1. Presented to the Board of Education April 20, 2017
Proposed Budget
FY Draft
Presented to the Board of Education April 20, 2017

2. Superintendent’s Message
We believe in our students.
Working with our partners, Durham Public Schools will be singularly focused on improving academic outcomes for every DPS student.

3. Superintendent’s Message
Challenges:
Enrollment growth in Durham Public Schools has begun to decline even as charter school enrollment has increased.
DPS can no longer rely on its fund balance to sustain operational funding.
A statutory change in K-3 funding formulas from the state could have a devastating impact on elementary programs.
In response to these challenges and in order to maintain financial support for district priorities, Durham Public Schools proposes a combination of revenue increases and program reductions in order to balance the budget.

4. Budget at a Glance $429.6 Million Dollar Proposed Budget
$138.5 Million Dollar Local Budget
Funds 4,586 Positions
770 Local Paid Positions
294 Local Paid Teachers
Matches state projected raises

5. Budget at a Glance

6. Budget at a Glance

7. Potential Budget Risk House Bill 13 – K-3 class size impact bill
If not passed, will require class size changes that will cost the district $6 million
The cost will be to hire 100 more classroom teachers, or
Impact elementary art, music and physical education classes.
Utility rate increases?
State legislated compensation increases beyond estimates
State employer benefit rate increases beyond estimates
Charter School funding changes  Unpredictable impact
Whitted School

8. Proposed Budget FY 2017-18 Summary

9. DURHAM COUNTY STUDENT GROWTH
ADM / Enrollment
DURHAM COUNTY STUDENT GROWTH
Note: through are 20 day numbers, are projected enrollment numbers for DPS and Charter Schools.

10. Revenue Local - County $120,554,667 28%
Funding Sources (Estimated)
Amount
% of Total
Local - County
$120,554,667
28%
¼ Cent Sales Tax Revenue for Operations
9,022,900 2%
DPS Local Revenues - $6.1M (E-Rate, Medicaid, Fines and Forfeitures, and Indirect Cost)
8,114,407
DPS Local Revenues - Fund Balance
784,935 0%
Capital Outlay (Includes $2M State Lottery)
3,778,503 1%
School Construction Bonds
31,031,721 7%
State Revenue
203,547,539
48%
Federal Revenue
25,252,599 6%
Child Nutrition
17,221,380 4%
Community Ed/ Grants (includes $508,140 of ¼ cent sales tax and $1.5M for Whitted operational cost)
10,302,613
Total- All Funding Sources
$429,611,264
100%

11. Proposed Budget New Money Request and Potential Risk
Growth – Net DPS/Charter Schools $ 630,000
Salary, Supplement and Benefit Increases $2,300,000
Fixed Cost $ 550,000
Benefits
Utilities
Contracts
Total New Money Request Operations $3,480,000
Request for Whitted $1,500,000
Total Request $4,980,000
Potential Risk -K-3 Class size requirement $6,000,000

12. Budget Increases and Fund Balance Dependency
Fixed Cost $ ,000
Charter Schools Growth (380 students) ,186,300
Charter School Percentage of New Funding ,719
Available for Salary and Benefit Increases ,113,301
Total $3,480,000
Fund Balance Dependency for $784,935

13. Budget Reductions and New Money
Central Services Reductions $8,093,008 School Building Reductions $3,148,006 Total Reductions $11,241,014 New Money Request Operating $3,480,000 Whitted Operations $1,500,000 Total $4,980,000 Total Reductions and New Money $16,221,014

14. Deferred Needs New or expanding programs Extra-curricular funding
Parental leave
Teacher compensation extra-duty
Substitute pay
Teacher recruitment
Bus driver incentives/pay increases
Living wage

15. Budget Timeline
April 20 - Draft –Superintendent’s Message and Proposed Budget
April 27 - Superintendent’s Message and Proposed Budget
May 4 - Budget Hearing/Special Called Meeting Budget Approved
May 15 - Budget Delivered to County
May 22 – County Manager’s Budget Presentation
May/June ??? – Board of Education Budget Presentation to the County
June 12 – County Budget Hearing
June 26 – County Budget Approval

16. Questions: