The College’s budget is an essential management tool that helps the College allocate resources effectively, control expenses, and work towards achieving its goals. It requires collaboration, communication, and an understanding of the diverse array of functional areas, including academic, administrative, and other.
Budget development process
The budget development process begins in the fall, when Accounting & Finance does a detailed analysis and update of the College’s five year budget projection, including the modeling of various revenue and expense scenarios for the upcoming and future budget years. This information is used for forecasting and to inform budget development for the immediately upcoming year.
Timing
The college typically has two major budget revisions approved by the Board of Trustees annually (occasionally others are presented for unusual circumstances). The annual budget is reviewed in May and then approved in June, while a midyear update is approved in February.
Any budget requests must be received by March 1st for the annual and December 1st for the midyear to allow time for analysis and approval.
Revenues
The best available current information, developed during the fall, is used to project enrollment levels (for tuition), state aid and property taxes.
Expenses
All prior approved ongoing spending is rolled forward. Wages & Benefits are updated based on expected increases, while certain other accounts, such as utilities, are adjusted as needed based on analysis. Any current year one-time expenses are removed.
Budget requests are reviewed first at the Divisional level and then by the Executive Committee. Any approvals are then added.
Monitoring and Reporting
Budget Control Officers continuously monitor their departments’ actual spending against budget using reports generated weekly. Accounting and Finance periodically reviews and follows up when issues are detected.
Monthly financial statements, including both budgeted and actual revenue and expense, are presented to the Board monthly.