School Budgets
1. SAC Role
The primary SAC role in the school budget process is to recommend to the school
administration priorities for spending school funds; this is a State of Colorado statutory
requirement. To best accomplish this task, the SAC should:
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Evaluate financial records for effectiveness in supporting school goals and values.
Monitor data needed for financial decision-making, and ensure appropriate
resource allocation. Also monitor the impact of previous financial decisions.
Report the community perspective on school budget priorities and values to the
school administration.
Recommend resource allocation consistent with school improvement goals.
Ways to engage
There are several possible ways in which SACs may be engaged in making
recommendations about school spending priorities:
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SAC reviews and responds to a detailed budget proposal for spending school funds,
and recommends specific priorities.
In advance of having specific budget information, SAC makes high level
recommendations for values to use in determining spending priorities, such as for
reducing class size as a higher priority than purchasing materials.
SAC receives a current year spending plan and makes recommendations about
future year spending.
Reflective questions SAC members may use to examine their SAC’s role in making
recommendations about school spending priorities:
 How does one of the above models, if any, compare to my SAC’s role in making
spending priority recommendations?
 What were my SAC’s recommendations this year? To what extent are those
reflected in my school’s budget?
 What changes might I recommend that my SAC makes in the way it makes spending
priority recommendations?
 How were our recommendations informed by needs identified in our current school
improvement plan?
 In what ways, if any, were our recommendations informed by anticipated needs
relative to next year’s improvement efforts?
 How if at all did our SAC solicit input from other members of the community
regarding school spending priority recommendations?
 How and when did we inform other members of the community of our
recommendations?
 How and when did SAC receive school budget information?
2. Budget Overview
The budget is a plan for balancing expenditures with revenues. It is based on estimates of
data that become better known as the year progresses.
The district superintendent prepares a budget that considers the needs and values of
students, parents, employees, principals and taxpayers and presents it to the Board of
Education. In the final stages of the budget process, the board must balance the needs of
students, parents and employees with the fiscal responsibility it has to the taxpayers. The
board is the final decision-maker on the budget.
2.1 Revenues
All Boulder Valley residents pay taxes that support the schools — some directly through
property and specific ownership taxes and others indirectly when businesses pass on the
cost of taxes through the price of goods, services and rent.
Schools are funded from basically three sources: local property tax, state funds and vehicle
registration fees (known as specific ownership tax). Although the State determines
individual school district funding levels, the amount contributed from the three different
sources varies according to local property values.
In addition to the state funding, Colorado law allows local school districts to ask voters to
approve override funding through an additional mill levy. This is paid entirely with
increased local property taxes. Boulder Valley voters generously approved such overrides
in 1991, 1998, 2002, 2005, and 2010. All of these overrides were to help the district with
operating costs. Funding from the most recent facilities bond approval in 2006 is restricted
to capital expenditures, as were the last two such bond approvals in 1994 and 1999. Except
with approved increases, the overall mill levy declines over time with a rise in assessed
valuation.
Table 1: BVSD Revenue Sources for FY2010-11
Property Taxes
Other Local Revenue
Sale of Fixed Assets
Internal Service Revenue
State Revenue
Federal Revenue
Services Provided to Charters
Other Revenue Sources
Total Revenue
199,579,466
38,708,998
20,000
24,759,988
65,923,952
4,266,544
4,018,519
10,844,274
348,121,741
2.2 Expenditures
Education is a profession that relies on people — teachers and support personnel.
Personnel costs (salaries and benefits) account for nearly 90 percent of Boulder Valley’s
$210.7 million 2009-10 general operating fund expenditures. While budget discussions
often focus on teachers, one cannot overlook the importance of the school support
personnel — approximately half of the total district workforce —whose jobs ensure that
teachers can focus their attention on the students.
The budget also funds the necessary equipment, supplies and training that enable
employees to fulfill their job responsibilities and to grow in their professions.
Table 2: BVSD Expenditures for FY2010-11
Salaries
Benefits
Pro/Tech Services
Property Services
Other Services
Supplies
Property
Other Uses
Debt Services (Payment
Debt)
Total Expenditures
174,907,779
46,237,314
5,739,961
5,113,197
32,546,386
16,884,075
97,063,402
42,637,189
11,535,000
on
432,664,303
2.3 School budgets
Principals are the managers of their schools and must be accountable to multiple groups at
the school level such as parents, students and staff. They also are accountable at the district
level to the superintendent, his staff and the Board of Education, and they must also meet
multiple state and federal requirements. Principals make recommendations for hiring the
staff to carry out the educational programs, and they manage the school’s non-salary
(operating) budget:
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Staff – teachers, paraprofessionals, principals, office personnel, custodians, and
other staff.
Operating – supplies, copier costs, equipment, staff development, leadership, and
student accounting system expenses. Textbook funds are budgeted centrally and
distributed to schools based on a textbook adoption calendar.
2.3.1 Staff budget allocations
Instead of a staff budget based on dollars, schools receive an allocation of staff positions
called “full-time equivalents” (FTE). The FTE allocation is based on each school’s student
population enrollment and programmatic needs. Enrollment estimates are made in the
spring so that principals can receive preliminary FTE allocations and make programming
decisions. Staffing is adjusted in August when the students arrive and actual enrollment is
known. Staff positions for special programs, such as special education, talented and gifted,
or English as a Second Language, are allocated by the district based on the number of
students who will need those services.
2.3.2 School resource allocations
Each school receives a school resource allocation (SRA) based on the school’s enrollment.
Over 80 percent of the total SRA in Boulder Valley is budgeted for instructional needs at the
school site. The SRA pays for classroom budgets, copiers and paper, office supplies, library
materials, custodial supplies, field trips, limited staff and curriculum development.
Principals work with their staffs and SAC to decide how to budget the SRA in ways that best
support the school’s goals and needs.
2.4 Budget Timeline
An ideal timeline for budget development, SAC input, decision-making, expenditures, and
SAC review for one fiscal year is illustrated in Figure 1.
Figure 1. Timeline for budget development. This calendar may change year-to-year.
2.4.1 Planning
The school fiscal year begins on July 1 and ends on June 30. Budget planning begins some 7
months prior to this, in November-December, after the State releases initial district funding
projections. The State revises these projections throughout the year.
Starting in January, the District solicits input on budget priorities from staff, parent groups,
and the community at large through a variety of methods including surveys, focus groups,
meetings, and a Budget Advisory Committee. During this time, each school should engage
school parents and the local community as to their recommendations for school spending
priorities. SAC should summarize and document their recommendations, and present them
to the school administration and to DAC.
School staffing projections are sent out by the District in March, based on student
enrollment projections. School administration aligns these staffing allocations with budget
priorities and school goals recommended by SAC and school staff to develop a school
budget.
In April, the Board of Education begins reviewing different budget options presented by the
District. District staff and the Board work together to see that instructional priorities guide
budget priorities as much as possible. Revised State funding projections, along with
budgets submitted by each school, are integrated into the District budget in May. The Board
reviews the District budget, then approves the budget in June before the fiscal year begins.
2.4.2 Fiscal Year
The school fiscal year begins on July 1. At this time, schools may begin spending funds in
preparation for the new school year.
In August, schools use revised projections of student enrollment to request that the District
adjust school staffing allocations. If approved, the school revises their budget in alignment
with school priorities.
The official count of student enrollment, by school, that sets State FTE funding occurs on
October 1 – known as the “October count”. The District uses these numbers, along with the
latest financial projections from the State, to revise the district budget. This revised budget
is reviewed by the Board and approved in December.
SAC reviews school budget expenditures in the January timeframe, to ensure that school
spending aligns with school priorities and goals.
In February, the District uses final revenue and student enrollment numbers to conduct a
mid-year financial analysis.
When the fiscal year ends on June 30, the District accounts for all revenues and
expenditures by balancing its books.
3. Best Practices
Educate – school administration ensures that SAC members (school staff, parents and the
community) are educated about the school budget process.
This education may come from the school administration, such as meetings or
presentations, and from the district, in materials such as this SAC Best Practices Manual.
Solicit – school administration engages the school community through the SAC about
budget choices.
SAC gives voice to parent budget priorities and values. SAC should also ensure that
proposed resource allocations align with school improvements goals. For example, cutting
library funding would not align with goals targeting literacy improvement.
SACs might form Finance Subcommittees to help fulfill this school budget review role.
Inform – school administration informs the SAC and the larger school community about
budget decisions that have been made.
4. Glossary of Terms
Assessed Valuation: The taxable value of real and personal property as determined by a
tax assessor or government agency as a basis for levying taxes. Assessed valuation does not
necessarily correspond to the property’s market value.
Benefits: District provided retirement (Colorado PERA), health and dental coverage, longterm disability, and life insurance. Benefits also include voluntary participation in 401(k),
403b and 457 defined contribution plans, flexible spending accounts in addition to
vacation, annual leave, personal, and sick days depending on the job classification. For
some job classifications, benefits also include longevity pay, tuition reimbursement and
Leave of Absence opportunities.
Board of Education (BOE): The 7-member elected policy-making body for BVSD whose
primary functions are to establish policies for the district; provide guidance for the general
operation and personnel of the district; and oversee the property, facilities, and financial
affairs of the district. Members are elected to four-year terms, and may serve no more than
two terms.
Boulder Valley School District (BVSD): Includes a large part of Boulder County, a
significant portion of western Broomfield County and a small piece of Gilpin County. This
area incorporates the cities of Boulder, Broomfield, Erie, Gold Hill, Jamestown, Lafayette,
Louisville, Nederland, Superior, Ward and unincorporated South Boulder County.
Budget: A plan of future events including anticipated revenues and expenditures, along
with the financial position at some future point in time.
Capital Expenditures: Those expenditures that result in the acquisition of or addition to
fixed assets.
Colorado Department of Education (CDE): State department that funds Colorado’s 178
school districts.
District Accountability Committee (DAC): DAC operates in accordance with the Legal
Guidelines for the Boulder Valley School District Accountability Committee, Board Policy
AF-E, and the Colorado Accreditation Program. The board of education, in cooperation with
the DAC, (1) establishes an accountability program to measure the adequacy and efficiency
of educational programs offered by the district; (2) consults with the DAC to compile school
building goals/objectives/plans and (3) reports the district’s goals/objectives/plans to
improve educational achievement, maximize graduation rates, and increase the ratings for
each school’s accreditation category to the public.
English as a Second Language (ESL): The BVSD program that supports and provides
services for the ELL student.
English Language Learner (ELL): A student who has a home, primary or first language
that is not English and who has not yet achieved proficiency in the English language. In
BVSD, a student is identified as ELL by meeting both of the following criteria: 1) the parent
has filled out a Home Language Survey identifying the significant presence of a language
other than English in the home and 2) the student is determined to have limited English
proficiency, as measured by the Woodcock-Muñoz Language Survey. Students identified as
ELL continue to be considered ELL until they have attained English language proficiency.
Expenditures: Decreases in net financial resources. Expenditures include current
operating expenses that require the current or future use of net current assets, debt
service, and capital outlays.
Fiscal Year: The twelve-month period of time to which the annual budget applies. All
Colorado school districts, by law, must observe a fiscal year that is July 1 through June 30.
Full Time Equivalent (FTE): An allocation of staff positions that a school receives from the
district, instead of a dollar amount. The allocation is based on each school’s student
population enrollment and programmatic needs
Mill Levy: The rate of taxation. A mill is one-tenth of a cent ($.001). Mill levies are
expressed in dollars per thousand, i.e., one dollar for each $1,000 of assessed value.
Override Revenues: A school district can seek authorization from its voters to raise and
expend “override” property revenues via an additional mill levy. BVSD held Special
Elections in November of 1991, 1998 and 2002 for the amounts of $7,062,468, $10,600,000
and $15,000,000 respectively. The total each year of $32,662,468 is used to support
programs in the General Operating Fund.
Parent(s): Parent, guardian or other persons with legal authority to make educational
decisions for children.
Pupil Enrollment: The number of pupils enrolled on October 1 during the budget year or
the school day nearest to said date, as evidenced by the actual attendance of each pupil
prior to said date. This is sometimes referred to as the head count.
Revenue: Funds received, generally from taxes or from a state or federal funding program,
which are not loans and which do not cause an increase in a liability account.
Salary: The total amount paid to an individual, before deductions, for personal services
rendered while on the payroll of the district.
School Accountability Committee (SAC): The SAC functions as an advisory committee to
the school on issues related to school improvement, accreditation and accountability.
Roles/responsibilities include: review of accountability reports and involvement in school
goals/planning, budget, safe school plan, and educational programs.
School Resource Allocation (SRA): General Fund resources provided to the schools to be
used to pay for day-to-day operating expenditures of the building.
Specific Ownership Tax: An annual tax imposed upon each taxable item of certain
classified personal property such as motor vehicles. The tax is computed by the County
Clerk in accordance with state schedules applicable to each sale of personal property.
Special Education Program (SPED): A special curriculum consisting of courses and other
provisions which are different from or provided in addition to those provided in the usual
school program and are provided for exceptional pupils by specially qualified personnel.
Supplies: Consumable material used in the operation of the school district including fuel
and natural gas, food, textbooks, paper, pencils, office supplies, custodial supplies,
maintenance materials and software.
Talented And Gifted (TAG): Program for children between the ages of 5 and 21 whose
abilities, talents, and potential for accomplishment are so outstanding that they require
special provisions to meet their educational needs.
5. Acronym Reference
BOE
BVSD
CDE
DAC
ELL
ESL
FTE
PERA
SAC
SPED
SRA
TAG
Board of Education
Boulder Valley School District
Colorado Department of Education
District Accountability Committee
English Language Learner
English as a Second Language
Full Time Equivalent
Public Employees Retirement Account
School Accountability Committee
Special Education Program
School Resource Allocation
Talented and Gifted
6. Additional Online Resources
CDE role of SAC
BVSD 2010 Budget Perspectives