Rules For Budget Hearing

• The hearing is a forum to permit the public to be informed of the details of the spending plans of the Hinds County School District and is not a press conference.

• The Media is invited to cover the meeting as it would any other public meeting.

• Please take this opportunity to sign the comment list if you wish to make comments or ask questions.

• Comments and questions will be restricted to budget related issues.

• Speakers will be limited to three (3) minutes for making comments or asking questions

This presentation and support handouts are intended to provide summary financial and general statistical data about the various funds of the Hinds County Public School District. These funds are supported by Mississippi Adequate Education Program (MAEP) funds, local Ad Valorem tax collections, federal grant funds and funds generated locally within the school district.

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Public Hearing on Proposed BudgetFiscal Year 2015-2016

June 11, 2015

Hinds County School District

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Hinds County School DistrictBoard of Trustees

Superintendent

Delesicia Martin, Ed. D.

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Name Position District Term

Caroline Jacobs Secretary Dist. 1 2011-2016

Robbie Anderson Dist. 2 2011-2016

Linda Laws President Dist. 3 2013-2018

Bill Elkins Vice President Dist. 4 2014-2019

Carolyn Samuel Dist. 5 2014-2019

Vision Statement

The Hinds County School District envisions its schools as learning environments that…

PROVIDE the safest possible learning environment;

TEACH so that every student masters the fundamentals;

CHALLENGE students to reach their potential;

ENSURE a broad range of experiences for students;

BUILD a strong partnership between school, home & community;

PREPARE students to live productive lives as informed, responsible citizens.

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Impact of Hinds County School District

The success of Hinds County School District …

Serves approximately 47,450 citizens;

Fosters higher property values;

Directly employs approximately 770 people - Largest employer

in rural county & 15th largest employer in Hinds County;

Pays on average $2.5 M in monthly payroll; $1.8 M to vendors

Provides education for Bolton, Edwards, Raymond, Terry,

Byram, Utica and surrounding communities;

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Fiscal Year Budget

• Section 37-61-9, Mississippi Code Annotated (1972), requires the school district, to prepare a budget of anticipated revenues and expenditures on or before August 15th for the coming fiscal year.

• The district’s educational plan expressed in dollars and used to measure and monitor revenues and expenditures.

• Annual budgets are essential for sound financial management.

• The budget may change or may be amended as the instructional needs of our students change.

• All information provided during this presentation is based on source information available at this time.

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Simplified Budget Development Process

• Determine Board’s budget guiding principles

• Use strategic plan to guide identification of budget

priorities

• Include other stakeholders in budgeting process

• Identify inclusion/deduction recommendations

• Determine Board & Superintendent’s action regarding

recommendations

• Present final proposed budget to Public

• Board adopts budget8

Guiding Principles

• Identify budget priorities for instruction, support activities, etc.

• Maintain parity among all schools

• Actively pursue cost cutting measures and identify budget reducing options

• Build in appropriate budget safeguards

• Be Conservative and Realistic!

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Enrollment (ADA vs ADM) Historic by School

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School Name Grade FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15Byram Middle 6-8 959 1032 1080 1038 987 942 941 961 954 946Carver Middle (RFA excluded)* 6-8 201 210 212 225 215 224 207 194 188 182Gary Road Elementary k-2 878 875 897 938 868 897 863 879 902 902Gary Road Intermediate 3-5 903 950 971 979 940 936 915 888 882 884Utica k-8 k-8 547 502 476 447 436 392 388 387 361 334Terry High 9-12 1002 1073 1157 1235 1254 1261 1231 1204 1193 1186Raymond High (RFA included)* 9-12 534 502 530 552 539 532 544 528 540 627Raymond Elementary k-5 424 414 443 446 445 422 429 420 425 426Bolton Edwards k-8 k-8 634 585 561 564 565 531 539 516 485 481Average Daily Attendance (ADA) 6082.286144.116326.756423.416250.146137.446056.595977.67 5930.23 5984.10

LESS SPED INCLUSION (MAEP) 6051.176099.796285.096416.966172.806066.265988.575910.76 5860.68 5915.02Average Daily Membership (ADM) 6610.006710.006577.006412.006302.006189.00 6218.00 6278.00STUDENTS FUNDED MORE (LESS) MAEP (324.91) (293.04)(404.20)(345.74)(313.43) (278.24) (357.32) (362.98)

Enrollment (ADA vs ADM)Historic District

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Budget HighlightsPersonnel

Annual Step and Scale increases for all certified staff (+$1,355,000) - $464,000 MAEP

Annual Step increases for support staff (+1.5-2%/$273,000))

Annual Step increases for Administrative Staff (+$180,000)

Retiree savings related to lower replacement salaries (-$210,720)

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Budget HighlightsOperations

14TH Year of Contracted Transportation Services Contract; (2.5%)

Service agreements of provision of substitute teachers, food service staff (+2.5%)

Cleaning staff will remain at prior year rates (+2.5%)

Increase in Property, General and Liability Insurance (-20%)

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Budget Highlights

InstructionalMaintain our current academic and

instructional programmingAmeriCorps Tutors (10) –GRE, GRI, BEMS,

RES ($60,000)Replacement and New Band Instruments

($80,000)Audio Visual Equipment for new Career

and Technical Center Program ($30,000)

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Proposed Budget Highlights Capital Projects (estimate $7,000,000)

Phase 1Tracks – RHS & THS

Phase 2Softball/Soccer Field House – RHS Softball/Baseball/ Soccer Field House – THS Visitor Public Toilets & Concession – RHS Visitor Public Toilets & Concession – THSBleacher Replacements

Phase 3Upgrade of practice football fields at Utica, Bolton Edwards,

and Byram Phase 4

Construct new playgroundsModify classroom at CMS/RFA to Biology Lab Space Installation of emergency generators

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Proposed Budget HighlightsTechnology

Replacement/Upgrade of Computer Hardware – (+$150,000)

Project Computer Access (Phase 3) – (+$178,000)

Intercom system for Hinds Career Technical Center(+40,000)

Smart Board purchases ($100,000)Debt Service

Debt Service payments ($6,263,451)

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Allocations To SchoolsFunds are allocated to schools based on a

per student and /or per teacher basis.

Principal is responsible for managing their individual school budget (site based management).

Funds may be transferred between certain accounts to accommodate needs.

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Allocations To Schools

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Description $ perStudent

Description $ perStudent

PROFESSIONAL/EDUCATION SERVICE 9.71$ INSURANCE 2.31$ CURRICULUM IMPROVEMENT SERVICE 12.03$ FREIGHT AND SHIPPING 7.71$ RESOURCE OFFICERS/OT PROFESSIO 31.00$ PRINTING & BINDING 6.17$ TECHNICAL SERVICES 27.76$ TRAVEL & PER DIEM 5.40$ DATA PROCESSING SERVICES 15.42$ TRAVEL MILEAGE REIMBURSEMENT 5.40$ SECURITY 0.93$ TRAVEL LODGING AND MEALS 9.25$ WATER & SEWER 13.88$ TRAVEL AIRPLANE AUTOMOBILE ETC 3.08$ ELECTRICITY 185.07$ TRAVEL STUDENTS 3.08$ NATURAL GAS 24.68$ GENERAL SUPPLIES 69.40$ TELEPHONE 30.85$ OFFICE SUPPLIES 5.40$ LAWN SERVICES 38.56$ INSTRUCTIONAL SUPPLIES 11.57$ WASTE DISPOSAL 18.74$ JANITORIAL SUPPLIES 15.42$ REPAIR & MAINTENANCE SERVICES 254.47$ SOFTWARE 21.59$ TECHNOLOGY REPAIRS 77.11$ PAPER (SUPPLIES) 9.25$ RENTAL OF EQUIPMENT 46.27$ TEXTBOOKS 154.23$ OTHER PURCH PROPERTY SERVICES 6.17$ BOOKS & PERIODICALS 20.05$

OTHER FURNITURE & EQP < $5,000 61.69$

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Budget Projection Summary 1

71,330,972

71,330,972

-

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Fund Balance at June 30, 2016

Total Other Financing

15,416,188

15,416,188

Fund Balance at July 1, 2015

Fund Balance Used -

Excess (deficiency) of revenues over expenditures

Expenditures

Revenues

Notes:1. Fund Balance at July 1, 2015 is an estimate until FY 2015 General Ledger is closed.

2. Fund Balance Used is a projection based on expected revenues and expenditures.

Combined budget of all funds

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MAEP ALLOCATION (LAST 12 YEARS)

FY04

FY05

FY06

FY07

FY08

FY09

FY10

FY11

FY12

FY13

FY14

FY15

FY16

18,772,036

18,980,531

19,815,006

23,582,001

26,492,067

28,234,166

29,415,776

24,850,808

24,503,022

24,218,472

24,344,030

25,099,766

26,863,742

921762

2060707

2816191

2783414

3002215

3361101

2983833

2388059

}+$1,763,976

Under funded amountFY09 to FY 2016 =$20,317,282.00

Revenue Source BudgetedAmount

Budget%

Local Sources 34,489,704 48.35%Intermediate Sources - 0.00%State Sources 29,756,103 41.72%Federal Sources 6,239,380 8.75%Sixteenth Section 845,785 1.19%

Total Revenues 71,330,972$ 100%

48.35%

0.00%

41.72%

8.75%

1.19%Budgeted Revenue by Percentage

Local Sources

Intermediate Sources

State Sources

Federal Sources

Sixteenth Section

Revenue Projection By Source

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Budgeted BudgetedExpense Function Expenditure %

Instruction Programs 32,118,193 45.03%Support Services 22,889,290 32.09%Non-Instructional Services 2,909,938 4.08%Sixteenth Section Land Management 125,100 0.18%Facility Acquisition and Construction 7,025,000 9.85%Debt Services 6,263,451 8.78%

Total Expenditures 71,330,972$ 100.00%

45.03%32.09%

4.08%

0.18%9.85% 8.78%

Expenditures By Function

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Budgeted BudgetedExpense Function Expenditure %

Support Services - Student 2,408,581 10.52%Support Services - Instructional 2,817,672 12.31%Support Services -General Administration 1,385,400 6.05%Support Services - School Administration 3,055,013 13.35%Support Services - Business Services 805,563 3.52%Support Services - Operations & Maintenance Services 5,877,970 25.68%Support Services - Transportation Services 4,310,053 18.83%Support Services - Central Services 2,229,684 9.74%

Total Expenditures 22,889,290$ 100.00%

10.52%

12.31%

6.05%

13.35%

3.52%

25.68%

18.83%9.74%

Expenditures By Function

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Expenditures By Object

Expenditure Object CodeBudgeted

ExpenditureBudgeted

%Personal Services - Salaries 29,370,133 46.31%Personal Services - Employee Benefits 10,363,439 16.74%Purchased Professional & Technical Services 3,152,797 4.42%Purchased Property Services 4,542,023 6.37%Other Purchased Services 829,645 1.16%Supplies 5,504,546 7.72%Property 5,274,023 7.39%All Other Objects 7,054,098 9.89%

Total Expenditures 71,330,972 100.00%

Expenditure by Object Code

44.44%

15.68%

4.77%

6.87%1.26%

8.33%

7.98% 10.67%

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Debt Service Due FY 2015

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Local Revenue Request

Ad Valorem

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Operations New Program G.O.B L.T.N Totals

19,327,083 245,920 4,828,120 1,017,331 25,418,454 - - . - - - - - - -

417,351,809 417,351,809 417,351,809 417,351,809 417,351,809 24,010,607 24,010,607 24,010,607 24,010,607 24,010,607 393,341,202 393,341,202 393,341,202 393,341,202 393,341,202

95% 95% 95% 95% 95%373,674,142 373,674,142 373,674,142 373,674,142 373,674,142 19,327,083 245,920 4,828,120 1,017,331 25,418,454 Plus: - - - - - Less: - - - - - Plus: - - - - - 19,327,083 245,920 4,828,120 1,017,331 25,418,454 373,674,142 373,674,142 373,674,142 373,674,142 373,674,142

51.7218 0.6581 12.9207 2.7225 68.0230 51.7218 0.6581 12.9207 2.7225 68.0230

48.1803 - 14.3792 2.5510 51.7218 0.6581 12.9207 2.7225 3.5415 0.6581 (1.4585) 0.1715

4.1996 (1.2870)

65.11 68.02 2.91

1 Mil generates--------------------------------> 373,674$ -$ 373,674$ 373,674$

Prior Requested Total Millage FY 2015New Requested Total Millage FY 2016

Net Increase Over Previous Year

Net Change for Debt Service:

Homestead ReimbursementCollection CostsNet $ To Be Raised

Divided By Net Assessed ValueMillsMills (Adj for 3 Months Delay)

Millage Applications:Prior Request for FY 2015:New Request for FY 2016:

Amount of Change:Net Change for Operations:

Homestead CR ($ Lossed)

HIND COUNTY SCHOOL DISTRICTFY 2016 MILL COMPUTATION

(Based on 2014 AV from Tax Assessor)

Total Dollars To Be Raised:Include estimated Home Stead reimbursementExclude Ad Valorem Tax Reduction

Total Assessed Value (AV):Less: Amount Special Homestead Value:

Net Assessed Value:Est. Collection Rate:Final Net Assessed Value:

Total $ To Be Raised

Ad Valorem Tax Millage

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Example CalculationHow much Ad Valorem Tax would a single family home valued at $100,000 generate in the Hinds County School District, at the school taxes of 68.02 mills?

Facts: $100,000 = true value 10% = Class II ratio .06802 = millage rate of 68.02 mills

Formula: “true value” X “ratio” = “assessed value” “assessed value” X “millage rate” = “tax bill”

Application of Formula to Facts:

$100,000 X 10% = $10,000 $10,000 X .06802 = $680.02

Thus, in this example, the ad valorem tax bill is $680.02.

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Tax Bill Implications by True Value

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Millage Rate

$50,000 $100,000 $150,000 $200,000 $250,000 $300,000 $350,000

65.00 325$ 650$ 975$ 1,300$ 1,625$ 1,950$ 2,275$ 65.11 326$ 651$ 977$ 1,302$ 1,628$ 1,953$ 2,279$ 65.50 328$ 655$ 983$ 1,310$ 1,638$ 1,965$ 2,293$ 66.00 330$ 660$ 990$ 1,320$ 1,650$ 1,980$ 2,310$ 66.50 333$ 665$ 998$ 1,330$ 1,663$ 1,995$ 2,328$ 67.00 335$ 670$ 1,005$ 1,340$ 1,675$ 2,010$ 2,345$ 67.50 338$ 675$ 1,013$ 1,350$ 1,688$ 2,025$ 2,363$ 68.00 340$ 680$ 1,020$ 1,360$ 1,700$ 2,040$ 2,380$ 68.02 340$ 680$ 1,020$ 1,360$ 1,701$ 2,041$ 2,381$

AnnualIncrease 15$ 29$ 44$ 58$ 73$ 87$ 102$

True Value of Class II Property at 10% Tax Ratio

Notice of Tax Increase

• Advertisement of Notice of Tax Increase is required by Mississippi Code Section 27-39-207

• Advertisement as run indicates that the district’s proposed request may cause an increase in the ad valorem millage rate.

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NOTICE OF PROPOSED AD VALOREM TAX EFFORT

HINDS COUNTY SCHOOL DISTRICT

The Hinds County School District will hold a public hearing on its proposed school district budget for fiscal year 2016 on Thursday, June 11, 2015 at 5:00 p.m. at the Hinds County School District Career Technical Center, 14020 Highway 18 Raymond, Mississippi. At this meeting, a proposed ad valorem tax effort will be considered.

The Hinds County School District is now operating with projected total budget revenue of $66,631,282. Of that amount, 37.6 percent or $25,048,850 of such revenue is obtained through ad valorem taxes. For next fiscal year, the proposed budget has total projected revenue of $67,633,236. Of that amount, 38.6 percent or $26,050,804 is proposed to be financed through a total ad valorem tax levy.

For the next fiscal year, the proposed increase in ad valorem tax effort by Hinds County School District may result in an increase in the ad valorem tax millage rate. Ad valorem taxes are paid on homes, automobile tags, business fixtures and equipment, and rental real property. Any citizen of Hinds County School District is invited to attend this public hearing on the proposed ad valorem tax effort, and will be allowed to speak for a reasonable amount of time and offer tangible evidence before any vote is taken.

Proposed Ad Valorem Tax RequestThe District requests a specific dollar amount of support and does not set millage. The information about millage is provided only as clarification of the district’s estimated affect on taxes.

The ad valorem tax effort discussed and advertised is the District’s estimate based on available information.

Forces outside the District come together to determine what the final millage rate will be.

The final millage rate will be higher or lower based on final assessed valuation and homestead exemption.

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Proposed Ad Valorem Tax Request

Request that the Hinds County Board of Supervisors levy a millage rate that will generate total proposed ad valorem tax revenues of $25,418,454.

Represents $1,088,345 increase over last year due to lack of MAEP full funding and partially offset by anticipated new property growth.

Authority to request additional funds is granted in MS Law 37-57-104(3) and is not subject to 4% or 7 % tax increase limitations.

Proposal is based on the 2014 Assessed Valuations.

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Next steps in budget processModifications or corrections related to the public hearing will be reviewed and incorporated into Budget.

Conduct individual budget review meetings with Principals.

Board will approve final budget at June 18, 2015 special board meeting.

Resolution will be sent to the Hinds County Board of Supervisors requesting final request amount.

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Questions or Comments?

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