Board of Education Headlines Budget Development Process Budget - PowerPoint PPT Presentation

Board of Education Headlines Budget Development Process Budget Development Process January 5, 2012

Board Policy • effective and transparent oversight of the fi fiscal condition of the district and of the l diti f th di t i t d f th allocation of funds to meet Ends policies

Presentation Presentation • Fi cal U date • Fiscal Update • Process Overview – Next Steps P O i N S • Information Summary

2012/2013 Reductions 2012/2013 Reductions • We were at $30 0M - $35 0M We were at $30.0M - $35.0M – State September Revenue Forecast • Current Projections $20.0M - $25.0M C t P j ti $20 0M $25 0M – State December Revenue Forecast “Colorado’s economy has gained momentum” Gover or’s Office of State Pla Governor s Office of State Planning & Budgeting i g & B dgeti g

How much state funding? ow uc state u d g? • Homestead exemption ($10M for J ff Jeffco) ) • Enrollment ($3 - 5M for Jeffco) ( ) • One-time solutions still in play • Other economic variables Oth i i bl What happens at the State i impacts Jeffco….. t J ff

“Even with the increase in revenue projected by this forecast General Fund revenue forecast, General Fund revenue in FY 2012-13 is expected to still be $286.6 million or 3.7 percent below its pre-recession level in below its pre recession level in 2007-08.” Governor’s Office of State Planning & Budgeting

Budget Process – To-Date Budget Process To Date  Citizens’ Budget Academy  Budget Work Groups  Grassroots School & Department Mtgs  Grassroots School & Department Mtgs.  Citizens’ Budget Advisory Council

Budget Process – next steps g p (as determined by the Board) • Community Budget Forums – – January 28th – January 28th • Public Hearings – May - June M J • Board of Education – Throughout – January 5th, 19 th – February 2nd

Underlying Values • Continued educational excellence – All about student achievement All about student achievement • Save jobs and keep people employed – Tough times be thoughtful • Financially responsible – Not out of the woods • Balance needs of employees and p y community

Information Summary Information Summary  Grassroots Survey  Grassroots Survey  Budget Workgroup Recommendations  P i  Prioritized Reduction List i i d R d i Li

Grassroots Survey Grassroots Survey • > 2 900 respondents > 2,900 respondents • > 1,600 comments High level pulse on community values (perspectives & perceptions) (perspectives & perceptions) What we learned….

Survey Results Activity 1 Survey Results Activity 1 1. Reduce classroom teachers at 1. Reduce classroom teachers at all all levels (This impacts levels (This impacts the class size at the class size at the elementar the elementary level and y level and elective choices elective choices at the secondary level.) at the secondary level.) 8% Reduce total number of teachers by 200 - $14 060 000 200 $14,060,000 5% 5% Reduce total number of teachers by 300 - $21,090,000 28% Reduce total number of teachers by 59% 400 - $28,120,000 Reduce total number of teachers by y 500 - $35,150,000

Survey Results Activity 1 Survey Results Activity 1 2. 2. Compensation Select your Compensation Select your preference: preference: Reduce compensation for all 12% 12% staff by 3% - $15,000,000 $ Reduce compensation for all 21% staff by 4% - $20,000,000 ff b 4% $20 000 000 67% Reduce compensation for all staff by 5% staff by 5% - $25,000,000 $25 000 000

Survey Results Activity 1 Survey Results Activity 1 3. Reduce Administration - 3. Reduce Administration - Central & entral & School-based School-based (This (This includes principals, assistant principals, central directors includes principals, assistant principals, central directors & & managers, and managers, and professional technical staff.) professional technical staff.) Reduce number of administrators by Reduce number of administrators by 10 - $1,066,000 33% Reduce number of administrators by y 39% 39% 20 - $2,132,000 Reduce number of administrators by 29% 29% 30 30 - $3,198,000 $3 198 000

Survey Results Activity 1 Survey Results Activity 1 4. Support Staff - 4. Support Staff - Central & entral & School-based (This includes School-based (This includes facilities staff, custodial, secretaries, and facilities staff, custodial, secretaries, and technicians.) technicians.) Reduce number of support staff pp by 20 - $1,000,000 24% Reduce number of support staff 49% 49% by 40 by 40 - $2,000,000 $2 000 000 27% Reduce number of support staff by 60 - $3,000,000 by 60 $3,000,000

Survey Results Activity 2 Survey Results Activity 2 1. Please prioritize which areas you 1. Please prioritize which areas you feel are feel are the the most most important important to preserve. to preserve. Please Please rank them from 1 to 6 in rank them from 1 to 6 in order of importance with 1 order of importance with 1 being being your highest priority. your highest priority. Class size Transportation Maintenance of facilities and grounds Athletics Technology and 21st century learning Choices in electives 0 1 2 3 4 5

Survey Results Activity 3 Survey Results Activity 3 1.Which would be 1.Which would be your preference? your preference? Select one: Select one: Preserve compensation levels 37% 37% Preserve jobs 64%

Survey Comments - Themes Survey Comments Themes Frequency General Area of Comment 8% TOSA/Instructional Coaches 4% Central Administrative Staff 6% Salary Reduction (support) 5% Pay reductions based on performance & qualifications y p q (merit) 3% Salary Reduction (against) 3% 3% Close facilities Close facilities 3% More furlough days 3% Early retirement options 3% 3% Four day school week Four da school eek 2% Cut Administration before teachers 2% Decrease busing 2% Cut Athletics 2% Increase Revenue

Information Summary Reductions Reductions

Prioritized Reduction List Prioritized Reduction List • Two-year plan Two-year plan • Consolidation of BWG reductions • Includes additional district-wide I l d ddi i l di i id recommendations from CBAC • Total Prioritized List - $67.8 M Summary of headlines……

Ten Million Ten Million • Increase Walking I W lki Distance • PERA Increase Paid by Employees ( 9% Salary Employees (.9% Salary Decrease) • Significant Reductions to Instruction

Twenty Million • 20 Instructional Coaches • 20 Instructional Coaches • No Support to the Jefferson F Foundation d i • 10 Licensed Staff Members at Option Schools • 2 Elementary Assistant y Principals • 29 Custodians 29 Custodians • 9 Senior High Counselors • Information Technology I f ti T h l • 9.5 Trades Techs

Thirty Million Thirty Million • Reduce Capital Transfer R d C it l T f • 5 Maintenance Employees • 4 Middle Level Secretaries 4 Middl L l S i • 8 Middle Level Counselors • 14.3 Elementary Teachers • 12 Elementary Teacher Lib Libararians i

Forty Million Forty Million • 82.7 Elementary Teachers 82 7 El t T h • 16.7 Middle Level Teachers • 7 Campus Supervisors • 64 5 Senior High Teachers 64.5 Senior High Teachers • 9.5 Trade Technicians • 10.3 Option School Teachers 10 3 O ti S h l T h • 29 Custodians

Fifty Million Fifty Million • 18.8 Elementary Instrumental Music Teachers Music Teachers • 12 Elementary Teacher Librarians Librarians • 65 Senior High Teachers • 19 5 Middle Level Teacher • 19.5 Middle Level Teacher Librarians • 16 7 Middle Level Teachers 16.7 Middle Level Teachers

Sixty to Seventy Sixty to Seventy Million • 97 Elementary 97 Elementary Teachers • 4 Furlough Days

Choices Choices Sustainable Plan Sustainable Plan

Fiscal Update Fiscal Update Revenues Revenues-

Economic Uncertainty – January 5, 2012 $660,000,000 $640,000,000 $620,000,000 $600,000,000 $580,000,000 $560 000 000 $560,000,000 $540,000,000 $520,000,000 2011/2012 Adopted Budget Revised General Fund Revenue Projections Rvsd 1/4/12

School Finance Funding School Finance Funding Fiscal Total Program Per Pupil Funded Year Year Funding Funding Funding Funding Pupil Count Pupil Count 2008/2009 $ 547,070,054 $ 6,704 81,598 2009/2010 $ 575,415,591 $ 7,069 81,397 2010/2011 $ 6,637 81,192 $ 538,903,110 $ 6,286 81,022 2011/2012 $ 509,264,438 2012/2013 $ 6,166 80,877 $ 498,724,438

Financial Outlook – 2012/2013 Current Budget Assumptions Fiscal Year Fiscal Year Projected Reductions Projected Reductions Impact on Reserves Impact on Reserves 2010/2011 $13.8 M ($23.6 M) 2011/2012 $37.5 M ($32.7 M) 2012/2013 $25.0 M ($27.1 M) 2013/2014 $35.0 M ($4.6 M) 2014/2015 $0.0 M $0.9 M 2015/2016 $0.0 M $4.3 M Total Reductions Reserve Balance EOY $111.3 M $78.7 M 2016/2017

Compensation Compensation C Current Assumptions t A ti Items Will Be Negotiated g

Compensation Assumptions 2012/2013 Description $ Impact Steps & COLA Steps & COLA 0 0 Levels 0 Legislated PERA Increases $4.1 M Retirement & Turnover Savings ($4.5 M) (including PERA) 2011/2012 Furlough Days $5.0 M 2 day reinstatement Net Compensation Impact $4.6 M

Proceeding with Caution Proceeding with Caution