Suzanne presented the financials for April:

• Revenue was slightly below the 83.3% YTD target but considered on track.
• Tuition rate determination for FY26 was discussed, with plans to update it throughout the year.

Personnel and Salary Planning:

• No new hires were expected before fiscal year-end.
• Summer salaries were accounted for in the financial plan.
• Jeff raised concerns regarding salary forecasting; Suzanne clarified the process, which incorporates actual staffing data and anticipated hiring.
• Shelly asked about potential benefit cost increases; Suzanne confirmed meetings with the benefits broker and the development of scenarios to manage potential increases without reducing staff benefits.

Budget Review and Event Planning:

• The committee reviewed the financial position through April 2025.
• Administrative costs were reported as on track.
• Instructional costs were heavily front-loaded, especially for student activities (e.g., prom and graduation).
• A discrepancy between budgeted and forecasted costs for these events was discussed. OW noted prom and graduation events cost $15,000 and $20,000 respectively.
• The committee wanted to postpone presenting the proposed budget to the full board until the next meeting to allow more detailed discussion. This also accommodates upcoming agenda items, including the 5-year renewal document and the annual report requiring board approval. 

UPDATE: the committee agreed to go ahead with presenting the proposed budget instead of waiting. 

Additional Discussion:

• SJ inquired whether other costs, such as insurance, were accounted for?
  • SG confirmed that such costs were included.
• NLC asked if any other over-budget costs were anticipated under the Administrative line?
  • SG responded that none were expected.
• NLC followed up by asking whether any major expenditures might throw off the budget before year-end?
  • SG explained that while some end-of-year activity spending would still occur, the spending was forecasted and would not exceed budget allocations. 

Student Activities Discussion:

• SG noted that the current numbers in the April forecast appeared somewhat elevated due to trips to HBCUs, Washington D.C., and the Dominican Republic (DR).

Suzanne presented key revenue and expenditure highlights of the proposed FY26 budget:

• Discussions included tuition rates, federal grants, and personnel adjustments.
• Salary costs were down due to reduced FTEs, though hiring for new roles is anticipated.
• Administrative expenses remained flat; instructional and technology expenses saw slight increases.
• Savings were realized in occupancy and communication due to improved E-rate reimbursements.

Nicholas confirmed the budget will be presented to the full board for final approval.