Finance Presentation 02-18-10

7/29/2019 Finance Presentation 02-18-10

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RevenuesOver / (Under)

Year Revenue Expense Expense Fund Balance'02/'03 18,085,976 18,006,164 79,812 2,237,322'03/'04 18,906,990 19,242,830 (335,840) 1,901,481 More@4 +$257k, Medicaid +$107k, Futures Grant +$345k, Smaller Learning Communities +$166k'04/'05 18,855,176 19,176,809 (321,633) 1,579,847

'05/'06 21,981,334 20,529,393 1,451,941 3,031,788County +$705k, Fines&Forfeitures +$746k, More@4 +$210k, Textbooks +$302k, Pre-K Bus +$126k, Medicaid$163k, GearUp +$68k, Emergency Response Grant +$68k, Middle College Grant +$77k

'06/'07 21,372,760 21,148,060 224,700 3,256,488 Fines&Forfeitures ($319k), Textbooks ($363k)'07/'08 21,083,564 23,176,432 (2,092,868) 1,163,620 Medicaid ($95k), Emergency Response Grant ($149k)

'08/'09 22,565,237 24,178,325 (1,613,088) (449,467)County +$290k, More@4 +$175k, Medicaid +$246k, SES Grant +$190k, FLAP +$180k, Snack Grant +$161k,REMS Grant +$139k

Bond Referendum Failed in 2000

approximately $44M COPS Issued for Construction of two auxiliary gyms and two new High Schools in 2006

approximately 4,600,000 Annual High School Debt Service (20 year terms)

2007/2008

Patton inaugural year 1,007,034 Annual cost to operate Robert L. Patton High School

Supplement increase 268,000 Annual supplements increased 1/2% by BOE

Substitute Costs 480,000 Increase in annual substitute costs

Total 1,755,034$ New/Additional costs for '07/'08

Local Current Expense for '07/'08 in comparison to '06/'07 increased by $2,028,372

2008/2009

Patton High School 1,007,034 Annual cost to operate Robert L. Patton High School - See Exhibit - 1

Draughn inaugural year 1,177,392 Annual cost to operate Jimmy C. Draughn High School - See Exhibit - 1

Supplement increase 276,000 Annual supplements increased 1/2% by BOE

Substitute Costs (192,000) Decrease in annual substitute costs

Natural Gas 94,000 Increased cost for natural gas taking out RLP & JCD included in the preceding

State Reversion 555,401 Reversion #1 in December 2008

State Reversion 392,592 Reversion #2 in June 2009

3,310,419$ New/Additional costs for '08/'09

Local Current Expense for '08/'09 in comparison to '07/'08 increased by $1,001,893

In summary over the periods of '07/'08 and '08/'09 operating the two new High Schools, an increase in supplements, spike in substitute costs, and state reversions impacted theLocal Current Expense Budget by approximately $5.1 million.

Total Local Revenues & Expenditures

Burke County Public Schools

Financial Timeline

Significant Impacts to the Local Current Expense Fund


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'07/'08 '08/'09 Cost SavingsRLP JCD Initiatives

Electricity/Water/Sewer/Heat 201,128 218,996Water 5,313 4,402Sewer 4,717 1,445Natural Gas 58,360 265,459 (26,952) reduce 10% in '09/'10 for Energy Savings InitiativeSalary - Coaches Extended Term 14,200 14,200Coaching Supplements 15,000 15,000 (1,500) reduce 10% in '09/'10 for Energy Savings InitiativeBand/Choral Teacher Supplements 1,000 1,000 (100) reduce 10% in '09/'10 for Energy Savings InitiativeMiscellaneous Supplements 1,400 1,400 (140) reduce 10% in '09/'10 for Energy Savings InitiativeSigning Bonuses 20,000 20,000 (20,000) eliminated for '09/'10 as part of Cost savings InitiativesSalary - Parking Security 9,000 9,000 (540) reduce 6% in '09/'10 as part of Cost Savings InitiativesSalary - Technology Engineers 24,935 24,935

Supplement - Principals 12,400 12,400 (6,200) reduce 50% in '09/'10 as part of Cost Savings InitiativesSupplement - Assistant Principals 7,200 7,200 (3,600) reduce 50% in '09/'10 as part of Cost Savings InitiativesSalary - Office Staff 125,000 125,000 (7,500) reduce 6% in '09/'10 as part of Cost Savings InitiativesSalary Assistant Principals 141,900 103,200 (17,200) reduce 2 months in '09/'10 as part of Cost Savings InitiativesSalary Custodians 72,000 72,000 (4,320) reduce 6% in '09/'10 as part of Cost Savings InitiativesSalary - Principals (Local Portion) 10,000 10,000Salary - Maintenance Staff 56,000 56,000 (3,360) reduce 6% in '09/'10 as part of Cost Savings InitiativesForensics 1,000 1,000 (250) reduce 25% in '09/'10 as part of Cost Savings InitiativesHigh School Band Allotment 1,000 1,000 (250) reduce 25% in '09/'10 as part of Cost Savings InitiativesContracted Services - Schools 10,000 10,000Telephone 7,000 7,000

Custodial Supplies 26,000 26,000 (2,600) reduce 10% in '09/'10 as part of Cost Savings InitiativesEquipment Repairs 4,000 4,000Equipment Repairs - Computer/AV 2,000 2,000Computer Software 1,000 1,000Pest Control 500 500 (125) reduce 25% in '09/'10 as part of Cost Savings InitiativesInsurance - Buildings and Equipment 18,000 18,000Office Supplies 3,500 3,500 (1,750) reduce 50% in '09/'10 as part of Cost Savings InitiativesTravel - Principals/Office Personnel 5,000 5,000 (2,500) reduce 50% in '09/'10 as part of Cost Savings InitiativesBenefits 148,481 136,755 (13,471) reduced by amounts of salary & supp. decreases

Estimated Annual Local Expense 1,007,034 1,177,392 (112,358) as a result of Cost savings Initiatives

2,184,426$

BCPS

Local Current Expense Absorbed

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2002/2003 2003/2004 2004/2005 2005/2006 2006/2007 2007/2008

ADM 14,627 14,547 14,552 14,449 14,189 14,139

Administrators 69 64 66 67 62 54

Teachers 1,001 1,027 1,018 1,030 978 1,038

Other Professionals 133 98 100 108 113 101

Other 724 718 659 656 629 474

Total Employees 1,927 1,907 1,843 1,861 1,782 1,667

Ratio Pupil/Staff 7.59 7.63 7.90 7.76 7.96 8.48Ratio Pupil/Teacher 14.61 14.16 14.29 14.03 14.51 13.62Ratio Pupil/Admin 211.99 227.30 220.48 215.66 228.85 261.83

North Carolina Public Schools Statistical Profiles

BCPS

Information taken from the North Carolina Public Schools Statistical Profiles 2003-2008


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Per Pupil

Rank County (1) Other Total (2) (3) Other (4)ADM ADM Appropriation Rank Admin Teachers Professionals Other Employees Admin Teachers Professionals Other Total

Rutherford 9,915 37 1,122 68 57 667 96 618 1,438 173.95 14.87 103.28 16.04 6.89Cleveland 16,760 25 1,128 67 103 1,184 168 838 2,293 162.72 14.16 99.76 20.00 7.31Henderson 12,792 30 1,363 42 70 888 95 628 1,681 182.74 14.41 134.65 20.37 7.61Wilson 12,376 31 1,244 56 65 842 94 623 1,624 190.40 14.70 131.66 19.87 7.62Caldwell 13,010 29 976 82 65 896 119 623 1,703 200.15 14.52 109.33 20.88 7.64Iredell-Statesville 20,792 17 1,312 46 96 1,536 187 901 2,720 216.58 13.54 111.19 23.08 7.64Buncombe 25,418 11 1,623 24 108 1,619 228 1,351 3,306 235.35 15.70 111.48 18.81 7.69Nash-Rocky Mount 17,904 23 1,216 60 85 1,166 168 857 2,276 210.64 15.36 106.57 20.89 7.87

Craven 14,538 26 1,089 72 84 1,030 117 594 1,825 173.07 14.11 124.26 24.47 7.97Rockingham 14,179 27 1,065 73 67 945 134 594 1,740 211.63 15.00 105.81 23.87 8.15McDowell 6,434 60 1,008 79 29 408 44 303 784 221.86 15.77 146.23 21.23 8.21Catawba 17,332 24 1,227 59 83 1,088 166 729 2,066 208.82 15.93 104.41 23.78 8.39Burke 14,139 28 943 85 54 1,038 101 474 1,667 261.83 13.62 139.99 29.83 8.48

(1) BCPS has less local funds than any of the 12 comparative districts and ranks 85th lowest in the state out of 100 counties - next lowest is Caldwell

(2) BCPS has fewer administrative staff to student numbers of any of the 12 comparative districts - next closest is Buncombe

(3) BCPS has more teaching staff to student numbers of any of the 12 comparative districts with the exception of - tied with Iredell-Statesville

(4) BCPS has fewer total staff members to student numbers of any of the 12 comparative districts - next closest is Catawba

*** In summary we have fewer local dollars per student to work with, have less administrators per student, more teachers per student, and fewer overall employees to students.In other words the dollars available to us are concentrated more heavily towards teacher payroll and less towards support staff than any of the comparable districts.

Criteria for selection was based on proximity to Burke County and/or district size.Information taken from the North Carolina Public Schools Statistical Profiles 2008.

Ratio of Pupil per Staff Member

North Carolina Public Schools Statistical Profiles

2007/2008


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PRC POS MOE Amount POS MOE Amount POS MOE Amount

Classroom Teachers 1 661.27 36,398,079 645.50 35,930,467 (15.77) - (467,612)Central Office Admin. 2 1,251,435 1,086,328 - - (165,107)Non-Instructional Personnel 3 3,931,006 4,542,666 - - 611,660School Building Admin. 5 525.00 3,360,917 234.05 1,460,173 - (290.95) (1,900,744)Instructional Support 7 70.97 4,250,174 69.00 4,094,736 (1.97) - (155,438)Total Dollars for K-3 Teachers 8 - - - - -Career & Tech. EDU-Months of Employ 13 666.76 3,831,894 659.00 3,704,898 - (7.76) (126,996)Career & Tech. EDU-Program Support 14 196,138 194,406 - - (1,732)

Mentor Positions (Dollar Allotment) 22 105,182 88,259 - - (16,923)Disadvantaged Students Supp. Fund. 24 849,688 - - - (849,688)Teacher Assistants (36.7% decrease) 27 4,594,628 2,382,268 - - (2,212,360)Staff Development 28 122,267 - - - (122,267)Behavioral Support (Willie M.) 29 103,187 114,261 - - 11,074Low Wealth Supplemental Funding 31 3,365,021 3,270,113 - - (94,908)Children with Special Needs 32 6,921,172 6,843,070 - - (78,102)Incentive Award (ABC) 33 971,194 - - - (971,194)Academically & Intellectually Gifted 34 658,062 650,277 - - (7,785)Limited English (LEP) 54 919,411 909,332 - - (10,079)Transportation 56 2,391,856 2,310,699 - - (81,157)

Classroom Matl, Ins Supp, Equipment 61 1,222,742 724,460 - - (498,282)Special Program Funds - EC 63 54,851 198,822 - - 143,971At-Risk Student Ser/Alternative Schools 69 2,252,741 1,012,236 - - (1,240,505)Improving Student Accountability 72 397,726 - - - (397,726)School Connectivity 73 81,912 90,119 - - 8,207

Sub Total 732.24 1,191.76 78,231,283 714.50 893.05 69,607,590 (17.74) (298.71) (8,623,693)

Textbooks 0 564,782 364,374 - - (200,408)Driver Training 12 293,014 298,974 - - 5,960School Technology Fund 15 485,519 301,719 - - (183,800)

Sub Total 0.00 0 1,343,315 0.00 0 965,067 - - (378,248)

Total State Funds 732.24 1,191.76 79,574,598 714.50 893.05 70,572,657 (17.74) (298.71) (9,001,941)% Reduction -11.3%

Reduction

State Allotments

2009/2010

'09/'10 AllotmentBased on Allotment as of 11/20/08

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Superintendent Buyout 126,729 Net of $10,000 paid by UTICA

Special Counsel Legal Fees 383,915 Moneys payable to Special Counsel

Discounted Legal Fees (48,021) 20% discount

Additional Superintendent Salary & Benefits 38,979 Retirement, annuity, life insurance policy, and one time relocation expense

SACS CASI related expense 25,000 Various expenses related to SACS issues

Superintendent Search 15,000

Charter Schools 138,110 Charter School Ruling

Total 679,712$

Possible 1.7% Reversion 766,000 See Exhibit - 2

Hiring freeze initiated early December '09 for all nonessential positions10% set-aside of school and departmental allotments

' ' ' '

Measures taken to offset these additional issues

BCPS

Financial Highlights

2009/2010 Issues that developed after Budget Passed


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Supplement Reduction - 50% 1,500,000

Classified Furlough - 6% 565,000Employers' Health Insurance Premiums 800,000 8% increase based on historical averages

Employer's Matching Retirement 600,000 7% increase based on historical averages

CPI for Supplies/Consumables 246,990 3% increase, to not include Computer Hardware and Software

Flexible Reversion 700,000 PRC 005 35% increase of flexible reversion for '10/'11

ADM Decline (Est. @ 2.7%) 1,110,000 Declining student enrollment - See Exhibit - 2

Operations for RLP 887,642 (1) Current estimated operating costs based on Cost Savings Initiatives put in place for '09/'10

Operations for JCD 887,642 (1) Current estimated operating costs based on Cost Savings Initiatives put in place for '09/'10

Burke Middle College Grant 200,000 Grant EndsFLAP Grant 273,000 Grant Ends

7,770,274$

I/C Child Nutrition 240,000 (2)

ARRA - Stabilization (140) 4,917,253

5,157,253$

(1) Operations for RLP & JCD are the same due to the fact they are identical in footprint

BCPS

Financial Highlights

Note: Dependent on state revenue projections we may experience in '10/'11 additional state reversions as in the '08/'09 school year when we reverted $1,006,515

(2) Loss of revenue to BCPS's if the CNP does not become self supporting. CNP utilizing Fund Balance does not qualify as self supporting.

2010/2011 Concerns

2011/2012 Concerns (one time Federal Stimulus Money ends after 2010/2011)


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Enter LEA# Actual

120 Burke County Better of

Plan 1st or 2nd Projected

ACTUAL ADJ ACTUAL(1) PROJECTED BETTER OF(2) Allot Month '10/'11

KINDERGARTEN 932 827 827 827

GRADE 1 1,039 1,039 946 1,039

GRADE 2 1,082 1,082 1,061 1,082

GRADE 3 1,099 1,099 1,069 1,099

GRADE 4 1,060 1,060 1,101 1,060

GRADE 5 1,068 1,068 1,062 1,068 6,175 5,978 (197) 5,943 (232)

GRADE 6 1,056 1,056 1,081 1,056

GRADE 7 1,116 1,116 1,051 1,116

GRADE 8 1,104 1,104 1,124 1,104 3,276 3,222 (54) 3,213 (63)

GRADE 9 1,248 1,248 1,157 1,248

GRADE 10 1,159 1,159 1,199 1,159

GRADE 11 1,033 1,033 991 1,033

GRADE 12 959 959 931 959 4,399 4,414 15 4,329 (70)

TOTAL 13,955 13,850 13,600 13,850 13,850 13,614 (236) 1.7% 13,485 (365) 2.7%

1,110,000

(1) Kindergarten adjusted due to earlier start birth date cut-off. (3,041.10)

(2) Better Of is the highest of Adj. Actual and Projected.

Positions Dollars Total Dollars Positions Dollars Total Dollars

001 Classroom Tchrs 645.50 645.50

003 Non-Instruct Support 108,527 108,527

007 Instruct Support 69.00 69.00

014 CTE Support 194,406 194,406

027 Teacher Assistants 4,459,562 4,459,562

061 Supplies & Materials 834,813 834,813

Total 714.50 5,597,308 714.50 5,597,308

1.7% reduction 12.17 95,377 766,000$ 2.7% reducti 17.43 150,067 1,110,000$

The 1.7% reduction in our ADM verses the Planning Allotment may result in a decrease of 12.17 positions and $95,376 in State support for '09/'10

Exhibit 2

2010/2011 Planning Allotment

Public Schools of North Carolina

North Carolina Department of Public Instruction

Difference

Actual to Plan

Difference

Projection to '09/'10 Plan

State Planning Allotment - Fiscal Year 2009-10ADM


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Dollars Positions

Teaching positions eliminated 2,400,000 48Teaching Assistant positions eliminated 769,500 27Custodial positions eliminated 275,000 11Central Office positions eliminated 120,000 4Unfilled maintenance positions 114,000 3

Assistant Principal positions eliminated 174,000 3Result of combining Title I & Elementary Ed. Director position 80,000 1

Attendance Counselor position eliminated 50,000 1

Total 3,982,500$ 98

Supplement Reduction - 50% 1,500,000Classified Furlough - 6% 565,000Instructional Supplies/Warehouse Supplies reduced 50% 501,000

Allocation of Substitute Funds, reducing costs 250,000Energy Savings Initiative 386,000Office Supplies Allotments reduced by 50% 140,000Library Book Allotments reduced by 50% 76,000Travel/Staff Development Allotment reduced by 50% 69,000Elimination of Mid-Grade Substitute pay 67,000Changed Board Policy allowing purchases off state contract 50,000Eliminated Local Vocational Supplies Allotment 40,000

Eliminated Dial-up internet service 38,000Contracted Services 35,000Custodial Supplies reduced by 10% 34,000

2009/2010 savings 3,751,000

Total Anticipated Savings 7,733,500

Stabilization Funding to offset reduction in State Funding 3,677,994

Total $'s accounted for in comparison to State Reductions 11,411,494

State Reduction (9,001,941)

Funds Over (Under) State Reduction 2,409,553

'09/'10 not budgeted (includes possible ADM reversion) (1,445,712)

Contribution to Fund Balance 963,841$

'08/'09 Ending Fund Balance (449,467)

Anticipated '09/'10 Fund Balance 514,374$

BCPS

Budget Cuts/Cost Savings

2009/2010

Finance Presentation 02-18-10

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Transcript of Finance Presentation 02-18-10