Exhibit 27Sample Fluctuation Analysis

Sample Fluctuation Analysis

Client / Period-end
California State University, CAMPUS NAME / June 30, 20CY

The Chancellor’s Office prefers campuses to record their fluctuation analyses in TM1 (YES). This will help in facilitating the fluctuation analysis for the consolidated financial statements.

This fluctuation analysis must adequately describe the reasons for the change in the account balances year over year and the explanations should substantially cover the amount of the change. Keep in mind that this fluctuation analysis should identify and explain all significant orunusual items and quantify those instances.

As a best practice, you should not delete references not applicable to your campus, but should mark them as N/A.This fluctuation analysis must be kept current and reflect final balances and explanations as submitted and accepted by the Chancellor’s Office and the KPMG Systemwide Team.

Statement of Net Position (SNP)

<1a> Cash and Cash Equivalents:

Total cash and cash equivalents increased $__M, or __%, from $__M as of 6/30/PY to $__M at 6/30/CY. The increase is primarily due to timing differences between cash receipts and cash payments. The timing differences were primarily related to (see examples below).

Example Explanations:

i)Additional revenue (indicate sources)

ii)Increase in unearned revenue (cash received in advance) (indicate sources)

iii)Collection of accounts receivable of (indicate sources)

iv)Movement in the cash flow statement (i.e. operating, investing, capital and noncapital financing).

<1b> Restricted Cash and Cash Equivalents:

N/A –balance fluctuation is below the dollar and percent threshold.

<2a> Short-Term Investments

Total short-term investments decreased $__M, or __%, from $__Mat 6/30/PY to $__M at 6/30/CY. The decrease is due tothe decrease in market value of the investments. The primary investments are (list specific investments).

<2b> Endowment Investments

N/A –balance fluctuation is below the dollar and percent threshold.

<2c> Other Long--Term Investments

Total other long-term investments increased $__M, or __%, from $__M at 6/30/PY to $__M at 6/30/CY. Increase is due to the amount of transfers of cash to investments as a result of improved cash inflows relating to collection of tuition and fees. Additionally, the campus received $__M from the PY issuance of Systemwide Revenue Bonds, Series 2007A for the construction of student union expansion, of which $__M was spent in the CY.

3a> State Appropriations - current:

State appropriations, current, decreased $___M, or __%, from $__M at 6/30/PY to $__M at 6/30/CY. The decrease is due to the University spending down even further as decreases have been made relating to (list what the decreases relate to).

<3b> Auxiliary Organizations - current

N/A –balance fluctuation is below the dollar and percent threshold.

<3c> Student Accounts – current

Student accounts receivable increased $__M, or __%, from $__M at 6/30/PY to $__M at 6/30/CY, primarily relating to an increase in tuition and fees of XX% and an increase in enrollment of XX%.

<3d> Government Grants and Contracts – current

Government grants and contracts receivable increased $___M, or __%, from $__M at 6/30/PY to $__M at 6/30/CY, due to a $__M receivable related to the new [name of grant] grant in FYCY.

<3e> Accounts Receivable from Chancellor’s Office – revenue bond program

N/A – this line item is no longer used.

<3f> Accounts Receivable from Chancellor’s Office – other

N/A –balance fluctuation is below the dollar and percent threshold.

<3g> Accounts Receivable from Campuses (other than CO)

N/A –balance fluctuation is below the dollar and percent threshold.

<3h>Accounts Receivable from Campuses (other than CO)(CO use only)

N/A – relates to CO only.

<3i> Interest Receivable (accrued interest) on Investments

N/A –balance fluctuation is below the dollar and percent threshold.

<3j> Accrued Interest on Lease Receivables

N/A –balance fluctuation is below the dollar and percent threshold.

<3k> Other Receivables

Other receivables increased $__M, or ___%, from $__M at 6/30/PY to $__M at 6/30/CY primarily due to the following:

  • Accrued interest on investments: $___M increase due to ______
  • Accrued interest on lease receivable: $___M increase due to new capital lease entered into in the current year with ABC auxiliary organization for the Sports Center Complex.

<3l> Allowance for Doubtful Accounts, Student Accounts

N/A –balance fluctuation is below the dollar and percent threshold.

<3m> Allowance for Doubtful Accounts, Other

N/A –balance fluctuation is below the dollar and percent threshold.

<3n> State Appropriations (noncurrent)

State appropriations, noncurrent, decreased $__, or ___%, from $__M at 6/30/PY to $__M at 6/30/CY. State appropriations, noncurrent, relates to state appropriations, capital received by the campus and the decrease in the CY is due to 1) the PY capital appropriations amounts was $XX higher than the CY capital appropriations relating to XYZ capital project and 2) the timing of payments made on state funded projects. In the CY, the XYZ project was completed, whereas in the PY the project was in process. Additionally, the CY capital appropriations project was near completion at June30, 20CY.

<3o> Auxiliary Organizations (noncurrent)

N/A –balance fluctuation is below the dollar and percent threshold.

<3p> Student Accounts (noncurrent)

N/A –balance fluctuation is below the dollar and percent threshold.

<3q> Government Grants and Contracts (noncurrent)

N/A –balance fluctuation is below the dollar and percent threshold.

<3r> Accounts Receivable from Chancellor’s Office – revenue bond program (noncurrent)

N/A –balance fluctuation is below the dollar and percent threshold.

<3s> Accounts Receivable from Chancellor’s Office – other

N/A –balance fluctuation is below the dollar and percent threshold.

<3t> Accounts Receivable from Campuses (other than CO)

N/A –balance fluctuation is below the dollar and percent threshold.

<3u> Accounts Receivable from Campuses (other than CO)(CO use only)

N/A – relates to CO only.

<3v> Interest Receivable (accrued interest) on Investments

N/A –balance fluctuation is below the dollar and percent threshold.

<3w> Accrued Interest on Lease Receivables

N/A –balance fluctuation is below the dollar and percent threshold.

<3x> Other Receivables

Other receivables increased $__, or ___%, from $__M at 6/30/PY to $__M at 6/30/CY primarily due to the following:

  • [describe]

<3y> Allowance for Doubtful Accounts, Student Accounts

N/A –balance fluctuation is below the dollar and percent threshold.

<3z> Allowance for Doubtful Accounts, Other

N/A –balance fluctuation is below the dollar and percent threshold.

<4a> and <4b> Leases Receivable (current and noncurrent):

Leases receivable, netare due from the ABC auxiliary organization related to a new $__M capital lease entered into in the prior year for the Sports Center Complex. Decrease in current year relates to principal payments being received on the lease from the auxiliary.

23a> and 23b> Notes Receivable (current and noncurrent):

Notes receivable, net are due from the ABC auxiliary organization related to a new $__M Systemwide Revenue Bond entered into the current year for housing.

<5a> and <5b> Pledges Receivable (current and noncurrent):

Total pledges receivable, net are due from the ABC organization related to a new $__M gift for athletic scholarships.

<6> Prepaid expenses and other assets:

Total prepaid expenses and other assets increased $__M, or __%, from $__M at 6/30/PY to $__M at 6/30/CY. Increase is due to the CY payment of $__M for next year’s electric billings for dorm A.

<7> Student Loans Receivable, net:

Student Loans receivable increased $__M or __% from $__M as of 6/30/PY to $__M as of 6/30/CY. The increase was due mainly to the decrease in collections of $___, from $___ during PY to $ ___ during CY. Decreased collections were the result of the current credit crises which made it more difficult for students to make payments or obtain other sources of financing.

<8> Capital Assets, net:

Capital assets, net of accumulated depreciation, increased $__M, or __%, from $__M as of 6/30/PY to $__M as of 6/30/CY. The increase is mainly due to additional expenditures incurred for construction of the following projects:

  • $__M for the expansion of the student union;
  • $__M for the purchase of 50 additional computers; and
  • $__M for the repaving of campus roads.

These expenditures were offset by depreciation expense of $__M and asset disposals of $__M.

<9> Other Assets:

N/A –balance fluctuation is below the dollar and percent threshold.

<10> Accounts Payables:

Accounts payable decreased $__M, or __%, from $__M as of 6/30/PY to $__M as of 6/30/CY.The decrease is primarily due to 1) Unrestricted $__M payable to CO for amount paid to DCF from CO agency CERF rather than campus CERF and 2) $__M decrease in construction expenditures primarily related to the Science Building which was completed in the prior year.Also, timing of payments is a cause for the fluctuation.

<11> Accrued Salaries and Benefits:

Accrued salaries and benefits increased $__M, or __%, from $__M as of 6/30/PY to $__M as of 6/30/CY. The increase is primarily a result of an increase in staff headcount of __% as well as merit increases of __% during the year.

<12a> and <12b> Accrued Compensated Absences (current and noncurrent):

Accrued compensated absences, noncurrent, increased $__M, or __%, from $__M as of 6/30/PY to $__M as of 6/30/CY. The net increase in these accounts is primarily a result of an increase in staff headcount of __% as well as merit increases of __% during the year. Accrued compensated absences, current, decreased $__M, or __%, from $__M as of 6/30/PY to $__M as of 6/30/CY. The decrease in the current balance resulted from fewer employees using vacation in the CY than in prior years. The University calculates their current portion of accrued compensated absences based on historical usage.

<13a> and <13b> Unearned Revenue (current and noncurrent):

Unearned revenue, current,increased $__M, or __%, from $__M as of 6/30/PY to $__M as of 6/30/CY. The increase was primarily the result of $__M increase in the housing and tuition fees received in cash during May and June for the Fall semester. Additionally, tuition fees and enrollment increased by __% and __%, respectively, contributing to the increase.Unearned revenue, noncurrent decreased $__M, or __%, from $__M as of 6/30/PY to $__M as of 6/30/CY. This decrease primarily relates to government grant revenue received in advance on the ABC grant that was expended and therefore recognized in the CY.

<14a> and <14b> Capitalized Lease Obligations(current and noncurrent):

Capitalized leases, net, decreased $__M, or __%, from $__M as of 6/30/PY to $__M as of 6/30/CY. The decrease is primarily a result of principal payments made throughout the year coupled with no new capital lease financing obtained.

<15a> and <15b> Long-Term Debt (current and noncurrent):

Long-term debt primarily includes debt incurred on behalf of the University by the Chancellor’s Office in the form of Systemwide Revenue Bonds (pass-down debt) Long-term debt increased $__M, or __%, from $__M as of 6/30/PY to $__M as of 6/30/CY. This increase was primarily the result of the issuance of Systemwide Revenue Bonds, Series _ in the amount of $___M for the construction of student union expansion, which was partially offset by principal payments on the Student Union Revenue Bonds of $___ in the current year.

<16a> and <16b> Self-Insurance Claims Liability (current and noncurrent):

The self-insurance claims liability was $__M at year-endand is consistent with the pass-down allocation entry from the CO.

<17a> and <17b> Other Liabilities (current and noncurrent):

Other liabilities decreased $__M, or __%, from $__M as of 6/30/PY to $__M as of 6/30/CY. The decrease is due toa reduction in interest payable from payoff/refunding of existing debt of XYZ.

<18> Grants Refundable:

N/A –balance fluctuation is below the dollar and percent threshold.

<19> Noncurrent Depository Account:

N/A –balance fluctuation is below the dollar and percent threshold.

<19a> Current Depository Accounts:

N/A –balance fluctuation is below the dollar and percent threshold.

<20> Net Investment in Capital Assets:

Net Investment in Capital Assets increased $___M, or ___% from $___ M as of 06/30/PY to $___ M as of 06/30/CY. The increase is primarily due to the payment of related outstanding debt offset by the decrease in unspent proceeds during the year due to the nearly completed Science Building.

<21a> Restricted Nonexpendable – Endowments:

N/A –balance fluctuation is below the dollar and percent threshold.

<21b> Restricted Expendable – Scholarships and Fellowships

N/A –balance fluctuation is below the dollar and percent threshold.

<21c> Restricted Expendable – Research

N/A –balance fluctuation is below the dollar and percent threshold.

<21d> Restricted Expendable – Loans

N/A –balance fluctuation is below the dollar and percent threshold.

<21e> Restricted Expendable – Capital Projects

Capital projects net position decreased $___M, or ___% from $___ M as of 06/30/PY to $___ M as of 06/30/CY. The decrease was the result of additions to capital assets of $__ M, offset by both current year depreciation of $__M and increased capital related debt of $__M.

<21f> Restricted Expendable – Debt Service

N/A –balance fluctuation is below the dollar and percent threshold.

<21g> Restricted Expendable – Other

N/A –balance fluctuation is below the dollar and percent threshold.

<22> Unrestricted:

Unrestricted net position increased $__M, or __%, from $__M as of 6/30/PY to $__M as of 6/30/CY. This is primarily related to the increases in student tuition and fees.

<23a> and <23b> Notes Receivable:

N/A –balance fluctuation is below the dollar and percent threshold.

<24> Other Postemployment Benefits Obligation:

N/A –balance fluctuation is below the dollar and percent threshold.

Statement of Revenues, Expenses and Changes in Net Position (SRECNP)

<1a> Student tuition and fees, gross:

Student tuition and fees, gross,increased $__M, or __%, from $__M for the year ended 06/30/PY to $__Mfor the year ended 06/30/CY. The increase was primarily the result of a ___% increase in fees charged by the University and an increase in enrollment of __%.

<1b> Scholarship Allowances

N/A –balance fluctuation is below the dollar and percent threshold.

<2> Federal Grants and Contracts, Noncapital:

Federalgrants and contracts increased $__M, or __%, from $__M for the year ended 06/30/PY to $__M for the year ended 06/30/CY. The increase was primarily the result ofa $__M increase in student financial aid related grants, primarily, the ABC grant, in the amount of $__M.

<3> State Grants and Contracts, Noncapital:

State grants and contracts increased $__M, or __%, from $__M for the year ended 06/30/PY to $__M for the year ended 06/30/CY. The increase was primarily the result of a $__M increase in California Grant allocation.

<4> Local Grants and Contracts, Noncapital:

N/A –balance fluctuation is below the dollar and percent threshold.

<5> Nongovernmental Grants and Contracts, Noncapital:

N/A –balance fluctuation is below the dollar and percent threshold.

<6> Sales and Services of Educational Activities:

N/A –balance fluctuation is below the dollar and percent threshold.

<7> Sales and Services of Auxiliary Enterprises, net of Scholarship Allowances:

Sales and services of auxiliary enterprises, net of scholarship allowances,increased$__M, or __%, from $__M for the year ended 6/30/PY to $__Mfor the year ended 6/30/CY. The increase was primarily the result of a $__M increase in housing revenue due to room rental rate increases of __%, the addition of student apartments, housing approximately __ students at an average rate of $___, and an increase in the number of students utilizing campus housing of approximately __%.Additionally, there was approximately $___ increase in parking revenues due to a parking permit fee increase of ____% in the CY.

<8> Other –Operating Revenues:

Other operating revenues increased $__M, or __%, from $__M for the year ended 6/30/PY to $__M for the year ended 6/30/CY. This increase was primarily due to a $__M increase in childcare center revenue due to a ___% increase in the number of children. Additionally, there was an increase of approximately $___ attributable to insurance claims received for the floods that occurred during the year.

<9> Instruction:

Instruction increased $__M, or __%, from $__M for the year ended 06/30/PY to $__M for the year ended 06/30/CY. The increase is a result of salary increases for faculty of __% and an increase in instructors of __% due to increased student enrollment.

<10> Research:

Research increased $__M, or __%, from $__M for the year ended 06/30/PY to $__M for the year ended 06/30/CY. The increase is a result of an increase in grants from XYZ Foundation (see also corresponding note on increase in grants and contracts revenues).

<11> Public Service:

Public service decreased $__M, or __%, from $__M for the year ended 06/30/PY to $__M for the year ended 06/30/CY. The decrease is a result of a __% cut in expenditures (primarily supplies and services of $__) to fund salary increases of __%.

<12> Academic Support:

Academic support increased $__M, or __%, from $__M for the year ended 06/30/PY to $__M for the year ended 06/30/CY. The increase is a result of salary increases of __% and one time bonuses of $___ to the ____department.

<13> Student Services:

Student services increased $__M, or __%, from $__M for the year ended 06/30/PY to $__M for the year ended 06/30/CY. The increase is a result of the increase state work study program portion charges of $ ____.

<14> Institutional Support:

Institutional support decreased $__M, or __%, from $__M for the year ended 06/30/PY to $__M for the year ended 06/30/CY. The decrease is a result of a __% cut in expenditures (primarily supplies and services of $__) to fund salary increases of __%.

<15> Operation and Maintenance of Plant

Operation and maintenance of plant increased $__M, or __%, from $__M for the year ended 06/30/PY to $__M for the year ended 06/30/CY. The increase is a result of expenditures of $__M relating to painting campus buildings, $__M to replace parking meters, and $__M to replace furnishings in the student housing. During the CY, a significant event (flood, earthquake, fire) occurred and $___ was spent to rectify the problem so as not to impact instruction and services at the campus.

<16> Student Grants and Scholarships:

Student grants and scholarships increased $__M, or __%, from $__M for the year ended 06/30/PY to $__M for the year ended 06/30/CY. The increase is a result of $__M in increased funding from California Grants (ABC grant) for $____.

<17> Auxiliary Enterprise Expenses:

Auxiliary enterprise expense increased $__M, or __%, from $__M for the year ended 06/30/PY to $__M for the year ended 06/30/CY. The increase is a result of salary increases of __%, ___ additional resident assistants, ___additional public safety officers, and supplies and services increases as a result of increased student housing enrollment (see note above re sales and services of auxiliary enterprises).

<18> Depreciation and amortization:

Depreciation and amortization increased $__M, or __%, from $__M for the year ended 06/30/PY to $__M for the year ended 06/30/CY. The increase is a result of the completion of student housing in the current year of $__M, resulting in additional depreciation of $__over the prior year.

<19> State appropriations -noncapital:

State appropriations noncapital increased $__M, or __%, from $__M for the year ended 06/30/PY to $__M for the year ended 06/30/CY. The increase was primarily the result of an increase in the allocation from the state budget in the current year. In addition, it should be noted that last year, there was a significant reduction in this account due to the requested State refund of which the Campus was allocated to return $____M .

<20> Gifts, noncapital:

N/A –balance fluctuation is below the dollar and percent threshold.

<21> Investment Income, net:

Investment income increased $__M, or __%, from $__M for the year ended 6/30/PY to $__M for the year ended 6/30/CY. This increase primarily relates to interest received from _____bank and _____ bank due to the change in the investment strategy/investment portfolio from money market funds to a riskier mix of securities.

<22> Endowment Income:

N/A –balance fluctuation is below the dollar and percent threshold.

<23> Interest on capital-related debt:

N/A –balance fluctuation is below the dollar and percent threshold.