1. BUDGET UPDATE May 21, 2019 For 5/21/19 Budget Work Session
Submitted by Emily R. Temple, Dir. of Finance
For 5/21/19 Board Meeting Submitted by Emily R. Temple, Dir. of Finance

2. Colleton County School District Information 135th day March 28, 2019
Enrollment on 135th day=5,517
Average Daily Membership on 135 day for FY19=5,264
Weighted Pupil Units on 135 day for FY19=7,681
Student enrollment for FY20 expected to remain comparable to FY19
Last meeting I shared some year to date information, this meeting I would like to share some additional statistics
5264-chronic absenteeism
For 5/21/19 Board Meeting Submitted by Emily R. Temple, Dir. of Finance

3. Base Student Cost

5. State Funding of Base Student Cost
BSC has not been fully funded since FY1998
FY2020 BSC should be $3,095 but is proposed to be funded at $2,487.
This represents a loss of $2,909,047 for next year.
FY19 BSC should be $3,095, District BSC is actually approximately $1700 per weighted Pupil Unit
For 5/21/19 Board Meeting Submitted by Emily R. Temple, Dir. of Finance

6. LEGISLATIVE MANDATES
Raise base teacher salary to $35,000 and fund 4% salary increase to certified staff, nurses, occupational therapists, and physical therapists
$1,396,829
1% increase for employer contributions to retirement $289,002
Total $1,685,831
Based on current FY19 staffing of Teachers, guidance, librarians, $1,359,456 includes salary and FICA,$14,328 for OT/PT 4%, 23,045 for 4% to nurses
289,002 is 1% of $28,900,219 total salaries estimate
For 5/21/19 Board Meeting Submitted by Emily R. Temple, Dir. of Finance

7. DISTRICT OBLIGATIONS Increase to Instructional Supply Requests $20,185
Based on per pupil allocations of $25-4k, $75-ES, $85-MS,$135-HS, $100-VOC/FY Day ADM
Increase to Legal Services $20,000
Increase to District Maintenance Contracts $24,095
Increase to Maintenance/Housekeeping $55,412
Insurance Premium Increases $233,361
Insurance Reserve Fund Property Premiums, Workers Comp Premiums, Prepaid legal policy increase
Maintenance Contacts-Carpet cleaning, uniforms, landscaping, camera licenses
$30,000 for HVAC filters, $25,412 increase to housekeeping contract
Insurance premiums- 20% increase IRF, 10% increase Workers Comp, $3,500 prepaid legal
For 5/21/19 Board Meeting Submitted by Emily R. Temple, Dir. of Finance

8. CONTINUOUS IMPROVEMENT NEEDS
Reduce class sizes in grades K-6th $371,984
Addition of 7 FTEs
Grade
Staffing Guidelines
Proposed
K-5
28:1
25:1
1st-3rd
20:1
4th-5th
6th
To achieve proposed ratios would require the addition of 7 FTE’s
We will be adding a 6th grade teacher at the middle school and 5 other FTE’s to reach the proposed ratios
2 K-5 teachers, 3 2nd grade teachers
For 5/21/19 Board Meeting Submitted by Emily R. Temple, Dir. of Finance

9. CONTINUOUS IMPROVEMENT NEEDS (Continued)
Continue Classified Salary Scale Revisions $186,085
Step increase and restored step to classified staff $516,920
Expand Mental Health Counseling Support $50,000
Additional School Resource Officers $130,000
Addition of 2 SRO’s, $65,000 each
Increase teacher salaries by 5% included in Draft 1 Option $745,622
Raises base teacher salary from $35,868 to $38,500
1/3 classified staff needs to be moved to revised scale , figures include fringe
2/3 classified staff were moved to revised scale last year, figures include fringe
Per board’s request we were asked to determine the cost for additional 5% raise to teachers
For 5/21/19 Board Meeting Submitted by Emily R. Temple, Dir. of Finance

10. General Fund Revenue Accounts Current Budget FY19 Proposed Budget FY20
Increase/(Decrease)
Local Property Taxes/Revenue in Lieu of Taxes
15,161,681
15,502,335
340,654
Other local revenue
12,600
15,000
2,400
Indirect Costs
150,000
135,000
(15,000)
Tier I, II, III Residential Exemption
5,561,505
5,771,038
209,533
Other state revenue in lieu of taxes
317,471
334,398
16,927
Bus Drivers Salaries & Fringe
1,007,457
863,548
(143,909)
Fringe Benefits
7,496,728
7,211,796
(284,932)
EFA
13,522,073
13,027,306
(494,767)
EIA Teacher Salary & Fringe
1,373,146
1,400,501
27,355
State Aid to Classrooms for 4% teacher salary increase
1,008,057
PEBA Credit
318,507
Other federal revenue
50,000
75,000
25,000
TOTAL REVENUES
$44,971,168
$44,662,486
$691,318
HAND OUT

11. Summary of Revenues and Expenditures Draft 1 Option 1
Total Change in Revenues for General Fund
$318, 507 is reclassification of payments to PEBA, net increase is $691,318
$1,009,825
Salaries
(1,752,208)
Contract Services
(130,000)
Instructional Supply
(20,185)
Administrative Services
(5,000)
Maintenance
(79,507)
Fringe Benefits
$318, 507 is reclassification of payments to PEBA, net increase is $276,411
(594,918)
District Insurance
(233,361)
Total Difference
(1,805,354)
This is a snap shot of the effects of all that we have discussed on the FY20 budget.
For 5/21/19 Board Meeting Submitted by Emily R. Temple, Dir. of Finance

12. Summary of Revenues and Expenditures Draft 1 Option 2
Total Change in Revenues for General Fund
$318, 507 is reclassification of payments to PEBA, net increase is $691,318
$1,009,825
Salaries
(2,321,311)
Contract Services
(130,000)
Instructional Supply
(20,185)
Administrative Services
(5,000)
Maintenance
(79,507)
Fringe Benefits
$318, 507 is reclassification of payments to PEBA, net increase is $276,411
(761,437)
District Insurance
(233,361)
Total Difference
(2,550,976)
This is a snap shot of the effects of all that we have discussed on the FY20 budget.
Questions
For 5/21/19 Board Meeting Submitted by Emily R. Temple, Dir. of Finance

13. Options to Balance our Budget
For 5/21/19 Board Meeting Submitted by Emily R. Temple, Dir. of Finance

14. Analyze staffing for potential reductions
Evaluate the impact of outgoing and incoming staff
Reduce proposed continuous improvement expenditures
Examine impact to fund balance
Consider board resolution for millage increase request
For 5/21/19 Board Meeting Submitted by Emily R. Temple, Dir. of Finance

15. Reduce Expenditures District Obligations Continuous Improvement Needs
Instructional Supply $20,185
Legal Services $20,000
District Contracts $24,095
Maintenance/Housekeeping $55,412
Insurance Premiums $233,361
Reduce class sizes $371,984
Class. Salary Revisions $186,085
Step/Restored step to Class $516,920
Staff
Mental Health Support $50,000
Additional SRO’s $130,000
Option 2-Raise base to $745,622
$38,500
If we implemented the local revenue millage increase of $598,155 and did not do any of the continuous improvement expenses we would be at a balanced budget.
For 5/21/19 Board Meeting Submitted by Emily R. Temple, Dir. of Finance

16. Analyze staffing for potential reductions
Evaluate the impact of outgoing and incoming staff
Reduce proposed continuous improvement expenditures
Examine impact to fund balance
Consider board resolution for millage increase request
For 5/21/19 Board Meeting Submitted by Emily R. Temple, Dir. of Finance

17. FUND BALANCE –FISCAL ACCOUNTABILITY
Districts must maintain a minimum fund balance of 8.33% of total general fund expenditures to avoid Fiscal Watch designation
Fund Balance, Beginning
Increase/ (Decrease)
Fund Balance, Ending
General Fund Expenditures
Fund Balance as a % of GF Expenditures
Projected
June 30, 2019
$4,247,574
$161,331
$4,408,905
$43,895,405
10.04%
June 30, 2018
$3,613,186
$634,388
$43,052,494
9.87%
June 30, 2017
$3,046,211
$566,975
$ 42,507,498
8.50%
June 30, 2016
$2,780,406
$265,805
$40,504,654
7.52%
GFOA recommends it be at approximately 20% or 2 months operating expenditures
Continuing to increase the fund balance reflects positively on the governance of the board and helps our credit rating for the bond market
For 5/21/19 Board Meeting Submitted by Emily R. Temple, Dir. of Finance

18. Analyze staffing for potential reductions
Evaluate the impact of outgoing and incoming staff
Reduce proposed continuous improvement expenditures
Examine impact to fund balance
Consider board resolution for millage increase request
For 5/21/19 Board Meeting Submitted by Emily R. Temple, Dir. of Finance

19. FY20 LOCAL REVENUE OUTLOOK
Increase Operating Millage
PRIOR YEAR MILLAGE RATE
MILLAGE CAP %
MILLAGE CAP IN MILS
MILLAGE INCREASE
FINAL MILLAGE RATE
MILLAGE NOT RECEIVED
VALUE OF A MILS MIL=$135,636
Tax Year 18
110.43
1.74%
1.92
0.00 $
Tax Year 19
2.13%
2.35 3
113.42
1.44
$ ,316
Tax Year 20
2.62%
2.97
$ ,839
TOTALS
4.44
$ ,155
We requested an increase from county council and was granted 3 mils last year. We have 1.44 remaining and an additional 2.97 mils that could be levied for this tax year. Total available mils is 4.37 for $598,155. Approximately $25 on $100k property
2.44% CPI, .18% population growth FOR YOUR CONSIDERATION.
For 5/21/19 Board Meeting Submitted by Emily R. Temple, Dir. of Finance