1. Planning and Budget Committee November 13, 2015

2. Agenda What’s the ‘real’ story? What’s the ‘real’ story? – Year-end Results Why didn't we know? Why didn't we know? – July 2014 position Where did the money go? Where did the money go? - Breakdown of expenditures Why did you take my money? - Why did you take my money? -Impacts of multiple years of deficits. – 15% Sequestration – Sweeping of Reserves Why this year? Why this year?

3. Year End Results FY 15 versus FY14

4. Continuing Annual Budget Commitments Continuing Annual Budget Commitments Continuing Sources of Funding Comparing Operating Revenues FY 08 – FY16 Endowment, Investment, Indirect Cost, etc. FY 08 State Appropriations 47% FY 08 State Appropriations 47% FY 16 State Appropriations 26% FY 16 State Appropriations 26% FY 08 Tuition/Fees 32% FY 08 Tuition/Fees 32% FY 16 Tuition/Fees 49% FY 16 Tuition/Fees 49% FY 08 Other Income 21% FY 08 Other Income 21% FY 16 Other Income 25% FY 16 Other Income 25%

5. FY 2015 as of 07/31/2015

6. Five Years of Results

8. Total Annual Budget Total Annual Budget Comparing Total Budgets FY 08 – FY16 FY 08 Operating 76% FY 08 Operating 76% FY 16 Operating 69% FY 16 Operating 69% FY 08 Restricted 17% FY 08 Restricted 17% FY 16 Restricted 19% FY 16 Restricted 19% FY 08 Auxiliary 7% FY 08 Auxiliary 7% FY 16 Auxiliary 12% FY 16 Auxiliary 12%

9. Total Operating Budgets $69 M Total Operating Budgets $69 M Operating Budgets FY16 Personnel $47.2 M 68.2% Personnel $47.2 M 68.2% O&M $21.9 M 31.8% O&M $21.9 M 31.8% Fixed Salaries, Wages and Benefits $46 M, 97.5% Fixed Salaries, Wages and Benefits $46 M, 97.5% Part-time Wages 1.2 M, 2.5% Fixed O&M $8.3 M, 38% Fixed O&M $8.3 M, 38% Scholarships $5.4 M, 25% Scholarships $5.4 M, 25% Other O&M $8.2 M, 37% Other O&M $8.2 M, 37%

10. Available to Sequester Part-Time Wages $9,371,153 Other Operating Total Sequester @ 15%$1,405,673 Total Deficit FY 14($1,417,939)

11. History of Cash and Reserves

12. Reserves Before Base Budget$ 7,919,558 Self-Supporting$ 5,069,524 IDC $ 736,583 Matching Funds$ 196,573 TOTAL$13,922,238

13. Reserves After Base Budget$ 746,714 Self-Supporting$5,069,524 IDC $ 736,583 Matching Funds$ 196,573 One-Time Suppl$ 694,000 TOTAL$7,443,394

14. BANNER Verification of Cash Balance

15. Why this Year? FY 15 fourth year of deficits – cumulative deficit total of $8,398,402. Since FY 11 – Revenue has increased 5.7% or $3,746163. Expenditures have increased 18.3% or $10,899,976. Revenue went down from FY 14 to FY 15 by approximately $400,000. Currently have cash to cover only 54% of the total reserves.

16. FY 16 Budget

17. So….What Does This Mean? Continue to add programs that will attract students Continue our planned marketing and recruiting efforts Continue retention efforts

18. Questions?