Annual Budget For The Fiscal Year Ended June 30, 2014

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Presentation Budget 2013-2014 Community College District 535, 1600 East Golf Road, Des Plaines, Illinois Annual Budget for the Fiscal Year Ended June 30, 2014 Board of Trustees Community College District No. 535 County of Cook 1600 East Golf Road, Des Plaines, Illinois 60016 www.oakton.edu To the Board of Trustees: With great pleasure, I present to you and to the residents of District 535 the Annual Budget for the fiscal year ending June 30, 2014. This document sets forth the College’s financial plan for operations during the coming year. Successfully serving students and their learning objectives form the core of Oakton’s mission. We are committed to equipping our students for work and continued learning in a world where change remains the only constant. Our success is measured in the lives we change. In developing the budget for fiscal year 2014, we have carefully considered revenues from the State of Illinois and evaluated our tax rates on district residents and businesses. For this academic and budget year, tuition was increased to $95.34 per credit hour, an increase of 1.7% commensurate with the 2012 December CPI-U. Oakton’s per credit hour tuition and fees continue to be the lowest of any Chicago collar county community college. We have examined expenditures closely and have prepared this budget mindful of the need to equip, support, and enhance the programs and services that form the core of our mission. Oakton has been selected as a participant in “Achieving the Dream,” This national network comprised of over 200 colleges has a common goal to increase community college student persistence and degree attainment. Key components of the fiscal year 2014 budget directed towards student success include investments in new programs for Nano and Diesel Technology, increased Advising and Enrollment Services staff along with an expanded orientation program and financial literacy offerings. Additionally, this budget contains $40 million of expenditures for the Master Plan. In the past year, the College made significant progress toward fulfilling the goals of the $68.5 million Master Plan. Remodeled state-of-theart classrooms at the Des Plaines campus enhance the teaching and learning environment, and infrastructure improvements provide greater energy efficiency and support the College’s commitment to environmental stewardship. The opening of the new LEED-certified Science and Health Careers Center in June 2014 will feature sophisticated labs, flexible and light-filled classrooms, enhanced technology, and abundant lab preparation and storage space. And later in calendar 2014, Oakton expects to enjoy a new integrated student services center at the Des Plaines campus, as well as expanded space for student activities and student life. Oakton Community College is equally committed to responsible financial stewardship. We are proud of maintaining one of the lowest tax and tuition rates in the State of Illinois and even more proud of the quality education we provide to some 36,000 credit and non-credit students each year. We are grateful for the communities who support us, the communities we serve. Oakton is, indeed, the community’s college. Margaret B. Lee, Ph.D. President and Professor of English Vice President for Business and Finance 1600 East Golf Road Des Plaines, Illinois 60016 847.635.1876 Fax 847.635.1764 To: President Lee, Members of the Board of Trustees, and Citizens of Oakton Community College, District No. 535: SUMMARY Oakton Community College, Community College District 535’s Annual Budget for Fiscal Year 2013-2014 was presented to and approved by the Board of Trustees on June 25, 2013. Several significant factors guided the development of this year’s budget including:         Multiple initiatives in the areas of graduation rates, assessment, and student success, Execution of the 2012-2017 Connecting What Matters strategic plan, Ongoing implementation of the current five-year Facilities Master Plan, Collective bargaining agreement with the College’s Adjunct Faculty union whose contract was scheduled to expire at the end of FY2013. Negotiations were underway during the budget’s development and have now been completed, Collective bargaining agreements finalized with the Full-Time Faculty, Public Safety Officers and Classified Staff during fiscal year 2013, Ongoing uncertainty about funding to be received from the state of Illinois as well as proposals to shift responsibility for current state-funded retirement contributions to local governments such as community colleges, External economic impacts including property tax uncertainties and limitations and low rates of return on investments, and Declining student enrollment trends throughout the country and at Oakton. All Funds The budget contains a total of $157,552,300 in revenues (increased by 23%) and $185,994,700 in expenditures (up by 20%, compared with a 2% increase last year). Projected expenditures exceed revenues by $38,442,400, largely attributable to funding of Capital Improvement projects arising from the Facilities Master Plan, budgeted costs of the Audit and Liability, Protection and Settlement Funds exceeding anticipated revenues and interfund transfers, and budgeted costs of ALLiance, Athletics, Bookstore and Early Childhood Education Lab School Auxiliary Fund operation costs exceeding anticipated revenues. iii As discussed in detail in the Capital Expenditures section, execution of the College’s Facilities Master Plan project is underway. Master Plan projects totaling $39,700,000 have been included in the FY2014 budget. While carrying out the Master Plan components, the College has committed to maintaining its physical space and infrastructure. In fiscal year 2014, key capital projects include initiating a project to overhaul or replace the HVAC system on the Ray Hartstein Campus, modify specified classrooms, entrances and floors on both campuses, make improvements to athletic fields, sewer lines and the cafeteria on the Des Plaines campus, and a lavatory remodeling project. The lavatory remodeling is contingent upon assurance of related state funding. Budget monies have also been designated for projects in the aftermath of flooding experienced in April 2013. Even though the Des Plaines campus building was only infiltrated by water through seepage, the knowledge that future flooding is likely has initiated projects to upgrade the generator system and evaluate structures and underground systems to assess their condition and ability to withstand future floods. These planned projects drive the budgeted deficits in each of the Education Fund, Operations and Maintenance Fund and the Operations and Maintenance (Restricted) Fund. Transfers totaling $7,150,000 from the Education and Operations and Maintenance Funds are budgeted to the Operations and Maintenance (Restricted) Fund in support of Master Plan and other projects. In conjunction with the FY2014 budgeting process, fewer property tax revenues were directed towards the Audit and the Liability, Protection and Settlement Funds. This chosen alignment of the FY2013 tax levy and corresponding revenues results in a deliberate reduction of the Audit and the Liability, Protection and Settlement Fund balances. Budgeted revenues exceed expenditures of the Restricted Fund by $10,000, however, a net transfer of $360,000 to the Education Fund results in a budgeted deficit for the current year. The monies transferred are the return of unspent monies accumulated over several years for targeted Strategic Initiatives. The amounts will support a variety of Student Success-focused initiatives budgeted for fiscal year 2014 in the Education Fund. Lastly budgeted expenditures significantly exceed revenues for certain Auxiliary Fund programs contributing to the overall budgeted $3.5 million excess of expenditures over revenues. Support of athletic programs is a significant commitment on the part of the College. Historical data reports that combined mentoring/athletic programs lead to a greater degree of student success – particularly for economically disadvantaged students. Also within the Auxiliary Fund, the Alliance for Lifelong Learning (“ALLiance”) provides significant services to the community for a variety of continuing education programs including GED programs and adult courses for Literacy and English as a Second Language. Despite uncertainties about state funding, in FY2014 ALLiance will endeavor to serve an equivalent number of students as prior years. The Bookstore and Early Childhood Education (ECE) Centers are budgeted to incur deficits as student textbook buying shifts to both the internet and rental programs and required staffing required in the ECE operations challenge financial results in periods of varying enrollment. Budgeted total personnel costs (salaries and benefits) for the institution, which represent 47% of budgeted expenditures, increased by 11% (compared with a 5.4% increase budgeted for FY 2013 and5.2% decrease for FY 2012). The FY2014 overall increase is a combination of multiple factors including a significant number of Full-Time Faculty and Staff retirements partially offset by the addition of multiple new Staff positions focused on Student Success and Housekeeping for the new Science and Health Careers Instructional Building. Salaries iv are also expected to rise in conjunction with contractual obligations – both existing and those under negotiation at the time the budget was developed. Overall, budgeted salaries increased a modest $879,000. The budget reflects an overall increase in employee benefit costs of 36% from the FY2013 budget. Beginning January 1, 2014, as a result of the negotiation of the Adjunct Faculty union contract, approximately 70 Affiliated Adjunct Faculty members will be newly eligible to participate in the College’s medical insurance programs in conjunction with the Affordable Care Act. While medical and other benefit costs are budgeted to increase 10%, this increase is largely attributable to anticipated increases in contributions made by the State of Illinois on behalf of Oakton employees. Contributions made by the State of Illinois relating to the State University Retirement Systems (“SURS”) and College Insurance Plan (“CIP”) on behalf of the College’s employees are recognized by the College as revenues and expenses in the Restricted Purposes Fund. In fiscal year 2013, such actual contributions were $16.5 million (as compared to $12.0 million budgeted) and in fiscal year 2012, such contributions were $12.6 million (as compared to $7.0 million budgeted). The State does not provide information to participating organizations about the amount of contributions made on behalf of employees until approximately two months following the end of the applicable fiscal year. Contributions have varied significantly over the last several years and Oakton has been unable to reasonably estimate such amounts for budgeting purposes due to the lack of available information. For FY2014, Oakton budgeted $19.7 million – an increase of nearly 64% as compared to the FY2013 budgeted amount, but nearly 5% less than the actual State contributions for that year. Based upon information now available, this may be a more reasonable estimate than in recent years due to the significant retirements experienced by the College in fiscal years 2012 and 2013. It is important to note that such amounts have no cash flow impact to the College. Budgeted expenditures for both contractual services and conferences and meetings have increased 2.9% and 17% respectively. Budgeted expenditures for general materials and supplies have increased 12.8%. As compared to FY2013, greater contractual services have been budgeted in the Education, Operations and Maintenance (Restricted) and Restricted Purposes Funds. In the Education Fund, the increase is primarily attributable to greater contractual instruction services for an expanded Fire Science program, student success initiatives expanding orientation programs for new students, making financial literacy training available for students and employee training. Additionally an inflationary increase in internal charges for IT services impacted this line item along with a greater legal expense budget. Greater contractual service spending in the Operations and Maintenance (Restricted) Fund is budgeted for topographic, engineering, survey and commissioning services related to various Master Plan and flood-focused projects. The Restricted Purposes Fund includes monies budgeted for curriculum development and instructional service contracts related to grant funding to refine and expand the College’s new Nanotechnology instructional program. In fiscal year 2014, expenditures are expected to increase for conferences and meetings focused on student success initiatives including student travel, employee training and participation in “Achieving the Dream” which is a national network comprised of over 200 colleges and state policy teams with a common goal to increase community college student persistence and degree attainment. Oakton was accepted into the Achieving the Dream program during fiscal year 2013. The principles that focus colleges on student success v include: 1) a student-centered vision, 2) equity & excellence, and 3) evidence-based decisionmaking. These increased expenditures are budgeted in the Education Fund. Significantly increased expenditures have been budgeted for materials and supplies. In the Education Fund, the increase largely represents instructional lab equipment and materials to be acquired for the opening of the new Science and Health Careers Instructional Building. In June 2014, classes are scheduled to begin in that building. As part of scheduled replacement, the Language and Art labs will receive new computers in fiscal 2014 and monies are budgeted for the expanded Fire Science program and a new Diesel Engine automotive technology program. Membership fees for Achieving the Dream and advertising for multiple Full-Time Faculty positions to be filled beginning August 1, 2014 are also budgeted. Custodial equipment and supplies for the Science and Health Careers Building represent the increased general materials and supplies budget in the Operations and Maintenance Fund. The largest component of this increase relates to the Operations and Maintenance (Restricted) Fund with monies dedicated to furniture and equipment for remodeled general-purpose classrooms and for classrooms and instructional labs in the Science and Health Careers Building. Monies budgeted for the new building also include furniture for public spaces and administrative offices. The Auxiliary Enterprise Fund contains budgeted monies for significant new IT equipment including replacement of the 10 year old Bookstore point of sale system and an upgrade of Room Scheduling software. Additionally, the College is embarking on a Document Imaging project along with expanded mobile applications for students and lecture capture systems for Nursing and other curriculums. In the Restricted Fund, monies are budgeted for potential grant-funded expansions to the Nanotechnology laboratory classroom. Utility charges are budgeted to increase 7.4% (after a budgeted decrease of 10.1% in FY2013). In FY2014, expenditures for potential energy-savings related grants were budgeted as the College is actively seeking state and federal grants for the Science and Health Careers Instructional building. Exclusive of potential expenditures related to a grant, utility expenses are budgeted to decrease from FY2013 by $64,000 due to significant recent upgrades to more efficient equipment. Based on these investments, energy costs are not expected to increase as the new building is brought on line. Significant fluctuations in expenditures have been budgeted in FY2014 for fixed charges and capital outlay. In FY2014, the repayment of $10 million of Debt Certificates, Series 2014 is budgeted. Issuance of the Debt Certificates (anticipated in early calendar 2014) is the first step towards issuing General Obligation bonds planned later in the fiscal year. Additionally, ongoing principal and interest payments on the 2011 General Obligation bonds are budgeted for FY2014. Correspondingly, completing and equipping the Science and Health Careers Instructional Building along with other Master Plan and capital projects have contributed to a 28% increase in budgeted Capital Outlay. A significant portion of these efforts will be funded by the debt issued in fiscal year 2014. As described more fully in the Capital Expenditures portion of this document, in addition to Master Plan projects, a variety of IT equipment, replacement vehicles and upgrading the generator system for the Des Plaines campus are part of the FY2014 Capital Outlay budget. Other expense, which is primarily comprised of financial aid, is budgeted to decrease less than 1% to $14.8 million. This compares to an 8.1% increase between the budgets for fiscal years 2012 and 2013. Changes in the economic climate, decreasing amounts available from vi State of Illinois programs and changes in Pell grant guidelines are expected to keep financial aid levels comparable to fiscal year 2013. These monies are provided by the State and Federal government and distributed by Oakton; there is no net cash impact to Oakton and students who successfully complete their classes do not need to repay these awards. Amounts budgeted for Contingency in FY2014 remain consistent with those for FY2013 as compared to a 16.4% increase between fiscal years 2012 and 2013. Within the total dollars budgeted, approximately $100,000 was shifted from the Education to the Operations and Maintenance Fund recognizing the risk of unanticipated repairs and equipment failures common to aging facilities along with the potential for flood-related damage not previously identified. Operating Funds The Operating Funds, which are those funds used for the primary instruction and general support functions of the College, show revenues of $69,408,000 and expenditures of $68,293,000 for the fiscal year, plus fund transfers of $284,000 (net) to the Auxiliary Enterprises Fund, $7,150,000 to the Operations and Maintenance Fund (Restricted), $1,180,000 to the Liability/Settlement Fund, $360,000 (net) from the Restricted Purposes Fund and $32,000 from the Working Cash Fund. This leaves a net, planned deficit for the Operating Funds of $7.1 million; thus revenues plus interfund transfers in less expenditures plus interfund transfers out are projected to decrease fund balance by approximately $7.1 million for this fiscal year, as compared to a projected net planned deficit of $8 million for the Operating Fund budget in FY 2013. Greater than budgeted collections of property taxes and state credit hour reimbursement funding combined with an increase in expenditures that was less than amounts budgeted contributed to a FY 2013 operating net deficit of $1.6 million in contrast to the $8 million deficit budgeted. (These amounts exclude depreciation which is not budgeted. Refer to the “Finance and Accounting” section of this document for additional information.) A repetition of that result is unlikely for FY 2014 given the substantial transfers which have been budgeted and the tighter parameters with which this budget has been prepared. The $7.1 million budgeted deficit for FY2014 is primarily comprised of the contribution being transferred from the Operating Funds to the Operations and Maintenance (Restricted) Fund. As outlined in the Capital Expenditures section of this document and as further discussed in the Finance and Accounting section, the College’s Board of Trustees has established policy with respect to the amount and appropriate use of Net Assets within the budget. The Board has approved the investment of $20 million of Operating Fund Net Position in the current Five-Year Facilities Master Plan. The FY2014 contribution of $6.8 million represents the second portion of that investment, cumulatively, $14.8 million for the fiscal years 2013 and 2014. Additionally, the Board authorized the expansion of health care benefits to Affiliated Adjunct faculty beginning January 1, 2014. The cost of such benefits, less employee contributions, comprises the remainder of the budgeted deficit. If the Master Plan contribution and expanded healthcare benefits were not included, the Operating Funds would have a balanced budget for FY2014. Transfers from the Operating Funds and their purpose are summarized in the following table. At the same time, the FY2014 budget includes the transfer of $850,000 in royalty proceeds associated with a lease of airwaves owned by the College (“ITFS Lease”) into the Operating Funds. These monies are designated to support instructional programs. The budget also includes the return of $460,000 unspent monies from (Restricted Purposes Fund) Strategic Initiative programs to support Student Success focused efforts in fiscal year 2014. vii Inter Fund Transfers Auxiliary Enterprises Fund: ALLiance for Lifelong Learning Information Technology Royalties from Airwave Lease Operations and Maintenance (Restricted) Fund: Remodeling and Infrastructure Projects Master Plan Projects Liability/Settlement Fund: Tort FICA/Medicare-Medicaid Restricted Purposes Fund: Return of Unspent Strategic Initiative Monies Student Scholarships Working Cash Fund: Interest Allocation Net Operating Funds Transfers FY13 Budget FY13 Actual FY14 Budget $172,000 900,000 (500,000) 172,000 900,000 (500,000) $222,000 912,000 (850,000) 350,000 8,000,000 350,000 8,000,000 350,000 6,800,000 605,000 605,000 400,000 780,000 100,000 (36,000) 100,000 (36,000) (460,000) 100,000 (32,000) $9,591,000 $9,591,000 $8,222,000 Annually, the Education Fund contributes monies towards funding the operations of the Alliance for Lifelong Learning. Additional transfers to the Auxiliary Enterprises Fund represent funding for the student and financial information technology systems. The transfers to the Operations and Maintenance (Restricted) Fund reflects the College’s commitment towards utilizing Net Position to partially fund the Master Plan and the ongoing utilization of net position for remodeling/infrastructure projects that are outside of the Master Plan. The College is evaluating the method it uses to fund liability, workers compensation and unemployment insurances along with employer payments of FICA and Medicare/Medicaid. Rather than levying taxes specifically for such obligations, FY2014 costs have been budgeted to be paid from transfers out of the Operating Funds. In fiscal year 2011, Oakton implemented an increase in tuition of $5 per credit hour. In conjunction with this increase, it was agreed that fifty cents of this increase (estimated to total $100,000 for the year) would be given to the Student Government Association to assist students with financial need. This practice continues in FY2014. The financial plan predicts total Operating Fund revenues will increase by 2.3%, in contrast to a 0.1% decrease in the last budget. Among the Chicago and collar county community colleges, Oakton’s combined tuition and credit hour fee rate is the lowest for fiscal year 2014. In March 2012, Oakton’s Board of Trustees approved a tuition plan for the fiscal years 2013 and 2014. Tuition increases for those years will be the lesser of $3 per credit viii hour or the December CPI-U percentage change. For FY2013, this represented a $2.75 increase to the previous rate of $91. In fiscal year 2014, tuition rates increased 1.7% or $1.59 to $95.34. In projecting FY2014 student tuition and fee revenues, such amounts were considered and enrollment/credit hours were assumed to decline by 4,000 hours or approximately 2% in conjunction with trends noted by Oakton and neighboring community colleges. Overall tuition and fees are projected to be comparable to fiscal year 2013 considering the impact of a tuition rate increase, volume decreases anticipated for both tuition and fees and the elimination of graduation fees. The graduation fee was eliminated to encourage a greater number of students to complete an Associates Degree or Certificate prior to transferring to a four-year college. A small ($180,000) increase has been assumed in credit hour funding collected from the state. The increase is not attributable to an increase in reimbursable credit hours, but rather to variation in the mix of credit hours and the rates at which the different types of courses are reimbursed. Due to uncertainties about the receipt of such funding, Oakton has continued to establish a reserve for potentially uncollectible state funding approximating 25% of amounts due. It should be noted that Oakton has established such reserves in preceding years, but did ultimately collect 100% of the College’s credit hour funding grant for fiscal years 2012 and 2013. Oakton’s budgeted credit hour grant funding has been nearly level at $5.5 to $5.6 million the last three years in contrast to rising costs during that period. (Of this total credit hour grant funding, in FY2014, $4.4 million is attributed to the Operating Funds and the remainder to the Auxiliary Enterprises Fund.) The Illinois Community College Board’s Square Footage grant was eliminated for FY 2014. These monies previously supported operation and maintenance of facilities and was budgeted at $42,000 in FY2013. Property taxes are budgeted to increase $1.7 million from FY2013, consistent with the rate of inflation and statutory limitations on such increases. An additional contributor to this increase in projected property tax revenues for the Operating Funds is the previously mentioned reassessment of the method used to fund liability, workers compensation and unemployment insurances along with employer payments of FICA and Medicare/Medicaid. Rather than levying taxes specifically for such obligations, a greater portion of the levy is allocated to the Education Fund and FY2014 costs have been budgeted to be paid from transfers out of the Operating Funds. Local government revenues (property taxes and chargebacks) account for more than 63% of all Operating Fund revenues in this budget, an increase from FY2013 and a reflection of enrollment trends and the corresponding impact on tuition and fees. State funding remains consistent at 5.2% of budgeted operating fund revenues in both FY2013 and FY2014. Other sources of revenue, including investment income, are expected to decrease by nearly 40% due to interest rates on those invested assets and the planned transfer of $20 million of Operating Fund net position to the Operations and Maintenance (Restricted) Fund for use in the Facilities Master Plan. Operating Funds budgeted expenditures are budgeted to increase by 3.0% or slightly more than $2 million, as compared to a fiscal year 2013 increase of 0.17% and the 3.99% increase for FY 2012. While the overall increase is modest, it is comprised of fluctuations in a variety of line items. Contractual salary increases along with the authorization of additional Staff ix positions are partially offset by significant FullTime Faculty retirements along with greater than usual retirements of Staff and Administrators. Salary expense is budgeted to increase $1 million (or 2.2%) in FY2014. Employee benefit costs for medical insurance plans and retirement benefits are budgeted to decrease 1.4% in FY14. The decrease arose from several factors. The College’s most recent medical insurance contract was negotiated for 18 months, ending December 31, 2013; thus a rate increase is only budgeted for one half of fiscal year 2014. Additionally, the fiscal year 2013 budget included monies to cover final run off of a now terminated self insured medical plan. The fiscal year 2013 budget included $200,000 for a new SURS charge applicable when employee salaries increase more than 6% from the previous year. Oakton’s experience with such charges has been minimal thus the budgeted allocation for fiscal year 2014 was significantly reduced. These decreases were somewhat offset by the budgeted participation of Affiliated Adjunct faculty in the health insurance plan effective January 1, 2014. As should be expected in a service organization, the majority of the expenditures are for salaries (70.1%) and benefits (9.6%). Of the non-personnel categories contractual services (7.9%) and general materials and supplies (6.4%) constitute the other major expenditure areas. These categories are budgeted to increase (6.0% and 13.4%, respectively) in FY14, this follows an increase of 3.9% for contractual services and an increase of 6.3% in materials and supplies between the fiscal year 2012 and 2013 budgets. The contractual services change is largely attributable to an inflationary 1.7% increased service charge to support the IT function, but also reflects additional services in the area of student success. Increased material and supply budgets are largely attributable to equipping the new Science and Health Careers Instructional Building as well as computer and lab equipment for the Art, Modern Languages, Fire Science and Automotive Technology programs. The membership fee for Achieving the Dream and advertising for multiple Full Time faculty positions to be filled effective August 1, 2014 also contributed to the increase. Fluctuations in other expense categories from the FY2013 budget are as follows:  Increased conference and meeting expenses for employee training, student success initiatives and travel associated with Achieving the Dream,  Increased fixed charges reflecting higher charges for property and other general insurances,  Decreased utility costs recognizing s favorably negotiated contract for electricity and recent investments in more energy efficient equipment,  Increased capital outlay to replace an outdated lighting console in the Performing Arts Center and equipment for expanded Fire Science and Automotive Technology programs as well as simulation manikins and an autoclave/sterilizer to support the Nursing and Biology programs,  Increased monies budgeted in contingency recognizing three labor contracts under negotiation at the time the budget was developed and increasing external uncertainties. x Net Position The total net position for the College’s budgeted funds is $112.4 million at June 30, 2013 based on preliminary year end data. (Inclusive of all funds and account groups, the total net position is $166.7 million at June 30, 2014.) It is budgeted to decline $38.4 million or 34.2% by June 30, 2014. Six funds are budgeted to experience a reduction in fund balance of more than 10% during fiscal year 2013. For the Auxiliary, Audit, Liability and Settlement and Restricted Purposes Funds, these reductions reflect a conscious intent to utilize a portion of monies that were accumulated during positive economic times to fund operations and initiatives to which the College is committed. As discussed earlier, the reduction of the Education and the Operations and Maintenance Fund Net Position is equivalent to the contribution being transferred to the Operations and Maintenance (Restricted) Fund plus the projected net cost of Affiliated Adjunct participation in the College’s medical insurance plan effective January 1, 2014. The Board has approved the investment of $20 million of Operating Fund Net Position in the current Five-Year Facilities Master Plan; the FY2014 contribution of $6.8 million represents the second installment of that investment. If this contribution and the expanded medical insurance program were not included, the Operating Funds would have a balanced budget for FY2014. Historical experience indicates a reasonable possibility that cost savings and supplemental revenues may decrease the amount of budgeted net position reductions. In either case, these net position reductions are not anticipated to alter Oakton’s overall strong financial grounding or Aaa general obligation bond rating. The budget for the Operations and Maintenance (Restricted) Fund shows a deficit net position of $15.2 million at June 30, 2014. The following factors are to be considered in conjunction with this potential deficit.    As noted above, the Board of Trustees has authorized transfers totaling $20 million from the Operating Funds to support Master Plan projects. Beyond fiscal year 2014, $5.2 million of such transfers remain to be made, During the period between fiscal year 2014 budget development and the year end for fiscal year 2013, the pace of construction and billing on several of the Master Plan projects accelerated quickly. Budgeted estimates of construction costs to be incurred in fiscal year 2014 are now known to be high, because portions of such costs were paid late in fiscal year 2013 or accrued as of June 30, 2013. This is particularly the case with budgeted costs for the Science and Health Careers Instructional Building and for the HVAC and Building Automation System Infrastructure project, The budget includes significant monies for improvements to the HVAC system at the Ray Hartstein campus. Initial engineering assessments to develop recommended improvements will begin early in calendar 2014 and the scope and cost of such improvements varies widely. Amounts budgeted are viewed as a being at the higher range of options. Based upon knowledge gained since the development of the budget, it is unlikely the significant amounts budgeted for this project will be expended in fiscal year 2014. The Auxiliary Enterprises Fund begins the fiscal year with a net position of $15.8 million. For fiscal year 2014, a portion of this net position (via a budgeted contingency) may be utilized to continue operating Adult Education and Literacy programs of the Alliance for xi Lifelong Learning in the event that State funding cuts occur. If budgeted expenditures are fully realized, the net position of the Auxiliary Enterprises fund would decline to $12.3 million. Net position of the Auxiliary Enterprise Fund will also be reduced by budgeted expenditures in excess of revenues for the ALLiance ($1.0 million), ECE Lab Schools ($324,000) and Athletics ($999,000). In preparing the budget, ALLiance anticipated revenues will decrease as a result of both reduced tuition from enrollment trends and reduced state funding. As enrollment has declined and state funding has been subject to greater question, ALLiance has closely monitored staffing and other expense levels achieving small contributions to net position despite budgeted deficits. However, certain fixed costs remain and, facing potential cuts in State funding for Adult Education and Literacy programs, some costs historically paid by grants were budgeted in contingency for the Auxiliary Fund (reported as part of “Other Operations” within this fund) based upon the College’s commitment to offer these programs. As noted above, utilizing Auxiliary Fund monies to support the cost of Athletic programs is a key component of Oakton’s commitment to Student Success based upon historical evidence that mentoring/athletic programs lead to a greater degree of student success. The Early Childhood Education Lab Schools on Oakton’s Des Plaines and Ray Hartstein campuses have historically incurred expenses in excess of revenues however; the programs provide a valuable teaching tool for the Early Childhood Education degree program. Required staff, Oakton student and child classroom ratios are components of the net expense structure. The Restricted Purposes Fund is used to account for grant and other monies that have restrictions regarding their use. Generally, the Restricted Purposes Fund is budgeted to have a net revenue, expense and interfund transfer result of zero. For many years, the Restricted Purposes Fund has carried a net position that appears to have originated primarily from indirect cost allocations associated with certain grants and interest on idle monies. Additionally, unspent monies remain in net position related to Strategic Initiatives that cost less than originally anticipated. In fiscal year 2014, unspent Strategic Initiative monies totaling $460,000 are budgeted to be returned to the Education Fund in support of student success programs. At June 30, 2014, the Restricted Purposes Fund is budgeted to have a net position of $1.3 million. Budgeted costs of the Audit Fund and of the Liability, Protection and Settlement Fund exceed anticipated revenues and interfund transfers. In conjunction with the FY2014 budgeting process, fewer property tax revenues were directed towards these Funds. For FY2014, those revenues will support student success and related initiatives in the Education Fund. This chosen alignment of the FY2013 tax levy and corresponding revenues results in a deliberate reduction of the Audit Fund and Liability, Protection and Settlement Fund net positions. xii Salaries and Employees For fiscal year 2014 the College has added six new full time positions and one new part-time position. Within the Administrator group, one previously vacant position was funded. Five new full time and one part time staff position were authorized for FY2014. Several of these new Administrator and Staff positions focus on directly Oakton’s commitment to student success. Three of the new positions will provide custodial support for the new Science and Health Careers Instructional Building. The part-time position is an individual dedicated fully to Oakton’s Sustainability efforts. The number of authorized Full Time Faculty positions remains consistent, however, five such positions are vacant in FY2014 and corresponding amounts were budgeted for Part-Time faculty. In the last several years there have been a significant number of Full Time Faculty retirements and 16 more are scheduled through August of 2017. Consistent with prior years, part-time faculty counts will vary in accordance with enrollment levels. Budgeted salary increases were estimated in based upon negotiations underway at that time with the adjunct faculty. The contractual agreement with the College’s part-time faculty was approved by the Board of Trustees in September 2013 and extends through August 2017 with an average annual salary increase of 3.2%. The current Full-Time faculty agreement extends to August 2016 and includes an annual salary increase of 3.04% in year one, 2.98% in year two and 2.95% in year three. Depending on the CPI-U, the increase in year four will be at least 2.6% but will not exceed 3.9%. Faculty at the top step will receive 1.25% raises for years 1-3. Their increase in year 4 may be up to 3% depending on economic conditions. The contract contains retirement-related incentives to those who declare their intent under specified guidelines. The current contract with Public Safety Officers extends to June 2016 and included a significant equity adjustment in the first year followed by an average annual salary increase of 2.75% over the remaining three years. The current contract with the Classified Staff extends to December 2016 and includes an annual salary increase of 3.04 in year one, 2.98% in year two, and 2.95% in years three and four. As the College continually examines its future needs through budget staffing requests and ongoing administrative review, a few positions may remain unfilled and there may be shifting of approved positions as the institution continues to refine its structure to meet the needs of the students and other operational necessities. Enrollment and Credit Hours Total institutional enrollment for Fiscal Year 2013 was 223,072 credit hours. These hours represent a 1.90% decrease from 227,393 in 2012 and comparing to 232,788 in 2011 and 241,554 in 2010. In comparing the institutional credit hours for FY2013 and FY2012, it is also important to consider the composition of credit hours between Oakton credit –related hours and ALLiance continuing education hours. Oakton credit-related hours in FY2013 of xiii 189,405 declined 1.6% as compared with FY2012 credit-related hours of 192,485; this change is generally consistent what the experience of other area community colleges. A decrease in credit hours occurred for ALLiance whose hours fluctuated to 33,667 in FY2013 from 34,907 hours in FY2012. ALLiance credit hours are predominantly restricted hours that are not eligible for reimbursement through state funding. It was assumed that Oakton enrollment would decline by approximately 4,000 credit hours (or 2%) in FY2014. For Fall, initial data is reflecting a 3.4% decrease. These fluctuations are being felt by other Chicago area community colleges as well. For FY2014, ALLiance does not expect enrollment to increase. In several of the recent years, significant credit hour growth occurred consistent with negative changes in the economy. Consistent with other community colleges, Oakton anticipated this would level off with economic improvements. Additionally, there is anecdotal evidence that recent/potential community college students who have experienced longer term unemployment may be fully focused on job search efforts and choosing not to invest limited financial resources on continued education at this point in time. Economic factors, such as recent lay-offs by some major companies, should also be considered as the employees upgrade skills and look for training for career changes. It is likely that, for some students, the significant price differential between four-year college tuition and fees and those of the community college are a deciding factor in their college of choice. In the current economic environment, a more consistent level of enrollment is expected. Given the historical and comparative relative economic stability of the district, dramatic enrollment fluctuations are not anticipated. For the period 2008 through 2013, the relative relationship between baccalaureate course enrollment (77% of total enrollment) and vocational course enrollment at 23% has also remained steady. In baccalaureate offerings, computer science, biology, engineering and modern languages have experienced more than 14% increases in credit hours between fiscal years 2009 and 2013. Business and Historical Policy Studies experienced declines greater the 20% in that same period. Among vocational programs real estate and architecture/ construction management programs decreased significantly and those programs have been dropped. While fire science, paralegal studies and health information technology courses have shown a substantial increase, electronics technology and mechanical design have declined. Oakton continually reviews and refines its educational offerings to more closely xiv meet the needs of the district residents and local businesses and continues its efforts to improve its enrollment posture through recruitment, partnerships and expanded marketing approaches. The College continues to carefully manage resources through financial control, investment in capital projects providing long-term benefit to the College’s student population, and reduction of expenditures where possible without affecting the quality and viability of the educational programs. The College’s financial goal of maintaining a healthy fiscal position through development of new and additional resources and through the wise allocation and use of available resources in support of the educational goals and mission of the College remains unchanged and was affirmed by the Aaa bond rating received from Moody’s in August 2011. Overall, we believe that Oakton Community College presents an extremely healthy educational and financial picture, in spite of the current state and federal grant funding questions. The College is confident it will be able to wisely manage our available resources and support our mission in the future. Budgetary Performance The following comments address certain variations between budgeted amounts and preliminary actual amounts for FY 2013. Comparison of these figures is an indication of the assumptions and accuracy with which the budget was prepared and monitored. Amounts presented for the 2013 budget are not adjusted for subsequent budget transfers. Overall revenues were 3.3% under budget. Collections of property taxes and personal property replacement taxes were 1.4% greater than budgeted amounts. Revenues from state government sources varied positively from budget by more than 8% attributable to the full collection of credit hour grant monies which, due to uncertainties, Oakton had budgeted only 75% of the amount awarded. Additionally, revenues reported for SURS contributions made by the State on behalf of Oakton employees were $4.5 million greater than budgeted. These overages were somewhat offset by other state grants and financial aid budgeted for but not ultimately received. Primarily due to unrealized grants, Federal government revenues were 35% (or $5.1 million) less than budgeted. The College anticipated greater access to job training grants, however, such amounts were not realized and this fluctuation was made greater by fewer than budgeted grants of Pell and GI bill monies to Oakton students. Student tuition and fee revenues were $186,000 (or 0.8%) greater than budgeted. The revenue from other sources, primarily interest revenue and unrealized gains/losses on investments, was less than expected by 13.0%. Declining bookstore sales also contributed to this budget variance. For all funds, expenditures were greater than revenues by $19,727,900 and under budget by $19.3 million, or 12.5%. The largest components of this variance occurred in Salaries, Employee Benefits, Capital Outlay and Other. Salary expenditures budgeted of $56,835,300 compared to actual expense of $53,331,700. This fluctuation is attributable to full-time faculty retirements and salaries that were compensated by grants, ongoing efforts to optimize class sizes, staff positions that were unfilled or delayed prior to filling and unspent sign interpreter monies. As with Capital Outlay below, this variance was also impacted by amounts budgeted for potential grants that were not realized. Employee benefit expenditures were $25,552,400 as compared to budgeted amounts of $21,364,000. As described above, xv the overage occurred due to significantly greater than anticipated contributions by the State of Illinois to SURS on behalf of Oakton employees. Expenditures for Capital Outlay were $27,795,000 as compared to $34,957,700 budgeted. This fluctuation has two primary components; $4.4 million relates to the timing of projects associated with the Five Year Master Plan and $2.1 million is attributable to unrealized grants. Actual Operating Funds revenues were greater than budgeted by 3.0%. A negative variance in other sources (primarily interest income and fair market value adjustments) was offset by greater than budgeted property tax and personal property replacement tax collections. Additionally, all credit hour grant revenues from the State have been recognized as compared to the 75% reserve that Oakton had established in its budget for possible nonpayment; subsequent to year end, Oakton received the remaining payments due. Operating fund expenditures were less than budgeted by 6.6%. The largest savings was in salaries due to a combination of full time faculty retirements, salaries that were compensated by grants, ongoing efforts to optimize classes, unspent sign interpreter monies and staff positions that were unfilled or delayed prior to filling. Additionally, substantially all Contingency monies budgeted were not utilized. Operations and Maintenance Fund (Restricted) expenditures were significantly less ($6,596,400) than planned ($33,805,100). This fluctuation is primarily attributable to the timing of expenditures related to the Five Year Master Plan. Major site and construction work was completed for the Science and Health Careers Instructional Building; amounts budgeted in fiscal year 2013 for those individual projects were exceeded by $2.3 million due to the speed of construction towards the end of the fiscal year. However, relatively little work took place on the Des Plaines campus Enrollment Center which had been budgeted for $4.6 million of expenditures during the year. Spending occurred for various other Master Plan projects including relocation of the Northwest Municipal Conference, Classroom Remodeling, HVAC and Building Automation Systems, Phone and WiFi upgrades, and Parking Lot improvements. However, no work occurred for Lavatory Upgrades (budgeted for $500,000) and timing of the Northwest Municipal Conference relocation, Classroom Remodeling and HVAC projects led to actual spending of $2.5 million less than budgeted for those projects. As with the fiscal year 2014 budget, the precise timing of these projects was estimated for the FY2013 budget and, therefore, sufficient monies were budgeted for capital outlay expenditures if appropriate. Auxiliary Enterprises Fund expenditures were less than planned by 19.7%, due primarily to significant savings in Capital Outlay, Salaries and Contingency. The positive variance in Capital Outlay is attributable to IT – partially from unspent monies and partially because monies budgeted as Capital Outlay were ultimately charged to General Materials and Supplies as the purchases did not meet Oakton’s capitalization policy. Salaries varied from budget due to unfilled vacancies in IT, ALLiance and Athletics. Both the Bookstore and ALLiance carefully managed salary expense relative to decreases in revenue. Additionally, substantially all Contingency monies budgeted were not utilized. Other Information The Government Finance Officers Association of the United States and Canada (GFOA) presented a Distinguished Budget Presentation Award to Oakton Community College, xvi Illinois for the Annual Budget beginning July 1, 2012. In order to receive this award, a governmental unit must publish a budget document that meets program criteria as a policy document, as an operations guide, as a financial plan, and as a communications device. This award is valid for a period of one year only. We believe our current budget continues to conform to program requirements, and we are submitting it to GFOA to determine its eligibility for another award. Oakton Community College also received the Certificate of Achievement for Excellence in Financial Reporting and the Award for Outstanding Achievement in Popular Finance Reporting for the fiscal year ended June 30, 2012. Miscellaneous Everyone is strongly encouraged to read the Introduction section of this budget presentation. It contains additional significant information on the goals, policies and processes which helped to define and shape this year’s budget and includes important supplementary information which will be of interest to the reader. Although for the purposes of publication organization it is a separate section, the information that the Introduction section contains may be considered an extension of this addendum. We have chosen to place the material in that section in order to be able to develop the information in greater detail and breadth. Robert J. Nowak Vice President for Business and Finance xvii The Government Finance Officers Association Of the United States and Canada (GFOA) Presented a Distinguished Budget Presentation Award to Oakton Community College, Illinois for its Annual Budget for the fiscal year beginning July 1, 2012 In order to receive this award, a governmental unit must publish a budget document that meets program criteria as a policy document, as an operations guide, as a financial plan, and as a communications device. This award is valid for a period of one year only. We believe our current budget continues to conform to program requirements, and we are submitting it to GFOA to determine its eligibility for another award. xviii xix OAKTON COMMUNITY COLLEGE C Community it C College ll Di District t i tN No. 535 Annual Budget Fiscal Year 2014 Table of Contents SECTION PAGE Letter from the President Addendum to the President President'ss Letter Distinguished Budget Award Table bl off C Contents i iii xviii xx Introduction Section Chart of Organization Organi g ation - Comm Community nity College g District No No. 535 Listing g of Principal p Officials Our Vision, Vision Mission and Values Goals and Objectives Capital Expenditures Fi Finance and dA Accounting i B d tP Budget Process Notes on Preparation p and Conventions Con entions 2 3 5 16 22 30 46 53 Budget Section Comparison of Budgeted Fund Revenue and Expenditure Relationships Comparison of Revenues and Expenditures - All Funds Summary of Revenues and Expenditures - All Fund Groups Ch off O Chart Organization i i - P President id Cha t ooff O Chart C Organization ga i attio - A Academic cade d ic Aff Affairs ai s Chart of Organization g - Information Technology gy Chart of Organization g - Student Affairs Chart of Organization - Business and Finance xx 55 56 58 60 61 6 63 64 65 Comparison of Revenues and Expenditures - Operating Funds Comparison of Revenues and Expenditures - Education Fund Comparison of Revenues and Expenditures O Operations i and dM Maintenance i F Fund d C Comparison i off R Revenues and dE Expenditures dit - A Auxiliary ili E Enterprise t i F Fund d Comparison p of Revenues and Expenditures p Auxiliary y Enterprise p Fund by y Program g Comparison of Revenues and Expenditures Bond and Interest Fund Comparison of Revenues and Expenditures Li bili P Liability, Protection, i and dS Settlement l F Fund d C Comparison i off R Revenues and dE Expenditures dit Audit Fund Comparison p of Revenues and Expenditures p - Restricted Purposes p Fund Comparison of Revenues and Expenditures Operations and Maintenance Fund (Restricted) Comparison of Capital Expenditures 67 68 69 70 72 76 77 77 78 79 80 St ti ti Section Statistics S ti Hi History off Actual A lR Revenues and dE Expenditures di - O Operating i F Funds d C p i Comparison off A Audited dit d O Operating p ti g R Revenues bby yS Source Comparison p of Audited Operating p g Expenditures p by y Object j Comparison of Audited Operating Expenditures by Function Comparison of Full-time Faculty Assignments Comparison of Instructional Faculty and Administrators Comparison of Classified Staff Assignments C Comparison i off Cl Classified ifi d S Staff ff C p i Comparison off T Total t lR Reimbursable i b bl C Credit dit H Hours byy Instructional Categories g Total and Reimbursable Credit Hours by Instructional/Funding Category History of ICCB Credit Hour Grant Rates by Instructional Category Enrollment Statistical Data Comparison i off Student d Enrollment ll Information f i F ll T Fall Term St Student d tH Headcount d t Hi t y off Academic History A d i A Awards d Historyy of Tuition and Fee Charges g History of Financial Aid to Students Comparison of Property Tax Rates and Tuition and Fee Rates Ten Year History of Tax Rates and Assessed Valuations xxii 84 86 87 88 89 91 93 94 95 97 99 100 102 103 104 105 106 108 Typical History of Property Tax Rates - Overlapping Governments Comparison of Facilities and Use - Square Footage Data Hi History and dC Comparison i off U Utility ili C Costs 109 110 112 Appendix ppe d Section Sect o Description p of Functional Areas and Programs g Degrees and Certificates Awarded by the College Agenda Item 12/12-8 consisting of: Adoption of Resolution Setting Forth Tax Levies for 2012 C ifi Certificate off Tax Levy fil filed d with i h the h C County Cl Clerk k C tifi t off C Certificate Compliance li with ith T Truth th iin T Taxation ti Ag d It Agenda Item 6/13 - 8b R Resolution l ti tto Ad Adopt pt FY14 A Annuall B Budget dg t ((Legal g Budget g omitted)) Land Use Summary Neighboring Community College Districts Map District 535 and Surrounding Area Map Des Plaines l i Campus C Map R H Ray Hartstein tt i C Campus M Map Gl Glossary y Acknowledgements g xxii 113 133 135 13 137 138 139 142 143 144 14 145 146 147 159 INTRODUCTION SECTION VICE PRESIDENT FOR ACADEMIC AFFAIRS ASSISTANT VICE PRESIDENT FOR OFFICE OF ACCESS, EQUITY & DIVERSITY VICE PRESIDENT FOR BUSINESS AND FINANCE VICE PRESIDENT FOR INFORMATION TECHNOLOGY EXECUTIVE DIRECTOR FOR HUMAN RESOURCES EXECUTIVE DIRECTOR OF RESEARCH/ ASSISTANT TO THE PRESIDENT EXECUTIVE DIRECTOR OF COLLEGE ADVANCEMENT VICE PRESIDENT FOR STUDENT AFFAIRS 2 ASSOCIATE VICE PRESIDENT FOR CONTINUING EDUCATION, TRAINING & WORKFORCE DEVELOPMENT OAKTON COMMUNITY COLLEGE Community College District No. 535 Listing of Principal Officials Members of the Board of Trustees (with term expiration) Dr. Joan W. DiLeonardi - 2019 Chair, Board of Trustees Mr. William Stafford - 2015 Vice Chair, Board of Trustees Ms. Patricia N. Harada - 2017 Secretary, Board of Trustees Ms. Theresa Bashiri-Remetio - 2015 Member, Board of Trustees Mr. Kyle Frank - 2019 Member, Board of Trustees Ms. Ann E. Tennes - 2019 Member, Board of Trustees Mr. Jody Wadhwa - 2017 Member, Board of Trustees Mr. Jason Nwosu - 2014 Student Member, Board of Trustees Emeritus Members of the Board of Trustees Mrs. Joan B. Hall Mr. Ray Hartstein 3 OAKTON COMMUNITY COLLEGE Community College District No. 535 Listing of Principal Officials (Continued) Principal Administration Officials Dr. Margaret B. Lee President Dr. Michael Anthony Assistant Vice President for Access, Equity and Diversity Dr. Trudy Bers Executive Director of Research/ Asst. to the President Dr. Carlee Drummer Executive Director of College Advancement Dr. Thomas Hamel Vice President for Academic Affairs Dr. Merrill Irving Associate Vice President for Continuing Education, Training and Workforce Development Ms. Bonnie Lucas Vice President for Information Technology Ms. Mum Martens Executive Director for Human Resources Mr. Robert Nowak Vice President for Business and Finance Dr. Joianne Smith Vice President for Student Affairs 4 OAKTON COMMUNITY COLLEGE Community College District No. 535 Our Vision, Mission and Values Oakton’s vision, mission and values are based on long-standing and fundamental principles guiding the College’s work and the relationships among all those who work and study at Oakton, as well as members of the community and professional colleagues throughout the nation. The vision, mission and values were formally ratified by the Board of Trustees on October 20, 1998. They were reaffirmed by the Board on October 15, 2002. WE ARE THE COMMUNITY’S COLLEGE      We are dedicated, first, to excellence in teaching and learning. We challenge our students to experience the hard work and satisfaction of learning that leads to intellectual growth and we support them academically, emotionally and socially. We encourage them to entertain and question ideas, think critically, solve problems, and engage with other cultures, with one another, and with us. We expect our students to assume responsibility for their own learning, to exercise leadership and to apply ethical principles in their academic, work, and personal lives. We demand from ourselves and our students tolerance, fairness, responsibility, compassion and integrity. WE ARE A COMMUNITY OF LEARNERS    We provide education and training for and throughout a lifetime. We seek to improve and expand the services we offer in support of the people in the communities we serve. We promote a caring community of staff and faculty members, students, administrators, and trustees who, in keeping with our values, work together to fulfill our mission. WE ARE A CHANGING COMMUNITY    We recognize that change is inevitable and that education must be for the future. We respond to change informed by our values and our responsibility to our students and our communities. We challenge our students to be capable global citizens, guided by knowledge and ethical principles, who will shape the future. 5 History Founded in 1969, Oakton Community College opened its doors to 832 students in fall 1970. The “campus” consisted of four factory buildings at the intersection of Nagle Avenue and Oakton Street in Morton Grove. Search for a new site began almost immediately, but four years elapsed before the College purchased 170 acres of land between the Des Plaines River and a county forest preserve on the far western edge of the district. Site development began in 1975, and the first students walked through the doors of the new building for summer school classes in June 1980. Major additions were completed in 1983 and 1995. Also in 1980, the College leased, and subsequently purchased, Niles East High School in Skokie, in the eastern part of the district. The College eventually demolished the high school and opened a brand new facility in 1995. In 2006, the Ray Hartstein Campus in Skokie opened the Art, Science, and Technology Pavilion. In 2012 the College broke ground for a new Science and Health Careers Building on the Des Plaines campus. The building is scheduled to open in May 2014, after which extensive remodeling will take place in spaces vacated on the Des Plaines campus as programs move to the new building. Educational Programs and Services In accordance with the Illinois Community College Act, Oakton provides, at a minimum, the following educational programs and services:  Baccalaureate and general education for students planning to transfer to four-year colleges and/or to earn an associate degree in the liberal arts, science, engineering, or fine arts.  Occupational education to provide students with career training suitable for obtaining employment or enhancing occupational skills.  General or developmental studies for students requiring additional preparation before they can begin college-level education.  Continuing education for residents, employers, and employees of the community desiring classes without having to enroll in formal college-level courses.  Public service activities to meet specialized needs of the community; such activities may include workshops, seminars, and customized employee training programs offered on or off campus.  Student services, such as counseling and advisement, testing, and tutoring. 6 About Oakton Oakton’s external environment is shaped by trends and characteristics of residents, businesses, educational institutions, public agencies and governments, other organizations and the economy. The external environment provides the setting within which the College develops and offers programs and services that respond to student, employer, and community needs. The external environment also affects resources available to the College. To learn about the external environment, Oakton holds numerous conversations with local, state, and national leaders; convenes meetings with employers; reviews public and professional literature; and analyzes data and information about the area, the state, and the global economy. Based on the above studies, the College identifies these important characteristics: Geographic Location Oakton Community College includes Maine, Evanston, New Trier, Niles, and Northfield Townships and serves an estimated population of approximately 475,000 living in the communities of Des Plaines, Evanston, Glencoe, Glenview, Golf, Kenilworth, Lincolnwood, Morton Grove, Niles, Northbrook, Northfield, Park Ridge, Skokie, Wilmette, and Winnetka. The College also serves one square mile of Wheeling township and small portions of Norwood and Leyden townships. With campuses in Des Plaines and Skokie, Oakton also offers continuing education classes at locations throughout the district and distance learning courses via the Internet and interactive television. Both campuses are conveniently located, close to major roadways leading into Chicago as well as to all parts of the Chicago metropolitan area, Wisconsin, and Indiana. Students also have access to public transportation including Metra commuter trains and Pace bus routes. The College's educational neighbors include College of Lake County to the north, William Rainey Harper College to the west, and Triton College and City Colleges of Chicago to the south. Population Stable in terms of size, the College’s district population is not expected to change significantly. However, the area is becoming increasingly diverse with respect to ethnicity, race, nation of origin, culture, religion, educational background, English language competency, and household composition (for example, single-parent families and multiple generation households). For the most part, district residents are well-educated and upper middle class. For example, 51 percent of adults age 25 and above have a college degree, compared to 30 percent statewide and 27 percent nationally. The estimated 2008 median household income in Oakton’s district was $83,100 compared to $55,900 statewide and $52,175 nationally. 7 The population is white (72 percent), Asian (14 percent), Hispanic/Latino (8 percent), Black or African-American (5 percent), and all other groups including two or more races (1 percent). The decade from 2000 to 2010 saw an increase in Asian, Hispanic/Latino, and ‘other’ or ‘two or more races’ residents. Education K-12 public school systems are strong, and Oakton’s feeder high school students are the most recruited college-bound students in the country. As many as 97 percent of high school graduates pursue postsecondary education. The district also contains a number of private and parochial schools that offer all levels of education through high school. K-12 officials report an increasing number of students with special needs, including students with physical, emotional, and/or learning disabilities. The number of school-age children is stable, and schools do not anticipate significant growth. Shifting national perceptions about higher education as a private good to benefit individuals, rather than a public good to benefit society, play out in reduced public financing of higher education and greater reliance on student tuition and fees. Oakton’s good fortune to have a strong tax base buffers the College from the most dramatic effects of reduced state funding, but concerns remain that the state may change its funding formula, threatening the ability of colleges in districts like Oakton’s to benefit from robust local tax bases. An additional concern centers on the taxpayers, who, faced with reduced home values and increased property taxes, may resist supporting public institutions as taxes rise and as assessed valuations fall due to the tax cap “guaranty.” This “guaranty” allows the College to levy at the previous year’s amount plus 5% or inflation (whichever is lower) regardless of (any) decline in assess valuation. Explicit state and national mandates call for more college graduates. Shortly after the presidential election in 2008, the Obama administration set a goal for five million more degrees/certificates by 2020 as compared to 2010. The State of Illinois has set a goal that 60 percent of Illinois adults will have a college degree or certificate by 2025, compared to the current 43 percent. Technology continues to evolve and expand, with what seems to be a never-ending array of new applications, equipment, and uses. Colleges and universities approach technology from multiple directions: as a tool to enhance learning and teaching; as the subject of study; and as a means to improve efficiency and effectiveness in managing the organization and delivering services to multiple constituencies. Online education has exploded in the number of colleges and universities offering distance learning courses and the number of students taking them. At the same time, social media has transformed the way people communicate for personal, educational, and professional reasons. Business and Industry Employers indicate the need for employees who not only have technical skills, but also the ability to communicate, work in teams, think critically, solve problems, and demonstrate responsibility. A new development focused on nanotechnology and 8 biotechnology recently opened in the Illinois Science and Technology Park, providing the College opportunities for partnerships with the Village of Skokie, North Suburban Educational Region for Vocational Education and Forest City Enterprises, the major developer associated with nanotechnology in the country. The economic base and labor markets within Oakton’s district comprise a diverse array of businesses, industries, and service providers. At the same time, the financial turmoil during the last few years has led to increased home foreclosures, high unemployment, and economic uncertainty for many district residents. Identifying jobs for which to retrain workers, with confidence they will be able to obtain employment remains challenging. Fields in which job opportunities exist, such as manufacturing, appear not to be aligned with the interests of district residents. The Area With the area’s largely developed geographical base, minimum potential exists for added housing. In recent years, many communities have witnessed older housing being demolished and replaced with new single family or multiple family residences. However, this “teardown” activity slowed significantly as the economy shrank and housing prices declined. The district’s local public governments, as well as library and park districts, have traditions of high-quality service and relative autonomy. An increasing number of schools, organizations, and commercial vendors are offering education and training to residents and employees through distance education, in traditional classroom settings, and at the workplace. More than 50 postsecondary institutions lie within easy driving distance of Oakton with many others offering online classes to district residents. Financial Base The assessed value of taxable property in Oakton’s district is more than $21.6 billion. This reflects a decline from assessed values of $23.3 billion in tax levy year 2011 and a high of $28.5 billion in tax levy year 2009. The Property Tax Extension Limitation Law (PTELL) limits the increase in property tax extensions to five percent, or the percent increase in the national Consumer Price Index (CPI) for the prior year, whichever is less. Adjustments are made for annexations, mergers, disconnections, new construction, and increases approved by taxpayer referendum. Oakton’s district houses more than 25,000 businesses of all sizes. The labor market includes substantial numbers of employees in service, financial, health care, and related occupations at all levels. Economic Modeling Specialists, Inc, a national labor market research company, estimates Oakton’s district has more than 400,000 full-and part-time jobs. Until the last couple of years, unemployment has been low. Illinois is experiencing serious financial issues, and support for higher education remains problematic. Oakton’s revenue from the state continues to be uncertain as to both the amount and reliability of state funding for higher education, including the availability of the Illinois MAP (Monetary Award Program) grant for student financial assistance. Given 9 its significant deficit, Illinois’ financial health undoubtedly will not improve substantially over the next several years. The fiscal situation at the federal level also is creating uncertainties regarding grant funding for special programs such as those supported through the National Science Foundation and the Department of Education. Additionally, grant applications and requirements for reports on grants received are becoming more complex and time consuming. Students are graduating from college with high debt and poor job prospects, prompting prospective students to begin questioning the value of postsecondary education. Doubts about qualifying for student financial assistance; e.g., the federal Pell grant and the Illinois MAP grant, place additional financial pressure on students and their families. At the same time, state agencies, legislators, accreditation agencies, the federal government, and the public demand more accountability from schools at all levels, including colleges and universities. Employees More than 45 full-time faculty and 60 staff retired in the period 2010-2013. New faculty and staff will provide fresh ideas and build on Oakton’s history of employee engagement and institutional loyalty. Thinking more creatively, the College now recruits more broadly for employee replacements, especially for full-time faculty, and includes provisions for seeking fulltime faculty from adjuncts/part-time faculty. Accreditation Oakton Community College is accredited by The Higher Learning Commission of the North Central Association of Colleges and Schools (230 South LaSalle Street, Suite 7500, Chicago, IL 60604; 312.263.0456; www.ncahlc.org). The College is recognized by the Illinois Community College Board and is a member of the American Association of Community Colleges, as well as numerous professional organizations. Facilities and Services One College, Four Campuses As noted above, Oakton Community College maintains physical campuses in Des Plaines and Skokie. Occupying 193 total acres, the College’s properties include 25 acres of lake and drainage, 30 acres of athletic fields, 29 acres of parking lots, a two-acre prairie restoration area with the balance occupied by buildings. 10 Oakton’s scenic Des Plaines campus at 1600 East Golf Road is set in woodlands and prairie and includes a 410,000 square foot main building, along with an 8,400 square foot Municipal Education Center and a 7,300 square foot grounds maintenance building. The College houses 61 classrooms, 64 labs, 285 offices 1, and a 9,500 square foot gymnasium. Special facilities include a Performing Arts Center, with a 285-seat theater; the Koehnline Museum of Art; the Business Institute; an Early Childhood Demonstration Center; and a Fitness Center. Currently, a new Science and Health Careers Center is under construction on the Des Plaines campus which will meet contemporary and emerging science and health career educational standards, and will house the College’s anatomy and physiology, biology, chemistry, earth science, medical laboratory technology, nursing, physics, and physical therapy assistant programs. The Center broke ground in April 2012. Located on the northeast side of the existing campus, 93,000-square-foot facility will feature sophisticated labs; flexible, light-filled classrooms; enhanced technology; and abundant lab preparation and storage space. The building is scheduled for completion in May 2014. The Ray Hartstein Campus in Skokie, situated on 21 acres at 7701 North Lincoln Avenue, is home to 34 classrooms, 34 labs, and 86 offices. In 2006, the College constructed the Art, Science, and Technology Pavilion which houses Oakton’s programs in art and graphic design, computer networking and systems, computer technology and information systems, electronics, engineering, and manufacturing. The Pavilion’s architect, Ross Barney, earned a “citation of merit” in the Distinguished Building category from the Chicago chapter of the American Institute of Architects. A $75,000 Illinois Clean Energy Fuel Foundation grant enabled the firm to incorporate numerous energy efficient features into the Pavilion design, including building materials that reduce heat transfer; occupancy sensors for lighting and temperature control; low flow technologies to reduce water consumption; and bamboo flooring and other sustainable materials. With rapidly changing technologies putting a new emphasis on alternative course delivery, Oakton offers an “electronic” campus, with distance learning and online education. The College has been at the forefront of this digital revolution, developing a wide variety of quality, innovative, online courses to serve the needs of an increasingly diverse student body. Nearly all general education requirements for the Associate in Arts or Associate in Science degrees can be completed entirely through online courses at Oakton. In the Fall 2012 semester, 8% of students took courses exclusively online and 13% of students took a combination of on-campus and online courses. The College also provides a “neighborhood” campus represented by the Continuing Education, Training, and Workforce Development programs delivered through the 1 The generic term “offices” describes all non-instructional areas of the College and includes administrative and faculty offices, student service and support areas, community service facilities, student lounges, and other areas. 11 Alliance for Lifelong Learning and the Business Institute. Historically an Illinois leader in adult and continuing education, Oakton’s noncredit program serves more than 28,000 people annually, with 19,600 in noncredit courses and workshops and at least 8,700 more in community service offerings. Through a unique partnership with all but one of the local high school districts and other community groups, the Alliance for Lifelong Learning currently offers courses at more than 150 locations. Educational Services Approximately 43,000 students enroll in Oakton’s credit and noncredit courses each year, including both courses approved by the Illinois Community College Board (ICCB) and personal interest courses that do not require state approval. Of the enrolled students, more than 15,000 take Oakton credit courses annually, with fall term enrollments of more than 10,300. Many other individuals connect with Oakton by attending an array of special programs, athletic competitions, and cultural events, or by participating in the activities sponsored by outside groups that lease Oakton’s facilities. Students enroll at the College for a variety of reasons. Forty-five percent of Oakton’s students register in transfer programs, while 35 percent pursue career and technical education (CTE) programs, and 20 percent remain undecided. However, students are not always clear about the distinction between transfer and CTE programs, particularly in fields such as business. For example, a student who wants to earn a baccalaureate degree in marketing may indicate a marketing major at Oakton, though the College’s marketing program falls into the CTE domain, and the A.A.S. does not transfer to baccalaureate colleges of business. (It is important to note the courses taken by this student do transfer to baccalaureate colleges of business.) Dedication to quality and innovation characterizes the entire scope of Oakton’s credit course offerings and programs. The College’s 21 baccalaureate departments offer associate degrees in liberal arts (A.A.), science (A.S.), engineering (A.S.E.), art or music (A.F.A.) and education (A.A.T.). In addition, more than 100 certificates are available through 36 career programs. Oakton participates in the Illinois Articulation Initiative (IAI), an agreement among Illinois public and private colleges and universities to identify freshman and sophomore level courses in a number of majors and honor a general education core curriculum. To facilitate ease of transfer for interested students, Oakton has negotiated articulation, 2+2, and dual admission agreements with more than 20 fouryear colleges and universities. A substantial number of students enter Oakton unprepared for college. Many may lack knowledge about how to navigate higher education or be unable to overcome the economic challenge to pay for their education. Others need additional academic skills to succeed in college-level courses. For example, 30 percent of recent high school graduates place into developmental writing, and 66 percent place into developmental math, including intermediate algebra. These figures comport with those found at community colleges across the nation. In Fall 2013 Oakton joined Achieving the Dream, 12 a national initiative to improve student success, especially the success of minority and low-income students. The associate’s degree appears to be less appealing than a bachelor’s degree, as evidenced by the significant number of students who transfer prior to earning the associate’s degree and the large cadre of students who take CTE courses but do not complete a degree or certificate. Moreover, except in selected fields such as health care careers, students can enter the labor market without earning an official credential. More students from other countries enroll with different cultural and family expectations and a lack of understanding about higher education in the United States. They experience cross-pressures to assimilate, and at the same time, honor the culture with which they identify. The College is witnessing increased numbers of students with documented disabilities (physical, emotional, learning), and they and their families have differing expectations for Oakton to serve them. A substantial number of Oakton students enroll part time, and even full-time students often take less than 15 credit hours per semester, thereby extending the time to earn a degree well beyond two years after entry. Student Services The College also provides other services to insure that students enjoy a successful, wellrounded, and supportive college experience. College initiatives to improve student success are underway (e.g., the reorganization of developmental mathematics known as RoadMATH; expanded orientation for new full-time, traditional-aged students; and recommendations for a variety of support services from the Student Success Working Group). Preliminary data about the success of the new initiatives show much promise. Achieving the Dream initiatives will expand and refine the Student Success Working Group projects. The Learning Center helps students who want to develop, improve, and refine their learning skills. The Center offers tutoring in a multitude of subject areas, as well as workshops focused on grammar, writing mechanics, and research papers. Staff place special emphasis on helping English as a Second Language students through tutoring, conversation groups, and workshops and provide assistance with academic counseling, financial aid, and registration. Students also may take College 101, a success seminar that enhances academic skills, interpersonal adjustment, cultural understanding, and career awareness. All students must take assessment tests in English, mathematics, and certain other subject areas. The College has seen a greater demand for tutoring and has experienced a significant increase in special needs requests from students. These requests range from sign 13 language interpreters, to more time for test taking, to classroom note taking and other services. Other services also foster student development, including special programs for adults and older returning students. Career Services provides information about work-study, internships, apprenticeship programs, government jobs, volunteer opportunities, and current employment opportunities within the greater Chicago area. Career Services also manages all student employees. Student Development faculty and Advising offer professionally trained faculty and staff who help students with education and career planning as well as those with issues that might interfere with personal and academic growth. Also available are a robust range of student activities such as clubs and organizations, intercollegiate and intramural athletics, and student government, which represents student interests to the administration, faculty, and Board of Trustees. An elected student represents the Student Government Association by serving as an advisory-voting member of the Board of Trustees. The Office of Student Life also supports social and entertainment events for the campus and the College community. Student Demographics During the past decade, the Oakton student has become part of an increasingly diverse population. In credit programs, younger students (through age 24) constitute 59 percent of the student body. Fifty-two percent of enrolled students are women. Fifty-two percent are White non-Hispanic, 19 percent are Asian, 12 percent are Hispanic, 6 percent are African American, and the remaining 11 percent have chosen not to identify themselves with any one of the standard ethnic categories. Some 40 percent of students indicate that their native language, or that the language spoken at home, is not English. Spanish, Polish, Korean, Urdu, and Assyrian are languages identified by the largest number of students, although Oakton students speak more than 60 different languages. In spite of the relative affluence of Oakton’s district, 37 percent of students receive some type of grant, loan, work, or scholarship assistance. Each year the College offers increased scholarship and grant programs, and students take advantage of these educational opportunities. Drawing from respondents to the Fall 2012 Current Student Survey, data indicated 39 percent of students were first-generation (neither parent had attended any college in the United States. More than 15 percent of all current students have a bachelor’s degree or higher. Forty-five percent of respondents to the Fall 2012 Current Student Survey indicate their main objective at Oakton is to prepare to transfer to a four-year college or university, with 66 percent of younger and just 16 percent of older students having this objective. Conversely, 69 percent of older and just 16 percent of younger students are focused on 14 career preparation. Nearly half (46%) of current students have attended another college or university. Oakton students largely transfer to two-year and four-year colleges or universities in the Chicago area. Respondents to the 2012 Baccalaureate Alumni Survey 2 went to these institutions in the largest numbers: Northeastern Illinois University, the University of Illinois at Chicago, DePaul University, Loyola University, Roosevelt University and the University of Illinois-Urbana. Thirty-three percent of Fall 2012 Current Student Respondents reported working fulltime outside the home, 46 percent work part-time, and 21 percent reported not working outside the home. 2 This survey is for students who earned at least 30 credits or an associate degree in a transfer program and have been away from Oakton for one or three years. It is conducted annually. The College strives to obtain 300 responses from each group (away one or three years). 15 OAKTON COMMUNITY COLLEGE Community College District No. 535 Goals and Objectives Strategic Goals and Objectives Adopted by the Oakton Community College Board of Trustees April 17, 2012 Oakton is … connecting what matters. Connecting students with the college community and the curriculum with student goals. Connecting the curriculum with the demanding, ever-changing requirements of our world and workplaces. Connecting employees with one another and with the mission, vision and values of the College. Oakton Community College is proud to share Connecting What Matters, its strategic plan for 2013‐2017. Ideas from numerous members of the College community, and the local, state, and national agendas that have made college completion and student success paramount priorities for all colleges and universities inform the goals and objectives of the plan. Connecting What Matters builds on and evolves from previous strategic plans. Working together, Oakton has met many of its previous goals, and continues the commitment to their spirit and intent, recognizing they laid a firm foundation for excellence, change, and meeting the expectations of multiple stakeholders, both internal and external to the College. These and the following commitments have been made, work is in progress, and the College fully expects them to continue and grow stronger. • The College adopted a Facilities Master Plan in 2010 that now guides the construction of new facilities, as well as renovations of existing classrooms and service areas. • The College will continue to invest in anti‐bias strategies with programs, services, and curricula to make Oakton a more inclusive institution for students and employees. • Green initiatives have made sustainability a priority in a wide range of institutional practices, academic offerings, and in the use of the grounds and internal environment. 16 • Professional development opportunities, both internal and external, continue to support employees in meeting the College’s strategic goals and objectives, and in meeting their responsibilities to maintain and develop a high level of currency and competence in their work. • Investments in technology catalyze teaching and learning, as well as enhance administrative services, communication, outreach, and the management/operations of the College. • The College’s financial health is strong. Oakton continually monitors changes in funding and expenditures to ensure financial stability. Moving into the next five years, the College identifies three overarching goal areas for special emphasis, along with several specific objectives to be implemented for each. We stand together and look forward. Goal: Student Success Oakton will demonstrate renewed commitment to student success. The College will cultivate and engage in practices that foster the attainment of academic, career, and personal outcomes determined and developed through collaboration between the student and the College. Oakton expects extra‐ and co‐curricular activities and programs to support these efforts. Oakton will identify specific obstacles to student success and develop innovative, effective strategies to help students overcome these obstacles. In addition to students’ goals, Oakton acknowledges that success is tied to College, state, and national priorities relating to completion and transfer. • The number of Oakton degrees and certificates earned by students will increase at least 15 percent by 2017, an additional 950 credentials. • There will be a 15 percent improvement in students’ success in developmental and college level gateway courses by 2017. • The College will require Orientation for all new full time students and strongly encourage participation for new part-time students, especially those for whom Oakton is their first college. • Oakton will support multiple pathways, including social media, through which current and prospective students can access information, transact business (e.g., register, pay bills, access grades), and attend Oakton. • The College will expand opportunities for students to earn credit for prior learning. • Oakton will champion initiatives that foster a sense of belonging and engagement in the life of the College and in its programs and activities. 17 • Oakton will increase connections with its district schools, especially around issues of mutual interest such as aligning curricula, improving students’ readiness for college, and providing opportunities for students to earn college credit prior to high school graduation through dual credit and other approaches. • Oakton will strengthen connections with other colleges and universities to promote transfer. Goal: Academic Excellence Oakton will deepen its tradition of being recognized for academic excellence. Courses, curricula, and programs – both credit and noncredit – will reflect current and emerging content, creative and effective pedagogy, and learning environments that support multiple modes of delivery and student engagement. Recognizing that learning in classes and courses is central to the student’s experience and success at Oakton, the College will pursue enhanced student success and academic excellence in traditional and emerging learning venues. • All programs will use the results of learning outcomes assessments to improve teaching and learning. • Every Oakton credit class will provide Web based information, resources, and support to students by Fall 2014. • Oakton will offer hybrid sections in at least 40 different courses across disciplines by Spring 2017. • Oakton will encourage faculty to develop and deliver innovative content, materials, and pedagogy. • Oakton will expand opportunities for students, inside and outside of class, to participate in activities that engage them with issues that confront local and global society. • Oakton will strengthen career program advisory committees and linkages with business and industry to respond to changing and emerging workforce development needs. • The College will enhance opportunities for students to have workplace experiences through expanded internships, practica, clinicals, service learning, and other activities. • Oakton will use the College campuses as living laboratories for courses and activities that emphasize the study and practice of sustainability. 18 Goal: Connected Communities Oakton values all members of the College community. Oakton will continue to transform its practices to combat all forms of exclusion and bias, working to assure that diversity of culture, race, class, gender expression, sexual orientation, religion, ability, and age is reflected in and valued by administration, faculty, staff, and students, and in curricula, programming, and institutional policies and procedures. Oakton will continue to be responsive to the needs and interests of community members and area businesses and organizations for transfer, career, and continuing education and for programs that support the intellectual and cultural life of the community. The College will foster a culture of employee engagement that includes philanthropy, service, and support for programs and activities. • Oakton will offer a coordinated array of programs and training to strengthen the anti-bias perspective and cultural competence of employees, and 80 percent of employees will participate in at least three programs over the life of this plan. • The Professional Development Teams will provide new and innovative opportunities aimed at building community among employees across the College. • The College will explore options for designated space that will contribute to building, nurturing, and sustaining the spirit of community within and among employee groups. • The College will continue to build and enhance partnerships with business, civic, and community organizations. • The College will actively encourage the participation of employees in College -sponsored events and activities including, but not limited to, speakers, athletics, performing arts productions and Oakton Educational Foundation benefits, with a target that 50 percent of employees will do so each year. Strategic Planning Process Specific activities comprising strategic planning included the following: Fall 2011 – Spring 2012 President Margaret B. Lee initiated the process for a new strategic plan in Fall 2011. In keeping with Oakton’s approach to developing a strategic plan, the College engaged both internal and external constituencies through the first seven months of the academic year. Beginning in September with an open invitation to think together about the future in a modified “World Café” model, the Strategic Planning Committee crafted a plan that not only builds on Change Matters, the strategic plan for 2008-2012, but also responds to current and emerging priorities for the College. 19 In December 2011, the Committee scheduled Town Hall meetings at both campuses, providing the opportunity for faculty, staff, administrators, and students to comment on the first draft and the proposed goals. A second round of Town Hall gatherings, as well as an all-faculty meeting, enabled faculty to comment on the second draft, which included both broad goals and more specific objectives. The Committee also sought comments on the draft from more than 300 external stake holders who included members of advisory committees, local elected and appointed officials, K-12 leaders, and Oakton Educational Foundation Directors. In addition, the student representative asked for input from students. After considering all suggestions and ideas, the Strategic Planning Committee recommended a final plan. The Board of Trustees adopted the plan on April 17, 2012. Year 2017 Develop a new strategic plan. Affirmation or revision of Oakton’s vision, mission, and values will take place as appropriate. Implementation of Goals Making Progress on Goals and Objectives Existing departments and committees of the College are taking the lead in developing and implementing plans, programs, services, and activities to meet Connecting What Matters goals and objectives. Some objectives require the appointment of cross-institutional teams to collaborate on achieving goals and objectives. Financial Support Financial support for implementing Connecting What Matters comes from several sources. First, many activities are being funded through the College’s annual operating budget. Second, special projects that advance the attainment of strategic goals and objectives which require funding beyond the College’s operating budget will be approved as part of the regular budget cycle. Third, external grants and support from the Oakton Educational Foundation will be sought as appropriate. Monitoring and Reporting Progress Those identified as the leads for each goal and objective will compile information annually about progress, and the President will prepare an annual report the College and the Board of Trustees. 20 Special Funding Initiatives – FY 2014 In support of the College’s 2013 -2017 Strategic Plan the following initiatives are included in Operating Fund expenditures and recommended for funding in the Fiscal Year 2014 Budget: Description Funding Student Success Focused – includes the expansion of in-person Orientation and jOURney Mentor programs, ¡Andale! programming, a Summer 2014 Bridge program for 50 Maine Township HS students, Advising/Career Services open houses at the beginning of fall and spring semesters and representative attendance at the 2014 DREAM Institute $289,000 Connecting What Matters Focused – includes the addition of a Financial Literacy/Debt Management component to Orientation and College 101, Advanced Manufacturing Expo attracting 350 to 400 district HS students, Career Program Advisory Committee Recognition dinner scheduled for November 2013 and the printing/mailing of a targeted Continuing Education catalog $103,600 Master Plan Focused – establishment of a Sustainability (Resource) Center fostering educational events for student, faculty, staff and community organizations with a focus on Green Initiatives. Will also fund activities required by Oakton’s commitment to the Illinois Governor’s Sustainability Compact which includes an analysis and reduction of waste/electronic waste, AASHE membership and a sustainability website. $46,200 Total FY2014 Funding $438,800 21 Capital Expenditures Definition The College defines Capital Expenditures (also “capital equipment” and “capital outlay”) to include site acquisition and improvement, office equipment, instructional equipment, and service equipment. Generally expenditures in this category cost more than $10,000 and would not normally be purchased from general materials and supplies. Building projects, remodeling projects, vehicles, computer servers and related equipment, and laboratory equipment would be typical examples of items included in this category. Capital Expenditures are handled as a separate component of the budgeting process and then integrated into the final budget document. In addition to Capital Expenditures related to the Five Year Facilities Master Plan, described more fully below, each administrator is asked to submit requests for special and capital equipment and for remodeling projects. In this context, special and capital equipment is defined loosely as non-recurring items which would not normally be procured through the regular operating supplies and materials budget category. Although the capitalization threshold for the College is $10,000, there is no minimum dollar amount prescribed for these requests (and budgeted amounts are not carried over from year to year); the word "capital" is used in its generic sense here. These items might include computers or printers, replacement classroom sets of equipment for labs, or new College vehicles or tractors. Requests are submitted electronically to the Budget Office, which compiles a master request list. The President's Council, working with the other administrators, approves final equipment determinations. The Budget Office prepares a final equipment request list which serves as the basis for individual equipment purchases in the new fiscal year and as authority for integrating capital equipment funds into the final budget. The process requires difficult choices because there are simply never enough resources to satisfy every program's needs and desires. Specific remodeling requests are evaluated by the Director of Facilities for costing, feasibility, and overall compatibility with the College's general and continuing maintenance program prior to being integrated into the budget. Capital equipment and remodeling requests apply only to the current budget determinations and revert to zero for the next budget cycle. Capital Improvement Management Policy In December 2010, Oakton adopted a formal Capital Improvement Management Policy. Within this policy, capital improvements are defined as physical assets, constructed or purchased, such as buildings, grounds and related infrastructure. General principles the College will employ for the overall management of capital improvements include utilization of capital improvements in the ongoing fulfillment Oakton’s vision, mission and values, to maintain and maximize the useful life of capital improvements and to update the Comprehensive Facilities Master Plan every five years including an assessment of the College’s infrastructure. The policy states that sources of funding for capital improvement projects will be evaluated from a variety of alternatives including: 22 • • • • • • • • Current revenues Debt financing RAMP monies Donor financing Capital fundraising activities Grant funding Net position (fund balance) Net surplus (revenues in excess of expenditures and interfund transfers) from an individual fiscal year Donor-financed capital projects and other capital fund-raising activities will generally follow the priorities determined by the strategic planning process rather than by donors. However, in certain instances, donor-specified projects that are consistent with the College’s mission and enhance the academic mission will be undertaken. Facilities Master Plan In December 2010, Oakton’s Board of Trustees approved a Comprehensive Five-Year Facilities Master Plan. The Five Year Master Plan guides the College in replacing aging facilities and improving the campuses to reflect trends in higher education. The core focus of the Master Plan is providing a campus environment to offer students opportunities for success and an improved student experience. Enhanced facilities will provide a state of the art Science and Health Careers Instructional Building, flexible and spacious classrooms for all instructional disciplines, student gathering spaces for students to use in a variety of ways outside of the classroom and a single, centralized location to go to for enrollment, registration, advising and counseling and other key student services on the Des Plaines campus. Underlying these student focused improvements there is an updated, reliable infrastructure aspect of the Master Plan that is being implemented in a manner consistent with Oakton’s commitment to sustainability. Following is a brief summary of the key components of the project and timing. Science and Health Careers Instructional Building - 2011 to 2014 The current Des Plaines campus science labs are 30 years old; they are showing their age and much wear and tear. Possibly even more important are external factors such as changes in pedagogy, changes in the fields of science and increases in enrollment that have compromised the effectiveness of science and health careers teaching spaces. The nature of health career programs and job trends indicating continued demand for such programs result in the need to bring current spaces up to contemporary and emerging standards. A new Science and Health Careers Instructional Building is under construction to the east of the Des Plaines campus building. The building will approximate 93,000 square feet with three stories and is raised above the flood hazard zone. The Building broke ground in April of 2012 and is scheduled for completion in May, 2014. Classes will be offered in the building beginning 23 with the Summer 2014 semester. The Science and Health Careers Instructional Building will meet contemporary and emerging science and health career educational standards, and will house the College’s anatomy and physiology, biology, chemistry, earth science, medical laboratory technology, nursing, physics, and physical therapy assistant programs. The facility will feature sophisticated labs; flexible, light-filled classrooms; enhanced technology; and abundant lab preparation and storage space. Classrooms - 2011 to 2016 During development of the Master Plan, interviews with Faculty clearly identified improvement opportunities for classrooms on the Des Plaines campus. A significant majority of College credit instruction is offered in traditional face to face classroom settings and the College is committed to providing learning environments that serve the contemporary needs of student and teachers and will adapt for issues of the future. Space utilization analysis further confirmed the need for larger and differently configured classrooms. Issues identified through these interviews and Oakton's 2008 Classroom Task Force Report included: • • • • • Appropriate space for number of students Limited distance from seating to White Board/Projection Screens Outdated/Undersized Furniture Lighting Technology Approximately 50 classrooms at the Des Plaines campus have been remodeled in a phased approach through the summer of 2013. Technology innovations may be replicated in classrooms on the Ray Hartstein campus. In the final years of the current Master Plan, it is anticipated that 10-12 large classrooms will be created out of space vacated when the science and health careers academic programs are relocated to their new Instructional building. 24 Enrollment Center at the Des Plaines Campus - 2013 to 2015 Every student participates in the enrollment process at Oakton. The Enrollment Center is the physical location that provides integrated student services for admission, advising and counseling, financial aid, registration and records functions. The Enrollment Center needs to be a convenient and welcoming environment for prospective students, current students and community members. Providing a welcoming environment is necessary to creating positive first impressions that will enhance a student's early connections to the College. This project will incorporate all enrollment functions now scattered across the Des Plaines building into a facility that is similar in organization and function to the successful Enrollment Center at the Ray Hartstein campus. It is anticipated that the Des Plaines Enrollment Center will be located near the busiest entrance to the College and will involve significant renovation of existing space. Planning for this project is complete and construction will begin in December 2013. The Enrollment Center will be occupied by Student Affairs staff in two phases during fiscal year 2015. Student Gathering Center – 2015 to 2016 Research shows that students who are comfortable in their collegiate environment are more successful. Numerous studies have further demonstrated that students engaged in the life of their College persist to graduation at higher rates. Building a sense of connection and community is challenging on a commuter campus such as Oakton where students lives are full of balancing the responsibilities of work, family and learning. The objective of this project is to remodel existing space, bring student leadership offices and programs together in a common area, provide informal space for student gathering, adapt student space to technology needs and centralize the opportunity for student engagement in the heart of the Des Plaines campus. The selected area, across Student Street from the current location of the cafeteria, provides significant continuous space related to Student Life. This space will provide the opportunity to centralize student-related activities that currently take place in a variety of locations. Additionally, this space possesses floor to ceiling windows overlooking Oakton's lake – a view that will further enhance students' positive image of the campus. This project is currently planned for 2015 to 2016. Infrastructure Projects – 2011 to 2016 Infrastructure is a major component of the Master Plan. Projects will occur over the entire Five Year Master Plan time frame and will include a variety of site work, communications technology 25 and equipment upgrades, as well as public and facilities space within the buildings of both the Des Plaines and Ray Hartstein campuses. The project list and individual budgets will continue to be refined as the project advances. Currently identified projects include: • • • • • • • • • HVAC Systems (in progress) Building Automation Systems (in progress) Telephone System Conversion to VOIP (complete) Ubiquitous WiFi (complete) and Cell Phone Access Electrical Delivery System Upgrade (in progress) Washrooms and Gym Locker Room Parking Lot Improvements (in progress) Remodeling Vacated Spaces (in planning phase) Des Plaines Campus Grounds Sustainability Plan A summary of projected investment and funding for the Facilities Master Plan is as follows: Investment Science and Health Careers Instructional Building Classrooms/Student Related Remodeling Enrollment Center Student Gathering Center Infrastructure Total Funding General Obligation Limited Bonds Net Position State and Federal Grants Foundation/Private Grants Student Reserves and Construction Fee Total $39,000,000 7,200,000 3,400,000 1,900,000 17,000,000 68,500,000 $40,000,000 20,000,000 3,000,000 2,500,000 3,000,000 68,500,000 Funding and project budgeting support total projected costs of $68.5 million with the majority of the budget (76.6%) allocated to support student success. Summary of Capital Expenditures Budgeted for Fiscal Year 2014 Following are the capital expenditures budgeted for fiscal year 2014 by fund: Education Fund Operations and Maintenance Fund Operations and Maintenance (Restricted) Fund Auxiliary Enterprises Fund Restricted Purposes Fund $246,200 138,500 43,384,700 283,000 1,244,000 Total $45,296,400 26 Supplementary Capital Expenditure Data for Fiscal Year 2013 The following provides additional information about the capital expenditure plans for the fiscal year. Education Fund Capital expenditures of the Education Fund comprise equipment for the Automobile and Fire Science Technology programs along with a new digital light console for the Performing Arts Center. Additionally, purchases of an autoclave/sterilizer and simulation manikins in the amount of $106,000 will support the Biology and Nursing programs in the new Science and Health Careers Instructional Building. These purchases may result in lower repair/maintenance costs but are not expected to significantly impact operating expenses in the future. Though not meeting the definition of Capital Expenditures due to individual purchase prices of less than $10,000, additional expenditures of $356,000 are budgeted in the Education Fund specifically to equip instructional labs in the new building. Operations and Maintenance Fund Capital expenditures of the Operations and Maintenance Fund comprise upgrades to the freight elevator and fire rated cafeteria doors in the main Des Plaines campus building along with phased replacement of roadway lighting and a utility vehicle. These items are primarily replacing equipment that is now beyond its useful life and are budgeted at $114,500. It is expected these purchases will result in reductions to repair and maintenance expenses by approximately $5,000 per year. Custodial equipment for the Science and Health Careers Instructional Building is budgeted for a total of $43,000; the capitalizable portion of these purchases is $24,000 Operations and Maintenance (Restricted) Fund Projects comprising capital expenditure from the Operations and Maintenance (Restricted) Fund are listed below for the Des Plaines (DP) or Ray Hartstein (RHC) campuses: Description Campus Facilities Master Plan Projects: Science and Health Careers Instructional Building HVAC and Building Automation Systems Enrollment Center Parking Lot and Roadway Improvements Classroom Remodeling Cell Phone Reception Lavatory Remodeling – MP Relocation of Displaced Administrative Offices Electrical Delivery System Upgrade IT and Data Center Reconfiguration Analysis Phone System Upgrade/Infrastructure Student Gathering Space 27 DP DP/RHC DP DP DP/RHC DP/RHC DP DP DP DP DP/RHC DP Amount $26,636,000 4,300,000 2,695,000 1,610,000 790,000 500,000 500,000 500,000 370,000 250,000 225,000 45,000 Other Capital Expenditures: HVAC Improvements Lavatory Remodeling – State Funded Generator System Replacement RHC DP DP Total 4,100,000 564,000 300,000 $43,385,000 Auxiliary Enterprises Fund The Auxiliary Enterprises Fund capital expenditures are budgeted to include the replacement of a soccer field shed seriously damaged in the April 2013 flood, older cooler and oven equipment in the cafeteria facilities and a variety of IT equipment. IT equipment replaces several 6-10 year old servers, a 7 year old firewall and adds encoders, video capture devices and web services components to support Oakton’s FCC license requirements. Other than reducing costly repairs to the cafeteria cooler, none of these expenditures is expected to impact future ongoing expenditures. Restricted Purposes Fund Capital expenditures budgeted in the Restricted Purposes Fund include potential grant expenditures for various projects. None of these monies will be expended unless the potential grants are received by Oakton. Grants which Oakton has applied for or anticipates applying for over the course of FY2014 include various state, federal and local grants related to the expansion of a nanotechnology instructional program and laboratory recently established on Oakton’s Ray Hartstein campus. Additionally Oakton is seeking funding for various green and/or energy efficient aspects of the Facilities Master Plan including the use of a green roof and photo voltaic cells on the Science and Health Careers Instructional Building, the use of permeable pavers in existing or new parking areas and various energy efficient heating and cooling equipment. Except for a $95,000 grant related to the photo voltaic cells, no specific monies have been received at this time; however, the College regularly monitors granting agencies and opportunities to participate in such programs. If implemented, Oakton would expect to experience decreased utility-related costs in the future. Impact of Master Plan on Expenditures on Current and Future Years Operating Budgets and Services Provided When the Science and Health Careers Instructional Building is occupied in Fiscal Year 2014, Oakton estimates the following increases to Operating Expenses: • Housekeeping staff comprised of one head custodian and two full time custodians will be added. These individuals are budgeted for half of fiscal year 2014 (salary and benefits approximating $61,500). In fiscal year 2015 and future years, those salaries and benefits will increase current amounts by $123,000. • The fiscal year 2014 budget includes $75,000 in supplies to initially stock the instructional laboratories and custodial maintenance supplies. Thereafter, such supplies and contractual services are expected to increase 20% for the expanded facilities or approximately $200,000 28 • • Originally, Oakton had estimated an increase of $160,000 in annual utility costs; this estimate was based upon current costs per square foot less anticipated savings for more eco-friendly and energy-efficient equipment. However, the latest engineering data about the HVAC project underway indicates that the savings associated with new infrastructure for the current Des Plaines campus facility will fully offset energy costs for the new Science and Health Careers Instructional Building. Fiscal year 2015, insurance costs are anticipated to increase $20,000 per year attributable to the new building The remodeled classrooms, Enrollment Center and Student Gathering Space are not expected to result in significant increases to operating expenses as these spaces represent the re-location and renovation of existing facilities. The current or future year impact on Operating Budgets for potential projects outlined in the Restricted Purposes Fund can not be reasonably estimated until such grants are awarded and more specific information is available. The various infrastructure projects are anticipated to result in decreased operational and repair/maintenance costs. However, until further information is available about the specific equipment to be installed or services to be acquired, such decreases are not quantifiable. Non Routine Capital Expenditures Other than the projects described in the Operations and Maintenance (Restricted) Fund and the Restricted Fund sections above, there are no other individually significant non-routine capital expenditures budgeted for fiscal year 2014. As previously acknowledged in the discussion about budgeted contingency monies, Oakton’s Des Plaines campus was seriously impacted by flooding in April of 2013. While minimal water entered the building, flooded parking lots, roads and surrounding areas prevented occupation of the building for more than a week. The College continues to assess infrastructure issues arising from the flood and preventive actions to minimize the impact of likely future flooding. The outcome of these assessments may result, subject to Board of Trustee approval, in the expenditure of additional capital monies in fiscal year 2014 and are likely to be part of the fiscal year 2015 capital expenditure budget. 29 OAKTON COMMUNITY COLLEGE Community College District No. 535 FINANCE AND ACCOUNTING ORGANIZATION The College has a fully integrated financial structure with a Vice President for Business and Finance who also, at the discretion of the Board, serves as the Treasurer of the Board of Trustees. The Treasurer is the custodian of all funds and, by College policy, the Treasurer also has the authority to invest funds belonging to the College. Such investments are made with the guidance of state statutes and Board of Trustees policies on investments. The Treasurer makes monthly reports of the financial activities of the College and quarterly reports of investments to the Board of Trustees. A summary of financial activities is produced monthly and distributed to appropriate offices throughout the College. Other financial reports are produced on an as needed basis. Most areas of the College have access to electronic financial data as appropriate. The Business and Finance area is organized into an Office of the Vice President, Budget and Accounting Services, Business Services, Facilities and Public Safety. Budget and Accounting Services handles the preparation of the budget, preparation of the tax levy, development of strategic special reports, the instructional cost report, budget transfers, the Resource Allocation Management Plan (RAMP), and other activities relating to financial analysis and reporting. In addition, this office accounts for the receipt and disbursement of funds, the recording of the financial transactions of the College, provides financial guidance to the various elements of the College community and prepares the Comprehensive Annual Financial Report (CAFR). Business Services manages the functional auxiliary and procurement activities of the College. These activities include purchasing, shipping and receiving, printing services, food service, and the bookstore. Project and equipment bidding activities are managed through the Business Services office. Facilities includes the construction, maintenance, housekeeping, and groundskeeping functions for the College. Public Safety is responsible for campus safety, emergency planning, and various state and federal reports relating to campus crime. BASIS OF BUDGETING AND ACCOUNTING The accounting policies of the College conform to generally accepted accounting principles as accepted in the United States applicable to colleges and universities as well as those prescribed by the Illinois Community College Board (ICCB). To insure consistency in financial reporting and economy of effort in financial operations and analysis, the College budgets and accounts for its financial operations on the same basis as the CAFR with a few exceptions. One exception is that capital asset purchases are budgeted as expenses and corresponding depreciation is not budgeted. For financial reporting purposes, capital assets are defined by the College as assets with an initial unit cost of $10,000 or more and an estimated useful life in excess of two years. Such amounts are capitalized and depreciated using the straight-line method over the estimated 30 useful life. Depreciation is recorded in the general ledger in the Investment in Plant Fund. A second exception is that internal revenue and expense charges are budgeted, reported in the general ledger, and reported in order to more accurately calculate instructional costs. In the CAFR, these revenues and expenses are eliminated in the Statement of Revenues, Expenses and Changes in Net Position. As part of its budgetary organization and controls, instituted to insure compliance with legal provisions embodied in the Annual Budget and Comprehensive Annual Financial Report approved by the Board of Trustees, the College has established the following fund groups to facilitate financial planning and reporting. Fund Group Fund Current Unrestricted Education Operations and Maintenance Auxiliary Enterprises Fund Code 01 02 05 Current Restricted Bond and Interest Restricted Purpose Working Cash Audit Liability, Settlement, and Protection Staff Insurance Pool Social Security/Medicare 04 06 07 11 12 17 18 Plant Operation and Maintenance (Restricted) Investment in Plant (General Fixed Assets) 03 08 Debt Long-Term Obligations (General LT Debt) 09 Investment Investment Pool 19 Loan Loan 20 Agency Trust and Agency 10 (Fund numbers above 18 are not recognized by the ICCB.) Agency funds represent courtesy accounting services to other entities and are not assets of the College. All of the remaining funds are budgeted funds except Investment in Plant, Long Term Obligations, Staff Insurance Pool and Loan; all, however, are audited to insure compliance with budgetary controls and financial accountability. Investment in Plant serves only as a fund to record the value of plant assets and does not have either true revenues or expenditures. Long Term Obligations serves only as a fund to record long term general obligation debt and does not have either true revenues or expenditures. The Staff Insurance Pool Fund tracks monies dedicated for a portion medical insurance costs of classified staff employees and is reported as part of the Education Fund in the 31 College’s CAFR and for uniform financial reporting. The Loan Fund is a shadow fund and was established to segregate student loan programs from other restricted funds and is reported as a separate entity in the College’s CAFR. It is combined with the Restricted Purpose Fund for uniform financial reporting. The College also maintains two other shadow funds in order to simplify the bookkeeping process: Investment Pool Fund (IPF) and Social Security/Medicare Fund (SSM). The IPF records all of the transactions of the College’s investments and maintains its audit trail. At the end of the reporting period, all assets are reassigned to the other funds prorated by each fund’s share of the investment pool. The SSM records the College’s Social Security and Medicare tax levy and payments therefrom. Its purpose is to maintain separate accounting and net position balances for this tax levy distinct from the liability tax levy. Since it is not a fund defined by the ICCB, it is combined with the Liability, Settlement, and Protection Fund for budget and uniform financial reporting (UFRS) purposes. The level of budgetary control (the level at which expenditures cannot exceed the appropriated amount) is established for each individual fund rather than the fund group and within the fund by object and function (which is the legal budget organization). Managers at all levels are charged with continuously monitoring expenditures within their programs. While the exact legal limits on expenditures are established by the amounts in the legal budget (within the ten percent transfer limitation), the usual management practice is to monitor expenditures by program and by line item within the program. Minor unfavorable variances may be permitted on a case-by-case basis after appropriate review; significant variances require prior approval and may be compensated through budget transfers. The Budget Office monitors expenditures to insure compliance with the legal budget requirements and limitations and with College policy on fiscal management. Oakton defines a balanced budget as one in which budgeted revenues and fund transfers in are equal to or greater than the sum of budgeted expenditures and fund transfers out. The College also maintains an encumbrance accounting system as one technique of accomplishing budgetary control. Encumbered amounts lapse at the end of each year. PROPERTY TAXES The County Assessor is responsible for assessment of all taxable real property within Cook County, except for certain railroad property which is assessed directly by the state. Reassessment is conducted on a three year schedule established by the Assessor. The County Clerk computes the annual tax for each parcel of real property and prepares tax books used by the County Collector as the basis for issuing tax bills to all taxpayers in the county. The County Assessor is responsible for appraising the value of all real property and railroad property not used for transportation purposes. Railroad property used for operations and pollution control equipment are assessed by the Illinois Department of 32 Revenue. In Cook County, property has historically been classified for assessment into six categories with various percentages of fair market value as detailed below. Property Class Assessment Percentage 25% 25% 16% 10% 10% 10% Commercial Industrial Rental-Residential Miscellaneous Residential Unimproved Land The Assessors' valuations are subject to appeal by the taxpayer and then to equalization by the Illinois Department of Revenue. The purpose of equalization is to develop a common level of assessments among counties to provide a uniform basis for the distribution of state aid to schools and other state grant-in-aid programs. Equalization is accomplished by means of multipliers assigned to each county. A multiplier is applied to all assessments in a county except farm assessments (which are based upon productivity and sales) and state assessed property. The objective of adjusting assessments in this manner is to produce state-wide conformity in property assessments. Property taxes are collected by the County Collector and are submitted to the County Treasurer, who remits to the governmental units their respective share of the collections. Taxes levied in one year (generally in December) become due and payable in two installments during the following year, generally on March 1st and on/about August 30th. The first installment is an estimated bill and is 55% (recently changed from one-half) of the prior year's tax bill. The second installment is based upon the current levy, assessment, equalization, certificate to limit levy, and other factors. Changes from the prior year will be reflected in the second installment bill. The tax levy submitted to the county must be approved by the Board of Trustees and reported to the County Clerk on or before the last Tuesday in December for the following collection year. The levy becomes a retroactive enforceable lien against the property as of January 1st of the year in which the levy is passed. Taxes may be levied for a variety of purposes or funds. The following table lists the tax categories the College has used and the present status of each. Data is from the Tax Year 2012 Agency Tax Rate Report, commonly termed the rate card, issued by the Office of the County Clerk. The 2012 report is the most recently available data; this report is typically received by the College in mid-September after all property valuations have been completed and final rates can be calculated. 33 Tax Category Current Rate Statutory Maximum Education Fund Operation/Maintenance Fund Audit Fund Life Safety Liability/Settlement/Protection Fund Social Security/Medicare Bond and Interest Fund Total 0.1480 0.0336 0.0001 0.0000 0.0000* 0.0000* 0.0139 0.1956 0.7500 0.1000 0.0050 0.1000 None None ** * Tax levy amount ($100) rounds to 0.0000. **The rate depends on the value of the bond issue; no maximums are imposed. The College issued General Obligation Limited Tax bonds in September 2011 and which are payable solely from the Debt Service Extension Base (“DSEB”) of Oakton’s District. The DSEB is an amount equal to that portion of the extension for the District for the 1994 levy year constituting an extension for payment of principal of and interest on bonds issued by the District without referendum increased each year commencing with the 2009 levy year, as described below under Property Tax Limitations. For the 2012 tax year, such amount is $3,224,047. The Current Rate in the table above is the levy rate from the 2012 tax levy. The Statutory Maximum is the highest tax rate permitted by state law. The term “None” means no maximum is imposed. Other applicable tax categories include Building Bonds, Teachers Orders, and Public Building Commission Operation and Maintenance Fund, none of which the College currently uses. PROPERTY TAX LIMITATIONS The Property Tax Extension Limitation Law (PTELL) requires that tax levy calculations be based on the prior year’s EAV and limits the increase in property tax extensions to the lesser of 5% or the percent increase in the national Consumer Price Index (CPI) for the prior year. For the 2012 levy year, on which the current budget is partly based, the change is measured from December 2010 to December 2011; this change was 2.96%, so the cap for the 2012 levy year is 2.96%. Therefore, for calculating and testing the 2012 aggregate tax levy, which was acted on by the Board of Trustees in December 2012 and which will provide revenues for the second half of Fiscal Year 2013 and the first half of Fiscal Year 2014, it is necessary to use the EAV from 2011 and the CPI from December 2011 to verify compliance with applicable tax laws. 34 The Office of the County Clerk, Cook County, automatically reduces the aggregate levy if it exceeds the PTELL; however, the College can specify how the reduction will be applied to the individual tax levies if other than a proportional basis reduction is appropriate; for example, the College can instruct the County Clerk, by resolution, to apply all of any reduction due to PTELL to a specific levy, say for the Education Fund, and leave the other levies intact. The general effect of PTELL is to limit revenue growth from property taxes to the rate of inflation plus an allowance for new property; however, taxpayers are still allowed to grant additional growth to a taxing district through referendum. The cap applies to the total, or aggregate, extension for a taxing district (excluding certain types of bonds, including Oakton’s Series 2011 bonds), so an increase in the tax extension for one fund can be offset by a decrease in the extension for another fund because the cap applies to the total extension for the receiving taxing district, not to the individual levies or to the rates. Furthermore, the cap does not prevent or limit increases on individual tax bills, which can increase from other factors, such as new construction or additions to the property, for example. New additions to the tax base are exempted from the cap in the first year and become part of the base the following year. While this discussion provides a reasonable general overview of tax limitation, the law itself is somewhat more complex and should be consulted for a more detailed analysis; such analysis will also specify limitation exceptions and exclusions. TRUTH IN TAXATION The Cook County Truth in Taxation Law imposes procedural processes and limitations on the District's real estate taxing powers. The law requires that not less than twenty days prior to the adoption of its aggregate levy, the District shall determine the amounts of money estimated to be necessary to be raised by taxation for that year upon the taxable property in the District. If the estimated aggregate levy exceeds 105% of the prior year’s aggregate tax extension (not the prior year’s levy, which may be more or less than the tax extension), the District must publish notice and hold a public hearing on its intent to adopt such a levy. The notice, with specified statutory form, is required to be published not less than seven nor more than fourteen days prior to the public hearing date, which is set by statute as the first Friday in December for community colleges (other taxing districts are assigned different first in December days) if there is no regularly scheduled Board of Trustees meeting in December. Truth in taxation is independent of and unaffected by the property tax extension limitation laws. BOND ISSUE Working Cash Bonds By statute the College is allowed to issue working cash bonds for up to 75% of operating funds property tax revenues and 75% of the Commercial Personal Property Replacement Tax allocation. The College’s only working cash bond issue was fully paid as of December 1, 1996. The College has no plans in fiscal year 2014 to issue future working cash bonds. 35 Limited Bonds On August 24, 2011, the College issued General Obligation Limited Tax Bonds, Series 2011 in the amount of $27,245,000. The principal and interest payments began on June 1, 2012 with the final payment due December 1, 2024. The Bonds maturing on or after December 1, 2022 are subject to optional redemption prior to maturity. The principal and interest payments will be made annually and semiannually, respectively. The proceeds were used to pay the $30.1 million Debt Certificates, Series 2011 originally issued on June 1, 2011. The initial Debt Certificates were issued for the purpose of financing the construction of the Science and Health Careers Instructional Building pursuant to the College’s $68.5 million five-year Facilities Master Plan. Moody’s Investors Service, Inc. has assigned a rating of Aaa to the Bonds. As discussed in greater depth herein and in the Addendum to the President’s Letter, the College plans an issuance of General Obligation Limited Tax Bonds approximating $10 million during fiscal year 2014. CASH MANAGEMENT For the purpose of overall investment of excess funds, the College is governed by the Illinois Public College Act (Chapter 110. of Illinois Compiled Statutes Act 805) and the Illinois Public Funds Investment Act (Chapter 30. of Illinois Compiled Statutes Act 235). The fiduciary responsibility for the investments is entrusted to the College Board of Trustees, which has delegated that function to the Treasurer of the College. In keeping with existing Board policy, all investments of excess funds are to be made in a prudent, conservative, and secure manner and in accordance with the guidelines detailed in the College Investment Policy No. 3003. Designation of depositories of College funds is approved by the Board of Trustees. In FY 2013 the College’s investments from current funds generated $406,000 in investment income. The College’s average rate of return before fair value adjustments was 0.76% in fiscal year 2013. The following table summarizes the College’s investment position as of June 30, 2013. Investments GNMA Bonds Illinois Funds Money Market Certificates of Deposit Illinois Metropolitan Investment Fund Treasury Notes High Yield Money Market Total (000) $ 4,303 4,139 38,116 20,010 15,010 42,696 $ 124,274 % 3.5% 3.3% 30.7% 16.1% 12.1% 34.4% 100% Investment interest revenues are allocated from the College’s investment pool to the various funds based upon each fund’s contribution to the investment pool’s assets. 36 INVESTMENT IN PLANT Investment in Plant consists of those assets of long-term character which are intended to continue to be held or used, such as land, buildings, improvements other than buildings, machinery, and equipment. A comparison of Investment in Plant values is presented in the following table. The amounts represent actual and estimated original costs of the assets. Depreciation is also recorded in the College’s Investment in Plant Fund. This is not a budgeted fund. June 30, 2011 June 30, 2012 June 30, 2013 Cost in millions $84.2 $89.5 $115.5 Accumulated Depreciation in millions $30.8 $33.4 $34.1 Net in millions $53.4 $56.1 $81.4 The College uses the depreciation schedules below for assets acquired in FY2009 or later, amounts in parentheses for assets acquired prior to FY2009 : 1. 2. 3. 4. 5. Buildings Building improvements Land improvements Equipment Computer Technology 50 years (47 years) 8 years (7 years) 8 years (6 years) 8 years (7 years) 4 years (4 years) CONTINGENCY FUNDS Contingency funds are those expenditures budgeted but not assigned to any direct expenditure category to be used for emergencies or unforeseen expense requirements. A typical reason for accessing these monies might be to cover the cost of additional faculty salaries or laboratory supplies for an instructional discipline in which the enrollment has increased dramatically or for unanticipated repairs to College facilities. For the FY2014 budget, uncertainty about ongoing negotiations with the part-time faculty union and the possibility of structural and equipment repairs arising from an April 2013 flood event were components of contingency amounts budgeted. Contingency funds may not be expensed directly; they are used only by budget transfer to other expenditure categories. This insures that all expenditures are recorded directly in the programs to which they belong and avoids the later problem of having to separate salaries from supplies in order to make accurate budget analyses and financial comparisons. Because budget transfers change the original budgeted amount, budget to budget comparisons of contingency funds have no meaning once the budget transfers have been applied. For FY 2014 the College has budgeted $1,089,000 in contingency for operating funds, $500,000 for the Operations and Maintenance (Restricted) Fund and an additional $855,000 in contingency for the Auxiliary Enterprise Fund. 37 INTERIM BORROWINGS No Tax Anticipation Warrants or Notes have ever been issued. FINANCIAL RESOURCE MANAGEMENT As indicated by the financial and statistical data, the College continues to meet its responsibilities for sound financial management. The total fund balance of all funds, including the Working Cash Fund, will show an estimated positive net balance of $74 million at the end of the fiscal year. Some individual funds are projected to show a decrease in fund balance and the Operation and Maintenance Fund (Restricted) may show a deficit balance at the end of the fiscal year. A detailed discussion of fund balance reductions is contained in the “Addendum to the President’s Letter.” Fund Balances Oakton adopted an Operating Funds Net Asset Policy in December 2010. This policy provides direction on management of the Net Assets (or Net Position) in the Education and the Operations and Maintenance Funds – referred to as the “Operating Funds.” The College intends to maintain a strong financial grounding and to mitigate current and future risks and to ensure stable tax rates. The general principles the College will employ in the management of net position include: • • • • • • • The use of Operating Fund net position to finance current operations will not be permitted except to cover extraordinary circumstances Bond ratings and credit implications will be considered Targeted financial ratios will be utilized Net position may be used to support long tem capital improvement plans and/or initiatives in fulfillment of the College’s mission and strategic objectives When both restricted and unrestricted resources are available for use, restricted resources will be used first and then unrestricted resources The College’s dependence on its property tax base and its vulnerability to the state’s financial condition, student enrollment and its ability to charge tuition and fees will be considered Factors to be considered will include the relative significance and timing of both property taxes and state funding revenues to the Operating Funds. It is noted that property taxes are collected by Cook County (only) two times per year and there are current uncertainties surrounding both the timing and receipt of state monies Established financial ratios are as follows: • The Operating Funds will maintain unrestricted net position in an amount greater than or equal of 50% of annual budgeted Operating Fund expenditures plus anticipated state apportionment funding. Such amount approximates 200 days of working capital and shall take the form of cash and short-term investments • The College will strive to maintain, restricted and unrestricted net position in the amount of $35 million for working cash in recognition of the potential for delays and/or non receipt of state funding for recurring programs such as scholarships, 38 credit hour reimbursement and adult education. This amount would also provide resources in the event of a natural disaster or operating emergency. The College may use net surpluses as follows: • Maintain net position in an amount projected necessary to maintain a strong financial grounding and to provide for operating contingencies that might arise from unforeseen circumstances • Fund capital improvement projects • Reduce (any) outstanding debt, to the extent permitted by underlying debt agreements Should unrestricted net position of the Operating Funds fall below these targeted financial ratios, the Vice President of Business and Finance must present to the Board for approval and adoption a plan to restore this balance. The College will periodically assess the allocation of (any) net surplus or revenues over expenditures and interfund transfers between additions to net position and designation for specified purposes such as capital improvements. Debt Management Prior to June, 2011, Oakton had no debt. On June 1, 2011, the College issued Debt Certificates, Series 2011 in the amount of $30,100,000 to finance the construction of the Science and Health Careers Instructional Building pursuant to the College’s five-year Facilities Master Plan. The Certificates bore interest at a variable interest rate per annum. The interest rate for a particular interest period was the rate equal to 75% of the sum of (1) the LIBOR Rate for the applicable interest rate period and (b) 1.37% not to exceed the greater of 9% per annum or 125% of the rate for the most recent date shown in the 20 General Obligation Bonds Index of average municipal bond yields as published in the most recent edition of the Bond Buyer. At the option of the College, the certificates could be redeemed prior to maturity, in whole or in part as determined by the College, on any date. The Certificates could be redeemed at a redemption price of par plus accrued interest. The initial interest rate was 3.69% as of June 30, 2011. The Debt Certificates, Series 2011 were redeemed in full during fiscal year 2012. By law the College is permitted to incur regular debt up to 2.875% of the district’s assessed valuation; at the present time that limit calculates to $621.3 million on an assessed valuation of $21.6 billion, leaving the College’s total current debt at 4.11% of limit. On August 24, 2011, the College issued General Obligation Limited Tax Bonds, Series 2011 for a total debt obligation of $30,398,570 and a true interest cost of 2.5%. This includes the par and premium value of the bonds of $27,245,000 and $3,153,570, respectively. The principal and interest payments began on June 1, 2012 with the final payment due on December 1, 2024, as outlined in the table below. The principal and interest payments will be made annually and semiannually, respectively. Bonds maturing on or after December 1, 2022 are subject to optional redemption prior to maturity. The proceeds were used to pay the $30.1 million Debt Certificates, Series 2011. 39 Tax Levy Year 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Principal Interest Total Debt Service $1,705,000 $1,371,866 2,030,000 1,046,635 2,110,000 965,435 2,195,000 881,035 2,280,000 793,235 1,945,000 712,335 2,020,000 637,035 2,075,000 583,913 2,155,000 500,913 2,265,000 393,163 2,380,000 279,913 2,495,000 160,913 1,590,000 53,663 $3,076,866 3,076,635 3,075,435 3,076,035 3,073,235 2,657,335 2,657,035 2,658,913 2,655,913 2,658,163 2,659,913 2,655,913 1,643,663 Total $27,245,000 $8,380,051 $35,625,051 Debt Service Extension Base $3,077,805 3,077,805 3,077,805 3,077,805 3,077,805 3,077,805 3,077,805 3,077,805 3,077,805 3,077,805 3,077,805 3,077,805 3,077,805 Unused Debt Service Extension Base $938 1,170 2,370 1,770 4,570 420,470 420,770 418,892 421,892 419,642 417,892 421,892 1,434,142 The Bonds constitute valid and legally binding general obligations of the District, and all taxable property in the District is subject to the levy of ad valorem taxes to repay the bonds without limitation as to rate. The amount of said taxes that will be extended to pay the Bonds is limited pursuant to the Property Tax Extension Limitation Law, as amended, 35 Illinois Compiled Statutes 200/18-185 et seq. (the “Limitation Law”). The Debt Reform Act provides that the Bonds are payable solely from the debt service extension base of the District (the “Base”), which is an amount equal to that portion of the extension for the District for the 1994 levy year constituting an extension for payment of principal of and interest on bonds issued by the District without referendum increased each year, commencing with the 2009 levy year, by the lesser of 5% or the percentage increase in the Consumer Price Index. The Limitation Law further provides that the annual amount of taxes to be extended to pay the Bonds and all other limited bonds hereafter issued by the District shall not exceed the Base. The Bonds constitute the only series of limited bonds of the District that are payable from the Base. The District is authorized to issue from time to time additional limited bonds payable from the Base, as permitted by law, and to determine the lien priority of payments to be made from the Base to pay the District’s limited bonds. In the Bond Resolution the District covenanted that no additional limited bonds may be issued with a lien status superior to the security of the Bonds and the District will not issue bonds the debt service of which, when aggregated with other bonds payable from the Base, would exceed the amount of the Base. The fiscal year 2014 budget includes the issuance of $10 million of debt during the year. Similar to the Debt Certificates and Bonds issued in 2011, it is anticipated the process 40 will begin with the issuance of Debt Certificates approximating $10 million early in calendar year 2014. This transaction will be followed by the issuance of approximately $10 million of General Obligation Limited Tax Bonds which will be used to retire the Debt Certificates. Proceeds from the Debt Certificates will be invested in the Science and Health Careers Instructional Building and other projects within the College’s Five-Year Facilities Master Plan. Funds for principal and interest on the anticipated $10 million bond issuance will come from property taxes accessed through the unused debt service extension base outlined above. Oakton adopted a Debt Management Policy in December 2010. This policy states that the College may incur debt to maintain and enhance the physical plant and infrastructure though capital projects with economic/useful lives of the assets of greater than five years. The amount of external debt that the College has at any given time will be a function of its ability to service that debt without diminishing the resources necessary for general operating expenses and other non-capital priorities and the desire to maintain a highquality credit rating while sustaining overall financial health. The general principles the College will employ for the overall management of debt include the following: • • • • • Long-term debt will not be used to finance current operations The term of bonds issued will not be more than the economic/useful lives of the underlying assets which they finance The College will seek to maintain an acceptable balance between interest rate risk and the long-term cost of capital The College’s debt portfolio will be evaluated in the context of all of its assets and liabilities. Diversification within the debt portfolio may be used to balance risk and liquidity across the College The College will consider the use of capital and operating leases, especially for the acquisition of equipment, to the extent such transactions are compatible with and help achieve its overall objectives concerning the use of debt The College’s debt limitations will be evaluated and determined by the considerations of its legal authorizations and limitations and credit considerations including the College’s credit rating. The College seeks to maintain long-term bond ratings in the “investment grade” category. Established financial ratios are as follows: Debt Burden Indicators • Debt as a percentage of the fair market/equalized assessed value of taxable property in the College’s district. Target range: 0.15% to 0.4% • Debt per capita. Target range: $100 to $250 • Debt per capital as a percentage of personal income per capita target range: 0.25% to 0.75% • Debt Applicable to Legal Debt Margin. Target range: 5% to 13.5% 41 Debt Service Indicators – • Debt service as a percentage of (all) property tax revenue. Target range: 8% to 22% • Debt Service as a percentage of budgeted operating expenditures. Target range: 5% to 20% In evaluating its capacity for external debt, the College will also consider what revenue sources might be available specifically to pay debt service. Property tax levies and student activity, facility and other fees will be considered when planning for capital projects and debt associated with these income streams. In general, the College will consider the level of self-support and external revenue support associated with capital projects in assessing debt affordability within the College’s budget. Historically, the College’s practice has been to incur debt as little as possible. Prior to the Debt Certificates, Series 2011 and the General Obligation Limited Tax Bonds, Series 2011, the College had assumed debt only twice in its thirty-four year history. These two instances were the working cash bonds (referred to above) and a non-interest bearing installment contract purchase of the Niles East High School, both of which have long since been paid. All of the College’s other financial obligations have been met on a payas-you-go basis, and even the installment purchase could have been completed using fund balances for a single payment had there been a compelling financial advantage in doing so. Prior to the current Five Year Facilities Master Plan, capital expansion has been funded entirely from College reserves and, at times, with the assistance of state support. There is little capital vulnerability to the College’s financial health. Strategic Plan In April of 2012 Oakton Community College’s Board of Trustees approved a new strategic plan for 2013-2017. The new five year strategic plan called “Connecting What Matters” includes three overarching goals and twenty-one objectives which are necessarily broad and comprehensive, but also include a range of measurable outcomes. Overall, the College shows a very healthy positive net balance for all funds, in spite of extraordinary expenditures for recent and future new construction, remodeling necessary to meet the educational needs of the district, and a substantial commitment to an enhanced information technology infrastructure. RISK MANAGEMENT The College participates in the Illinois Community College Risk Management Consortium (Consortium) which was established in 1981 by several Chicago area community colleges as a means of reducing the cost of general liability insurance. The Consortium is a public entity risk pool currently operating as a common risk management and insurance program for the member colleges. The main purpose of the Consortium is to jointly self-insure certain risks up to an agreed upon retention limit and to obtain 42 excess catastrophic coverage and aggregate stop-loss reinsurance over the selected retention limit. Excess coverage, including underlying policies, includes $26 million for general liability, student practices liability, auto liability, campus security liability, educators’ legal liability, employee benefits liability; $21.7 million for workers’ compensation; $22 million for foreign liability; $250,000 for crisis response; $100 million for boiler and machinery; $1 million for identity protection and crime; and $301 million for property. No settlement has exceeded coverage since establishment of the Consortium. In Fiscal Years 2013 and 2012 the College paid $722,000 and $612,000, respectively, to the Consortium for property, liability and worker's compensation protection and received $31,000 and $48,000, respectively, in dividends due to favorable loss experience in prior years. Since the Consortium requests initial payments to cover substantially any losses to be incurred for that policy year, the College anticipates no future liabilities for incurred losses. In July of 2011 the College joined the Community College Health Consortium. (CCHC) The members include the College of DuPage, Moraine Valley Community College, and Oakton. These Colleges joined together in an effort to reduce health insurance costs through reduced administrative costs and stop loss coverage. Each College is allowed its own individual plan design with individual premiums based on their design and experience. The CCHC covers about 2,000 employees and claims in area of $30,000, 000 for its current members. Oakton has about 450 employees covered and has budgeted approximately $7.1 million for this expenditure in FY2014. Gallagher Benefit Services (GBS) is the CCHC’s broker and consultant. The CCHC hopes to leverage GBS’ expertise in reducing overall health insurance costs especially in the area of prescription drugs. Blue Cross and Blue Shield is the insurance provider and third party administrator for the CCHC. The CCHC hopes to enroll additional community colleges, increasing the size of the pool and further reducing costs. OTHER FINANCIAL INFORMATION Management of the College is responsible for establishing and maintaining internal controls designed to protect the assets of the College, prevent loss from theft or misuse and to provide that adequate accounting data are compiled to allow for the preparation of financial statements in conformity with generally accepted accounting principles. The internal controls are designed to provide reasonable, but not absolute, assurance that these objectives are met. The concept of reasonable assurance recognizes that: (1) the cost of a control should not exceed the benefits likely to be derived; and (2) the valuation of costs and benefits requires estimates and judgments by management. FINANCIAL REPORTING State statutes require an annual audit of the College’s financial operations by independent certified public accountants. The accounting firm of Sikich LLP, Certified Public Accountants, has been selected for this purpose by the College’s Board of Trustees. The auditors’ report on the most recent financial statements and schedules is unmodified and is included in the financial section of the Comprehensive Annual Financial Report for the year ending June 30, 2013. 43 Additionally, each college is required to publish a financial statement, in a form prescribed by the Illinois Community College Board, in a newspaper of general circulation in the district prior to November 15 of each year. This statement contains pertinent financial data, including tax rates and extensions, assessed valuation, bonded debt, and summaries of revenues and expenditures supported by tax funds. As an additional service to the district residents, the College publishes the presentation budget (this document). It includes financial summaries, comparative analyses, and statistical information relating to the College and its educational and financial operations. The College also publishes the President’s Report to the Community, which contains a summary of the College operations and activities during the past year. It contains, also, limited summary financial information. This report most closely corresponds to a corporate annual report with a significant emphasis on financial activities. The ICCB also requires from all colleges electronic submission of financial data at the end of the fall semester, at the first close of the fiscal year data, and when final audited financial data are available. This information, a response to statutory requirement, provides on-line comparative data to the colleges and assists the ICCB in budget development and in responding to legislative inquiries. Internally the College makes available on-line monthly financial information summaries in a variety of standard and custom formats to assist administrators in managing their programs. EMPLOYEE RELATIONS The District has three union affiliations with four bargaining units. The Illinois Education Association - National Education Association (IEA-NEA) represents the fulltime faculty with a four year contract that expires in August, 2016. The IEA-NEA also represents the adjunct faculty who teach six credit hours or more with a recently approved contract which expires in August, 2017. The Illinois Federation of Teachers - American Federation of Teachers (IFT-AFT) represents the classified staff bargaining unit with a contract that expires December 31, 2016. The public safety officers are represented by the Fraternal Order of Police with a contract which expires in June, 2016. EDUCATIONAL FOUNDATION The Oakton Community College Educational Foundation is a legally separate, private not-for-profit 501(c)3 organization that is a component unit of the College. The Foundation acts primarily as a fund-raising organization to supplement the resources that are available to the College in support of its programs. The 24-member board of the Foundation is self-perpetuating and consists of friends of the College. Although the College does not control the timing or amount of receipts from the Foundation, the majority of resources, or income thereon, which the Foundation holds and invests are restricted to the activities of the College by the donors. The restricted resources held by the Foundation can only be used by, or for the benefit of, the College. The Foundation is reported in separate financial statements because of the difference in its reporting model. 44 The Foundation establishes its own budget and expenditure priorities independently of the College. As a courtesy the College does provide some financial support, services and assistance to the Foundation. 45 OAKTON COMMUNITY COLLEGE Community College District No. 535 Budget Process Budget Formulation The budgeting process is centered in the College’s strategic plan. Connecting What Matters, Oakton’s strategic plan for 2013 – 2017, provides a framework for the Board of Trustees and the President’s Council to make recommendations for the future of the College, its goals, and directions. These goals and priorities are set forth in the “Goals and Objectives” section of this Budget document, Program Review reports, the Facilities Master Plan and the Resource Allocation Management Plan (RAMP) the College prepares and sends to the Illinois Community College Board (ICCB) on an annual basis. Program Review, a process of self-evaluation, critically analyzes all of the programs of the College on a cyclical basis. The Five Year Facilities Master Plan was approved by the Board of Trustees in December 2010 and is discussed in the Capital Expenditures section of this document. RAMP is the basic planning document for capital expansion and is used by the ICCB for developing capital requests as part of the ICCB budget request to the Illinois Board of Higher Education and the state for funding. Long- range planning, however, is a continuous process that occurs at the various management levels of the College and involves administrators, faculty, and staff in a coordinated effort to constantly improve the College’s ability to best serve our students and the residents of the District. Ultimately the Board of Trustees, operating through the President’s Council, establishes the final guidelines necessary for preparing the budget. The Vice President for Business and Finance takes responsibility for insuring that the process is completed properly and in a timely manner. Responsibility for preparing the final budget document lies with the Budget Office, an office of the Vice President for Business and Finance. In addition to preparing financial portions of state-required reports, the instructional cost report, tax levy documents and resolutions for Board approval, and other budget-related financial and credit hour grant documents, the Budget Office serves as a focal point for activities related to establishing the new budget for the coming fiscal year. These activities include coordinating controllable expense requests; publishing various budget documents; performing the financial studies necessary to determine appropriate non-controllable expense allocations; and compiling all of the disparate parts into a unified budget document for presentation to the Board of Trustees, the College, and the residents of the District. The process begins in December with a memo to all administrators documenting the schedule and due dates for budget submissions. The President's Council, in conjunction with the other administrators and at the direction of the Board of Trustees, establishes the general allocations of available resources and the general expenditure determinations necessary to meet the specific educational goals of the College. 46 The Budget Office coordinates the activities of the schedule and prepares a preliminary budget which the Vice President for Business and Finance presents to the Board for review, comments, and suggestions. Final changes, revisions, and corrections are then made to the budget document. At least 30 days before the final budget is approved by the Board, the Budget Office publishes the legal budget and makes the document available for public inspection, as required by state law. Oakton uses a modified centralized form of budget procedure. Some portions of the budget are predetermined and other portions are set by the responsible administrator in consultation with his/her faculty and staff, all within certain guidelines established by the Board of Trustees and the President’s Council. (For example, general supplies may not increase unless compensated by a decrease in some other controllable area.) This procedure enables the College to monitor and direct the budget process while still allowing administrators the control and authority they need to best develop their programs and functions in a manner consistent with the overall mission and needs of the College. All revenue projections derive from studies conducted by the Budget Office and are based upon enrollment projections, state credit hour grant funding levels, tax levies, anticipated grant awards, and other applicable information. Expenses are finalized in several different ways. Certain expenses are considered “controllable,” that is, within limits, each administrator has the ability to control the level of expenditures, such as contractual services, printing costs, and travel. “Non-controllable” expenditures, not generally subject to unilateral change by the administrator, include salaries (which are set contractually), benefits costs, and other charges established on a pro-rata or College-wide basis. Controllable expenditures are integrated into the budget through the balance-of-budget requests submitted by the area administrators after review by the appropriate vice president. Non-controllable expenditures are integrated into the budget based upon financial and statistical studies that generally conform to previously defined limits and guidelines. Four categories of expenditures are handled separately: personnel, remodeling, special and capital equipment requests, and special funding initiatives. Each of these general areas is budgeted individually and then integrated into the final budget document. The process is best illustrated by examining the procedures used for determining special and capital equipment expenditure levels. Each administrator may submit requests for special and capital equipment, defined loosely as non-recurring items that normally would not be procured through the regular operating supplies and materials budget category. Although the capitalization threshold for the College is $10,000, no minimum dollar amount is prescribed for these requests, and budgeted amounts are not carried over from year to year. (The word “capital” is used in its generic sense here.) These items might include computers or printers, replacement equipment for labs, or new College vehicles or tractors. 47 Administrators submit their requests electronically to the Budget Office, which compiles a master request list. The President’s Council, in collaborating with the other administrators, approves final equipment determinations. The Budget Office prepares a final equipment request list which serves as the basis for individual equipment purchases in the new fiscal year and as authority for integrating capital equipment funds into the final budget. The process requires difficult choices, as resources are limited and cannot satisfy every program’s needs and desires. Staffing and special funding initiative requests follow a similar process. The Director of Facilities evaluates specific remodeling requests for costing, feasibility, and over-all compatibility with the College’s general and continuing maintenance program prior to being integrated into the budget. Note that approved staffing requests affect future budgets; equipment and remodeling requests apply only to the current budget determinations and revert to zero for the next budget cycle. Whether a special funding initiative is carried forward to future years or reverts to zero for the next budget cycle depends on the nature and status of each individual initiative. As a final step in the process, the Budget Office distributes the proposed legal budget to the Board of Trustees, and places the document on public display in the office of the Vice President for Business and Finance. Once approved by the Board, the legal budget appears on the College’s Web site. Copies of the legal budget also are sent to the ICCB and the county clerk’s office to conform with state law. Public Participation As a public entity, substantially financed by funds from taxpayers, the College has a responsibility to communicate with the residents of the District. Consequently, Oakton publishes financial documents such as the Comprehensive Annual Financial Report and the Annual Budget and announces financial events and pending decisions of public importance in local area newspapers. Additionally, Oakton publishes an annual President’s Report to the Community providing significant qualitative and quantitative information about the College. The College welcomes public participation at meetings of the Board of Trustees. At least 30 days prior to the time the Board takes final approval action on the budget, the College places an announcement in local newspapers serving the District, noting the preparation of the legal budget and setting the time and location of the scheduled meeting to consider its approval. Residents are always welcome to comment on financial matters by speaking at Board meetings or by contacting the members of the Board. During the approval process at the Board meeting, time is allotted for public comment and discussion concerning the proposed budget. Oakton officials are occasionally asked to address various groups and meetings in the District on matters which concern the College’s financial plans and the impact of those plans on local residents and businesses. This open communication assures that interested 48 District residents are kept informed about the College’s progress in meeting its educational and financial goals and at the same time makes the College aware of the needs and concerns of District residents. Important financial reports and documents such as the Comprehensive Annual Financial Report, Presentation Budget, President’s Report to the Community, etc. are available at any time on the College’s website. Budget Modification Subsequent to the adoption of the budget for a particular fiscal year, it may be necessary to permit transfers of budget amounts between object and functional designations within a fund. For example, faculty salaries are budgeted based in large part upon previous teaching loads and upon projected program enrollments. If a program suddenly becomes more popular and enrollment increases substantially, more faculty resources will be necessary to cover the increased loads. Excess funds in one program may be reassigned to cover the shortfall in the other program. As another example, if labor negotiations are not finished and salary issues are uncertain, careful management dictates that a reserve be set aside to cover possible salary increases, usually budgeted in some type of contingency account. When the actual raises have been determined, the contingency funds can be transferred to the appropriate salary accounts. Accounting controls depend, in part, upon monitoring spending levels against budget levels. Monies budgeted for one purpose should not be spent for another; that is to say, faculty should not be paid from equipment accounts. Spending in some accounts may stop unnecessarily only because funds are not budgeted sufficiently in those accounts or because extenuating circumstances arise, such as the need to replace a major piece of vital equipment. Auditing the status of the funds is also easier if budget amounts have been amended to reflect appropriate levels of spending authorization. Procedurally, the budget, once published in the form of the legal budget, may not be changed until acted upon by the Board of Trustees. At the time of initial approval, and at any time thereafter, the Board may make changes to the legal budget by Board resolution within the limits established by law. Some changes are initiated automatically, such as those which transfer funds between salary line items to account for contract approvals. The Budget Office prepares these routine adjustments and writes the resolution upon which the Board acts. The non-routine changes must originate from an administrator who sends a budget transfer request to the Budget Office through the area Vice President. The request includes the amounts to be transferred and the specific accounts to be debited and credited together with a rationale for the transfer. After administrative approval, the request is included in a resolution to the Board. After the resolution has been passed, the budget amounts are adjusted accordingly. State law, as an additional control on financial matters, places restrictions on budget transfers. The law recognizes legal and non-legal types of transfers. (The word “legal” as used here refers to a transfer which would make a change to the legal budget.) Non-legal, 49 or internal, transfers are those made within the same function and within the same object group. There is no limit on the number or amount of non-legal transfers which may be made, and non-legal transfers may be made without formal Board approval by resolution. An example of a non-legal transfer would be transferring funds from the staff salary account to the part-time faculty salary account in the biology program. Legal transfers, however, are transfers between functions and/or object groups, require formal Board approval, and are limited by law to not more than 10 percent of the fund total. An example of a legal transfer would be moving funds from the Art program faculty salary account to the Student Recruitment and Outreach capital equipment account. A cumulative record of all legal transfers is included in a summary section of each budget transfer resolution acted upon by the Board of Trustees to insure appropriate compliance. The following chart details current legal transfer limits for each of the funds. Fund Current – Unrestricted Education Operations and Maintenance Auxiliary Enterprises Current - Restricted Bond and Interest Liability, Settlement, Protection Audit Working Cash Restricted Purposes Plant Operations and Maintenance - Restricted FY 2014 Total Budgeted Expenditures Legal Transfer Limit (10%) $60,157,910 8,135,090 16,835,027 $6,015,791 813,509 1,683,502 $13,833,150 1,381,699 110,000 0 39,384,000 $1,383,315 138,169 11,000 0 $3,938,400 $ 46,157,849 $ 4,615,784 The law places an additional restriction on transfers between funds after the Board of Trustees has approved the legal budget. Such transfers are prohibited unless the College undertakes the entire budget approval process again, including the publication of a public notice, a public hearing, and Board of Trustees approval by resolution. Typical General Schedule – Significant Budget Events The following details a typical generalized schedule of the budgeting process. Specific action dates may change from year to year and therefore are not included. 50 Budget Schedule October Preliminary estimate of tax levy by Board of Trustees November December Revision/updating of Budget Request Procedures book Publication of the budget schedule to all administrators Adoption of tax levy by Board of Trustees January Distribution of balance of budget data to administrators February Submission of capital equipment requests Submission of remodeling requests March Submission of requests for additional/revised staffing Submission of Special Funding Initiative requests Distribution of preliminary capital equipment request lists April Submission of balance of budget worksheets Approval of staffing requests Distribution of preliminary Special Funding Initiative request lists Review of budget draft by President’s Council May Approval of final capital equipment requests Approval of Special Funding Initiative requests Incorporation of remodeling requests Publication of public notice of meeting to address budget Publication of legal budget for public participation Distribution of tentative legal/line item budget June Public hearing on budget Final publication of legal budget prior to Board action Approval of legal budget by Board of Trustees July August September October Publication of presentation budget Submission of approved legal budget to ICCB 51 Use and Tracking While the presentation budget is primarily a communications document, sharing the College’s financial plans to the residents of the District in a reasonably compact, but informative format, the line item budget document is primarily a controlling document. By comparing the line item budget with corresponding entries in the periodic accounting summaries, responsible officials can monitor the progress of expenditures in their areas and make adjustments, such as curtailing expenditures or requesting budget transfers, as necessary. Being able to track spending rates and levels through the line item budget gives administrators better control over their expenditures and programs. Oakton has consistently been awarded the Government Finance Officers Association Distinguished Presentation Award. 52 OAKTON COMMUNITY COLLEGE Community College District No. 535 Notes on Preparation and Conventions Used in the Budget Mathematical Conventions Except as otherwise noted in the documents, dollar amounts are rounded off to the nearest dollar using standard mathematical rounding techniques. As a matter of style, dollar signs ($) are not used to indicate dollar amounts unless their exclusion would cause confusion. Negative numbers are shown in two ways: the accounting convention of indicating negative values with a parenthesis, such as (1,000), and the mathematical convention of using a negative sign, such as -1,000. Generally, parentheses are used in tables, while negative signs are used in charts and for percentages. Both forms are equivalent. Percentages are indicated with the percent sign (%). Percentages are rounded off to two decimal places using standard mathematical rounding techniques. All calculations involving percentages are carried out to sixteen decimal places before rounding. In a few cases, it may be observed that the printed percentages will add up to slightly more or less than 100.00% (99.99% or 100.01%, for example). This phenomenon is a quirk of rounding, not of mathematical inaccuracy, and no attempt has been made to adjust rounded percentages. It will appear most frequently in charts and graphs and may safely be ignored. Another convention with percentages involves the percent increase or decrease of a category. By mathematical definition the percent increase from $0.00 to any amount not equal to $0.00 is undefined (i.e., from $0.00 to $10,000). This percent increase will be arbitrarily shown as 100.00%. Decreases are shown as negative increases (i.e., -45.00%). Thus, a decrease in funds of .94% would be shown as -0.94%. All percentages less than 1.00% are shown with a leading zero. Preparation/Publishing Although occasionally source documents may be indicated for emphasis on a particular page or chart, unless otherwise noted to the contrary, all information has been developed from College records, particularly past year audit reports and current and past year budget documents. The notation "ICCB Data and Characteristics" used as a source indicator refers to Data and Characteristics of the Illinois Public Community College System, published annually by the Illinois Community College Board. 53 The phrase “local area average” used in the comparative charts and graphs refers to the local community colleges which Oakton considers to be its geographical peers: 1. 2. 3. 4. 5. DuPage Elgin Harper Lake County Moraine Valley 6. 7. 8. 9. 10. Morton Oakton Prairie State South Suburban Triton The College has decided that the goal of clear communication and readability is of sufficient importance that a standard page would be an unacceptable limitation. Therefore, instead of forcing data, tables, and charts onto a portrait-oriented page just for the sake of consistency, it was decided to let the page fit the data to be presented in order to produce the clearest and most readable document. Unless otherwise indicated, all comparative data used in this presentation should be considered the latest available data. The budget was prepared by the Office of the Vice President for Business and Finance, Oakton Community College. The responsible administrator is Mr. Robert J. Nowak, Vice President for Business and Finance with Karen Epps, Director of Budget and Accounting Services and Sandy Huffman, Budget Office Assistant. We welcome your ideas on how we may improve our presentation of financial information to the community; please address your comments and suggestions to Mr. Nowak. 54 BUDGET SECTION OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Revenues and Expenditures ALL FUNDS This table summarizes financial information for all budgeted funds of the College and presents the College's overall financial position at a glance. It gives an overview of the analyses of the individual funds and fund groups which follow. FY 12 Actual FY 13 Budget Preliminary (1) FY 13 Actual FY 14 Budget Beginning Net Position: 129,333,755 132,097,299 132,097,299 112,369,365 REVENUES Local Government State Government Federal Government 74,052,778 20,879,082 10,457,277 46,298,841 22,374,691 14,717,000 46,964,193 24,264,730 9,601,126 68,989,740 28,352,210 14,242,450 24,432,636 12,401,801 24,496,426 12,228,336 24,682,735 10,633,200 24,404,755 11,563,180 142,223,574 120,115,294 116,145,984 147,552,335 54,119,610 20,963,392 6,596,479 7,174,108 357,948 31,616,711 1,754,313 5,259,297 11,518,172 0 56,835,271 21,364,039 7,727,214 10,460,044 662,165 3,974,468 1,847,423 34,957,701 14,891,880 2,493,701 53,331,651 25,552,418 5,941,328 7,445,249 360,792 3,362,482 1,638,852 27,795,028 10,446,118 0 57,714,444 29,083,833 7,953,787 11,795,203 774,720 14,559,037 1,983,270 44,796,380 14,840,351 2,493,700 139,360,030 155,213,906 135,873,918 185,994,725 (35,098,612) 0 (19,727,934) 0 (38,442,390) 0 96,998,687 112,369,365 73,926,975 Student Tuition and Fees(2) Other Sources TOTALS: EXPENDITURES: (By Object) Salaries Employee Benefits Contractual Services General Materials and Supplies Conference and Meeting Fixed Charges Utilities Capital Outlay Other Contingency TOTALS: Net of Revenues and Expenditures Net Fund Transfers: In (Out) Ending Net Position: 2,863,544 (100,000) 132,097,299 (1) Amounts are reported from the preliminary year end close and do not reflect any audit adjustments that may arise. (2) Historically 24-25% of such amounts are paid by scholarship allowances. 56 OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Revenues and Expenditures All Funds Fiscal Year 2014 Revenues Other Sources 7.83% Student Tuition & Fees 16.54% Local Government 46.76% Federal Government 9.65% State Government 19.22% Fiscal Year 2014 Expenditures Salaries 31.03% Employee Benefits 15.64% Contingency 1.34% Contractual Services 4.28% Other - 7.97% General Materials & Supplies 6.34% Capital Outlay - 24.08% Utilities - 1.07% 57 Fixed Charges 7.83% Conferences & Meetings 0.42% OAKTON COMMUNITY COLLEGE Community College District No. 535 Summary of Revenues and Expenditures - All Fund Groups The table below summarizes the revenues and expenditures for all budgeted funds. The table also contains the budgeted and actual amounts from previous years to allow for comparison of revenue and expenditure levels over g p y p p time. FY 13 to FY 14 Preliminary FY 13 (1) FY 12 FY 13 Actuals Budget Actuals Current Unrestricted Funds Group Education Fund Total Revenues Total Expenditures Net Transfer In (Out) Operations and Maintenance Fund Total Revenues Total Expenditures Net Transfer In ((Out)) Auxiliary Enterprises Fund Total Revenues Total Expenditures Net Transfer In (Out) FY 14 Budget Budget % Change 61,263,618 53,967,030 (1,095,715) 59,824,124 58,192,009 (9,632,115) 62,015,770 54,578,280 (9,632,115) 61,471,620 60,157,910 (5,222,000) 2.75% 3.38% -45.79% 7,573,582 6,945,954 ((352,685)) 8,047,812 8,088,927 41,115 7,864,175 7,356,518 41,115 7,936,380 8,135,090 ((3,000,000)) -1.38% 0.57% <-100.00% 13,581,490 16,175,804 572,000 13,089,084 12,988,899 572,000 13,036,825 16,835,027 284,000 -4.01% 4.08% -50.35% 9,300 1,381,699 1,180,000 -97.41% -3.57% 95.04% 89,255 110,000 49.81% 18.10% 14,369,835 13 833 150 13,833,150 >100.00% >100 00% >100.00% 13,983,633 13,213,657 132,000 Current Restricted Funds Group Liability, Protection, and Settlement Fund Total Revenues 344,315 359,382 (10,474) Total Expenditures 1,403,884 1,432,863 1,328,661 Net Transfer In (Out) 718,400 605,000 605,000 Audit Fund Total Revenues 57,092 59,580 46,499 Total Expenditures 91,659 93,143 86,147 Bond and Interest Fund Total Revenues 31,957,915 3,175,432 3,136,922 Total Expenditures 31 323 634 31,323,634 2 980 450 2,980,450 2 781 073 2,781,073 Working Cash Fund Total Revenues 52,000 36,000 36,000 Total Expenditures 0 0 0 Net Transfer In (Out) (52,000) (36,000) (36,000) Restricted Purposes Fund Total Revenues 26,537,770 33,885,074 29,352,549 ota Expenditures pe d tu es 26,847,796 6,8 7,796 334,445,561 , 5,56 29,545,588 9,5 5,588 Total Net Transfer In (Out) 0 100,000 100,000 Plant Funds Group Operation and Maintenance Fund (Restricted) Total Revenues 453,649 1,146,400 Total Expenditures 5,566,416 33,805,149 Net Transfer In (Out) 550,000 8,350,000 32,000 0 (32,000) -11.11% 0.00% -11.11% 39,394,000 39,38 39,384,000 ,000 (360,000) 16.26% 14.34% .3 % <-100.00% 615,459 27,208,752 8,350,000 11,213,120 46,157,849 7,150,000 >100.00% 36.54% -14.37% 116,145,984 135,873,918 147,552,335 185,994,725 F d Group Fund G Summary S Total Revenues - All Funds Total Expenditures - All Funds 142,223,574 139,360,030 120,115,294 155,213,906 (1) Amounts are reported from the preliminary year end close and do not reflect any audit adjustments that may arise. 58 22.84% 19.83% OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Revenues and Expenditures All Funds by Fund Fiscal Year 2014 Revenues Education 41.66% Operation/Maintenance 5.38% Auxiliary Enterprise 8.83% Bond & Interest 9.74% Working Cash 0.02% O&M (Restricted) 7.60% Liability 0.01% Restricted Purposes 26.70% Audit 0.06% Fiscal Year 2014 Expenditures Education 32.34% Operation/Maintenance 4.37% Auxiliary Enterprise 9.05% Bond & Interest 7.44% Audit 0.06% O&M (Restricted) 24.82% Restricted Purpose 21.17% 59 Liability 0.75% PRESIDENT MARGARET B. LEE 60 EXECUTIVE DIRECTOR FOR HUMAN RESOURCES EXECUTIVE DIRECTOR OF COLLEGE ADVANCEMENT MUM MARTENS CARLEE DRUMMER EXECUTIVE DIRECTOR OF RESEARCH, CURRICULUM & PLANNING AND EXECUTIVE ASSISTANT TO THE PRESIDENT TRUDY BERS DIRECTOR OF GRANTS AND ALTERNATIVE FUNDING ROXANN MARSHBURN VICE PRESIDENT FOR ACADEMIC AFFAIRS THOMAS HAMEL VICE PRESIDENT FOR BUSINESS AND FINANCE ROBERT NOWAK VICE PRESIDENT FOR TECHNOLOGY AND DATA ANALYTICS VICE PRESIDENT FOR STUDENT AFFAIRS BONNIE LUCAS JOIANNE SMITH VICE PRESIDENT FOR ACADEMIC AFFAIRS THOMAS HAMEL ASSOCIATE VICE PRESIDENT FOR CONTINUING EDUCATION, TRAINING AND WORKFORCE DEVELOPMENT ASSISTANT VICE PRESIDENT FOR ACADEMIC AFFAIRS/ DEAN, RHC MERRILL IRVING NANCY PRENDERGAST DIRECTOR OF WORKFORCE DEVELOPMENT AND CORPORATE TRAINING VACANT COLETTE HANDS ASSISTANT DIRECTOR OF LIFELONG LEARNING PROGRAMS & OPERATIONS DIRECTOR OF OPERATIONS AND ADMINISTRATION OPAL 61 DIRECTOR OF COMMUNITY AND ADULT EDUCATION ROBYN BAILEY VACANT DEAN ASSISTANT DEAN OF ACADEMIC AFFAIRS LIBRARY AND ONLINE LEARNING GARY NEWHOUSE MICHAEL CARR LIBRARY AND ON LINE LEARNING ALTERNATIVE EDUC. KOEHNLINE MUSEUM OF ART INTERNSHIP PROGRAM DEAN DEAN DEAN SCIENCE AND HEALTH CAREERS MATHEMATICS AND TECHNOLOGY SOCIAL SCIENCES AND BUSINESS ADAM HAYASHI BOB SOMPOLSKI LANGUAGES, HUMANITIES AND THE ARTS DEAN 62 BASIC NURSING ASSIST. TRAINING BIOLOGY CHEMISTRY EARTH SCIENCE HEALTH INFO. TECH. HORTICULTURAL THERAPY MEDICAL LAB TECH. NURSING PHARMACY TECH PHLEBOTOMY PHYSICAL EDUCATION PHYSICAL SCIENCES PHYSICAL THERAPIST ASSISTANT PHYSICS RADIOLOGIC TECHNOLOGY AIR CONDITIONING, HEATING & REFRIGERATION TECH. AUTOMOTIVE SERVICE EXELLENCE AUTOMOTIVE TECH. BIOMED. ELECTRONICS COMPUTER-AIDED DESIGN COMPUTER APPLICATIONS FOR BUSINESS COMPUTER INFO. SYST. COMPUTER NETWORKING & SYSTEMS COMPUTER SCIENCE ELECTRONICS TECH. ENGINEERING FACILITIES MGT. & ENGINEERING FIRE SCIENCE MACHINE TECH. MANUFACTURING TECH. MATHEMATICS MECHANICAL DESIGN/CAD LINDA KORBEL ART AND DESIGN ENGLISH ENGLISH AS A SECOND LANGUAGE GRAPHIC DESIGN HUMANITIES MODERN LANGUAGES MUSIC PHILOSOPHY SPEECH THEATER HONORS PROGRAM GLOBAL STUDIES GREAT BOOKS WOMEN’S & GENDER STUDIES PEACE & SOCIAL JUSTICE STUDIES PERFORMING ARTS CENTER BRAD WOOTEN ACCOUNTING ANTHROPOLOGY BUSINESS COLLEGE STUDIES EARLY CHILDHOOD ED. ECONOMICS EDUCATION FINANCIAL SERVICES GEOGRAPHY HISTORY HUMAN SRVS. GLOBAL BUSINESS LAW ENFORCEMENT MGT.& MGT.SUPERVISION MARKETING MGT. PARALEGAL STUDIES POLITICAL SCIENCE PSYCHOLOGY SOCIAL SCIENCES SOCIOLOGY SUBSTANCE ABUSE CHILD DEVELOPMENT CENTER VICE PRESIDENT FOR TECHNOLOGY AND DATA ANALYTICS BONNIE LUCAS MEDIA SERVICES WEB SERVICES DIRECTOR OF SYSTEMS AND NETWORK SERVICES DIRECTOR OF SOFTWARE AND USER SERVICES JOHN WADE RENEE KOZIMOR ADMINISTRATIVE COMPUTING DATABASE ADMINISTRATION HELP DESK ACADEMIC SOFTWARE/TECHNOLOGIES SUSTAINABILITY INITIATIVES DATA CNTR SERVERS & SYSTEMS ADMIN NETWORKS AND TELECOMMUNICATIONS MICROCOMPUTER SUPPORT INSTRUCTIONAL COMPUTER LABS 63 VICE PRESIDENT FOR STUDENT AFFAIRS JOIANNE SMITH ASSISTANT VP FOR ACCESS, EQUITY & DIVERSITY DIRECTOR OF STUDENT SUCCESS MICHAEL ANTHONY SEBASTIAN CONTRERAS, Jr. 64 DIVERSITY COUNCIL ACCESS AND DISABILITY RESOURCE CENTER ACADEMIC ADVISING CAREER SERVICES TRIO ORIENTATION RETENTION STUDENT DEVELOPMENT DIRECTOR OF STUDENT LIFE DIRECTOR OF ATHLETICS & REGISTRAR SERVICES DIRECTOR OF COUNSELING PART-TIME DIRECTOR OF STUDENT RECRUITMENT & OUTREACH ANN MARIE BARRY BRUCE OATES MARK KIEL MICHELE BROWN COMMENCEMENT STUD. ORGANIZATIONS & EVENTS STUDENT GOVERNMENT STUDENT NEWSPAPER INTERCOL. ATHLETICS INTRAMURALS FITNESS CENTER ACADEMIC SCHEDULING ACADEMIC RECORDS HEALTH SERVICES COUNSELING SERVICES RECRUITMENT COMMUNITY OUTREACH ASSISTANT DIRECTOR OF STUDENT SUCCESS LEANA CUELLAR. LEARNING CENTER TESTING CENTER DIRECTOR OF ENROLLMENT SERVICES CHERYL WARMANN ADMISSIONS FINANCIAL AID REGISTRATION VICE PRESIDENT FOR BUSINESS AND FINANCE ROBERT NOWAK ADMINISTRATIVE ASSISTANT PUBLIC SAFETY 65 DIRECTOR OF BUDGET & ACCOUNTING SERVICES DIRECTOR OF FACILITIES KAREN EPPS LEAH SWANQUIST ACCTS PAYABLE ACCTS RECEIVABLE BUDGET OFFICE PAYROLL FINANCIAL ACCOUNTING AND REPORTING STUDENT BILLING FACILITIES HOUSEKEEPING BUILDING MAINT. GROUNDS MAINT. CONSTRUCTION DIRECTOR OF BUSINESS SERVICES DOREEN SCHWARTZ PURCHASING COPY CENTER CENTRAL RECEIVING BOOKSTORE FOOD SERVICES OAKTON COMMUNITY COLLEGE Community College District No. 535 Notes START HERE. GO ANYWHERE. 66 OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Revenues and Expenditures Operating Funds (Education and Operation & Maintenance Funds) These funds are a combination of the Education Fund and the Operations and Maintenance Fund, a grouping used primarily for comparison purposes. They represent the ordinary allocation of monies necessary to run the general day-to-day educational operations of the college. FY 12 Actual REVENUES Local Government State Government Federal Government FY 13 Budget FY 13 to FY 14 Preliminary FY 13 (1) Actual FY 14 Budget Budget % Change 41,632,993 4,789,492 0 42,367,747 3,541,005 0 43,507,446 4,691,606 0 44,154,320 3,673,165 0 4.22% 3.73% 0.00% 21,459,471 955,244 21,195,184 768,000 21,399,980 280,913 21,119,415 461,100 -0.36% -39.96% 68,837,200 67,871,936 69,879,945 69,408,000 2.26% EXPENDITURES: (By Object) Salaries 45,322,368 Employee Benefits 5,819,680 Contractual Services 4,592,331 General Materials and Supplies 3,209,185 Conference and Meeting 199,037 Fixed Charges (864) Utilities 1,484,843 Capital Outlay 121,697 Other 164,707 Contingency 0 46,871,256 6,673,438 5,088,899 3,828,346 400,934 131,330 1,525,945 361,257 310,540 1,088,991 44,949,724 6,442,930 4,808,939 3,498,243 232,962 139,892 1,404,771 250,192 207,145 0 47,902,367 6,580,825 5,392,432 4,339,291 483,140 198,940 1,504,375 384,700 417,940 1,088,990 2.20% -1.39% 5.96% 13.35% 20.50% 51.48% -1.41% 6.49% 34.58% 0.00% TOTALS: 60 912 984 60,912,984 66 280 936 66,280,936 61 934 798 61,934,798 68 293 000 68,293,000 3 04% 3.04% TRANSFER: In (Out), Net (1,448,400) (9,591,000) (9,591,000) (8,222,000) 6,475,816 (8,000,000) (1,645,853) (7,107,000) Student Tuition and Fees(2) Other Sources TOTALS: Net of Revenues, Expenditures, and Transfers (1) Amounts are reported from the preliminary year end close and do not reflect any audit adjustments that may arise. (2) Historically 24-25% of such amounts are paid by scholarship allowances. 67 -14.27% OAKTON COMMUNITY COLLEGE Comparison of Revenues and Expenditures Education Fund SERVICES TO STUDENTS 85.72% The following table compares Education Fund revenues by source and expenditures by program. FY 12 Actual FY 13 Budget Preliminary FY 13 (1) Actual 34,303,084 4,730,682 0 34,534,117 3,499,323 0 35,880,817 4,648,800 0 36,332,940 3,673,165 0 Student Tuition and Fees Other Sources 21,459,906 769,946 21,195,184 595,500 21,399,980 86,173 21,119,415 346,100 TOTAL REVENUES: 61,263,618 59,824,124 62,015,770 61,471,620 FY 12 Actual FY 13 Budget FY 13 Actual Local Government State Government Federal Government (2) 68 (1) FY 14 Budget FY 14 Budget Baccalaureate Programs 38.46% Vocational Programs 18.71% Instructional Support/Admin 28.55% OTHER 14.28% Program Personnel Costs % of Total Costs Other Costs FY 14 Total Budget Services to Students Baccalaureate/Instruction 22,257,986 22,421,625 22,020,095 23,138,452 Vocational/Instruction 10,614,266 10,912,817 10,457,321 11,252,895 Instructional Support/Admin. 14,666,093 16,335,027 14,658,448 17,173,540 20,635,827 9,319,102 13,688,068 89.18% 82.82% 79.70% 2,502,625 1,933,793 3,485,472 23,138,452 11,252,895 17,173,540 Total Services to Students: 43,642,997 84.64% 7,921,890 51,564,887 47,538,345 49,669,469 47,135,864 51,564,887 Public Service 842,366 829,865 756,359 767,612 514,340 67.01% 253,272 767,612 Other Programs 5,586,319 7,692,675 6,686,057 7,825,411 4,835,215 61.79% 2,990,196 7,825,411 53,967,030 58,192,009 54,578,280 60,157,910 48,992,552 81.44% 11,165,358 60,157,910 TOTAL EXPENDITURES: Transfers In (Out) (1,095,715) (9,632,115) (9,632,115) (5,222,000) (1) Amounts are reported from the preliminary year end close and do not reflect any audit adjustments that may arise. (2) Historically 24-25% of such amounts are paid by scholarship allowances. OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Revenues and Expenditures Operations and Maintenance Fund p The Operation and Maintenance Fund records the revenues and expenditures for the improvement, minor d li i t d repair i off buildings b ildi ti iincluding l di fixtures fi t i t i decoration, d ti remodeling, maintenance, and andd properties, andd interior payment of utilities costs, and other related expenditures, such as grounds maintenance and snow removal. These activities include facility and construction planning support consistent with educational plans and objectives. FY 13 to FY 14 Preliminary FY 12 Actual FY 13 FY 13 Budget (1) Actual FY 14 Budget Budget d % Chg REVENUES Local Government (Property Taxes) State Government Other Sources (Investment Income) 7,329,908 58,810 184,864 7,833,630 41,682 172,500 7,626,629 42,807 194,739 7,821,380 0 115,000 -0.16% -100.00% -33.33% TOTALS: 7,573,582 8,047,812 7,864,175 7,936,380 -1.38% 1.38% EXPENDITURES: Operations and Maintenance of Plant Salaries Employee Benefits Contractual Services General Materials and Supplies Conference and Meeting Expenses Fixed Charges Utilities Capital Outlay Other Contingency 3,772,212 1,041,351 463,976 495,998 5,347 (7,598) 1,097,705 73,754 3,209 0 4,110,905 1,178,800 442,030 626,434 14,502 14,390 1,137,707 280,757 6,840 276,562 3,911,805 1,073,199 545,199 666,134 6,645 (9,468) 1,017,633 141,934 3,437 0 4,359,015 1,131,625 477,555 486,590 18,725 14,390 1,126,850 138,500 6,840 375,000 6.04% -4.00% 8.04% -22.32% 29.12% 0.00% -0.95% -50.67% 0.00% 35.59% TOTALS: 6,945,954 8,088,927 7,356,518 8,135,090 0.57% 41,115 41,115 NET TRANSFER: In (Out) (352,685) (3,000,000) FY 14 Budgeted Expenditures Benefits - 13.91% Salaries 53.58% Contractual Services - 5.87% Supplies - 5.98% Meetings - 0.23% Fixed Charges - 0.18% Contingency Other Oth 4.61% 0.09% (1) Capital 1.70% Utilities 13.85% Amounts are reported from the preliminary year end close and do not reflect any audit adjustments that may arise. 69 >100.00% OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Revenues and Expenditures Auxiliary Enterprise Fund The Auxiliary Enterprise Fund records the revenues and expenditures for college services which require fees be charged to students/staff. College services/programs in this group include the student bookstore, the child development center, certain community services, intercollegiate athletics, computer services, food services, and the Alliance for Lifelong Learning. FY 12 Actual REVENUES Local Government State Government S e Gove e Student Tuition and Fees Sales Service Fees Facilities Revenue Other Sources FY 13 Budget 103,321 1,229,148 , 9, 8 2,948,827 9,397,751 42,353 262,233 115,600 7714,212 , 2,907,642 9,253,684 35,700 554,652 FY 13 to FY 14 Preliminary FY 13 (1) Actual FY 14 Budget 111,568 977,985 2,864,727 8,914,552 38,611 181,641 100,000 483,195 83, 95 2,853,520 9,261,235 105,700 233,175 -13.49% -32.35% 3 .35% -1.86% 0.08% 196.08% -57.96% Budget % Chg TOTALS: 13,983,633 13,581,490 13,089,084 13,036,825 -4.01% Net Fund Transfers In (Out) GRAND TOTAL 132,000 14,115,633 572,000 572,000 284,000 14,153,490 13,661,084 13,320,825 -50.35% -5.88% EXPENDITURES: By Object Salaries Employee Benefits Contractual Services General Materials and Supplies Conference and Meeting Expenses Fixed Charges Utilities Capital Outlay Other Contingency TOTALS: (1) 6,616,351 1,307,077 1,286,499 3,287,167 109,191 274,599 268,660 23,830 40,283 0 13,213,657 6,945,725 1,378,128 1,284,470 4,247,265 105,480 357,708 270,668 633,000 98,650 854,710 7,396,861 1,352,830 1,161,026 5,013,977 122,770 347,808 228,895 283,000 73,150 854,710 6.50% -1.84% 1.84% -9.61% 18.05% 16.39% -2.77% -15.43% -55.29% -25.85% 0.00% 16,175,804 12,988,899 16,835,027 4.08% Amounts are reported from the preliminary year end close and do not reflect any audit adjustments that may arise. 70 6,405,225 1,253,966 831,589 3,760,876 92,974 291,346 233,121 46,746 73,056 0 OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Revenues and Expenditures Auxiliary Enterprise Fund Fiscal Year 2014 Budgeted Revenues Sales and Service 71.04% Tuition/Fees 21.89% State 3.71% Local 0.77% Other 1.78% Facilities Revenue 0.81% Fiscal Year 2014 Budgeted Expenditures Benefits 8.04% Contractual Services 6.90% Salaries 43.94% Supplies 29.78% Contingency 5.08% Other 0.43% Capital 1.68% Fixed Utilities Charges 1.36% 2.06% 71 Meeting 0.73% OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Revenues and Expenditures by Program Auxiliary Enterprise Fund Comparison Between Fiscal Year 2013 Actuals and Fiscal Year 2014 Budget Copy Center 72 REVENUES Local Government State Government Federal Government Student Tuition and Fees Sales Service Fees Facilities Revenue Investment Income Other Sources TOTALS: Prelim FY 13 (1) Actual 0 0 0 0 316,666 0 0 0 316,666 EXPENDITURES: Salaries Employee Benefits Contractual Services General Materials/Supplies Conference/Meetings Fixed Charges Utilities Capital Outlay Other TOTALS: Fund Transfers Program Net: Bookstore Business Institute FY 14 Budget 0 0 0 0 311,600 0 0 0 311,600 Prelim FY 13 (1) Actual 0 0 0 0 2,895,969 0 0 (26,646) 2,869,323 FY 14 Budget 0 0 0 0 3,134,600 0 0 (32,000) 3,102,600 Prelim FY 13 (1) Actual 0 0 0 112,596 43,199 0 0 (58) 155,737 148,280 28,762 26,482 42,318 0 144,986 2,450 0 0 393,278 155,970 31,000 21,895 73,525 0 162,000 1,645 0 0 446,035 413,796 95,203 46,574 2,171,611 33 0 77,722 0 65,857 2,870,796 414,100 93,000 61,180 2,636,510 1,225 0 75,905 0 42,400 3,324,320 90,281 18,264 49,133 9,714 966 0 28,075 0 0 196,433 115,330 18,900 27,600 10,100 1,400 0 7,370 0 0 180,700 0 0 0 0 0 0 (76,612) (134,435) (1,473) (1) Amounts are reported from the preliminary year end close and do not reflect any audit adjustments that may arise. (221,720) (40,696) FY 14 Budget 0 0 0 0 80,000 0 0 (300) 79,700 (101,000) OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Revenues and Expenditures by Program Comparison between Fiscal Year 2013 Actuals and Fiscal Year 2014 Budget Telecommunications 73 REVENUES Local Government State Government Federal Government Student Tuition and Fees Sales Service Fees Facilities Revenue Investment Income Other Sources TOTALS: Prelim FY 13 (1) Actual 0 0 0 0 544,586 0 0 0 544,586 EXPENDITURES: Salaries Employee Benefits Contractual Services General Materials/Supplies Conference/Meeting Expenses Fixed Charges Utilities Capital Outlay Other TOTALS: Fund Transfers Program Net: ALLiance FY 14 Budget 0 0 0 0 517,945 0 0 0 517,945 Prelim FY 13 (1) Actual 111,568 977,985 0 701,650 56,540 16,211 18,692 112,553 1,995,199 183,667 36,662 16,633 5,702 90 0 49,727 0 0 292,481 176,830 40,000 51,745 10,050 2,100 0 44,305 0 0 325,030 0 252,105 ECE Lab School FY 14 Budget 100,000 483,195 0 761,205 58,600 0 13,300 75,350 1,491,650 Prelim FY 13 (1) Actual 0 0 0 (8,261) 470,492 0 0 0 462,231 FY 14 Budget 0 0 0 0 495,200 0 0 0 495,200 1,248,411 330,469 175,460 220,160 17,539 47,627 15,000 0 0 2,054,666 1,610,886 358,850 188,500 334,200 29,250 83,000 15,000 0 100,000 2,719,686 518,486 142,640 40,802 24,394 3,709 0 8,160 0 0 738,191 556,790 153,830 78,000 18,255 2,700 0 9,410 0 0 818,985 0 172,000 222,000 0 0 192,915 112,533 (1) Amounts are reported from the preliminary year end close and do not reflect any audit adjustments that may arise. (1,006,036) (275,960) (323,785) OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Revenues and Expenditures by Program Comparison between Fiscal Year 2013 Actuals and Fiscal Year 2014 Budget Information Technology Athletics ITFS LEASE 74 REVENUES Local Government State Government Federal Government Student Tuition and Fees Sales Service Fees Facilities Revenue Investment Income Other Sources TOTALS: Prelim FY 13 (1) Actual 0 0 0 2,057,342 3,501,129 0 0 0 5,558,471 FY 14 Budget 0 0 0 2,092,315 3,560,650 0 0 0 5,652,965 Prelim FY 13 (1) Actual 0 0 0 0 3,365 19,720 0 (17,953) 5,132 EXPENDITURES: Salaries Employee Benefits Contractual Services General Materials/Supplies Conference/Meeting Expenses Fixed Charges Utilities Capital Outlay Other TOTALS: 3,255,714 544,114 178,709 1,156,608 3,498 0 42,785 21,771 0 5,203,199 3,586,555 571,500 374,530 1,713,030 11,115 0 47,125 186,000 0 6,489,855 487,577 57,852 70,920 62,635 65,362 97,691 5,498 24,975 0 872,510 560,800 54,750 72,266 138,342 72,195 98,308 5,470 16,000 0 1,018,131 900,000 912,000 0 0 1,255,272 75,110 Fund Transfers Program Net: (867,378) (1) Amounts are reported from the preliminary year end close and do not reflect any audit adjustments that may arise. FY 14 Budget 0 0 0 0 4,000 15,000 0 0 19,000 (999,131) Other Operations Prelim FY 13 (1) Actual 0 0 0 0 895,768 0 0 0 895,768 FY 14 Budget 0 0 0 0 920,240 0 0 0 920,240 Prelim FY 13 (1) Actual 0 0 0 1,400 186,838 2,680 67,532 27,521 285,971 5,840 0 15,222 22,060 0 0 0 0 153 43,275 16,500 0 60,000 7,000 0 0 0 45,000 13,000 141,500 53,175 203,100 0 31,000 211,655 225,310 45,674 72,965 1,776 2,785 1,041 4,500 3,704 22,665 0 36,000 7,045 772,460 324,070 1,370,785 (500,000) (850,000) 352,493 (71,260) 0 (38,099) FY 14 Budget 0 0 0 0 178,400 90,700 96,325 80,500 445,925 0 (924,860) OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Revenues and Expenditures Auxiliary Enterprise Fund by Program Fiscal Year 2014 Budgeted Revenues Information Technology 43.36% Copy Center 2.39% ECE Lab School 3.80% Other Operations 3.42% ALLiance 11.44% Bookstore 23.80% Telecommunications 3.97% Athletics 0.15% ITFS Lease 7.06% Business Institute 0.61% Fiscal Year 2014 Budgeted Expenditures Information Technology 38.55% ECE Lab School 4.86% Other Operations 8.14% Copy Center 2.65% ALLiance 16.16% Telecommunications 1.93% Athletics 6.05% ITFS Lease 0.84% 75 Business Institute 1.07% Bookstore 19.75% OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Revenues and Expenditures Bond and Interest Fund The Bond and Interest Fund is used to account for payment of principal, interest and related charges on the College's Series 2011 General Obligation bonds. It is supported by a property tax levy which monies may not be used for any other purpose. The fiscal year 2014 budget anticipates the issuance of additional General Obligation Bonds in the amount of $10 million. FY 12 Actual FY 13 Budget FY 13 to FY 14 Preliminary FY 13 (1) Actual FY 14 Budget Budget % Change REVENUES Local Government(3) Investment Revenue TOTALS: EXPENDITURES: Bond Principal Retired Interest on Bonds Debt Issuance Costs Other 31,935,439 22,476 3,165,982 9,450 3,131,432 5,490 14,365,265 4,570 >100.00% 31,957,915 3,175,432 3,136,922 14,369,835 >100.00% 30,100,000 935,982 287,652 0 1,705,000 1,275,000 0 450 1,705,000 1,076,073 0 0 12,030,000 1,552,250 250,000 900 >100.00% 31 323 634 31,323,634 2 980 450 2,980,450 2 781 073 2,781,073 13 833 150 13,833,150 >100 00% >100.00% 0 0 0 0 0.00% 634,281 194,982 355,849 536,685 -51.64% (By Object) (2) TOTALS: TRANSFER: In (Out), Net Net of Revenues, Expenditures, and Transfers (1) Amounts are reported from the preliminary year end close and do not reflect any audit adjustments that may arise. (2) Repayment of $30.1 million Debt Certificates, Series 2011 and $10 million Debt Certificate budgeted for issuance in fiscal year 2014. ((3)) Includes pproceeds from issuance of General Obligation g Bonds,, Series 2011 and anticipated fiscal year 2014 $10 million General Obligation Bond issuance. 76 21.75% 100.00% 100.00% OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Revenues and Expenditures Liability, Settlement, and Protection Fund The Liability Liability, Settlement Settlement, and Protection Fund is used for recording the financial activities in connection with liability and associated legal costs and certain mandated insurance programs such as worker's compensation insurance, medicare, and social security. It is supported by two separate property tax levies which are accounted for separately in the general ledger and combined for reporting purposes. Funds from these levies may not be used for other than their intended purposes. Preliminary FY 13 (1) Actual FY 13 to FY 14 FY 12 Actual FY 13 Budget FY 14 Budget Budget % Chg REVENUES Local Government Investment Income 325,782 18,533 341,682 17,700 (19,379) 8,905 200 9,100 -99.94% -48.59% TOTALS: 344,315 359,382 (10,474) 9,300 -97.41% Net Fund Transfers In (Out) GRAND TOTAL 718,400 1,062,715 605,000 964,382 605,000 1,180,000 594,526 1,189,300 95.04% 23.32% EXPENDITURES Insurance Costs Salaries Employee Benefits C Contractual lS Services i General Supplies/Materials Fixed Charges All Other Expenditures TOTALS: 0 1,084,847 88 88,159 159 930 229,948 0 1,403,884 0 1,166,163 60 60,000 000 0 156,700 50,000 1,432,863 5,700 0 1,200,126 1,212,599 46 46,892 892 60 60,000 000 0 0 75,943 59,100 0 50,000 1,328,661 1,381,699 0.00% 3.98% 00.00% 00% 0.00% -62.28% 0.00% -3.57% Comparison of Revenues and Expenditures Audit Fund The law requires an annual audit conducted by an external agency and a comprehensive annual financial report on the use of public funds. The Audit Fund is used for recording revenues and expenditures for those audits and related financial reports. It is supported by a separate tax levy. Audit funds may not be used for other purposes. REVENUES Local Government Investment Income 55,243 1,849 57,830 1,750 45,626 873 87,955 1,300 52.09% -25.71% TOTALS: 57,092 59,580 46,499 89,255 49.81% EXPENDITURES Salaries Contractual Services 5,000 86,659 86 659 0 93,143 93 143 0 86,147 86 147 0 110,000 110 000 18 10% 18.10% TOTALS: 91,659 93,143 86,147 110,000 18.10% (1) Amounts are reported from the preliminary year end close and do not reflect any audit adjustments that may arise. 77 OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Revenues and Expenditures Restricted Purposes Fund The Restricted Purposes Fund records the revenues and expenditures for monies which have restrictions regarding their use. Such monies include state and federal government grants and private grants restricted to specific purposes. Additionally in fiscal years 2012 and 2013, the College accounted for the costs of its Strategic Initiatives in the Restricted Purposes Fund as these monies were designated to this purpose. Examples of such grants include TRIO grants and Perkins grants. All of the various programs use self-balancing accounts within the fund. FY 13 to Preliminary FY 14 (1) FY 12 FY 13 FY 13 FY 14 Budget Actuals Budget Actuals Budget % Change REVENUES Local Government 0 250,000 187,500 520,000 108.00% State Government 14,860,442 17,478,174 18,595,139 23,154,550 32.48% Federal Government 10,457,277 14,717,000 9,601,126 14,602,450 -0.78% Investment Income 873 9,900 0 10,000 1.01% Other Sources 1,219,178 1,430,000 968,784 1,107,000 -22.59% TOTALS: 26,537,770 33,885,074 29,352,549 39,394,000 Net Fund Transfers In (Out) GRAND TOTAL 0 26,537,770 100,000 33,985,074 100,000 (360,000) >-100.00% 29,452,549 39,034,000 14.86% EXPENDITURES: By Object S l i Salaries Employee Benefits Contractual Services General Materials and Supplies Conference and Meeting Expenses Fixed Charges Utilities Capital Outlay Other (Primarily financial aid) 22,085,869 085 869 12,737,212 405,691 478,989 49,720 22,359 0 42,426 11,025,530 22,913,290 913 290 12,130,510 824,093 1,317,847 155,751 248,280 0 2,373,100 14,482,690 11,885,638 885 638 16,641,015 113,529 311,066 34,856 74,227 150 319,188 10,165,919 22,301,246 301 246 19,922,079 495,510 1,083,056 168,809 120,039 200,000 744,000 14,349,261 21 01% -21.01% 64.23% -39.87% -17.82% 8.38% -51.65% 100.00% -68.65% -0.92% TOTALS: 26,847,796 34,445,561 29,545,588 39,384,000 14.34% Other 36.43% Salaries - 5.84% Capital - 1.89%n Utilities - 0.51% Fixed - 0.31% Conference 0.43% Supplies 2.75% (1) Contract Service 1.26% Benefits 50.58% Amounts are reported from the preliminary year end close and do not reflect any audit adjustments that may arise. 78 16.26% OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Revenues and Expenditures Operations and Maintenance Fund (Restricted) The Operations and Maintenance Fund (Restricted) records the revenues and expenditures related to the acquisition or construction of major capital facilities. Major remodeling activities are also recorded in this fund. Monies may not be transferred out of this fund to be used for other purposes such as faculty salaries or instructional supplies. This fund includes Protection, Health and Safety revenues and expenditures which are accounted separately within the fund. FY 12 Actual FY 13 Budget Preliminary FY 13 (1) Actual FY 13 to FY 14 Budget FY 14 % Change REVENUES Local Government (2) State Government Tuition and Fees Investment Income Other Sources 0 0 24,338 366,242 63,069 0 641,300 393,600 111,500 0 0 10,000,000 0 741,300 418,028 431,820 135,426 40,000 62,005 0 TOTALS: 453,649 1,146,400 Transfer In (Out): 550,000 8,350,000 8,350,000 7,150,000 -14.37% NET WITH TRANSFERS: 1,003,649 9,496,400 8,965,459 18,363,120 93.37% EXPENDITURES: By Object Salaries Employee Benefits Contractual Services General Materials and Supplies Fixed Charges Utilities Capital Outlay Other h 90,023 , 14,575 137,138 197,838 54,688 810 5,071,344 0 105,000 , 15,800 376,609 1,066,586 100,000 50,810 31,590,344 500,000 85,364 , 113,970 , 14,381 15,500 54,232 734,820 (124,937) 1,358,879 0 0 810 50,000 27,178,902 43,384,680 0 500,000 8.54% -1.90% 95.11% 27.40% -100.00% -1.59% 37.34% 0.00% TOTALS: 5,566,416 33,805,149 27,208,752 46,157,849 36.54% 615,459 11,213,120 >100.00% (1) Amounts are reported from the preliminary year end close and do not reflect any audit adjustments that may arise. (2) Fy 14 budgeted issuance of Debt Certificates 79 100.00% 15.59% 9.71% -64.13% 0.00% OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Capital Expenditures The College defines Capital Expenditures (also “capital equipment” and “capital outlay”) to include site acquisition and improvement, office equipment, instructional equipment, and service equipment. Generally expenditures in this category cost more than $10,000 and would not normally be purchased from general materials and supplies. Remodeling projects, vehicles, computer servers and related equipment, and laboratory equipment would be typical examples of items included in this category. FY 13 to FY 14 Program FY 12 Actual FY 13 Actual FY 13 Budget (1) FY 14 Budget Budget % Chg Education Fund Instruction Baccalaureate 0 38,200 51,118 50,000 30.89% Vocational 36,794 23,000 38,014 169,700 >100.00% Total Instruction: 36,794 61,200 89,132 219,700 >100.00% Academic Support: 11,149 0 0 0 0.00% 0 19,300 19,126 26,500 37.31% 47,943 80,500 108,258 246,200 >100.00% 73,753 280,757 141,935 138,500 -50.67% 564,344 31,026,000 31,590,344 0 27,178,902 27,178,902 564,345 42,820,335 43,384,680 0.00% 38.01% 37.34% Public Services: Total Education Fund: Operations and Maintenance Fund Total Operations/Maintenance Plant: Operations and Maintenance (Restricted) Fund State Pass Through 0 Funded by Oakton 5,071,343 Total Operations/Maintenance (Restricted) P 5,071,343 80 FY 13 to FY 14 Program FY 12 Actual FY 13 Actual FY 13 Budget (1) FY 14 Budget Budget % Chg Auxiliary Enterprises Fund Academic Support:** 0 609,000 21,771 Public Services: 0 0 0 23,830 24,000 24,975 Operations/Maintenance Plant: 0 0 0 0 0.00% General Administration: 0 0 0 0 0.00% General Institutional 0 0 0 0 0.00% 23,830 633,000 46,746 283,000 -55.29% 2,373,100 319,188 Auxiliary Services: Total Aux Enterprises Fund: 186,000 >-100.00% 0 0.00% 97,000 >100.00% Restricted Purposes Fund Total Restricted Purposes 42,426 744,000 -68.65% Total Capital Expenditures: Total: 5 259 295 5,259,295 34 957 701 34,957,701 27 795 029 27,795,029 44 796 380 44,796,380 28 14% 28.14% ** The equipment requested by Instructional Technology is used in computer labs or the academic network; where possible, equipment budget costs have been assigned to instructional programs. Equipment which cannot be assigned directly to programs is budgeted in this category. NOTE: This comparison of costs does not include the following equipment expenditures: a. Equipment purchased by College clubs. b. Equipment purchased by the OCC Foundation. Equipment from the Foundation comes in the form of a gift; private donations and grants fund the Foundation, not public or tuition funds. The Foundation has its own accounting procedures totally unconnected with the legal budget of the College. c. Employee computer equipment plan purchases. (1) Amounts are reported from the preliminary year end close and do not reflect any audit adjustments that may arise. 81 OAKTON COMMUNITY COLLEGE Community College District No. 535 Notes START HERE. GO ANYWHERE. 82 STATISTICS SECTION OAKTON COMMUNITY COLLEGE Community College District No. 535 History of Actual Revenues and Expenditures - Operating Funds (Education and Operation & Maintenance Funds) This table shows the history of the actual revenues and expenditures, both by program and by object, for the Operating Funds, which are a combination of the Education Fund (Fund 01) and the Operations and Maintenance Fund (Fund 02). Fund transfers between funds are not included in order to standardize comparisons. 84 Revenues: Property Taxes Pers Prop Repl Tax State Grants Federal Grants Local Grants/Contract Chargeback Student Tuition/Fees Sales/Service Revenue Facilities Revenue Investment Income Other Revenue Total Revenues: Total Budgeted Amount Over (Under) % Over (Under) Actual FY 11 Actual FY 12 Preliminary Actual FY 13 37,361,126 863 610 863,610 4,566,268 199,338 0 117,427 20 650 771 20,650,771 17,676 0 1,809,405 30,756 38,996,718 1 065 352 1,065,352 4,488,733 0 0 103,876 22 055 308 22,055,308 14,755 0 919,077 15,519 40,598,232 939 611 939,611 4,789,492 0 0 95,150 21 459 471 21,459,471 8,710 0 891,228 55,306 42,438,034 994 492 994,492 4,691,606 0 0 74,920 21 399 980 21,399,980 11,155 0 133,555 136,202 65,616,377 64,392,124 1,224,253 1.90% 67,659,338 64,317,448 3,341,890 5.20% 68,837,200 67,917,276 919,924 1.35% 69,879,944 67,871,936 2,008,008 2.96% Actual FY 08 Actual FY 09 Actual FY 10 33,829,099 1 186 436 1,186,436 4,561,102 0 0 86,171 17 565 395 17,565,395 19,115 0 2,745,563 29,175 35,961,020 865 093 865,093 4,482,333 0 0 130,624 19 584 738 19,584,738 18,446 0 1,498,391 24,054 60,022,056 56,850,247 3,171,809 5.58% 62,564,699 59,773,560 2,791,139 4.67% OAKTON COMMUNITY COLLEGE Community y College g District No. 535 History of Actual Revenues and Expenditures - Operating Funds Expenditures: (cont) Actual FY 11 Actual FY 12 Preliminary Actual FY 13 34,728,630 4,217,223 5,816,110 878,775 66,356,170 356 170 4,094,600 708,190 35,593,938 4,000,872 5,742,672 850,566 66,529,848 529 848 4,111,075 1,486,090 36,884,527 4,458,098 6,195,720 842,366 66,945,954 945 954 4,365,856 1,220,463 36,488,399 4,436,538 6,210,927 756,359 77,356,518 356 518 4,567,516 2,118,541 54,664,369 56,799,698 58,315,061 60,912,984 61,934,798 38,532,505 4,543,353 3,678,036 3 091 144 3,091,144 251,949 (26,590) 1,553,335 209,367 121 358 121,358 40,579,992 5,180,762 3,517,278 3 358 447 3,358,447 247,149 (27,677) 1,563,692 57,782 186,944 186 944 42,932,872 4,814,471 3,709,090 3 323 925 3,323,925 182,395 (15,976) 1,512,316 64,633 275,972 275 972 44,502,591 5,109,589 3,806,228 3 041 862 3,041,862 162,139 2,186 1,446,019 46,768 197 197,679 679 45,322,368 5,819,680 4,592,331 3 209 185 3,209,185 199,037 (864) 1,484,843 121,697 164 164,707 707 44,949,724 6,442,930 4,808,939 3 498 243 3,498,243 232,962 139,892 1,404,771 250,192 207 207,145 145 51,954,457 55,328,723 (3,374,266) -6.10% 54,664,369 57,611,763 (2,947,394) -5.12% 56,799,698 62,121,315 (5,321,617) -8.57% 58,315,061 63,626,498 (5,311,437) -8.35% 60,912,984 66,165,223 (5,252,239) -7.94% 61,934,798 66,280,936 (4,346,138) -6.56% Actual FY 08 Actual FY 09 Actual FY 10 30,620,188 3,983,622 5,632,405 869,533 66,228,065 228 065 3,876,014 744,630 32,529,042 4,176,573 5,784,875 863,770 66,432,725 432 725 4,137,452 739,932 51,954,457 By Function 85 Instruction Academic Support Student Services Public Service O Operation/Maint i /M i off Pl Plant General Administration Institutional Support Total Expenditures: Expenditures: By Object Salaries Employee Benefits Contractual Services Materials and Supplies S pplies Conferences/Meetings Fixed Charges Utilities Capital Outlay Oh Other Total Expenditures: Total Budgeted Amount Over (Under) % Over (Under) ( ) OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Audited Operating Revenues By Source (Ed ti and (Education dO Operating ti & M Maintenance i t F Funds) d) Fi l Year Fiscal Y 2012 Th table The bl bbelow l compares FY 2012 audited di d operating i revenues bby source, the h llatest available il bl comprehensive h i ddata. Operating revenues include the Education Fund revenues and Operations and Maintenance Fund revenues only. Three colleges rely on state funding as the primary revenue source; 22 colleges rely on tuition and fees as the primary revenue source; and d 14 colleges, ll iincluding l di Oakton, O kt rely l on local l l taxes t as the th primary i revenue source. Direct Di t federal f d l revenues contribute little to community college operating funding in Illinois but provide for substantial restricted fund grants, as is recorded elsewhere. Twenty colleges (twenty-one in FY 2011), including Oakton, get more than eighty percent of their re en es from combined tax revenues ta and tuition/fees. t ition/fees REVENUE CATEGORY Local Taxes/Chargebacks Ta es/Chargebacks g Student Tuition Student Fees ICCB Grants Other State Oakton Local A Area Average St t State Highest St t State Lowest St t State Average A Average g % Change 60.43% 60 43% 27 59% 27.59% 3 64% 3.64% 6 97% 6.97% 0.00% 48.12% 48 12% 36 90% 36.90% 4 65% 4.65% 8 85% 8.85% 0.05% 63.12% 63 12% 52 02% 52.02% 10 65% 10.65% 44 81% 44.81% 14.07% 11.62% 11 62% 26 46% 26.46% 0 00% 0.00% 5 49% 5.49% 0.00% 36.53% 36 53% 37 30% 37.30% 4 62% 4.62% 18 44% 18.44% 0.45% 1.10% 1 10% 1 15% 1.15% 1 13% 1.13% -2 58% -2.58% 22.74% 0.00% 1.38% 0.13% 1.30% 1.30% 12.41% 0.00% 0.13% 0.17% 2.49% 194.30% 4.62% 1 76% 1.76% 3 86% 3.86% 23 61% 23.61% -12 21% -12.21% 0 78% 0.78% 0 78% 0.78% Federal Other Percent Change Total Revenue 70 00% 70.00% Oakton 60.00% Local Area State Average 50.00% 40 00% 40.00% 30 00% 30.00% 20.00% % 10.00% 0.00% L lT Local Taxes T iti /F Tuition/Fee T t l St Total State t SOURCE: ICCB Data and Characteristics 86 T t lF Total Federal d l T t l Oth Total Other OAKTON COMMUNITY COLLEGE C Community it C College ll Di District t i tN No. 535 C Comparison i off A Audited dit d O Operating ti E Expenditures dit B By Object Obj t (Ed ti and (Education dO Operation ti & M Maintenance i t F Funds) d) Fi l Year Fiscal Y 2012 This table compares audited operating expenditures by object across the state for Fiscal Year 2012, the latest available comprehensive h i data. d t While Whil salaries l i andd benefits b fit generally ll comprise i the th highest hi h t educational d ti l costs, t contractual t t l services i can also be high for those colleges which contract for services such as custodial and maintenance services. services Local Area State O kt Oakton A Average Hi h t Highest OBJECT CATEGORY State L Lowest t State State A Average % Change Ch Salaries 74 41% 74.41% 64 94% 64.94% 74 41% 74.41% 51 52% 51.52% 62 39% 62.39% 3 30% 3.30% Benefits fi 9.55% 10.79% 25.91% 5.29% 11.40% 9.39% Contract Services 7 53% 7.53% 7 19% 7.19% 12 68% 12.68% 2 47% 2.47% 6 01% 6.01% 0 83% 0.83% General Materials 5.27% 6.07% 10.96% 3.64% 6.46% 5.74% Conference and Meeting g 0 34% 0.34% 0 75% 0.75% 1 96% 1.96% 0 30% 0.30% 0 98% 0.98% 15 15% 15.15% Fixed Charges 0 16% 0.16% 0 84% 0.84% 3 88% 3.88% 0 00% 0.00% 1 07% 1.07% -0 50% -0.50% Utiliti Utilities 2 44% 2.44% 3 09% 3.09% 5 37% 5.37% 2 33% 2.33% 3 59% 3.59% -1.96% 1 96% 1.96% Capital Outlay 0 20% 0.20% 2 57% 2.57% 7 49% 7.49% 0 00% 0.00% 1 78% 1.78% 39 88% 39.88% Oh Other 0 11% 0.11% 3 75% 3.75% 21 91% 21.91% 0 11% 0.11% 6 32% 6.32% -22.07% 22 07% 22.07% 4 45% 4.45% 5 95% 5.95% 15 02% 15.02% -19.64% 19 64% 2 61% 2.61% 2 61% 2.61% Percent Increase Total Expenditures p 80 00% 80.00% Oakton 70.00% Local Area State Average 60.00% 50 00% 50.00% 40.00% 30 00% 30.00% 20.00% 10 00% 10.00% 0.00% Salaries S l i Benefits B fit Contract C t t SOURCE: ICCB Data and Characteristics 87 Materials M t i l Other All Oth OAKTON COMMUNITY COLLEGE C Community it C College ll Di District t i tN No. 535 Comparison of Audited Operating Expenditures By Function Fiscal Year 2012 The table below compares p audited operating p g expenditures p by y function for Fiscal Year 2012,, the latest available comprehensive data. The College's percentages of expenditure by function compare favorably with both the local area colleges ll and d th the state t t as a whole. h l The Th bulk b lk off the th expenditures dit are usedd for f those th programs which hi h directly di tl or indirectly i di tl deal with students: Instruction, Instruction Academic Support, Support and Student Services. Services On a percentage basis, basis Oakton Oakton'ss services to students expenditures are the highest in the state and Institutional Support program costs are the lowest in the state; Operations and Maintenance costs remain in the lower half statewide. statewide OBJECT CATEGORY L l Local Area Oakton Average g State Highest g State Lowest State State Average g % Change g Instruction Academic Support S d S Student Services i Tota Total t l Di Direct ectt S Se Services vices tto St Stude Students d tts 54.39% 54 39% 13.91% 10 17% 10.17% 78 47% 78.47% 78. 7% 44.66% 44 66% 7.56% 9 22% 9.22% 61.44% 661.44% % 54.39% 54 39% 13.91% 13 20% 13.20% 78 47% 78.47% 78. 7% 34.91% 34 91% 1.65% 4 20% 4.20% 477.40% 47.40% 0% 44.39% 44 39% 7.02% 8 53% 8.53% 59 94% 59.94% 59.9 % 2.11% 2 11% 7.98% 6 79% 6.79% 3 45% 3.45% 3. 5% Public Service Independent Operations Operations/Maintenance Institutional Support S h l hi Grants, Scholarships, G Waivers i T t l Oth Total Other 00.96% 96% 0 00% 0.00% 11 40% 11.40% 9.01% 0 16% 0.16% 21 53% 21.53% 11.30% 30% 0 31% 0.31% 13 57% 13.57% 20.70% 2 68% 2.68% 38 56% 38.56% 10.05% 10 05% 2 56% 2.56% 21 77% 21.77% 35.84% 21 % 21.55% 52 60% 52.60% 00.00% 00% 0 00% 0.00% 8 14% 8.14% 9.01% 0 00% 0.00% 21 53% 21.53% 11.76% 76% 0 09% 0.09% 12 44% 12.44% 21.68% 4 09% 4.09% 40 06% 40.06% 9.05% 9 05% 4 78% 4.78% 6 40% 6.40% -1.80% 04 % 0.47% 1 38% 1.38% Percent Change g Total Expenditures p 4 45% 4.45% 5 95% 5.95% 15 02% 15.02% -19.64% 19 64% 2 61% 2.61% 2 61% 2.61% SOURCE: ICCB Data and Characteristics 60.00% 50.00% Oakton Local Area State Average 40 00% 40.00% 30.00% 20 00% 20.00% 10.00% 0.00% Instruction Academic Sppt Student Svc 88 Total Other OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Full Time Faculty Assignments The following analysis compares budgeted full-time faculty teaching loads. The loads are projected to disciplines based on FTE loads reported during the current year, thereby making the current year's actual assignments the following year's budgeted loads. Other changes represent adjustments in course assignments and teaching loads. Discipline FY 2010 FY 2011 FY 2012 FY 2013 FY 2014 Budget Budget Budget Budget Budget % Total Faculty FY 14 BACCALAUREATE Art Behavioral/Social Studies Biology Business Chemistry Computer Science Earth Science Engineering English Global Business Studies Historical/Policy Studies Humanities/Philosophy International Trade Mathematics Modern Languages Music Physical Education Physics Speech/Theater Total Baccalaureate: Baccalaureate as a % of Total: 5.00 12.30 10.90 1.70 4.00 0.80 2.00 0.85 19.10 0.00 5.20 6.65 0.20 10.85 3.45 1.85 1.00 2.00 3.90 5.00 13.00 10.85 3.80 4.00 0.60 2.00 0.85 18.45 0.50 4.60 6.60 0.00 11.30 3.00 1.80 1.00 2.00 3.90 5.00 12.50 10.65 3.20 5.00 0.25 2.00 1.05 19.30 0.50 5.00 6.25 0.00 11.10 3.20 1.80 1.00 2.00 4.10 5.00 12.60 10.70 2.50 4.00 0.60 2.00 0.90 15.60 0.50 4.70 7.80 0.00 12.85 3.20 0.80 1.00 2.00 4.20 5.00 13.70 10.70 2.60 5.00 0.60 2.00 0.90 16.50 0.40 4.70 6.90 0.00 12.85 3.20 0.80 1.00 2.00 4.20 91.75 59.58% 93.25 60.55% 93.90 60.97% 90.95 61.45% 93.05 62.45% 4.35 0.80 1.00 1.00 4.00 0.85 7.75 3.90 0.90 1.10 1.00 4.00 0.90 7.10 3.90 0.90 1.00 1.00 4.00 0.80 6.90 4.00 1.90 0.00 1.00 4.00 1.05 6.05 4.00 1.00 0.00 1.00 4.00 1.05 5.05 3.36% 9.19% 7.18% 1.74% 3.36% 0.40% 1.34% 0.60% 11.07% 0.27% 3.15% 4.63% 0.00% 8.62% 2.15% 0.54% 0.67% 1.34% 2.82% VOCATIONAL Accounting Technology Air Cond/Heating/Refrigeration Architecture Technology Automobile Technology BNAT Nursing Computer Networking Systems Computer Tech & Info Systems 89 2.68% 0.67% 0.00% 0.67% 2.68% 0.70% 3.39% Discipline Early Childhood Education Electronics Technology Facilities Management/Engineer Fire Science Technology Health Information Technology Horticulture Therapy Law Enforcement Management/Supervision Manufacturing Marketing Mechanical Design Medical Lab Technology Paralegal Studies Pharmacy Technician Physical Therapist Assistant Registered Nursing FY 2010 FY 2011 FY 2012 FY 2013 FY 2014 Budget Budget Budget Budget Budget 2.00 1.80 0.20 0.00 3.00 0.00 2.00 0.65 0.10 2.30 1.50 1.85 0.00 0.15 3.00 11.00 2.00 1.45 0.10 0.00 3.00 0.00 2.00 0.50 0.05 1.20 1.40 1.85 0.00 0.15 3.00 13.00 2.00 1.30 0.10 0.05 3.00 0.10 2.00 0.20 0.30 2.10 1.25 1.80 0.00 0.20 2.90 13.00 2.00 1.10 0.10 1.05 3.00 0.10 1.00 0.20 1.00 1.80 0.30 1.85 0.00 0.15 2.90 13.00 2.00 1.10 0.00 1.05 3.00 0.10 1.00 0.20 1.00 1.80 0.30 1.85 1.00 0.15 2.90 13.00 49.30 32.01% 48.60 31.56% 48.80 31.69% 47.55 32.13% 46.55 31.24% 0.10 0.15 0 00 0.00 0.20 0.10 0.70 0.55 4.00 0.10 0.20 5.85 1.00 0.00 0.10 0.00 0 00 0.00 0.20 0.10 0.80 0.75 4.00 0.10 0.20 5.70 0.00 0.20 0.10 0.00 0 00 0.00 0.20 0.10 0.80 0.70 4.00 0.20 0.20 5.00 0.00 0.00 0.00 0.00 0 70 0.70 0.20 0.10 0.80 0.60 4.00 0.00 0.10 3.00 0.00 0.00 0.00 0.00 0 70 0.70 0.20 0.10 0.80 0.60 4.00 0.00 0.00 3.00 0.00 0.00 Other as a % of Total: 12.95 8.41% 12.15 7.89% 11.30 7.34% 9.50 6.42% 9.40 6.31% Grand Total: 154.00 154.00 154.00 148.00 149.00 Total Vocational: Vocational as a % of Total: % Total Faculty FY 14 1.34% 0.74% 0.00% 0.70% 2.01% 0.07% 0.67% 0.13% 0.67% 1.21% 0.20% 1.24% 0.67% 0.10% 1.95% 8.72% OTHER ASSIGNMENTS Council of Deans Cultures Week F lt Development Faculty D l t Global Studies Great Books Honors Program Academic Administration Library Mens Program Service Learning Student Affairs Television Production Services Women's and Family Programs Total Other: 90 0.00% 0.00% 0 47% 0.47% 0.13% 0.07% 0.54% 0.40% 2.68% 0.00% 0.00% 2.01% 0.00% 0.00% 100.00% OAKTON COMMUNITY COLLEGE C Community it C College ll Di District t i tN No. 535 Comparison of Instructional Faculty and Administrators Fall Semester 2012 (FY 2013) The following tables analyze administrator staffing levels and various combinations of full time and part time faculty y by y FTE ((full time equivalent) q ) and headcount to each other and to reimbursable credit hours. Care should be taken when making direct comparisons. Colleges with large numbers of lab classes compared to lect lecture re classes classes, for eexample, ample ma may require req ire more faculty fac lt for a given gi en number n mber of credit hours. ho rs Credit hours are FY 2012 total reimbursable hours. L l Local Area State State State Oakton Average g Highest g Lowest Average g ADMINISTRATORS Full ll Time i 30 37.4 74 13 33.6 1 01 0.1 5 0 03 0.3 T l Ad Total Administrator i i FTE 31 37 5 37.5 75 14 33 8 33.8 Total Administrator Headcount 31 37 5 37.5 76 14 34 1 34.1 7 097 7,097 6 374 6 6,374.6 14 275 14,275 1 409 1,409 4 934 2 4,934.2 Full Time 139 146 6 146.6 273 35 108 2 108.2 P t ti FTE Part-time 253 269 6 269.6 620 28 148 4 148.4 Total Instructional FTE 392 416.2 893 65 256.6 Total Instructional Instr ctional Headcount Headco nt 677 708 9 708.9 105 434 5 434.5 Credit Hours per Instructional Faculty y FTE 554 573.8 954 303 608.9 Credit Hours per Headcount 321 336.9 471 176 359.0 Ratio Full-time Full time to Part-time Part time FTE 0 55 0.55 0 54 0.54 2 26 2.26 0 31 0.31 0 97 0.97 Ratio Instructional Faculty FTE to Administrator FTE 12.8 11.1 18.6 1.5 8.2 Part time FTE Part-time C di H Credit Hours per Administrator FTE INSTRUCTIONAL FACULTY NOTE: Chicago g City y Colleges g are excluded from state high, g , low,, and average. g NOTE: Latest available data. SOURCE: ICCB Data and Characteristics 91 1,411 1,411 OAKTON COMMUNITY COLLEGE Community College District No. 535 Credit Hours per Administrator FTE State Average State Lowest State Highest Local Area Average Oakton 0 2,000 4,000 6,000 8,000 10,000 12,000 14,000 16,000 Reimbursable Credit Hours Credit Hours per Instructional Faculty FTE State Average State Lowest State Highest Local Area Average Oakton 0 250 500 750 Reimbursable Credit Hours 92 1,000 1,250 OAKTON COMMUNITY COLLEGE Communityy College g District No. 535 Comparison of Classified Staff Assignments The following table compares classified staff assignments to educational and support programs for the last four fiscal years. Staff counts are listed on a full-time equivalent (FTE) basis. Student employees and individuals hired on a contractual service basis are excluded, as are grant-funded positions. FTE totals may vary as some positions change funding between Current Funds and Restricted Purpose Funds, Funds which are not catalogued below. IInstruction t ti Instructional Administration Academic Support St dent Services Student Ser ices Public Services G General Administration i i i General Institutional T t l Education Total Ed ti Fund F d Operations p and Maint. Maint of Plant Sit E Site Expenditures dit ALLi ALLiance Auxiliary Enterprises Information Technology Technolog gy ECE Lab Schools B kt Bookstore Institute Bus/Pro Development Oth Other Total Staff FTE FY 2011 B dg t Budget FY 2012 B dg t Budget FY 2013 B dg t Budget FY 2014 B dg t Budget 18.4 18 4 27 4 27.4 36.8 51 7 51.7 60 6.0 32.7 78 7.8 18.7 18 7 28 6 28.6 37.8 52 0 52.0 60 6.0 33.8 78 7.8 18.0 18 0 28 2 28.2 36.1 57 0 57.0 53 5.3 34.6 83 8.3 19.2 19 2 27 2 27.2 37.1 57 4 57.4 44 4.4 34.5 83 8.3 180.8 184.7 187.5 188.0 79 7 79.7 79 7 79.7 81 0 81.0 80 6 80.6 16 1.6 16 1.6 16 1.6 16 1.6 24.0 22.0 20.6 21.6 37.6 37 6 12.2 70 7.0 69 6.9 94 9.4 37.6 37 6 12.2 70 7.0 67 6.7 92 9.2 37.6 37 6 12.2 70 7.0 60 6.0 87 8.7 38.6 38 6 12.2 56 5.6 67 6.7 10 9 10.9 359 2 359.2 360 7 360.7 362 2 362.2 365 9 365.9 93 OAKTON COMMUNITY COLLEGE C Community it C College ll Di District t i tN No. 535 Comparison of Classified Staff - Fall Semester 2012 (FY 2013) The following g tables examine pprofessional staff and classified staff ppersonnel staffing g levels compared p to faculty y and credit hours. Care should be taken in making direct comparisons without additional analysis. For example, some colleges ll provide id th their i own custodial, t di l cafeteria, f t i and d public bli safety f t services i while hil others th contract t t for f these th services; contracted service personnel, not being direct employees of the college, are not counted in these data. Furthermore, jjob definitions can vary y significantly: g y a facultyy position p at one college g mayy be a professional p classified staff position at another college. Under ICCB personnel classifications; professional staff includes librarians and counselors (faculty positions at Oakton) as well as certain classified staff positions positions. ICCB classifications do not conform to Oakton policy or definitions. The data below is based on ICCB reporting definitions. Oakton Local Area Average State Highest State Lowest State Average CLASSIFIED STAFF Full Time 145 156 237 22 92 44 68 291 0 44 Total Classified Staff FTE 189 224 433 22 137 T lS Total Staff ff H Headcount d 228 291 643 22 173 Credit Hours per Classified Staff FTE 1,153 1,068 3,611 576 937 F l FTE per Faculty Classified Staff FTE 2 08 2.08 1 86 1.86 7 59 7.59 0 98 0.98 6 53 6.53 Staff FTE pper Admin FTE 6 15 6.15 5 97 5.97 14 78 14.78 0 74 0.74 4 04 4.04 Part time FTE Part-time NOTE: Latest available data NOTE: Chicago City Colleges are excluded from state high, low, and average. SOURCE: ICCB Data and Characteristics St t A State Average State Lowestt St t L State Highest Area Average Oakton Oa to 0 1,000 2,000 3,000 R i b Reimbursable bl C Credit dit H Hours pper Cl Classified ifi d St Staff ff FTE 94 4,000 OAKTON COMMUNITY COLLEGE C Community it C College ll Di District t i tN No. 535 Comparison p of Total Reimbursable Credit Hours g - FY 2012 byy Instructional Categories Reimbursable credit hours form the basis upon which credit hour grants are awarded by the state. Generally speaking, a credit hour is defined by the ICCB as an expected 45 hours of combined classroom/laboratory/ study time during a semester. semester Each course generates a certain number of credit hours per student, student and it is the aggregate of these credit hours which determine the total credit hours for the institution. Not all credit hours the College generates are necessarily reimbursable. Certain restrictions concerning repeatability of a course, residency of the student, approval by the ICCB, and other factors will serve to reduce the total number of credit hours which an institution may claim for reimbursement reimbursement. Credit hours are classified by instructional category and reimbursement rates for each of the categories are different. The percentage table below shows the contribution each instructional category makes to the total reimbursable credit hours for the institutions institutions. For example example, there is a community college for which baccalaureate hours represent only 40% of the college college'ss total reimbursable credit hours, while the state-wide state wide baccalaureate average for all community colleges is 58%. CATEGORY Baccalaureate l B i Business T h i l Technical Health Remedial ABE/ASE Total Enrollments: % Change Prior FY: % Change Ch 5 Years: Y % Change Ch 10 Years: Y Oakton Local Area Average State Highest* State Lowest* % Change g State State Total Average* Hours 130,082 16 833 16,833 11,054 11,054 15,540 15,540 18 191 18,191 25 685 25,685 143,801 16 602 16,602 18,404 18,404 16,227 16,227 22 931 22,931 20 847 20,847 288,838 43 914 43,914 55,573 55,573 28,169 28,169 37 610 37,610 33 510 33,510 21,638 708 2,449 2,449 3,330 3,330 1 617 1,617 621 90,108 10 697 10,697 16,624 16,624 12,614 12,614 13 596 13,596 10 532 10,532 217 384 217,384 238 812 238,812 465 066 465,066 37 152 37,152 154 172 154,172 -1.88% 6.69% 5 08% 5.08% -2.76% 12.05% 16 93% 16.93% -7.69% 2.33% -2.92% 2 92% 2.92% -4.16% -14.47% 14.47% 3 26% 3.26% -4.23% 8.29% 14 28% 14.28% Percent of each instruction category compared to total reimbursable credit hours B Baccalaureate l t Business Technical Health R Remedial di l ABE/ASE 59 84% 59.84% 7 74% 7.74% 5 09% 5.09% 7.15% 8 37% 8.37% 11 82% 11.82% 59 23% 59.23% 6 53% 6.53% 7 07% 7.07% 7.07% 10 50% 10.50% 9 61% 9.61% 72 00% 72.00% 12 15% 12.15% 32 90% 32.90% 18.46% 17 71% 17.71% 20 00% 20.00% *Chicago City Colleges are excluded from state high, low, and average. average SOURCE: ICCB D SOURCE Data t and d Ch Characteristics t i ti NOTE: Latest available data. 95 39 67% 39.67% 1 91% 1.91% 3 33% 3.33% 4.85% 2 60% 2.60% 0 90% 0.90% 57 55% 57.55% 6 69% 6.69% 11 03% 11.03% 9.39% 8 72% 8.72% 6 61% 6.61% -2.86% 2.86% -1.96% 1 96% 1.96% -3.97% 3 97% % -2.97% 2 97% -3.41% 3 41% -6 36% -6.36% -3.36% 10.11% 10 93% 10.93% OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Baccalaureate Credit Hours State Average State Lowest State Highest Local Area Average Oakton 0 50,000 100,000 150,000 200,000 250,000 300,000 350,000 Reimbursable Credit Hours Comparison of Percent Changes in Credit Hour Totals 40.00% 10 YEARS 5 YEARS PRIOR YEAR 30.00% 20.00% 10.00% 0.00% -10.00% OAKTON Local Area Reimbursable Credit Hours 96 State Average OAKTON COMMUNITY COLLEGE Community College District No. 535 T t l and Total dR Reimbursable i b bl C Credit dit H Hours bby IInstructional/Funding t ti l/F di C Category t FY 2004 FY 2005 FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 F di Category Funding C t 9977 Baccalaureate Business Occupational Technical Occupational Health O Occupational i R Remedial di l D Developmental l l Ad lt Basic/Secondary Adult B i /S d 114,412 114 412 14,090 13,691 16 44 16,744 16 635 16,635 34 238 34,238 114,312 114 312 14,408 11,645 18 233 18,233 16 627 16,627 31 580 31,580 114,508 114 508 13,930 10,582 21 8 21,785 16 598 16,598 31 394 31,394 113,407 113 407 12,523 10,468 19 492 19,492 14 964 14,964 28 743 28,743 Total Reimbursable Non-reimbursable 209,809 209 ,809 10 166 10,166 206,803 206 ,803 12 109 12,109 208,797 208 ,797 11 690 11,690 199,595 199 ,595 14 292 14,292 T l Credit Total C di H Hours % Change Ch over P Prior i Y Year 219 975 219,975 0 39% 0.39% 218 912 218,912 -0.48% 0 48% 0.48% 220 486 220,486 0 72% 0.72% 213 887 213,887 -2.99% 2 99% 2.99% R i b Reimbursable bl C Credit dit H Hours b by T Term S Summer F ll Fall S i Spring FY 2013 2012 0 2012 0 2013 0 3 Total o 114,743 114 743 12,437 11,185 19 368 19,368 16 361 16,361 29 661 29,661 203,755 203 ,755 13 253 13,253 217 008 217,008 1 46% 1.46% 122,522 122 522 14,287 11,639 21 18 21,718 16 592 16,592 30 611 30,611 217,369 217 ,369 12 658 12,658 230 027 230,027 6 00% 6.00% % Change Ch % off Total T t l f for f for FY 2013 0 3 FY 2013 0 3 F di Category Funding C t B Baccalaureate l B i Business Occupational O ti l T h i lO Technical Occupational ti l H lth O Health Occupational ti l R Remedial di l D Developmental l t l Ad lt Basic/Secondary Adult B i /S d Total ota Reimbursable e bu sab e Total Non-reimbursable Non reimbursable Total Credit Hours NOTE: Does not include chargeback credit hours 22 922 22,922 2 583 2,583 1 171 1,171 2 563 2,563 1 548 1,548 1 825 1,825 32,6610 32,610 3 0 1,612 1,612 34,222 34,222 52 968 52,968 7 257 7,257 4 681 4,681 5 810 5,810 8 981 8,981 9 427 9,427 89 123 89,123 89, 3 4,196 4,196 93,319 93,319 52 534 52,534 7 527 7,527 5 071 5,071 5 472 5,472 6 744 6,744 13 702 13,702 91,050 91,050 9 050 4,481 4,481 95,531 95,531 128 424 128,424 17 367 17,367 10 922 10,922 13 844 13,844 17 273 17,273 24 953 24,953 212,78 212,782 782 10,289 10,289 223,071 223,071 -1.27% 1 27% 3 17% 3.17% -1.19% 1 19% 1.19% -10.92% 10 92% 10.92% -5.05% 5 05% 5.05% -2.85% 2 85% 2.85% -2.12% 2.12% % 2 81% 2.81% -1.90% 1 90% 57 57% 57.57% 7 79% 7.79% 4 90% 4.90% 6 21% 6.21% 7 74% 7.74% 11 19% 11.19% 95 39% 95.39% 4 61% 4.61% 134,939 134 939 15,341 12,824 18 240 18,240 17 482 17,482 30 704 30,704 135,457 135 457 15,938 11,551 1 2 4 17,274 17 417 17,417 23 917 23,917 130,082 130 082 16,833 11,054 1 40 15,540 18 191 18,191 25 685 25,685 229,530 229 ,530 12 029 12,029 221,553 221 ,553 11 236 11,236 217,385 217 ,385 10 008 10,008 241 559 241,559 5 01% 5.01% 232 788 232,788 -3.63% 3 63% 3.63% 227 393 227,393 -2.32% 2 32% 2.32% OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparisons of Credit Hours Information History of Reimbursable/Total Credit Hours 250,000 Total Credit Hours 240,000 230,000 220,000 210,000 Reimbursable Credit Hours 200,000 190,000 180,000 170,000 FY 03 FY 04 FY 05 FY 06 FY 07 FY 08 FY 09 FY 10 FY 11 FY 12 FY 13 Fiscal Year 2013 Reimbursable Credit Hours by Instructional Category Adult Basic/Secondary 11.73% Baccalaureate 60.35% Developmental 8.12% Health 6.51% Technical 5.13% Business 8.16% 98 OAKTON COMMUNITY COLLEGE Community College District No. 535 History of ICCB Credit Hour Grant Rates By Instructional Category Community colleges receive Base Operating Grants (also called apportionment allocations) based upon credit hours generated byy students who are residents of the State of Illinois. Credit hour rates for each instructional category g g y are established by y General Assembly y legislative g p recommendations from various agencies g g g action based upon beginning with the ICCB and ending with the Governor's office. Rates vary from year to year within each category. Categories are not proportionally linked (so that all rise or fall in unison). Grant rates are applied to credit hours earned by the college ll two fi fiscall years previously, previously i l (i (i.e., e credit di hours h earnedd iin Fiscal i l Year 2011 were reimbursed i b d at the h Fiscal i l Year 2013 credit hour grant g rates in each instructional category). g y) Fiscal i Year 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 (2) 2014 Baccalaureate Business Technical Health Remedial ABE/ASE 24.63 24 63 21 72 21.72 19.31 19 06 19.06 18 61 18.61 20 04 20.04 19 41 19.41 13 13 13.13 NA (1) 21.26 21 98 21.98 28.23 28 23 27 90 27.90 27.02 23 62 23.62 22 98 22.98 23 00 23.00 29 96 29.96 46 98 46.98 NA (1) 34.96 35 66 35.66 49.93 49 93 59 26 59.26 61.05 59 36 59.36 61 65 61.65 55 31 55.31 55 39 55.39 49 45 49.45 NA (1) 30.96 31 80 31.80 93.43 93 43 94 88 94.88 89.33 91 58 91.58 97 19 97.19 94 09 94.09 90 56 90.56 101 94 101.94 NA (1) 58.91 54 87 54.87 18.58 18 58 18 68 18.68 13.82 15 78 15.78 16 01 16.01 16 49 16.49 14 40 14.40 9 51 9.51 NA (1) 7.03 9 66 9.66 69.99 69 99 56 87 56.87 46.37 56 23 56.23 51 42 51.42 51 97 51.97 56 45 56.45 80 27 80.27 NA (1) 58.71 57 49 57.49 (1) For FY2012, FY2012 total reimbursed dollars were frozen at FY2011 levels; thus Oakton's total credit hour grant was $5.6 million, the same amount Oakton was granted in FY2011. ((2)) For F FY2013, FY2013 th the above b rates t were ppublished bli h d iin th the F Fall ll off calendar l d 2012 2012. St State t ffunding di g available il bl tto all ll Illi Illinois i community colleges was reduced for FY13. FY13 The ICCB reviewed funding of all programs and allocated amounts so as to maintain credit hour and equalization grant funding relatively "whole" whole for each of the colleges. Other grant pprograms g g were adjusted j to enable such funding g and the ggrant rates by y instructional category g y reported p above were derived as a function of total available funding, funding general maintenance of funding levels by college, college actual credit di hhours bby college ll and d relative l i iinstructional i l costs. SOURCE: ICCB Reports and College records 99 OAKTON COMMUNITY COLLEGE C Community i C College ll Di District i N No. 535 Enrollment Statistical Data The Oakton enrollment by program statistical data is based upon full-time equivalents for all three semesters. Enrollment data reported here is consistent with mid mid-term term enrollments, in student credit hours, as reported to the ICCB. One full-time full time equivalent (FTE) student is defined as 30 student semester credit hours. Oakton FTE Enrollment by Program FY 11 FY 12 FY 13 Baccalaureate l Programs Pe ce t B Percent Baccalaureate cc l u e te 5,172 1 2 49 9 4,979 4 890 4,890 77 69% 77.69% 77 60% 77.60% 77 45% 77.45% 77. 5% Vocational Programs Percent Vocational 1 485 1,485 1 437 1,437 1 423 1,423 22 31% 22.31% 22 40% 22.40% 22 54% 22.54% 6 657 6,657 6 416 6,416 6 314 6,314 Total FTE The ALLiance enrollment by program statistical data is based upon total fiscal year headcount and includes duplicated counts of students. ALLiance Enrollment by Program C ti i Ed. Continuing Ed for f Health H lth P Professionals f i l ESL General Programs Business Institute GED E i g Hi Evening High gh S School h l Co Listed Programs Co-Listed Kids' College/Studio 3 Art Exhibition Kids NIPSTA Lit Literacy First Class Adventure T t l Enrollments Total E ll t 100 FY 11 FY 12 FY 13 9 893 9,893 3,888 3,888 3 270 3,270 1,121 915 392 439 250 1,634 1 306 1,306 15 9 875 9,875 3,839 3,839 2 975 2,975 933 906 370 414 1,731 1 300 1,300 - 7 819 7,819 3,614 3,614 2 734 2,734 586 1 024 1,024 342 440 1,854 1 203 1,203 - 23,123 23,123 22,343 22,343 19,616 19,616 OAKTON COMMUNITY COLLEGE C Community i C College ll Di District i N No. 535 Enrollment Statistical Data (cont ) (cont.) Communityy service pprograms g make available to students and district residents services and cultural events not otherwise provided by the College. Programs include lecture series, special events and non-credit classes and seminars. C Community it Service S i P Program P Participation ti i ti 6 Piano Ensemble Academic Skills All Student Gathering E Emeritus it H Humanities iti F Festival ti l Chinese Events Chinese School Celebration-New Years Emeritus Seminars F ll T Fall Travel/Tour l/T L Lectures F t Futures Unlimited U li it d Humanities Treasures Lectures Math Awards Ceremony Math Competition O kt STEM C Oakton Camp: W Waterbotics t b ti OCC Annuitant Association Passages Lectures Passport to the World Sh k Shakespeare F Festival i l Si t Cities Sister Citi SIT SIMs SIT-SIMs STEM Speaker Series Susan B. Komen Cancer Walk Oth C Other Community it S Service i P Programs* Programs * Total Participation p FY 11 FY 12 FY 13 570 11,054 054 220 47 450 450 1 267 1,267 1 337 743 81 153 250 479 669 72 23 0 189 2,300 14 709 14,709 570 918 168 56 na na 1 003 1,003 304 60 93 250 479 622 66 68 202 9 463 9,463 570 774 130 82 na na 1 174 1,174 370 50 85 15 235 290 647 68 245 3 998 3,998 24,064 24,064 14,322 14,322 *Based on voluntary y submissions of data for a variety y of college g events. Significant g fluctuations may occur due to the number of events held and the availability of data 101 8,733 8,733 OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Student Enrollment Information Fall Term Student Headcount The public community colleges in Illinois enroll more that fifty percent of all students enrolled in undergraduate higher education in the state. The fall term student headcount is the opening enrollment for the fall term as of the tenth day of the term, which is approximately when regular registration for classes ends (regular plus late registration). This count does not include students who register for classes which may start later in the term. It does not directly relate to credit hour grant claims of enrollment because some students will later drop courses for which they were enrolled on the tenth day. It is interesting to note that approximately sixty-two percent of the enrollments are for part-time students. Headcount figures are also informative because of the requirements the number of students pplace on the systems which support q y pp direct instruction; there is a distinct difference in support requirements between one student taking five classes and five students taking one class each. (See reimbursable credit hour comparison). ** Excludes Chicago City Colleges NOTE: Latest available data. SOURCE: ICCB Data and Characteristics Fiscal Fall Term FY OAKTON Local Area Average State** Lowest Select State** Average Total State Average % Increase State Average State** Highest 2003 2004 2005 2006 2007 11,910 11,212 11,040 10,597 10,805 13,248 13,204 12,805 12,625 12,569 30,378 29,854 27,117 26,032 25,768 2,083 2,077 1,975 2,032 2,049 7,833 7,879 7,741 7,708 7,641 9,359 9,313 9,047 8,987 8,905 3.20% -0.50% -2.86% -0.66% 0.66% -0.92% 2008 2009 2010 2011 2012 10,747 12,087 11,837 11,175 11,402 12,919 13,658 13,521 13,290 12,853 25,668 27,083 26,722 26,209 26,156 2,124 2,118 1,906 1,966 1,883 7,828 8,389 8,338 8,192 7,844 9,158 9,845 9,737 9,553 9,194 2.84% 7.50% -1.10% -1.89% -3.76% 3.76% Prev Yr 10 Year 2.03% -4.27% -3.83% -1.89% 4.00% 53.15% -23.11% -30.78% -5.08% 1.19% -4.99% 0.90% 16,000 14,000 12,000 10,000 10 000 8,000 6,000 4,000 OAKTON 2,000 0 2003 2004 2005 Area Avg 2006 2007 102 Select State Avg 2008 2009 2010 2011 2012 OAKTON COMMUNITY COLLEGE Community College District No. 535 History of Academic Awards Fiscal Years 1978 - 2013 This table shows the number of Academic Awards students have earned each fiscal year in the past 36 years of the College. Associate in Fine Arts Associate in Science Year Associate in Arts 77 - 78 78 - 79 79 - 80 80 - 81 81 - 82 82 - 83 83 - 84 84 - 85 85 - 86 86 - 87 87 - 88 88 - 89 89 - 90 90 - 91 91 - 92 92 - 93 93 - 94 94 - 95 95 - 96 96 - 97 97 - 98 98 - 99 99 - 00 00 - 01 01 - 02 02 - 03 03 - 04 04 - 05 05 - 06 06 - 07 07 - 08 08 - 09 09 - 10 10 - 11 11 - 12 12 - 13 156 164 130 162 190 207 195 240 245 251 246 321 315 309 293 319 222 240 222 205 220 234 201 217 183 255 275 258 251 266 269 267 286 335 306 365 1 2 0 1 2 2 0 0 2 1 1 0 2 2 4 4 7 3 11 14 9 14 18 7 11 12 16 17 19 12 8 17 9 14 24 16 11 5 4 7 17 14 16 10 7 8 5 14 5 11 13 TOTAL 8,820 20 409 Associate in Science Engineering Associate in Applied Science 103 Diploma Certificate TOTAL 3 3 7 5 4 2 12 6 4 4 4 2 9 2 5 144 165 150 121 141 174 278 259 272 230 199 178 171 175 179 193 183 244 262 211 190 180 138 159 158 155 201 214 216 249 228 227 220 222 244 226 79 60 71 100 128 132 153 171 136 152 160 126 190 149 193 125 163 218 207 224 169 212 252 242 246 429 535 856 639 605 507 674 705 741 671 682 386 399 361 399 477 524 652 688 660 644 617 641 693 652 677 645 585 711 705 664 595 638 598 622 595 858 1,027 1,344 1,122 1,133 1,017 1,178 1,227 1,314 1,236 1,295 36 7,156 36 11,102 27,579 OAKTON COMMUNITY COLLEGE Community College District No. 535 History of Tuition and Fee Charges - Fiscal Years 1993 - 2014 This table shows the history of the tuition rates and various fixed fee charges. Individual class fees are excluded (i.e., lab fee for biology classes). All amounts are in dollars. Per Credit Hour ** One- Proof of Per Per Credit Hour Class Per 104 In Out of Out of time Residency Semester Late Change/ Returned Student Fiscal Year District District State Application Submission Registration Registration Reinstatement Check Activities Transcript Construction Credit Hour Tuition Tuition Tuition Fee Late Fee Fee Fee Fee Fee Fee Fee Fee 93 - 94 94 - 95 95 - 96 96 - 97 97 - 98 98 - 99 99 - 00 00 - 01 01 - 02 02 - 03 03 - 04 04 - 05 05 - 06 06 - 07 07 - 08 08 - 09 09 - 10 10 - 11 11 - 12 12 - 13 13 - 14 30.00 32.00 33.00 35.00 37.00 110.00 114.00 118.00 128.00 138.00 125.00 129.00 133.00 153.00 173.00 15.00 15.00 25.00 25.00 25.00 10.00 15.00 15.00 15.00 15.00 25.00 25.00 25.00 25.00 25.00 25.00 25.00 25.00 25.00 25.00 25.00 25.00 25.00 25.00 25.00 1.25 1.25 1.25 1.25 1.25 3.00 3.00 39.00 42.00 45.00 50.00 54.00 58.00 62.00 69.00 75.00 82.00 148.00 126.00 135.00 150.00 150.00 174.00 183.00 204.80 225.00 233.86 193.00 168.00 180.00 200.00 200.00 216.00 247.00 263.50 283.30 296.59 25.00 25.00 25.00 25.00 25.00 25.00 25.00 25.00 25.00 25.00 27.00 - 52.00 27.00 - 52.00 27.00 - 52.00 27.00 - 52.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 25.00 25.00 25.00 25.00 25.00 25.00 25.00 - 50.00 25.00 - 50.00 25.00 - 50.00 25.00 - 50.00 25.00 - 50.00^ 25.00 - 50.00^ 25.00 - 50.00^ 25.00 - 50.00^ 25.00 - 50.00^ 25.00 - 50.00^ 25.00 - 50.00^ 25.00 - 50.00^ 25.00 - 50.00^ 25.00 - 50.00^ 25.00 25.00 25.00 25.00 25.00 25.00 25.00 25.00 25.00 25.00 1.25 1.25 1.25 1.80 2.60 2.60 2.60 2.60 2.60 2.60 3.00 - 10.00 84.00 86.00 91.00 91.00 93.75 261.46 272.00 287.88 287.88 287.88 317.30 329.00 348.16 348.16 348.16 25.00 25.00 25.00 25.00 25.00 27.00 - 52.00 27.00 - 52.00 27.00 - 52.00 27.00 - 52.00 27.00 - 52.00 15.00 15.00 15.00 15.00 15.00 25.00 - 50.00 25.00 - 50.00 25.00 - 50.00 25.00 - 50.00 25.00 - 50.00 25.00 - 50.00^ 25.00 - 50.00^ 25.00 - 50.00^ 25.00 - 50.00^ 25.00 - 50.00^ 25.00 25.00 25.00 25.00 25.00 2.60 2.60 2.60 2.60 2.60 3.00 - 10.00 3.00 - 10.00 3.00 - 10.00 10.00 - 20.00 10.00 - 20.00 2.00 2.00 95.34 287.88 370.05 25.00 27.00 - 52.00 15.00 25.00 - 50.00 25.00^^ 25.00 3.00 10.00 - 20.00 2.00 **Open computer lab fees are now included in tuition. FY93 - FY98 a separate $25 fee was required. ^For students dropped for non-payment, the exact fee is based on the date the student requests reinstatement; there is no fee for course/class changes. ^^A fee of $25.00 is charged each time a student is dropped by the College for non-payment of tuition and fees and wishes to register again for the same term/session. Also, this fee was renamed Re-registration fee 2013. Note: A parking fee of $2.50 in FY 91 and $10.00 FY 92 - FY 01 was charged. This fee was discontinued beginning FY 02 OAKTON COMMUNITY COLLEGE Community College District No. 535 History of Financial Aid to Students - Fall Semester Comparative Data The following data is based on an academic year. The data reflects the history of the number of students receiving financial aid awards through the College. The information includes federal grants, loans, state grants, institutional grants, and private scholarships. As the data clearly shows, financial aid is increasingly important in supporting students in their educational objectives. In FY 2009, 2,386 students received some type of financial assistance compared to 3,764 students in FY 2013 105 Federal Pell Grant Federal Supplemental Educational Opportunity Grant G.I. Bill (Veterans Chapters 30, 33, 1606, 1607) G.I. Bill (Veterans Chapter 911) G.I. Bill (Veterans Dependents) G.I. Bill (Veterans Vocational Rehabilitation) Illinois Veterans Grant Illinois Department of Vocational Rehabilitation Illinois State Monetary Award Illinois National Guard Grant Illinois POW/MIA Scholarship Federal Stafford Loan Military Tuition Assistance (Active Duty Personnel) OCC Foundation & Institutional Scholarship Student Government Association Grant Workforce Investment Act (WIA) Private/Organizational Scholarships Federal Work Study Program TOTAL (Duplicated student count) TOTAL (Unduplicated student count) Average Federal Pell Grant Award Maximum Federal Pell Grant Award FY 2009 Recipients Dollars 1,620 3,831,758 311 143,200 103 N/A N/A N/A 8 N/A 4 14,602 90 161,999 4 14,602 1 157 1,111,371 1,157 1 111 371 4 8,497 1 2,623 213 413,296 5 2,803 280 337,623 207 145,968 68 57,960 49 47,134 31 57,418 4,155 2,386 $2,365 $4,731 6,350,854 FY 2010 Recipients Dollars 2,552 7,543,966 289 143,200 174 N/A N/A N/A 8 N/A 5 47,987 100 171,190 5 47,978 1 344 1,283,262 1,344 1 283 262 9 16,294 2 4,088 466 818,727 8 7,906 284 343,248 201 152,172 78 85,190 100 90,237 27 61,695 FY 2011 Recipients Dollars 2,860 8,440,945 236 119,700 143 N/A 109 328,987 18 N/A 5 24,426 68 134,684 4 23,193 1 207 1,161,960 1,207 1 161 960 7 17,099 1 2,620 484 960,609 9 12,315 478 479,262 280 240,180 80 81,321 112 114,074 30 61,690 FY 2012 Recipients Dollars 2,843 7,996,995 254 130,100 189 N/A 169 343,695 7 N/A 6 12,417 50 86,232 6 12,417 1 213 1,047,220 1,213 1 047 220 6 21,306 3 4,205 317 1,014,358 4 3,194 560 597,375 296 246,268 48 45,482 200 179,118 34 61,245 FY 2013 Recipients Dollars 2,720 7,672,176 418 210,814 166 N/A 121 318,370 9 N/A 6 10,970 53 113,970 6 10,970 1 125 1,125 988 082 988,082 4 9,967 7 7,753 265 700,180 1 1,125 560 556,895 279 243,435 24 23,826 96 100,166 30 61,272 5,652 10,817,140 6,131 12,203,065 6,205 11,801,627 5,890 11,029,971 3,477 $2,956 $5,350 3,991 $2,951 $5,550 4,006 $2,814 $5,550 3,764 $2,821 $5,550 OAKTON COMMUNITY COLLEGE C Community it C College ll Di District t i tN No. 535 Comparison of Property Tax Rates and Tuition and Fee Rates Oakton PROPERTY TAX RATES Ed ti F Education Fund d Op ti /M i t Operation/Maintenance F Fund d L l Local A * Area* Average g State St t Highest g State St t Lowest State° St t ° Average g T Levy Tax L Y Year 2011 C Collected ll t d iin 2012** 2012 ^ 10 90 10.90 2 50 2.50 20 37 20.37 6 06 6.06 44 79 44.79 ^ 15 40 15.40 26 43 26.43 00.92 92 4 49 4.49 0 14 0.14 0.14 15.67 15 67 30 27 30.27 0 51 0.51 13.21 ^ ^ 00.00 00 0 00 0.00 0 01 0.01 0.00 4.85 4 85 9 84 9.84 0 27 0.27 2.69 19 57 19.57 30 65 30.65 77 99 77.99 ^ 16 50 16.50 44 06 44.06 22 62% 22.62% 7 37% 7.37% 22 62% 22.62% # -8.72% 8 72% 8.72% 3 77% 3.77% Fiscal Year 2013 Tuition Fiscal Year 2013 Fees*** Total Fiscal Year 2013 93.75 93 75 4 60 4.60 98 35 98.35 99.34 99 34 14 82 14.82 114 16 114.16 138.00 138 00 32 85 32.85 138 00 138.00 ^ 74.00 74 00 0 00 0.00 89 00 89.00 97.31 97 31 10 98 10.98 108 01 108.01 Fiscal Year 2014 Tuition Fiscal Year 2014 Fees*** Total Fiscal Year 2014 95.34 95 34 5 00 5.00 100.34 103.20 103 20 14 36 14.36 117.56 140.00 140 00 32 85 32.85 140.00 ^ ^ 77.00 77 00 0 00 0.00 92.00 102.08 102 08 10 85 10.85 112.65 Dollar D ll IIncrease FY 2014 Percent Increase FY 2014 11.99 99 2 02% 2.02% 33.40 40 2 81% 2.81% 17.00 17 00 14 91% 14.91% # -3.00 3 00 -2.83% 2 83% 4.63 4 63 4 31% 4.31% 29 30% 29.30% 95.79% 42 92% 42.92% 111.64% 98 57% 98.57% 178.57% 24 69% 24.69% 76.42% 53 27% 53.27% 119.05% Total Operating p g Funds: Liability, Liability y Protect, Protect Settle Fund Bond and Interest Fund Audit Fund All Other T l All F Total Funds: d Percent change for 2011 14 80 14.80 3 36 3.36 19 04 19.04 5 93 5.93 37 29 37.29 10 00 10.00 ^ 18 16 18.16 24 97 24.97 00.01 01 1 39 1.39 0 01 0.01 0.00 ^ ^ TUITION AND FEE RATES 5 Year Y % IIncrease 10 Year % Increase ^ ^ ^ # # *Local Area Colleges included incl ded in the average a erage are DuPage, D Page Elgin, Elgin Harper, Harper Lake County, Co nt Moraine Valley, Valle Morton,, Oakton,, Prairie State,, South Suburban,, and Triton. **Rates are cents per $100.00 of Equalized Assessed Valuation, calendar year basis. ^ Data is for individual colleges and is not cumulative cumulative. ***Average fee rate per credit hour. hour ° °For tax rates,, iincludes l d all ll 40 colleges ll g even if llevy y iis zero. # Data iis ffor iindividual di id l college ll g totals. l SOURCE: ICCB Data and Characteristics and other ICCB reports 106 OAKTON COMMUNITY COLLEGE Community College District No. 535 Property Tax Rates - Tax Levy Year 2011 State Average State Lowest State Highest Local Area Average Oakton* 0.00 20.00 40.00 60.00 80.00 Tax Rate in Cents per $100.00 EAV * Oakton (at 15.97) is one of the lowest in the state Tuition and Fee Rates Fiscal Year 2014 State Average State Lowest State Highest Local Area Average Oakton 0.00 20.00 40.00 60.00 80.00 100.00 120.00 Combined Tuition and Fees per Credit Hour 107 140.00 OAKTON COMMUNITY COLLEGE Community College District No. 535 Ten Year History of Tax Rates and Assessed Valuations The tables below show the history of the tax rates and assessed valuations for property in the College district. Refer to the PROPERTY TAXES portion of the FINANCE AND ACCOUNTING section for a discussion of taxes and rates. The ceiling rate is calculated using ceilings only for those levy categories actually in use. Tax Year Education Fund 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 % Change Tax Levy Category Operation/ Liability/ Maintenance Protection Audit Fund Fund Fund .1363 .1411 .1211 .1190 .1250 .1068 .1073 .1071 .1266 .1480 .1661 12.23% OCC Tax Rate Ceiling .7500 7500 2011 State Average .2037 .0364 .0381 .0327 .0317 .0330 .0279 .0275 .0271 .0298 .0336 .0367 .0025 .0025 .0031 .0028 .0034 .0027 .0025 .0025 .0028 .0000 .0000 9.23% 0.00% .1000 1000 .0606 N None .0485 ^ ^ ^ ^ ^ ^ ^ ^ ^ Bond & Interest Fund .0008 .0006 .0006 .0006 .0006 .0004 .0001 .0004 .0004 .0001 .0004 .0000 .0000 .0000 .0000 .0000 .0000 .0000 .0000 .0000 .0139 .0149 300.00% 7.19% .0050 0050 .0027 N/A .0984 Total Other Taxes ^ ^ ^ ^ ^ ^ ^ ^ ^ .0025 .0031 .0026 .0031 .0031 .0026 .0026 .0027 .0000 .0000 .0000 0.00% Total Rate ^ ^ ^ ^ ^ ^ ^ ^ ^ .179 .185 .160 .157 .165 .140 .140 .140 .160 .196 .218 22.56% N None .0269 .4406 ^For comparative purposes, assumed to be at maximum; see PROPERTY TAXES discussion. Levy Year Equalizer 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2.4689 2.4598 2.5757 2.7320 2.7076 2.8439 2.9786 3.3700 3.3000 2.9706 2.0856 Assessed % Valuation Change (000,000) 6.89% 16,562 -0.37% 16,730 4.71% 19,683 6.07% 21,252 -0.89% 21,383 5.03% 26,373 4.74% 28,093 13.14% 28,516 -2.08% 25,888 -9.98% 23,302 -29.79% 21,609 Cap Exempt % Property Value % Change (000,000) of Total 7.09% 162 0.98% 1.01% 168 1.00% 17.65% 187 0.95% 7.97% 423 1.99% 0.61% 354 1.66% 23.34% 405 1.54% 6.52% 290 1.03% 1.51% 372 1.30% -9.22% 182 0.70% -9.99% 100 0.43% -7.27% 133 0.62% (1) Reassessment of the total district. district Source: Cook County Clerk's Office and College records NOTE: Latest available data. 108 Estimated % Actual Value Change (000,000) Notes -21.85% 49,687 3.47% 50,190 11.35% 59,049 (1) 126.57% 63,757 -16.38% 64,148 14.46% 79,120 (1) -28.32% 84,279 28.12% 85,549 -51.08% 77,665 (1) -45.05% 69,905 33.00% 64,827 OAKTON COMMUNITY COLLEGE Community College District No. 535 Typical yp History y of Property p y Tax Rates - Overlapping pp g Governments* Taxes are Actually Collected the Year After Latest Available Data T Y Tax Year 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 .690 690 .061 061 .630 630 .059 059 .593 593 .060 060 .533 533 .060 060 .500 500 .057 057 .446 446 .053 053 .415 415 .051 051 .394 394 .049 049 .461 461 .051 051 .461 461 .057 057 .530 530 .063 063 .371 371 .006 006 .000 000 .941 941 .361 361 .004 004 .029 029 1 000 1.000 .347 347 .001 001 .000 000 .902 902 .315 315 .005 005 .000 000 .887 887 .284 284 .005 005 .000 000 .915 915 .263 263 .000 000 .012 012 .793 793 .252 252 .000 000 .000 000 .761 761 .261 261 .000 000 .021 021 .780 780 .274 274 .000 000 .000 000 .870 870 .319 319 .000 000 .025 025 .985 985 .365 365 .076 076 .338 338 .079 079 .299 299 .071 071 .331 331 .084 084 .337 337 .073 073 .286 286 .065 065 .278 278 .064 064 .279 279 .067 067 .307 307 .075 075 .344 344 .084 084 .391 391 .096 096 13.61% 13 61% 13 15% 13.15% .015 015 .038 038 .009 2 16 2.716 1 936 1.936 7 224 7.224 .016 016 .040 040 .010 2 829 2.829 2 012 2.012 7 407 7.407 .015 015 .036 036 .009 2 26 2.526 1 795 1.795 6 654 6.654 .015 015 .036 036 .009 2 82 2.582 1 757 1.757 6 614 6.614 .016 016 .038 038 .009 3 016 3.016 1 826 1.826 7 076 7.076 .015 015 .034 034 .008 28 0 2.850 1 602 1.602 6 427 6.427 .015 015 .033 033 .008 2 68 2.685 1 577 1.577 6 139 6.139 .016 016 .034 034 .008 2 686 2.686 1 617 1.617 6 212 6.212 .018 018 .038 038 .009 29 1 2.951 1 782 1.782 6 836 6.836 .020 020 .043 043 .010 3 284 3.284 1 995 1.995 7 627 7.627 .023 023 .048 048 .011 36 8 3.658 2 215 2.215 8 493 8.493 13.37% 13 37% 12 35% 12.35% 11.46% 11 39% 11.39% 11 03% 11.03% 11 34% 11.34% .179 179 .186 186 .161 161 .157 157 .165 165 .141 141 .140 140 .140 140 .160 160 .196 196 .218 218 11 50% 11.50% 7 403 7.403 7 593 7.593 6 815 6.815 6 771 6.771 7 241 7.241 6 568 6.568 6 279 6.279 6 352 6.352 6 996 6.996 7 823 7.823 8 711 8.711 11 35% 11.35% 2 418% 2.418% 2 450% 2.450% 2 360% 2.360% 2 322% 2.322% 2 280% 2.280% 2 147% 2.147% 2 230% 2.230% 2 204% 2.204% 2 287% 2.287% 2 500% 2.500% 2 504% 2.504% 0 14% 0.14% Taxing g Bodies 10 099 C kC Cook County t (I (Incll H Health) lth) Cook County y Forest Preserve Metropolitan p Water Reclamation District Suburban T.B. T B Sanitarium Consolidated Elections City y of Park Ridge g ((Incl Library) y) Park Ridge g Recreation and Park District Maine Township Maine Township General Assistance Maine Township Road and Bridge Northwest Mosquito Abatement S h l District School i i 64 M i T Maine Township hi HS Di Dist 207 S b totall O Sub-total Sub Overlapping l i R Rate O kt C Oakton Community it C College ll Total Rate Oakton Percentage of Total * Tax rates are assessed in dollars per hundred at equalized assessed value (EAV). NOTE T NOTE: Tax rates t di displayed pl y d are representative p t ti ffor pproperty p ty within ithi th the di district t i t and d are bbased d on th the llatest t t available il bl ddata. t Source: A local taxpayer's property tax bill bill. % Incr 14 89% 14.89% 10 14% 10.14% % .370 370 15.92% 15 92% .000 000 .000 000 -100.00% 100 00% 1 089 10.50% 1.089 10 50% OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Facilities and Use - Fiscal Year 2012 Square Footage Data This table compares various characteristics of physical plant facilities. Educational space is a combination of classrooms, labs, and study space. The administration category is a combination of office, support, and health facilities. Other general square footage consists of general use and unclassifiable space. The remaining categories are single categories as defined by the ICCB. The data clearly shows that Oakton compares favorably with other community colleges in economical credit hour/student/space utilization ratios. The economy of space is also reflected in reduced utility costs, efficient operations and maintenance (O & M) costs, and lower total physical plant investment dollars per student. (All data in square feet except O & M costs in dollars.) Use Category Oakton Local Area* Average State** Highest State** Lowest State** Average Educational Uses % Education /(NASF) Administration Athletics/Physical Education Theater/Auditorium Special Use Other General 206,450 48.69% 129,708 17,003 9,908 5,112 55,802 298,495 51.63% 147,083 31,324 20,500 11,411 82,932 587,291 60.64% 283,390 81,529 47,632 36,867 367,365 53,398 16.79% 25,616 0 0 0 13,358 205,609 49.36% 103,756 28,838 13,517 9,165 52,298 Net Assignable Square Feet (NASF) % Assignable 423,983 69.26% 591,747 1,395,319 61.85% 76.05% 124,533 34.28% 421,217 63.72% Gross Square Feet (GSF) 612,132 986,648 2,018,105 190,849 688,722 1.4 2.4 28.3 46.3 5.89 -16.42% 3.0 4.7 59.9 95.4 11.37 3.09% NASF/Credit Hour GSF/Credit Hour NASF/Enrollment^ GSF/Enrollment^ O & M Costs/NASF Percent O & M Costs Change from Previous FY 2.0 2.8 37.2 53.7 16.38 6.40% 2.4 4.0 45.9 75.9 15.11 5.54% 4.8 8.4 119.8 182.4 21.73 68.31% *Local Area Colleges included in the average are DuPage, Elgin, Harper, Lake County, Moraine Valley, Morton, Oakton, Prairie State, South Suburban, and Triton. **Excludes Chicago City Colleges ^Fall term headcount enrollment. SOURCE: ICCB Data and Characteristics 110 OAKTON COMMUNITY COLLEGE Community College District No. 535 Comparison of Facilities and Use - Fiscal Year 2012 Square Footage Data Comparison of Education, Net Assignable, and Gross Square Footage (000) 2000 Oakton 1800 Local Area 1600 State Highest 1400 Lowest 1200 Average 1000 800 600 400 200 Education Use Net Assignable Square Feet Gross Square Feet Comparison of Square Footage Data to Enrollment/Cost Data Oakton (Adjusted relative values) Local Area State Highest Lowest Average NASF/Credit Hour NASF/Enrollment^ 111 O & M Costs/NASF OAKTON COMMUNITY COLLEGE Community College District No. 535 History and Comparison of Utility Costs These tables present a ten history of utility costs among the community colleges and selected additional analysis. Costs include fuels, electricity, water, and sewage services. Utility costs can vary significantly based upon climatic conditions and factors such as age of the facility, number of buildings, rentals, and type of fuel used, so conclusions about energy efficiency should be drawn with care. Analysis indicates no significant difference in energy costs by geographic location. The ten year average mediates weather extremes but does not account for inflation or other factors. Fiscal Year Local Area* Average State Highest State Lowest State Average 1.49 1.59 1.45 1.45 1.75 1.93 2.11 2.14 2.05 1.94 1.95 1.84 1.68 1.70 1.66 1.77 2.03 2.09 2.29 2.43 2.22 2.11 1.86 2.02 2.14 2.77 2.25 2.53 2.99 2.89 2.98 3.32 2.81 3.10 3.34 2.52 0.66 0.60 0.73 0.73 1.22 1.10 1.22 1.24 0.89 0.83 0.81 0.99 1.49 1.53 1.55 1.61 1.84 1.86 2.09 2.12 1.94 1.90 1.72 1.81 5.43 103.51 6.86 129.46 12.78 320.78 4.73 79.46 7.56 153.24 Oakton History of Utility Costs per Gross Square Foot FY 2002 FY 2003 FY 2004 FY 2005 FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 10 Year Average Additional Utility Comparisons FY 12 Cost/Credit Hour FY 12 Cost/Student Headcount SOURCE: ICCB Data and Characteristics and other ICCB reports NOTE: Latest available data. 3.75 Oakton Area Average State Average Highest Lowest 3.25 2.75 2.25 1.75 1.25 0.75 0.25 FY 02 FY 03 FY 04 FY 05 FY 06 FY 07 112 FY 08 FY 09 FY 10 FY 11 FY 12 APPENDIX SECTION OAKTON COMMUNITY COLLEGE Community College District No. 535 Functional Areas and Programs The College’s structural organization reflects that of most community colleges; similar functions and programs are grouped to facilitate coordination and control of activities to further the College’s mission. The financial structure generally follows this functional organization concept. For specific information, refer to the various organization charts. The information provided below, with the exception of the Office of the President, generally follows the College’s chart of accounts structure used by the budget and the general ledger. Individual instructional programs are not included. Note: Those interested in descriptions of instructional programs and/or classes should refer to the current College Catalog at http://www.oakton.edu/about/instpubs/catalog1314.pdf 113 Current Unrestricted Funds Group Education Fund Office of the President The President provides leadership, direction, and guidance for all aspects of the College’s activities and operations and provides administrative focus for the academic programs, student development, community services, and business services of the College within policies approved by the Board of Trustees. The President implements and emphasizes continuous program evaluation and coordinates strategic planning for the College as a whole. In addition to the Vice Presidents, the Associate Vice President for Human Resources; Executive Director of College Advancement; Executive Director of Research, Curriculum, and Planning/Executive Assistant to the President; and Assistant to the President report directly to the President. Instructional Administration FY12 Actual Baccalaureate/Instructio n Vocational/Instruction Instructional Support/Administration Total $22,257,986 FY13 FY13 Actual FY14 Budget (1) Budget 22,421,625 22,020,095 23,138,452 10,614,266 10,912,817 10,457,321 11,252,895 14,666,093 $47,538,345 16,335,027 49,669,469 14,658,448 17,173,540 47,135,864 51,564,887 (1) Amount reported from the preliminary year end close and does not reflect any audit adjustments that may arise. Instructional administration encompasses the functions of establishing, conducting, and evaluating the entire instructional program at the College. Responsibilities include reviewing and expanding curricula; managing the articulation process; coordinating academic strategic planning within the College; assessing, developing, and implementing special instructional services to selected students within the general student population (e.g., the Honors Program, Global Studies, Great Books and Alternative Education). The Office of the Vice President for Academic Affairs is included in the budget category of instructional administration. This office coordinates and implements the functions of instructional administration. Included in instructional administration are the offices of the four academic deans, each with responsibility for coordinating the instructional program areas assigned to their respective divisions. Activities include providing administrative support to the faculty and classes; supervising and evaluating faculty performance, training, and professional development; and coordinating, implementing, and reviewing specific classes and disciplines. The academic divisions include Science and Health Careers; Mathematics and Technologies; Languages, Humanities, and the Arts; and Social Sciences and Business. The Assistant Vice President of Academic Affairs/Dean of the Ray Hartstein Campus provides site supervision of the educational programs at the Skokie campus and oversees the assessment function – assessing student outcomes in both academic achievement and personal development. 114 This function also includes assisting in curriculum development and strategic planning, overseeing staffing, and providing administrative support for faculty at this campus. The Research function includes developing, designing, implementing, analyzing, and presenting research relating to instructional and support program evaluations. Research also is responsible for coordinating and managing the academic details of the College’s strategic planning process. The Honors Program provides opportunities for academically talented students to take challenging courses in preparation for transfer to a four-year college or university. With small classes and the enriched curricula, the Honors Program creates a sense of community among the students. Global Studies helps students understand the complex interrelationships among nations and peoples within the global society. The program establishes a unique foundation for students to pursue varied majors and careers, from liberal arts to social sciences to business. The Center for Professional Development provides administrators, faculty, and staff with opportunities to acquire new skills or to improve old ones. The CPD allows employees to broaden their perspectives in both the theoretical and practical developments in their fields. The Office of Alternative Education offers media-based and Internet-based course delivery options that may not require physical attendance during the regular week. Distance Learning courses require as much or more work than traditional on-site courses, but offer students the flexibility of studying each week at a schedule, place, and time convenient for them. Strategic Goals for Instructional Administration – Academic Excellence:  All programs will use the results of learning outcomes assessments to improve teaching and learning  Every Oakton credit class will provide Web-based information, resources, and support to students by fall 2014  Oakton will offer hybrid sections in at least 40 different courses across disciplines by spring 2017  Oakton will encourage faculty to develop and deliver innovative content, materials and pedagogy  Oakton will expand opportunities for students, inside and outside the classroom, to participate in activities that engage them with issues that confront local and global society  Oakton will strengthen career program advisory committee and linkages with business and industry to respond to changing and emerging workforce development needs  The College will enhance opportunities for students to have workplace experiences through expanded internships, partica, clinical, service learning, and other activities  Oakton will use the College campuses as living laboratories for courses and activities that emphasize the study and practice of sustainability 115 Academic support functions include activities that directly support instruction, but are not instructional per se (e.g., library services and instructional media services). Library services include circulating materials; updating and maintaining the library’s collection of books, periodicals, and other materials; and classifying all resident reference materials. Library services also include some electronic reference capabilities such as CD-ROM and online database searches. Instructional Media Services maintains, schedules, and distributes equipment, both on and off campus. Another major responsibility is helping faculty and students select, preview, order, and use instructional media materials. Library and Media Services Administration is responsible for developing, implementing, and coordinating activities within these two functional areas. Of particular importance is the continuing emphasis on implementing technological enhancements to serve the College. Profile: Achieving the Dream In Fall 2013, Oakton Community College was accepted into the Achieving the Dream network. This national network comprised of over 200 colleges and state policy teams has a common goal to increase community college student persistence and degree attainment. The principles that focus colleges on student success include: 1) a studentcentered vision, 2) equity & excellence, and 3) evidence-based decision-making. In this first year, Oakton will be gathering student data to obtain a success baseline and to begin discussions on possible barriers in a student’s academic path. Our current data collection and analysis involves cohort-level tracking for students who were new to Oakton in fall terms 2008, 2009, and 2010. Oakton has a total of 10,464 students in the cohort database, including 3,405 in fall 2008, 3,535 in fall 2009, and 3,524 in fall 2010. Oakton will analyze the data using the five indicators of success outlined by Achieving the Dream. These include: 1. Successfully complete developmental coursework and advance to credit-bearing courses. 2. Enroll in and successfully complete gateway courses 3. Complete all courses with grades of C or higher 4. Persist from one term to the next 5. Complete degree or certificate, as well as transfer and workforce placement In addition, all of the above indicators of success will be disaggregated to ensure no achievements gaps are present across different populations of students. The indicators will be disaggregated by: 116 1. 2. 3. 4. Gender Age at the time of cohort- 22 or under, 23 or over Race/ethnicity – White, Black, Latino, Asian, Other/No Info Socioeconomic status – as indicated by Pell grant status The first year includes a review of the data with Oakton’s Achieving the Dream Coaches to help guide college-wide discussions on increasing student success. The Achieving the Dream leadership coach, David Hartleb, is a retire college president from Northern Essex Community College. The Achieving the Dream data coach, Brad Phillips Ph.D., is the President of the Institute for Evidence-Based Change. Student Affairs Student Affairs supports students outside the classroom and enhances and facilitates their personal development within the College community. Functions include Athletics; Enrollment Services; Registrar Services; Student Life; Student Recruitment and Outreach; Learning Center, Access and Disability Resource Center, Student Success and Access, Equity and Diversity office. The Office of Access, Equity, and Diversity provides vital leadership to the College in celebrating diverse people and ideas, inclusiveness, global perspectives, and a strong sense of community. Key roles include enriching Oakton’s learning and working environments by attracting and supporting a more diverse faculty, staff, and student body; and helping students, faculty, staff, and visitors resolve complaints about harassment and/or discrimination. Other activities include teaching student government leaders and student orientation team leaders about equity issues; training campus police; delivering special presentations to classes about social justice and human rights; and overseeing health and wellness activities. 117 Athletics provides opportunities for students to participate in intercollegiate and intramural sports. The College is a member of the NJCAA and Skyway Community College Athletic Conference. (See Auxiliary Enterprises) Enrollment Services oversees the operations related to enrollment, including admission, registration, and student financial assistance. Key responsibilities include planning and administering the financial aid program and supervising the Enrollment Centers at the Des Plaines and Ray Hartstein campuses. The College offers federal, state and institutional financial aid to students. Participation in these financial aid programs enhances the College’s ability to provide students entry into higher education. Financial aid may be in the form of a grant, scholarship, loan, or on-campus employment. According to the federal Department of Education, the past two years have seen the largest increases in the history of the federal student aid programs. Record numbers of students are seeking access to funds in order to boost their chances of enrolling in college. Oakton’s financial aid data mirrors the national trend. In 201112 approximately one-third of its students received some type of financial assistance. The College is aware of the fiduciary responsibilities associated with managing federal and state funds. Each year the work of the financial aid office is audited as part of the federal A-133 audit process. In the last three years, the College has not had any audit findings that have resulted in the need to return federal or state financial aid funds. Registrar Services has overall responsibility for scheduling classes, processing class lists and grade sheets, maintaining academic records (grades and transcripts), and conducting graduation audits. Student Life provides experiences for cultural, social, and intellectual individual growth to augment classroom experiences. This office also develops and coordinates student organizations and special interest groups within the framework of College policies and procedures. Student Recruitment and Outreach activities include planning, organizing, coordinating, and implementing recruiting efforts in high schools, businesses, and other organizations throughout the College’s district. The Access and Disability Resource Center offices provides support and academic accommodations for students with documented disabilities, including sign language interpreters, adaptive equipment, books on tape, note-taking and reader services, enlarged printed materials, tutoring and academic advising. Student Success oversees academic advising, career services, TRiO, new student orientation, and retention. Student Success also oversees the Learning Center which helps students become successful college students and independent lifelong learners. Services provided include the College Success Seminar Series and support and academic accommodations for non-native students. The Learning Center also operates the Reading and Writing Lab, Testing Center, and Tutoring functions. 118 Profile: Student Success Goals and Objectives Oakton will demonstrate a renewed commitment to student success. The College will cultivate and engage in practices that foster the attainment of academic, career, and personal outcomes determined and developed through collaboration between the student and the College. New Student Orientation Oakton continues its commitment to establishing the support services necessary to help our students be successful. The Director of Student Success works across the College to establish a college-wide approach to supporting students. Because Oakton recognizes that orientation and academic advising are critical components for student success, the Director (with administrative responsibilities for orientation and academic advising) implemented a redesigned orientation for new traditional-age students during summer 2013. Another significant aspect of this redesign involved assigning new students to an academic advisor who follows them throughout their Oakton career. Students met their advisor at the new student orientation and received regular communication and follow-up advising from the same advisor. As Oakton continues to move forward with its student success endeavors, the College is closely studying the data above to determine the causes of a reduced number of students attending orientation and/or meeting with their academic advisor at new student orientation. Past experience has shown that orientation and advising is much more comprehensive and effective if greater information is available about the student’s assessment test results. Guidelines requiring students to complete testing and other requirements prior to attending orientation and related events may have initially impacted the quantity of students who participated. However, persistence of those students who did participate (as outlined in greater detail below) indicate these students may ultimately experience greater success. It is important to note that students who do not participate in orientation, may still meet with academic advisors on an independent basis. In summer 2011, Oakton's New Student Orientation Board created the Oakton jOURney program. Whereas before Orientation was conceptualized as a one-day session prior to the start of students' first semester, Oakton’s new approach identifies orientation as an ongoing process that lasts throughout students' first year. To help students navigate their first year journey, all new traditional age students who participated in summer orientation were issued an Oakton orientation passport. This passport aimed to accomplish the following: to provide a list of campus resources, services, programs, and events to complement classroom instruction; to encourage students to build relationships with all members of the campus community; to help students recognize their contributions to the diversity of the College; and to help students understand their role in their own success. Student success related events from across campus were compiled, marketed, and new students were invited to participate in Oakton orientation events during their first semester. 119 Strategic Goals for Student Affairs – Student Success:  The number of Oakton degrees and certificates earned by students will increase at least 15 percent by 2017, an additional 950 credentials  The College will recognize at 15% improvement in students’ success in developmental and college-level gateway courses by 2017  The College will require orientation for all new full-time students and strongly encourage participation for new part-time students, especially those for whom Oakton is their first college  Oakton will support multiple pathways, including social media, through which current and prospective students can obtain information, transact business (e.g, register, pay bills, access grades) , and attend Oakton  The College will expand opportunities for students to earn credit for prior learning  Oakton will champion initiatives that foster a sense of belonging and engagement in the life of the College and in its programs and activities  Oakton will increase connections with its district schools, especially around issues of mutual interest such as aligning curricula, improving students’ readiness for college, and providing opportunities for students to earn college credit prior to high school graduation through dual credit and other approaches  Oakton will strengthen connections with other colleges and universities to promote transfer Public Services FY12 Actual Public Service $842,366 FY13 Budget 829,865 FY13 Actual (1) 756,359 FY14 Budget 767,612 1) Amount reported from the preliminary year end close and does not reflect any audit adjustments that may arise. 120 The Koehnline Museum of Art focuses community attention on the visual arts with displays of student artwork as well as exhibitions by professional artists from the Midwest and throughout the country. Community Services coordinates and develops programs and services that meet the needs of the community such as the Emeritus Program and the Oakton Community College Alumni Association. The Performing Arts Center, a multi-purpose facility, promotes all aspects of the performing arts, with an emphasis on developing, housing, staffing, and maintaining a variety of events as well as hosting specialized meetings, seminars, and practical workshops. General Administration General Administration and General Institutional Functions FY12 Actual FY13 Budget $5,586,319 7,692,675 FY13 Actual (1) 6,686,057 FY14 Budget 7,825,411 1) Amount reported from the preliminary year end close and does not reflect any audit adjustments that may arise. General Administration includes those activities devoted to the general regulation, direction, and daily operation of the College. Although not functionally a part of General Administration as such, the Office of the President is budgeted in this program category. The Office of Grants and Alternative Funding is responsible for coordinating College efforts to apply for, secure, and administer federal, state, and other grants in accordance with College objectives. The Office of the Vice President for Business and Finance manages the business, finance, public safety and facility areas of the College. The Vice President also serves as the Treasurer of the Board of Trustees and oversees the Budget Office. Accounting Services is responsible for receiving and disbursing funds and recording the financial transactions of the College. This office provides financial guidance to the various segments of the College community and prepares the Comprehensive Annual Financial Report. Business Services manages the functional business service activities of the College and includes purchasing, shipping and receiving, printing services, Sodexo food service, and the Bookstore. Annual Objectives:  To maintain the College’s strong financial position  To improve collections of accounts of accounts receivable  To have prepared and review standard monthly financial statements and budget-toactual results  To oversee execution of the Operations and Maintenance capital projects  To oversee Emergency Planning and Preparedness  To maintain safety on campus 121 Human Resources manages a comprehensive system of personnel administration, including compensation, benefits, training and development, diversity initiatives and labor relations. The office is a resource for everyone except student employees with respect to personnel-related issues. Profile: Recruiting and Hiring Staff and Faculty Demonstrating Key Multicultural Competencies During the 2012 fiscal year the College implemented additional programs to meet its goal of recruiting and hiring staff and faculty who demonstrate key multicultural competencies to serve the increasingly diverse student population. One of those key programs involves an assessment and analysis of current Oakton faculty search committee practices. The goal of the analysis is to develop and implement training for members of faculty and professional staff search committees to enable them to better identify cultural competencies within candidates. It will result in the new hires possessing core competencies for creating an inclusive campus community for students, community members and employees. Focus groups were used to gather feedback from recent hires and search committee members about the search process and their suggestions for improvement. Information from the focus groups was analyzed and synthesized for use in creating the training for members serving on the faculty search committees for the 2012 and 2013 academic years. 122 The objectives of the focus groups:  To identify barriers to attracting, hiring, selecting and retaining diverse faculty and staff  To identify potential cultural biases in the search and hire process and their impacts  To understand the role that search committees and the college culture play in the recruitment, hiring and retention of culturally competent and/or diverse faculty and staff. Outcomes:  Lack clear understanding of cultural competence and why it is an Oakton Community College imperative.  Culturally the College has a visual awareness but lacks shared understanding of the implications for faculty staffing.  In interview teams there was confusion about cultural competency and “hiring qualified candidates.”  Awareness of issues in selection and hiring of full-time faculty differs among demographic groups. As a result of the outcomes of the focus groups, a training program for faculty search committees was developed. The objective of the “Search Committee Cultural Competency Training” included:  Exploring and defining the concepts of culture, race, ethnicity and cultural competence.  Clarifying the need for personal and organizational commitment to cultural competence especially in the hiring and selection process at Oakton.  Recognizing behavioral event interviewing as the key to identifying culturally competent applicants. All faculty, administrators and staff who were selected to serve on a faculty search committee were required to participate in a half-day search committee Cultural Competency Training. A summary of the evaluation showed participants rated the workshop effectiveness at a 4.3 on a 5.0 effectiveness scale. The College looked to hire faculty for 18 positions for the 2012-13 academic year. The Affirmative Action Plan goals for faculty hires during the 2011-12 plan year included a goal of hiring five non Caucasians to fill the 18 anticipated faculty vacancies. If achieved the percentage of Full-Time Faculty from underrepresented groups would increase from 14.0% to 17%. College Advancement serves a dual function: to inform the community about College programs and services and to raise funds through the Educational Foundation for compelling initiatives not supported by the College budget or other grants. In keeping with the College’s mission to support “excellence in teaching and learning,” College Advancement develops and implements marketing strategies – advertising, direct mail, print and electronic publications, public and media relations, special events, and Web sites – that seek to inform the community about programs and services and encourage participation in them. The office also produces and 123 distributes a variety of publications and sponsors a number of special and fundraising events each year. General Institutional The General Institutional category includes costs and activities not readily assignable to other organizational categories or which apply to the institution as a whole. Included are Board of Trustees costs, Commencement, search committee and Trustee election expenses, and costs associated with preparing for the North Central Association accreditation visit. The Board of Trustees, elected by the people of District 535, exercise legal control of the College under the laws of the State of Illinois. Trustees set the policies which govern the College, authorize all significant financial transactions, and approve the financial plan. Institutional Memberships/Accreditation include memberships in professional and educational associations maintained for recognition and accreditation of the institution as a whole. Central Services, which provides general institutional support to College offices, includes shipping and receiving, central supplies services, and mailroom functions. Other institutional expenses include expenses which are distributed throughout the institution but recorded in a central account for budgetary control. Included are a series of accounts recording some fringe benefit expenses and allocation of those expenses to all areas of the College. The Commencement program records the costs of the Commencement ceremony in May when graduates receive their diplomas and certificates. Chargebacks and Contingency include the cost of district students attending other community colleges for programs not offered by Oakton. Contingency funds are set aside for unforeseen expenses occurring during the academic year. Operations and Maintenance of Plant Fund The Operations and Maintenance of Plant Fund includes activities that maximize the life of the physical facility in an economical manner and provide the facility planning and maintenance management necessary to meet the institutional educational objectives. Also included are building and grounds maintenance. The fund records receipts of rental property and property insurance costs, along with utilities costs such as gas, water, and electricity. The Transportation program maintains and schedules College vehicles for athletic events, field trips, and other College activities. Operations and Housekeeping maintain the cleanliness and sanitation of the campus buildings, a function that directly affects the morale of users, student achievement, and the ability to market the College to potential students and other campus visitors. The Public Safety function also falls into this fund. 124 Profile: Facilities Master Plan Goals and Objectives In December 2010, Oakton’s Board of Trustees approved a Five Year Master Plan for Facilities that will guide the College in replacing aging facilities and improving the campuses to reflect trends in higher education. The core focus of the Master Plan is providing a campus environment to offer students opportunities for success and an improved student experience. Enhanced facilities will provide a state of the art Science and Health Careers instructional building, flexible and spacious classrooms for all instructional disciplines, student gathering spaces for students to use in a variety of ways outside of the classroom and a single, centralized location to go to for enrollment, registration, advising and counseling and other key student services. Underlying these student focused improvements will be an updated, reliable infrastructure aspect of the Master Plan that will be implemented in a manner consistent with Oakton’s commitment to sustainability. Funding and project budgeting support total projected costs of $68.5 million with the majority of the budget (76.6%) allocated to support student success. Oakton Facilities Master Plan - Sources and Uses of Funding Sources of Funding: General Obligation Bonds Reserve/Fund Balance Student Reserves and Fees State Grants Federal Grants Private Grants/Foundation Capital Campaign Total Funding Required $40 million $20 million $3 million $2 million $1 million $2.5 million $68.5 million Uses/Investment of Funding: Science and Health Career Building Classroom Upgrades Enrollment Center at the Des Plaines Campus Student Center/Gathering Space Student Related Remodeling Infrastructure Total Investment Required $39 million $3.5 million $3.4 million $1.9 million $3.7 million $17 million $68 5 million 125 In Spring 2011, Oakton issued $30.1 million of Debt Certificates as the initial step in issuance General Obligations Bonds. Such Bonds were issued in September 2011 and will be used to substantially fund construction of the Science and Health Careers building and bond proceeds were used to repay the Debt Certificates. A more detailed discussion of the bond and other financing strategies is provided in the Capital Expenditures section of this Presentation Budget. Key investments of the Master Plan are as follows: Science and Health Careers Instructional Building Over the last 30 years, external factors such as changes in pedagogy, changes in the fields of science and increases in enrollment have compromised the effectiveness of science and health careers teaching spaces. The nature of health career programs and job trends indicating continued demand for such programs result in the need to bring current spaces up to contemporary and emerging standards. A new Science and Health Careers Instructional Building is under construction to the east of the Des Plaines campus building. It is anticipated the building will approximate 93,000 square feet with three stories and it will be raised above the flood hazard zone. The Building will feature sophisticated labs; flexible, light-filled classrooms; enhanced technology; and abundant lab preparation and storage space. Construction is well underway for a scheduled completion in May, 2014. 126 Classrooms Classrooms at the Des Plaines Campus built in 1980 and 1983 have never been remodeled. As part of the College’s Master Plan all 40 of these classrooms have been remodeled. During winter break, December 2011/January 2012 four classrooms were remodeled with 4 different finishes, 4 different desks, 4 different chairs and 2 different teaching podiums and instructional technology. Instructors and students were then asked to complete surveys concerning what they thought were the best finishes, furniture and instructional technology equipment to enhance teaching and learning. Surveys were tallied and the highest rated finishes, furniture, and instructional technology equipment were selected as the standard for Oakton’s classroom remodeling initiative. The task chair selected is fully adjustable and cushioned, manufactured by Steelcase. The table selected will be used by two students and is manufactured by Herman Miller. Both the tables and chairs are equipped with casters so the furniture can be easily moved around and repositioned for collaborative learning assignments in the classroom. Lecterns are manufactured by Computer Comforts and provide the necessary functionality to support state of the art computer, video, audio and presentation technology. Light fixtures and light levels were improved, carpet and ceiling tiles replaced, and each classroom was painted with a colored accent wall. The College believes and there is growing evidence the quality of the learning environment improves teaching and learning thus upgrading a student’s educational experience. This concept of improving the student experience in all areas and activities of the College is the driving force of Oakton’s Five Year Master Plan. It is estimated that each classroom will cost $80,000 to remodel. This number includes $65,000 per classroom for construction and $15,000 for furniture and instructional technology. The newly remodeled classrooms will accommodate 27 students and this number includes one station for a special needs student. 127 Enrollment Center at the Des Plaines Campus Every student participates in the enrollment process at Oakton. The Enrollment Center is the physical location that provides integrated student services for admission, advising and counseling, financial aid, registration and records functions. The Enrollment Center needs to be a convenient and welcoming environment for prospective students, current students and community members. Providing a welcoming environment is necessary to creating positive first impressions that will enhance a student's early connections to the College. This project will incorporate all enrollment functions now scattered across the Des Plaines building into a facility that is similar in organization and function to the successful Enrollment Center at the Ray Hartstein campus. It is anticipated that the Des Plaines Enrollment Center will be located near the busiest entrance to the College. The Enrollment Center will be a combination of renovation and new construction. This project is currently planned for completion in the Fall of 2014. Student Gathering Center Research shows that students who are comfortable in their collegiate environment are more successful. Numerous studies have further demonstrated that students engaged in the life of their College persist to graduation at higher rates. Building a sense of connection and community is challenging on a commuter campus such as Oakton where students lives are full of balancing the responsibilities of work, family and learning. The objective of this project is to remodel existing space, bring student leadership offices and programs together in a common area, provide informal space for student gathering, adapt student space to technology needs and centralize the opportunity for student engagement in the heart of the Des Plaines campus. The selected area, across Student Street from the current location of the cafeteria, provides significant continuous space related to Student Life. This space will provide the opportunity to centralize student-related activities that currently take place in a variety of locations. Additionally, this space possesses floor to ceiling windows overlooking Oakton's lake – a view that will further enhance students' positive image of the campus. 128 This project is currently planned for 2014 and 2015. Infrastructure Projects Infrastructure is a major component of the Master Plan. Projects will occur over the entire Five Year Master Plan time frame and will include site work, communications technology and equipment upgrades, as well as public and facilities space within the buildings of both the Des Plaines and Ray Hartstein campuses. The project list and individual budgets will continue to be refined as the project advances. Currently identified projects include:          HVAC Systems Building Automation Systems Telephone System Conversion to VOIP Ubiquitous WiFi and Cell Phone Access Electrical Delivery System Upgrade Washrooms and Gym Locker Room Parking Lot Improvements Remodeling Vacated Spaces Campus Grounds Sustainability Plan Professional Partners Oakton has engaged Legat Architects to lead in the implementation of key components of the Master Plan, including the Science and Health Careers Instructional Building, Classroom Remodeling, Enrollment Center at the Des Plaines campus and the Student Gathering Center. Beginning in November 2009, Legat Architects assisted the College in developing the Master Plan accumulating a great deal of critical institutional knowledge during this process. In designing the Science and Health Careers Instructional Building, Legat Architects is joined by consulting architects Harley Ellis Deveraux. Recently, Harley Ellis Deveraux has utilized their science lab expertise in projects at San Diego City College, Wayne State University, Baylor University, University of Michigan and University of Cincinnati. Turner Construction serves as construction manager for the major components of the Master Plan. During the last decade, Turner has built more than five million square feet of higher education facilities in Illinois. Environmental Systems Design, Inc. (ESD) has been engaged to perform commissioning of the Science and Health Careers Instructional Building and the HVAC and Building Automation System projects. ESD will perform functional testing of all related systems in advance to ensure they are functioning as designed and expected, thereby reducing project and financial risks. 129 Auxiliary Enterprises Fund The Auxiliary Enterprises Fund encompasses those programs other than instruction which charge a fee for the use of the services or products or which engage in buying and selling as intrinsic activities. Programs include the Alliance for Lifelong Learning, Bookstore, Business Institute, Copy Center, Early Childhood Education Centers, Information Technology, Intercollegiate Athletics, and Telecommunications. The Alliance for Lifelong Learning, a joint program, operates under an agreement between Oakton Community College District 535, Evanston Township High School District 202, Maine Township High School District 207, Niles Township High School District 219, and Northfield Township High School District 225. ALLiance serves the community by offering conveniently scheduled non-credit courses, and other educationally and culturally enriching activities such as seminars, symposiums, workshops, concerts, and films. As required by state law, ALLiance’s revenues and expenditures are both included in Oakton’s budget because the College is, by agreement, the Administrative District for ALLiance. The Bookstore provides materials and supplies necessary for learning, making them available to students at minimal cost. The Bookstore also offers ancillary materials to students such as College-related clothing items, magazines, cards, and other sundries. The Business Institute provides credit and non-credit (continuing education) courses, seminars, workshops, and conferences for business, industry, and government to help these organizations solve their critical employee training needs and stimulate economic development. Through the Business Institute, business, industry, and government organizations have access to all of the College’s resources and services. The Copy Center provides printing services to all areas of the College, as well as printing and production advice and guidance to College personnel. The Early Childhood Education Centers provide child care services to College employees and the general public. These model programs at both campuses are an integral part of the early childhood education academic program and foster a developmentally appropriate, play-based curriculum to support children’s social, emotional, physical, cognitive, and creative development. Information Technology FY12 Actual Internal Service Fee Revenues Expenses Interfund Transfers In Information Technology, Net FY13 Budget FY13 Actual (1) FY13 Budget $5,456,493 5,000,201 960,000 5,558,471 6,409,054 900,000 5,558,471 5,203,199 900,000 $5,652,965 6,489,855 912,000 $1,416,292 49,417 1,255,272 $75,110 1) Amount reported from the preliminary year end close and does not reflect any audit adjustments that may arise. 130 The Vice President for Information Technology provides administrative leadership across the College in matters of computing and technology. This includes planning, directing and organizing all hardware, software, network and systems acquisition, installation and support for the academic and administrative units of the College. The VP for IT helps institutional leaders understand the complexities of information resources, service delivery, technologies and the information demands of the community, and recommends institutional policy for information technology. IT is committed to developing a rich and robust computing environment that promotes accessibility and service for students, faculty and staff. In a fiscally responsible manner, IT balances technology needs with other needs of the college in support of Oakton’s strategic goals and objectives. Annual Objectives  Complete the hiring of the three open positions in IT – the Software Developer, Security Analyst and IT Program Specialist  Complete the Ubiquitous Wireless implementation, so that wireless access is available to all areas of the college, at both the Des Plaines and Ray Hartstein campuses  To complete the IP telephony implementation, which will replace existing phone service at both campuses and assimilate Telecommunications into the IT area  Implement GradesFirst, the Early Alert software system , which will provide tools so faculty and staff can identify students whose behavior suggests they are heading toward academic problems  Implement a mobile version of Oakton’s website, so important college information is easily available to view and access on smart phones and other mobile devices.  Implement Touchnet Web Marketplace so the college can securely process web donations, and develop a method for web conference and event registration and payments  Implement a new enterprise wide backup system for all college data  Implement a new document imaging solution for the college  Provide leadership and technical support to expand and enhance the use of Desire2Learn, the college’s learning management software.  Ensure the technology infrastructure – desktops, servers, networks, -- continues to support and enhance the college’s endeavors. Intercollegiate Athletics promotes the total development of the individual by providing the opportunity to participate in a comprehensive athletics program. Student athletes learn to exercise leadership, cooperation, and fair play – all valuable assets in today’s global society. The Fitness Center also is a part of this program. Telecommunications services include monitoring and operating the internal telephone system as well as the switchboard which services calls coming into the College. Oversight of Telecommunications recently moved to IT from Facilities. 131 Other programs included under Auxiliary Enterprises are the employee computer purchase plan, teleconferencing productions, and miscellaneous small programs. Each has a very specific purpose and narrowly defined program definition. 132 OAKTON COMMUNITY COLLEGE Community College District No. 535 Degrees and Certificates Awarded by the College ASSOCIATE DEGREES Associate in Arts Associate in Science Associate of Science in Engineering Associate in Fine Arts - Music Associate in Fine Arts - Art A Associate i t off Arts A t in i Teaching T hi - Secondary S d Mathematics M th ti A Associate i t off Arts A t in i Teaching T hi - Special S i l Education Ed ti Associate of Arts in Teaching g - Early y Childhood Education Courses from the following disciplines can be selected to satisfy the elective education requirements according to each student's interest and intended major at the bachelor's degree level. level Anthropology Artt Biology Ch i t y Chemistry Computer Science Earth Science Economics Education E gi Engineering i g English General Business/Business Administration General Ge e a Sc Science e ce Geography Hi t y History Humanities Liberal Arts Mathematics Modern Languages M i Music Philosophy Physical Education Physics ys cs Political Science P y h l gy Psychology Social Science Sociology Speech Theater Associate in Applied Science Accounting Associate Ai Conditioning, Air C diti i g Heating, H ti g and dR Refrigeration f ig ti T Technology h l gy Automotive Technology (Apprenticeship) Computer Applications for Business Computer Networking and Systems Computer Programmer C p t and Computers d IInformation f ti S Systems yt Early Childhood Education Electronics and Computer Technology Facilities Energy Systems Technology Facilities Management Fi S Fire Science i T Technology h l gy Graphic Design H lth IInformation Health f ti T Technology h l Human Services L Enforcement Law E f t Management and Supervision Manufacturing Technology Marketing Management Mechanical Design/CAD M di l L Medical Laboratory b t yT Technology h l gy Network Security Administration Nursing Paralegal Studies Physical Therapist Assistant R di l gi T Radiologic Technology h l gy Substance Abuse Counseling Each degree g pprogram g has distributive ggeneral education and ggeneral elective or career curricula requirements q which provide p the special p p q to each pprogram. g g g, emphases unique In the Associate in Arts,, Associate in Science,, Associate of Science in Engineering, Associate in Fine Arts,, and Associate of Arts in Teaching, g, the distributive general g education courses and their compliance p with Illinois Articulation Initiative models are pparticularly y important. p This core of general g education courses is designed g to provide p all students with a common academic experience p to equip q p each individual to live effectivelyy as an educated person p in our society. y 133 CERTIFICATES A+ Computer Diagnostic Specialist Acco nting Associate Accounting Administrative Assistant Ad anced Early Advanced Earl Childhood Education Ed cation Advanced Infant Toddler Advanced Substance Abuse Counseling Advanced d d Web b Site i Development l p Animation and Multimedia Appli d B Applied Business i Aseptic Pharmaceutical Preparations Automation and Controls Automotive Service Excellence Automotive Technology (Apprenticeship) B i E Basic Early ly Childh Childhood d Ed Education ti Basic Infant Toddler Basic Nurse Assistant Training (BNAT) Basics of Fire Fighting Bookkeeping B i Business Marketing M k i g Business Security Management CAD Interior I t i D Design i Cisco Certified Network Associate (CCNA) CNC/CAM Programming CNC Operations and Programming Preparation Commercial Buildings Energy Systems C p t Aid d D Computer-Aided Design ig Computer Programmer Computer Technology Computer User Customer Service D k pP Desktop Publishing bli hi g P Professional f i l Desktop Publishing Specialist e Business e-Business Early Childhood Education Administration Electronics Computer Technician Electronics l i Technology h l gy Emergency Medical Technician-Paramedic E Executive ti S Support pp t S Specialist p i li t Facilities Energy Systems Technology Facilities Management Financial Services/Investment Analysis Fire Science Technology G General lD Design ig Global Business Global Business Technical Green Marketing Preparation Home/Office Technology Integrator H i l Horticultural l Th Therapy py Human Resource Specialist H Human S Services i Income Tax Preparation Industrial/Commercial Electrical Maintenance Ind strial Design Engineering Industrial Internet and Computer Core (IC3) La Enforcement Law Leadership Excellence Management of Information Systems (MIS) Management g and d Supervision p ii Manufacturing Technology M k ti g C Marketing Communications i ti Marketing Management Mechanical Design/CAD Medical Billing Medical Coding Mi Microsoft ft Office Offi S Specialist p i li t Microsoft Office Specialist Excel Expert Microsoft Office Specialist MCAS Microsoft Office Specialist Word Expert Microsoft Project Management Preparation N Network kS Security iy Network Security Administrator N i P Nursing Practice ti R Review i Office Information Processing Specialist Oracle Database Administrator (DBA) Paralegal Studies PC Support Specialist P Person-Centered C t d Eld Elder S Support pp t Pharmacy Technician Phlebotomy Photography Preparatory Substance Abuse Counseling P f i l Accounting Professional A i g - CPA P Preparation p i Professional Selling Skills Public Relations Residential Comfort Control Residential Comfort Systems Installer S ll Business Small i Marketing k i g Stationary Engineer License Preparation T h i lC Technical Communication i ti Transportation, Warehousing and Logistics UNIX Visual Basic Programmer Web-Based Course Developer W bG Web Graphic phi P Page g D Design ig Web Site Developer Web Site Support and Maintenance Windows Certified Enterprise Administrator Windows Desktop Support Technician Wi d Windows Server S Administration Ad i i i Windows Support Technician 134 AGENDA ITEM 12/12-8 1 of 4 Adoption of Resolution Setting Forth Tax Levies for 2012 This Resolution sets forth the levy recommended at the October 16, 2012, Board meeting and represents a 4.87% increase over the extended 2011 tax levy. President's Recommendation: That the Board adopt the following resolution: "Be it resolved by the Board of Trustees of Community College District No. 535, County of Cook and State of Illinois, as follows: That the following sums be and hereby are levied as taxes for SECTION 1; the year 2012 (to be collected in 2013) for the purposes set forth below, on the equalized assessed value of the taxable property of Community College District No. 535: the sum of Thirty-Six Million and Seven Hundred Twenty-Four Thousand and Eight Hundred Dollars ($36,724,800) as a tax for Educational purposes; and the sum of Seven Million Seven Hundred Thousand Dollars ($7,700,000) as a tax for Operations and Maintenance purposes; and the sum of One Hundred Dollars ($100) as a special tax for Local Governmental and Governmental Employees Tort Immunity Act purposes; and the sum of One Hundred Dollars ($100) as a special tax for Social Security and Medicare purposes; and the sum of Seventy-Five Thousand Dollars ($75,000) as a special tax for Financial Audit purposes. That the Secretary of the Board of Trustees of Community SECTION 2: College District 535, County of Cook and State of Illinois, is hereby authorized and directed to file a Certificate of Tax Levy in substantially the form that is attached hereto with the County Clerk of Cook County, Illinois, before the last Tuesday of December 2012. SECTION 3: That this resolution shall be in full force and effect from and after its passage, approval and filing, as provided by law. That the Chairman is authorized to execute the attached SECTION 4: Certificate of Compliance with the Truth in Taxation Law." 135 136 137 138 AGENDA ITEM 6/13-8b 2 of 19 RESOLUTION OF THE BOARD OF TRUSTEES OF COMMUNITY COLLEGE DISTRICT 535, COUNTY OF COOK AND STATE OF ILLINOIS, ADOPTING THE BUDGET FOR THE FISCAL YEAR BEGINNING JULY 1, 2013 AND ENDING JUNE 30, 2014 WHEREAS, on May 23, 2013, the College administration and the Treasurer of the BOARD made such tentative budget as prepared by them conveniently available to the public for inspection for at least thirty days prior to final action thereon; and WHEREAS, on June 25, 2013, a public hearing was held by the BOARD as to such tentative budget, notice of said hearing having been given at least thirty days prior thereto by publication in a newspaper published in the District, and all other legal requirements having been complied with; NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF TRUSTEES OF COMMUNITY COLLEGE DISTRICT 535, COUNTY OF COOK AND STATE OF ILLINOIS AS FOLLOWS: That the final budget in the form attached hereto which contains an estimate of the amounts available in each fund, separately, and of expenditures from each, and which the BOARD deems necessary to defray all necessary expenses and liabilities of such District for the fiscal year, be and the same hereby is adopted as the budget of this District for the fiscal year beginning July 1, 2013, and ending June 30, 2014. 139 140 141 OAKTON COMMUNITY COLLEGE Community College District No. 535 LAND USE SUMMARY The following information details the combined land use for both campus sites of the College. College Of special note is the Prairie Project. Project The Forest Preserve District of Cook County, County with the aid of Sierra Club volunteers, volunteers College employees, employees Students and other friends, friends are working on the restoration of this 100+ year old natural prairie land. land Oakton students have the fortunate use of th these llands d for f some off the th courses offered ff d att the th College. C ll Due D to t construction, t ti parking ki spaces may vary. Total Campus p Acreage Educational Areas Buildings and Attached Structures Physical h i l Education d i and d Athletic hl i Fields i ld Oth IInstructional Other t ti l A Areas E p i Experimental t l Pl Plots t (P i i ) ((Prairie) Sub Total Sub-Total 8 30 62 17 1.7 101 7 101.7 Other Areas L d Landscaped dG Grounds d Pa ki g L Parking Lots ots Total Number of On-Campus On Campus p Parking g Spaces p Roadways y Retention Pond and Drainage 24 5 24.5 31.88 331.8 2,851 2,851 7 27 Sub-Total 90.3 Total Acres 192 Number of Acres Reimbursed or Acquired by the State 142 147 aaaaaaaaaaaaa aaaaaaaaaaaaa College aaaaaaaaaaaaa of aaaaaaaaaaaaa Lake County aaaaaaaaaaaaa Lake Michigan aaaaaaaaaaaaa aaaaaaaaaaaaa aaaaaaaaaaaaa aaaaaaaaaaaaa Harper aaaaaaaaaaaaa Oakton aaaaaaaaaaaaa aaaaaaaaaaaaa aaaaaaaaaaaaa aaaaaaaaaaaaa Chicago aaaaaaaaaaaaa College City aaaaaaaaaaaaa of Colleges aaaaaaaaaaaaa Triton DuPage aaaaaaaaaaaaa aaaaaaaaaaaaa aaaaaaaaaaaaa NEIGHBORING COMMUNITY COLLEGE DISTRICTS 143 District 535 and Surrounding Area OAKTON/ RAY HARTSTEIN CAMPUS Oakton College District 535 includes all of Evanston, Maine, Niles, Northfield, and New Trier Townships, and a small section of Wheeling, Norwood and Lyden Township. 144 OAKTON COMMUNITY COLLEGE Community College District No. 535 Central Road Parking Parking P ar ki ng es lain P DesRiver Baseball Field Golf Road Cook County Forest Preserve District 145 Des Plaines Campus OAKTON COMMUNITY COLLEGE Community College District No. 535 Niles Avenue Ray Hartstein Campus Mulford Street Parking Parking N Parking 146 OAKTON COMMUNITY COLLEGE Community College District No. 535 GLOSSARY NOTE: Terms which relate to FUND, OBJECT, PROGRAM, and REVENUES have been grouped under those general headings within the glossary in order to emphasize those relationships and financial groupings. All entries are listed alphabetically except for ACRONYMS, which, for convenience, are listed at the end of the glossary section. ACADEMIC PROGRAMS (See PROGRAMS) ACADEMIC SUPPORT (See PROGRAMS) ACADEMIC TERM An academic term is any period of time in which course work is offered by the institution and for which students seek enrollment. The term may include a regular session or a special session or both. The College uses the semester system, which consists of the summer, fall and spring semesters. ALLiance uses a four period system consisting of summer, fall, winter, and spring semesters. In both cases, although the summer term begins at the end of one fiscal year, it is budgeted for and accounted for as if it occurred wholly in the following fiscal year. ACCOUNT NUMBER financial transactions. An account number is a defined code for recording and summarizing ACCOUNTING PERIOD The accounting period is a period at the end of which and for which financial statements are prepared. (See FISCAL YEAR) ACCRUAL BASIS Accrual basis accounting is an accounting system that records revenues when earned, but not necessarily received, and expenditures when a liability is created, regardless of the accounting period in which cash payment is actually made. An encumbrance system may be used in conjunction with an accrual basis accounting system. ACCRUED EXPENSES given date are accrued expenses. Expenses which have been incurred and have not been paid as of a ACCRUED INTEREST interest. Interest earned between interest dates but not yet paid is accrued ACCRUED LIABILITIES Amounts owed but not yet paid are accrued liabilities. ACCRUED REVENUE whether due or not. Accrued revenue is revenue earned and not yet collected regardless of APPROPRIATION An appropriation is an authorization that enables the College to make expenditures and incur obligations for a specific purpose. ASSESSED VALUATION The assessed valuation is the value on each unit of property for which a prescribed amount must be paid as property taxes. AUDIT An audit is an examination of the financial records of the College to obtain reasonable assurance that the financial statements prepared by the College are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. It further includes an assessment of the accounting principles and procedures used and of the significant financial estimates made by management. 147 AUDIT FUND (See FUND) AUXILIARY ENTERPRISES FUND (See FUND) BALANCED BUDGET Oakton defines a balanced budget as one in which budgeted revenues are equal to or greater than the sum of budgeted expenditures and fund transfers. BOND A bond is a written promise to pay a specific sum of money, called the face value or principle amount, at a specified date (or dates) in the future, called the maturity date, and with periodic interest at a rate specified in the bond. A bond is generally issued for a specific purpose or project, such as construction of a new facility. BOND AND INTEREST FUND (See FUND) BONDED DEBT outstanding bonds. Bonded debt is the part of the College debt which is covered by BUDGET The budget is a controlled plan to be used in implementing the philosophy and the objectives of the College. Its development should involve maximum participation and, therefore, the aims and objectives of the College should be reflected at each level. The budget is a legal document once it has been approved by the Board. BUILDING BOND PROCEEDS FUND (See FUND) CASH (See REVENUES) CAPITAL EQUIPMENT (See OBJECT) CONFERENCE AND MEETING EXPENSES CONTINGENCY (See OBJECT) CONTRACTUAL SERVICES (See OBJECT) (See OBJECT) CORPORATE PERSONAL PROPERTY REPLACEMENT TAX The CPPR tax is collected by the Illinois Department of Revenue as a replacement for the personal property tax. COST BENEFIT Cost benefit analyses are those studies which provide the means for comparing the resources to be allocated to a specific program with the results likely to be obtained from it, or the analyses which provide the means for comparing the results likely to be obtained from the allocation of certain resources toward the achievement of alternate or competing goals. COURSE A course is defined as an educational unit within the instructional programs dealing with a particular subject and consisting of instructional periods and one or more instructional delivery systems. Courses are generally classified by the discipline they belong to and the level of instruction. For example, EGL 101 would be a first level (year) English course and MAT 250 would be a second level (year) mathematics course. COURSE CREDIT The number of credits that will be earned by the student for successful completion of a course is the course credit. It is generally measured in credit hours and will vary from institution to institution depending upon the type of academic term system used. CREDIT HOUR GRANT Credit hour grants are received for courses for each semester credit hour or equivalent for students who were certified as being in attendance at midterm of the semester during the fiscal year and who meet other criteria. There are no special restrictions on the use of these funds. 148 CURRENT ASSETS Cash or anything that can be readily converted into cash is considered to be in the category of current assets. CURRENT EXPENSES Any expenditures except for capital outlay and debt service are considered current expenses and include total charges incurred, whether paid or unpaid. Capital equipment expenditures assigned to programs, such as the purchase of instructional equipment, computers, or copiers, are considered to be part of current expenses. CURRENT FUNDS Current funds account for those moneys received during the current fiscal year from revenue which can be used to pay obligations currently due and surpluses reappropriated for the current fiscal year. CURRENT LIABILITIES Debts which are payable within a relatively short period of time, usually no longer than a year, are classed as current liabilities. DEBT SERVICE Debt service includes expenditures for the retirement of debt and expenditures for interest on debt, except principal and interest on current loans, which are loans payable in the same fiscal year in which the money was borrowed. DEFERRED CHARGES Deferred charges include expenditures which are not chargeable to the fiscal year in which they are made but are carried over on the asset side of the balance sheet pending amortization or some other disposition. Deferred charges differ from prepaid expenses in that they usually extend over a long period of time and may or may not be regularly recurring costs of operation. DEFICIT A deficit is a shortfall of revenues under expenditures and transfers. DEPRECIATION In accounting, the process of deducting some portion of the acquisition cost of property over time, as an expense, to reflect the fact that the property is becoming less valuable and will eventually require replacement. Depreciation is also recorded in the College’s Investment in Plant Fund. This is not a budgeted fund. DIRECT COSTS Direct costs are those elements of cost which can be easily, obviously, and conveniently identified with specific programs or activities, as distinguished from those costs incurred for several different activities or programs and whose elements are not readily identified with specific activities. An example of direct costs would be the faculty salaries paid from the Biology account to those faculty who teach biology courses. (See also INDIRECT COSTS.) DISBURSEMENTS CASH.) These are the actual payment of cash by the College. (See also EDUCATION FUND (See FUND) EMPLOYEE BENEFITS (See OBJECT) ENCUMBRANCES Encumbrances are actual or anticipated liabilities provided for by an appropriation which is recognized when a contract, purchase order, or salary commitment is made. It reduces the appropriation to avoid expenditure of funds needed to pay anticipated liabilities or expenditures. For example, if a purchase order for $100.00 is written and chargeable against a supply account, the available balance in that account is reduced by $100.00 even though the supplies might not have been received and no payment made from the account. EXPENDITURES Expenditures are decreases in net financial resources. Expenditures include current operating expenses, debt service, capital outlay, and any other liability which has been paid. FACILITIES REVENUE (See REVENUES) 149 FEDERAL GOVERNMENT SOURCES (See REVENUES) FINANCIAL STATEMENT A financial statement is a formal summary of accounting records setting forth the District's financial condition. FISCAL YEAR The fiscal year is the period over which the College budgets its spending. It consists of a period of twelve months, not necessarily concurrent with the calendar year, with reference to which appropriations are made and expenditures are authorized and at the end of which accounts are made up and the books are balanced. The College's fiscal year is the period July 1 to June 30 of the following calendar year inclusive. FIXED ASSETS Fixed assets are those assets essential to continuance of proper operation of the College. They include land, buildings, machinery, furniture, and other equipment which the College intends to hold or continue to use over a long period of time. FIXED CHARGES (See OBJECT) FULL-TIME EQUIVALENT For students the full-time equivalent indicator is the statistical student unit calculated by dividing all credit hours (both certificate and degree) generated at the College by fifteen credit hours for any given academic term. To determine the annual full-time equivalent student, the total credit hours for the year are divided by thirty credit hours. This is not to be confused with a full time student, which is a student who is enrolled for twelve or more credit hours per semester. For faculty the full-time equivalent is thirty instructional hour equivalents per year (lab classes are treated differently than lecture classes). For classified staff personnel the full-time equivalent is forty hours (for budgeting) of work per week. FUND A fund is an accounting entity with a self-balancing set of accounts for recording assets, liabilities, a fund balance, and changes in the fund balance. Separate accounts are maintained for each fund to insure observance of limitations and restrictions placed on the use of resources. For accounting and reporting purposes, funds of similar characteristics may be combined into fund groups. Funds are established and organized for budgeting, accounting, and reporting purposes in accordance with activities and objectives as specified by donors of resources, in accordance with regulations, restrictions, or limitations imposed by sources outside the College, or in accordance with directions issued by the Board of Trustees. The funds are listed by fund number. EDUCATION FUND (Fund 01) The Education Fund is used to account for the revenues and expenditures of the academic and service programs of the college. It includes the cost of instructional, administrative, and professional salaries; supplies and equipment; library books and materials; maintenance of instructional and administrative equipment; and other costs pertaining to the educational program of the college. The local board of trustees may make a determination within the budget for the distribution of unrestricted revenues other than local property taxes among the operating funds, i.e., the Education Fund and the Operations and Maintenance Fund. Oakton's currently authorized maximum rate is seventeen and one-half cents per $100. Increases in the local maximum rate must be approved by the electorate of the college district. OPERATIONS AND MAINTENANCE FUND (Fund 02) The Operations and Maintenance Fund is used to account for expenditures for the improvement, maintenance, repair, or benefit of buildings and property, including the cost of interior decorating and the installation, improvement, repair, replacement, and maintenance of building fixtures; rental of buildings and property for community college purposes; salaries of janitors, engineers, or other custodial employees; all costs of fuel, lights, gas, water, telephone service, custodial supplies, and equipment; and professional surveys of the condition of college buildings. The statutory maximum tax rate is set at ten cents per $100 of equalized assessed valuation for community college districts in cities with less than 500,000 inhabitants. Oakton's currently authorized maximum rate is five cents per $100. 150 OPERATIONS AND MAINTENANCE FUND (Restricted) (Fund 03) The Operations and Maintenance Fund (Restricted) fund is used to account for monies restricted for building purposes and site acquisition. This fund is also referred to as the Site and Construction Fund. Life Safety revenues and expenditures are recorded in this fund. BOND AND INTEREST FUND (Fund 04) The Bond and Interest Fund is used to account for payment of principal, interest, and related charges on any outstanding bonds. Debt service for each bond issue must be accounted for separately using a group of self-balancing accounts within the fund. AUXILIARY ENTERPRISES FUND (Fund 05) The Auxiliary Enterprises Fund accounts for college services where a fee is charged to students/staff. Each enterprise/service should be accounted for separately using a group of selfbalancing accounts within the fund. Examples of accounts in this fund include food service, bookstore, and intercollegiate athletics. Only monies over which the institution has complete control should be included in this fund. RESTRICTED PURPOSES FUND (Fund 06) The Restricted Purposes Fund is used for the purpose of accounting for monies that have restrictions regarding their use. Each specific grant or project should be accounted for separately using a complete group of self-balancing accounts within the fund. ICCB grants which should be accounted for in this fund include the Workforce Development Grant. WORKING CASH FUND (Fund 07) The Working Cash Fund is used to enable the district to have on hand at all times sufficient cash to meet the demands of ordinary and necessary expenditures. This fund is used to account for the proceeds of working cash bonds. By making temporary transfers, the Working Cash Fund is used as a source of working capital by other funds. Such transfers assist operating funds in meeting demands during periods of temporary low cash balances. Payment for the principal or interest of working cash bonds should be made from the Bond and Interest Fund. GENERAL FIXED ASSETS ACCOUNT GROUP (Fund 08) The General Fixed Assets Account Group is used to record the value of plant assets. The Account Group is not budgeted. GENERAL LONG-TERM DEBT ACCOUNT GROUP (Fund 09) The General Long-term Debt Account Group is used to record long-term liabilities. The Account Group is not budgeted. TRUST AND AGENCY FUND (Fund 10) The Trust and Agency Fund is used to receive and hold funds when the college serves as a custodian or fiscal agent for another body. The funds are not subject to College control and the College has no fiscal stake in them other than accounting accuracy. This Fund is not budgeted. AUDIT FUND (Fund 11) The Audit Fund is used for recording the payment of auditing expenses. The audit tax levy is recorded in this fund and monies in this fund should be used only for the payment of auditing expenses. LIABILITY, PROTECTION, AND SETTLEMENT FUND (Fund 12) Tort liability, property insurance, unemployment insurance, and worker's compensation levies should be recorded in this fund. Monies in this fund, including interest earned on the assets of the fund, should be used for payment of tort liability property, unemployment, or worker's compensation insurance or claims. BUILDING BOND PROCEEDS FUND (Fund 13) 151 Proceeds from construction bonds may be recorded in the Building Bond Proceeds Fund. Expenditures are governed by the districts building bond indenture(s). The College has no building bond debt and therefore does not use this fund. PUBLIC BUILDING COMMISSION RENTAL FUND (Fund 14) PUBLIC BUILDING COMMISSION OPERATIONS AND MAINTENANCE FUND (Fund 15) The College has no facilities built by the Public Building Commission and therefore does not use either of the Public Building Commission funds. STAFF INSURANCE POOL FUND (Fund 17) This unbudgeted fund tracks monies dedicated for a portion medical insurance costs of classified staff employees and is reported as part of the Education Fund in the College’s CAFR and for uniform financial reporting. SOCIAL SECURITY/MEDICARE FUND (Fund 18) This fund was set up to insure discrete accounting in the general ledger for tax levy revenues levied for social security and Medicare purposes and to discriminate more easily associated fund balances associated therewith. For almost all reporting purposes it is combined with Fund 12. INVESTMENT POOL FUND (Fund 19) This fund accounts for all of the transactions involving the College's investments. At the close of each accounting period accrued interest is allocated to each of the several funds on the basis of its fund balance. This is a shadow fund established to make accounting for the College's investment instruments easier and more flexible. It is not an ICCB reportable fund and is not a budgeted fund. LOAN FUND (Fund 20) The Loan Fund accounts for all transactions involving student loans. It is a separate reported element in the CAFR and is combined with restricted purpose funds for most other purposes. It is not a budgeted fund and is not separately reported to the ICCB. GENERAL ADMINISTRATION (See PROGRAM) GENERAL MATERIALS AND SUPPLIES (See OBJECT) INDEPENDENT OPERATIONS (See AUXILIARY ENTERPRISES FUND) INDIRECT COSTS Indirect costs are those elements of cost necessary in the provision of a service which are of such nature that they cannot be readily or accurately identified with the specific service. (See also DIRECT COSTS) INSTRUCTIONAL ADMINISTRATION INSTITUTIONAL SUPPORT (See PROGRAM) (See PROGRAM) INSTRUCTION Instruction includes those activities which deal directly with teaching or aid in the teaching process. Instruction costs include not only salaries and benefits for instructional personnel but also the personnel, materials, equipment, and other costs which are necessary to plan, implement, and manage the instructional program. INTERFUND TRANSFERS Interfund transactions are for transfer of monies between funds. Monies may not be transferred between funds except by the same procedure as that used to approve the budget, including public notification, publication, inspection, and comment. Interfund transfers are usually part of the overall budget plan and are built into the budget at the time of its approval by the Board of Trustees. 152 INTERNAL CONTROL The purpose of internal control is to safeguard the use of public funds and to protect the public trust on behalf of the College. Internal controls are those activities and organizational preparations designed to insure effective accounting control over assets, liabilities, revenues, expenditures and any other activities associated with the finance and accounting actions of the College. Some of the precautions instituted by internal control are insuring that no single individual can perform a complete cycle of financial operations and that procedures of the finance and accounting system are specific and monitored. Internal control also requires designated levels of authorization for all actions under the system. INVESTMENT POOL FUND (See FUND) INVESTMENT REVENUE (See REVENUES) INVESTMENTS Investments are securities or other properties in which money is held, either temporarily or permanently, in expectation of obtaining revenues. Legal investments for community college funds are governed by state statute, which allow current operating funds, special funds, interest and sinking funds, and other funds belonging to or in the custody of the College, including restricted and nonrestricted funds, to be invested. Bonds, treasury bills, certificates of deposit, and short-term discount obligations issued by the Federal National Mortgage Association are some of the types of investments which are permitted by law. LOAN FUND (See FUND) LOCAL GOVERNMENT SOURCES (See REVENUES) MODIFIED ACCRUAL BASIS ACCOUNTING Modified accrual basis accounting is any accounting system that records revenue when susceptible to accrual both measurable and available. Available means collectible within the current period or soon enough thereafter to be used to pay the liabilities of the current period. Expenditures other than interest on long-term debts generally are recognized when the related fund liability is incurred. An encumbrance system may be used with a modified accrual basis accounting system. NET EXPENDITURE A net expenditure is the actual cost incurred by the College for some service or object after the deduction of any discounts, rebates, reimbursements, or revenue produced by the service or activity. NET POSITION The net position is the balance of a fund after all liabilities have been deducted from the assets of the fund. NET REVENUE Net revenue is defined as the balance remaining after deducting from the gross revenue for a given period all expenditures during the same period. NON GOVERNMENTAL GIFTS, GRANTS, AND BEQUESTS (See REVENUES) OBJECT The term object applies to expenditure classifications and designates materials or services purchased. Expenditures are grouped by major objects, such as salaries, supplies, or capital outlay, and are further divided as needed for cost accounting and control purposes. The term function may also be used to refer to object classifications. CAPITAL EQUIPMENT Also termed capital outlay, the capital equipment object group includes site acquisition and improvement, office equipment, instructional equipment, and service equipment. Generally expenditures in this category cost more than $10,000 and would not normally be purchased from general materials and supplies. Vehicles, computer servers and related equipment, and laboratory equipment would be typical examples of items included in this category. 153 CONFERENCE AND MEETING EXPENSES The category of conference and meeting expenses includes expenses associated with conference registration and fees, costs for hosting or attending meetings, and related travel costs, whether local or otherwise. CONTINGENCY Contingency funds are those appropriations set aside for emergencies or unforeseen expenditures. Contingency funds are used only by budget transfers and may not be expensed directly. A small amount of the capital equipment authorization is set aside for emergency use (i.e., to replace lost or stolen equipment) and may be used directly without budget transfer. CONTRACTUAL SERVICES Contractual service costs are those monies paid for services rendered by firms and individuals under contract who are not employees of the College. (See also SALARIES.) EMPLOYEE BENEFITS Employee benefit costs are for all benefits which employees accrue through continued employment with the College. Benefits include health insurance coverage (except that portion paid by the employee), sabbatical leave salaries, tuition reimbursement, life insurance, early retirement contributions assignable to the College, and others. FIXED CHARGES The fixed charges object category includes charges for rentals of facilities and equipment, payment of debt interest and principal, general insurance charges, installment payments for lease/purchase agreements, and property/casualty insurance. GENERAL MATERIALS AND SUPPLIES The general materials and supplies category includes the cost of materials and supplies necessary for the conduct of the College's business. Business forms, envelopes, postage costs, printing costs, and handouts to students typically fall into this category. (See also CAPITAL EQUIPMENT.) OTHER EXPENDITURES The other expenditures object category includes expenditures not readily assignable to another object category. Examples include student grants and scholarships, tuition chargebacks, charges and adjustments, and student loans. SALARIES Salaries are monies paid to employees of the College for personal services rendered to the College. Full time, part-time, and temporary employees, whether administrators, faculty, or staff, are paid wages or salaries established by contract with the Board of Trustees. (See also CONTRACTUAL SERVICES.) UTILITIES The utilities object account covers all utility costs necessary to operate the physical plant and other on-going services, including gas, water, sewage, telephone, and refuse disposal. ORGANIZED RESEARCH (See PROGRAM) OPERATING FUNDS Operating Funds refers to the combination of the Education Fund and the Operations and Maintenance Fund (Funds 01 and 02). OPERATION AND MAINTENANCE FUND (See FUND) OPERATION AND MAINTENANCE FUND (Restricted) (See FUND) OPERATION AND MAINTENANCE OF PLANT (See PROGRAM) OTHER EXPENDITURES (See OBJECT) OTHER REVENUES (See REVENUES) 154 PROGRAM A program is defined as a level in the program classification structure hierarchy representing the collection of program elements serving a common set of objectives that reflect the major institutional missions and related support objectives. The program classification structure, established by the ICCB, is a means of identifying and organizing the activities of the College in a program-oriented manner. Examples of programs are biology, nursing, and academic support. ACADEMIC PROGRAMS The academic programs include all of the instructional programs of the College. Some programs contain only a single discipline, such as mathematics or biology. Some programs contain multiple disciplines, such as modern languages, which includes all of the language disciplines (i.e., Spanish, French, and German). ACADEMIC SUPPORT Academic support includes those programs which directly support the instruction process and academic programs, including tutoring and instructional assistance. These programs include library operations, instructional support services, television production services, audiovisual services, and instructional technology administration. This last program provides instructional technology support to the academic programs of the College, including maintenance of the academic computer network and operation of the computer labs. Instructional technology operation and equipment costs are allocated on a pro rata basis to the academic programs which use the academic computer services. This consolidated effort provides considerable economy of effort, expertise, and resources. GENERAL ADMINISTRATION General administration includes those activities devoted to the general regulation, direction, and day-to-day operation of the College. The Office of the President, college advancement, business administration/Treasurer, accounting services, business services, human resources, and community relations are included in general administration. Typical services provided include purchasing for the entire college, printing services, shipping and receiving services, and financial services. The annual audit and the annual budget are produced by offices of general administration. INSTITUTIONAL SUPPORT Also called general institutional, this category includes those costs and activities not readily assignable to another category or which apply to the College on an institution-wide basis. The Board of Trustees' costs, institutional membership and accreditation costs, commencement, and certain institutional expenses, such as bank service charges and some benefit costs are assigned to this category. INSTRUCTIONAL ADMINISTRATION Instructional administration has overall responsibility for establishing, conducting, and evaluating the entire instructional program at the College. This includes coordinating the recruiting, supervising, and maintaining the quality of the teaching faculty. OPERATION AND MAINTENANCE OF PLANT Operation and maintenance of plant includes those activities necessary for the proper and safe operation of the physical plant of the College, including buildings, grounds, and roadways. Public safety, transportation, maintenance services, and housekeeping are part of operation and maintenance of plant. ORGANIZED RESEARCH Organized research includes separately budgeted research projects other than institutional research (which is included under instructional administration). The College does not engage in independent research projects. PUBLIC SERVICE Public service includes services provided to the general college community and residents by making college facilities and expertise available to the public outside of the academic realm. It includes college-sponsored seminars, workshops, forums, lecture series, cultural events and exhibits, and other non-academic services to the residents of the District. STUDENT SERVICES Student services include those activities which provide direct support services to students other than academic support services. These activities include registration and 155 records, financial aid, counseling, placement testing, career placement assistance, health services, and student activities. PROPERTY TAXES In general, property taxes are those taxes levied on real property for the purpose of providing service for the public good. In the case of the College, property taxes are levied on the real property of the District for the purpose of fulfilling the goal of educational service to the District as specified by the College's mission statement. Legal authorities for the various property taxes which the College has levied in the district are as follows: Education ILCS Ch 110, Act 805, Sec 3-1 Operations & Maintenance ILCS Ch 110, Act 805, Sec 3-1 Bond & Interest ILCS Ch 110, Act 805, Sec 3-33.2 Audit ILCS Ch 50, Act 310, Sec 9 Liability, Settlement, Protection ILCS Ch 745, Act 10, Sec 9-107 Social Security / Medicare ILCS Ch 40, Act 5, Sec 21-110 and Sec 21-110.1 Life Safety ILCS Ch 110, Act 805, Sec 3-20.3.01 PUBLIC BUILDING COMMISSION OPERATIONS AND MAINTENANCE FUND PUBLIC BUILDING COMMISSION RENTAL FUND PUBLIC SERVICE (See FUND) (See FUND) (See PROGRAM) REIMBURSABLE CREDIT HOUR A reimbursable credit hour is an ICCB-certified instructional credit hour used as the basis for distributing selected ICCB grants. RETIREES HEALTH INSURANCE GRANT The state retirees health insurance grant is provided to fund part of the health insurance costs for certain qualifying College retirees. REVENUES Revenues are additions to assets which do not increase any liability, do not represent the recovery of an expenditure, or do not represent the cancellation of certain liabilities without a corresponding increase in other liabilities or a decrease in assets. Revenues are classified by the source of the funds, which roughly corresponds to the object classification for expenditures. It can also serve as a program classification as well. CASH The cash source category includes currency, coin, checks, money orders, and bank drafts on hand or deposit with the official or agent designated as custodian of cash or in demand deposit accounts. Petty cash funds, change funds, and other imprest cash funds are recorded in the cash object. FACILITIES REVENUE Facilities revenue accrues from the use of College facilities, such as building/space rentals, data processing charges, and equipment rentals. FEDERAL GOVERNMENT SOURCES The category of federal government revenue sources includes all revenues which originate with federal agencies and are paid directly to the College or administered by pass-through agencies for the federal government. Department of Education grants and certain vocational education grants are recorded in this category. INVESTMENT REVENUE records revenues from investments. The investment revenue source category LOCAL GOVERNMENT SOURCES Revenues from local government sources accrue from district taxes (property taxes), from chargebacks, and from all governmental agencies below the state level. 156 NON-GOVERNMENTAL GIFTS, GRANTS, AND BEQUESTS The category of nongovernmental gifts, grants, and bequests records revenues from private persons, firms, foundations, or other non-governmental entities in the form of restricted or unrestricted gifts, bequests, or grants for specific projects. OTHER REVENUES Other revenues are those which do not fall into an established specific revenue source category. Typical examples would include parking and library fines, commissions, and sales of surplus property. SALES AND SERVICE FEES The sales and service fees source category includes all student fees and charges for other than education and general purposes. Examples would be bookstore sales, student organization fees, and admissions charges to athletic events. STATE GOVERNMENT SOURCES State government revenues accrue from all state governmental agencies. Typical examples include credit hour grants, ICCB grants, ISBE grants, and the Department of Veterans Affairs. STUDENT TUITION AND FEES The student tuition and fees category includes all student tuition and student fees assessed against students for educational and general purposes. Tuition is the amount per credit hour times the number of credit hours charged a student for taking a course at the college. Fees include laboratory fees, application fees, transcript fees, and similar charges not covered by tuition. Student tuition and fees may not exceed onethird the per capita cost as defined in the chargeback reimbursement calculation. SALARIES (See OBJECT) SALES AND SERVICE FEES (See REVENUES) STATE GOVERNMENT SOURCES (See REVENUES) STUDENT CHARGEBACK The student chargeback is the fee paid for a student of one community college district attending a community college in another district to pursue a curriculum not offered in the college of her/his home district. The home community college pays the college which the student attends a chargeback at the rate established in the chargeback calculations for each college. STUDENT SERVICES (See PROGRAM) STUDENT TUITION AND FEES (See REVENUES) SURPLUS A surplus is an excess of revenues over expenditures and transfers. TAX ANTICIPATION WARRANTS Tax anticipation warrants are issued by the governmental body in anticipation of collection of taxes, usually can be retired only from tax collections and frequently only from the tax collections anticipated with issuance. The proceeds of tax anticipation notes or warrants are treated as current loans if they are paid back from the tax collections anticipated with the issuance of the notes. TRUST AND AGENCY FUND (See FUND) UTILITIES (See OBJECT) WORKING CASH FUND (See FUND) 157 ACRONYMS ABE ASE FASB FTE GAAP GASB GFOA IBHE ICCB IMET IPTIP ISBE NACUBO NCGA OCC Adult Basic Education Adult Secondary Education Financial Accounting Standards Board Full-time Equivalent Generally Accepted Accounting Principles Government Accounting Standards Board Government Finance Officers Association Illinois Board of Higher Education Illinois Community College Board Illinois Metropolitan Investment Fund Illinois Public Treasurers Investment Pool Illinois State Board of Education National Association of College and University Business Officers National Council on Governmental Accounting Oakton Community College, Community College District No. 535 158 OAKTON COMMUNITY COLLEGE Community College District No. 535 Acknowledgments The Budget Office would like to thank the following people without whose assistance, this document would not have been possible: (in no particular order) Peg Lee Bruce Bennett, ICCB Ann Marie Barry Mum Martens Bonnie Lucas Gloria Liu Bruce Oates Robert Nowak Cheryl Warmann Dennis Nolan Valerie Green Joan Phillips Linda Korbel Lynn Seinfeld Tamara Laws Marilyn Davis Nancy Sidlin Nancy Prendergast Susan Kruczinski Maya Evans Carlee Drummer Vicki Bialek Jill Mawhinney Mary Gipson Thomas Hamel Joianne Smith Robyn Bailey Faina Vilk Aneta Tamraz Robert Sompolski Sebastian Contreras, Jr. Jamie Petersen Karen Epps and Sandy Huffman 159