Ithaca City School District Budget 2020-2021 January 28, 2020 - - PowerPoint PPT Presentation

Ithaca City School District Budget 2020-2021

January 28, 2020

FUND BALANCE

A representation of the resources remaining from the prior fiscal years

• OR -

What is left after the District liabilities are subtracted from assets

FUND BALANCE IS NOT. . . A LONG TERM SOLUTION Fund Balance is a valuable resource to help finance the next year’s operations, however, it should not be used to fund

• perations over the long term.

A MYSTERY Districts should be able to be specific about the purpose, funding, and expenditure of funds in Reserved, Unassigned & Appropriated Fund Balance.

TYPES OF FUND BALANCE RESERVES:

In New York, school boards can place remaining funds into one of several restricted (reserved) accounts that are legally bound to their named

• purpose. Examples include

protection against future claims on the district (i.e.-Tax Certiorari Reserve)

• r to plan for future needs of

the district (i.e.-Capital Reserve).

APPROPRIATED FUND BALANCE:

Districts can utilize fund balance when developing their budgets for a number of

• reasons. These include

lowering real property taxes, providing a cushion for unexpected fluctuations in

• perations, reduce

borrowing, and fund revenue shortfalls.

UNASSIGNED FUND BALANCE:

A.K.A. The 4% Maximum Districts also can maintain a so-called “rainy day” fund – an all-purpose cushion against unexpected financial needs.

HOW DOES ICSD USE APPROPRIATED FUND BALANCE? REAL REVENUE:

Funds necessary to cover actual expenses Funds necessary to cover anticipated expenses

FUND BALANCE:

Funds to cover unanticipated contingencies Achieve savings goals

ICSD Fund Balance and Reserves

2016-2017 2017-2018 2018-2019 2019-2020

Appropriated Fund Balance

$ 2,000,000 $ 3,330,000 $ 3,230,000 $ 3,970,000

Unappropriated Fund Balance (4%)

$ 4,700,823 $ 4,878,918 $ 5,131,154 $ 3,022,923

Unemployment Insurance Reserve

$ 151,180 $ 151,296 $ 151,417 $ 151,677

Retirement Contribution Reserve

$ 2,760,500 $ 3,117,662 $ 3,303,957 $ 3,325,345

Liability Reserve

$ 501,272 $ 391,368 $ 391,808 $ 393,428

Reserve for Tax Certiorari

$ 609,718 $ 609,860 $ 589,669 $ 593,486

Employee Benefit Accrued Liability Reserve

$ 557,526 $ 557,656 $ 558,283 $ 487,291

Insurance Reserve

$ 250,000 $ 250,059 $ 250,340 $ 252,876

Capital Reserve

$ 2,961,701 $ 2,328,138 $ 2,017,403 $ 2,176,861

Health Insurance Reserve

$3,698,460

TOTAL

$ 14,492,720 $ 15,614,957 $ 15,624,031 $ 18,072,347