FOR ACTION
Board of Trustees
Charles Stewart Mott Community College
Regular Meeting,
December 21, 2009
Volume 41
Treasurer’s Report for November 2009
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 November 2009 as
presented by the Administration.
Reviewed and Submitted By:
_____________________________________
Lawrence A. Gawthrop, CFO
Date: December 11, 2009
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.”
November Treasurer’s Report
Lawrence A.. Gawthrop, CPA
Chief Financial Officer
December 21, 2009
Summary of Expenditures:
Month of November Spending:
General Fund:
All Other Funds:
Total:
$ 5,295,859
$ 2,473,837
----------------$ 7,769,696
========
Comments on General Fund Financial Statements:
•
Statement of Revenues, Expenditures and Changes in Net Assets
In summary, total revenues for the five-month period ended November 30, is approximately
$37.8 million, representing 53.3% of the annual budget. This is 7.9% ahead of last year at this
time, when we had recognized 45.4% of budgeted revenues which totaled $32.7 million.
Expenditures year-to-date were at $24.4 million dollars, which represents 34.4% of the annual
budget. This is 4.2% higher than last year at this time when compared to the previous year’s
budget.
Revenues
Tuition and fee revenues are $24.0 million for the five months ended, an increase of $6.5
million from last year at this time. This positive variance is mainly due to credit-side
enrollment figures for summer, fall, and winter being significantly higher than last year. In
addition, the walk-in winter enrollment began the same time as on-line enrollment this year,
rather than 10 days later and the mandatory two-day drop was eliminated with a “bulk drop
being scheduled for December 16, 2009. The effect of these two process changes have
accelerated the pace at which enrollment is occurring ($9.6 million for the month of
November compared to $5.1 million in November 2008). Additionally, the impact of the
4.3% tuition increase is evident. The complete winter enrollment picture and revenue impact
will not be fully known until mid-January when the final drop/add date takes place.
Property taxes are $9.9 million through November, and are on pace with the budgeted
amounts. We have budgeted a $936,000 decrease in total tax collections for the year based on
the final taxable value figures provided to us from the Genesee County Equalization
Department.
State appropriations payments for FY2009-10 are paid in monthly installments starting with
October. The total budgeted amount for the current year is $15.0 million based on the same
funding levels of from the prior year. We received our regularly scheduled payment as
scheduled.
Expenditures
Salaries and wages total $13.8 million for the five months ended November 30, up
approximately $1.9 million when compared to the previous year. As mentioned in the
October Treasurer’s Report, this increase is due to the effects of the implementation of
Faculty Assignment in Datatel, salary increases effective July 1, and the increase in section
offerings in the fall 2009 semester. Fringe benefit expenses at approximately $5.3 million
are $770 thousand higher than when compared to last year due to the factors described
above.
Other Expenditures
The most significant changes in the Other Expenses area were a decrease of
approximately $187 thousand in the Transfers line item due to an additional
reimbursement from Lapeer to the capital projects fund. Additionally, there were $91
and $78 thousand increases in the Contracted Services and Materials and Supplies,
line items, respectively related to the increase in our fall enrollment.
•
Balance Sheet
Total Assets were at approximately $26 million, compared with $20.5 million at the same
time one year ago. The largest differences were comprised of a $10.7 million decrease in
Short-term investments due to a change in moving our deposits to a higher interest yielding
and fully federally insured product; an increase of $971 thousand in Due from other funds, a
$6.3 million increase Cash and cash equivalents and a $9 million increase in Accounts
receivable resulting in a total net increase of $5.6 million. The Accounts Receivable
increase is a direct result of the $9.6 million Tuition and fee activity that occurred in
November.
At $5.8 million, Total Liabilities are up approximately $2.8 million from last year’s
November balance. There was an increase of approximately $1.8 million in Accrued payroll
and related liabilities a $458 thousand increase in Accounts payable, and a $447 thousand
increase in Accrued termination pay. The Accrued payroll and related liabilities increase
was the effect of the implementation of the Faculty Assignment in Datatel and a decrease in
the prepaid health insurance. The increase in accounts payable was due to timing of the
processing of accounts payable and the increase in the accrued termination pay was the result
of the actuarial computation completed at our fiscal year-end.
“Due to” and “Due from”
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 12
month period. This is the case in the current month and the reason for the $971 thousand
increase in this inter-fund activity.
Comments on spending from other funds:
•
Of the $5.5 million spent in the other funds, $659 thousand was spent out of the
Maintenance and Replacement Fund and Bond Issue 2008 fund for capital
improvements and the remaining $4.84 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 5 Months Ended November 30, 2009
With Comparative Totals at November 30, 2008
FY 2009-2010
Budget
YTD Actuals
as of 11/30/09
Actual to
Actual $
Change
YTD Actuals
as of 11/30/08
Actual to
Actual %
Change
Revenues:
Tuition and fees
Property taxes
State appropriations
Ballenger trust
Grants and other
Total revenues
$
28,800,574 $ 24,041,061 $
23,500,000
9,874,769
14,995,200
2,859,793
1,740,000
574,367
1,932,413
475,571
17,560,217
10,654,663
2,876,134
764,559
823,772
70,968,187
37,825,561
37,523,512
14,971,747
4,658,652
2,136,895
250,150
2,799,300
5,089,153
3,270,593
201,000
$
6,480,844
(779,894)
(16,341)
(190,192)
(348,201)
26.96%
-7.90%
-0.57%
-33.11%
-73.22%
32,679,345
5,146,216
13.61%
13,839,766
5,335,272
1,491,577
804,155
113,986
957,165
1,624,323
187,381
22,691
11,981,178
4,565,677
1,400,681
725,817
75,890
959,952
1,639,072
374,073
14,627
1,858,588
769,595
90,896
78,338
38,096
(2,787)
(14,749)
(186,692)
8,064
13.43%
14.42%
6.09%
9.74%
33.42%
-0.29%
-0.91%
-99.63%
35.54%
70,901,002
24,376,316
21,736,967
2,639,349
10.83%
67,185
13,449,245
10,942,378
2,506,867
18.64%
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
Mott Community College
General Fund
Balance Sheet
November 30, 2009
With Comparative Totals at November 30, 2008
As of
November 30,
2009
Assets
Current Assets
Cash and cash equivalents
Short term investments
Due from (to) other funds
Accounts receivable - net of allowance
for uncollectible accounts ($3,427,897
for 2009 and $3,037,510 for 2008)
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
$
As of
November 30,
2008
11,828,860 $
2,584,994
11,472,013
46,368
108,113
$
Change
5,496,385 $
6,332,475
10,697,425
(10,697,425)
1,613,707
971,287
2,428,542
60,653
184,340
9,043,471
(14,285)
(76,227)
$
26,040,348 $
20,481,052 $
5,559,296
$
972,788 $
1,629,210
194,284
514,477 $
(156,342)
16,588
458,311
1,785,552
177,696
Total Current Liabilities
2,796,282
374,723
2,421,559
Accrued termination pay
3,012,506
2,565,725
446,781
Total Liabilities
5,808,788
2,940,448
2,868,340
Net Assets
Unrestricted
20,231,560
17,540,604
2,690,956
Total Net Assets
20,231,560
17,540,604
2,690,956
26,040,348 $
20,481,052 $
5,559,296
Total Liabilities and Net Assets
$