Presentation on theme: "Plumas Lake Elementary School District 2009-10 First Interim Financial Report Governing Board Members Craig Bommarito Derek Bratton Merrilee Leinweber."— Presentation transcript:
Plumas Lake Elementary School District First Interim Financial Report Governing Board Members Craig Bommarito Derek Bratton Merrilee Leinweber Chuck MacKay David Villanueva Each student will reach their fullest potential as we strive for district excellence through sound leadership, effective communication, accountability, and investment in our staff.
Annual Financial Reporting Annual financial deadlines: Budget Adoption – June 30 Unaudited Actuals for prior year – October 15 First Interim – December 15 Second Interim – March 15 Third Interim – June 1 (required if negative or qualified certification)
First Interim Financial Report Education Code Section requires District to submit two financial interim reports to Yuba County Office of Education each fiscal year: First Interim: Financial transactions from July 1 to October 31 First Interim must be adopted by the Board prior to December 15 District must certify one of the following: Positive:District can meet its current year and subsequent two year obligations; Qualified:District may not be able to meet its current year and subsequent two year obligations; or Negative:District cannot meet its current year and subsequent two year obligations.
Budget Assumptions Budget AdoptionBudget Act (used for First Interim) COLA5.66%4.25%5.66%4.25% Deficit Factor11.428% ($ per $1.00) % ($ per $1.00 ) 7.844% ($ per $1.00 ) % ($ per $1.00 ) Revenue Limit (RL) Deficited RL Dollar loss per ADA $6, $5, ($725.38) $6, $5, ($1,185.35) $6, $5, ($497.89) $6, $5, ($1,210.95) Other Revenue Limit Adjustments per ADA ($249,055) State Categorical Programs % -4.46% (Transportation: -65%) %-4.46% (Transportation:- 19.8%) ARRA – SFSF (RL) $0 $234,292 $297,620$0 ARRA – SFSF (Categoricals) $0 $50,715$0
Budget Assumptions Budget AdoptionBudget Act (used for First Interim) ARRA – Sp Ed $81,444 $81,546$82,142 Lottery $ $11.50 $ $13.25 Routine Restricted Maintenance Contribution 1% Average Daily Attendance (ADA) Beginning Fund balance $1,677,314 $2,549,853
Fund Balance What is fund balance? Fund balance is the difference between the District’s assets and liabilities. Fund balance can be used to fund expenditures in the next fiscal period, however if used for ongoing costs, future budget decisions will revolve around finding resources to continue ongoing expenditures. Fund balance consists: Five percent reserved for economic uncertainty COP Debt Service Payment $476,315 Charter ADA Issue (appeal pending) $186,511 Balance designated for budget shortfalls and for categorical programs that are still restricted.
Why did the Fund Balance Increase? Budget AdoptionUnaudited ActualsDifference Beginning Fund balance July 1, 2008 $1,742,313 Revenue$7,727,520$8,244,359$516,839 ARRA Funds $348, mid-year cut $249,055 State/Local Revenue ($80,551) Expenditures$7,743,263$7,436,818$306,445 Ending Fund Balance June 30, 3009 $1,726,570$2,549,853$823,284
Revenue Sources Revenue Limit – State aid and property taxes – general purpose funding based on student attendance Federal – No Child Left Behind, Titles I, II, III, IV and V: special purpose funding State – categorical programs: special purpose funding Local – Special Ed revenue from Yuba County Office of Education, interest and facilities/other fees
Revenue Sources Board Approved Operating Budget Projected Year Totals (Revisions) Difference% Variance Reason Beginning Fund Balance $2,549,853 Revenue Limit Sources $5,632,572$5,601,991($30,581)-0.5%Applied new deficit factor, one-time ADA reduction & revised ADA Federal Revenue $452,004$223,033($228,971)-50.7% ARRA SFSF recognized last year Other State Revenue $919,838$912,729($7,109)-0.8% Transportation revised. CSR limitations and other adjustments to flexible categoricals Other Local Revenue $467,942$473,782$5,8401.2% Local revenue adjusted
Expenditures Certificated Salaries - teachers and administrators who provide services that require credentials from the State of California Classified Salaries – all support personnel in the District Benefits Retirement and statutory benefits: STRS and PERS, FICA/Medicare, Unemployment, Worker’s Comp Health/Dental/Vision - $10,000 cap Books and Supplies - Textbooks, workbooks, other classroom materials, custodial/maintenance/transportation supplies and office supplies Services and Operating Expenses – Travel, conferences, Dues and Memberships, Operations and Housekeeping, Rentals, Leases, Repairs, and non-capitalized improvements, Professional/Consulting Services and Operating Expenditures, Communications Capital Outlay - Land & land improvements; buildings & building improvements, books and media centers for new libraries, equipment and equipment replacements. Other Outgo: Payments to County Offices for Special Ed excess program and transportation costs Debt Service payments Indirect Costs Other Financing Sources/Uses Interfund Transfers Out – Deferred Maintenance and Cafeteria
Expenditures Board Approved Operating Budget Projected Year Totals (Revisions) Difference% Difference Reason Certificated Salaries$3,053,502$3,202,627$149,1254.9%Added 3 FTE teachers; home school teacher; extra stipends (BTSA and extra duties) Classified Salaries$1,218,379$1,199,562($18,817)(1.5%)Adjusted salaries to contracts. Categorical budgets adjusted. Employee Benefits$1,525,290$1,568,926$43,6362.9%Added 3 FTE teachers and adjusted benefits Books and supplies$315,230$335,088$19,8586.3%Additional funding for Math adoption and categorical funding adjusted. Services/Other Op Expenses $1,164,609$1,179,670$15,0611.3%Adjusted leases to buy-out copier lease and adjusted to professional and consulting services Capital Outlay$6,600$0$6,600(100%)Moved to debt service payment to other outgo Other outgo$274,311$280,911$6,6002.4%Moved debt service payment Transfers of Indirect Costs ($17,232)($17,751)$5193.0%Based on Fund 13 expenditures Other Financing Sources/Uses ($14,173)($42,250)($28,077)Eliminated contribution to Cafeteria Net Increase (Decrease) in Fund Balance ($54,160)($495,248) Ending Fund Balance$2,495,693$2,054,605Economic Uncertainty – 5%; COP/Charter payments/Categorical carryover
Multi-year projections CBEDS for elementary schools – 1046 ADA projections for and two subsequent years Projected COLA and deficit for subsequent years : 0.50% with deficit factor of ; 0.50% COLA for State categoricals : 2.30% with deficit factor of %; 2.30% COLA for State categoricals No changes to STRS, PERS, FICA/Medicare, Unemployment, Worker’s Comp and Health benefits COP debt service payment not reflected in projections District will be deficit spending for current year and two subsequent years District will meet minimum recommended reserve for economic uncertainty requirement for and subsequent two fiscal years
Multi-year Projections Description Revenue$7,253,785$7,419,385$7,560,257 Expenditures and other financing uses $7,749,033$7,886,282$8,085,417 Net Increase/Decrease in Fund Balance ($495,248)($466,897)($525,160) Fund balance$2,054,605$1,587,709$1,062,549 Designated for Economic Uncertainties $385,339$394,315$404,271 Other designations$1,664,165$1,188,295$653,178
Fund 13 Cafeteria Fund Costs associated with pending CSEA contract: Increase Food Services Worker II from Range 6 to 9: Salaries: $10,545 Statutory Benefits: $2,134 Indirect Costs: $573 Total Increase: $13,252 Note: Fund 13 budget was adjusted to include these costs
Cafeteria Fund – Fund 13 Board Approved Operating Budget Projected Year Totals (Revisions) Difference% Difference Reason Beginning Fund Balance $34,842 Revenue$382,000$397,000$15,0003.9%Increased free/reduced price meals and decreased paid meal based on Aug-Oct actuals Expenditures Classified salaries$138,207$143,787$5,5804.0%Adjusted salaries to contracts Employee Benefits$50,788$45,281($5,507)-10.8Adjusted benefits to contracts Supplies$198, Services/Op Expenses$5,840$5,623($227)-3.9%Direct costs – Fund 01 Other Outgo$17,232$17,751$5193.0%Indirect – 4.52% of total expenses Transfers In$28,077$0($28,077)-100%Decreased contribution from General Fund Net Increase (Decrease) in fund balance $0($13,442) Ending Fund Balance$34,842$21,400
Deferred Maintenance – Fund 14 Board Approved Operating Budget Projected Year Totals (Revisions) Difference% Difference Reason Beginning Fund Balance $112,778 Revenue$3,500 0-State apportionment unrestricted Expenditures Materials and Supplies $10, Services/Op Expenses $19, Transfers In000-Contribution from GF not required until Net Increase (Decrease in fund balance) ($26,500) Ending Fund Balance $86,278
Fund 25 – Capital Facilities Board Approved Operating Budget Projected Year Totals (Revisions) Difference% Difference Note Beginning Fund Balance (includes reserves for debt service payment with Trustee $319,882 Draft audit adjusts beginning Fund Balance Revenue$218,670 0-$188,985 (Impact Fees Y-T-D) Expenditures Services/Other Op Expense$75,000 0 Other outgo$476,315 0-Auditors may ask us to move to Fund 52 Other financing sources$343, Net Increase (Decrease) in Fund Balance $11,220 Ending Fund Balance (includes reserves for debt service payment with Trustee) $331,102 With adjustment new fund balance $910,882
Debt Service Fund - Fund 52 Board Approved Operating Budget Projected Year Totals (Revisions) Difference (Projected – Approved) % Difference Notes Beginning Fund Balance (includes reserves for debt service payment with Trustee $1,059,723 Revenue$672,925$678,925$6,0000.9%Legal fees reimbursed Expenditures Other outgo$524, Other financing sources$347,115 0 Transfer to Fund 01 and 25 – Debt Service, admin, legal fees for CFD expenses Net Increase (Decrease) in Fund Balance ($198,828)($192,828) Ending Fund Balance (includes reserves for debt service payment with Trustee) $860,895$866,895$469,121 w/ trustee
Fund 52 Multi-year Projections Description Projected Budget Beginning Fund Balance$1,059,723$866,895$803,207 Revenue$678,925$672,925 Other Outgo (debt service)$524,638$524,613$519,988 Other financing uses (transfers for COP payment) $347,115$212,000$152,500 Net increase (decrease) in Fund Balance ($192,828)($63,688)$437 Ending Fund Balance$866,895$803,207$803,644 Cash with fiscal agent$469,121$470,000 Needed for August Debt Service Payments of following year $322,307$319,995$322,382 Balance - Other designations$75,467$13,212$11,262
Long-Term Commitments Type of Commitment Fund# of Years Remaining Principal Balance as of July 1 Funding sourcesCurrent Year Annual Payment CFD #1, Series $4,640,000Mello Roos Taxes$308,075 CFD #1, Series $2,525,000Mello Roos Taxes$126,250 CFD #2, Series $1,260,000Mello Roos Taxes$90,313 Certificates of Participation 25 and 01 28$6,945,000Developer Fees$476,315
Other Concerns Governor recently announced $7B budget gap. Mid-year cuts expected. District using one-time money for ongoing costs. How long will the economic crisis last? Contribution from Fund 52 to cover COP payment decreases over the next two years. COP payment is an obligation of the General Fund.
District Certification of Second Interim Certification of Financial Condition: Positive certification Based upon current projections, District will meet financial obligations for the current fiscal year and subsequent two fiscal years: Deficit spending Minimum reserve required for economic uncertainty District will be making further reductions Board approval of First Interim Financial Report