1. 2013/ 2014 General Fund Budget November 12, 2012 First Draft

2. Challenges Many unknowns as of November 12, 2012: Health insurance costs Retirement Insurance Utilities State subsidies Federal grants Contract negotiations

3. Assumptions Teachers’ salaries Net decrease due to retirements Admin, Instructional Assistants and Support Staff Used 3% increase on 2012/13 pay rates Medical & prescription benefit cost 12% increase on 2012/13 rates PSERS used 16.75% vs. 12.36% current employer rate Increase in Professional & Technical Services for testing of aging transformers Increased supplies for program growth – BFO, Computerized Drafting & Engineering Graphics, Web Design and new half day program – Administrative Sciences & Business Technology Utilities – electricity rates will be lower in 2013/14

4. Status Budget-to-budget increase $199,230 2013/142012/13$% General Fund$8,524,028$8,324,418$199,6102.40% Authority Lease$1,467,119$1,467,499 ($380)(0.03%) Total Expenditures$9,991,147$9,791,917$199,2302.03%

5. Components of Increase Net decrease salaries & wages $ (11,547) Net decrease health insurance & contract benefits (37,916) Increase on account of employer’s PSERS rate 191,974 Net decrease Purchased Property Services (16,858) Net increase Other Purchased Services 14,860 Net increase program supplies 24,415 Decrease in electric and gas utilities (20,000) Net increase in non-instructional supplies 17,680 Increase in equipment – classroom & IT 10,000 All other – net 27,002 Total $199,610

6. Projected Revenue Member School District Contributions for 2013/14: 2013/142012/13$% General Fund$7,205,728$7,171,968$33,7600.47% Authority Lease$1,467,119$1,467,499 ($380)(0.03%) Total Expenditures$8,672,847$8,639,467$33,3800.39%

7. State & Federal Revenue Increase from state subsidies is primarily due to increased employer contribution for PSERS Total state $893,000 vs. $799,000 Increase from federal sources reflects increase funding for Carl D. Perkins Grant for 2012/2013 Total federal $320,000 vs. $244,150 Actual 2012/2013 = $318,270

8. Next step Gather more information Look for budget savings Goal – to be within ACT 1 Index Next presentation: February 11, 2013