Fiscal Analysis:

Key Strategies for Optimizing Resources

A Webcast Presented by: Integrated Service Center (ISC) January 2009

Objectives

To build capacity at the school to:

Analyze the budget continually to identify available funds & possible uses, in accordance with guidelines.

Guide the principal and School Leadership Team in optimizing the utilization of the school budget to meet programmatic needs, in adherence to deadlines.

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Key Strategies

Know Your Budget Know Your Guidelines Know Your Needs Know Your Fiscal Deadlines Know Your Expenditure Plans

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1. Know Your Budget

Galaxy Tips Mid Year Adjustment Surplus Rollover Reimbursable Allocation Categories 4

Galaxy Tips

A/C Totals Do you have any unscheduled funds in any Allocation Category?

 If yes, schedule the funds.

Vacancies Do you have continuing vacancies?

 If yes, remove vacancies you do not intend to fill. For those to be filled, adjust start dates to release funds to be scheduled.

Bulk Jobs Do you have sufficient funds scheduled to meet projected needs for planned per session & per diem activities?

 If yes, monitor & aim to identify any surpluses that may develop, which can then be released through budget modification & redirected.

 If no, modify the budget to add funds where needed.

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Galaxy Tips - Continued

OTPS Are your scheduled OTPS items in alignment with your OTPS expenditure plan emanating from your CEP? Correct Categories? Correct Amounts?

 If no, modify the budget accordingly.

Reimbursable A/Cs Are items funded with reimbursable A/Cs consistent with the underlying guidelines & CEP?

 If no, modify the budget accordingly.

Anticipated Funds Do you have any personnel planning to retire, take a leave, sabbatical, etc.?

 If yes, consider future plans for deployment of these funds.

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Mid Year Adjustment: Register Growth and Loss

Early in 2009, the school’s initial budget, based on the projected register, will be adjusted upward or downward, to reflect the audited 10-31-08 general education register.

Register Growth:

If the audited 10-31-08 register exceeds the projected number in the FY 09 allocation, the school will receive additional funds in the

TL Fair Student Funding

A/C in the midyear adjustment. Schools which expected a higher register may have requested Additional Spending Authority (ASA) from the ISC.

ASA funds are considered a loan, in anticipation of register growth, to be repaid at the time of the midyear adjustment.

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Mid Year Adjustment: Register Growth and Loss

Register Loss:

If the audited 10-31-08 register is below the projected number in the FY 09 allocation plus any number granted for ASA, the school will lose funds in the TL Fair Student Funding A/C in the midyear adjustment.

• •

The school will be accountable for: the full amount of any ASA granted for students not reflected in the audited register, plus the full amount of the reduction associated with the difference between the DBOR original projection and the audited register.

The ISC Officer has conferred with each principal regarding the expected audited register, register loss & setting up a

line item in the school’s budget for an amount equal to the estimated mid-year budget adjustment due to register loss.

If the # gr. 3 students in the audited register is lower than the initial projection, while the gr. 4 register is higher due to promotion of gr. 3 students since the time of the initial register projection, the school will lose money in the midyear adjustment due to the lower funding level for grade 4 (32/class, not 25/class).

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What is Adjusted at Mid-Year?

All schools are adjusted for grade per capita weight, SETTS and Multiple SETTS.

High Schools are additionally adjusted for CTT and Self-Contained weights.

New Schools are also adjusted for CTT and Self Contained weights.

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Surplus Rollover Program (Tax Levy)

If a Tax Levy Surplus Rollover program is announced for rollover of Surplus Tax Levy funds from FY 09 to FY 10, specific criteria will apply in order to participate.

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Prior Year Surplus Rollover Program Guidelines (For Reference)

No allocation categories in deficit No Per Session/Per Diem/F-Status bulk jobs in deficit No OTPS items with overcommitted amounts No persons without jobs appearing in the myGalaxy info link No B-Segments using ASA HH funding

Pending Investigation] [exceptions: Long Term Absence, Leave with Pay, Pending Line of Duty, Reassigned

No items scheduled using ASA AA funding No item using ASA-Centrally Funded Excess Staff No item using ASA-Returns from Reassignment

Management Tool

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REIMBURSABLE ALLOCATION CATEGORIES (A/C)

Reimbursable Allocation Categories (A/C) correspond to reimbursable fund sources, each of which is designed to support a supplemental program in the school. For each Reimbursable A/C , the school must have an acceptable

supplemental

program described in its CEP. The services scheduled in the budget must be consistent with the program defined in the CEP and adhere to the guidelines for the fund source underlying the Category – purpose and allowable expenditures.

Each employee charged to a reimbursable A/C must be the person performing the responsibilities associated with the underlying program.

All OTPS and personnel expenditures must be consistent with the CEP & fund source guidelines.

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Review

Question and Answer Period

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2. Know Your Guidelines

Budget

•

Division of Budget Operations and Review/School Allocation Memorandum

• •

Reimbursable Handbook Title 1 Mandates Human Resources/Payroll

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New ATR Policy

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Principal Per Session

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Timekeeping Procurement

•

Professional Services

• •

Commodities P-Card

SOP http://dfoapps.nycenet.edu/SOP/

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Budget

School Allocation Memorandum (SAM) The Division of Budget Operations and Review (DBOR) is responsible for overall management of the school system's financial resources to support policy directions set by the Chancellor and the Department of Education.

This includes: Allocating Funds to Schools and Offices, Citywide Special Education Programs and Central Offices. These allocations descriptions can be found at: http://schools.nyc.gov/offices/d_chanc_oper/budget/dbor/allocati onmemo/fy08_09/AM_FY09_pg1.html

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Budget

Reimbursable Handbook The Reimbursable Handbook is designed as a tool to assist Principals and School Leadership Teams in the appropriate use of reimbursable dollars.

Reimbursable funding:

Allocative/Formula Grants

– Funds are allocated using formula based on specific populations or needs.

Competitive/Discretionary Grants

– Funding awarded based on a submission of a successful grant proposed and approved budget narrative.

The Reimbursable Handbook can be found at: http://schools.nyc.gov/NR/rdonlyres/55FEA275-257C-407F-B6E2 757C751C334C/36608/Reimbursablehandbook408b.pdf

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Budget

TITLE I ALLOCATION CATEGORY - Mandates Each Title I school has scheduled funds as follows:



10% - professional development

 

5% - highly qualified 1% - parent involvement FOR TITLE I SET-ASIDE: 1% - PARENT INVOLVEMENT:

 

A proposed spending plan & budget is developed by the Title I parent organization in the school (i.e., PA/PTA or PAC).

The Principal reviews it for approval in consultation with the SLT. Document: Notice of meeting, agenda, attendance record, & minutes Plan to expend all Title I funds in FY 09.

There will be no rollover of unexpended funds. 17

Budget

Title I – Schoolwide Program

Title I Schoolwide Programs is used to support all students to meet high academic standards, with an emphasis on students who score at level 1 or 2 on state exams.

• • • • •

This allocation can be used to fund: Additional teachers to reduce class size Provide supplementary intervention services Before/after school academic programs OTPS items to support before/after school programs 50% of an assistant principal’s salary can be funded when the assistant principal provides supervision in the areas of English, reading, mathematics, science or social studies 18

Budget

Title I – Targeted Assistance

Title I Targeted Assistance funds can only fund supplemental intervention services or OTPS items for students who are academically at risk (at level 1 or 2). These funds

may not

be used to serve all students.

Additional Guidelines:

• •

Can not be used to reduce class size Can not fund an assistant principal’s salary 19

Human Resources

New ATR Policy

• • • A subsidy will be given to schools that hire centrally funded ATRs. During the first year, Central will pay the difference between the ATRs actual salary and a starting teacher’s salary, and the difference between the actual salary and the following step on the salary scale for eight years. Central will pay half the starting teacher’s salary until November 15, 2010. The subsidy will apply to ATRs hired on or after November 1 st of the year in which they are excessed. The subsidy does not apply to ATRs hired by the school from which they were excessed.

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Payroll

Principal Per Session

• • • •

PRINCIPAL PER SESSION LINE -- SUPLS, #2782 --- must be used for principal per session.

The “Per Session Activity Online Screen” in the FAMIS Portal will allow a principal to request approval to perform a per session activity. Once you submit the required information, your request will be automatically e-mailed to your community superintendent for approval.



If a request requires a waiver approval, it will be electronically sent to the Division of Human Resources for appropriate action.

Once approved, the payroll secretary may enter time in T-bank using the PR code.

NOTE: This screen is currently for school-based programs only and that all principal per session activities are capped at 500 hours.

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Payroll Timekeeping

Maintain a written timekeeping policy, specifying procedures for monitoring and recording employees’ daily arrival, departure, absences and latenesses. Maintain a written organization sheet/chart.

Record absence, lateness and early departure for pedagogues in EIS.

Cancel Direct Deposit of employees who are going to be on unpaid leaves, terminated or retired.

Immediately notify the Human Resources Partner to remove from payroll those employees who are on unpaid leave of absence or have left service through termination, resignation or retirement.

Itinerant Employee: Transmit the employee’s time record to the payroll location (biweekly) to ensure that employees’ time balances are current.

Return undistributed checks to the Bureau of Check Management within three (3) days of issuance (each check requires an undistributed paycheck form). Maintain an undistributed paycheck log for tracking purposes.

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Procurement

Professional Services

Professional Services: Non-contracted Items

•

Increased Professional Services Threshold: The Competitive Proposal limit for orders to Non-Contracted vendors has been increased to $25,000.

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Non-Competitive/Sole Source: Purchase orders up to $25,000 may be processed by schools.

•

Non-Competitive/Sole Source: Purchase orders above $25,000 require approval by ISC and DCP.

•

For any order to a non-contracted vendor, $10,000 and above, a pre encumbrance is required.

NOTE: Principals are required to document their selection process and choice of vendor in conformance with the “Best Value” standard, as set forth in the SOPM.

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Procurement

Commodities

Commodities – Non-Contracted Items

• • • •

0 - $250: No bids $250 – $5,000: Three (3) telephone and/or written bids $5,000 – $15,000: Three (3) written bids $15,000 - $100,000: The request must be sent to DCP, who will conduct a public solicitation for the goods. Contact the ISC Representative to seek assistance.

Over $100,000: The school must request via the ISC Rep for DCP to assist in the preparing and processing of a Request for Bid (RFB); or, if applicable, request the ISC to submit a request for sole source approval or exception to bid to the Committee on Contracts 24

Procurement

P- Card

Increased Purchasing Limit & Functionality

• Single Transaction: P-Card limit for schools has been increased from $2,500 to $5,000 per single transaction • Total: The school may encumber up to $15,000 at a given time on the P Card Approval is required by the ISC for additional encumbrances.

• Multiple Object Codes (100, 300, 400 & 451) on a Single P-Card: The encumbrance may be against multiple object codes, based on projected spending.

• FAMIS Onscreen Expense Reporting and Certification: Principals will be asked to certify on-line the breakdown of actual expenditures by object codes; automatic budget modifications will occur as a result, if required.

NOTE: All applicable regulations and procedures still apply. To obtain a P-Card, schools must complete the on-line application in the FAMIS portal.

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Review

Question and Answer Period

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3. Know Your Needs

Review and Realignment of Budget

• • •

Personnel – Vacancies Bulk Jobs – Per Diem/Per Session OTPS Bulk Job Forecasting 27

Review and Realignment of Budget

A/C Totals – review and ensure all funds are fully scheduled Vacancies and adjust the start date.

F-status Per Diem (8 days x number of mandated teaching positions) Per Session – Number of teachers x hours x number of days OTPS – ensure all funds are in desired object code before the budget modification deadline. P-Card balance and ensure all funds will be exhausted by 6/30/09 28

Bulk Job Forecasting

Forecast and schedule the total amount needed through June 30 th by projecting total cost.

EIS – SCREEN 12.4

shows actual expenditures to date and balances.

>

Option 12 – Payroll Accounting

>

Option 4 – Bulk Job Inquiry Screen This screen allows a school to quickly monitor any bulk job (school aide, para, sub para, sub school aide, prep periods, per session, per diem, f status) on their TO.

> > Job Cost (Allocation) - Expenditures = Available Balance.

Note: This screen updates much quicker than Galaxy; approximately a few days after payrolls run.

Management Tool

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Review

Question and Answer Period

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4. Know Your Fiscal Deadlines Calendar of Deadlines NYS Funds P-Card

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Calendar of Deadlines

Budget, Procurement and Payroll

Budget Procurement

Surplus Rollover {if announced} Budget Mod Close Competitive Grants Rollover (if applicable) Expected-early March Mid March Mid May Furniture, Computer, Hardware, Security Device FAMIS Portal/E-Catalog orders Expected-end of March Mid April Balance on P-Card to zero Delivery of Goods and Services SIPP Entry Certify Delivery On-line June 30 June 30 June 30 Immediately

Management Tool

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Calendar of Deadlines

Payroll (continued)

Payroll

Enrollment or Changes to Direct Deposit May 1 Q-Bank Payroll Close E-Bank Close H-Bank and Z-Bank Close End of May End of May End of June

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NEW YORK STATE FUNDS -NYSTL

Do you have balances?

Textbooks Library Books Computer Hardware

Encumber early to ensure timely delivery and optimal usage to benefit student achievement in this school year.

Computer Software

Funds not expended in this fiscal year will be lost!

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PROCUREMENT CARD

• • • •

In Galaxy the line item for the Procurement Card will appear as fully committed Keep your receipts for all purchases & a procurement log Refer to the SOPM for a sample log (Exhibit K).

Compare to the monthly bank statement.

PURCHASES & DELIVERY OF GOODS USING THE PROCUREMENT CARD ARE COMPLETED BY June 30th.

After June 30, any balance remaining on the card will be lost to the school.

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Review

Question and Answer Period

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5. Know Your Expenditure Plans

Expenditure Plan Components

(Keep calendar of deadlines in mind)

Select the Procurement Method Monitor Open Items Certify Delivery On-line promptly 37

EXPENDITURE PLAN

Plan to utilize available resources in a timely way.

What resources are available by Allocation Category?

Amount?

$$$$ What is the Source? How will the funds be used? Budget Mod?

If yes, when will it be processed?

Which Procurement Method?

When?

Before the deadline & timely

TL FSF

* Source

• • •

Unscheduled Lump Sum Vacancy not yet filled --- Change start date to release funds to lump sum.

Per Session Balance not needed – Modify - release funds to lump sum & schedule new item.

• •

Per Diem Balance not needed --- same as above OTPS Balance not needed --- same as above ** REMINDER: Make changes to CEP, as necessary.

Management Tool

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Select the Procurement Method

• • • •

FAMIS Portal/E-Catalog P-Card SIPP TRAC

Timing: Assure that you plan to expend, using this method, before the applicable deadline.

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MONITOR OPEN ITEMS

OPEN ITEMS: Encumbered purchase orders for which delivery has not yet been made or delivery has been made, but payment not yet processed pending confirmation of delivery.

    

Do you have orders for which delivery has not been made?

Contact the vendor.

Will delivery be made on schedule (before June 30)? Is the promised delivery date before June 30 & still acceptable to still ensure provision of the required services?

If not, cancel the order, thereby releasing the funds. Send the vendor written confirmation of the cancellation. Encumber the funds to an alternate vendor who can deliver on time or redirect the funds to other purposes, as directed by the principal.

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MONITOR OPEN ITEMS IN FAMIS Use the FAMIS Portal Inquiry Function http://dfoforms.schools.nyc.gov/portal

Inquiry

• • • •

Spending Plan Inquiry Document Inquiry Open Document Inquiry Vendor Inquiry

Payments have not yet been made. If the order was delivered, did you certify delivery on-line?

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Certify Delivery On-line

Promptly

Immediately upon receipt of the goods or services ordered, verify consistency with original order.

If all goods or services have been delivered to satisfaction, a copy of the order is to be signed and dated by a school official,

other than the person who initiated or prepared the order

,

to certify delivery.

Retain this record of certification of delivery, along with all packing slips & other vendor documents included in the package, on file at the school (attached to the original order).

THEN CERTIFY DELIVERY ON-LINE

in the FAMIS Portal (under Purchasing/Payments). Enter the “received date” & name of the person who examined the shipment (different from the person who prepared the order).

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Mid-year FISCAL ANALYSIS/PLANNING GUIDE

Know Your Budget Know Your Guidelines Know Your Needs Know Your Fiscal Deadlines Know Your Expenditure Plans

Align and optimize resources

Management Tool

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Review

Question and Answer Period Challenge Quiz

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For assistance

…

..

Contact the Integrated Service Center

  

ISC Officer Lead Customer Service Manager Deputy Executive Director for Business

Refer to the contact information provided by the ISC location that services your school.

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Evaluation

On-line

http://www.zoomerang.com/Survey/?p=WEB228P8JB WFGY

Thank you for participating in our Webcast.

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