2015-02-12 talk story - university of hawaiʻi at mānoa...feb 12, 2015 · budget‐to‐actual...

Manoa Talk StoryFEBRUARY 12, 2015

Agenda BOR Quarterly Financial Reports

Manoa Spring Budget Meetings

Other Discussion

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BOR Quarterly Financial Reports

WHY BUDGETING MATTERS

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BOR Quarterly Financial ReportsUsed by the Board of Regents to monitor the status of campus’ General, Special and Revolving funds. Reports are run using budget entries and actuals as posted in the KFS system as of the end of the particular quarter. The reports will be pulled from a central office and the entries cannot be adjusted.

Budget‐to‐Actual Revenue Report Compares revenue projections against actual revenues earned during the fiscal year.

Budget‐to‐Actual Expenditure Report Compares expenditure projections against actual expenditures that occurred during the fiscal year.

Revenue, Expenditure and Unencumbered Cash Report Compares cash against revenues earned and expenditures incurred to date Compares the resulting unencumbered cash balance to the reserve requirement & the prior fiscal year

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Importance of KFS Projections Budget entries in KFS are used to populate these BOR reports as well as campus level management reports.

It is critical that units enter their revenue and expenditure projections timely. At minimum units should be updating their budgets quarterly as assumptions change.

It is also critical that the units’ projections are realistic to the expected revenues to be received and expenditures to be incurred.

However, units must be mindful that they keep within the budget instruction restrictions.

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Budget‐to‐Actual Revenue Report Budget‐to‐Actual Revenue Report Compares revenue projections against actual revenues earned during the fiscal year.

Similar eThority Report: KFS GL Databooks > Campus Budget Offices FolderRevenue Collections – Special & Revolving – by Budget Campus

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Budget‐to‐Actual Revenue Report

Sub‐FundProjectedRevenue

Quarter 1Actual

Quarter 2Actual

Quarter 3Actual

Quarter 4Actual

YTD ActualRevenue

% of Projected

Actual Revenueas of 12/31/13

% of Totalfor FY

UH MānoaTuition and Fees Special Fund $214,841,757 $114,159,266 $81,668,975 $195,828,241 91% 1/ $185,281,176 90%Other Special Funds $94,488,573 $41,826,463 $24,000,969 $65,827,432 70% 2/ $65,195,805 67%

Research and Training Revolving Fund $31,747,433 $25,363 $6,165,436 $6,190,799 20% 3/ $13,827 0%Other Revolving Funds $30,525,402 $12,912,646 $9,795,777 $22,708,423 74% 4/ $22,367,587 83%

Total, UH Mānoa $371,603,165 $168,923,738 $121,631,158 $0 $0 $290,554,896 78% $272,858,394 76%

FY 2014

University of Hawaii ‐ FY 2015 Quarterly Financial Report for Special and Revolving FundsRevenue by Campus

For Period Ending December 31, 2014

FY 2015 Year‐to‐Date

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Budget‐to‐Actual Revenue ReportGENERAL FOOTNOTES:

1/ Tuition and Fees SF Revenue is recognized primarily in Quarter 1 (Summer and Fall sessions) and Quarter 2 (Spring session) in accordance with student registration deadlines.

3/ The major source of RTRF funds is the reimbursement of indirect costs of federal grants. Indirect cost recoveries were fully distributed to UH West Oahu and the Community Colleges as of December 31, 2014. Indirect cost recoveries were not fully distributed to UH Manoa and UH Hilo as of December 31, 2014.

MANOA FOOTNOTES:

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In general, Other Special funds are not earned equally (25%) in each quarter. Student based revenues (most of Revenue Undertakings [which incudes Bookstore, Parking, Student Housing], Scholarship & Assistance) are generally tied to the semester when tuition revenue was collected. For other special funds, each individual fund has its own unique collection schedule (i.e. for Athletics, it is based on when ticket sales for the particular sports season happens; for Cancer Center, it happens when the transfer from the state occurs (usually in the second part of the fiscal year); Community Services SF contains Outreach Non‐Credit Programs whose revenues are tied to the extension term).

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In general, Other Revolving funds are not earned equally (25%) in each quarter. Student based revenues (Graduate App RF, Student Health Center RF, Transcript & Diploma RF, Student Activities RF) are generally tied to the semester when tuition revenue and fees are collected. For other revolving funds, each individual fund has its own unique collection schedule (i.e. for Commercial Enterprises RF and for Facilities Use RF, it's when the services/sales occur).

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Budget‐to‐Actual Revenue ReportProjected Revenue Revenue expected to be earned in this fiscal year

YTD Actual Revenue Revenue recognized so far this fiscal year

% Projected YTD Actual / Projected

Need to be able to justify variancesEx. revenue tied to registrations which happen in Quarter 1 and 2.

Sub‐FundProjectedRevenue

YTD ActualRevenue

% of Projected

UH MānoaTFSF $214,841,757 $195,828,241 91%Other Special $94,488,573 $65,827,432 70%

RTRF $31,747,433 $6,190,799 20%Other Revolving $30,525,402 $22,708,423 74%

Total, UH Mānoa $371,603,165 $290,554,896 78%


* Note: graphic above was adjusted to fit on slide and does not match exactly to the prior slides.

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Budget‐to‐Actual Revenue Report

Sub‐Fund% of

ProjectedActual Revenueas of 12/31/13

% of Totalfor FY

UH MānoaTFSF 91% 1/ $185,281,176 90%Other Special 70% 2/ $65,195,805 67%

RTRF 20% 3/ $13,827 0%Other Revolving 74% 4/ $22,367,587 83%

Total, UH Mānoa 78% $272,858,394 76%

FY 2015 YTD FY 2014

FY 2015 Year‐To‐Date vs FY 2014 ActualCampuses are asked to explain variance between the current and prior fiscal year as well

Prior year comparison is based on the actual revenue collected up to the same quarter as the report.

Percentage of the total is based on the total revenue collected in the prior year.

Variances will be stable if the revenue stream is consistent from year to year.


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Budget‐to‐Actual Expenditure Report Budget‐to‐Actual Expenditure Report Compares expenditure projections against actual expenditures that occurred during the fiscal year.

Similar eThority Report: KFS GL Databooks > Campus Budget Offices Folder Budget‐to‐Actual for Campus Budget – Rev‐Alloc‐Carry‐TrfUse the Expenditure Projections column as the budget column

Transfer actuals are on the Cash Balance 37‐47 Rpt – Special & Revolving ‐ by Budget Campus report

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Budget‐to‐Actual Expenditure Report

ProjectedExpenditures/

TransfersQuarter 1Actual

Quarter 2Actual

Quarter 3Actual

Quarter 4Actual

YTD ActualExpenditures/

Transfers% of

Projected

Actual Expend/Trfsas of 12/31/13

% of Totalfor FY

UH MānoaGeneral Funds

Personnel Expenditures $205,579,717 $51,928,360 $54,489,974 $106,418,335 52% $103,868,049 53%Other Current Expenditures $607,150 ($1,532) $24,287 $22,755 4% $19,985 35%Expenditures, General Funds $206,186,867 $51,926,829 $54,514,262 $0 $0 $106,441,090 52% $103,888,034 53%

Tuition and Fees Special FundPersonnel Expenditures $102,130,472 $32,071,730 $22,760,362 $54,832,092 54% $52,029,882 49%Other Current Expenditures $93,500,012 $16,184,427 $22,875,763 $39,060,190 42% $46,168,691 51%Transfers $41,897,626 $975,326 $3,580,612 $4,555,938 11% 1/ $5,867,335 15%Expenditures/Transfers, TFSF $237,528,110 $49,231,482 $49,216,737 $0 $0 $98,448,220 41% $104,065,907 44%

Other Special FundsPersonnel Expenditures $40,060,066 $9,637,252 $10,136,503 $19,773,755 49% $20,358,058 52%Other Current Expenditures $78,866,814 $32,494,899 ($833,221) $31,661,678 40% 2/ $48,111,673 46%Transfers ($26,506,932) $10,019,260 $4,323,369 $14,342,629 ‐54% 3/ $9,670,756 ‐29%Expenditures/Transfers, Other Special Funds $92,419,948 $52,151,411 $13,626,652 $0 $0 $65,778,062 71% $78,140,487 70%

Sub‐Fund

FY 2015 Year‐to‐Date FY 2014

University of Hawaii ‐ FY 2015 Quarterly Financial Report for General, Special and Revolving FundsExpenditures/Transfers by Campus


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TransfersQuarter 1Actual

Quarter 2Actual

Quarter 3Actual

Quarter 4Actual


Transfers% of

Projected


% of Totalfor FY

UH MānoaResearch and Training Revolving Fund

Personnel Expenditures $6,877,845 $3,436,374 $2,453,434 $5,889,809 86% 4/ $5,521,305 34%Other Current Expenditures $27,058,125 $4,058,037 $3,948,040 $8,006,077 30% 5/ $8,034,661 40%Transfers $129,012 $1,408,310 ($23,881) $1,384,430 1073% 6/ $963,799 56%Expenditures/Transfers, RTRF $34,064,983 $8,902,722 $6,377,593 $0 $0 $15,280,315 45% $14,519,765 38%

Other Revolving FundsPersonnel Expenditures $7,698,242 $1,961,253 $1,995,902 $3,957,155 51% $3,402,653 48%Other Current Expenditures $21,113,586 $3,068,161 $3,750,673 $6,818,834 32% 7/ $9,385,500 46%Transfers $28,000 $28,000 $0 $28,000 100% $86,251 28%Expenditures/Transfers, Other Revolving Funds $28,839,828 $5,057,415 $5,746,574 $0 $0 $10,803,989 37% $12,874,404 47%

Total, UH MānoaPersonnel Expenditures $362,346,342 $99,034,970 $91,836,175 $0 $0 $190,871,146 53% $185,179,946 50%Other Current Expenditures $221,145,687 $55,803,992 $29,765,542 $0 $0 $85,569,535 39% $111,720,510 47%Transfers $15,547,707 $12,430,896 $7,880,100 $0 $0 $20,310,996 131% $16,588,141 190%Total Expenditures/Transfers $599,039,736 $167,269,859 $129,481,818 $0 $0 $296,751,677 50% $313,488,597 51%

University of Hawaii ‐ FY 2015 Quarterly Financial Report for General, Special and Revolving FundsExpenditures/Transfers by Campus


FY 2015 Year‐to‐Date FY 2014

Sub‐Fund

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MANOA FOOTNOTES:

1/ A large portion of the transfers are the scholarship transfers and system assessments which happen in the last quarter of the fiscal year. Transfers typically will not occur equally throughout the year.

2/Cancer Center SF was reimbursed $20.4 million from revenue bond proceeds. The reimbursed expenditures were related to the planning and design of the Cancer Center which should have been paid on the bond system accounts. This reimbursement resulted in causing the quarter 2 amount to become negative. See memo from Cancer Center for more details.

3/Related to footnote 1, the transfers that are projected to occur are for scholarships and system assessments, which occurs in the last quarter of the fiscal year.

4/At the time RTRF is allocated to the units, funds are initially budgeted as "Other Current Expenditures". Units may then redistribute their budgets between Personnel and Other Current Expenditures. Variances are due to timing of when these budget adjustments are made.

5/At the time RTRF is allocated to the units, funds are initially budgeted as "Other Current Expenditures". Units may then redistribute their budgets between Personnel and Other Current Expenditures. Variances are due to timing of when these budget adjustments are made.

6/ Transfers for RTRF are associated with Debt Service. Transfer budget was not entered in a timely manner.

7/ Units may not have budgeted Revolving accounts between Personnel and Other; rather they budgeted the accounts primarily as Other to get a budget amount in the system rather than having nothing. Also there are some revolving funds that don't spend linearly.

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Budget‐to‐Actual Expenditure ReportProjected Expenditures/TransfersAmount of expenditures and net transfers (transfers out – transfers in) that is expected to happen in the current fiscal year.

YTD Actual Expenditures/TransfersAmount of expenditures and net transfers that occurred in the current fiscal year.

% of ProjectedYTD Actual / Projected

Need to be able to justify variances


Transfers


Transfers% of

ProjectedUH MānoaTFSF

Personnel $102,130,472 $54,832,092 54%Other $93,500,012 $39,060,190 42%Transfers $41,897,626 $4,555,938 11% TFSF $237,528,110 $98,448,220 41%


Sub‐Fund


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Budget‐to‐Actual Expenditure ReportFY 2015 Year‐To‐Date vs FY 2014 ActualCampuses are asked to explain variance between the current and prior fiscal year as well

Prior year comparison is based on the actual expenditures incurred up to the same quarter as the report.

Percentage of the total is based on the total expenditures incurred in the prior year.

Variances will be similar if the expenditure stream is consistent from year to year.

% of Projected


% of Totalfor FY

UH MānoaTFSF

Personnel 54% $52,029,882 49%Other 42% $46,168,691 51%Transfers 11% 1/ $5,867,335 15% TFSF 41% $104,065,907 44%

FY 2015 YTD FY 2014

Sub‐Fund


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Revenue, Expenditure and Unencumbered Cash Report

FY 2014

Sub‐FundRevenue/

AppropriationExpenditures/

Transfers Balance Cash EncumbrancesUnencumbered

Cash5%

(Exec Policy)16%

(BOR Policy)

Unencumbered Cash as of 12/31/13

UH MānoaGeneral Funds $206,186,867 $106,441,090 $99,745,777 $99,745,777 $0 $99,745,777 n/a n/a $93,631,236

Tuition and Fees Special Fund $22,667,921 $195,828,241 $98,448,220 $120,047,943 $66,702,618 $9,684,746 $57,017,872 $21,711,276 $69,476,083 $77,326,348Other Special Funds 2/ $62,966,858 $65,827,432 $65,778,062 $63,016,228 $53,413,802 $12,536,463 $40,877,339 $5,575,927 $17,842,965 $33,741,048

Research and Training Revolving Fund 3/ $20,593,976 $6,190,799 $15,280,315 $11,504,460 $7,934,416 $3,821,584 $4,112,832 $1,915,362 $6,129,157 $6,674,992Other Revolving Funds $12,719,847 $22,708,423 $10,803,989 $24,624,281 $19,525,673 $2,890,392 $16,635,281 $1,383,029 $4,425,693 $14,718,998

Total, UH Mānoa $118,948,602 $496,741,763 $296,751,677 $318,938,688 $247,322,286 $28,933,185 $218,389,100 $30,585,593 $97,873,898 $226,092,622

University of Hawaii ‐ FY 2015 Quarterly Financial Report for General, Special and Revolving Funds


FY 2015 Reserve Targets 1/Revenue/Expenditures: YTD FY 201507/01/14

CarryforwardCash


Summary of Actual Revenue & Expenditures, Unencumbered Cash by Campus

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Sub‐Fund

UH MānoaGeneral Funds

Tuition and Fees Special Fund $22,667,921Other Special Funds 2/ $62,966,858

Research and Training Revolving Fund 3/ $20,593,976Other Revolving Funds $12,719,847

Total, UH Mānoa $118,948,602

07/01/14Carryforward

Cash

Carryfoward cash Beginning Cash Balance – PY Deferred Revenue PY Deferred Revenue: revenues recorded in the prior fiscal year that are actually earned in the current fiscal yearEx. Student registers AND pays for Fall 2015 registration in Spring of 2015.

The cash balance is adjusted so that the revenue projection amount is not double counted by the cash collected from the paid registrations from the prior FY. Encumbrances are NOT taken out from this number since encumbrances are supposed to be included in the current year expenditure budget. * Note: graphic above was adjusted to fit on slide and does not

match exactly to the prior slides.

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Revenue/Expenditures: YTD FY 2015Revenue/AppropriationActual revenue/appropriation amount recorded in KFS

Expenditures/TransfersActual expenditures and net transfers recorded in KFS

BalanceCarryforward Cash ‐ Revenue/Allocation –Expenditures/Transfers

This section provides a way to check how much has been spent so far including prior year carryover cash.

Sub‐FundRevenue/

AppropriationExpenditures/

Transfers Balance

UH MānoaGeneral Funds $206,186,867 $106,441,090 $99,745,777

TFSF $195,828,241 $98,448,220 $120,047,943Other Special 2/ $65,827,432 $65,778,062 $63,016,228

RTRF 3/ $6,190,799 $15,280,315 $11,504,460Other Revolving $22,708,423 $10,803,989 $24,624,281

Total, UH Mānoa $496,741,763 $296,751,677 $318,938,688

Revenue/Expenditures: YTD FY 2015


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Unencumbered Cash Balance Cash = Cash Balance as of date of the report

Encumbrances = Encumbrances outstanding as of the date of the report

Unencumbered Cash Balance = Cash ‐Encumbrances

Sub‐Fund Cash EncumbrancesUnencumbered

Cash

UH MānoaGeneral Funds $99,745,777 $0 $99,745,777



Total, UH Mānoa $247,322,286 $28,933,185 $218,389,100



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Reserve Targets For Tuition it’s based on the prior year expenditure amount on General and Tuition funds

For all other Special and Revolving funds, it’s based on the prior year expenditure amount.

Minimum amount is 5% of the prior year base.

Maximum is 16% of the prior year base.

Unencumbered Cash as of 12/31/13 Prior year Cash balance as a point of reference.

FY 2014

Sub‐Fund5%

(Exec Policy)16%

(BOR Policy)


UH MānoaGeneral Funds n/a n/a $93,631,236



Total, UH Mānoa $30,585,593 $97,873,898 $226,092,622

FY 2015 Reserve Targets 1/


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2015-02-12 talk story - university of hawaiʻi at mānoa...feb 12, 2015 · budget‐to‐actual...

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