Mr. Edwards stated that student tuition and fees, residence halls and dining revenue are less than the prior year due to a decrease in enrollment and dining expenses are up over this time last year, which is unexpected given our reduction in student enrollment. He stated that we had paid Aramark $254K at this point last year and we have paid Perkins $368K up to this point this year which is due to contractual differences. The University pays an advance of 14 days of estimated charges at the beginning of each semester. Those funds are used by Perkins to make purchases and stage operations for the beginning of each semester.
Assistant Vice President Edwards stated investment income was much lower than this time last year and was a reflection of unrealized losses as a result in shifts in market values of KSU's currently held investments. Mr. Edwards stated that interest on capital asset-related debt will need to be changed by $265K due to an incorrect presentation of a year-ending adjusting entry for compensated absences. While the entry was acceptable, the effect was presented on the incorrect financial statement line. This should have been shown in Institutional Support in the expenses section and not in this line. This will be corrected.
Motion for adjournment of the Business Affairs and Audit Committees discussion was made by Regent Henry. The discussion adjourned at 1:45 pm.
Submitted by: ___ Approved by: ___
Gregory Rush, Vice President of Business Affairs Regent LaVaughn Henry and Regent Mindy Barfield, Chairpersons Business Affairs and Audit Committees
Approved with no corrections Approved with corrections
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