2. PROPOSED FINANCIAL PLAN FOR FISCAL 2016-2017 BUDGETED FUNDS SUMMARY 2014-2015 2014-20152015-20162016-2017% BY FUND: ACTUAL ACTUALREVISEDPROPOSEDInc(Decr) OPERATING FUND $ 128,121,458 $ 128,121,458 $ 132,397,991 $ 132,397,991 $ 137,852,628 $ 137,852,6284.12% GRANTS FUND 8,267,079 8,267,079 11,598,597 11,598,597 0.00% FOOD SERVICES FUND 7,159,106 7,159,106 7,478,228 7,478,228 8,134,000 8,134,0008.77% $ 143,547,642 $ 143,547,642 $ 151,474,816 $ 151,474,816 $ 157,585,225 $ 157,585,2254.03%

3. INCREASE IN REVENUE: Basic Aid Increase $1,298,828 Basic Aid Increase $1,298,828 Sales Tax Estimated Increase 904,499 Sales Tax Estimated Increase 904,499 At Risk - add on 443,914 At Risk - add on 443,914 Remedial Summer School * 365,789 Remedial Summer School * 365,789 Fringe Benefits state portion of rate increases * 571,825 Fringe Benefits state portion of rate increases * 571,825 Regional Special Ed tuition (SECEP)* 219,994 Regional Special Ed tuition (SECEP)* 219,994 Additional Instructional Positions (12) * 500,437 Additional Instructional Positions (12) * 500,437 Other programs Net of increases/decreases 64,517 Other programs Net of increases/decreases 64,517 Total increase state revenue 4,369,803 Total increase state revenue 4,369,803 Additional Local Appropriation Request 1,000,000 Total Increase in Revenue $5,369,803 Total Increase in Revenue $5,369,803 * Expenses must also increase to mandated levels changed by State * Expenses must also increase to mandated levels changed by State * Note: State Revenue is based on ADM of 13,800 students * Note: State Revenue is based on ADM of 13,800 students

4. CHANGES TO REVENUE: At Risk - add on $ -360,864 At Risk - add on $ -360,864 VA Preschool Initiative -129,430 VA Preschool Initiative -129,430 Regional Special Ed tuition (SECEP) -67,806 Regional Special Ed tuition (SECEP) -67,806 Reduction in Additional Positions -23,647 Reduction in Additional Positions -23,647 Difference Basic Aid/Sales Tax adjustmt -42,561 Difference Basic Aid/Sales Tax adjustmt -42,561 Compensation Supplemental (2%) 616,665 Compensation Supplemental (2%) 616,665 Increased rate Group Life* 18,191 Increased rate Group Life* 18,191 K-3 Class Size Reduction 67,226 K-3 Class Size Reduction 67,226 Total Change Revenue 77,439

5. G.A. CHANGES TO EXPENSE: G.A. CHANGES TO EXPENSE: Group Life Rate Increase $ 42,876 from 1.18% to 1.23% of payroll 2% required Salary increase: 601,279.5% increase in Support COLA Change Teacher Scale 3% raise Total increased expense 644,155

6. Proposed Increase in Expenses # FTE Positions Governor's Proposed Teachers 660,000 660,00012 Increases/Additional Software 83,215 83,215 Textbook Allotment 288,997 288,997 Purchase Services 302,709 302,709 Remedial Summer School 415,784 415,784 Part-time increases 1.5% (most) 175,000 175,000 Phase II, part II and Phase IV 262,148 262,148 Maintain Teachers’ Scale 1,308,134 1,308,134 Step Raise Support Staff 657,100 657,100

7. Proposed Increase in Expenses Testing Coordinators (10 mo. to 11 mo. ) 22,700 Full-time Graduation Coaches 165,0003 Literacy Teachers Middle School (4) 00 English Specialist 95,0001 Alternative Ed Special Ed Teachers (3) 165,0003 Compliance Specialists Special Ed (2) 00 Increase Allocations to Schools by 20% 79,221 # FTE

8. Proposed Increase in Expenses Additional Professional Training 9,500 9,500 Purchased Services 41,433 41,433 Increases in Dues & Subscriptions 6,746 6,746 Materials and Supplies 31,800 31,800 Additional Testing Materials 33,600 33,600 Total Proposed Budget Increase $5,447,242 $5,447,242 19 19 # FTE Positions

9. Revenue and Expense Fiscal 2016-2017 Revenue$137,775,189 General Assembly net increase77,439 Total Revenue$137,852,628 Expense $137,775,189 Expense Reductions-566,716 Expense Inc. (state raise/group life)644,155 Total Expense$137,852,628 4.12%