san josé evergreen - SJECCD · Calculated “downside risk” $1.7M Assumes zero property tax growth san josé evergreen COMMUNITY COLLEGE DISTRICT. san josé evergreen

san josé evergreen COMMUNITY COLLEGE DISTRICT

D. Smith June 12, 2012

2011-2012

Beginning Fund Balance $8,503,688 10.99%

Projected Ending Fund Balance $5,744,789 7.45%

2012-2013

Projected Beginning Fund Balance $5,744,789 7.45%

Projected Ending Fund Balance $5,897,452 7.82%



10.50%

13.00%

14.80%

8.39%

7.81%

6.22%

10.99%

7.45% 7.82%

0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

16.00%

$0

$2,000,000

$4,000,000

$6,000,000

$8,000,000

$10,000,000

$12,000,000

$14,000,000

2004-2005 2005-2006 2006-2007 2007-2008 2008-2009 2009-2010 2010-2011 2011-2012Estimated

Total

2012-2013Tentative

Budget

Ending Fund Balance

General Fund $ General Fund %

2011-2012

Property Tax Deficit

Student Fee Deficit

Potential Year-end Variance

Other uncertainties/adjustments



$(906,731)

$0

$(243,756)

$(1,745,053)

$(701,813) $(727,228) $(753,660)

$(2,000,000)

$(1,800,000)

$(1,600,000)

$(1,400,000)

$(1,200,000)

$(1,000,000)

$(800,000)

$(600,000)

$(400,000)

$(200,000)

$0

FY 2008-2009Recalculation

Apportionment


Apportionment


Apportionment

FY 2011-2012Projected

Second PrincipalApportionment

FY 2012-2013Estimated

Apportionment


Apportionment


Apportionment

Deficit Factor - Tax Measure Passes in November 2012

Deficit Value

Books close this summer

Deficit more defined at P-2 in June

Statewide $116M property tax, Redevelopment Agency shift???

Recalculation for 2011-12 – February 2013

7.45% EFB will change

$5,744,789 BFB for 2012-13


2012-13 balanced at:

Revenues $75,555,288

Expenditures $75,402,625

Ending fund balance 7.82%

$5,897,452



Certificated Salaries

$18,940,992 25%

Adjunct $13,660,529

18%

Classified Salaries

$11,174,852 14%

MSC $5,298,855

7%

Overtime $116,728

0%

Hourly/Temp $852,545

1%

Employee Benefits - Statutory

$7,669,419 10%

Employee Benefits -

H&W $9,648,303

13%

Supplies & Materials $692,296

1%

Other Operating Exp

and Serv $8,034,565

10%

Capital Outlay $186,580

0% Other Outgo

$885,693 1%

Personnel = 87.30% Operational = 12.70%

Certificated Salaries

$19,187,057 26%

Adjunct $11,379,826

15%

Classified Salaries

$11,314,515 15%

MSC $5,385,338

7%

Overtime $29,712

0%

Hourly/Temp $731,097

1% Employee Benefits - Statutory

$7,106,585 10%

Employee Benefits -

H&W $9,139,898

12%

Supplies & Materials $979,535

1%

Other Operating Exp

and Serv $8,533,130

11%

Capital Outlay $43,329

0% Other Outgo $1,572,603

2%

Personnel = 85.24% Operational = 14.76%

FY 2011-2012 Estimated Actual FY 2012-2013 Tentative Budget

Reduced spending – rebalancing strategies $2.8M

Medical benefit, OPEB, revenue strategies $2.2M

Closed a $5M projected deficit

$2.5M “one-time” reoccurs in 2013-14


Tax Measure passes

Means zero new money for apportionment

Almost $400K mandated costs

No further cuts

Assumes 1% deficit

$701,813: changeable!


If Tax Measure fails Biggest risk! Will know in November

Workload loss 889 FTES, $4.1M, 6.4%

State “redirection” of $341M property taxes backfilled by RDA

Districts held harmless for $201M – trailer bill At risk $140M system Potential deficits $1.9M to SJECCD


Tax failure = Basic Aid?

$4.1M cut is “offset” by

Excess student fees & property tax base – above “entitlement”

Mitigates deficit, mitigates RDA backfill, mitigates workload reduction

Calculated “downside risk” $1.7M

Assumes zero property tax growth



$78.6

$85.4

$93.1

$100.8

$105.9

$102.4

$99.4 $99.0 $99.0

$70

$75

$80

$85

$90

$95

$100

$105

$110

FY 2004-2005 FY 2005-2006 FY 2006-2007 FY 2007-2008 FY 2008-2009 FY 2009-2010 FY 2010-2011 FY 2011-2012 FY 2012-2013Projected

Total Assessed Valuation (in Billions)


$3,572,740 $4,102,749 $3,850,161 $4,375,209 $5,600,266 $5,241,849

$69,068,069

$64,908,348 $62,316,196 $62,651,775 $62,651,775 $62,651,775

$2,656,080 $4,309,355

$9,018,375

$1,402,761 $1,227,421

$-

$5,000,000

$10,000,000

$15,000,000

$20,000,000

$25,000,000

$30,000,000

$35,000,000

$40,000,000

$45,000,000

$50,000,000

$55,000,000

$60,000,000

$65,000,000

$70,000,000

$75,000,000

$80,000,000

FY08-09Total RevenueEntitlement:$75,296,889




Projected

FY12-13Total RevenueEntitlement:$69,479,462Tax Measure

Passes

FY12-13Total RevenueEntitlement:$67,893,624Tax Measure

Fails

Total Apportionment, Enrollment Fees and Property Taxes

Resident Enrollment fees Property Taxes State Apportionment


3,149,265

3,585,321 3,601,283

1,543,128

0

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

3,500,000

4,000,000

FY08-09 FY09-10 FY10-11 FY11-12

Net Student AR for Five Years

estimated

Depends on tax measure 4% restoration? $2.5M?

$2.5M 2012-13 rebalancing one-timers go away – new deficit

OPEB debt service increase $1.1M

Health & Welfare, other increases, new deficit


Property taxes, AV growth 2012-13 greater than 0%?

2013-14 greater than 1%?

State budget picture

Very uncertain

Very changeable

Our status depends on tax measure and AV growth


2011-12: Should finish above 7%

2012-13: All about tax measure and Basic Aid, balanced now, $1.7M at risk

2013-14: Compounding effect of tax measure, Basis Aid & one-time cuts reoccurring, OPEB, Health & Welfare, likely very challenging!


Documents

san josé evergreen - SJECCD · Calculated “downside risk” $1.7M Assumes zero property tax growth san josé evergreen COMMUNITY COLLEGE DISTRICT. san josé evergreen