For the year ended June 30,2007

••

the

East Baton Rouge Parish School's/stemBaton Rouge, Louisiana

For the Year Ended June 30,2007

Prepared by theFinance and Budget Management Staff

Catherine Fletcher, CPAChief Business Operations Officer

James P. Crochet, CPAChief Financial Officer

Under provisions of state law, this report is a publicdocument. Acopy of the report has been submitted tothe entity and other appropriate public officials. Thereport is available for public inspection at the BatonRouge office of the Legislative Auditor and, whereappropriate, at the office of the parish clerk of court.

Release Date /

L Luiugt: L:srisli Sduiul System

arish ScLiccl System

EAST BATON ROUGE PARISH SCHOOL SYSTEMBATON ROUGE, LOUISIANA

Comprehensive Annual Financial Report

Fiscal Year Ended June 30, 2007

Table of .Contents

Introductory Section

Table of ContentsBoard MembersAdministrative OfficersLetters of TransmittalGovernment Finance Officers' Association of the United States and Canada

Certificate of Achievement for Excellence in Financial ReportingAssociation of School Business Officials' International

Certificate of Excellence in Financial ReportingOrganizational Chart

Financial Section

Independent Auditors' Report

REQUIRED SUPPLEMENTARY INFORMATION - PART 1

Management's Discussion and Analysis

BASIC FINANCIAL STATEMENTS

Government-Wide Financial Statements (GWFS)

Comparative Statement of Net Assets

Statement of Activities

Fu n d_Fmjmc_iyJ_Statenje nts_ (F F S)

Governmental Funds:

Balance Sheet

Reconciliation of the Governmental Funds Balance Sheetto the Statement of Net Assets

Statement of Revenues, Expenditures and Changes in Fund Balance

Reconciliation of the Governmental Funds - Statement of Revenues, Expendituresand Changes in Fund Balance to the Statement of Activities

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6 - 9

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EAST BATON ROUGE PARISH SCHOOL SYSTEMBATON ROUGE, LOUISIANA

Comprehensive Annual Financial Report

Fiscal Year Ended June 30, 2007

Table of Contents

BASIC FINANCIAL STATEMENTS (continued)

Proprietary Funds - Internal Service:

Balance Sheet

Statement of Revenues. Expenses and Changes in Net Assets

Statement of Cash Flows

Fiduciary Funds:

Statement of Fiduciary Assets and Liabilities

Notes to Basic Financial Statements

REQUIRED SUPPLEMENTARY INFORMATION - PART II

Major Fund Descriptions

Budgetary Comparison Schedules:

General Fund

Title I Fund

Proposition 2 - Discipline Fund

Proposition 3 - Compensation Fund

Child Nutrition Fund

Notes to Required Supplemental Information

Supplemental Information

COMBINING AND INDIVIDUAL FUND STATEMENTS AND SCHEDULES

General Fund - Schedule of Revenues, Expenditures and Changes in Fund Balance -Detailed Budgetary Comparison Schedule

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EAST BATON ROUGE PARISH SCHOOL SYSTEMBATON ROUGE, LOUISIANA

Comprehensive Annual Financial Report

Fiscal Year Ended June 30, 2007

Table of Contents

Supplemental Information (continued)

Non-major Governmental Funds:

Non-major Governmental Fund Descriptions

Combining Balance Sheet

Combining Statement of Revenues. Hxpenditurcs and Changes in Fund Balance

Schedules of Revenues, Expenditures and Changes in Fund Balance -Budget and Actual:

Title IITitle VGear-Up Baton RougeExceptional Education ProgramAlcohol and Drug AbuseCareer and Technical EducationTemporary Assistance For Needy FamiliesState GrantsContinuing EducationTitle IVLocal GrantsDirect Federal ProgramsSummer SchoolTextbooksDisaster ReliefWBRH Radio Station Training ProgramServe! Baton RougeTeclmology Literacy Challenge (Title I I I )NASA-LSU 1st RoboticsReading FirstHomeless Youth Assistance

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EAST BATON ROUGE PARISH SCHOOL SYSTEMBATON ROUGE, LOUISIANA

Comprehensive Annual Financial Report

Fiscal Year Ended June 30, 2007

Table of Contents

Supplemental Information (continued)

Proprietary Fund Type - Internal Service Funds:

Internal Service'Fund Descriptions

Combining Balance Sheet

Combining Statement of Re venues, Expenses and Changes in Net Assets

Combining Statement of Cash Flows

Fiduciary Fund Type - Agency Funds

Agency Fund Descriptions

Statement of Fiduciary Assets and Liabilities

Combining Statement of Changes in Assets and Liabilities

Capital Assets

Comparative Schedule of Capital Assets - By Sources

Schedule of Capital Assets at Cost - By Function

Schedule of Changes in Capital Assets - By Function

Statistical Section

Statistical Schedule Descriptions

Net Assets By Component - Last Seven Fiscal Years

Changes in Net Assets - Last Seven Fiscal Years

Fund Balances of Governmental Funds - Last Ten Fiscal Years

Changes in Fund Balances of Governmental Funds - Last Ten Fiscal Years

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EAST BATON ROUGE PARISH SCHOOL SYSTEMBATON ROUGE, LOUISIANA

Comprehensive Annual Financial Report

Fiscal Year Ended June 30,2007

Table of Contents

Statistical Section (continued)

Assessed and Estimated Actual Value of Taxable Property - Last Ten Tax Years

Principal Properly Taxpayers - Current Year and Nine Years Ago

Property Tax Rales and Tax Levies - Direct and Overlapping Governments -Last Ten Tax Years

Property Tax Levies and Collections - Last Ten Tax Years

Ratios of Outstanding Debt hy Type - Last Ten Fiscal Years

Computation of Legal Debt Margin - Last Ten Tax Years

Computation of Direct and Overlapping Debt - December 31, 2006

Demographic Statistics - Last Ten Fiscal Years

Principal Employers - Current Year and Nine Years Ago

Genera] Fund Expenditures by Function - Last Ten Fiscal Years

General Fund Expenditures by Function Per Pupil - Last Ten Fiscal Years

Full-Time Equivalents (FTE) Employees - Last Ten Fiscal Years

Board Members' Compensation - June 30. 2007

Percentage of Free and Reduced Students in Lunch Program - Last Ten Fiscal Years

History of High School Graduates - Last Ten Fiscal Years

Capital Asset Information - June 30, 2007

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••

torEast Baton Rouge Parish School.Systemnot discriminate

the'basis of race, color, national 0

*

Board MembersPatricia H. Smith, President

Noel Hammatt,Vice-President

Gerald "Jerry" Arbour

Jonathan C.Augustine

William P."Bill" Black

Greg Baldwin

Jill Dyason

VeretaT.Lee

Darryl L. Robertson

Juanita Sanford

Tarvald A. Smith

Derrick W. Spell, M.D.

Charlotte D. Placide - Superintendent

Administrative Officersi

i

Superintendent of SchoolsGeneral Counsel |Special Assistant to the SuperintendentAssistant\Superintcndent for Accountability and AssessmentChief Technology OfficerDirector for-Communications and Community EngagementPublic Information OfficerAssociate Superintendent of Human ResourcesAssociate Superintendent for Instructional Support Services

Chief Academic OfficerAssistant Superintendent for Instructional Services

Area I, Elementary SchoolsAssistant Superintendent for Instructional Services

Area II, Middle SchoolsAssistant Superintendentvfor Instructional Services .

Area III, High Schools',Assistant Superintendent fb* Instructional Services

Area IV, Elementary SchoolsDirector of Magnet School ProgramsDirector of Special EducationInterim Director of ReadingDirector of CurriculumDirector for Preschool ProgramsDirector of Professional Development

Chief Business Operations OfficerChief Financial OfficerAssistant Superintendent for Auxiliary ServicesAdministrative Director of FacilitiesAdministrative Director for TransportationBudget Coordinator

Charlotte D. PlacideDomoine D. Rutledge

Angela LeeJennifer Baird

Jesse NobleChris Trahan

Kami McDonaldElizabeth Duran-Swinford

Herman Brister

Robert Stockwell

Paula Fabrc

Maria Pitrc

John D. McCann

Paula JohnsonCarlos SamLee Dixon

JoAnn LamottcElizabeth Walsh

Bobbie RobertsonKirk Guidry

Catherine FletcherJames P. Crochet

Gail JohnsonRobert Cooper

William TalmadgeDoris Brown

xi L:srisli Sdiuul SystemL -

EAST B&FQN ROUGE PARISH SCHOOL SYSTEM

1050 South Foster Drive. Baton Rouge, TxDuisiana 70806P.O. Box 2950, Baton Rouge, Louisiana 70821

(225) 922-5400www.cbrschools.org

November 15, 2007

President and Members of theEast Baton Rouge Parish School Board

Dear Board Members:

The Comprehensive Annual Financial Report of the East Baton Rouge Parish School System for the fiscal yearended June 30, 2007, is presented herewith. This financial report represents a comprehensive portrait of theSchool System's financial condition. It is structured in such a manner as to make it a very useful managementinstrument as well as an informative public document.

The Comprehensive Annual Financial Report, along with internal audit activities and other budgetary reports,combine to provide for an effective internal fiscal management control system. This combination of accountingand financial reporting serves the purpose of satisfying our responsibility to.provide the public with complete andaccurate financial data.

The fiscal year 2006 Comprehensive Annual Financial Report received the Certificate of Achievement forExcellence in Financial Reporting from the Government Finance Officers Association and the Certificate ofExcellence in Financial Reporting from the Association of School Business Officials. This was the twenty-firstconsecutive year that the School Board received both of these prestigious awards.

The staff of the Operations and Budget Management, Finance, and Graphic Arts Departments is to be commendedfor the attainment of such high standards for their financial reporting and their efforts in the preparation of thisreport on a timely basis. In addition, Postlethwaite & Netterville, our independent auditors, are to be commendedfor the professional, thorough, and timely manner in which the audit was conducted.

Respectfully submitted.

Charlotte D. Placide, MPA, RSBA, CGFOCEO/Superintendent of Schools

www.ebrscliools.ur BETTER SCHOOLS. BETTER FUTURES.

L-^EAST BATON HOUCEPARiaHSCHOpLSYgrEM-j

Baton Rouge Parish School.System^,not discriminate i

race, color, national

//wqlsahiiityiY/ / / fn\v

EAST BATON ROUGE PARISH SCHOOL SYSTEM

1050 South Foster Drive, Baton Rouge, Louisiana 70806P.O. Box 2950, Baton Rouge, Louisiana 70821

(225) 922-5400www.ebrschools.org

November 15, 2007

President and MembersEast Baton Rouge Parish School Board

Residents of East Baton Rouge Parish:

We are pleased to submit to you the Comprehensive Annual Financial Report (CAFR) of the East Baton RougeParish School System (School System), for the fiscal year ended June 30, 2007. This report provides full disclosureof the financial operations of the School System for the fiscal year ended June 30, 2007. This CAFR, which has beenaudited by Postlethwaite & Netterville, APAC, a firm of licensed certified public accountants, conforms to GenerallyAccepted Accounting Principles (GAAP) as applicable to governmental entities. Responsibility for both the accuracyof the data and the completeness and fairness of the presentation, including all disclosures, rests with the SchoolBoard and management of the School Board. To the best of our knowledge and belief, the enclosed data are accuratein all material respects and are reported in a manner designed to present fairly the financial position and results ofoperations of various funds and account groups of the School System. All disclosures necessary to enable the readerto gain an understanding of the School System's financial activities have been included.

The Reporting Model

The School Board and management adopted the provisions of Governmental Accounting Standards Board (GASB)Statement No. 34, Basic Financial Statements - and Management's Discussion and Analysis -for State and LocalGovernments for the fiscal year ended June 30, 2001. This reporting model is designed to make the annual financialreport easier for the public to understand and improve operational accountability with the introduction of district-wide financial statements compared to the previous reporting model which was based on fund and fund types. GASBNo. 34 creates new basic financial statements for reporting on the School System's financial activities as follows:

Government-wide financial statements consist of a statement of net assets and a statement of activities.These statements are prepared on an accrual basis of accounting for all activities of the School System,which is similar to the basis of accounting and financial reporting followed by the private sector. Thegovernment-wide statements distinguish between the governmental and business-type activities of theSchool System.

Fund financial statements present information for individual major governmental and enterprise fundsrather than by fund type. Non-major funds are presented in total in one column.

Notes to the financial statements provide additional information that is essential to a user's understanding ofthe basic financial statements. Notes contain information that are not a part of the financial statements;however, notes are an integral part of the statements.

Required Supplementary Information (RSI) consists of statements that present comparisons of actualinformation to the legally adopted budget. Management's Discussion and Analysis (MD&A) is also a partof the RSI and is intended to provide an objective, easy to understand narrative overview and analysis of thebasic financial statements. It explains the financial position and results of operations of the School Systemfor the past fiscal year. This letter of transmittal is designed to complement the MD&A and should be readin conjunction with it. The MD&A is located immediately following the report of the independent auditors.Copies of this CAFR will be made available to the Chamber of Commerce, major taxpayers, the publiclibrary, and other interested parties.

\vww.ebrschooils.orff BETTER SCHOOLS. BETTER FUTURES.

Reporting Entity

This report includes all funds and account groups of the School System. The School System is a political subdivisionof the State of Louisiana created under the Constitution of Louisiana. It has the power to sue and be sued and tomake rules and regulations for its own government consistent with the laws of the State of Louisiana and theregulations of the State Board of Elementary and Secondary Education (BESE). It is the responsibility of the SchoolBoard to make' public education available to the residents of East Baton Rouge Parish.

The elected Board is chosen from twelve single-member districts with each member serving a concurrent four-yearterm. The School Board is authorized to formulate policy, to establish public schools as it deems necessary, toprovide adequate school facilities for the children of East Baton Rouge Parish, to determine the number of teachersto be employed and to determine their salaries. Additionally, the School Board selects the Superintendent of Schoolsto serve as the School System's chief executive officer.

The public is invited to attend regular meetings of the School Board which are held the third Thursday of each monthat 5:00 p.m. in the Board Room of the School System's Central Office, 1050 South Foster Drive. Meetings aretelevised live on Cox Cable Channel 21 and replayed at various times during the following weeks.

The School System provides a full range of public education services at all grade levels ranging from pre-kindergarten through grade twelve to approximately 46,462 students. Total enrollment includes students participatingin pre-kindergarten programs, regular and enriched academic education, alternative education, exceptional studentservices education for the handicapped to age twenty-two, career and technical education and three Charter Schools(two elementary and one middle). In addition, the School System serves approximately 4,500 adult educationstudents annually and employs approximately 6,000 persons. Services provided to students include instructionalstaff, instructional materials, instructional facilities, administrative support, business services, food services, systemoperations, facility maintenance, and bus transportation.

The goal of the School Board is to become an exemplary pre-kindergarten through 12th (PK-12) school system, withrigorous teaching and learning, where ALL students and adults meet high expectations.

The vision of the School Board is a high-achieving performance-based system advancing scholarship and the lifelongdevelopment of students consistent with their needs, interests and abilities, while strengthening the economic, socialand cultural life of a diverse community and operating at the highest levels of ethical and professional behavior.

ECONOMIC CONDITION AND OUTLOOK

The School System is located in Baton Rouge, Louisiana, in the southeastern section of the State, along theMississippi River. In addition to being the largest city in the State, post-Hurricane Katrina, Baton Rouge is also thecapital of Louisiana and the principal home of two major state universities: Southern University (SU) and LouisianaState University (LSU).

The Baton Rouge Community College (BRCC), a two-year institution of higher education, opened in the Fall of1998 and is one of America's fastest-growing campuses. When classes began at BRCC in 1998, enrollment was justunder 1,900 students, current enrollment is approaching 7,000 students. The community college system builds asystem of higher education that is more affordable for young people and provides opportunities for training andcertification in a number of skills. BRCC is jointly under the control, supervision, and management of the Board ofSupervisors of Southern University and Louisiana State University.

Baton Rouge is the home of one of the largest oil refining and petrochemical centers in the nation and is the hub ofthe industrial region that stretches eighty miles to New Orleans. Located 230 river miles (434 kilometers) above themouth of the Mississippi River, with a 45-foot channel, Baton Rouge is the furthest inland dccpwater port on theGulf of Mexico via the Mississippi River. The expanding Port of Greater Baton Rouge ranks tenth among the majorports of the nation. The Port of Greater Baton Rouge is a strategic gateway for the handling of international anddomestic commerce. The Greater Baton Rouge area is designated as a U.S. Customs Port of Entry.

Baton Rovige is the home for several high-technology research facilities such as Louisiana State University'sC. B. Pennington Biomedical Research Center and its Center for Advanced Microstructure and Devices. Opened in19SS. the Pennington Center now houses 14 research laboratories, 17 core service laboratories, inpaticnt andoutpatient clinics, a research kitchen, an administrative area, and more than S20 million in technologically advancedequipment. More than 70 faculty members and over 600 physicians, scientists, and support personnel focus theirresearch efforts on six key areas: obesity and metabolic syndrome, experimental obesity, functional foods, nutritionand chronic diseases, health and performance enhancement, and nutrition and the brain. Facilities such as these willcontinue to boost the local economy.

Wampold Companies began construction in August 2007 on the II City Plaza. This is the first large-scale officebuilding in downtown Baton Rouge in more than 25 years. The site will be located in the heart of downtown atConvention and Fourth streets and will be a 12-story, 260,000 square-foot complex. The building is expected to openby the end of 2008 and is estimated to cost $70 million. The plans will connect the new tower to City Plaza via agranite-and-glass breezeway. Other amenities include a courtyard between the towers and a first-floor with 10,000square feel of additional high-end retail space. This new building will increase Class A office space, a segment of theBaton Rouge market that already was near capacity before Hurricane Katrina boosted demand.

In November 2006, Governor Kathleen Blanco announced a $100 million expansion of the Formosa Plasticschemical pJanl on Scenic Highway. Construction began in early 2007 and will extend two years as Taiwan-basedFormosa expands its vinyl chloride monomer output about 50 % to 744,000 tons per year. Vinyl chloride monomeris a building block for polyvinyl chloride products, such as PVC pipe, tubing, wall coverings, film and swimmingpool liners. The expansion protects 290 jobs - 70 of them permanent contractors - at Formosa in Baton Rouge. Thisexpansion will provide a boost to (he local economy.

East Baton Rouge Parish consumer and business spending increased by approximately 9% during 2006. More than$7.47 billion was spent in the parish last year. The numbers were even more impressive compared with 2004, thecalendar year before Hurricane Katrina's energizing effect on the local economy. Spending throughout 2006represented a 24% jump from the $6.03 billion spent two years ago. The figures showed retailers raked inS744.1 million in the key holiday-shopping month of December, a 5.1% decline from the year-ago period. TheDecember figures represent a 14% increase over the $653 million during the same month in 2004. Spending rosenearly 11% within incorporated areas to $4.48 billion. Spending climbed 6.4% in unincorporated areas toS2.9S billion. The numbers, based on the city-parish Finance Department's collection of a 2% sales tax. do notinclude vehicle sales, the collection of which is often volatile.

Actual sales tax collections through June 2007 were finalized and received from the City Parish in August 2007.Actual collections improved slightly for the fiscal year ended June 30, 2007. Actual collections parish wide indicatean increase over prior year's collections of approximately 2.58% compared to 22.58% for the prior year. Sales taxcollections represent a major component or 29.6% of general operating revenue for the School System. The localeconomy remained constant in employment for goods producing and service providing jobs, when compared to ayear ago. The unemployment rate for the Baton Rouge area for June 2007 was 4.6% compared to 4.6% for June2006.

Several years ago, the Louisiana Legislature approved a revision to the State Minimum Foundation Program (MFP)for elementary and secondary education that has and will continue to greatly impact the School System. This MFPformula establishes a standard of local support for each school system based on the State average local supportrelative to the system's capacity to raise local funds. The formula provides that no school system will receive lessSlate funds than the MFP formula provided to them in 1991-1992 unless there is a decline in student enrollment.

Student enrollment had declined by approximately 14,625 since 1994; however, approximately 5.S56 of thisdecrease is attributable to the Baker and Zachary separations. This decline in student enrollment has resulted in Statefunding to the School System being reduced by millions of dollars. Student enrollment appears to have stabilizedwith February 1, 2007 student enrollment approved for the purpose of funding by the Slate of 46:462 students, whichwas 1,333 students more than the 2005-2006 State audited enrollment count.

XI

Prior to 2002,: the MFP formula provided no additional revenues to the School System even in a year of studentenrollment growth. A "hold-harmless" clause was in the formula to provide assurance that the School System wouldnot lose an estimated $30 million. The Legislature had designated limited increases in State funding in recent yearsto approximately eleven districts with a "hold harmless" clause. The increases to those districts were designated forthe purpose of increasing teacher compensation in conjunction with a move by the Legislature and the Governor toimprove teacher compensation statewide. The "hold harmless" designation was modified by the Legislature for the2001-2002 fiscal year and replaced with a designation of'over funded". The "hold harmless" distinction in Level 1(local wealth) and Level 2 (local effort) of the MFP formula was replaced by an "over funded" designation inLevel 3 of the formula. As a result, the School System has a not to exceed amount of approximately $25.6 million or$567 per student, with equal participation in Levels 1 and 2.

During the 2007 legislative session, the State Department of Education (SDE) presented simulations to the Board ofElementary and Secondary Education (BESE) to phase out the hold harmless over ten (10) years, which wassubsequently approved by the Legislature. In the SDE simulations the District has an offset to hold harmless ofapproximately $13.6 million, which is attributable to level 3 raises initially required in fiscal years 1996-1997, 1997-1998, and 1998-1999. The SDOE has proposed that the remaining hold harmless balance of $12.0 million beeliminated over ten (10) years at SI.2 million per year by reducing MFP funding, commencing 2007-200S.

The General Fund Budget lias sustained substantial cuts to programs and extensive employee reductions as a resultof declining student enrollment and Stale funding, and flat sales tax collections in recent years. However, noreductions were recommended for the 2007-2008 fiscal year and only modest reductions were recommended for2006-2007. Sales tax growth prior to Hurricane Katrina was relatively minimal; however, post Katrina collectionsare robust. Sales tax collections are being monitored very closely to ensure stabilization before recurring costs areadded to the General Fund Budget.

MAJOR INITIATIVES

Current Year - During the 2006-2007 year, the School System continued its efforts to improve studentperformance and community support through various programs.

Strategic Plan

Implementation of the Strategic/Accountability Plan (SAP) which was approved by the East Baton Rouge ParishSchool Board June 5, 2005 continues. With input from external and internal stakeholders, the School Systemdeveloped a plan that consists of three objectives, which are supported by research-based strategies and thenexecuted by tactics that are specific actions selected to implement those strategies. School System personnel haveassumed the responsibility of regularly reporting SAP progress not only to the Board on a quarterly basis, but alsosemi-annually to the Guiding Coalition, a group of business and community leaders selected by the Board and theSuperintendent;to serve as Ambassadors for the School System. The existing plan expires in June 2008 and iscurrently in the process of revision with a target Board approval date of January 2008. The Strategic Plan's goal andobjectives are as follows:

Goal: .

To become an exemplary pre-kindergarten through 12lh grade (PK.-12) school system, with rigorous'teaching and learning, where ALL students and adults meet high expectations.

Objectives:

\. Increase student achievement.2.' Promote a safe, caring, and service oriented district culture.3.. Improve communications and expand community engagement.

XII

Tax Plan Prowess

All projects in the first five year phase of the 1998 One-Cent Sales Tax Plan were completed in the 2004-2005 fiscalyear at a total cost of $168.5 million. All projects were completed on time and within budget constraints.

New School Openings

Construction of the new McKinley Middle Magnet School and Woodlawn Middle School were completed and readyfor students, faculty, and staff in August 2006. The new Winboume Elementary was ready for students, faculty, andstaff in August 2007.

Tax Plan Continuation

In May 2003, the community continued to support the School System by voting to continue the five year one-centsales tax. The continuation was again in the form of three propositions, mirroring the form it took in 1998 withcollections to begin April 1, 2004 and continue through 2010. Proposition 1 calls for the construction of seven new-schools (4 new, 3 rebuilt), major renovations at another four (3 high schools, 1 middle) and much needed repairs atanother forty (7 high schools, 9 middle schools, 24 elementary schools). Both the new and renovated schools willprovide appropriate educational spaces that are more conducive to teaching and learning, provide adequate specialprogram and laboratory facilities; improve safety and security, and increase technology implementation andaccessibility.

Propositions 2 and 3 will fund the continuation of discipline programs and employee compensation at current levels.A community Oversight Committee continues to ensure that the money approved by the voters is spent appropriately.

Major Projects

o The new Woodlawn Middle School and the new McKinley Middle School were completed and opened inAugust 2006. The new Winboume Elemenary opened in August 2007.

o Major renovations to Scotlandville Middle School to convert the site to an elementary school werecompleted in December 2006.

o Major renovations to Baton Rouge High School are in the planning phase. A staff committee has beenappointed by the Superintendent to determine the direction of this restoration/renovation/replaccmentproject.

* A classroom addition at LaBelle Aire Elementary School was completed October 2006.

« Classroom renovation projects at twelve (12) locations were completed and ready for students, faculty, andstaff in August 2006.

o Classroom renovations at Broadmoor High were completed in August 2007. Classroom renovations andadditions are underway at Park Forest Middle and Park Forest Elementary Schools.

o The major renovation at McKinley High School is in the planning phase.

o Demolition of the old Capitol Middle School to make room for the new Capitol Elementary School iscomplete. The new school is under construction and scheduled for completion August 2008.

o Construction of the new Winboume Elementary School was completed in August 2007.

o The new Dufrocq Elementary School and the new Woodlawn Elementary School are in the design phase.Both schools are scheduled to open in August 2009.

xin

Stupski Foundation -.

•The School System has partnered with the Stupski Foundation in an effort to improve the overall performance of the £School System. In October 2003, the School System received an invitation from the Stupski Foundation to attend a ^work session in a joint partnership which would provide expert and financial resources to the School System. Based ™in Mill Valley, California, the Stupski Foundation has worked with other high poverty, urban school systems similar £to Hast Baton Rouge Parish School System (EBRPSS). Believing EBRPSS has a leadership team and a School ^Board committed to doing what it takes to improve the School System, Stupski began lending its expertise and 9support in the form of not only dollars, but also human capacity. With the Stupski teams' guidance, the School £System began assessing students more frequently, so future instruction focuses on students' weaknesses proactively. —The foundation will continue working with the School System for 2007-2008, but will adopt a less-active role as the 9partnership nears completion. A

Established in 1996 as a non-profit operating foundation, the Stupski Foundation believes that it's most effective Wcontribution to education reform is through support at the district level, providing expert resources and financial Ainvestment in district partnerships. Resource teams include former superintendents, educational leaders, andconsultants who have led successful district reform initiatives, as well as organization development, data analysis, ^and systems experts. A

The core belief of the Stupski Foundation is that all children can learn and achieve high academic standards, Vregardless of race or income. Success depends on creating an equitable, system-wide results-oriented culture that Aembraces change. Selected partner districts must demonstrate evidence of readiness and capacity to improve ^performance, including the leadership of the Superintendent and School Board with an impassioned will to do this 9work. The Stupski Foundation acts as a trusted advisor, coach and investor to help create a culture for system ^*change through a courageous and honest collaboration and a shared commitment to reform.

Teach Baton Rouse ^wTeach Baton Rouge, the School System's alternative certification program, is in its seventh year of operation. The £program aims to attract high-quality professionals to a career of teaching. Selection for the program is highly ^competitive. In the first year, only one out often applicants were selected. For the 2007-08 school year nearly two ™hundred people applied to the program, and thirty-five began teaching. All participants are "highly qualified" using Acurrent No Child Left Behind (NCLB) definitions before they enter the classroom as teachers. The program has ^been responsible for bringing over 125 new teachers into EBRPSS's classrooms. A large majority of program Wmembers teach in critical shortage areas such as special education, math, and science. All program members ^participate in a certification program that leads to full certification within eighteen months. ^

Teach Baton Rouge helps to build a more diverse teaching force - the recruiting efforts target males. AAfrican-Americans, and persons with math/science backgrounds. Teach Baton Rouge members enjoy success in theclassroom. Several Teach Baton Rouge teachers have been selected as "Teacher of the Year" for their schools and ™have been given leadership roles within their individual school sites. In addition, several Teach Baton Rouge 4|teachers were selected as Academic Distinction Fund (ADF) fellows, and are serving as mentors to new teachers.EBRPSS also currently has four teachers that have earned National Board Certification. Teach Baton Rouge teachers 9work in EBRPSS hardest to staff schools. Here they are paired with their colleagues from Teach for America, the Anational teacher corps that has placed over 340 teachers in East Baton Rouge Parish Schools since 1990.

30 EBR Schools Receive $303,548 in Awards f

As part of the State's Academic Accountability Program, thirty schools received monetary rewards. Eighteen 0schools, receiving labels of "Exemplary Academic Growth," and twelve schools, receiving growth labels of A"Recognized Academic Growth" were awarded 5303,548. These awards ranged from $3,959 to $16,940 and can be ™used at the discretion of the schools for any allowable expenditures other than salaries, bonuses, or construction. f'

xiv

Test Scores and Awards

East Baton Rouge Parish School System students continued to show improvement on the slate's LEAP Exams buthad disappointing results in English and math on the Graduation Exit Exams (QBE). The scores of 4th and 8thgraders showed noteworthy gains in English, improved in both science and social studies and remained stable inmath. EBRPSS 3rd. 5th. 6th, 7th and 9th graders earned mixed results on the statewide /LEAP assessment. The/'LEAP, which stands for Integrated Louisiana Educational Assessment Program, replaced The Iowa Tests beginningin the 2005-2006 school year, so districts now have two years of data with which to compare student academicachievement. The American College Test (ACT) average score for the school system was 19.5, the same as lastyear. Trends in the EBRPSS test data mirrored the Stale of Louisiana data collected in 2006-2007.

Educational Programs/A wards

Glasgow Middle School was one of three schools in Louisiana named a 2007 No Child Left Behind - Blue RibbonSchool. The No Child Left Behind - Blue Ribbon Schools Program recognizes schools that make significant progressin closing the achievement gap or whose students achieve at very high levels. The schools are selected based on oneof two criteria: 1) schools with at least 40 percent of their students from disadvantages! backgrounds thatdramatically improve student performance to high levels on State tests; and 2) schools whose students, regardless ofbackground, achieve in the top 10 percent of their state on State tests or in the case of private schools in the top 10percent of the nation on nationally-normed tests. The 2006 No Child Left Behind - Blue Ribbon Schools will behonored at an award ceremony in Washington, D.C., November 12-13, 2007.

The National Board for Professional Teaching Standards announced that 26 East Baton Rouge Parish School Systemteachers have successfully completed the rigorous application for National Board Certification and are nowrecognized as among the nation's top educators. This is the highest credential in the leaching profession. Louisianaranked 10th in the nation for the number of new National Board Certified teachers in 2006, and East Rouge Parish(ops the stale list.

Educational choice through magnet programs has resulted .in approximately 28 magnet and gifted and talentedprograms being developed and implemented throughout the School System. Magnet programs create excitinglearning experiences and promote student achievement. They attract students based on their learning needs, skillsand special interests. Enhanced instructional and magnet programs such as Montessori. Visual and Performing Arts,Architectural Design, Medicine, Extended Day, Pre-Kindcrgarten. Medical/Health, Engineering. Computer Scienceand Technology, Communication, Math/Science, Foreign Language, and Environmental Science are just a few of theinstructional programs being offered at various levels throughout the School System.

The Junior Reserve Officers' Training Corp (JROTC) is currently offered in nine high schools. The main goal of theprogram is to develop leaders and responsible citizens through a combination of academic and physical activities.JROTC is designed to teach citizenship and leadership, while instilling self-esteem, teamwork, and self-discipline inhigh school students. The focus of JROTC is reflected in its mission statement, "To Motivate Young People to beBetter Citizens". JROTC promotes and encourages service to the community, promotes high school completion, andprovides incentives to live drug free. The driving philosophy and vision behind this program is to produce successfulstudents and productive adults. Since participation in this program makes cadets fully aware of the opportunities andbenefits derived from their American heritage, the JROTC program makes substantial contributions to thecommunity and ultimately the Nation's future. Uniforms and textbooks are furnished at no expense to the students,and there is no obligation to enter military service.

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The School System's enrollment in Career and Technical Education (formerly vocational education) includes 9,908high school students and 1,153 middle school students. A variety of innovative programs prepare students forproductive citizenship and life-long learning, and are designed to assist all students in making a successful transitionfrom school to the workplace, or post-secondary education. Some funding for career and technical programs isobtained through the Carl Perkins IV Applied Technology Act of 2006. The Basic Grant and Tech Prep initiativesresulted in funding of approximately $780,669 for fiscal year 2006-2007. The goals of this department areaccomplished by providing students with assistance in career development activities, development of five year careerplans, purposeful course selection that develops both academic and technical skills, development of employabilityskills, and providing opportunities for students to obtain a Diploma Endorsement for Career and TechnicalEducation. :

The School System continues to expand opportunities of prc-school programs. Pre-K. students are providedtransportation to a number of sites for six hours of instruction daily along with before and after school care. EBRPSSquality pre-schpol environments provide small pupil-teacher ratios, certified teachers and a curriculum based on theNational Association for the Education of Young Children standards of developmcntally appropriate practices.

A range of services are offered based on the mentally and/or physically disabled child. Exceptional students can beplaced in the following settings: the regular education classroom with extra support available, resource classrooms,or the self-contained and community-based classes. Alternative programs are also offered to help meet the needs ofnon-traditional learners such as: Staring Education Center and Mohican Preparatory Academy for over-aged middleschool students and special programs for over-aged students at all middle schools except McKinley Middle Magnetand Sherwood Middle Magnet.

For high school aged non-traditional students the School System offers Baton Rouge Prepatory Academy, NorthdaleAcademy and Valley Park Alternative schools. Juvenile Continuing Education Programs for middle and high schoolstudents expelled from the traditional schools, Options Pre-GED and Adult Education programs arc also available.

High Schools in the School System are providing students with curriculum opportunities to pursue: 1) collegedegrees at the nation's finest colleges and universities; 2) college degrees after attending community colleges;3) associate degrees at community and technical colleges; 4) employment opportunities; and 5) careers in the UnitedStates Military.

During the 2006-2007 school year, many high school students participated in dual enrollment courses in partnershipwith Baton Rouge Community College, Southern University, and Louisiana Technical College. Additionally studentstook honors courses, advanced placement courses and courses which were articulated with various colleges anduniversities. The School System works with many educational institutions to offer our students rigorous and variededucational opportunities.

A United States Treasury Official helped open Louisiana's first middle school credit union. The Staring CreditUnion branch is a partnership between Staring Education Center, an alternative East Baton Rouge Parish middleschool for over-age youth, and the Louisiana Department of Transportation and Development Federal Credit Union(LA DOTD FCU). The innovative program provides students hands-on learning opportunities, while teaching theimportance of money-management skills and "real world" business practices. Staring Credit Union will operate as abranch of LA DOTD ECU, run by the students under the guidance of Marcia Wells. LA DOTD FCU;s CommunityDevelopment Representative. Staring students will staff the credit union during operating hours, setting up savingsaccounts and accepting deposits from classmates and teachers.

In 2005, the U.S. Department of Education's Safe Schools/Healthy Students office awarded the School System athree-year grant totaling S8.7 million dollars designed to help curb violence and substance abuse among schoolchildren. The School System submitted a comprehensive plan in partnership with other community organizations.The plan addressed six elements: 1) a safe school environment; 2) alcohol and other drug and violence preventionand early intervention programs; 3) school and community mental health preventive and treatment interventionservices; 4) early childhood psycho-social and emotional development programs; 5) educational reform; and6) safe school policies. The grant is currently in year three and is expected to be renewed for an additional year.

xvi

Volunteers in Public Schools (YIPS)

For over 25 years. Volunteers In Public Schools (VIPS) has advocated and supported the belief that the entirecommunity shares in the responsibility of educating its young citizens. VIPS1 programs include EveryBody Reads, areading tutorial program that improves the reading skills of first-, second- and third-grade students. Last school year,EveryBody Reads matched 538 students in 24 schools who were reading below grade level with Reading Friendvolunteers. Additionally, VIPS piloted EveryOne Counts, a one-on-one tutorial program that improves the mathskills of second and third graders. VIPS* Partners In Education program connects businesses and other local entitieswith public schools to enhance student achievement. Community involvement in EBRPSS rose by four percent asdocumented in the 144,454 volunteer hours reported for the 2006-2007 school year. The Independent Sector inWashington, D.C. set the hourly volunteer rate at SI8.04, equaling a dollar investment of 52,711,400. This equatesto the hiring of 45 teachers at a base salary of 560,000.

Child Nutrition Program

One goal of the School System's Child Nutrition Program is to serve nutritious, appetizing, wholesome, affordablemeals to the School System's students and staff. The administration believes that good nutrition is a key to learningand that every child has the right to a nutritious breakfast and lunch at the lowest possible price.

The Food Service Department provides 58,000 meals daily, including breakfast, lunch and snacks. Through a U.S.Department of Agriculture (USDA) Breakfast Grant, the Child Nutrition Program is able to offer a free breakfast toall students. For the 2007-2008 school year, student lunch prices are as follows: SI.70 (elementary) and SI.90(middle or high).

All of the central Child Nutrition Program administrative staff have a BS degree with specific training in the field ofDietetics and Nutrition. School meals are planned to comply with the School System's Wellness Policy and allfederal and state regulations for nutritious meals. The USDA through the Louisiana Stale Department of Education,Division of Nutrition Assistance, provides regulatory guidance and monitoring of the School System's ChildNutrition Program.

Transportation Department

During the 2006-2007 school year, the School System transported 41,971 students for a total of 4.88 million miles.With a total of 620 buses, the Transportation Department travels about 27,165 miles daily. Free service is providedto all students living more than one mile from their schools. A committee with representation from the community,administration, private and parochial schools, and city transit was formed to study options available to reduce thecost of transportation.

Charier School Demonstration Programs

During the 1995 Louisiana Legislative Session, the Legislature passed Senate Bill 1305 (Act 192 of 1995) whichestablished a Charter School Demonstration (pilot) program and gave parents, teachers, and citizens an opportunityto create independent public schools.

The School Board received Board of Elementary and Secondary Education (Bl:SE) approval to be one of the eightdemonstration School Systems and began operation of three charter schools in the fall of 1997. The School Boardapproved two elementary and one middle charier schools. The three charter schools began operation in the fall of1997, each with approximately 54 students. Enrollment has more than doubled in each school since they opened.Student enrollment increases have been approved by the School Board allowing for enrollment (with funding) ingrades K-5 at the elementary schools of up to 120 and 180 students at each of the schools. The School Boardpreviously approved an annual increase of 20 students for one of the elementary schools and also approved anincrease of 15 students for the middle school for a total of 145 students. The total General Fund appropriation 10 thecharter schools for the 2006-2007 fiscal year was S3.5 million.

xvn

Facilities Management Partnership Contract £

Approximately seven years ago, following extensive investigation and research, the School System developed a ™partnership arrangement with ServiceMaster to provide management services for some aspects of physical plant £services, facilities, maintenance, and grounds. Subsequently, ServiceMaster was acquired by ARAMARK. The A

contract was amended slightly and the School System continued basically the same partnership with ARAMARK. 9On March 1, 2004, the School Board negotiated a five-year partnership arrangement with ARAMARK, with a five- 4|year renewal option, to provide total Facilities Management Services in the following areas: maintenance, custodial. A

grounds, materials management/warehousing, and workforce management. The contract will make a number of wstaffing, procedural, and work flow changes, changes to delivery and procurement systems aimed at improving fservice to the School System, while capitalizing on efficiencies gained through the application of ARAMARK'Sworld-wide services and experience. The School System will gain reduced operational costs, predictable labor costs, 9rapid staffing adjustments, and renewed focus on core business functions. Conservatively, the system will reduce 4feannual operating costs by $5.0 million dollars when tracked against current expenditures. The School System gaineda significant, one-time, flow of cash through the sale of vehicles, tools, and equipment. The School System received 9$5.0 million from ARAMARK to assist in deferring the cost associated with the transition. Additionally, in 2007 the ABoard approved Aramark to provide management services for the implementation of an energy program aimed atreducing energy costs. <0

School System Desegregation Case and Settlement Agreement Ends ^

On August 14, 2003, U.S. District Judge James Brady signed an order ending the 47-year old East Baton Rouge -Parish School Desegregation Case, one of the longest running school desegregation cases in the nation. Judge Brady Wapproved the final settlement agreement, which was signed by all parties in the case. Those parties were the School ABoard, the Baton Rouge branch of the National Association for the Advancement of Colored People (NAACP), theoriginal plaintiffs (37 original plaintiffs - children from !4 local families) and the U.S. Justice Department. Judge WBrady said "now that the case is over, Baton Rouge residents should focus on making the School System one that the Jfccommunity can be proud".

The settlement ended the case, but it also required the School System to continue many desegregation tools for four ^years, which ended July 2007. The settlement allowed more students to attend neighborhood schools, created more ™magnet programs, and allowed more students to transfer to the schools of their choosing. According to the ^settlement, schools still had enrollment limits, but the enrollment caps were higher at a few schools. Temporary ^buildings were still used, but most were taken out of service. Predominantly black schools continued to receive extra wteachers and money and operated pre-kindergarten, extended-day, and extended-year programs. £

Separation of City of Baker, Zachary, ami Central Community School Systems 9

Effective with the 2003-2004 school year, the School System began the year much smaller than it has in decades.The cities of Baker and Zachary began the school year as their own school districts, running nine (9) schools with 9about 5.380 students that were previously a part of the School System. The separation of Baker and Zachary Arequired years of effort and litigation, and resulted in a need for expenditure reductions in the School System as a ^result of the adverse financial impact of approximately $10.7 million associated with the separation. Enrollment of 9approximately 51,000 students for the 2002-2003 school year reduced to about 45,000 students for the 2003-2004 ^school year. The parish payroll was reduced from about 7,115 employees to about 6.000 employees. ™

The 2006 legislative session contained legislation to allow the creation of a Central Community School System by ^way of a constitutional amendment, which was approved by voters in a November 2006 statewide election. The city ^of Central began the 2007 school year with four (4) schools and approximately 2,652 students that were previously a £part of the School System. The estimated adverse financial impact associated with this separation is approximately ^S5.0 million to the School System. Additionally, the School System continues to incur significant long-term retiree ™health care costs associated with the exit of the Baker and Zachary School Systems because legacy costs were not Aallocated to the newly formed districts. The creation of the Central Community School System will further ^exacerbate this dilemma by this new district not assuming its portion of legacy costs as well as disproportionately ™increasing the number of retired health plan participants relative to the School System's total group health plan 4|participants. The impact of long-term retiree health care costs associated with the separation and subsequent creation ^of a school district will have a significant and long-term financial impact, W

Milken Family Foundation

The Milken Family Foundation created the Teacher Advancement Program (TAP), which is a comprehensive.research-based school reform model that is intended to attract, retain, and motivate high quality teachers toAmerica's schools. TAP is currently being implemented at Cedarcrest-Southmoor Elementary and CrestworthMiddle School, two of the five schools in Louisiana being used as demonstration sites for ihe TAP program. Theprogram provides teachers with technical support, training, certification, program reviews, and evaluation services.Master and mentor teachers at each site lead teachers through extensive job-embedded professional development andwork study groups. Teachers in TAP schools receive a salary supplement if student academic performance meets thegoals set by the school.

EHR/LSU Partnership Schools

Through the Louisiana State University (LSU) Partnership Program, Highland Elementary and McKinley MiddleMagnet are special "professional development" schools for LSU students enrolled in the University's TeacherEducation Program. School System teachers serve as mentors for LSU teacher candidates during a variety of pre-studenl leaching field experiences as well as during student teaching. At least one LSU faculty member works on afull-time basis at each of the two schools. This individual designs a credii-or CLU-bearing program specifically foreach school's faculty, who have committed to ongoing professional development. An EBRPSS teacher, selected bythe school principal, facilitates the partnership and coordinates assistance from various units on the LSU campus.Each school maintains a partnership advisory board composed of teachers, administrators, and LSU personnel.

The McKinley Middle Magnet partnership with LSU is beginning its fifth year, while the Highland partnership isentering its eighth year. At McKinley Middle, teacher interns from the Holmes Program in the Department ofCurriculum & Instruction are placed with mentor teachers in selected classrooms. These future teachers assist inclassrooms by preparing, planning, and teaching lessons of their own, working individually and in small groups withstudents, and facilitating higher order thinking projects.

The Highland Elementary partnership especially involves the school teachers serving as models for undergraduatestudents, who take nine credits (Methods of Teaching Reading [6 credits] and Methods of Teaching Social Studies[3 credits]) on the Highland campus. LSU teacher candidates taking these courses also assist classroom teachers bytutoring students and helping design thematic work stations. The program has provided numerous enrichingexperiences to LSU teacher candidates and has enhanced the participating schools, their students and teachers.

For the Future

EBR School Board Approves Plan to Expand Magnet and Gifted Pnw

The East Baton Rouge Parish School Board approved staff recommendations that will expand the Magnet andGifted/Talented programs throughout the School System. Previously, the School System would not have been able tooffer additional programs during the period when the School System was under the desegregation court order and theFinal Settlement Agreement. Currently, the bulk of these specialized programs are clustered in, or near, downtownarea schools. The approved changes will result in shorter bus rides for many students in the parish who are currentlyparticipating in the Magnet and Gifted/Talented programs. The approved changes will also provide families moreeducational choices. Significant changes include the addition of gifted classes to Audubon Elementary, ParkviewElementary, Wedge wood Elementary and Woodlawn Middle Schools. A major component of ihe proposal will alsoexpand the Gifted/Talented screening process to include all kindergarten students in the School System. The planwould also implement a French and Spanish Immersion program at Westdale Middle School for students whocomplete the program at South Boulevard Elementary School. The School Board also approved a new dedicated pre-engineering magnet academy at the Becchwood situ which is currently a 6th grade satellite campus of CrcstworihMiddle School. Additionally, the academic and engineering magnet curriculum at Scotlandvillc Magnet High Schoolwill be enhanced and students enrolled in the Scotlandville Magnet Program will attend classes together and beassigned a core group of teachers who can monitor their progress throughout their high school career.

xix

Autonomous School Networks

The East Baton Rouge Parish School System formally entered into agreements with two external partners to establisha network of autonomous schools in the School System. The goal of this alternative education design is to reduce thenumber of high school drop outs and create opportunities for a successful post-secondary education experience forstudents. The East Baton Rouge Parish Laboratory Academy will begin with a total of 100 ninth-graders attendingclass in specific classrooms that will be housed at Istrouma High School. The main campus of the CAN! Academyof Baton Rouge is expected to enroll 400 students and will be housed on Cadillac Street where the current BatonRouge Preparatory Academy currently exists. Two satellite CAN! Academy campuses at Prescoit Middle Schooland Glen Oaks Middle School will house an additional 100 students each.

School Closures ami Openings

Demographic studies were conducted as part of the research to propose recommendations for a continuation of the1998 Tax Plan and to bring forth a recommendation regarding the most efficient use of facilities district-wide. Thisstudy generated a list of thirteen (13) schools scheduled for closure or reuse over the next seven (7) years. TheSchool Board, approved the closure of Mohican Elementary School in 2003-2004 and Mayfair Elementary,Beechwood Elementary, and Scotlandville Middle Schools in 2004-2005. Mayfair Elementary is now a multi-usefacility, including pre-K classes, adult education, and other special programs. Beechwood is the pre-engineering sitefor Crestworth Middle School. Scotlandville Middle has been converted to Scotlandville Elementary. HardingElementary was closed and leased to J. K.. Haynes as a charter school site. North Highlands was scheduled to beclosed with the opening of the new Winbourne; however, with the increase in student population after HurricanesKatrina and Rita, North Highlands will remain open through 2007-2008 while four new classrooms at Delmont andsix more classrooms at Merrydale Elementary are constructed. The Old Winbourne Site is currently housing theDufrocq Program until completion of the new school schedule for opening in August 2009.

Bill & Melinda Gates Foundation - Thurgood Marshall

The Bill and Melinda Gates Foundation is championing a small high school movement globally. The Foundation hasengaged the Thurgood Marshall Scholarship Fund (TMSF) as an intermediary to solicit collaborative and partneredproposals from Historically Black Colleges and Universities and local school districts to radically reform districthigh schools. Southern University in Baton Rouge has partnered with the School System to develop a proposal toconvert Capitol Senior High School (CSHS) into two small schools. The original design called for the establishmentof Capitol Pre-College Academy (CPCA) serving 9Ih-10lh graders and Capitol Early College Academy serving 1 l l h-12th graders. The conversion of CSHS was to be phased in over three years with both schools being fully operationalin 2007. The conversion began in the 2004-2005 school year with the admittance of 9th grade students into CPCA.Based on directives from the support funding source, the plan design has been modified to be more consistent withthe research on small school models. In the fall of 2005, CSHS was converted into two small gender-based 91'1 - 12th

schools both with a college preparatory focus. The schools will continue to operate in this configuration during the2007-200S school year.

The Wallace Foundation

The Wallace Foundation is focusing on initiatives which support state initiatives demonstrating the willingness andcapacity to reform leadership practices to improve student achievement. A component of the Foundation'sstate-district leadership initiative is the State Action for Leadership Project (SAELP), whose goal is to ensure thatState policies affecting leadership are coordinated with and supportive of local efforts to improve student learning.This program 'awards grants that will support partnerships between institutions of higher education and schooldistricts to recruit, retain and induct leaders at our schools. The School System has partnered with SouthernUniversity to ;train teacher leaders and educational leaders. This District/University Partnership supports thePrincipals lor; Tomorrow Program, Principal Induction Program. Principals Academy Program, PrincipalsTechnology Program and Area Professional Development Programs provided by Assistant Superintendents. Inaddition the grant is funding six intern positions who will be spending a semester shadowing a principal. The grantwill award $230,000 in support of this initiative for the development of educational leaders, which will effectivelylead to improved student learning in a standards-based and accountability-driven environment.

xx

Internal Control

Management of the School System is responsible for establishing and maintaining an internal control structuredesigned to ensure that the assets of the School System are protected from loss, theft or misuse, and to ensure thatadequate accounting data are compiled to allow for the preparation of financial statements in conformity withgenerally accepted accounting principles. The internal control structure is designed to provide reasonable, but notabsolute, assurance that these objectives are met. The concept of reasonable assurance recognizes that: 1) the costsof a control should not exceed the benefits likely to be derived; and 2) the valuation of costs and benefits requiresestimates and judgments by management. The School System utilizes a fully automated accounting system as well asan automated system of control for fixed assets and payroll. It is believed that the School System's internal controlsadequately safeguard assets and provide reasonable, proper recording of financial transactions.

Single Audit

As a recipient of Federal and State financial assistance, the School System is responsible for ensuring that anadequate internal control structure is in place to ensure compliance with applicable laws and regulations related tothese programs. This internal control structure is subject to periodic evaluation by management and the internal auditstaff of the School System.

As a part of the School System's single audit described earlier, tests are made to determine the adequacy of theinternal control structure, including that portion related to Federal financial assistance programs, and to determinethat the School System has complied with applicable laws and regulations. The results of the School System's SingleAudit, for the fiscal year ended June 30, 2007, provided no instances of material weaknesses in the internal controlstructure or significant violations of applicable laws and regulations.

Budgeting Controls and Policy

The School System maintains budgetary controls. The objective of this system control is to ensure compliance withlegal provisions embodied in the annual appropriated budget approved by the School System's governing body.Activities of the General Fund and Special Revenue Funds are included in the annual appropriated budget. The levelof budgetary control (the level at which expenditures cannot exceed the appropriated amount) is established at theindividual fund level for all funds. The School System also maintains an encumbrance accounting system as onetechnique of accomplishing budgetary control. Encumbered amounts in the General Fund are reported asreservations of fund balance and generally are re-appropriated as part of the next year's budget.

The approved budget presents revenues by source and expenditures by function as defined by the Louisiana Board ofElementary and Secondary Education's Bulletin #1929. The Superintendent is authorized to transfer amountsbetween line items in accordance with budget policy established by the School System's governing body. However,budget amendments are required when total revenues drop 5% or more below expectations, total expendituresexceed budget estimates by 5% or more, and when beginning fund balance is less than 5% or more of its projectedamount. Budget to actual comparisons are provided in this report for the General Fund and each Special RevenueFund.

Capital Projects Funds

Capital Projects Funds are provided by 51% of a one-cent sales tax in Proposition 1 for facilities and technology asapproved by the voters in November 1998 as mentioned previously. The effective collection date for this propositionwas July 1, 1999. Total sales tax revenues in Proposition 1 for the year ended June 30, 2007 amounted to S38.1million. The collection of this tax is for a five-year period and is for the purpose of funding repairs and renovations,enhancing technology, and constructing new schools and classrooms. On May 2, 2003, the voters approved thecontinuation of the Tax Plan for an additional five years.

xxi

Cash Management

Cash temporarily idle during the year was invested in interest-bearing accounts with our fiscal agency, in certificatesof deposits, and in the Louisiana Asset Management Pool (LAMP). The School System's Investment Policy is tominimize credit and market risks while maintaining a competitive yield on its portfolio. Total investment incomefrom all sources totaled S8.3 million, reflecting an increase of approximately $4.2 million from the prior year. Thisincrease is a result of increased investment rates.

All of the School System's primary deposits as of June 30, 2007 were either collaleralized by securities held by theSchool System or by its agent in the name of the School System as required by law. The School System'sconsolidated bank account holds the cash of all funds. Temporary negative cash balances may occur in various fundsduring the year pending reimbursements from State and Federal grants, as these grants are awarded on areimbursementbasis. The General Fund finances these temporary situations in the majority of the cases.

Risk Management

The School System's administration is charged with the responsibility of supervising the protection of the District'sassets by implementing various risk management techniques and procedures to reduce, absorb, minimize or transferrisk. A Risk Management staff is in place to manage this process and includes contracted support to assistmanagement with measures to identify and reduce the system's exposure to loss. The School System continues tocarry various forms of liability insurance including, but not limited to, excess workers' compensation coverage,property and casualty, errors and omissions, auto liability and general liability. The School Board adopted aself-insurance program for general liability, property and fleet vehicle insurance. Annual appropriations continueto be approved by the School Board to fund this program. The medical insurance program includes health, life andother benefits for all full-time employees and retirees. The health program is monitored very closely to ensure itsstability.

OTHER INFORMATION

Independent! Auditi

State statutes require an annual audit by independent certified public accountants. The public accounting firm ofPostlethwaite & Netterville was selected by the School System several years ago to perform its annual financialaudit. In addition to meeting the requirements set forth in State statutes, this audit was designed to comply withrequirements of the Federal Single Audit Act Amendments of 1996 and related OMB Circular A-133. The auditors'reports on the basic financial statements are included in the financial section of this report. The auditors' reportsrelated specifically to the single audit, internal control, and compliance with laws and regulations are included in aseparate report;and are available for review at the School System.

AWARDS j!

GovcrnmentTinancc Officers Association

The Government Finance Officers Association (GFOA) of the United States and Canada awarded a Certificate ofAchievement for Excellence in Financial Reporting to the School System for its Comprehensive Annual FinancialReport for the fiscal year ended June 30, 2006. This was the twenty-first consecutive year that the School System hasreceived this prestigious award. In order to be awarded a Certificate of Achievement, the School System publishedan easily readable and efficiently organized Comprehensive Annual Financial Report. This report satisfied bothgenerally accepted accounting principles and applicable legal requirements.

A Certificate of Achievement is valid for a period of one year only. Management believes that the 2006-2007Comprehensive Annual Financial Report continues to meet the Certificate of Achievement program's requirementsand will submit it to the GFOA for review in determining eligibility for another certificate.

Association of School Business Officials

The School System has received the Association of School Business Officials (ASBO) Certificate of Excellence inFinancial Reporting for the fiscal year ended June 30, 2006. This was the twenty-first consecutive year that theSchool System has received this prestigious award. This award certifies that the Comprehensive Annual FinancialReport, for the fiscal year ended June 30, 2006, substantially conforms to the principles and standards of financialreporting as recommended and adopted by the Association of School Business Officials International. The award isgranted only after an intensive technical review of financial reports by an expert panel of certified public accountantsand practicing school business officials has been made. The Certificate of Excellence is the highest form ofrecognition in school financial reporting issued by the Association of School Business Officials International.

A Certificate of Achievement is valid for a period of one year only. Management believes that the ComprehensiveAnnual Financial Report, for the fiscal year ended June 30, 2007. which will be submitted to ASBO for review, alsoconforms to its principles and standards.

ACKNOWLEDGEMENTS

It is desired that this report contains the necessary information and data that will provide a better understanding ofthe operations of the School System. It is further hoped that this report has been designed in such a manner as to beused as an administrative tool and general source of information to enhance the School System's accountability tothe public.

The preparation of this report in a timely manner could not have been achieved without a dedicated and highlyqualified staff. I would Jike to take this opportunity to express my sincere appreciation to the entire BudgetManagement and Finance Department staff, whose extraordinary efforts and dedication contributed significantly inthe timely, accurate preparation of this report. The professional, thorough, and timely manner in which ourindependent auditors, Postlethwaite & Netterville, conducted the audit is also appreciated. The Graphic ArtsDepartment is to be commended on its creative input in the design and timely reproduction of this document.Additionally, members of the School Board are to be thanked for their interest and support in planning andconducting the financial operations of the School System in a responsible and progressive manner.

Sincerely,

James P. Crochet, CPAChief Financial Officer

xxm

—EASTBATON ROUGE PARISH SCHOOL SYSTEM---.

Certificate ofAchievementfor Excellence

in FinancialReporting

Presented to

East Baton Rouge

Parish School Board

LouisianaFor its Comprehensive Annual

Financial Report

for the Fiscal Year Ended

June 30, 2006

A Certificate of Achievement for Excellence in FinancialReporting is presented by the Government Finance Officers

Association of the United States and Canada lo .government units and public employee retirement

systems whose comprehensive annual financialreports (CAFRs) achieve the higheststandards in government accounting

and financial reporting.

President

Executive Director

- xxw -

Association of School Business Officials International

This Certificate of Excellence in Financial Reportingfj fiyejenled fo

EAST BATON ROUGE PARISH SCHOOL SYSTEMFor its Comprehensive Annual Financial Report (CAFR)

For the Fiscal Year Ended June 30, 2006

upon recommendation of the Association's Panel of Review which has judged that the Report substantially

conforms to principles and standards of ASBO's Certificate of Excellence Program

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- XXVII -

P&NFostlethwailc & Netterville

A Professional Accounting Comoro I ionAssociated Offices -n Principal Ci'ics of ihc United Slates

www.pncpa.com

INDKPENDENT AUDITORS1 REPORT

The East Baton Rouge Parish School System

We have audited the accompanying financial statements of the governmental activities, each major fund, and the aggregateremaining fund information of the Bast Raton Rouge Parish School System (School System) as of and for the year ended June 30,2007, which collectively comprise the School System's basic financial statements as listed in the table of contents. These financialstatements are the responsibility of the School System's management. Our responsibility is to express opinions on these financialstatements based on our audit.

We conducted our audit in accordance wilh auditing standards generally accepted in the United States of America and the standardsapplicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States.Those standards require that we plan and perform the audit to obtaiti reasonable assurance about whether the financial statements arefree of material mis statement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in thefinancial statements. An audit also includes assessing the accounting principles used and significant estimates made by management,as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for ouropinions.

In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position ofthe governmental activities, each major fund, and the aggregate remaining fund information of the East Baton Rouge Parish SchoolSystem as of June 30, 2007 and the respective changes in financial position and cash flows, where applicable, thereof for the yearthen ended in conformity wilh accounting principles generally accepted in the United States of America.

The management's discussion and analysis and budgetary comparison information on pages xxx through xliv and pages 35through 41, respectively, are not a required part of the basic financial statements but are supplementary information required by theGovernmental Accounting Standards Board. We have applied certain limited procedures, which consisted principally of inquiries ofmanagement regarding the methods of measurement and presentation of the required supplementary information. However, we didnot audit the information and express no opinion on it.

Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the East BatonRouge Parish School System's basic financial statements. The accompanying supplementary information consisting of theintroductory section, combining and individual non-major fund financial statements, and statistical tables are presented for purposesof additional analysis and are not a required part of the basic financial statements. The combining and individual non-major fundfinancial statements and schedules have been subjected to the auditing procedures applied in the audit of the basic financialstatements and. in our opinion, are fairly stated in all material respects in relation to the basic financial statements taken as a whole.The introductory section and statistical tables have not been subjected to the auditing procedures applied in the audit of the basicfinancial statements and, accordingly, we express no opinion on them.

- xxvin -

8550 United Plaza Blvd. Suite 1001 • Baton Rouge, \J\ 70809 • Tel: 225.922.4600 • Fax: 225.922.4611

In accordance with Government Auditing Standards, we have also issued our report dated November 14,2007 on our considerationof the East Baton Rouge Parish School System's internal control over financial reporting and on our tests of its compliance withcertain provisions of laws, regulations, contracts, grants, agreements and other matters. The purpose of that report is to describe thescope of our testing of internal control over financial reporting and compliance and the results of that testing, and not provide anopinion on the internal control over financial reporting or on compliance. That report is an integral part of an audit performed inaccordance with Government Auditing Standards and should be considered in assessing the results of our audit.

The statement of net assets as of June 30,2006 is shown on page 1 for comparative purposes. This statement was included as part ofthe School System's June 30, 2006 basic financial statements which were audited by us and upon which we issued our unqualifiedopinion in our report dated November 9, 2006.

Baton Rouge, LouisianaNovember 14, 2007

- XXIX -

Required Supplemental Information

Port/

e L:ai"isLi System

East Baton Rouge Parish School SystemBaton Rouge, Louisiana

MANAGEMENT'S DISCUSSION AND ANALYSISJune 30,2007

The Management's Discussion and Analysis (MD&A) of the East Baton Rouge Parish School System's(School System) financial performance provides an overall review, objective and easily readable analysis of theSchool System's financial activities for the fiscal year-ended June 30, 2007. The intent of the MD&A is to look atthe School System's overall financial performance as a whole and to assist readers in assessing the financial positionas a result of the year's operations in comparison to the prior year. Therefore, readers should read the MD&A inconjunction with the Comprehensive Annual Financial Report's (CAFR) Letters of Transmittal (Page viii) of theIntroductory Section, the School System's Financial Statements (Financial Section, Page 1), and the Notes to theBasic Financial Statements.

FINANCIAL HIGHLIGHTS

o Total assets of the School System exceeded total liabilities at June 30, 2007 by $438.7 million (net assets).The unrestricted portion of net assets was $143.6 million and may be used to meet the School System'songoing obligations and operational needs.

o Total net assets increased by $90.8 million for the year mainly due to new school construction funded bydedicated revenue and favorable financial results in the governmental and internal service funds. Net assetsinvested in capital assets, net of related debt, increased by $14.3 million and there was an increase in netassets restricted for capital improvements of SI 7.1 million. The second phase of the five year one-cent salestax, which was renewed by the voters in May 2003, continued with numerous construction projects inprogress. Construction projects underway include major renovations, classroom additions, classroomrenovations, and technology projects for the 2006-2007 fiscal year. Additionally, new schools at McKinleyMiddle and Woodlawn Middle were opened in August 2006 and Winboume Elementary was opened inAugust 2007. Net assets for the Proposition 3 Compensation Fund increased $0.9 million from the prioryear, which is a result of increased sales tax collections and better than expected operating results, whileProposition 2 Discipline Fund net assets increased $0.6 million. Net assets for federal and state grantprograms increased by $4.7 million primarily due to increased funds appropriated for textbooks to continueto accumulate necessary funds for future years textbook adoptions, as well as, improved state grant andChild Nutrition Program funding. Net assets for costs required under the settlement agreement decreasedslightly and unrestricted net assets increased by $53.3 million.

o As the School System completed the fiscal year-ended June 30, 2007, its major funds reported fundbalances of $176.4 million as compared to $124.6 million as of June 30, 2006. The fund balances includethe General Fund at Si 17.0 million, Propositions 1, 2, and 3 at S27.9 million, $4.7 million and$24.9 million, respectively; and the Child Nutrition Fund with $1.9 million as of June 30, 2007.

o At the close of the current fiscal year, the General Fund ended the year with a fund balance of$117.0 million, an increase of $32.2 million when compared to the prior year. Revenues exceededexpenditures by $45.7 million and financing uses exceeded sources by $13.5 million. The significantincrease in timd balance is primarily a result of increased sales tax and ad valorem tax collections and betterthan expected operating results. The unreserved and undesignated portion of this fund balance is$66.1 million or 20.4% of General Fund expenditures and will be necessary to support increased medicalcosts, risk management, instructional, and operational requirements.

XXX

East Baton Rouge Parish School SystemBaton Rouge. Louisiana

MANAGEMENT'S DISCUSSION AND ANALYSISJune 30,2007

Non-major fund balances were $11.5 million for the fiscal year-ended June 30, 2007 as compared to$6.8 million as of June 30, 2006. Non-major fund balances increased primarily due to increased fundsappropriated for textbooks to continue to accumulate necessary funds for future years textbook adoptions.

The Internal Service Funds ended the year with a net asset balance at June 30, 2007 of $41.5 million. TheWorker's Compensation, Risk Management and Medical Insurance Funds net asset balances wereS2.7 million, $4.0 million and $34.8 million, respectively.

USING THE BASIC FINANCIAL STATEMENTSi

The School System's basic financial statements consist of the government-wide financial statements, thefund financial statements, the associated notes to those statements, and the required supplemental information of theMD&A and budgetary comparison schedules of the major funds. The statements are organized so the reader canunderstand the operations of the School System as a financial whole, i.e., an entire operating entity, its funds, and itsfiduciary responsibilities. The government-wide financial statements, consisting of the Comparative Statement of NetAssets and the Statement of Activities (pages 1-2), provide highly consolidated financial information and render agovernment-wide perspective of the School System's financial position and results of operations for the year. TheFund Financial Statements (pages 3-4, 6-9) provide the next level of detail and look at the School System's mostsignificant funds and a total of all other non-major funds.

Reporting the School System as a Whole

Comparative Statement of Net Assets and Statement of Activities

The Statement of Net Assets and the Statement of Activities present an aggregate view of the SchoolSystem's finances and a long-term view of those finances. These statements seek to answer the question, "How didthe School System as a whole do financially during the 2006-2007 fiscal year?1' These statements include all non-fiduciary assets and liabilities using the accrual basis of accounting used by most private-sector enterprises. Theaccrual basis takes into account all of the School System's current year revenues when earned and expenses whenincurred regardless of when they are received or paid.

These two statements report the School System's net assets and changes in those net assets. By showing thechange in net assets for the year, the reader may ascertain whether the School System's financial condition hasimproved or deteriorated. The causes of the change may be the result of many factors, both financial and non-financial in nature. Non-financial factors which may have an impact on the School System's financial conditioninclude the School System's property and sales tax base, student enrollment, facility conditions, required educationalprograms for which little or no funding is provided or other external factors.

xxxi

East Baton Rouge Parish School SystemBaton Rouge, Louisiana

MANAGEMENT'S DISCUSSION AND ANALYSISJune 30, 2007

The following table reflects the condensed Statement of Net Assets for 2007:

Table ICombined Statement of Net Assets

Years-ended June 30; 2007 and June 30, 2006

(In millions)

AssetsCurrent & Other Assets

Capital AssetsTotal Assets

Liabilities

Current Liabilities

Long-Term Liabilities

Total LiabilitiesNet Assets

Invested in Capital Assets. Net of Related Debt

Restricted

Unrestricted

Total Net Assets

For more detailed information refer to Page 1

The following table reflects an overview of Net Assets for the year-ended June 30, 2007:

Increase

2007

$ 266.6

227.2

$ 493.8

S 37.1

18.0S 55.1

$ 225.869.3

143.6

$ 438.7

2006 (Decrease*

$ 196.1 $

213.1$ 409.2 S

$ 43.6 $

17.7$ 61.3 $

S 211.5 $46.1

90.3

A -347,9 S

70.5

14.184.6

(6.5)

0.3(6.2)

14.323.2

53.3

90,8

Assets

UnrestrictedAssets

33%

RestrictedAssets

16%

Capital AssetsNet of Debt

51%

For more detailed information refer to Page 1.

XXXH

East Baton Rouge Parish School SystemBaton Rouge, Louisiana

MANAGEMENT'S DISCUSSION AND ANALYSISJune 30,2007

Total assets increased by $84.6 million from the previous fiscal year with $14.1 million in the area ofcapital assetsJ Capital assets increased as a result of the completed construction of three new schools, additionalclassrooms at,several school sites, and renovation and repair projects being complete or substantially complete atmany other sites. McKinley Middle and Woodlawn Middle were opened in August 2006, while WinbourneElementary was opened in August 2007. These projects are funded by 51% of a one-cent sales tax outlined inProposition 1 - Capital Projects. Current and other assets increased by $70.5 million primarily from $89.9 millionof the increase in cash and cash equivalents followed with a decrease of $18.9 million due from governments. Thisnet increase is attributable to positive financial results in the School System's governmental and internal servicefunds.

Total liabilities decreased by $6.2 million from the previous fiscal year, with the greatest decrease being inaccounts, salaries, and other payables for $7.1 million, across all funds. The majority of the decrease in payables or$4.7 million is attributable to projects funded by 51% of a one-cent sales tax outlined in Proposition 1 - CapitalProjects. Also, the Disaster Relief Fund, which was established during 2005-2006 to account for federal funding tomeet the needs of displaced students and physical damage to School System property as a result of HurricanesKatrina and Rita, reported no payables for the current year as compared to $ 1.8 million in the prior year.

Other current liabilities increased by $0.7 million, as a result of the following factors. There was a$0.5 million reduction in deferred financial commitment, which leaves a $3.4 million balance representing theunamortized portion of the financial commitment with Aramark. In March 2004, the School System entered into apartnership with Aramark to privatize its maintenance, grounds, and janitorial functions. This partnership included afinancial commitment from Aramark of an amount up to $5,000,000 to support the labor conversion andmaintenance and operations of facilities. The School System agreed to invest these funds in costs associated withthe labor conversion and/or the maintenance and operation of the facilities. The financial commitment shall beamortized on a straight-line basis over a period of ten (10) years. Upon termination of the partnership by eitherparty, for any reason, the School System must reimburse Aramark the unamortized portion of the financialcommitment (note!2). Claims payable changed slightly, as a result of ordinary fluctuations in claims processing,with a decrease of $0.2 million in the Workers Compensation Fund and an increase of $0.1 million in the RiskManagement Fund. Fiduciary fund current liabilities increased by $1.3 million largely due to payments of payrollwithholdings payable at year-end and the timing of the related payrolls.

Long term liabilities increased by $0.2 million. This increase is primarily a result of a $0.4 million netincrease in Compensated Absences and a $0.2 million decline in the long-term obligation of the Qualified ZoneAcademy Bond (QZAB) debt for the purpose of renovations and repairs at various school sites

Net assets increased $90.8 million as of June 30, 2007, with $14.3 million of this increase in the area ofcapital assets, net of related debt resulting from the ongoing construction projects. Restricted net assets increased by$23.2 million primarily due to a $17.1 million increase in capital improvement, and a $6.1 million net increase insupplemental compensation, discipline, federal and state grant programs, and costs required under the settlementagreement. Unrestricted net assets increased from the previous year by $53.3 million mainly as a result of increasedsales lax and ad valorem tax collections and better than expected operating results.

xxxm

East Baton Rouge Parish School SystemBaton Rouge, Louisiana

MANAGEMENT'S DISCUSSION AND ANALYSISJune 30,2007

Governmental Activities

The Condensed Statement of Changes in Net Assets presented in Table II, reflect the cost of the SchoolSystem's governmental activities for the year ended June 30, 2007 of $447.5 million, which is a 4.3% increase fromthe prior year. This statement portrays the activity in a traditional revenue over expense format and the numbers arederived from those presented in the Statement of Activities on page 2. The Statement of Activities shows thedetailed cost of program services and the charges for services, grants, and contributions offsetting some of the costsof those program expenses. Operating Grants and Contributions totaling $83.5 million subsidized certain programsof the School System.

The Child Nutrition Program is the second largest federally funded program with SI9.4 million in federalrevenue compared to Title I with S24.5 million. The federal reimbursement rate for meals served increased byapproximately 3%. In addition, Charges for Services such as fees from other governments, agencies, schoolssystems, and students, for transportation services, school lunches, extended day tuition, and summer school tuitiontotaling $5.1 million subsidized certain programs of the School System. Student paid lunches increased by$.10 cents per meal, while all other meal prices remained constant. Approximately 74% of the students are eligiblefor free or reduced meal prices.

The significant decline of $30.9 million in Operating Grants and Contributions is primarily attributable tothe decline in Disaster Relief funding that was received in the prior year for the federal Hurricane Education Act -Temporary Impact Aid for Displaced Students and Federal Emergency Management Agency (FEMA)reimbursements. The additional revenues received in the prior year offset some of the additional operating costs thatwere incurred to transport, feed and educate the additional students displaced from Hurricane Katrina.

The remaining program expenses were funded by the taxpayers in East Baton Rouge Parish throughAd-Valorem and Sales and Use Taxes totaling $266.8 million and State Revenue Sharing totaling $3.9 million. TheMinimum Foundation Program (MFP) from the State of Louisiana funded $161.6 million, Interest and InvestmentEarnings funded $8.3 million, E-Rate, Medicaid reimbursement and other general revenues contributed theremaining $8.7 million.

Ad-Valorem taxes increased by approximately 8.6% due to growth in the property assessment rolls. The$19.9 million increase in MFP fimds is mainly a result of the State's base per pupil amount increasing from $3,554 to$3,652, a $0.7 million increase for mandated costs, a pay raise through Level 3 of the MFP formula for certificatedpersonnel of $1,500 or approximately $7.0 million and a non-certificaled pay raise of $500 or approximately$1.3 million, an increase in the at-risk weight from 17% to 19%. and a $3.1 million mid year adjustment forincreased students. Sales Taxes from all sources increased approximately 2.2%. Sales tax growth prior to HurricaneKatrina was minimal; however, post Katrina collections are robust. It is unknown how long the population and retailsales growth in East Baton Rouge Parish will remain elevated, which are supporting the increased sales taxcollections.

Several factors contributed to the increase in the cost of services by $18.4 million from the previous year.Total instructional expenses increased by $6.2 million in 2006-2007, while total support service and charter schoolappropriation expenses increased by $12.2 million. Instructional and support service expense increases were largelyattributable to; I) The Board-approved pay raises for teachers and support staff with additional State MFP revenues;2) Increased depreciation expense resulting from the major construction and renovation projects funded byProposition 1 - Capital Project Fund; 3) Increased expenses in grant funded programs due to a grant awardallocation increase for Special Education and the new Reading First grant; 4) Increased retirement costs; and5) Increased plant operations and maintenance expenses due to various facility maintenance projects .

XXXIV

East Baton Rouge Parish School SystemBaton Rouge, Louisiana

MANAGEMENT'S DISCUSSION AND ANALYSISJune 30, 2007

The key elements of the increase of the School System's Net Assets for the year ended June 30, 2007 withcomparative figures from 2006 are as follows:

Table II

Condensed Statement of Changes in Net AssetsYears-ended June 30, 2007 and June 307 2006

(In millions)

RevenueProgram revenues:

Charges for servicesOperating grants and contributionsCapital grams and contributions

General revenues:Ad-valorem taxes

State revenue sharingSales and use taxesState aid not restricted (MFP)Interest and investment earnings

MiscellaneousTotal Revenues

ExpensesInstruction:

Regular education programsSpecial education programsOther education programs

Support Services:Pupil support servicesinstructional staff servicesGeneral administration servicesSchool administration servicesBusiness and central servicesPlant operating and maintenanceTransportationChild nutrition

2007

S 5.183.5

0.4

107.3

3.9159.5161.6

8.3

8.7$ 538.3

2006

$ 4.2114.4

0.2

98.83.7

156.1141.7

4.1

4.0S 527.2

Increase(Decrease!

$ 0.9(30.9)

0.2

8.50.23.4

19.94.2

4.7S 11.1

Appropriation - charier schools

Interest on long-term debt

$ 147.1 $64.247.4

24.619.49.7

18.7.12.547.926.026.2

3.8

147.7 $58.546.3

20.417.59.3

17.711.045.526.225.7

3.3

(0.6)5.71.1

4.21.90.41.01.52.4

(0.2)0.5

0.5

Total ExpensesI

Increase in Net Assets

Net Assets - Beginning

Net Assets-Ending

For more detailed information refer to Page 2.

447.5

90.8

347.9

429.1

98.1

249.8

347.9

18.4

(7.3)

98.1

XXXV

East Baton Rouge Parish School SystemBaton Rouge, Louisiana

MANAGEMENT'S DISCUSSION AND ANALYSISJune 30,2007

The following reflects revenue and expense components in proportion to the respective totals included in theStatement of Activities:

Charges forServices &

MiscellaneousRevenue

4%

State Aid NotRestricted for

SpecificPurposes

30%

»ooirce

OperatingGrants &

Contributions16%

Capitol Grants&

Contributions0%

SupportServices

41%

AppropriationCharterSchools

1%

For more detailed information refer to Page 2.

Instruction58%

XXXVI

East Baton Rouge Parish School SystemBaton Rouge, Louisiana

MANAGEMENT'S DISCUSSION AND ANALYSIS1 June 30, 2007

Reporting the School System's Most Significant Funds

Fund Financial Statements

The analysis of the School System's major funds begins on page 3. Fund Financial Statements provide morein-depth reporting of the School System's financial position and the results of operations. Fund basis financialinformation is presented in the "Fund Financial Statements" Section. The School System uses many funds to accountfor the numerous funding sources provided annually. However, the Fund Financial Statements look at the SchoolSystem's most significant funds with all non-major funds presented in total in one column. These statements reportgovernmental activities on a more current basis rather than a long-term basis, indicating sources and uses of funding,and resources available for spending in future periods.

Fund Financial Statements provide more in-depth data on the School System's most significant funds, suchas its General' Fund, Title I Fund. Tax Proposition 1-Capital Projects Fund, Proposition 2-Discipline Fund,Proposition 3-Compensation Fund, and the Child Nutrition Fund. These funds are considered "major funds'' underGASB Statement No. 34.

Governmental Funds - Most of the School System's activities are reported in governmental funds, whichgenerally focus on how money flows in and out of those funds, the balances that are left at year-end, and the amountavailable for spending in iiiture periods. These funds are reported using the modified accrual basis of accounting,which measures cash and all other financial assets that can readily be converted to cash.

The relationship between governmental activities reported in the Basic Financial Statements and thegovernmental funds reported in the Fund Financial Statements are reconciled to provide a more comprehensivepicture of the School System's financial position.

Proprietary Funds - Proprietary funds use the accrual basis of accounting which is the same basis used bythe private sector. Proprietary funds attempt to recover costs through charges to the user. The School System usesthe Internal Services Funds (proprietary funds) to account for activities for workers' compensation, risk management,and medical insurance.

Statement of Fiduciary Net Assets - This statement presents financial information relative to assets held bythe School System on behalf of students (student activity funds), employees (deferred pay), and others (payrolldeductions).

THE SCHOOL SYSTEM'S FUNDS

The School System uses funds to control and permit measurement in the short-term of revenues andexpenditures of a particular activity or purpose (e.g., dedicated taxes and grant programs). The Fund FinancialStatements allow the School System to demonstrate its stewardship over and accountability for resources providedby taxpayers and other entities. These statements also allow the reader to obtain more insight into the financialmanagement of the School System and assess further the School System's overall financial stability.

xxxvn

9 East Baton Rouge Parish School System9 Baton Rouge, Louisiana

J MANAGEMENT'S DISCUSSION AND ANALYSIS9 June 30, 2007

•A The fund balances for all major and non-major funds for the fiscal year-ended June 30. 2007 are as follows:

9 o As the School System completed the fiscal year-ended June 30, 2007, its major funds reported£ fund balances of $176.4 million as compared to $124.6 million as of June 30, 2006. The fund^ balances include the General Fund at SI 17.0 million, Propositions 1, 2, and 3 at S27.9 million,9 S4.7 million, and $24.9 million respectively, and the Child Nutrilion Fund with $1.9 million as of£ June 30. 2007. The fund balance for the Proposition 1 Capital Projects Fund increased by $17.1^ million when compared to the prior year, which is a result of increased sales tax collections and9 additional transfers from the General Fund for land acquisition and to supplement constructionA projects. Additionally, construction project expenditures declined as compared to the prior year

primarily due to the new Woodlawn Middle School and the new McKinley iMiddle School that9 were completed and opened in August 2006. The Proposition 1 Capital Projects Fund balancejfk includes S14.8 million of construction commitments. The fund balances for the Child Nutrition

Fund and Proposition 3 Compensation Fund increased by Sl.O million and $0.9 million,9 respectively, which is a result of better than expected operating results.

o At the close of the current fiscal year, the General Fund ended the year with a fund balance of9 $117.0 million, an increase of $32.2 million when compared to the prior year. The significantA increase in fund balance is primarily a result of increased sales tax collections, increased ad

valorem tax collections and better than expected operating results. The unreserved and9 undesignated portion of this fund balance is $66.1 million or 20.4% of General Fund expendituresA and will be necessary to support increased medical costs, risk management, instructional and™ operational requirements.9A o Non-major fund balances were $11.5 million for the fiscal year-ended June 30, 2007 as compared

, to $6.8 million as of June 30; 2006.W4j| o The Internal Service Funds ended the year with a net asset balance at June 30, 2007 of

$41.5 million. The Worker's Compensation, Risk Management and Medical Insurance Funds net9 asset balances were $2.7 million, $4.0 million and $34.8 million, respectively.

General Fund Budgetary Highlights

The School System's budget is prepared according to Louisiana law. During the course of the year, theSchool System revises its budget to take into consideration significant changes in revenues or expenditures.Louisiana Revised Statute 39:1311 requires a budget amendment if either expected revenues are less or anticipatedexpenditures are in excess of budgetary goals by five percent (5%) or more. The original budget for the SchoolSystem was adopted on June 29. 2006 and the final revised budget was adopted on April 19, 2007. A statementshowing the School System's original and final budget compared with actual operating results is provided in thisCAFR beginning on page 36. Tables III and IV reflect a condensed comparative analysis of the General Fund'srevenues and expenditures at June 30, 2007. The School System's year-end actual results were improved whencompared to budget, as conservative budgetary practices are customary. Revenues are forecast conservatively andexpenditures are budgeted in anticipation of all possible costs and projects.

xxx vm

East Baton Rouge Parish School SystemBaton Rouge, Louisiana

MANAGEMENT'S DISCUSSION AND ANALYSIS1 June 30,2007

Revenues and expenditures increased in the final revised budget as compared to the original budget by$21.5 million and $12.3 million, respectively. The final revised budget included an increase of approximately 7.0% or$6.9 million in ad valorem taxes. The significant increase in the 2006 assessment roll is attributable to growth in bothcommercial and residential properties for the parish. An increase of approximately 10.3% or $7.5 million was includedfor sale tax collections; original estimates were conservative and assumed there would be minimal growth in the currentfiscal year. Unrestricted grants-in-aid, MFP funding increased by approximately $3.2 million, which is mainly a resultof the mid year adjustment for increased students. An increase of $2.3 million in earnings on investments reflects betterthan expected investment returns as a result of higher interest rates and additional funds available to invest.

Significant expenditure increases in the final revised budget as compared to the original budget were mainly inthe areas of plant operations and maintenance and transportation at $5.3 million and $2.7 million, respectively. Plantoperations and maintenance expenditure increases were necessary in the facilities management area primarily due tovarious facility maintenance projects. Transportation expenditure increases are mainly a result of additional buspurchases with1 the majority of this increase in outstanding encumbrances that will be liquidated in the subsequent fiscalyear.

The General Fund's actual revenues exceeded projections by $10.3 million and increased $36.0 millionwhen compared to the prior year. Ad valorem tax revenue increased $8.4 million over last year as a result of growthto the 2006 parish assessment roll of approximately 8.9% and an overall collection rate of 97.7%. Actual collectionsexceeded projections by $2.2 million or 2.1%. The total millage levied by the School System is 43.45 mills, whichgenerates approximately $2.4 million per mill. Sales tax collections increased over prior year's collections by$2.2 million or|2.7% and exceeded projections by $4.9 million or 6.1%. Sales tax growth prior to Hurricane Katrinawas minimal; however, post Katrina collections are robust. It is unknown how long the population and retail salesgrowth in East I Baton Rouge Parish will remain elevated, which are supporting the increased sales tax collections.Original estimates were conservative and assumed there would be minimal growth in the current fiscal year. Earningson Invcstmentsi increased $3.4 million from the prior year, mainly associated with increased investment rates. Otherlocal revenue increased by approximately $3.0 million when compared to the prior year, which mainly represents anincrease in EjRate revenue, Earnings from 16 ' Section Property for the sale of timber, and Medicaidreimbursements.

State revenue sources from unrestricted grants-in-aid, MFP, reflect an increase of $19.8 million whencompared to the prior year. The increase is a result of the State's base per pupil amount increasing from $3,554 to$3,652, a $0.7 million increase for mandated costs, a pay raise through Level 3 of the MFP formula for certificatedpersonnel of $1.500 or approximately $7.0 million and a non-certificated pay raise of $500 or approximatelySI.3 million, an increase in the at-risk weight from 17% to 19%, and a $3.1 million mid year adjustment forincreased students. Student enrollment for the 2006-2007 school year was projected to increase by approximately2,707 students from the 2005-2006 school year. Actual May 1, 2006 student enrollment approved for the purpose offunding by the State was 46,459 students or 1,330 students more than the prior year audited enrollment. MFPfunding is based on enrollment counts from the prior year. The decrease of $1.0 million in restricted State grants-in-aid largely represents a one time supplemental appropriation by the Louisiana Legislature to offset 2005-2006retirement costs'.

XXXIX

East Baton Rouge Parish School SystemBaton Rouge, Louisiana

MANAGEMENT'S DISCUSSION AND ANALYSIS

June 30, 2007

General Fund expenditures increased by $20.5 million from the prior year. Total actual expenditures fellbelow final projections by $26.7 million, with $4.6 million, $2.5 million and $4.5 million of this amount intransportation, business and central services, and plant operations and maintenance areas, respectively. However,encumbrances outstanding at year end totaled S4.8 million primarily in the areas of transportation, business andcentral services, and plant operations and maintenance that will be liquidated in the subsequent fiscal year. Acorresponding amount was reserved from the fund balance to support these encumbrances.

Actual expenditures exceeded prior year expenditures in instruction - regular education programs by$11.2 million and special education programs by $2.3 million. These increases are largely attributable to the Board-approved pay raises for teachers with additional State MFP revenues. Actual expenditures exceeded prior yearexpenditures in plant operations and maintenance by $3.2 million. Plant operations and maintenance expenditureincreases were necessary in the facilities management area primarily due to various facility maintenance projects.Transportation expenditures decreased by $3.4 million mainly as a result of bus purchases in the prior year; however,it should be noted that approximately $2.0 million outstanding encumbrances for bus purchases will be liquidated inthe subsequent fiscal year.

Student enrollment subsequent to Hurricane Katrina has increased but appears to have stabilized. MFPfunding has increased somewhat and both sales tax and ad valorem tax collections have exceeded projections.However, the School System continues to incur increased health insurance and retirement costs.

Health Insurance Benefits have been under constant review. As a result of favorable financial results fromnumerous plan design and network changes in recent years, effective January 1. 2007 the employer contributionamounts for active and retired employees were reduced by 15% and 10%, respectively. However, health insurancecost trends continue at double digit rates nationwide, and the retiree population for the School System continues toexpand at a rate of approximately 2% per year.

The unreserved fund balance designates S5.3 million for the Medical Insurance Fund, $3.0 million for theRisk Management Fund, $5.0 million for much needed additional school bus purchases to update an aging fleet,$7.3 million for special facility projects, $6.0 million for current operations, $3.0 million for energy conservation,and $15.0 million for instruction. The undesignatcd fund balance of $66.1 million represents an increase of$8.0 million over final projections and is approximately 20.4% of actual expenditures. This increase is welcomedand is more adequate, as compared to prior years, for an operation of this size in an environment of unstable sales taxcollections, aging facilities, increased State and Federal accountability requirements, and escalating health care costs.

xl

East Baton Rouge Parish School SystemBaton Rouge, Louisiana

MANAGEMENT'S DISCUSSION AND ANALYSIS

June 30,2007

Table IIIGeneral Fund Revenue

Years-ended June 30r 2007 and June 30, 2006(In Millions)

GENERAL FUND REVENUEI

Local RevenueAd valorem taxesSales and use taxesEarnings on investmentsExtended day program tuition

OtherTotal Local Revenue

Stale SourcesUnrestricted grants-in-aid, MFPRevenue sharing

Restricted !grants-in-aidTotal State Sources

Federal

Total Revenues

For more detailed information refer to Page 36.

2007

105.784.9

6.10.5

6A203.6

$

s

s

,$

157.8

3.9

3.2164.9

0.7

369.2

2006

97.382.72.70.5

3.4186.6

138.03.7

4,2

145.9

0.7

333.2

Increase(Decrease)

8.42.23.4

3.017.0

19.80.2

_ILO)19.0

36.0

2007 General Fund Revenue

Federal0%

State /^ >45% r^—-^/

xli

East Baton Rouge Parish School SystemBaton Rouge. Louisiana

MANAGEMENT'S DISCUSSION AND ANALYSIS

June 30,2007Table IV

General Fund ExpendituresYears-ended June 30; 2007 and June 30r 2006

(In Millions)

GENERAL FUND EXPENDITURES

InstructionRegular education programsSpecial education programs

Other education programsTotal Instruction

SupportPupil support servicesInstructional staff servicesGeneral administration servicesSchool administration servicesBusiness and central servicesPlant operations and maintenance

TransportationTotal Support

AppropriationsCharter SchoolDesegregation Final Settlement Agreement

Total AppropriationsDebt Service

PrincipalInterest

Total Debt Service

Total ExpendituresFor more detailed information refer to Page 36.

2007

$ 116.451.2

12.8

$

$

180.4

16.510.09.8

17.610.643.0

23.8131.3

3.58.1

11.6

0.2

0.2

323.5

2006

$ 105.248.9

11.7$ 165.8

$ 15.08.99.4

16.69.1

39.8

27.2$ 126.0

$ 3.08.0

$ 11.0

$ 0.2

$ 0.2

$ 303.0

Increase(Decrease)

$ 11.22.3

1.1S 14.6

$ 1.51.10.41.01.53.2

0.4)S 5.3

$ 0.50.1

$ 0.6

s;j>

s;j>

2007 General Fymid Expenditures

Appropriation4%

Support41%

Instruction55%

Debt Service0%

xlii

East Baton Rouge Parish School SystemBaton Rouge, Louisiana

MANAGEMENT'S DISCUSSION AND ANALYSISJune 30,2007

CAPITAL ASSETS AND DEBT ADMINISTRATION

Capital Assets

At June 30. 2007. the School System has approximately $227.2 million invested in a broad range of capitalassets, including land, buildings, furniture, vehicles, computers, and other equipment. This amount is net ofaccumulated depreciation to date. Increases during the year represent additional purchases and capital outlays forconstruction, while decreases represent retirements of assets and depreciation of depreciable assets for the year.Table V shows the net book value of capital assets at the end of the 2007 and 2006 fiscal years.

!Table V

Capital Assets atYears-ended June 30; 2007 and June 30, 2006

(In Millions)

Increase2007 2006 (Decrease)

Land $ 9.4 $ 8.4 $ 1.0Buildings and improvements 195.8 152.8 43.0Furniture and equipment 7.2 8.2 (1.0)

Construction in progress 14.8 43.7 (28.9)

Totals £ 227.2 $ 213.1 S L4.1

I1'or more detailed information refer to Page 25.

School construction for the new Woodlawn Middle and McKinley Middle Schools was completed andready for students, faculty, and staff in August 2006. The new Winbourne Elementary was ready for students,faculty, and staff in August 2007.

In addition, other major construction projects, renovations, and classroom additions were completed duringthe year, while others were still in progress at June 30, 2007. Depreciation for the year-ended June 30, 2007 was$10.6 million for buildings and improvements and $2.3 million for furniture and equipment. Major construction andrenovation projects will continue for the 2007-2008 fiscal year and will be funded with the Proposition 1 "pay-as-you go" sales tax initially approved by the voters in 1998 for a five-year period and renewed on May 2, 2003 for anadditional five years.

Debt Administration

At June 30, 2007, the School System had outstanding Qualified Zone Academy Bond (QZAB) notespayable of $1.4 million that are scheduled for repayment by November 2016. In accordance with LSA-R.S.39: 554(D), the School System is legally restricted from incurring long-term bonded debt in excess of 35 percent of theassessed value of the taxable property (including homestead exempt and nonexempt property) within the parish. AtJune 30, 2007, the statutory limit is 51,131,596,109.

Other long-term obligations include accrued sick leave and annual leave. The balance at June 30, 2007 ofboth current and long-term obligations was $16.6 million. More detailed information is available onpages 27 and 28.

xliii

East Baton Rouge Parish School SystemBaton Rouge, Louisiana

MANAGEMENT'S DISCUSSION AND ANALYSISJune 30,2007

ECONOMIC FACTORS AND NEXT YEAR'S BUDGET

The financial well being of the School System is tied in large measure to the State funding formula and thesales and property tax base. Actual General Fund sales tax collections for the fiscal year-ended June 30, 2007 reflectan increase of 2.7%, which is a noteworthy improvement as compared to prior years. Sales tax growth prior toHurricane Katrina was minimal; however, post Katrina collections are robust. It is unknown how long thepopulation and retail sales growth in East Baton Rouge Parish will remain elevated, which are supporting theincreased sales tax collections. Actual General Fund Ad Valorem and State MFP revenues both increased by 8.6%and 14.3% respectively. As previously mentioned, these revenues increased because of growth in the propertyassessment rolls and an increase in the State's base per pupil amount increasing from 53,554 to $3,652, aSO.7 million increase for mandated costs, a pay raise through Level 3 of the MFP formula for certificated personnelof $1,500 or approximately $7.0 million and a non-certificated pay raise of S500 or approximately $1.3 million, anincrease in the at-risk weight from 17% to 19%, and a $3.1 million mid year adjustment for increased students.

The initial undesignated fund balance projected for the General Fund for the fiscal year-endingJune 30, 2008 is $50.0 million. The 2007-2008 budgeted expenditures are projected to increase by $27.0 million ascompared to prior year actual, which is largely attributable to the Board-approved pay raises for teachers and supportstaff and additional funds earmarked to improve instruction.

The Teachers' Retirement System's rate increased from 15.8% to 16.6% effective July 1. 2007. TheLouisiana School Employees' Retirement System provided notification that the employer contribution rate willdecrease from 19.6% to 18.1% for the 2007-2008 fiscal year. Increased retirement contribution rates effectiveJuly I, 2007 are projected to increase contributions by $1.4 million. The recently reported October 1, 2007 studentenrollment figure of 44,415 students (excludes Pre-Kindergarten) was below projections by 555 students and was580 students above the State MFP funded student counts for 2007-2008, which are based on the February 1, 2007student enrollment figure. Kindergarten through twelfth grade enrollment is still subject to student audit adjustmentsand current special education counts and weight adjustments.

The actual undesignated fund balance of $66.1 million for fiscal year-ended 2006-2007 was animprovement of $8.0 million when compared with final projections of $58.1 million. This positive fund balancevariance will support increased retirement costs, health care premiums, and other unforeseen emergencies. Theoverall financial position of the School System has improved as compared to the prior year.

CONTACTING THE SCHOOL SYSTEM'S FINANCIAL MANAGEMENT

This CAFR is designed to provide full and complete disclosure of the financial condition and operations ofthe School System. However, citizens groups, taxpayers, parents, students, other parish officials, investors orcreditors may need further detail. To obtain such details, please contact James P. Crochet, Chief Financial Officer,East Baton Rouge Parish School System, Post Office Box 2950, Baton Rouge, Louisiana, 70821. Feel free to alsocontact us by calling (225) 922-5440 during regular office hours, Monday through Friday, 8:00 a.m. to 4:30 p.m.,Central Standard Time, or e-mail at icrochet@ebrschools.org.

xliv

-Jhe;E/st;|afe~^ : dpes:nbt. -

x^tHa'baasibf rracft- calorV mrtional v

' - . * '. , Csi *">'Wi.rwMD' ^ s.'Sk . /^W.1 ii"* =J. * T j»i» '&^v il*«cSUu. i.«s»^^^»a. j!kfc i'£^^d4t S^w»r1 .rffe^_i* rftJh.-iHt ..' »-.*- i ^B i ..x. * • i .<• - *. '• 's' - *s*v;,itT-, - * . ,.

fiits Pat-isli SdiccL SVS

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge. Louisiana

COMPARATIVE STATEMENT OF NET ASSETS

JUNE 30, 2007

ASSETS

2007 2006

LIABILITIES

Cash and cash equivalents $ 219,499,895 $ 129,612,494

Receivables

Accounts 2,002,251 1,295,540

Sales tax 16,872,112 17,909,913

Ad valorem tax 1,379,502 1,420,512

Due from governments 24,925,508 43,823,640

Inventory 1,942,876 2,054,146

Capital Assets

Land and construction in progress 24,268,834 52,046,444

Buildings and equipment, net of accumulated depreciation 202,886,110 161,041,602

TOTAL ASSETS S 493,777,088 $ 409,204,291

LIABILITIES AND NET ASSETS

Accounts, salaries and other payables $ 8,360,829 $ 15,484,248

Unearned revenues 579,912 566,873

Deferred financial commitment with maintenance company 3,333,333 3,833,333

Due to external parties (fiduciary fund) 11,874,626 10,566,711

Insurance claims payable

Due within one year 9,482,531 9,577.398

Due in more than one year 3,527,852 3,535,723

Long-term liabilities

Due within one year 2.657.767 2.707,234

Due in more than one year 15,298,984 15,006.698

TOTAL LIABILITIES $ 55,115,834 _S 61,278,218

NET ASSETS

Invested in capital assets, net of related debt $ 225,764,035 $ 211,533,500

Restricted for:

Capital improvements 27,889.497 10,781,273

Compensation 24,923,526 23,984.783

Discipline 4,7] 7,320 4,166,554

Federal and state grant programs 11,497.597 6,777,501

Costs required under settlement agreement 226,895 342,572

Unrestricted 143,642,384 90,339,890

TOTAL NET ASSETS $ 438,661,254 $ 347,926,073

The accompanying notes to the basic financial statements are an integral par! of this statement.

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Functions/Programs

Instruction:

Regular education programs

Special education programs

Other education programs

Support Sendees:

Pupil support services

Instructional staff services

General administration services

School administration services

Business and central services

Plant operations and maintenance

Transportation

Child nutritionAppropriation - charter schools

Total Governmental Activities

Baton Rouge. Louisiana

STATEMENT OF ACTIVITIES

FOR THE

Expenses

$ 147,101,404

64,221,602

47,481,748

24,594,812

19,378,843

9,692,604

18,682,58012,564,091

47,877,600

25,988,683

26,189,372

3,804,070

447,577,409

YEAR ENDED JUNE 30. 2007

Program Revenues

Operating

Charges for Grants and

Services Contributions

$ - $ 2,296,816

8,070,762

871,051 35,255,180

5,231.675

8,567,179

155,016

349,880

1 ,006,960333,660

174,406 2,771,802

4,083,381 19,447,943

-

5,128,838 83,486,873

Capital

Grants and

Contributions

$-

405,775

-

-

-

-

-

-

-

-

405,775

General Revenues

Taxes:

Ad valorem taxes

State revenue sharing

Sales and use taxesState aid not restricted to specific programs (MFP)Interest and investment earnings

Miscellaneous

Total general revenues

Change in Net Assets

Net Assets - July 1, 2006

Net Assets-June 30, 2007

Net (Expense)

Revenue and

Changes in Net

Assets

Governmental

Unit

(144,804,588)

(56,150,840)(10,949,742)

(19,363,137)

(10,811,664)

(9,537,588)

(18,332,700)

(11,557,131)

(47,543,940)

(23,042,475)

(2,658,048)(3.804,070)

(358,555,923)

107,347,430

3,873,354

159.512,971

161,556,5528,308,087

8,692,710

449,291,104

90,735,181

347,926,073

$ 438,661,254

The accompanying notes to the basic financial statements arc an integral pan of ihis statement.

.-The East Baton Rouge Parish School Systemdoes not discriminate on . C"basis of race, color, national^ K

XV °"0in, sex; handicapor disability x \ \

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge, Louisiana

GOVERNMENTAL FUNDS

Balance Sheet

JUNE 30. 2007

ASSETS

Cash and cash equivalents

Receivables:

Accounts

Sales tax

Ad valorem tax

Due from other funds

Due from other governments

Inventory

TOTAL ASSETS

General Title 1

Proposition I

Capital

Projects

$ 18,064,593

458,480

8,919,995

1,379,502

-1,441,894

1,349,637

80,144

---

7,144,493

-

2,1594,127,806

-7,252,045

-

-

$ 191,999,986 S 7.224,637 S 29,446.603

LIABILITIES AM) FUND BALANCES

Liabilities:

Accounts payable

Salaries and benefits payable

Due to other funds

Deferred financial commitment with maintenance company

Unearned revenues

TOTAL LIABILITIES

Fund balances:

Reserved for inventory

Reserved for encumbrances

Unreserved, reported in:

General Fund:

Designated for coverage of medical claims

Designated for coverage of risk management claims

Designated for bus purchases

Designated for facilitiesDesignated for costs required under settlement agreement

Designated for energy conservation

Designated for instruction

Designated for current operations

Undesignated

Special Revenue Fund

Capital Projects Fund

TOTAL FUND BALANCES

TOTAL LIABILITIES AND

FUND BALANCES

3,227,712 $ 1,720,698 $ 1,557,106

68,302,129 5,503,939

3,333,333112,942

74,976,116 7,224,637

1.349,637

4,804,952

5,250,000

3,000,000

5,000,000

7,250,000

226,895

3,000,000

15,000,000

6,000,000

66,142,386

-

117,023,870

-

-

-

1,557,106

14.825,507

-

-

--

-

-

-

-

13,063.990

27,889,497

191.999.9S6 S 7,224,637 $ 29.446.603

The accompanying notes to the basic financial statements arc an integral part of this statement.

- 3 -

Proposition 2

Discipline

Proposition 3Compensation

ChildNutrition

OtherNon-major

Governmental Total

3,622,829 $ 16,847,907 $

655,566

454,278

421

3,168,745

4,948,017

14,088

1,350,098

514,618593,239

588,555

9,544,771

15,824,503

S 216.999,895

1,129,75916,872,112

1,379.502

23,549,20924,925,508

1,942,876

4,732.673 24,965.090 $ 2,472,043 $ 25,957,829 S 286,798.361

15,353 S 41,564 S 271,581 S 1,241,7811,860

13,059.344

309,723 157,247

8,075,7951,860

86,865,412

3,333,333579,912

15,353 41,564 581,304 ,4,460,232 98,856,312

6,299

283,516201,441

1,633,15319.838,199

4,711,021 24,923,526 1,405,782 11,497,597

5,250,000

3,000,0005,000,0007,250,000

226,8953,000,000

15,000,0006,000,000

66,142,38642,537,92613,063,990

4,717,320 24,923,526 1,890,739 11,497,597 187,942,549

S 4.732.673 $ 24.965.090 S 2,472,043 S 25.957.829 S 286.798.861

ftftft

- 4 -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge, Louisiana

RECONCILIATION OK THE GOVERNMENTAL FUNDS BALANCE SHEET

TO THE STATEMENT OF NET ASSETS

JUNE 30. 2007

Total Fund Balances at June 30, 2007 - Governmental Funds

Cost of capita] assets at June 30, 2007

Less: Accumulated depreciation as of June 30, 2007:

Buildings

Movable property

Consolidation of internal service funds

Elimination of interfund assets and liabilities

Due from other fundsI

Due to other funds

Long-term liabilities at June 30, 2007

Compensated absences payable

Notes payable

Total net assets at June 30, 2007 - Governmental Activities

$ 357,757,333

(101,280,126)

(29,322,263)

(74,990,786)

74,990,786

(16,565,842)

(1,390,909)

$ 187,942,549

227,154,944

41,520,512

(17,956,751)

S 438,661,254

The accompanying notes to the basic financial statements are an integral part of this statement.

The East Baton Rouge Parish School System-"1.-- does not discriminate on O"-,..-xxtne basis of race, color, national V

XV origin, sex, handicap V1^•' f & * - - - •'' •* >•

EAST BATON ROUGE PARISH SCHOOL SYSTEM

REVKNUJES

Local sources:

Ad valorem (axes

Sales and use taxes

Earnings on tnve

Extended day pr<

Other

State sources:

Unrestricted grar

Revenue sharing

Restricted grants-in-aid

Federal grants

TOTAL REVENUES

EXPENDITURES

Current:

Instruction:

Regular educ;

Special educs

Other educati

Support:

Pupil support services

Instructional s

General admin

School admini:

Business and c

Plant operatior

Transportation

Child nutrition

Appropriation-Q

Settlement agreement

Facility acquisition and

Debt service - Principal

TOTAL EXPENDITURES

Raton Ron tie, Lonsiann

GOVERNMENTAL FUNDS

STATEMENT OF REVENUES. EXPENDITURES AND CHANGES IN

FISCAL YEAR ENDED JUNE 30,

General

$ 105,659,207 S

:s 84,856,072

tments 6,074,204

gram tuition 499,523

6,510,688

:s-in-aid, MFP 157,806,552

3,873,354

in-aid 3,237,816

720,441

S 369,237,857

programs 1 16,417, 278

programs 51,145,981

rograms 12,811,113

ices 16,517,373

sen-ices 9,976,374

ation services 9,834,655

tion sen1 ices 17,557,661

nl services 10,585,120

id maintenance 43,005,521

23,754,988

er schools 3,535,059

t 8.139,026

construction 39,177

163,636

URES 323,482,962

JEVENUESOVER

ENDLTURES 45,754,895

2007

Title 1

-

-

-

-

-

-

-

24.536,565

24,536,565

-16,932,601

414,687

3,451,834

137,856

-448,629

211.338

231,010

.

-

12,529

-

21,840,484

2,696,08 1

FUND BALANCE

Proposition I

Capital

Projects

S

38,056,711

714,732

-

1,115,550

-

-

-

-

39,886,993

-

-

-

-

344,443

-847,874

5,555,188

-

-

-21,831,264

-

28,578,769

11,308,22-4

Proposition 2

Discipline

5,969,617

219,993

6.189,610

3,840,609

59,712

972,192

155,848

54,037

211,497

285.357

59,592

5.638,844

550,766

The accompanying notes to the basic financial statements are an integral part of this statement.

Proposition 3

Compensation

Child

Nutrition

Other

Non-major

Govern mental Total

30.630,571

1,167,847

4,083.381

3,750,000

19,447,943

31,798,418 27,281,324

1,688,223

2,847,421

9,145,602

26,398.506

40.079.752

107.347,430

159,512,971

8,176,776

499,523

14,557,040

161,556,552

3,873,354

12,383,418

71.103.455

539,010,519

14,793,505

6,584,43 1

1,098,227

2,201,412

1,150,938

304,722

1.560,285

694,191

24,503

2,022,057

425,404

-

-

-

-

30,859,675

1.956.122

8.818.540

17,319,928

5,193,917

5,093,488

-

63,721

528,469

95,432

850,637

26.796,5X4

2 6 9 . U I I

-

-

-

27,065,595 39,920,254

137,007,514

66,608.664

48.161.869

25.299.581

19.828,482

10.675,713

19,393,164

13,104,283

49.177,339

26,918,284

27,221,988

3,804,070

8,139,026

21.882,970

163,636

477,386,583

938,743 215,729 159.498 61,623,936

(continued)

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge, LousianaGOVERNMENTAL FUNDS

STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

FISCAL YEAR ENDED JUNE 30. 2007

OTHER FINANCING SOURCES (USES)

Transfers in

Transfers out

TOTAL OTHER FINANCING

SOURCES (USES)

NET CHANCE IN FUND BALANCES

Fund balances, June 30, 2006

FUND BALANCES, JUKE 30, 2007

Genera]

5,065,632

(18,562,149)

32,258,378

84,765,492

117,023,870

Title I

(2,696,081)

(13,496,517) (2,696,081)

Proposition 1

Capital

Projects

5,800,000

5,800,000

17,108,224

10,781,273

Proposition 2

Discipline

550,766

4,166,554

$ 27,889,497 S 4,717,320

The accompanying notes to ilie basic financial statements are an integral part of this statement.

- 8 -

Proposition 3

Compensation

-

_

Child

Nutrition

900,000

(68,000)

832,000

Other

Non- Major

Governmental

6.862,149

(2,301,551)

4,560,598

Total

18,627,781

(23,627,781)

(5,000,000)

938,743 1,047,729 4,720,096 56,623,936

23,984,783 843,010 6,777,501 131,318,613

S 24,923.526 $ 1,890,739 $ 11.497,597 $ 187,942.549

(concluded)

- 9 -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge, Louisiana

RECONCILIATION OF THE GOVERNMENTAL FUNDS -

STATEMENT OF REVENUES, EXPENDITURES AND

CHANGES IN FUND BALANCE TO THE STATEMENT OF ACTIVITIES

FISCAL YEAR ENDED JUNE 30. 2007

Net Change in Fund Balances - Total Governmental Funds

Capital Assets:

Capital outlay and other expenditures capitalized

Depreciation expense for year ended June 30, 2007

Gain on disposition of capital assets

Proceeds from the sale of capital assets in excess

of net gain/loss recognized

Change in net assets of internal service funds

Long Term Debt:

Principal portion of debt service payments

Excess of compensated absences earned over amounts used

Change in Net Assets - Governmental Activities

27,018,462

(12,858,665)

163,636

(406,456)

$ 56,623,936

14,159,797

736,343

(829,241)

20,287,166

(242,820)

$ 90,735,181

The accompanying notes to the basic financial statements are an integral part of this statement.

- 1 0 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge. Louisiana

PROPRIETARY FUNDS - INTERNAL SERVICEBALANCE SHEET

JUNE 30, 2007

ASSETSCurrent:

Cash and cash equivalentsDue from other fundsReimbursements receivable

TOTAL ASSETS

LIABILITIES AND NET ASSETSLiabilities:Current:Accounts payableClaims payable

Noncurrent:Claims payable

TOTAL LIABILITIES

Net Assets:Unrestricted

TOTAL LIABILITIES ANDNET ASSETS

Internal ServiceFunds

$ 2,500,00051,441,577

872,492

$ 54,814,069

S 283,1749,482,531

3,527,852

13,293,557

41,520,512

$ 54,814,069

The accompanying notes to the basic financial statements arc an integral part of this statement.

- 11 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge. Lousiana

PROPRIETARY FUNDS - INTERNAL SERVICESTATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS

FTSCAL YEAR ENDED JUNE 30. 2007

OPERATING REVENUESPremiums received

TOTAL OPERATING REVENUES

OPERATING EXPENSESClaims expenseInsurance premiumsAdministrative fees

TOTAL OPERATING EXPENSES

NET OPERATING INCOME

NON-OPERATING REVENUESInterest income

TOTAL NON-OPERATING REVENUES

INCOME BEFORE: TRANSFERS

Transfers in

Change in not assets

Net Assets, at June 30, 2006

NET ASSETS, AT JUNE 30, 2007

Internal ServiceFunds

S 81,408,967

81,408,967

60,514,972

2,812,1912,925,949

66,253,112

15,155,855

131,311

131,311

15,287,166

5,000,000

20,287,166

21,233,346

$ 41,520,512

The accompanying notes to the basic financial statements are an integral part of this statement.

-12-

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge. Lousiana

PROPRIETARY FUNDS - INTERNAL SERVICESTATEMENT OK CASH FLOWS

FISCAL YEAR ENDED JUNE 30. 2007

CASH FLOWS FROM OPERATING ACTIVITIES:Cash premiums receivedCash paid in claims and benefitsCash paid for expenses

NET CASH PROVIDED BYOPERATING ACTIVITIES

Internal ServiceFunds

$ 80,998,506(63,429,901)

(3,043,769)

14;524,836

CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES:Advances to other funds

NET CASH USED INNONCAPITAL FINANCING ACTIVITIES

CASH FLOWS FROM INVESTING ACTIVITIES:Interest Income

NET CASH PROVIDED BYINVESTING ACTIVITIES

NET CHANGE IN CASH

Cash at beginning of year

Cash at end of year

Reconciliation of operating income to net cashprovided by operating activitiesOperating Income

Adjustments to reconcile operating income tonet cash provided by operating activities:

Changes in:

Reimbursement receivablesAccounts and claims payable

NET CASH PROVIDED BY

OPERATING ACTIVITIES

(14,735,744)

(14,735,744)

131,311

131,311

(79,597)

2,579.597

$ 2,500,000

S 15,155,855

(410,461)

(230,558)

$ 14,524.836

The accompanying notes to the basic financial statements are an integral part of this statement.

EAST BATON ROUGE PARTSH SCHOOL SYSTEM

Baton Rouge, Louisiana

FIDUCIARY FUNDS

STATEMENT OF FIDUCIARY ASSETS AND LIABILITIES

JUNE 30, 2007

ASSETSCash and cash equivalents

Accounts receivable

Due from other runds

TOTAL ASSETS

LIABILITIES

Benefits payable

Salaries payable

Payroll withholdings payable

Amounts held for other groups

TOTAL LIABILITIES

Agency

Funds

$ 4;224.268

29,373

11,874,626

S 16,128,267

$ 2,445,883

7,723.270

1,423,5774,535,537

$ 16,128,267

The accompanying notes to the basic financial statements are an integral part of this statement.

- 14-

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

NOTES TO BASIC FINANCIAL STATEMENTS

1. GENERAL INFORMATION

The East Baton Rouge Parish School System (the School System) is a corporate body created under Louisiana Revised Statutes17:51. A board consisting of 12 members (the Board) elected from legally established districts is charged with the managementand operation of the School System.

The School System is composed of a central office, 92 schools and several support facilities. Student enrollment as of February,2007 was 46,462. The School System employs approximately 6,000 persons, approximately 3,800 of whom are directlyinvolved in the instructional process. The remainder provides ancillary support such as general administration, repair andmaintenance, bus transportation and food service. The regular school term normally begins during the first half of August and iscompleted by the end of May.

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The School System complies with Generally Accepted Accounting Principles (GAAP). The School System's reporting entityapplies all relevant Governmental Accounting Standards Board (GASB) pronouncements. The School System applies FinancialAccounting Standards Board (FASB) pronouncements and Accounting Principles Board (APB) opinions issued on or beforeNovember 30. 1989, to its government-wide financial statements unless those pronouncements conflict with or contradict GASBpronouncements, in which case, GASB prevails.

A. Financial Reporting Entity

The basic criterion established by the Governmental Accounting Standards Board for determining whether agovernmental department, agency, institution, commission, public authority, or other governmental organization shouldbe included in a primary government unit 's reporting entity for basic financial statements is financial accountability.Financial accountability includes the appointment of a voting majority of the organization's governing body and either theability of the primary government to impose it's will on the organization or if there is a financial benefit/burdenrelationship. In addition, an organization which is fiscally dependent on the primary government should be included in itsreporting entity. The financial statements present the East Baton Rouge Parish School System (the primary government).Based on the aforementioned criteria, there are no component units included in the School System's reporting entity.

B. Basis of Presentation

The School System's Basic Financial Statements consist of the government-wide statements on all of the non-fiduciaryactivities and the fund financial statements (individual major fund and combined non-major fund). The statements arcprepared in accordance with accounting principles generally accepted in the United States of America as applied togovernmental units.

Government-Wide Financial Statements

The government-wide financial statements include the statement of net assets and the statement of act ivi t ies for all non-fiduciary activities. Interfund activity consists of inter fund advances, transfers and charges from the internal service fundsto the governmental runds. As a general rule, the effect of interfund activity has been eliminated from both the statementof net assets and the statement of activities. Exceptions to the general rule are advances between fiduciary funds and thevarious functions of the School System and interfund services provided and used, which arc not eliminated in the processof consolidation. Charges from the internal service funds to the governmental funds are eliminated in consolidation. Thegovernment-wide presentation focuses primarily on the sustainability of the School System as an entity and the change inaggregate financial position resulting from the activities of the fiscal period.

- 1 5 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

NOTES TO BASIC FINANCIAL STATEMENTS

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

B. Basis of Presentation (continued)

Government-Wide Financial Statements (continued)

All programs of the School System are considered Governmental Activities which arc normally supported by taxes andintergovernmental revenues.

The Statement of Activities demonstrates the degree to which the direct expenses of a given function are offset byprogram revenues. Piogram revenues included in the Statement of Activities are derived from parties outside the SchoolSystem's taxpayers or citizenry, as a whole; program revenues reduce the cost of the function to be financed from theSchool System's general revenues.

The School System reports all direct expenses by function in the Statement of Activities. Direct expenses are those thatare clearly identifiable with a function. Indirect expenses of other functions are not allocated to those functions but arereported separately in the Statement of Activities. Depreciation expense, which can be specifically identified by function,is included in the direct expenses of each function. Interest on general long-term debt is considered an indirect expenseand is reported separately on the Statement of Activities.

Fund Financial Statements

The daily accounts and operations of the School System are organized on the basis of funds and account groups, each ofwhich is considered a separate accounting entity. The operations of each fund are accounted for with a separate set ofself-balancing accounts that comprise its assets, liabilities, equity, revenues, and expenditures or expenses, as appropriate.Government resources are allocated 10 and accounted for in individual funds based upon the purpose for which they areto be spent and the means by which spending activities are controlled.

The accounting and financial reporting treatment applied to a fund is determined by its measurement focus. AllGovernmental Funds arc accounted for using a current financial resources measurement focus. With this measurementfocus, only current assets and current liabilities generally are included on the balance sheet. Operating statements ofthese funds present increases (i.e., revenues and other financial sources) and decreases (i.e., expenditures and otherfinancing uses) in current assets.

The funds;of the School System are classified into three broad categories: Governmental, Proprietary and Fiduciary.

Governmental Fund Types:The School System reports the following governmental funds as major funds:

General Fund - The General Fund is the primary operating fund of the School System. It is used to account for allfinancial resources except those required to be accounted for in another fund.

Title I Fund - Title I includes programs in the areas of language development, reading, and math. These programs striveto meet the special needs of economically and educationally deprived children through federal funds for teachers, aides,instructional materials, equipment and parental involvement.

- 16-

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

NOTES TO BASIC FINANCIAL STATEMENTS

2. SUMMARY OE SIGNIFICANT ACCOUNTING POLICIES (continued)

B. Basis of Presentation (continued)

Fund Financial Statements (continued)

Governmental Fund Types: (continued)

Proposition I - Capital Projects Fund -The Proposition I Fund accounts for the proceeds of a .51 cent sales taxapproved as part of a plan to improve school facilities. The intent of the plan tax is to improve infrastructure in an effortto provide a "safe and dry" environment for the students, staff, and public in the school system.

Proposition 2- Discipline Funds - The Proposition 2 Fund accounts for the proceeds of a .08 cent sales tax approved aspart of a plan to improve discipline in the schools. The intent of the plan is to remove disruptive and academicallydeficient students from the regular education classroom, reduce truancy and provide more effective alternative education.

Proposition 3- Compensation Fund ~ The. Proposition 3 Fund accounts for the proceeds of a .41 cent sales tax approvedas part of a plan to improve compensation. The intent of the plan is to improve ability to recruit and retain certified andqualified teachers, assistant principals and principals; to have more productive support employees; and to have the abilityto reward performance that meets and/or exceeds standards.

Child Nutrition Fund - The Child Nutrition Fund is used to account for the operations of the school food service programthat operates during the regular school term and during the summer break. The basic goals of the school food serviceprogram are to serve nutritionally adequate, attractive and moderately priced meals, to help children grow socially andemotionally, to extend educational influences to the homes of school children, and to provide learning experiences thatwill improve children's eating habits with the ultimate goal of physically fit adults.

Proprietary Fund Type:

Internal Service Funds - Internal Service Funds are used to account for the financing of services provided by onedepartment or agency to other departments or agencies of the governmental unit, or to other governmental units, on acost-reimbursement basis. The Workers' Compensation Fund, the Risk Management Fund and the Medical InsuranceFund are reported as Internal Service Funds on a combined basis.

Fiduciary Fund Types:

Agency Funds - Agency Funds are used to account for assets held by the School System as an agent for individuals,private organizations or other governmental units and/or other funds. The School System employs two separate AgencyFunds: one fund accounts for the transactions of the student activity accounts maintained at the schools, and anotheraccounts for voluntary and mandatory payroll withholdings.

- 17-

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

NOTES TO BASIC FINANCIAL STATEMENTS

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

Basis of Accounting/Measurement Focus

Government-Wide Financial Statements (GWFS)ii

The GWFS were prepared using the economic resources measurement focus and the accrual basis of accounting.Revenuesjare recorded when earned and expenses are recorded when a l iabi l i ty has been incurred, regardless of thetiming of related cash flows. Property taxes are recognized as revenues in the year for which they are levied. Sales taxesare recognized when the underlying sales transactions occur. Grants and similar items are recognized as revenue as soonas all eligibility requirements imposed by the provider have been met.

iFund Financial Statements (FFS)

The accounting and financial reporting treatment applied to a fund is determined by its measurement focus. TheProprietary Fund type is accounted for on a flow of economic resources measurement focus (accrual basis). With thismeasurement focus, all assets and all liabilities associated with the operation of these funds are included on the balancesheet. The Proprietary Fund type's operating statement presents increases (e.g., revenues) and decreases (e.g.. expenses)in net total assets.iiIAgency Funds have no measurement focus, but follow the accrual basis of accounting.

I

Governmental Funds are accounted for using a current financial resources measurement focus and the modified accrualbasis of accounting. With this measurement focus, only current assets and current liabilities generally arc included on thebalance sheet. Operating statements of these funds present increases (i.e., revenues and other financial sources) anddecreases'(i.e., expenditures and other financing uses) in net current assets.

iThe following paragraphs describe the revenue recognition practices under the modified accrual basis of accounting:

i *" " ~~" ""\

Revenues IGovernmental Fund revenues resulting from exchange transactions are recognized in the fiscal year in which theexchange takes place and meets the government's availability criteria (susceptible to accrual). Available means that theresources will be collected within the current fiscal year or are expected to be collected soon enough thereafter to be usedto pay liabilities of the current fiscal year. Charges for services, fines and forfeits, and most governmental miscellaneousrevenues, including investment earnings are recorded as earned since they are measurable and available. The SchoolSystem's definition of available means expected to be received within six months of the end of the fiscal year, except forproperty taxes, for which the period is sixty days of the end of the fiscal year.

INon-exchange transactions, in which the School System received value without directly giving value in return, includessales tax, property tax, grants, entitlements, and donations. Property taxes are considered measurable in the calendar yearof the tax levy and arc recognized as revenue if collected soon enough to meet the availability criteria. Sales taxes areconsidered "measurable" when the underlying transaction occurs and are recognized as revenue if collected soon enoughto meet the availability criteria. Anticipated refunds of such taxes are recorded as fund liabilities and reductions ofrevenue when they are measurable and valid. Revenue from grants, entitlements and donations is recognized in the fiscalyear in wliich all eligibility requirements have been satisfied subject to the availability criteria. Eligibility requirementsinclude timing requirements, which specify the year when the resources can be used.

Internal Service Funds consist solely of those established to account for self-insurance programs. Premium revenues areconsidered operating revenues while all other revenues are non-operating.

iI

j - 1 8 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

NOTES TO BASIC FINANCIAL STATEMENTS

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

C. Basis of Accounting/Measurement Focus (continued)

ExpendituresExpenditures are generally recognized under the modified accrual basis of accounting when the related Fund liability isincurred. Costs of accumulated unpaid vacation, sick leave and other employee benefit amounts are reported in theperiod due and payable rather than the period earned by employees, and general long-term obligations principal andinterest payments are recognized only when due.

D. Encumbrances

Encumbrances represent commitments related to unperformed contracts for goods or services. Encumbrances outstandingat year end in the Governmental Funds Balance Sheet are reported as reservations of fund balance. These outstandingencumbrances are added to the budget in the subsequent year and are reported as expenditures when incurred.

E. Cash and Cash Equivalents

Cash and cash equivalents include interest-bearing demand deposits and short-term investments ('usually time certificatesof deposit or investments in the Louisiana Asset Management Pool, with a maturity date within three (3) months of thedate of acquisition).

State statutes authorize the School System to invest in United States bonds, treasury notes; or certificates and timedeposits of state banks organized under Louisiana law and national banks having principal offices in Louisiana. Inaddition, local governments in Louisiana are authorized to invest in the Louisiana Asset Management Pool, Inc. (LAMP),a nonprofit corporation formed by an initiative of the State Treasurer and organized under the laws of the State ofLouisiana, which operates a local government investment pool.

The School System maintains four checking accounts, exclusive of the individual schools' bank accounts, with the SchoolSystem's fiscal agent bank. These four accounts are the consolidated cash account and three interest bearing imprestaccounts for disbursements of payrolls, disbursements to vendors, and to health care providers.

Interest earned on investments is distributed to the individual funds based on the invested balance of the participatingfund during the year.

F. Inventory

Government-Wide LevelInventory is stated at average cost and consists of expendable supplies held for consumption. The costs of inventoryitems are recognized as expenses when used.

Fund LevelInventory of the general fund is stated at average cost and consists of expendable supplies held for consumption. The

. costs of inventory items are recognized as expenditures when vised. The importable inventories are equally offset by a* fund balance reserve which indicates that they do not constitute "available spendable resources" even though they are a| component of total assets.

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

NOTES TO BASIC FINANCIAL STATEMENTS

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

F. Inventory (continued)

Fund Level (continued)i

Inventory of the Child Nutrition Special Revenue Fund consists of food purchased by the School System andcommodities granted by the United States Department of Agriculture (USDA) through the Louisiana Department ofAgriculture and Forestry. Inventory items purchased are valued at average cost. Costs are recorded as expenditures atthe time individual items are consumed (consumption method). Commodities are assigned values based on informationprovided by the USDA, also on average cost basis. The amount of commodity inventory is included in unearned revenueuntil consumed.

G. Capital Assets

All capital assets are capitalized at historical cost or estimated historical cost for assets where actual historical cost is notavailable. Donated assets are recorded as capital assets at their estimated fair market value at the date of donation. TheSchool System maintains threshold levels for capitalizing capital assets as follows:

Movable capital assets with a cost of $5,000 or more per unit.All land and land improvements with a cosi of $25,000 or more.Buildings and building improvements that extend the useful life of a building with a cost of 525,000 or more.

Capital assets arc recorded in the GWFS, but are not reported in the FFS. All capital assets are depreciated using thestraight-line method over their estimated useful lives. Since surplus assets are sold for an immaterial amount whendeclared as no longer needed for public school purposes by the School System, no salvage value is taken intoconsideration for depreciation purposes. Useful lives vary from 5 to 20 years for machinery and equipment and 10 to 50years for buildings and improvements.

H. Reserves and Designations

Portions of fund balances are reserved for future use and. therefore, are not available for appropriation or expenditure.Designations of unreserved fund balances in Governmental Fund types indicate the School System's plans for the use offinancial resources in a future period.

I. Intel-fund Transactions

During the course of normal operations, the School System has numerous transactions between funds, includingexpenditures and transfers of resources to provide services, construct assets, and service debt. The accompanying fundfinancial statements generally reflect such transactions as transfers.

-20 -

™

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge. Louisiana

NOTES TO BASIC FINANCIAL STATEMENTS

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

J. Compensated Absences

Teachers and other school employees accrue from 10 to 12 days of sick leave per year depending upon the number ofmonths worked. Sick leave may be accumulated without limitation. Upon employees" death or retirement, unusedaccumulated sick leave of up to 25 days is paid to employees or their heirs at the employees' current rate of pay. Theaccrual computation for earned sick leave is calculated on a 25-day maximum per employee. Sick leave is not payableupon discharge or termination (non-retirement). Upon retirement, accumulated sick leave may be used in the retirementbenefit computation as earned service. Extended sick leave will be paid at 65% of salary with a maximum of 90 daysallowed every six years for teachers and bus drivers. Extended sick leave for all other employees will be paid at 50% ofsalary with a maximum of 25 days annually.

All 12-month employees earn from 10 to 20 days of annual vacation leave per year depending on length of service withthe School System. Such leave is credited on a pro rata basis at the end of each payroll reporting period and accumulates.A maximum of 400 hours of unused annual leave is carried over to future periods and may be paid to the employee upontermination of employment.

All amounts reported are salary related, and include no fringe benefits since the amount of said benefits would beimmaterial.

Sabbatical leave may be granted for medical/professional purposes. Any employee with a professional leachingcertificate is entitled, subject to approval by the School System, to one (1) semester of sabbatical leave after three (3)years of continuous services, or two (2) semesters of sabbatical leave after six (6) or more years of continuous service.Continuous service must be as an employee of the School System. Sabbatical leave will be paid at 65% of salary.Sabbatical leave, which involves professional and cultural improvement, provides a continuing benefit to the employerand should not be accrued. Since sabbatical leave for medical purposes requires a doctor's certificate prior to beinggranted, it is similar to an extended sick leave benefit and should not be accrued as sabbatical leave benefits.Consequently, sabbatical leave benefits are recorded as current expenditures (in the FFS) in the period paid.

K. Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United Statesof America requires management to make estimates and assumptions that affect the reported amounts of assets andliabilities and disclosures of contingent assets and liabilities as of the date of the financial statements and the reportedamounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

L. Non-Operating and Operating Revenues - Proprietary Funds

Premium revenues, claims expenses and administrative costs customarily associated with self-insurance programs areaccounted for as operating revenues and expenses. Interest income is reported as non-operating revenues.

M. Reclassification

Certain amounts in the 2006 Statement of Net Assets have been reclassified to conform to the current year's presentation.

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

NOTES TO BASIC FINANCIAL STATEMENTS

3. DEPOSITS AND INVESTMENTS

Under Louisiana R.S. 33:29.55, as amended, the School System may invest in obligations of the U.S. Treasury. U.S. Agenciesand instrumentalities, repurchase agreements, certificates of deposit. Louisiana Asset Management Pool (LAMP), and otherinvestments as provided in the statute.

Deposits and investments at June 30, 2007 were as follows:

Deposits Investments TotalMajor Governmental Funds:

General Fund $ 178,438,462 S 12,016 S 178,450,478Proposition 1 Capitol Projects Fund 17,SSS,000 176,593 18,064,593Proposition 2 Discipline Fund 3,612,000 10,829 3,622,829Proposition 3 Compensation Fund 15,903,000 944,907 16,847,907Child Nutrition Fund 14,088 - 14,088

Subtotal - Major Governmental Funds 215,855,550 1,144,345 216,999,895

Fiduciary Fund Types:Consolidated Payroll 4,224,268 - 4,224,268

Proprietary Fund Types:Workers' Compensation Fund 2,500,000 ^_ 2,500,000

TOTAL S 222,579,818 S 1,144,345 S 223,724,163

Deposits

Custodial credit risk for deposits is the risk that in the event of financial institution failure, the School System's deposits may notbe returned to them. To mitigate this risk, state law requires deposits to be secured by federal deposit insurance or the pledge ofsecurities owned by the fiscal agent financial institution. The School System had no custodial credit risk as of June 30, 2007.

Securities that may be pledged as collateral consist of obligations of the U.S. Government and its agencies, obligations of theState of Louisiana and its municipalities and school districts.

- 2 2 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Ronue. Louisiana

NOTES TO BASIC FINANCIAL STATEMENTS

3 DEPOSITS AND INVESTMENTS (continued)

Investments

Investments held at June 30, 2007 consist of $1 ,144,345 in the Louisiana Asset Management Pool (LAMP), a local governmentinvestment pool. In accordance with GASB Codification Section 150.126, the investment in LAMP at June 30, 2007 is notcategorized into the three risk categories provided by GASB Codification Section 150.125 because the investment is in the poolof funds and therefore not evidenced by securities that exist in physical or book entry form.

LAMP is administered by LAMP, Inc.. a non-profit corporation organized under the laws of the Slate of Louisiana. Only localgovernment entities having contracted to participate in LAMP have an investment interest in its pool of assets. The primaryobjective of LAMP is to provide a safe environment for the placement of public funds in short-term, high quality investments.The LAMP portfolio includes only securities and other obligations in which local governments in Louisiana are authorized toinvest in accordance with LSA-R.S. 33:2955. Accordingly, LAMP investments are restricted to securities issued, guaranteed, orbacked by the U.S. Treasury, the U.S. Government, or one of its agencies, enterprises, or instrumentalities, as well as repurchaseagreements collateralized by those securities.

Effective August 1, 2001, LAMP'S Investment Guidelines were amended to permit the investment in government-only moneymarket funds. In its 2001 Regular Session, the Louisiana Legislature (Senate Bill No. 512. Act 701) enacted LSA-R.S.33:2955(A)(l)(h) which allows all municipalities, parishes, school boards, and any other political subdivision of the Slate roinvest in "Investment grade (A-l/P-1) commercial paper of domestic United States corporations." Effective October 1, 2001,LAMP'S Investment Guidelines were amended to allow the limited investment in A-l or A-1+ commercial paper.

The dollar weighted average portfolio maturity of LAMP assets is restricted to not more than 90 days and consists of nosecurities with a maturity in excess of 397 days. LAMP is designed to be highly liquid to give its participants immediate accessto their account balances. The investments in LAMP arc staled at fair value based on quoted market rates. The fair value isdetermined on a weekly basis by LAMP and the value of the position in the external investment pool is the same as the value ofthe pool shares.

LAMP, Inc. is subject to the regulatory oversight of the slate treasurer and the board of directors. LAMP is not registered withthe SEC as an investment company.

Credit risk is defined as the risk that an issuer or other counterparty to an investment will nol fulfil l its obligations. The SchoolSystem's investment policy requires application of the prudent-person rule. The policy states that all investments shall be madewith the exercise of thai judgment and care, under circumstances then prevailing, which persons of prudence, discretion, andintelligence exercise in the management of their own affairs, not for speculation, but for investment, considering the probablesafety of their capital, as well as the probable income to be derived. The School System's investment policy limits investmentslo those discussed earlier in this section. LAMP has a Standard & Poor's Rating of AAAm.

- 2 3 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

NOTES TO BASIC FINANCIAL STATEMENTS

4. AD VALOREM TAXES

Ad valorem taxes were levied by the School System on May 18, 2006 for the calendar year 2006, based on the assessedvaluation of property as of January 1 of the calendar year. The taxes become due on December 1 of each year, and becomedelinquent on December 31. However, before the taxes can be collected, the assessment list (tax roll) must be submitted to theLouisiana Tax Commission for approval. From the day the tax roil is filed in the parish Clerk of Court's Office, it shall act as alien on each specific piece of real estate thereon assessed, which shall be subject to a legal mortgage after the 31st day ofDecember of the current year for the payment of the tax due on it. The taxes are generally collected in December, January, andFebruary1 of the fiscal year. A list of property on which taxes have not been paid is published in the official journal by the EastBaton Rouge Parish Tax Collector Office, which is a division of the East Baton Rouge Parish Sheriffs Department. If taxes arenot paid within the period stipulated in the public notice, the property is sold for taxes due at a lax sale, usually held prior to theend of the School System's fiscal year.

The following is a summary of authorized and levied ad valorem taxes:

Parish wide taxes:Constitutional taxSpecial maintenance taxSpecial tax - additional aid to public schoolsSpecial tax - additional teachersSpecial tax - employee salaries and benefitsSpecial tax - employee salaries and benefitsSpecial tax - replacing reduced state and local receiptsSpecial tax - employee salaries and benefitsSpecial tax - employee salaries and benefitsSpecial tax - support ADAPP

AuthorizedMillaee

5.251.046.502.7S1,867.144.985.997.19

.72

LeviedMillage

5.251.046.502.781.867.144.985.997.19

.72

Expires

Not applicable201620132014201420182017201620132016

Under the Louisiana Constitution, ad valorem taxes other than Constitutional and Bond taxes must be renewed by popular voteevery ten (10) years.

All property taxes are recorded in the General and Alcohol and Drug Abuse Funds on the basis explained in Note 2C. Revenuesin such funds arc recognized in the accounting period in which they become measurable and available. Property taxes areconsidered measurable in the calendar year of the tax levy. Estimated uncollectible taxes arc those taxes based on pastexperience which will not be collected in the subsequent year and are primarily due to subsequent adjustments to the tax roll.Available means:due. or past due, and receivable within the current period and collected within the current period or expected tobe collected soon enough thereafter to pay liabilities of the current period. The remaining property taxes receivable areconsidered available because they are substantially collected within 60 days subsequent to year end.

Historically, virtually all ad valorem taxes receivable were collected since they are secured by property; therefore, there is noallowance for uncollectible taxes.

-24-

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

NOTES TO BASIC FINANCIAL STATEMENTS

5. CAPITAL ASSETS

Capital assets and depreciation activity as of and for the year ended June 30. 2007 are as follows:

Beginning EndingBalance Increases Decreases Balance

Governmental activities:Capital assets, not being, depreciated:Land S 8,352,161 $ 1,117,235 S (33,250) $ 9.436,146

Construction in progress 43,694,283 14,832,688 (43,694,283) 14,832,688Total capital assets, not being depreciated 52,046.444 15,949,923 (43/727,533) 24,268.834

Capital assets, being depreciated:Buildings and improvements 243,604,076 53,539.472 (95,748) 297,047,800Machinery and equipment 35.435,715 1,223,349 (218,365) 36,440,699

Total capital assets, being depreciated 279,039,791 54,762,821 (314,113) 333,488,499

Total capital assets 331,086,235 70,712.744 (44,04L646) 357,757,333

Less accumulated depreciation for:

Buildings and improvements (90,804,587) (10,550.298) 74,759 (101.280,126)Machinery and equipment (27.193,602) (2,308,367) 1_79,706 J.29,322,263)Total accumulated depreciation (117,998,189) (12,858,665) 254.465 (130,602.389)

Total capital assets, being depreciated, net 161,041,602 41.904,156 (59,648) 202,886,110

Governmental activities capital assets, net $213,088,046 $ 57.854,079 S (43.787,181) S 227,154,944

Net depreciation expense for the year ended June 30, 2007 was charged to the following governmental functions:

Instruction:Regular education programs S 10,631.574Special education programs 46,568Other educational programs 221,572

Support:Instructional staff services 55,024General administration servicesBusiness and central services 161,272Plant operations and maintenance 13,228Transportation 1 ;4S6:597Child nutrition 242,830

S... 12.858.6M

- 2 5 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

NOTES TO BASIC FINANCIAL STATEMENTS

6. DEFINED BENEFIT PENSION PLANS

Plan Description - Substantially all School System employees participate in cither the Teachers' Retirement System or theSchool Employees' Retirement System (the Systems), which are cost-sharing, multiple-employer public employee retirementsystems. Each system is administered and controlled at the State level by a separate board of trustees with contribution rales andbenefit provisions approved by the Louisiana Legislature. Participation in the Teachers' Retirement System is divided into twoplans - the Teachers' Regular Plan and the Teachers' Plan A. Five years of service credit is required to become vested forretirement benefits and five years to become vested for disability and survivor benefits under each plan.

Each of the Systems issue;; an annual publicly available financial report that includes financial statements and requiredsupplementary information for the system. These reports may be obtained by writing or calling:

Teachers Retirement System - 8401 United Plaza Blvd.P.O. Box 94123Baton Rouge, Louisiana 70S04-9123(225)925-6446

School Employees' Retirement System - S660 United Plaza Blvd.Baton Rouge, LA 70S04(225) 925-6484

Funding Policy - Contributions to the plans are required and determined by State statute (which may be amended) and areexpressed as a percentage of covered payroll. The contribution rates in effect for the year ended June 30, 2007, for the SchoolSystem and covered employees were as follows:

School System EmployeesTeachers' Retirement System:

Regular Plan 15.8% S.00%Plan1 A 15.8% 9.10%

School Employees' Retirement System 19.6% 7.50%

As provided by Louisiana Revised Statute 11:103, the School System's contributions are determined by actuarial valuation andare subject to change each year based on the results of the valuation for the prior fiscal year.

The contributions made to the Systems for the past three fiscal years, which substantially equaled the required contributions foreach of these years, were as follows:

2007 2006 2005

Teachers' Retirement System:Regular PlanPlan A

School Employees' Retirement System

531,924,316174,347

2,430,442

$30,104,097243,072

2.046.358

S 25,022,499286,703

1,408,758

- 2 6 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

NOTES TO BASIC FINANCIAL STATEMENTS

7. POST EMPLOYMENT BHNEFITS

The School System provides certain post-employment health care and life insurance benefits to its retired employees.Substantially all of the School System's employees may become eligible for such benefits upon reaching retirement age.Retirees contribute 13% and 23% of the retiree only coverage for the basic core and premium buy-up plans, respectively, andone-half of the cost of dependent coverage. The cost of retiree health care is recognized as an expenditure as premiums are paid.For fiscal year 2007, the School System's cost for providing all health care and life insurance benefits to the 4,723 retired

employees and their dependents amounted to S31.605.150.

The School System has a continuing future obligation for life insurance and health care benefits for retired teachers andnoninstructional employees and their dependents. This future liability is not funded but will be payable by the General Fund outof future years' operations. Although actuarial consultants estimated that this future liability is significant, current generallyaccepted accounting principles as set forth by the Governmental Accounting Standards Board do not require the recording ofthis liability in the basic financial statements.

8. LONG-TERM OBLIGATIONS

The following is a summary of the changes in general long-term obligations for the year ended June 30. 2007:

Compensated NotesAbsences Payable _^_Totai

Balance at July 1. 2006 $ 16,159,386 S 1,554,546 S 17,713,932Additions 7,448,092 - 7,448,092Deductions f 7.041,636) ( 163,637) ( 7.205,273)Balance at June 30, 2007 S..,_.,!6,5.65,842 $_ .J ,3.90,909 S-.^JLiS&Zil

The following is a summary of the current (due in one year or less) and the long-term (due in more than one year) portions oflong-term obligations as of June 30, 2007:

Compensated NotesAbsences Payable Total

Current S 2,494,131 $ 163,636 $ 2,657,767Long-Term _ IMZLHi 1,227,273 ____ !_5,29SL.?84

Total $. ..... 1&5_6£&J3 Sr.__J.,3.?

The majority of the compensated absence liability is liquidated through the General Fund, Title I, Child Nutrition andProposition 3 funds, as these funds expend a majority of the payroll.

For the purpose of renovations, the School System issued $2,250,000 of interest free notes payable through the federallysponsored Qualified Zone Academy Bond Program during the year ended June 30, 2002. Principal payments in the amount of$40.909 are scheduled quarterly over a 15 year period ending November 1, 2016.

- 2 7 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

NOTES TO BASIC FINANCIAL STATEMENTS

8- LONG-TERM DEBT (continued)

The payments due under the terms of the notes payable as of June 30th are scheduled to occur as follows:

PaymentAmount

200820092010201120122013-2016

163,636163,636163,636163,636163,636572.729

£ 1.390.909

In accordance with LSA-R.S. 39:562(L); the School System is legally restricted from incurring long-term bonded debt in excessof 3 5 percent of the assessed value of taxable property (including homestead exempt and nonexcmpt property) within the parish.At June 30, 2007, the statutory limit is $1,131,596,109.

9. UNEARNED REVENUES

Unearned revenues at June 30, 2007 were as follows:Ad ValoremTaxes Paid in

ProtestUSDA Miscellaneous

Commodities Other Total

Major Governmental Funds:General FundChild Nutrition

Subtotal - Major Governmental Funds

Non-major Governmental Funds:Local GrantsState GrantsAlcohol and Drug Abuse

Subtotal -: Non-major Governmental Funds

Total

$ 112,942 S309.723

112,942309,723

112,942 309,723

S 112.942 S 309.723

422,665

93,89461,4531.900

157,247 157,247

157.247 S 579.912

93,89461.4531,900

Under a revised state law, ad. valorem tax collectors are required to remit all taxes collected in protest to the taxing authority. Ifa protest is settled in favor of the taxpayer, the funds must be refunded to the taxpayer. The School System defers all suchcollections until final settlement in favor of the School System occurs.

USDA commodities represent commodities received from the U.S. Department of Agriculture. Recognition is deferred until thecommodities are used.

- 2 8 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

NOTES TO BASIC FINANCIAL STATEMENTS

10. DUE TO/FROM OTHER FUNDS

The School System's consolidated cash account holds the cash of all funds. As a result, negative cash balances occur in certainfunds and are in essence "financed" by the General Fund. Positive book cash balances are displayed on the GovernmentalFunds balance sheet as "Due from other funds", while negative cash balances are included in "Due to other Funds" on theGovernmental Funds balance sheet. Individual balances due to/from other funds at June 30, 2007, which represent short-termloans, are as follows:

Major Governmental Funds:General FundTitle 1 FundProposition 1 Capitol Projects FundProposition 2 Discipline FundProposition 3 Compensation FundChild Nutrition Fund

Subtotal - Major Governmental Funds

Non-Major Governmental Funds:Title IITitle VGear-Up Baton RougeExceptional Education ProgramAlcohol and Drug AbuseCareer and Technical EducationTemporary Assistance for Needy FamiliesState GrantsContinuing EducationTitle IVLocal GrantsDirect Federal ProgramsSummer SchoolTextbooksDisaster Relief FundWBRH Radio Station Training ProgramTechnology Literacy Challenge (Title III)NASALSU 1st RoboticsReading FirstHomeless Youth Assistance

Subtotal - Non-Major Governmental Funds

Fiduciary Fund Types:Consolidated Payroll

Proprietary Fund Types:Workers' Compensation FundGroup Health InsuranceRisk Management

TOTAL

Due FromOther Funds

7,252,045454,278

4,948,0171.350.098

14.004.438

598,374

479,465

45,7148,110.076

310,980

162

9,544.771

11,874,626

2,671,57540,977,013

7.792.9S9

Due ToOther Funds

S 68,302,1295,503,939

73,806,068

1,292,90961,734

173,7643,552,153

293,1482,877,5561,716.076

143,31022,174

333,976

2,186,577

107,814

179,802118.351

13,059,344

S S6.865r412 S 86.865.412

- 2 9 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

NOTES TO BASIC FINANCIAL STATEMENTS

11. LITIGATION CONTINGENCIES

The School System is a defendant in several workers' compensation, personal injury and certain personnel action lawsuits.Management and legal counsel for the School System believe that the potential claims against the School System not covered byinsurance would not materially affect the System's financial position.

Settlement Agreement

On August 14. 2003, U.S. District Judge James Brady signed the order ending the 47-year old School System desegregationcase. The parties in the case were the School System, the Baton Rouge branch of the National Association for the Advancementof Colored People (NAACP), the original plaintiffs, and the U.S. Justice Department. The Judge dismissed all objections at thefairness hearing and approved the final Settlement Agreement signed by the parties in the case. The settlement ends the case,but commits the School Board to continue several desegregation tools for four years, which ended in July, 2007. During theyear ended June 30, 2007, the School Board expended the following amounts in complying with the Settlement Agreement:

Time Out Room ModeratorsInstructional Equity AccountRacially Identifiable Black Schools (Y-Faclor)Magnet Programs

602,909756,369

2,620,3954.159.353

S.139.026

Federal Grants

In the normal course of operations, the School System receives grant funds from various Federal and State agencies. The grantprograms are subject to audit by agents of the granting authority, the purpose of which is to ensure compliance with conditionsprecedent to the granting of funds. Such audits could lead to requests for reimbursement by the grantor agency for expendituresdisallowed under the terms of the grants.

- 3 0 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge., Louisiana

NOTES TO BASIC FINANCIAL STATEMENTS

12. COMMITMENTS

At June 30, 2007, the School System had construction commitments of approximately S14.S million. The majority of thesecommitments will ultimately be paid out of the Proposition 1 Capital Projects Fund.

In March 2004, the School System privatized its maintenance and janitorial functions. The School System entered into amanagement services agreement with a privately owned company to assume maintenance services for the School System'sfacilities. The management services agreement includes a financial commitment from the company of $5,000,000, which is tobe used by the School System to cover certain maintenance costs. This commitment amount has been received by the SchoolSystem and is being amortized on a straight-line basis over a period often years. Upon termination of the management servicesagreement by either party, for any reason, the School System must reimburse the company for the unamortized portion of thefinancial commitment. As of June 30, 2007, the unamortized portion of the financial commitment was approximately S3.4million and is recorded as a deferred financial commitment in the School System's basic financial statements.

13. INTERFUND TRANSFERS

Intcrfund transfers for the year ended June 30, 2007, were as follows:

Transfers To:General FundProposition 1

Capital Projects FundChild Nutrition FundNon-major

Governmental FundsInternal Service Funds

Total

General Fund

5;800,000900,000

6,862,1495,000,000

$ 18.562,149

Title 1 Fund

S 2.696,081

S 2,696,081

Transfers From:Child

NutritionFund

$ 68.000

Non-majorGovernmental

$ 68,000 $ 2,301,551

$ 2,301.551

Total

S 5,065.632

5,800,000900,000

6,862,1495,000,000

S 23.627.781

The purposes of interfund transfers generally are: 1) to transfer indirect cost reimbursements to the general fund from the specialrevenue funds, and 2) to transfer supplemental local funds for program operations from the general fund to other programs.

-31 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

NOTES TO BASIC FINANCIAL STATEMENTS

RISK MANAGEMENT

The School System is exposed to various risks of loss related to torts; theft of, damage to, or destruction of assets; errors oromissions; workers' compensation and health insurance for its employees. The School System uses excess insurance to reduceiis exposure to large losses on insured events. The School System does not report risks covered by excess insurance as liabilitiesunless it is probable that those risks will not be covered by excess insurance carriers.. Settlements did not exceed excessinsurance coverage for each of the past three fiscal years.

The School System has established the following internal service funds to account for and finance these uninsured risks of loss:

a. Workers' Compensation Fund

The Workers' Compensation Fund accounts for the School System's workers' compensation claims. The workers'compensation limit for each accident is the statutory amount. The School System's self-insured retention is 5325,000 peraccident. .

b. Risk Management Fund

The Risk Management Fund accounts for the School System's property, general liability and automobile liability. TheSchool System has self-insured retention of 5250,000 per property occurrence and self-insured retention of 5500,000 pergeneral liability and automobile occurrence. Currently, the maximum cumulative amount of self-retention which could bepaid by the School System in any one year is unlimited. The School System has purchased commercial insurance forclaims in excess of the self-insured retention levels from commercial insurance carriers with a S1,000,000 per occurrencelimit.

c. Medical Insurance Fund

The Medical Insurance Fund accounts for the School System's group health insurance program for its active and retiredemployees. A maximum lifetime benefit of 52,000,000 per employee is allowed.

A reconciliation of the unpaid claims liabilities as of June 30 follows:

2007Workers' Risk Medical

: Compensation Management InsuranceFund Fund Fund Total

Unpaid claims as of July 1, 2006 S 2.644,564 S 3,706,159 5 6:762,39S S 13,113.121

Current year claims incurred andchanges in estimates 2,165,274 2,240,164 58,921,725 63,327,163

Claims paid f 2.376,300) ( 2.169.009) f 58,884,592) (63.429.900

Unpaid claims as of June 30, 2007 S_1433..S3S 1,,_3,ZZL1M S 6.799.531 iJ

- 3 2 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

NOTES TO BASIC FINANCIAL STATEMENTS

14. RISK MANAGEMENT (continued)

Unpaid claims as of July 1. 2005

Current year claims incurred andchanges in estimates

Claims paid

Unpaid claims as of June 30, 2006

2006Workers1 Risk Medical

Compensation Management InsuranceFund Fund Fund Total

$ 2,782,313 S 3,077,735 $ 8,222,455 $ 14,082,503

1,796,882 2,218,351 61,722,615 65.737,848

f 1.934.631) ( 1.589,927) ( 63.182,672) ( 66.707.230)

5_JLM4,5.64 $ 3.706.159 $ _(L7_6JL3i8 § 13,111,121

The above unpaid claims as of June 30 include amounts for claims incurred but not yet reported, as determined from actualclaims paid subsequent to year-end as well as an estimate based upon historical lag trends.

The following is a summary of the current (due in one year or less) and the long-term (due in more than one year) portions of theunpaid claims liabilities:

June 30. 2007:CurrentLong-Term

Total

June 30. 2006:CurrentLong-Term

Total

Workers' RiskCompensation Management

Fund Fund

MedicalInsurance

Fund Total

S 1,522,000 S J, 16 J ,000 $ 6,799,531 S 9.482,531911.538 2.616.314 : 3.527.852

5=^433,53.8 S lZZm.4 i..

S 1,666,000 S 1,149.000 $ 6,762,398 S 9,577,398978.564 2,557.159 - 3.535.723

S 2.644.564 & 3,706.159 S. 6..762J_98 S-LLLLU2JL

15. RESTRICTED NET ASSETS

Restricted net assets consist primarily of amounts authorized by the electorate for capital improvements, compensation, andschool discipline initiatives.

- 3 3 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

NOTES TO BASIC FINANCIAL STATEMENTS

16. EDUCATION EXCELLENCE FUND

Pursuant to Act #161 of the 2002 First Extraordinary Session of the Legislature, the State of Louisiana established theEducation Excellence Fund (EEF) for the oversight, appropriation, and disposition of proceeds from the tobacco settlements.These funds are dedicated for use in educational programs, and are available to local school districts, subject to the approval ofan expenditure plan by the Louisiana Department of Education. The funds are held and invested by the Treasurer of the State ofLouisiana on behalf of local school districts and are disbursed in accordance with approved expenditure plans. At June 30.2007, the School System's EEF funds invested through the Treasurer totaled approximately $4.8 million. These funds arcrecognized as revenue to the School System upon submission and subsequent approval of an annual expenditure plan. TheSchool System expended approximately $1,200,000 during the 2006-2007 fiscal year in accordance with its respectiveexpenditure plan.

17. SUBSEQUENT EVENT

The 2006 Legislative Session contained legislation to allow for the creation of a Central Community School System by way ofa constitutional amendment, which was approved by voters in a November, 2006 statewide election. The City of Central beganthe 2007-2008 school year with four schools and approximately 2,700 students, who were previously pan of the East BatonRouge Parish School System. All properly and equipment was transferred pursuant to the legislation; however, the CentralCommunity School System sued for additional School System assets. All claims were denied by a Stale District Court judge onOctober 23, 2007. The board of the Central Community School System has subsequently voted to appeal the decision lo the 1st

Circuit Court of Appeal.

IS. RECENT ACCOUNTING PRONOUNCEMENT

The G ASB has issued Statement No. 45, Accounting and Financial Reporting by Employers for Post-Employment Benefit PlansOther Than Pensions. This statement will require the School System to record a liability on the statement of net assets for futurehealth benefits to be paid to retirees. In measuring this liability, the School System has engaged an outside actuarial firm 10evaluate its post-retirement benefits. The requirements of the statement are effective for the School System for the fiscal year2007-2008.

- 3 4 -

Required Supplemental Information

Part II

EAST BATON ROt'GE PARISH SCHOOL SYSTEMBaton Rouge. Louisiana

BUDGETARY COMPARISON SCHEDULESMAJOR FUND DESCRIPTIONS

Budgetary comparison schedules are reported for the following General and Special Revenue Funds:

GENERAL FUND

The General Fund accounts lor all financial transactions except those required to be accounted for in another fund.

TITLE 1 FUND

Tirle I includes programs in the areas of language development, reading, and math. These programs strive to meet the special needsof economically and educationally deprived children through federal funds for teachers, aides, instructional materials, equipment andparental involvement.

PROPOSITION 2 - DISCIPLINE FUND

Proposition 2 is a locally funded initiative to improve discipline. The intent is to remove disruptive and academically deficientstudents from the regular education classroom, reduce truancy and provide more effective alternative education.

PROPOSITION 3 - COMPENSATION FTND

Proposition 3 is a locally funded initiative to improve compensation. The intent is to improve ability to recruit and retain certifiedand qualified teachers, assistant principals and principals: to have more productive support employees; and to have the ability toreward performance that meets and/or exceeds standards.

CHILI) MTIKnTON FUND

The Child Nutrition Fund is used to account for the operations of the school food service program in the parish school system duringthe regular school term and during the summer break. The basic goals of the school food service program are to serve nutritionallyadequate, attractive and moderately priced meals, to help children grow socially and emotionally, to extend educational influences tothe homes of school children, and to provide learning experiences that will improve children's eating habits with the ultimate goal ofphysically fit aduhs.

- 3 5 -

REVENUESLocal sources:

Ad valorem taxesSales and use taxesEarnings on investmentsExtended day program tuitionOther

State sources:Unrestricted grants-in-a d, MFPRevenue sharingRestricted grants-in-aid

Federal grantsTOTAL REVENUES

EXPENDITURESCurrent:

Instruction:Regular education programsSpecial education programsOther education programs

Support:Pupil support servicesInstructional staff servicesGeneral administration servicesSchool administration servicesBusiness and central servicesPlant operations and maintenance

TransportationAppropriations-Charter schoolsSettlement agreement

Facility acquisition and con inactionDebt service

TOTAL EXPENDITURES

OTHER FINANCING SOURCES (USES)Transfers inTransfers out

TOTAL OTHER FINANCING SOURCES (USES)

NET CHANGE NFUND BALANCE

Fund bafcroce. June 30, 2

FUND BALANCE, JUNE 30.2007

FAST BATON ROUGK PARISH SCHOOL SYSTEM

Baton Ron pc. Louisiana

GENERAL FUND

BUDGETARY COMPARISON SCHEDULE

FISCAL YEAR ENDED JUNE 30.

Original

S 96,580,000 $72,500,0002,000,000

400,0004.644,786

154,602.3703,700,0002,496,000

625,000337.548,156

121.575,33754.929.45115,310,818

17,104,26910,703,9138,181,483

17,723,02712,275.07942,238,53925,589,225

3,200,0008,870,000

-163.635

337,864,776

'ENDITURES (316,620)

3.150,000(3,775,000)

::ES(usES) 1625,000)

JCE (941,620)

84,765,492

$ 83.S23.872 $

2007

Final

103.500.000 S80,000,0004,300,000

400.0005,582,765

157.806,5523,700,0003.046,678

625,000358,960,995

121,384,69353.887,04615,793.156

17,702.09511,331,01110,397,43718.129,13913,117,80347,469,12828,348.301

3,450,0008,870,000

139.177163,635

350.1S3.121

8,777,874

4,000,000(8.312.000)

(4,312,000)

4.465.874

84,765,492

89,231.366 S

Acuial

105,659,20784,856,0726,074.204

499,5236,510,688

157,806,5523,873.3543,237,816

720.441369,237.857

116,417,27851,145.98112,811,113

16,517,3739,976,3749,834,655

17.557,66110,585,12043,005,52123,754,988

3,535,0598,139,026

39.177163,636

323,482.962

45,754.895

5,065,632(18.562.149)

(13,496,517)

32,258,378

84.765.492

117.023,870

Variance withFinal Budget

Positive(Negative)

S 2,159.2074,856,0721,774.204

99.523927,923

,

173,354191,13895,441

10,276,862

4,967,4152,741,0652,982.043

1,184,7221,354,637

562,782571,478

2,532,6834,463,6074,593.813

(85,059)730,974100,000

(1)26.700,159

36,977,021

1.065,632(10,250,149)

(9.184,517)

27,792,504

.

$ 27,792,504

-36 -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

REVENUES

Federal grants

TOTAL REVENUES

EXPENDITURESInstruction:

Other education programs

Support:

Pupil support services

Instructional staff services

General administrative sevices

Business and central services

Plant operations and maintenance

Facility acquisition and construction

Transportation

TOTAL EXPENDITURES

EXCESS OF REVENUES

OVER EXPENDITURES

OTHER FINANCING USESTransfers out

TOTAL OTHER FINANCING USES

Fund balance, June 30, 2006

FUND BALANCE, JUNE 30, 2007

Baton Rouge. Louisiana

TITLE I FUND

BUDGETARY COMPARISON SCHEDULE

FISCAL YEAR ENDED JUNE 30

Original

$ 25,171,931 $

25,171,931

17,413,523

421,579

3,535,817

115,430

455,954

215,005

1 2,529

235,129

22,404.966

2,766,965

(2,766,965)

JSES (2,766,965)

,2007

Final

25,171,931

25,171,931

17,413,523

421,579

3,535,817

11 5,430

455,954

215,005

12,529

235,129

22,404,966

2,766,965

(2,766,965)

(2,766,965)

Actual

$ 24,536,565

24,536,565

16,932,601

414,6873,451,834

137,856

448,629

211,338

12,529

231.010

21,840,484

2,696,081

(2,696,081)

(2,696,081)

Variance with

Final Budget

Positive

(Negative)

$ (635,366)

(635,366)

480,922

6,892

83,983

(22,426)

7,325

3,667-

4,119

564,482

(70,884)

70,884

70,884

ALANCE -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge. Louisiana

PROPOSITION 2 - DISCIPLINE FUND

BUDGETARY COMPARISON SCHEDULE

FISCAL YEAR ENDED JUNE 30. 2007

REVENUESLocal sources:

Sales and use taxesEarnings on investments

TOTAL REVENUES

EXPENDITURESInstruction:

Regular education programsSpecial education programs

Support:Pupil support servicesInstructional staff" servicesGeneral administration servicesSchool administration servicesPlant operations and maintenanceTransportation •

TOTAL EXPENDITURES

EXCESS OF REVENUE'S OVER(UNDER) EXPENDITURES

Fund balance, June 30, 2006

FUND BALANCE, JUNE 30, 2007

$ 5,130,00085,000

5,215,000

4,201,27530,720

1,092,350187,59555,350196,555303,79575,750

6,143,390

(928,390)

4,166,554'

$ 3,238,164

$ 5,685,000210,950

5,895,950

4,211,04559,625

1,024,045167,35546,130200,700292,84055,220

6,056,960

(161,010)

4,166,554

S 4,005,544

S 5,969,617219,993

6,189,610

3,840,60959,712

972,192155,84854,037

211,497285,35759,592

5,638,844

550,766

4,166,554

$ 4,717.320

370,436(87)

51,85311,507(7,907)(10,797)7,483(4,372)

418,116

711,776

$ 711,776

-38-

EAST BATON ROUGE PARISH SCHOOL SYSTEM

REVENUESLocal sources:

Sales and use taxesEarnings on investments

TOTAL REVENUES

EXPENDITURESInstruction;

Regular education programsSpecial education programsOther education programs

Support:Pupil support servicesInstructional staff servicesGeneral administration servicesSchool administration servicesBusiness and central servicesPlant operations and maintenanceTransportation

Child nutrition servicesTOTAL EXPENDITURES

EXCESS OF REVENUES

Fund balance, June 30, 2006

FUND BALANCE, JUNE 30, 2007

Baton Rouse, LouisianaPROPOSITION 3 - COMPENSATION FUNDBUDGETARY COMPARISON SCHEDULE

FISCAL YEAR ENDED JUNE 30.

Original

$ 26,305,000 $350,000

26,655,000

12,959,4505,643,550

944,105

2,021,4401,002,015

287,610

1,265,385621,940

c 25,8601,438,300

-26,209,655

SIDITURES 445,345

23,984,783

',2007 S 24,430,128 S

2007

Final

29,373,000 $

522,00029,895,000

14,792,4706,615,4701,118,280

2,240,2651,107,660

319,4501,592,360

746,100

23,9402,040,085

425,40531,021,485

(1,126,485)

23,984,783

22,858,298 $

Actual

30,630,571

1,167,84731,798,418

14,793,5056,584,4311,098,227

2,201,4121,150,938

304,7221,560.285

694,19124,503

2,022,057425,404

30,859,675

938,743

23,984,783

24,923,526

Variance with

Final BudgetPositive

("Negative)

S 1,257,571645,847

1,903,418

(1,035)31,039

20,053

38,853(43,278)14,72832,07551,909

(563)18,028

1161.810

2,065,228

S 2,065,228

-39-

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouse, Louisiana

CHILD NUTRITION FUND

BUDGETARY COMPARISON SCHEDULE

FISCAL YEAR ENDED JUNE 30. 2007

REVENUESLocal sources:

Other

Stale sources:Unrestricted grant &-in-aid, MFF

Federal grants

TOTAL REVENUES

EXPENDITURES

Salaries and wagesEmployee benefits

Utilities

Professional fees

Food purchasesEquipmentRepairs and maintenance

Materials and supplies

OtherAppropriations-Charter schools

TOTAL EXPENDITURES

EXCESS C

Original

$ 3,405,800

3,750,000

18,500,000

25,655,800

9,273,0006,194,600

1,076,000

118,000

8,300,000

200,000200,000

770,000327,000

205,00026,663,600

Final

S 3,540,000

3,750,000

19,100,000

26,390,000

9,273,0006,494,600

1,076,000

118,000

S;700,000

150,000

425,000

870,000427,000

205,00027,738,600

Actual

$ 4,083,381

3,750,000

19,447,94327,281,324

9,768,8346,282,384

782,428

90,647

8,398,750

82,257

-1,087,008

304,276

269,011

27,065,595

Variance with

Final BudgetPositive

(Negative)

$ 543,381

-347,943

891,324

(495,834)

212,216293,572

27,353

301,25067,743

425,000

(217,008)122,724

(64,011)673,005

)F REVENUES OVER(UNDER) EXPENDITURES (1,007,800)

OTHER FINANCING

(1,348,600) 215,729 1 ,564,329

SOURCES (USES*

Transfers in

Transfers out

TOTAL OTHER FINANCING

NETCHA

Fund balance, June 30,

675,000

(68,000)

SOURCES (USES) 607,000

NGK IN FUND BALANCE (400,800)

2006 843,010

FUND BALANCE, JUNE 30, 2007 $ 442,210

900,000(68,000)

832,000

(516,600)

843,010

S 326,410

900,000

(68,000)

832,000

1,047,729

843,010

$ 1,890,739

-

-

_

1,564,329

-

$ 1,564,329

-40-

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

NOTES TO REQUIRED SUPPLEMENTAL INFORMATION

1. BUDGET AM) BUDGETARY ACCOUNTING

The School System follows these procedures in establishing the budgetary data reflected in the financial statements:

The General Fund and the Special Revenue Funds are the only funds with legally required budgets. The General Fund budgetand the Special Revenue Funds' budgets are adopted on an annual basis. These budgets include proposed expenditures and themeans of financing them.

The Capital Projects fund's budget is adopted on a project basis, since such projects may be started and completed at any timeduring the year or may extend beyond one fiscal year.

Prior to September 15, the Superintendent submits to the Finance Committee a proposed annual appropriated budget for theGeneral Fund for the fiscal year commencing the prior July 1. Public hearings are conducted to obtain taxpayer comments.Upon submission to the Board, the General Fund budget is legally enacted through adoption by the Board. Formal budgetaryintegration is employed as a management control device during the year for the General Fund and Special Revenue Funds. Forthe Capital Projects Fund, the level of budget control is at the fund, department or project level and expenditures/encumbrancesby policy should not exceed appropriations. The School System approves budgets at the fund level, and the Superintendent isauthorized to transfer amounts between line items within any fund.

Budgets are prepared on the modified accrual basis of accounting. Unencumbered appropriations in the General Fund lapse atthe end of the fiscal year. Encumbered appropriations at year end that have been approved by the Board are generally expendedduring the next fiscal year's operations, assuming that the underlying liability is ultimately incurred. Budgeted amounts are asoriginally adopted or as amended by the Board. Legally, the Board must adopt a balanced budget; that is, total budgetedrevenues and other financing sources including fund balance must equal or exceed total budgeted expenditures and otherfinancing uses. State statutes require the School System to amend its budgets when revenues plus projected revenues within afund are expected to be less than budgeted revenues by five percent or more and/or expenditures within a fund are expected toexceed budgeted expenditures by five percent or more. The School System amended its General Fund budget once during theyear, reflecting an increase of total budgeted revenues of approximately $21.5 million and an increase of total budgetedexpenditures of approximately $12.3 million.

Special Revenue Funds' budgets that are not grant-oriented have annual appropriated budgets adopted prior to September 15 bythe Board. Grant Funds are included in Special Revenue Funds, and their budgets are adopted at the time the grant applicationsare approved by the grantor. Unencumbered appropriations of grant-oriented Special Revenue Funds are reappropriated at thebeginning of the following fiscal year. Unencumbered appropriations of certain nongrant-orientcd Special Revenue Funds lapseat the end of the fiscal year. Special Revenue Funds' budgets were amended for insignificant amounts as necessary to complywith state law.

-41 -

The East Baton Rouge Parish School Systemdoes not discriminate on .

of race, color,origin, sex, handicap

'or disability.

e•o

ns•*•E.

so1

ia;o"s

EAST BATON ROUGE PARISH SCHOOL SYSTEM

REVENUES

Local Sources:Ad valorem taxes

ConstitutionaRenewable la

1% collectionsSales and use taxes

Earnings on invcstr

Transportation fees

Tuition-ext

Other

State sources:

Un restrictsState e

Restricted i

Pips saNon piOther

Federal sources:

ROTC

Baton Rouse. Louisiana

GENERAL FUND

SCHEDULE OF REVENUES. EXPENDITURES AND CHANGES IN FUND BALANCE -

DETAILED BUDGETARY COMPARISON SCHEDULE

FISCAL YEAR ENDED JUNE 30.

Original

es

naltax S 11,600,000

taxes 82,830,000ons 2,150.000

ixes 72,500,000

'cstments 2,000,000

fees 155,000

:d day program 400.000

4.489,786

-OCAL SOURCES 176,124,786

ints-in aid

ization 154,602,370

s-in-aid

increment 1 ,000,000

transportation 1 ,396,000

100,000of taxes

aring 3,700,000TATE SOURCES 160,798.370

625,000

EDERAL SOURCES 625,000

PAL REVENUES 337,548,156

2007

Final

$ 12,400,000

88,700,000

2,400,000

80,000,000

4,300,000

155,000

400,000

5,427,765

193,782,765

157,806,552

1,200.0001,726,678

1 20,000

3,700,000164,553,230

625,000

625,000

358.960,995

Actual

$ 12,675.88690,484,372

2,498,94984,856,072

6,074.204

1 74,406

499,5236,336,282

203,599,694

157,806,552

1,330,8831,748,163

158,770

3,873,354

164,917.722

720,441

720.441

369,237,857

Variance

with Final

Positive(Negative)

$ 275,8861,784,372

98,9494,856,072

1,774,204

19,406

99,523

908,5179,816,929

-

130,883

21,485

38,770

173,354

364,492

95,44195,441

10,276,862

-42 -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

EXPENDITURES 'Instruction: '

Regular education (programsSalaries iSabbaticalEmployee benefitsPurchased servicesMaterials and supplies[EquipmentOther '

Special education programsSalariesSabbaticalEmployee benefitsPurchased servicesMaterials and suppliesEquipmentOther 1

Other education programsSalariesSabbatical IEmployee benefitsPurchased services

iMaterials and suppliesEquipment IOther

Baton Rouge, Louisiana

GENERAL FUND

REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE -DETAILED BUDGETARY COMPARISON SCHEDULE

FISCAL YEAR ENDED JUNE 30,

Original

$ 83,002,896

600,00036,321,541

132,2001,419,500

45,00054,200

ATION7 PROGRAMS 121,575,337

36,899,048154,500

17,718,80358,79037,00037,00024,310

TION PROGRAMS 54,929,45 1

10,638,35054,550

3,711,79353,525

456,600213,000183,000

ON PROGRAMS 15,310,818

2007

Final

S 83,532,100600,000

34,742.541132,200

2,278,65245,00054,200

121,384,693

36,604,048154,500

16,960,80351,79044,51737.00034,388

53,887.046

10,927,25784,550

3,753,98953,725

539,759250,876183,000

15,793,156

Actual

$ 80,135,014

576,70833,974,191

170,8001,541,481

-19,084

116,417,278

34,824,47564,784

16,067,39861,99637,21236,97253,144

51,145,981

9,020,274128,849

2,886,58518,739

454,247211,998

90,42112,811,113

Variancewith Final

Positive(Negative)

S 3,397,08623,292

768,350(38,600)737,171

45,00035,116

4,967.415

1,779,57389,716

893,405(10,206)

7,30528

(18,756)2,741,065

1,906,983(44,299)867,404

34,98685,51238,87892,579

2,982,043

-43-

FAST BATON ROUGE PARISH SCHOOL SYSTEM

Support:Pupil support st

Child welfim

SalariesEmployee 1Materials aOther

Guidance sc;SalariesSabbaticalMaterials aiEquipmentOther

Health servicesPurchased

Pupil assessrSalariesSabbaticalPurchased;Materials aOther

Other pupil sSalariesMaterials aEquipmentPurchased :Other

Baton Rouge. Louisiana

GENERAL FUNDSCHEDULE OK REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE -

DETAILED BUDGETARY COMPARISON

FISCAL YEAR ENDED JUNE 30.

Original

rrvicos

; and attendance services

$ 429,108Benefits 4,485,103nd supplies 6,200

1 0,600vices

6,696.20050,000

id supplies 1.500

1,0002.150

esservices 1,265.000lent and appraisal services

2.821,354

2.000ierviccs 1 0,000id supplies 1 2.000

20,125jpport services

1,268,479id supplies 9,000

2.900ervices 4,500

7,050UPIL SUPPORT SERVICES 17,104,269

SCHEDULE2007

Final

$ 430,2084,547,703

10,36610,600

7,196,20050,000

1,5001,0002,150

1,265,000

2,821,3542,000

10,00012,00020J25

1,293,349

9,2903,200

9,0007,050

1 7.702,095

Actual

S 425,7404,010,545

10,0067,629

7,001 .56647,102

184-

545

1 ,265,000

2,483,13025,40311,96010.1942,890

1,188,2518,4832,837

9,0056,903

16,517,373

Variancewith FinalPositive

(Negative)

S 4,468

537,158

3602,971

194.634

2,898

1 .3 1 6

1,000

1 .605

.

338,224

(23,403)

(1,960)

1 ,806

17.235

105,098

807363

(5)147

1,184,722

(Continued)

-44-

EAST BATON ROUGE PARISH SCHOOL SYSTEM

SabbaticalEmployee IPurchased :Materials a;EquipmentOtherMaterials a;

School librarSalariesMaterials ai

EquipmentOtherBooks and

}thcr educatiSalaries

Baton Rouge. Louisiana

GENERAL FUND

SCHEDULE OF REVENUES. EXPENDITURES AND CHANGESIN FUND BAI ,ANCE -

DETAILED BUDGETARY COMPARISON SCHEDULE

FISCAL YEAR ENDED JUNE 30. 2007

Original Final

iff services)irectors and supervisors $ 1,671,039 $ I.lecretarial 449,951

26,000benefits 2,769,705 2,services 528,125nd supplies 1 72,000

6,00071,925

nd supplies - Training services 323,000

•y services3,991,412 3,

nd supplies 82,5005,000

650

periodicals 357,500

ional media services249,106

NSTRUCTIONAL STAFF SERVICES 10,703,913 11,

681,170 $497,345

56,000874,005923,125173.890

18,28671,925

336,322

999,923

83,] 925,000

650360,130

250,048331,011

Actual

1,595,453490,432

66,9222,477,875

531,77558,131

2,83778,228

120,027

3,907,69984,9894,996

176337,647

219,1879,976374

Variancewith FinalPositive

(Negative)

$ 85,7176,913

(10,922)396,130391,350115,759

15,449(6,303)

216,295

92,224(1,797)

4474

22,483

30,8611,354,637

- 4 5 -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Legal servicesSalaries

ContractsMaterials a

EquipmentOtherAudit servicesInsurance

lax assessn

Property taxesSheriffs feesPension fund

Sales and u

Dfficeof theSalariesMaterials a:

Equipment

Other)ther executi

Salaries

Salaries

SabbaticalEmploy eel

Materials a:Other

Baton Rouge, Louisiana

GENERAL FUND

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE -

DETAILED BUDGETARY COMPARISON SCHEDULE

FISCAL YEAR ENDED JUNE 30. 2007

Original

- Generalication

loard members $ 1 16,400

scretarial 33.646

Benefits 282,304CCS

152,715

500,000nd supplies 15.000

1,000324,500

ccs 37,5002,574.500

:nt and collection services

tes

*s 20,000md 2,800,000setax 910.000superintendent

231,360id supplies 24,000

1,00026,900

ve administrative services

BU-v58

•ENERAL ADMINISTRATION 8,181,483

School

12,113,39693324

•enefits 5.471,807id supplies 40,000

4,500?HOOL ADMINISTRATION 1 7,723,027

Final

$ 116,400

33,746

283,554

156,690

500,000

15,1531,000

324,50039,000

4,574,500

20,000

3,000,000

910,000

239,30424,033

1,00026,900

131,657

10,397,437

12,518,396

93,3245,472.307

40,612

4.50018.129,139

Actual

$ 116,128

33,746

226,090

156,690

456,141

1 4,042-

113,172

39,1974,575,657

3,275

2,968,971770,578

253,94119,923

-

10,459

76,645

9,834,655

12.499,2031 ,969

5.050,678989

4,822

17,557.661

Variancewith Final

Positive

(Negative)

$ 272-

57,464

-

43,859

1 , 1 1 11,000

211,328(197)

OJ57)

16,72531,029

139,422

(14,637)4,1101,000

16,441

55,012

562,782

19,19391.355

421,629

39,623(322)

571,478

(.Continued!

-46-

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Fiscal services

Salaries

Employee I

Materials aOtherInterest onEquipmentPurchased:

Purchasing s<SalariesMaterials a:EquipmentOtherPostage

Printing andSalariesMaterials aOtherPrinting an>Rental of eiRepairs ancEquipment

Baton Rouge. Louisiana

GENERAL FUND

SCHEDULE OF REVENUES. EXPENDITURES AND CHANGES IN FUND BALANCE -

DETAILED BUDGETARY COMPARISON SCHEDULEFISCAL YEAR ENDED JUNE 30, 2007

: Original

sntral Servicesis

$ 1,308,726 $

>enefits 1,061,538

nd supplies 79,000109,035

short term loans 65,00015,000

;ervices 138,5002TV1CCS

259,085

id supplies 10,0001,500

11,25050,000

publishing197,353

id supplies 10,0004,380

j binding 30,000juipment 195,0001 maintenance 8,000

4,000

Final

1,322,8111.059,511

82,7531 09,40065,00018,014

138,500

266,08510,13617,60011,29851,297

195,892145,880

4,67830,00095,0008,164

74,000

Actual

$ 1,281,154

881,40747.85888,581

-3,014

91,921

265,8605,663

15,7957,141

23,637

168,147109,382

2,49030,299

137,6867,652

71,607

Variancewith Final

Positive

(Negative)

$ 41,657178,104

34,89520,81965,00015,00046,579

2254,4731,8054,157

27,660

27,74536,4982,188(299)

(42,686)512

2,393

- 4 7 -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

SalariesMaterials aEquipmentOtherRepairs ant

Public infornSalariesAdvertisingMaterials ajEquipmentOtherRepairs ant

^ersonncl setSalariesPurchased;Materials aiOtherRepairs andFingcrprintiEquipment

nformation sSalariesMaterials atTechnical sEquipmentOther

Baton Rouge, Louisiana

GENERAL FUNDSCHEDULE OF REVENUES. EXPENDITURES AND CHANGES IN FUND BALANCE -

DETAILED BUDGETARY COMPARISON SCHEDULEFISCAL YEAR ENDED JUNE 30. 2007

Mitral Services (continued)

earch and development

nd supplies

1 maintenance

lation services

t

nd supplies

1 maintenance

vices

icrvicesid supplies

1 maintenance

ing, background check and drug screening

ly stems

id supplieservices

maintenancecentral services

i cue fits

USINESS AND CENTRAL SERVICES

Original

S 467,25330,0005,0007,200

144,000

85,21555,00080.000

1,00012,00085.000

871,583156,385

47,500145,35022,71067,500

1,500

1,013,151

1,682,942861,080

1,470.38453,500

145,000

1,207,45912.275,079

Final

$ 472,23437,7215,0007,200

144,000

101,09261,75581,495

1,22512,00085,000

952,656158,38567,665

149,85025,71090,500

1,500

1,045,0381,911,404

981.5501.605,934

53,500145,711

1,213,65913,117,803

Actual

$ 538,35029,1634,6962,548

16,623

8,299

70,72522,549

-408

38,215

862,747

121,01063,82148,59423,802

102,400418

1,019,4151,714.827

473,434

1,001,48030,043

113,587

1,038,67210,585,120

Variancewith Final

Positive

(Negative)

$ (66,116)8,558

304

4,652127,377

92.793(8,970)58,946

1,22511,59246,785

89,90937,3753,844

101,2561 ,908

(11,900)1,082

25,623196,577

508,116604.45423,45732,124

1 74,987

2,532,683(Continued)

-48-

SalariesEmployee 1EquipmentOtherRental of aMaterials aiGasolineMuelOperation <

WatcrNsevDisposal sRepairs aiInsuranceTelephoneNatural gasElectricity

Insurance

SalariesMaterials aPurchased!EquipmentOtherRepairs am

Regular trim;SalariesEmployee 1Materials aEquipmentOtherRepairs amInsuranceGasolinc\fuel

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouec. Louisiana

GENERAL FUND

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE -

DETAILED BUDGETARY COMPARISON SCHEDULE

FISCAL YEAR ENDED JUNE 30.

Original

naintenancc of plant services$ 776,241

benefits 2.833,098.

24,123,000quipmcnt 1 7,000nd supplies 5,000iel 9,500Dfbuildingsverage 565,000services 410,000id maintenance

375,0002 2,224,700is ' 1,300,000i 9,600,000

-DERATION AND MAINTENANCE OFiERVICES 42,238,539

servicesof student transportation

637,034nd supplies 10,000Services 24,000

4,0009,000

\ maintenance 10,250jportation services

10,1 11,500Benefits 9,054,941nd supplies 1 ,445,000

504,50056,000

J maintenance 430,000339,000

iel 2,954,000•RANSPORTATION SERVICES 25,589,225

2007

Final

S 778,0412,636,098

-25,328,083

17,0005,8009,500

565,000410,000

4,464,827375,000

1,929,7791,300,0009,600,000

50.000

47,469,128

665,88010,65226,0004,0009,000

10,250

10,986,5008,905,4411,821,2772,119,979

58,886434,829339,000

2,957,10728,348,801

Actual

S 699,3242,685,857

10,22624,663,578

16,963650

8,541

573,004398,865

1,838,046375,000

2,201,4321,118,5968,415,439

-

43,005,521

672,0338,130

25,510-

3,148-

10,216,8408,471,5161.614,403

75,13553,340

216,619339,000

2,059,31423,754,988

Variancewith FinalPositive

(Negative)

$ 78,717(49,759)(10.226)664,505

375r150

959

(8,004)11,135

2,626,781-

(271,653)181,404

1,184,56150,000

4,463.607

(6.153)2,522

4904,0005,852

10,250

769,660433,925206,874

2,044,8445,546

218,210-

897,7934,593,813

- 4 9 -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge, Louisiana

GENERAL FUNDSCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE -

DETAILED BUDGETARY COMPARISON SCHEDULE

FISCAL YEAR ENDED JUNE 30, 2007

Appropriations-Charter schools

Settlement agreement

Facility acquisition and construction

Debt service

TOTAL EXPENDITURES

EXCESS OF REVENUESOVER (UNDER) EXPENDITURES

OTHER FINANCING SOURCES (USES)

Transfers inTransfers out

TOTAL OTHER FINANCING SOURCES (USES)

NET CHANGE IN FUND BALANCE

Fund balance, June 30, 2006

FUND BALANCE, JUNE 30, 2007

Original Final Actual

Variancewith Final

Positive(Negative)

$ 3,200,000 $ 3,450,000 $ 3.535,059 $ (85,059)

8,870.000 8,870,000 8,139,026 730,974

139,177 39,177 100,000

163,635 163,635 163,636 (1)

337,864,776 350,183,121 323,482,962 26.700,159

(316,620) 8,777,874 45,754,895 36,977,021

3,150,000(3,775,000)

(625,000)

(941,620)

84,765,492

$ 83,823,872

4,000,000(8,312,000)

(4,312,000)

4,465,874

84,765,492

$ 89,231,366

5,065,632(18.562,149)

(13,496,517)

32,258,378

84,765,492

$ 117,023,870

1,065,632(10,250,149)

(9,184,517)

27,792,504

$ 27,792,504

(Concluded)

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge. Louisiana

NON-MAJOR GOVERNMENTAL FUND DESCRIPTIONS

TITLE II

Title II increases student academic achievement through strategies such as improving teacher and principal quality and increasing thenumber of highly qualified teachers in the classroom and highly qualified principals and assistant principals in schools. The programalso holds local educational agencies and schools accountable for improvements in student academic achievement.

TITLE V

Title V (PL 96-212) is a federally funded program which provides grants to school districts that are heavily impacted by refugeechildren. Services are provided to that particular student population and their parents.

GEAR UP BATON iROUGE

Gear Up Baton Rouge is a systemic effort to change teaching and learning in two middle schools with students who qualify inoverwhelming numbers for free and reduced lunch. The goals of the grant are: 1) Increase articulation success through primary andsecondary education and into post secondary education; 2) Increase high school graduation and post secondary education attendancerates within low income student populations; 3) Increase academic performance of low income students; 4) Enhance schoolacademic and curricular reforms through professional development for teachers and through active involvement in schoolimprovement teams; 5) Provide for project evaluation; 6) Coordinate project dissemination at the local, state, regional, and nationallevels.

EXCEPTIONAL EDUCATION PROGRAM

The Individuals with Disabilities Act (IDEA) is a federally-financed program providing free appropriate education for all identifiedhandicapped children from 3 to 2 1 years of age in the least restrictive environment.

ALCOHOL AND DRUG ABUSE

The Alcohol and Drug Abuse Prevention Fund sponsors the prevention of alcohol and drug abuse among children of Hast BatonRouge Parish schools. It is funded by ad valorem taxes and donations.

CAREER AND TECHNICAL EDUCATION

The Career and Technical Education Fund accounts for a program designed to administer various vocational programs whichprovide vocational training and assistance.

TEMPORARY ASSISTANCE FOR NEEDY FAMILIES

The Pre-GED/Skills Option Program is a comprehensive counseling and guidance program with components for pre-GEDacademic, workplace readiness and skills instructions for students who are at risk of dropping out of high school.

Starting Points/Early Childhood Development provides full day, before and after school preschool instruction and care for at-riskfour-year old students.

STATE GRANTS

The State Grants Fwid is used to account for special grants received from various departments of the State of Louisiana.

-51 -

EAST BATON7 ROUGE PARISH SCHOOL SYSTEMBaton Ron tie, Louisiana

NON-MAJOR GOVERNMENTAL FUND DESCRIPTIONS (continued)

CONTINUING EDUCATION

The Continuing Education Fund is a program which offers higher education opportunities to persons who arc age 16 and older.

TITLE IV

The Title IV School Program is a federally funded program which provides drug abuse and prevention education for all students ofEast Baton Rouge Parish.

LOCAL GRANTS

Grants from various private foundations provide additional support for educational programs. Program areas include teacher mini-grams, math improvement, remediation, staff development and homeless youth activities.

DIRECT FEDERAL PROGRAMS

This fund accounts for programs whose funding is received directly from a federal agency.

Safe Schools/Healthy Students provides for programs to prevent the illegal use of drugs and violence among, and promote safety anddiscipline for. students at all educational levels.

Fund for the Improvement of Education (FIE) provides for programs to improve the quality of education, to assist all students tomeet challenging state content standards, and to contribute to the achievement of elementary and secondary students.

Teaching. American History provides support programs to raise student achievement by improving teacher's knowledge,understanding, and appreciation of American History.

MOSAIC is an extended day and summer school program providing educational tutoring and English language courses to elementaryschool students. The program has 40 different language groups participating. Most of the students are immigrants or refugees, andthe program management regularly interacts with the Office of Migration and Refugee Services. The program objective is tofacilitate LEP (Limited English Proficient) students in attaining or surpassing the academic level of their English-speaking peers.

SUMMER SCHOOL

The Summer School Program is designed to provide summer programs enabling students who have failed subjects to removedeficiencies, enroll in courses to enrich their educational experiences, and to enable students to take additional courses in order tomeet graduation requirements. Revenues for the fund are generated through a registration fee charged to each student for each classtaken.

TEXTBOOKS

The Textbook Fund is used to account for textbooks purchased for East Baton Rouge Parish School System students, as well as.State-approved nonpublic schools.

DISASTER RELIEF FUND

The Disaster Relief Fund is used to account for federal funding to be used to meet the educational needs of students enrolled in theSchool System who were displaced as a result of natural disasters.

- 5 2 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

NON-MAJOR GOVERNMENTAL FUND DESCRIPTIONS (continued)

WBRH RADIO STATION TRAINING PROGRAM

The WBRH Radio Station Training Program Fund accounts for the operations of the radio station and the training of studentsinvolved in radio training.

SERVE! BATON ROUGEi!

SER !'"£/ Baton Rouge is a program funded by a grant from the Louisiana Serve Commission that provides tutoring and mentoring toacademically at-risk youth at twelve elementary schools in the East Baton Rouge Parish School System.

f

TECHNOLOGY LITERACY CHALLENGE (Title III)Ii

Title III is a provision of the federally legislated Goals 2001: Educate America Act. The funds provide instructional and technicaltraininu for classroom teachers.- ii

NASA - LSI; 1s' ROBOTICS!

The NASA ~ LSU !SI 'Robotic program is funded by the Aerospace Education Services Program (AESP), which provides in-serviceand pre-service workshops for K-12 teachers to initiate dramatic and enduring educational change that directly impacts teaching andlearning science, mathematics, and technology in existing classrooms. AESP Specialists support and complement teacher training byvisiting in individual Iclassrooms to assist teachers in implementing the strategies demonstrated in teacher workshops.

i

READING FIRST

iThe Reading First program provides the necessary assistance to states and districts to establish research-based reading programs forstudents in kindergarten through third grade. By teaching all children to read well by the end of third grade, we will ensure thai allstudents advance to later grades well prepared to achieve their full academic potential.

iHOMELESS YOUTH ASSISTANCE

I

The purpose of the program is to provide financial assistance to local educational agencies serving homeless children and youthdisplaced by Hurricane Katrina or Hurricane Rita to address the educational and related needs of these students consistent withsection 723 of the McKinney-Vento Homeless Assistance Act (McKinney-Vento Act).

- 5 3 -

.-•The East Baton Rouge Parish School System-, /^"'"%• does not discriminate on /""- nX'•"" ' • • •*•* . "**•••• ^i/f^" -the hfl^i? nf rarp rntnr nntinnnl ' v *~^...-• . lllc Uaol4 Ul IdlfC, LUIUI, MallUlldl . -

f& origin, sex, handicap„ w • //, or disability ^v/>/> ' / ! » \ \^^ /^i , i \ \ •

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Ron tie, Louisiana

NON-MAJOR GOVERNMENTAL FUNDS-COMBIMNG BALANCE SHEET

JUNE 30, 3007

Title II Title VASSETSCash ]Receivables:

AccountsiSales tax

iAd valorem tax

Due from other fundsDue from other governmentsInventory

TOTAL ASSETSi

LIABILITIES AND FUND BALANCESLiabilities:

Accounts payableSalaries payableDue to other fundsUnearned revenues

I TOTAL LIABILITIES

Fund balances:iReservediUnreserved - designated for tax plan

IUnreserved - undesignatedITOTAJL FUND BALANCES!i

TOTAL LIABILITIES AND FUND BALANCES

1,471,286

1,471,286

S 1,471,286

16

66,795

S 1,471,286 S 66,8 M

S 178,377 S 5,077

1,292,909 61,734

66,811

66,811

-54-

Gear UpBaton Rouge

ExceptionalEducationProgram

Alcohol and

DrugAbuse

Career andTechnicalEducation

7,231 25,445

598,374173,764 4,056,032

601,351

296,497

$

S

173,764 S 4,063,263 $

$ 511,110 $

-173,764 3,552,153

-173,764 4,063,263

623,819 S

: 20,568 S

-

-1,900

22,468

296,497

1,753

1.596293,148

-2%,-497

601.351

S 173.764 S 4.063,263 S 623,819 S 296,497

(Continued)

- 5 5 -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge. Louisiana

NON-MAJOR GOVERNMENTAL FUNDS-

COMBINING BALANCE SHEET

JUNE 30. 2007

Temporary

Assistance For State

Needy Families Grants

ASSETS

Cash $ $

Receivables;

Accounts 94 10,431

Sales taxAd valorem tax

Due from other funds

Due from other governments 3,453,629 3,039,61 6

InventoryTOTAL ASSETS S 3,453,723 S 3,050.047

LIABILITIES AND FUND BALANCES

Liabilities:Accounts payable S 6,548 S 275.684

Salaries payable - 264Due to other funds 2,877,556 1,716,076

Unearned revenues - 61 ,453

TOTAL LIABILITIES 2,884, 1 04 2,053,477

Continuing

Education

$

157.913

S 157.913

S 14,603

143.310

157,913

Fund balances:

Reserved

Unreserved - designated for tax plan -Unreserved - undesignated 569,619 996,570

TOTAL FUND BALANCES 569,619 996.570

TOTAL LIABILITIES AND FUND BALANCES S 3,453,723 $ 3,050,047 $ 157.913

-56-

Title IV

22,617

Local

Grants

216.617

479.4t>5

DirectFederal

Programs

471.894

SummerSchool Textbooks

45,714 8,110,076

DisasterRelief

S - S

112,541 212,485

2,186.577

22,617 S 696,082 S 471,894 S 158,255 S 8,322,561 S 2,186.577

S 443 $ 283 S 137,918 $ 3.580 S 43,316 S

22,174 - 333,976 - - 2,186,577

93,894 -22,617 94,177 471,894 3,580 43,316 2,186,577

601,905 154,675 8,279,245-

S 22,617 3

601,905

i 696,082 $ 471,894 S

154,675 8,279,245

158,255 S 8,322.561 S 2,186,577

(Continued)

-57-

EAST BATON ROUGE PARISH SCHOOL SYSTLM

Baton Rouge. Louisiana

NON-MAJOR GOVERNMENTAL FUNDS-

COMBINING BALANCE SHEET

JUNE 30. 2007

WBRH

Radio Station

TrainingProgram

ASSETSCash

Receivables:

Accounts

Sales tax

Ad valorem tax

Due from other funds

Due from olher governments

Inventory

TOTAL ASSETS

LIABILITIES AND FUND BALANCES

Liabilities:

Accounts payable

Salaries payable

Due to other funds

Unearned revenuesTOTAL LIABILITIES

Fund balances:

ReservedUnreserved - designated for tax plan

Unreserved - undesignatcd

TOTAL FUND BALANCES

TOTAL LIABILITIES AND FOND IM.LANCBS

310,980

17,060

293,920

293,920

Serve!

Baton

Rouge

Technology

Literacy

Challenge(Title III)

139

111,784

NASA-LSU1st Robotics

150

162

310,980 $ $ 111.923 $

17,060 S 4.109 S

107.814

111,923

312

312312

310,980 $ 111,923 $ 312

- 5 8 -

ReadingFirst

HomelessYouth

Assistance Total

1,620 1,786 588,555

-184,455

$ 186,075 $

$ 6,273 $-

174,802

-186.075

-131,644

133,430

15,079-

118,351

-133.430

9,544,771

15,824,503

$ 25,957,829

S 1.241.781

1,86013,059,344

157,247

14.460,232

186.075

11,497,59711,497,597

133,430 S 25,957,829

(Concluded)

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rou^e, Louisiana

NON-MAJOR GOVERNMENTAL FUNDS

COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUiND BALANCE

FISCAL YEAR ENPF.D JUNE 30. 2007

Title II Title V

REVENUESLocal sources:

Ad valorem taxes

Otheri

Stale and federal:

Other state support

Federal grants

JTOTAL REVENUES

EXPENDITURESCurrent

Instruction:Regular education programs

Special education programs

Other education programs

Support:!Pupil support servicesInstructional staff .services

AdministrativeiBusiness and cential services

Plant operations and maintenance

Facility acquisition and construction

Transportation

TOTAL EXPENDITURES

EXCESS OF REVENUES OVER

(UNDER) EXPENDITURES

4,051,135

4,051,135

2,534,939

1,062,705

5,323

12,280960

3,616,207

139,660

139,660

83,928

2,41739,133

1,371

126,849

434.928 12.811

OTHER1 FINANCING SOURCES (USES)

Transfers inI

1 ransfcrs out

TOTAL OTHER FINANCING SOURCES (USES)

NHT| CHANGE IN FUND BALANCE

Fund balance. June 30, 2f)()6

FUND BALANCE, JUNE 30, 2007

(434,928)

(434,928)

(12.811)

(12,811)

- 6 0 -

Gear UpBaton Rouge

ExceptionalEducationProgram

Alcohol andDrug Abuse

Career and

TechnicalEducation

$ 1,688,2233.480

178,009

178,00913,362,70813,362,708 1,691.703

891,840891,840

8,653.31663,709 795.388

109,022

--

-81

5,033

177,845

164

(164)

(164)

.-

$

1,004.293

1.6 19,234

810226.754

12,770

364,505

11,881,682

1,481,026

(1,481,028)

(1,481,028)

(2)2

S - S

1,445,769

22,739 91,419176 80

101,558 1,99941,638

324 2,954

1,612.204 891.840

79.499

(16,167)

(16,167)

63,332

538,019

601,351 S

(Continued)

IIIIIi

-61 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBajjin Rouge1 Louisiana

NON-MAJOR GOVERNMENTAL FUNDSCOMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

FISCAL YEAR ENDED JUNE 30. 2007

TemporaryAssistance ForNeedy Families

REVENUESLocal sources:

Ad valorem taxesOlhcr

Stale and federal;Other state supportFederal grants

TOTAL REVENUES

EXPENDITURESCurrentInstruction:

Regular education programsSpecial education programsOther education programs

Support:Pupil support servicesInstructional staff servicesAdministrative

iBusiness and central servicesPlant operations and maintenanceFacility acquisition and constructionTransportation

TOTAL EXPENDITURES

EXCESS OFi REVENUES OVER(UNDER) EXPENDITURES

OTHER FINANCING SOURCES (USES)Transfers inTransfers out

TOTAL OTHER FINANCING SOURCES (USES)

NET CHANGE IN FUND BALANCEFund balance, June 30, 2006

FUND BALANCE, JUNE 30,2007

2.168,464

2,168,464

1,497,189

417,609

39,739

579

34,743

1,989.859

178,605

(7,493)

(7,493)

171,112

398,507

StateGrants

8,619.300

8,619,300

165,2247,153,230

89,6251,359.951

54,973138,95312,107

434,8009,408,863

(.789,563)

(789,563)1,786,133

569.619 996.570

ContinuingEducation

753,164753,164

717,693

717,693

35,471

(35.471)

('35,471)

- 6 2 -

Title IV

Local

Grants

Direct

Federal

Programs

Summer

School Textbooks

Disaster

Relief

404,201404,201

2.198,376

2,198.3762,393,7812,393,781

371,528

371,528

526,302

526.302

89,60289,602

1,604,37] 351,751

1,943,491 501,776

396,276

---

.

_

396,276

-250,433

2,319

3.909

17.134

7,893

2.225.179

2,134,961

67.618

-1.232

4,248

_

2,208,059

--

40-

-

385502,201

- •90,014

---

.

1,694,385

-----

.

351.751

7.925 (26,803) 185.722 (130,673) (1,168.083) (262,149)

(7,925)

{7,925 J

100.000(19,738)

53.459

5-48,446

(185,722)

(.185,722)

$ 601.905 S

6,500.000(29,4 J 6)

6,470.584

(130,673) 5,302,501

285,348 2,976,744

262,140

262,149

S 154,675 $ 8,279.245 S

(Continued)

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

I NON-MAJOR GOVERNMENTAL FUNDS

COMBINING STATEMENT OF REVENUES. EXPENDITURES AND CHANGES IN FUND BALANCE! FISCAL YEAR ENDED JUNE 30. 2007

RKVKNLESLocal sources: |

!Ad valorem laxes jOther

Slate and federal:Other state supportFederal grants

EXPENDITURESCurrentInstruction:

Regular education programsSpecial education programsOther education programs

Support:Pupil support servicesInstructional staff services

Administrative jbusiness and central servicesPlant operations and maintenanceFacility acquisition and constructionTransportation j

TOTAL EXPENDITURES

EXCESS OF REVENUES OVER(.UNDER) EXPENDITURES

WBRHRadio Station

TrainingProerani

274.037

274,037

224,107

Serve!BatonRouge

TechnologyLiteracy

Challenge(Title III)

20,50720,507

427

11,5548,526

399.218399,218

336,261

52,132

NASA-LSU1st Robotics

674

2,378

224,107 20,507 391,445 -

49,930 7.773

OTHER FINANCING SOURCES (USES)Transfers inTransters out

TOTAL OTHER FINANCING SOURCES (USES)

NET CHANGE IN FUND BALANCEI

Fund balance, June 30. 2006|

FUND BALANCE, JUNE 30: 2007

(7,773)

(7J73)

s

49,930

243,990

293,920 $ - S

312

S 312

- 6 4 -

Reading

First

HomelessYouth

Assistance Total

1,414,573

1,414,573

131.644

131,644

$ 1,688,2232,847,421

9,145,60226.398.50640,079,752

1,358,687 109,103

8,050 3,925

3,537

1,366,737 116,565

1,956,1228,818,540

17,319,928

5,193,917

5,093,48863,721

528,46995.432

850.63739,920,254

47.836 15,079 159,498

(47,836)

(47,836)

(15,079)

115,079)

6.862,149(2,301.551)

4,560.598

4,720,096

6,777,501

S 11.497,597

(Concluded)

-65-

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge., Louisiana

SPECIAL REVENUE FUND - TITLE H

SCHEDULE OF REVENUES. EXPENDITURES AND CHANGES IN FUND BALANCE -

BUDGET AND ACTUAL

FISCAL YEAR ENDED JUNE 30. 2007

REVENUES i

Federal grants

TOTAL REVENUESi

EXPENDITURES

Instruction:i

Other education programs

Support:

Instructional staff services.

Administrative

Business and central services

Plant operations and maintenance

TOTAL EXPENDITURES

EXCESS OF REVENUES OVER EXPENDITURES

OTHER FINANCING USES

Transfers out

TOTAL OTHER FINANCING USES

NET CHANGE IN FUND BALANCE

Fund balance,1 June 30, 2006

FUND BALANCE, JUNE 30, 2007

Budget

$ 6,354,602

6,354,602

4,162,095

1 ,477,409

8,926

16,893

9605,666,283

688,319

(688,319)

(688,319)

Actual

$ 4,051,135

4.051,135

2,534,939

1,062,705

5,323

12,280

960

3,616,207

434,928

(434,928)

(434,928)

Variance

Favorable

(Unfavorable)

$ (2,303,467)

(2,303,467)

1,627,156

414,704

3,603

4,613

-

2,050,076

(253,391)

253,391

253,391

-

- 6 6 -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge, Louisiana

SPECIAL REVENUE FUND - TITLE V

SCHEDULE OF RF.VENUES. EXPENDITURES AND CHANGES IN FUND BALANCE -

BUDGET AM) ACTUAL

FISCAL YEAR ENDED JUNE 30, 2007

REVENUES

Federal grants

TOTAL REVENUES

EXPENDITURES

Instruction:

Other education programs

Support:

Pupil Support Services

Instructional staff services

Business and central services

TOTAL EXPENDITURES

EXCESS OF REVENUES OVER EXPENDITURES

OTHER FINANCING USES

Transfers out

TOTAL OTHER FINANCING USES

NET CHANGE IN FUND BALANCE

Fund balance, June 30. 2006

F[JND BALANCE, JUNE 30. 2007

Budget

S 325,740

325,740

196,751

(29,836)

(29,836)

Actual

139,660

83,928

(12,811)

(12,811)

Variance

Favorable

(Unfavorable)

139,660 S (186,080)

(186,080)

: 12,823

5,686

90,242

3,225

295,904

29,836

2,417

39,133

1,371

126,849

12,811

3,269

51,109

1,854

169,055

(17,025)

17,025

17,025

- 6 7 -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge, Louisiana

I SPECIAL REVENUE FUND - GEAR UP BATON ROUGE

SCHEDULE OF REVENUES. EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL

FISCAL YEAR ENDED JUNE 30, 2007

Budget

REVENUES

Federal grants

TOTAL REVENUES

EXPENDITURESInstruction:

jOther education programs

Support:

Pupil Support Services

Instructional Staff Services

Plant operations and maintenance

Transportation!

TOTAL EXPENDITURES

EXCESS! OF REVENUES OVER EXPENDITURES

341,673

9,503

Actual

$ 341,673 $ 178,009

178,009

63.709

Variance

Favorable(Unfavorable)

S (163,664)

(163,664)

(54,206)

287,415

9,63681

9,879316,514

25,159

109,022

-

815,033

177.845

164

178,393

9,636

-

4.846

138,669

(24,995)

OTHHR FINANCING USES

Transfers out

TOTAL OTHER FINANCING USES

NET CHANGE IN FUND BALANCE

Fund balance. June 30, 2006

FUND BAllANCE, JUNE 30. 2007

(25,159)

(25,159)

(164)

(164)

24,995

24,995

- 6 8 -

EAST BATON ROUGH PARISH SCHOOL SYSTEM

SPECIAL REVENUE

SCHEDULE OF REVENUES

Baton Ron ize, Louisiana

FUND - EXCEPTIONAL EDUCATION

, EXPENDITURES AND CHANGES IN

BUDGET AND ACTUAL

PROGRAM

FUND BALANCE

FISCAL YEAR ENDED JUNE 30. 2007

REVENUES

Federal grants

TOTAL REVENUES

EXPENDITURES

Instruction:

Special education programs

Support:

Pupil support services

Instructional staff services

Administrative

Business and central services

Plant operations and maintenance

Transportation

TOTAL EXPENDITURES

Budget

S 21,479,86121,479.861

13,898,782

1,114,688

2,242,834

7,873

1,423,332

73,233

504,652

19,265,394

EXCESS OK REVENUES OVER EXPENDITURES 2,214,467

OTHER FINANCING USES

Transfers out

TOTAL OTHER FINANCING USES

(2,214:469)

(2,214,469)

Actual

$ 13,362.70813,362,708

8,653,316

1,004,293

1,619,234

810

226,754

12,770

364,505

11,881,682

1,481,026

(1,481,028)

(.1,481,028)

Variance

Favorable

(Unfavorable)

$ (8,117,153)(8,117,153)

5,245,466

110,395

623,600

7,063

1,196,578

60,463

140,147

7,383,712

(733,441)

733,441

733,441

NET CHANGE IN FUND BALANCE (2) (2)

Fund balance. June 30, 2006

FUND BALANCE, JUNE 30, 2007

-69-

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouse. Louisiana

SPECIAL REVENUE FUND - ALCOHOL AND DRUG ABUSE

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE -

REVENUES

Local sources:

Ad valorem tax<

Other

TOTAL RE

EXPENDITURES

Support:

Pupil support se

Instructional sta

Administrative

Business and ce

Plant operations

Transportation

TOTAL EXI

EXCESS OF

OTHER FJNANC

Transfers out

TOTAL OTI

NET CHAN

Fund balance, Jv

FUNDBAL

BUDGET AND ACTUAL

FISCAL YEAR ENDED JUNE 30, 2007

Budget

:s $ 1,656,520

5,000

VENUES 1,661,520

,

•vices 1,607,413

ff services

50,027

ntral services 34,733

and maintenance 39,053

'ENDITURES 1,731,226

*! REVENUES OVER EXPENDITURES (69,706)

ING USES-

IER FINANCING USES

GE IN FUND BALANCE (69,706)

me 30. 2006 538,019

ANCE, JUNE 30. 2007 $ 468,313

Actual

$ 1,688,223

3,480

1,691,703

1,445,769

22,739

176

101,558

41,638

324

1,612,204

79,499

(16,167)

(16,167)

63,332

538,019

$ 601,351

Variance

Favorable

(Unfavorable)

S 31,703

(1,520)

30,183

161,644

(22,739)

49,851

(66.825)

(2,585)

(324)

119,022

149,205

(16,167)

(16,167)

133,038

$ 133.038

- 7 0 -

F.AST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge, Louisiana

SPECIAL REVENUE FUND - CAREER AND TECHNICAL EDUCATION

SCHEDULE OF REVENUES. EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL

FISCAL YEAR ENDED JUNE 30, 2007

REVENUESFederal grants

TOTAL REVENUES

EXPENDITURES

Instruction:

Other education programs

Support;

Instructional staff services

Administrative

Business and central services

Transportation

TOTAL EXPENDITURES

NET CHANGE IN FUND BALANCE

Fund balance, June 30, 2006

FUND BALANCE, JUNE 30, 2007

Budget

$ 924,891

924,891

886,083

Actual

891,840

891,840

795,388

Variance

Favorable(Unfavorable)

S (33,051)

(33,051)

90,695

32,681130

2,9003,097

924,891

91,419

SO

U999

2,954

891,840

(58,738)50

901

143

33,051

- 71 -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge. Louisiana

SPECIAL REVENUE FUND - TEMPORARY ASSISTANCE FOR NEEDY FAMILIES

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL

FISCAL YEAR ENDED JUNE 30. 2007

REVENUES

State and federal:

Federal grants

TOTAL REVENUES

EXPENDITURES

Instruction:

Regular Education Programs

Special Education Programs

Other education programs

Support

Instructional staff services

Business and central services

Plant operations and maintenance

Transportation

TOTAL EXPENDITURES

EXCESS OF REVENUES OVER EXPENDITURES

OTHER FINANCING USES

Transfers out

TOTAL OTHER FINANCING USES

NET CHANGE IN FUND BALANCE

Fund balance, June 30, 2006

FUND BALANCE, JUNE 30, 2007

Budget

$ 2,401,200

2,401,200

1,920,796

(11.330)

(11,330)

(8,687)

398.507

$ 389,820

Actual

1.497,189

(7,493)

(7,493)

171,112

398,507

Variance

Favorable(Unfavorable)

2,168,464 $ (232,736)

2,168,464 (232,736)

423,607

348,355

13,695

1,050

114,661

2,398,557

2,643

417,609

39,739

579

34,743

1,989,859

178,605

(69,254)

(26,044)

471

79,918

408,698

175,962

3,837

3,837

179,799

569,619 $ 179,799

- 7 2 -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge, Louisiana

SPECIAL REVENUE FUND

SCHEDULE OF REVENUES, EXPENDITURES

- STATE GRANTS

AND CHANGES IN FUND BALANCE -

BUDGET AND ACTUAL

FISCAL YEAR ENDED

REVENUES

State support

TOTAL REVENUES

EXPENDITURES

Instruction:

Special education programs

Other education programs

Support:

Pupil support services

Instructional staff services

Administrative

Business and central services

Plant operations and maintenance

Transportation

TOTAL EXPENDITURES

EXCESS OF REVENUES (UNDER) EXPENDITURES

OTHER FINANCING SOURCES USES

Transfers out

TOTAL OTHER FINANCING USES

NET CHANGE IN FUND BALANCE

Fund balance, June 30. 2006

FUND BALANCE, JUNE 30, 2007

JUNE 30, 2007

Budget

$ 9,502,343

9,502,343

157,407

7,999,632

94,817

1 ,684,275

83,286

147,513

29,876

370,702

10,567,508

(1,065,165)

(1,408)

(1,408)

(1,066,573)

1,786,133

$ 719,560

Actual

$ 8,619,300

8,619,300

165,224

7,153,230-

89,625

1,359,951

54,973

138,953

12,107

434,800

9,408,863

(789,563)

-

.

(789,563)

1,786,133

$ 996,570

Variance

Favorable

(Unfavorable)

$ (883,043)

(883,043.)

(7,817)

846,402

5,192

324,324

28,313

8,560

17,769

(64,098)

1,158,645

275,602

1,408

1,408

277,010

_

$ 277.010

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge. Louisiana

SPECIAL REVENUE FUND - CONTINUING EDUCATION

SCHEDULE OF REVENUES. EXPENDITURES AND CHANGES IN FUND BALANCE -1 BUDGET AND ACTUAL

FISCAL YEAR ENDED JUNE 30. 2007

Budget

REVENUES

Federal grants ,

TOTAL REVENUES

EXPENDITURES

Instruction:

Other education programs

Support:

Administrative

TOTAL EXPENDITURES

EXCESS OF REVENUES OVER EXPENDITURES

OTHER FINANCING USES

Transfers out

TOTAL OTHER FINANCING USES

NET CHANGE IN FUND BALANCE

951,995

906,091

280906,371

45,624

(45,624)

(45,624)

Actual

753,164

717,693

717.693

35,471

(35,471)

(35,471)

Variance

Favorable

(Unfavorable)

S 951,995 $ 753,164 $ (198,831)

(198,831)

188,398

280

188,678

(10,153)

10,153

10,153

Fund balance, June 30, 2006

FUND BALANCE, JUNE 30, 2007

- 7 4 -

KAST BATON RQL'GE PARISH SCHOOL SYSTEM

Baton Rouge. Louisiana

SPECIAL REVENUE FUND - TITLE IV

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL

FISCAL YEAR ENDED JUNE 30. 2007

REVENUES

Federal grants

TOTAL REVENUES

EXPENDITURES

Support:

Pupil support services

TOTAL EXPENDITURES

EXCESS OF REVENUES OVER EXPENDITURES

OTHER FINANCING USES

Transfers out

TOTAL OTHER FINANCING USES

NET CHANGE IN FUND BALANCE

Fund balance, June 30, 2006

Budget

404,201 S

404,201

396,276

396,276

7,925

(7,925)

(7,925)

Actual

Variance

Favorable

(Unfavorable)

404,201 S

404.201

396.276

396,276

7.925

(7.925)

(7,925)

FUND BALANCE, JUNE 30, 2007

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge, Louisiana

SPECIAL REVENUE FUND - LOCAL GRANTS

SCHEDULE OF REVENUES. EXPENDITURES AND CHANCES IN FUND BALANCE -

BUDGET AND ACTUAL

FISCAL YEAR ENDED JUNE 30, 2007

REVENUESLocal sources:

OtherTOTAL REVENUES

EXPENDITURESInstruction:

Other education programsSupport:

Instructional staff servicesAdministrativeBusiness and central servicesPlant operations and maintenanceTransportation

TOTAL EXPENDITURES

EXCESS OF REVENUES (UNDER) EXPENDITURES

OTHER FINANCING SOURCES (USES)Transfers inTransfers out

TOTAL OTHER FINANCING SOURCES (USES)

NET CHANGE IN FUND BALANCE

Fund balance, June 30,2006

FUND BALANCE, JUNE 30, 2007

Budget

2.198.330 S2,198,330

2,099.016

298,1491,452

11.20917.1344.798

2,431,758

(233.428)

100.00009.738)

80.262

(153,166)

548,446

395,280 S

Actual

2.198.376 S2,198,376

1,943,491

250.4332,3193,909

17,1347.893

2,225,179

(26.803)

100,000(19.738)

80.262

53.459

548,446

601.905 $

VarianceFavorable

(Unfavorable)

4646

155.525

47.716(867)

7.300-

(3,095)206,579

206,625

-

206,625

_

206.625

- 7 6 -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baron Rouse, Louisiana

SPECIAL REVENUE FUND - DIRECT FEDERAL PROGRAMS

SCHEDULE OF REVENUES. EXPENDITURES AND CHANGES IN

BUDGET AND ACTUAL

FUND BALANCE -

FISCAL YEAR ENDED JUNE 30. 2007

REVENUES

Federal grants

TOTAL REVENUES

EXPENDITURES

Support:

Pupil support services

Instructional staff services

Business and central services

Plant operations and maintenance

TOTAL EXPENDITURES

EXCESS OF REVENUES OVER EXPENDITURES

OTHER FINANCING USES

Transfers out

TOTAL OTHER FINANCING USES

NET CHANGE IN FUND BALANCE

Fund balance, June 30, 2006

Budget

$ 3,053,601 3

3,053,601

2,742,947

160,380

1,451

4,320

2,909,098

144,503

(144,503)

(144,503)

-

-

Actual

i 2,393,781 $

2.393,781

2,134,961

67,618

1,232

4,248

2,208,059

185,722

(185,722)

(185,722)

-

-

Variance

Favorable

(Unfavorable)

(659,820)

(659,820)

607,986

92,762

219

72

701,039

41,219

(41,219)

(41,219)

-

-

FUND BALANCE, JUNE 30, 2007

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge. Louisiana

SPECIAL REVENUE FUND - SUMMER SCHOOL

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL

FISCAL YEAR ENDED JUNE 30, 2007

Budeet

REVENUES

Local sources:

Other

TOTAL REVENUES

EXPENDITURES

Instruction:

Other education programs

Support:

Administrative

Transportation

TOTAL EXPENDITURES

NET CHANGE IN FUND BALANCE

Fund balance, June 30, 2006

FUND BALANCE, JUNE 30, 2007

368.600 S

368,600

492,900

(124,300)

285,348

161,048 $

Actual

371,528 $

371,528

501,776

Variance

Favorable

(Unfavorable)

2,928

2,928

(8,876)

_

492,900

40

385

502,201

(40)

(385)

(9,301)

(130,673)

285,348

154,675 $

(6.373)

(6,373)

-78 -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge. Louisiana

SPECIAL REVENUE FUND - TEXTBOOKS

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL

FISCAL YEAR ENDED JUNE 30. 2007

REVENUES

State and federal:

Other state support

TOTAL REVENUES

EXPENDITURES

Instruction:

Regular Education Programs

Support:

Instructional Staff Services

TOTAL EXPENDITURES

EXCESS OF REVENUES (UNDER) EXPENDITURES

OTHER FINANCING SOURCES (USES)

Transfers in

Transfers out

TOTAL OTHER FINANCING SOURCES (USES)

NET CHANGE IN FUND BALANCE

Budget

544,517 $

544,517

4,575,107

%,1SO4,671,287

(4,126,770)

Actual

526,302 $

526,302

1,604,371

90,014

1,694.385

(1,168,083)

Variance

Favorable

(Unfavorable)

(18,215)

(18,215)

2,970,736

6,1662,976,902

2,958,687

4.500,000

(.30,030)

4,469,970

6,500,000

(29,416)

6,470,584

2,000,000

614

2,000,614

343,200 5,302,501 4,959301

Fund balance, June 30, 2006

FUND BALANCE, JUNE 30, 2007

2,976,744 2,976,744

3,319,944 $ 8,279,245 $ 4,959,301

- 7 9 -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge. Louisiana

SPECIAL REVENUE FUND - DISASTER RELIEF

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL

FISCAL YEAR ENDED JUNE 30, 2007

REVENUES

Federal grants

TOTAL REVENUES

EXPENDITURES

Instruction:

Regular Education Programs

TOTAL EXPENDITURES

EXCESS OF REVENUES (UNDER) EXPENDITURES

OTHER FINANCING SOURCES

Transfers in

TOTAL OTHER FINANCING SOURCES

NET CHANGE'IN FUND BALANCE

Fund balance, June 30, 2006

FUND BALANCE, JUNE 30, 2007

Budget

89,602 $

89,602

89,602

89,602

Actual

89,602 $

89,602

351,751

351,751

(262,149)

262,149

262,149

Variance

Favorable

(Unfavorable)

(262,149)

(262,149)

(262,149)

262,149

262,149

- 8 0 -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge, Louisiana

SPECIAL REVENUE FUND - \VBRH RADIO STATION TRAINING PROGRAM

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL

FISCAL YEAR ENDED JUNE 30. 2007

REVENUESLocal sources:

Other

TOTAL REVENUES

EXPENDITURESInstruction:

Other education programs

TOTAL EXPENDITURES

NET CHANGE IN FUND BALANCE

Fund balance, June 30, 2006

FUND BALANCE, JUNE 30, 2007

Budget

250,600 $

250,600

362,650

131,940 $

Actual

274,037 $

274,037

224,107

Variance

Favorable

(Unfavorable)

23,437

23,437

138,543362,650

(112,050)

243,990

224,107

49,930

243,990

138,543

161,980

-

293,920 $ 161,980

-81 -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge, Louisiana

SPECIAL REVENUE FUND - SERVE! BATON ROUGE

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL

FISCAL YEAR ENDED JUNE 30, 2007

Budget

REVENUES

Federal grants

TOTAL REVENUES

EXPENDITURES

Instruction:

Other education programs

Support:

Pupil support services

Instructional staff services

Administrative

TOTAL EXPENDITURES

NET CHANGE IN FUND BALANCE

Fund balance, June 30 2006

20,507 $

20,507

427

11,554

8,526

20,507

Actual

Variance

Favorable

(Unfavorable)

20,507 $

20,507

427

11,554

8,526

20,507

FUND BALANCE, JUNE 30, 2007

- 8 2 -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge. Louisiana

SPKCIAL REVENUE FUND - TECHNOLOGY LITERACY CHALLENGE (TITLE III)

SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE -

BUDGET AND ACTUAL

FISCAL YEAR ENDED JUNE 30

REVENUES

Federal grants $

TOTAL REVENUES

EXPENDITURES

Instruction:

Other education programs

Support:

Instructional staff services

Business and central services

Plant operations and maintenance

Transportation

TOTAL EXPENDITURES

EXCESS OF REVENUES OVER EXPENDITURES

OTHER FINANCING USES

Transfers out

TOTAL OTHER FINANCING USES

,2007

Budget Actual

500,747 $ 399,218 $

500,747 399,218

422,260 336,261

62.176 52,132

2,071 674

2,528 2.378

1,978

491,013 391,445

9,734 7,773

(9,734) (7,773)

(9,734) (7.773)

Variance

Favorable

(Unfavorable)

101,529

101,529

85,999

10,044

1 ,397

150

1,978

99,568

1,961

(1,961)

(1,961)

NET CHANGE IN FUND BALANCE

Fund balance, June 30, 2006

FUND BALANCE, JUNE 30, 2007

- 83 -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge. Louisiana

SPECIAL REVENUE FUND - NASA-LSU 1st ROBOTICS

SCHEDULE OF REVENUES. EXPENDITURES AND CHANGES IN FUND BALANCE

BUDGET AND ACTUAL

FISCAL YEAR ENDED JUNE 30. 2007

REVENUES

Federal grants

TOTAL REVENUES

EXPENDITURES

Instruction: .

Other education programs

TOTAL EXPENDITURES

NET CHANGE IN FUND BALANCE

Budget

Variance

Favorable

Actual (Unfavorable)

t s:•P - j-

Fund balance, June 30, 2006

FUND BALANCE, JUNE 30, 2007

312 312

312 $ 312 $

- S 4 -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Routze. Louisiana

SPECIAL REVENUE FUND - READING FIRST

SCHEDULE OF REVENUES, EXPENDITURES AND CHANCES IN FUND BALANCE

BUDGET AND ACTUAL

FISCAL YEAR ENDED JUNE .10. 2007

REVENUES

Federal grants

TOTAL REVENUES

EXPENDITURES

Instruction:

Other education programs

Support:

Instructional staff services

Administrative

TOTAL EXPENDITURES

EXCESS OH REVENUES OVER EXPENDITURES

OTHER FINANCING USES

Transfers out

TOTAL OTHER FINANCING USES

NET CHANGE IN FUND BALANCE

Fund balance, June 30, 2006

FUND BALANCE, JUNE 30, 2007

Budget

1.630,195 S

1,630,195

1,515,182

59,888

,575.070

55,125

(55,125)

(55,125)

Actual

1,414,573

1,358,687

8.050

1,366,737

47,836

(47,836)

(47,836)

Variance

Favorable

(Unfavorable)

(215,622)

(215,622)

156,495

51,838

208,333

(7,289)

7,289

7,289

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge. Louisiana

SPECIAL REVENUE FUND - HOMELESS YOUTH ASSISTANCE

SCHEDULE OF REVENUES. EXPENDITURES AND CHANGES IN FUND BALANCE -

BUDGET AND ACTUAL

FISCAL YEAR ENDED JUNE 30, 2007

Budget

REVENUES

Federal grants

TOTAL REVENUES

EXPENDITURES

Instruction:

Other education programs

Support:

Instructional staff services

Plant Operations and Maintenance

TOTAL EXPENDITURES

EXCESS OF REVENUES OVER EXPENDITURES

OTHER FINANCING USES

Transfers out

TOTAL OTHER FINANCING USES

NET CHANGE IN FUND BALANCE

Fund balance, June 30. 2006

FUND BALANCE, JUNK 30, 2007

-86-

131.644 S

131,644

109,103

3,925

3,537

116,565

15,079

(15,079)

(15,079)

Actual

Variance

Favorable

(Unfavorable)

131,644 $

131,644

109,103

3,925

3,537

116,565

15,079

(15,079)

(15,079)

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouue, Louisiana

PROPRIETARY FUND TYPE - INTERNAL SERVICE FUNDS

WORKERS' COMPENSATION FUND

The Workers' Compensation Fund is designed to protect the School System against catastrophic losses in a single year in the area ofemployee related accidents.

RISK MANAGEMENT FUND

The Risk Management Fund is designed to account for the School System's property, general and automobile liability.

MEDICAL INSURANCE FUND

The Medical Insurance Fund accounts for the activity of the School System's managed health care program for its employees.

- 8 7 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge. Louisiana

PROPRIETARY FUND TYPEINTERNAL SERVICE FUNDS

COMBINING BALANCE SHEET

JUNE 30. 2007

ASSETSCurrent:

Cash and cash equivalentsDue from other fundsReimbursement receivable

TOTAL ASSETS

LIABILITIES AND NET ASSETSLiabilities:

Current:Accounts payable •Claims payable

Non current:Claims payableTOTAL LIABILITIES

Workers'

CompensationFund

2,500,000 $2,671,575

RiskManagement

Fund

7,792,9891,440

MedicalInsurance

Fund

TotalInternal

ServiceFunds

- $ 2,500,00040,977,013 51,441,577

871,052 872,492

5,171,575 S 7,794,429 $ 41,848,065 $ 54,814,069

7,354 $

1,522,000

911,538

2,440,892

42,305 $

1,161,000

2,616,314

3,819,619

233,515 $

6,799,531

_

7,033,046

283,174

9,482,531

3,527,852

13,293,557

Net assets (unrestricted)

TOTAL LIABILITIES AND NET ASSETS

2,730,683 3,974,810 34,815,019 41,520,512

5,171,575 $ 7,794,429 $ 41,848,065 $ 54.814,069

-88-

EAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge. Louisiana

PROPRIETARY FUND TYPEINTERNAL SERVICE FUNDS

COMBINING STATEMENT OF REVENUES. EXPENSES AND CHANGES IN NET ASSETS

OPERATING REVENUESPremiums received

TOTAL OPERATING REVENUE

OPERATING EXPENSESClaims expenseInsurance premiumsAdministrative fees

TOTAL OPERATING EXPENSES

FISCAL YEAR ENDED JUNE 30,

Workers'Compensation

Fund

S 1,904,585 $1,904,585

1,899,717265,557

1 24,572

2,289,846

2007

Risk

ManagementFund

3,585,852 S3,585,852

2,240,164

-135,345

2,375,509

Medical

InsuranceFund

75,918,530 $75,918,530

56,375,091

2,546,6342,666,032

61,587,757

Total

InternalService

Funds

81,408,96781,408,967

60,514,9722,812,1912,925,949

66,253,112

NET OPERATING INCOME (LOSS)

NON-OPERATING REVENUESInterest income

TOTAL NON-OPERATING REVENUES

INCOME (LOSS) BEFORE TRANSFERS

Transfers in

CHANGH IN NET ASSETS

NET ASSETS at JUNE 30, 2006

NF.T ASSETS at JUNE 30. 2007

(385,261)

131,311131,311

1.210,343 14,330,773 15,155,855

131,311131,311

(253,950) 1,210,343 14,330,773 15.28"?.166

2.500,000 2,500,000 - 5,000,000

2,246,050 3,710.343 14,330,773 20,287,166

484,633 S 264,467 $ 20,484,246 S 21,233,346

2,730,683 S 3,974,810 S 34.815.019 $ 41.520,512

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouiie, Louisiana

PROPRIETARY FUND TYPE

INTERNAL SERVICE FUNDS

COMBINING STATEMENT OF CASH FLOWSFISCAL YEAR ENDED JUNE 30. 2007

Workers' Risk M ed i cal

Compensation Management InsuranceFund Fund Fund

TotalInternalServiceFunds

CASH FLOWS FROM OPERATING ACTIVITIES:0 Cash premiums received

Cash paid in claims and benefit;;Cash paid for expenses

NKT CASH PROVIDED BY

(USED IN) OPERATING ACTIVITIES

CASH FLOWS FROM NONCAPITAL FINANCING

ACTIVITIES:Intcrfund transfers and advances

NET CASH PROVIDED BY (USED IN)NONCAPITAL FINANCING ACTIVITIES

CASH FLOWS FROM INVESTING ACTIVITIES:

Interest Income

NET CASH PROVIDED BY

INVESTING ACTIVITIES

NET CHANGE IN CASH

Cash at beginning of year

CASH AT END OF YEAR

Reconciliation of operating income (loss) to net cashprovided by (used in) operating activitiesOperating income (loss)

Adjustments to reconcile operating income (loss) to

net cash provided by (used in) operating activities:

Changes in:Reimbursement receivablesAccounts and claims payable

NET CASH PROVIDED BY (USED

IN) OPERATING ACTIVITIES

1,904,585 $(2,376,300)

(117,218)

(588,933)

3,584,412 $

(2,169,009)(95,554)

1,319,849

75,509,509 $(58,884,592)(2,830,997)

13,793,920

80,998.506(63,429,901)(3,043,769)

14,524,836

416,336 (1,358,160) (13,793,920) (14,735,744)

416,336 (1,358,160)

131,311

131,311

(41,286)

2,541,286

(38,311)

38,311

2.500,000 $

(203,672)

(1,440)

110.946

(409,021)(127,832)

131,311

131311

(79,597)

2,579;597

2.500.000

(385,261)5 1,210,343 $ 14,330,773 S 15,155,855

(410,461)

(220,558)

$ (588,933) S 1,310,849 $ 13,793.920 S 14,524,836

-90-

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

FIDUCIARY FUND TYPE - AGENCY FUNDS

CONSOLIDATED PAYROLL FUND

The Consolidated Payroll Fund was established to account for the payroll deductions and wilhholdings for all employees paid by theSchool System.

SCHOOL ACTIVITY FUND

The activities of the various individual school accounts are accounted for in the School Activity Fund. While the fund is under thesupervision of the School System, these monies belong to the individual schools or their student bodies and are not available for useby the School System.

- 9 1 -

KAST BATON ROUGE PARISH SCHOOL SYSTEM

Baton Rouge, Louisiana

FIDUCIARY FUNDS

STATEMENT OF FIDUCIARY ASSETS AND LIABILITIES

June 30.2007

ASSETS

Cash and cash equivalents

Accounts receivable

Due from other funds

TOTAL ASSETS

LIABILITIES

Benefits payable

Salaries payable

Payroll withholdings payable

Amounts held for other groups

TOTAL LIABILITIES

Consolidated School

S

S

$

Payroll Activity

Fund Fund

S 4,224,268

29,373

11,874,626

11,903,999 $ 4,224,268

2,445,883 $

7,723,270

1,423,577311,269 4,224,268

Agency

Total

$ 4,224,268

29,373

11,874,626

S 16,128,267

$ 2,445,883

7,723,270

1,423,577

4,535,537

S 11,903,999 $ 4,224,268 $ 16,128,267

-92 -

EAST BATON ROUGE PARISH SCHOOL SYSTEM

ASSETSCash and cash equivalentsAccounts receivableDue from other funds

LIABILITIESAccounts payableBenefits payableSalaries payable

SCHOOL ACTIVITY FUND

ASSETSCash and cash equivalents

LIABILITIES

TOTAL AGENCY FUNDS

ASSETSCash and cash equivalentsAccounts receivableDue from other funds

TOTAL ASSETS

LIABILITIESAccounts payableBenefits payableSalaries payablePayroll withholding:? payable

Baton Rouge, Louisiana

AGENCY FUNDSCOMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES

FISCAL YEAR ENDED JUNE

BalanceJune 30, 2006

kYROLLFCND

ilents $ - $70,370

i 10,566,711SETS $ 10,637.081 $

$ 41,313 $2,001,4176,954,259

payable 1,640,092ABILITIES S 10,637,081 $

FUND

lentsSETS $ 4.251,790 S

er groups 4,251,790.BIUTIES $ 4,251,790 $

NDS

lents $ 4,251,790 $70.370

10,566,711JETS $ 14.888,871 $

$ 4 1 , 3 1 3 $2,001.4176,954,259

payable 1.640,092ir groups 4,251,790B1LITIES S 14,888,871 S

30, 2007

Additions

20,541,426 S848,611

275,801,300297,191,337 $

71,990,915 $68,259,97612,127,42984,322,936

236,701,256 $

10,383,445 S

10,383,44510,383,445 $

— -—-— —

.30,924,871 $848,61 1

275,801.300307,574,782 $— g=™«i ••_-- — c

71,990,915 $68,259,97612,127,42984,322.93610,383,445

247,084,701 $

Deductions

20,541,426889,608

274,493,385295.924,419

71,720.95967,815,51011,358,41884,539,451

235,434,338

10.410,967^^^^Ba^^g^1" ... !

10,410,96710,410,967

30,952,393889,608

274,493,385306,335.3X6

:==5SS==5SS=

71,720,95967,815,51011,358,41884,539,45110,410,967

245.845,305

BalanceJune 30, 2007

$29,373

1 1 ,874,626$ 11,903,999

$ 311,2692,445,8837,723,2701,423,577

$ 11,903,999

$ 4,224,268

4,224,268$ 4,224.268

$ 4,224,26829,373

11,874,626$ 16,128,267

S 311,2692,445,8837,723,270K423.5774,224,268

S 16,128,267

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge. Louisiana

COMPARATIVE SCHEDULE OF CAPITAL ASSETS - BV SOURCESJ UNE 30. 2007 AND 2006

2007 2006

Capital assets:LandBuildings and improvementsFurniture and equipmentConstruction in progress

TOTAL CAPITAL ASSETS

Capital assets from:Capital projects fundOther governmental funds

TOTAL ASSETS AT COST

S 9,436,146297,047,800

36,440,69914,832,688

S 357,757,333

S 143,952,749213,804,584

S 8,352,161243,604,076

35,435,71543,694,283

S 331.086,235

$ 141,304,884189,781,351

$ 357,757,333 $331,086,235

- 9 4 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

SCHEDULE OF CAPITAL ASSETS AT COST - BY FUNCTIONJUNE 30. 2007

Function

AdministrativeInstructionalMaintenance

Land

S 1,165,8777,529,969

740,300

Buildingsand

Improvements

$ 11,547,254282,374,633

3,125,913

Furniture Constructionand in

Equipment Progress

$ 8,961,155 S15,236,549 14.832,68812,242,995

Total

$ 21,674,286319,973,839

16,109,208

TOTAL S 9,436,146 $ 297,047,800 S 36,440,699 $ 14,832,688

Function

AdministrativeInstructionalMaintenance

TOTAL

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

SCHEDULE OF CHANGES IN CAPITAL ASSETS - BY FUNCTIONFISCAL YEAR ENDED JUNE 30, 2007

CapitalAssets

June 30, 2006 Additions

$ 12,966,477 S 8,777,414301,992,291 61,935,330

16,127,467

Adjustmentsand

Deductions

$ (69,605)(43,953,782)

(18,259)

Capita!Assets

June 30, 2007

$ 21,674,286319,973,839

16,109,208

$ 331,086,235 $ 70,712.744 S 357,757,333

-96-

oa

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

STATISTICAL SCHEDULE DESCRIPTIONS

This part of the School System's comprehensive annual financial report presents detailed information as a context for understandingwhat the information in the financial statements, note disclosures and required supplementary information states about the SchoolSystem's overall financial health.

FINANCIAL TRENDS

These schedules contain trend information to assist the reader in understanding how the School System's financial position and well-being have changed over time.

- Net Assets By Component - Last Seven Fiscal Years- Changes in Net Assets - Last Seven Fiscal Years- Fund Balances of Governmental Funds - Last Ten Fiscal Years- Changes in Fund Balances of Governmental Funds -- Last Ten Fiscal Years

REVENUE CAPACITY

These schedules contain information to help the reader assess the School System's ability to generate own-source revenues, namelythe property tax.

- Assessed and Estimated Actual Value of Taxable Property - Last Ten Tax Years- Principal Property Taxpayers - Current Year and Nine Years Ago- Property Tax Rates and Tax Levies - Direct and Overlapping Governments - Last Ten Tax Years- Properly Tax Levies and Collections - Last Ten Tax Years

DEBT CAPACITY

These schedules present information to help the reader assess the affordability of the School System's current levels of outstandingdebt and the School System's ability to issue additional debt in the future.

- Ratios of Outstanding Debt by Type - Last Ten Fiscal Years- Computation of Legal Debt Margin - Last Ten 'fax Years- Computation of Direct and Overlapping Debt - December 31, 2006

DEMOGRAPHIC AM) ECONOMIC INFORMATION

These schedules offer demographic and economic indicators to help the reader understand the environment within which the SchoolSystem's financial activities take place.

- Demographic Statistics - Last Ten Fiscal Years- Principal Hmploycrs - Current Year and Nine Years Ago

- 9 7 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge. Louisiana

STATISTICAL SCHEDULE DESCRIPTIONS (continued)

OPERATING INFORMATION

These schedules contain service and infrastructure data to help the reader understand how the information in the School System'sfinancial report related to the services the School System provides and the activities it performs.

- General Fund Expenditures by Function - Last Ten Fiscal Years- General Fund Expenditures by Function Per Pupil - Last Ten Fiscal Years- Full-Time Equivalents (FTE) Employees - Last Ten Fiscal Years- Board Members' Compensation - June 30, 2007- Percentage of Free and Reduced Students in Lunch Program - Last Ten Fiscal Years- History of High School Graduates - Last Ten Fiscal Years- Capital Asset Information - June 30, 2007

Sources: Unless otherwise noted, the information in these schedules is derived from the comprehensive annual financial reports forthe relevant year. The School System implemented GASB Statement No. 34 with the fiscal year beginning July 1, 2000; therefore,schedules presenting government-wide information include information beginning with June 30, 2001.

-98-

:.AS I BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

NET ASSETS BY COMPONENTLAST SEVEN FISCAL VKARS

(iiccrua! basis of accounting)(Unaudited)

l;iscal Year2006 2005 2004 2002 2001

Governmental activitiesInvested in capital assets,

net of related debt

Restricted

Unrestricted

Total governmental activities net assets S43S.661.254 $ 347.926,073 S 249.827,745 5215,694,968 $ 194,261.672 $ 164.434,266 S 120,264,063

5225,764,035 5211,533,500 $ 186.734,515 S 173,233,096 S 154,779,577

69,254,835 46.052,683 37,821,604 31,581,102 31,896,228

143,642,384 90.339,890 25.271.626 10.880,770 7,585,867

117,937,595 $ 70,772.075

41.406,522 51,249,628

5,090,149 (1,757,640)

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

CHANGES IN NET ASSETSLAST SEVEN FISCAL YEARS

(accrual basis or accounting)(Unaudited)

Fiscal Year Coded June 30,

Expenses:Instruction:

Regular education programsSpecial education programsOther education programs

Support Services:Pupil support servicesInstructional staff servicesGeneral administration servicesSchool administration servicesBusiness and central servicesPlant operations and maintenanceTransportationChild nutrition

Appropriation - charter schoolsInterest on long-term debt

Total expenses

Program revenues:Charges for services:

InstructionPupil support servicesInstructional staff servicesGeneral administration servicesSchool administration servicesBusiness and central sen-icesPlant operation and maintenanceTransportationChild nutritionAppropriation - charter schools

Operating grants and contributionsCapital grants and contributions

Total program revenues

Net (expense) revenue

General revenues and other changesin net assets:

Taxes:Ad valorem taxesSlate revenue sharingSales and use taxes

State aid not restricted to specificprograms (MFP)

Interest and investment earningsMiscellaneous

Total general revenues and otherchanges in net assets

Chan»e in nut assets

2007

S 147,101,40464,221,60247.481,748

24,594,81219,378,8439,692,60418,682,58012.564,09147,877.60025,988.68326,189.3723,804,070

-

44", 577, 409

871,051

------

1 74,4064.083.3S]

-83,486,873

405,775

89.021,486

(358.555.9231

107.347.4303,873,354

159,512,971

161,556,5528,308,0878,692,710

449,291.104

$ 90.735.181

2006

$ 147,701,38258,496,30446,296,059

20,449,18317,540,5879,311,75717,754,03510,969.15445,462.49026,181,96425,679,7033,273,244

-

429,115,362

810,410

------

195,9703,156,100

-114.391,369

173.419

118,727,268

(310,383,594)

98,852,9983,692,262

156.104.231

141,675.7234,121,4664.040.242

408,486,922

S 98,098.328

2005

$ 127,813,14855,085,92041,560,479

19.246,25614.335,4829,539.62417,404,39710,953,06345,399,34723,512,19925,339,1132,846,532

21,275

393,056,835

813,246

------

173,9583,962,803

-67,551,209

-

72.501,216

(320,555,619)

94.212,7053,722,441

128.856,908

122,712,3781,877,1723.306.792

354,688,396

$ 34,132,777

2004

S 123,266,74255,110,21537,325,869

19.402,70613.176,0499,263.97516,928,7289.780,53040,656.94823,453,71324,940,1462,645,958, 41,884

375,993,463

816,705

------

111,2293,951,872

-

61.053.76779,297

66.012,870

(309,980.593)

88.593,0173.759,550

123,437,777

118,772,955812,544

(3.962.954)

331.412.889

S 21.432,296 _

2003

S 135,363,69357,939,52738,846,770

20,903,01214.666,4968,917,22718,813,3568.782,41943,630,45522,734,34827,805.2182,531,735

61,847

400,996,103

805,652------

224.7664,415,312

-

63,943,777175.747

69,565,254

(331.430.S49)

85,424.3413,919,550

128,970,873

138,122,3841,157.7083,663,399

361,258.255

S 29,827,406

2002

$ 131.388,05553,709,89839,352,603

20,235,68213,756,5438,615,54918,683,9647,434.46434,775,37821,975,93926,804,4292,494,800

49,595

379,276,899

3,191.225219,178118,77210,204

209.79042,856328,563657,756

4,391.6858.163

54,488,871681.365

64,348.428

(.314,928.471)

81.549,651125,380,879

3.934,795

143.066,171

2,016,4823,150,696

359.098,674

$ 4-4,170,203

2001

$ 127,051,86650,980,48634,893,054

19.675.62115,051,26010,683,33418,642,5913,308,69738,475.18320,691,46624,437,0352,304,524

70,608

371,265,725

2,585,898145,79497.6615,223

142,01151,540195,063499,423

5,168,449-

53,216,8051.475.000

63,582.867

(307,682,858)

77,083,447122.957,2363,864,710

134.999,2463,432,0282,157,051

344,493.718

S 36,810.860

- 100-

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Roune, Louisiana

FUND BALANCES OF GOVERNMENTAL FUNDSLAST TEN FISCAL YEARS

FiscalYear

2007

2006

2005

2004

2003

2002

2001

2000

1999

1998

Reserved

$ 6,154,589

2,871,392

5,162,226

4.472.752

8,756,322

7,797,320

4,400,231

8,363,215

6.886,586

7,399,273

General Fund

Unreserved

S 110,869,281

81,894,100

28,951,745

23,979,402

21,106,915

14,332,666

6,176,909

11,824,595

25,483,535

21.859,613

(modified accural basis of accounting)(Unaudited)

All Other Governmental Funds

Total

$ 117,023,870

84,765,492

34.113,971

28,452,154

29.863,237

22,129,986

10,577,140

20,187,810

32,370.121

29.258,886

Reserved*

$ 15,316,763

30,239,225

31,947,471

17,546,799

18.448,689

31,061,266

34,875,455

4,033,731

(3X6,119)

24,615

Unreserved

Reportedin

Special

RevenueFunds

S 42,537,926

35,421,305

26,220,068

21,164.022

25,629,195

24,654,826

22,905,954

16,492,692

3,480,047

4,752,975

Unreserved

Reported

inCapital

ProjectsFunds

$ 13,063,990

(19,107,409)

(20.382,621)

(6.280.292)

(10,609,462)

(9,332,586)

-

18,713,918

-

.

Total

all other

Govern-mentalFunds

$ 70,918,679

46,553,121

37,784,918

32,430,529

33,468,422

46,383,506

57,781,409

39,240,341

3,093,928

4,777.590

* Includes Special Revenue, Capital Projects and Debt Service Funds.All fund balances in Debt Service Funds are reserved to pay future debt service.

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge. Louisiana

CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDSLAST TEN FISCAL YEARS

(modified accrual basis of accounting)(Unaudited)

Fiscal Year Ended June 30,

REVENUES :Local sources:

Ad valorem taxesSales and use taxesEarnings on investmentsExtended day program tuitionOther

State sources:Unrestricted grants-in-aid, MFPRevenue sharingRestricted grants-in-aid

Federal grants

TOTAL REVENUES

EXPENDITURESCurrent:

Instruction:Regular education programsSpecial education programsOther education programs

Support:Pupil support servicesInstructional staff services

General administration servicesSchool administration servicesBusiness and central servicesPlant operations and maintenanceTransportation

Child nutritionAppropriation-Charter schoolsSettlement agreement

Facility acquisition and constructionDeht service - PrincipalDebt service - Interest.

TOTAL EXPENDITURES

EXCESS OF REVENUES OVER(UNDER) EXPENDITURES

OTHER FINANCING SOURCES (USES)Transfers inTransfers out

TOTAL OTHER FINANCINGSOURCES (USES)

NET CHANGE IN FUND BALANCES

Debt service as a percentage ofnoncapital expenditures

2007

S 107.347,430159,512,971

7,176.776499,523

14,557,040

161,556,5523,873,354

12,383,41871,103,455

538.010,519

137,007,51466,608,66448,161,869

25,299,58119.828,48210,675,71319,393,16413,104.28349,177,33926,918,28427,221,988

3,804,0708,139.026

21,882,970163,636

-477,386,583

60.623.936

18,627,781(23.627,781)

2006

$ 98,852,998156,104,231

4,012,708455.985

7,947,653

141,675,7233,692,262

14,628,36999,762,999

527,132,928

133.974,19260,728,88346,829,768

21,017,43117,743,07310,158,30918,343,53711,381,90846,130,57629,520,49826,480,077

3,273,2447,983,433

33,984,639163,636

-467,713,204

59,419,724

30,846,86!(30,846,861)

2005

S 94,212,705128,856,908

1,810,176498,571

8,640,248

122,712,3783,722,4419,351,153

58,200,057

428,004,637

115,310,62856,965,34141,891,932

19,698,07214,450,7449,395,121

17,855.83011,057,09746,857,40023,053,22425,953,662

2.860,9917,587,358

23,208,315837,106

5,610416.988,431

11,016,206

9,582,330(9.582.330)

2004

$ 88,593,016123,438,777

782.875501.648

8.021,981

118,772,9553,759,5508,458,456

52,595,311

404.924,569

109,252,99155,953,64338,240,184

19,718.69013,269,6829,427.68 1

17,573,34310,101,35553,489,97023,724,87925,089,361

2,650,94610.677,00517,361,099

800,83241.884

407,373,545

(2,448,976)

13.808,470(13,808,470)

2003

S 85,424,341128,970,873

1,090,254389,703

9,218,331

138,122,3843,919,550

10,111,88853,831,889

431.079.213

117,724,78557,854,43938,687,079

20,894,07814,148,8488,903,905

18,762,7889,658.645

56,665,24420,730,70027,488,135

2,527.,90612,388,97228,982.806

780.86961,847

436,261,046

(5,181,833)

11,160,708(11,160,708)

(5.000,000) -

S 55.623.936 S 59.419.724 S 11,016.206 S (2.448.97M $ (5.181.833)

0.04°, 0.04% 0.21% 0.22% 0.21%

Fiscal Year Ended June 30.2002

S 81,549,651125,380.879

1,934,468386.122

8,542.607

143,066.1713,934.7958,849,552

45,639,319

419,283,564

120,631,48752,392,76038,674,522

19,846,05213,149.3398,570.952

18,325,4647,306.641

35,217,88220,134,46426,175,1702,478,545

12,01 K10247.360.267

1,683,52570,299

424,028,471

(4,744,907)

5,736,826

(5,736,826)

2001

S 77.083.447122.957,238

3 J 79,9 1 8540,142

9,290,872

134.999,2463,864,7109,229,785

43,987,020

405,332,378

118,232,98450,874,39034,802,715

19,658,35814,622.4488,131,542

18,625,5138,284,913

50,088,72922,040,86824,339,4312,304,5249,910,798

13,529,395865,000

90,382396,401,990

8,930,388

5,835,380(5,835,380)

2000

S 72,591,567119,666,992

2,362,338468,224

7,310,303

138,394,1143,819.6289,221,641

40,923,935

394,758,742

120,125.20348,544,65735,088,720

18,771,52514,110,0538,905,724

17,027,7098.012,865

37,904,31718,534,61923.217.927

1,774,73010.639,8678.274,744

-949.587

371,882,247

22,876,495

10,972,585(10.972,585)

1999

S 67,387,30771,015,058

1,862,304482,772

9,458,194

142,060,8353,671,399

11,516.76238,363,943

345,818,574

111,232,41444,600,77035,002,475

15.602,75011,857,0756:889,220

17,603,2258,467,580

33,493,48417,037,64023,920,484

1,282,14010,770,5825,219,785

-1,051,782

344,03 1 ,406

1,787,168

3.575.929(3,575.929)

1998

$ 63.627.61361,754,604

2,035,517496,242

6,932,014

140,417,0523,731,737

11,335,71233,723,225

324,053.716

101,423,89639,856,98234,040,971

13, 1 3 J, 0957.432,3508,767,619

17,056,6156.647,451

35.853,99315,378.20221,601,065

797,486S,878,313

10,174,766-

2,934,215323,975,024

78,692

3,030,604(3.030,604)

$ (4,744.907) S 8,930,388 $ 22.876,495 S 1,787,168 $ 78.692

0.47% 0.25% 0.26%

- 103-

0.31% 0.94%

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge. Louisiana

ASSESSED AND ESTIMATED ACTUAL VALUE OF TAXABLE PROPERTYLAST TEN TAX YEARS

(December 31, 1997 through 2006)(Unaudited)

YearReal

Property

200f>

2005

2004

2003

2002

2001

2000

1999

1998

1997

$2,042,924,300

1,914,081,200

( I )

( I )

(1)

'• (1)

(1)

(1)

(0

0)

PersonalProperty

IndustrialProperty

PublicUtilities

Less:Homestead

Exempt Property

Total TaxableAssessed

Value

Parish of East Baton Rou^e

579,874,150

(1)

(1)

0)

(1)

(1)

(1)

(1)

(1)

297,409,100

(1)

(1)

0)

(1)

(1)

(1)

(1)

(1)

220,667,330

(1)

CD

(1)

(0

(1)

(1)

(1)

( I )

$620,821,750

612,224,400

(1)

(1)

(1)

(1)

(1)

(1)

(1)

(1)

$2,612,309,990

2,399,807,380

2,885,035,660

2,669,273,996

2,533,605,400

2,437,458,220

2,324,089,310

2,196,149,252

2,110,523,938

1,984,916,760

*Actual Valuation (Market Value) as Compared to Assessed Valuation

Residential properties are assessed at 10% of fair market value; other property and electric cooperative properties, excluding land,arc to be assessed at 15%: and public service properties, excluding land, are to be assessed at 25% of fair market value.The overall assessed value is estimated to be 11 % of actual market value.

**Exempl Properties

Does not include exempt assessed valuations as follows:

Total Exempt Properties

2006

(a) Manufacturing plants under a ten-year contract S 474,375,423(b) Churches, schools, and government buildings 74,284.288

2005

S 517,971,42966,713,950

$ 548,659,711 S 584,685,379

(1) Breakdown of assessed property unavailable for the years 1997 through 2004.

Source: Comprehensive Annual Finanical Report of City-Parish Government of Baton Rouge.East Baton Rouge Parish Assessor's Grand Recapitulation of theAssessment Roll for the Parish of East Baton Rouge.

- 104-

TotalDirect

Tax Rate-Millages

393.10

395.38

(1>

(1)

(1)

(1)

(1)

(1)

(1)

(1)

AssessedValue

$T>^ 131,740

3,012,031,780

2,885,035,660

2,669,273,996

2,533,605,400

2,437,458,220

2,324,089,310

2.196,149,252

2,110,523,938

1,984,916,760

Estimated ActualValue

Parish of East Baton Rouue

** $29,392,106,727

27,382,107,091

26,227,596,909

24,266,127,236

23,032,776,364

22,158,711,091

21,128,084,636

19,964,993,200

19,964,993,200

18,044.697,818

Ratio of Total AssessedValue to Total Estimated

Actual Value*

1 1 %

11

11

11

11

11

1 1

11

I I

11

Taxpayer

lixxonMobil Corporation

Entergy. Inc.

Georgia-Pacific Corporator

Bellsouth Communications(South Central Bell- 1997)

J P Morgan/Chase(Bank One- 1997)

Hihernia National Bank

Stale Farm Insurance

Wal-Mart

Baton Rouge Water Works

Formosa Plastics

Cilv National Bank(now Whitney National Ba

Belle of Baton Rouge

Poxon Polymer

EAST BATON ROUGE PARISH SCHOOL SYSTEM

1*

B.i ton Rouge, Louisiana

RINCIPAL PROPERTY TAXPAYERSCURRENT YEAR AND NINE YEARS AGO

Type of Business

Petroleum Products

Electric and Gas Utility

Pulp and Paper Products

Telephone Utility

Bank

Bank

Insurance

Retail Store

Water Utility

Plastics Manufacturer

BankilO

Gaming Riverboal

Plastic Manufacturer

(Unaudited)

December 3 1,2006

AssessedValuation (1) Rank

S 259,175,400 1

64.645,430 2

49,814,300 3

48,643,420 4

32,500,850 5

21,506,300 6

18,239,350 7

18,082,100 8

15,554,280 9

15,401,350 10

-

-_

$ 543.562.780

December 31. 1997Percentage Percentage

of Total • of TotalAssessed Assessed Assessed

Valuation Valuation (1) Rank Valuation

8.02 % $ 157,632,090 1 7.94 %

2.00 51,509,430 3 2.60

1.54 28,740,740 4 1.45

1.50 55,205,190 2 2.78

1.01 25,902,800 5 1.30

0.67 14,741,500 7 0.74

0.56

0.56

0.48 15,124.270 6 0.76

0.48

14,295,200 8 0.72

10,524,900 9 0.53

8,602,250 10 0.43

16.82 % S 382,278,370 19.25 %

(I) Source: East Baton Rouge Parish Assessor's Office

- 106-

The. East Baton Rouge Parish School System*does not discriminate on ^ "~

the basis of race, color, national,. V

origin, sex/handicap s

disability ;* \\ N <O^111 \ \ \ *-. ^^y

KAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

PROPERTY TAX RATES AND TAX LEVIES - DIRECT AND OVERLAPPING GOVERNMENTS (1)LAST TEN TAX YEARS

(December 31,1997 through 2006)(Unaudited)

City

Year Operating

MunicipalFire Salaries

andBenefits Operating

Parish

DebtService (2)

Mosquitoand

RodentTax

EmergencyMedicalServices

20062005200420032002

20012000199919981997

7.847.847.848.348.34

8.348.348.508.5U.8.50

TAX RATES (mills per dollar)

6.00 3.78 0.006.00 3.78 0.006.00 3.78 0.006.00 4.06 0.006.00 4.06 0.00

6.00 4.06 0.000.00 4.06 0.000.00 4.20 0.000.00 4.20 0.000.00 4.20 0.63

1.231.231.231.141.14

1.141.141.181.181.18

3.133.132.702.902.90

2.902.903.003.003.00

20062005200420032002

20012000199919981997

$11,052,85410,383,17810,067,32810,048,3919,622,772

9,412,8669,233,4098,924,9898,662,6508,253,582

$8;458,S177:946,3107;704,5877,229.0586,922,857

6.771,8460000

TAX LEVIES

$12,221,23811385,48010,905,43510,837,25210,286,438

9,896,0809,435,8039,223,8278,864,2018,336,650

$00000

0000

1.250,498

$3,976,7523,704,7993,548,5943,042,9722,888,310

2,778,7022.649,4622,591,4562,490,4182,342,202

$10.119,7029,427,6597,789,5967,740,8957,347,456

7,068,6296,739,8596,588,4486,331,5725,954,750

The tax levies represent the original lew of the Assessor and include the homestead exemption amount.

All taxes are hilled when assessment rolls are filed during the month of November of the current tax year. Taxes become delinquenton January I of the following year. Penalty for delinquent taxes is 15% per annum. No discounts are allowed for taxes, and there isno provision for partial payments.

Taxpayers who have not paid their taxes by January 2 of each year are notified by the Sheriff through registered mail that all taxesmust be paid within 20 days from the date of notice. After expiration of the 20th day, the Sheriff shall sell the least quantity of propertyof any debtor which any bidder will buy for the amount of taxes, interest and cost due.

By agreement, the East Baton Rouge Parish Sheriff is the tax collector for City property taxes and receives a commission of 4.5% oftotal taxes collected for the City. The Sheriff, as provided by State Law. is the official tax collector of general property taxes levied bythe Parish and Parish Special Districts.

- 107-

LibraryBoard ofControl

SchoolDistrict

RecreationandPark

LawEnforcement

District

Assessor'sSalary andExpense

Fund Total

TAX RATES (mills per dollar^

11.109.979.97

10.7210.72

10.7210.7211.1011.1011.10

43.4543.4543.4543.4543.45

43.4543.4543.4543.4543.45

14.4614.4610.9510.9510.95

10.9510.9510.9510.9510.95

14.9914.9914.9914.9914.99

14.9914.9914.9914.9914.99

1.381.381.381.481.48

1.481.481.531.531.53

107.36106.23102.29104.03104.03

104.0398.0398.9098.9099.53

TAX LEVIES

535,887,76230,029,95728,763,80628,614,61727,160,250

26,129,55224,914,23724.377,25723,426,81622,032,576

$131,404.174122,414.442117,833,099109.279,071110.085,155

1 05,907,560100,981,68195,422,68691,702.26586,244,633

546,760,78443,563,01631,591.14029,228.55027,742,979

26.690,16825,448,77824.047,83423.110,23721,734,839

548,464,64545,150,35643,246,68540,012,41737.978,745

36,537,49934,838.09932.920,27731,636,75429,753,902

54,461,7224,156,6043,981,3493,950,5253,749,736

3,607.4383,439,6523,360,1083,229,1023,036.923

$312,808,450288,161,801265.431,619249,983,748243,784.698

234,800,340217,680,980207,456,882199,454,015188.940.555

(1) Not included are the following: Consolidated Road Lighting District No. I, Consolidated Garbage District No. 1, St. GeorgeFire Protection District, Alsen Fire Protection District, Brownsficld Fire Protection District, Central Fire Protection District,Fastside Fire Protection District, East Baton Rouge Parish Fire Protection District No. 6. Downtown Development District,Pontchartrain Levee District. Coniitc Diversion Canal. City of Baker and City of Zachary. These represent isolated areasthat affect less than a majority of City-Parish residents.

(2) Parishwidedebt.

Source: East Baton Rouge Parish Assessor's Grand Recapitulation of the Assessment Roll for the Parish of East Baton Rouge

-108-

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouse, Louisiana

PROPERTY TAX LEVIES AND COLLECTIONSLAST TEN TAX YEARS

(December 31, 1997 through 2006)(Unaudited)

Prior Year

FiscalYear

2006

2005

2004

2003

2002

2001

2000

1999

1998

1997

Total Tax Levy

( I )

S106.5S7.I11

97,879,939

93,630.316

85,891,174

85,045,134

81,264,695

76,759,889

71,821,605

68,642.992

63,713,890

Current TaxLevy

Collections (2)

S 104,083.137

95,541,833

91,569.038

85,598,317

82,718,422

78,653,814

74,426,059

70,189.060

66,837,246

61,865.128

Percent ofLevy

Collected

97.7

97.6

97.8

99.7

97.3

96.8

97.0

97.7

97.4

97.1

TaxCollections

(2)

S 765,344

930.848

525,940

860,045

706,402

996,909

818,601

706,666

220,648

1,445,784

Total Collections

(2)

$ 104,848,481

96,472,681

92,094,978

86,458,362

83,424.824

79,650,723

75,244,660

70,895,726

67,057,894

63,310,912

Ratio ofTotal

Collectionsto Tax Levy

98.4

98.6

98.4

100.7

98.1

98.0

98.0

98.7

97.7

99.4

"Total Tax Levy" represents the original levy of the Assessor, less the amount of homestead exemption,and is the amount to be paid by the taxpayer.

The amounts to be paid by the taxpayer are ultimately collected in full, except for adjustments due toassessment errors and delayed homestead exemptions. The amount paid by the State Treasurer forhomestead exemption is based on an appropriation formula by the Slate of Louisiana.

(2) Does not include 1% of collections required by law to be remitted to Teachers Retirement System

of Louisiana for credit of the School System.

- 109-

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

RATIOS OF OUTSTANDING DEBT BY TYPELAST TEN FISCAL YEARS

FiscalYear

2007

2006

2005

2004

2003

2002

2001

2000

1999

1998

Qualified ZoneAcademy Bond

Program Capital Leases

S 1 ,390,909 $

1 ,554,546

1,718,183

1,881,819 657,804

2,045,455 1,295.000

2,209,091 1,912,233

-

-

-

92,801

(Unaudited)

Compensated Certificates ofAbsences Indebtedness

$16,565,842 $

16,159,386

15,121,530

14,664,120

17,040,292

18,365,302

18,550,541 905,000

20,708,791 1.770,000

17,442,470 2,590,000

16,880,065 3,375,000

Total Debt (I)

S 17,956.751

17,713,932

16,839,713

17,203,743

20,380,747

22,486,626

19,455,541

22,478,791

20,032,470

20,347,866

Percentageof Persona!Income (2)

(3)

0.13%

0.13%

0.13%

0.16%

0.19%

0. 1 7%

0.20%

0.20%

0.21%

Debt PerCapita (2)

(3)

41

40

41

49

54

47

54

50

51

Debt PerStudent (2)

(3)

381

362

380

453

441

372

413

367

367

(1) Details regarding the School System's outstanding debt can be found in the notes to the basic financial statements.

(2) See Schedule of Demographic Statistics for personal income and population data.

(3) Information not available.

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

COMPUTATION7 OF LEGAL DEBT .MARGINLAST TEN TAX YEARS

(December 31,1997 through 2006)(Unaudited)

Year

2006

2005

2004

2003

2002

2001

2000

1999

1998

1997

AssessedValue

$3,233,131,740

3,012,031,780

2,885,035,660

2,669,273,996

2,533,605,400

2,437,458,220

2,324,089,310

2,196,149,252

2,1 10,523,938

1,984,916,760

Debt Limit of Thirty- Less: TotalFive Percent (35%) of Bonded

Assessed Value Debt

Parish of East Baton Rouge

$1,131,596,109 $

1,054,211,123

1,009,762,481

934,245,899

886,761,890

853,110,377

813,431,259

768,652,238

738,683,378

694,720,866

LegalDebt

Margin

SI, 131,596,109

1,054,211,123

1,009,762,481

934,245,899

886,761,890

853,110,377

813,431,259

768,652,238

738,683,378

694,720,866

(1) Legal debt limit of 35% is established by Louisiana Revised Statute Title 39. Section 562.

Source: Comprehensive Annual Financial Report of City-Parish Government of Baton Rouge.East Baton Rouge Parish Assessor's Grand Recapitulation of theAssessment Roll for die Parish of East Baton Rouge.

- Ml -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

COMPUTATION OF DIRECT AND OVERLAPPING DEBTDECEMBER 31. 2006

(Unaudited)

Gross DebtOutstanding

Amounts inDebt Service

Fund forPrincipal

Net DebtOutstanding

East Raton Rouge Parish School System:Qualified Zone Academy Bond Program

Overlapping Debt:City of BakerCity of ZacharyHospital Service District No. 1 (Lane

Memorial Hospital)St. George Fire Protection DistrictCentral Fire Protection District No. 4Eastside Fire Protection DistrictPort of Greater Baton RougeParish of East Baton Rouge

- LA Community Development AuthorityCity of Baton Rouge

- 2002A Variable Rate Taxable Refunding- 2002B Variable Rate Taxable Reloading- LA Community Development Authority

TOTAL DIRECT AND OVERLAPPING DEBT

1,390,909

913,0002,111,812

5,419,5872,128,5901,722.221300,000

6,870,000

7,557,222

23,305,00043,420,00018,228,441

111,975,873

425,052

1,781.390

791,737

2,998,179

$ 113,366,782 $ 2,998,179

$ 1,390,909

487,9482,111,812

3,638;1972,128,5901,722,221300,000

6,078,263

7,557,222

23,305,00043,420,00018,228,441108,977,694

S 110,368,603

Overlapping governments are those that coincide at least in part, with the geographic boundaries of the parish. Thisprocess recognizes that, when considering the government's ability to issue and repay long-term debt, the entire debtburden borne by the residents and businesses should be taken into account. However, this does not imply that everytaxpayer is a resident, and therefore responsible for repaying the debt, of each overlapping government. The percentageof overlapping debt applicable is estimated using assessed property values and calculated by determining the portion ofthe district's taxable assessed value within Hast Baton Rouge Parish and dividing it by the Parish's total taxable assessedvalue. The percentage is estimated (o be 37%.

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

DEMOGRAPHIC STATISTICSLAST TEN FISCAL YEARS

(December 31, 1997 through 2006)(Unaudited)

Population

(0

396,331

396,556

399;105

412,852 (2)

414,040

414,833

416,881

416,492

417,218

437,167

Per CapitaPersonal

Income (3)

$ 23,387

24,995

25,461

26,633

27,602

29,010

29,786

30,641

31,468

32,412

MedianAge (1)

29.9

29.9

29.9

31.5

31.5

31.5

30.4

31.5

31.9

33.5

Public SchoolEnrollment

56,135

55,507

54,518

54,448

52,317

50,961

44,997

45,266

46,459

46,462 (4)

UnemploymentRate (5)

5.1 %

4.3

3.7

4.2

4.9

5.0

5.8

5.0

5.6

3.4 (7)

UnemploymentLabor Market

Area (6)

5.3 %

4.6

4.0

4.8

5.5

5.6

6.5

5.4

5.3

3.4 (7)

Fiscal Year

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

All information is parishwide.

(1) Estimates - Louisiana Tech University for the U.S. Bureau of the Census

(2) Official U. S. Census

(3) Estimates - Bureau of Economic Analysis

(4) East Baton Rouge Parish School System - February 1, 2007 enrollment excludes pre-kindergarten.

(5) Louisiana Department of Labor - Benchmark rates for East Baton Rouge Parish only - These data aredisaggregated using claims for unemployment compensation and population sharing ratios which areapplied to present market area estimates and are valid only for the allocation of manpower revenue sharing

(6) Louisiana Department of Labor - Baton Rouge Metropolitan Statistical Area (MSA). Year 2004 and priorthe MSA includes East Baton Rouge, Ascension, Livingston, and West Baton Rouge Parishes. In 2005 theMSA was expanded to include East Feliciana, Iberville, Poinie Coupee, St. Helena and West FelicianaParishes. Baton Rouge serves as the focus of employment for many of the parishes that border it.

(7) Preliminary figures.

- 1 1 3 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

PRINCIPAL EMPI.OVKRSCURRENT YEAR AND NINE YEARS AGO

(December 31, 1997 and 2006)(Unaudited)

December 31, 2006 December 31, 1997

Employer

ExxonMobil Corporation

Abide Home Care SVC. LLC

West Telemarketing

Southern University- Baton Rouge

Port Hudson Pulp Mil l

Louisiana State University Medical Center(Karl K.. Long Medical Center)

Baton Rouge General Medical Center

Our Lady of the Lake RegionalMedical Center

Performance Contractors

Casino Rouge(Hollywood Casino)

Industry Type

Petroleum ProductsChemical ProductsPlastic Products

Home Health Care

Telemarketing

University

Paper Mill

Hospital

Hospital

Hospital

Construction

Riverboat Gaming

Numberof Employees

1.700

1,000

2,400

1.900

1,100

1.000

1,600

3.000

1.175

700

Percentof Total

0.8%

0.5%

1 .2%

0.9%

0.5%

0.5%

0.8%

1.4%

0.6%

0.3%

Employer

ExxonMobil Corporation

Louisiana State Government

Louisiana State University-Baton Rouge

East Baton Rouge Parish School Board

City-Parish Government

Baton Rouge General Medical Center

Our Lady of" the l,ake RegionalMedical Center

Walmart Stores, Inc.

Harmony Corporation

U.S. Post Office

Industry Type

Petroleum Products

Chemical ProductsPlastic Products

Government

University

Government

Government

Hospital

Hospital

Retail

Construction

Government

Number of employees obtained from on-line database -ReferenceUSA (an infbUSA company). East Baton Rouge Parish Library1. Information notavailable tor 1997.

Employer list obtain from the Louisiana Department of Labor (https://www.vohost.com).

Tile total number of employees in East Baton Rouge Parish al December 2006 was 207,607.

- 114-

EAST BATON ROUGE PARISH SCHOOL SYSTEM

EXPENDITURESCurrent:

Instruction:Regular education programs

Special education programs

Other education programs

Support:Pupil support services

Instructional statTservices

General administration services

School administration services

Business and central services

Plant operations and maintenance

Transportation

Child nutrition

Appropriation-Charier schools

Settlement agreement

Facility acquisition and construction

Debt service - Principal

Debt service - Interest

Total

Pupil count - October 1

Average expenditures per pupil

B n ton Rouge. Louisiana

GENERAL FUND EXPENDITURES BY FUNCTIONLAST TEN FISCAL YEARS

(modified accrual hasis of accounting)(Unaudited)

Fiscal Year Ended June 30,2007

$ 116,417,27836.0%

51,145,98115.8%

12.81KH34.0%

16,517,3735.1%

9.976,3743.1%

9,834,6553.0%

17,557,6615.4%

10,585,1203.3%

43,005,52113.3%

23,754,9887.3%

0.0%

3,535,0591.1%

8,139,0262,5%

39,1770.0%

163,6360.1%

0.0%

$ 323,482,962

2006

S 105,226,19434.7%

48,894,35916.1%

11,677,5873.9%

15,028,3515.0%

8,839,6902.9%

9,400,2453.1%

16,627,8685.5%

9,029,2613.0%

39,786.18113.1%

27,219,2389,0%

0.0%

3,022,3081.0%

7,983,4332,6%

150,9680,0%

163,6360,1%

0.0%

5303,049,319

2005

$ 99,170.53835.0%

46,891,45416.5%

12,022,9154.2%

14.850,9915.2%

7,950,7642.8%

8,769,7433.1%

16,414,1815.8%

9,003,4683.2%

37,235,04913.1%

20,836,4957.3%

0.0%

2,632.2230.9%

7,587,3582.7%

0.0%

337,1060.1%

5:6100.0%

S 283,707,895

2004

S 93,200,60533.0%

47,046,00016.6%

11,551,4974.1%

14,609,7995.2%

7,501,3202.7%

8.809,8193.1%

16,332,9595.8%

8,378,4453.0%

39,573,98514.0%

22,348,2757.9%

0.0%

2,430,2120.9%

10,677,0053.8%

0.0%

300,8320.1%

41,8840.0%

S 282.802,637

2003

S 101,972,95734.9%

47,609,38416.3%

12,315,1824.2%

15,531,8795.3%

7,767,2002.7%

8,277,8872.8%

17,476,4486.0%

8,715,3603.0%

38,382,66213.1%

19,188,2176.6%

0.0%

2,335,6200.8%

12,388,9724.2%

0.0%

280,8690.1%

61.8470.0%

S 292,304,484

46,462

6,962 $

46,459

6.523

45,266 44.997 50.961

6,268 S 6.285 $ 5,736

- 1 1 5 -

Fiscal Year Ended June 30.2002

S 104.497,03636.8%

44,689,68015.7%

12,560,7204.4%

15,325,6835.4%

7,773,2002.7%

7.968.7092.8%

17.125,9466.0%

6,677,2962.4%

33,014.0601 1 .6%

18,855,8836.6%

0.0%

2,286,9510.8%

12,011,1024.2%

-0.0%

1,183,5250.4%

70.2990.0%

S 284,040,090

2001

$ 103,440,14535.5%

43,009,88814.8%

12,717,3044.4%

15,212,9425.2%

10,005,7543.4%

7,468,0472.6%

17,219,6045.9%

7,691,5222.6%

39,082,22813.4%

21,090,4647.2%

0.0%

2,304,524U.8%

9,910,7983.4%

1,259,2180.4%

865,0000.3%

90,3820.0%

S 29 1,367,820

2000

S 107,332,93637.5%

41,753,77214.6%

12,618,1534.4%

14,679,2495.1%

9,362,2643.3%

7.257,4912.5%

1 7,027,7095.9%

7,437,0852.6%

34,366,78712.0%

17,428,5376.1%

0.0%

1,608,8120.6%

10,639.8673.7%

4,084,6161.4%

820,0000.3%

129,5870.0%

S 286,546,865

1999

S 106,151.61037.3%

41,346,59314.5%

14,028,8464.9%

13,745,2104.8%

9,273,8963.3%

6,782,7352.4%

17.603,2256.2%

7,591,9912.7%

33,234,697M.7%

I6.8'45,4435.9%

0.0%

1,282,1400.4%

10,770,5823.8%

5,219,7851.8%

877,8010.3%

173,9810.1%

S 284.928,535

1998

S 101,423.89637.2%

39,856.98214.6%

12,609,8244.6%

13,131,0954.8%

7,432,3502.7%

6,679,5452.5%

17,056,6156-3%

6,647,4512.4%

35,199,59812.9%

15,378.2025.6%

0.0%

776.7670.3%

8,878,3 IS3.3%

4.515,9991.7%

2.440,2160.9%

493,9990.2%

S 272,520,857

52,317 54,448 54,518 55,507 56,135

$ 5.429 S 5.351 S 5,256 S 5.133 S 4.855

KAST BATON ROUGE PARISH SCHOOL SYSTEM

EXPENDITURESCurrent:

fnstruetion:Regular education programs

Special education programs

Other education programs

Support:Pupil support services

Instructional staff services

General administration services

School administration services:

Business and central services

Plant operations and maintenance

Transportation

Child nutrition

Appropriation-Charter schools

Settlement agreement

Facility acquisition and construction

Debt service - Principal

Debt service - Interest

Total :

Pupil count - October I

Baton Rouge. Louisiana

GENERAL FUND EXPENDITURES BY FUNCTION PER PUPJLLAST TEN FISCAL YEARS

(modified accrual basis of accounting)(Unaudited)

Fiscal Year Ended June 30,2007

$ 2,506 $36.0%

1,10115.8%

2764.0%

3555.1%

215

3.1%

cs 2123.0%

s 3785.4%

2283.3%

incc 92613.3%

5117.3%

0.0%

76

1.1%

1752.5%

1

0.0%

4

0.1%

0.0%

$ 6,962 S

46,462

2006

2,265 S34.7%

1,05216.1%

2513.9%

3235.0%

1902.9%

2023.1%

3585.5%

1943.0%

856

13.1%

5869.0%

0.0%

651 .0%

1722.6%

30.0%

4

0.1%

0.0%

6,523 S

46,459

2005

2,191 $35.0%

1,03616.5%

2664.2%

3285.2%

1762.8%

1943.1%

3635.8%

1993.2%

82313.1%

4607.3%

0.0%

580.9%

1682.7%

0.0%

7

0.1%

0

0.0%

6,268 $

45,266

2004

2,071 133.0%

1,04616.6%

2574.1%

3255.2%

1672.7%

1963.1%

3635.8%

1863.0%

87914.0%

4977.9%

0.0%

540.9%

2373.8%

0.0%

7

0.1%

1

0.0%

6,285 5

44,997

2003

» 2,00134.9%

93416.3%

2424.2%

3055.3%

1522.7%

1622.8%

3436.0%

1713.0%

75313.1%

3776.6%

0.0%

460.8%

2434.2%

0.0%

60.1%

10.0%

; 5,736

50,961

- 1 1 7 -

Fiscal Year Ended June 30.2002

$ 1,997 $36.8%

85415.7%

2404.4%

2935.4%

1492.7%

1522.8%

3276.0%

1282.4%

6311 1 .6%

3606.6%

0.0%

440.8%

2304.2%

0.0%

230.4%

I0.0%

S 5,429 $

52,317

2001

1 ,90035.5%

79014.8%

2344.4%

2795.2%

1843.4%

1372.6%

3165.9%

1412.6%

7 I R13.4%

3877.2%

0.0%

420.8%

1823.4%

230.4%

16

0.3%

2

0.0%

5.351

54,448

2000

$ 1 ,969 $37.5%

76614.6%

2314.4%

2695.1%

1723.3%

1332.5%

3125.9%

1362.6%

63012.0%

3206.1%

0.0%

30

0.6%

L953.7%

751.4%

150.3%

2

0.0%

$ 5.256 $

54,5 1 8

1999

1,912 $37.3%

74514.5%

2534.9%

2484.8%

1673.3%

1222.4%

3176.2%

1372.7%

59911.7%

3035.9%

0.0%

230.4%

1943.8%

941.8%

160.3%

3

0.1%

5,133 S

55,507

1998

1,80737.2%

710!4.6%

2254.6%

2344.8%

1322.7%

1192.5%

3046.3%

1182.4%

62712.9%

2745.6%

0.0%

140.3%

1583.3%

801.7%

430.9%

90.2%

4.S55

56,135

- 1 1 8 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

FULL-TIME EQUIVALENTS (FTE) EMPLOYEESLAST TEN FISCAL YEARS

(Unaudited)

Regular Employees: CERTIFICATEDInstructional:Supervising Intruders

Classroom Teachers - Regular ProgramsClassroom Teachers - Special EducationClassroom Teachers - Vocational EducationClassroom Teachers - Other Instructional ProgramsClassroom Teachers - Special ProgramsClassroom Teachers - Adult/Continuing Ed ProgramsClassroom Teachers - Community College Programs

Total Classroom Teachers

Therapist/Specialisl/Counselor - Instructional ProgramsSabbatical Leave - Instructional Programs

Total Certifcated - Instructional Progams

Instructional Support:Supervisors - Instructional Support FunctionsLibrarians/Media-based Teachers/Staff instructors - Instr SptI r

Thcrapist/Specialist/Counselor - Instructional Support FunctionsSabbatical Leave - Instructional Support Functions

Total Certificated - Instructional Support

Support Services:SuperintendentsAssistant/Associate/Deputy SuperintendentsSchool PrincipalsSchool Assistant PrincipalsOther School AdministratorsNon-Classroom Teachers - Support ServicesSabbatical Leave - Support Services

Total Certicated - Support Semices

Total Certificated

- 119-

Fiscal Year2007

4.0

2,193.0648.0107.0

4.0244.0

8.026.0

3,230.0

66.030.0

3,330.0

74.092.0

382.09.0

557.0

1.0

95.062.0

1.0159.0

4,046.0

2006

3.0

2,227.9646.4110.2

1.0265.6

8.027.0

3.286.1

37.926.0

3,353.0

69.091.6

356.06.0

522.6

1.0

93.055.5

3.0152.5

4.028.1

2005

3.0

2,062.6619.7120.9

3.0231.0

12.021.0

3.070.2

127.240.0

3,240.4

54.594.9

249.83.0

402.2

94.056.0

4.0154.0

3.796.6

2004

5.0

2,090.0649.0126.0

12.0237.0

9.023.0

3.146.0

129.027.0

3.307.0

53.0100.0245.0

2.0400.0

1.0

98.053.0

2.0154.0

3.S61.0

Fiscal Year2003

6.0

2,410.7701.0147.023.0

243.09.0

25.03.558.7

136.039.7

3.740.4

56.0109.0275.0

4.0444.0

1.0

105.066.0

1.0173.0

4,357.4

2002

7.0

2,518.0668.0146.099.0

136.010.0

3,577.0

129.039.0

3,752.0

46.0104.0263.5

7.0420.5

1.0

105.064.0

2.0172.0

4.344.5

2001

7.0

2,646.0707.0149.046.0

198.04.0

3,750.0

109.036.0

3,902.0

58.0108.0200.0

3.0369.0

1.0

103.072.0

1.0

177.0

4,448.0

2000

6.0

2,689.0686.0174.062.0

157.06.0

3,774.0

111.0

3,891.0

59.0109.0200.0

368.0

1.0

104.071.0

176.0

4.435.0

1999

16.0

2,593.0659.0153.058.0

139.05.0

3,607.0

110.072.0

3,805.0

44.0111.0224.0

10.0389.0

1.0

101.076.0

3.0181.0

4,375.0

1998

2.0

2,445.7635.6156.848.0

145.95.0

3.437.0

103.092.0

3,634.0

51.0113.0253.0

6.0423.0

1.0

107.073.0

5.0186.0

4.243.0(continued)

- 120-

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

FULL-TIME EQUIVALENTS (FTE) EMPLOYEESLAST TEN FISCAL YEARS

(Unaudited)(Continued)

Regular Employees: NON-CERTIFICATEDInstructional:

Aide - Instructional ProgramsTotal Non-Certificated - Instructional Programs

Instructional Support:Supervisors - Instructional Support FunctionsTherapist/Specialist/Counselor - Instructional Support FunctionsClerical/Secretarial - Instructional Support FunctionsAide - Instructional Support FunctionsService Worker - Instructional Support FunctionsSkilled Craftsman - Instructional Support FunctionsDegreed Professional - Instructional Support FunctionsOther Personnel - Instructional Support Functions

Total Non-Certificated - Instructional SupportSupport Services:Supervisors/Managers/Administrators/Support ServicesClerical/Secretarial - Support ServicesAide - Support ServicesService Worker - Support ServicesSkilled Craftsman - Support ServicesDegreed Professional - Support ServicesOther Personnel - Support Services

Total Non-Certificated - Support Services

Total Non-Certificated

Total Regular Employees (Certificated and Non-Certificated)

Other Reported PersonnelSchool Board Member

Total Other Reported Personnel

Grand Total

- 121 -

Fiscal Year2007

605.0605.0

59.07.0

1.057.0

124.0

131.0244.0

58.01.065.0

28.017.057.0

1,600.0

2006

632.5632.5

55.82.0

1.048.6

107.4

135.0241.6

54.0953.8

30.018.053.2

1,485.6

2005

596.8596.8

51.8

2.037.591.3

130.0238.6

56.0913.0

29.017.042.3

1.425.9

2004

641.0641.0

78.0

27.038.0

143.0

154.0260.0

61.01,298.0

142.017.036.0

1,968.0

2,329.0 2,225.5 2,114.0 2,752.0

6,375.0

13.013.0

6.388.0

6,253.6

12.012.0

6,265.6

5,910.6

13.013,0

5,923.6

6,613.0

11.011.0

6,624.0

Fiscal Year2003

673.3673.3

78.0

28.028.0134.0

165.0291.060.0

1,367.0151.017.038.0

2,089.0

2002

637.0637.0

76.0

30.037.0143.0

166.0284.056.0

1,415.0153.011.030.0

2,115.0

2001

709.0709.0

1.0

75.0

27.040.0143.0

170.0306.057.0

1,454.0164.016.035.0

2.202.0

2000

620.0620.0

1.0

50.02.0

25.066.0144.0

155.0324.045.0

1,474.0153.018.030.0

2,199.0

1999

534.0534.0

1.0

74.09.0

29.053.0166.0

149.0279.046.0

1,566.0165.012.050.0

2,267.0

1998

527.0527.0

1.0

67.04.01.03.031.032.0139.0

160.0281.032.0

1,415.0195.09.0

43.02,135.0

2,896.3 2,895.0 3,054.0 2,963.0 2,967.0 2,801.0

7,253.7

11.011.0

7,264.7

7,239.5

13.013.0

7,252.5

7,502.0

13.013.0

7,515.0

7,398.0

13.013.0

7.411.0

7,342.0

12.012.0

7,354.0

7,044.0

14.014.0

7,058.0(concluded)

- 122 -

N

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge.

BOARD MEMBERS'JUNE 30

Louisiana

COMPENSATION,2007

(Unaudited)

Compensationame Base(l)

Arbour, Gerald "Jerry" S 9,600

Augustine, Jo

Baldwin, Grej

Black, Williai

Devall. Daltoi

Dyason, Jill

Hammatt, No<

Haynes-Smith

Kelley, Ingrid

Lee, Vereta

Pratt, Warren

Robertson, Da

Sanford, Juani

Smith, Tarvalt

Spell, Darrick

Thornton, Cla

nathan 4,800

;ory 4,800

n 9,600

i 3,688

9,600

;1 9;600

, Patricia (2) 10,800

-

4,800

-

rryl L. 9,600

ta 840

1A. 9,600

4,800

•ence

$ 92:12S

AdditionalCompensation (3)

$ 95 $

40

-

-

138

471

-

104

41

143

30

360

94

.

49

3

S 1,568 $

Total

9,695

4,840

4,800

9,600

3,826

10,071

9,600

10,904

41

4,943 '

30

9,960

934

9,600

4,849

3

93,696

Notes:

(1) Base compensation per member is S800 per month.

(2) Presiding President of the Board receives $900 per month in base compensation.

(3) Each board member is reimbursed for mileage @ .34 cents per mile.

- 1 2 3 -

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

PERCENT AGE OF

School Year

1997-1998

1998-1999

1999-2000

2000-2001

2001-2002

2002-2003

2003-2004

2004-2005

2005-2006

2006-2007

FREE AND REDUCED STUDENTS INLAST TEN FISCAL

(Unaudited)

Free

52.36%

50.17%

56.10%

57.52?/o

59.78%

60.97%

66.01%

68.14%

72.38%

67.35%

YEARS

Reduced

7.36%

7.53%

7.25%

7.73%

7.55%

7.84%

7.21%

7.24%

6.05%

6.51%

LUNCH PROGRAiV

Total

59.72%

57.70%

63.35%

65.25%

67.33%

68.81%

73.22%

75.38%

78.43%

73.86%

-124-

SchoolYear

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge, Louisiana

HISTORY OF HIGH SCHOOL GRADUATESLAST TEN FISCAL YEARS

(Unaudited)

Females Males Total

1,582 1,263 2,845

1,497 1,194 2,691

1,579 1,244 2,823

1,543 1,292 2,835

1,550 1,265 2,815

1,656 1,437 3,093

1,237 1,051 2,288

1,203 1,091 2,294

1,363 1,053 2,416

1,338 1,046 2,384

- 125-

•'

*

*

•

*

•

*

••

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Ron izt\ Louisiana

CAPITAL ASSET INFORMATIONJUNE 30. 2007

(Unaudited)

Elementary Schools

SchoolsAudubonBanksBaton Rouge Center VPABellair MontessoriBellingralh HillsBernard TerraceBroadmoorBrookstownBrnwnlleldsBuchananCedarcrestClai borneCrestworthDal tonDelmontDufrocq MomessoriEden ParkForest HeightsGlen Oaks ParkGreenbriarGreenvilleHighlandHo well ParkJefferson TerraceLaBellc AireLanierLaSalleMagnolia WoodsMay fairMel roseM CITY dakNorth HighlandsNortheastParkPark ForestParkviewPolkProgressRiveroaksRoscnwald PK CenterRyanScotlandvilleSharon Mills

YearOpened

1967195119541951196619271954194819561955196719541968195519551923I96019731973196019591940195519581973195819551963196219551968192420021955197619741960195919681927196919511964

SquareFootage

36.07532.44338.32636,73237,12045,50746.71747,60240,10156.81841,93737,80536,15738.98542,27936,97732,08243.19545,80136.34345.27841,67937,68343.70165,80943,64736,36236,55929,50933,37835,42949.897

100,00036,02434.99637,55839.10437.44638,36814,52438,57672,56740:957

Square Footagewith Covered

Walkways45,32644,00146.08856,35444,93045,73556,47253.05251,17658,82949,36349,80740,49252.63645,94837,38532,08247.88353,30550,43258,62841,67950,68345,94975,87248,39348.27261,97941,32440.74639,59954.547

100,00044,80746,94347.92842,71355,25341.96814.52450,90678,63359,105

Acreage8.0

10.016.05.0

13.08.0

20.010.012.08.07.08.0

15.09.07.0

10.04.0

10.09.09.07.07.0

13.07.08.0

10.08.08.0

12.08.0

15.04.0

23.027.010.08.03.0

17.010.02.0

11.015.01 0.0

Classrooms(2)

212224202420242525232422212121n2025252130212224342319211615221941252924182423

7213121

Capacity(2) "

446468510425510425510531531489510468446446446361425531531446638446468510723489404446350319468404871531616510383510489140446659446

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouse, Louisiana

CAPITAL ASSET INFORMATIONJUNE 30, 2007

(Unaudited)(Continued)

Elementary Schools(Continued)

SchoolsSheiiuiidoahSouth BoulevardTanglewoodTwin OaksUniversity TerraceVilla del RevWcdgewoodWcsldalcWestminsterWhite HillsWildwoodWinbcmmcWyandotle

Totals

Y.;arOpened

197219051971197419561959197719591967I960196919481925

SquareFootage

41,41628,60649,29238,94650,04344,53554,49041,09337,71034,17238,62037,73111,945

2.306.652

Square Footagewith Covered

Walkways41,41632,11957,76549,65258,04462,77555,64247,50244,36087,50139,26653,95011,945

2,793,684

Acreage7.02.0

. 9.07.09.0

16.013.011.031.011.07.0

12.04.0

580.0

Classrooms(2)

2112282422212821212122179

1,242

Capacity(2) "

446255595510468446595446446446468361180

26.383

.Junior High/Middle Schools

SchoolsBroadrnoorCapitolCentralCreslwoithCrestworth EngineeringGlasgowGlen OaksKcnil worthMcKinleyPark ForestPrescotiSherwoodSoutheastWesldaleWoodlawn

YearOpened

196120041949196819641955195519732006196819551967197419562006

SquareFootage

80,386112,500102,52884,13829,81661,409

100,60497,206

114,00097,19093,83692,290

103,0 IS88,556

114,000

Square Footagewith Covered

Walkways121,605112,5001 29,09392,74137,14261,409

129,46498,716

119,400116,540104,61898,370

104,728114,226114,000

Acreage14.020.047.015.010.021.019,022.012.017.023.042.032.024.030.0

Classrooms(2)

374340331626433540364543383843

Capacity(2) "

800950875725350575950775875800

1,000950825825950

Totals 1,371.477 1.554,552 348.0 556

- 127-

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rou«e1 Louisiana

CAPITAL ASSET INFORMATIONJUNE 30. 2007

(Unaudited)(Continued)

High Schools

SchoolsBaton RougeBclaireBroiidmoorCapitolCentralGlen Oaks[stroumaMcKinelyNortheastRobert E. LccScotlandvilleTaraWood lawn

Totals

YearOpened

1928197419601960197819601947196120031959196019702005

SquareFootage

172,677157.772153,077133.187168,640186,066233,761155,625138,500131,166153.191152,120186,500

2,122,288

Square Footagewith Covered

Walkwavs172,677160,424204,321140,212197,122258,925257.930174,913146,564189,079179,715186,967207.750

2,476,599

Acreage19.035.032.040.032.040.030.028.050.026.035.024.057.0

448.0

Classrooms(2)

55625160545262564344535759

708

Capacity(2)

1.2001.3501,1251,3251,1751,1501,3501,225

950975

1,1751,2501,300

15,550

Snccial Education

SchoolsArlington Prep AcademyB.R. Prep AcademyMohican Education CenterSoulhdownsWilmaC. Montgomery

Totals

YearOpened

19501950195619491980

SquareFootage

20.88932,99531,89134.92932.400

153,104

Square Footagewith Covered

Walkwavs22,51932,99545,49241,81851,824

1 94,648

Acreage10,09.0

10.015.03.2

47.2

Classrooms(2)

131815182084

Capacity(2)

275400225383425

1,708

Alternatives

SchoolsNorthdale Magnet AcademyChrisia MeAuliffc - Adult Ed.Staring Educational Center ( 1 )Valley Park Ccntev

Totals

YearOpened

19591966

1967

SquareFootage

37,76939,997

89.082166.848

Square Footagewith Covered

Walkways52,54476.048

89,082217,674

Acreage16.01 1 . 1

23.050.1

Classrooms(2)

2421

3479

Capacity(2)

525450

7501.725

EAST BATON ROUGE PARISH SCHOOL SYSTEMBaton Rouge. Louisiana

CAPITAL ASSET INFORMATIONJUNE 30. 2007

(Unaudited)(Continued)

Charter Schools

SchoolsChildren's CharterCommunity SchoolJ.K.. Haynes Charter Schoc

To

YearOpened

19241961

1 1956tals

SquareFootage

23,71721,42844,98690,131

Square Footagewith Covered

Walkways23,71721,42855.536

100,681

Acreage2.05.0

11.018.0

Classrooms(2)

127

2241

Capacity(2)

255150468873

(1) Facility not owned by East Baton Rouge Parish School System, the properly is leased.(2) Does not include temporary buildings at various school locations.

- 129-

RECEIVED nnLEGISLATIVE AUDITOR

ZOOTOEC26 WHO-US

EAST BATON ROUGE PARISH SCHOOL SYSTEM

REPORTS ON COMPLIANCE AND INTERNAL CONTROL

AND PERFORMANCE MEASUREMENT DATA

JUNE 30, 2007

TABLE OF CONTENTS

Reports on Compliance and Internal Control

Report on Internal Control Over Financial Reporting and on Complianceand Other Matters Based on an Audit of Financial StatementsPerformed in Accordance With Government Auditing Standards

Report on Compliance With Requirements Applicable to Each MajorProgram and Internal Control Over Compliance in Accordance WithOMB Circular A-133

Schedule of Expenditures of Federal Awards

Schedule of Findings and Questioned Costs

Summary Schedule of Prior Audit Findings

Performance Measurement Data

Independent Accountants' Report on Applying Agreed Upon Procedures

Performance Measurement Data Schedule Descriptions

General Fund Instructional and Support ExpendituresFor the Year Ended June 30, 2007

Education Levels of Public School Staff

Number and Type of Public Schools

Experience of Public Principals and Full-time Classroom Teachers

Public School Staff Data

Class Size Characteristics

Louisiana Educational Assessment Program (LEAP) for the 21sl Century

The Graduation Exit Exam for the 21st Century

The IOWA Tests

Exhibit A

Exhibit B

Exhibit C

Exhibit D

Exhibit E

Exhibit F

Exhibit G

Schedule 1

Schedule 2

Schedule 3

Schedule 4

Schedule 5

Schedule 6

Schedule 7

Schedule 8

Schedule 9

P&NFostlcthwaitc & Netterville EXHIBIT A

Page 1 of 2

www.pncpa.com

REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE ANDOTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN

ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS

East Baton Rouge Parish School SystemBaton Rouge, Louisiana

We have audited the financial statements of the East Baton Rouge Parish School System as of and for the year ended June30, 2007, and have issued our report thereon dated November 14, 2007. We conducted our audit in accordance withauditing standards generally accepted in the United States of America and the standards applicable to financial auditscontained in Government Auditing Standards, issued by the Comptroller General of the United States.

Internal Control Over Financial Reporting

In planning and performing our audit, we considered the East Baton Rouge Parish School System's internal control overfinancial reporting as a basis for designing our auditing procedures for the purpose of expressing our opinion on thefinancial statements, but not for the purpose of expressing an opinion on the effectiveness of the East Baton Rouge ParishSchool System's internal control over financial reporting. Accordingly, we do not express an opinion on the effectivenessof the East Baton Rouge Parish School System's internal control over financial reporting.

A control deficiency exists when the design or operation of a control does not allow management or employees, in thenormal course of performing their assigned functions, to prevent or detect misstatcments on a timely basis. A significantdeficiency is a control deficiency, or combination of control deficiencies, that adversely affects the entity's ability toinitiate, authorize, record, process, or report financial data reliably in accordance with generally accepted accountingprinciples such that there is more than a remote likelihood that a misstatemcnt of the entity's financial statements that ismore than inconsequential will not be prevented or detected by the entity's internal control.

A material weakness is a significant deficiency, or combination of significant deficiencies, that results in more than aremote likelihood that a material misstatement of the financial statements will not be prevented or detected by the entity'sinternal control.

Our consideration of internal control over financial reporting was for the limited purpose described in the first paragraph ofthis section and would not necessarily identify all deficiencies in internal control that might be significant deficiencies ormaterial weaknesses. We did not identify any deficiencies in internal control over financial reporting that we consider to bematerial weaknesses, as defined above.

Compliance and Other Matters

As part of obtaining reasonable assurance about whether the East Baton Rouge Parish School System's financial statementsare free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations,contracts and grants, noncompliance with which could have a direct and material effect on the determination of financialstatement amounts. However, providing an opinion on compliance with those provisions was not an objective of our auditand, accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance orother matters that are required to be reported under Government Auditing Standards.

8550 United Plaza Blvd. Suite 1001 • Baton Rouge, LA 70809 • Tel: 225.922.4600 • Fax: 225.922.4611

Page 2 of 2

This report is intended for the information of the East Baton Rouge Parish School System, management, federal and stateawarding agencies, and the Louisiana Legislative Auditor and is not intended to be and should not be used by anyone otherthan these specified parties. However, under Louisiana Revised Statute 24:513, this report is distributed by the LegislativeAuditor as a public document.

Baton Rouge, LouisianaNovember 14,2007

P&NPostlethwaite &L Netterville

A Professional Accounting Corporation

Associated Offices in Principal Ciiies of ihe Unilcd Sta'fis EXHIBIT I*

www.pncpa.com Page 1 of 2

REPORT ON COMPLIANCE WITH REQUIREMENTS APPLICABLE TO EACH MAJOR PROGRAMAND INTERNAL CONTROL OVER COMPLIANCE IN ACCORDANCE WITH OMB CIRCULAR A-133

East Baton Rouge Parish School SystemBaton Rouge, Louisiana

ComplianceWe have audited the compliance of the East Baton Rouge Parish School System with the types of compliance requirementsdescribed in the U. S. Office of Management and Budget (OMB) Circular A-133 Compliance Supplement that areapplicable to each of its major federal programs for the year ended June 30, 2007. The East Baton Rouge Parish SchoolSystem's major federal programs are identified in the summary of auditors' results section of the accompanying scheduleof findings and questioned costs. Compliance with the requirements of laws, regulations, contracts and grants applicable toits major federal programs is the responsibility of the East Baton Rouge Parish School System's management. Ourresponsibility is to express an opinion on the East Baton Rouge Parish School System's compliance based on our audit.

We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States ofAmerica; the standards applicable to financial audits contained in Government Auditing Standards, issued by theComptroller General of the United States; and OMB Circular A-133, Audits of States, Local Governments, andNon-PrqfitOrganizations. Those standards and OMB Circular A-133 require that we plan and perform the audit to obtain reasonableassurance about whether noncompliance with the types of compliance requirements referred to above that could have adirect and material effect on a major federal program occurred. An audit includes examining, on a test basis, evidenceabout the East Baton Rouge Parish School System's compliance with those requirements and performing such otherprocedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for ouropinion. Our audit does not provide a legal determination of the East Baton Rouge Parish School System's compliancewith those requirements.

In our opinion, the East Baton Rouge Parish School System complied, in all material respects, with the requirementsreferred to above that are applicable to each of its major federal programs for the year ended June 30, 2007.

Internal Control Over ComplianceThe management of the East Baton Rouge Parish School System is responsible for establishing and maintaining effectiveinternal control over compliance with requirements of laws, regulations, contracts and grants applicable to federalprograms. In planning and performing our audit, we considered the East Baton Rouge Parish School System's internalcontrol over compliance with requirements that could have a direct and material effect on major federal programs in orderto determine our auditing procedures for the purpose of expressing our opinion on compliance, but not for the purpose ofexpressing an opinion on the effectiveness of internal control over compliance. Accordingly, we do not express an opinionon the effectiveness of the East Baton Rouge Parish School System 's internal control over compliance.

8550 United Plaza Blvd. Suite 1001 • Baton Rouge, LA 70809 • Tel: 225.922.4600 • Fax: 225.922.4611

Page 2 of 2

A control deficiency in an entity's internal control over compliance exists when the design or operation of a control docsnot allow management or employees, in the normal course of performing their assigned functions, to prevent or detectnoncompliance with a type of compliance requirement of a federal program on a timely basis. A significant deficiency is acontrol deficiency, or combination of control deficiencies, that adversely affects the entity's ability to administer a federalprogram such that there is more than a remote likelihood that noncompliance with a type of compliance requirement of afederal program that is more than inconsequential will not be prevented or detected by the entity's internal control.

A material weakness is a significant deficiency, or combination of significant deficiencies, that results in more than aremote likelihood that material noncompliance with a type of compliance requirement of a federal program will not beprevented or detected by the entity's internal control.

Our consideration of internal control over compliance was for the limited purpose described in the first paragraph of thissection and would not necessarily identify all deficiencies in internal control that might be significant deficiencies ormaterial weaknesses. We did not identify any deficiencies in internal control over compliance that we consider to bematerial weaknesses, as defined above.

Schedule of Expenditures of Federal Awards

We have audited the basic financial statements of the East Baton Rouge Parish School System as of and for the year endedJune 30,2007, and have issued our report thereon dated November 14,2007. Our audit was performed for the purpose offorming an opinion on the basic financial statements taken as a whole. The accompanying schedule of expenditures offederal awards is presented for purposes of additional analysis as required by OMB Circular A-l 33 and is not a requiredpart of the basic financial statements. Such information has been subjected to the auditing procedures applied in the auditof the basic financial statements and, in our opinion, is fairly stated, in all material respects, in relation to the basic financialstatements taken as a whole.

This report is intended for the information and use of the East Baton Rouge Parish School System, management, federaland state awarding agencies and the Louisiana Legislative Auditor and is not intended to be and should not be used byanyone other than these specified parties. However, under Louisiana Revised Statute 24:513, this report is distributed bythe Legislative Auditor as a public document.

Baton Rouge, LouisianaNovember 14, 2007

EAST BATON ROUGE PARISH SCHOOL SYSTEMSCHEDULE OF EXPENDITURES OF FEDERAL AWARDS

FOR FISCAL YEAR ENDED JUNE 30, 2007EXHIBIT C

U.S. DEPT.

PROGRAM NAMEVocational Ed Carl Perkins Basic Grant '07Vocational Ed Carl Perkins Basic Grant FY2006 C/O '07Vocational Ed Carl Perkins Articulation Agreements '07Adult Ed- Federal Funds '06Adult Ed Federal English Language/Civics '06Adult Ed. Federal Funds '07Adult Ed. English Language Civics '07Adult Ed- Federal Supplemental State Grant '06Adult Ed. One Stop Centers '06Adult Ed. One Stop Centers '07Adult Ed. Federal Supplement '07Adult Ed. Federal Supplemental '07Adult Ed- State Grant Federal Funds Correction '06Title 1 State School Improvement '07Title 1 Part A -Basic '07Title 1 State School Improvement 04/05 '07TITLE 1 State School Improvement "A" '06Title 1 Part A - Basic '06Title 1 State Schoo! Improvement "C" '06Title 1 Part A - Basic '08Title 1 Part A Basic FY04 C/O '05Title I State School Improvement "B" '06Special Ed. Pre GED/Skills Options '07Special Ed. IDEA Part B '06Special Ed LA Assistive Technology Initiative '06Special Ed. IDEA District & School Improvement '07Special Ed IDEA District & School Improvement '06Special Ed. IDEA-Part B '07Special Ed. IDEA-Part B '08Special Ed. Grants to State '07Special Ed Preschool Flow-Through '06Special Ed Preschool Flow-Through '07Safe Schools/Healthy Students "B" '07 (1)Safe Schools/Healthy Students "F" '07 (1)Title IV - Safe & Drug-Free Schools & Communities '06Title IV - Safe & Drug-Free Schools & Communities '07Title I - Education for Homeless Children & Youth '06Title I - Education for Homeless Children & Youth '07Title V - Innovative Education Program Strategies '08Title V - Innovative Education Program Strategies '07Title II - Enhancing Education Through Technology '06Title (I - Enhancing Education Through Technology C/O '07Region II - EETT '07Title II - Enhancing Education Through Technology '07Title II - Enhancing Edu. Through Technology FY'05 C/O '06Title I - Comprehensive School Reform (CSRP) '06Title I Comprehensive School Reform - Cohort 3 '05Title I Comprehensive School Reform - Cohort 5 '07Special Ed. LASIG 03-04LSU- GEAR-UP '07 (4)LSU - GEAR-UP '07 (4)Reading First '07Reading First FY05/06 '07

OF EDUCATION

FEDERALCFDA

NUMBER84.04884.04884.04884.002A84.002A84.002A84.002A84.002A84.002A84.002A84.002A84.002A84.002A84.01 OA84.01 OA84.01 OA84.010A84.010A84.010A84.010A84.010A84.01 OA84.027A84.027A84.027A84.027A84.027A84.027A84.027A84.027A84.173A84.173A84.184L(1)84.184L(1)84.186A84.186A84.196A84.196A84.298A84.298A84.31 8X84.318X84.318X84.31 8X84.31 8X84.332A84.332A84.332A84.332A84.334A (4)84.334 (4)84.357A84.357A

GRANTORPROJECTNUMBER

28-07-02-1728-06-02-1 7-C28-07-AA-1728-06-44-1728-06-07-1728-07-44-1728-07-07-1728-06-21-1728-06-13-1728-07-13-1728-07-21-1728-06-44-1728-06-44-1728-06-TA-17S010A6001828-05-TI-1728-05-TA-17S010A05001828-05-ts-17S010A70018S010A06001828-05-TB-1728-06-SO-17H027A5003328-05-B6-1728-07-SD-1728-06-SD-17H027A60033H027A7003328-06-B3-17H173A050082H173A060082Q184L050416(1)Q184L050416(1)Q186A050019Q186A06001928-06-H1-1728-07-H1-17S298A70018S298A6001828-06-49-1728-06-49-17 C28-07-14-5228-07-49-1728-05-49-17 C28-05-T8-17C28-04-T6-17-C28-05-T10-17-C28-02-SP-17P334A060173(4)P334A000052 (4)28-07-RF-1728-07-RS-17

EXPENDITURES$ 737,949

153,83160

222,6568,218

439,96220,132

6,2014,4391,540

10,70924,09411,358

1,019,58320,229,565

57,76740,885

924,091945,326526,11121,47973,20012,868

2,804,68635,4299,927

30510,236,383

7,61647,99342,995

157,045627,691

1,766,0907,749

396,452(15,136)109,363

2,061137,59947,07678,96048,298

156,33551,501

166,3044,995

433,0327,463

173,7644,245

1,329,50285,071

Page 1 of 3

EAST BATON ROUGE PARISH SCHOOL SYSTEMSCHEDULE OF EXPENDITURES OF FEDERAL AWARDS

FOR FISCAL YEAR ENDED JUNE 30, 2007EXHIBIT C

Title 1Title 1Title 1Title 1Title 1Title 1Title 1Title 1Title 1

PROGRAM NAMEIII English Language Acquisition '06III English Language Acquisition '08II Student Influx '06III - English Language Acquisition '071 Part B - Mathematics and Science Partnerships '07II Part B - Mathematics and Science Partnerships '041 Part B - Mathematics and Science Partnerships '07II, Part A Teacher/Principal Training & Recruiting Fund '06II. Part A Teacher/Principal Training & Recruiting Fund '07

Katrina-Rita Homeless Program

FEDERALCFDA

NUMBER84.365A84.365A84.365A84.365A84.366B84.366B84.366B84.367A84.367A84.938B

GRANTORPROJECTNUMBER

T365050018T36507001828-06-S3-17T36506001828-06-MC-1728-04-MP-1728-05-MP-17S367A050017S367A06001728-06-IH-17

EXPENDITURES

23,2321,905

89,862284,21995,03149,529

395,27370,333

3,058,799131,644

TOTAL DEPT. OF EDUCATION 48,652,645

U.S. PEPT OF HEALTH AND HUMAN SERVICES

PROGRAM NAMETANF - Capitol Middle School '07TANF - Capitol Middle School '06TANF - Capitol Middle School '05TANF - Strategies to Empower People-STEP '07 TutitionTANF - Strategies to Empower People-STEP '07TANF Early Childhood Development Program '05HIPPY-YWCA'06(3)YWCA Early Head Start '06 (3)

FEDERALCFDA

NUMBER93.55893.55893.55893.55893.58893.55893.600 (3)93.600 (3)

GRANTORPROJECTNUMBER

63126361592161592128-07-ST-1728-07-EP-172280535N/A06CH7028/03 (3)

EXPENDITURES

36,39537,1618,688

3451,765

1,647,89333,285

231,819

TOTAL DEPT. OF HEALTH AND HUMAN RESOURCES 1,997,351

CORPORATION FOR NATIONAL AND COMMUNITY SERVICE

PROGRAM NAME

FEDERALCFDA

NUMBER

GRANTORPROJECTNUMBER EXPENDITURES

SERVE! Baton Rouge '06 (2)

TOTAL CORPORATION FOR NATIONAL SERVICES

94.006 (2) N/A 20,507

20,507

PROGRAM NAME

U.S. PEPT. OF AGRICULTURE

CFDANUMBER

PROJECTNUMBER EXPENDITURES

National School Breakfast ProgramNational School Lunch ProgramCommodities Program

TOTAL DEPT. OF AGRICULTURE

10.55310.55510.569

N/AN/AN/A

4,805,47913,474,4431.168.021

19,447,943

Page 2 of 3

EAST BATON ROUGE PARISH SCHOOL SYSTEMSCHEDULE OF EXPENDITURES OF FEDERAL AWARDS

FOR FISCAL YEAR ENDED JUNE 30, 2007EXHIBIT C

DEPARTMENT OF HOMELAND SECURITY

PROGRAM NAME

FEDERALCFDA

NUMBER

GRANTORPROJECTNUMBER EXPENDITURES

FEMA - Public Assistance Grants (5)

TOTAL DEPT. OF HOMELAND SECURITY

97.036 (5) N/A

DEPARTMENT OF LABOR

PROGRAM NAME

FEDERALCFDA

NUMBER

GRANTORPROJECTNUMBER

89,602

89,602

EXPENDITURESWorkforce Investment Act Adult Training '07

TOTAL DEPT. OF LABOR

17.267 28-07-TW-17

U.S. DEPT OF DEFENSE

PROGRAM NAME

FEDERALCFDA

NUMBER

GRANTORPROJECTNUMBER

3.855

3,855

EXPENDITURESARMYROTC(1)

TOTAL DEPT. OF DEFENSE

N/A N/A 720.441

720,441

TOTAL EXPENDITURES OF FEDERAL AWARDS

NOTE: All awards are passed through the State of Louisiana, Department of Education, except the following:(1) - Received directly from the federal agency(2) - Passed through the Louisiana Office of Lieutenant Governor, Louisiana Serve Commission(3) - Passed through the YWCA(4) - Passed through Louisiana State University(5) - Passed through the Louisiana Governor's Office of Homeland Security and Emergency Preparedness

See the accompanying notes to the schedule of expenditures of federal awards.

$ 70,932,344

Page 3 of 3

FAST BATON ROUGE PARISH SCHOOL SYSTEM

NOTES TO SCHEDULE OF EXPENDITURES OF FEDERAL AWARDSFOR THE YKAR ENDED JUNE 30, 2007

NOTE A - BASIS OF PRESENTATION

The accompanying schedule of expenditures of federal awards includes the federal grant activity of East Baton RougeParish School System and is presented on the modified accrual basis of accounting. The information in this schedule ispresented in accordance with the requirements of OMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations. Therefore, some amounts presented in this schedule may differ from amounts presented in, or usedin the preparation of, the basic financial statements.

NOTE B - FOOD DISTRIBUTION

Nonmonctary assistance is reported in the schedule at the fair market value of the commodities received and disbursed.During the year ended June 30, 2007, the School System received commodities valued at $1,168,021. At June 30, 2007,the organization had food commodities totaling $309,723 in inventory.

NOTE C - RECONCILIATION TO FINANCIAL STATEMENTS

Total Federal Award Expenditures per schedule $ 70,932,344Excess Revenue under Expenditures - TANF

Special Revenue Fund 171,111

Total federal revenue (all funds) inthe Statement of Revenues, Expenditures and

Changes in Fund Balance for the year endedJune 30,2007 S 71.103.455

EXHIBIT DPage 1 of3

EAST BATON ROUGE PARISH SCHOOL SYSTEMSCHEDULE OF FINDINGS AND QUESTIONED COSTS

YEAR ENDED JUNE 30, 2007

A. Summary of Auditors' Results

Financial Statements

Type of auditor's report issued: Unqualified

• Material weakness(es) identified?• Reportable condition(s) identified that are

not considered to be material weaknesses?

Noncompliance material to financialstatements noted?

Federal Awards

Internal control over major programs:

• Material weakncss(es) identified?• Reportable condition(s) identified that are

not considered to be material weaknesses?

.yes

yes

no

_x none reported

no

x no

_x none reported

Type of auditor's report issued on compliance for major programs: Unqualified

Any audit findings disclosed that are requiredto be reported in accordance with section 510(a)of Circular A-l 33? yes x no

EXHIBIT DPage 2 of 3

EAST BATON ROUGE PARISH SCHOOL SYSTEMSCHEDULE OF FINDINGS AND QUESTIONED COSTS

YEAR ENDED JUNE 30, 2007

Identification of major programs:

CFDA Numbers Name of Federal Program or Cluster10.553 National School Breakfast Program10.555 National School Lunch Program10.569 Commodities Program84.184L Safe Schools/Healthy Students

The threshold for distinguishing types A & B programs was program expenditures exceeding $2,127,970.

• The East Baton Rouge Parish School System was determined to be a low-risk auditcc.

B. Findings - Financial Statement Audit

• None

C. Findings and Questioned Costs - Major Federal Award Programs

• None

EXHIBITSPage 1 of 2

EAST BATON ROUGE PARISH SCHOOL SYSTEMSUMMARY SCHEDULE OF PRIOR AUDIT FINDINGS

84.93 8C - Hurricane Education Recovery Act Programs - Emergency Impact Aid

2006-1 Criteria: Funds were provided to the School System to assist with the cost of educating studentsdisplaced by Hurricane Katrina or Hurricane Rita during the school year 2005-2006 who wereenrolled in and attended a school within the System on each of four qualifying count dates.

Condition: The School System included a regular education student who did not attend a Systemschool during the 2005-2006 school year in two of its qualifying counts.

Questioned Costs: $3,000

Effect: The School System received funding for a regular education student who did not attend aSystem school for two of the qualifying count dates. The questioned costs above reflects only theknown questioned costs for students selected for our sample testing. Our testing revealed anerror rate of approximately 2% among our sample. The total population of regular educationstudent quarters is 15,688 at a reimbursement rate of $1,500 per student quarter.

Recommendation: The School System should contact its pass-through Agency regarding remedialefforts for the funds received.

Corrective Action: The School System contacted its pass-through Agency regarding remedialefforts and is in the process of repaying the questioned costs.

84.938C - Hurricane Education Recovery Act Programs - Emergency Impact Aid

2006-2 Criteria: Funds were provided to the School System to assist with the cost of providing specialeducation services to students with disabilities who were displaced by Hurricane Katrina orHurricane Rita during the school year 2005-2006 and who were enrolled in and attended a schoolwithin the System on each of four qualifying count dates.

Condition: The School System could not provide evidence of the delivery of special educationservices to ten displaced students who were designated by the pass-through Agency as studentswith disabilities.

Questioned costs: $9,375

EXHIBIT EPage 2 of 2

EAST BATON ROUGE PARISH SCHOOL SYSTEMSUMMARY SCHEDULE OF PRIOR AUDIT FINDINGS

2006-2 (continued)

Effect: The School System received special education funds for ten displaced students withdisabilities who did not receive special education services. The questioned costs above reflectsonly the known questioned costs for the students selected for our sample testing. Our testingrevealed an error rate of approximately 10% among our sample. The total population of specialeducation student quarters is 1,671 at a reimbursement differential (above regular educationstudents) of$375 per student quarter.

Recommendation: The School System should contact its pass-through Agency regarding remedialefforts for the special education funds received.

Corrective Action: The School System contacted its pass-through Agency regarding remedialefforts and is in the process of repaying the questioned costs.

P&NPosllethwaite & Netterville

A Professional Acco.jrving Corporation irVEJIDTT I?Associated Offices in Principal Cries of the United Slntes JlAHIBi 1 T

www.pncpa.com Paac 1 of 5

Independent Accountant's ReportOn Applying Agrced-Upon Procedures

To the Members of the

East Baton Rouge Parish School System

We have performed the procedures included in the Louisiana Governmental Audit Guide and enumeratedbelow, which were agreed to by the management of East Baton Rouge Parish School System and theLegislative Auditor, State of Louisiana, solely to assist users in evaluating management's assertions aboutthe performance and statistical data accompanying the annual financial statements of East Baton RougeParish School System and to determine whether the specified schedules are free of obvious errors andomissions as provided by the Board of Elementary and Secondary Education (BESE) Bulletin. Thisagreed-upon procedures engagement was performed in accordance with standards established by theAmerican Institute of Certified Public Accountants and applicable standards of Government AuditingStandards. The sufficiency of these procedures is solely the responsibility of the specified users of thereport. Consequently, we make no representation regarding the sufficiency of the procedures describedbelow either for the purpose for which this report has been requested or for any other purpose.

Our procedures and findings relate to the accompanying schedules of supplemental information and are asfollows:

General Fund Instructional and Support Expenditures and Certain Local Revenue Sources(Schedule 1)

Procedure #7;

We selected a random sample of 25 transactions and reviewed supporting documentation to determine ifthe sampled expenditures/revenues are classified correctly and are reported in the proper amounts amongthe following amounts reported on the schedule:

• Total General Fund Instructional Expenditures,

• Total General Fund Equipment Expenditures,

• Total Local Taxation Revenue,

• Total Local Earnings on Investment in Real Property,

• Total State Revenue in Lieu of Taxes,

• Nonpublic Textbook Revenue, and

• Nonpublic Transportation Revenue.

8550 United Plaza Blvd. Suite 1001 • Baton Rouge, LA 70809 • Tel: 225.922.4600 • Fax: 225.922.4611

EXHIBIT F

Page 2 of 5

Results of Procedure # /;

In performing the testing on the sample of expenditures/revenues, we noted no transactions that wereinappropriately classified or were recorded at an inappropriate amount.

Education Levels of Public School Staff (Schedule 2)

Procedure # 2

We reconciled the total number of full-time classroom teachers per the schedule "Experience of PublicPrincipals and Full-time Classroom Teachers" (Schedule 4) to the combined total number of full-timeclassroom teachers per this schedule.

Results of Procedure # 2:

No differences were noted between the number of full-time classroom teachers per schedule 4 andschedule 2.

Procedure # 3

We reconciled the combined total of principals and assistant principals per the schedule "Experience ofPublic Principals and Full-time Classroom Teachers" (Schedule 4) to the combined total of principals andassistant principals per this schedule.

Results of Procedure # 3

No differences were noted between the number of principals and assistant principals per schedule 4 andschedule 2.

Procedure # 4

We obtained a list of full-time teachers, principals, and assistant principals by classification as of October1st and as reported on the schedule. We traced a random sample of 25 teachers to the individual'spersonnel file to determine if the individual's education level was properly classified on the schedule.

Results of Procedure #4:

No differences were noted between the education levels of the full-time teachers, principals, and assistantprincipals per schedule 2 and the personnel files.

Number and Type of Public Schools (Schedule 3)

Procedure # 5

We obtained a list of schools by type as reported on the schedule. We compared the list to the schoolsand grade levels as reported on the National School Lunch Program (CFDA 10.555) application.

Results of Procedure # 5;

No differences were noted between the number of elementary schools per schedule 3 and the NationalSchool Lunch Program.

EXHIBIT F

Page 3 of 5

Experience of Public Principals and Full-time Classroom Teachers (Schedule 4}

Procedure H6

We obtained a list of full-time teachers, principals, and assistant principals by classification as of October1 and as reported on the schedule and traced the same sample used in procedure 4 to the individual'spersonnel file to determine if the individual's experience was properly classified on the schedule.

Results of Procedure # 6:

In our sample of 25 employees, no discrepancies existed between the aforementioned listing and theschedule.

Public Staff Data (Schedule 5)

Procedure # 7

We obtained a list of all classroom teachers including their base salary, extra compensation, and ROTC orrehired retiree status as well as full-time equivalency as reported on the schedule and traced a randomsample of 25 teachers to the individual's personnel records to determine if the individual's salary, extracompensation, and full-time equivalency were properly included on the schedule.

Results of Procedure # 7:

In our sample of 25 employees, no discrepancies existed between the aforementioned listing and theschedule.

Procedure # 8

We recalculated the average salaries and full-time equivalents reported in the schedule.

Results of Procedure # 8:

We noted no differences between the averages reported on the schedule and our calculations.

Class Size Characteristics (Schedule 6)

Procedure # 9

We obtained the "Class Size Data Reports", which are reports obtained from and produced by the StateDepartment of Education, and which serve as the source of information for completing schedule 6. Wetied the "Class Size Data Reports" into schedule 6. We then selected 10 individual schools' "Class SizeData Reports" at random.

EXHIBIT F

Page 4 of 5

For those schools, we obtained the "Inquire on Class Schedule Data Report1' from the State Department ofEducation computing network and selected one class from the reports at random. We obtained theteacher roll books for each class selected. Our sample ultimately consisted of 10 classes.

Results of Procedure # 9

Of the 10 classes tested, there were discrepancies in 6 classes:

Class discrepancy 1

Class discrepancy 2

Class discrepancy 3

Class discrepancy 4

Class discrepancy 5

Class discrepancy 6

Louisiana Educational

Class size per

Data Report

3

23

23

31

19

27

Assessment Program

Class size per

roll books

4

27

24

29

17

26

(LEAP) for the 21st Century (Schedule 7)

Procedure #10

We obtained test scores as provided by the testing authority and reconciled scores as reported by thetesting authority to scores reported in the schedule by the East Baton Rouge Parish School System.

Results of Procedure # 10:

No differences were noted.

The Graduation Exit Exam for the 21st Century (Schedule 8)

Procedure #11

We obtained test scores as provided by the testing authority and reconciled scores as reported by thetesting authority to scores reported in the schedule by the East Baton Rouge Parish School System.

Results of Procedure #] ]

No differences were noted.

EXHIBIT F

Page 5 of 5

The Iowa and /LEA? Tests (Schedule 9)

Procedure #12

We obtained test scores as provided by the testing authority and reconciled scores as reported by thetesting authority to scores reported in the schedule by the East Baton Rouge Parish School System.

Results of Procedure #12

No differences were noted.

We were not engaged to and did not perform an examination, the objective of which would be theexpression of an opinion on management's assertions. Accordingly, we do not express such an opinion.Had we performed additional procedures, other matters might have come to our attention that would havebeen reported to you.

This report is intended solely for the use of management of East Baton Rouge Parish School System, theLouisiana Department of Education, the Louisiana Legislature, and the Legislative Auditor, State ofLouisiana, and should not be used by those who have not agreed to the procedures and takenresponsibility for the sufficiency of the procedures for their purposes. Under Louisiana Revised Statute24:513, this report is distributed by the Legislative Auditor as a public document.

Baton Rouge, LouisianaNovember 14, 2007

EXHIBIT G

Page 1 of 2

EAST BATON ROUGE PARISH SCHOOL SYSTEM

BATON ROUGE. LOUISIANA

Schedules Required by State Law (R.S. 24:514 - Performance Measurement Data)

As of and for the Year Ended June 30, 2007

Schedule 1 - General Fund Instructional and Support Expenditures and Certain Local RevenueSources

This schedule includes general fund instructional and equipment expenditures. It also contains localtaxation revenue, earnings on investments, revenue in lieu of taxes, and nonpublic textbook andtransportation revenue. This data is used either in the Minimum Foundation Program (MFP) formula or ispresented annually in the MFP 70% Expenditure Requirement Report.

Schedule 2 - Education Levels of Public School Staff

This schedule includes the certificated and uncertificated number and percentage of full-time classroomteachers and the number and percentage of principals and assistant principal's with less than a Bachelor's;Master's; Master's +30; Specialist in Education; and Ph. D or Ed. D. degrees. This data is currentlyreported to the Legislature in the Annual Financial and Statistical Report (AFSR).

Schedule 3 - Number and Type of Public Schools

This schedule includes the number of elementary, middle/junior high, secondary and combination schoolsin operation during the fiscal year. This data is currently reported to the Legislature in the AnnualFinancial Statistical Report (AFSR).

Schedule 4 - Experience of Public Teachers and Full-time Classroom Teachers

This schedule includes the number of years of experience in teaching for assistant principals, principals,and full-time classroom teachers. This data is currently reported to the Legislature in the AnnualFinancial and Statistical Report (AFSR).

Schedule 5 - Public School Staff Data

This schedule includes average classroom teacher's salary using full-time equivalents, including andexcluding ROTC and rehired retiree teachers. This data is currently reported to the Legislature in theAnnual Financial and Statistical Report (AFSR).

EXHIBIT G

Page 2 of 2

Schedule 6 - Class Size Characteristics

This schedule includes the percent and number of classes with student enrollment in the following ranges:1-20, 21-26, 27-33, and 34+ students. This data is currently reported to the legislature in the AnnualSchool Report (ASR).

Schedule 7 - Louisiana Educational Assessment Program (LEAP)

This schedule represents student performance testing data and includes summary scores by district forgrades 4 and 8 in each category tested. Scores are reported as Advanced, Mastery, Basic, ApproachingBasic, and Unsatisfactory. This schedule includes three years of data.

Schedule 8 - The Graduation Exit Exam

This schedule represents student performance testing data and includes summary scores by district forgrades 10 and 11 in each category tested. Scores are reported as Advanced, Mastery, Basic, ApproachingBasic, and Unsatisfactory. This schedule includes three years of data.

Schedule 9 - The IOWA and /LEAP Tests

This schedule represents student performance testing data and includes a summary score for grades 3, 5,6, 7 and 9 for each district. The summary score reported is the National Percentile Rank showing relativeposition or rank as compared to a large, representative sample of students in the same grade from theentire nation. This schedule includes three years of data.

EAST BATON ROUGE PARISH SCHOOL SYSTEM

PERFORMANCE MEASUREMENT DATA

EAST BATON ROUGE PARISH SCHOOL BOARD

BATON ROUGE, LOUISIANA

General Fund Instructional and Support Expendituresand Certain Local Revenue SourcesFor the Year Ended June 30, 2007

Schedule 1

General Fund Instructional and Equipment Expenditures

General Fund Instructional Expenditures:Teacher and Student Interaction Activities:Classroom Teacher Salaries

Other Instructional Staff Activities

Employee BenefitsPurchased Professional and Technical ServicesInstructional Materials and Supplies

Instructional EquipmentTotal Teacher and Student Interaction Activities

Other Instructional Activities

119,493,655

15,817,078

56,695,092

1,156,328

5,731,276

607,975

199,501,404

412,035

Pupil Support Activities

Less: Equipment for Pupil Support Activities

Net Pupil Support Activities

Instructional Staff ServicesLess: Equipment for Instructional Staff Services

Net Instructional Staff Services

Total General Fund Instructional Expenditures

Total General Fund Equipment Expenditures

Certain Local Revenue Sources

Local Taxation Revenue:

Constitutional Ad Valorem TaxesRenewable Ad Valorem TaxDebt Service Ad Valorem Tax

Up to 1 % of Collections by the Sheriff on Taxes Other than School TaxesSales and Use Taxes

Total Local Taxation Revenue

Local Earnings on Investment in Real Property:

Earnings from 16th Section PropertyEarnings from Other Real Property

Total Local Earnings on Investment in Real Property

State Revenue in Lieu of Taxes:

Revenue Sharing - Constitutional Tax

Revenue Sharing - Other Taxes

Revenue Sharing - Excess Portion

Other Revenue in Lieu of Taxes

Total State Revenue in Lieu of Taxes

Nonpublic Textbook Revenue

Nonpublic Transportation Revenue

15,759,475

(2,837)

11,230,595

(4,996)

15,756,638

11,225,599

$ 226,895,676

615,808

12,675,886

90,484,372

2,498,949

84.856,072$ 190,515,279

339,779

_2,5QO

342,279

832,771

3,040,583

$ 3,873,354

$ 526.302

~$ 1,748,163

EAST BATON ROUGE PARISH SCHOOL SYSTEMBATON ROUGE, LOUISIANA

Education Levels of Public School StaffAs of October 1,2006

Schedule 2

Category

Less than a Bachelor's Degree

Bachelor's Degree

Master's Degree

Master's Degree + 30

Specialist in Education

Ph. D. or Ed. D.

Total

Full-time Classroom Teachers

Certificated

Number

0

1872

833

362

45

35

3147

Percent

0.00%

59.49%

26.47%

1 1 .50%

1.43%

1.11%

100.00%

Uncertificated

Number

13

85

15

1

0

0

114

Percent

1 1 .40%

74.56%

13.16%

0.88%

0.00%

0.00%

100.00%

Principals & Assistant Principals

Certificated

Number

0

2

70

69

13

1

155

Percent

0.00%

1 .29%

45.16%

44.52%

8.39%

0.65%

100.00%

Uncertificated

Number

0

1

1

0

0

13

Percent

0.00%

33.33%

33.33%

0.00%

0.00%

33.33%

100.00%

EAST BATON ROUGE PARISH SCHOOL SYSTEMBATON ROUGE, LOUISIANA

Number and Type of Public SchoolsFor the Year Ended June 30, 2007

Schedule 3

Type

Elementary

Middle/Jr. High

Secondary

Combination

Charter

Total

Number

53

14

17

5

3

92

Note: Schools opened or closed during the fiscal year are included in this schedule.

EAST BATON ROUGE PARISH SCHOOL SYSTEMBATON ROUGE, LOUISIANA

Experience of Public Principals and Full-time Classroom TeachersAs of October 1,2006

Schedule 4

Assistant Principals

Principals

Classroom Teachers

Total

0-1 Yr.

1

2

520

523

2-3 Yrs.

0

1

348

349

4-10 Yrs.

11

7

756

774

11 -14 Yrs.

6

4

254

264

15-1 9 Yrs.

13

6

283

302

20-24 Yrs.

5

10

252

267

25+ Yrs.

27

65

848

940

Total

63

95

3261

3419

Schedule 5

EAST BATON ROUGE PARISH SCHOOL SYSTEMBATON ROUGE, LOUISIANA

Public School Staff DataFor the Year Ended June 30, 2007

All ClassroomTeachers

Classroom TeachersExcluding ROTC

and Re hi red Retirees

Average ClassroomTeachers' SalaryIncluding Extra Compensation

48,420.88 47,606.98

Average ClassroomTeachers' SalaryExcluding Extra Compensation

47,012.29 46,198.44

Number of Teacher Full-timeEquivalents (FTEs) used inComputation of Average Salaries

3,531.17 3,372.35

Note: Figures reported include all sources of funding (i.e., federal, state, and local) but excludeemployee benefits. Generally, retired teachers rehired to teach receive less compensation thannon-retired teachers and ROTC teachers receive more compensation because of a federalsupplement. Therefore, these teachers are excluded from the computation in the last column.This schedule excludes day-to-day substitutes and temporary employees.

Schedule 6

EAST BATON ROUGE PARISH SCHOOL SYSTEMBATON ROUGE, LOUISIANA

Class Size CharacteristicsAs of October 1,2006

School Type

Elementary

Elementary Activity Classes

Middle/Jr. High

Mtddle/Jr. High Activity Classes

High

High Activity Classes

Combination

Combination Activity Classes

Class Size Range

1-20

Percent

42%

44%

52%

38%

54%

60%

100%

100%

Number

3975

671

2160

276

2636

493

102

17

21 -26

Percent

47%

47%

22%

16%

20%

14%

0%

0%

Number

4428

726

919

114

952

118

0

0

27-33

Percent

11%

9%

22%

23%

23%

17%

0%

0%

Number

996

142

897

168

1145

136

0

0

34+

Percent

0%

0%

4%

' 24%

3%

9%

0%

0%

Number

24

3

187

174

142

77

0

0

Note: The Board of Elementary and Secondary Education has set specific limits on the maximum sizeof classes at various grade levels. The maximum enrollment in grades K-3 is 26 students andmaximum enrollment in grades 4-12 is 33 students. These limits do not apply to activity classes suchas physical education, chorus, band, and other classes without maximum enrollment standards.Therefore, these classes are included only as separate line items.

EAST BATON ROUGE PARISH SCHOOL SYSTEMBATON ROUGE, LOUISIANA

Louisiana Educational Assessment Program (LEAP) for the 21st CenturyFor the Year Ended June 30, 2007

Schedule 7

District AchievementLevel Results

Students

Grade B

Advanced

Proficient

Basic

Approaching Basic

Unsatisfactory

Total

English Language Arts

2007

Number

28

336

1372

1310

403

3,449

Percent

0.81%

9.74%

39.78%

37.98%

11.68%

100.00%

2006

Number

102

334

1.256

1,488

535

3,715

Percent

2.75%

8.99%

33.81%

40.05%

14.40%

100.00%

2005

Number I Percent

14 0.40%

324 9.37%

1,087 31.43%

1,324 38.28%

710 20.53%

3,459 100.00%

Mathematics

2007

Number

133

120

1295

973

922

3,443

Percent

3.86%

3.49%

37.61%

28.26%

26.78%

100.00%

2006

Number

81

116

1,407

1,082

1,480

4,166

Percent

1 .94%

2.78%

33.77%

25.97%

35.53%

100.00%

2005

Number

61

110

1.112

1.028

1.528

3,839

Percent

1.59%

2.87%

28.97%

26.78%

39.80%

100.00%

District AchievementLevel Results

Students

Grade 8

Advanced

Proficient

Basic

Approaching Basic

Unsatisfactory .

Total

Science

2007

Number Percent

22 0.64%

255 7.45%

1011 29.52%

1137 33.20%

1000 29.20%

3,425 100.00%

2006

Number

33

211

904

1,372

1.117

3,637

Percent

0.91%

5.80%

24.86%

37.72%

30.71%

100.00%

2005

Number

38

300

896

1,264

908

3,406

Percent

1.12%

8.81%

26.31%

37.11%

26.66%

100.00%

Social Studies

2007

Number

35

257

1150

968

994

3,404

Percent

1.03%

7.55%

33.78%

28.44%

29.20%

100.00%

2006

Number Percent

32 0.88%

215 5.93%

1,162 32.05%

1,044 28.79%

1.173 32.35%

3,626 100.00%

2005

Number

30

249

1.243

881

996

3399

Percent

0.88%

7.33%

36.57%

25.92%

29.30%

100.00%

EAST BATON ROUGE PARISH SCHOOL SYSTEMBATON ROUGE, LOUISIANA

Louisiana Educational Assessment Program (LEAP) for the 21st CenturyFor the Year Ended June 30, 2007

Schedule 7

District Achievement

Level Results

Students

Grade 4

Advanced

Proficient

Basic

Approaching Basic

Unsatisfactory

Total

English Language Arts

2007

Number I Percent

100 2.47%

560 13.91%

1725 42.55%

929 22.92%

740 18.25%

4,054 100.00%

2006

Number

140

470

1,627

1,020

1,036

4,293

Percent

3.26%

10.95%

37.90%

23.76%

24.13%

100.00%

2005

Number

87

582

1,674

1.102

881

4,326

Percent

2.01%

13.45%

38.70%

25.47%

20.37%

100.00%

Mathematics

2007

Number

108

331

1510

968

1135

4,052

Percent

2.67%

8.17%

37.27%

23.89%

28.01%

100.00%

2006

Number

135

484

1,406

1,023

1,247

4,295

Percent

3.14%

1 1 .27%

32.74%

23.82%

29.03%

100.00%

2005

Number I Percent

84 1.94%

401 9.27%

1,711 39.55%

1,014 23.44%

1,116 25.80%

4,326 100.00%

District Achievement

Level Results

Students

Grade 4

Advanced

Proficient

Basic

Approaching Basic

Unsatisfactory

Total

Science

2007

Number

32

258

1342

1498

918

4,048

Percent

0.79%

6.37%

33.15%

37.01%

22.68%

100.00%

2006

Number

44

2G1

1,258

1,540

1,185

4,288

Percent

1.03%

6.09%

29.34%

35.91%

27.64%

100.00%

2005

Number

72

250

1,464

1,729

810

4,325

Percent

1.66%

5.78%

33.85%

39.98%

18.73%

100.00%

Social Studies

2007

Number

40

271

1668

1066

1001

4,046

Percent

0.99%

6.70%

41.23%

26.35%

24.74%

100.00%

2006

Number

36

304

1,583

1,070

1.293

4,286

Percent

0.84%

7.09%

36.93%

24.97%

30.17%

100.00%

2005

Number

32

221

1,595

1,249

1.226

4323

Percent

0.74%

5.11%

36.90%

28.89%

28.36%

100.00%

EAST BATON ROUGE PARISH SCHOOL SYSTEMBATON ROUGE, LOUISIANA

The Graduation Exit Exam for the 21st CenturyFor the Year Ended June 30, 2007

Schedule 8

District AchievementLevel Results

Students

Grade 10

Advanced

Proficient

Basic

Approaching Basic

Unsatisfactory

Total

English Language Arts

2007Number | Percent

36 1.21%

287 9.62%

1117 37.46%

814 27.30%

728 24.41%

2,982 100.00%

2006Number

38

348

1276

701

648

3,011

Percent

1.26%

11.56%

42.38%

23.28%

21.52%

100.00%

2005Number

42

434

1051

695

640

2,862

Percent

1.47%

15.16%

36.72%

24.28%

22.36%

100.00%

Mathematics

2007Number

197

309

1024

545

1002

3,077

Percent

6.40%

10.04%

33.28%

17.71%

32.56%

100.00%

200GNumber] Percent

198 6.16%

349 10.87%

988 30.76%

646 20.11%

1031 32.10%

3,212 100.00%

2005Number

200

363

863

485

1108

3,019

Percent

6.62%

12.02%

28.59%

16.06%

36.70%

100.00%

District AchievementLevel Results

Students

Grade 11

Advanced

Proficient

Basic

Approaching Basic

Unsatisfactory

Total

Science

2007Number

92

287

775

658

688

2,500

Percent

3.68%

11.48%

31.00%

26.32%

27.52%

100.00%

2006

Number I Percent

79 2.98%

279 10.53%

706 26.65%

793 29.94%

792 29.90%

2,649 100.00%

2005

Number

99

313

844

675

678

2,609

Percent

3.79%

12.00%

32.35%

25.87%

25.99%

100.00%

Social Studies

2007

Number

81

243

1056

480

625

2,485

Percent

3.26%

9.78%

42.49%

19.32%

25.15%

100.00%

2006Number

44

219

1089

600

696

2,648

Percent

1.66%

8.27%

41.13%

22.66%

26.28%

100.00%

2005

Number I Percent

33 1.27%

255 9.79%

1129 43.32%

559 21 .45%

630 24.17%

2,606 100.00%

Schedule 9

EAST BATON ROUGE PARISH SCHOOL SYSTEMBATON ROUGE, LOUISIANA

The IOWA and /LEAP TestsFor the Year Ended June 30, 2007

Iowa Tests

Test of Basic Skills (ITBS)

Grade 3

Grade 5Grade 6Grade 7

Tests of Educational Development (ITED)

Grade 9

2005

46

52

37

42

47

Scores are reported by National Percentile Rank. A student's National Percentile Rank shows the student'srelative position or rank as compared to a large, representative sample of students in the same grade from theentire nation. A student with a score of 72 indicates that the student scored the same or better than 72 percentof the students in the norm group.

EAST BATON ROUGE PARISH SCHOOL SYSTEMBATON ROUGE, LOUISIANA

The IOWA and /LEAP TestsFor the Year Ended June 30, 2007

/LEAP Tests

Schedule 9

District Achievement Level ResultsStudents

Grade 3Advanced

Mastery

BasicApproaching Basic

Unsatisfactory

Total

English Language Arts

2007Number 1 Percent

81 2.19%

416 11.24%

1239 33.48%

962 25.99%

1003 27.10%

3.701 100.00V.

2006Number

70

375

1257

926

1039

3,667

Percent

1.91%

10.23%

34.28%

25.25%

28.33%

100.00%

Mathematics

2007Number J Percent

143 3.87%

422 11.41%

1278 34.57%

894 24.18%

9GO 25.97%

3,697 100.00%

2006Number

110

371

1231

945

1010

3,667

Percent

3.00%

10.12%

33.57%

25.77%27.54%

100.00%

District Achievement Level ResultsStudents

Grade 3Advanced

Mastery

BasicApproaching BasicUnsatisfactory

Total

Science

2007Number Percent

60 1.62%

268 7.25%

1126 30.46%

1367 36.98%876 23.69%

3,697 100.00%

2006Number

50

232

1162

1339

882

3,665

Percent

1.36%

6.33%

31.71%

36.53%24.07%

100.00%

Social Studies

2007Number

35

334

1361

996

970

3,696

Percent

0.95%

9.04%

36.82%

26.95%26.24%

100.00%

2000Number

33

267

1418

1040

903

3,661

Percent

0.90%

7.29%

38.73%

28.41%

24.67%

100.00%

District Achievement Lovol ResultsStudents

Grade 5Advanced

Mastery

BasicApproaching BasicUnsatisfactory

Total

English Language Arts

2007Number

64

361

1174

883

782

3,264

Percent

1.96%

11.06%

35.97%

27.05%23.96%

100.00%

200GNumber

73

409

1201

1004

726

3,413

Percent

2.14%

11.98%

35.19%

29.42%21.27%

100.00%

Mathematics

2007Number I Percent

144 4.41%

271 8.30%

1175 35.99%

709 21.72%966 29.59%

3,265 100.00%

2006Number I Percent

167 4.89%

312 9.14%

1355 39.71%

685 20.08%

893 26.17%

3,412 100.00%

District Achievement Level ResultsStudents

Grade 5Advanced

Mastery

BasicApproaching BasicUnsatisfactory

Total

Science

2007Number

49

227

966

1192

827

3,261

Percent

1.50%

6.96%

29.62%

36.55%25.36%

100.00%

2006Number

35

270

980

1293

834

3,412

Percent

1.03%

7.91%

28.72%

37.90%24.44%

100.00%

Social Studies

2007Number

57

224

1234

910

835

3,260

Percent

1.75%

6.87%

37.85%

27.91%25.61%

100.00%

2006Number

76

192

1232

934

975

3,409

Percent

2.23%

5.63%

36.14%

27.40%28.60%

100.00%

EAST BATON ROUGE PARISH SCHOOL SYSTEMBATON ROUGE, LOUISIANA

The IOWA and /LEAP TestsFor the Year Ended June 30, 2007

/LEAP Tests

Schedule 9

District Achievement Level ResultsStudents

Grade 6

Advanced

Mastery

Basic

Approaching Basic

Unsatisfactory

Total

English Language Arts

2007Number | Percent

77 2.15%

289 8.07%

1288 35.95%

1073 29.95%

856 23.89%

3,583 100.00%

2006Number

83

336

1313

966

729

3,427

Percent

2.42%

9.80%

38.31%

28.19%

21.27%

100.00%

Mathematics

2007Number ! Percent

127 3.56%

270 7.56%

1437 40.25%

760 21.29%

976 27.34%

3,570 100.00%

2006Number

97

221

1414

753

942

3,427

Percent

2.83%

6.45%

41.26%

21.97%

27.49%

100.00%

District Achievement Level ResultsStudents

Grade 6

Advanced

Mastery

Basic

Approaching Basic

Unsatisfactory

Total

Science

2007Number

45

279

1068

1287

885

3,564

Percent

1.26%

7.83%

29.97%

36.11%

24.83%

100.00%

2006Number

38

216

1036

1292

821

3,403

Percent

1.12%

6.35%

30.44%

37.97%24.13%

100.00%

Social Studies

2007Number

137

222

1173

984

1029

3,545

Percent

3.86%

6.26%

33.09%

27.76%

29.03%

100.00%

2006Number

117

219

1065

1099

893

3,393

Percent

3.45%

6.45%

31.39%

32.39%

26.32%

100.00%

District Achievement Lovol ResultsStudents

Grado 7

Advanced

Mastery

Basic

Approaching Basic

Unsatisfactory

Total

English Language Arts

2007Number

101

264

1154

1076

676

3,271

Percent

3.09%

8.07%

35.28%

32.90%

20.67%

100.00%

2006Number j Percent

132 4.01%

306 9.30%

1269 38.55%

1045 31.74%

540 16.40%

3,292 100.00%

Mathematics

2007Number

97

178

1177

800

1005

3,257

Percent

2.98%

5.47%

36.14%

24.56%

30.86%

100.00%

2006Number

98

175

1279

833

897

3,282

Percent

2.99%

5.33%

38.97%

25.38%

27.33%

100.00%

District Achievement Level ResultsStudents

Grado 7

Advanced

Mastery

Basic

Approaching Basic

Unsatisfactory

Total

Science

2007Number

45

247

1004

1175

780

3,251

Percent

1.38%

7.60%

30.88%

36.14%

23.99%

100.00%

2006Number

37

217

978

1187

842

3,261

Percent

1.13%

6.65%

29.99%

36.40%

25.82%

100.00%

Social Studies

2007Number

58

284

1186

983

718

3,229

Percent

1.80%

8.80%

36.73%

30.44%

22.24%

100.00%

2006Number I Percent

23 0.71%

233 7.16%

1382 42.46%

893 27.43%

724 22.24%

3,255 100.00%

District Achievement Level ResultsStudents

Grade 9

Advanced

Mastery

Basic

Approaching Basic

Unsatisfactory

Total

English Language Arts

2007Number

41

335

1345

1150

552

3,423

Percent

1.20%

9.79%

39.29%

33.60%

16.13%

100.00%

2006Number

62

314

1271

990

518

3,155

Percent

1.97%

9.95%

40.29%

31.38%

16.42%

100.00%

Mathematics

2007Number I Percent

167 4.89%

274 8.03%

1284 37.63%

728 21.34%

959 28.11%

3.412 100.00%

2006Number I Percent

152 4.88%

228 7.32%

1149 36.91%

705 22.65%

879 28.24%

3,113 100.00%