.3 million
from last January’s balance. The most significant changes were in the areas of Accounts
payable-timing differences in check runs from the prior year, 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 $15.8 million spent in the other funds, $472 thousand was expended out of the
Maintenance and Replacement Funds for capital improvements, and the remaining $15.3
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 7 Month Ended January 31, 2012
With Comparative Totals at January 31, 2011
FY 2012-2012
Budget
YTD Actuals
as of 01/31/12
Actual to
Actual $
Change
YTD Actuals
as of 01/31/11
Actual to
Actual %
Change
Revenues:
Tuition and fees
Property taxes
State appropriations
Ballenger trust
Grants and other
Total revenues
$
39,630,462 $ 32,746,020 $
19,125,451
13,087,205
14,383,600
5,282,324
1,514,908
928,282
1,736,542
907,954
30,442,580
14,116,716
5,565,988
953,358
650,603
$
2,303,440
(1,029,511)
(283,664)
(25,076)
257,351
7.57%
-7.29%
-5.10%
-2.63%
39.56%
76,390,963
52,951,785
51,729,245
1,222,540
2.36%
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
21,497,020
9,451,607
2,896,114
1,036,740
160,458
1,574,225
2,004,330
142,094
42,917
21,567,993
9,144,905
2,566,327
1,112,047
145,755
1,403,452
2,020,230
307,836
16,070
(70,973)
306,702
329,787
(75,307)
14,703
170,773
(15,900)
(165,742)
26,847
77,609,947
38,805,505
38,284,615
520,890
1.36%
(1,218,984)
14,146,280
13,444,630
701,650
5.22%
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
-0.33%
3.35%
12.85%
-6.77%
10.09%
12.17%
-0.79%
-53.84%
167.06%
Mott Community College
General Fund
Balance Sheet
January 31, 2012
With Comparative Totals at January 31, 2011
As of
January 31
2012
Assets
Current Assets
Cash and cash equivalents
Short term investments
Due from (to) other funds
Accounts receivable - net of allowance
for uncollectible accounts ($2,854,580
for 2012 and $3,322,474 for 2011)
Inventories
Prepaid expenses and other assets
Total Assets
$
26,675,816 $
936
(495,420)
3,646,989
70,220
74,642
As of
January 31
2011
$
Change
25,662,556 $
936
3,592,259
1,013,260
(4,087,679)
982,361
69,345
96,905
2,664,628
875
(22,263)
$
29,973,183 $
30,404,362 $
(431,179)
$
3,428,284 $
1,835,309
84,798
521,023
4,743,899 $
1,366,346
231,112
570,546
(1,315,615)
468,963
(146,314)
(49,523)
5,869,414
6,911,903
(1,042,489)
Accrued termination pay
2,491,402
2,773,950
(282,548)
Total Liabilities
8,360,816
9,685,853
(1,325,037)
Net Assets
Unrestricted
21,612,367
20,718,509
893,858
Total Net Assets
21,612,367
20,718,509
893,858
29,973,183 $
30,404,362 $
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
$
(431,179)