James Terry PhD, CPA, CTSBOExecutive Director of Finance and Accounting Services
North East ISD
Controllership Function in School Districts
Texas Association of School Business Officials Annual Conference - Austin Texas
March 2008
Controller’s Job More than Financial Control Systems Accounting controls
Safeguarding of assets Reliability of the financial records
Administrative Controls Plan of organization Operational efficiency Managerial policies
Operational Controls Achieving the business objectives
The Controller’s Job Functions Planning Organizing Directing Measuring/Reporting Financial analysis/Modeling Process analysis/Statistical analysis Forecasting
The Organization
Strategies Processes
Activities Tasks
Six Sigma
Balanced Scorecard
The Community
Source: Robert N. Anthony and Vijay Govindarajan, Management Control Systems
Str
ateg
ic
Pla
nn
ing
Annual Planning (Budgeting)
Exe
cuti
on
Rev
isio
ns
Evaluation
Dashboard
The Controller’s Job Functions Planning Organizing Directing Measuring/Reporting Financial analysis/Modeling Process analysis/statistical analysis Forecasting
Department Of FinanceDepartment Of Finance
Executive Director of Finance & Accounting ServicesE9
Departmental Secretarial PoolSecretary to the Executive Director – C9Administrative Support Specialist – C7
Finance Secretary– C3
Director of Accounting Services& Payroll
E8
Director of Budgets &Financial Control
E8
Director of Procurement& eCommerce
E7
Director of Risk Management & Employee Benefits
E8
Director of Grants Administration / Comptroller
E6
Office of Accounting Services and PayrollOffice of Accounting Services and Payroll
Secretarial Pool
Leave CoordinatorE3
Payroll TechnicianC10
Payroll SpecialistC8
Accounting SpecialistPayroll Deductions
C8
Payroll ClerkC4
Payroll TechnicianC10
Payroll SpecialistC9
Payroll SpecialistC9
Payroll SpecialistC9
Assistant Payroll ManagerE3
Payroll ManagerE4
District CashierC6
Accounts Payable SpecialistC8
Accounts Payable SpecialistC8
Accounts Payable SpecialistC8
Accounts Payable SpecialistC8
Accounts Payable SpecialistC8
Accounts Payable SpecialistC8
Accounts Payable SpecialistC8
Accounts Payable SupervisorE1
Senior Accounting ManagerE5
Accounting ClerkPart Time
C3
Accounting SpecialistC8
Accounting TechnicianC10
Senior Accounting ManagerE5
Data TechnicianC4
DirectorE8
Office Of Grants AdministrationOffice Of Grants Administration
Director for Grants Administration/Comptroller
E6
Athletic Accountant Reports to Jerry
Comalander
E1
Senior Accountant – Grant Administration
E2
Executive Director of Athletics
Special Education Accountant
E1
Instructional Program Specialist
C9
Senior Accountant – Curriculum Compliance &
School Improvement
E2
Senior Accountant – Continuing Education / KIN
E2
Executive Director of Finance & Accounting Services
Grant Writer
Consultant
Corporate Development
Consultant
Director of Community Education
Assoc. Supt. of Instruction
Assoc. Supt. of Campus Support
Secretarial Pool
Executive Director of Curriculum Compliance
All Executive Directors and Principals
Office of Procurement & Office of Procurement & eCommerceeCommerce
Procurement
Warehouses
Assistant DirectorE6
Textbook CoordinatorTemporary X1Manager
E3
Facility Usage & Textbook
C9
Part-time Specialist/Facility Usage & Textbook
C9
Specialist/OWS Inventory
C9
Specialist/TWS InventoryC9
Specialist/GWS InventoryC9
Procurement SpecialistFrozen
C9
DirectorE7
Material HandlerFrozen
O4
OWS WarehouseSupervisor
E1
GWS WarehouseSupervisor
E1
Material HandlerO4
Material HandlerO4
Material HandlerO4
Property ManagementTechnician
O1
Property ManagementTechnician
O1
Material HandlerO4
Material HandlerO4
Material HandlerO4
Material HandlerO4
Material HandlerO4
Material HandlerO4
Property TransferCoordinator
Pending
Material Handler/Testing
O4
Procurement CoordinatorE2
Financial Technology Coordinator
T3
Technology SpecialistC9
Finance ClerkC3
Secretarial Pool
Contract CoordinatorC10
Specialist/PO Processor
C9
Specialist/PO Processor
C9
Specialist/PO Processor
C9
Bid CoordinatorC10
ProcurementSpecialist
C9
Office Of Budgets & Financial ControlOffice Of Budgets & Financial ControlDirector of Budgets &
Financial ControlE8
Budget Analyst E1
Vacant VOE Student
Div Comptroller for Operations E5
Assoc. Supt. of Auxiliary Services Assoc. Supt. of Business Services
Senior Accountant E3
Sr. Accountant for School Nutrition E2
Comptroller for Campus Support E5
Campus Support Technician C10
Comptroller for Business Services & Treasurer
E5
Staff Accountant - Treasury
E2
Assoc. Supt. of Campus Support Assoc. Supt. of Business Services
Assoc. Supt. of Business Services
Secretarial Pool
Executive Director of School Nutrition
The Controller’s Job Functions Planning Organizing Directing Measuring/Reporting Financial analysis/Modeling Process analysis Forecasting
The Controller’s Job Functions Managing Coaching Managing by Objective (MBO) Priorities Mediation Praise Reprimand
The Controller’s Job Functions Planning Organizing Directing Measuring/Reporting Financial analysis/Modeling Process analysis/Statistical analysis Forecasting
The administrative cost ratio administrative costs divided by
instruction costs, expressed as a percentage.
Year 97-98 98-99 99-00 00-01
01-02
NEISD 5.80% 6.21% 6.04% 6.23% 6.30%
The state standard for the administrative cost ratio is 11.05%
INSTRUCTIONAL EXPENDITURES PER REFINED
ADA
Instr. Expend. /RADA
1 North East $ 4,189 2 Houston $ 4,186 3 Cypress-Fairbanks $ 4,103 4 Austin $ 4,098 5 San Antonio $ 4,090 6 El Paso $ 4,048 7 Dallas $ 4,017 8 Forth Worth $ 3,957 9 Fort Bend $ 3,928
10 Northside $ 3,927 11 Arlington $ 3,926
CAMPUS ACADEMIC RATINGS
0%10%20%30%40%50%60%70%80%90%
100%
Low Performing
Acceptable
Recognized
Exemplary
77% of NEISD’s districts are rated Exemplary or Recognized. Fort Bend is the only large district with similar results.
SUBSTITUTE DAYSPARAPROFESSIONALS HS &
MS
0
0.5
1
1.5
2
2.5
3
3.5
4
4.5
YT
D D
ay
s p
er
Pa
rap
rofe
ss
ion
al
1st Quarter 2003-04 1st Quarter 2002-03
HS ADA by Year by Campus
86
88
90
92
94
96
98
Schoo l Year
Pe
rce
nt
of
Av
era
ge
Da
ily
A
tte
nd
an
ce
CHURCHILL
LEE
M AC
M ADISON
REAG AN
ROOSEVELT
ISA
A/B Schedule
Linked to PEIMS Discipline TTAD
Automated Calling System
Maintenance DepartmentProductivity
September - November, 2003
60%
65%
70%
75%
80%
85%
90%
95%
100%
Air
Co
nd
itio
nin
g
Ca
rpe
ntr
y
En
erg
y
Co
ntr
ol
En
viro
nm
en
tal
He
atin
g
Ele
ctri
cal
Filt
er
Cre
w
Fir
e A
larm
s
Flo
ors
Fa
cilit
y
Ma
na
ge
rs
Gla
ss
Gro
un
ds
% P
rod
uc
tiv
e T
ime
Auxiliary Services
Bond Expenditures & CommitmentsAs of April 30, 2004
Bond Series Amount Issued
Principal & Interest
Received
Actual Expenditures & Commitments Balance
% Balance of Total P&I
1996 80,000,000$ 88,221,817$ 88,113,600$ 108,217$ * 0.12%
1997 67,485,000 72,119,836 71,933,771 186,066 ** 0.26%
1999 211,000,000 230,801,146 221,224,782 9,576,364 *** 4.15%
2000 155,870,000 175,737,073 150,081,429 25,655,644 **** 14.60%
2004 300,000,000 300,799,927 71,247,079 229,552,848 ***** 76.31%
Total 814,355,000$ 867,679,799$ 602,600,661$ 265,079,138$ 30.55%
Notes: * Earmarked for budgeted projects 108,217$ ** Earmarked for budgeted projects 186,066
*** Earmarked for budgeted projects 8,633,423
*** Earmarked for administrative costs 942,941 **** Earmarked for budgeted projects 25,058,585 **** Earmarked for administrative costs 597,059
***** Earmarked for budgeted projects and administrative costs 229,552,848 Total Earmarked 265,079,138$ 100%
Interest earned and received for the period to date is the difference of the issued amount and the principal and interest received.
Interest earned and received through the current period is: 53,324,799$
15
EXPENDITURES BY FISCAL YEAR
$4,834,710
$32,561,560
$63,261,521
$91,839,567
$100,331,724
$47,472,424
$71,995,842
$95,792,166
$17,246,501
$-
$20,000,000
$40,000,000
$60,000,000
$80,000,000
$100,000,000
$120,000,000
1995 - 96 1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04
Capital Expenditures
16
The Controller’s Job Functions Planning Organizing Directing Measuring/Reporting Financial analysis/Modeling Process analysis Forecasting
Financial Analysis Statistical Section of CAFR Inventory Carrying Costs Bank Earnings Credit vs. Investments Cash inflows and outflows Benchmarking – ERG
Desktop Analyst APi FPI
18
Financial Analysis Variance Reports Staffing Analysis Teacher Utilization Classroom Utilization Magnet Program Costs Utility Usage
18
Financial Analysis
Course CostsMindsphere
Performance MeasuresAPQCOSBC
18
The Controller’s Job Functions Planning Organizing Directing Measuring/Reporting Financial analysis/Modeling Process analysis/Statistical
Forecasting
Measure what Measure what you want to you want to
change.change.
Source: NEISD Finance Department
Performance Performance MeasuresMeasures
Processes
Planning/Budgeting Teaching Reading Writing Arithmetic
EXECUTION
ACTIVITIES
Determining Performance
y = f (x)
The independent variable…1
is operated on…2
by a deterministic function3
To transform it…4
into an outcome! (the dependent variable)
5
Effectiveness (Examples)
Industry relative total excess return
Operating profit volatility
Analysts seen as business partners
Balance of both financial and non-financial performance measures
Quality metrics
Accuracy of forecasts and analysis
Use of balanced scorecards, simulation models
Percent managers describing budget process convenient and easy
Percent of time analytic focus is on proactive decision making
Percent of time reports and commentaries address future actions
Efficiency (Examples)
•Overall planning cost as a % of revenue
•Process cost as a % of revenue
•Percent of business reports distributed electronically
•Operations managers use of on-line budgeting tools
•Staffing levels of process
•Cycle times
•Budget iterations
•Performance reporting productivity
•Utilization of self-service for inquiry
•Application complexity
Using actual data to identify world-class performers in Enterprise Performance Management
Motor Pool Ready to Use
Vehicle(s)
Receiving
Receives Merchandise, processes requisitions
and returns
Operations Whse
Processes Requisitions, Bid Quotes, completed PO’s, returns, exceptions
Clerk at Trans Whse
Processes VENDOR and INTERNAL requisitions and PO returns
PickingPulls stock from
Inventory
1
Daily Receiving Tickets (P/S)
2
Stock Pile
3
Tool InventoryRepairs Vehicles
MechanicMaintains Personal Tool
Inventory
Manual Work Orders
Receiving
Receives Merchandise, processes requisitions
and returns for
Picking / Loading
Pulls stock from Inventory
Pick Tickets
Daily Receiving Tickets (P/S)
Loads Truck for Orders
Requests
Direct Orders PO are called / faxed for same day shipment by Vendor
PO’s are faxed, e-mailed or mailed
1
Deliveries
1
1
deliveries
Vendor
Fulfills PO
START
START
END
Transportation Warehouse Order Processing - HLP
Fulfills Pick Tickets
NEISD Truck
VendorTruckVendor
Truck
Parts Mgr at Trans Whse
Maintains and reconciles Inventory
Hot Shot Deliveries
Verbal PO’s
Manual Work
Orders
2
1
1
Oper Whse Inventory
Pick Tickets
Hot Shot, Direct Orders
Deliveries
Maintenance Deliveries
4
On-Line Calalog Only
e
PEIMS Reporting Process
Submit file to Data
Processing PEIMS
Coordinator.
Verify PEIMS
file against CAFR.
Audit LEA runs an edit
check on PEIMS.
Identify major errors and correct
them.
Submit file to TEA.
TEA runs an error listing. Errors are
communicated and corrected.
Resubmit until
file is clean.
File is error free, end process.
Expenditure Reclassification Process
Campus/Department calls regarding
expenditure posting error in GL
Documentation to support expenditure reclassification is requested from
campus/department
Submit journal entries to
Accounting Services for posting
Accounting Services scans
and files expenditure
reclassification documentation.
End of process.
Prepare journal entries to reclassify expenditure.
Director Approval?
Discuss with campus/department action necessary to correct error and
prevent future errors.
Yes
No
Notify campus/department.
End of process.
The Controller’s Job Functions Planning Organizing Directing Measuring/Reporting Financial Analysis/Modeling Process Analysis/Statistical Analysis Forecasting
Forecasting Into the Future Big numbers vs. small numbers One number vs. many numbers Multiple periods over time vs.
limited periods over short periods of time
36
Linear Correlation Two distributions are correlated
when a change in one causes a change in another
Example: People who eat lots of peas may eat less broccoli (or may eat more…)
Usually doesn’t have much effect unless significant correlation (||>0.75)
Correlation is a dependency between your Xs Correlation does not mean causality!
Correlation coefficient Always lies between -1 and 1 Measures strength of the linear relationship between two Xs
Correlation coeff < 0 Correlation coeff = 0 Correlation coeff > 0
Crystal Ball Forecasting Crystal Ball offers opportunities to quickly run Monte
Carlo Simulations in Excel to improve services Crystal Ball can be customized to do several what-if
analyses to achieve quality performance and reduce cost
Monte Carlo Simulation Computer-based “experimental” method
estimating statistical distribution of output (Y) Steps for Crystal Ball Simulation:
Assign each input (X) a value chosen “at random” from its assumed distribution
Substitute values of inputs (Xs) into the system transfer function and compute a value of output (Y)
Record value of output (Y) Repeat until enough samples of output (Y)
characterize its statistical distribution
Controller’s Functions Example Measuring/Reporting Financial Analysis/Modeling
Forecasting/Statistical Analysis
Planning
Identifying Inputs & Outputs
Sales
Fees
Subsidies
Inv. Income
Employees
Bond Holders
Vendors
Stock Holders
Cash Inflows Concentration Cash Outflows
4
Enter Historical Daily Rates into a Spreadsheet
Date TexPool5/22/01 4.3591%5/23/01 4.3115%5/24/01 4.3062%5/25/01 4.2441%5/26/01 4.2441%5/27/01 4.2441%5/28/01 4.2441%5/29/01 4.3159%5/30/01 4.3183%5/31/01 4.3691%6/1/01 4.3329%6/2/01 4.3329%6/3/01 4.3329%
Create a Line Graph Using the Information in Your
Spreadsheet
Past 90 Days of Investment Pool Rates
3.60%
3.70%
3.80%
3.90%
4.00%
4.10%
4.20%
4.30%
4.40%
4.50%
TexPool
90 Days of Rates from Three Different Sources - Example
Past 90 Days of Investment Pool Rates
3.60%
3.70%
3.80%
3.90%
4.00%
4.10%
4.20%
4.30%
4.40%
4.50%
TexPool LOGIC Lone Star
Forecast New Chart with Information
Comparison of Security vs. Trend Line
2.00%
2.50%
3.00%
3.50%
4.00%
4.50%
TexPool Security TexPool Trend
The Break Even Point
Comparison of Security vs. Trend Line
2.00%
2.50%
3.00%
3.50%
4.00%
4.50%
TexPool Security TexPool Trend
Break Even Point (~2/4/02)
See the Additional Earnings after Break Even Point
Comparison of Security vs. Trend Line
2.00%
2.50%
3.00%
3.50%
4.00%
4.50%
TexPool Security TexPool Trend
Potential Additional Earnings
Break Even Point (~2/4/02)
Actual Rates vs. Projected Rates
Performance of Security Purchased 08/24/2001(maturity of 07/18/2002)
1.5%
2.0%
2.5%
3.0%
3.5%
4.0%
Projected TexPool Rate Actual TexPool Rate Security
Actual BEP10/02/02
Projected BEP02/04/02
Example of the Model Showing Potentially Higher Earnings
Comparison of Security vs. Trend Line
0.50%
1.00%
1.50%
2.00%
2.50%
3.00%
LOGIC Security LOGIC Trend
Break Even Point (~7/1/02)(after maturity date!)
Fixed Rate Security versus BlackRock TempFund(Allied Irish C/P 3.11% Mat 6/6/08)
Dated 2/15/08
-40.00%
-20.00%
0.00%
20.00%
40.00%
60.00%
80.00%
100.00%
120.00%
Cash Flow Forecasting Ensures liquidity Enhances cash management
practices Forecasts problems
Revenues not being collected properly Expenditures exceed budget
Increase investment income Amounts available for investment Period of time to hold the investment
52
Controller’s Functions Example Developing Cash Budgets
Measuring/Reporting Financial Analysis/Modeling Forecasting Statistical Analysis Planning
Assumptions Cash flows for the current year will follow
a pattern similar to that of the previous year
All of the budgeted revenues will flow in as cash within the fiscal year
All budgeted appropriations will flow out as cash during the fiscal year
8
Fiscal Year to Date General Operating Cash Reciepts: Cash Flows In
$0
$20,000,000
$40,000,000
$60,000,000
$80,000,000
$100,000,000
$120,000,000
September October November December January February March April May June July AugustFY00-01 FY01-02 FY02-03
12
Monthly (Current) Taxes Collected
$0
$20,000,000
$40,000,000
$60,000,000
$80,000,000
$100,000,000
$120,000,000
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
FY01-02 FY02-03 FY03-04
13
Assumptions
Increase (decrease) in cash balance at the end of the year will be approximately equal to the excess (deficit) of budgeted revenues over budgeted expenditures
9
The Theory Identify an optimal allocation of Funds
Funds that need to remain short-term for upcoming disbursements
Balance that could be invested longer-term
Management of short-term funds based on cash flow analysis
Management of longer-term funds based on market conditions
10
The Process Review historical cash balances
(typically monthly data for 2-5 years)
Determine if there are any “statistically significant” seasonal changes in monthly balances
Identify any growth trends Project future balances
11
Current Year Cash Flows Use the percentages calculated
and the current budgets for revenue and expenditures to determine the cash flow for the year
Determine next year’s cash flows by multiplying percentages times next years budgeted revenues and
expenditures
28
Information Required Beginning cash balance of liquid
investments Bank Accounts Pool Accounts Money Market Accounts, etc.
Par value of outstanding investments
34
Current Year Cash Flows Using the Forecasted Excess
(Deficiency) of Cash along with the beginning cash balance and expected fixed income maturities, determine if there are any cash shortages
If there are no shortages, determine where fixed income securities could be purchased and when they should mature based on the forecast
35
DAILY CASH MGT.SPREADSHEET
Purch Sold Int. CFO CFI9/01/93 ( - ) ( + ) ( + ) ( - ) ( + )………... 8/31/94
( - ) MEANS REDUCING THE BALANCE ( + )MEANS INCREASING THE BALANCE
Weekly Cash Flow Management Spreadsheet Cash Budgets
ACTUAL CASH 93-94 RECEIPTSSEPT 93………AUG 94Week 1 2 3 4
EXPENDITURESSEPT 93………AUG 94Week 1 2 3 4
RECEIPTSSEPT 93 ………AUG 941 % % %234 % % %
EXCESS/DEFICITSEPT 93………AUG 94Week 1 2 3 4
ACTUAL
ACTUAL
ACTUAL CASH %
EXPENDITURESSEPT 93 ………AUG 941 % % %234 % % %
GRAND TOTAL 100%
GRAND TOTAL 100%
ACTUAL CASH %
SEPT……………………. AUG 951 $ $4 $
SEPT……………………. AUG 951 $ $4 $
SEPT……………………. AUG 951 $ $4 $
SEPT……………………. AUG 951 $ $4 $
FORECAST CASH Excess/Deficit
FORECASTED RECEIPTS
PROJECTED MATURING INVESTMENTS
FORECAST EXPENDITURE
=
+
-
FISCAL YEAR FISCAL YEAR
CASH MANAGEMENT PROGRAMCASH MANAGEMENT PROGRAM
21
SEPT OCT NOV DEC JAN FEBMAR APR MAY JUNE JULY AUG TOTALS
1st WK 266,309$ 734,085$ 46,783,892$ 11,367,424$ ## ### ## ### ### ##### 4,588,126$ 329,988$ 80,756,909$
2nd WK 378,548$ 2,546,418$ 46,082,768$ 7,722,074$ ## ### ## ### ### ##### 235,168$ (29,289)$ 81,999,786$
3rd WK 295,191$ 5,990,609$ (4,441,861)$ (3,888,914)$ ## ### ## ### ### ##### 893,818$ 65,342$ 16,112,265$
4th WK 29,221,470$ 32,782,345$ 4,919,827$ 5,892,337$ ## ### ## ### ### ##### (323,114)$ 274,541$ 72,053,085$
5th WK -$ 12,213,217$ 9,197,929$ 2,713,211$ ## ### ## ### ### -$ 381,110$ 385,280$ 39,728,412$
TOTAL 30,161,517$ 54,266,674$ 102,542,555$ 23,806,132$ ## ### ## ### ### ##### 5,775,109$ 1,025,862$ 290,650,457$
Actual Receipts: Cash Flows in
SEPT OCT NOV DEC JAN FEB MAR APR MAY JUNE JULY AUG TOTALS
1st WK (2,560,518)$ (3,258,080)$ (583,324)$ (3,445,460)$ ## ### #### #### ### (2,383,357)$ (5,053,501)$ (3,823,062)$ (30,335,840)$
2nd WK (2,733,047)$ (3,863,166)$ (3,597,608)$ (2,894,389)$ ## ### #### #### ### (5,771,302)$ (2,781,122)$ (1,134,775)$ (38,163,589)$
3rd WK (7,656,420)$ (2,931,160)$ (3,233,889)$ (17,408,892)$ ## ### #### #### ### (2,817,272)$ (2,477,795)$ (3,931,719)$ (71,148,373)$
4th WK (9,366,265)$ (13,988,058)$ (18,059,712)$ (2,137,946)$ ## ### #### #### ### (16,098,003)$ (16,077,359)$ (1,913,717)$ (116,971,577)$
5th WK -$ (4,714,921)$ (2,714,840)$ (1,232,514)$ ## ### #### #### ### -$ (1,897,841)$ (19,742,476)$ (73,183,692)$
TOTAL (22,316,251)$ (28,755,384)$ (28,189,373)$ (27,119,200)$ ## ### #### #### ### (27,069,934)$ (28,287,619)$ (30,545,749)$ (329,803,071)$
Actual Disbursements: Cash Flows Out
1st WK (2,294,210)$ (2,523,994)$ 46,200,568$ # # # # # (656,205)$ (465,375)$
2nd WK (2,354,499)$ (1,316,748)$ 42,485,161$ # # # # # (3,875,771)$ (2,545,954)$
3rd WK (7,361,230)$ 3,059,449$ (7,675,751)$ # # # # # (267,395)$ (1,583,977)$
4th WK 19,855,205$ 18,794,288$ (13,139,885)$ # # # # # (12,773,252)$ (16,400,472)$
5th WK -$ 7,498,296$ 6,483,089$ # # # # # -$ (1,516,731)$
TOTAL 7,845,266$ 25,511,290$ 74,353,182$ # # # # # (17,572,624)$ (22,512,509)$
Excess (Deficiency) of Actual Cash Flows:
24
SEPT OCT NOV DEC JAN FEB MAR APR MAY JUNE JULY AUG TTLS
1st WK 0.1% 0.3% 16.1% 3.9% 2.4% 1.9% 0.1% 0.6% 0.1% 0.6% 1.6% 0.1%
2nd WK 0.1% 0.9% 15.9% 2.7% 1.8% 5.3% 0.4% 0.1% 0.4% 0.7% 0.1% 0.0%
3rd WK 0.1% 2.1% -1.5% -1.3% 1.7% 2.7% 0.3% 0.1% 0.2% 0.9% 0.3% 0.0%
4th WK 10.1% 11.3% 1.7% 2.0% 0.7% -1.7% -0.8% 0.2% 0.1% 1.1% -0.1% 0.1%
5th WK 0.0% 4.2% 3.2% 0.9% 4.1% 0.3% 0.3% 0.1% 0.3% 0.0% 0.1% 0.1%
TOTAL 10.4% 18.7% 35.3% 8.2% 10.7% 8.5% 0.4% 1.1% 1.1% 3.3% 2.0% 0.4% 100%
SEPT OCT NOV DEC JAN FEB MAR APR MAY JUNE JULY AUG TTLS
1st WK 0.8% 1.0% 0.2% 1.0% 0.5% 0.4% 0.4% 1.0% 0.5% 0.7% 1.5% 1.2%
2nd WK 0.8% 1.2% 1.1% 0.9% 0.8% 0.6% 1.2% 1.3% 0.8% 1.7% 0.8% 0.3%
3rd WK 2.3% 0.9% 1.0% 5.3% 4.6% 1.5% 1.1% 1.1% 1.0% 0.9% 0.8% 1.2%
4th WK 2.8% 4.2% 5.5% 0.6% 1.5% 0.4% 0.1% 5.2% 4.7% 4.9% 4.9% 0.6%
5th WK 0.0% 1.4% 0.8% 0.4% 0.4% 5.0% 5.6% 0.5% 1.6% 0.0% 0.6% 6.0%
TOTAL 6.8% 8.7% 8.5% 8.2% 7.9% 7.8% 8.4% 9.1% 8.6% 8.2% 8.6% 9.3% 100%
% of Receipts: Cash Flows in by Week
% of Disbursements: Cash Flows out by Week
27
SEPT OCT NOVDECJANFEBMARAPRMAY JUNE JULY AUG TOTALS1st WK 272,188$ 750,291$ 47,816,702$ # # # 1,765,280$ 4,689,415$ 337,273$ 82,539,714$ 2nd WK 386,905$ 2,602,633$ 47,100,100$ # # # 1,937,378$ 240,360$ (29,935)$ 83,810,028$ 3rd WK 301,707$ 6,122,858$ (4,539,921)$ # # # 2,606,168$ 913,551$ 66,784$ 16,467,963$ 4th WK 3,908,951$ 33,506,054$ 5,028,438$ # # # 1,861,448$ (330,247)$ 280,602$ 49,953,496$ 5th WK 25,957,618$ 12,482,839$ 9,400,984$ # # # 3,244,702$ 938,524$ 19,021,353$ 91,699,023$ TOTAL 30,827,368$ 55,464,675$ 104,806,303$ # # # 11,414,976$ 6,451,603$ 19,676,076$ 324,470,223$
8/19/02 budget adoption= 324,470,223$
SEPT OCT NOV DEC JAN FEB MAR APR MAY JUNE JULY AUG TOTALS1st WK (2,696,744)$ (3,431,417)$ (614,358)$ #### #### #### #### #### #### (2,510,157)$ (5,322,360)$ (4,026,458)$ (31,949,779)$ 2nd WK (2,878,452)$ (4,068,696)$ (3,789,009)$ #### #### #### #### #### #### (6,078,349)$ (2,929,085)$ (1,195,148)$ (40,193,983)$ 3rd WK (8,063,760)$ (3,087,105)$ (3,405,940)$ #### #### #### #### #### #### (2,967,158)$ (2,609,620)$ (4,140,896)$ (74,933,637)$ 4th WK (8,996,200)$ (14,732,256)$ (19,020,532)$ #### #### #### #### #### #### (15,217,708)$ (16,932,713)$ (2,015,531)$ (137,783,419)$ 5th WK (868,373)$ (4,965,766)$ (2,859,276)$ #### #### #### #### #### #### (1,736,747)$ (1,998,811)$ (20,792,823)$ (62,488,565)$ TOTAL (23,503,529)$ (30,285,239)$ (29,689,115)$ #### #### #### #### #### #### (28,510,119)$ (29,792,588)$ (32,170,856)$ (347,349,384)$
8/19/02 budget adoption= (347,349,384)$
SEPT OCT NOVDECJANFEBMARAPRMAY JUNE JULY AUG TOTALS1st WK (2,424,556)$ (2,681,126)$ 47,202,344$ # # # (744,877)$ (632,945)$ (3,689,185)$ 50,589,935$ 2nd WK (2,491,547)$ (1,466,063)$ 43,311,091$ # # # (4,140,972)$ (2,688,725)$ (1,225,083)$ 43,616,045$ 3rd WK (7,762,053)$ 3,035,754$ (7,945,861)$ # # # (360,989)$ (1,696,069)$ (4,074,112)$ (58,465,675)$ 4th WK (5,087,249)$ 18,773,798$ (13,992,094)$ # # # (13,356,260)$ (17,262,959)$ (1,734,930)$ (87,829,923)$ 5th WK 25,089,244$ 7,517,073$ 6,541,708$ # # # 1,507,955$ (1,060,286)$ (1,771,470)$ 29,210,458$ TOTAL 7,323,839$ 25,179,436$ 75,117,188$ # # # (17,095,143)$ (23,340,985)$ (12,494,780)$ (22,879,161)$ CUM. 7,323,839$ 32,503,275$ 107,620,463$ # # # 12,956,604$ (10,384,381)$ (22,879,161)$
Forecasted Receipts: Cash Flows In
Forecasted Disbursements: Cash Flows Out
Forecasted Excess (Deficiency) of Cash:
32
To help make Investment Decisions
Short Roll vs. Going Out
Make Payroll (Do we have enough money)
Matching Maturities to Cash needs
End of Year Forecasting Determining Final Budget Amendment Or Fund Balance
7
Forecasting End of Year
Using the calculated cumulative cash flows to project end of year expenditures
68
Forecasting End of Year
ACTUAL CASH DISBURSEMENTSSEPT OCT NOV DEC JAN FEB MAR APR MAY
1st WK (2,560,518) (3,258,080) (583,324) (3,445,460) (1,739,308) (1,264,801) (1,440,536) (3,139,115) 02nd WK (2,733,047) (3,863,166) (3,597,608) (2,894,389) (2,701,507) (1,866,411) (3,863,517) (4,274,349) 03rd WK (7,656,420) (2,931,160) (3,233,889) (17,408,892) (15,057,548) (4,909,350) (3,673,036) (3,781,167) 04th WK (9,366,265) (13,988,058) (18,059,712) (2,137,946) (5,063,624) (1,274,648) (346,242) (17,138,753) 05th WK 0 (4,714,921) (2,714,840) (1,232,514) (1,366,883) (16,326,742) (18,469,228) (1,533,479) 0TOTAL (22,316,251) (28,755,384) (28,189,373) (27,119,200) (25,928,870) (25,641,951) (27,792,558) (29,866,863) 0MOV AVG (22,316,251) (25,535,818) (26,420,336) (26,595,052) (26,461,816) (26,325,172) (26,534,798) (26,951,306) (23,956,717)
69
Forecasted Ending Cash Balances(before purchase of any investments)
$ -
$ 2 0 ,0 0 0 ,0 0 0
$ 4 0 ,0 0 0 ,0 0 0
$ 6 0 ,0 0 0 ,0 0 0
$ 8 0 ,0 0 0 ,0 0 0
$ 1 0 0 ,0 0 0 ,0 0 0
$ 1 2 0 ,0 0 0 ,0 0 0
$ 1 4 0 ,0 0 0 ,0 0 0
$ 1 6 0 ,0 0 0 ,0 0 0
$ 1 8 0 ,0 0 0 ,0 0 0
$ 2 0 0 ,0 0 0 ,0 0 0
SEPT OC T N OV D EC JAN FEB MAR APR MAY JU N E JU L Y AU G
36
The Controller’s Job
Jack Welch of General Electrics Jack Welch of General Electrics once said, “If the rate of once said, “If the rate of change outside your change outside your organization is greater than organization is greater than the rate of change inside your the rate of change inside your organization, then the end is in organization, then the end is in sight.”sight.”
