11. Assumptions
1.5% growth in EAV
Teacher salaries based on July 2013 TA for DEA Contract.
This plan is based on current enrollment and projected
growth.
If enrollment is higher than projected we will have
additional costs.
No teaching positions are slotted for growth.
New students will be bussed to schools with open seats if
there is not room at the school in their attendance
boundary.
13. Elementary Budget Reductions
Elementary School
Savings
Reduction of non-core programs
$430,500
Hold on hiring the 4th Counselor for Social
Emotional Behavior Program
$60,000
Anticipated extra sections due to roll up from 2nd to
3rd grade
$120,000
Total Reductions
$610,500
14. Middle School Budget Reductions
Middle School
Savings
Elimination of MS Concept (second plan period)
$600,600
Total Reductions
$600,600
15. High School Budget Reductions
High School
Reduction/adjustments to non-core programs
Total Reductions
Savings
$270,000
$270,000
16. District-Wide Reductions
Reduction
Building Replacement Textbooks
Supplies
50%
$150,000
Based upon
enrollment
$35,750
5%
District Textbook Adoption
Savings
$46,420
DO Purchase Services:
Elimination of JA & meals
$14,530
Elimination of Library Supplies
100%
$16,750
Professional Development
66%
$90,450
Salaries for Instructional Improvement
(mentors/curriculum work)
50%
$27,500
District-wide salary and program
reductions/adjustments
Total Reductions
$518,850
$900,250
17. Total Reductions by Level
Expenditure
Reductions
Elementary
$610,500
Middle School
$600,600
High School
$270,000
District
$900,250
Adjustments to Budget
$(96,000)
Revenue
Enhancements
Total
$2,284,350
Total reductions/revenue
$2,600,167
$316,817
18. FY 15 Ending Ed Fund Balance
The projected beginning Education Fund balance for FY 15
is:
$21,587,660 with the prepaid taxes.
$12,455,640 without prepaid taxes.
Amount of
Cuts and
Enhancements
Fund
Balance w/
Taxes
Fund
Balance
w/o Taxes
Months
in
Reserves
w/Taxes
Months in
Reserves
w/o Taxes
$2.6 Million
$22,087,660
$12,955,640
8.9
5.2
$2.1 Million
$21,587,660
$12,455,640
8.7
5.0
$1.5 Million
$21,087,660
$11,955,640
8.5
4.8
$1.0 Million
$20,587,660
$11,455,640
8.3
4.6
19. Non-Ed Fund Savings (Efficiency Study)
FUND
Year 1
Year 2
BUILDING FUND
$ 204,509
$119,563
TRANSPORTATION FUND
$ 205,516
$ 48,000
20. What Next?
Board provides direction to administration about the
amount of cuts and revenue enhancements that need to be
used to mitigate the budget.
$________ in reductions/cuts/revenue enhancements
$ _______ from reserves
= $2.1 M
Administration brings recommendations for final budget
reductions and enhancements to the Board on December
18th at the finance committee.
Editor's Notes
This chart shows how expenditures have increased in Dunlap over the past 8 years. Although some years have been higher and some years lower, the average has been just over 8% in increased expenditures. This can be directly attributed to increased enrollment, increased staffing, building schools, and increased overhead costs that are associated with growth.
The red bars show the number of new students each year and the blue line shows the total number of employees each year. They are obviously positively correlated with each other.
To simplify this perfect storm, I’ll use 4 data points and 1 chart to illustrate our current state of district finances. (Click and Read Slide)Dunlap Schools has not had to navigate these kinds of financial waters before. What we hoped would be a simple downturn for a few years in our funding has turned into a trend. With costs increasing at an average of 8% and additional anticipated funding at less than 1%, we’ll need to make some decisions to mitigate the situation. For the last several months, we’ve been working with our administrative team to determine how to preserve our educational program while seeking ways to reduce expenditures and increase revenues. Although tough decisions will need to be made in the coming months, I felt it imperative to provide you with enough information to understand the circumstances and some potential changes in the coming year. Effective organizations are honest with their employees. They communicate with their staff and stakeholders; when the news is good and positive AND when the news is challenging and uncertain. There shouldn’t be any surprises.Trust is built when people feel they get accurate information and understand how challenges will be dealt with.We are all in this together and we’ll adhere to our values and beliefs as respond to our current financial situation.
