2017-18 Public Budget Hearing Sheboygan Area School District - PowerPoint PPT Presentation

2017-18 Public Budget Hearing Sheboygan Area School District October 24, 2017

Revenue Cap Limits • Revenue caps limit the revenue a school district can generate between general state aid and local tax levies • Revenue caps are driven by a state formula which multiplies a 3-year enrollment average by a per pupil revenue amount SASD 3-year resident enrollment avg. = 10,241 State determined per pupil revenue amount = $10,437.35

Year-to-Year Comparison 2016-17 2017-18 Equalized Property Valuation $3,296,591,598 $3,447,941,862 +4.59% General State Aid $75,910,779 $77,292,960 +1.82% 3rd Friday Sept. Student FTE 10,162 10,163 +0.01% 3-Year Membership Average 10,203 10,241 +0.37% Revenue Per Member $10,437 $10,437 0.00% (+$250 Categorical Aid) (+$450 Categorical Aid) Total Increase: 1.87%

Equalized Property Valuation History 4,000 +3.48% -0.75% -3.65% +4.59% -2.24% -2.43% -1.70% +0.29% -0.33% -1.26% 3,500 3,000 2,500 2,000 1,500 1,000 500 -

Property Values Per Student A Key Factor in Determining State Aid Because the SASD value per student is below the State average, the District receives a higher percentage of Equalization Aid from the State. 71% of the funding under the revenue cap is from state aid. 29% of the funding under the revenue cap is from local tax levy

Revenue From Local Property Tax and General State Aid Are Not Allowed to Exceed the Revenue Limit $108,243,517 2017-18 Total Revenue Cap 29% Local Property Tax $30,950,577 71% General State Aid $77,292,960

General State Aid History State Aid $ 77,292,960 $ 74,631,304 $80,000,000 $ 72,084,534 $ 69,535,461 $ 68,379,778 $ 66,720,957 $ 75,910,779 $70,000,000 $ 71,916,266 $ 68,597,961 $60,000,000 $ 64,489,885 $50,000,000 $40,000,000 $30,000,000 $20,000,000 +5.68% -3.41% -3.54% -7.26% +3.46% +2.81% -0.32% +5.17% +5.55% +1.82% $10,000,000

District’s 3 -Year Average Resident Membership Used for the Revenue Cap Calculation 2015-16 2016-17 2017-18 2013 10,095 2014 10,116 10,116 2015 10,265 10,265 10,265 2016 10,227 10,227 2017 10,231 3-Year Average 10,159 10,203 10,241

Enrollment Trends Total Resident FTE Membership 10,400 10,265 10,231 10,227 10,300 10,105 10,095 10,116 10,200 10,100 9,978 10,000 9,863 9,835 9,870 9,900 9,800 9,700 9,600 9,500 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

2017-18 General and Special Education Expense Budget by Function Non-Program Transactions 8% Support 30% Instruction 62%

2015-16 DPI Comparative Cost SASD State Facility Food & Facility Food & Comm Costs Costs Comm Transp Transp Serv Serv Costs Costs Costs Costs Oper/ Admin/ Oper/ Other Admin/ Other Pupil/Staff /Sup Instruction Pupil/Staff/ Instruction Sup SASD State Instruction 62% 54% Pupil/Staff/Support 7% 9% Oper/Admin/Other 19% 21% Transportation Costs 2% 4% Facility Costs 6% 7% Food & Comm Serv Costs 4% 5% TOTALS 100% 100%

2017-18 General and Special Education Expense Budget by Object Supplies and Equipment Insurance, Other 5% 1% Purchased Services 14% Salaries/Benefits 80%

Summary of All Budgets – 2017-18 Grand Total Budgets $167,842,049 Governmental Proprietary Funds Funds $161,580,652 $6,261,397 General & Special Debt Capital Community Food Special Ed Project Service Projects Service Service Funds Funds Funds Funds Fund Fund $125,784,267 $449,100 $15,458,327 $19,888,958 $2,022,641 $4,238,756

Summary Budgets For All Funds: 5-year Trend % Change Actual Actual Actual Unaudited Proposed Over Expenditures Expenditures Expenditures Expenditures Budget 5-Year 2013-14 2014-15 2015-16 2016-17 2017-18 Summary Instructional $112,498,086 $118,343,773 $121,100,812 $124,644,517 $125,784,267 +11.8% Special $740,809 $609,978 $603,439 $460,678 $449,100 -39.4% Services Debt Service $9,500,636 $6,991,739 $4,992,788 $14,063,322 $15,458,327 +62.7% Capital $1,323,824 $1,015,986 $2,209,168 $4,834,628 $19,888,958 +1,402.4% Projects Food Services $3,150,130 $3,769,240 $3,819,708 $4,342,691 $4,238,756 +34.6% Recreation $1,951,822 $1,905,538 $1,974,620 $2,133,756 $2,022,641 +3.6% Department Total - All $129,165,307 $132,636,254 $134,781,535 $150,479,592 $167,842,049 +29.9%

District Debt Service • As of 6-30-17 we have eight bonds with maturity schedules from 2017-2037 • As of 6-30-17 we have $47,298,000 in remaining long-term bonded debt • Statute allows 10% of the $3,447,941,862 district equalized value

School District’s Legal Debt Capacity: $344,794,186 (10% of $3.45 Billion Equalized Property Valuation) Total Debt Incurred: $47,298,000 13.7% Unused Debt Capacity: $297,496,186 86.3%

Where does that leave us today? 2016-17 Proposed Actuals 2017-18 Budget Revenue Limit $106,956,111 $108,243,517 Equalized Valuation $3,296,591,598 $3,447,941,862 General State Aid $75,910,779 $77,292,960 General State Aid Increase +1.82% Tax Levy $35,898,861 $35,896,191 Levy Decrease -$2,670 Levy Decrease -0.01% Mill Rate – Per $1,000 $10.89 $10.41 Mill Rate Decrease -$0.48 Mill Rate Decrease -4.41%

2017-18 Budget & Tax Levy Budget Tax Levy Instructional Funds $125,784,267 $27,899,518 Special Project Funds 449,100 0 Referendum Approved Debt Service 13,784,863 3,909,318 Non-Referendum Debt Service 1,673,464 1,614,827 Capital Project Funds 19,888,958 1,200,000 Food Service 4,238,756 0 Recreation 2,022,641 1,272,528 Totals: $167,842,049 $35,896,191 % Change +11.58% -0.01% 2016-17 Expenditures/Levy $150,428,253 $35,898,861

Tax Levy Statement TAX LEVIES General Capital Community Total Percent Debt Service Fund Expansion Service Tax Levy Change 2017-18 27,899,518 $5,524,145 $1,200,000 $1,272,528 $35,896,191 -0.01% 2016-17 28,098,964 5,427,368 1,100,000 1,272,528 35,898,861 -8.08% 2015-16 31,779,003 4,952,073 1,050,000 1,272,528 39,053,604 -3.66% 2014-15 34,281,926 3,981,199 1,000,000 1,272,528 40,535,653 3.70% 2013-14 32,588,062 4,231,776 1,000,000 1,272,528 39,092,366 -0.92% 2012-13 32,839,763 4,344,900 1,000,000 1,272,528 39,457,191 -3.15% 2011-12 34,772,434 4,345,421 350,000 1,272,528 40,740,383 0.22% 2010-11 35,358,806 3,369,952 650,000 1,272,528 40,651,296 3.91% 2009-10 32,720,782 4,478,126 650,000 1,272,528 39,121,436 9.02% 2008-09 27,936,309 5,299,856 1,375,899 1,272,528 35,884,591 -1.34%

Tax Levy History 42 Millions +3.91% +0.22% +3.70% 41 40 +9.02% 39 -3.15% -0.92% -3.66% 38 37 36 -1.34% -8.08% -0.01% 35 34 33

Tax Levy Statement TAX RATES Equalized Percent Percent Equalized Tax Percent Tax Levy Valuation Change Change Rate Change 2017-18 $3,447,941,862 +4.59% $35,896,191 -0.01% 10.41 -4.41% 2016-17 3,296,591,598 +0.29% 35,898,861 -8.08% 10.89 -8.33% 2015-16 3,287,136,559 -1.26% 39,053,604 -3.66% 11.88 -2.46% 2014-15 3,329,026,532 -0.33% 40,535,653 3.70% 12.18 4.10% 2013-14 3,339,998,284 -1.70% 39,092,366 -0.92% 11.70 0.78% 2012-13 3,397,751,611 -2.43% 39,457,191 -3.15% 11.61 -0.77% 2011-12 3,482,403,977 -2.24% 40,740,383 0.22% 11.70 2.54% 2010-11 3,562,215,024 -3.65% 40,651,296 3.91% 11.41 7.84% 2009-10 3,697,212,230 -0.75% 39,121,436 9.02% 10.58 9.87% 2008-09 3,724,966,843 3.48% 35,884,591 -1.34% 9.63 -4.69%

Tax Levy Mill Rate History $14 $12.18 $11.88 $11.70 $11.70 $11.61 $11.41 $12 $10.58 $10.10 $10.89 $10 $9.63 $8 $6 $4 $2 $0

Key Points to Take Home • State general aid was increased by $1,382,181 (+1.82%). • Increases in State aid do not give additional revenue to the District. They do however decrease the amount of local tax levy. • $797,218 of the District’s tax levy is used to fund the State private school voucher program. That amount will be deducted from the District’s state aid to fund the program. • An additional $0.23 was added to the District tax rate to fund the voucher program. ($34.50 additional tax for a $150,000 home) • The District’s local tax levy is decreasing by 0.01%. • The District’s tax rate is decreasing by 4.41%. • The District is committed to being fiscally responsive to local taxpayers while maintaining quality educational programs for students.

Thank you! The Board of Education and the Sheboygan Area School District administration thanks you for your time and interest in the district’s financial situation.