Most of LCC's budget is based on enrollment. Enrollment is calculated by FTE (Full Time Equivalent) units. There are different types of FTE, but most fall into the "state" or "contract" categories.
State FTE makes up the largest category. State FTE is calculated on both a quarterly and annual basis. Quarterly FTE is calculated by summing all enrolled credits for the term and dividing by 15. Annual FTE is calculated by summing all enrolled credits for the year and dividing by 45.
Our state FTE target is set by the State Board for Community and Technical Colleges, and typically changes each year. The target is based on a three-year rolling average, so how much FTE we accrue now impacts what our budget will be down the road.The more we strive to increase our FTE counts, the better our funding prospects look in the future!
We continue to generate revenue when we exceed our state FTE target. In fact, it is imperative that we continue to do so in order to avoid a budget-cut scenario.
Contract FTE makes up most of the rest of our FTE accrual. Running Start, CEO and International Students all belong to the category of contract FTE. Contract FTE is a significant part of our overall budget and enrollment strategy.