DeKalb County Schools Fiscal Year 2014 Proposed Budget Executive Summary
Content
FY2014 PROPOSED BUDGET
Executive Summary
Michael Thurmond Interim Superintendent
May 7, 2013
DEKALB COUNTY SCHOOL DISTRICT FY2013 BUDGET (Revised 5/7/13) Michael Thurmond Interim Superintendent
FY13 BUDGET Original Revenue Projection FY2013 REVISED ANTICIPATED REVENUE as of 5/7/13 Title IIA School Nutrition Reimbursements After School Extended Day Program Title I Substitutes Total Total Original and Revised Projected Revenue FY2013 Expenses $ $ $ $ $ $ AMOUNT 748,000,000.00 EXPLANATION
AMOUNT 97,000.00 500,000.00 5,800,000.00 500,000.00 6,897,000.00
EXPLANATION Reimbursement for indirect costs for management of the Title IIA grant Reimbursement for indirect costs for management of the School Nutrition Program Current surplus funds reserved for future allocation Reimbursement for substitute cost for teachers paid through Title I funds Total revised anticipated revenue as of 5/7/13
$ $
754,897,000.00 Total revenue for FY2013 742,000,000.00 3,700,000.00 745,700,000.00 Total expenses for FY2013 754,897,000.00 745,700,000.00 9,197,000.00 Anticipated surplus to carry forward to FY2014
Deficit Elimination Plan-1st Year Obligation $ Total Expenses $ Updated Revenue FY2013 Projection Expenses FY2013 Difference $ $ $
DEKALB COUNTY SCHOOL DISTRICT FY2014 ANTICIPATED BUDGET REVENUE Michael Thurmond Interim Superintendent
FY14 ANTICIPATED BUDGET REVENUE Original Anticipated Revenue as of 4/29/13 $ AMOUNT EXPLANATION 732,400,000.00 Revenue based upon estimates of : Ad Valorem Taxes$360,800,000 and QBE Revenue- $371,600,000 AMOUNT $ EXPLANATION
FY2014 REVISED ANTICIPATED REVENUE as of 5/7/13 Intangible Recording Tax
700,000.00 Adjustment to the DCSD share of the recording taxes collected by the
Clerk of Superior Court to record any security instrument backed by real estate in the County. Allocation based on property location and millage rate. 4,500,000.00 Adjustment to the anticipated property taxes to be collected in 2014 based on actual collections in 2013 50,000.00 Adjustment to the anticipated interest to be earned on account balances of the DCSD during FY 2014 based upon actuals for 2013
Additional Ad Valorem Tax Interest Earned Alcohol Tax
$ $ $
1,100,000.00 Adjustment to the anticipated taxes remitted to the DCSD from the
County’s sale of alcohol licenses at a rate of 48.25% of County collections. Adjustment based on actuals for 2013 692,000.00 Adjustment to the anticipated revenue coming to the DCSD from the rental of School District properties
Rent Motor Vehicle- "Birthday Tax" Change
$ $
3,000,000.00 Due to the passage of House Bills 386 and 80 (HB386 &HB80) revenue collected through DeKalb County Government 4,000,000.00 Revenue based upon weighted FTE growth for FY2013 59,000.00 Reimbursement for indirect costs for management of the Title III (Limited English Proficiency and Immigrant) and 21st Century grant
FTE Student Weighted Growth Title III (Limited English Proficiency and Immigrant) & 21st Century
$ $
Title I Title IIA Race to the Top School Nutrition Reimbursements Medicaid Reimbursements FY2013 Projected Surplus FY2014 Additional Anticipated Revenue Total Original and Additional Anticipated Revenue
$ $ $ $ $ $ $ $
738,000.00 Reimbursement for indirect costs for management of the Title I grant 97,000.00 Reimbursement for indirect costs for management of the Title IIA grant 340,000.00 Reimbursement for indirect costs for management of the Race to the Top grant 1,000,000.00 Reimbursement for indirect costs for management of the School Nutrition Program 1,200,000.00 Reimbursements for exceptional education related services 9,197,000.00 Projected surplus carry over from FY2013 budget 26,673,000.00 Total additional revenue generated beyond original estimated revenue for FY2014 759,073,000.00 Total revenue anticipated for FY2014
Projected FY2014 Expenses
$
731,824,406.00 Expenses projected based upon FY2014 Budget
Revised FY2014 Anticipated Revenue Projected FY2014 Expenses Difference
$ $ $
759,073,000.00 731,824,406.00 27,248,594.00 Anticipated revenue surplus
DEKALB COUNTY SCHOOL DISTRICT FY2014 PROPOSED BUDGET
Michael Thurmond Interim Superintendent
FY14 PROJECTED BUDGET SUMMARY FY2014 Projected Budget Revenue FY14 PROJECTED BUDGET EXPENSES Superintendent School Board Communications Curriculum and Instruction Facilities Finance Human Resources Strategic Management & Accountability Charter Schools Schools Additional Fixed Cost FY2014 Total Projected Expenses $ AMOUNT EXPLANATION 759,073,000.00 See FY2014 Budget Revenue Sheet AMOUNT 994,087.00 12,831,181.00 955,413.00 37,639,064.00 88,062,758.00 3,796,682.00 5,124,431.00 723,954.00 27,074,216.00 507,334,056.00 TRS, Health insurance and Benefit Cost, State Salary 14,700,000.00 Supplement 750,370,406.00 EXPLANATION
$ $ $ $ $ $ $ $ $ $ $ $
CUTS Legal Fees Central Office Vacancies Central Office Budget Cuts FY2014 Total Budget Cuts
$ $ $ $
6,000,000.00 Superintendent mandated cuts to Legal Fees 5,346,000.00 Superintendent mandated cuts of central office vacancies 7,200,000.00 Superintendent mandated cuts to central office budgets 18,546,000.00
BUDGET ENHANCEMENTS Fund Balance Furlough Day (1) Textbooks Rebind-Replenish Textbooks Student Diagnostic Needs Assessment Student Wrap Around Services Career Pathways Initiative Central Office Decentralization Interpreters Band Uniforms & Instrument Repair Bus Mechanics Meritorious Attendance Program Principal Supplement Technology Enhancement to Financial System FY2014 Total Requested Budget Enhancements $ $ $ $ $ $ $ $ $ $ $ $ $ $ 12,698,594.00 3,000,000.00 4,000,000.00 1,300,000.00 1,100,000.00 350,000.00 1,000,000.00 150,000.00 500,000.00 300,000.00 250,000.00 1,000,000.00 100,000.00
AdvancED Alignment
Fiscal Management and Operational Efficiency Academic Achievement and Professional Development Academic Achievement and Career Readiness Academic Achievement and Career Readiness Academic Achievement and Career Readiness Academic Achievement and Career Readiness Academic Achievement and Career Readiness Academic Achievement and Career Readiness Academic Achievement and Career Readiness Academic Achievement and Career Readiness Fiscal Management and Operational Efficiency Employee Morale-Engagement-Retention Employee Morale-Engagement-Retention
1,500,000.00 Fiscal Management and Operational Efficiency
$
27,248,594.00
FY2014 BUDGET SUMMARY FY2014 Projected Revenue FY2014 Projected Expenses FY2014 Budget Cuts FY2014 Budget Enhancements Projected Budget Balance
$
759,073,000.00 $750,370,406.00 -$18,546,000.00 $27,248,594.00 $759,073,000.00
$
759,073,000.00
DEKALB COUNTY SCHOOL DISTRICT FY2014 PROPOSED BUDGET ENHANCEMENTS Michael Thurmond Interim Superintendent
BUDGET ENHANCEMENTS
Fund Balance
EXPLANATION
AdvancED Alignment
AMOUNT
$ 12,698,594.00
Anticipated revenue collections in excess of budgeted expenditures at the end Fiscal Management and of FY2014. Operational Efficiency This expenditure is intended to increase professional development and learning Academic Achievement opportunities for teachers as well as employee morale by lowering the total and Professional number of furlough days for all 10 and 11 month employees, all principals, and Development central office employees whose total salary does not exceed $80,000 annually . The cost of one furlough day for 10 month employees is approximately $3,000,000.00. Academic Achievement These SY13-14 budgeted funds will allow the district to purchase a partial and Career Readiness adoption of the K-12 mathematics textbooks and instructional resources that were reviewed, evaluated, and recommended by a committee comprised of DCSD mathematics educators. Please note that the committee recommendations are subject to official adoption by the DeKalb Board of Education. The C&I Division, with input from schools, will develop a prioritized list of other textbooks and instructional resources for purchase with any remaining funds.
Furlough Day (1)
$
3,000,000.00
Textbooks
$
4,000,000.00
Rebind-Replenish Textbooks
These budgeted funds will allow the district to replace missing textbooks and to repair or rebind damaged textbooks so that students have access to instructional materials. Student Diagnostic Needs Per AdvancED/SACs Required Action 6, DCSD must ensure a robust district Assessment diagnostic assessment program is in place, including, but not limited to a universal screener, progress monitoring probes, and benchmark assessments. This request allows DCSD to purchase, train, and implement a universal screener to assess student needs in reading and mathematics to be used by each school.
Academic Achievement and Career Readiness Academic Achievement and Career Readiness
$
1,300,000.00
$
1,100,000.00
Student Wrap Around Services Career Pathways Initiative
Specific process to promote and ensure student support for college and career readiness, utilization of expertise to guide students to plan for middle school, high school and BEYOND ( college or career). Planning for the Career Pathway Academy initiative will commence during the 2013-2014 school year. This initiative will provide career readiness opportunities (course offerings, laboratories and internships) for our students. Various pathways will be developed in collaboration with DCSD business and post secondary partners. Decentralize decision making authority to regional superintendents. District leaders will be closer to the point of delivery of academic services and support. This model will improve community outreach and communication and enhance delivery of resources . Principals will be more accountable for continuous improvement to increase student achievement with support and better access to all stakeholders. The Office of the Civil Rights requires the district to provide interpretation and translation services to our linguistically diverse community. It is a federal requirement of all school districts that receive federal funds. The law states the following per Title VI of the Civil Rights Act of 1964, “school districts have the responsibility to adequately notify national origin-minority group parents of school activities which are called to the attention of other parents. Such notice in order to be adequate may have to be provided in a language other than English.” The interpreters are assigned to schools and perform centralized registration functions. Our schools are not equipped with bilingual staff that can assist principals and teachers to communicate effectively with our diverse community. A number of our schools are highly impacted (85%+ of the student population) by linguistic minorities. This request allows for the purchase or repair of marching band uniforms and/or instruments as determined on a priority needs basis for district marching band and/or instrumental music programs. Monies have not been allotted for uniforms and instruments in recent district budgets.
Academic Achievement and Career Readiness Academic Achievement and Career Readiness
$
350,000.00
$
1,000,000.00
Central Office Decentralization
Academic Achievement and Career Readiness
$
150,000.00
Interpreters
Academic Achievement and Career Readiness
$
500,000.00
Band Uniforms & Instrument Repair
Academic Achievement and Career Readiness
$
300,000.00
Bus Mechanics
Meritorious Attendance Program
We request an increase in mechanics to keep more buses in operation. Fiscal Management and Currently, the district is under staffed in mechanics which results in a backlog of Operational Efficiency maintenance. The additional mechanics will increase our capacity for timely repairs. With more buses available, we will improve student-on-time service to and from school (and other events). Better bus maintenance also improves student safety since there will be fewer breakdowns in transit requiring emergency bus services. Employee MoraleThis expenditure is intended to increase employee morale by adding an incentive program available to all district bus drivers, food service, custodians Engagement-Retention and clerical employees. The Meritorious Attendance Program is designed to pay for itself by lowering the total number of absences for this group of employees over the course of the year. Absences result in the need to pay for substitute employees as well as costs associated with slowing down business processes. It is requested to invest $1,000,000.00 to make attendance pay incentives available to this group of employees based on the following: 0 days absent = $150 1 day absent = $100 2 days absent = $75 3 days absent = $50 Employee MoraleEngagement-Retention Fiscal Management and Operational Efficiency
$
250,000.00
$
1,000,000.00
Principal Supplement
Serve as the leader of the building, boost morale and promote recognition and acknowledgement. Technology Enhancement To improve the efficiency with which data on employees financial and HR activities are compiled. To enhance activities to be performed more efficiently to Financial System and with less paperwork.
$ $
100,000.00 1,500,000.00
Executive Summary
Michael Thurmond Interim Superintendent
May 7, 2013
DEKALB COUNTY SCHOOL DISTRICT FY2013 BUDGET (Revised 5/7/13) Michael Thurmond Interim Superintendent
FY13 BUDGET Original Revenue Projection FY2013 REVISED ANTICIPATED REVENUE as of 5/7/13 Title IIA School Nutrition Reimbursements After School Extended Day Program Title I Substitutes Total Total Original and Revised Projected Revenue FY2013 Expenses $ $ $ $ $ $ AMOUNT 748,000,000.00 EXPLANATION
AMOUNT 97,000.00 500,000.00 5,800,000.00 500,000.00 6,897,000.00
EXPLANATION Reimbursement for indirect costs for management of the Title IIA grant Reimbursement for indirect costs for management of the School Nutrition Program Current surplus funds reserved for future allocation Reimbursement for substitute cost for teachers paid through Title I funds Total revised anticipated revenue as of 5/7/13
$ $
754,897,000.00 Total revenue for FY2013 742,000,000.00 3,700,000.00 745,700,000.00 Total expenses for FY2013 754,897,000.00 745,700,000.00 9,197,000.00 Anticipated surplus to carry forward to FY2014
Deficit Elimination Plan-1st Year Obligation $ Total Expenses $ Updated Revenue FY2013 Projection Expenses FY2013 Difference $ $ $
DEKALB COUNTY SCHOOL DISTRICT FY2014 ANTICIPATED BUDGET REVENUE Michael Thurmond Interim Superintendent
FY14 ANTICIPATED BUDGET REVENUE Original Anticipated Revenue as of 4/29/13 $ AMOUNT EXPLANATION 732,400,000.00 Revenue based upon estimates of : Ad Valorem Taxes$360,800,000 and QBE Revenue- $371,600,000 AMOUNT $ EXPLANATION
FY2014 REVISED ANTICIPATED REVENUE as of 5/7/13 Intangible Recording Tax
700,000.00 Adjustment to the DCSD share of the recording taxes collected by the
Clerk of Superior Court to record any security instrument backed by real estate in the County. Allocation based on property location and millage rate. 4,500,000.00 Adjustment to the anticipated property taxes to be collected in 2014 based on actual collections in 2013 50,000.00 Adjustment to the anticipated interest to be earned on account balances of the DCSD during FY 2014 based upon actuals for 2013
Additional Ad Valorem Tax Interest Earned Alcohol Tax
$ $ $
1,100,000.00 Adjustment to the anticipated taxes remitted to the DCSD from the
County’s sale of alcohol licenses at a rate of 48.25% of County collections. Adjustment based on actuals for 2013 692,000.00 Adjustment to the anticipated revenue coming to the DCSD from the rental of School District properties
Rent Motor Vehicle- "Birthday Tax" Change
$ $
3,000,000.00 Due to the passage of House Bills 386 and 80 (HB386 &HB80) revenue collected through DeKalb County Government 4,000,000.00 Revenue based upon weighted FTE growth for FY2013 59,000.00 Reimbursement for indirect costs for management of the Title III (Limited English Proficiency and Immigrant) and 21st Century grant
FTE Student Weighted Growth Title III (Limited English Proficiency and Immigrant) & 21st Century
$ $
Title I Title IIA Race to the Top School Nutrition Reimbursements Medicaid Reimbursements FY2013 Projected Surplus FY2014 Additional Anticipated Revenue Total Original and Additional Anticipated Revenue
$ $ $ $ $ $ $ $
738,000.00 Reimbursement for indirect costs for management of the Title I grant 97,000.00 Reimbursement for indirect costs for management of the Title IIA grant 340,000.00 Reimbursement for indirect costs for management of the Race to the Top grant 1,000,000.00 Reimbursement for indirect costs for management of the School Nutrition Program 1,200,000.00 Reimbursements for exceptional education related services 9,197,000.00 Projected surplus carry over from FY2013 budget 26,673,000.00 Total additional revenue generated beyond original estimated revenue for FY2014 759,073,000.00 Total revenue anticipated for FY2014
Projected FY2014 Expenses
$
731,824,406.00 Expenses projected based upon FY2014 Budget
Revised FY2014 Anticipated Revenue Projected FY2014 Expenses Difference
$ $ $
759,073,000.00 731,824,406.00 27,248,594.00 Anticipated revenue surplus
DEKALB COUNTY SCHOOL DISTRICT FY2014 PROPOSED BUDGET
Michael Thurmond Interim Superintendent
FY14 PROJECTED BUDGET SUMMARY FY2014 Projected Budget Revenue FY14 PROJECTED BUDGET EXPENSES Superintendent School Board Communications Curriculum and Instruction Facilities Finance Human Resources Strategic Management & Accountability Charter Schools Schools Additional Fixed Cost FY2014 Total Projected Expenses $ AMOUNT EXPLANATION 759,073,000.00 See FY2014 Budget Revenue Sheet AMOUNT 994,087.00 12,831,181.00 955,413.00 37,639,064.00 88,062,758.00 3,796,682.00 5,124,431.00 723,954.00 27,074,216.00 507,334,056.00 TRS, Health insurance and Benefit Cost, State Salary 14,700,000.00 Supplement 750,370,406.00 EXPLANATION
$ $ $ $ $ $ $ $ $ $ $ $
CUTS Legal Fees Central Office Vacancies Central Office Budget Cuts FY2014 Total Budget Cuts
$ $ $ $
6,000,000.00 Superintendent mandated cuts to Legal Fees 5,346,000.00 Superintendent mandated cuts of central office vacancies 7,200,000.00 Superintendent mandated cuts to central office budgets 18,546,000.00
BUDGET ENHANCEMENTS Fund Balance Furlough Day (1) Textbooks Rebind-Replenish Textbooks Student Diagnostic Needs Assessment Student Wrap Around Services Career Pathways Initiative Central Office Decentralization Interpreters Band Uniforms & Instrument Repair Bus Mechanics Meritorious Attendance Program Principal Supplement Technology Enhancement to Financial System FY2014 Total Requested Budget Enhancements $ $ $ $ $ $ $ $ $ $ $ $ $ $ 12,698,594.00 3,000,000.00 4,000,000.00 1,300,000.00 1,100,000.00 350,000.00 1,000,000.00 150,000.00 500,000.00 300,000.00 250,000.00 1,000,000.00 100,000.00
AdvancED Alignment
Fiscal Management and Operational Efficiency Academic Achievement and Professional Development Academic Achievement and Career Readiness Academic Achievement and Career Readiness Academic Achievement and Career Readiness Academic Achievement and Career Readiness Academic Achievement and Career Readiness Academic Achievement and Career Readiness Academic Achievement and Career Readiness Academic Achievement and Career Readiness Fiscal Management and Operational Efficiency Employee Morale-Engagement-Retention Employee Morale-Engagement-Retention
1,500,000.00 Fiscal Management and Operational Efficiency
$
27,248,594.00
FY2014 BUDGET SUMMARY FY2014 Projected Revenue FY2014 Projected Expenses FY2014 Budget Cuts FY2014 Budget Enhancements Projected Budget Balance
$
759,073,000.00 $750,370,406.00 -$18,546,000.00 $27,248,594.00 $759,073,000.00
$
759,073,000.00
DEKALB COUNTY SCHOOL DISTRICT FY2014 PROPOSED BUDGET ENHANCEMENTS Michael Thurmond Interim Superintendent
BUDGET ENHANCEMENTS
Fund Balance
EXPLANATION
AdvancED Alignment
AMOUNT
$ 12,698,594.00
Anticipated revenue collections in excess of budgeted expenditures at the end Fiscal Management and of FY2014. Operational Efficiency This expenditure is intended to increase professional development and learning Academic Achievement opportunities for teachers as well as employee morale by lowering the total and Professional number of furlough days for all 10 and 11 month employees, all principals, and Development central office employees whose total salary does not exceed $80,000 annually . The cost of one furlough day for 10 month employees is approximately $3,000,000.00. Academic Achievement These SY13-14 budgeted funds will allow the district to purchase a partial and Career Readiness adoption of the K-12 mathematics textbooks and instructional resources that were reviewed, evaluated, and recommended by a committee comprised of DCSD mathematics educators. Please note that the committee recommendations are subject to official adoption by the DeKalb Board of Education. The C&I Division, with input from schools, will develop a prioritized list of other textbooks and instructional resources for purchase with any remaining funds.
Furlough Day (1)
$
3,000,000.00
Textbooks
$
4,000,000.00
Rebind-Replenish Textbooks
These budgeted funds will allow the district to replace missing textbooks and to repair or rebind damaged textbooks so that students have access to instructional materials. Student Diagnostic Needs Per AdvancED/SACs Required Action 6, DCSD must ensure a robust district Assessment diagnostic assessment program is in place, including, but not limited to a universal screener, progress monitoring probes, and benchmark assessments. This request allows DCSD to purchase, train, and implement a universal screener to assess student needs in reading and mathematics to be used by each school.
Academic Achievement and Career Readiness Academic Achievement and Career Readiness
$
1,300,000.00
$
1,100,000.00
Student Wrap Around Services Career Pathways Initiative
Specific process to promote and ensure student support for college and career readiness, utilization of expertise to guide students to plan for middle school, high school and BEYOND ( college or career). Planning for the Career Pathway Academy initiative will commence during the 2013-2014 school year. This initiative will provide career readiness opportunities (course offerings, laboratories and internships) for our students. Various pathways will be developed in collaboration with DCSD business and post secondary partners. Decentralize decision making authority to regional superintendents. District leaders will be closer to the point of delivery of academic services and support. This model will improve community outreach and communication and enhance delivery of resources . Principals will be more accountable for continuous improvement to increase student achievement with support and better access to all stakeholders. The Office of the Civil Rights requires the district to provide interpretation and translation services to our linguistically diverse community. It is a federal requirement of all school districts that receive federal funds. The law states the following per Title VI of the Civil Rights Act of 1964, “school districts have the responsibility to adequately notify national origin-minority group parents of school activities which are called to the attention of other parents. Such notice in order to be adequate may have to be provided in a language other than English.” The interpreters are assigned to schools and perform centralized registration functions. Our schools are not equipped with bilingual staff that can assist principals and teachers to communicate effectively with our diverse community. A number of our schools are highly impacted (85%+ of the student population) by linguistic minorities. This request allows for the purchase or repair of marching band uniforms and/or instruments as determined on a priority needs basis for district marching band and/or instrumental music programs. Monies have not been allotted for uniforms and instruments in recent district budgets.
Academic Achievement and Career Readiness Academic Achievement and Career Readiness
$
350,000.00
$
1,000,000.00
Central Office Decentralization
Academic Achievement and Career Readiness
$
150,000.00
Interpreters
Academic Achievement and Career Readiness
$
500,000.00
Band Uniforms & Instrument Repair
Academic Achievement and Career Readiness
$
300,000.00
Bus Mechanics
Meritorious Attendance Program
We request an increase in mechanics to keep more buses in operation. Fiscal Management and Currently, the district is under staffed in mechanics which results in a backlog of Operational Efficiency maintenance. The additional mechanics will increase our capacity for timely repairs. With more buses available, we will improve student-on-time service to and from school (and other events). Better bus maintenance also improves student safety since there will be fewer breakdowns in transit requiring emergency bus services. Employee MoraleThis expenditure is intended to increase employee morale by adding an incentive program available to all district bus drivers, food service, custodians Engagement-Retention and clerical employees. The Meritorious Attendance Program is designed to pay for itself by lowering the total number of absences for this group of employees over the course of the year. Absences result in the need to pay for substitute employees as well as costs associated with slowing down business processes. It is requested to invest $1,000,000.00 to make attendance pay incentives available to this group of employees based on the following: 0 days absent = $150 1 day absent = $100 2 days absent = $75 3 days absent = $50 Employee MoraleEngagement-Retention Fiscal Management and Operational Efficiency
$
250,000.00
$
1,000,000.00
Principal Supplement
Serve as the leader of the building, boost morale and promote recognition and acknowledgement. Technology Enhancement To improve the efficiency with which data on employees financial and HR activities are compiled. To enhance activities to be performed more efficiently to Financial System and with less paperwork.
$ $
100,000.00 1,500,000.00
