1 SE L MA UNIF IE D SCHOOL DIST RICT 2020- 21 BUDGE T Ma y - PowerPoint PPT Presentation

Califor nia Se nator s Califor nia State Asse mbly Dr . Joaquin Ar ambula Anna M. Caballe r o Ca pito l Offic e , Ro o m 5155 Sta te Ca pito l, Ro o m 5052 P.O. Bo x 942849 Sa c ra me nto , CA 95814-4900 (916)651-4012 Sa c ra me nto , CA 94249-0031 (916)319-2031 Distric t Offic e Distric t Offic e 510 We st Ma in Stre e t, Suite E 2550 Ma ripo sa Ma ll, Ro o m 5031 Me rc e d, CA 95340 (209)726-5495 F re sno , CA 93721 (559)445-05532 Me lissa Hur tado Sta te Ca pito l, Ro o m 3070 US Congr e ssman Sa c ra me nto , CA 95814-4900 (916)651-4014 T .J. Cox Distric t Offic e 1728 L o ng wo rth HOB 2550 Ma ripo sa Ma ll, Suite 2016 Wa shing to n, DC 20515 (202)225-4695 F re sno , CA 93721 (559)264-3070 Se lma Offic e 2117 Se lma Stre e t Se lma , CA 93662 (559)284-9090 1

SE L MA UNIF IE D SCHOOL DIST RICT 2020- 21 BUDGE T Ma y 20, 2020 2

AGE NDA IT E M PURPOSE • Infor m the Boar d, staff and c ommunity of the se ve r e budge t c r isis fac ing Se lma Unifie d due to e xpe c te d dr op in state r e ve nue . • Disc uss possible str ate gie s for maintaining fisc al solve nc y dur ing the c r isis. 3

Why ar e we talking about making mor e c uts? • T he e c onomic shutdown imple me nte d in r e sponse the COVID19 vir us has c ause d sale s taxe s, pe r sonal and c or por ate inc ome taxe s to dr op off the fisc al c liff. • F r om mid- Mar c h 2020 to June 30, 2021 state r e ve nue is pr oje c te d to de c line by $41 billion and COVID- r e late d e xpe nse s will go up by $13 billion 4

Why ar e we talking about making mor e c uts? • Gove r nor pr oje c ting a $54 billion de fic it • Re duc tion to K- 12 e duc ation c ould be $15 billion • Gove r nor pr opose s a “ne gative COL A” of 10% , plus funding “de fe r r als” • E ffe c t on Se lma Unifie d’s r e ve nue e stimate d be twe e n $10 million and $12 million. 5

Why ar e we talking about making mor e c uts? • Gove r nor publishe d r e vision of Januar y state budge t the we e k of May 11 (May Re vise ). • Sinc e so muc h is unknown r e gar ding r e ve nue s, this is e xpe c te d to be a “plac e holde r ” until inc ome tax r e tur ns ar e due in July. • F r e sno County Supe r inte nde nt will r e quir e distr ic ts to maintain 3% r e se r ve ove r thr e e ye ar pr oje c tion. 6

Why ar e we talking about making mor e c uts? • Sinc e SUSD’s r e se r ve is only slightly above 3% , this me ans we must submit a balanc e d budge t. • $65 million of our $85 million budge t goe s to salar ie s & be ne fits. • T he r e is no way to c ut $12 million fr om this budge t without affe c ting pe r sonne l 7

BUDGE T PROJE CT ION 2019- 20 BUDGE T 2019- 20 BE GINNING BAL ANCE $5,079,000 2019- 20 RE VE NUE $87,860,000 2019- 20 E XPE NDIT URE S - $88,066,000 2019- 20 SURPL US (DE F ICIT ) - $206,000 2019- 20 E NDING BAL ANCE $4,873,000 8

BUDGE T PROJE CT ION 2020- 21 BUDGE T CHANGE S 2020- 21 L CF F “NE GAT IVE COL A” - $5,400,000 2019- 20 PAYME NTDE F E RRAL S ** - $2,800,000 - $8,000,000 2020- 21 PAYME NT DE F E RRAL S ** ** De fe r r al is whe n the state allows us to r e c or d r e ve nue in 2019- 20 but doe s not make the payme nt until the following ye ar . Cause s se ve r e c ash flow issue s, but doe s not affe c t the budge t. 9

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Selma Unified Revenue 100,000,000 90,000,000 80,000,000 70,000,000 60,000,000 50,000,000 40,000,000 30,000,000 20,000,000 10,000,000 0 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 Local Control Funding Formula Federal Revenue State Revenue Local Revenue 11

SE L MA UNIF IE D SCHOOL DIST RICT POSSIBL E BUDGE T CUT S 12

POSSIBL E BUDGE T CUT S # Plan A # Plan B 10% c ut in pay – all staff $5,630,000 $5,630,000 Ove r time , subs, non- $1,500,000 $1,500,000 pe r sonne l Inte r ve ntion T e ac he r s (22) 22 $1,892,000 6 $516,000 Ac ade mic Coac he s (10) 10 $860,000 5 $430,000 T e ac he r / L ibr ar ians (5) 5 $430,000 2 $172,000 13

POSSIBL E BUDGE T CUT S # Plan A # Plan B Pr ogr am Manage r s 2 $298,000 2 $298,000 E le m PE Instr uc t. Assts. 6 $179,000 6 $179,000 Dir e c tor (E d. Se r vic e s) 1 $177,000 1 $177,000 E le m PL C Suppor t T e ac he r s 2 $172,000 2 $172,000 (2) Positive Be havior Aide s (5) 5 $139,000 5 $139,000 14

POSSIBL E BUDGE T CUT S # Plan A # Plan B E xe c utive Admin. Asst. $100,000 $100,000 E xe c utive Cle r k $92,000 $92,000 AL MS E le c tive T e ac he r $86,000 $86,000 He ar tland T e ac he r $86,000 $86,000 Ope r ations Admin. Asst. $80,000 $80,000 15

POSSIBL E BUDGE T CUT S # Plan A # Plan B Admin. Asst. – Pupil Se r vic e s $80,000 $80,000 Gr ounds Wor ke r $64,000 $64,000 Athle tic Admin. Asst. $61,000 $61,000 Distr ic t Re c e ptionist $36,000 $36,000 L ibr ar y Admin. Asst. $35,000 $35,000 16

POSSIBL E BUDGE T CUT S # Plan A # Plan B Community L iaison $33,000 $33,000 At- Risk Counse lor s (3) 3 $412,000 0 IT Admin. T e c hnic ian 1 $78,000 0 Car e e r T e c hnic ian 1 $78,000 0 Mainte nanc e Wor ke r 1 $73,000 0 17

POSSIBL E BUDGE T CUT S # Plan A # Plan B T r anspor tation Routing T e c h. 1 $72,000 0 Ac c ount T e c hnic ian 1 $48,000 0 AVID T utor 1 $35,000 0 T otal Pr opose d Cuts $12,826,000 $9,966,000 18

NE XT ST E PS • Boar d ne e ds to appr ove pr opose d r e duc tions or r e c omme nd alte r nate r e duc tions. • Boar d will be aske d to take for mal ac tion on pr opose d pay c uts and layoffs. • Administr ation will me e t with e mploye e s affe c te d by layoffs. 19

NE XT ST E PS • Pr opose d budge t must show that Distr ic t has take n ac tion to e liminate budge t de fic it. • Administr ation will bar gain pay c uts and e ffe c ts of layoffs with CSE A and SUT A. • If r e que ste d, Administr ation will par tic ipate in he ar ings c onte sting the layoff pr oc e ss in fr ont of a he ar ing offic e r . 20