FY 2018 2018 Sc Scho hool B Boar ard A d Appr pproved B d - - PowerPoint PPT Presentation

FY 2018 2018 Sc Scho hool B Boar ard A d Appr pproved B d Budg dget

February 28, 2017

1

Bu Budget Pl Planning

A Virginia School Division’s budget includes:

• A description of a school division’s educational plans

for the upcoming year.

• It includes an estimate of the money the division

will receive (revenues) and the division’s plans for spending those funds (expenditures).

• In Virginia, the state government and local governing

bodies control the school division’s revenues.

• Decisions about how the funds are spent, however,

rest with the school division subject to federal, state and local constraints.

2

Vi Virg rginia Bu Budget Proc Process

State Code Section: 22.1-92.

It shall be the duty of each Division superintendent to prepare, with the approval of the school board, and submit to the governing body or bodies appropriating funds for the school division, by the date specified in §15.2-2503, the estimate of the amount of money deemed to be needed during the next fiscal year for the support of the public schools of the school division.

3

SCP SCPS Re S Reve venue ue So Sour urces

SCPS

State Local Grants Schools Activity Funds (SAF) CIP (Loans & Bonds)

4

St State Fun Fundin ding

5

Stan Standards o

• f Quali

uality ( (SO SOQ) Law aw

The Constitution of Virginia (Article VIII, § 2) requires the Board of Education to prescribe standards of quality for the public schools of Virginia, subject to revision only by the General Assembly. These standards, found in the Code of Virginia at §§ 22.1-253.13:1 through 22.1- 253.13:10, are known as the Standards of Quality (SOQ) and encompass the requirements that must be met by all Virginia public schools and school divisions.

6

SO SOQ Q Fun Fundin ding – Loca Local E Effor ffort

• SOQ is established in the Virginia Constitution as the

minimum educational program school divisions must provide.

• SOQ funding requires a contribution by the locality.

The mandatory minimum local funding required known as “required local effort.” Based on the Composite Index.

• Localities may spend more than their required

amount and offer programs and employ staff beyond what is required in the SOQ to meet student needs.

7

State D Direct ct A Aid d Budget Ca Categor

• ries
• State and federal funding for public education is provided to

local school divisions through the Direct Aid to Public Education budget in the Appropriation Act. The General Assembly appropriates the funds. DOE administers the funds.

• Funding is appropriated in six budgetary categories:
• 1. Standards of Quality (SOQ)
• 2. Incentive Programs
• 3. Categorical Programs
• 4. Lottery Proceeds Fund
• 5. Supplemental Education Programs
• 6. Federal Funds

8

State D Direct ct A Aid d Budget A Accou ccounts

(E (Examples) )

SOQ is provided through the following accounts, mostly on a per pupil basis:

– Sales Tax (1.125% for public

education) – Basic Aid (incl. health care) – Governor School – Special Education – Adult Education – Prevention, Intervention, and Remediation – Gifted Education – Benefits partially funded for instructional & support positions (VRS, GLI, FICA) – English as a Second Language – Textbooks – Early Reading Intervention – SOL Algebra Readiness

9

Deter Determining S SOQ OQ Costs

• sts
• 1. Base year number of students;
• 2. Staffing standards for teachers and other

instructional positions (partially funded);

• 3. Benefit rates (partially funded);
• 4. Standard and prevailing support costs;
• 5. Inflation factors;
• 6. Federal revenues deducted from support costs;
• 7. Amount of sales tax revenue and school division

local composite index (LCI) – locality’s ability to pay.

Note: Actual cost is provided to DOE through the Annual School Report (ASR)

10

FY 17 FY 17 & 18 18 State State B Budge udget H t High ighlights

• The Governor’s amended FY 2017 budget removes the

state share of funding in fiscal year 2017 and 2018 for the 2% Compensation Supplement that was to be effective December 1, 2016.

• For the FY 2018 State Budget, the Division is projecting

a $2M increase to partially fund increases in VRS and salaries.

• By March 1, 2017 (received today at 5 p.m.), the VDOE

budget office will release the final budget numbers.

11

FY FY 2017 Bu Budget R Real allocation t to Fu Fund the Stat State S Shar are of the 2% % COLA

12

FY 2017 2% COLA – Total Cost $3.4 M $2.4M Locally Funded $1M State Share

Reduced School and Department Material & Supplies, Contracts & Prof. Development Budget Lines by $1 million.

Employees already received 4 months (Jul, Aug, Sep, Oct) of higher contracted pay before the State rescinded its share of salary increase, as a result of unexpected decreased revenues 91% of School Divisions & Spotsylvania County Government did not rescind on funding local share of their staff increase Rationale for moving forward with increase and backfill

Sta tate te Budg dget Hi et Highl hlights ts ( (Con

• nt.

t.)

• The FY 2018 VRS professional rate increased by 11.3%, which

equates to $2.3M for Spotsylvania Schools in new revenues. The State is providing $900,000 of the of the $2.3M amount.

• The proposed state budget increase over FY 2017 is $2M

($1.1M towards pay raise or benefits and $900,000 for the VRS rate increase for the Teacher Group).

13

Sta tate te Reven Revenue e Tren ends ds

(All F Funds)

14

120,619,534 121,068,337 126,064,037 127,339,225 132,444,422 134,461,102

$- $20 $40 $60 $80 $100 $120 $140 $160

FY13 Adopted FY14 Adopted FY15 Adopted FY16 Adopted FY17 Adopted FY18 Approved

Millions State Funds Sales Tax

Local al Fun Fundin ing

15

Co Code o

• f Virg

irgin inia ia

• SOQ funding requires a contribution by the
• locality. The mandatory minimum local

funding required known as “required local effort” based on the Composite Index.

• Localities may spend more than their required

amount and offer programs and employ staff beyond what is required in the SOQ.

• See Standards §§ 22.1-253.13:1 through 22.1-

253.13:10

16

Loc Local F Fun unding Contrib

• ntributi

tion E Expec ecta tati tion

• n (

(Example ples) s)

• Fully funding Debt Service
• SOQ Staffing and Beyond (Salaries & Benefits)
• Utilities
• Operations & Maintenance
• Internal Control Systems
• Capital Purchases (CIP Fund)
• Transportation
• English as a Second Language (ESL)
• Special Programs & Centers

17

All of the items below are partially funded by the State, excluding Debt Service, with the expectation of the locality bearing the full fiscal responsibility.

FY1 FY13-FY17 Loc Local R Revenue T Tre rend

(L (Less O One ne-Time F Fun unds ds)

$114.8 $114.8 $116.4 $116.4 $121.4 $121.7 $110.0 $112.0 $114.0 $116.0 $118.0 $120.0 $122.0 $124.0 FY13 FY14 FY15 FY16 FY17 FY18 (RECM)

.0% .0% 1.4% .0% 4.2% .2%

18

Over 5 year period average 1% annual increase or $1.4 M

Coun unty G Gen eneral F Fun und (GF) Ap Apportionme ment I Increase C Comp mparison

FY Schools Share (Less One-time Funds) County Share

FY13 $0 $4,283,583 FY14 $0 $3,018,853 FY15 $1,585,000 $4,891,707 FY16 $17,408 $5,402,002 FY17 $4,942,568 $4,539,880 FY18 (REC) $286,320 $6,969,552 Total $6,831,296 or 19% $29,105,577 or 81%

19

From FY 13 through FY18 County General Fund Budgeted increase $35,936,873.

Sch chool

• ol vs. Coun

County % ty % of

• f

Coun County ty Genera ral F Fun und

45.0% 46.0% 47.0% 48.0% 49.0% 50.0% 51.0% 52.0% 53.0% FY13 FY14 FY15 FY16 FY17 FY18 51.5% 50.8% 50.1% 48.9% 49.0% 47.8% 48.5% 49.2% 49.9% 51.1% 51.0% 52.2% County Schools

20

Sch chool

• ol vs. Coun

County % ty % of

• f

Coun County ty Genera ral F Fun und

Sc Scho hool’s Share Share o

• f County G

GF Assuming FY FY13 Alloc

• cati

tion of

• f 51.5

.5% vs. . Actu ctual

(L (Less O One ne-time Fun unds ds)

FY13 FY14 FY15 FY16 FY17 FY18

$114,830,339 $114,830,339 $116,415,339 $116,432,747 $121,375,315 121,661,635 $114,830,339 $116,435,114 $119,770,618 $122,561,614 $127,445,075 $131,181,849

General Fund Transfer to Schools Assuming FY13 % Actual General Fund Transfer to Schools

N L i f d

21

Gran rant Fun Fundin ding

22

Gran rant Fun Fundin ding -$15.6 .6M

• Accounts for revenues that are legally restricted for particular

purposes

• Grants are received from federal, state, and private sources,

some examples include:

– Title I Funds for students who are Economically Disadvantaged – Title VIB Funds for students with Disabilities (only 12% of these costs are funded by the federal government) – Pre-K Funds – Head Start and Virginia Preschool Initiative (VPI)

• These funds are not automatically guaranteed every year
• Some grants require a local match

23

SA SAF Fun F Fundin ing

24

Sch chool

• ol Acti

Activi vity ty F Fundi ding - $5M

• All funds derived from extracurricular school activities, such as

athletic contest, club dues, etc., are classified as school activity funds (internal accounts)

• The funds must be spent for the purpose for which they were raised
• Money collected for school-sponsored or school-related activity
• Used to promote general welfare, education and morale of all

students

• Used to finance co-curricular activities of student body organizations
• By law, funds can’t be comingled with other district or PTO/PTA funds
• Revenues and expenditures are tracked in the division’s Blue Bear

system and audited annually

25

Allo llowa wable le SA SAF F Purc urchases

(A F Few ew Ex Examp mples es)

• Student awards
• Student field trips
• Student newspapers,

handbooks, agendas

• Costs associated with

Judges, Adjudicators, and Conductors for student events

• Assemblies and student

activity programs

• Athletic equipment and

supplies

• Athletic referee services
• Safety needs and

equipment

• P.E. Uniforms

26

CIP CIP Fun Fundin ing

27

CIP CIP Fun Fundin ing - $27.4 .4M

• Restricted funds for capital purchases in the areas of:

– Maintenance – Transportation – Technology

• These funds can not be used to fund salaries and

benefits

28

Note: Bond ratings are positively impacted by quality schools being in the community

Maj Major

• r B

Budget Dr et Driver vers

29

Quality Education for All Students which Align with our Strategic Plan Mandatory Costs (VRS) Compliance [SPED, Health (ACA) Salary Increases

Man Manda dated ted C Costs

• sts -

Virginia Reti Retirem emen ent t System ystem (VRS RS)

30

Virg irginia ia Co Code de – Ben enefi efits ts

“2. School Employee Retirement Contributions Virginia Retirement System (VRS): a. This item provides funds to each local school board for the state share of the employer's retirement cost incurred by it, on behalf of instructional personnel, for subsequent transfer to the retirement allowance account as provided by Title 51.1, Chapter 1, Code of Virginia.

• b. Notwithstanding § 51.1-1401, Code of Virginia, the Commonwealth shall provide

payments for only the state share of the Standards of Quality fringe benefit cost

• f the retiree health care credit. This Item includes payments in both years based
• n the state share of fringe benefit costs of 55 percent of the employer's cost on

funded Standards of Quality instructional positions, distributed based on the composite index of the local ability-to-pay.” Health Care paid through Basic Aid is based on state share of SOQ positions:

• c. Payments for health insurance fringe benefits are included in and distributed

through Basic Aid (partially funded).”

31

VRS RS Rate Rate Tren ends s

(E (Employee & & Employer incl ncluding R Reti tire He Health C Credit)

32

14.85% 9.53% 11.93% 17.77% 17.77% 20.56% 20.12% 20.77%

0.0% 5.0% 10.0% 15.0% 20.0% 25.0%

2010 2011 2012 2013 2014 2015 2016 2017

Note: FY18 VRS Rate of 22.55% , which is a $2.3M or 11.3% increase

VR VRS Ex Expenditure re T Tre rend Mandatory ry Ex Expense

33

Teachers Represent the Largest Group for the Professional VRS Group with the Locality Sharing in this Investment 2014 Actual Budget 2015 Actual Budget 2016 Actual Budget 2017 Adopted Budget 2018 Approved Budget Retiree Health Credit $- $1,284,097 $1,315,085 $1,430,194 $1,604,006 VRS Hybrid $9,710 $616,147 $1,728,991 $1,750,826 $2,847,756 VRS (Plan 1&2) $16,059,445 $17,689,302 $16,443,160 $17,774,316 $19,066,120 Annual Total $16,069,155 $19,589,546 $19,487,236 $20,955,336 $23,517,882 $(1,000,000) $4,000,000 $9,000,000 $14,000,000 $19,000,000 $24,000,000 Annual VRS Cost

Com

• mpl

pliance C ce Costs

• sts -

Employ

• yee Heal

ee Health th Insu surance ce

34

Employ

• yer

er Hea Health th Ra Rate te Incr crea ease se

35

10.7% 7.6% 3.5% 20.3% 9.3% 2.0% 0.0% 11.8% 5.30%

0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 2010 2011 2012 2013 2014 2015 2016 2017 2018

Note: The FY18 health insurance rate increase quoted from Anthem was

• riginally 13%. The School Board implemented several strategies to lower the

increase to 5.3% for the division and 5% for employees.

Health th Insura urance ce E Expenditu ture re Tre Trend

– Comp mplianc ance Ex Expens ense

36

2014 Actual 2015 Actual 2016 Actual 2017 Adopted Budget 2018 Approved Budget Retiree Dental Ins $136,356 $129,663 $140,630 $160,799 $120,269 Dental Insurance $1,393,007 $1,391,067 $1,428,513 $1,709,220 $1,365,128 Retiree Prescription $682,176 $814,910 $932,790 $922,919 $1,064,905 Retiree Health Ins $2,875,184 $3,989,475 $3,218,370 $3,690,605 $3,690,605 Hospitalization $25,461,645 $24,192,126 $23,525,563 $28,481,979 $30,234,955 Total $30,548,368 $30,517,241 $29,245,866 $34,965,522 $36,475,862

• 5,000,000

10,000,000 15,000,000 20,000,000 25,000,000 30,000,000 35,000,000 Annual Health Insurance Cost

The school division is required to provide Health insurance according to the current Affordable Care Act (ACA). Robust benefits are paramount in retention and recruitment.

36

Main aintai aining Compet etit itiv iven eness

37

FY FY 2018 2 2% CO COLA

38

Rationale Behind Providing Increase in Fiscally Challenging Environment

Employee Retention & Recruitment

Offset Health Premium Increases Displays Value & Appreciation

• f

Employees

In Alignment with the State Funding Direction

Salary T y Tre rends

39

Fiscal Year Salary Adjustments 2010 None 2011 None 2012 1% COLA & $600 Prorata Bonus 2013 None – Director level and above .8 % - Below the Director level All employees - 5% VRS pay raise offset 2014 $900 Prorata Bonus 2015 Step & 1% COLA 2016 3% COLA 2017 2% COLA 2018 (Proposed) 2% COLA

FY16 Y16 Ave Average Teacher Sa Salary (La Larger Sc Schoo

• ol Di

Divi vision

• ns)

40

Ranking District Average Salary Enrollment ADM

1 Arlington County $76,942 24,367 2 Alexandria City $74,664 14,392 3 Fairfax County $66,084 182,292 4 Loudoun County $64,184 75,676 5 Prince William County $60,011 86,769 6 Chesapeake City $56,117 38,971 7 Albemarle County $55,281 13,433 8 Stafford County $54,490 27,474 9 Virginia Beach City $54,375 67,719 10 Suffolk City $54,131 13,878 11 Spotsylvania County $53,438 23,128 12 Hanover County $51,720 17,811 13 Portsmouth City $51,310 13,884 14 Newport News City $51,153 26,939 15 Chesterfield County $50,697 58,863 16 Norfolk City $50,081 29,189 17 Richmond City $49,858 21,899 18 Hampton City $48,964 19,689 19 Henrico County $48,850 50,433 20 Roanoke County $48,707 14,020

Fre ree M Marke rket S Sys ystem & m & Wages

41

Assumptions  2% COLA  Free Market System dictates wages

Wages Quantity

Tea eacher Sh Shortage i in SCPS & S & Virginia

42

Impact  At W1 , supply is less than demand  Supply and demand is not In equilibrium

Wages Quantity

Tea eacher Sh Shortage I Imp mpact o

• n Sup

Supply a and Dema Demand C Cur urve ve

43

Impact  Teacher shortage causes shift in supply curve  Wages must increase to respond to decrease in supply

Wages Quantity Source: http://www.doe.virginia.gov/teaching/workforce_data/shortage_areas/2017-2018.pdf

Special ecial E Educat catio ion Comp Compli lian ance ce

44

SP SPED F D Fun unding T Trend T Tot

• tals

W/ W/An Annua ual I Increase

$29.3 $31.8 $32.8 $35.0 $37.5 $39.2 $40.0 $2.5 $1.0 $2.2 $2.5 $1.7 $0.8

1 2 3 4 5 6 7 $20 $25 $30 $35 $40 FY12 Actual FY13 Actual FY14 Actual FY15 Actual FY16 Actual FY17 Adopted FY18 Approved Millions

45

FY 1 16 S Spec ecia ial l Educati tion Disabili ility ty Category Costs ( (Examp mples es)

Autism

$5.2M

Speech and Language Impairments

$4.8M

Intellectually Disabled

$4.4M

Developmentally Delayed

$1.6M

46

Whe here A Are We Currently

47

Fun Funds

1, , 2, 3 , 3, 4 , 4, & , & 7 Only

48

Fund FY17 Adopted FY 18 Approved Variance

Fund 1 - CGS $2,162,010 $2,153,159 ($8,851) Fund 2 - RRJDC $1,046,409 $1,035,364 ($11,045) Fund 3 - FS $9,776,526 $10,199,132 $422,606 Fund 4 - Adult Ed $775,460 $770,596 ($4,864) Fund 7 - Fleet $2,648,798 $2,760,110 $111,312 TOTAL $16,409,203 $16,918,361 $509,158

Reven Revenue e Over Overvi view ew Ope pera rating Fun Fund 5 (L

(Less CI CIP)

49

Revenue Source FY17 Adopted FY18 Approved Variance

State Funds $129,944,685 $131,977,899 $2,033,214 Local Funds* $122,345,837 $120,223,234 ($2,122,603) Federal Funds $9,736,033 $10,380,711 $644,678 Other Funds (Gap) $5,001,558 $9,814,250 $4,812,692 TOTAL $267,028,113 $272,396,094 $5,367,981

*Fund 1 includes $22,603 of Local Funds

FY18 18 Reven Revenue e Over Overvi view ew Ope pera rating Fun Fund 5 (L

(Less C s CIP) IP)

50

$131,977,899 48.5% $120,223,234 44.1% $10,380,711 3.8% $9,814,250 3.6%

State Funds Local Funds Federal Funds Other Funds

Ex Expenditures b by Budget b by Ca Categor

• ry

Operat ating Fu Fund nd 5 5 (Less

ss CI CIP)

51

Fund 5 (Object) FY17 Adopted FY 18 Approved Variance

Instruction $184,227,948 $189,173,769 $4,945,821 Administration $4,959,320 $4,999,960 $40,640 Attendance/ Health $5,336,320 $5,469,483 $133,163 Transportation $17,817,045 $18,000,574 $183,529 Maintenance $21,314,369 $21,039,150 ($275,219) Technology $8,077,529 $8,131,262 $53,733 Debt Service $25,295,582 $25,581,896 $286,314 TOTAL $267,028,113 $272,396,094 $5,367,981

FY18 Budg

Budget by t by Ca Cate tegory Ope Operating Fun Fund d 5 ( 5 (Less

ss CI CIP)

52

Instruction $189,173,769 69.4%

Administration $4,999,960 1.8% Attendance/Health $5,469,483 2.0% Transportation $18,000,574 6.6% Maintenance $21,039,150 7.7% Technology $8,131,262 3.0% Debt Service $25,581,896 9.4%

Instruct truction

• n as %

% of O

• f Opera

rati ting Bud udget

53

65.98% 67.36% 68.09% 69.24% 68.91% 68.99% 69.44%

64.00% 65.00% 66.00% 67.00% 68.00% 69.00% 70.00% $0 $50,000,000 $100,000,000 $150,000,000 $200,000,000 $250,000,000 $300,000,000 FY12 Adopted FY13 Adopted FY14 Adopted FY15 Adopted FY16 Adopted FY17 Adopted FY18 Approved Operating Budget (Fund 5 Less CIP) Instruction % of Budget

Expenditu tures by by Obj bject ct

Op Operating F Fun und 5 5 (Le Less C CIP)

54

Object FY17 Adopted FY 18 Approved Variance 1000 - Wages $143,736,865 $145,576,044 $1,839,179 2000 - Benefits $67,005,772 $71,096,290 $4,090,518 3000 - Purchased Services $13,391,897 $13,405,040 $13,143 5000 - Other Charges $10,007,604 $9,405,403 ($602,201) 6000 - Supplies $7,492,694 $7,327,615 ($165,079) 8000 - Capital Outlay $129,699 $35,806

($93,893)

9000 - Debt Services $25,263,582 $25,549,896

$286,314

TOTAL $267,028,113 $272,396,094 $5,367,981

Exp xpen endi ditures es by y Ob Object ect

Oper erati ating Fu Fund d 5 (Les ess C CIP & &Deb ebt t Ser ervice)

55

1000/2000 -

Wages & Benefits $216,672,334 88%

3000 - Purchased Services $13,405,040 5% 5000 - Other Charges $9,405,403 4% 6000 - Supplies $7,327,615 3% 8000 - Capital Outlay $35,806 0% 9000 - Debt Services $25,549,896 9%

Total $246.8M

55

Full ll-time Eq Equivalents (FTE) (FTE) vs vs. . Ave Average Da Daily Me Membe mbership (ADM) ADM)

56

FY08 Adopted Budget FY18 Approved Budget Decline % Decline FTE Total 3,297 3,107 (190) (6.3%) Teacher FTE

(Object 1121)

1,865 1,763 (102) (5.5%) Enrollment ADM 24,454 22,834 (1,620) (6.6%)

• Assuming an average class size of 25
• A decline in 1,620 students equates to a reduction of 65 teachers
• Since FY2008 the division has reduced its numbers of Teacher FTEs (object

1121) by 102 which is an excess of 37 positions

• No additional teacher alignment adjustments are warranted

56

Spotsylv

• tsylvania

ia C Count nty P y Public ic Schoo

• ols

ls FY15 Y15 P Per Pup upil S Spending B By Sour Source

Source Per Pupil Spending Per Pupil Ranking

(out of 132 school divisions)

Local $4,350 60th State $5,204 85th Federal $596 108th Total $10,150 85th

For the overall local, state and federal cost per pupil ranking, the school division ranks

• 85th. 35.6% of the 132 school divisions are ranked below Spotsylvania County Schools.

57

Budge udget R Reduct duction E Effort fforts

58

Bud udget R Reduc uctions o

• r Cost Avo

Avoidance

• Restructuring Central Office
• Retirement Opportunity Programs
• Non-compensation Reductions
• Programs – eliminated, modified, redesigned
• Hiring of Grant Writer
• Joint Procurements with the County
• Becoming self funded with our health

insurance plan

59

Red eductio ions/ ns/Allo llocati tion

• ns /

s /Cos

• st A

t Avoi

• idance
• Outsourcing Food Service
• Outsourcing Custodial Services
• Modernization of Health Plans
• Increasing the Employee Share of Health

Premiums

• Renegotiation of Contracts
• Refinancing Debt with Support from County Joint

Maintenance previously consolidated, but unconsolidated because the needs of the Schools were not being met in a timely manner

60

Centra ral O Offi ffice F FTE E Ad Adjustments

61

Fiscal Year FTE Amount FY10

• 6.000

($516,832) FY11

• 2.700

($234,207) FY12

• 6.200

($518,677) FY13

• 9.00

($1,029,498) FY14

• 10.400

($1,100,515) FY15 0.000 $0 FY16 10.000 $735,415 FY17 3.000 $173,310 FY18 $25,312 Total

• 21.3

($2,465,691)

Location: Central Office Includes SBO, Maintenance, Transportation, ITTC

“Give me six hours to chop down a tree and I will spend the first four sharpening the axe.”

−Abraham Lincoln

62

St Stra rate tegi gic P Planni nning ng

63

Str Strat ategic P Plan lan Goals als

64

Goal 1: Teaching & Learning

• All students will graduate college and career ready.

Goal 2: Community Engagement & Partnerships

• Family, students, staff and the entire community actively engage to seek

resources and to develop opportunities that meet future educational challenges and workforce needs.

Goal 3: Organization Climate & School Safety

• The learning and working environment is safe, caring, healthy and values

diversity.

Spotsylvania County Public Schools

STRATEGIC PLANNING GOALS CORE VALUES

MISSION STATEMENT:

Together, we prepare our students for their future.

Community Engagement and Partnerships Cultural Proficiency Excellence

65

Boa Board rd In Investments

66

SCPS Core Values

Student-Centered Leadership Accountability Cultural Proficiency Excellence Effective Communication Teamwork Citizenship

Our Staff

• 1346 Administrators and Support

Staff

• 1761 Teachers
• 55% of Teaching Staff holds

Advanced Degrees

• Average years of Teaching

Experience is 13

• 46 National Board Certified

Teachers

• 71% of Staff resides within

Spotsylvania County

67

68

• Ms. Carolyn Kleinert

2016-17 Region III Teacher of the Year

• Ms. Sarah Downing

Rappahannock 2016 Regional School Librarian of the Year

• Ms. Susan Stover

2016 MWH Spirit Award Nurse of the Year

• Ms. Rosemary

Creekmur 2016 VML Individual Risk Management Excellence Award

• Mr. Anthony Lann

2016 VAASL CTE Teacher of the Year

Dedicated & Distinguished Staff

VISION

SCPS is a leading school division that inspires and empowers all students to become creative thinkers, problem solvers and effective communicators.

Our Students

• 52% Male, 48% Female
• 58% White, 18% Black, 15% Hispanic,

2% Asian, 7% Other

• 12% receiving Special Education

services

• 38% receiving Free/Reduced Price

Meals

• 11% in Gifted Education services
• 5.5% are English Learners
• 62 Languages spoken

69

En Enrol rollment T Tre rend

70

23811 24186 24390 24197 24216 23868 23775 23725 23773 23817 23678 23592 23539 23610 23834 24005 375 204 (193) 19 (348) (93) (50) 48 44 (139) (86) (53) 71 224 171

(400) (300) (200) (100) 100 200 300 400 500 15,000 16,000 17,000 18,000 19,000 20,000 21,000 22,000 23,000 24,000 25,000

Enrollment Inc/Dec over Prior Year October 1 Enrollment October 1 Enrollment Enrollment Inc/(Dec)

Stude dents w nts with D h Disabil ilit itie ies s Trend rend Data

71

2,623 2,683 2,756 2,834 2,881 2.3% 2.7% 2.8% 1.7%

FY 2013 FY2014 FY 2015 FY 2016 FY 2017

Student Enrollment Statistics – Dec 1 Count

Tot

• tal Numbe

Number of f English Lea Learners ( (ELs)

72

Dual Enrollment

Visual & Performing

Student Learning, Career-Readiness & Leadership Opportunities

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Specialty C y Center C Con

• ncept

STEM/Engineering Humanities Fine and Performing Arts STEM/Agriculture Career and Technical Expansion Virtual School AP Capstone/IB Business Governor’s School JROTC

VISION

SCPS is a leading school division that inspires and empowers all students to become creative thinkers, problem solvers and effective communicators.

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Student Success and Achievements

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Teaching & Learning

Prepare all students to be college and career ready.

Evidence of Continuous Improvement  5% rise in On-Time Graduation Rate since 2012  7% rise in Math Performance and 5% rise in Reading Performance since 2014  3% rise in Science and 2% rise in Social Studies performance since 2014  2-11% rise in Reading and Math Performance, closing achievement gaps among minority, ECD, Hispanic, and SWD

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Teaching & Learning

Prepare all students to be college and career ready.

Evidence of Continuous Improvement  9% rise in Reading Performance and 8% rise in Math Performance at the Elementary School Level since 2014  8% rise at Middle School Level and 5% rise at High School Level in Math Performance since 2014  Improving Trends in Advanced Placement, SAT, ACT, and CTE participation and performance

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Accreditation Status for Largest 15 Virginia School Divisions

State of Virginia 1490/1828 schools 82% Arlington 32/32 schools 100% Hanover 23/23 schools 100% Stafford 30/30 schools 100% Loudoun 84/87 schools 97% Virginia Beach 77/82 schools 94% Fairfax 183/194 schools 94% Chesterfield 57/61 schools 93% Spotsylvania 26/29 schools 90% Prince William 79/90 schools 88% Chesapeake 34/45 schools 76% Henrico 48/67 schools 72% Hampton 17/29 schools 59% Newport News 20/38 schools 53% Norfolk 23/45 schools 51% Richmond City 17/45 schools 38%

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Teaching & Learning

Prepare all students to be college and career ready.

Evidence of Continuous Improvement  Development and implementation of the Teaching and Learning Framework, Curriculum Development process  Targeted curriculum and intervention supports in literacy and math  Leadership capacity through academies: Ex. LLE, TLA, TCA, LEAD  Increasing and enhancing instructional technology access and integration

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SCPS Partners In Education

427 Partners In Education

Community Engagement & Partnerships Goal

Family, students, staff and the entire community actively engage to seek resources and to develop opportunities that meet future educational challenges and workforce needs.

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Organizational Climate & School Safety Goal The learning and working environment is safe, caring, healthy and values diversity.

Evidence of Continuous Improvement  PBIS training and effective implementation  Structural enhancements to building entrances  Enhanced visitor protocols  Decline in disciplinary incidents, suspension rates

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2016 Graduates

• 62% received an

Advanced Studies Diploma

• 80% pursued Higher

Education

• 4.12% joined the military
• 2,282 received CTE

Industry Certifications Total amount of scholarships received $39,673,781

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Advan ancEd Sum Summary

• District that really cares
• Staff who give extra time
• Relationships
• Custodian greeted every student
• Great place to work
• Moving best practice to division-wide—(operative word “systemic”)
• Seeds of greatness have been sown
• Superintendent’s staff has continuous improvement mindset !Bond

support by the community

• Innovative practices with limited funds
• Continuous improvement and communications mindset
• Open to change

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Funding R Request

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Pe Perfe rfect S Storm

• rm

 Lower state funding increases due to lower enrollment  Lower state funding due to their revenue forecast  Increase in the Employer professional (teacher) VRS rate  Increase in Health Insurance rate due to inflation and health claims  The past two Local Composite Index adjustments for SCPS have trended upward, meaning less funding from the state  Mandatory cost increases in Health Insurance and VRS are significantly outpacing any increases in state or local funding  Student demographics with greater needs which warrant additional resources  There is a growing shortage of qualified and desired candidates for employment in the public education field

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FY 2018 GAP Y 2018 GAP Cl Clos

• sing Meas

Measures

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Description Cost Savings

Superintendent’s Budget Gap ($6,475,083) SB Budget Cuts/Adj. $1,722,502

School Board Approved Gap (2.13.17) ($4,752,581)

School Board Budget Cuts

On 2.14.17, the County Administrator’s recommended budget included a $268,000 or 0.2% increase in the school division’s local transfer

FY 2018 B Y 2018 Budget R Requ equest

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Description Cost Savings

2% COLA (State Portion $1.1M) ($2,162,648) VRS (State Portion $.9M) ($1,385,501) Health Insurance ($1,017,138)

Total ($4,565,287)

This revised gap reflects a $187,294 State budget increase based on the final numbers received today at 5 p.m.

Im Impact of t of Not

• t Cl

Clos

• sing Gap

Gap

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Pay

Elimination/Modification of COLA Increase

Programs

Elimination/Modification of Current Programs

Positions

Elimination/Modification

• f Positions

Options for School Board Consideration

Note: The schools division could also be forced to use its health insurance or OPEB reserves to fund recurring expenses and balance the budget . This is not consistent with sound budgeting practices.

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“An enlightened citizenry is indispensable for the proper functioning of a republic. Self government is not possible unless the citizens are educated sufficiently to enable them to exercise oversight. It is therefore imperative that the nation see to it that a suitable education be provided for all its citizens.” −Thomas Jefferson

Appe ppendi dix

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Joi

• int Proc

Procure rements/S /Share red S Serv rvices

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Vendor Description Joint Procurement Shared Services Anthem Insurance Health/Dental Insurance Yes Evergreen Solutions Compensation Study Yes Revere Gas Propane Yes Anderson Oil Heating Oil Yes James River Petroleum Motor Fuel Yes Eagle Towing Towing Service Yes Cherry Bekaert CAFR Audit Services Yes Bolton Partners GASB 45 Actuarial Services Yes SCPS & County Fleet Joint Fleet Maintenance Yes SCPS & County Single Stream Recycling Yes SCPS Safety & Sheriff Risk Management Yes SCPS & Park Recreation Grounds Maintenance Yes

FY Y 2018 Appr Approv

• ved B

d Budge dget Inv Investments

Description Related Cost 2% Cost of Living Adjustment (COLA) $3,482,935 Mandatory cost increases in health insurance (5.3% employer and 5% employee) $1,137,989 Mandatory cost increase VRS (11%) $2,277,599 Increases in debt service in accordance with the proposed projects in the 2018-2022 CIP $286,314 Reinstatement of hourly cafeteria aides at the elementary level as a Pilot Program (Food Service Fund) $188,000

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FY FY 2 2018 Approved ed B Budget I get Inves estme ments

Description Related Cost Pilot Academic and Athletic Activity Bus Program ($200,000 operating funds, $27,325 fleet fund) $227,325 Restoration of Academic and Athletic Stipends by 5% $55,892 Daily Rate Increase in Substitute Rates of $5 $116,364 Lower the Athletic Fee from $75 to $50 $85,812 Expansion of the REACH SPED program (funded by CIP funds) $135,000 Across the Board Non-compensation Reductions ($1,815,273)

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Critical FY18 Budget Dates

Date and Time

Budget Meeting/ Topic

Tues, Feb 28 (6:00 p.m.)

School Board Presents FY18 Budget to BOS

Tues, March 7 (6:00 p.m.)

Joint Budget Work Session

Tues, March 14 (4:30 p.m.)

Board of Supervisors (BOS) Approves Advertised Tax Rate

Tues, March 28 (6:30 p.m.)

BOS Public Budget Hearing at Courtland High School

Tues, April 11 (4:30 p.m.)

BOS Adopts FY18 Budget and Current Year Tax Rates

Wed, April 12 (6:30 p.m.)

School Board Budget Work Session

Mon, May 1 (6:30 p.m.)

School Board Adopts – FY18 Operating Budget and 2018-2022 CIP

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