Proposed Final 2013/14 Proposed Final 2013/14 General Fund BudgetGeneral Fund Budget

Dallastown Area School Dallastown Area School DistrictDistrict

A method of budgeting in which the annual budget starts from a "zero base" and every function within the organization is analyzed for its needs and costs. Budgets are then built around what is needed for the upcoming year, regardless of whether the budget is higher or lower than the previous one.

BUDGET PROCESS – “ZERO BASED BUDGETING”

13/14 Recommended Expenditures: $91,691,855

13/14 Recommended Revenue: $90,706,855

13/14 Recommended FB Usage: $ 985,000

13/14 Recommended Millage Rate: 22.26

NO TAX INCREASE

3

13/14 BUDGET SUMMARY

Impact of “modified job freeze” to the 2013/14 budget = a savings of $704k (4 teacher retirees, 1 tech support specialist and 2 custodians not replaced).

7 teacher retirees replaced at lower salaries = savings of $254k. An increase in the PSERS rate = additional expense of $1.047MM (net

of state reimbursement). Mandatory common core/keystone remediation material = additional

expense of $221k.. Renewed internet contract and the inclusion of eRate = a savings of

$155k. Increased special education services contracted by the LIU =-

additional expense of $348k.4

MAJOR IMPACT ON REVENUE & EXPENDITURES

A decrease in utility rates and usage = savings of $536k. Elimination of unemployment compensation obligation = savings of

$600k Reduced transportation costs for LIU students due to switching to a

new provider (savings dependent on whether switch occurs – still analyzing/researching) = approximate savings of $210k.

Additional State Basic Ed subsidy per the Governor’s budget = additional revenue of $286k.

Increased assessments and collection rates for real estate revenue = additional revenue of $520k.

5

MAJOR IMPACT ON REVENUE & EXPENDITURES

EXPENDITURE HISTORY & CHARTS

Dr. Dyer

$1,309,736 SAVINGS DUE TO “MODIFIED JOB FREEZE” (implemented in February 2012)

9 Teacher Retirees $1,109,661

1 Secretary not replaced $ 47,239

1 Tech Support Specialist not replaced $ 48,193

2 Custodians not replaced $ 104,643

TOTAL SAVINGS $1,309,736

SAVINGS

REVENUE HISTORY & CHARTS

06/30/2012 Balance 13,301,051

Estimated 2012/13 Usage (630,000)

06/30/13 Estimated Balance 12,671,051

Proposed 13/14 Usage* (985,000)

06/30/2014 Estimated Balance 11,686,051

21

FUND BALANCE (GENERAL FUND)

*Variable debt rate is anticipated to be very favorable; therefore, fund balance utilization is expected to be much less than $985k.

YearMillage

RateRate

Change % Change

2006/07 18.81    

2007/08 19.81 1.00 5.3%

2008/09 20.84 1.03 5.2%

2009/10 21.53 0.69 3.3%

2010/11 22.26 0.73 3.4%

2011/12 22.26 - 0.0%

2012/13 22.26 - 0.0%

2013/14 (proposed) 22.26 - 0.0%

22

DALLASTOWN AREA SCHOOL DISTRICT’S MILLAGE RATES

QUESTIONS