+ MBUSD 2020-21 BUDGET ADOPTION Dr. Murakawa-Leopard June 29, 2020 - - PowerPoint PPT Presentation

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MBUSD 2020-21 BUDGET ADOPTION

• Dr. Murakawa-Leopard

June 29, 2020

Manhattan Beach Unified School District 325 S. Peck Avenue Manhattan Beach, CA 90266 Phone: (310) 318-7345, x5900

Budget Adoption – 6.29.20

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GROSS DOMESTIC PRODUCT

Budget Adoption – 06.29.20

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RECOVERY FORECASTS

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RECOVERY FORECASTS

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BUDGET COMPONENTS

Budget Adoption – 06.29.20

Governor Legislature Budget Act COLA

2.31% with 10% deficit factor 2.31% 0%

CARES Act

$1.5B - Special Ed. $2.9B – Concentration $1.5B - Special Ed. $2.9B – LCFF $1.5B - Special Ed. $2.9B – Conc/Supp $980M - LCFF

Special Education

$645M 3-year average ADA $545M AB 602 distribution $545M 3-year average ADA

Deferrals

$1.87B June 2020 $5.28B April-June 2021 $1.87B June 2020 $5.28B April-June 2021 $4.625B Additional $1.87B June $8.68B Feb-May to Aug-Nov

Trigger

Trigger Off if federal funds approved by Jul 1 Trigger On if federal funds not approved by September 1 Trigger On if federal funds not approved by October 15

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BUDGET IMPACT

Budget Adoption – 06.29.20

Governor Legislature Budget Act COLA

($4,695,723) $731,720 ($12,593)

Special Education

$672,351 unknown $540,825

CARES Act

$1,901,774 $4,434,310 $3,059,395

Deferrals

($2,963,753) ( $3,828,947) ($4,279,953)

Trigger

Trigger Off if federal funds approved by Jul 1 Trigger On if federal funds not approved by September 1 Trigger On if federal funds not approved by October 15

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MBUSD 2020-21 BUDGET

Included

• 0% COLA on LCFF
• Special Education base rate enhancement, raising

the level to $645/ADA

• CalPERS/CalSTRS rate buydown to shift long-term

investment to 2020-21 and 2021-22, creating a short- term 2% rate reduction

• ESSER allocation
• Cash Deferrals

Not Included

• CARES Act funding

Budget Adoption – 06.29.20

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FLEXIBILITY MEASURES

Enacted

• ADA Hold Harmless
• Ability to utilize both in-person and distance learning to

meet instructional day and instructional minutes requirements

• Increase to inter-fund borrowing limits
• Exclusion of on-behalf payments from RRMA calculations
• Use of property sale proceeds for one-time general fund

purposes Flexibility Measures Not Included

• Instructional day/instructional minute waivers
• Reduction of RRMA requirements
• Flexibility for supplemental/concentration grant funds
• Flexibility to sweep ending balances from categorical

programs and restricted funds

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2020-21 BUDGET PROJECTION

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0% 0%

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2020-21 BUDGET PROJECTION: REVENUE

Budget Adoption – 06.29.20

LCFF Revenue $56,083,494 67% Federal Revenue $2,251,985 3% Other State Revenue $10,144,719 12% Local Revenue $15,214,077 18%

Certificated Salary $34,250,499 41% Classified Salary $14,558,184 18% Benefits $22,065,715 26% Supplies $1,702,162 2% Services $10,701,913 13% Other Outgo/ Indirect $341,761 0%

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2020-21 BUDGET PROJECTION: EXPENSE

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MULTI-YEAR PROJECTION

Projections based on Board approved reductions for 2020-21, with no reductions in 2021-22 or 2022-23.

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2019-20 Estimated Actuals 2020-21 Adopted Budget 2021-22 Projected 2022-23 Projected Beg Balance $8,253,454 $6,237,170 $6,311,211 ($1,271,829) Revenues $84,996,391 $83,694,275 $77,092,445 $77,038,488 Expenses ($87,012,675) ($83,620,234) ($84,675,485) ($87,422,253) Net Increase/ (Decrease) ($2,016,284) $74,041 ($7,583,040) ($10,383,765) Ending Bal $6,237,170 $6,311,211 ($1,271,829) ($11,655,594) Undesignated Ending Bal $950,780 $1,135,924 ($3,842,093) ($14,308,261)

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MULTI-YEAR PROJECTION

Projections based on Board approved reductions for 2020-21, with reductions equivalent to 44 positions in 2021-22 and 45.6 positions in 2022-23.

Budget Adoption – 06.29.20

2019-20 Estimated Actuals 2020-21 Adopted Budget 2021-22 Projected 2022-23 Projected Beg Balance $8,253,454 $6,237,170 $6,311,211 $3,748,499 Revenues $84,996,391 $83,694,275 $77,092,445 $77,038,488 Expenses ($87,012,675) ($83,620,234) ($79,655,157) ($78,403,890) Net Increase/ (Decrease) ($2,016,284) $74,041 ($2,562,712) ($1,365,401) Ending Bal $6,237,170 $6,311,211 $3,748,499 $2,383,098 Undesignated Ending Bal $950,780 $1,135,924 $1,328,845 $981

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ENDING FUND BALANCE

Budget Adoption – 06.29.20

$- $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 $7,000,000 2019-20 2020-21 2022-23 2021-22

Restricted REU (5%) REU (3%) Undesignated

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POTENTIAL REDUCTIONS – STATE BUDGET

With an August Layoff Window Additional Potential Reductions

• Additional Assistant Principal(s)
• Additional Counselors
• Additional Class Size Increases
• Additional Elementary Music
• Additional Elementary PE
• Additional Reading Specialists
• Additional Zero Period

Reductions (Estimated Savings - $1.7 Million)

• Additional Library Resource

Specialist(s)

• PE Assistant(s)
• School Site Clerical
• District Office Clerical
• Additional Classified Reductions

(Estimated Savings - $700,000)

Potential total reduction needed: $1.3 Million

I M M E D I A T E A D D I T I O N A L R E D U C T I O N S N O T N E C E S S A R Y

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POTENTIAL REDUCTIONS – COVID-19 RELATED

Impacted programs:

• Classroom Support
• Extended Day Program
• Food and Nutrition Services
• Physical Education/Athletics
• Playground Support
• School Office Support

Budget Adoption – 06.29.20

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NEXT STEPS

• Adopt preliminary budget
• Monitor state budget analysis
• Explore possible parcel tax measure
• Develop re-opening plans and make associated

staffing decisions

• Present 45-day Revision
• Present additional revision(s), if needed
• Begin planning for 2021-22 – additional reductions

and/or revenue enhancements will be needed

Budget Adoption – 06.29.20

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MBUSD 2020-21 BUDGET ADOPTION

• Dr. Murakawa-Leopard

June 29, 2020

Manhattan Beach Unified School District 325 S. Peck Avenue Manhattan Beach, CA 90266 Phone: (310) 318-7345, x5900

Budget Adoption – 6.29.20