Financial Information Subcommittee
Financial Information Subcommittee Minutes|
Hartnell College Board Room CAB-112 - 411 Central Avenue, Salinas, CA
September 14, 2011 at 2:30PM
* DRAFT MINUTES *
|Topic:||Update regarding 50% Law reporting|
|Summary of Agenda Item:||Al opened the meeting by informing the attendees that following the fiscal year close, the 50% rule must be calculated and, over the past few weeks, the Business Office has been working on this project. He explained that because the college did not offer summer session in 2010-2011, the college fell below the 50% rule for instructional costs. Phoebe advised that currently the college is working with a highly recommended consultant, as well as with the Chancellor\'s Office and the auditors, for the purpose of making sure the college is capturing everything allowable. |
Al then went on to explain the method by which the 50% law calculations are made. He explained that the Numerator, which equals instructional costs, must be equal to or greater than the Denominator, which equals all costs except instructional costs. Certain exclusions are available, some of which include lottery revenue, retiree benefits, and community support.
As of the meeting date, the college is under the 50% by 1.3%. Al informed everyone that the Business Office is working to clean up the 50% report and discussion ensued. The question of the likelihood of meeting the 50% came up and the response was while it may be close, going forward the 50% will be monitored at least quarterly.
Al then reminded everyone that the auditors will be at the college beginning September 26 to ensure accuracy of the accountings.