Fiscal Year 2013-14 - Lake Tahoe Community College

B U D G E T A S S U M P T I O N S A N D G O A L S
Date: September 10, 2013
Dr. Kindred Murillo, Superintendent/President, Jeff DeFranco, Vice President/Administrative Services
2013/14 State of California Budget: On June 27, 2013, Governor Brown signed the 2013/14 State Budget with
the message “California’s finances are in very solid shape for the first time in a decade.” Voter approval of
Proposition 30, combined with a recovering economy, has provided California with a positive revenue outlook
for the next five (5) years. This has enabled the State to appropriate additional funding, primarily for education
and health care, while at the same time reduce the “Wall of Debt” which stood at $26.9 billion at the end of
2012/13. Under the approved budget, this debt is expected to be paid down to $4.7 billion over the next four
years.
Funding specific to community colleges is very favorable and includes a 1.565% cost of living adjustment (COLA),
the first funded COLA since 2007/08. Access funding was included at 1.63% and will be distributed to those
colleges that have enrollment growth beyond their 2012/13 funded FTES. Three categorical programs will see
additional funds, partially restoring the devastating cuts experienced in 2009/10: Disabled Students Programs &
Services (DSPS), Extended Opportunity Program & Services (EOPS), and California Work Opportunities &
Responsibility to Kids (CalWORKS). 2013/14 is the first year of implementing the Student Success and Support
Initiative which will replace the former “Matriculation” program. State support for this initiative is expected to
double the funding previously allocated for Matriculation. Proposition 39, also approved by voters last fall, will
provide approximately $47 million to community colleges for energy efficiency projects.
LTCC’s final budget and resulting revenue assumptions are based on the Governor’s approved budget. Highlights
of the State budget include:
Programmatic Funds
$87.5M for COLA (1.565%)
$89.4M to restore access (1.63%)
$50M for the Student Success and Support Program (the old Matriculation program) with an
allowance that up to $7M could be shifted from that amount to develop e-transcript and e-planning
tools
$16.9M to expand the delivery of courses through technology
$25M to plan and implement grants to support local coordination efforts of adult education
providers
$47M for energy efficiency projects (allocation to colleges to be determined later in the fiscal year)
$37.9M for certain categorical programs (EOPS, DSPS, CalWORKS)
$30M in one-time funding for scheduled maintenance and instructional equipment
Deferral Buy Down
The Governor proposes to use 2012/13 and 2013/14 increases in Proposition 98 obligations to pay
down an additional $208.6M in deferrals. This would reduce the total system-wide deferral to
$592.5M.
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