1 I. Major Budget Assumptions General Assumptions 1. The 2019-20 - - PowerPoint PPT Presentation

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• I. Major Budget Assumptions

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General Assumptions

• 1. The 2019-20 General Fund Unrestricted Beginning Fund Balance is projected at

approximately $16.9 Million representing an adequate reserve level of 11.67%.

• 2. The 2019-20 Tentative Budget will have a Reserve (Ending Balance) of no less

than 10%.

• 3. The PCCD will use plans, planning documents, and planning processes as a basis

for the development of their expenditure budgets.

• 4. Recommendations from the BAM Task Force with respect to resource allocation

will be implemented during the budget development process.

• 5. The District does not intend to issue a Tax Revenue Anticipation Note (TRANs) in

2019-20.

• 6. All State Apportionment deferrals have been eliminated.
• 7. There will be a line item in the budget for facilities maintenance and repair.

• I. Major Budget Assumptions

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Revenue Assumptions

• 8. ENROLLMENT: Full Time Equivalent Students (FTES) target of 16,861 generated

Resident, for-credit).

• 9. Fund 0.55% enrollment Growth at $ 25 Million
• 0% growth budgeted for PCCD in 2019-20
• 10. Statutory Cost of Living Adjustment (COLA) of 3.26% at $230 Million for 2019-20 (used

to fund step/column salary increases).

• Approximately $0.5 million for PCCD
• 11. Unrestricted lottery at $204 per FTES, from the State Adopted Budget and projected

calculation.

• $3.8 Million for PCCD
• 12. Scheduled Maintenance & Instructional Equipment allocation $40 Million state-wide.
• $0.6 Million for PCCD
• No match required
• 13. The May Revision increases the 2019-20 payment to $500 million. As a result, districts’

required contributions for 2019-20 would drop from 18.1% of covered payroll to 16.7% for 2019-20 and from 19.1% to 18.1% for 2020-21

• I. Major Budget Assumptions

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Revenue Assumptions

• 14. Student Success Completion Grant Funding at $ 18 million for PCCD $ 0.3 million
• 15. The tentative budget reflects:
• $4.5 million in frozen vacant positions,
• $1 million reduction in discretionary budget (50% to the colleges and 50% to the

District)

• 16. Mandates Block Grant funding per FTES $32.95 estimated to be $ 0.6 million
• 17. New Proposition 51 bond funded projects:
• Laney’s Learning Resource Center
• Merritt’s Child Development Center
• College of Alameda Replacement Building
• 18. Seventh Year of Parcel Tax - Measure B estimated to be $8,000,000.
• 19. $13 Million for a 3.26% COLA for several Categorical Programs.
• 20. Cal Grant Program- $122 million for supplemental grants to Cal Grant recipients with

dependent children. $10 million for 4,250 additional competitive awards, bringing total to 30,000 awards. All non-Proposition 98

• 21. California College Promise $45 million to expand program by amount needed to cover

second year of attendance for first-time, full-time students for PCCD $0.7 million

• I. Major Budget Assumptions

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Expenditure Assumptions

• 22. Step and column salary increases are included (funded with 3.26% COLA).
• Estimated at $1.1 Million
• 23. Public Employee Retirement System employer contribution increase from 18.1% to 20.7%, an

increase estimated at $0.7 million to PCCD.

• 24. State Teachers Retirement System employer contribution increased from 16.3% to.16.7%, an

estimated at $0.2 million to PCCD.

• 25. Maintain District contribution to DSPS program of approximately $1.2 Million.
• 26. OPEB Debt Service Payment of approximately $4.3 Million due to bond program restructuring.
• 27. Continued implementation of the new OPEB long term funding plan impacting Fund 01, Fund

69 and the OPEB Trust Fund.

• 28. Contribute to the new Irrevocable Trust in the amount of $250,000 as per OPEB long term

funding plan.

• 29. Contribute $400,000 to Self-Insurance Fund to cover costs of Property and Liability Insurance.
• 30. Any restricted funding cuts or cost increases must be borne by the respective program.
• 31. Medical premiums at $19.5 Million.
• 32. OPEB payroll charge 7.50%
• 33. Utilities to be budgeted at the campus level based on prior year actuals at Final Budget.

Peralta Community College District FY19-20 Tentative Budget

6 2017-18 Audited Actuals 2018-19 Adopted Budget 2018-19 Estimated Actuals 2019-20 Tentative Budget

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• 71,311,059

65,486,282 69,827,353 68,401,186 69,868,956 70,787,368 71,657,554 73,389,259 7,971,120 9,650,000 9,650,000 9,650,000

• Revenue Total

149,151,135 145,923,650 151,134,907 151,440,445

• 22,709,343

25,151,587 22,965,406 26,973,102 5,267,029 5,424,834 5,548,574 5,386,032 3,354,539 4,236,677 5,470,294 4,872,446 17,875,126 11,677,623 17,459,601 11,310,033 28,639,881 27,276,438 26,327,731 28,799,047 46,955,002 41,944,230 43,257,143 47,023,118 12,231,988 20,171,578 20,385,718 20,935,586 461,833 274,071 423,929 243,344 4,423,159 4,334,000 4,334,000 4,334,000 5,622,521 1,975,000 1,850,000 1,850,000

• Total Expenses

147,540,421 142,466,038 148,022,396 151,726,708 Surplus/(Deficit) 1,610,714 3,457,612 3,112,511 (286,263) 12,616,469 13,894,555 13,894,555 17,007,066 (332,628) (1)

• 1,610,714

3,457,612 3,112,511 (286,263) 13,894,555 17,352,166 17,007,066 16,720,803 9.42% 12.18% 11.49% 11.02% Beginning Fund Balance Audit Adjustment Net Increase (Decrease) Ending Fund Balance Ending Fund Balance % Classified Salary Fringe Benefits Books, Supplies, Services Equipment Cap Outlay Debt Service Other Outgo Other Financing Sources Expenses Full Time Academic Academic Admin Other Faculty Part Time Academic

Funds 01 & 02 - Unrestricted General Fund Summary 2019-20 Tentative Budget

Revenue Federal Revenue State Revenue Local Revenue

Ending Fund Balance Projection

7 15,069,819 11.51% 14,897,763 10.04% 15,065,836 9.79% 13,894,555 9.42% Estimated 17,007,066 11.49% Estimated 16,720,803 11.02%

• 2,000,000

4,000,000 6,000,000 8,000,000 10,000,000 12,000,000 14,000,000 16,000,000 18,000,000 Fund Balance 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20

Fund 01 Tentative Total Revenues $151,440,445

8 Apportionment, 40,117,436 , 27% Enrollement Fees, 6,278,272 , 4% EPA, 16,570,371 , 11% Faculty Hiring and Parity, 1,205,969 , 1% Interfund transfer Debt Svc and Retire Benefits, 9,650,000 , 6% International, 9,092,697 , 6% Local Revenues, 1,684,928 , 1% Lottery Actual 19-20, 3,798,747 , 3% Mandated Cost One Time Payment, 535,805 , 0% Property Tax, 56,506,220 , 37% CA Contribution to the CalSters Funding Plan, 6,000,000 , 4% Apportionment Enrollement Fees EPA Faculty Hiring and Parity Interfund transfer Debt Svc and Retire Benefits International Local Revenues Lottery Actual 19-20 Mandated Cost One Time Payment Property Tax CA Contribution to the CalSters Funding Plan

Fund 01 Tentative Total Expenditures $151,726,708

9 Full Time Academic, 26,973,102, 18% Academic Admin, 5,386,032, 4% Other Faculty, 4,872,446, 3% Part Time Academic, 11,310,033, 7% Classified Salary, 22,021,650, 15% Classified Manager, 6,777,397, 4% Fringe Benefits, 47,023,118, 31% Descretionary, 21,178,930, 14% Debt Service Transfer, 4,334,000, 3% Other Outgo, 1,850,000, 1% Full Time Academic Academic Admin Other Faculty Part Time Academic Classified Salary Classified Manager Fringe Benefits Descretionary Debt Service Transfer Other Outgo

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Fund 01 Tentative Salary and Benefits by Location

61.77%, District Administrative Center, 25,104,609 88.07%, College of Alameda, 19,779,088 91.32%, Laney College, 36,727,445 88.91%, Merritt College, 22,180,954 87.68%, Berkeley City College, 20,571,682 District Administrative Center College of Alameda Laney College Merritt College Berkeley City College

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Fund 01 Tentative Discretionary by Location

38.23%, District Administrative Center, 15,536,045 11.93%, College of Alameda, 2,678,978 8.68%, Laney College, 3,492,009 11.09%, Merritt College, 2,766,042 12.32%, Berkeley City College, 2,889,856 District Administrative Center College of Alameda Laney College Merritt College Berkeley City College

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Fund 01 Tentative Total Student Receivable $3,767,625

Student Receivable, 11,759,722 Student Receivable Excluded from Fund Balance, (7,992,097) Net Student Receivables, 3,767,625 Student Receivable Student Receivable Excluded from Fund Balance Net Student Receivables

13 Debt Service , 4,334,000 DSPS Contribution, 1,200,000 Property Liabilities, 400,000 OPEB Contribution, 250,000 Debt Service DSPS Contribution Property Liabilities OPEB Contribution

Fund 01 Tentative Debt Services/Other Outgo $6,184,000

ANY QUESTIONS?

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