CCSA Conference 2017LCFF Calculator v17.2
Presented by FCMAT Staff:
Andrea DodsonIntervention Specialist
FCMAT LCFF Calculator
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What is the Local Control Funding Formula?
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Estimated Full Implementation –8 years
2013-14 Budget Act replaced the previous finance system (Charter School Block Grant) with the Local Control Funding Formula (LCFF)
• LCFF is a state-level funding allocation formula
• At full implementation, it provides more equal funding per student when compared to Revenue Limit allocation formula
Year 1: 2013-14
Year 2: 2014-15
Year 3: 2015-16
Year 4: 2016-17
Year 5: 2017-18
Year 6: 2018-19
Year 7: 2019-20
Year 8: 2020-21
Terminology List
Historical
Transition
Implemented
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Target+ Economic Recovery Target (ERT)+Minimum State Aid (MSA)
$Floor+ Gap+ Economic Recovery Target (ERT)
+ Minimum State Aid (MSA)
$
Charter Block Grants
+Categoricals
$
Funding Basis: Student PopulationRevenue Limit &
Categorical Funding
Local Control Funding Formula
UnduplicatedPupil
Percentage(UPP)
4ADA: Average Daily Attendance
How to Use the LCFF CalculatorEntry & Review
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Local Factors: Charter School
Local Data• School code (CDS)
• In Lieu of Property Tax
• Enrollment
• ADA
• Unduplicated Pupil Count & %
• Estimated Expenses for MPP
Entry TabAssumptions
Charter MYP Data
Charter MYP Data
Charter MYP Data
Charter MYP Data
LCAP MPP
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Requ
ired
Data
Certification---
P-Annual*Census Date
P-2
Census Date
---
*Property taxes are finalized for the In Lieu of Property Tax calculation as of P-Annual certification, but ADA adjustments may occur.
MYP: multiyear projectionLCAP MPP: Local Control & Accountability Plan minimum proportionality percentage
Tabs are in step-by-step order and color coded for easy preparation.
*Tab prints best in landscape orientation.NSS: necessary small schoolEPA: Education Protection Account (Prop 30, Prop 55)
Calculator Navigation & Entry
• Navigation
• Assumptions*
• Awards• Awards – New Charter
• District MYP Data*
• Charter MYP Data*
• District Class Size*• District NSS*
• District In-Lieu Taxes*• Calculator
• EPA*
• LCAP MPP
• Summary*
• Graphs*
• Local 1, 2, 3, 4 and 5
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Assumptions Tab
County-District-School (CDS) code:• Enter the District code for school
districts• Enter the School code for charter
schools12-12345-1234567
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Enter CDS Code
County District School
Verify
Assumptions Tab (cont.)
Department of Finance(DOF)
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California Department of Education (CDE)
Awards Tab• The calculator is designed to be by charter schools or
school districts. Scroll down to see the charter area.• Prefills CDE certified “adjusted” 2012-13 historical dataVERIFY
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Awards Tab (cont.)
• Use of the Adjustments column is very RARE!
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• All school districts within which the charter school operates (school site or administration buildings), regardless of grades served.
• Reported to the CDE yearly at P-1
• Authorizing or Sponsoring school district is automatically one.
Factors:o Unduplicated Pupil Percentage
o Newly Operational Rate
New Charter School Local Factor TerminologyAuthorizing or
SponsoringSchool District• School district that
sponsors the charter school petition and is usually responsible for oversight
• There is only one, not a list
Factor:o In Lieu of Property Tax
School Districts of Physical Location
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For more details, visit the CDE webpage: http://www.cde.ca.gov/fg/sf/pa/padc1314faq.asp#csphysloc
• Generates the Floor Rate per ADA for newly operational charter schools beginning school operations in 2016-17 or later.
Awards - New Charter Tab
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School district of physical location that
yields the highest “floor rate per ADA”
Select Year
Request information from school district
Charter MYP Data Tab – Property Tax
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From the authorizing/sponsoring agency
Prefilled Data Tip: Throughout the LCFF Calculator, the 2013-14 through 2015-16 fields are pre-filled with certified CDE data.
VERIFY prefilled data Type over prefilled fields for new/updated information or
corrections.
Prefilled Local Factors• Prior year certified data
− Transition formula is initially based on 2012-13 revenue limit certification (Awards tab)
− Transition formula requires that accurate prior year certification data be entered (MYP Data & other entry tabs)¤ Recertification timeline - 3 years
FiscalYear February June
1 P-1 P-2 2 Annual Annual R-13 Annual R-2 Annual R-3
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Verify Your Prefilled Local Factors
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http://www.cde.ca.gov/fg/aa/pa
How to Read the District In-Lieu Taxes Tab
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• In a charter school calculation, do not enter any information on this tab. Must be calculated by your authorizing agency.
• How to read the results of this tab:1. Find your charter school name2. Follow the green line to see final calculated estimates
by year.
How to Read the District In-Lieu Taxes Tab (cont.)
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Verify the assumptions
Charter MYP Data TabUnduplicated Pupil Percentage
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Concentration grant is limited to the lower of these two percentages.
From the highest % school district of physical location
LEA:StudentInformation System
Data Collection & Reporting
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Where does the Unduplicated Pupil Percentage information come from?
Census Day*
CSIS:CALPADS
Fall 1Certification
CDE:LCFF exhibits
• Low Income (FRPM)• English Learners
(CELDT)
(manual)
• Direct Certification• Statewide Foster
Match• COE programs• Local Foster Match
(manual)
*Census Day is the first Wednesday in October.For more details, visit the CDE FAQs page: http://www.cde.ca.gov/fg/aa/lc/lcfffaq.asp#CALPADS
Data Collection & Reporting (cont.)
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Review your local process for best practices:
• Establish a data reporting calendar
• Create a collaborative process• Collection points cross departments and sites based on
subject matter expertise
• Develop sign-off procedures, like site administrator review
• Reconcile data between SIS & CALPADS regularly
For more best practices, visit: https://csis.fcmat.org//Pages/K12-State-Reporting-Overview-for-Administrators-SP.aspx
Charter MYP Data Tab – ADA
• Enter all charter school ADA by grade span under the appropriate fiscal year, regardless of type:
¤ a standard charter school¤ charter funded county programs, or¤ county office of education (COE) charter school
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Need Charter Input: District MYP Tab
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Completed by the sponsoring school district
• In a charter school calculation, do not enter any data on this tab
• However, work with your sponsoring school district to determine the detailed ADA associated with individual students shifting between the two schools.− Doesn’t affect your calculation, but it is important for the
school district.
Charters Exempt: District Class Size Tab
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• In a charter school calculation, do not enter any information on this tab—may result inaccurate results!
• Charter schools automatically receive grade span adjustment funding under LCFF.
Reading the Results
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Calculator TabMultiple Calculations During Transition
• Target Calculation – the funding goal, where we should be
• Economic Recovery Target (ERT): the first protection from change in funding methodology
• Transition-only Calculations -• Floor: where we were before LCFF
• Remaining Need & Gap: the difference between the Target and Floor and the funded portion of the difference
• Minimum State Aid (MSA): the second protection from change in funding methodology
Start with the End
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Implemented
Target+ Economic Recovery Target (ERT)
+Minimum State Aid (MSA)
$
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Target EntitlementThe Target represents the LCFF goal for funding.
• Recalculated annually based on current student population − ADA
− Enrollment
− Unduplicated pupil percentage: foster youth, low income, English learners
• Is a component of both the transition calculation and ongoing calculation.
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*Unduplicated Pupil Percentage (UPP) must be greater than 55%
Target Entitlement: Consists of Multiple Funding Allocations
Base Grant(by grade span)
Grade Span AdjustmentK-3 9-12
Supplemental Grant
Concentration Grant*
Adjusted Base Grant
Unduplicated CountEnglish Learners
Low IncomeFoster Youth
ADA
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Target Entitlement
ADA feeds from data found on Charter MYP
tab
Unduplicated Pupil Percentage found on Charter MYP
Data tab
COLA found on Assumptions
tab
Cal
cula
tor T
ab
Transition
The Path to the Target Funding Level
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Floor+ Gap
+ Economic Recovery Target (ERT)
+ Minimum State Aid (MSA)
$
Floor Entitlement
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The floor calculation provides an annual starting point for transition funding.
• Recalculated annually, based on ADA, 2012-13 deficited funding rates, 2012-13 categorical funding, and prior year gap funding
• Ceases once funded at target
Floor
Floor Entitlement (cont.)
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• The floor calculation is based on 2012-13 funding and prior year gap funding adjusted for yearly changes in ADA
Floor is recalculated
annually based on ADA Entered in
Charter MYP Data tab
Prior year Gap funding per ADA
carries forward and is applied to each new year’s ADA
Cal
cula
tor T
ab
First year of operation:
Subsequent years of operation:
Floor Entitlement:Newly Operational Charter
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Floor rate per ADA from Awards - New Charter tab
Cal
cula
tor T
ab
Prior year gap funding per ADA
carries forward and is applied to each new year’s ADA C
alcu
lato
r Tab
Remaining Need*
Gap Funding Rate %
Gap Funding
Tying It Together: Gap Funding
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Target Floor Remaining Need*
Gap
Remaining Need
*If remaining need is less than 0, no gap funding will be received.
RemainingNeed
Floor
• The gap funding rate is a percentage of theremaining need.
• Yearly percentages will not sum to 100%.But, in the final year of implementation, the Gap funding rate will be 100%.
Current Year Gap Funding
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FloorGap
Cal
cula
tor T
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Transition from Floor to Target
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Year 1 Year 2 Year 3 Year 42013-14 2014-15 2015-16 2016-17
Year 5 Year 6 Year 7 Year 82017-18 2018-19 2019-20 2020-21
Remaining Need (unfunded) Floor Current Year Gap Funding
Transition Funding at Target
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Once funded at target, an agency will always be funded at target.
• Comparability between neighboring agencies during transition may be a challenge. Remember the old “equalization” issue – others are still catching up!
2013‐14 2014‐15 2015‐16Ct % Ct % Ct %
Total LEAs 2,055 100% 2,107 100% 2,149 100%At Target 42 2% 51 2% 60 3%Between 90% and 100% 50 2% 121 6% 1,371 64%Between 80% and 90% 267 13% 1,167 55% 718 33%Between 70% and 80% 1,133 55% 768 36% 0 0%Below 70% 563 27% 0 0% 0 0%Lowest funded LEA 62% 72% 83%
Economic Recovery Target (ERT)
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Provides for additional funding for LEAs that would have received more funding under undeficited revenue limits and categorical programs, when compared to the new LCFF, as projected for fiscal year 2020-21.
• Calculated one-time as part of 2013-14 calculation and funded over 8 years, additional 1/8 each year, then ongoing.
• Calculation was completed by CDE in 2013-14 P-2 certification (June 2014).
• Is a component of the transition calculation and permanent add-on once target is reached.
• 147 LEAs receive ERT each year, approximately 7% of LEAs in 2015-16.
Minimum State Aid (MSA) Guarantee
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The level of funding to ensure that LEAs receive at least the same amount in state aid as they received in 2012-13, adjusted for changes in ADA and property taxes.• Primarily occurs for:
• Basic Aid districts because categorical funding was not previously being offset by local property taxes.
• Necessary Small School districts because of loss of eligibility under new eligibility rules.
• It may occur under other infrequent/unusual situations.
• Only 164 LEAs continued to receive Additional State Aid in 2015-16, less than 8%. And only 87 LEAs will receive it at full implementation.
2015-16 Budget Act trailer bills extended MSA perpetually.
Minimum State Aid (MSA) Guarantee
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How much state aid is my charter school entitled to?
$
Cal
cula
tor T
ab
Gre
ater
of
LCFF
Adjusted Charter Block Grant
Adjustment for excess sources
Education Protection Account (EPA)• The passage of Proposition 30 in 2012-13 provided two temporary
tax increases that expire in December 2016 (sales tax) and 2018 (income tax). For most LEAs, this revenue offsets state aid.
• Newly operational charter schools receive the $200/ADA minimum.
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Summary Tab
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Summary of LCFF Formula
To Budget/ MYP
Summary Tab (cont.)
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Student Information
Graphs Tab• Can make a good starting point for board presentations.
…includes other graphs and charts not pictured.45
FCMAT LCFF Calculator Resource Page
• Open a web browser and go to www.fcmat.org
• Click on LCFF button
• Click on ‘LCFF Calculator’ button to download excel file
• Save to the desktop or flash drive
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Step 1: The Local Control Funding Formula (LCFF) is a state-level funding allocation formula for Local Education Agencies (LEAs). Think: How much is our funding?
Step 2: The Local Control and Accountability Plan (LCAP) is an education plan, including a budget. Think: What are our goals and related activities for students? How will we use our financial resources?
LCFF versus LCAP
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Demonstration of Increased or Improved Services for Unduplicated Pupils
Plan Summary
Annual Update
Stakeholder Engagement
Goals, Actions & Services
Demonstration of Increased or
Improved Services for
Unduplicated Pupils
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Demonstration of Increased or Improved Services for Unduplicated Pupils (cont.)
LEAs will increase or improve services to unduplicated pupils, at minimum, in proportion to the increase in LCFF funds based on these students [Supplemental and Concentration Grant funds].
S&C $$
Base program services
Other LCFF $$Increased or improved services
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Demonstration of Increased or Improved Services for Unduplicated Pupils (cont.)
At full implementation, the LCAP demonstration formula is:
*Less TIIG and Transportation
Supplemental &
Concentration
Grants
All Other
LCFF Funding*
Percentage to Increase or Improve Services
%
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Target ComponentsBase GrantGrade Span AdjustmentSupplemental GrantConcentration GrantTIIG add-onTransportation add-ons
Demonstration of Increased or Improved Services for Unduplicated Pupils (cont.)
• LCAP demonstration transition formula allocates funding to supplemental and concentration grants.
Floor Components2012-13 Revenue Limit2012-13 CategoricalsPrior year Gap funding
TransitionLCFF
Full LCFF
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Target Entitlement
Cal
cula
tor T
ab
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Remaining Need*
Gap Funding Rate %
Gap Funding
LCAP Demonstration Transitional Formula
TargetS&C
Floor Remaining Need*
Allocated S&C
Difference
Difference
Prior Year Expend.
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Supplemental &
Concentration
Grants
All Other
LCFF Funding*
Percentage to Increase or
Improve Services
%
During transition:
Percentage to Increase or Improve Services
Prior year spending for increased / improved services
+ Portion (Gap %) of difference from PY spending to target S&C
= Amount allocated to Supplemental and Concentration grant funding
*less TIIG & Transportation
Onl
y du
ring
Tran
sitio
n
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LCFF Calculator: LCAP tab
LCAP: Percentage to Increase or Improve Services
Enter estimated expenditures on unduplicated pupils & 2012-13 EIA expenditures
LCAP: Estimated Supplemental and Concentration Grant Funds
Add: portion of difference
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Calculating the Orange Box1. Get in the same room
2. DEFINE THE BASE PROGRAM
3. Create a list of services provided above the base program for the benefit of the unduplicated pupil count population− Note if the service is provided charterwide− Give the district credit for serving these students even if
they have been doing it since the ’80s—or whenever!
4. Determine the cost of the services and the funding source− Unrestricted funding only — no federally funded services
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Calculating the Orange Box (cont.)
• Your education plan may be designed to serve students identified in the unduplicated pupil count. Give your school credit for providing increased or improved services.− Be aware of any language in the petition that defines the
services as the base program.
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Remember slides 37 & 38?…It’s import to plan and recognize the increased and improved services you provide.
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LCAP: Demonstration of Increased or Improved Services for Unduplicated Pupils
New
1. Describe how your LEA is meeting the percentage to increase or improve services for unduplicated pupils.
2. Identify any action/services provided on a schoolwide or LEA-wide basis, and include supporting descriptions.
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Demonstration of Increased or Improved Services for Unduplicated Pupils: Charter School
LCFF Supplemental
and Concentration
Funds
English Learner, Low Income, Foster Youth only
• Supports students• Meets goals
LEA-wide • Provide justification
+
For targeted services/actions:
For non-targeted services/actions:
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Meeting the Percentage to Increase or Improve Services
Quantitatively -OR-• Data that can be
measured
• Deals with numbers
• Think: QuantitativeQuantity
• Currently the most common method
Qualitatively• Data that can be observed but not
measured. Based on descriptions.
• Think: Qualitative Quality• Consider using for effective services that
don’t have a fairly representative cost or other quantitative measure.
Sample phrasing: “The LEA is providingmore than (%) of increased or improved services above the base program.” Then discuss the services.
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LCAP Resources• California Collaborative for Educational Excellence (CCEE)
http://www.ccee-ca.org/
• State Board of Education (SBE)http://www.cde.ca.gov/be
• West Ed: LCFF Channelhttp://lcff.wested.org/lcff-channel/lcff-implementation-videos/
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Questions?
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