PEN NSBURY SCHOOL DISTRICT

FALLSINGTON, PA 19058-0338
Ji

Board Budget Committee Meeting

pri1 14, 2011

Agenda

5:30 p.m. Welcome

5:35 p.m. Budget Strategy Proposed Budget

-

5:40 p.m. Fund Balance Projection

5:50 p.m. Present and Discuss Budgeting Options

:30 p.m. Adjourn

‘)1JM4-3 Board l3ud2et (ommittee Aenda.doc

 PENNSBURY SCHOOL DISTRICT
2011-2012 BUDGET UPDATE
SUMMARY

First Draft Governor’s Budget Proposed

Budget Update Budget
1/13/11 3/10111 4/14111
Expenditure Budget $ 174970,000 $ 174,970,000 $ 173,301,000

Revenue Budget before tax increase 171,915,000 168,210,514 171,520,762

Deficit S 3,055,000 $ 6,759,486 $ 1,780,238

Tax Increase - Mills 3.6 79 2.1

Tax Increase - % 2.40% 5.30% 1.40%

Notes:

Current RET millage: 150.3

Estimated value of a mill: $857,020

Value of 1% RET: $1,291,559

dudqet 1 1-12xs4/14/2O1 1
PENNSBURY SCHOOL DISTRICT DISK: BUD2O1O-2011
20102011 BUDGET PROJECTION
- FILE, FUNBALO3
AS OF 03131111 03/13/11

APPROVED PROJECTION BETTER/( WORSE>

2010-2011 BUDGET 3I31I2011 THAN BUDGET

REVENUE:

Local sources 31 33248934 3132394190 (854, 744)

State Sources 37586,866 34,439403 (3,147.463)
Foderal Sources 2,479,200 4.225000 1, 745,800
Other Sources 0 0 0

TOTAL REVENUE $173,315,000 5171058,593 $2,256,407)

EXPENDITURES:

Salaries $97,047,606 $94,847,606 $2,200,000

Benefits 33,658,643 30,758,643 2,900,000
Professional Services 9,039,872 8,739,872 300,000
Property Services 1563,071 1,463,071 100,000
Other Services 11292,410 11,692,410 (400,000)
Supplies 9,609,551 9,159,551 450,000
Property 471,249 471,249 0
Other Objects 6,426,641 6,226,641 200,000
Other Uses of Funds 6,705,957 6,705,957 0

TOTAL EXPENDITURES $175,815,000 $170,065,000 $5,750,000

OPERATING SURPLUS/(DEFICIT) (2,500,000> 993.593 3.493,593

LESS: FUND BALANCE APPROPRIATION 2,500,000 0 (2,500,000)

AMOUNT ADDED TO FUND BALANCE $0 $993,593 $993,593

201 0-2011 3/31/2011

BUDGET PROJECTION

FUND BALANCE AS OF 6/30110 $8,679,814 $8,679,814

PROJECTED AMOUNT ADDED/(USED) 2010-2011 (2,500,000) 993,593

ESTIMATED FUND BALANCE 6130/11 $6,179,814 $9,673,407

Nonspendable Fund Balance (575,332) (575.332)

Committed for PSERS Employer Contribution Contingency (2,400,000) (2,400,000)
Committed for Capital Expenditure Contingency (500,000) (500,000)
Committed for Self Insurance Contingency (500,000) (500,000)
Assigned for PSERS 2010-2011 Rate Change (1,252,000) (1.252,000)

ESTIMATED FUND BALANCE AVAILABLE FOR APPROPRIATION $952,482 $4,446,075

IN 2011-2012

Recommended 2011-2012 Fund Balance Appropriation (2,500,000)

Estimated Remaining Fund Balance 6/30/12 $1,946,075

PERCENT OF TOTAL 2010-2011 BUDGET 1.11%

PENNSBURY SCHOOL DISTRICT R: BUD2OIO-2011
PROJECTED REVENUES 2010-2011
-
PILE: REVENUE
AS OF 63/3 1/2011 PROJECTION-03

\PPROVED PROJECTION
‘3UDGET S OF PETTER/
P010-2011 0/31/2011 WORSE)

PDCAL SOURCES:

Pill Real Estate Taxes $ 125148025 $ 124859.327 $ (288.698)

3112 Interim raxes (96.909 500,000 3.091
3113 Publlc Utility Tax 175,000 180,863 5,863
6153 TransferTaxes 1,800,000 1,500.000 (300.000)
‘3411 Delinquent Taxes 2800,000 2,900.000 100,000
‘3510 Interest on Investments 150,000 100,000 (350,000)
(750 Student Activities Athletics
- 89,000 89,000 0
839 Pass Thru-lU. Funds 1,800,000 1 800,000 0
‘910 Rent of School & Facilities 65,000 165.000 0
3940 Tuition Students)Receipts Other LEA’s 185,000 185,000 /3
5990 Miscellaneous 40,000 10,000 0
6990 Refund of Prior Year Receipts 100,000 75,000 (25,000)

EQTAL LOCAL SOURCES S 133.248.934 $ 132,394,190 S (854,744)

JTATE SOURCES

7110 BasicSubsidy $ 15,200,000 $ 13,451,602 (1,748,398)

7140 Charter Schools 750,000 750,000 0
7160 Tuition & Court Placed 128,000 128,000 0
7270 Special Education 5,378,096 5,378,096 0
7310 Transportation 2,206,465 2,206,465 0
7320 Rentals 1,068,000 1,068,000 0
7330 Medical, Dental and Nursing Services 260,000 236,000 (24,000)
7340 State Property Tax Reduction Allocation 4,157,718 4,157,718 0
7507 State Block Grants 376,385 876.385 0
7810 State Social Security Paents 3.629,222 3.543,937 (85,285)
7820 State Retirement Payments 3.907,980 2,643,200 (1,264,780)
7500 Miscellaneous State Grants 25,000 0 (25,000)

TOTAL STATE SOURCES $ 37,586,866 S 34,439,403 S (3,147,463)

FEDERAL SOURCES:
8514 Title I $ 673.000 $ 577,000 (96.000)
3515 Title II 318,000 320,000 2,000
8516 Title III 50,000 41,000 (9,000)
(3517 Drug Free Schools 0 5,000 5.000
8701 ARRA- IDEA 1.090,000 1,090,000 0
/3708 ARRA-SFSF 0 1,692,000 1,692,000
8810 Medical Assistance Reimbursement 348,200 500,000 151,800

FOTAL FEDERAL SOURCES S 2,479,200 S 4,225,000 S 1,745,800

FO’TAL REVENUE $ 173,315,000 S 171,058.593 $ (2,256,407)

OTHER FINANCING SOURCES:

3300 INTERFUND TRANSFERS SO ‘SO $0

‘500 REFUND PRIOR YEAR EXPENSES 0 0 0
‘3500 RECEIPTS FROM OTHER PA LEA’S 0 0 0

FOTAL OTHER FINANCING SOURCES $ - S - $ -

TOTAL REVENUE & OTHER FINANCING SOURCES $ 173,315,000 $ 171.058,593 $ (2,256,407)

FUND BALANCE APPROPRIATION 2,500,000 0 (2,500,000)

IOTAL REVENUE & OTHER FINANCING SOURCES $ 175,815,000 $ 171,058,593 S (4,756,407)

PENNSBURY SCHOOL DISTRICT DISK: BUD2OIO-2011
2010-2011 BUDGET PROJECTION
-
FILE: FUNBALO3
AS OF 03131111 *11412011

ObjectiDescription Overl(Under)

3alanes (Primarily professional staff changes) 2200000)

Medical Benefits (IBC Claims level) 200.000)

Social Security (171000)

Retirement (Rate change reduced from 8.22% to 5.64%) 2,529,000)

I. U, Costs (200,000)

Legal Fees (100,000)

iroperty Services (100,000)

Charter Schools 180,000

Tuition/Other Services 1 80,000

I. U. Transportation 40,000

Supplies and Books (150,000)

Utilities (300,000)

Other Objects (Interest on Emmaus variable rate bond issue) (200,000)

Total Expenditure Differences (5,750,000)

4
 Pennsbury School District
1011-2012 Budgeting Options
To Reach 14%
Expenditures

Il?oduce PHS professional stall positions by ,ittrition. 2

ZlReduce middle school staff positions by attrition, 15
IReduce elementary prof stall positions by attrition, 2
IlEliminate every day building subs
!Reduce summer per diem days
Reduce narochial school health staff
7 [Accept additional risk in personnel budget
:1Reduce salary budget for retirements

Eslimated withholding benefits savings

Estimated health benefits, 5.5 positions
11 Accept additional risk in benetits budget
12 Reduce overtime
13 Increase four day work weeks in summer
14[Advance purchasing of NG and electric and energy conse
15 Revise phone service agreement
16 New band width pricing for WAN I
1 7 Suspend middle school lightweight football
18 Suspend ninth grade wrestling
19 Replace SAGE program
20 Reduce budget for variable rate debt service
21 Reduce federal program medical benefits expense
22 Reduce federal program social security expense
23 Reduce federal program retirement expense
24 Reduce Tech School contribution
25 Reduce Tech School contnbution-retirement incentive

26 Add: One new bond issue payment for ER project

27 Add: RELA textbook adoption
28 Add: Increase in diesel fuel
29 Add: Increase in workers compensation
30 Add: New elementary math specialist positions (3)
31 Add: New special education positions (4) MA funded
32 Add: Van for special education students - MA funded

Revenues
33 Increase budget for January duplicate

34 Increase budget for estimated May duplicate

35 Increase budget for Matrix interims
36 Increase budget for School Media revenue
37 Increase budget for finders fee from School Media
38 Increase budget for MA reimbursement (Access)
39 Decrease state revenues per Governor’s budget proposal
40 Decrease budget for investment earnings
41 Decrease budgets for social security and retirement
42[Appropnate fund balance
 Pennsbury School District
011-2012 Additional Budgeting Options
To Roach 0%

Fxpenditures
Further reduce PHS professional staff positions by attrition. 2
IFurther reduce elementary prof staff positions by attrition, 2
Reduce part-time school aides. 4
•Demote 6.5 hr paraprofessionals by I day
FurIough or demote other support staff

-)IAccept additional risic in personnel budget

7Estimated withholding benefits savings for staff reductions above
,:3 Estimated health benefits savings for staff reductions above

9 Eliminate mid-day kindergarten transportation

10 Accept additional risk in property & casualty insurance
11 Introduce student activity participation fee
2 Suspend one ninth grade basketball team
3 Suspend one ninth grade football team
14 Suspend HS winter track
l5lAssign 6% expenditure reduction goals to pnncipals and other budget managers