1. Planning and Budget Forum
February 27 and March 2, 2007

3. Strategic Planning Workshop Outcomes - Draft
Themes
Igniting passion through collaboration
Student Centeredness Resulting in Access to Success
Valuing a Culture of Learning
Enhancing an Innovative, Flexible, Responsive and Accountable Culture
Modeling Sustainability

4. Process to Review Strategic Planning Workshop Outcomes
Release Draft Report campus wide – Done
Give constituency groups, areas, leadership teams, Student Learning Council until March 30 to review – Working
Review by President’s staff in late February – Done
Review at Forums – Feb 27 and March 2
Strategic Planning Workshop Reunion – April 6, 12:00-3:00 pm, Chico Center. Deliverables:
Catchy name
Rework on themes based on input received
Development of organizational structure to make final recommendation on themes – would morph this into steering committee for strategic planning
Review at a second set of Forums – April 19 and 20
Review with strategic planning steering committee – late April
Presidents Staff final review – May 2
Board approval – May

6. Budget Outlook
February 27 and March 2, 2007

7. Integrating Budget with Planning
Inclusive strategic planning
Regular planning cycle via unit plans
Establish college priorities that support strategic goals (student success & financial health)
Integrate the planning process to drive resource allocation

8. Governor’s 2007-08 State Budget Proposal
Expenses increase by 1%
Smallest increase in 5 years
Revenues increase by 7%
Relies on stable housing market
Relies on several untested revenue sources
Relies on an increase in personal income tax
Optimistic and somewhat risky

9. Governor’s 2007-08 State Budget Proposal
Included in Budget:
State COLA 4.04% - may change slightly
Growth 2% and Restoration 2%
COLA and growth for major categoricals
Several Initiatives:
Student Success - $33 mil. redirected to Matriculation and support services
Nursing - $9 mil. one-time $9 mil. ongoing
CTE - $52 mil. to expand CTE programs

10. Governor’s 2007-08 State Budget Proposal
For Community Colleges – “status quo”, “maintenance budget”, “a good starting point”
Community College share of Prop 98 approximately 11.06%
This level only attained once before
Current “banner” year – 10.74%
Deficit Factor

11. Local Issues and Opportunities
Declining enrollment in excess of planned decline
Students need for alternative delivery of instruction (distance education)
Unfunded liabilities (retiree health benefits)
Center Status Approval
Ongoing need for full-time faculty

12. Full-time Faculty Obligation
District has managed to the obligation
Decline in Credit FTES results in a reduction to the full-time faculty obligation (FTFO)
Credit FTES decline = -565 (5.55%)
FTFO from to 171 (reduced by 10)
Reduce PT faculty budget to hire 9 FT faculty
Calculated risk to help enrollment
May decline further in

13. Butte’s 2006-07 Budget Revisited
Base
Decline 06-07
State COLA
Total
Decline 07-08
Deficit Factor
Total Budget
06-07 Budget
$49,063,747
(1,447,800)
2,904,574
$50,520,521
(1,530,000)
$48,990,521
06-07 Projected
$49,063,286
(1,956,553)
2,788,720
$49,895,453
(2,103,607)
$47,791,846

14. Butte’s 2007-08 Budget Outlook
Base
Decline 06-07
State COLA
Total
Decline 07-08
Deficit Factor
Total Budget
06-07 Budget
$49,063,747
(1,447,800)
2,904,574
$50,520,521
(1,530,000)
$48,990,521
07-08 Outlook
$49,895,453
1,930,799
$51,826,252
(2,103,607)
(497,226)
$49,225,419

15. Butte’s 2007-08 Budget Outlook
Est. New Ongoing Apportionment 234,898
Restored Matriculation 163,556
EST. NEW REVENUE $398,454

16. Butte’s 2007-08 Budget Outlook
Estimated Fixed Cost Increases:
Step/Column/Longevity $630,000
Health Premium Increase 500,000
Other Fixed Costs 200,000
EST. FIXED COSTS INCREASES $1,330,000

17. Butte’s 2007-08 Budget Outlook
Est. New Revenue $398,454
Est. Fixed Costs Increases 1,330,000
Est. Deficit* ($931,546)
* Includes 182 faculty

18. Butte’s 2007-08 Budget Outlook
Est. New Revenue $398,454
Est. Fixed Costs Increases 1,330,000
Est. Deficit (931,546)
Reduced PT Faculty Budget 800,000
Other District Reductions 900,000
Est. Funds Avail.* $768,454
* To convert Tier II ongoing items and allow for additional decline.

19. QUESTIONS?