Attributes large reserve to “sound fiscal management;” may need to explain at May tax rate hearing if some of the reserve funds can be used to reduce tax rate increase being proposed to add to County taxpayers’ primary taxes
Yavapai Community College reported to the District Governing Board at its April 11 meeting that it now has cash reserves of $32.3 million. These reserves have been accumulated, according to the Community College, through “sound fiscal management.”
There may be questions put to the College and Governing Board about these reserves at the May public hearing where it is anticipated the College will ask for a 5% County primary tax rate increase.
The College maintains cash reserves in accordance with a policy set by the District Governing Board. Currently, the Board requirements have set plant fund reserves at eight percent while the remaining funds are set at 17 percent. As the data from the Community College’s graphs (see below) presented to the Governing Board at the Board meeting April 11 show, the current $32.3 million is well above the minimum reserves required by Governing Board policy.
