5/14/2018 Attachment 2 FY2019 FY2019 Austin Independent School - - PDF document

5/14/2018 1 Austin Independent School District RECOMMENDED BUDGET FY2019 FY2019

Nicole Conley Johnson, Chief Business and Operations Officer David Edgar, Exec. Dir. Of Finance Travis Zander, Dir. Of Budget and Planning

May 21, 2018

FY2019 Recommended Budget Overview of Expenditures by Fund

(in millions)

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*Amended Budget as of April 23, 2018

Fund FY2018 Amended* FY2019 Recommended $ Change % Change

(in Millions) (in Millions) (in Millions)

General Fund

$1,332.4 $1,444.1 $111.7 8.4%

Food Service

$39.9 $41.0 $1.1 2.6%

Debt Service

$135.8 $128.2 ($7.6) (5.6%)

Total

$1,508.2 $1,613.3 $105.2 7.0% Less Recapture $546.0 $669.6 $123.6 22.6% Total Operating Expenditures $962.1 $943.7 ($18.4) (1.9%)

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General Fund (Operating Expenses) 48% Debt Service 8% Food Service 3% Recapture 42%

FY2019 Recommended Budget All Funds Budgeted Expenditures

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Robinhood represents over 40% of the district’s total adopted budget.

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FY2019 Recommended Budget: Changes Since Preliminary Budget

(Expenditures in millions)

Increases/Decreases in Expenditures (in millions) Amount

Across‐the‐board salary Increase for regular, part‐time and full‐time employees 1.5%

$8.1

Literacy Initiative

$0.3

Reduce School Lunch Monitor Funding Allocations

($1.2)

Eliminate Bilingual Stipend Requests

($1.6)

Transfer IT Coaches from General Fund to Instructional Material Allotment Fund

($1.0)

Transfer of supplemental staff to Title I

($0.7)

Reduce PPfT budget to Actual Cost of Program

($1.5)

Reduction of Vacant Full Time Equivalants at Central Administration Budgets

($0.3)

Decrease in projected employee health plan cost

($0.8)

Total Increase in Expenditures

$1.3

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FY2019 Recommended Budget Salary Increase History

*reflects advertised district contributions **includes FICA and district TRS contributions (x) 1.5% non‐pensionable pay supplement

• In addition to the $84.4 million in salary and employee health care plan

contributions the District also pays $33 million annually to Social Security 18‐19 1.5% $0.0 $8.1 $8.1 17‐18 1.5% $4.8 $8.6 $13.4 16‐17 4.0% $15.7 $20.0 $35.7 15‐16 3.0% $2.8 $14.7 $17.6 14‐15 2.0% $0.0 $9.7 $9.7 TOTALS 12.00% $23.3 $61.1 $84.4 School Year (millions) Salary % increase AISD Insurance Increase* AISD Salary Increase** AISD Salary + Insurance Increase

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FY2019 Recommended Budget General Fund Revenue

Revenue Source (in millions) FY2018 Amended Budget* FY2019 Recommended Budget $ Change % Change

Local $1,208.9 $1,313.2 $104.3 8.6% State $62.6 $78.4 $15.8 25.2% Federal $28.0 $24.2 ($3.8) (13.5%) Total $1,299.6 $1,415.8 $116.2 8.9% Less: Recapture $546.0 $669.6 $123.6 22.6% Operating Revenue $753.5 $746.2 ($7.3) (1.0%)

*Amended Budget as of April 23, 2018

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FY2019 Recommended Budget General Fund Expenditures & Fund Balance (in millions)

FY2018 Amended Budget* FY2019 Recommended Budget Difference % Change Total Revenue $1,299.6 $1,415.8 $116.2 8.9% Less: Recapture ($546.0) ($669.6) $123.6 22.6% Net Revenue $753.5 $746.2 ($7.3) (1.0%) Total Operating Expenditures $786.4 $774.5 ($11.9) (1.5%) Net Other (Sources) Uses $2.1 $0.2 ($1.8) (87.9%) Total Expenditures and Other (Sources) Uses $788.4 $774.8 ($13.7) (1.7%) Net Change in Fund Balances ($34.9) ($28.6) $6.3 (18.2%)

*Amended Budget as of April 23, 2018

FY2019 Recommended Budget General Fund Expenditure by Function

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General Fund Functional Area (in millions) FY2019 Recommen ded Budget % of Budget

Instruction

$435.3 56.2%

Instructional Resources & Media Services

$11.1 1.4%

Curriculum & Staff Development

$13.3 1.7%

Instructional Administration

$15.0 1.9%

School Administration

$51.8 6.7%

Guidance & Counseling Services

$25.3 3.3%

Attendance & Social Work Services

$5.0 0.6%

Health Services

$8.8 1.1%

Pupil Transportation

$32.1 4.1%

Co-Curricular Activities

$15.6 2.0%

Subtotal Instruction and Student Support

$613.4 79.2% General Fund Functional Area (in millions) FY2019 Recommended Budget % of Budget

General Administration

$22.5 2.9%

Community Services

$7.3 0.9%

Subtotal Central & Community Services

$29.9 3.9%

Plant Maintenance

$85.3 11.0%

Security & Monitoring Services

$12.5 1.6%

Data Processing Services

$21.5 2.8%

Debt Services

$0.5 0.1%

Facilities Acquisition & Construction

$0.1 0.0%

Payments-Shared Services Arrangements

$4.1 0.5%

Other Intergovernmental Charges

$7.4 0.9%

Subtotal Operations & Infrastructure

$131.3 16.9% Grand Total $774.5 100.0%

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5/14/2018 5 FY2019 Recommended Budget General Fund Expenditure by Object

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*Amended Budget as of April 23, 2018

FY2018 FY2019 General Fund by Major Object Amended Preliminary

(in millions)

Budget* Budget Payroll Costs

$667.7 $667.7 ($0.0)

(0.0%) Purchase & Contracted Services

68.2 67.5 (0.7)

(1.0%) Supplies

35.2 26.6 (8.7)

(24.6%) Other Operating Costs

13.9 11.9 (2.0)

(14.1%) Capital Outlay

0.9 0.4 (0.5)

(56.9%) Debt Service

0.5 0.5 (0.0)

(3.6%) Totals

$786.4 $774.5 ($11.9)

(1.5%) $ Change % Change

FY2019 Recommended Budget General Fund Expenditure by Object

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Recapture Included Recapture Excluded

Payroll Costs 46.2% Recapture 46.4% Purchase & Contracted Services 4.7% Supplies 1.8% Other Operating Costs 0.9% Payroll Costs 86.2% Purchase & Contracted Services 8.7% Supplies 3.4% Other Operating Costs 1.7%

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FY2019 Recommended Budget Tax Rates

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To see how the school tax portion of your annual property taxes pay for all the services provided by the Austin Independent School District visit http://www.austinisd.org/budget/mytaxdollar

FY2015 Adopted M&O $1.079 $1.079 $1.079 $1.079 $1.079 I&S $0.143 $0.123 $0.113 $0.113 $0.113 Total Tax Rate $1.222 per $100 of taxable value $1.202 per $100 of taxable value $1.192 per $100 of taxable value $1.192 per $100 of taxable value $1.192 per $100 of taxable value Tax Rates FY2016 Adopted FY2017 Adopted FY2018 Adopted FY2019 Recommended

FY2019 Recommended Budget The Impact of Recapture

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Next Steps

June 2018

• A public hearing on the recommended budget and tax

rate

• The budget will be adopted after the public hearing

July 2018

• The Chief Appraiser will provide the certified values

August 2018

• Board Adopts the Tax Rate Based on Final Appraisal

Values

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Budget Stabilization Committee

• Applications now being accepted on the website

– https://www.austinisd.org/announcements/austin‐isd‐seeking‐ applicants‐budget‐stabilization‐task‐force

• Each Trustee to appoint one member
• Additional slots will be filled with the intent of ensuring

representation from diverse backgrounds, perspectives and expertise, reflective of the AISD community at large

• Budget committee will meet and make recommendations in the

summer ahead of budget cycle for 2019‐20

• The product of this work will be the development of annual deficit

reduction targets and options, and a summary of findings with rationale for consideration by Superintendent Paul Cruz

• Recommendations include potential revenue, budget reductions

and cost savings to stabilize the budget

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Attachment 2

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Attachment 2