Transcript Markup #1 Board Meeting Presentation

Superintendent’s Budget
Recommendation
Fiscal Year 2014
Agenda
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•
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•
•
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Investing in Outcomes
Tough decisions
Budget pressures
Annual planning process
Revenue forecast
Enrollment growth
District’s plans and outcomes
FY2014 budget recommendation
Long-term financial outlook
Thank you
2
Tough Decisions
Investing in Outcomes
Net M&O % Change
11.22%
12.00%
8.78%
10.00%
8.00%
6.00%
6.60%
5.02%
4.95%
4.00%
-0.28%
2.00%
-5.62%
0.00%
2004
2005
2006
2007
2008
2009
2010
2011
2012
-2.00%
-3.17%
-4.00%
-6.00%
2013
-1.50%
-2.56%
Calendar Year
3
Tough Decisions
FY2009
2.5% raise, 2.8% Step
FY2010
Reduction of
contracted days,
6 Furlough days,
class size
increase
FY2011
3 Furlough days,
reduced 3 school
days, class size
increase
Investing in Outcomes
FY2012
No furlough
days, one-time
compensation
FY2013
No furlough
days, one-time
compensation
4
Tough Decisions
Investing in Outcomes
Fund Balance History
300,000,000
250,000,000
200,000,000
150,000,000
100,000,000
50,000,000
0
FY07
FY08
FY09
FY10 With
Cuts
FY10 W/O
Cuts
FY11 With
Cuts
FY11 W/O
Cuts
FY12
FY13 Est.
FY14 Est.
5
The FY2014 Annual Planning Process starts with
Department Planning and Budgeting integration
• Realistic and achievable department
goals should include budget
implications
• Performance expectations are
supported by resources to achieve
success.
• Result is one process with two key
points of support
Department
Plans
(Goal Setting)
Resources
(Budget to
Achieve
Goals)
– Budget Services Department
– Department of Continuous Improvement
6
…and identifies planned expenditures on both
ongoing and strategic initiative work
90% Graduation Rate | 85% College Readiness | 100% Career Readiness
Advancing
Instruction
Enhancing
People
A1: Continuous
Achievement and
Customized Learning
A2: Effective Assessment
Integrating
Technology
B4: Supportive Culture
C7: Student Access
B5: Accountability
C8: Data-Driven
Decision Making
B6: Support and
Development
Ensuring
Effective
Schools
D9: School Governance
Councils
Managing
Resources
(Phase 2)
D10: Strong School Support
A3: Tailored Instruction
and Supports
Ongoing Work
Continuous Achievement |Transportation safety | Energy efficiency|
Scheduling effectiveness| Textbook Recovery | External Communications and Public Relations
Common core curriculum| K-12 alternative school options| Charter System design
7
Waiting room
8
Presentation to Cabinet
9
Cabinet Discussion
10
Focus on outcomes
11
A Modified Zero Based Budgeting Approach
Timeline and Key Milestones
WHEN?
WHAT?
WHO?
December
Prepare
Jan - Feb 6th
Feb - Mar 12th
Mar-Apr
Apr – Jun 4th
Develop
Submit
and
Present
Review
and
Approve
Comm.
Input &
Final
Adoption
Department Leaders & Budget Managers
Budget Services
Continuous Improvement
Cabinet &
Superintendent
Board
12
13
FY2014 Proposed Budget - Pressures
Fulton County Schools is focused on identifying all the financial resources that are
available to the school system and is also developing ways to maximize all
resources. Our goal is to be good stewards of taxpayer dollars. The budget
incorporates the priorities of the many diverse constituents of the school system,
provides enhancements to funding for our educational program, and maintains
adequate reserves for the system as we look ahead to the challenges.
1. Federal sequestration
2. Economic slowdown
3. Competitive wages
4. Housing market crisis
5. Digest growth and digest reassessment
6. Digest exemptions and appeals
7. Enrollment growth
8. Health insurance cost increases
9. New state accountability measures
14
Revenue Projections
Resources from
Operating Funds
FY 2013
Projected
Actual
Investing in Outcomes
FY2013
Revenue
Per Pupil
FY2014
Projected
Budget
FY2014
Revenue Per
Pupil
% Change
Local
512,104,727
5,471
500,940,242
5,259
-2.18%
State of Georgia
292,457,532
3,124
302,844,553
3,179
3.55%
696,739
7
695,500
7
-.18%
75,000
1
75,000
1
0.00%
805,333,998
8,603
804,555,295
8,446
-.10%
Federal
Other
Total Revenues
15
Tax Revenue Projections
Investing in Outcomes
Fiscal Year
Ended
June 30,
Tax
Year
Tax Rate Per
$1000 Valuation
Property
Values(in
Millions) Total
Market Values
Property
Values(in
Millions) Total
Taxable Values
Taxes
Levied (3)
(in
Millions)
Percent Collected of
billed Taxes Within
Fiscal Year
2007
2006
16.825
65,500.20
26,200.12
440.82
96%
2008
2007
16.904
72,846.50
29,138.60
492.56
97%
2009
2008
16.403
72,762.02
31,984.24
513.27
99%
2010
2009
17.502
72,562.27
30,984.24
542.28
96%
2011
2010
18.502
69,126.86
29,364.14
543.29
98%
2012
2011
18.502
69,808.22
27,923.28
516.63
98%
2013
2012
18.502
68,958.68
27,583.47
510.35
98%
2014
2013
18.502
67,927.15
27,170.86
502.71
98%
16
Revenue Projections
Investing in Outcomes
FY2014 General Fund Revenue Projections
Local Sources
62.26%
State Sources
37.64%
Other Local Federal
Sources Sources
0.09%
0.01%
17
Still Growing
Investing in Outcomes
School Enrollment History and Forecast
2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18
Elementary
Middle
High
System Total
42,797
42,894
43,818
44,896
45,348
45,935
46,586
47,166
20,682
21,561
21,111
21,363
21,430
21,479
21,824
22,228
28,054
27,747
28,682
28,999
29,325
29,690
29,822
30,151
91,533
92,202
93,611
95,258
96,103
97,104
98,232
99,545
18
Student Enrollment vs. General Fund Staffing
Student Enrollment vs. General Fund Staffing
96,000
11,400
94,000
11,200
11,000
92,000
10,800
90,000
10,600
88,000
10,400
86,000
Fiscal Year Enrollment
FY08
85,625
FY09
87,612
FY10
89,840
FY11
91,533
FY12
92,202
FY13
93,611
FY14 Est.
95,258
Staffing
10,732
11,230
10,956
10,192
10,298
10,420
10,457
10,200
84,000
10,000
82,000
9,800
80,000
9,600
FY08
FY09
FY10
Enrollment
FY11
FY12 FY13 Est. FY14 Est.
Staffing
19
FY2014 School General
Fund Budgets
Special Program Analysis
Requesting an additional
$44 per pupil allocation
for FY2014 to meet
individualized needs of
schools based on the
recommendation of the
School Allocation Review
Team.
Expenditure Summary for Proposed FY2014 General Fund
Expenditures By Function
Instruction
Pupil Services
Improvement Of Instructional Services
Educational Media Services
General Administration
School Administration
Support Services- Business
Maintenance And Operating
Student Transportation Services
Support Services-Central
Other Outlays
Total
FY2014 Proposed
Budget
Per Pupil % of Total
$563,031,853
$5,910.60
67.31%
$28,491,258
$299.10
3.41%
$18,492,652
$194.13
2.21%
$11,769,914
$123.56
1.41%
$2,309,700
$24.25
0.28%
$48,942,550
$513.79
5.85%
$15,771,434
$165.57
1.89%
$79,454,685
$834.10
9.50%
$52,067,357
$546.59
6.22%
$16,132,596
$169.36
1.93%
$62,000
$0.65
0.01%
$836,526,001
$8,781.69
100.00%
21
Strategic Initiatives
Investing in Outcomes
22
2014 Department Annual Plan Highlights
Division
Administrative
Services
Resource Needs
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•
•
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Personnel: 22.07
FY14 Budget request: $2.09 million
Per pupil: $22.30
% of General Fund: .25%
Expected Outcomes
Superintendent Office
•
Monitor and refine our external communications protocols to improve
the customer experience.
•
Monitor and refine Board Members' capacity to effectively communicate
information with constituents.
•
Identify and implement opportunities for the Superintendent to
exchange information with internal stakeholders to build supportive
culture.
Internal Audit Department
Communications •
•
•
•
Personnel: 8
FY14 Budget request: $1 million
Per pupil: 10.55
% of General Fund .12%
•
Testing performed at 47 schools by FCBOE staff
•
Testing performed by private firm at 50 schools
•
6 additional FCBOE departments part of the risk assessment process
•
Execute an effective communications strategy during the 2013-14 school
year that effectively informs internal and external stakeholders about
key systems initiatives (specifically: Strategic Plan 2017, Charter System,
Common Core, Performance Management and SAMsII
•
Increase the district’s community stakeholder database 10 percent by
July 2013, identifying strategic advocates for the school system.
•
Develop a Supportive Culture plan where 100 percent of executive staff
are aware and support plan tactics, which they will exercise with their
staff.
23
Highlights of 2014 Department Annual Plans
Division
Strategy and
Innovation
Academics
Resource Needs
•
•
•
•
•
•
•
•
Personnel: 22.67
FY14 Budget request: $3.6 million
Per pupil: $38.43
% of General Fund: .43%
Personnel: 113.51
FY14 Budget request: $29.2 million
Per pupil: $312.46
% of General Fund: 3.5%
Expected Outcomes
•
100% of Cohort 1 and 2 elections held on-time, with no system failures,
double the parent turnout rate to 10%, and increase employee turnout
rate by 10 percentage points to 70%.All stakeholders are informed,
trained and engaged
•
The Instructional Management Support platform (FultonConnect) will
be completed and implemented throughout the 2013-14 school year,
including initial training of all impacted personnel, and ongoing support
on time and on budget. Impact will be measured through department
quality survey results and usage data in the system.*
•
Manage Phase 1 strategic initiatives to maintain 80% or better “ontarget” status through focused support and ongoing governance while
introducing four additional Phase 2 initiatives during the 2013-2014
school year.
•
Deliver and implement a Knowledge Management system for
transitioning Charter System Cohort 1 schools by June 30, 2014 that
achieves an average of 3.0 (on a 4-pt scale) for usefulness and
utilization end-user evaluations.*
•
Increase the 2012-1013 four year cohort graduation rate to 73%
•
Increase the 2012-2013 percentage of seniors earning an SAT
score that is competitive for admission at the University of
Georgia institutions to 73%
24
Highlights of 2014 Department Annual Plans
Division
Financial
Services
Talent
Resource Needs
•
•
•
•
•
•
•
•
Personnel: 93.5
FY14 Budget request: $8.7 million
Per pupil: 92.96
% of General Fund: 1.04%
Personnel: 55.92
FY14 Budget request: $6.5 million
Per pupil: $69.06
% of General Fund: .77%
Expected Outcomes
•
Strategically Balance Budget (Not Incremental-Modified ZBB) by June
30, 2014
•
Completion of an annual audit within the District's Comprehensive
Annual Financial Report with an unqualified opinion and limited
management comments
•
Preparation of an Effective Payroll with limited Off Cycle Checks and
annual execution of Open Enrollment (Benefits)
•
Establish and maintain an effective and compliant purchasing process.
•
Timely Delivery and accountability of requested resources (printing,
food commodities, textbooks and furniture & equipment)
•
Implement year - one of a comprehensive/reliable Performance
Management system for 100% of district positions by 2013.Reference
material for stakeholders
•
Implement year –one of a comprehensive/reliable Professional
Development system that provides tailored professional development
for 100% of employee groups by 2013
•
Implement/refine a school leader/teacher profile and selection process
(Principal, AP, Teacher) by 2013 that garners the satisfaction of 85% of
schools-leaders on the department survey
•
Improve HR processes and cultivate a strategic partnership with
school/department supervisors (Business Process Initiatives)
25
Highlights of 2014 Department Annual Plans
Division
Information
Technology
Resource Needs
•
•
•
•
Personnel: 62
FY14 Budget request: $13.8 million
Per pupil: $148.00
% of General Fund: 1.66%
Expected Outcomes
•
Develop our capability by building out a backup/disaster recovery
center (business continuity)
•
Develop our capability by upgrading the core Data Center
infrastructure and preparing for increased capacity
•
Leverage enterprise applications purchased toolset
•
Expand the use of communication and collaboration toolset
•
Expand on integration of EA tools and systems – automation for
greater efficiencies
•
Enhance training and expand use of Student Information –
eSchool Plus
•
Addition of Public Budget Formulation module
•
Enhance performance through tools and training improvements
26
Highlights of 2014 Department Annual Plans
Division
Operations
Resource Needs
•
•
•
•
Personnel: 1,136.17
FY14 Budget request: $101.8 million
Per pupil: $1,087.70
% of General Fund 12.17%
Expected Outcomes
•
Complete FY13 analysis, select and implement recommendations from
our environmental services interdisciplinary team for the FY15 budget
cycle. A part of the FY15 budget guidelines, convene a new cross
functional team to develop incentive models for schools to manage
utilities including potential participation in savings / costs associated
with utilities consumption.
•
Research, develop, and solicit master procurement agreements on
selected MEP systems targeting projects anticipated as early as the
summer 2014 construction cycle. Agreements will begin to standardize
and align development of maintenance staff on MEP repair.
•
Prepare a long-range plan for use, re-use, and disposition of real
property strategically aligned to the District's needs, facility master
plan, and capital improvement program in time for the FY15 capital
budget update.
•
By January, develop a proposed cost effective reorganization of safety
resources to achieve the following key objectives – align organization
with FCS learning communities, allocate local campus safety resources
based upon need, provide flexible campus safety options to schools,
and ensure a central response capability of school police.
•
In preparation for the FY15 budget cycle, evaluate approaches to meet
requirements under Healthy, Hunger free Kids act while maintaining
the profitability of the nutrition program.
27
Expenditure Summary for Proposed FY2014 General Fund
FY 2014 Total General Fund Expenditures = $836,526,001
Supplies and Materials 4% will
amount to $33,555,863
Salaries 63% costs of $526,526,184 paid to
persons who are employed by the Fulton County
Schools in a permanent, temporary, or part-time
position or one who substitutes for those with a
permanent status situation.
63%
22%
Employer Benefits 22% costs of $182,441,458
paid by Fulton County Schools on behalf of
employees, in addition to the regular salary.
Purchased Services 7% cost
$55,671,865 are amounts paid for
contractual services rendered by
personnel who are not on the payroll of
Fulton County Schools.
Equipment 1% will cost the district
$11,755,903.
7%
Utilities 3% $24,491,406 costs includes basic
service such as electricity, gas, or water.
Field Trips and Travel <1% is
budgeted for $1,309,185. Most of this
cost is covered by parents.
3%
Transfers and Other <1% costs of $774,137 for
non-operational expenditures.
1%
4%
28
Fulton County Schools
Salary Schedules
FY14 Salary Highlights
All employees will receive a salary step for which they are eligible on their respective salary
schedules which will include a 3% COLA increase. The FY14 Teaching and Non-Teaching salary
schedules have been shifted upward, so FY14 salary reflects a 3% COLA increase but no
additional step increase over FY13 salaries.
Pre-K Work Calendars
The work-day calendar for Pre-Kindergarten Teachers will be increased to 190 days from 179 days
and the work-day calendar for Pre-Kindergarten Paraprofessionals will be increased to 182 days
from 175 days. The workday increases for the Pre-K employees will result in a slight increase in
the flat rate currently funded via the Bright From the Start Grant. The salaries for Pre-K Teachers
who were grandfathered will be adjusted to include the 11 additional work days; Certified
Pre-K Teachers will receive $33,072 and Non-Certified Pre-K Teachers will receive $23,997.
Pre-K Paraprofessionals will receive $13,202 plus the $3,000 supplement for FY14.
Supplements
All instructional, extracurricular, and athletic supplemental pay will be increased by 10% for FY14.
Fulton County Schools has been consistently less competitive in athletic supplements than other
Metro districts for the last several years.
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Fulton County Schools
FY14 Salary Highlights
State Salary Minimums
The 3% COLA will help address the on-going concern that the number of steps that FCS is paying below the state
required minimum has continued to increase. By shifting the salaries over and applying a 3% COLA the number of
affected steps will be reduced by 2 steps at T6 and 2 steps at T7 for FY14. Individual adjustments are made for
employees on these affected steps that ensure a paid salary at the state minimum.
STEP
0
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
OVER 26
OS*: FY09 Only
T4- Bachelor's
$40,308
$40,308
$40,308
$40,308
$40,308
$41,436
$41,436
$42,012
$42,600
$43,800
$45,024
$46,284
$47,580
$48,924
$50,292
$51,696
$53,148
$54,636
$56,160
$57,732
$59,352
$59,352
$61,008
$61,008
$62,712
$64,464
$64,464
$64,464
T5 - Master's
$44,748
$44,748
$44,748
$44,748
$44,748
$45,996
$45,996
$46,644
$47,292
$48,612
$49,968
$51,372
$52,812
$54,288
$55,812
$57,372
$58,980
$60,636
$62,328
$64,068
$65,856
$65,856
$67,704
$67,704
$69,600
$71,544
$71,544
$71,544
T6 - Specialist
$48,780
$48,780
$48,780
$48,780
$48,780
$50,148
$50,148
$50,856
$51,564
$53,004
$54,492
$56,016
$57,588
$59,196
$60,852
$62,556
$64,308
$66,108
$67,956
$69,864
$71,820
$71,820
$73,836
$73,836
$75,900
$78,024
$78,024
$78,024
T7 - Doctorate
$52,416
$52,416
$52,416
$52,416
$52,416
$53,892
$53,892
$54,648
$55,416
$56,964
$58,560
$60,749
$62,566
$63,617
$65,400
$67,236
$69,120
$71,052
$73,044
$75,084
$77,184
$77,184
$79,344
$79,344
$81,564
$83,844
$83,844
$83,844
$66,276
$73,548
$80,208
$86,196
FY13 - 6 steps at
T6 level and 9
steps at T7 level
affected
FY14 - 4 steps at T6
level and 7 steps at
T7 level affected
30
Fulton County Schools
FY14 Salary Highlights
Comparative Data
With the 3% COLA increase, Fulton County Schools will improve our ranking at the entry level. Ranking
comparisons are based on data gathered from MRESA and projected supplied by district. Most metro
systems have not fully disclosed the treatment that will be applied to their FY14 salary structures
T4
Bachelor’s
0 Years
Experience
5 Years
Experience
10 Years
Experience
15 Years
Experience
20 Years
Experience
Maximum
Salary
FY
13
FY
14
FY
13
FY
14
FY
13
FY
14
FY
13
FY
14
FY
13
FY
14
FY
13
FY
14
Fulton
5
4
7
5
8
8
5
6
2
3
2
2
Atlanta
1
1
1
1
1
1
1
1
1
1
1
1
Cherokee
3
2
3
2
4
2
7
2
3
2
4
3
Clayton
4
5
4
4
5
4
4
5
7
5
5
5
Cobb
7
7
2
3
2
3
2
4
5
6
6
8
DeKalb
2
3
6
6
7
6
3
3
4
4
7
6
Forsyth
6
6
5
7
3
5
6
7
6
7
8
7
Gwinnett
8
8
8
8
6
7
8
8
8
8
3
4
31
Fulton County Schools
FY14 Salary Highlights
Other Metro Systems
This information was reported by the listed school systems and is not validated, and in many cases,
not Board approved at this time.
Atlanta City Schools
• No COLA increase
• No STEP increase
• Employees frozen at current step and salary
Cherokee County Schools
• No information available at this time
Clayton County Schools
• No response from Clayton at this time
Cobb County Schools
• No COLA increase
• No STEP increase
• No change to salary schedule
• 5 furlough days for all employees
DeKalb County Schools
• No information available at this time
Forsyth County Schools
• No COLA increase
• Eligible employees receive a no-cost step,
whereby, salary scales will be adjusted
upward to remain budget neutral
• Teacher calendar remains at 187 days
Gwinnett County Schools
• No COLA increase
• Eligible employees receive a no-cost step,
whereby, salary scales will be adjusted
upward to remain budget neutral
• No planned furlough days
32
Compensation - Benefits
FY13 FY14
Investing in Outcomes
FY15
Certified Health
$937.34 $945.00 $945.00 Per employee - per month
Noncertified Health
$446.20 $596.20 $746.20 Per employee - per month
TRS
11.41% 12.28%
•
12.28%On regular salary
Affordable Health Care Act impact currently being evaluated
33
Fulton County Board of Education
Fiscal Year 2013-14 Tentative Budgets
These proposed budgets are scheduled to be adopted in final form by the Board on June 4, 2013
General Fund
Estimated Beginning Fund Balance, July 1, 2013
Revenues:
Local Revenues
State Revenues
Federal Revenues
Other Local Revenues
Transfers
Total Revenues
Total Available Resources
Appropriations:
Instruction
Pupil Services
Improvement of Instructional Services
Educational Media Services
Federal Administration
General Administration
School Administration
Support Services - Business
Maintenance and Operation
Student Transportation
Support Services - Central
Other Support Services
School Nutrition Program
Construction & Capital Expenditures
Operating Transfers
Transfer to Capital Projects
Debt Service
Total Appropriations
Estimated Ending Fund Balance, June 30, 2014
Total Appropriations & Ending Fund Balance
$
School Nutrition
Service Fund
Debt Service
Fund
Special Revenue
Fund
$205,161,091
$10,027,586
$25,367,788
500,940,242
302,844,553
695,500
75,000
804,555,295
$1,009,716,386
832,465
25,293,260
16,622,041
42,747,766
$52,775,352
0
40,000
40,000
$25,407,788
563,031,853
28,491,258
18,492,652
11,769,914
2,309,700
48,942,550
15,771,434
79,454,685
52,067,357
16,132,596
2
$0
62,000
836,526,001
173,190,385
$1,009,716,386
42,687,233
42,687,233
10,088,119
$52,775,352
21,082,032
21,082,032
4,325,756
$25,407,788
$
Capital Program
Fund
Student Activity
Funds
Total All Funds
$107,532,067
$6,207,754
$354,296,286
5,700,000
42,179,950
179,130
48,059,080
48,059,080
136,993,134
9,514,668
1,589,291
148,097,093
$255,629,160
20,294,499
20,294,499
$26,502,253
658,227,875
318,891,686
69,758,001
16,916,171
0
1,063,793,733
$1,418,090,019
37,941,383
2,513,299
4,704,871
1,038,122
772,745
300
416,212
366,769
305,379
48,059,080
$48,059,080
203,801,412
203,801,412
51,827,748
$255,629,160
$19,807,100
19,807,100
6,695,153
$26,502,253
$620,780,336
31,004,557
23,197,523
11,769,914
3,347,822
49,715,295
15,771,734
79,454,685
52,067,357
16,548,808
366,771
305,379
42,687,233
203,801,412
62,000
21,082,032
1,171,962,858
246,127,161
$1,418,090,019
The fiscal year 2013-2014 budgets published herein are tentative. These budgets will be considered for final adoption by the Fulton County Board of Education at a metting
to be held at the Administrative Center, 786 Cleveland Avenue SW, Atlanta, Georgia 30315 on June 4, 2013, at 7:00 p.m. A copy of the proposed budgets will be available for
review at the Fulton County public library, the Adminstrative Center, and the internet at address: www. fultonschools.org.
34
Linda Schultz, Board President
Robert Avossa, Superintendent
Fund Balance Summary
Long-term planning
FY2014
FY2015
Investing in Outcomes
FY2016
FY2017
FY2018
Beginning Fund
Balance
$205,161,091 $173,189,885 $158,202,933 $145,590,193 $141,490,277
Revenue
$804,554,795 $814,370,220 $819,220,627 $827,352,705 $836,118,394
Expenditures
$836,526,001 $829,357,173 $831,833,367 $831,452,620 $828,452,179
Ending Fund Balance $173,189,885 $158,202,933 $145,590,193 $141,490,277 $149,156,492
% of Expenditures
21%
19%
18%
17%
18%
36
Investing in Outcomes
$1.1
Billion
37