2020 2021 Budget Planning Update April 20, 2020 2020 2020-2021 - PowerPoint PPT Presentation

2020 – 2021 Budget Planning Update April 20, 2020

2020 2020-2021 Bu Budget Pla lannin ing Ca Cale lendar • April 20, 2020 Budget Planning Update for Board of Trustees • April 30, 2020 Receive Certified Estimated Tax Values • April – May Work Sessions with Executive Cabinet • May 18, 2020 Budget Planning Update for Board of Trustees • June 11, 2020 Publish “Notice of Public Meeting to Discuss Budget and Proposed Tax Rate” & post summary of proposed budget on district website 2

2020 2020-2021 Bu Budget Pla lannin ing Ca Cale lendar • June 22, 2020 Public hearing on 2020-2021 proposed budget; Board of Trustees adopts the 2020-2021 budget and approves final 2019-2020 budget amendment • July 25, 2020 Receive Certified Taxable Values from HCAD & TCAD • August 24, 2020 Board of Trustees approve Certified Appraisal Roll for Tax Year 2020 • Aug/Sept, 2020 Board of Trustees adopts tax rate for 2020 3

2020 – 2021 Budget Planning

Dripping Springs Independent School District Summary of Revenue and Expenditure Projections thru June 30, 2020 Fiscal Year 2019-2020 Projections on Original Current Revised Actual Thru Variance Explanation of Variances & Other Notes Budget Budget March, 2020 Revenues: Taxes (Current & Delinquent) $ 56,650,000 $ 56,650,000 $ 58,075,000 $ 1,425,000 TAVs have increased since July certified and collections are strong Taxes (P&I) 200,000 200,000 150,000 (50,000) Other Local 1,792,500 1,792,500 1,910,015 117,515 Would be higher except projecting refunds of $200k Pre-K tuition State - ASF & FSP 3,466,622 3,839,070 4,010,183 171,113 State - Other 2,797,373 3,178,005 3,100,000 (78,005) Federal 558,100 1,158,100 1,262,705 104,605 2 Yrs SHARS Adj. Settlements - 2016-17 & 2017-18 Other Sources 100,000 100,000 100,000 - Total Revenues $ 65,564,595 $ 66,917,675 $ 68,607,903 Recapture (3,110,703) (2,581,022) (2,409,712) 171,310 Revenues Less Recapture $ 62,453,892 $ 64,336,653 $ 66,198,191 $ 1,861,538 Expenditures: Payroll Costs $ 52,968,059 $ 53,678,301 $ 53,250,000 $ (428,301) Based on nine months of fiscal year activity Contracted Services 5,177,211 5,223,549 4,300,000 (923,549) Recapture 3,110,703 2,581,022 2,409,712 (171,310) Supplies and Materials 2,513,687 2,618,309 2,900,000 281,691 Includes Technology #6 Refresh approved by Board in March Other Operating Costs 1,125,728 1,170,365 1,100,000 (70,365) Debt Service 1,133,667 1,133,667 1,133,667 - Capital Outlay 164,290 168,764 168,764 - Other Uses 95,000 95,000 95,000 - $ 66,288,345 $ 66,668,977 $ 65,357,143 $ (1,311,834) Total Expenditures Recapture (3,110,703) (2,581,022) (2,409,712) 171,310 Expenditures Less Recapture $ 63,177,642 $ 64,087,955 $ 62,947,431 $ (1,140,524) Net Operating Results $ (723,750) $ 248,698 $ 3,250,760 $ 3,002,062 Transfers In/(Out) - - (500,000) (500,000) Allot for transfers out for CN, CDC & Kids Club due to Covid-19 Net Change to Fund Balance $ (723,750) $ 248,698 $ 2,750,760 $ 2,502,062 Beginning Fund Balance 36,635,702 36,635,702 36,635,702 Estimated Ending Fund Balance $ 35,911,952 $ 36,884,400 $ 39,386,462 5

Texas Economy & Budget Outl tlook • State Comptroller Glenn Hegar Interview on April 7, 2020 • Texas economy strong through March, 2020 • Pandemic & oil price drop has now put Texas in recession • Recommends state agencies to start looking for savings now • Expects a difficult budget session when lawmakers return in January, 2021 • Economic Stabilization Fund (ESF) will help meet obligations this biennium • ESF projected to be $8.5 billion at end of biennium • 2020 Property Values • Appraisal districts are concerned about how to handle protests with shelter in place guidelines • State statute require appraisal as of January 1 and Comptroller has no authority to waive that requirement 6

2020 2020-2021 Bu Budget Preparation • Budget Parameters: • Enrollment of 7,696, an increase of 486 students, for staffing & 7,542 (98%) for funding based off of PASA projections • Average Daily Attendance – 94.5% • Local property value increase of 10.00% • Will receive Preliminary Certified Values in late April • Cost-of-living increase – 2% • Inflationary increase – 1.2% on non-payroll accounts • Include growth of 40 new FTE’s (30 approved + 10 contingency) • Maintain $300 monthly contribution to health insurance • Maintain $75 monthly contribution to HSA/HRA for employees taking health insurance 7

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Dripping Springs Independent School District Summary of Revenue and Expenditure Projections Fiscal Year 2020-2021 Projections Projection Notes Revenues: Taxes (Current & Delinquent) $ 58,750,000 Based on 98.00% collections on TAV estimates Taxes (P&I) 200,000 Other Local 1,492,500 Reduced interest earnings budget by $300k vs 2019-20 State - ASF & FSP 4,824,655 State - Other 3,549,773 Federal 500,000 Other Sources 100,000 Total Revenues $ 69,416,928 Recapture (1,984,804) Projected Revenues Less Recapture $ 67,432,124 Based on 7,542 student enrollment at 94.5% attendance Expenditures: Payroll Costs $ 57,448,502 Based on a 2% Cost of Living Adjustment increase Contracted Services 5,467,588 Recapture 1,984,804 Supplies and Materials 2,742,606 Other Operating Costs 1,353,943 Debt Service 554,178 Capital Outlay 106,790 Other Uses 95,000 Total Expenditures $ 69,753,411 Recapture (1,984,804) Projected Expenditures Less Recapture $ 67,768,607 Current 2019-2020 revised budgeted amount - $64,087,955 Net Operating Results $ (336,483) 10

Dripping Springs Independent School District Summary of Revenue and Expenditure Projections Fiscal Year 2020-2021 Net Operating Results $ (336,483) 2% Budget Deficit Limit $ (1,388,339) Deficit Amount Exceeding Limit $ - Transfers In/(Out) - Fund Balance Expenditure Designations Buses - 7 new in 2020-2021 $ 800,000 - Net Change to Fund Balance $ (1,136,483) Beginning Fund Balance (Projected) 39,386,462 Estimated Ending Fund Balance $ 38,249,979 11

Dripping Springs ISD - Fund Balance History (2013 - 2021) 8.00 $45,000,000 7.76 $40,000,000 7.45 7.50 7.43 7.40 7.31 7.29 $35,000,000 7.00 $30,000,000 6.77 6.75 $25,000,000 6.52 6.50 $20,000,000 6.00 $15,000,000 $10,000,000 5.50 $5,000,000 5.00 $- 2013 2014 2015 2016 2017 2018 2019 2020 - Projections 2021 - Projections Actual Months of Operating Expenditures Year End Annual M&O Fund Balances 4 Months Operating Expenditures 12

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