Transcript 13. GB Study Session Student Services Budget 12-7-10

Board Study Session on
Student Services Funding
December 7, 2010
Fiscal Year 2009-10
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State addressing a $24 billion budget
deficit
$157 million in cuts to general
apportionment
$106 million local property tax shortfall
$276 million in cuts to categorical
programs
$703 million in cash deferrals
Cuts to Selected
Categoricals
Funding
Program
Basic Skills
EOPS
CARE
DSPS
Matriculation
CalWorks
TANF
2008-09
2009-10
450,929
3,120,741
631,675
2,516,071
1,874,660
855,040
203,048
362,293
1,876,052
379,598
1,573,201
907,329
533,417
187,491
%
2010-11
-19.66%
362,295
-39.88% 1,780,708
-39.91%
360,619
-37.47% 1,170,368
-51.60%
861,948
-37.61%
608,706
-7.66%
131,702
DISTRICT BUDGET – FUND
BALANCE
Changes in Unrestricted Balances
Year
Beg Balance
Revenue & Trans.
Expend. & Trans.
Balance
2008
15,481,521
114,266,043
115,840,026
13,907,538
actual
2009
13,907,538
120,640,551
122,089,271
12,458,818
actual
2010
12,458,818
116,707,385
123,128,200
6,038,003
estimate
2011
6,038,003
114,996,940
114,675,587
6,359,356
budget
• During fiscal year 2009-10 the District deficit spent approximately $6.4 million.
Of this amount, $3.5 million is attributed to deficit spending on employee
benefits.
Benefit Budget
• Past practice was to use average benefit rates
of:
• 34.34% for academic employees
• 41.72% for classified employees
• These rates were intended to cover all required
employer statutory benefits as well as
negotiated health and welfare benefits.
• In hindsight, practice did not adequately
provide for sufficient budget to pay for 100% of
employer benefits.
Benefit Budgets (continued)
• Beginning 7/01/10 benefits are budgeted
by benefit cost and per position.
• For every employer paid benefit, a unique
account code has been created and the
annual cost budgeted for by program.
• Accounting Advisory – GASB 45 –
Accounting for OPEB
• “OPEB costs for active eligible employees are a
direct cost to programs and grants where
employees are currently charged.”
Benefit Budgets (continued)
Description
Full-time
Statutory Rates
STRS
PERS
FICA
MEDICARE
STATE UNEMPLOY. INS.
WORKERS' COMP
Total
Retirement Benefits for
Current Employees
Actuarial Study
HEALTH BENEFITS
Coresource
Kaiser
Dental
EAP
Disability Insurance
Life Insurance
Academic
Classified
Object Code(s)
8.25%
NA
NA
1.45%
0.72%
1.20%
11.62%
NA
10.71%
6.20%
1.45%
0.72%
1.20%
20.28%
3110
3220
3320
3340/3350
3510/3520
3610/3620
12.50%
12.50%
3712/3722
Employee
Employee + family
$
7,997
$
26,843
$
6,731
$
19,049
$
315
$
2,073
$
27
$
27
$ .17 per $100 of compensation
$ .21 per $1,000 of compensation
3411/3421
3411/3421
3412/3422
3411/3422
3415/3425
3415/3425
Benefit Budgets (continued)
ESTIMATED TOTAL BENEFIT COST
PER EMPLOYEE
Classified Average Salary*
Academic Average Salary*
$
$
46,250
80,500
Coresource
Rates using
Percentage - Kaiser Percentage old model
Employee + 1 *
Employee + 1 *
41.72%
73.98%
64.45%
34.34%
47.61%
42.14%
* Per Actuarial Study completed by Bartel & Associates dated 5/18/2009
Study Session on Student
Services Budgets
• Questions?