1. School District Budgeting
School Finance:
A Policy Perspective, 4e
Chapter 8
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2. Class Outline Defining Budgets Approaches to Budgeting
Budget Planning and Preparation
Budget Adoption and Appropriation
Budget Implementation and Evaluation
Case Studies
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3. What is a Budget?
Budget (from French bougette, purse) generally refers to a list of all planned expenses and revenues. It is a plan for saving and spending.
Purpose is to:
Provide a forecast of revenues and expenditures i.e. construct a model of how our enterprise might perform financially speaking if certain strategies, events and plans are carried out.
Enable the actual financial operation of the business to be measured against the forecast
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4. What is a Budget?
A document which specifies the planned expenditures and anticipated revenues of a school district in a given fiscal year, along with other data and information relating the fiscal elements to the educational philosophy, programs, and needs of the district.
Hartman (1988)
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5. What is a Budget? Policy Document Financial Plan Operations guide
Communications Guide
Bennett, Hall and Berg (2006)
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6. Budget (Bermuda) Triangle
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7. Why Do We Need Budgets?
How do Public Budgets Differ from Private Company Budgets?
Why?
Should They?
What does a Budget Tell Us?
Why do we Care?
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8. Four Functions of a Budget
Policy Document
Financial Plan
Operations Guide
Communications Tool
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9. Four Functions of a Budget
Policy Document
Reflects philosophy of school committee, administration and community
Emphasizes that philosophy in terms of resources
Financial Plan
Past
Present
Future
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10. Four Functions of a Budget
Operations Guide
Fiscal accountability and TRANSPARENCY
Program accountability
Personnel accountability
Communications Tool
Identifies and describes the strengths and challenges of education program and services with the community
Shows how educational dollars are spent
Identifies the district’s programs and priorities
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11. Features of Classical Budgets
p. 237 O & P
Unity
Regularity
Clarity
Balance
Publicity
Operational Adequacy
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12. Class Activity for Saturday Jan 23, 2009
Groups review budgets
Consider the six features of Classical budgets
Determine if and how well budgets meet each of the six characteristics
Discuss strengths and weaknesses identified in the budgets
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13. Budget Philosophy and Formats
Line Item Budgeting
(Obj-function)
Sample Budget Template CDC
Program Budgeting
Zero Based Budgeting
Windsor Ontario Hospital
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15. School Site Budgets Using the Evidence Based Adequacy Model
Determine school characteristics
Number of students by grade
Percent free and reduced price lunch eligible (or poverty measure used in your state)
Percent English Language Learners (ELL)
Percent of students with disabilities that qualify for special education services
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16. School Site Budgets Using the Evidence Based Adequacy Model
Example using an Elementary School
Personnel Resources
Core teachers
K-3  1:15
4 5  1:25
Specialist 20% of core teachers
Instructional facilitators/coaches (1 per 200 students)
Tutors for struggling students (1 per 100 poverty students)
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17. School Site Budgets Using the Evidence Based Adequacy Model
Personnel Resources (continued)
Teachers for ELL (1 for every 100 ELL students)
Extended day (1/2 poverty enrollment at ratio of 1:15 at 0.25 FTE)
Summer School (1/2 poverty enrollment at ratio of 1:15 at 0.25 FTE)
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18. School Site Budgets Using the Evidence Based Adequacy Model
School Elements
Students with mild and/or learning disabilities (3 additional professional teacher positions per 432 students)
Students with severe disabilities (100 percent state reimbursement minus Federal funds)
Gifted Students ($25 per student based on total school enrollment
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19. School Site Budgets Using the Evidence Based Adequacy Model
School Elements (continued)
Pupil support staff (1 for every 100 poverty students)
Non-instructional aides (2 for every 432 students)
Librarian/medial specialist (1.0)
Principal (1.0)
School clerical staff (1 secretary [12 mo.] one clerical [9 mo.])
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20. School Site Budgets Using the Evidence Based Adequacy Model
School Elements (continued)
Professional development
Included in above estimates
Facilitators/coaches
10 summer days for planning and preparation
$100 per pupil for other PD expenses such as trainers, travel, conferences, etc.
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21. School Site Budgets Using the Evidence Based Adequacy Model
School Elements (continued)
Technology -- $250 per student
Instructional materials -- $140 per student
Student activities -- $200 per student
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22. Contents of a Typical Budget
Introduction
Financial Summary Information
Expenditures
Revenues
Personnel and Position Counts (FTEs)
Explanation of Expenditure Calculations
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23. ASBO MBA Budge Format and Elements
Introductory Section
Organizational Section
Financial Section
Information Section
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24. Budget Process Development of Budget Guidelines
Superintendent’s message
Budget Calendar
Guidelines for participation
Budget forms
Information on structure
Other information
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25. Budget Process Budget Preparation Enrollment History and Forecasting
Comparative projection
Extrapolation
Ratio and Correlation Methods
Component Analysis
Build out rates
Ultimate population analysis
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26. Budget Process Estimating Personnel Needs Certified Staff
Teachers
Other Certificated, Non-Admin. Staff
Site Administrators
Central Office Administrators
Classified Staff
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27. Budget Process Estimating Expenditures
Identify Specific Programs and Services Around Which Budget is to be Constructed
Specify Resources (Time, People and Materials) Needed to Implement Tasks Essential to Each Program
Estimate the Costs of the Resources Needed for Implementation
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28. Budget Process Expenditures Object Function Program
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29. Budget Process Estimation of Revenue Budget Modification
Property Taxes
State Revenue
Federal Revenue
Other Sources of Revenue
Budget Modification
Budget Adoption
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30. Distribution of Funds to School Sites
Staff
Total dollar budget
Personnel allocations based on staffing ratios
Non-staff (site or district?)
Technology
Transportation
Buildings and Grounds -Maintenance and operations
Risk management
Food services
Purchasing
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