Boar oard Budget Presentat ation on an and Millag age R Rat - PowerPoint PPT Presentation

Boar oard Budget Presentat ation on an and Millag age R Rat ate FY 201 9 Larry Hammel, C hief Financial O fficer

G uiding ui ng Princ nciple: Bud udget S upports the up he S trategic Plan ★ C onstruction of a balanced budget – No deficit in FY 19. ★ Conserved mid- year adjustment funding (Est.- $1,000,000) ★ Reduced operational budgets by 5% or $1,600,000. ★ Instructional coach for every school in the district. ★ L everaging outdated technology to assist in closing the deficit.

Budget et Dev evel elopment Process ★ Zero- Based Budgeting ★ L ine item justification of each division and school budgets (CFO- led) ★ Detailed review by A dministrative Team, Departments and Schools Budgets m s must st al align t to o the s strat ategic p plan an an and ref eflec ect a an inv nvestment nt in o n our students.

Ten entative e budget et includes: ★ Local Tax Digest ○ Projected growth 5.00% ○ Projected L ocal Tax Revenue of $77.92 million ★ State Revenue(QBE) ○ Projected increase $3.4 million ○ Projected QBE funds $69.2 million ★ Other ○ Total STEP salary increase cost $1.5 million ○ Teacher Retirement System increase cost $3.0 million ○ The increase represents the TRS contribution from the district on be- half of employees from 16.81% (FY 2018)to 20.90% (FY 2019. ○ The total budget for FY 2019 is $150.1 million ■ Increase of $4.5 million over last years budget \

Ten entative e Millage e Rate ★ The Millage R ate for FY201 9 will remain at 20 mills ○ This rate will generate approximately $77.92 million

O verall Rev even enue Projection FY2017 FY2018 FY2019 Budget Budget Budget Property Ad Valorem Taxes (Current) 68,899,871 72,275,965 77,179,889 (5.00% Tax Growth) Property Ad Valorem Taxes (PY) 775,000 600,000 738,195 Other Real Estate Taxes 1,000,000 1,100,000 1,100,000 Other Taxes 0 0 0 Title Ad Valorem Tax 900,000 850,000 750,000 Transportation Fees 500,000 400,000 400,000 Investment Income 100,000 200,000 300,000 Indirect Cost Reimb 175,000 175,000 175,000 Facility Rentals 7,500 7,500 10,000 Other Local Revenue 100,000 150,000 270,000 QBE(Includes Charter) 62,572,957 65,802,821 69,184,283 QBE Mid term 0 1,250,000 0 Other Sources 30,000 40,000 40,000 Medicaid 275,000 0 0 135,335,328 142,851,286 150,147,367 Increase in Budget Revenue 7,296,081

Breakdow own of of G en eneral Fund Rev even enue e Budget et FY2019 Revenue Type FY2019 Federal Local 0.1% 0.7% Ad Valorem Tax 77,918,084 State 45.8% Other R/E Taxes 1,100,000 Title Ad Valorem Tax 750,000 State 69,184,283 Federal 215,000 Ad Valorem Title Ad Tax Other Valorem 52.2% Local 980,000 R/E Taxes Tax 0.7% 0.5% Total 150,147,367

Prop operty Ad Val alor orem Tax ax Infor ormat ation on Value of One Mill Value of One Mill 3,858,994 3,612,793 3,483,744 3,350,369 3,283,375 3,231,667 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 Ad Valorem Tax 78,000,000 76,000,000 74,000,000 72,000,000 70,000,000 68,000,000 Ad Valorem Tax 66,000,000 64,000,000 62,000,000 60,000,000 58,000,000 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019

Q BE A Austerity Austerity Austerity 0 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 (1,282,886) (1,271,150) (3,466,250) (5,570,557) (8,032,580)

Five e Yea ear T Tax D Digest School Digest Tax Year Tax Year Tax Year Tax Year Tax Year Budget And Levy 2013 2014 2015 2016 2017 2018 (Thousands) (FY2014) (FY2015) (FY2016) (FY2017) (FY2018) (FY2019) Real & Personal 3,380,922 3,482,607 3,600,176 3,772,214 3,975,174 4,220,188 Public Utility 83,638 89,750 89,708 89,712 84,704 84,383 Motor Vehicles 176,597 146,025 106,434 78,704 57,786 42,765 Mobile Homes 6,096 5,637 5,277 5,026 5,037 5,082 Timber - 100% - 132 94 - 155 87 Heavy Equipment - 15 40 52 60 38 Gross M&O Digest 3,647,253 3,724,166 3,801,729 3,945,708 4,122,916 4,352,543 M&O Exemptions (332,232) (349,589) (368,098) (395,005) (390,655) (442,042) Net M&O Digest 3,315,021 3,374,577 3,433,631 3,550,703 3,732,261 3,910,501 M&O Millage 20.00 20.00 20.00 20.00 20.00 20.00 Taxes Levied 66,300 67,492 68,673 71,014 74,645 78,210 Taxes $ Inc. (Dec.) 198 1,191 1,181 2,341 3,631 3,565 Taxes % Inc. (Dec.) 0.30% 1.80% 1.75% 3.41% 5.11% 4.78%

Q BE Funds to Actual Reven enue e Bu Budget 155,000,000 145,000,000 135,000,000 125,000,000 115,000,000 105,000,000 95,000,000 85,000,000 75,000,000 65,000,000 55,000,000 45,000,000 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 QBE Revenue Actual Budget

Q BE Tran anspor ortat ation on funds t to o Budgeted Transportation 8,000,000 7,000,000 6,000,000 5,000,000 QBE Funds 4,000,000 Budgeted Salaries and Benefits 3,000,000 2,000,000 1,000,000 0 FY2017 FY2018 FY2019

Q BE to o G eneral Fund C omparison om ons ★ Earned $267k for Nursing and budgeted $1.23m ★ Earned $1.06m for Transportation and budgeted $8.69m, (covers outside 1 ½ mile radius) ★ Earned 938.76 Teaching positions for FY 2017 and budgeted 1008 teachers and 182 Parapros ★ Budgeted 117 Special (A rt, Music, PE/ Health, Electives) teachers that are not earned by QBE ★ Earned vs budgeted of 69 teachers and 182 parapros cost the system about $11.7m. ★ Earned 5.17 Social workers and budgeted 9.5 ★ Earned 5.17 School Psychologists and budgeted 9.0 ★ Earned 23.71 Counselors and budgeted 30

Q BE to o G eneral Fund C omparison om ons ★ Q BE Base school size needed for full funding: ○ System Size – 3300 FTE ○ Elementary School - 450 FTE (Six schools do not meet) ○ A lps – 355 FTE ○ Cleveland – 273 FTE ○ Fowler – 439 FTE ○ G aines – 434 FTE ○ HBS – 352 FTE ○ Winterville – 425 FTE ○ Middle School – 624 FTE ○ High School – 970 FTE

Fiscal Yea ear Rev even enue e Table Revenue 160,000,000 150,000,000 140,000,000 130,000,000 120,000,000 110,000,000 100,000,000 90,000,000 80,000,000 70,000,000 60,000,000 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 Revenue 117,959,712 121,803,310 127,126,303 135,335,328 142,851,286 150,147,367

O verall Expen enditure Projection Budget Descriptions FY2019 Salaries and Benefits & Step Increase Certified 98,309,599 Classified 27,779,404 Athletic Supplements and Benefits 685,174 Substitutes 561,300 Operating Budget 22,387,623 ROTC Matching Funds 424,267 Total Budget Expenditures 150,147,367

O perating Budget History ★ 2015 - $125 million (No Salary increase, No furloughs, Step increase, L ongevity supplement, 0.87% TRS increase) ★ 2016 - $130 million (No Salary increase, Step increase, 1.12% TRS increase, L ongevity Supplement, Increase in high school and special education positions) ★ 2017 - $138 million (3% Salary increase, Step increase, No TRS increase, Classified health care increase, Standardize rate for bus drivers) ★ 2018 - $146 million (2% Salary increase, 2.54% TRS increase, Step increase, Classified health care increase) ★ 2019 - $150 million (No salary increase, Step Increase, 4.09% TRS increase)

Expenditures s C ompariso son Description FY2017 FY2018 FY2019 Instruction 91,992,534 96,913,211 100,668,163 Pupil Services 3,754,655 4,034,821 4,374,308 Staff Services 5,149,961 5,703,529 5,937,196 General Administration 5,580,807 5,556,828 5,540,307 School Administration 8,280,366 8,786,782 9,102,908 Transportation 8,957,239 9,229,328 8,808,914 Maintenance and Operations 15,353,367 15,395,649 15,291,304 Subtotal Instructional Expentirures 139,068,929 145,620,148 149,723,100 School Nutrition 2,058 0 0 Other Outlay (ROTC Matching Funds) 350,000 378,280 434,267 Total Expenditures 139,420,987 145,998,428 150,157,367

Breakdow own of of Expen enditure e Budget et ★ 87.33% personnel; 12.67% operational Description FY2019 FY2019 Budget Instruction 100,668,163.00 Pupil Services 4,374,308.00 Transportation Non-School Improvement of Instructional Services 3,804,431.00 6% School Admin. Admin. 6% Media Center (Services) 2,132,765.00 4% Maintenance Other Support Services 134,603.00 and Other Outlay 424,267.00 Operations 10% Instruction Total 111,538,537.00 Maintenance and Operations 15,291,304.00 Transportation 8,808,914.00 School Administration 9,102,908.00 General Administration 1,338,969.00 Instruction 74% Business Services 1,379,003.00 Central Support Services 2,687,732.00 Non- School Administration Total 5,405,704.00 Total Budget 150,147,367.00

Fiscal Yea ear Expenditures es Table Expenditures 160,000,000 150,000,000 140,000,000 130,000,000 120,000,000 110,000,000 100,000,000 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 Expenditures 120,360,835 124,784,280 130,198,964 139,420,987 145,998,428 150,147,367

Fiscal al Y Year ar Rev. to E Exp. T Tab able 160,000,000 150,000,000 140,000,000 130,000,000 120,000,000 110,000,000 100,000,000 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 Revenue 117,959,712 121,803,310 127,126,303 135,335,328 142,851,286 150,147,367 Expenditures 120,360,835 124,784,280 130,198,964 139,420,987 145,998,428 150,147,367