Lane Community College shall maintain an “unrestricted” General Fund Ending Fund Balance equal to approximately 5% of total budgeted expenditures.  This amount shall be considered a “target” and the target range may fluctuate up to 1% above or below the target from year to year depending on financial conditions and the needs of the college. 

The Ending Fund Balance target shall include the Unappropriated Ending Fund Balance (UEFB) as set by Board policy (A.040).  When the Ending Fund Balance falls to 4% or less the college shall adopt a plan to replenish the Ending Fund Balance to 5% within two years.  When the Ending Fund Balance exceeds 6%, the excess shall be set aside for investment in one-time expenditures.

If the total Ending Fund Balance (including restricted) falls to levels that require short-term borrowing, the levels set by this policy shall be automatically reviewed and adjusted as necessary