Thursday, February 6, 2014

FY15 projected budget presentation

You can find the pretty version of the presentation here.The one attached to the agenda is the black and white scan. 
 posting as we go
Boone: based on Governor's recommended budget ('though it is the House budget on which the recommended WPS budget is based)
"it is going to be a very very difficult budget year"
second straight year of flat inflation growth, minimal student growth
"total revenue is less than the current year"

the CM presented his preliminary budget projections to Council this Tuesday
School Committee to have a budget priority session
Mr. Allen:
funding sources: "first year that we will not be receiving foundation aid... first year that we will receive" save harmless aid"
75% funding of circuit breaker
charter school reimbursement funded at 62%
federal grant sequestration; some discussion at returning to FY13 levels
don't get federal grant allocations until after June budget
"continuing to assume 4% reduction"
RTTT and School Redesign "both sunsetting and going away"
city contribution: below net school spending
"those remain an active discussion with the joint committee"
"foundation budget is based upon students"
WPS enrollment "overall our up 8 students"
within the foundation budget, down almost 500 ELL students, moved out of ELL (they were in Level 5), down just about 100 students in low income
continue increasing enrollment, continuing to exceed our enrollment when we closed eight schools; still a little below ten years ago
the inflation factor "the underappreciated part of the foundation budget"
Less than one percent, third lowest been over the course of education reform
average 2.7%
a little more than $3 million per percent (for WPS)
total foundation budget (including charter): $314,854,114
increasing $3 million from last year (including charter and choice students)
this includes preschool students in the foundation budget

aggregate wealth: state calculates overall state property wealth and overall income wealth
adjust so it's 50% from property and 50% from income
then apply to Worcester's property wealth and income wealth
target contribution $96,171,964
Note: "Worcester is considered to be more income wealth than property wealth"
Worcester Public Schools receives 32% of city revenue
preliminary local contribution of $96,374,700
city's required contribution is in excess of their effort
required contribution is thus $96,374,700
thus state aid is $218,479,413
HOWEVER we received $219,897,733 this year
but we won't go down: we're held harmless under the prior year amount
$20 per pupil in state aid additional
$2,090,170 in "hold harmless aid"
$2,090,170 over foundation budget ENTIRELY STATE FUNDED

"if no change is made to local contribution, we'll be three million under required spending in FY15"
federal grants and sequestration: loss of $821,248
federal grants fund 80 teachers, 204 IAs, afterschool and summer programs, staff development
RTTT loss is $2.7 million
School Redesign going down $893,000
McKinney-Vento is now competitive (which I'm just going to say here is INSANE!) so projected as loss of $60,666
those provide Level 4 costs, staff development, college dual enrollment, wraparound zone
FY15 change from FY14 LOSS of $145,447
First time since Ed Reform that it's been negative
total (just keeping the same things) of $11.7 million for next year of cost increases:
$3.4M in salaries
$3.3M in health insurance (assuming 8%)
$1.5M tuition
$1.3M retirement
$0.6M transportation (last year of Durham contract)
$0.9M technology (rest of the full year lease of new computers)
$0.4M workers compensation (funding as we should)
$0.3M utilities
that's a 3.3% increase (and right in line with last year)

principals identified an additional $6.3M staffing needs for next year (which we have and I'll type up later)
new elementary math textbooks needed $2M
a planning year for a new advanced high school would require $200,000
"we've received a letter confirming that OPEB does not count towards Net School Spending"
other areas needing funding: assistant principals, kindergarten IAs, school safety equipment, playground maintenance, school furniture, wireless together is another $3.6M
Total increase funding needed $27.3M
deficit of $27.4 million

"some of these things come immediately off the table, but even still"
no projected levels of class sizes for next year as of yet (Remember $11.7M just to keep current)
long term planning and allocation
"Status quo is not an option"
initial principal meetings have taken place
district administrators are happening now
listening sessions with students, parent groups (CPPAC next week!), community groups
budget priority session of the school committee
House budget in April
Senate budget in May
House budget is used for WPS budget

FY15 budget "goal of administration" is May 9 to School Committee

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