Building Quality Budgets For Strong Community Schools
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Building Quality Budgets For Strong Community Schools Marcia Saulo and Elsa Forthmuller Region Finance Directors, Imagine Schools
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Building Quality Budgets For Strong Community Schools. Marcia Saulo and Elsa Forthmuller Region Finance Directors, Imagine Schools. Why Budget?. Sustainability Accountability. Outcomes of Poor Budgeting. Confusion Missed Opportunities Mismanagement Waste Surprising deficits. - PowerPoint PPT Presentation
Transcript of Building Quality Budgets For Strong Community Schools
Building Quality Budgets For Strong Community Schools
Marcia Saulo and Elsa ForthmullerRegion Finance Directors, Imagine Schools
Why Budget?
• Sustainability
• Accountability
Outcomes of Poor Budgeting
•Confusion•Missed Opportunities•Mismanagement•Waste•Surprising deficits
Outcomes of Successful Budgeting
• Administration of school is eased
• Effective instruction is within your means
Getting Started
• Know your enrollment
• Project revenue accurately
• Make the right assumptions
• Include all expenses
• Write it down –
Do not assume you will
remember what you were thinking!
Enrollment and Revenue
• Enrollment equals revenue!
• Match your budget to enrollment
• Use the Florida DOE Charter School Revenue Estimator:
https://www.fldoe.org/fefp/chartinst.asp
101 Basic K-3111 Basic K-3 with ESE Services
102 Basic 4-8112 Basic 4-8 with ESE Services
103 Basic 9-12113 Basic 9-12 with ESE Services254 ESE Level 4 (Grade Level PK-3)254 ESE Level 4 (Grade Level 4-8)254 ESE Level 4 (Grade Level 9-12)255 ESE Level 5 (Grade Level PK-3)255 ESE Level 5 (Grade Level 4-8)255 ESE Level 5 (Grade Level 9-12)130 ESOL (Grade Level PK-3)130 ESOL (Grade Level 4-8)130 ESOL (Grade Level 9-12)300 Career Education (Grades 9-12)
Revenue Calculator
When Will Revenue Come In?
• October and February FTE counts
• Disbursement likely to change in July, December, and April
Timing depends on your district!
• Plan your cash flow
• Other Possible Revenue
• Grants, Charter Capital Outlay, VPK, Title I, Food Service, Before/After Care, Fundraisers, Other Local Revenue
Cash Flow Template
Key Assumptions Needed
Key Assumptions Needed
• How many students will you have?
• How many teachers do you need?
• What expenses should you plan for?
• When will revenue come in?
• What revenue other than FEFP will you receive?
How Many Students Will You Have?
• Enrollment determines costs!
• Demographics? Local history? Grades planned? Parent meeting turnout?
• Less painful to adjust for more students than fewer.
Do not over spend before October!
• Set up your budget for multiple “what ifs”
How Many Teachers Do You Need?
• Know class size restrictions
• Establish a personnel budget to match your (changing) enrollment
• Remember Salary and Benefits
Do Not Over Hire!
What Expenses Should You Plan For?
• Cost Categories
• Salaries & Benefits
• Direct Educational Expenses
• Facility Operating Expenses
• Furniture, Fixtures and Equipment
• Other School Services
• General & Administrative
Salaries and Benefits
BenefitsInstructional Administration Social SecurityBasic Management Medicare
Teachers Support Staff Group InsuranceAides Fiscal Services Other EE BenefitsSubstitutes Other FUTA
Specials Food Services SUIESE Transportation 401k Match, etc.ESOL Plant MaintenanceSpeech Plant OperationsVPK Care
Instructional SupportGuidance/CounselorMedia ServicesCurriculum DevelopmentHealth
Salaries
Direct Educational Expenses
Direct Educational ExpensesClassroom SuppliesTextbooksOther Direct Education ExpensesStudent Assessment ExpensesHealth SuppliesInstructional Computer SoftwareLibrary/Media - Books and SuppliesInstructional Support MaterialStudent Information SystemFood Service-Materials and SuppliesBefore/After Care SuppliesSchool Advisory Council ExpensesEnrichment Supplies
Facility Expenses
Facility Operating Expenses Rent Electricity Telecommunications Internet Service Water & Sewer Waste Landscaping Repairs & Maintenance Maintenance Reserve
Furniture, Fixtures and Equipment
Furniture, Fixtures and EquipmentClassroom FurnitureClassroom EquipmentCafeteria FF&EOffice FurnituresComputersA/V EquipmentOther
Other School Services
Other School ServicesTravelField TripsTransportation - MaintenanceTransportation - Diesel FuelTransportation - GasolinePhysical and Occupational TherapySpeech TherapyProf & Tech Contracted ServicesJanitorial ExpenseGuard/Security ServicesExterminating
General and Administrative Expenses
General & AdministrativeInterest Expense on NotesLiability InsuranceWorkers CompAudit FeesBoard ExpensesPrinting and DuplicationDistrict FeesDues and FeesDepreciation ExpensePostageOffice SuppliesDrug Testing/FingerprintingMiscellaneous Expenses
Other Expenses?
What Will Things Cost?
• Gather Historical Data – your own and others
• Percentage Guidelines for Budget Categories• Salaries and Benefits 50% or more
Benefits are running 32% of salaries
• Rent 20% or less
• Other Facility Operating Expenses 3%
• Contingency 3% or more
Write it Down!
• Do not assume you will remember what you were thinking!
•Set up a Master Budget Workbook in Excel
Sample Budget Workbook
Incorporate Florida Redbook
• What is it and what does it do for you?
https://www.fldoe.org/fefp/redtoc.asp
• Fund, Function ( 4 digit, purpose, e.g. health services), and Object (3 digit, what type of goods or services, e.g. supplies)
• Build Redbook into your General Ledger codes
• Put your GL codes into your workbook
• Important for reporting and auditing purposes
This is Governmental Accounting!
Budgeting Throughout The Year
• Get your whole team (including teachers) on board with your budget
• Monitor and adjust for changes during the year
• Watch your cash flow and fund balance
• Suggested process for creating and working with your school’s budget
April – early bird budgetJune – pre-final budgetNovember – final budgetJuly – amended final budget
Questions?
Marcia Saulo and Elsa ForthmullerRegion Finance Directors, Imagine Schools
[email protected]@imagineschools.com
Thank You!
