KENT SCHOOL DISTRICTBOARD OF DIRECTORS MEETINGJANUARY 26, 2011

BUDGET INFORMATION

Tonight’s Presentation2

I. Budget DevelopmentII. 2010/11 State Budget Reduction UpdateIII. 2011/12 State Budget ReductionsIV. Possible Reduction ScenariosV. Budget Development Important Dates

Three Stages of Budget Reductions

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Stage 1:

Reductions made at the “budget surface” and through budget and accounting gimmicks.

Stage 2:

Reductions made to programs and personnel.

Stage 3:

Budget devastation.

Budget Development Segments4

BASIC EDUCATION

ENCROACHMENT

SPECIAL EDUCATION

TRANSPORTATION

GRANT PROGRAMS

FOOD SERVICES

GENERAL FUND BUDGET

2010/11 State Budget Reductions Update

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2010/11 State Budget Reductions Update

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K-4 Class Size Reduction (1,469,228) Discontinued 02/2011 (2,500,000) Eliminate Funding for Entire Year

Levy Equalization - (250,000) Reduction of 6.287% Retroactive to 09/2010

Highly Capable (15,000) Reduction of 6.287% (240,000) Eliminates Funding for Fiscal Year

I-728 (43,000) July and August Funding -

Education Reform/National Boards (49,000) Reduction of 6.287% (49,000) Reduction of 6.287%

Leadership Academy (4,922) Reduction of 50% (4,922) Reduction of 50%

Navigation 101 Grant (629) Reduction of 6.287% (629) Reduction of 6.287%

(1,581,779) (3,044,551)

State Apportionment (5,242,217) (5,242,217)

Federal Jobs Bill "Backfill" 5,242,217 5,242,217

June Apportionment Shifted from last business day in June 2011 Shifted from last business day in June 2011

to first business day in July 2011 to first business day in July 2011

Budget Reductions Approved By

Legislature at Special Session 12/11/10

Governor's Proposed 2010-2011

Supplemental Operating Budget 12/17/10

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2011/12 State Budget Reductions Update

2011/12 State Budget Reductions8

I. PROPOSED STATE BUDGET REDUCTIONSK-4 Class Size Reduction 2,500,000 Levy Equalization 1,441,918 Highly Capable 277,708 Educational Reform/National Boards 1,037,674 Leadership Academy 9,844 Bus Depreciation Formula 634,152

5,901,296

II. ARRA FUNDING REDUCTIONSARRA - Special Education 3,705,433 ARRA - McKinney Vento 25,390 ARRA - Title II-D Technology Integration 85,934

3,816,757 ARRA - Title I 2,145,086

5,961,843

III. I-728 REDUCTION 1,147,417

IV. BUDGET REPLACEMENT REDUCTIONSARRA Special Education (estimated) 2,795,710 Microsoft Math Partnership 174,508 Smaller Learning Communities 736,493

3,706,711

TOTAL REDUCTIONS 16,717,267

2011/12 State Budget Reductions9

The Governor has also proposed:Certificated Instructional Salary Schedule –

years of service earned after 8/31/10 and credits earned after 8/31/10 will not be counted on the 2011/12 and 2012/13 salary schedules

I-732 COLA – suspended for 2011/12 and 2012/13

2011/12 State Budget ReductionsPossible Reduction Scenarios

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Highly Capable

State Funded 5 schools

ARRA Title I Funded

11 schools

I-728 Funded 8 schools

Tuition Funded 5 schools

Full Day Kindergarten State Funded 277,708

Basic Education 2,026,193

2011/12 State Budget ReductionsPossible Reduction Scenarios

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Program ReductionsNew programsExisting programs – continuedExisting programs – modifyExisting programs – eliminated

Personnel ReductionsCertificated staffingDistrict office positions – certificated & classifiedAssistant principalsClerical – defined staffing schedule

Grants/Categorical Program Funding

2011/12 State Budget ReductionsPossible Reduction Scenarios

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Fund balanceFurlough day(s) – cost per day all employee groups

$759,822School nonlabor/miscellaneous labor allocationsDepartment nonlabor/miscellaneous labor allocationsTextbook adoptionsTransportation – to/from non-special educationEnergy savings – guaranteedService contractsPrincipal travel carryoverClosing schools

Budget Development Calendar Important Dates

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January – March 2011

Superintendent, Chiefs, and Cabinet begin discussions regarding 2011/12 budget issues and possible reduction scenarios

January 20, 2011

Presentation on 2010/11 and 2011/12 state budget reductions and possible reduction scenarios to Leadership Team

January 26, 2011

Board of Directors work session on 2011/12 budget plan

March 2011 CBRC meeting(s)

Budget Development Calendar Important Dates

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March 23, 2011 Board of Directors discussion on budget reduction scenarios

March 24 – April 8, 2011

Community input on budget reduction scenarios

April 11 & 13, 2011

Board of Directors budget work session on community input on budget reduction scenarios and CBRC input on budget reduction scenarios

April 27, 2011 If necessary, Board of Directors adopts educational reduction program

Budget Development Calendar Important Dates

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May 11, 2011 If necessary Reduction In Force letters delivered to affected employees

June 30, 2011 Budgeting and Fiscal Planning finishes development of the 2011/12 General Fund Budget and all other budgets and begins input of budgetary information into the State budget documents

July 2011 Board of Directors budget work session

August 24, 2011 Board of Directors public hearing and adoption of 2011/12 budget

Thank you.

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KENT SCHOOL DISTRICTSuccessfully Prepare All Students For Their Future

2010 - 2011