Adopting a Budget for 2009/10

AdoptingAdopting a a BudgetBudget

for 2009/10for 2009/10

Board MeetingBoard Meeting

June 2, 2009June 2, 2009

Prepared by:Dr. Cathy Nichols-WasherDouglas Barge & StaffY:\Business Services\Budget\2009-10\Adopted\Meetings\B06-02-09\B06-02-

09.ppt

Table of Table of ContentsContents

A. Opening Comments 1

Description

Page No.

B. Cash Flow Problems 2

C. Summarizing Changes 3 - 6

D. May Revisions 7 - 13

i

E. Optional Change 14 - 15

F. Recommendations 16

G. Appendix – Part I• Proposed Reduction Details

• Continuation & Henderson Class Size Impact

• Summary of Changes

H. Appendix – Part II (see separate attachment)(see separate attachment)

• Details of Budget Reduction Process

A1 – A2

B1

C1 – C8

Opening CommentsOpening Comments Budget problems for both 2008/09 and 2009/10 never

seem to stop mounting State revenues continue to decline Voters didn’t support solutions that weren’t solutions Legislators are far behind the problem curve

For now we are building a budget based on the State adopted budgets

In addition, we have made adjustments to reflect the Governor’s May revision proposals

Using the County directed guidelines

We have attempted to minimize the additional reduction of staff

Planning will continue 1

Cash Flow Problems Cash Flow Problems

A repeat of last year and A repeat of last year and moremore

2

Summarizing Summarizing ChangesChanges

ii

Review of May 5, Board Review of May 5, Board Approved Strategy Approved Strategy (Option (Option “A”)“A”)

Spends Current Resources on Current Students now:

Uses greatest amount of flexibility Potentially requires a greater level of future cuts Provides for greater administrative authority to deal with daily

operational needs of the District

Dealt with structural balance now, but will not help deal with additional State reductions

Retains Flexibility for Use of Federal Stimulus Resources Maintains reserves at the 3% levels required by the State Requires budget adjustments of $16,512,349

3

Current Budget ReductionsCurrent Budget Reductions

B. Full Use of Tier III Reductions

C. Partial Use of Tier II Reductions

D. Total Adjustments

Description

180.03180.03 11,496,77711,496,777

50.9550.95 3,706,3683,706,368

230.98230.98 $16,512,349$16,512,349

A. Reduce Carryover Reserves $1,309,204$1,309,204

AmountFTE

I. Updated “Option A”

*See Appendix for Details*See Appendix for Details4

Summary of ChangesSummary of Changes We have had to adjust to an ever increasing State fiscal

crisis and the uncertainty surrounding the Federal dollars

From the original recommendations submitted to the Board for consideration, a number of changes have been made to the reduction plans

Those changes include: Adjusting class sizes for 9-12 Support for Senior Projects Retaining Counselors & Library Assistants Special Education Staffing Other support staffing

5

Board of Education & Board of Education & Superintendent ReductionsSuperintendent Reductions

1. Board Member Stipends – 10% Reduction $ 6,584

2. Superintendent – 6.63% Salary Reduction 17,195

Description Amount

3. Total3. Total $ 23,779$ 23,779

6

May RevisionsMay Revisions

iii

So What is the Problem?So What is the Problem?

= $16MTier III

Tier II

Tier I

$27M

$28M

District

State

$3.6B or

$469 to $1,000 per ADA

7

The Problem is RevenueThe Problem is Revenue

A. 2008/09 Revenue Limit

B. 2009/10 Revenue Limit ($6,842,736)

($6,309,900) ($6,309,900)

(6,842,736)

Description On Going One Time Total

C. Total Revenue Loss ($6,842,736) ($6,309,900) ($13,152,636)

D. Federal Stabilization (*) 7,603,253 7,603,253

E. Net Revenue Loss ($6,842,736) $1,293,353 ($5,549,383)

(*) See appendix B4 for details of expenditures no longer possible.8

How Can We Balance?How Can We Balance?

Declare Federal Stabilization Resources

Sweep State Tier 3 Programs

Reduce reserves further **

Additional program reductions

Deeper State Tier 3 programs reductions with the hope that Federal Categorical Stabilization resources will become available to backfill (re-instate) these cuts

Additional reductions previously identified (Option B)

Additional reductions previously identified (Option C)

9* * District will still maintain required 3% General Reserves.

What Can’t We Do to What Can’t We Do to Balance?Balance?

Declare any additional Federal Title I resources until rules and funding levels have been clearly defined

Declare additional Federal Individual with Disabilities Education Act (IDEA) resources until State has done their homework and notified the District of rules and funding levels

10

Program ReductionsProgram Reductions

A. Various Reserves

B. Continuation Staffing (#)(#) ($125,116)

($1,195,730) ($1,195,730)

(125,116)

Description On Going One Time Total

C. Community Day School (#)(#) (62,558) (62,558)

F. Total Program Reductions ($187,674) ($5,361,709) ($5,549,383)

E. Fed. Stabilization – Categorical (1,907,790) (1,907,790)

D. State Categorical (2,258,189) (2,258,189)

11(#) – See Appendix, Page B-1 for detail of class size (#) – See Appendix, Page B-1 for detail of class size impact.impact.

Categorical Funded Categorical Funded StaffingStaffing

1. Director of Ed. Services $141,984

2. Coordinator of Community Relations 126,252

1.00

1.00

Description BudgetFTE

3. Administrative Secretary 61,7621.00

4. ELD Teachers (grades 9-12) 143,3092.25

5. Curriculum Program Administrator 254,2562.00

6. Categorically Funded $727,5637.25

12

Status the Structural Status the Structural BalanceBalance

1. Balance as of 4/07/09 $0

2. Revenue Limit – May Revise (13,152,636)

Description Total

$86,234

(6,309,900)

One-Time

($86,234)

(6,842,736)

On-Going

3. Federal Stabilization 7,603,2537,603,253

4. Program Reductions 5,549,3835,361,709 187,674

5. Total Estimated $0$6,741,296 ($6,741,296)

* Rebuilding of some programs without State funding may be an additional burden in the future (i.e. Maintenance & Operations) 13

Optional ChangeOptional Change

iv

Co-Curricular ReductionsCo-Curricular Reductions All freshman sports would be eliminated

Entire sports programs would be eliminated: Tennis, golf, badminton, and diving

Junior varsity Soccer would be eliminated

Half of non-athletic activities would be reduced or eliminated Newspaper, speech & debate, yearbook, Future Farmers, instrumental

music (exact areas are yet to be determined)

Half of middle school stipends for student council, yearbook, and drama would be eliminated

All elementary stipends would be eliminated14

Co-Curricular Funding Co-Curricular Funding OptionOption

A. Co-Curricular – Activities/Athletics

B. Income (participation donations)(participation donations) (40,093)

$356,742

Description FTE Budget

C. Department Chairs (100,093)

G. Total Option (1.60) $0

D. Librarians (406,816)

(1.60)

(4.00)

E. Library Assistants, 9-12 190,2604.00

F. Library Assistants, K-6

Funding OptionTotal

$968,203

$406,816

FTE

17.53

4.00

561,38713.53

Categorical Stabilization #

# Implementation delayed pending arrival of Federal # Implementation delayed pending arrival of Federal resourcesresources

15

RecommendationsRecommendations

1. Staff recognizes the Governor’s proposal to reduce Revenue Limit by more than $13M between this year and next

2. To close this gap staff recommends:a. Declaring all of the “On-Time” Federal Stabilization resources

a. This would include reversing previous recommended use of these resources (see appendix for details)

b. Reduce the remaining reserves as outlined in this report (see appendix for details)

c. Reduce Teacher staffing by 1.00 FTE at both continuation sites and Henderson CDS

d. Additional Sweeping of State Tier 3 categorical resources (see appendix for details)

e. Plan on the use of Federal Categorical stimulus resources as they become available (see appendix for details)

3. Approval of Co-Curricular funding option.

16

The EndThe EndUntil the Legislature SpeaksUntil the Legislature Speaks

Appendix – Part Appendix – Part II

A. Proposed Reduction DetailsB. Continuation & Henderson Class Size

ImpactC. Summary of Changes

v

Proposed Reduction Proposed Reduction DetailsDetails

CATEGORICALBUDGET STABILIZATION

DESCRIPTIONS FTE ADJUSTMENTS BACKFILL TOTAL

I. GENERAL FUND (UNRESTRICTED)

A. Carryover Reserves (490,000)$ (490,000)$ B. Contingency Reserves (150,000) (150,000) C. General Reserves (204,000) (204,000) D. Teacher Staffing Reserves (5.25) (351,730) (351,730) - E. Continuation Education (2.00) (125,116) (125,116) F. Community Day School (1.00) (62,558) (62,558)

G. Total General Fund (Unrestricted) (8.25) (1,383,404)$ -$ (1,383,404)$

A1

Proposed Reduction Proposed Reduction DetailsDetails

CATEGORICALBUDGET STABILIZATION

DESCRIPTIONS FTE ADJUSTMENTS BACKFILL TOTAL

II. STATE TIER 3 CATEGORICAL

A. School Improvement Program (SLIP) (1,000,000)$ (700,000)$ (1,700,000)$ B. CBET (100,000) (50,000) (150,000) C. Instructional Materials Fund (IMF) (1,000,000) (557,790) (1,557,790) D. Administrative Training (158,189) (158,189) E. CAHSEE (100,000) (100,000) F. Adult Education (500,000) (500,000)

G. Total State Tier 3 Categorical - (2,258,189)$ (1,907,790)$ (4,165,979)$

A2

Liberty, Plaza Robles & Liberty, Plaza Robles & Henderson Schools – Teacher Henderson Schools – Teacher StaffingStaffing

B1

PROJ. ATTEND. ADJ. CURRENT AVG. REVISED REVISED AVG.SITE ENROLL FACTOR ENROLL FTE CLASS SIZE FTE CLASS SIZE

Liberty 142 66.70% 95 7.00 16 6.00 1919

Plaza Robles 159 66.70% 106 8.00 16 7.00 1818

Henderson CDS 145 90.96% 132 8.78 18 7.78 2020

Summary of ChangesSummary of Changes

C1

Strategy to Address Strategy to Address Class Size Grades 9-12Class Size Grades 9-12

1. Teachers (9-12) – Reduce Class Size by 1 9.60 $660,557

2. Instrumental Music (5-6) (5.12) (488,871)

3. Grade 9-12 Teachers (ELD) (2.25) (143,309)

# 4. Vice Principal – Lincoln Tech (.25) (28,377)

5. Net Change 2.08 $0


A. GENERAL FUND UNRESTRICTED

B. ECONOMIC IMPACT AID (EIA)

2.25 $143,3091. Grade 9-12 Teachers (ELD)

(#) May fund .25 FTE from Adult Education Fund

*

(*) Changes previous proposed from an increase of 2 students to an increase of 1 studentC2

Senior Project – Partial Senior Project – Partial StaffingStaffing

Response to April 21 Board DiscussionResponse to April 21 Board Discussion

* 1. Teachers (9-12) – Senior Project .93 $58,179

2. Warehouse – Delivery Driver (workday reduction) (24,564)


A. GENERAL FUND UNRESTRICTED

B. STATE TIER III PROGRAM SWEEP

($33,615)1. Community Based English Tutoring (CBET)

3. Total General Fund Unrestricted .93 $33,615

(*) Release of one period for coordination of program. Does not (*) Release of one period for coordination of program. Does not include current allocation to reduce 12include current allocation to reduce 12 thth grade English class sizes. grade English class sizes. C3

Possible Uses of Possible Uses of Categorical ResourcesCategorical Resources

1. Counselors (K-6) – Title I 4.26 $360,034

2. Teachers (9th) CSR 5.32 332,000

3. Budget Technician 1.00 63,179


4. Instructional Coaches 5.00 445,280

6. Total6. Total 17.5817.58 $1,313,597$1,313,597

5. Administrative Secretaries 2.00 113,104

C4

Federal Stabilization Resources

1. Library Assistant (K-6) 3.38 $140,347

2. Counselors (K-6) 1.60 135,224

4. Total Future Additions 5.98 $264,250


A. A. Future Additions (*)Future Additions (*)

* Funding is one-time* Funding is one-time

3. Counselors (7-12) 1.00 88,679

C5

Federal Title I StimulusFederal Title I Stimulus

1. Library Assistant (K-6) 5.80 $235,832

2. Counselors (K-6) 2.90 245,093



A. A. Future AdditionsFuture Additions

Funding is one-time and supports Title I sites onlyFunding is one-time and supports Title I sites only

C6

Federal IDEA ResourcesFederal IDEA Resources

1. Tier II Reductions (#) 6.90 $102,384

2. Tier III Reductions (#) .60 96,073




* Funding is one-time and supports Special Education Programs only* Funding is one-time and supports Special Education Programs only

# See Appendix – Part II for details# See Appendix – Part II for details

3. Nurses 1.75 139,379

C7

Federal IDEA ResourcesFederal IDEA Resources

2. Paraeducators – Resource Specialist 8.00 187,818

4. Program Specialist .60 70,096




* Funding is one-time and supports Special Education Programs only* Funding is one-time and supports Special Education Programs only

5. Nurses 1.75 139,379

3. Paraprofessional - Infant (1.10) (27,434)

1. Service Contracts - Autism $ 60,000

C8

Documents

Adopting a Budget for 2009/10