Background and Resources

Listed below are sources of funds for Seattle Colleges.

State Allocation

The Washington State Legislatures makes appropriations to State Board of Community and Technical Colleges (SBCTC) from the general fund and from special funds (e.g., Workforce Education Investment Act)

The SBCTC use a model to disperse funds to the 34 community and technical colleges. The model has 5 elements

1. Minimum Operating Allocation
2. Base FTE Funding
3. Enhanced FTE Funding
4. Student Achievement Initiative
5. Earmarks/Provisos

Tuition

The maximum tuition rate set by state legislature. The revenue created depends on student enrollment.

Running Start

Running Start allows 11th and 12th grade students to take college courses at Washington's 34 community and technical colleges. Students earn both high school and college credits for these courses. Running Start students and their families do not pay tuition. They are responsible for mandatory fees, books and transportation. Students receive both high school and college credit for these classes, which accelerates their progress through the education system. It is funded by the K-12 state budget.

International Education

A program providing international students study academic, technical, and English language training programs.

Grants

Federal, local, or private foundation programs (e.g., Trio or Title III).

Other Local Funding

Self Support Programs (eg, Community and Corporate Education)

Listed below are the general categories for expenses for Seattle Colleges.

(Note: in FY21 Seattle Colleges will align the expense categories and codes across all three colleges. This will provide a "apples to apples" comparison of all expenses and improve the accuracy of the aggregate budget.)

• Wages and Benefits
• Goods and Services
• Contacts
• Capitalized Equipment
• Grants to Students/Client Services
• Transfers to Local Funds
• Travel
• Transfer from Student Government
• Interagency Reimbursement
• Transfers to Local Funds (Capital Transfer)
• Transfer for District Office Operations
• Other Expenditures

For a complete and itemized list of all the expenses (and associated codes) under each category, visit the Business and Finance Department homepage

Overview of the Major Changes in Revenue

• Recurring revenue is down by $12.8 million
• Non-recurring revenue is up due mainly to the use of local reserves and two COVID-19 relief funds:.
  • Higher Education Relief Funds (HEERF): split into two pieces: student aid and institutional funds
  • Governor’s Emergency Education Relief Funds (GEER): split into two pieces: tuition loss and emergency funds
• Overall, revenue is down by 7.4% (However, if reserves are not used, revenue would be by 15% from the previous year.)

Factors Impacting Revenue

1. Enrollment
2. SBCTC allocation model
3. Major changes in state revenue

Enrollment

• State enrollment is down 10.1% since 2015-16
• Grant/Contract enrollment is down 18.9% since 2015-16

SBCTC Allocation Model

Changes to the SBCTC allocation model began in 2016-17. Seattle Colleges lost $3.8 million in state allocation over the last four years. (This figure does not include the losses due to lower enrollment. Seattle Colleges has lost 1,042 FTE since 2015-16.)

Major Changes in State Revenue

• Projection for a major reduction in B&O tax collection due to COVID-19
• For House Bill 2158, projections call for less revenue than needed to fully fund programs
• Total decline projected at $1 million, but that includes one-time pass-through GEER funding, otherwise state funding would be down by $5.4 million or 6.4%

Factors Impacting Expenses

Overall, Seattle Colleges has had a significant decrease in expenses. Some expenses have been offset by COVID relief funds.

Overview of FY20 Expense Reductions Per Location

Siegal

Operations

• Decrease of $3.4 million when compared to the 2019-20 budget.
• International Programs budget decreased by $2.1 million when compared to the 2019-20 budget.
• Decrease in the budgets for supplies/travel/training.

Personnel

• 24 positions eliminated through a combination of unfilled positions, voluntary separations, and reductions in forces.
• Top administrators forego COLA and participated in furloughs.
• The International Program was reduced by 9 positions.

North

Operations

• Reduction of $679,000 in non-compensation expense compared to original FY 2020-21 budget.
• Reduction of $4 million in compensation expense compared to original FY 2020-21 budget.

Personnel

• Savings of $156,000 due to voluntary compensation reductions and foregone COLA by administrators.
• A 27 faculty FTE reduction together with a decrease in the student-faculty ratio.
• 11 exempt positions eliminated for FY 2020-21.
• 33 classified positions eliminated for FY 2020-21.

Central

Operations

• A $3.5 million reduction in total spending.
• A $493,000 reduction in non-payroll for Administrative Services and President’s Office.

Personnel

• 9 faculty positions reduced through VESI or held vacancy.
• 21 classified staff reduced through VESI, layoff, separation, or held vacancy.
• 5 exempt positions reduced through VESI, layoff, or separation or held vacancy.

South

Operations

• Decrease of approximately $2.8 million when compared to the FY 2019-20 budget.
• Assessment Center, Copy Center and Child Care Center closed.
• Decrease in the budgets for supplies/travel/training.

Personnel

• 28 positions eliminated through a combination of unfilled positions, voluntary separations, and reductions in forces.
• Top administrators forego COLA 
• Exempt and Classified Staff participated in 2 furlough days this summer.

Expenses offset by COVID-19 Relief Funds

• Financial Statements and Data