CEDAR FALLS COMMUNITY SCHOOL DISTRICT 2018/19 Budget Presentation - - PowerPoint PPT Presentation

2018/19 Budget Presentation

CEDAR FALLS COMMUNITY SCHOOL DISTRICT

GOALS & PRINCIPALS OF IOWA SCHOOL’S FOUNDATION FORMULA (GENERAL FUND)

 Equity in expenditures  Property tax relief  Equalization of method of taxation  Uniform state aid allocation formula  Predictable  Pupil-driven  Provide for local discretion and incentives  ESTABLISHES MAXIMUM SPENDING CONTROL  Same formula for all Iowa K-12 public schools and AEA’s

FOUR KEY FACTORS IOWA PUBLIC SCHOOL FOUNDATION FORMULA

 1. Enrollment

• Number of students enrolled on October 1st determines budget and spending

authority for the following school year

 2. Equalization

• Legislature established a law that “cost per student” across the state will be nearly

equal to ensure every student equal access to a quality education

 3. Supplemental State Aid Growth (SSA)

• Legislature & Governor control the annual increase in dollars available per student
• State foundation formula sets t

the e expendit iture c ceilin iling for each school district’s total spending authority and tells lls the school district how to fund its spending authority.

 4. Balance

• The ratio of property tax & state aid supporting a district’s budget varies by
• district. Districts with a higher “assessed valuation per student” will receive less

state aid.

 Iowa Code Chapter 257.1(2)

• “... each school district in the state is entitled to receive foundation

aid, in an amount per pupil equal to the difference between the amount per pupil of foundation property tax in the district, and the combined foundation base per pupil or the combined district cost per pupil, whichever is less.

IOWA PUBLIC SCHOOL FOUNDATION PROGRAM - STATE AID

 Aid & Levy Budget Worksheet

• Implements the school foundation aid formula
• Calculates the amount of spending authority, state aid and property

taxes for a school district

• Formula first determines the total maximum spending authority
• Determines state aid vs. property taxes

GENERAL FUND BUDGET DETERMINATION

4,442.9 4,489.3 4,741.4 4,738.1 4,799.3 4,951.1 5,051.2 5,027.9 311.8 292.1 121.0 121.0 108.0 101.0 95.6 99.6

3,800 4,000 4,200 4,400 4,600 4,800 5,000 5,200 Oct-10 Oct-11 Oct-12 Oct-13 Oct-14 Oct-15 Oct-16 Oct-17

Stu tudent

CF OE Out

CERTIFIED ENROLLMENT

SECTION 1

4,754.7 4,781.4 4,862.4 4,859.1 4,907.3 5,052.1 5,146.8 5,127.5

8.51% 8.08% 7.22% 6.58% 5.89% 5.72% 5.67% 5.62% 3.11% 2.71% 2.90% 2.88% 3.21% 3.06% 2.99% 3.27% 1.47% 1.36% 1.31% 1.47% 1.35% 1.57% 2.08% 2.02%

0% 2% 4% 6% 8% 10% 12% 14% Oct 10 Oct 11 Oct 12 Oct 13 Oct 14 Oct 15 Oct 16 Oct 17 L1 L2 L3

SPECIAL ED ENROLLMENT BY PERCENTAGE

SECTION 3

0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 8.00% Fy12 Fy13 Fy14 Fy15 Fy16 Fy17 FY18 FY19 Cedar Falls CF w/o PLS State

HISTORY OF SUPPLEMENTAL STATE AID IN PERCENTAGE

State te Ra Rank School Dis Distric ict 20 2017/18 18 RP RPDC DC 2017/ 7/18 8 RP RPDC DC/P 10 10/1/ 1/17 7 Cou

• unt

2018/ 8/19 R 19 RPDC Do Dolla llar G Growth % % Grow

• wth

Pe Per Pupi pil Grow

• wth

Enrol

• llment

Increa ease 12 Linn-Mar $48,737,813 $6,665 7,436.2 $50,060,498 $ 1,322,685 2.71% $ 177.87 123.7 13 Johnston $45,942,949 $6,664 7,074.1 $47,615,767 $ 1,672,818 3.64% $ 236.47 179.9 14 Southeast Polk $45,296,541 $6,664 6,843.1 $46,060,906 $ 764,365 1.69% $ 110.70 45.9 15 Marshalltown $36,443,016 $6,705 5,458.4 $36,964,285 $ 521,268 1.43% $ 94.50 23.2 16 College $33,897,102 $6,664 5,162.7 $34,750,134 $ 853,032 2.52% $ 165.23 76.1 17 Cedar Falls* $34,334,303 $6,671 5,127.5 $34,549,095 $ 343,343 1.00% $ 66.96 (19.3) 18 Muscatine* $34,416,225 $6,664 4,935.8 $34,219,920 $ (196,305) (0.57)% $ (39.77) (148.4) 19 Pleasant Valley $32,255,164 $6,797 4,922.4 $33,787,354 $ 1,532,190 4.75% $ 311.27 176.9 20 Ottumwa* $30,942,285 $6,664 4,612.2 $31,251,708 $ 309,423 1.00% $ 67.09 (31.0) 21 Ames $28,285,752 $6,754 4,299.8 $29,328,936 $ 1,043,936 3.69% $ 242.79 111.8 22 Burlington* $29,673,177 $6,664 4,263.3 $29,767,602 $ 94,425 0.32% $ 22.15 (159.4)

SSA COMPARISON - SIMILAR SIZED SCHOOLS

* = Indicates budget guarantee for FY19

238.3 318.0 41.6 137.3 215.3 75.4

• 234.2

390.6

• 10.7

118.6

• 194.2
• 250.0
• 200.0
• 150.0
• 100.0
• 50.0

0.0 50.0 100.0 150.0 200.0 250.0 300.0 350.0 400.0 450.0

Stu tudents

SIMILAR SIZED SCHOOLS THREE YEAR CUMULATIVE CHANGE CERTIFIED ENROLLMENT

• Oct. 2015, 2016 & 2017 certified enrollment count

$1,329,457 $1,651,701 $1,096,320 $677,142 $1,266,181 $1,003,937

• $47,585

$1,646,666 $537,936 $547,679

• $14,506
• $200,000

$0 $200,000 $400,000 $600,000 $800,000 $1,000,000 $1,200,000 $1,400,000 $1,600,000 $1,800,000

SIMILAR SIZED SCHOOLS THREE YEAR AVERAGE INCREASE SUPPLEMENTAL STATE AID

Included any budget guarantee funds received

FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 TIF $228,952,490 $238,279,052 $69,938,785 $262,029,070 $255,379,885 268,498,450 $155,010,642 $133,875,589 Regular $1,394,788,675 $1,539,679,334 $1,765,749,164 $1,620,002,240 $1,646,442,620 1,705,405,959 $1,881,942,714 $1,952,212,278

$0.0 $0.5 $1.0 $1.5 $2.0 $2.5

Billio illions

CEDAR FALLS CSD HISTORY OF ASSESSED VALUATION

SECTION 6

 Used by cities/counties/community colleges since 1958  City/county adopt urban renewal plans

• Community Colleges job training projects

 City/county adopts an ordinance to initiate Tax Increment Financing  Establishes a base valuation at the prior years’ taxable valuation level  Increased value of TIF area is incremental valuation  Revenue on base valuation goes to all taxing authorities  Revenue on incremental valuation goes to TIF project with some exceptions

TAX INCREMENT FINANCING BASICS

$260,000 $280,000 $300,000 $320,000 $340,000 $360,000 $380,000 $400,000 Fy11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 Cedar Falls State Median Avg

ASSESSED VALUATION PER STUDENT

65.27% 74.27% 76.21% 77.13% 73.70% 71.80% 1.21% 1.35% 1.36% 1.29% 1.21% 1.17% 32.64% 23.44% 21.66% 16.84% 21.01% 22.03% 4.02% 3.31% 4.28%

0.89% 0.95% 0.77% 0.65% 0.78% 0.73%

20% 30% 40% 50% 60% 70% 80% 90% 100% 2013/14 2014/15 2015/16 2016/17 2017/18 2018/19

Residential Ag land & bldgs Comm./Indust. Multi-residential RR/Utility/Other

NET ASSESSED VALUATION BY CLASS

$100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000 Cedar Falls Dike-NH Hudson Janesville Waterloo Waverly-SR State Avg

2017/18 VALUATION PER STUDENT – AREA SCHOOL COMPARISON

$100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000 Cedar Falls Dike-NH Hudson Janesville Waterloo Waverly-SR State Avg FY16 FY17 FY18

VALUATION PER STUDENT AREA SCHOOL 3 YR. COMPARISON

$100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000 $450,000 $500,000 $550,000 $600,000

Linn-Mar Johnston SE Polk M'town College Cedar Falls Muscatine Pleasant Valley Ottumwa Ames Burlington

2017/18 VALUATION PER STUDENT SIMILAR SIZE SCHOOL COMPARISON

$100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000 $450,000 $500,000 $550,000 $600,000

Linn-Mar Johnston SE Polk M'town College Cedar Falls Muscatine Pleasant Valley Ottumwa Ames Burlington

FY16 FY17 FY18

VALUATION PER STUDENT SIMILAR SIZE SCHOOL 3 YR. COMPARISON

12.82% $ 864 per Student Additional Levy Combined District Cost – Foundation Dollar Level 62.08% $4,183 per Student State Foundation Aid = Foundation Dollar Level – Uniform Levy Foundation dollar cost per pupil as set by the State of Iowa x Weighted Enrollment - Uniform Levy + SSA Prop Tax Replacement Payment 25.10% $1,691 per Student Uniform Levy = $5.40 per $1,000 assessed valuation x school district assessed valuation

2018/19 COMBINED DISTRICT COST – $6,738 PER STUDENT

$5,890 $6,008 $6,128 $6,373 $6,453 $6,598 $6,671 $6,738

$4,000 $4,500 $5,000 $5,500 $6,000 $6,500 $7,000 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19

HISTORY OF COST PER PUPIL

37.16% 38.20% 40.65% 37.92% 36.63% 36.07% 37.18% 37.92% 62.84% 61.80% 59.35% 63.08% 63.37% 63.93% 62.82% 62.08%

0% 10% 20% 30% 40% 50% 60% 70% FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 Property Tax State Aid

HISTORICAL COMBINED DISTRICT COST MIX

 Aid & Levy budget worksheet

• Uniform Levy (Section 6)
• Property Tax Portion = $10,413,395 (Ln 6.3 – Ln 5.2)
• Property Tax Rate = $5.40000
• Regular Program Adjustment (101% guarantee)
• Property Tax Portion = $128,551 (Ln 5.2)
• Property Tax Rate = $0.06585
• Final State Foundation Aid (Section 9)
• Regular Program = $31,359,887 (Ln 9.12 – Ln 9.11)
• Includes TSS, PD, TLC, Early Intervention & Property Tax Replacement Payment (PTRP)

COMBINED DISTRICT COST FUNDING

• Additional Levy (Section 8 minus Section 13)
• Gross Property Tax Additional Levy (Ln 8.4)

$6,922,399

• Utility Replacement Adjustment (Ln 8.38)
• 37,428
• AEA Statewide Reduction (Ln 8.41)

+ 66,618

• Property Tax Replacement Payment (Ln 8.42) - 543,105
• Add. Levy Utility Replacement Adjust (Ln 13.5) + 219
• Add. Levy C & I State Replacement (Ln 13.21)
• 169,569
• Dropout Prevention Program (Ln 5.17)
• 855,139
• Net Additional Levy

$5,383,995

• Property Tax Rate = $2.69204

COMBINED DISTRICT COST FUNDING

 Uniform and Additional Levy

• Property Tax Portion = $15,797,390
• Property Tax Rate = $8.09204

 Regular program adjustment (101% guarantee)

• Property Tax Portion = $128,551
• Property Tax Rate = $0.06585

 Dropout Prevention (approved by BOE on Nov. 27, 2017)

• Property Tax Portion = $855,139
• Property Tax Rate = $0.43804

 Totals

• Property Tax Portion = $16,781,080
• Property Tax Rate = $8.59593

COMBINED DISTRICT COST SUMMARY

$8.24 $9.74 $10.20 $8.42 $10.68 $8.67 $9.04

$0.00 $2.00 $4.00 $6.00 $8.00 $10.00 $12.00 Cedar Falls Dike-NH Hudson Janesville Waterloo Waverly-SR State Avg

2017/18 COMBINED DISTRICT COST – TAX RATE COMPARISON

Includes Drop Out Prevention Funding.

$9.65 $9.29 $10.19 $10.65 $8.71 $8.60 $10.35 $9.43 $9.89 $7.70 $10.53

$7.00 $7.50 $8.00 $8.50 $9.00 $9.50 $10.00 $10.50 $11.00 Linn-Mar Johnston SE Polk M'town College Cedar Falls Muscatine Pleasant Valley Ottumwa Ames Burlington

2017/18 COMBINED DISTRICT COST – SIMILAR SIZE SCHOOL COMPARISON

Includes Drop Out Prevention Funding

$12.28 $13.21 $14.63 $13.71 $13.90 $14.35 $15.35 $15.80

$0.13

$0.57 $0.66 $0.66 $0.74 $0.74 $0.77 $0.83 $0.86

$4 $6 $8 $10 $12 $14 $16 $18 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19

Millions

CDC Budget Guarantee Dropout

HISTORY OF COMBINED DISTRICT COST & DROPOUT PROPERTY TAX REVENUE

$8.80728 $8.58129 $8.23849 $8.46096 $8.40597 $8.41638 $8.15828 $8.09204 $0.06585 $0.40703 $0.43082 $0.37572 $0.45951 $0.44868 $0.45329 $0.44004 $0.43804

$0.00 $1.00 $2.00 $3.00 $4.00 $5.00 $6.00 $7.00 $8.00 $9.00 $10.00 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 CDC Budget Guarantee Dropout

HISTORY OF COMBINED DISTRICT COST & DROPOUT PROPERTY TAX RATES

 Included with General Fund for reporting to Dept. of Education  10 year levy approved by voters of District (Thru FY2022)  10% of regular district program cost (Ln 10.5) $3,467,765  Less gross ISL State Aid (22.72% of total)

• $ 787,876

 Net Property Tax $2,679,889  Instructional Support State Aid + $ 0

• (0% of Gross State Aid)

 Total Adjusted ISL Dollars = $2,679,889  Less anticipated actual ISL State Aid

• $ 0

 Anticipated Actual ISL Dollars = $2,679,889  Property tax rate of $1.28465/$1,000

INSTRUCTIONAL SUPPORT LEVY

SECTION 10

$2.15 $2.23 $2.37 $2.40 $2.45 $2.55 $2.66 $2.68

$1.0 $1.2 $1.4 $1.6 $1.8 $2.0 $2.2 $2.4 $2.6 $2.8 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19

Millions

HISTORY OF INSTRUCTIONAL SUPPORT LEVY PROPERTY TAX REVENUE

$1.5354 $1.4512 $1.2927 $1.2749 $1.2856 $1.2915 $1.3053 $1.2847

$0.00 $0.20 $0.40 $0.60 $0.80 $1.00 $1.20 $1.40 $1.60 $1.80 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19

HISTORY OF INSTRUCTIONAL SUPPORT LEVY PROPERTY TAX RATES

 SBRC Approved Requests

• Increased enrollment, open enrollment out, LEP excess cost
• $125,229 – Open enrollment out increase - approved by BOE on Oct. 23, 2017
• $ 11,740 – ELL beyond 5 years - approved by BOE on Oct. 23, 2017
• $100,596 – LEP allowable excess cost - approved by BOE on Oct. 9, 2017
• Special Education
• $972,951 – Special Ed excess cost - approved by BOE on Oct. 9, 2017
• Total SBRC #1 approved requests - $1,210,516

CASH RESERVE LEVY – PART ONE

SECTION 15

 Other

• Cash flow needs

$ 600,000

• Other SBRC approved requests

$ 0

• Total request for FY19

$ 600,000

CASH RESERVE LEVY – PART TWO

SECTION 15

 SBRC Approved/Requested $1,210,516  Other Requests (Cash Flow) $ 600,000  Total Cash Reserve Levy $1,810,516  Property Tax Rate of $0.92742

CASH RESERVE LEVY – SUMMARY

SECTION 15

$0.38 $1.15 $1.75 $0.79 $0.31 $1.10 $1.54 $1.21 $0.87 $0.22 $0.00 $0.20 $0.20 $0.00 $0.60 $0.60

$0.0 $0.5 $1.0 $1.5 $2.0 $2.5 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19

Millions

SBRC Cash Flow

HISTORY OF SBRC CASH RESERVE LEVY TAX REVENUE

$0.2757 $0.7459 $0.9935 $0.4870 $0.1908 $0.6453 $0.8209 $0.6201 $1.2597 $0.1416 $0.0000 $0.1235 $0.1215 $0.0000 $0.3181 $0.3074

$0.00 $0.20 $0.40 $0.60 $0.80 $1.00 $1.20 $1.40 $1.60 $1.80 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 SBRC Cash Flow/Other

HISTORY OF CASH RESERVE LEVY TAX RATES

 Total General Fund Request

Dollars Tax Rate

• Comb. District Cost

$15,797,390 8.19204

• Budget Guarantee

$ 128,551 0.06585

• Dropout

$ 855,139 0.43804

• Instructional Support

$ 2,679,889 1.28465

• Cash Reserve Levy

$ 1,810,516 0.92742

• Totals

$ 21,271,185 10.80800

GENERAL FUND SUMMARY

SECTION 15

$16.25 $17.48 $19.34 $17.84 $17.54 $18.78 $20.98 $21.27

$10 $12 $14 $16 $18 $20 $22 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19

Millions

HISTORY OF OPERATING FUND PROPERTY TAX REVENUE

$11.65 $11.35 $10.90 $10.81 $10.45 $10.81 $11.04 $10.81

$10.00 $10.20 $10.40 $10.60 $10.80 $11.00 $11.20 $11.40 $11.60 $11.80 $12.00 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19

HISTORY OF OPERATING FUND PROPERTY TAX RATES

 Beginning in FY2015, commercial & industrial property valuations are being reduced through rollback. Rollback was 95% in FY2015 and 90% beginning in FY2016. State of Iowa is reimbursing local governments and school districts for the loss

• f property tax receipts.

 Beginning in FY2018, commercial and industrial replacement payments paid by the State of Iowa becomes limited by the total amount of payments made in FY2017.  District is estimating a 95% prorated payment from Fy2018 amounts.

COMMERCIAL & INDUSTRIAL (C & I) STATE REPLACEMENT ESTIMATE

 C & I Non-TIF 100% valuation $483,273,870  C & I Non-TIF taxable valuation

• $429,999,239

 Est. Non-TIF valuation reduction (GF/Mgt. Fund) $ 53,274,631  C & I TIF 100% valuation $140,250,834  C & I TIF taxable valuation

• $131,172,997

 Est. TIF valuation reduction $ 9,077,837  Est. combined valuation reduction (Debt/PPEL/ISL) $ 62,352,468  Est. General Fund C & I replacement

• ($53,274,631 / 1,000) * 9.52335 (tax rate)

$507,353 x 0.95 = $481,985  Est. Inst. Support Levy C & I replacement

• ($62,352,468 / 1,000) * 1.28465 (tax rate)

$ 80,101 x 0.95 = $ 76,096

CFCSD COMMERCIAL & INDUSTRIAL (C & I) STATE REPLACEMENT ESTIMATE

$436,594 $38,000 $30,000 $34,585 $75,000 $100,800 $2,631,043

$0 $500,000 $1,000,000 $1,500,000 $2,000,000 $2,500,000 $3,000,000

• Misc. Other

Pools Facilities Rentals Interest Sp Ed Tuition OE Tuition

GENERAL FUND – PROJECTED OTHER LOCAL REVENUE

$231,164 $0 $558,081 $2,557,938 $2,916,266 $346,260 $345,594 $1,674,129 $468,152 $23,519,700

$0 $5,000,000 $10,000,000 $15,000,000 $20,000,000 $25,000,000

• Misc. Other

ISL C&I Repl. AEA Flow Thru TSS PD Early Intervention TLC 4 yr old Pre Sch CDC

GENERAL FUND – PROJECTED STATE REVENUE

State CDC includes Property Tax Replacement Payment (PTRP)

$11,540 $22,426 $41,840 $975,000 $147,883 $236,498 $95,897 $400,000

$- $200,000 $400,000 $600,000 $800,000 $1,000,000

• Misc. Other

Perkins TAP Medicaid Head Start Part B Title IIA Title I

GENERAL FUND – PROJECTED FEDERAL REVENUE

Federal, $1,931,084, 3.26% Local, $24,688,007, 41.67% State, $32,620,412, 55.07%

TOTAL 2018/19 GENERAL FUND REVENUE

Due to rounding, percentages may not equal 100.00%

 Restricted fund

• Board of Education Controlled
• Used for property/liability/auto/workman compensation/etc. insurance

premiums

• Property loss deductible
• Early severance benefits

 Amount requested for 2018/19

• $600,000
• Property tax rate of $0.30734/$1,000

 Est. Management Fund C & I replacement

• ($53,274,631 / 1,000) * 0.30734 (tax rate) * 0.95 = $15,555

MANAGEMENT FUND

$650 $550 $450 $500 $530 $500 $698 $600

$0 $100 $200 $300 $400 $500 $600 $700 $800 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19

Thou housands

HISTORY OF MANAGEMENT FUND PROPERTY TAX REVENUE

$0.46602 $0.35722 $0.25485 $0.30864 $0.32191 $0.29319 $0.37196 $0.30734

$0.00 $0.05 $0.10 $0.15 $0.20 $0.25 $0.30 $0.35 $0.40 $0.45 $0.50 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19

Per T Thous usand

HISTORY OF MANAGEMENT FUND PROPERTY TAX RATE

 Restricted fund with two parts

• Board of Education controlled – up to $0.33/$1,000 (regular)
• Voters approved renewal of additional $1.34/$1,000 levy for 10 years on

December 6, 2016. Levy now expires June 30, 2028 (voted).

• Can be used for:
• Purchase or improvement of grounds
• Construction, repairing or remodeling of schoolhouses or roads to schoolhouses

including debt for same

• Purchase or lease of equipment greater that $500 per unit
• Purchasing of “bundled” equipment and technology greater than $500
• Purchase or lease of school buses or other vehicles
• Leasing or renting of facilities

PHYSICAL PLANT & EQUIPMENT LEVY (PPEL)

 PPEL Fund

• Amount requested for 2018/19
• $688,409 (regular) & $2,795,358 (voted) = $3,483,767
• Property tax rate of $1.67/$1,000
• Est. PPEL C & I replacement
• ($62,352,468 / 1,000) * 1.67 (tax rate) *0.95 = $98,922

PHYSICAL PLANT & EQUIPMENT LEVY (PPEL)

$0.54 $0.59 $0.61 $0.62 $0.63 $0.65 $0.67 $0.69 $2.18 $2.38 $2.46 $2.52 $2.55 $2.65 $2.73 $2.80

$0.0 $0.5 $1.0 $1.5 $2.0 $2.5 $3.0 $3.5 $4.0 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19

Millio illions

Regular Voted

HISTORY OF PHYSICAL PLANT & EQUIPMENT LEVY (PPEL) PROPERTY TAX REVENUE

$0.33 $0.33 $0.33 $0.33 $0.33 $0.33 $0.33 $0.33 $1.34 $1.34 $1.34 $1.34 $1.34 $1.34 $1.34 1.34

$0.00 $0.20 $0.40 $0.60 $0.80 $1.00 $1.20 $1.40 $1.60 $1.80 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 Regular Voted

HISTORY OF PHYSICAL PLANT & EQUIPMENT LEVY (PPEL) PROPERTY TAX RATES

 Restricted fund

• Used to pay interest as it becomes due and the amount necessary to pay the

principal when due on bonds or other authorized indebtedness issued by the district, and to make payments required under a loan, lease-purchase agreement, or other evidence of indebtedness authorized by this code. (298A.10)

 $32 million bond – Voter approved on April 5, 2016

• Bonds sold February 7, 2017 – 19 years at 3.0785%

 Amount requested for 2018/19

• $2,423,200
• Property tax rate of $1.16160/$1,000

 Est. Debt Service Levy C & I replacement

• ($62,352,468 / 1,000) * 1.16160 (tax rate) * 0.95 = $68,807

DEBT SERVICE LEVY

$0.000 $0.000 $0.000 $0.000 $0.000 $0.000 $2.420 $2.423

$0.0 $0.5 $1.0 $1.5 $2.0 $2.5 $3.0 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19

Millions

HISTORY OF DEBT SERVICE LEVY PROPERTY TAX REVENUE

$0.00000 $0.00000 $0.00000 $0.00000 $0.00000 $0.00000 $1.18791 $1.16160

$0.00 $0.20 $0.40 $0.60 $0.80 $1.00 $1.20 $1.40 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19

Per T Thous usand

HISTORY OF DEBT SERVICE LEVY PROPERTY TAX RATE

 Combined District Cost $15,797,390  Budget Guarantee $ 128,551  Dropout Prevention $ 855,139  Cash Res. Levy - SBRC $ 1,210,516  Cash Res. Levy - Other $ 600,000  Sub-Total – General Fund $18,591,596 $ 9.52335  Instructional Support Levy $ 2,679,889 $ 1.28465  Management Fund $ 600,000 $ 0.30734  Voted PPEL Levy $ 2,795,358 $ 1.34000  Regular PPEL Levy $ 688,409 $ 0.33000  Debt Service Levy $ 2,423,200 $ 1.16160  Total $27,778,452 $13.94694

SUMMARY

$13.79 $13.38 $12.83 $12.78 $12.44 $12.77 $14.27 $13.95 $13.08 $12.79

$8 $9 $10 $11 $12 $13 $14 $15 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 Total w/o Debt Service

TOTAL PROPERTY TAX RATE HISTORY

Dropout Prevention 3.08% Budget Guarantee 0.46% Instructional Support 9.65% Cash Reserve Levy 6.52% Management Fund 2.16% PPEL - Regular 2.48% PPEL - Voted 10.06% Combined District Cost 56.87% Debt Service 8.72%

2018/19 PROPERTY TAX BREAKDOWN

Due to rounding, percentages may not equal 100.00%

Voted PPEL, Inst. Sup. & Debt Serv. 28.43% DRP, CR, Mgt, Reg. PPEL, Guarantee 14.70% Combined District Cost 56.87%

2018/19 PROPERTY TAX BREAKDOWN

Due to rounding, percentages may not equal 100.00%

0% 10% 20% 30% 40% 50% 60% 70% CDC Bgt Guar Dropout Inst Sup Cash Res Mgt R PPEL V PPEL Debt Serv 2015/16 2016/17 2017/18 2018/19

TAX LEVY HISTORY BY PERCENTAGE

$7.00 $8.00 $9.00 $10.00 $11.00 $12.00 $13.00 $14.00 $15.00 2017/18 2018/19

Per T Thou housand

Debt V PPEL R PPEL Mgt Cash Res ISL Dropout CDC w/ Guarantee

 2017/18 $14.27271/$1,000  2017/18 $13.94894/$1,000  Change

• $ 0.32377/$1,000

PROPERTY TAX RATE COMPARISON

$10 $12 $14 $16 $18 $20 $22 $24 $26 $28 2017/18 2018/19

Milli llions

Debt V PPEL R PPEL Mgt Cash Res ISL Dropout CDC w/ Guarantee

 2017/18 $27,505,897  2018/19 $27,778,442  Change +$ 272,545

PROPERTY TAX REVENUE COMPARISON

$3,483 $65,831 $16,214

• $98,427
• $333,152

$19,322 $26,990 $572,284

• $500,000
• $300,000
• $100,000

$100,000 $300,000 $500,000 $700,000

Debt Serv V PPEL R PPEL Mgt Cash Res ISL Dropout CDC w/ Guarantee

2017/18 PROPERTY TAX REVENUE CHANGE

$13.28 $12.66 $13.46 $15.69 $12.73 $11.04 $12.22 $11.88 $13.59 $8.56 $12.82 $4.09 $5.66 $6.03 $2.26 $3.91 $3.23 $2.70 $2.07 $1.07 $5.78 $3.03

$0.00 $2.00 $4.00 $6.00 $8.00 $10.00 $12.00 $14.00 $16.00 $18.00 $20.00

Linn-Mar Johnston SE Polk M'town College Cedar Falls Muscatine Pleasant Valley Ottumwa Ames Burlington Gen Fund All Other Funds

2017/18 TOTAL TAX RATE SIMILAR SIZE SCHOOL COMPARISON

 Iowa Code 441.21

• Adjustments in value to comply with state law that allows no more than a 4%

increase in taxable value from year to year for all classes of property, except utility property which has a maximum increase of 8% per year.

• Rate adjustment determined by Iowa Department of Revenue.
• Rate adjustment is the same for all counties in Iowa.

ASSESSMENT & VALUATION OF PROPERTY ASSESSMENT LIMITATIONS ORDER (ROLLBACK)

40% 42% 44% 46% 48% 50% 52% 54% 56% 58% 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

RESIDENTIAL ROLLBACK HISTORY

Assessment Yr.

Fiscal Yr. F2010 F2011 F2012 F2013 F2014 F2015 F2016 F2017 F2017 F2019

• 2017/18

2018/19  Prop. Value $100,000 $100,000  Rollback x 0.569391 0.556209  Tax Rate x 0.01427271 0.01394694  Gross Tax = $ 812.68 $ 775,74  Est. Homestead - $ 66.96 $ 66.96  Net Tax = $ 745.72 $ 708.78  Change w/o Debt Service $ - 33.91  Debt Service $ - 3.03  Total Change $ - 36.94

PROJECTED RESIDENTIAL PROPERTY TAX

 Property Value 2017/18 2018/19 Change

• $100,000

$ 745.72 $ 708.78

• $ 36.94
• $200,000

$1,558.39 $1,484.52

• $ 73.87
• $300,000

$2,371.07 $2,260.26

• $110.81

PROJECTED RESIDENTIAL PROPERTY TAX

 Districts eligible for the regular program budget adjustment (101% guarantee) must adopt a resolution.  Copy of resolution (board minutes) due to Department of Management no later than April 15th.  Resolution

• “If nec

eces essary, the B e Board o d of Edu ducation of the C e Ceda edar F Falls C Community School District, w will levy property t tax f for fiscal y year 2018-2019 f for the regular program budg dget adj djustmen ent a as allowed u wed under der sec ection 2 257.14, C Code de of Iowa wa.”

BUDGET ADJUSTMENT (GUARANTEE) RESOLUTION

 March 26, 2018 – Establish Proposed Budget  March 28, 2018 – Publish Proposed Budget  April 9, 2018 – Public Hearing & Adoption of Budget  April 16, 2018 – File Budget with County Auditor

2018/19 BUDGET TIMELINES

 Iowa Code Section 24.9

• Budget estimates adopted and certified in accordance with this chapter may

be amended and increased as the need arises ...... to permit appropriation and expenditure during the fiscal year covered by the budget of amounts of cash anticipated to be available during the year from s sources oth ther th than ta taxati tion and which had not been estimated and appropriated for expenditure during the fiscal year of the budget sought to be amended.

 Iowa Code Section 257.7(2)

• If actual miscellaneous income for a budget year exceeds the anticipated

miscellaneous income in the certified budget for that year …… a school district may amend its certified budget.

2017/18 SCHOOL BUDGET AMENDMENT

 Amendment to 2017-18 Budget

• Instruction
• Amend expenditures from $42,751,853 to $43,577,509
• Technology equipment & staffing
• Total Support Services
• No Change
• Non-instructional Programs
• No Change
• Other Expenditures
• No Change

 Public hearing required

2017/18 SCHOOL BUDGET AMENDMENT

 March 26, 2018 – Establish Proposed Budget Amendment  March 28, 2018 – Publish Proposed Budget Amendment  April 9, 2018 – Public Hearing & Adoption of Budget Amendment  April 16, 2018 – File Budget Amendment with County Auditor

2017/18 BUDGET AMENDMENT TIMELINES

QUESTIONS?