joint school district no. 2 (meridian) 2014-2015 proposed annual budget ada & canyon counties
TRANSCRIPT
JOINT SCHOOL DISTRICT NO. 2 (MERIDIAN)2014-2015 Proposed Annual Budget
Ada & Canyon Counties
2014-2015 Annual BudgetDIRECTOR OF FINANCE
Alex Simpson
BUDGET & FINANCE STAFF
Gloria Rolland
Lohrea Hatch
SUPERINTENDENT
Dr. Linda Clark
BOARD OF TRUSTEES
Tina Dean - Zone 1
Juan (Mike) Vuittonet- Zone 2
Carol Sayles – Zone 3
Anne Ritter– Zone 4
Janet Calinsky – Zone 5
State Education Budget for 2014-15
• Steps/lanes for all staff• 1% Increase to the base for all staff• Certified minimum increased to 31,750 from 31,000 (2.4%
Increase)• State Professional Development Funds - (New)• State Leadership Fund – (New)• School Net Support – (New)• Safe & Drug Free – (New)• Technology Staffing – (Cont.)• Content & Curriculum – (New)• Classroom Technology – (Cont.)• State of Idaho Advanced Opportunities Programs: 8 in 6,
$200/$400, and Dual Credit for Early Completers
1,941
1,652
1,104
786 671
461 505 559 466
650
Joint School District No. 2Enrollment Growth
General Fund Revenue for 2014-2015
•Total estimated state funding increase: $7.095 millionBased on a projected increase of 650 students for fall 2014Increase in support units – 24.8 estimateDiscretionary revenue is up $2,401.15 per support unitTotal attendance average is close to 95.8%1% increase to base salary for administration, certified, or
classifiedCertified minimum increased to 31,750 from 31,000
•Estimated fund balance carryover from the 13-14 budget: $6.65 million (includes savings of $3.5M)•Emergency Levy is projected to be the same as 2013-14•Supplemental levy passed March 2014: $14 million (expires after 2015-16)
Other Funding Sources 2014-2015
•$765,750 State Professional Development Fund•$1,946,656 State Leadership Fund•$238,050 School Net Support•$226,250 Safe & Drug Free•$211,600 Technology Staffing•$491,739 Content & Curriculum•$1,018,603 Classroom Technology
Transfers In to General Fund from Other Funds
• Funds transferred from other funds if indirect costs are allowed to cover general operating costs.
• Transfers from Medicaid has also helped with General Operating Costs.
• In 2010-11 and 2011-12 the State of Idaho allowed districts to vote on moving funds from Capital Outlay to General Fund. The districts patrons voted to move $4,000,000 for two years only.
- 1,000,000 2,000,000 3,000,000 4,000,000 5,000,000
2010-11
2011-12
2012-13
2013-14
2014-15
Transfers In
2014-2015 PROPOSED BUDGET COMPARED TO 2013-2014 AMENDED BUDGETGENERAL FUND
AMENDED PROPOSED AMOUNT OF PERCENT Function BUDGET BUDGET CHANGE CHANGEAccount 2013-2014 2014-2015
REVENUES:
411-412 Property Tax $17,220,098 $17,236,098 16,000 0.09%
431-439 State Revenue 151,880,839 159,514,487 7,633,648 5.03%
442-445 Federal Revenue
413-419;453 Other Revenue 1,113,226 1,597,076 483,850 43.46%
Total Revenue 170,214,163 178,347,661 8,133,498 4.78%
460 Transfers In 1,438,731 1,004,830 (433,901) -30.16%
Total Revenue+Tfrs In 171,652,894 179,352,491 7,699,597 4.49%
405 Beginning Balance 8,877,931 6,653,642 (2,224,289) -25.05%
Total Rev+Tfrs In+Beg Bal $180,530,825 $186,006,133 5,475,308 3.03%
EXPENDITURES:
512-545 Instruction $112,790,939 $117,661,555 4,870,616 4.32%
611-683 Instructional Support 63,513,347 65,904,072 2,390,725 3.76%
690-720 Non-Instruction 403,354 414,557 11,203 2.78%
810 Capital Outlay
910 Other Services 669,543 691,238 21,695 3.24%
Total Expenditures 177,377,183 184,671,422 7,294,239 4.11%
920 Transfers Out
Total Expenditures+Transfers 177,377,183 184,671,422 7,294,239 4.11%
950 Contingency Reserves
999 Unappropriated Fund Balances 3,153,643 1,334,712 (1,818,931) -57.68%
Total Exp+Tfrs Out+Contgcy+FB $180,530,826 $186,006,134 5,475,308 3.03%
Salary & Salary &Benefits Benefits AMOUNT OF PERCENT
2012-2013 2013-2014 CHANGE CHANGE
$160,970,245 $167,310,724 6,340,479 3.94%
J OINT SCHOOL DISTRICT NO. 2
2014-2015 2013-2014 2012-2013 2011-12 2010-2011 2009-2010Projected Estimate
Support Units (based on Aver.Daily Attend.) 1,763.3 1,740.55 1,725.37 1,688.60 1,680.40 1,651.70 Distribution Factor 22,401 20,000 19,706 19,626 21,795 25,459 Entitlement (line 1 x 2) 39,500,576 34,811,000 34,000,141 33,140,464 36,624,318 42,050,630 Salary Apportionment** 93,287,148 91,301,322 87,544,087 86,287,029 86,381,907 89,743,987 Base Support (line3-5+6) 132,787,724 126,112,322 121,544,228 119,427,492 123,006,225 131,794,617 Benefit Apportionment (line 6 x benefit rate) 17,696,572 17,319,861 15,792,953 15,566,180 15,583,296 16,189,815 Exceptional Contracts & Tuition Equivalency 350,000 216,661 239,946 343,418 522,067 266,429 Transportation (85% of allowable costs) 7,820,440 7,777,279 7,832,237 7,982,365 8,633,084 9,782,333 Adjustments (corrections) Total Foundation (lines 7+8+9+10+11) 158,654,736 151,426,123 145,407,402 143,319,455 147,744,672 158,033,194
Enrollment 36,761 36,111 35,645 35,086 34,581 34,120
Salary Apportionment** Administrative 7,972,419 7,853,620 7,486,962 7,503,938 7,412,620 7,877,013 Certified 72,586,365 71,008,426 67,933,948 68,353,622 67,094,818 69,587,960 Classified 12,728,363 12,439,276 12,123,177 11,894,935 11,874,469 12,279,014 Fifth Factor Adjustment (1.67%) Total Salary Apportionment 93,287,147 91,301,322 87,544,087 87,752,495 86,381,907 89,743,987
Other State Support not included above:Idaho Reading Initiative 28,328 27,933 155,146 151,591 115,011 Bond Levy Equalization Support Program 450,000 447,899 649,419 480,229 469,106 Classroom Technology 1,018,603 503,966 505,582 1,115,302 Limited English Proficient 320,000 321,506 325,908 299,908 Limited English Proficient Grants (LEP) 25,000 25,000 25,000 260,917 392,353 Gifted/Talented - Advanced Opportunity 55,537 Gifted/Talented - tchr trngClassroom Supplies 381,326 Math & science 337,635 Textbooks 702,628 Remediation 489,549 489,549 470,816 454,227 422,199 458,610 Teacher Incentive - National Certification 14,274 16,656 11,804 Agriculture Replacement 4,961 9,922 Unemployment Insurance 100,000 65,708 102,872 261,809 166,332 Pay for Performance 4,156,769 Professional Development 765,750 15,000 Leadership Premiums 1,946,656 IT Staffing 211,600 Differential Pay 2,530,062 Early Retirement Incentive 221,336 214,534 Total Other State Support 5,316,432 4,428,673 6,291,102 3,129,256 1,696,442 2,329,921
State School Support Foundation Program Five-Year HistoryMeridian Jt. School District No. 2
General Fund Revenue
2013-2014 Amended
2014-2015 ProposedFederal Revenue
0.00%
Other Local Revenue
0.65%Fund Balance
4.40% Transfers0.79%
Local Property Taxes9.17%
State Revenue84.98%
Federal Revenue0.00%
Other Local Revenue
0.86%Fund Balance
3.58% Transfers0.54%
Local Property Taxes9.27%
State Revenue85.76%
2014-2015 Proposed
General Fund Budget Changes for 2014-2015
Estimated Changes in General Fund Expenditures
•$1,989,430 Add 33 FTE - Certified Staff•$266,866 Add 2.5 FTE – Administrative Staff•$132,842 Add 3.5 FTE – Classified Staff•$1,303,386 Increase 1% to Base for All Staff•$1,985,132 Step for all Staff•$45,000 Career Enhancement (1 step for all staff-1 yr)•$25,000 Increase for SRO•$860,078 Health Insurance Premium Increase (4%)•$52,878 Utility Increase•$367,304 Eliminated Early Retirement Incentive•$41,810 Decreased Short Term Disability 12%
* Red indicates increases in expense
General Fund Expenditures2014-2015
By Function
By Object
Instruction63.71%
Instructional Support35.69%
Non-Instruction0.22% Other Services
0.37%
Salaries66.79%
Benefits23.81%
Purchased Services5.73%
Supplies & Materials
2.92%
Equipment0.01%
Other0.75%
General FundRevenue Compared to Expenses
Revenue Sources Compared to Expense
Actual2010-11
Actual2011-12
Actual2012-2013
Adopted2013-14
Amended2013-14
Proposed2014-15
Other Revenue 2,186,394 1,630,439 1,415,516 1,157,112 1,113,226 1,597,076
Federal Revenue 8,762,789 1,782,891 2,000
State Revenue 151,850,551 144,736,912 145,774,193 151,880,839 151,880,839 159,514,487
Property Tax 13,229,713 2,198,105 16,238,084 16,395,130 17,236,098 17,236,098
Expense 173,637,776 157,734,319 169,575,760 177,050,499 177,337,183 184,671,422
-
20,000,000
40,000,000
60,000,000
80,000,000
100,000,000
120,000,000
140,000,000
160,000,000
180,000,000
200,000,000
* Chart does not include transfers in
* Transfers in are included in revenue
-
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
12,000,000
14,000,000
16,000,000
18,000,000
20,000,000
135,000,000
140,000,000
145,000,000
150,000,000
155,000,000
160,000,000
165,000,000
170,000,000
175,000,000
180,000,000
185,000,000
190,000,000
Actual2010-2011
Actual2011-2012
Actual2012-2013
Amended2013-2014
Proposed2014-2015
Projected2015-2016
Revenue Expenses Beginning Balance
Joint School District No. 2Ending Fund Balance Summary
The District’s fund balance at it’s peak in 2008-2009 was $18.5 million.
The District has been using the Fund Balance to balance the budget since 2009.
One time monies from the Federal Jobs Bill and the State Maintenance Money helped replenish the Fund Balance in 2011 and 2012.
The District has been using Fund Balance at an unsustainable rate.
The District may need to remain flat or even cut expenses in 2015-16 in order to balance the budget unless we have more growth unit funding from the State or budget savings.
2014 & 2015 are estimated fund balances
2007 2008 2009 2010 2011 2012 2013 2014 2015
Fund Balance 14,042,068 18,575,734 15,719,356 10,906,568 17,630,338 14,479,505 8,877,931 6,653,642 1,334,712
-
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
12,000,000
14,000,000
16,000,000
18,000,000
20,000,000
Fund Balance
Projected Rough Seas Ahead in 2015-16What is making it hard to right the budgetary ship…
• The District will only be able to count on growth due to rolling up grades for another year (kindergarten and 12th grade enrollment will then equal). The Emergency Levy Revenue is based on growth and the “roll up” number is smaller.
• Currently expenses are greater than revenue and the district is using fund balance to balance the budget.
• At the current funding and spending level it is projected that there will not be enough fund balance to cover current expenses.
• The current $14 million supplemental levy expires after 2015-16 school year.
How to Avoid Capsizing in 2015-2016
•Growth•Increased State Funding per Unit•Savings in the Budget•Reduction in Expenses
Or
•A combination of some or all four
If the Ship Begins to Sink in 2015-2016
The life preserving options are…
• Since the District’s General Fund Budget is over 90% salaries and benefits the District would need to consider the following options in order to balance the budget:
• Furlough Days
• Reduced Benefits
• Reduction in Force
• Others?
Market Values
*Estimate
Percent
Tax Year Market Values Increase/Decrease
2008-2009 15,271,575,538 0.7%
2009-2010 13,300,200,256 -12.9%2010-2011 11,234,186,099 -15.5%2011-2012 10,433,901,008 -7.1%2012-2013 10,687,103,996 2.4%2013-2014 12,105,961,121 13.3%2014-2015* 14,377,011,156 18.8%
-
2,000,000,000
4,000,000,000
6,000,000,000
8,000,000,000
10,000,000,000
12,000,000,000
14,000,000,000
16,000,000,000
18,000,000,000
Meridian Joint School District No. 2Levy Rate Comparisons2013 Rates
Levy Boise Meridian Kuna Nampa Caldwell Vallivue MiddletonM & O 0.0034121 Supplemental 0.0015631 0.0011565 0.0032615 0.0018571 0.0026543 0.0025084 0.0016337 Bond 0.0007000 0.0016281 0.0032718 0.0018965 0.0021778 0.0025084 0.0028725 Plant Facility 0.0015980 0.0003928 0.0006537 0.0003853 Emergency 0.0002146 0.0003661 0.0003039 Tort 0.0000345 0.0000466 0.0001156 0.0001151 0.0000913 0.0000461 0.0000560 Judgement - 0.0000001 - Total 0.0057096 0.0046439 0.0074078 0.0038688 0.0049235 0.0057167 0.0052514
Rate Per Thousand 5.71$ 4.64$ 7.41$ 3.87$ 4.92$ 5.72$ 5.25$ Increase for $100,000 Home 570.96$ 464.39$ 740.78$ 386.88$ 492.35$ 571.67$ 525.14$
Boise Meridian Kuna Nampa Caldwell Vallivue Melba$100K Taxable Value570.96$ 464.39$ 740.78$ 386.88$ 492.35$ 571.67$ #REF!
$570.96
$464.39
$740.78
$386.88
$492.35
$571.67
$-
$100.00
$200.00
$300.00
$400.00
$500.00
$600.00
$700.00
$800.00
Boise Meridian Kuna Nampa Caldwell Vallivue
$100K Taxable Value
Joint School District No. 2Total Levy Rate Per Thousand
Taxable property value of $100,000 will pay $432.76 Taxable property value of $50,000 will pay $216.38
• Includes Emergency Levy and Tort Levy• Estimate
2010 3.514$ 2011 3.491$ 2012 3.396$ 2013 4.598$ 2014 4.644$ 2015 4.328$ *
Total Levy Rate Per ThousandJoint School District No. 2
School Plant Facilities Levy
• This levy has been adjusted from year to year in an effort to maintain a consistent levy rate.
• Some of the major projects scheduled this year from school plant:
• Meridian High School Remodel
• Construction of Willow Creek Elementary
• Computer Equipment
(5,000,000)
-
5,000,000
10,000,000
15,000,000
20,000,000
25,000,000
30,000,000
Actual Actual Actual Actual Actual Amended Proposed
2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15
Beginning Balance Property Tax State Revenue Other Revenue
* 2014-15 is projected
Capital Outlay 2014-2015
6%27%
27%
39%
1%
Capital Outlay 2014-15
Equipment
Technology
Maintenance
Major Construction/Remodel
Relocatables
32%
14%14%
19%
5%6% 10%
Maintenance
Roofing
Painting
Floors & Ceilings
Blacktop
Irrigation
Minor Building Improvements
District Maintenance
MaintenanceRoofing 1,859,000 Painting 810,700 Floors & Ceilings 795,305 Blacktop 1,104,728 Irrigation 313,000 Minor Building Improvements 329,902 District Maintenance 567,674 Total 5,780,309
Capital OutlayEquipment 1,170,691 Technology 5,669,000 Maintenance 5,780,309 Major Construction/Remodel 8,200,000 Relocatables 180,000 Total 21,000,000
2014-2015 PROPOSED BUDGET COMPARED TO 2013-2014 AMENDED BUDGETALL GOVERNMENTAL FUNDSJ OINT SCHOOL DISTRICT NO. 2
AMENDED PROPOSED AMOUNT OF PERCENT Function BUDGET BUDGET CHANGE CHANGEAccount 2013-2014 2014-2015
REVENUES:
411-412 Property Tax $56,056,904 $64,236,098 8,179,194 14.59%
431-439 State Revenue 161,787,477 170,476,249 8,688,772 5.37%
442-445 Federal Revenue 14,925,654 15,206,087 280,433 1.88%
413-419;453 Other Revenue 8,546,611 8,511,980 (34,631) -0.41%
Total Revenue 241,316,646 258,430,414 17,113,768 7.09%
460 Transfers In 1,438,731 1,004,830 (433,901) -30.16%
Total Revenue+Tfrs In 242,755,377 259,435,244 16,679,867 6.87%
405 Beginning Balance 35,966,198 26,741,289 (9,224,909) -25.65%
Total Rev+Tfrs In+Beg Bal $278,721,575 $286,176,533 7,454,958 2.67%
EXPENDITURES:
512-545 Instruction $131,883,062 $132,606,850 723,788 0.55%
611-683 Instructional Support 81,146,383 89,861,268 8,714,885 10.74%
690-720 Non-Instruction 9,193,707 9,495,316 301,609 3.28%
810 Capital Outlay 14,113,991 7,535,000 (6,578,991) -46.61%
910 Other Services 20,354,896 22,355,591 2,000,695 9.83%
Total Expenditures 256,692,039 261,854,025 5,161,986 2.01%
920 Transfers Out 1,438,731 1,004,830 (433,901) -30.16%
Total Expenditures+Transfers 258,130,770 262,858,855 4,728,085 1.83%
950 Contingency Reserves - -
999 Unappropriated Fund Balances 20,590,806 23,317,677 2,726,871 13.24%
Total Exp+Tfrs Out+Contgcy+FB $278,721,576 $286,176,532 7,454,956 2.67%
Salary & Salary &Benefits Benefits AMOUNT OF PERCENT
2012-2013 2013-2014 CHANGE CHANGE
183,338,682$ $189,833,423 6,494,741 3.54%
All Funds Revenue2014-2015
Other Revenue2.97%
Local Property
Taxes22.45%
Transfers0.35%
Beginning Balance9.34%
Federal Revenue5.31%
State Revenue59.57%
All Funds Expenditures2014-2015
By Function
By Object
Salaries53.26%
Benefits18.96%
Purchased Services7.89%
Materials and Supplies4.50%
Capital Objects6.24%
Other9.15%
Instruction50.45%
Instructional Support34.19%
Non-Instruction
3.61%
Capital Outlay2.87%
Other Services8.50%
Transfers Out
0.38%
A copy of this presentation is available on the District’s website at
www.meridianschools.org
If you have any questions please contact: Alex Simpson, Director of Finance
208-855-4500