HomeMy WebLinkAboutAgenda - 04-27-2010 - Attachment 3~~~~~~- ~
Superintendent's 2010-2011 Budget Message
The Board of Education's budget planning activity for the 2010-2011 fiscal year is occurring in a climate of
decreasing revenues and increasing costs. Recessionary economic conditions continue to limit both state and local
governments' revenues and their ability to increase appropriations for K-12 education. Like school systems across the
state, we are facing a period of diminished appropriations, while incurring increased costs associated with health
insurance, enrollment growth, retirement contributions, and essential student services.
To maintain the strength of our educational program, I am recommending that Orange County Schools request a
current local expense budget of $22,795,848 for district operational support. This represents aper-pupil allocation of
$3,096 per student, equal to the amount funded for the 2009-2010 school year. The state has projected that the district's
enrollment will be 7,192 students, which is an increase of 185 students over the previous year. With the same per pupil
spending, the county's appropriation would increase by $591,336 over last year's funding level. Maintaining the current
per pupil allocation will allow the district to offset some state cuts and maintain academic intervention and curriculum
support designed to raise achievement and simultaneously close achievement gaps. This level of per-pupil funding will
allow the district to focus on student needs and counteract the detrimental cuts to state funding that will impact some of
our most at-risk students. The district will distribute $120,000 among our schools to provide tutoring, re-teaching,
Saturday School and other interventions to struggling students. Additionally, the per pupil allocation will allow Orange
County Schools to maintain class sizes in grades K-3, absorb increased employee benefit costs and provide additional
dollars for student learning needs. To further mitigate the negative impact of projected state reductions in funding, I have
proposed a series of steps designed to cut costs while protecting classroom expenditures. These include freezing currently
vacant district-level positions, utilizing state funding flexibility (SB202) to save local dollars, consolidating administrative
positions and initiating cost-containment measures.
I propose that an additional $275,794 be targeted for five essential curricular service initiatives, all of which are
focused on student needs.
• 1. The district will expand fiuiding for exceptional children's academic support efforts such as extended learning
time, reading/math interventions and assistive software packages.
2. We will also allocate funding to build on our successful efforts to improve graduation rates, while increasing
funding to maximize our summer dropout recovery efforts.
3. The district will expand the academically gifted program which will be a very important part of our efforts to
strengthen gifted education in the district.
4. We will initiate a program which will provide academic support for students who are suspended for the short-
term.
5. The funding will also allow the district to expand the AVID program to further support our high school students.
Orange County Schools' state appropriation is projected to be $36 million, a decrease of $806,471 from last
year's funding level. These state cuts include the elimination of textbook funding ($280,457), driver education funding
($170,910) and additional discretionary reductions ($409,104). It should be noted that these projected decreases are based
upon Department of Public Instruction planning allotments and the state's revenues are well below projections. As a
result, the governor's proposed budget includes a 4% ($1,400,000) reduction in funding for education. During the current
budget cycle, the state's appropriations to Orange County Schools were reduced by 4.7 million dollars. Although federal
stabilization funding (scheduled to end in 2011) did provide some relief, Orange County Schools was still forced to lower
costs through position cuts, program reductions and hiring freezes.
In response to state and local funding cuts last year, the district trimmed program funding, phased .out under-
enrolled programs and lowered payroll costs by freezing salaries and reducing positions. The majority of these reductions
were made to district supervisory/ administrative positions, non-instructional support, textbooks, professional
development and transportation. By structuring our cuts in these areas, the district was able to protect vital classroom
teaching positions. District-wide, only two teaching positions were lost, allowing us to keep class sizes low and,
ultimately, reducing the negative impact on our students.
The Orange County Board of Education has taken major steps to reduce costs while protecting the most important
nit -our classrooms. The district remains committed to minimizing the effect of the budget cuts on classroom
instruction and efficiently utilizing all available resources in order to provide our students with an outstanding educational
experience.
4/21 /2010
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DRAFT
Orange County Board of Education
Local Current Expense Budget
2010 - 2011
Approved -April 19,2010
Looking Back...
Local Appropriation Reductions $921,918
State Appropriation Reductions $4,775,501
Total Funding Reduction: $5,697,419
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Impact of Local Funding Cuts
/District-level Positions $385,000
/School-level Positions $209,000
/Programmatic Reductions $461,000
(non-personnel)
/Miscellaneous District-level Funding $179,000
Total Reductions: $1,234,000
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4/21 /2010
Moving Forward...
• Safeguard Vital Classroom Expenditures
• Maintain Class Sizes K-3
• Stabilize Instructional Funding Support
• Continue Support of At-Risk Programs
• Minimize Job Loss
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Budget Planning Framework
• Focused on Efficiency
• Developed on Actual Expenditures
• Applied State Funding Flexibility
• Transferred Local Expenses to State/Federal Sources
($450,000)
• Froze Existing Vacancies - 9 Positions
($434,000)
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Cost Cutting Measures for 2010-11
• Freeze Existing/ Anticipated Vacancies $434,091
(9 Positions)
• Redistribute Local Transportation Funds $450,000
(Replace with State Funds)
• Decrease Local Staff Development $12,839
• Reduce Contracted Services $30.000
Total Savings: $926,930
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4/21 /2010
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2010-11 Requested County Appropriation:
$22,795,848
This Represents the Same Per-Pupil Allocation of
$3,096 that was Funded in 2009-10.*
"Based on a projected population of 7,192 OCS
students and 269 charter school students.
2001-11 Per-Pupil County Appropriations
S330U X096•
S3 069 S;'7A0 S3 096
i
53,000 ~.:
i
52,500 -~. .- - - F - _
1 _ ~_.... __ _ _ __.
52,000 ~ i i ,~
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SI,500 !'
SI,000 =
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,,pS `pti tiP"' ,~s~'' ~jQ`' y>i' ,JYp^ ,~s~ ,,(~s4 ,q.~ ~.`
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2005-11 County Appropriations Comparison
523,000,000 ~ _...-_--~-~---'~~ i~a ire am 522.795,648'
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520,000,000 i
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$15,000,000
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2004-05 2005-06 2006-07 2007-08 2006-09 2009-10 2010.]]
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4/21 /2010
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Additional Required Expenses
Emnloyee Benefit Cost Increases: $265,000
• Health Insurance ($402 per employee)
• State Retirement (8.75%to 10.51%)
Utiliri Services Increase: $127,542
• Includes an increase for the Whiffed Building
DSS Socia] Workers' Cost Increase: 68 000
Total Additional Required Expenses $460,542
Dollars Directed to Student Needs
Student Support:
• At-Risk Services
• Exceptional Children's Academic Support Efforts
• Gilled Program Enhancements
• Increased Opportunities for Advanced Coursework
• Summer Dropout Recovery
• Academic Support for Suspended Students
• ESL Intervention Program Enhancements
• High School AVID Support
Guiding Principles:
Effective Programs
Efficient Operations
Fiscal Responsibility
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4/21 /2010
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Utilization of Local Funds
Instructional
Salaries and Equipment
Benefits t
85
Supplies and
"Materials
5%
Purchased
Services
8%
Other Goods
and Services
1%
Salaries & Benefits utilize 85% of our total funding.
Probable State Cuts to
Orange County Schools
4%= $1,466,668
5%= $1,833,335
For further information, please contact:
Donna Brinkley
Director of Finance
919.732.8126 x 13000
donna.brinkleyna,oran>;e.kl2.nc.us
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4/21 /2010 -
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Additional Information Follows:
Operational Revenue Sources
Local Federal
Appropriations Funding
34.5% $~~~
522.2 Million.-- ki,;.- $5.6 Millio
S ~}
P ~f ~, 7 ~ _
J~~:.
Fair Funding State Funding
,$ % 56%
5.5 Million 536.1 Million
Total OCS O eratin Bud et - $64,387 779
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4/21/2010
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Balancing the 2010-11 Budget
Existing/Anticipated Vacancies:
District Testing Coordinator $62,000
Accounts Payable Clerk $37,000
Maintenance Clerical Support $5],000
French Teaching Position $72,000
Transportation Office Staff $44,000
High School Teaching Position $57,000
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3 Teaching Assistant Positions $111.091
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Orange County Schools
2010-2011 Local Budget Request Summary
2010-11 State Enrollment Projection
10 State Enrollment Projection
0-11 Projected Enrollment Increase
2010-11 Total Local Current Expense Appropriation Requested
2009-10 Total Local Current Expense Appropriation
2010-11 Additional Requested Appropriation
7192
7007
185
$ 22,795,848
$ 22,204,512
$ 591,336
* Dollar amount represents the same per-pupil allocation of $3,096 as was received in 2009-10.
Additional Required Expenses:
Employee Benefit Cost Increases•
0 Employee Health Insurance (Incr. of $402 per employee; from $4527 to $4929) $ 90,000
0 Employer State Retirement Match (8.75% to 10.51%) $ 175,000
Utility Services Increase: $ 127,542
0 Includes a 3.39% Consumer Price Index increase
0 Includes an increase for the additional Whiffed Building space
DSS Family Social Workers' Cost Increases• $ 68,000
0 Based on cost projection provided by D.S.S.
• Total Additional Required Expenses $ 460,542
Student Support Requests for 2010-11:
0 At-Risk Services
0 Exceptional Children's Academic Support Efforts
Total Additional Student Support Requests $ 130,794
Total Additional Appropriation Requested $ 591,336
Other Essential Student Support Needs of $263,000*
0 Gifted Program Enhancements
0 Increased Opportunities for Advanced Coursework
0 Summer Dropout Recovery
~ Academic Support for Suspended Students
• 0 ESL Intervention Program Enhancements
0 High School AVID Support
*To be funded through identified efficiencies and redirection of dollars
from other program areas.
4/21/2010 9
BUDGET SUMMARY BY PROGRAM REPORT CODE (PRC)
OCS 2010-2011 RECOMMENDED CURRENT EXPENSE BUDGET
2009-10 2010-11
• REVENUES Budget Budget
2.3250 Sales & Use Tax Revenues $ 95,665 $ • 96,013
2.3700 Medicaid Administrative 43,292 43,292
2.3700 Medicaid Direct Services 7,000 7,000
2.3700.309 Head Start 344,797 429,688
2.3700.413 More at Four 354,040 234,360
2.3700.341 REMS Grant 96,826 22,862
2.3700.342 LSTA -Library Grant - ALS 10,000 9,119
2.4110 County Appropriation 22,204,512 22,795,848
2.4110.007 County Appropriation -Health 494,000 494,000
2.4210 Tuition & Fees 30,960 41,664
2.4210.705 Tuition -Pre-K - 32,400
2.4410 Fines & Forfeitures 245,690 215,358
2.4420 Facility Use 80,000 90,000
2.4430.501 IWalk on the Eno-Burroughs Welcome - 43,464
2.4430.701 MSAS Community Schools 25,750 -
2.4440.611 ABC Revenues 27,000 27,000
2.4450 Interest 45,500 30,000
• 2.4490 Pazking Fee Revenues 16,000 16,000
2.4880 Indirect Cost 89,795 90,000
2.4890.007 Reimbursement -Nurses- County 187,037 173,220
2.4910 Fund Balance -Carryover 166,586 159,395
2.4910. Fund Balance -Appropriated 297,722 -
TOTAL REVENUES $ 24,862,172 $ 25,050,683
EXPENSES
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PRC 001
PRC 002
PRC 003
PRC 005
PRC 007
PRC 009
PRC 013
PRC 027
PRC 028
PRC 032
PRC 034
4/20/2010
Regular Classroom Teachers
Central Office Administration
Non-Instructional Support
School Building Administration
Instructional Support
Non-Contributory Benefits
Career and Technical Education
Teacher Assistants K-3
Staff Development
Exceptional Children
AIG
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2009-10 2010-11
Budget Budget
$ 6,171,971 $ 6,637,688
1,030,419 1,040,777
3,378,817 3,286,390
1,768,636 1,558,640
1,033,847 957,311
319,693 366,535
4,248 4,248
806,620 739,883
12,839 -
318,029 318,029
295,061 239,575
BUDGET SUMMARY BY PROGRAM REPORT CODE (PRC)
OCS 2010-2011 RECOMMENDED CURRENT EXPENSE BUDGET
EXPENSES CONTD.
2009-10 2010-11
Budget Budget
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PRC 036 Transfer To Charter Schools $ 808,056 $ 816,146
PRC 054 ESL 76,734 82,550
PRC 056 Transportation 1,102,706 652,706
PRC 061 Instructional Supplies 192,720 171,427
PRC 069 At Risk Student Services 80,000 200,000
PRC 103 Literacy Coordinator 42,890 43,737
PRC 309 Head Start 344,797 429,688
PRC 341 REMS Grant 96,826 22,862
PRC 342 LSTA -Library Grant ALS 10,000 9,119
PRC 413 More at Four 354,040 266,760
PRC 501 Iwalk on the Eno 60,661 95,600
PRC 509 HCS Study Grant 539 485
PRC 513 Project House 103,886 106,774
PRC 611 ABC 27,000 27,000
PRC 701 After School Program 150,000 150,000
PRC 706 Non-Yellow Bus 10,000 10,000
PRC 740 Facility Rental 15,822 15,822
PRC 801 Curricular Services 223,613 610,380
PRC 802 Operation of Plant 4,135,069 4,247,678
PRC 803 Human Resources 76,122 84,402
PRC 804 Financial Services ~ 403,208 400,882
PRC 805 Support Services 30,000 1,200
PRC 840 DSS Family Social Workers 286,000 354,000
PRC 851 Cultural Arts 43,389 46,907
PRC 854 Band 63,940 63,940
PRC 860 Athletics 598,623 606,271
PRC 861 Co-curricular Clubs 47,697 48,244
PRC 890 Board of Education 225,082 225,082
PRC 891 Executive Administration 38,000 36,000
PRC 9tJ0 Public Relations 74,572 75,946
GRAND TOTAL EXPENSES $ 24,862,172 $ 25,050,683
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Recurring Capital Annual Needs
Orange County Schools
Fiscal Year 2010-2011
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Capitalltem ~ Supt.
Recommend
Playground Maintenance $75,000
sbestos Inspections/Abatement $30,000
Bloodborne Pathogens Standard $12,00
Chemical Removal $7,60
Roof Repairs $50,00
Paint Schools $25,000
Parking Lot Maintenance $40,00
Pest Control $11,00
Landscaping $40,000
Cafeteria Hood Cleaning $10,00
Bleacher/Basketball Goal Maintenance $25,000
Fire Alarm Maintenance $18,00
Turf 8 Field Maintenance $40,00
Lawn Equipment Maintenance $7,80
Mobile Unit Rental $20,00
Carpet Cleaning-Systemwide $10,00
ehicle Replacement $59,563
Science Lab Maintenance $15,00
Computer Equipment Maintenance Contracts $70,00
Energy Management $25,00
New Classroom Setup $25,00
TOTAL RECURRING CAPITAL ANNUAL NEEDS $616,163
. Recurring Capital Health & Safety Needs
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Capital Item Supt.
Recommend
Floor Coverings 5200,000
Emergency Lights B Batteries $10,030
Maintenance Training & Safety Equipment 525,000
Environmental Maintenance 565,000
Satety Padding 512,000
Gymnasium Floor Resurfacing 515,000
Fencing $25,000
Restroom Maintenance $20,000
Security Cameras $100,000
TOTAL RECURRING CAPITAL HEALTH 8 SAFETY NEEDS $472,030
TOTAL RECURRING CAPITAL ANNUAL NEEDS $616,163
TOTAL RECURRING CAPITAL $1,088,193
Recurr;^g v2i^.1+2~
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OppRANppGE COUNTY SCHOOOLS nn
P11~0111TILEV CAPITAL BU^vG `T CV LV IV-LV~ i
PROJECT TITLE PROPOSED
FY 2010.2011
One Year Plan
Cameron Park Elementa
Chiller Re lacement 160,000
Central Elementa
Bathroom Renovations 120,000
Roof re lacement Section I 225,000
Efland Cheeks Elementa
Root HVAC Unit Re lacement 98,OOD
Grad Brown Elementar
Bathroom Renovations 120,000
Hillsborou h Elementa
Bathroom Renovations 95,000
New Ho a Elementa
Car et Removal 100,000
A.L. Slanback Middle
Auditorium Sound Abatement Panels 25,000
Car el Removal 100,000
C.W. Stanford Middle
Roof re lacement Sections 3A & 38 225,000
Oran a Hi h
Re lace G m Lockers 25,000
District
Technolo 354,118
Activit Bus 77 000
Whiffed Buildin Renovation 100,000
TOTAL EXPENDITURES 1,824,118
CIP REVENUE
Long -Range Capital -
Less: Construction Management Contribution
Net Long-Range Capital 1,647,118
New Middle School Bond 8 Alt. Financing
"'UNFUNDED"` 177,000
TOTAL CIP FUNDS AVAILABLE 1,647,118
3/15/207 0
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