October 30, 2017 ATC Auditorium 2:00 - 3:00 p.m. Grand Rapids Community College 2017-18 Annual Budget Control Officers Meeting October 30, 2017 ATC Auditorium 2:00 - 3:00 p.m.

AGENDA Welcome & General Update Budget Information & 2016-17 Update 2018-19 Timeline & Department Planning Finance & Admin Process Improvements Questions

General Updates Budget and enrollment Budget Services staffing changes Facilities Zero Based Budget (ZBB)

Basic Financial Information

General Fund Revenue Tuition and fees represent 47% of GF revenue

GRCC Revenue Per Fiscal Year Equivalent Student (FYES) Compared to State of Michigan, 2015-16 Tution & Fees Property Taxes State Aid Other Revenue GRCC $5,840 $3,288 $1,999 $538 State Average $5,016 $4,248 $2,497 $642

General Fund Expense Salary and related benefits represent 79% of total expense

General Fund Expense 51% of our GF resources spent on direct instruction

GRCC Expense Categories Percentages Compared to State of Michigan State Average Instruction and Instructional Support 65% 60% Administration 13% 14% Physical Plant 12% Student Services 9% Public Service 1%

2017 Year End

2016-17 Audit Results We had an unmodified or “clean” audit opinion. We had no management letter comments. 8th year in a row! Considering our large and complex budget, having no comments every year is unusual and represents strong internal controls and consistent efforts by our staff.

2016-17 Controllable Expense Variances Controllable expenses kept in check, overall $12,177,490 actual vs $13,640,411 budget (11% under budget) However, cost centers overspent by $1k or more grew in 2017 In 2015-16, 22 of 131 (17%) In 2016-17, 27 of 139 (19%)

2016-17 Controllable Expense Variances Budget Actual Variance Student wages $1,384,244 $1,192,263 $191,981 Contracted Service $4,717,720 $4,314,071 $403,649 Supplies/Repair $5,022,894 $4,295,283 $727,611 Rentals $571,938 $438,009 $133,929 Other $1,472,737 $1,450,200 $22,537 Equipment $470,878 $487,664 ($16,786) Total $13,640,411 $12,177,490 $1,462,921

2018-19 Budget Timeline – Key dates: Dec 1, 2017: 2017-18 midyear budget requests due in PS. Accounting and Budget Services resource page Forms available in HRPROD: Navigate to: GRCC Custom->Campus Community->Budget Requests Select “create midyear request” Then “2017-2018 fiscal year” from the dropdown March 2, 2018: 2018-19 department plans, budget requests, and space requests due to immediate supervisors (if not an EBCO). March 16, 2018: Annual IT project requests due via on-line submission. March 16, 2018: 2018-19 department plans, budget requests, and space requests due to EBCO’s

Department Planning Workshop MARK YOUR CALENDARS: Thursday, Jan 18, 2018 Department Planning, Budgeting, Space Planning & Technology Overview Not mandatory All are welcome! You may have your support staff attend with you Recommended for new BCO’s or those new to GRCC For questions or further info, contact Donna Kragt (x4044)

Process Improvements

Process Improvements Finance and Admin Human Resources Change to the holiday shutdown process. Financial Services Implementing new eForms. Automating/workflow-enabling several forms: Payment requests Multiple vendors Employer reimbursement requests Mileage reimbursement requests Adjunct mileage reimbursement requests

Process Improvements Finance and Admin Purchasing Purchasing Policy Updates: Infrequent purchase of materials, equipment, goods, supplies or services of $2,500 and less may be done without the execution of a requisition and/or purchase order. Formal sealed bidding procedures are now conducted on all purchases over $25,000. (formerly $10K) Procards: Most procurement card single purchase limits are now aligned with purchasing policy @ $2500. (dependent on hierarchy) Stay tuned for more procurement card process improvements - reconciliation via google docs. Please be sure to complete your 2017-18 Hazardous Chemical Inventory by the date specified!

Questions? Thank you!