1. FY 2009 Budget and Five- Year Forecast Presentation October 21, 2008 Licking Heights Board of Education Regular Board Meeting

2. General Property Tax (Real Estate) Tax Year 2008 = Triennial Update  Ohio Department of Taxation - Flat lined for residential in both counties and in commercial/industrial in Licking County  Agricultural (CAUV) expected to grow by approximately 30% due to change in calculation of taxes  Small increase in commercial/industrial expected in Franklin County

3. General Property Tax (Real Estate) New construction for future years reduced based on current market decline Tax year 2011 = Reappraisal  Based on current economic situation, increase due to reappraisal greatly reduced in comparison with previous reappraisal years  Last year of collection on $4.3 million emergency levy

4. Real Estate – Historical vs. Projected

5. Tangible Personal Property Phase out will be complete by FY 2012 Amounts shown in FY 2012 and FY 2013 represent small portion of public utility personal property that will remain

6. Unrestricted Grants In Aid (State Foundation)  Converted from a formula funded district (in FY 2008) to a guarantee district (in FY 2009)  Enrollment growth not expected to grow at a rate high enough to remove the district from the guarantee  Results in flat funding for future years  Uncertain as to implications of next biennial budget

7. State Funding Trends Fiscal Year ADMValuationState %State Funding 2005 2102.88$349,949,92328.67%$5,220,033 2006 2410.93$394,724,56231.00%$7,020,792 2007 2641.05$433,119,19931.66%$7,316,725 2008 2805.33$488,816,86128.83%$7,393,136 2009 P 2879.66$514,387,19129.21%$7,210,474 2010 P 2930.00$531,675,85829.14%$7,210,038 2011 P 2975.00$549,230,37228.95%$7,209,762 2012 P 3020.00$575,060,51027.80%$7,210,953 2013 P 3065.00$614,672,35425.07%$7,214,596

8. State Funding Trends

9. Restricted Grants In Aid (State Foundation)  Comprised of Poverty Based Assistance (PBA), career-technical aid and bus repurchase amounts  PBA = $59,189.66 Use = Intervention Provides a portion of salary of a district intervention teacher  Career-tech funds = $39,462.02 Provides support for business department, career-based intervention (CBI) and family and consumer science department  Bus Repurchase - Estimated at $14,634.22

10. Property Tax Allocation  Homestead and rollback reimbursement from State of Ohio Changes in legislation regarding homestead exemption will increase this figure in future years  Direct reimbursement related to phase-out of tangible personal property tax Will be gone by FY 2013 (phase-out completed in FY 2012)

11. All Other Revenues  Student fees  Building use fees  Donations  Tuition payments  Insurance payments

12. Personal Services  Salaries for all staff (i.e. teachers, non-teaching employees, administration, substitutes, coaches/advisors)  LHEA and LHSSA contracts approved – 3% base salary increase in FY 2009; 2.75% base salary increase in FY 2010 (does not apply to supplemental contracts)  Additional staff added in FY 2009 No new staff budgeted for future years

13. Personal Services

14. Retirement/Benefits  Retirement benefits for all staff (STRS/SERS)  Provides 75% of premiums for health and dental insurance  Provides $30,000 term life insurance policy for all contracted staff  Tuition reimbursement  Worker’s Compensation

15. Purchased Services  Utilities (i.e. phone, electric, natural gas, trash removal, water/sewer)  School resource officers  Postage and postage meter rental  Athletic trainer  Service agreement with LACA  Property insurance

16. Supplies and Materials  Textbooks  Student fee purchases  Classroom supplies  Technology supplies (i.e. software, etc.)

17. Capital Outlay  District equipment needs – New and/or replacement  Technology equipment  Maintenance/custodial/grounds equipment  Vehicles

18. Principal and Interest  Debt service related to limited general obligation bonds issued in 2005 for the purchase of busses  Matures in June 2016

19. Other Objects  Various fees (i.e. auditor, county treasurer, election expense)  Liability insurance  Premiums for bonds  Services provided by Licking County Educational Service Center Deducted from school foundation payments

20. Other Funds  Student Activity Accounts 018 Fund - Principal Accounts 200 Fund - Student Managed Accounts 300 Fund - District Managed Accounts  State Grants EMIS Subsidy Technology Grants – SchoolNet, Data Communications Poverty Based Assistance Gifted Identification Funds

21. Other Funds  Federal Grants Title I – Targeted Assistance Title II-A – Improving Teacher Quality Title II-D - Technology Title III – Limited English Proficient Title IV-A – Safe and Drug Free Title V – Innovative Programs Title VI-B – Special Education

22. Questions/Comments