2017/18 2nd Interim Budget Black Oak Mine Unified School District - - PowerPoint PPT Presentation
2017/18 2nd Interim Budget Black Oak Mine Unified School District Board of Trustees Bill Drescher, President Darcy Knight Joe Scroggins Ronnie Ebitson Jeff Burch Superintendent Jeremy Meyers Key Slides 13 17 3 7 8 9 10 14 18 19
Black Oak Mine Unified School District
Board of Trustees Bill Drescher, President Darcy Knight Joe Scroggins Ronnie Ebitson Jeff Burch Superintendent Jeremy Meyers
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The State requires School Boards to adopt district budgets by June 30th of each year
After the adoption of the State budget schools are required under Education Code 42127(i)(4) to update district budgets with any significant changes within 45 days
Two interim reports are taken to the board for approval each year.
Books are closed in July-August and taken to the Board for approval in September as “Unaudited Actuals”
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Not later than 45 days after the Governor signs the annual Budget Act, the school district shall make available for public review any revisions in revenues and expenditures that it has made to its budget to reflect the funding made available by the Budget Act. (EC 42127 (i) (4))
. JULY 1st-Adopted Budget -or-
The 1st Interim report will be presented at the public board meeting in December of each year. This report will include any changes made to the budget since the budget adoption in June, including those reported 45 days after the Governor signed the annual Budget Act.
. DECEMBER – 1st Interim Budget
The 2nd Interim report will be presented at the public board meeting in March of each year. This report will include any changes made to the budget since the 1st Interim report was presented in December.
. MARCH – 2nd Interim Budget
No later than June 1, each school district with a qualified or negative certification for the second interim report must provide financial statement projections of the district’s fund and cash balances through June 30 for the period ending April 30 to the county superintendent, the Controller, and the SPI.
. JUNE 1ST – 3rd Interim Budget (Qualified or Negative Certified Districts Only) –
The Unaudited Actuals report will be presented at the public board meeting in September of each
and expenditures of the district for the budget year.
. SEPTEMBER – Unaudited Actuals 2
BOMUSD Administration Recommendation: Positive
Three Choices
fiscal years
years
subsequent year
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There are many unpredictable factors that affect revenue and expenditures. Because of that, the District bases its budget on assumptions. This is the best information available at the time the budget is adopted. The adopted budget, therefore, should be considered a “financial snapshot” on the date it is approved. As variables change, formal adjustments, approved by the board, are made throughout the course of the year.
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The Original 8 year implementation phase – Transition Entitlement
receive an LCFF Transition Entitlement.
adjusted for changes in student population, and the amount of funding the LEA would receive under the LCFF model at full implementation.
The fully funded phase – Target Entitlement
There are two distinct phases of LCFF:
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(ADA)
Impact of declining enrollment on LCFF funding: 2017/18 – a loss of about $251,000 2018/19 – a loss of about $171,000 2019/20 – a loss of about $238,000
1,847 1,740 1,639 1,465 1,402 1,273 1,157 1,103 1,125 1,072 1,046 1,015 1,019 1805 1,668 1,557 1,386 1,326 1,214 1,111 1,071 1,059 1,014 997 965 968 200 400 600 800 1,000 1,200 1,400 1,600 1,800 2,000 2007/08 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 2016/17 2017/18 est 2018/19 est 2019/20 est
ENROLLMENT & ADA (EXCLUDES CHARTER)
Enrollment (CBEDS)
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Four Main Assumptions to Project LCFF Income
District
(decrease of 30 students)
= 1035
(a decrease of 38 students)
Charter
(increase of 9 students)
= 182
(an increase of 5 students)
ATTENDANCE ANNUAL COLA
UNDUPLICATED %
GAP %
2017-18 = 1.56% Funded 2% below target Based on Free-Reduced Priced meal Students, Foster Youth and Englis h Learners 2017-18= 45.34% The Difference between where we are currently funded and our Target 2017-18 = 44.97%
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13-14 ACTUALS 14-15 ACTUALS 15-16 ACTUALS 16-17 ACTUAL 17-18 ESTIMATE District LCFF ADA P-2 1,123 1,082 1,074 1,033 1,015 District LCFF ADA (funded) 1,214 1,123 1,082 1,073 1,035 Loss in funded ADA (83) (41) (9) (38) Loss in funded ADA (NSS-Otter Creek) (7) Total Loss in funded ADA (90) (41) (9) (38) Prior Year Total LCFF $8,830,739 $8,869,362 $9,347,980 $9,623,667 ADA loss in $'s ($469,543) ($258,836) ($61,849) ($251,152) ADA loss (NSS-Otter Creek) in $'s ($116,365) $0 $0 $0 TOTAL FLOOR $8,522,663 $8,244,831 $8,610,526 $9,286,131 $9,372,515 GAP FUNDING $308,076 $624,531 $737,454 $337,536 $150,213 TOTAL LCFF FUNDING $8,830,739 $8,869,362 $9,347,980 $9,623,667 $9,522,728 Total LCFF Funding Loss due to ADA Loss
line 8 + 9
($585,908) ($258,836) ($61,849) ($251,152) Total LCFF GAP Funding
line 11
$624,531 $737,454 $337,536 $150,213 Variance between GAP & ADA Loss in $'s
line 15 - 16
$38,623 $478,618 $275,687 ($100,939)
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17-18 ESTIMATE 18-19 ESTIMATE 19-20 ESTIMATE 20-21 ESTIMATE District LCFF ADA P-2 1,015 980 982 965 District LCFF ADA (funded) 1,035 1,015 982 979 Loss in funded ADA (38) (20) (33) (3) Loss in funded ADA (NSS-Otter Creek) Total Loss in funded ADA (38) (20) (33) (3) Prior Year Total LCFF $9,623,667 $9,522,728 $9,746,994 $9,732,269 ADA loss in $'s ($251,152) ($171,384) ($238,059) ($17,246) ADA loss (NSS-Otter Creek) in $'s $0 $0 $0 $0 TOTAL FLOOR $9,372,515 $9,351,344 $9,508,935 $9,715,023 GAP FUNDING/COLA FUNDING $150,213 $395,650 $223,334 $255,639 TOTAL LCFF FUNDING $9,522,728 $9,746,994 $9,732,269 $9,970,662
Increase of 5 Students in 2018-19 $0 $43,060 $44,260 Increase of 10 Students in 2018-19 $0 $86,120 $88,521 Increase of 15 Students in 2018-19 $0 $129,181 $132,781 Increase of 20 Students in 2018-19 $0 $172,241 $177,041
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Can be used for any school related expense.
UNRESTRICTED INCOME RESTRICTED INCOME AKA Categoricals
Expenditures must follow the specific guidelines of the grant or entitlement. Grants and Entitlements are often referred to as “Categoricals”
Title II, Workability
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BY MAJOR CATEGORIES UNRESTRICTED INCOME $10.2 M RESTRICTED INCOME $1.6 M
(92%) LCFF = $9.5M (0%) Federal Revenue (3%) Other State Revenue = $345K (4%) Other Local Revenue = $4421K (31%) Federal Revenue = $481K, 31% (31%) Other State Revenue = $483K, 31% (38%) Other Local Revenue = $589K, 38%
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Since First Interim Budget LCFF Income - $30,000 Increase
1.8% increase in projected GAP plus 2.0 increase in Special Ed COE students
Federal Income – $6,000 Decrease
MAA adjustment for backcasting ($12k) Medi-Cal cash basis receipt of $6k Title IA entitlement change of $4k
2017-18 1st Interim 2017-18 2nd Interim Variance
Unrestricted Restricted Total Unrestricted Restricted Total Unrestricted Variance Restricted V ariance Total Varia nce Revenue Detail Local Control Funding Formula 9,424,891
9,454,780
29,889
Federal Revenue 17,282 474,796 492,078 4,550 481,377 485,927 (12,732) 6,581 (6,151)
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Since First Interim Budget Other State- $28,000 Decrease
Lottery prior year adjustment of $10k STRS on Behalf adjustment ($38k)
Other Local– $16,000 Increase
Student Account Changes on a Cash basis $14k
2017-18 1st Interim 2017-18 2nd Interim Variance
Unrestricted Restricted Total Unrestricted Restricted Total Unrestricted Variance Restricted V ariance Total Varia nce Revenue Detail Other State Revenue 340,571 516,020 856,591 345,242 483,798 829,040 4,671 (32,222) (27,551) Other Local Revenue 416,116 578,319 994,435 420,639 589,422 1,010,061 4,523 11,103 15,626
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BY MAJOR CATEGORIES UNRESTRICTED EXPENSE $8.8 M RESTRICTED EXPENSE $3.1 M
(86%) Salaries & …
(5%) Supplies = $447K, 5% (9%) Contract Services, Other Expenses = $749K, 9% (61%) Salaries & Benefits = $1.9M, 61% (11%) Supplies = $336K, 11% (28%) Contract Services, Other Expenses = $876K,
28%
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Since First Interim Budget Certificated Salaries - $71,000 Increase
BOMTA Settlement Costs
Classified Salaries - $9,000 Increase
Settlement Costs
Employee Beneftis - $10,000 Decrease
STRS on-behalf update ($38k) Settlement Changes $19k
2017-18 1st Interim 2017-18 2nd Interim Variance
Unrestricted Restricted Total Unrestricted Restricted Total Unrestricted Variance Restricted V ariance Total Varia nce Expenditure Detail Certificated 3,744,123 492,114 4,236,237 3,782,245 525,280 4,307,525 38,122 33,166 71,288 Classified 1,673,551 621,220 2,294,771 1,683,523 620,344 2,303,867 9,972 (876) 9,096 Employee benefits 2,075,234 780,754 2,855,988 2,095,448 750,996 2,846,444 20,214 (29,758) (9,544)
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Since First Interim Budget Books & Supplies - $57,000 Increase
Prior Lottery Adjustment added $10k Student accounts on a cash basis $7k Re-classes from Equipment and Services $40k
Services, Other Operating costs- $146,000 Decrease
Legal ($45k) Special Ed NPS & Shared Costs ($25k) Utility ($23k) Educator Effectiveness ($18k) Re-classes from Equipment and Supplies ($47k)
2017-18 1st Interim 2017-18 2nd Interim Variance
Unrestricted Restricted Total Unrestricted Restricted Total Unrestricted Variance Restricted V ariance Total Varia nce Expenditure Detail Books & Supplies 446,699 275,560 722,259 443,136 336,062 779,198 (3,563) 60,503 56,939 Service, Other Operating Costs 769,509 540,990 1,310,499 684,941 479,968 1,164,909 (84,568) (61,022) (145,590)
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Since First Interim Budget Capital Outlay- $64,000 Decrease
Microsoft Ed Tech re-classed to supplies ($24k) E-Rate deferred to 2018-19 ($31k) CTEIG re-classed to supplies ($9k)
Other Outgo - $41,000 Decrease
Decrease in COE transfers ($37k) Decrease in CSROP transfer ($5k)
2017-18 1st Interim 2017-18 2nd Interim Variance
Unrestricted Restricted Total Unrestricted Restricted Total Unrestricted Variance Restricted V ariance Total Varia nce Expenditure Detail Capital Outlay 56,250 142,405 198,655 25,250 109,768 135,018 (31,000) (32,637) (63,637) Other Outgo 156,233 233,061 389,294 172,718 175,218 347,936 16,485 (57,843) (41,358) Transfers of Direct Support/Indirect Cost s (133,455) 110,786 (22,669) (133,527) 110,858 (22,669) (72) 72
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Non Self Supporting Programs
BOMUSD contributes General Funds, either by mandate or by operational necessity to a variety of programs. $192k Transportation $363k Routine Restricted Maintenance $5k. Special Education-Workability $950k Special Education-General Education Support $5k. Special Education- Mental Health 20
Black Oak Mine Unified School District
GENERAL FUND
Comparison of 2017-18 First Interim to 2017-18 Second Interim Budget
2017-2018
a b c d e f g (e - b) (f - c) (g - d)
2017-18 1st Interim 2017-18 2nd Interim Variance
Unrestricted Restricted Total Unrestricted Restricted Total Unrestricted V ariance Restricted V ariance Total Varian ce BEGINNING BALANCE 1,741,080 272,842 2,013,923 1,741,080 272,842 2,013,923
8,790,796 2,981,804 11,772,600 8,893,005 2,891,408 11,784,413 102,209 (90,396) 11,813 TOTAL EXPENDITURES 8,825,475 3,196,890 12,022,365 8,782,569 3,108,494 11,891,063 (42,906) (88,396) (131,302) NET INCREASE/DECREASE TO FUND BALA NCE (34,679) (215,086) (249,765) 110,436 (217,087) (106,651) 145,115 (2,000) 143,115
1,706,401 57,756 1,764,157 1,851,516 55,756 1,907,272 145,115 (2,000) 143,115
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anticipated expenditures without significant disruption to educational programs.
significant one-time outlays such as disasters, lawsuits, or material audit findings.
cost of borrowing cash.
enrollment.
fixed and statutory costs. (example – STRS increases)
resources as priorities set through the LCAP process change.
as information technology upgrades or deferred maintenance.
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program in an unpredictable operating environment.
the equivalent of 2 months of operating expenditures
time expenses, not on-going. Most of BOMUSD expenses are on-going.
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Note: The reserves are all unrestricted reserves, including any assigned 2016-17 Average Unrestricted General Fund, Plus Fund 17; Net Ending Balances as a Percentage of Total General Fund Expenditures, Transfers, and Other Uses High School Districts 17.25% Elementary School Districts 21.07% Unified School Districts 16.64% Black Oak Mine Unified 14.45%
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Projections for income assume same lev el of income with the following major changes: LCFF – GAP Funding increase 2018/19 = $396k 2019/20 = $223k LCFF – Loss due to declining enrollment 2018/19 = ($171k) 2018/19 = ($238k) Decreased One-Time or Temporary Grant Income received in 17/18 MAA, Medi-Cal both years CTEIG, PIP, DFD, COE Direct Services in 2019-20
INCOME EXPENSE
Projections assume the same level
wing major changes: STEP/COLUMN 2018/19 = $84k increase 2019/20 = $84k increase STRS/PERS RATE INCREASES 2018/19 = $134k increase 2019/20 = $150k increase
(details on pages 160-166 in 2nd Interim Budget Packet)
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per Education Code Sections 22901.7 & 22950.5
2017-18 2018-19 2019-20 2020-21
.
14.43%
.
16.28% 18.13%
.
19.1%
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2017-18 2018-19 2019-20 2020-21 2021-22
15.53%
.
17.7%
.
20% 22.7% 23.7%
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2017/18 @ 2nd Interim
BEGINNING FUND BALANCE 2,013,922 $ 1,907,273 $ 2,101,197 $ TOTAL REVENUE 11,784,414 $ 11,994,105 $ 11,357,792 $ NEW ACTION
TOTAL EXPENDITURES 11,891,063 $ 11,800,181 $ 12,100,157 $ NET INC(DECREASE) (106,649) 193,924 (742,365) ENDING FUND BALANCE 1,907,273 $ 2,101,197 $ 1,358,831 $ COMPONENTS OF ENDING FUND BALANCE Revolving Cash 2,230 $ 2,230 $ 2,230 $ Restricted 55,757 $ 15,701 $ 14,568 $ Unspent IMFRP 124,116 $ 100,882 $ 77,598 $ Other District Priorities 449,646 $ 1,031,871 $ 614,683 $ Future Erate Projects 31,000 $ CSEA Settlements 33,558 $ 44,744 $ 44,744 $ PERS/STRS Increases 264,476 $ 130,873 $
Reserve for Declining Enrollment 351,936 $ 184,886 $
Subtotal of Components 1,312,719 $ 1,511,187 $ 753,823 $ Reserve for Economic Uncertainty 594,554 $ 590,010 $ 605,009 $ Reserve for Economic Uncertainty as a Percentage of Expenditures 5% 5% 5% 2017-18 2018-19 2019-20
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The district continues to face challenges dealing with the fiscal implications
district’s Economic Uncertainty Reserve will be mandated at 4%. In order to stay at POSITIVE certification, the district must show that it can meet its minimum required state economic reserve for uncertainty in the current year and the two subsequent years. The levels of change in the budget is recommended: 2018/19 = ($450,000) on-going
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Volatility of State Revenues Uncertainty how federal tax law
changes will affect state revenues
Economic slow down inevitable
with potential deferrals, cash-flow and borrowing. State
Continuing changes with SELPA
(moving more expenses to the district
EDCOE Service rates and
reimbursements
Continuing decline in ADA.
Local
Federal Budget Reauthorizations
have been temporary fixes.
Changes in Every Child Succeeds
Compliance Federal 32
Budget Priorities:
Continually Strive for Academic Achievement Minimize layoffs where possible Balance a comprehensive program at the junior/senior high school level Maintain a budget reserve at the level required by the State and the Board
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Black Oak Mine USD continues to face many challenges
Declining Enrollment Approaching funded LCFF Step & Column Increasing Pension Costs Self Identity 34
District Contribution HS Skiing/Snowboarding (COED) $0
3 Males 1 Female
HS Swim (COED) $0
3 Females
JHS/HS Cheer $45.27 per/$1,087 total
24 Females 36
District Contribution JHS Track (COED) $72.49 per/$2,392 total
33 Participants
JHS Wrestling-(COED) $107.3 per/$4,829 total
45 Males 0 Females
JHS-Cross Country (COED) $160.88 per/$2,413 total
15 Males 0 Females 37
District Contribution JHS Volleyball-Boys $163.47 per/$3,269 total
20 participants
HS Track (COED) $167.6 per/$9,553 total
28 Males 29 Females
JH Volleyball-Girls $169.32 per/$3,386
20 participants 38
District Contribution JHS Basketball-Boys $201.35 per/$4,027 total
20 Males
JHS Basketball-Girls $224.48 per/$4,490 total
20 Females
HS Soccer-Girls $286.61 per/$7,738.41 total
27 Females 39
District Contribution HS Wrestling (COED) $339.69 per/$5,095 total
11 Males 4 Females
HS Football $393.64 per/$20,470 total
52 Males
HS Baseball $403.48 per/$6,859 total
17 Males 40
District Contribution HS Soccer-Boys $441.82 per/$6,185 total
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HS Cross Country (COED) $454.31 per/$6,360.37 total
14 Males 0 Females
HS-Golf (COED) $486.59 per/$3,406.13 total
5 Males 2 Females 41
District Contribution HS Basketball-Boys
$513.94 per/$11,820.62 total
23 Males
HS Softball-Girls $553.19 per/$7,191.42 total
20 Females
HS Basketball-Girls
$587.62 per/$11,752.34 total
21 Females 42
District Contribution HS Tennis (COED) $648.69 per/$4,540.83 total
4 Males 3 Females
HS Volleyball-Girls
$653.97 per/$14,387.37 total
22 Females
HS Volleyball-Boys $683.37 per/$11,617.24
17 Males 43
NOTE: $38k of unallocated costs…this includes Athletic Director and associated costs, collected transportation fees, and costs that were unable to attribute to any particular sport 44