Transcript Elida Local Schools

Elida Local Schools
Financial Summit V
Report to Stakeholders
Fiscal Year 2009-10
Joel L. Parker,CPA
Introductions
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Economic Outlook
Federal Programs
Goals
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Review the financial condition of Elida Local
Schools
Expand the knowledge base on school funding
issues
Review data for future financial planning
Exchange ideas on “best practices”
Encourage dialogue on future economic trends
Trivia
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$65,000
$38,000
$2,080
$10,000
$33,658
Indiana Schools
Concerns
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State budget gap- $5-$10 billion
Projected loss to Elida FY 12- $1.6 to
$2.1 million(what is coming?)
Tax delinquencies
Loss in state aid
Tax payer still hurting from recession
Unfunded mandates
Perfect Storm
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Loss in stimulus $510,083
Loss in inventory tax $364,235
Loss in inventory tax $364,235
Foundation $129,560
Foundation $211,376
Inflation on expenses
Levy fatigue
Legislation
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SB 5 Collective Bargaining Reform
HB 69 Pension Reform
HB 136 Charter/voucher expansion
HB 153 Budget Bill
State Aid
Fiscal Year
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
Actual
7,085,910
7,561,375
7,502,306
7,434,281
7,567,028
7,511,293
7,502,152
7,454,097
7,352,109
6,931,429
7,142,806
2% Growth
7,712,603
7,866,855
8,024,192
8,184,675
8,348,369
8,515,336
8,685,643
8,859,356
9,036,543
Charter/Voucher Concerns
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OVA $146,102 /23 = $6,352
Elida Cupp Report = $2,684
Tangible Personal Property Tax
Fiscal Year
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
Actual
1,525,306
1,513,272
1,463,699
1,531,472
1,230,346
826,456
635,757
249,114
305,800
150,000
135,000
1,276,192
LOSS
WHAT HAVE WE DONE TO GET LEAN?
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Staff cuts
Administrative cuts $239,155
Administrative Wages-0% increase 2 yrs
Streamlined food service
Moved staff to PPO insurance plan
Moved to pay to participate
Passed a levy in 2005 to bring back specific
programs
Reduce bus fuel consumption
Think long term
Savings on Retire/Rehire
Sharing on health premiums
Continued
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Withdrawal from ESC Alternative Program
- $7,000
Not replace mechanic - $58,472
Hire Psychologist - $9,923
2004-05 one less teacher at EE
2005-06 one less teacher at EE and HS
Partner with WCLA on software $14,000
Review SF6 billing - $24,000
What have we done to get lean?
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Review Staffing
Meal Policy
American Express
Bus Idle
Share Ins Increases
Bulk Paper
Bid Property/Liability
Diesel Grant
Safe Route Grant
Dir dep/email PO
Hire maint. person
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Turn down
thermostats
Change drug
company
No health ins R/R
New health plans
Auto lights switches
Bid projects
MAC Grants
Early bus buy
What have you done lately?
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Review set points $74,000
Reduce Teacher Academy $65,000
Re-route buses(4) $84,444
Reduce special ed teacher $76,102
What will you do next year?
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Consolidate choir position
Reduce MS teacher-(technology class)
Move Central Office secretary to HS
Reduce building budget
Lean on grant $ for technology
Work on reductions in health care
Reduce bus route
Review staffing
Pay off HB 264 Note early
Cost Reduction-Spring 2011
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Phase I- Cut 11.5 teachers $878,000
Phase II – Close Gomer $433,000
Phase III – EMS re-configure $275,000
Phase IV – Return to ½ K $240,000
TOTAL $ 1,826,000
Wage Freeze
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Administrators – 2 yr freeze
All Others – 0 on base 2 years, steps
year 1, no steps year 2
Savings $823,000
Fund Raising Efforts
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Fieldhouse Renovation $350,000
Concession Building $150,000
Locker/weight room $100,000
Piano Fund
Safe Route Grant
PERFORMANCE INDICATORS
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Carry-over Growth 1-5%(update)
Strength of Carry-over - 60 day(update)
85% Rule on Salaries and
Benefits(update)
Review Levy Cycles
Debt to Total Assets
Residential Tax Rate
Per Pupil Spending (vs. other schools)
74 Day Cash Balance!
7,000,000
6,000,000
60 DAY CASH BALANCE ALMOST A REALITY
2003
2004
2005
2006
2007
2008
2009
2010
2011
5,000,000
4,000,000
3,000,000
2,000,000
1,000,000
Ja
nu
Fe ary
br
ua
ry
M
ar
ch
Ap
ril
M
ay
Ju
ne
Ju
l
Au y
Se gu
pt st
em
b
O er
ct
N obe
ov
em r
D
ec ber
em
be
r
-
Month
June 30 Carry-Over: A New Cycle
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2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
$1,048,819
$ 758,675
$ 821,146
$ 360,933
$ 967,429
$1,865,900
$2,645,703
$3,496,376
$4,071,288
$4,127,565
$3,454,672
$2,702,030
23 days
17 days
18 days
8 days
21 days
39 days
53 days
68 days
76 days
74 days
60 days
47 days (estimate)
Health Insurance
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1/1/09 Medical Rate Increase 15%
1/1/09 Dental Rate Increase 20%
1/1/09 New Plan MDHP Developed
1/1/10 New High Deductible Plan
1/1/10 Medical Rate Increase 20%
1/1/10 Dental Rate Increase 20%
Meeting this year to introduce HDHP plan
Continue discussions on spousal coordination of
benefits
What are you doing/seeing???
Health Care
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2011-Spousal language
Increase employee share(20,15,10)
3 plans(low,mid,high ded)
Change TPA
Change consultant
Revenue Chart FYD as of June 30, 2010
General Fund
9%
Real Estate
Personal
Property
Foundation
10%
2%
43%
Restricted Aid
0%
Restricted SFSF
Homestead/Roll
Other
35%
1%
Expense Chart FYD as of June 30, 2010
2%
0%
0%
1%
3%
Salaries
20%
Retire/Ins
54%
Purchased
Service
Supplies
Capital Outlay
20%
Debt-Prin.
Debt-Int.
Other
General Fund Expenditures
Elida Local Schools - Data Graph
14,000,000
12,000,000
Tax Revenue-Real
State Aid
Interest Income
Salaries
Benefits
Utilities
8,000,000
6,000,000
4,000,000
2,000,000
20
05
20
06
20
07
20
08
20
09
20
10
20
11
Dollars
10,000,000
Fiscal Year
FOOD SERVICE
Fiscal Year
2000
2001
Revenue
Federal
State
Local
243,346
10,072
594,211
234,529
10,092
576,010
Total
847,629
Expenses
Salaries
Fringes
Purchased Service
Supplies
Equipment
Total
2003
2004
2005
2006
223,494
10,756
561,344
278,530
10,706
575,917
243,644
12,630
586,843
239,122
13,207
513,334
820,631
795,594
865,153
843,117
325,736
134,816
9,128
339,680
9,333
332,741
156,892
8,421
338,004
12,348
345,760
198,125
5,285
327,304
20,709
353,996
211,198
5,011
314,984
-
818,693
848,406
897,183
28,936
(27,775)
Plus Advances
Plus Beginning Bal.
111,602
Ending Balance
140,538
Net Gain/(Loss)
2002
2007
2008
2009
2010
320,161 279,240
11,028 10,954
575,959 571,476
386,010
11,001
548,922
430,062
11,507
559,512
509,152
12,275
515,619
765,663
907,148 861,670
945,933
1,001,081
1,037,046
350,154
245,929
4,507
292,572
-
276,396
181,288
7,022
279,624
16,241
283,380
153,651
11,485
307,740
-
313,751
179,800
13,657
342,635
-
317,182
171,619
16,928
351,055
2,105
335,930
179,011
15,275
390,685
-
369,702
194,911
21,367
382,230
3,307
885,189
893,162
760,571
756,256 849,843
858,889
920,901
971,517
(101,589)
(20,036)
(50,045)
5,092
150,892 11,827
87,044
80,180
65,529
140,538
112,763
48,636
11,174
40,000
39,774
54,000
29,726
88,818 239,711
(10,000)
251,538
(15,000)
328,582
(40,000)
393,762
112,763
11,174
39,774
29,729
88,818
239,710 251,538
328,582
393,762
419,291
Program Spending-6/30/10
REPORT TO STAKEHOLDERS
General Fund Revenue
Local Revenue
Real Estate Taxes
Personal Property Taxes
General Fund Expenditures
$
Total Local
8,389,617
249,114
42%
1%
8,638,731
43%
Instructions
Regular
Special Education
Vocational
$
12,335,622
1,680,792
898
59%
8%
0%
14,017,312
64%
698,943
3%
Instr. Staff Support##
Administration
Transportation
Business/Maintenance
495,287
1,404,901
1,064,168
2,530,616
2%
7%
5%
12%
Total Support Svcs.
6,193,915
30%
Extracurriculars
540,692
3%
Debt Requirements
Principal/Interest
69,616
0%
20,821,535
100%
Total Instructions
State Revenue
Foundation
Foundation-Stimulus Funding
Homestead Rollback
Total State
Other
Total Revenue
$
6,952,866
454,960
2,096,592
-
35%
9,504,418
48%
10%
1,851,068
9%
19,994,217 100%
Supporting Services
Pupil Support**
Total Expenditures
$
Elida Transportation Data
Amount
1500000
1000000
Fuel
500000
Gallons
Miles
Total Expense
0
1
2
3
4
5
6
7
8
9
10
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
Fuel
86,985
61,233
70,591
66,988
92,372 144,618 127,159 193,731 131,442 123,714
Gallons
83,123
67,209
63,354
60,504
57,217
Miles
428,886 440,673 415,682 376,971 372,549 402,349 398,107 393,866 410,360 361,171
Fiscal Year
62,220
64,631
62,355
63,139
56,670
Total Expense 915,528 935,059 941,924 841,161 1,099,56 997,411 1,131,07 1,359,02 1,246,31 1,064,16
Fiscal Year
Real Estate
Personal Property
Unrestricted State Aid
Restricted Grants - State
Restricted Grants - SFSF
$8,374,681
$8,374,681
$8,389,617
635,757
635,757
249,114
(386,643)
-60.82%
7,538,353
7,538,353
6,928,844
(609,509)
-8.09%
76,065
76,065
24,022
(52,043)
-68.42%
-
-
14,936
0.18%
454,960
454,960
0.00%
Homestead & Rollback
1,905,561
1,905,561
2,096,592
191,031
0.00%
Other Revenues
1,703,586
1,703,586
1,851,068
147,482
8.66%
Sale of Notes
-
-
-
-
0.00%
Transfers
-
-
-
-
0.00%
Advances
31,398
31,398
202,510
202,510
Total
20,467,911
20,467,911
20,290,864
(177,047)
Expenditures
Personnel Services
10,852,446
10,852,446
11,281,803
429,357
3.96%
Retirement/Insurance Benefits
3,736,685
3,736,685
4,109,281
372,596
9.97%
Purchased Services
4,083,616
4,083,616
4,093,160
9,544
0.23%
Supplies and Materials
717,250
717,250
712,560
(4,690)
-0.65%
Capital Outlay
381,339
381,339
232,223
(149,116)
-39.10%
Debt Service - Principal
54,985
54,985
57,237
2,252
Debt Service - Interest
14,631
14,631
12,379
(2,252)
314,035
314,035
322,892
All Other Sources
Other
Transfers
-
-
296,647
-
-
265,249
0.00%
(202,510)
0.00%
4.10%
-15.39%
8,857
2.82%
-
0.00%
AUDIT REPORT
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Performed every year
Cost to taxpayers $16,000
Cash basis (saves taxpayers $10,000$13,000 each year)
Tests are performed on accounts
payable, payroll, compliance with ORC,
fund raising, athletics, food service,
grants, etc.
Clean opinion
No adjustments
Comparison Group-Administrative Expense Per Pupil
ADMINISTRATIVE EXPENSES
1,400
1,200
1,000
800
600
400
200
-
n
eo
us
Wa
fi n
Tif
da
El i
ton
i ng
lm
Wi
e
nc
fi a
De
alk
nt
mo
rw
No
Fre
i ty
ke
La
ne
tai
f on
l le
Be
y
ne
Si d
on
eg
Or
C
na
ba
ath
He
Ur
ia
t av
Ba
a
nn
ve
Ra
ton
l in
rt C
ia
Po
lph
de
ila
Ph
w
Ne
n
l eo
po
e
Na
ak
dL
iel
e ff
Sh
ll e
rvi
Or
on
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Lo
Administration: Salaries for administrators, office staff, and office supplies
Comparison Group-Expense Per Pupil
12,000
10,000
8,000
6,000
4,000
2,000
-
a
hi
lp
de
ila
Ph
ew
N
on
se
au
W
n
ffi
Ti
on
gt
in
i lm
W
a
id
El
w
or
th
ea
H
e
nc
ia
ef
ne
D
ai
nt
fo
l le
Be
k
al
N
ke
La
C
n
go
re
n
to
l in
a
vi
ta
Ba
t
on
em
Fr
ey
dn
Si
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eo
ol
ap
N
e
i ll
ke
rrv
O
La
ld
fie
ef
Sh
i ty
C
a
an
rb
U
na
en
av
R
on
nd
Lo
O
rt
Po
Comparison Group-Report Card Data
30
25
20
15
10
5
-
on
nd
Lo
a
nn
ve
Ra
nt
mo
Fre
y
Ci t
na
ba
e
Ur
tain
on
l lef
Be
ton
ng
lmi
Wi
on
l int
rt C
Po
y
ne
ke
Si d
La
iel d
e ff
Sh
ll e
rvi
Or
fi n
Tif
ke
La
ia
t av
Ba
on
eg
Or
nce
fi a
De
n
l eo
po
Na
ia
da
lph
El i
de
h ila
wP
Ne
on
use
Wa
ath
He
alk
rw
No
TAX BASE
2003
Values
2004
Values
2005
Values
2006
Values
2007
Values
2008
Values
2009
Values
2004
2005
2006
2007
2008
2009
2010
idential
rcial/Industrial
al
213,179,340
87,268,820
300,448,160
216,149,940
90,926,040
307,075,980
219,179,010
91,884,270
311,063,280
240,726,340
97,276,200
338,002,540
243,660,870
100,017,980
343,678,850
246,525,140
101,438,990
347,964,130
244,378,910
108,803,850
353,182,760
Real
eal
47,120
300,495,280
47,890
307,123,870
31,820
311,095,100
21,120
338,023,660
21,590
343,700,440
19,340
347,983,470
22,190
353,204,950
9,517,850
32,993,852
42,511,702
9,280,790
36,274,840
45,555,630
8,795,910
27,665,882
36,461,792
8,919,930
18,362,998
27,282,928
6,906,750
5,116,935
12,023,685
7,215,890
7,215,890
7,471,370
7,471,370
343,006,982
352,679,500
347,556,892
365,306,588
355,724,125
355,199,360
360,676,320
20,946,010
24,203,770
24,291,910
69,828,126
69,828,126
69,828,126
29,657,730
ed Year
ersonal
e Personal
ersonal
l
Values
State Budget Concerns-FY 2010
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CAT $ 1.3 billion new
Corporate Franchise Tax 1.1 billion loss
Tangible Property Tax 1.6 billion loss
Income Tax 2.1 billion loss
NET LOSS 3.5 billion in state revenue
10 year job loss – 210,000 manufacturing
10 year job loss- 4,000 Allen County
BUDGET GAP $5-$10 BILLION????
Levy Timeline-Future Dates
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May 2010 Renew Emergency Levy
Fall 2012, 2013 Renew PI Levy
2012, 2013 Levy Discussion
2012-2013 OSFC Issue
2014,2015 Renew Emergency Levy
Revenue Shortfalls-Ernie
Strawser SBO Quarterly
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Ohio’s income tax down by 12%
By FY 2011- 9% of state education
budget supported by stimulus $
Unemployment at 11% (difficult to
achieve tax revenue at pre-recession
levels(would take 2 years to respond)
In 30 years, never witnessed greater
challenges for schools
Open Enrollment
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FY
FY
FY
FY
FY
07
08
09
10
11
In
In
In
In
In
$535,000 Out $1.3 million
$597,000 Out $1.4 million
$912,000 Out $1.5 million
$1.24 million Out $1.48 million
$1.38 million Out $ 1.6 million
What Next???