tuba city fund balance analysis & expenditure review
DESCRIPTION
Tuba City Fund Balance Analysis & Expenditure Review. April 30, 2012. Current Budget and Practices. Fund Balance and Expense Trend without State Cash Flow Coverage. 5 Year Fund Balance Summary. Assumptions included in previous charts. All revenue received is expended - PowerPoint PPT PresentationTRANSCRIPT
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TUBA CITY FUND BALANCE ANALYSIS & EXPENDITURE REVIEW
April 30, 2012
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CURRENT BUDGET AND PRACTICES
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FUND BALANCE AND EXPENSE TRENDWITHOUT STATE CASH FLOW COVERAGE
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5 YEAR FUND BALANCE SUMMARY
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ASSUMPTIONS INCLUDED IN PREVIOUS CHARTS All revenue received is expended Impact Aid funded at 85% No State Aid Reductions No enrollment decline No additional expenses added No additional capital expenses added ($2M
continued) No reductions in expenses Successful Bond election in 2014 First sale of Bond proceeds and payment in 2015
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FY 2012 FUND BALANCE: $17,000,000
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FY 2013 FUND BALANCE: $9,014,576
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FUND BALANCE CHANGE 2008-09 THROUGH 2011-12
Increases in 2011-12 expenses include: Additional teachers Salary increases Additional maintenance support Teacherage capital improvements Includes capital and contingency expenses
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2011-12 M&O/IMPACT AID BUDGET BY FUNCTION
M&O Fund Impact Aid Fund
M&O Total: $10,563,000 Impact Aid Total: $11,200,000
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2011-12 COMBINED BUDGET BY FUNCTION
Grand Total: $21,763,000
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2011-12 COMBINED BUDGET BY FUNCTION
Grand Total: $21,763,000
GOAL: 50% Instruction
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2011-12 M&O/IMPACT AID BUDGET BY OBJECT
M&O Fund Impact Aid Fund
M&O Total: $10,563,000 Impact Aid Total: $11,200,000
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2011-12 COMBINED M&O AND IMPACT AID BUDGET BY OBJECT
Grand Total: $21,763,000
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REDUCTION STRATEGY BASED ON FUNCTION
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COMPARISON DISTRICT ANALYSIS
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COMPARISON DISTRICTS – % OF DOLLARS IN THE CLASSROOM
Auditor General Classroom Spending Report, 2012
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COMPARISON DISTRICTSFunction Tuba
CityWhite-river
Kayenta Window Rock
State Average
Instruction 41.1% 48.3% 41.6% 47.4% 54.7%Student Support
11.4% 11.9% 11.3% 9.6% 7.6%
Instructional Support
4.6% 7.5% 6.4% 8.2% 5.8%
Administration
12.2% 12.7% 10.5% 11.5% 9.7%
Plant Operations
19.2% 10.9% 17.4% 15.2% 12.4%
Transportation
6.9% 4.5% 8.6% 3.9% 4.7%
Food Service 4.7% 4.2% 4.1% 4.3% 5.0%
Auditor General Classroom Spending Report, 2012
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COMPARISON DISTRICTS
Auditor General Classroom Spending Report, 2012
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PLANT OPERATIONS AND ADMINISTRATION
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TUBA CITY SCHOOL DATA
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STUDENT ENROLLMENT HISTORY
23.7% Decline since 2006Arizona Department of Education ADMS 46-1 Reports
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STUDENT ENROLLMENT GROWTH GOAL Goal A – Grow Student Enrollment Goal B – Stabilize/Level Enrollment Goal C – Status Quo
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HISTORICAL REVIEW OF ENROLLMENT, EXPENSES AND STAFFING – 2007-08 THROUGH 2011-2012
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BUDGET PROCESS AND FUTURE PLANNING
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ACCOUNTABILITY BUDGET PROCESS APPROACHES Incremental, Zero-Based, and Program Budgeting Incremental: compare previous year budget as a
basis for incremental amounts to be added or reduced to the new year’s budget
Zero-Based: each line item of the budget is built from zero and must be approved rather than only approving changes to the line items
Program: review individual programs or functional activities independently of the overall budget to determine its fiscal needs
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BUDGET GOALS Return on Investment – ROI
Marketing Schools Student Achievement Teacher/Staff Retention
Long Term vs. Short Term Funding Needs State Reductions Federal Reductions Building Needs
Avoiding the Funding Cliff Maintaining Fund Balance
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BUDGET ACCOUNTABILITY Student Achievement
Increase student achievement Resources (financial, human and capital)
Responsible budgeting Effectiveness and Efficiencies
Improve productivity
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5 YEAR FUND BALANCE SUMMARY – MAINTAINING $4M FUND BALANCE, BOND CONTINGENCY
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FUND BALANCE AND EXPENSE TRENDWITH STATE CASH FLOW COVERAGE
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2012-13 BUDGET VARIABLES Cost Increases
Compensation Increases
State Retirement Fuel Cost Enrollment Decline Federal Funding
Decline
Cost Decreases District Health Insurance Integrate Alternative School
with High School Consolidate Primary, ENIS,
JHS into K-8 One principal over Gap and
Cameron
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2012-13 COMPENSATION INCREASES
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FUTURE IMPACT AID SPENDING POLICY M&O Transfer – determined by State Debt Service Payment Override authorization (conceptual) Reserves for future Bond – TBD Current year expenses – TBD
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FUTURE IMPACT AID SPENDING POLICY