Plumas Lake Elementary School District 2013-14 Budget Adoption Presentation June 20, 2013 Each student will reach their fullest potential as we strive for District excellence through sound leadership, effective communication, accountability, and investment in our staff. Financial Reporting Cycle Budget development is a continuous process • Budget is developed based on assumptions in June; • Assumptions are usually based on the information in the May Revise • Assumptions change during the year and we are required to file two interim reports during the year: • First Interim – Due December 15, 2013 • Second Interim – Due March 15, 2014 • Budget Timeline: • Governor released his Budget Proposal for 2013-14 in January • Governor released the May Revise in May, which is based on updated revenue and expenditure data • Legislature met its constitutional deadline and passed the 2013-14 budget and trailer bills on June 15 • Changes how schools receive State Aid – Local Control Funding Formula • Every district has a unique target base grant that will restore funding to 2007-08 funding levels • Districts will move toward the target each year • Governor will sign or veto budget bill • We won’t have budget details until July 2012 • Annual financial reporting: • Budget Adoption – Due July 1, 2013 • First Interim – Due December 16, 2013 • Second Interim – Due March 17, 2014 • Unaudited Actuals – Due September 15, 2014 Budget Assumptions 2012-13 Budget at Second Interim 2012-13 Estimated Actuals – Budget Development 2013-14 Budget Development Statutory COLA 3.24% 3.24% 1.565% Deficit Factor 22.272% $0.77728 per $1.00 22.272% $0.77728 per $1.00 18.997% $0.81003 per $1.00 Revenue Limit (RL) w/ COLA RL w/ deficit Loss per ADA $6,912.36 $5,372.84 $1,539.74 $6,912.36 $5,372.84 $1,539.74 $7,013.26 $5,680.95 $1,332.31 State Categorical Programs COLA 0 0 0 Ed Jobs Funds ($222,813 final $12K $12K Federal Funds COLA 0 0 0 Average Daily Attendance (ADA) 1045 K-8 plus 6.19 County – 1051.19 1050.5 K-8 plus 6.68 County – 1056.68 1050.5 K-8 plus 6.68 County – 1056.68 Lottery Base Lottery Prop 20 $124.25 $30.00 $124.00 $30.00 $124.00 $30.00 entitlement) Budget Assumptions (continued) Reserves Set aside five percent for economic uncertainty Indirect Costs Categorical Programs – 7.29 percent Commit funds for one Certificates of Participation (COP) Debt Service Payment Cafeteria Fund – 5.31 percent Assign funds for Local Control Funding Formula – possible decrease in revenue Projected Enrollment as of 6/18/13 TK K 1 2 3 4 5 6 7 8 CB 14 60 43 64 49 39 38 307 Rio 20 59 61 82 82 65 74 443 SDC 5 RM Total (SDC included in last column only) Total 34 119 104 146 131 104 112 121 111 92 324 121 111 92 1079 • We can use current year projections or prior year P2 data for Revenue Limit calculations. ▫ Prior year ADA, i.e., 2012-13 P2 Data for Revenue Limit calculations: 1050.50 District K-8 6.18 County SDC 1056.68 Total ▫ Projected District K-8 ADA based on current enrollment projections: 1079 x 97.0% = 1046.6 6.18 County SDC 1052.81 Total Plumas Lake ESD Organizational Chart Governing Board Superintendent Administrative Assistant Program Technician Computer Technician Principal Site Staff Principal Site Staff Director FMOT Principal Site Staff Director Curriculum/Instruction and Sp Ed FMOT Secretary School Psychologist Groundskeepers/Maintenance (2 positions) Maintenance Worker Site Sp Ed Staff Bus Drivers/Custodians Account Technicians Sp Ed Secretary Food Services Manager Site Food Services Workers Academic Coach Site Custodians Director of Business Services Counselor Site Staff Cobblestone Rio Del Oro Riverside Meadows Office Administrator Site Secretary Administrator Site Secretary Office Clerk (3 hrs) Administrator Site Secretary Office Tech (8 hrs) Regular Classroom Teachers 15 FTE Teachers (includes TK classroom) 20 FTE Teachers 12 FTE Teachers Special Ed 1 FTE Teacher 2 Paras Learning Center (LC) 2 FTE Teachers 2 Paras SDC 2 Paras LC 1 Paras One-on-One 1 FTE Teacher 4 Paras LC 1 Para One-on-One Other 0.4 FTE PE Teacher 0.375 FTE Library 0.8125 FTE TK Para 0.6 FTE PE Teacher 0.375 FTE Library Clerk 0.8125 FTE TK Para 2 FTE PE Teacher 0.4 FTE Band Teacher 0.375 FTE Library Clerk Yard Duty/Campus Supervision 6 hours Yard Duty 6 hours Yard Duty 2 hours Crossing Guard 1.75 hours Yard Duty 5.5 hours Campus Monitor Custodial 1.875 FTE 2 FTE 2 FTE Shared positions Health Clerk – 6 hours Academic Coach – 1 FTE Counselor – 1 FTE Psychologist – 1 FTE Local Control Funding Formula • Local Control Funding Formula (LCFF) will replace revenue limits • Most categoricals will now be included in the formula (see slide with Tier III categoricals) • Economic Impact Aid and Class-Size Reduction will also be a part of the LCFF • Categoricals that are excluded: ▫ ▫ ▫ ▫ Transportation Targeted Instructional Improvement Grant (TIIG) Special Ed Child Nutrition • Transportation and Targeted Instructional Improvement Grants will be addons and can be used for any educational purpose Local Control Funding Formula • Districts will receive a base grant amount based on grade-level • Adjustments will be made for class size reduction • Districts will receive supplemental funding based on percentage of low income, English learners and students in foster youth K-3 4-6 7-8 Base Grant Amount (based on May Revise) $6,845 $6,947 $7,154 Adjustment Factors (Class size reduction) $712 Enrollment eligibility (percent low income, English learners, or in foster youth) 40% 40% 40% Supplemental (35%) for English learners, low income and in foster youth $548 $556 $572 Concentration (35%) for English learners, low income and in foster youth above 50% - - - Local Control Funding Formula K-3 4-6 7-8 Amount per grade level $8,104 $7,503 $7,726 Enrollment 494.12 360.23 196.15 $4,004,586 $2,702,719 $1,515,518 Add TIIG $4,433 Add Transportation $48,697 Total Funding $8,275,953 Revenue Limit and Categoricals Revenue Limit Sources (2012-13) $6,229,268 Economic Impact Aid $43,757 Class Size Reduction $457,317 Tier III Categoricals $251,309 Targeted Instructional Improvement $4,433 Transportation $48,697 Total $7,034,781 Districts will receive 11.75% of the gap between the LCFF and RL calculations methods: $8,275,953 - $7,034,781 = $1,241,172 x 11.75% = $145,838 Revenue Limit Calculations • Revenue Limit Calculations ▫ Used the School Services of California Dartboard assumptions to calculate revenue limit ▫ Will make adjustments once there is more information available California Department of Education will have to make changes to the software Revenue Sources Revenue Source 2012-13 Second Interim Budget 2012-13 Estimated Actuals Budget 2013-14 Budget Variance (Est Act vs Budget) Note Revenue Limit Sources $6,195,621 $6,229,268 $6,529,561 4.8% Federal Revenue $300,873 $305,960 $277,734 -9.2% Sequester cuts, no Ed Jobs funding Other State Revenue $1,033,966 $1,031,176 $1,047,997 1.6% Mandated costs block grant Other Local Revenue $487,567 $492,894 $491,348 -0.3% Less interest and misc. revenue Interfund Transfers In $26,300 $26,300 $23,000 -12.5% CFD Admin costs Total Revenue $8,044,327 $8,085,598 $8,369,640 -3.6% Federal Revenue • No Child Left Behind (NCLB) Funding ▫ Title I Improving the Academic Achievement of the Disadvantaged Part 1 – $76,670 ▫ Title II Preparing, Training, and Recruiting High Quality Teachers and Principals - $6,078 ▫ Title III – English Language Acquisition, Language Enhancement and Academic Achievement for Limited English Proficient (LEP) Students - $6,532 • Special Education ▫ Local Assistance Grants - $83,261 ▫ SPED IDEA Mental Health funds - $12,693 • Federal Impact Aid (unrestricted) – $32,500 • Medi-Cal Administrative Activities (MAA) - $35,000 • Medi-Cal Option Billing (grant thru YCOE) - $30,000 Other State Revenue Prop 20 Lottery Funds - $30 per ADA = $32,250 Economic Impact Aid $43,757 Lottery (unrestricted) - $124 per ADA = $133,300 Tier III Categoricals and other State Revenue $283,276 Class-Size Reduction K-3 - $457,317 Transportation $48,697 Other State Revenue - Tier III Categorical Flexibility Education Code Section 42605 allows complete flexibility in the use of funds appropriated in the State budget for fiscal years 2008-09 through 2014-15 for numerous programs and can be used for any educational purpose. Grants included in this flexibility are: Closed Programs: •Administrator Training - $4,849 •Art and Music Block Grant - $15,115 •California Peer Assistance & Review Program - $5,148 •CAHSEE Intensive Instruction - $800 •Community Based English Tutoring- $4,478 •Math and Reading Professional Development - $9,018 •Professional Development Block Grant - $11,597 •School Safety and Violence Prevention - $7,990 •Supplemental Hourly Programs - $24,143 •Targeted Instructional Improvement - $3,914 Tier III Categorical Flexibility (continued) • Closed Programs (continued) • Gifted and Talented Education – $66,473 • School Library Improvement Block Grant - $10,437 • Programs closed but operating with original intent of program • Instructional Materials Funding Realignment Program - $56,959 - funding is used to purchase approved curriculum • Deferred Maintenance - $33,382 • Routine Restricted Maintenance – flexibility to transfer one percent of expenditures (previously was three percent of General Fund expenditures) NOTE: With new funding method, all these categoricals with the exception of Targeted Instructional Improvement Grant will become a part of the LCFF funding formula. Other Local Revenue and Other Financing Sources • Other Local Revenue ▫ ▫ ▫ ▫ ▫ Interest Earnings - $20,000 Leases and Rentals – $56,300 Other revenue $9,800 Bus Fees - $13,000 Sp Ed Transfer from YCOE – $392,248 • Other Financing Sources ▫ Interfund Transfers In - $23,000 (From Fund 52 for CFD Admin costs) Expenditures 2012-13 Second Interim Budget 2012-13 Estimated Actuals Budget 2013-14 Budget Adoption Change Certificated Staff $3,744,745 $3,860,051 $3,887,597 0.7% Classified Salaries $1,313,915 1,346,178 1,396,058 3.7% Employee Benefits $1,585,382 $1,604,179 $1,593,126 -0.7% Books and Supplies $388,352 $421,884 $337,067 -20.1% Services/Op Expenses $1,037,871 $1,027,339 $1,014,091 -1.3% Capital Outlay $14,600 $0 $0 Other Outgo $273,100 $265,693 $268,852 1.2% Indirect ($9,734) ($9,916) ($12,486) 25.9% Interfund Transfers Out $24,503 $28,172 $38,711 37.4% Total Expenditures $8,372,734 $8,543,580 $8,523,014 Salaries and Benefits Category 2012-13 Budget Second Interim 2012-13 Budget Estimated Actuals 2013-14 Budget Adoption Change Notes Certificated $3,744,745 $3,860,051 $3,887,597 0.7% Includes step increase Classified $1,313,915 $1,346,178 $1,396,056 3.7% Includes step increase Benefits $1,585,382 $1,604,179 $1,593,126 -0.7% District contribution: STRS $304,880 $313,072 $319,927 8.25% PERS $138,037 $140,062 $145,852 11.417% OASDI/Medicare $142,173 $146,655 $152,149 6.2%/1.45% $825,876 $825,074 $828,768 $10,000 per FTE Unemployment $62,069 $63,667 $11,021 0.05% Worker’s Comp $96,192 $98,882 $117,075 2.2246% PERS Reduction/Other $$16,155 $16,667 $18,334 1.603% Health Books and Supplies Category 2012-13 Budget Second Interim 2012-13 Budget Estimated Actuals 2013-14 Budget Adoption Change Note Approved Textbooks and Core Curricula Materials $73,616 $77,370 $20,000 -74.2% No adoptions planned Books and other reference materials $9,664 $16,295 $10,350 -36.5 Materials and supplies $233,841 $247,079 $205,217 1.3% Non-capitalized Equipment $71,231 $81,140 $56,500 -30.4% Total $388,352 $421,884 $337,067 -20% SmartBoards One-Time Expenditures SmartBoards and clickers – $45,500 ( Title I and Lottery) Total $50,500 Transitional kindergarten startup - $5,000 Services and Other Operating Expenditures Category 2012-13 Budget Second Interim 2012-13 Budget Estimated Actuals 2013-14 Budget Change Subagreements $96,450 $95,399 $67,000 -29.8% Travel and Conferences $42,528 $41,105 $42,022 2.2% Dues and Memberships $4,475 $4,475 $5,040 12.6% Insurance $85,243 $85,243 $85,305 0.1% Ops/Housekeeping $269,129 $269,129 $277,980 3.3% Rentals/Leases $85,220 $82,562 $88,720 7.1% Directs Costs Interfund ($34,996) ($34,996) ($35,774) 2.2% Consulting/Professio nal $438,561 $433,039 $435,938 0.7% Communications $51,261 $51,083 $47,860 -6.3% Total $1,037,871 $1,027,339 $1,014,091 -1.3% Other Outgo Category 2012-13 Budget Second Interim 2012-13 Budget Estimated Actuals 2013-14 Budget Change Payments to County Offices $266,500 $259,093 $268,852 3.8% Debt Service $6,600 $6,600 Transfers of Indirect Fund 13 ($9,734) ($9,916) -100% ($12,468) 25.9% Contracted Services and Other Outgo • Health Services ▫ Nurse – $30,000 • Special Education ▫ ▫ ▫ ▫ Occupational Therapist = $50,000 Behavior Specialist - $36,336 Special Behavior Assessments - $1,000 Excess Program Costs - $268,852 Yuba County Office of Education Sutter County Superintendent of Schools ▫ Transportation – Marysville Joint Unified School District - $51,000 • Technology ▫ Advanced Technology Group - $55,000 ▫ Yuba County Office of Education - $79,400 • Professional Development ▫ District-wide - $37,290 • Audit - $15,000 • Legal Counsel - $13,500 Contributions to Restricted Programs Category Transportation Routine Restricted Maintenance Revenue $61,697 No State Funding $475,509 Contribution from unrestricted & RL transfer (SPED only) $102,004 $310,289 $596,547 Total Revenue $163,701 $310,289 $1,072,056 Certificated Staff Special Education $300,675 Classified Staff $45,348 $138,290 $222,951 Benefits $20,528 $58,109 $158,290 Materials & Supplies 17 $73,600 $2,450 Services & Other Operating Expenditures $11,010 $19,207 $66,550 SPED Transportation Costs $30,000 Excess Program Costs/Indirect $9,920 $21,083 $52,288 Total Expenditures $149,173 $310,289 $1,072,056 $268,852 General Fund Activity and Reserves Category 2012-13 Budget Second Interim 2012-13 Budget Estimated Actuals 2013-14 Budget Beginning Balance $3,077,693 $3,077,693 $2,619,711 Revenue $8,044,327 $8,085,598 $8,369,640 Expenditures $8,372,734 $8,543,580 $8,523,014 Net Increase/Decrease ($328,407) ($457,982) ($153,374) Ending Fund Balance $2,749,286 $2,619,711 $2,466,337 $425,864 $425,001 Revolving Cash $5,100 $5,100 $5,100 Restricted Funds $80,444 $75,443 $57.955 Committed - COP Debt $410,188 Service $410,188 $410,188 Assigned - Salary Increase $115 355 $115,355 Economic Uncertainty $417,322 Local Control Funding Formula Impact Available for budget $1,720,878 shortfalls $193,730 $193,700 $1,394,061 $1,374,393 Multi-Year Projections (MYP) Budget Assumptions 2013-14 Budget Development 2014-15 Projection 2015-16 Projection Statutory COLA 1.565% 1.80% 2.20% Deficit Factor 18.997% $0.81003 per $1.00 18.997% $0.81003 per $1.00 18.997% $0.81003 per $1.00 Revenue Limit (RL) w/ COLA RL w/ deficit Loss per ADA $7,013.36 $5,681.03 $1,332.33 $7,131,.36 $5,776.62 $1,354.74 $7,278.36 $5,895.69 $1,382.67 State Categorical Programs COLA 0 1.8% 2.2% Federal Funds COLA 0 0 0 Average Daily Attendance (ADA) 1050.5 K-8 plus 6.18 County = 1056.68 1050.5 K-8 plus 6.18 County = 1056.68 1050.5 K-8 plus 6.18 County = 1056.68 Lottery Base Lottery Prop 20 $124 $30 $124 $30 $124 $30 California Consumer Price Index 2.3%% 2.20% 2.30% MYP Budget Assumptions (continued) • Salaries and Benefits: ▫ ▫ ▫ ▫ No changes to staffing Included step increase for all eligible employees No changes to statutory benefits Health, Dental, Vision contribution – $10,000 per FTE MYP Assumptions That May Impact the Budget Issue Current Assumption Current Status Impact Enrollment/ADA and Revenue Limit 2012-13 P2 Data 1050.50 Enrollment as of 6/18/13 is 1079 x 97% = 1046.63 ADA Unknown Current law allows district to use prior year ADA Local Control Funding Formula Using School Services of California (SSC) Dartboard for Revenue Limit Calculations Based on information from SSC District will receive less funding with Local Control Funding Formula ($193,700) Less State Aid Multi-Year Projections 2012-13 Budget 2013-14 Projection 2014-15 Projection Beginning Fund Balance $2,619,711 $2,466,337 $2,199,626 Revenue $8,369,641 $8,492,005 $8,673,753 Expenditures $8,523,014 $8,758,717 $8,894,740 Net Increase (Decrease) in Fund Balance ($153,374) ($266,712) ($220,987) Ending Fund Balance $2,466,337 $2,199,626 $1,978,639 Revolving Fund & Restricted $63,055 $63,055 $63,055 Commitment- COP $410,188 $409,563 $408,788 Reserved for Economic Uncertainty $425,001 $437,936 $444,737 Assigned – Local Control Funding Formula Impact $193,700 Available for budget shortfalls $1,374,393 $1,289,072 $1,062,057 Cash • Current cash balance in county treasurer for the General Fund - $538,052 (as of May 31, 2013) • Deferrals continue to be a concern – we monitor cash closely every month and will continue to do so throughout the year: ▫ State Budget includes funding to buy back deferrals ▫ No information available on payment schedule • Education Protection Account (EPA) – approximately 20 percent of our State Aid ▫ 2012-13 – the 20 percent will be released June 27, 2013 ▫ 2013-14 – will be paid quarterly Fund 13 Assumptions • Revenue • Food Sales • Paid lunches will increase by $0.25 • Decreased food sales due based on actuals for this year • Catering services - $33,462 • Contribution from General Fund - $38,711 • Expenditures • Salaries and benefits • Step increases for all staff • Includes additional position – Catering Lead • Food and supplies – additional cost for catering services • Transfer of Direct Costs– Garbage (40 percent) and PG&E (15 percent) • Indirect costs – 5.31 percent Fund 13 - Cafeteria Fund Category 2012-13 Budget Second Interim 2012-13 Budget Estimated Actuals 2013-14 Budget Change Beginning Balance $500 $500 $500 Revenue $410,600 $410,600 $427,512 4.1% Expenditures $434,403 $438,772 $466,223 6.3% Net Increase (Decrease) in Fund Balance ($23,803) ($28,172) ($38,711) 37.4% Transfer In (From General Fund) $24,503 $28,172 $38,711 Ending Balance $500 $500 $500 Fund 14 Assumptions and Summary • Deferred Maintenance Program is a Tier III Categorical ▫ Program was closed in 2008-09 ▫ Funds can be used for any educational purpose State funding was transferred under flexibility in 2008-09 Funding was deposited in Fund 01 since 2008-09 ▫ State funding is budgeted in Fund 14 for 2013-14 • Fund balance was committed at 2011-12 at First Interim for Deferred Maintenance Projects • Revenue ▫ State funding and interest • Expenditures ▫ Riverside Meadows Paint Project and Rio Seal Coat Project Fund 14 - Deferred Maintenance Category 2012-13 Budget Second Interim 2012-13 Budget Estimated Actuals 2013-14 Budget Change Beginning Balance $100,139 $100,139 $86,239 Revenue $1,100 $1,100 $34,482 3,034.7% Expenditures $15,000 $15,000 $35,000 133.3% Net Increase (Decrease) in Fund Balance ($13,900) ($13,900) ($518) -96.3% Ending Fund Balance $86,239 $86,239 $85,721 Committed – Deferred Maintenance $86,239 $86,239 $85,721 Fund 25 Assumptions and Summary – • Revenue ▫ Impact Fees and interest Developer Impact Fees Collected 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 $27K $196K $250K $239K $170K $76,957 ▫ Transfer from Fund 52 - $526,035 • Expenditures ▫ Debt Service Payments COP Principal and Interest Payment = $410,188 Refi COP Interest only payment = $152,013 Consulting fees - $21,500 for fee study, disclosures, trustee fees and developer negotiations Fund 25 – Capital Facilities Fund Category 2012-13 Budget Second Interim 2012-13 Budget Estimated Actuals 2013-14 Budget Beginning Balance $518,966 $518,966 $18,792 Revenue $60,005 $70,102 $59,445 -15.2% Expenditures $8,415,34 $8,415,344 $585,480 -93.0% Net Increase (Decrease) in Fund Balance ($8,355,339) ($8,345,242) ($526,035) -93.7% Interfund Transfers In $169,702 $139,075 $526,035 278.2% Transfers Out/Others Uses $12,864,007 $12,864,007 0 -100% Ending Fund Balance $39,322 $500,713 $18,792 Cash w/ fiscal agent $39,322 $6,512 $6,512 $12,280 $12,280 Assigned – Capital Facilities projects Change Fund 52 Assumptions and Summary – • Revenue - $682,010 • • Community Facilities District (CFD) Mello Roos taxes are collected in January and June: • CFD #1 - $320 per home annual for total of $506,560 • CFD #2 - $400 per home annual for total of $170,000 Interest earnings for cash at county and cash with fiscal agent • Expenditures - $1,092,413 • • Report fees - $600 Debt Service payments • CFD #1-2005- Principal and Interest debt service payment $306,720 • CFD #2 2007- Principal and Interest debt service payment $90,672 • CFD Administrative Costs $23,000 – Administrative costs paid out of General Fund and reimbursed from Fund 52 • Transfer to Fund 25 for COP payments - $526,035 Other notes: Cash flow will be an issue. We will probably have to loan funds from the General Fund to make the debt service payments for the February payments. Fund 52 – Debt Service Fund Category 2012-13 Second Interim 2012-13 Budget Estimated Actuals 2013-14 Budget Change Beginning Balance $1,021,873 $1,021,873 $1,145,390 Revenue $682,300 $682,505 $681,572 -0.1% Expenditures $2,972,620 $2,972,620 $397,392 -86.6% Interfund Transfers In $2,579,007 $2,579,007 0 -100% Interfund Transfers Out $196,002 $165,375 $549,035 232% Net Increase (Decrease) $92,715 $123,517 ($264,855) -314.4% Ending Fund Balance $1,114,588 $1,145,390 $880,535 Cash w/ fiscal agent $402,658 $402,559 $402,559 Assigned – Debt Service $711,929 $742,831 $477,976 Fund 52 Multi-Year Projections 2012-13 2013-14 2014-15 Beginning Balance $1,021,873 $1,145,390 $800,535 Revenue $682,505 $681,572 $681,572 Expenditures $2,972,620 $397,392 $396,916 Transfers In $2,579,007 Transfer Out $165,375 $549,035 $599,856 Net Increase or decrease in fund $123,517 ($264,855) ($315,200) Ending Fund Balance $1,145,390 $800,535 $565,335 Cash with fiscal agent $402,559 $402,559 $402,559 Funds available for Aug/Sept payments $742,831 $477,976 $162,776 Debt Service Schedule Debt Service Due Date Principal Interest Total Due CFD #1 – Series 2005 August 1 $115,000 $97,233 $209,488 CFD #2 – Series August 1 $25,000 $33,188 $58,188 COP 2012 September 1 $76,006 $76,006 COP 2012 Refi September 1 $113,981 $298,981 $185,000 CASH NEEDED $642,663 CFD #1 – Series 2005 February 1 $97,233 $97,233 CFD #2 – Series February 1 $32,484 $32,484 COP 2012 March 1 $76,006 $76,006 COP 2012 Refi March 1 $111,206 $111,206 CASH NEEDED $316,929 Any questions?