For Adoption
June 18, 2014
Funds Operated By The District
3
State Budget Impact
4-5
Enrollment & Staffing
6-7
Portables Added
8
Certificated & Classified Staffing Changes
9 - 10
2014/2015 Budget Summary For All Funds
11
General Fund Proposed Budget
12
General Fund Statement of Fund Balance
13
General Fund Revenue Trend
14
General Fund Expenditure Trend
15
Associated Student Body Fund
16
Capital Projects Fund
17
Debt Service Fund
18
Debt Service Retirement Schedule
19
Transportation Vehicle Fund
20
Self-Insured Fund
21
Future Challenges
22
General Fund Supplemental Information & Reports
23 – 37
General Fund Budget Expenditure Summary By Program
24
Summary of Expenditures and Revenues By Program
25
Revenue Detail
26 – 27
Expenditures By Activity & Program
28 – 31
Changes in Materials/Supplies/Operating Costs (MSOC)
32 - 34
Selected Expenditure Increases
35 -37
2






General Fund
Associated Student Body (ASB) Fund
Capital Projects Fund
Transportation Vehicle Fund
Debt Service Fund
Self Insured Fund
◦ Workers’ Compensation
◦ Dental
3
Funding Source
MSOC (Materials/Supplies/Operating Costs)
Amount
$
1,559,015
MSOC: Lab Science
820,757
Running Start Rate Increase & Enrollment Growth
310,577
Transportation Funding $3.52M to $4.98M
1,461,684
Special Education $9.99M to $10.53M
540,115
Tri Tech/Career and Technology
208,810
Other State Funding Formula Adjustments
250,000
Total Funding Formula Impact


$
5,150,958
No Cost of Living Increase Funded By State
Full Day Kindergarten (KG)
 State not expanding full day KG until 2015/2016
 To be fully funded by 2017/2018
4

Learning Assistance Program
 13/14 $3.9M
 14/15 $4.1M

Transitional Bilingual
 13/14 $1.94M
 14/15 $1.98M

Teacher Principal Evaluation Program
 13/14
 14/15
$151,520
$ 77,264
5



Enrollment Budgeted To Increase 113 FTE For 14/15
◦ FTE 13/14 Actual: 16,663
◦ FTE 14/15 Budget: 16,776
 113 FTE Increase From:
 +71 New Students
 +64 From large primary grade advancement vs. exiting senior class
 (22) Conservative Tri Tech/MCP/CBC Academy student enrollment
Increased Staffing For 14/15 As Compared to 13/14 Budget.
◦ Certificated: 1,010.50 to 1,056.09 +45.59 FTE
◦ Classified:
625.13 to 655.43 +30.30 FTE
Building Budget Per Student Allocation
Elementary
Middle School
High School
Building
$94
$110
$122
Reading
20
0
0
Curriculum
25
10
10
~ Average
~$75,957
~$112,900
~$184,380
6
7
Building
Portables
Need
Cascade
2
Growth
Hawthorne
2
Growth
Southgate
2
Growth
Sunset View
2
Growth
Ridgeview
1
Growth
Washington
1
Growth
Westgate
6
Growth/Intervention/Computer Lab
Highlands
3
Growth
Horse Heaven Hills
2
Growth
Purchased Portables
Desert Hills
21
2
From E-Gate
Growth
8
9
10
Budgeted Revenue
Budgeted Expenditures
173,621,839
173,621,839
Change In Fund Balance Prior To Transfers
-
Tranfer Out To Capital
Transfer Out To Capital (Tri Tech)
Transfer Out To Transportation
Transferred In From General Fund
Change In Fund Balance
Budgeted Ending Fund Balance
(3,000,000)
(1,500,000)
(300,000)
-
- In s
u
D en r e d
ta l
2,583,675
2,820,703
9,550,000
31,855,505
10,254,200
10,212,194
445,100
735,000
1,350,000
1,658,000
2,740,000
2,830,000
(237,028)
(22,305,505)
42,006
(289,900)
(308,000)
(90,000)
1,500,000
3,000,000
-
-
-
(4,800,000) $
(237,028) $
(17,805,505) $
42,006 $
$
22,400,000 $
1,103,461 $
5,832,404 $
5,515,006 $
545,527 $ 1,336,939 $
S el f
23,637,909 $
-
5,473,000 $
S el f
W o r In su r e d
ke r s
' Co
mp
sp o
r
V eh t at i o n
ic le
T r an
t Se
r vi c
e
D eb
Pro
i t al
1,340,489 $
$
Nonspendable/Inventory
Restricted
Assigned
Committed to Minimum Fund Balance
Budgeted Ending Fund Balance
27,200,000 $
je ct
s
$
C ap
A ss
o
S t u d ci a t e d
e nt
B od
y
d
F un
e ra l
G en
Estimated Beginning Fund Balance
-
755,016
-
-
-
-
(308,000) $
(90,000)
555,627 $ 1,028,939 $
665,016
300,000
10,100 $
600,000
3,299,301
11,500,699
7,000,000
$
22,400,000
11
12
13
Kennewick School District
General Fund
Revenue Budget Trend
Source
Property Taxes
Levy Equalization
State Apportionment
State Apportionment (Tri Tech)
State Apportionment (CTE 9-12)
State Apportionment (CTE 7-8)
State Apportionment (Running Start)
State Apportionment (MCP)
State Apportionment Special Ed
Special Education
Federal Special Education
Learning Assistance Program
Transitional Bilingual
Transportation
Early Childhood Education
Federal Programs
Food Service Local
Food Service State
Food Service Federal
DSHS Administrative Match
State National Board Funding
Grant/Carryover Capacity
Other Grants & Revenues
Total Revenue
Budget 12/13
$
21,120,080
9,735,000
68,337,429
3,400,715
4,373,968
279,959
868,308
910,600
2,370,990
9,192,993
3,024,428
2,273,651
1,682,637
2,450,000
1,432,080
6,258,926
1,593,649
123,918
4,399,790
225,000
750,000
2,000,000
2,687,815
Budget 13/14
$
22,503,980
9,400,000
77,664,346
3,613,352
4,528,809
362,349
926,928
1,156,470
2,686,130
9,990,195
2,951,316
4,017,960
1,944,652
3,525,000
1,642,794
6,812,799
1,487,304
124,711
4,735,463
300,000
848,448
2,001,339
2,384,336
Proposed
% Of 14/15
Budget 14/15
Budget
$
23,401,250
13.5%
10,400,000
6.0%
81,703,991
47.1%
3,941,535
2.3%
4,538,962
2.6%
332,821
0.2%
1,237,505
0.7%
1,173,900
0.7%
2,825,177
1.6%
10,530,310
6.1%
2,980,675
1.7%
4,107,898
2.4%
1,988,753
1.1%
4,986,683
2.9%
1,677,000
1.0%
7,154,964
4.1%
1,404,733
0.8%
133,915
0.1%
5,358,509
3.1%
250,000
0.1%
942,720
0.5%
0.0%
2,550,538
1.5%
$
$
$
149,491,936
165,608,681
173,621,839
Change From
Prior Yr
Budget
$
897,270
1,000,000
4,039,645
328,183
10,153
(29,528)
310,577
17,430
139,047
540,115
29,359
89,938
44,101
1,461,683
34,206
342,165
(82,571)
9,204
623,046
(50,000)
94,272
(2,001,339)
166,202
100% $
8,013,158
14
Kennewick School District
General Fund
Expenditure Budget Trend
Change From
Program
Basic Education
Special Education
Career & Technical Education
Tri Tech
Federal Title Programs
Learning Assistance Program
Transitional Bilingual
State Special Purpose
Early Childhood Ed. (ECEAP)
Other Grants/Future Staffing
Utilities (All Programs)
Liability/Property Insurance All Programs
Maintenance/Grounds/Custodial
Data Processing
Business Systems Support
Administrative Support Services
Warehouse & Printshop
Food Service
Transportation & Motor Pool
Fuel
Other Programs/Costs
Total
Budget 12/13
Budget 13/14
82,623,130
17,726,859
4,275,788
3,536,056
5,861,320
2,180,122
1,501,246
1,746,048
1,337,080
2,000,000
2,916,300
976,000
7,677,686
2,487,535
40,000
2,896,803
917,873
6,175,525
4,213,162
885,000
578,696
88,747,705
18,652,332
4,510,599
3,758,430
6,436,404
3,871,613
1,722,455
1,749,874
1,526,365
2,001,339
2,912,000
1,130,000
8,553,166
3,011,629
40,000
2,981,609
911,269
6,449,639
4,513,844
885,000
676,408
Proposed
% Of 14/15
Prior Year
Budget 14/15
Budget
Budget
93,303,820
19,780,427
4,791,749
3,937,314
6,664,200
3,950,000
1,735,387
1,927,490
1,677,000
1,356,197
3,028,000
1,196,000
9,360,979
3,600,829
40,000
3,294,653
943,424
6,985,874
4,607,757
885,000
555,739
$ 152,552,229 $ 165,041,680 $ 173,621,839
53.7%
11.4%
2.8%
2.3%
3.8%
2.3%
1.0%
1.1%
1.0%
0.8%
1.7%
0.7%
5.4%
2.1%
0.0%
1.9%
0.5%
4.0%
2.7%
0.5%
0.3%
100.0% $
4,556,115
1,128,095
281,150
178,884
227,796
78,387
12,932
177,616
150,635
(645,142)
116,000
66,000
807,813
589,200
313,044
32,155
536,235
93,913
(120,669)
8,580,159
15
16
Associated Student Body (ASB) Fund
Preliminary Budget 14/15
Adopted
Budget 13/14
Beginning Fund Balance
Projected
13/14
Change From
Preliminary
Prior Year
14/15
Budget
$
1,427,110 $
1,474,888 $
1,340,489 $
(86,621)
General Student Body
Athletics
Classes
Clubs
Private Monies
$
713,580 $
531,279
95,600
1,187,865
96,400
580,000 $
400,000
50,000
700,000
30,000
706,765 $
483,975
82,800
1,255,535
54,600
(6,815)
(47,304)
(12,800)
67,670
(41,800)
Total Revenues
$
2,624,724 $
1,760,000 $
2,583,675 $
(41,049)
601,398
807,700
88,800
1,269,705
53,100
(35,201)
107,481
450
(18,448)
(45,300)
Revenue
Expenditure
636,599
700,219
88,350
1,288,153
98,400
General Student Body
Athletics
Classes
Clubs
Private Monies
350,000
535,000
55,000
924,399
30,000
Total Expenditures
$
2,811,721 $
1,894,399 $
Change In Fund Balance
$
(186,997) $
(134,399) $
Ending Fund Balance
$
1,240,113 $
1,340,489 $
2,820,703 $
8,982
(237,028)
1,103,461 $
(136,652)
17
Debt Service Fund
Preliminary Budget 14/15
Adopted
Budget
13/14
Beginning Fund Balance
Projected
13/14
$
5,255,170
$
$
9,983,850 $
5,357,354
Preliminary
14/15
$
5,473,000
Change From
Prior Year
Budget
$
217,830
10,254,200 $
270,350
Revenue
Local Taxes
10,117,490 $
Expenditure
6,970,000
3,035,000
Mature Bonds
Bond Interest
6,970,000
3,031,844
Total Expenditures
$
10,005,000 $
10,001,844 $
Change In Fund Balance
$
(21,150) $
115,646 $
Ending Fund Balance
$
5,234,020 $
5,473,000 $
7,520,000
2,692,194
10,212,194 $
550,000
(342,806)
207,194
42,006
5,515,006 $
280,986
18
Kennewick School District
Debt Service Retirement Schedule
School Year
13/14
14/15
15/16
16/17
17/18
2018 - 2028
$
Principal
Pre-2009
Issue
-
Principal 2009
Issue
6,970,000
7,520,000
8,080,000
2,020,000
2,200,000
39,260,000
Total Principal
Outstanding
6,970,000
7,520,000
8,080,000
2,020,000
2,200,000
39,260,000
-
$ 66,050,000
$ 66,050,000
$
Interest
Pre-2009
Issue
-
Interest 2009
Issue
3,031,844
2,682,194
2,318,788
2,080,281
1,974,781
12,308,890
-
$ 24,396,778
Total Debt
Service
10,001,844
10,202,194
10,398,788
4,100,281
4,174,781
51,568,890
$
90,446,778
19
Transportation Vehicle Fund
Preliminary Budget 14/15
Adopted
Budget
13/14
Beginning Fund Balance
Projected
13/14
$
694,630
$
$
400,000 $
300
694,646
Change From
Preliminary
Prior Year
14/15
Budget
$
545,527
$
(149,103)
505,488 $
240
445,000 $
100
45,000
(200)
400,300
505,728
445,100
44,800
970,000
954,847
735,000
(235,000)
735,000 $
(235,000)
Revenue
Depreciation Reimbursement
Interest Earnings
Total Revenues
Expenditure
Bus Replacement (6 To Pay For 14/15)
Total Expenditures
$
970,000 $
954,847 $
Change In Fund Balance Prior To Transfer In
$
(569,700) $
(449,119) $
Transfer In From General Fund
$
300,000 $
300,000 $
300,000 $
Ending Fund Balance
$
424,930 $
545,527 $
555,627 $
(289,900)
130,697
20
Self-Insured Fund
Preliminary Budget 14/15
Workers' Compensation
Adopted
Budget 13/14
Beginning Fund Balance
Projected
13/14
Dental
Preliminary
Budget 14/15
$
1,283,282 $
1,403,851 $
1,336,939
Revenue From Rates/Premiums
$
1,340,000 $
1,340,000 $
1,350,000
Total Budgeted Revenues
$
1,340,000 $
1,340,000 $
1,350,000
72,000
20,000
78,000
20,000
80,000
20,000
1,100,000
52,000
350,000
12,500
58,000
10,000
880,000
50,712
310,000
10,000
58,200
-
1,100,000
52,500
325,000
12,500
58,000
10,000
Adopted
Budget 13/14
Projected
13/14
Preliminary
Budget 14/15
725,425
750,016
755,016
$
2,630,000 $
2,680,000 $
2,740,000
$
2,630,000 $
2,680,000 $
2,740,000
-
-
Revenue
Expenditure
Classified Wages & Benefits
Supplies/Training/Travel
Purchased Services
Claims
Third Party Administrator Fees
Labor & Industry Quarterly Assessment
Medcor Call Center
Excess Insurance
Professional Services/Insurance Fees
Total Expenditures
$
1,674,500 $
1,406,912 $
Change In Fund Balance
$
(334,500) $
(66,912) $
$
948,782 $
1,336,939 $
Projected Ending Fund Balance
1,658,000
(308,000)
1,028,939
-
2,500,000
190,000
-
2,480,000
195,000
-
2,625,000
205,000
-
$
2,690,000 $
2,675,000 $
2,830,000
$
(60,000) $
5,000 $
$
665,425 $
755,016 $
(90,000)
665,016
Effective date of district moving to self-insured dental program: October 2004
Effective date of district moving to self-insurred workers' compensation program: October 2005
Self Insured Fund established September 1, 2007.
Dental rate history (05/06: $91.85) (06/07: $106.90) (07/08: $109.03) (08/09 - 14/15: $114.00)
21
Future Challenges

Class Size
 Compliance with student/teacher class size ratios
 2014/2015 K-1 Full Funding at 20.30 ratio
 District at ~21.74 for 2013/2014

Full Day Kindergarten To Be Fully Funded By 2017/2018
 Require additional portables
 2015/2016
 Lincoln/?Cascade?
 2016/2017
 Cascade/Southgate/Sunset View
 2017/2018
 Ridgeview/Cottonwood

24 Credit Graduation Requirement
 Begins with class of 2019
 Require more teachers, classrooms and course offerings.
 Grade 9-12 Class Size Lab Science Funding
 Funded through state MSOC allocation but associated with class
size of 19.98.
22
23
24
25
26
27
28
29
30
31
32
33
34
General Fund
Selected Certificated Staff Expenditure Increases
2014/2015 School Year
Certified Staffing
Teacher Professional Days: Added 3.5 days for 13/14 but only 1.0 included
in budget. For 14/15 add another 1.5 days.
Amount
$ 1,180,000
Add Elementary New Teacher Positions 14.5 FTE
957,000
Add New Middle School Teacher Positions 2.67 FTE
176,000
Add New High School Teacher Positions 3.20 FTE
211,000
Special Education Certificated Staffing: +4.10
270,000
Nurse Staff + 1.20 FTE
78,000
Increase Peer Assistance Review (PAR) FTE from 2.0 to 3.0 +1.0
100,000
Shift Title II Funded Teachers To Basic Education Funding 4.00 FTE
282,000
Principal Assistance At 4 Highly Impacted Elementaries 4.0 FTE (2.0 Funded
BEA)
195,000
K-1 Specialist To Impact Class Size Ratio +2.50 At Vista/CView/Hawth./Wash.
165,000
Employee Salary Scale Advancement
510,000
Retirements/Other Adjustments/13/14 Positions Not Filled
Other Pool $/Extracurricular/Training/Leave Cash Out/Add’l Periods
Estimated Certified Staffing Cost Increase
(908,689)
254,144
$ 3,469,455
35
General Fund
Selected Classified Staff Expenditure Increases
2014/2015 School Year
Classified Staffing
Additional Secretary Hours at Elementary and Middle Schools (4 hour per day)
Para Educator Salary Scale Adjustment For AA Required Title Buildings/BA
required
Amount
$ 340,000
70,000
Add Maint./Grounds Positions +3.0 +2.0 Grounds/+1.0 Foreman
195,000
Added Daily Custodial Hrs (+8.0 from 13/14) (+4.0 Elem/ +16.0 MS for 14/15)
165,000
Administrative Assistance-Capital Projects +1.0 FTE
50,000
Para Time For Computer Labs (Pilot 1 – 2 elementary sites +2.0 Para FTE)
50,000
Employee Step Advancement & 14/15 Bargained Costs
383,252
Added 1.0 IT staff position during 2013/2014
56,748
Bargained Training Days Prior To School Start (Safety/Other)
80,920
Added Human Resources 2.0 Hrs/.25 FTE / Payroll Department 3.0 Hrs/.38 FTE
37,700
Special Education Classified Staffing: Add para educator hours ~53 hrs ~5.0 FTE
225,000
In House Attorney Position: can offset some cost with current budget.
140,000
Nurse Positions LPNS: 13/14 has 20.5 hrs more than 13/14 budget
125,000
District pool $ (coaching $114K, overtime $59K, $93K leave cash out/ sub pay ($16K),
training $20K, reductions ($70K)
198,569
District funded portion of state Health Care Authority (HCA) contribution for classified
employees (at 50%+)
350,000
Estimated Classified Staff Cost Increase
$ 2,467,189
36
General Fund
Selected Non-Staff Related Expenditure Increases
2014/2015 School Year
Material, Supplies, and Operating Costs (MSOC)
Building Budget Increased Funding Based On Enrollment
Increase to property/liability insurance +10%: increase budget $1.13M to $1.19M
Amount
$
70,000
66,000
Utility Cost (Propane +$25K/ Natural Gas +$75K /Other +$16K)
116,000
Maint. (Grounds +$45K/ Maint. +$150K/ Custodial +$15.5K)
210,500
District M&O Fleet/Equipment Replacement $45K to $90K
IT Operating Budget (At $1.92M/Needs $3.0M per year) +500K for $2.4M budget
Arts Adoption Ongoing Support Costs
Transportation (GPS System for 20 Buses/other costs) GPS already budgeted
45,000
500,000
50,000
9,000
Special Education Contract Services/Budget short for 13/14
237,180
Curriculum Adoption Set Aside $668,700 to $773,763
105,063
CBC Running Start: Budget 215 FTE for 14/15 as compared to 175 for 13/14
282,958
Other MSOC Increases
103,732
Estimated MSOC Cost Increases For 2014/2015
$ 1,795,433
37