ONTARIO SCHOOL DISTRICT

State Revenue and Budget Planning 2010

Ontario School District

District Goals “Our Children, Our Future!”

Mission StatementAll students will be equipped with the skills for lifelong learning and graduate as responsible adults prepared for college or career.

I. Target Area: Student Achievement

• GOAL 1: All schools will meet adequate yearly progress (AYP) in reading/language arts and mathematics.

• GOAL 2: All students will graduate from high school prepared for career or post-secondary education.

II. Target Area: Curriculum and Instruction

• GOAL 1: To develop a five-year curriculum plan for the school district so all students achieve at high levels

• GOAL 2: To engage in rigorous instruction driven by a technology-enriched curriculum to reach high levels of academic achievement and performance that fosters life-long learning.

II. Target Area: Curriculum and Instruction con’t

• GOAL 3: To develop a quality professional development and training model to implement best practices that impact student learning.

• GOAL 4: Develop a consistent K-12 assessment system that provides formative and summative feedback to students, teachers, and parents that systematically verifies student learning progress and enhances instruction.

III. Target Area: Facilities

• Goal 1: To upgrade school facilities so that the environment for learning will provide students with the best possible opportunities for an education in schools that are free of safety and health hazards.

• Goal 2: To provide school facilities, which will be efficient to operate and provide the necessary instructional spaces, in order to operate a comprehensive 21st century educational program for students in grades K-12.

IV. Target Area: Communication

To develop a district-wide communications plan for internal and external communication in order to promote the District as a professional, responsive, and well-managed organization dedicated to student achievement

V. Target Area: Celebrations

To develop a systematic plan for celebrations of success for students, staff, volunteers, departments, and programs to showcase the district.

State Revenue Update

Budget Implications

Percent of State Revenue to Schools

44.8%

42.5%

41.3%

39.0%

40.0%

41.0%

42.0%

43.0%

44.0%

45.0%

46.0%

2003-05 2005-07 2007-09

Source: Legislative Fiscal Office, "General Fund & Lottery Spending by Major Program Area," 2007

Inflation-Adjusted SSF Revenue Per ADMw

$4,125

$3,938

$3,376

$0

$500

$1,000

$1,500

$2,000

$2,500

$3,000

$3,500

$4,000

$4,500

1990-91 2008-09 / Portland CPI(Forecast)

2008-09 / Oregon Ed SectorPI (Forecast)

Source: Oregon Department of Education, "Inflation-Adjusted Formula Revenue per Weighted Daily Average Membership (ADMw), 2009

Revenue by Source

Transfers from Other Funds,

1,493,408 , 5%

Federal Grants, 4,972,122 , 16%

Other State Revenue,

123,176 , 0%

State School Fund,

17,127,941 , 54%

Cash on Hand, 4,306,738 , 13%

Earnings on Investments, 104,600 , 0%

Other Local Sources,

470,500 , 1%

Property Taxes, 3,376,678 , 11%

Source: 2009-10 Adopted Budget

2009-10 ADMw Components:Projected and Estimated Actual

Description Calculation 2009-10 Student

Numbers Budgeted

2009-10 Student

Numbers Actual

(Estimated)

ADMr 2,600 X 1.00 = 2,600 2,526

Students in ESL Programs 474 X 0.50 = 237 210

IEP Students Capped at 11% 286 X 1.00 = 286 278

Students on IEP above 11% 0 X 1.00 = 0 0.00

Students Pregnant and Parenting 7 X 1.00 = 7 20

Students in Poverty 807.8 X 0.25 = 202 201.4

Foster Care or Neglected Students 27 X 0.25 = 6.8 6.8

Estimated ADMw 09-10Extended ADMw 08-09

3,338.83,361.2

3,242.23,345.4

Source: SSF Estimate 05/19/2009.

2009-10 State School Fund Projected and Estimated Actual

Description Calculation 2009-10 Budgeted

2009-10 Actual

(Estimated)

Estimated ADMw 09-10Extended ADMw 08-09

Greater of 3,338.83,361.2

3,242.2 3,345.4

X Funding Factor + Exp Adj $4500 $4500 $4500

(Teacher Experience Adjustment) 12.84–12.09=.75*$25 $18.75 $18.75

X Funding Ratio 1.31708050265 1.27688008960

+ Transportation Grant $995,700 * 70% $696,990 $696,990

= Total Formula Revenue $20,701,365 $19,999,620

- Local Revenue $3,573,131 $3,573,131

= State School Fund GrantState Fiscal Stabilization Fund

$17,127,941 $16,442,306775,631

$17,217,937

Source: SSF Estimate 05/19/2009.

2010-11 State School Fund Projected

Description Calculation 2010-11 Projected

Estimated ADMw 10-11Extended ADMw 09-10

Greater of 3,149.03,242.2

Per Informal Oregon Department Of Ed 01/25/2010

X Formula Revenue per ADMw $6,428

= Total Formula Revenue $20,840,862

- Estimated difference in transportation and teacher experience

(100,000)

- Local Revenue $3,610,223

= State School Fund GrantState Fiscal Stabilization Fund

$17,130,639307,990

17,438,629

Source: SSF Estimate 05/19/2009.

Factors Impacting 2010-11

• Decline in enrollment

• Decline in cash balance

• Termination of Short-term Stimulus Funds (SFSF and ARRA)

Factors Impacting 2010-11: Declining Enrollment

• 2009-10 budget based on 3,361.2 Average Daily Membership-Weighted (ADMw)

• 2010-11 budget based on 3,242.2 ADMw

• 119 ADMw X $6,000 per pupil equals $714,000 revenue shortfall

Factors Impacting 2010-11: Declining Fund Balance

• District has used cash reserves to avoid making cuts to personnel and programs and to make facility improvements– 2007-08 used $2.2 Million– 2008-09 used $1.2 Million– 2009-10 budgeted to use $2.3 Million

• Will probably use $1.3 Million

– The most we can reasonably use and maintain a prudent cash balance for 2010-11 is $750,000.

– Decrease in budgeted expenditures of $1.5 Million to maintain cash reserves

Factors Impacting 2010-11: Termination of Short-term Stimulus Funds (SFSF)

SFSF (State Fiscal Stabilization Fund)• $572,566 in 08-09• $779,297 in 09-10• $307,990 in 10-11: Decrease of

$471,307

Factors Impacting 2010-11: Termination of Short-term Stimulus Funds (ARRA)

• Title IA – ARRA– Paid for all-day Kindergarten, 8

instructional assistants, part of counselors and assessment TOSA in 09-10

– Funds all budgeted to be spent in 09-10. May carryover enough to fund portion of counselors in 09-10.

– To maintain all-day Kinder, need to reduce other General Fund expenditures by approximately $350K

Increases required in other budget areas• Building Transfer: $75K

– Return to 08-09 level

• Unemployment: $500K• Technology: $120K

– Return to 08-09 level plus increase to maintain Technology Rich Classrooms

• Buses: $109K– Return to purchasing two buses per year to

maintain fleet

2009-10 Budgeted Revenues (less beginning fund balance)

$20,936,895

2009-10 Budgeted Expenditures (less ending fund balance)

$23,211,768

2010-11 Estimated Revenue (less BFB):With $200 MM triggerCash reserves available:Target for expenditures

$21,300,000750,000

$22,050,000

Increases:Building Transfer Absorb all-day KUnemploymentTechnologyBus

75,000350,000500,000120,000109,000

Decreases Necessary from 09-10 $2,315,768

Decrease in General Fund Expenditures

-

5,000,000

10,000,000

15,000,000

20,000,000

25,000,000

30,000,000

Actual 05-06 Actual 06-07 Actual 07-08 Actual 08-09 Budgeted 09-10 Projected 10-11

Total Revenue (less BFB) Total Expenditures Ending Fund Balance

Revenue, Expenditures, and Ending Fund Balance

2,644

2,7032,724

2,682

2,607

2,528

2,454

2,300

2,350

2,400

2,450

2,500

2,550

2,600

2,650

2,700

2,750

2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11

09-10 and 10-11 are estimates

Average Daily Membership-Regular(Includes FRCS)

Youth Population Decrease Mirrors Decrease in School Enrollment

Malheur County Youth Population

8,713

8,8768,825

8,3868,268

8,1367,970

7000

7500

8000

8500

9000

YEAR 2002 2003 2004 2005 2006 2007 2008

Data from Portland State University

Other Objects1%

Capital Outlay1%

Supplies and Materials

5%

Purchased Services

13%

Transfers1%

Salaries & Employee Benefits

79%

Does not include reserve and contingency.

General Fund Budget 09-10

Certified-Extra-Duty, $337,328

, 2%

Classified, $3,681,607 ,

20% Certified-Regular,

$11,076,382 , 59%

Subs & Temp, $542,252 , 3%

Early Retiree, $138,651 , 1%

Admin-Dir, Prin &

Supervisors, $2,299,720 ,

13%

Admin-Confidential,

$297,957 , 2%

Salaries & Benefits by Group 2009-2010 Budget

Questions?

Budget Planning Input

• Brainstorm budget priorities

• Brainstorm challenges

• Brainstorm areas to reduce