Sacramento City College Budget Committee Presentation November 3, 2017

SCC Family of Plans Strategic Master Plan Institutional Plans Educational Plan Resource Management & Capital Outlay Plan Student Support Services Plan Program Plans Staff Development Distance Education Safety, Security & Environmental Tutoring Information Tech Matriculation Student Equity Other Program Plans Operational Unit Plans U n i t P l a n s Resource Plans Financial Facilities Faculty Classified Staff Information Technology

Financial Resource Plan Key Documents President’s Annual Budget Memo Fiscal guidance for planning year Budget Committee’s Recommendations Outcome of spring deliberations Specific funding recommendations and review of the planning system President’s response: late spring Triggers distribution of funds for execution year Mid-year Update: review execution year

Resource Allocation College Discretionary Funds Classified Staff District Process & Funding Standard III A Faculty 80%-20% ‘Bucket’ Concept Financial Integrated College Discretionary Funds Standard III B, C, D Facilities Information Technology From DO PDF Schedule

Budget Plan Key Components Available funding: state, district and college sources State enacted budget, LRCCD adopted budget District PDF Schedule and other same year allocations Division/Department Base Allocations CDF, Lottery and IR Program Plans and ‘college MOE’ aka ‘above the line’ funding Unit Plan Funding Seeking balance of all funding needs and confidence in allocated funds for college execution

Factors to Consider Basic Allocation funded $183.6M COLA 1.56% Enrollment Trends: 2016-17 achieved base FTES of 52,171 2017-18 Projected to Achieve 48,000 – shortfall of 4,462 FTES. Plan to report 44,000 2018-19 Projected to report 52,000. Shortfall from base of 462 FTES, which is approx. a loss of $2.4 million in funding for the District. State Allocations: Basic Allocation funded $183.6M COLA 1.56% Growth 1% District Allocations w/ adopted budget Awaiting PDF schedule (Late fall?) SMSR/Instructional Equip & LM decrease of $5M dw in 2017-18 Upcoming Minimum Wage Increases

State Minimum Wage Increases Currently, California’s minimum wage is $10.50/hour.  The new law will increase this amount as follows : On January 1, 2017, the minimum wage increased to $10.50 per hour. On January 1, 2018, the minimum wage will increase to $11 per hour. On January 1, 2019, the minimum wage will increase to $12 per hour. On January 1, 2020, the minimum wage will increase to $13 per hour. On January 1, 2021, the minimum wage will increase to $14 per hour. On January 1, 2022, the minimum wage will increase to $15 per hour. Effective January 1, 2018, the student help minimum wage will be $11 per hour, and will increase each January, as noted above. The classified temporary salary schedule is expected to be increased around 5.5%, to be at the level of 75% of the step 1 of the regular salary schedule.

Source of Funds

Commitments

Commitments – cont.

College Discretionary Fund (CDF) Formula Full Service College BASE Weekly Student Contact Hours (WSCH) Building Square Footage Regular Staff FTE Total CDF

Categorical Program & Grant Expenditures

Categorical Program & Grant Expenditures (cont.)

Future Considerations AB 19 California Community College Promise Program bill signed, but funding not included in 2017-18 budget. State Chancellor and Board of Governors included request for funding in their system budget request. Once, funded, State Chancellor’s Office will allocate funds to the local CCDs.

Future Considerations Test 3B Cut Budget signed that suspends Prop 98 Test 3B funding. Reduction in Prop 98 funding by $440M in 2018-19, $300M in 2019-20 & $110M in 2020-21. Effort will be underway to repeal this Prop 98 3B reduction