Regent Dukes moved to approve today's agenda. Regent Hatchett seconded the motion.

Projecting revenue of $34.7 million. Currently at $18.3 million now. Projecting will be a little below budget at $33.4 due to the increased investment they have made in scholarships and waivers to assist students with their tuition.

Also trying to align payroll to the original budget.

Also paying attention to trends in terms of expenses and contracts that were renewed.

Projecting deficit of $728,000 in the EMG budget.

Will come back with an amended budget in January or at the next meeting that will include a reduction whenever possible in operational expenditures.

Regent Hatchett commented on the blank spaces in the report and the inadequate attention to uncollected student debt.

Regent Hatchett also commented on being behind last year in net student tuition and fees collection. Collected 57.1% last year and is at 48.1% this year.

Dr. Bigard discussed the updates on the items that Regent Hatchett referred to as blanks.

There was a discussion between Regent Hatchett and Dr. Bigard on the issue of uncollected student debt.

Regent Moyer discussed the example used by healthcare for projected bad debt.

Regent Moyer inquired on the relationship between bad debt and the scholarship account.

Dr. Bigard discussed the three categories of scholarships, discounts and waivers for fees. She also discussed endowment scholarships.

Regent Moyer commented on generally accepted accounting principles.

Regent Dukes commented that this is the most reliable set of numbers that they have seen in a while and they are trying to make sure they have full transparency.

Dr. Bigard responded that they are working on the cash flow because that is where they are seeing impact of the budget activities.

Regent Moyer commented that he has confidence that they are making good progress on their financial reporting.

Regent Hatchett and Regent Moyer asked questions about the endowment and