LAWRENCE TOWNSHIPPUBLIC SCHOOLS

Developing a Budget

through Our Strategic Plan

Fall 2010

Input & Decision Process

Decision

Final Decision

Input

Input

Input

Create Budget

Oct./Nov.

Oct./Nov.

Nov./Dec.

Feb./Mar.

March

April

• 17% increase in students eligible for free and reduced price lunch

• Cost of living is 2008 to 2009 FLAT, 2009 to 2010 (TBD).

• NJ unemployment rate at 9.2% in October 2010; 3.9% in October 2007.

• Mercer County unemployment rate 7.4% in October 2010; 3.5% in October 2007.

• 3% decrease in taxable property value in Lawrence Twp. = Loss of $1,800,000 in tax revenue at current school tax rate

• .6% decrease in taxable property value in Lawrence Twp.=Loss of $345,000 in tax revenue at current school tax rate

The Economic Climate

• General Fund • Unprecedented cuts in State Aid: $4,935,581 in 08/09 to

$1,576,386 10/11.• Loss of 68% of State Aid• Loss of ($3,359,195) in 2010/2011• Loss of ($1,488,000) in 2009/2010• Loss of ($236,545) in 2008/2009

• Repayment of Debt Aid• $104,000 Direct Reduction in Aid• $107,281 “SDA Assessment”-This is to assist the state with

payment on debt for grants they previously awarded to the district.

The Economic Climate: Loss of State Aid (General Fund & Debt Service)

Lawrence Excellence:

It’s a F.A.C.T.Fiscal Responsibility

Academic Excellence and Equity

Community Outreach

Technology (Future)

Striking a balance. . .

Public Vote

What is Important to You?

• Small Class Size• Range of Electives• Ensuring Success

and Equity for all students

• Access to up-to-date technology

• Expanding World Language at the Elem level

• Athletic Programs• Visual and Performing

Arts• Music/Orchestra/Band• Upgrading LTPS Fields• Maintaining Facilities• Free Access - Facilities• Small School Concept• Other

Preliminary results from parent meetings

# Question Rating1 Ensuring and improving academic achievement, success,

and equity for all students83

2 Providing small class sizes 803 Ensuring student access to up-to-date technology 754 Continuing a wide range of electives at Lawrence High

School67

5 Providing every student with experience in the visual and performing arts

61

6 Continuing to offer orchestra/band at current levels (LIS, LMS,LHS)

56

7 Maintaining small school concept 558 Maintaining the athletic programs 499 Expanding world language at the elementary level 33

10 Upgrading district fields 2011 Offering free access to facilities, other than during school

times15

LTPS Challenges

• Flat enrollment

• Declining tax base (ratables)

• Declining revenues (state aid)

• Increasing costs (insurance)

• Diversified clientele• Needs and Wants

What makes Lawrence unique? • Smaller class sizes• Shorter busing distances• Small elementary schools• Full-day kindergarten• District programs• Extracurriculars• Facilities• LHS Academies

• Ratable base will decline by (-$15,000,000)• There will be a 2% cap on tax levy:

– We will be below cap– We will bank any unused cap for future years

• The First Draft budget shows a tax increase of:$.035 per $100 equal to $57 per avg. assessed

home.• $.013 due to the loss in ratable base• $.014 due to General Operations• $.007 due to Repayment of Debt

• State Aid-Flat in model. Anticipate Reductions

Assumptions

SUMMARY OF PROPOSED APPROPRIATIONS BY PROGRAM BUDGET BY BUDGET BUDGET PROGRAM 10/11 11/12 $ Change % ChangeRegular Instruction 22,571,931 22,396,745 (175,186) -1%Special Education: 5,650,186 5,622,774 (27,412) 0%Tuition 1,390,092 1,647,703 257,611 19%Administration 4,257,948 4,130,579 (127,369) -3%Support Services: 7,627,132 7,486,524 (140,608) -2%Security: 376,508 385,982 9,474 3%Maint./Utilities: 5,966,680 5,915,766 (50,914) -1%Employee Benefits: 11,071,861 11,536,909 465,048 4%Transportation: 2,637,823 2,740,026 102,203 4%Capital Outlay: 3,007,281 1,622,388 (1,384,893) Capital Reserve 500,000 500,000 - Emergency Reserve - - - Maintenance Reserve - - - Total Budget by Program 65,057,442 63,985,396 (1,072,046) -2%

Appropriations Comparison

2010/2011 2011/2012 $ Change

TOTAL FUND BALANCE 4,960,299 3,560,299 (1,400,000) TOTAL MISCELLANEOUS 149,000 152,000 3,000 TOTAL STATE AID 1,576,386 1,576,386 - Total Medicaid Initiative(390) 30,169 30,169 - TAX LEVY (150) 10-1210 58,341,588$ 58,666,542$ 324,954$ Total Revenue 65,057,442 63,985,396 (1,072,046)$

BUDGETED REVENUES

Revenue Comparison

Questions