BOARD OF TRUSTEES MEETING JUNE 22, 2009

General Fund (GF): $216.8 Million, Including: Unrestricted GF: $198.6 Million Restricted GF: $18.2 Million Other Funds*: $196.8 Million Total All Funds: $413.6 Million *Other Funds Include: Community Education, Child Development, Capital Outlay (Including Basic Aid Projects), Debt Service, Self-Insurance, & Retiree Benefit Funds

Revenue Additions $130M = Stimulus Money $80M = Student Fee Increase (current rate is $20/unit proposed rate is $26/unit) Revenue Applications $140M to Reduce Categorical Program Cuts $70M to Reduce General Apportionments Cuts The effect of the Additions and Applications shown above are reflected in the following slides

Rejects Funding Physical Education and Recreational Classes at the Non Credit Rate Credit =$4,565/FTES Non-Credit =$2,745/FTES No Growth Funding or Cola Possible Reduction to Base Funding

$193M Reduction to Categorical Programs 0% Cut - Financial Aid Admin and Foster Care Education 15% Cut – Cal WORKS - $33,247 16% Cuts – Have No Flexibility 19% Cuts -Telecommunication/Technology - $13,694 Basic Skills$41,360 Disabled Students (DSP&S)$358,731 EOPS$252,614 CARE$20,974 Nursing$44,797

32% Cuts – Allows Flexibility Economic Development (CACT)$65,600 Equal Employment Opportunity$7,476 Transfer Education and Articulation$2,560 Matriculation - Credit$479,339 Matriculation – Non Credit$30,201 Part-time Faculty Compensation$321,635 Part-time Faculty Health InsuranceNominal Amount Applied to P/T Health Insurance Expenses

100% Cuts Instructional Equipment - $255,941 Scheduled Maintenance - $255,964 Total Amount of Categorical Reductions $2,184,133

SB361 Revenue Increase of $13.6 Million Ongoing - $6.8M Increase to base resulting from growth One Time - $6.8M Growth Not Funded in 2008/2009 DRAC Model SB361 COLA - 0.0% Growth Funding - 0.0% General Fund Unrestricted Ending Balance from Carried Forward - $20.3M

$7.5% Reserve for Economic Uncertainties 8.0% Estimated Increase for Health & Welfare Benefits - to be updated at Final after renewal amounts are known 0% Property and Liability Insurance – to be updated at Final after renewal amounts are known Salary Increases: Faculty and CSEA – 1% in accordance with the contracts Administrators, Managers, and POA – 0%

* Estimated (exact amounts will not be available until the end of the fiscal year). Per OC Tax Assessor, secured property taxes were estimated to remain constant in and decrease 7% in ** Decline due to increased SB361 revenue resulting from enrollment growth * ** $ 5,676,800 $ 9,192,300 $13,719,277 $18,419,919 $27,356,952 $40,162,878 $46,899,203 $52,896,017 $50,692,873 $47,398,334 $37,385,193

$2.5M OPEB (Retiree Benefit Expenses) $2.4M ATEP Operating Budget $2.0M ATEP Negotiations $1.0M ATEP Development $60K for Legislative Advocacy for Basic Aid issues $29.77M Funding for Future Capital Projects Additional projects (not shown above) for Scheduled Maintenance and Technology that total $13.65M will be presented as an agenda item for the July 2009 Board Meeting