1. Douglas County School District Re.1
Preliminary Budget
Fiscal Year 2010 – 2011
Presented to the Board of Education
Tuesday April 20, 2010

2. BOE Presentations April 20, 2010 ~ Tonight May 18, 2010 June 15, 2010
Preliminary General Fund Budget
May 18, 2010
Proposed General Fund Budget
Proposed Non-General Fund (“Other”) Budgets
June 15, 2010
Adoption of all Funds: FY 2010 – 2011 Budgets
Per the April 20th meeting:
-Incorporation of BOE approval of pre-existing and new fees
-Incorporation of BOE approval of sharing of Mil Levy Override with Charters (needs to be easily found) within the BOE packet

3. Tonight’s Agenda District’s Budget Requirements Compliance
Colorado and Federal Law
Board Goals and Executive Limitations
Preliminary General Fund Budget

4. The District’s Budget Requirements
Colorado Law requires a district’s annual budget to be balanced and that a district not overspend appropriated monies.
The budget must be adopted no later than June 30th.
The Board’s Policy Book sets as a goal that the district demonstrate efficient use of its personnel, financial, technological and physical assets. To that end, the superintendent shall not fail to direct the resources of the district to most effectively enhance student potential.

5. Compliance with Board Goals & Executive Limitation EL 1
Compliance with Board Goals & Executive Limitation EL 1.5 Financial Planning & Budgeting
Financial planning may not deviate materially from the Board’s Ends priorities, risk financial jeopardy or fail to be derived from a plan projecting at least five years.

6. FY 2010-2011 General Assumptions
Non-Appropriation of the lease for HR North/Center for Staff & Community Development
Going Forward:
Revenue decreasing
Expenses increasing
Compensation
-No salary changes
-Pay for Performance to HAS
-Dental/Vision to HAS
Mil Levy Override Sharing:
3 year phase in
Fees:
3 new ones
Non-appropriation:
Future year reductions maintain an operating practice of awarding compensation based upon:
-Loss of state funding (again) in FY
-Steps and COLA
-Staffing for growth in pupil counts
-Increasing select operational line items by inflation / cost expectation
-Does not include $ for staff currently paid from Bond fund
-Any other assumption that would have a significant impact upon our future year forecasts but does not include anything in regard to Proposition 101 for A-60 or A-61

7. Reductions/Revenues for FY 2010-11
SUMMARY
Central Offices/Services
$7,875,000
Program Reduction/Reorganizations
$5,350,000
School-Based Funding
$15,500,000
Compensation
$6,500,000
Pay for Performance
$4,200,000
TOTAL
$39,425,000
Fees for Services
$3,300,000
TOTAL REDUCTIONS/REVENUES
$42,725,000

8. General Fund Five Year Financial Projection for FY 2009-10 and FY 2010-11
Model #3: Budget Current Assumptions, Revenue Reduction, Cuts, No Overrides
Revenue Assumptions:
PPR Increase / (Reduction) (6.10%) (6.00%)
Fees Increase / (Reduction)
Technology $1.3M flat flat = $1.3M total per year
Transportation
Student Activity / Athletic $1M flat flat = $1M total per year
Expenditure Assumptions:
SBB Increase / (Reduction) Per Pupil ($250) ($250) $33.43
Salaries Increase / (Reduction)
CPI % % % Wage Freeze
Steps % % % No Steps
Furlough Days Total of 4 Days
Staffing Increase / (Reduction)
Growth No No No Hiring feeze
Pay For Performance Medical Medical Cut No P4P FY'12/13
Medical % % %
Dental % % %
Vision % % %
Transfer Increase / (Reduction)
Capital ($4M) ($4M + $2M) flat Total of ($6M)
Insurance ($130K) flat flat
Student Activity / Athletics ($1M) flat flat Offset by Fee Increase
Charter School Mil Levy Increase / (Reductions) $1.7M flat flat
Operating Increase / (Reductions) ($3.2M) flat flat
Letter of Credit $12.7M flat flat
Total Change in Compensation Increase / (Reduction)
Dollars (Inclusive of Prior Year) ($22.4M) ($44.6M) ($64.2M) Difference between Model #1 and Model #3
Percent (Inclusive of Prior Year) (6.38%) (12.13%) (16.58%) +(12.13%)-(6.38%)= 5.75%
SBB Reduction Results in FTE Decrease**
Elementary (1.66 FTE) +(1.66 FTE) No assumption of how the increase in
Middle (2.60 FTE) +(2.60 FTE) SBB will be spent for 12/13
High (4.57 FTE) +(4.57 FTE) -
SBB Reduction Results in Class Size Increase**
Elementary Pupils +2 Pupils -
Middle Pupils +3.2 Pupils -
High Pupils +3.5 Pupils -
**Based on 80% of SBB in Certified Reduction

9. Pending Items for FY2010-11 School Finance Act Federal Dollars
Assessed Valuation Uncertainty
Health Insurance Changes
Negotiations Resolutions
State Economic Situation
November Initiatives

10. Next Steps Finalization of School Finance Act Negotiations
Insurance Plan Changes
Updated Three Year Projections
Proposed Budget for May 18, 2010