April 09, 2015 Meeting

Agenda

BUDGET COMMITTEE AGENDA
April 9, 2015 – 2:00 p.m. – 2:10 p.m.
Human Resources Conference Room

1. Approval of minutes from the March 12, 2015 meeting
2. Resource Request Prioritization Worksheet for Non Personnel Items
3. Institutional Effectiveness/Fund Balance
4. Other

Minutes

BUDGET COMMITTEE MINUTES

April 9, 2015

Members Present: Brock McMurray, Agnes Jose-Eguaras, Bill Devine, Sharyn Eveland, Jo Ellen Patterson and Debbie Hegeman as recorder.

Members Absent:  Barbara Amerio and Sheri Horn-Bunk

APPROVAL OF MINUTES

The motion was made by Sharyn Eveland, seconded by Bill Devine and unanimously carried to approve the minutes from the meeting held April 9, 2015.

 

Funding update for Non-Personnel Resource Request

The suggestion was made to title the spreadsheet and date it before Brock presented the outcome to the Governance Council.

 

Budget Development Calendar

A copy of the 2016-17 Budget Development Calendar was distributed. Brock pointed out the changes from last year were highlighted in yellow. The motion was made by Sharyn Eveland, seconded by Bill Devine and unanimously carried to approve the 2016-17 Budget Development Calendar draft as presented.

 

Budget Update

Brock reported the budget looks good. We received a lot of new monies however they are earmarked to be used for specific items. Also worth mentioning is the one time funds should be used to help prepare for the rise in STRS and PERS. Below is a recap:

  • The budget was built to eliminate $7B in debt. Deferrals, recovery bonds, mandate claims, maintenance factor,
  • New money focuses on education
  • The state budget includes a reserve of $3.4B
  • Access – $156.5M (new growth formula for Taft College 1%)
  • COLA – $61M
  • Categorical money – increased o 100M Student Success o 85M Student Equity
    • 15M Institutional Effectiveness
    • $2.5M COLA for EOPS, DSPS, CalWORKs
  • $148M Deferred Maintenance/Instructional Equipment
  • $632M to pay down mandates
  • $94.5M to eliminate deferrals
  • Prop 39: $38.7M for projects. Energy projects
  • $62.3M to increase the number of full-time faculty
  • $70M one time funding for Basic Skills
  • $500M Adult Ed, $375M to maintain levels

 

 

We submitted the proposed tentative budget to the Board on June 10, 2015.  Staff is currently making final adjustments to the budget and will submit it for Board approval on September 9, 2015, which keeps us on target with the 2015-16 Budget Development Calendar. In addition the money for 2015/16 catches TC up to the expected funding level.

 

Brock shared three major concerns for the 2015-16 FY. They are:

  1. State of California drought
  2. Gas and oil situation
  3. Stock Market – China, Greece

 

Another concern for the District is the ARC (Annual Retirement Contribution) which has to do with our unfunded retirement liability. He said there are three components. They are:

  1. Pay as you go for current retirees
  2. Catch up for current employees
  3. Current liability payment for employees

 

Our next meeting will be on Thursday, 9/10/15 at 2 p.m. in the HR conference room (The agenda, minutes and handouts from this meeting will be available on the Intranet) Respectfully submitted by:

 

Debbie Hegeman

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