CEDAR FALLS COMMUNITY SCHOOL DISTRICT District Financial Report February 10, 2014

IASB Key Financial Dashboard Indicators

#1 Certified Enrollment #2 Financial Solvency Ratio #3 Unspent Budget Authority

#3A Unspent Budget Authority Ratio #4 Annual Unspent Budget Authority Ratio #5 Salaries & Benefits to Total Budget Ratio Background Color

Green = Increase of 0.01% or greater Yellow = 0.00 to 5.00% decrease Orange = Greater than 5.00% decrease

Certified Enrollment History Key Trend Dashboard Indicator #1

4,000

4,200

4,400

4,600

4,800

5,000

5,200

5,400

5,600

10/2006 10/2007 10/2008 10/2009 10/2010 10/2011 10/2012 10/2013

Certified less PLS PLS OE In Tuition In River Hills Tuition In

Increase of 13.2% over the last 8 years. 4 year old pre-school students not included.

CAR General Fund Balance

$0

$2

$4

$6

$8

$10

$12

$14

2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

Mill

ions

Total Assets (Cash/Receivables/Inventory)Fund Balance (Assets less Payables)

$203,618 increase in cash on hand and $952,241 increase in fund balance.

General Fund Revenue/Expenditure History Includes Instructional Support Fund

$30

$35

$40

$45

$50

$55

2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

Mill

ions

Revenue Expenditures

Revenue increased by $4,109,844 and expenditures increase by $4,335,395 from 2011-12 to 2012-13.

ISL (only) Revenue/Expenditure Detail

$1.84 $1.92

$2.03 $2.09 $2.10 $2.15

$2.20

$2.03

$1.81

$1.64

$1.85 $1.91

$2.12 $2.01

$1.0

$1.2

$1.4

$1.6

$1.8

$2.0

$2.2

$2.4

2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

Mill

ions

Revenue Expenditures

History of General Fund Revenue

$16.07 $15.93 $16.53 $17.33 $18.36 $19.34 $20.62

$3.55 $18.27 $19.95 $20.93 $17.99

$21.45 $24.62

$24.48 $0.96 $1.07 $1.47 $4.50

$2.26 $2.36

$1.79

$0$5

$10$15$20$25$30$35$40$45$50$55

2006-06 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

Mill

ions

Local Local RH State Federal

History of General Fund Expenditures

$27.64 $29.02 $31.48 $31.64

$3.54

$2.50 $2.55

$2.51

$2.62

$4.18 $4.36

$4.68

$4.94

$3.19 $3.10

$3.39

$3.62

$0.98 $0.98

$1.17

$1.20

$1.88 $1.95

$1.93

$1.93

$21

$24

$27

$30

$33

$36

$39

$42

$45

$48

$51

2009-10 2010-11 2011-12 2012-13

Mill

ions

Instruction Inst. RH Spt. Srv. Admin. Maint. Transp. Flow Thru

Spt. Srv. = Guidance, health, media and technology services.

Admin. = BOE, district & building administration, business, purchasing, printing and personal services.

Financial Solvency Ratio Key Trend Dashboard Indicator #2

8.67%

10.70% 10.94%

8.68% 8.38%

10.69%

11.90%

0%

2%

4%

6%

8%

10%

12%

14%

2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

Assigned & unassigned fund balance/General fund revenue less AEA flow thru. Measures the District’s fund equity position. IASB recommended minimum 5%. Goal 10%

Staffing History (in FTE)

341.5 347.1 352.7 359.5 373.4

7.1 7.1

83.0 89.6 95.6 94.0 85.1 43.0 42.0 42.0 41.5 44.0 35.1 33.6 34.0 36.7 36.4 18.6 19.0 19.0 19.0 19.0 22.0 22.0 22.0 23.0 25.5 15.7 15.7 16.8 17.3 18.9

200.0

250.0

300.0

350.0

400.0

450.0

500.0

550.0

600.0

650.0

2008-09 2009-10 2010-11 2011-12 2012-13

Teacher Hlth. Serv. ParaProf. Cust./MaintClerical Admin. Transp. Other

Food Service staff is not included.

Student Teacher Ratio History

12.0

12.2

12.4

12.6

12.8

13.0

13.2

13.4

13.6

13.8

14.0

FY06 FY07 FY08 FY09 Fy10 Fy11 Fy12 Fy13

Enro

llmen

t per

FTE

Students served (Resident/OE In/Tuition In & Dual Enroll/PT Students) / Teacher FTE (Reg./Sp. Ed./ Guidance/Media) as of October 1. Pre-School students & staff are not included.

History of Unspent Budget Authority Key Trend Dashboard Indicator #3

$0.0$1.0$2.0$3.0$4.0$5.0$6.0$7.0$8.0$9.0

$10.0

2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

Mill

ions

Total Unspent Authority Unassigned/Unrestricted Unspent Authority

Assumes SBRC approval of special education deficit request!

History of Unspent Budget Authority Ratio Key Trend Dashboard Indicator #3A

6.52%

8.25% 8.30%

11.14%

13.47% 14.87% 15.23%

4.65%

6.19% 5.59%

8.84%

11.50% 13.17% 13.71%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

16.0%

2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

Total Unspent Authority RatioUnassigned/Unrestricted Unspent Authority Ratio

A goal of 10% unassigned/unrestricted unspent authority over expenditures ($5.00 million) is desired. District is at 13.71% for 2011-12. Assumes SBRC approval of special education deficit request!

Annual Unspent Budget Authority Ratio Key Trend Dashboard Indicator #4

-0.45%

1.31%

2.32%

0.63%

3.78%

3.39%

2.92%

1.98%

-1.00%

-0.50%

0.00%

0.50%

1.00%

1.50%

2.00%

2.50%

3.00%

3.50%

4.00%

2006 2007 2008 2009 2010 2011 2012 2013

Assumes SBRC approval of special education deficit request! Ratio would have been 2.14% if not for the addition of River Hills School.

Cash vs. Unspent Budget Authority

$1.0

$2.0

$3.0

$4.0

$5.0

$6.0

$7.0

$8.0

$9.0

$10.0

$11.0

2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

Mill

ions

Total Unspent Authority Cash Balance

Assumes SBRC approval of special education deficit request!

Unspent Budget Authority As Percentage of Maximum Budget Authority

5%

7%

9%

11%

13%

15%

17%

2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

Total Unspent Authority w/o Sp Ed Deficit Total Unspent Authority

Measures the percent of District’s budget authority at the end of each year. Assumes SBRC approval of special education deficit request!

Fund Balance As a Percentage of Unspent Authority

50%

60%

70%

80%

90%

100%

110%

120%

130%

140%

2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

Measures the percent of the District’s ability to finance it’s unspent budget authority.

Days Net Cash Ratio

60

65

70

75

80

85

90

6/30/07 6/30/08 6/30/09 6/30/10 6/30/11 6/30/12 6/30/13

Days

Cash & investments/Avg. daily cash expenditures. A goal of 90 days is desired.

Fund Balance As a Percentage of Expenditures

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

Measures the percent of the District’s cash available to cover non-funded months. – Goal 10%

Salaries & Benefits to Total Expenditures Ratio Key Trend Dashboard Indicator #5

82.10% 81.32%

82.32% 81.97% 81.13%

80.30% 80.07%

77.85%

74.33%

73.0%

74.0%

75.0%

76.0%

77.0%

78.0%

79.0%

80.0%

81.0%

82.0%

83.0%

2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

Measures the percent of the District’s budget dedicated to labor costs. 80.07% w/o increase in tuition out (PLS Fy12, RH Fy13).

History of Assessed Valuation

$0.8

$1.0

$1.2

$1.4

$1.6

$1.8

$2.0

FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 Fy13 Fy14 Fy15

Billi

ons

Basic Valuation Valuation w/ TIF

Basic Valuation increased 10.4% from Fy12 to Fy13 & 66.6% over the past 10 years. Valuation w/ TIF increased 9.5% from Fy12 to Fy13 & 78.9% over the past 10 years.

Combined District Cost Property Tax/State Aid History

62.92% 62.73% 62.51% 62.48% 62.53% 62.84% 61.80%

37.08% 37.27% 37.49% 37.52% 37.47% 37.16% 38.20%

20%25%30%35%40%45%50%55%60%65%70%

2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

State Aid Property Tax

Financial Dashboard

FY13 Certified Enrollment

Rank = 17th Largest CF = 4,862.4 Fy13/4859.1 Fy14

1 346

FY12 Solvency Ratio

Rank = 254 out of 346 State Avg. = 16.46% CF = 10.69% Fy12/11.90% Fy13

+97% -17%

FY12 UBA Per Pupil

Rank = 271out of 346 State Avg. = $2,830 CF = $1,659 Fy12/$1,859 Fy13

+$18,686 -$1,771

FY13 Valuation/Pupil

Rank = 155 out of 346 State Avg. = $343,003 CF = $322,044 F13/$363,143 F14

$1,127,884 $151,006

FY13 General Fund Tax Rate

Rank = 162 out of 346 State Avg. = $11.6795 Cedar Falls = $11.3508/$10.9004

$7.30955 $17.75894

FY13 Total Tax Rate

Rank = 118 out of 346 State Avg. = $14.49445 Cedar Falls = $13.7380/$12.8253

$8.33450 $23.06096

Budget Highlights

Courtesy www.art-saloon.ru

Budget Highlights

May, 2013 - Iowa Legislature and Governor Branstad agree to a 2% increase in cost per pupil funding for the 2013-14 school year. ($6,128)

May, 2013 – Iowa Legislature and Governor Branstad also agree to an additional one time allocation equal to 2% for the 2013-14 school year. ($583,488)

May, 2013 – Iowa Legislature and Governor Branstad agree to a 4% increase in cost per pupil funding for the 2014-15 school year. ($6,373)

Budget Highlights

October, 2013 – District certified enrollment dips 3.3 students to 4,859.1. 121.0 students are open enrolled out other Districts.

October, 2013 – Total students served (includes 4 yr. old & River Hills) by the District increases 14.1 students to 5,218.7. 353.0 students are open enrolled in from other Districts. 107.0 students attend River Hills School 48.5 students (weighted) enrolled in 4 yr. old program 97 actual students

Enrollment is projected to continue increasing creating more pressure to keep student-teacher ratios down as the District works with limited resources. 5 yr. avg. inc. (Fy09 – Fy13) - 118.7 students/yr. (includes OE in) 10 yr. avg. inc. (Fy04 – Fy13) - 73.4 students/yr. (includes OE in) River Hills students are not included

History of Supplemental State Aid (Allowable Growth)

0%

1%

2%

3%

4%

5%

6%

7%

8%

State Avg. Cedar Falls CF w/o PLS "Plus 2"

Projected Fy15 Settlements vs. Fy15 Supplemental State Aid

$0.0

$0.2

$0.4

$0.6

$0.8

$1.0

$1.2

$1.4

$1.6

$1.8

$2.0

5% 4% 3% 2%

Mill

ions

Fy15 3.93% AG

Additional costs resulting from required changes in the school year calendar and implementation of the Patient Protection Affordable Health Care Act are NOT included.

Other District Funds

Other District funds: Management Physical Plant & Equipment Levy (PPEL) Secure A Vision for Education (SAVE) (formally LOT) Activity Nutrition

These are specific use funds that are subject to laws and regulations established by the Code of Iowa and Iowa Administrative Code.

Management Fund

Restricted fund Board of Education Controlled Used for property/liability/auto/workman

compensation/etc. insurance premiums Property loss not covered by deductibles Early severance benefits

Management Fund

$573

$482

$579

$748

$985

$1,145 $1,209

$564

$476 $579

$578

$888

$1,127 $1,200

$300

$400

$500

$600

$700

$800

$900

$1,000

$1,100

$1,200

$1,300

2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

Thou

sand

s

Total Assets Fund Balance

Secure A Vision for Education (SAVE) – Formally LOT

Restricted fund Construction, remodeling, repairing and furnishing of

new or existing buildings Purchase or improve school grounds Procure or open roads to buildings Emergency repairs Payment of principle and interest or retirement of

general obligation bonds

Secure A Vision for Education (SAVE) – Formally LOT

$6.87

$3.80

$16.12

$6.87

$14.73

$12.46

$6.12 $6.59

$3.80

$14.73

$5.96

$14.43

$11.45

$5.47

$0

$2

$4

$6

$8

$10

$12

$14

$16

$18

2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

Mill

ions

Total Assets Fund Balance

Physical Plant & Equipment Levy

Restricted fund with two parts Board of Education Controlled – up to $0.33/$1,000

(regular) Voters approved additional $1.34/$1,000 levy Can be used for: Purchase or improvement of grounds Construction, repairing or remodeling of schoolhouses or roads to

schoolhouses including debt for same Purchase or lease of equipment greater that $500 per unit

Technology bundling included Purchase or lease of school buses or other vehicles Leasing or renting of facilities

Physical Plant & Equipment Levy

$0.64

$1.56

$2.80

$3.27 $3.41

$2.23

$2.83

$0.56

$1.38

$2.55

$3.09

$2.49

$1.54

$2.68

$0.0

$0.5

$1.0

$1.5

$2.0

$2.5

$3.0

$3.5

$4.0

2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

Mill

ions

Total Assets Fund Balance

Activity Fund

Restricted fund Account for student-related activities Admissions Activity Fees Student Dues Student Fund Raising Events Student related co-curricular or extra-curricular activities

Activity Fund

$560 $534

$486

$603

$627

$588

$629

$522 $509 $475

$573

$621

$584

$615

$300

$350

$400

$450

$500

$550

$600

$650

2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

Thou

sand

s

Total Assets Fund Balance

Nutrition Fund

Restricted fund Considered an Enterprise Fund Business type activity

Fund for which a fee is charged to external users for good or services

Account for all transactions for nutrition programs authorized under Iowa Code Chapter 283A

Nutrition Fund

$483 $501

$678

$846 $857

$794 $788

$418 $436

$589

$745 $773

$730 $722

$300

$400

$500

$600

$700

$800

$900

2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

Thou

sand

s

Total Assets Fund Balance

Summary

As of June 30, 2013 District’s financial condition: State fully funds cost per student for Fy13 District increases General Fund cash balance

Increase of $203,618 (June 20, 2013)

Increase in Districts unspent budget authority is primarily due to our special education deficit ($656,770)

Summary

Increases in enrollment without increases in supplemental state aid (allowable growth) puts more pressure on general fund

Commercial property tax reform legislation will impact overall district assessed valuation Possible higher residential property tax rate

Continued requirements and changes in curriculum may necessitate additional teaching staff

Changes in the weighting matrix for special needs students has significantly reduced funding for entitled services District must still meet the needs of students Medicaid funding helped reduce special education deficit (Fy13) Patient Protection and Affordable Health Care Act will increase

special education staff costs Special education deficit will continue

Summary

Legislative changes in the school day may significantly impact the District’s Authorized Unspent Budget Authority in the future

We must continue to closely monitor budget and funding changes in order to make decisions that Maintain a positive learning environment Maintain a positive financial condition

Special thank you to Denelle Gonnerman, Carrie DeBerg and the District Business Office Staff for their assistance.

Questions?