ERIC Number: ED339402
Record Type: Non-Journal
Publication Date: 1991-Sep
Program Based Funding.
AdCom: The Newsletter of the Association of California Community College Administrators, p1-3 Sep 1991
Developed to assist two-year college administrators in understanding the application of the funding formula for California's community colleges that became effective July 1, 1991, this paper reviews revenue base limits; practical implications of the revenue base; the role of institutional growth in increasing base revenues in the absence of cost of living adjustments (COLAs); rates for program based funding; determination of revenue generated by a specific class; and restrictions on the local allocation of money. Highlighted in the paper are the following facts: (1) for 1991-92, a college which did not decline in enrollments in 1990-91 is guaranteed a revenue base limit which is the equivalent of what it received for the average daily attendance (ADA) generated in 1990-91; (2) the actual revenue base for 1991-92 is generated by credit and non-credit full-time equivalents (FTEs), head count of new credit students and continuing credit students, square footage owned or leased 100%, and FTEs in other leased space; (3) an institution can make up a loss of credit FTEs and enrollment through non-credit FTEs; (4) the new growth cap is computed in terms of a dollar cap for each district; (5) rates developed for program based funding are funded at 58.56% of the calculated rate because of insufficient state support; and (6) aside from requirements for spending a percentage of growth funds on full-time faculty, there is no restriction on how money is to be spent locally. A rate table for program based funding and sample calculations for determining the revenue for credit and non-credit classes are included. (PAA)
Descriptors: Budgeting, Budgets, College Administration, Community Colleges, Educational Finance, Educational Legislation, Educational Planning, Expenditure per Student, Expenditures, Financial Policy, Full State Funding, Full Time Equivalency, Funding Formulas, Revenue Sharing, School Funds, State School District Relationship, Two Year Colleges
Publication Type: Journal Articles; Reports - Descriptive
Education Level: N/A
Audience: Administrators; Practitioners
Authoring Institution: Association of California Community Coll. Administrators.
Identifiers - Location: California