1. COATESVILLE AREA SCHOOL DISTRICT 2014 – 2015 Preliminary Budget Dr. Leonard Fitts, Acting Superintendent Ronald Kabonick, Business Administrator Presented: January 14, 2014

2. It is all right to disagree with one another as long as we respectfully disagree with one another Regardless of socio-economic background, children have the ability to achieve It's less about the amount of money and more about the value system a child grows up in. Money doesn’t solve all of our problems

3. Resource of Information http://www.pde.state.pa.us

4. Budget Requirements  Follow the Act 1 regulations  Adopt a budget by June 30, 2014  Follow PA Department of Education Regulations  Adopt the budget on the Required PDE Form PDE-2028

5. Understanding The Act 1 Index The base index is calculated by averaging the percent increases in the Pennsylvania statewide average weekly wage and the Federal employment cost index for elementary/secondary schools. Additionally, for school districts with a market value/personal income aid ratio (MV/PI AR) greater than 0.4000, the value of their index is adjusted upward by multiplying the base index by the sum of 0.75 and their MV/PI AR. Coatesville = 2.1% x (.75+.5081) = 2.6%

6. Act 1 Index History

7. Preliminary Budget Assumptions Level funding of basic education and special education state subsidies PSERS rate increased of 4.5% No line item allowances for future bargaining agreements being negotiated Anticipated tax increase is included within the revenues Keystone To Opportunity Grant is not included

8. Funding The Budget

9. Revenue Sources

10. Where Does The Money Go?

11. Expenditures by Object

12. Services Provided

13. Future Challenges  Cost of Special Education Services  Funding of Charter Schools  Unfunded Mandates  Limited Resources  PA School Employees Retirement System

14. PA School Employee Retirement System (PSERS) Rate

15. PSERS Projections

16. Revenue Value of The Act 1 Index

17. Understanding The Anticipated Tax Increase How do I calculate the 2.6% anticipated tax increase? Current Mills31.1926 Increase of 2.6%0.8110 Total Mills32.0036 What does this mean to the average taxpayer? Average AssessedPer $1,000 of Residential ValueAssessed Value $106,264.79$1,000 Mill0.001 Millage Increase0.8110 Projected Median AV Tax Increase$86.18$0.81 Does a 2.6% tax increase mean my tax bill will increase by 2.6%?YES Without Tax Inc.With Tax Inc. Assess Value$106,264.79 Mill0.001 Millage31.192632.0036 Total Face Value of Tax Bill$3,314.68 $3,400.86 Tax Increase in Dollars $86.18 Tax Increase In Percentage ($86.18 / $3,314.68) 2.6%

18. Chester County School Districts

19. Budget Calendar

20. QUESTIONS AND CONCERNS?