Operations

Budget PositionMay 31, 2002

ConsolidatedFY'02 Budget

ConsolidatedFY'02 Actual

Core & Project FY'02 Actual

Abilene FY'02YTD Actual

RevenuesMember Dues Total 6,610,000$ 6,638,750$ 6,638,750$ -$ Abilene Total 15,259,811 6,146,211 - 6,146,211 Other Income 615,000 169,309 221,687 - Total Revenues 22,484,811 13,006,648 6,860,437 6,146,211

Abilene Indirect Rate - - 488,410 (488,410) Total Revenues & Transfers 22,484,811 13,006,648 7,348,847 5,657,801

Operational ExpensesTotal Personnel 9,355,667 3,129,615 2,727,143 402,472 Total Other Support 14,190,702 3,075,657 1,524,492 1,551,165 Total Operational Expenses 23,546,369 3,129,615 4,251,635 1,953,637

Total Capital Expenditures 8,997,354 339,925 288,401 51,524

Net Activity (10,058,912)$ 9,537,108$ 2,808,811$ 3,652,640$

Anticipated Budget Position December 31, 2002

ConsolidatedFY'02 Budget

ConsolidatedFY'02 Projected

Year End

Core & Project FY'02 Actual

Projected Year End

Abilene FY'02Projected Year

EndRevenuesMember Dues Total 6,610,000$ 6,688,750$ 6,688,750$ -$ Abilene Total 15,259,811 14,750,907 - 14,750,907 Other Income 615,000 552,096 552,096 - Total Revenues 22,484,811 21,991,753 7,240,846 14,750,907

Abilene Indirect Rate - - 2,542,406 (2,542,406) Total Revenues & Transfers 22,484,811 21,991,753 9,783,252 12,208,501

Operational ExpensesTotal Personnel 9,355,667 8,737,316 7,662,589 1,074,727 Total Other Support 14,190,702 12,145,999 3,051,104 9,094,895 Total Operational Expenses 23,546,369 20,883,315 10,713,693 10,169,622

Total Capital Expenditures 8,997,354 8,742,539 442,165 8,300,374

Net Activity (10,058,912)$ (7,634,101)$ (1,372,606)$ (6,261,495)$

Reserve Balance Overview

Consolidated Core Abilene Projects

Reserve Balance 12/31/1997 1,782,187 1,782,187 - -

Reserve Balance 12/31/1998 4,990,289 6,189,272 (1,198,983) -

Reserve Balance 12/31/1999 6,066,702 6,948,395 (881,693) -

Reserve Balance 12/31/2000 10,799,344 6,347,999 4,451,345 -

Reserve Balance 12/31/2001 17,241,454 7,003,899 11,285,425 (1,047,870)

Reserve Balance 5/31/2002 24,042,829 10,761,697 14,989,588 (1,708,456)

Expected Reserve Balance 12/31/2002 9,607,353 7,382,025 5,023,930 (2,798,602)

Budget Development PlanJune 18, 2002

• Outline organizational goals• Develop list of key programs• Discuss revenue streams

July 8, 2002• Submit revenue numbers by type of revenue

July 16, 2002• Discuss revenues and plan for allocation among functional areas• Develop / outline individual functional area plans

August 13, 2002• Discuss program lists focusing on areas of overlap / priority• Individual functional area development of budget numbers

September 17, 2002• Senior Staff budget review

October, 2002• Budget presented to Board of Trustees for review and approval

Partners In Travel

Experience to date (February through May)

•Trips booked 221

•Service fees $5,505

•Managed savings $15,530

•Total Savings $10,025

Partners In Travel

Examples of managed savings•Discounts on flights to DC and Saginaw•Avoidance of ticket revision penalty fees•Suggesting alternative flights to traveler’s request

•Suggesting Saturday night stays•Advising to book nonrefundable flights prior to confirmation of travel plans with ability to void ticket if necessary penalty free

Partners In TravelAdditionally

• People appear to be booking flights earlier to ensure they get direct flights and avoid showing up on management reports.

• PIT calls hotels directly to negotiate rates and often gets better than corporate rates.

• Our administrative staff and other staff have been relieved of the time and effort required to book our many trips.

• Feedback generally positive.• New flight itinerary document. Sample Itinerary

• Will be investigating monthly management fee.• PIT performing as we expected and as they claimed they would.

• Working hard to please us.