2016-2017Budget Engagement Forum
Involving our community
in the operating and capital
budgeting conversation
Agenda
• CMS: Our Progress 10 minutes
• The Need for More Funding & 30 minutes
the Current Budget Landscape
• Operating budget
• Capital budget
• What’s Next 10 minutes
• Q&A
2
CMS:
Our Progress
3
Goal 1: Maximize academic achievement in a
personalized 21st
century learning environment
Goal 2: Recruit, develop, retain and reward a premier
workforce
Goal 3: Cultivate partnerships to provide a sustainable
system of support and care for each child
Goal 4: Promote a system-wide culture of safety, high
engagement, cultural competency and customer
service
Goal 5: Optimize district performance and
accountability by strengthening data use, processes
and systems
Goal 6: Inspire and nurture learning, creativity,
innovation and entrepreneurship through technology
and strategic school redesign
Strategic Plan 2018 is our roadmap
and our commitment to our community
4
• iMeck Academy
• Hawthorne Academy of Health Sciences
• Technology, Entrepreneurship & Advanced
Manufacturing High School
• Middle College High School expansion with CPCC
• Early College High School on UNCC campus
• Trillium Springs PreK-6 Montessori
• Newell, Parkside and Lawrence Orr elementaries
• Oakhurst STEAM Academy
• Starmount Academy of Excellence
• E-Learning Academy @ Performance Learning Center
• Expanded Science, Technology, Engineering, Arts
and Math schools/programs across all grade levels
• Three high school academies
New schools and academic options since 2014
Progress
Greater academic choice and personalization
5
Progress
More literacy and support services for students
6
new Pre-K classes
60
new psychologists, school counselors and
social workers for our schools and students
North Star Reading Partners
for grades 3, 7 and 12
Intensive literacy PD for teachers
in grades one through three
Summer reading programs
for rising first through fourth grade students
More literacy materials
6
All CMS classrooms have wifi
All teachers have laptops to
enhance instruction
All fifth through tenth
graders have 1:1 access to
digital devices at school
Digital techbooks support
science, social studies
and other subjects
Progress
Greater technology supports
to enhance teaching and learning
7
And we’re delivering better
academic outcomes for students
88.3%
graduation
rate
- CMS outperforms
the state
- Up for all racial
subgroups
National
Assessment of
Educational
Progress
AP course
enrollment,
test taking
and test
performance
growing
Dropout
rate
declining
Proficiency
scores
Increasing in all
tested areas
8
#1
4th
& 8th
grade math
#2
4th
grade reading
#3
8th
grade reading
But there is still much work to do
We are committed to helping
every student graduate ready
for college and career success
9
The Need for More Funding
and the Current Budget
Landscape
10
Budgeting for and operating a school district
is similar to a household
Examples for a typical household
11
capital budget- pays for the design and
construction of new schools, along with major renovation and
replacement of existing schools.
CMS has two budgets
operating budget- pays for day-to-day expenses, including salaries and benefits, textbooks and transportation.
12
The need for more operating funding is real
• Student enrollment is growing
+ more than 12,000 since FY09
• Operating costs are increasing
i.e. utilities, health insurance and retirement
• Benefit costs represent more than 50% of
overall budget growth
Since FY09, total budget +$152 million (+12.7%)
while benefit costs +$83 million (+61.1%)
• State-mandated program adjustments
i.e. Drivers education $2.6 million
• Fewer dollars for new initiatives
13
Uses of Total Operating Budget Increase Since
FY09: A Different Perspective
Total RemainingTotal Increase since FY09 $152.0M
Charter School Pass-through -$24.7M $127.3M$ Not retained for CMS students
Mandated salary & benefit increases -$185.0M -$57.7MSalary Increases - $113.0M Benefits Increases* - $72.0M
Sustaining, Growth and New Space -$137.5M -$195.2MDay-to-day operating expenses
Reductions and Redirections +$238.6M $43.4MRealignment of existing resources
What’s Left
New initiatives to support -$43.4M $0Strategic Plan 2018
14
Total Increase$152 million
since FY09
*Benefit costs represent $83 million of total budget growth since FY09. Of that, $11M
represents benefits associated with adding new staff and is reflected in Growth.
Uses of County Operating Budget Increase Since
FY09: A Different Perspective
Total RemainingTotal Increase since FY09 $52.9M
Charter School Pass-through -$24.7M $28.2M$ Not retained for CMS students
Mandated salary and benefit increases -$55.6M -$27.4MSalary Increases - $39.3MBenefits Increase* - $16.3M
Sustaining, Growth and New Space -$106.1M -$133.5MDay-to-day operating expenses
Reductions and Redirections +$168.2M $34.7MRealignment of existing resources
What’s Left
New initiatives to support -$34.7M $0Strategic Plan 2018
15
Total Increase $52.9 million
since FY09
*Benefit costs represent $16.9 million of total budget growth since FY09. Of that, $0.6M
represents benefits associated with adding new staff and is reflected in Growth.
The CMS 2016-2017 Operating Budget:
What we must pay for before anything else
(county dollar impact)
Employer Benefits
~ $1 million
SustainingOperations
~ $1 million CharterPass through
(+2,672students)
~ $8 millionState Class
Size Reduction
Local Supplement
~ $.2 million
2016-17 Magnet
Transportation
~$6 million
Growth &New Space
(+504 students)
~ $1 million
2016-17 State Projected Salary
Increase (3%- all; total of
5%-certified staff)
~ $10 million
16
17
• Strengthen student services supports
• +60 new school counselors, psychologists and social workers
• Expand New Teacher Orientation
• added time, inclusion of all new teachers
• Four-day summer content/digital learning
integration professional development
• Preventive maintenance and staffing support
• Provide digital learning devices to more students
• expanding 1:1 to additional grade levels
Some Potential New Budget Investments
What we want to do in 2016-2017
How do our funding needs compare to historical
operating funding increases?
18
$(33,999,394)
$(15,117,391)
$26,089,101
$9,093,563
$19,111,884
$31,692,046
$(40,000,000)
$(30,000,000)
$(20,000,000)
$(10,000,000)
$-
$10,000,000
$20,000,000
$30,000,000
$40,000,000
2009-2010 2010-2011 2011-2012 2012-2013 2013-2014 2014-2015
$ Change vs Prior Year
$ Change
2015-2016
$16,049,422
Mecklenburg County leaders have projected a total revenue increase of $40 million for 2016-2017. CMS would be allocated a portion of these funds.
Bond / Certificates of Participation (COP)
Bond/COPs Dollars
‘96 Bond $119,830,058 ‘97 Bond $415,000,000 ‘99 COPs $50,000,000 ‘00 Bond $275,500,000 ‘02 Bond $224,000,000 ‘04 COPs $98,500,000 ’05 COPs $73,900,000 ’06 COPs $154,764,532 ‘07 COPs $16,500,000 ‘07 Bond $516,042,943 ‘08 COPs $58,000,000
Economic Recession
‘13 Bond $295,168,000 Grand Total $2,297,205,533
Between 1997 and 2008, CMS received an average of $200 million per year in capital funding authorizations. After 2008, there was a five-year
span of no new capital funding.
An historical look at capital funding
19
The need for more capital funding is real
20
• 650 buildings on
5,150 acres
• 21.5 million sq. ft. of space
equals 21 Bank of America
corporate buildings
• ~1,100 mobile units
• 78% of schools at
or over capacity
• 78 of 168 schools
built more than
50 years ago
• 10-Year Capital Needs
Assessment
=$2 billion
Snapshot: 10-Year Capital Needs Assessment
More than 80% of the need is for maintaining current facilities
and building new ones to relieve overcrowding
21
$1,606,133,333
$60,000,000
$22,500,000
$60,000,000
$119,047,501
$50,020,000$65,667,950 $1,000,000 $20,000,000
Category Number 1 Category Number 2 Category Number 3Category Number 4 Category Number 5 Category Number 6
•
• Category Number 1: Growth projects, renovations, replacement schools
• Category Number 2: Instructional programming and technology, support facilities, demolition
• Category Number 3: Americans with Disabilities Act, indoor air quality
• Category Number 4: Site acquisition, food service upgrades
• Category Number 5: Fire alarm upgrades, roofing, sitework
• Category Number 6: Heating, ventilation and air conditioning, electrical, plumbing
• Category Number 7: Paving/sitework, surveillance systems
• Category Number 8: Structural evaluation/repair
• Category Number 9: High school athletics, playgrounds
In summary…
22
• CMS has made significant progress in
strengthening student achievement
• Our funding growth rate is not keeping pace
• day-to-day operating expenses and costs for
maintaining, renovating and expanding our facilities
are rising
• Additional operating and capital funding is needed
to support the learning environments our students
need and deserve. More funding will help:
• strengthen effective teaching in every classroom
• expand social and emotional supports for students
• prepare all students to graduate ready for college
and career success
March 2, 7 & 96:00-7:30 p.m.
Community engagement meetings – include budget/district update and Q&A
South Meck. HS Waddell Language AcademyIndependence HS
March 245:00-7:00 p.m.
Board of Education budget work session CMGC, Room 267
April 12 Superintendent presents 2016-17 Budget Recommendation BOE Meeting,CMGC Chamber
April 25, 27 & 286:00-7:30 p.m.
Community meetings on Superintendent’s Budget Recommendation
Hornets Nest ES Croft Community ES
Briarwood ESApril 266:00 p.m.
Public hearing on Superintendent’s Budget Recommendation BOE Meeting,CMGC Chamber
May 23:30-5:30 p.m.
Board of Education budget work session CMGC, Rooms 527/528
Date Activity Location
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Key Dates
May 106:00 p.m.
Board of Education approval of 2016-17 Budget Request BOE Meeting,CMGC Chamber
May 15 Board of Education’s 2016-17 Budget Request submitted to the county
May 24 Board of Education/Board of County Commissioners workshop on budget
CMGC, Room 267
May 26 County Manager’s Recommended Operating and Capital Budgets presented to BOCC
BOCC Meeting, CMGC Chamber
June 2 Public hearing on county’s budget BOCC Meeting, CMGC Chamber
June 21 County adopts 2016-17 Operating Budget BOCC Meeting,CMGC Chamber
July-Sept. (TBD) 2016-17 Operating Budget finalized and approved by BOE BOE meeting
Date Activity Location
24
Key Dates
Questions?
25
Preparing today’s students
to be leaders of tomorrow
