School Board Executive Summary Approved Budget Fiscal Year 2019

Transcription

1 School Board Executive Summary Approved Budget Fiscal Year 2019 Approved February 12, 2018 Published February 15, 2018 (Revised) SCPS FY 2019 School Board Approved Budget 1

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3 TABLE OF CONTENTS Table of Contents Executive Summary Transmittal Letter... 5 School Board... 7 Superintendent s Cabinet Team... 8 Budget Award... 9 Spotsylvania County Public School System Overview FY 2019 School Board Approved Budget Layout FY Strategic Plan Summary Management Structure Organizational Chart Budget Process and Timeline Budget Calendar Financial Policies and Practices Budgetary Basis and Accounting Policies Budget Overview Revenue Highlights All Funds Major Budget Changes in Expenditures All Funds Expenditures Summary All Funds Expenditure Highlights All Funds Expenditure Summary by Generic Object Expenditure Highlights by Generic Object Retiree Health Insurance Fiscal Year 2019 Expenditure Summary by Object All Funds Allocation of Positions Expenditure Summary by Generic Objects All Funds Expenditure Budget Overview by Generic Objects All Funds Expenditure Summary by Sub-Function All Funds Fiscal Year 2019 Expenditure Summary by Object All Funds Summary Data for the Operating Fund Revenues Summary Data for the Operating Fund Expenditures Budget Overview by Revenue Source Fund 5 Only (Less CIP) Operating Budget Revenue Fund 5 Only (Excluding CIP) Expenditure Trends by Function Operating Budget Combined Fund Statements FY 2019 School Board Approved Budget Summary Data for Individual Funds Fund 1 Commonwealth Governor s School (CGS) Fund 2 Rappahannock Regional Juvenile Detention Center (RRJDC) Fund 3 Food Service (FS) Fund 4 Regional Adult Education Fund 6 Capital Project Fund Fund 7 Fleet Service Student Enrollment Trends and Forecast Average Daily Membership (ADM) Acronym Index Glossary SCPS FY 2019 School Board Approved Budget 3

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5 February 12, 2018 Mr. Greg Benton, Chair Spotsylvania County Board of Supervisors P.O. Box 99 Spotsylvania, Virginia Dear Chairman Benton, The Spotsylvania County School Board is pleased to share our Approved Budget for Fiscal Year As a guiding principle, the SCPS Strategic Plan continues to serve as our blueprint for increased student achievement and resource allocation. The School Board Approved Budget is in alignment with our strategic goals of preparing all students to be college and career ready through a culture of collaboration with the staff and community in a safe, caring, engaging and healthy learning environment. The FY 2019 Budget equals $331,163,947 or an increase of 4.6%. The FY 2019 Approved State Budget figure is $7,363,203 or 5.5% over the FY 2018 Approved State Budget figure. Federal funding projections of $15,816,412 is slightly less than the FY 2018 Adopted Budget by $178,826 or 1.1%. An increase in Loan and Bonds funding of $3,438,471 is directly related to the Courtland High School renovation project which is scheduled to be completed over the next two years. The Other Fund Budget of $16,432,843 includes a budget gap of $3,531,735. Based on the County Administrator s Budget presented on February 13, the revised School Board funding Gap is approximately $2 million. The two primary budget goals in the FY 2019 School Board Approved Budget includes increasing employee compensation through a compensation proposal (informed by the Evergreen Compensation Study) and investments in human capital to address increased pre-k-12 enrollment as well as increased level of needs in areas such as students with disabilities. With goal number one being to increase employee compensation, this budget includes an investment of $6.8 million. During FY 2017, the County and Schools participated in a joint compensation study to evaluate the compensation, both wage and benefits, in relation to the market in our area. Findings, as related to the market were identified in the compensation structure for both County and School employees. As a result of this study, we plan to initiate a three year plan contingent upon the availability of funds. The goal is to remain competitive and bring employee compensation up to minimum market rates. Our approach uses a similar methodology to that of the County. A summary of our FY 2019 employee compensation plan can be found below: Description Amount 4% Pay Increase Teachers (Year 1 of 3) $4,759,758 2% Pay Increase Non-Teachers (Year 1 of 3) $1,091,932 Evergreen Study Recommendations - Bring to Minimum (1 Year) Classification Date Parity (Year 1 of 3) $ 967,822 Total $6,819,512 With goal number two being to increase human capital resources in order to support student success, this budget includes 60 instruction focused full-time equivalent (FTE) positions that includes teachers, paraeducators, social workers, counselors, Instructional Technology Assistants, an Assistant Principal and Administrative Interns. Total compensation and benefits associated with these positions equal $3,628,700. Special Education student needs and costs have increased throughout the Commonwealth of Virginia and the United States as a whole. Spotsylvania is no different. Between FY 2012 to FY 2017 our Special Education SCPS FY 2019 School Board Approved Budget 5

6 student enrollment has risen by 16%. Costs associated with these students have risen by over $6.8 million or 21%. FY 2019 s trend reflects our most recent experience as it relates to Special Education needs. Our FY19 budget increases hourly para-education needs by $1,304,986, contracted services by $1,272,883, and an increase in substitute provisions by $188,000. Other areas impacting our budget include: Activity Fees - During the FY 2018 budgeting process members of the School Board and Board of Supervisors expressed an interest in eliminating the Activities Fees collected by the schools since fiscal year This approved budget sunsets these fees with a resulting loss of revenue of $172,651. Expansion of the Academic and Athletic After School Transportation Pilot Program In FY 2018 SCPS introduced a pilot program for after school transportation to support post school academics and athletic programs. This program serves Spotsylvania High and Post Oak Middle Schools. The program has been a success and in FY 2019 the Board wishes to expand the pilot. Cost associated with this expansion is $100,000. Academic and Athletic Stipends Since FY2010 both Academic and Athletic stipends were reduced. This budget includes restoring these stipends back to the original FY2009 levels. The cost associated with this equals $22,827. Increase the Daily Substitute rate by $5 The utilization of substitutes is crucial to the operations of the schools. SCPS had fallen behind in its daily rate as compared to surrounding school district which has created difficulties obtaining qualified substitutes. The cost associated with this adjustment equals $113,856. In -house Custodial Transition During FY 2018 custodial services were transitioned from a third party vendor to in house staffing. The transition occurred to improve the janitorial services provided to the schools. Cost associated with this transition equals $289,772. Debt Service FY 2019 s CIP includes a major renovation and expansion of Courtland High School. As result of these expenditures, debt service is projected to incur a net increase of $1,466,911. Departmental increases throughout the division including compensation and non- compensation for the areas of Instruction, Administration, Transportation, Maintenance and Food Service total $1,347,206. To build capacity we have continued to review and implement modernization strategies for our health insurance program. For the second straight year we have identified and implemented savings which have cumulatively saved over $3.6 million. As a result of these efforts, the FY 2019 employer health insurance costs have been reduced by $1.8 million. Overall our FY 2019 budget investments are heavily centered on employee compensation adjustments and increasing student success through additional human capital resources. In closing, our Board appreciates the increase in County funding over the last two years. The additional funds were invested wisely and have had a direct, positive impact on the educational services we provide to the children of Spotsylvania County. We look forward to our continued worked together to ensure all students of Spotsylvania County Public Schools receives a quality education. Sincerely, Erin Grampp Chairperson Spotsylvania County School Board SCPS FY 2019 School Board Approved Budget 6

7 School Board Spotsylvania County Public Schools (SCPS) is governed by seven elected School Board members. Members are elected on staggered four-year terms and one member represents each of the county s seven districts. Board members elect a Chair and Vice Chair at the organizational meeting at the beginning of every calendar year. The School Board is charged by Virginia Law and the regulations of the Virginia Board of Education to establish policies, guidelines, and rules that will ensure the proper administration of the school division. In addition, all board members subscribe to and sign a Code of Ethics. Front Row left to right: Ms. Dawn Shelley - Chancellor District Ms. Erin K. Grampp - Berkeley District Mrs. Lisa A. Phelps - Lee Hill District Back Row left to right: Mr. William M. Blaine Jr. - Salem District Dr. James A. Meyer - Courtland District Mr. Baron P. Braswell - Battlefield District Mr. Kirk Twigg - Livingston District SCPS FY 2019 School Board Approved Budget 7

8 Superintendent s Cabinet Team Dr. S. Scott Baker Superintendent Mrs. Carol Flenard Assistant Superintendent of Instruction Mrs. LaShahn Gaines Chief Financial Officer Mrs. Michelle Colbert Executive Director of Human Resources Mr. Keith Wolfe Executive Director of Secondary Education & Leadership Mr. Don Upperco Executive Director of Operations Ms. Tedra Richardson Executive Director of Student Support Services Dr. Dennis Martin Director of Administrative Services Mrs. René Daniels, Director of Communications & Community Engagement SCPS FY 2019 School Board Approved Budget 8

9 Budget Award Association of School Business Officials International The Association of School Business Officials (ASBO) International presented a Meritorious Budget Award to Spotsylvania County Public Schools for its annual budget for the fiscal year beginning July, 1, In order to receive this award, a school division must publish a budget document that meets program criteria as a policy document, as an operations guide, as a financial plan, and as a communications device. This award is valid for a period of one year only. We believe our current budget continues to conform to program requirements, and we are submitting it to ASBO to determine its eligibility for another award. SCPS FY 2019 School Board Approved Budget 9

10 Spotsylvania County Public School System Overview The Spotsylvania County Public Schools (SCPS) division was created in 1922 and is located in the County of Spotsylvania, approximately 50 miles south of Washington, D.C. and 50 miles north of Richmond, Virginia. SCPS serves students from preschool to grade twelve and is comprised of 31 schools and centers: 17 elementary schools, 7 middle schools, 5 high schools, and 2 centers. SCPS FY 2019 School Board Approved Budget 10

11 School Division Ranking Spotsylvania County Public Schools is ranked as the 12 th largest school division out of the 132 public school districts in Virginia. FY 2019 School Board Approved Budget Layout The format of the budget book continues to present the school division s budget information in an organized and comprehensive document. This facilitates the reader s knowledge of the school division s budget development, management, and processes along with prior year budget information. The document s format conforms to the standards set forth by the Association of School Business Officials Meritorious Budget Award Program. This document is called the Executive Summary and it contains the three major sections listed and defined below. The Executive Summary Section includes the school division s organizational and management structure, organization chart, strategic plan (vision, mission, core values, goal and strategies), budget development process, and significant policy/practice changes. In addition to an overview of the FY 2019 Budget. The Financial Section includes summary and detailed budget data for all school division funds. This section is subdivided into the Commonwealth Governor s School Fund 1, the Rappahannock Regional Detention Center Fund 2, the Food Service Fund 3, the Regional Adult Education Fund 4, the Operating Fund 5 (which includes Debt Service), the Capital Improvement Project (CIP) Fund 6, and the Fleet Service-Internal Service Fund 7. Included in the Debt Service data is summary and individual bond amortization schedules for all current indebtedness. The Capital Project Fund section includes a summary of the Capital Improvement Plan (CIP), which is the school division s five-year long-range plan for capital projects. The Informational Section includes the following information of interest to school division employees and the community-at-large: such as cost per pupil, student enrollment trends and forecast and student demographics. SCPS FY 2019 School Board Approved Budget 11

12 FY Strategic Plan Executive Summary Updated: February 2018 SystemIC Navigation To 2019 Together - we prepare our students for their future. SCPS FY 2019 School Board Approved Budget 12

13 Strategic Management Components (Summary) In June 2013, the School Board adopted the revised strategic plan for FY 2014 through FY The key components are as follows: MISSION Together, we prepare our students for their future. VISION Spotsylvania County Public Schools is a leading school division that inspires and empowers all students to become creative thinkers, problem solvers, and effective communicators by: Ensuring an engaging and supportive learning environment. Providing a broad spectrum of innovative opportunities. Building lasting partnerships with the community to educate our students. CORE VALUE STATEMENTS STUDENT CENTERED We provide all students with the essential learning experiences that enable them to optimize their success with postsecondary experiences. LEADERSHIP We commit to building visionary leaders who embrace change and new possibilities. ACCOUNTABILITY We provide quality services to students, use resources efficiently, and engage the community as viable partners. CULTURAL PROFICIENCY We exhibit attitudes, skills, behaviors, and organizational practices that support the interests of a diverse population. EXCELLENCE We pursue the highest standards of organizational performance and academic achievement through innovative, research based practices. EFFECTIVE COMMUNICATION We support and utilize a variety of communication methods to connect parents, staff, and the entire community. TEAMWORK We depend upon and are accountable to one another to achieve our common purpose. CITIZENSHIP We believe in honor, integrity, and our responsibility to serve the community. SCPS FY 2019 School Board Approved Budget 13

14 STRATEGIC GOALS The strategic plan is comprised of three broad overarching goals to be achieved by the end of FY2019 (June 30, 2019): GOAL 1.0 TEACHING & LEARNING Prepare all students to be college and career ready. GOAL 2.0 COMMUNITY ENGAGEMENT & PARTNERSHIPS Family, students, staff and the entire community actively engage to seek resources and to develop opportunities that meet future educational challenges and workforce needs. GOAL 3.0 ORGANIZATIONAL CLIMATE & SCHOOL SAFETY The learning and working environment is safe, caring, healthy and values diversity. IMPLEMENTATION AND MONITORING A set of 15 objectives and several strategies were developed to provide a framework for operationalizing the three goals. The strategic plan was officially implemented in July Under the leadership of three strategic goal lead facilitators, department heads and directors, action planning teams were deployed and began implementing annual action plans that function to ensure the achievement of the vision by the end of FY2019. The action planning teams developed specific quantitative measures for the respective goals and objectives. The quantitative measures are captured in a division wide balanced scorecard. This scorecard is the division s performance management system which is used as follows: To align all activities to the vision and goals of the organization To improve internal and external communications To monitor organizational performance against the strategic goals; it is a measurement system; it provides evidence/proof of growth and achievement of goals and objectives Annual accountability reports and updates are completed by all schools, departments and offices. In accordance with the systems strategic management model, all activity is monitored on an ongoing basis. Process adjustments, as well as the planning content, are modifed as deemed necessary to optimize outcomes and performance excellence in all areas. STRATEGIC GOALS, OBJECTIVES & STRATEGIES GOAL 1.0 TEACHING & LEARNING Prepare all students to be college and career ready. Rationale Statement: The economic vitality, democratic health and future of our communities, state, and nation depend upon the capacity of today s students to become tomorrow s extraordinary leaders, high performance workforce, and contributing citizens. SCPS focus is on optimizing the individualized potential of ALL students. High performing organizations, likewise, value diversity and support a framework for inclusivity of all individuals. As a whole, these practices give way to a favorable culture (i.e., the way things are done) and a positive organizational climate (i.e., the way people feel about the culture). SCPS FY 2019 School Board Approved Budget 14

15 OBJECTIVES: 1.1 Students will demonstrate the skills necessary to meet college and career readiness standards. Strategies: Develop and implement an innovative multidisciplinary guaranteed viable curriculum (content) Expand program opportunities to enrich college and career readiness for all students Enhance connections between pre-k, K-12, and postsecondary experiences to improve college and career readiness through professional learning communities Use evidence-based teaching and learning models that meet the individualized needs of diverse students Implement a balanced assessment that accurately measures student performance (assessment) Support college and career readiness through action plans that maximize professional learning networks, effective planning and high quality designs Implement technologies and integrated instructional strategies as action plans that support college and career readiness. 1.2 Provide support services that optimize the physical and mental well-being of all students, staff and families. Strategies: Expand professional learning designs to include follow up and extension for families and student support services Redefine the purpose of school social workers in aligning targeted services to support the needs of students and families Enhance the roles of counselors to maintain a focus on rigor, relevance and relationships to close the achievement gap Expand the role of school psychologists to support students with mental health and prevention Explore a technological network of support to increase awareness, information, and services to students and their families Build organizational capacity to support inclusive practices. 1.3 Provide human resources services that support a diverse and talented work force that is aligned to ensure maximum performance in all areas. Strategies: Provide ongoing high quality professional development and training for all employee groups to build capacity, promote professionalism and optimal service as well as increase employee safety Recruit and retain exemplary employees with highly qualified levels of expertise Enhance a collaborative culture and communication through an integrated systems model. SCPS FY 2019 School Board Approved Budget 15

16 1.3.4 Enhance compliance with local, state and federal laws and regulations. 1.4 Execute exemplary financial practices that maximize the organization s return on investment in all areas. Strategies: Revise the budget development process to involve greater input from stakeholders, including principals and department heads Systematically engage the community to raise awareness of student needs and resources needed Automate purchasing, payroll, accounts payable and other fiscal functions to optimize efficiency Re-engineer accounting practices to maximize effectiveness Implement a state-of-the-art integrated Finance and HR system for data management Implement relevant and meaningful professional development opportunities to enhance productivity and to build leadership capacity of SCPS clerical support staff. 1.5 Enhance the food services program by providing exceptional nutrition and healthy meal alternatives in an enjoyable atmosphere with satisfaction by all consumers. Strategies: Use multiple mediums of communication with students, parents and staff members to educate and reinforce healthy food messages and quality dieting Increase full price breakfast participation rates Increase full price lunch participation rates Offer a variety of age appropriate, healthy and appealing menu items that are palatable to students and meet federal and state guidelines Increase customer satisfaction in all areas of service. 1.6 Provide school based health care services that optimize the physical well-being of students. Strategies: Improve the overall health services school delivery model Strengthen the division s collaboration with parents, health care providers and community partners on environmental, health and wellness matters Remove health related barriers to learning for students Recruit and retain an innovative and diverse nursing staff. SCPS FY 2019 School Board Approved Budget 16

17 1.7 Enhance maintenance of the division s investment in buildings and grounds to ensure alignment with future educational needs. Strategies: Increase student safety with architectural improvements to K-12 facilities for enhanced visitor access control and positive visitor identification Improve energy management and reduce electrical consumption by adding digital building automation controls and upgrading the existing older pneumatic controls Provide architectural and landscape improvements to enhance accessibility for improved ADA compliance for buildings, playgrounds, stadiums and athletic fields Develop and implement an ongoing capital maintenance projects plan that preserves and protects the county s investment in our K-12 facilities Enhance the provision of a multi-talented maintenance staff to keep pace with technological advances in the building maintenance industry. GOAL 2.0 COMMUNITY ENGAGEMENT & PARTNERSHIPS Family, students, staff and the entire community actively engage to seek resources and to develop opportunities that meet future educational challenges and workforce needs. Rationale Statement: The academic and postsecondary success of our students requires the collective effort of the entire Spotsylvania County community. It is imperative that we not only work harmoniously together to support students, but that we also share the accountability for their success. OBJECTIVES: 2.1 Implement a comprehensive communications plan and strategy. Strategies: Evaluate communications with key stakeholders on annual basis Create efficiencies and ease of information sharing for communications Communicate communications plan and strategy to stakeholders. 2.2 Strengthen productive partnerships for education and workforce needs. Strategies: Increase organization s involvement with employers and expand student opportunities Identify and develop business relationships that support initiatives Expand relationships with local and national organizations to provide resources and support to students and staff. 2.3 Enhance outreach and communication tools for student families. SCPS FY 2019 School Board Approved Budget 17

18 Strategies: Increase two-way multi-lingual communication by creating an infrastructure supporting multilingual capability at all schools and buildings Improve program awareness of disability resources Create efficiencies and ease of use for parent and community access to programs, services and resources. 2.4 Increase visibility of school programs and needs with all stakeholders. Strategies: Improve advocacy for public education Enhance overall marketing of the school division and its accomplishments Expand marketing of division-wide initiatives and achievements. GOAL 3.0 ORGANIZATIONAL CLIMATE & SCHOOL SAFETY The learning and working environment is safe, caring, healthy and values diversity. Rationale Statement: A safe and caring educational environment is a prerequisite to establishing and maintaining a conducive environment for learning and working. Supporting and advancing healthy lifestyles is also critical to the students and the staff s well-being and success. OBJECTIVES: 3.1 Maximize safety and security by continuously evaluating and refining plans and practices. Strategies: Utilize technology for surveillance, monitoring and access control Provide on-going professional learning planning including authentic situation awareness and crisis management training Adopt FEMA National Incident Management (NIMS) and ICS (Incident Command System) practices Strengthen partnerships with law enforcement, Fire/EMS and other first responder agencies. 3.2 Foster/build a positive climate that is conducive for learning. Strategies: Coordinate highly structured and supportive processes and provide professional learning for enhancing school culture Coordinate highly structured and supportive processes and provide professional learning for enhancing school climate. SCPS FY 2019 School Board Approved Budget 18

19 3.3 Optimize the safety and efficiency of transportation and fleet services. Strategies: Improve student and personnel safety in all areas of operation for transportation services Enhance overall service delivery model for internal and external customers Implement professional learning experiences for all personnel that maximize competence and high quality services Improve customer satisfaction. SCPS FY 2019 School Board Approved Budget 19

20 Management Structure The Spotsylvania County Public Schools (SCPS) division was created in 1922 and is located in the County of Spotsylvania, approximately 50 miles south of Washington, D.C. and 50 miles north of Richmond, Virginia. SCPS serves students from preschool to grade twelve and is comprised of 31 schools and centers: 17 elementary schools, 7 middle schools, 5 high schools, and 2 centers. The Superintendent reports to the School Board and works closely with the senior executive leadership team to oversee the day-to-day operations of the division. The Assistant Superintendent of Instruction administers the overall instructional operations, division-wide professional development and technology. The Chief Financial Officer administers the budget, procurement, accounts payable, payroll, grants, audit, school activity funds and the accounting functions. The Director of Administrative Services administers the division-wide strategic plan, as well as assists Human Resources with various administrative functions. The Executive Director of Operations administers school food service, pupil transportation, fleet services, health services, maintenance, and capital improvement projects (CIP). The Executive Director of Human Resources administers recruiting and personnel management. The Executive Director of Secondary Education and Leadership provides oversight to the secondary schools and the school safety department. The Executive Director of Student Support Services provides oversight for special education, counseling, social services, and gifted programs. The Director of Elementary Education directly administers the instructional operations of the elementary schools. The Director of Communications and Community Engagement provides support for media relations, community relations, and business partnerships, as well as promotes the Division through social media, traditional media, community ties, and oversees the division s Print Shop. Organizational Chart SCPS FY 2019 School Board Approved Budget 20

21 Budget Process and Timeline The Code of Virginia requires that school divisions prepare annual budgets. Spotsylvania County Public Schools FY 2019 budget planning process began in November The FY 2019 School Board Approved Budget was developed based on revenues and expenditures included in the Governor s Proposed Budget for fiscal year Moreover, the FY 2019 School Board Approved Budget was compiled with input and feedback from a variety of stakeholders and key source documents, including, but not limited to: Building Principals; Teacher Advisory; Parent Advisory; Strategic Planning Team; Audit and Finance Committee; Employee Compensation Focus Group; STAND (Student Advisory Team); TEAM Outreach Network Committee; Spotsylvania Education Association (SEA) officers and members; Citizen input at public hearings; Public comments in regular School Board meetings; The school division s Strategic Plan; and The Capital Improvement Plan. While engaging various stakeholders, the primary focus was discussing what resources are needed to ensure students are prepared to compete successfully locally, nationally, and globally. Our mission statement is, Together, we prepare our students for their future. SCPS FY 2019 School Board Approved Budget 21

22 Budget Timeline Spotsylvania County Public Schools (SCPS) fiscal year is July 1 to June 30, which corresponds to the fiscal year of both the County of Spotsylvania and the Commonwealth of Virginia. SCPS is a fiscally dependent entity. Therefore, the school division s budget cycle is driven by statutory deadlines from the Commonwealth of Virginia and the County of Spotsylvania. The school division s FY 2019 budget timeline is below. Activity Timeframe Budget Planning The budget planning process starts when the School Board adopts the budget calendar. The calendar includes the dates, times, and location of activities related to the budget development process. November 2017 Budget Formulation The preparation of the budget is the process of projecting student enrollment; estimating expenditure needs to support schools, programs, and services; and projecting revenues as well as estimating capital project improvement needs and its impact on the operating budget. November January 2018 Budget Engagement During the budget development process, budget work sessions are held with the School Board to set goals and these goals are reaffirmed throughout the budget process. December March 2018 Budget Preparation Based on input from various sources, including the Budget Advisory Committee, the Superintendent s Proposed Budget is prepared. December January 2018 Budget Approval Based on recommendations made by the Superintendent, input from the community and information shared at School Board budget work sessions, the School Board s Adopted Budget is prepared and Adopted. February 2018 Budget Adoption Prior to adopting the final budget, the School Board participates in a joint work session with the local governing board. The governing board adopts the tax rate and the County s budget in April and the School Board adopts its budget in May. February May 2018 Principals & Department managers amend budgets based on revised needs. July and on going Budget Evaluation The results of operations for the fiscal year are set forth annually in the County s and school division s combined Comprehensive Annual Financial Report (CAFR). September - December 2018 SCPS FY 2019 School Board Approved Budget 22

23 Budget Calendar SCPS FY 2019 School Board Approved Budget 23

24 Budget Calendar (continued) SCPS FY 2019 School Board Approved Budget 24

25 Accounting Policies and Practices Financial Policies and Practices All funds are accounted for using the modified accrual basis of accounting except for the Joint Fleet Maintenance - Internal Service Fund, which uses full accrual basis of accounting. Revenues are generally recognized for all other funds when they are both measurable and available. SCPS considers all revenues available if they are collectible within 60 days after year end. However, intergovernmental revenues, consisting primarily of Federal, State, and other grants, for the purpose of specific funding, are recognized when earned or at the time of the specific reimbursable expenditure. Expenditures are generally recognized under the modified accrual basis of accounting when the related fund liability is incurred, except for certain compensated absences and principal and interest payments on general long-term debt, both of which are recognized when paid. Budgetary Policies and Practices According to the Code of Virginia, the Commonwealth, in conjunction with the Auditor of Public Accounts, shall establish and require of each school division a modern system of accounting for all school funds. Consequently, SCPS maintains a chart of accounts that fulfills the requirements of the Virginia Department of Education and the annual school report as prescribed by the auditor of public accounts. The chart of accounts is composed of the following elements: funds, functions, cost centers, objects, programs, and projects. In order to maintain the integrity of the account structure, SCPS maintains distinct funds to account for financial transactions that remain separate from other transactions. SCPS maintains the following six (6) funds: 1 The Commonwealth Governor s School 2 Juvenile Detention Center 3 School Food Service Program 4 Regional Adult Education Program 5 Regular Education Operating Fund 6 Capital Improvement Projects (CIP) Fund 7 Joint Fleet Maintenance Internal Service Fund The revenue accounts are charted according to the sources below. Revenues for the various funds are included on the fund statement sheets and the operating sheets of this budget document. 200 State Sales Tax 300 State Funds 400 Federal Funds 500 County Funds 700 Other Funds 800 Loans, Bonds, and Interest The expenditure accounts are divided according to function/sub-function as prescribed by the Auditor of Public Accounts. In order to record transactions, expenditures are charted according to cost center, object, program, and project. The functions (categories) of expenditures listed below define the type of activity Instruction 2000 Administration, Attendance, and Health 3000 Pupil Transportation Services 4000 Operation and Maintenance Services 5000 School Food Services 6000 Facilities and Technology 7000 Debt Service and Fund Transfer SCPS FY 2019 School Board Approved Budget 25

26 Financial Policies and Practices (continued) SCPS code structure is based on the Commonwealth of Virginia s chart of accounts. The details are below. The function code is the category that defines the type of expenditure activity. The cost center code identifies the location of the activity. These codes include all distinct physical locations in the school division, including schools and administrative sites. The object code identifies the actual good or service purchased. Object codes are grouped into two main categories, compensation and non-compensation. The program code identifies the revenue or expenditure as an elementary, secondary, or administrative activity. The project code identifies the source of funds for the activity. Overall, SCPS operates under a quasi-site based management philosophy where schools and departments have full authority to plan and expend their non-compensation budgets, while the compensation budgets are managed and monitored by the central office. Compensation budgets, which are salaries and benefits, include the expenditures listed below: Object Description Code Compensation - Contracted pay, overtime pay, non-contracted pay, substitute pay, and supplemental pay Benefits - FICA, health/dental insurance, retirement benefits, group life insurance, disability insurance and annual and sick leave payoff Purchased Services - Services, professional development, lease/rental contracts, etc Other Charges - Utilities, memberships, travel, dues and licenses, etc Materials and Supplies - Office supplies, medical and dental supplies, commodities that are consumed, and minor equipment that is not capitalized, etc Payment to Joint Operations Not used by SCPS Capital Outlay New/replacement equipment and furnishings with unit price of $5,000 or higher Other Uses of Funds This series of codes is used for debt service and accounting control purposes (e.g., holdback accounts). The school division, as a part of the county audit process, assists with the preparation of a Comprehensive Annual Financial Report (CAFR) to report results of all funds under School Board authorization. The school division prepares the Annual School Report for the Virginia Department of Education. Summary listings of individual school and department critical functions and activities as well as a discussion of their budgeted major changes for the coming year are presented for each department in the Financial Section of this budget document. SCPS FY 2019 School Board Approved Budget 26

27 Legal Authority Budgetary Basis and Accounting Policies Spotsylvania County Public Schools (SCPS) are legally charged with providing and operating the public schools of Spotsylvania County by the Commonwealth of Virginia and the Virginia Board of Education regulations. It is the function of the Spotsylvania County School Board (SCSB) to set general policy, within the framework of Virginia Board of Education regulations, to establish guidelines and rules that will ensure the proper administration of the school program. Spotsylvania County Public Schools does not have taxation authority. Most operating revenue is derived from local tax dollars appropriated by the County of Spotsylvania with the remaining revenue derived from state and local sources. Capital Improvement Plan funds are allocated by the County of Spotsylvania primarily from bond funding. The School Board is responsible for establishing policy for the governance and operation of Spotsylvania County Public Schools. All budgets are developed using a variety of assumptions based on expectations for the future. In addition, funding decisions reflect policies of the governing body. Budget Execution Budget administration and management is the process of monitoring revenues and expenditures throughout the fiscal year. Revenues are monitored to ensure that anticipated receipts are posted and to make adjustments in the revenue accounts when either the revenue budget or the actual receipts do not agree. Expenditures are monitored to ensure that they do not exceed authorized amounts and that they are expended for intended, appropriate and legal purposes. Monitoring both revenues and expenditures on summary levels is a continuous activity of the Finance Department. Fund Accounting Governmental resources are allocated and accounted for in individual funds based on the purposes for which they are to be spent and the means by which spending activities are controlled. SCPS accounts are organized on this fund basis. Each fund is considered a separate set of self-balancing accounts that constitute its assets, liabilities, fund equity, revenues, and expenditures or expenses, as appropriate. All funds are appropriated by the Board of Supervisors. Budgetary Basis Annual budgets are adopted for all funds including capital programs. The Capital Improvement Plan is budgeted on a project-by-project basis which spans multiple fiscal years. All budgets are consistent with GASB and GAAP requirements. The budget period is the same as the accounting reporting period. The budget document contains fund statements for all school funds. Basis of Budgeting is presented here to assist readers of the budget document. Budgetary Basis refers to the basis of accounting used to estimate financing sources and uses in the budget. Modified Accrual Basis indicates expenditures, other than accrued interest on general long-term debt, are recorded at the time liabilities are incurred, and revenues are recorded when they become susceptible to accrual, that is both measurable and available. Accrual Basis indicates revenues are recorded when they are earned (whether or not cash is received at the time) and expenditures are recorded when goods and services are received. SCPS FY 2019 School Board Approved Budget 27

28 Revenue Budgets Revenue budgets are presented for each fund. The Revenue Fund Summary presents major categorical listings or totals for each fund. The school division receives revenues from federal, state, and county sources as well as from fees and tuition payments for some specific programs such as adult education. Revenue estimates for the fiscal year are completed through cooperation of the Finance Department and appropriate department personnel. Grant programs are responsible for estimating fiscal year grant amounts for anticipated revenues and expenditures. Most federal and state revenues are received via electronic transfers; the county fund transfer is posted monthly by the county, and other revenues are received by check or cash and are posted on a daily basis by Finance Department personnel. After recording all receipts, they are forwarded to the county government s finance department for posting and deposit. Reconciliation of revenue receipts with the county s financial reporting system is done on a monthly basis, and any required adjustments are completed. Requests for adjustments to the revenue budget are processed in accordance with guidelines determined by School Board policy. Expenditure Budgets Within each of the funds are individual department budgets. Departments are individual schools, centrally administered instructional programs, and central office departments. Department budgets are presented individually by object codes, line item historical expenditures and budgeted amounts which detail the purpose for which the expenditures are planned. Each department has on-line access to budget and expense data necessary for the day-to-day management of the department s budget. Expenditure reports are generated as needed and are available to departments through an on-line general ledger system. Department administrators may reallocate budgeted non-compensation funds within their authority through a manual paper budget transfer form. These intradepartment budget allocations are adopted or denied by the Chief Financial Officer or designee based upon prescribed guidelines. Requested reallocations are submitted in writing to the Finance Office for review, approval and processing. Encumbrance Control Practices The encumbrance of funds is another important component in the SCPS financial control system. All expenditures must have funds set-aside (encumbered) to ensure that funds will be available when payment is due. The encumbrance process is an important control measure to prevent the inadvertent over-expenditure of budget appropriations due to lack of information about future commitments. Expenditure Controls and Approval The budget is controlled at both legal and administrative levels. The legal level is placed at the individual fund. The administrative level is at the detailed account code. Program managers and bookkeepers are granted general ledger access by the Chief Financial Officer or designee. A hierarchy of department codes, corresponding to the organizational structure of the school division, provides for multiple levels of oversight. Program managers are authorized to spend within SCPS guidelines and in accordance with the Virginia Public Procurement Act. Most non-compensation expenditures are processed through a purchase order. All purchase orders are verified by the department or school administrator for the availability of funds and proper coding. The Finance Director also ensures that all orders are in compliance with legal purchasing requirements and all purchase orders are properly coded. Control over unspent balances in the regular (contracted position) salary and benefit accounts are transferred to unencumbered accounts. Savings from these accounts accrue to the division as a whole and not to any specific department. SCPS FY 2019 School Board Approved Budget 28

29 Basis of Accounting All funds are reported using the modified accrual basis of accounting. SCPS primary sources of revenue are funds appropriated by other governmental units. Under the modified accrual basis of accounting, these revenues are recognized when susceptible to accrual or both measurable and available. SCPS considers all revenues available if they are collectible within 60 days after year-end. Expenditures are recorded when the liability is incurred, except for certain compensated absences and workers compensation. Carryover Funds Unspent local funds must be adopted by the School Board and re-appropriated by the Board of Supervisors. There is an expectation that each year the school division will have carry over funds. However, no minimum or maximum carryover balance has been defined. Annual Budget The Spotsylvania County School Board annual budget is the financial outline of the division s education program. It presents a proposed plan of expenditures and the expected means of financing those expenditures. After adoption, it provides the primary means of managing expenditures. The Superintendent is responsible for ensuring that the annual school budget is prepared and presented to the Board for adoption. The annual budget reflects estimated revenues, sources of these revenues, estimated expenditures, and the planned amounts which may be spent under each account code. The School Board s Adopted budget is submitted by April 1 to the governing body. Approval of the Budget On or before April 1, the School Board shall act to approve the annual budget and shall forward it to the Spotsylvania County Board of Supervisors. Included with this budget shall be a message from the School Board Chair containing a description of the important features of the budget plan. Following action by the Spotsylvania County Board of Supervisors on the total budget, the Board shall give final approval to the budget within the framework of the funds available. Management of Funds The Superintendent or designee shall be responsible for administering the division s budget in accordance with Board policies and applicable state and federal regulations, and laws; therefore, the Superintendent or designee will use appropriate fiscal planning and management methods, modeled after the best accepted business practices and directed toward the educational goals of the division. If the governing body approves the School Board budget by total lump sum expenditures, funds may be transferred by the School Board from one category to another. If funds are appropriated to the School Board by major budget classifications, no funds shall be expended by the School Board except in accordance with such classifications without the consent of the governing body appropriating the funds. The Superintendent may be authorized by the School Board to make line item transfers within a category. The School Board shall manage and control the funds made available to the School Board for the public schools and may incur costs and expenses. Financial Accounting The Superintendent will establish and be responsible for an appropriate system of accounting for all school funds in compliance with applicable federal, state and local laws. This system will present fairly and with full disclosure the financial position of these funds in conformity with generally accepted accounting principles and is subject to audit. The School Board will receive routine financial statements, including statements of revenues and expenditures, showing the financial condition of the division as of the last day of the preceding month. The Superintendent will present additional financial reports as periodically deemed necessary by the School Board. SCPS FY 2019 School Board Approved Budget 29

30 Accounting Systems School activities accounts shall be those funds derived from extra-curricular school activities, such as entertainment, athletic contests, club dues, etc., and from any and all activities of the school involving school personnel (known as faculty and hospitality accounts), students or property. Each principal shall be responsible for assuring that accurate and complete records and proper procedures of school activities funds are maintained. The principal has the responsibility to establish and administer an appropriate bank account with the approval of the Superintendent or designee. All monies handled by teachers and sponsors in the performance of their duties shall be deposited immediately with the principal or the designated person on the day collected. The record of all receipts and disbursements will be kept in accordance with the District-Wide School Activity Fund (SAF) Accounting Manual. School Food Service Accounts The Spotsylvania County Public Schools food service program shall be maintained on a self-sustaining basis. In the event that funds for the operation of the program appear to be insufficient during the fiscal year, the Spotsylvania County Public School Board may allocate such funds as are necessary to sustain the current program. All cafeteria funds will be reported as a separate fund and held in a separate interest bearing bank account. Capital Improvement Program Accounts The School Board shall prepare annually a five-year capital improvement program and submit it to the Board of Supervisors. Financial Reporting The School Board has the sole responsibility for determining the expenditure of funds derived from the sale of school bonds. The Board of Supervisors may temporarily invest the funds until they are needed for the school projects. The School Board requires a monthly financial report for all funds, showing revenues and expenditures at the major and subsidiary object level. Monthly detail and summary reports of all expenditures are provided to all SCPS senior administrators. Monthly vacancy reports are sent to the Superintendent. Grant financial and performance reports are prepared subject to the detailed grant management requirements from the grantor agency. The Commonwealth of Virginia also has a number of reporting requirements, from the Annual School Report on all division expenditures to program specific reports such as homebound teacher costs. Funds for capital improvements shall be kept separate from other operating funds. Capital improvement projects are funded by the following sources: A. General Obligation Bonds The sale of general obligation bonds shall conform to the statutory requirements as specified in the Public Finance Act of the Code of Virginia. B. Temporary Loans The School Board, with the consent of the Board of Supervisors, may borrow funds on a temporary basis as provided in the Public Finance Act. C. Literary Fund The School Board may borrow funds from the Literary Fund without public referendum but with the consent of the Board of Supervisors. D. Virginia Public School Authority The School Board may borrow funds from the Virginia Public School Authority without public referendum but with the consent of the Board of Supervisors. SCPS FY 2019 School Board Approved Budget 30

31 Budget Overview Spotsylvania County Public Schools is the 12th largest school division in the Commonwealth of Virginia with 31 schools and centers providing instructional programming for students. The division is primarily funded by a combination of state, local and federal funds. State funding from the General Assembly includes: Standards of Quality (SOQ) funding - Basic aid, Sales Tax, Special Ed, VRS, Remedial Summer school Incentive program funding - Commonwealth Governor s School, Technology funds Categorical program funding - Adult Education, School Lunch, Special Education Homebound Lottery Proceeds funding - Textbooks, English Learners, Early Reading Intervention The Virginia Code requires the locality to provide a share of funding to Spotsylvania County Public Schools in order for the school division to maintain an educational program that meets the commonwealth's Standards of Quality (SOQ). Direct Aid provided to school divisions is allocated primarily on a per pupil basis. One key formula-driven State funding component is the Local Composite Index (LCI). The LCI determines a locality s ability to pay education costs fundamental to the commonwealth s Standards of Quality (SOQ). The LCI is calculated using three indicators of a locality s ability-to-pay: (1.) true value of real property, (2.) adjusted gross income and (3.) taxable retail sales. Each locality s index is adjusted to maintain an overall statewide local share of 45 percent and an overall state share of 55 percent. Spotsylvania County Public Schools LCI for fiscal years 2018 & 2019 is 36.27%. From the chart below the division s LCI increased during the past three biennium s. When the LCI increases, state funding declines because there is an expectation of increased funding from the locality. Biennium Locality Share State Share % 66.74% % 64.45% % 63.83% % 63.73% While public education is primarily a state and local responsibility, the schools division does receive financial assistance from the federal government in support of specific federal initiatives and mandates. In summary, the fiscal year 2019 School Board Revenue Budget is as follows: $160,000,000 $140,000,000 $120,000,000 $100,000,000 $80,000,000 $60,000,000 $40,000,000 $20,000,000 $- $142,011, % SALES TAX & STATE FUNDS $125,209, % CITY-COUNTY FUNDS $30,799,918 $15,816,412 $17,327, % 4.8% 5.2% LOANS, BONDS, ETC (CIP) FEDERAL FUNDS OTHER FUNDS* *Other Funds include Fund Balance of $894,172 and a Gap of $3,531,657 as of 2/12/18 SCPS FY 2019 School Board Approved Budget 31

32 Budget Overview (Continued) SCPS Strategic Plan continues to serve as the blueprint, guide, and compass for continuous improvement and achievement. Therefore, each year we insure budget goals and allocation of resources are aligned with the strategic goals of preparing all students to be college and career ready through a culture of collaboration with the staff and community in a safe, caring, engaging and healthy learning environment. Overall, funding supports the operation of over 31 facilities. In Spotsylvania, we also have a very large geographical area to support student transportation that requires additional resources. Moreover, our employees are the absolute key to what we do and how well we do it. Consequently, it is important that the division rewards their loyalty, hard work, excellence in performance amidst increasing demands and widespread shortage within employee groups. Further, with increased expectations and accountability at the state and federal levels, it is critical that additional resources are directed towards increasing student achievement. Spotsylvania County Public Schools acknowledges and respects the fiscal realities but is required to meet, maintain and enhance student services. Therefore, the top two School Board budget priorities for fiscal year 2019 are as follows: Increase Employee Compensation Increase Human Capital Resources to Support Student Success Goal #1 - Increase Employee Compensation During the School Year, the division entered into a joint agreement with the Spotsylvania County Government to have a Compensation and Benefit Study performed by Evergreen Solutions, LLC. The study results and recommendations, coupled with the suggestions of the SCPS Employee Compensation Focus Group, representing employee groups and stakeholders, inform and support this goal. Further, teacher vacancies in Virginia have increased by forty percent in the last decade, with one thousand vacant positions in In Virginia, the average teacher salary is ranked 32nd in the Nation by the National Education Association. These statistics correspond to a nationwide decline in teacher program enrollment. Therefore, increasing employee compensation is critical for all staff including teachers. The FY 2019 School Board budget includes the following hybrid compensation plan for all employees after consultation with Evergreen Solutions and based on input from the Employee Compensation Focus Group. 4% pay increase for teachers ⅓ implementation of the Classification Date Parity Solution for non-teachers Bring to Minimum solution (para-educators, instructional technology aides, bus aides, school security officers) in one year The advantages to this hybrid compensation proposal include: All employees will see a pay increase FY19 starting salaries are higher Teachers under step 15 receive a higher pay increase which is important during the national teacher shortage This proposed investment totals $6.8 million. This budget also includes a $5 daily substitute rate increase to assist the division with being more competitive with school divisions in the surrounding area. SCPS FY 2019 School Board Approved Budget 32

33 Budget Overview (Continued) Goal #2 - Increase Human Capital Resources to Enhance Student Success While there are many measures and indicators of quality and student achievement, highlighted below are a few examples that reinforce some of the positive results associated with both our employees and process investments over time. SCPS has been recognized as meeting both state, national and international standards through accreditation measures. You will note that all of our schools are state accredited, 97% fully accredited meeting or exceeding all state required benchmarks. To further validate that quality, AdvancED, the largest national and international accrediting agency recognized SCPS as one of only a small percentage of state school districts to receive District Accreditation. Most recent, our school division s commitment to providing opportunities and educating the whole child through music education was acknowledged as we were recognized as one of 2017 Best Communities for Music Education. We also had 3 schools receive the Blue Ribbon Schools of Music award. Finally, our school division was received the National Association for the Education of Homeless Children and Youth Award, acknowledging our school division s outstanding work and support of our homeless population. All for schools within the division for academic year were fully accredited except for one school. Our on-time graduation rate for 2017 is 90%. The Division continues to see an increase in participation in Advanced Placement (AP) courses and encourages earlier participation starting in the 9th grade, and participation by non-traditional AP students which supports our focus on equity. Performance on more rigorous state grade level and end of course tests demonstrate both improvement and the need for additional targeted resources and supports to close achievement gaps. In an effort to meet the new criteria set forth by the state called Profile of a Virginia Graduate beginning with this Fall, our rising Freshman, current 8th graders, additional resources will facilitate the achievement of this new expectation. The shift is from our current lens of content attainment to workforce readiness skills such as the 5 C s or Critical Thinking, Collaboration, Communication, Creative Thinking, and Citizenship. Our division has been working tirelessly to be prepared for this significant change. With continued increases in students with disabilities and students with English as a Second Language and with the goal of preparing all students for their future, goal two is to provide additional human capital resource supports in the areas of teachers, para-educators, social workers, counselors, Instructional Technology Assistants (ITAs), Occupational Therapists, and various other positions. The total cost of goal two $3.6 million. By making this investment, the division will be able to target and utilize resources to increase student success. This budget also includes: Elimination of the student activity fees resulting in loss of revenue of $172,651 Expansion of the Academic and Athletic after school transportation pilot program at a cost of $100,000 Academic and Athletic Stipends being restored to the original FY2009 levels at a cost of $22,827 Increase the daily substitute rate by $5 at the cost of $113,856 Discontinuance of outsourcing custodial services provided to the schools and with a transition to in-house staff, at an additional cost of $289,772 Debt Service cost with a net increase of $1,466,911 Departmental increases at a cost of approximately $1,347,206 SCPS FY 2019 School Board Approved Budget 33

34 Revenue Highlights All Funds The FY 2019 School Board s Approved Revenue Budget is $331,163,947 or 4.6% increase. However, less Capital Improvement Plan (CIP) the revenue budget is $300,364,029 representing a net increase of 3.8% over fiscal 2018 Adopted Revenue Budget. The total revenue budget consists of six revenue sources: State Sales Tax, Other State Funds, Federal Funds, City-County Funds, Other Funds, and Loans and Bonds Funds. The primary sources of revenue for SCPS are State Funds and City-County Appropriations. State Revenues The combined State Sales Tax and other State Funds equates to $142,011,598, an increase of $7,363,203 or 5.5% from FY 2018 to FY These revenues represent approximately 42.9% of SCPS s FY 2019 revenues. Federal Revenues Federal funds total $15,816,412, a decrease of $178,826 or 1.1% from FY 2018 to FY This net decrease is primarily due to a projected decrease in Title I federal funds. Federal revenues represent 4.8% of SCPS FY 2019 revenues. City-County (Local) Revenues This budget includes a City-County Appropriation of $125,209,004, an increase of $1,133,689 or 0.9%, which includes a loss of one-time funds in the amount of $333,222, in FY Local revenues represent 37.8% of the SCPS FY 2019 revenues. Other Revenues The Other revenues total is $17,327,015, which includes FY 2019 Fund Balance of $894,172 and a budget gap of $3,531,924. Excluding the fund balance and the gap, the Other Revenues line has declined by ($366,189) primarily due to loss in athletic fee revenues and facility use revenues. Other revenues represent 5.2% of SCPS total budget in FY Loans and Bonds Revenue (CIP) Loans and bonds revenue total $30,799,918, an increase of $3,438,471 or 12.6% more than FY This increase is primarily associated with the scheduled renovation of Courtland High School. CIP revenues are restricted and represents 9.3% of SCPS total budget in FY SCPS FY 2019 School Board Approved Budget 34

35 SCPS FY 2019 School Board Approved Budget 35

36 Major Budget Changes in Expenditures for All Funds The FY 2019 School Board Approved Budget Expenditure Budget is $331,163,947. The FY 2019 School Board Approved Budget includes the major budget adjustments below in an effort to retain and attract high quality staff coupled with allocating resources to enhance student success. Compensation Proposal Description Amount 4% Pay Increase Teachers (Year One of Three) $ 4,759,758 2% Pay Increase Non-Teachers (Year One of Three) $ 1,091,932 Evergreen Study Recommendations - Bring to Minimum (One Year) and Classification Date Parity (Year One of Three Years) $ 967,822 Total $ 6,819,512 Investment in Human Capital Resources Description Amount 28 Instruction Contracted Positions $ 2,029, Special Education Contracted Positions $ 1,279,782 8 Technology ITA Contracted Positions $ 319,088 Total - 60 Contracted Positions $ 3,628,700 Department Increases Description Cost Instruction Non-comp $ 354,125 Instruction - Dual Enrollment $ 66,125 Print Shop $ 5,000 Human Resources $ 24,286 Finance $ 16,500 Health Services $ 35,319 Transportation Services $ 194,455 Maintenance Services $ 121,862 Joint Fleet Service Fund Balance Use Adj. $ 60,172 Food Service Fund Balance Use Adj. $ 469,362 Total $ 1,347,206 SCPS FY 2019 School Board Approved Budget 36

37 Program Initiatives Description Cost Debt Service Increase $ 1,466,911 Special Education Hourly Paraeducators, Increase in Substitute Budget Lines & Contracted Services $ 2,464,901 Elimination of the Student Athletic Fee $ 172,651 Daily Substitute Rate Increase - $5 Daily $ 113,856 Fully Restore Academic & Athletic Stipends $ 22,827 Activity Bus Pilot Expansion $ 100,000 In -house Custodial Services Transition $ 289,772 Balancing Grants & Other Adjustments $ 157,316 Total $ 4,788,234 Projected Total Increases $ 16,583,652 In order for the Division to remain financially viable, hire and retain quality staff and increase student outcomes, the division is hopeful that state and local funding will continue to increase in FY 2019 and in the out years. SCPS FY 2019 School Board Approved Budget 37

38 SCPS FY 2019 School Board Approved Budget 38

39 Expenditure Highlights All Funds The FY 2019 School Board Approved Budget Expenditure Budget is $331,163,947. Expenditure Adjustments by Category This Approved budget includes eight major expenditure categories: instruction, administration (which includes administrative personnel as well as attendance and health services personnel), transportation/fleet services, maintenance services, capital projects, technology, debt service, and food services. Instruction The Approved Instruction expenditure budget by category is $199,607,033 or 60.3% of the total budget. The net increase is $7,346,521 or 3.8%. The total Instruction budget includes: Funds 1, 2, 4 and 5. Administrative Services/Attendance/Health and Psychological Services The Approved Administration expenditure budget by category is $10,788,798 or 3.3% of the total budget which reflects a net increase of $307,343 or 2.9%. Transportation/Fleet Services The Approved Transportation/Fleet combined expenditure budget by category is $21,198,339 or 6.4% of the total budget, which includes an increase of $433,955 or 2.1%. The total Transportation budget includes: Funds 1, 5 and 7. Maintenance Services The Approved Maintenance expenditure budget by category is $22,140,573 or 6.7% of the total budget, which reflects an increase of $354,562 or 1.6%. The total Maintenance Services budget includes Funds 3 and 5. Capital Projects The Approved Capital Projects budget is $30,799,918 or 9.3% of the total budget, which includes a $3,438,471 increase or 12.6%. This increase is due to the division s planning to address deferred capital maintenance, transportation, and technology purchases as well as purchasing needed items in alignment with the school division s capital improvement plan and division-wide strategic plan. Technology Services The Approved FY 2019 Technology Services expenditure budget by category is $9,153,880, which is 2.8% and reflects a $439,811 increase or 5.0%. The total Technology budget includes: Fund 1 and Fund 5. Debt Service The Approved budget for Debt Service is $27,048,808 or 8.1% of the total budget, which includes a $1,466,912 increase or 5.7%, due primarily to the issuance of new debt on bonds to fund the Adopted CIP for FY Food Services The Approved Food Service expenditure budget by category is $10,428,600, or 3.1% of the total budget, which includes an increase of $647,093 or 6.6%. SCPS FY 2019 School Board Approved Budget 39

40 SCPS FY 2019 School Board Approved Budget 40

41 Expenditure Highlights by Generic Objects Salaries/Wages The approved salaries/wages expenditure budget is $159,818,154, which reflects a net increase of $10,165,277 or 6.8%. Increased accountability and compliance requirements means the division should target its resources to support student success. FY08 Adopted FTEs (Base Year) FY12 Adopted FTEs FY13 Adopted FTEs FY14 Adopted FTEs FY15 Adopted FTEs FY16 Adopted FTEs FY17 Adopted FTEs FY18 Adopted FTEs FY19 Approved FTEs 3,307 3,026 3,027 3,010 3,018 3,079 3,107 3,095 3,188 Between FY 2008 and FY 2019 the division eliminated approximately 119 net full-time equivalent (FTE) positions, primarily through attrition (of which 64 were deleted from FY 2011, FY 2017 & FY 2018). Most of the positions were eliminated through a voluntary Early Retirement Incentive Program (ERIP) with the effective dates of June 30, 2009, June 30, 2010, June 30, 2011, and June 30, FY 2019 approved budget position increases are all in the area of instruction. Fiscal Year FY12 Adopted FY13 Adopted FY14 Adopted FY15 Adopted FY16 Adopted FY17 Adopted FY18 Adopted FY19 Approved Salary Adjustments 1% COLA & Prorated $600 Bonus None 5.8% pay raise was to offset the 5% Employee VRS Pick Up Prorated $900 bonus Step Increase & 1% COLA 3% COLA 2% COLA 2% COLA 4% Teachers 2% Nonteachers plus Evergreen Solutions After consultation with Evergreen Solutions and through the feedback from the Employee Compensation Focus Group, the 3 year phased hybrid compensation plan for employees includes: 4% pay increase for our teachers (Year One of Three) ⅓ implementation of the classification solution for non-teachers (Year One of Three) Bring to Minimum solution (para-educators, instructional technology aides, bus aides, school security officers) (Year One Full Implementation) The advantages to this hybrid compensation proposal include: All employees will see a pay increase FY 2019 starting salaries are higher Teachers under step 15 will receive a higher pay increase which is important during the teacher shortage we are experiencing SCPS FY 2019 School Board Approved Budget 41

42 Expenditure Highlights by Generic Objects (continued) Employee Benefits - The Approved benefits expenditure budget is $73,311,201, which reflects an increase of $145,083 or 0.2%. The net small increase is attributable to several factors including decreased professional and non-professional VRS rates and health insurance costs for Spotsylvania. The specific annual health insurance and VRS/GLI trend data are as follows in the chart below: VRS/Retiree Health Credit Rate (Professional Group) 20.56% (15.56% Paid by employer, 5% paid by employee) 20.12% (15.12% Paid by employer, 5% paid by employee) 20.77% (15.77% Paid by employer, 5% paid by employee) 22.55% (17.55% Paid by employer, 5% paid by employee) 21.88% (16.88% Paid by employer, 5% paid by employee) VRS Rates (Non-Professional Group) 13.17% (8.17% Paid by employer, 5% paid by employee) 13.17% (8.17% Paid by employer, 5% paid by employee) 11.62% (6.62% Paid by employer, 5% paid by employee) 11.62% (6.62% Paid by employer, 5% paid by employee) 11.3% (6.30% Paid by employer, 5% paid by employee) Health Insurance Rate Increases 2% Paid by the employer 1% paid by the employee No increases 11.8% Paid by the employer 5% paid by the employee 5.3% Paid by the employer 5% paid by the employee No Increase for Employer Varied Increases for Employees Group Life Insurance Rate Increases 1.19% (Paid by employer) 1.19% (Paid by employer) 1.31% (Paid by employer) 1.31% (Paid by employer) 1.31% (Paid by employer) Employee Benefits Major Trends - In FY 2014, the school division introduced a new health insurance plan that was a mid-level plan, which had benefits between the most robust plan and the lowest benefit plan. In introducing the new plan, the employee's rates for the most robust plan the prior year became the employee's rate for the new mid-level plan, essentially having the employee buy up to the most robust plan benefit. In addition, the employer rates were set to give the same contribution levels to the most robust and lowest plan. Thus, if an employee chose to remain on the more robust plan, as a single subscriber they saw a monthly increase in premium in the amount of $34.75 or 39%. In FY 2017, the division added a fourth health plan called the Bronze Plan for non-contracted employees to minimize potential Health Reform penalties. In FY 2018, the school division renegotiated prescription drug costs, raised its stop-loss deductible, increased dental premiums to employee by 25%, and employee medical premiums by 5% and reduced employer health care costs by $1.8 million. To build capacity, the division has continued to review and implement health insurance modernization strategies. The FY 2019 modernization strategies include, increasing employee contributions since many employees have stated that they are willing to keep the rich plan and pay for it, add a new employee plus spouse tier, revise the KeyCare Expanded plan design by increasing copays by $5, revise Prescription drug copayment charges, add a new tier 4, and eliminate the KeyCare 200 plan. Overall, for the FY 2018 Approved Budget, salaries/wages and employee benefits comprise 70.4% or $233,129,355 million of the total budget. When CIP and debt service expenditures are excluded, salaries/wages and employee benefits make up 85% of the budget. SCPS FY 2019 School Board Approved Budget 42

43 Retiree Health Insurance (GASB45) In June 2004, the Government Accounting Standards Board (GASB) released Statement 45, which revised the Generally Accepted Accounting Principles (GAAP) accounting standards for post-employment benefits other than pensions. This standard applies to post-employment medical benefits that are provided to school and government employees. Prior to the new standard, these benefits were accounted on a pay-as-you-go basis. The new standard requires that these benefits be accounted for on an accrual basis. On June 27, 2011, the School Board established a trust fund with the contribution of $1.4 million. This trust fund contribution was funded by FY 2011 carryover funds. As of June 20, 2017, the trust fund market value is $2.8 million. An additional $1 million OPEB contribution was deposited in FY 2016 from FY 2014 carryover funds. SCPS retiree health, dental, and prescription insurance premium expenditures as follows: Retiree Insurance Premium Expenditure Trend Data FY 2009 Actual $1.8 million FY 2010 Actual $2.3 million FY 2011 Actual $2.7 million FY 2012 Actual $3.2 million FY 2013 Actual $3.5 million FY 2014 Actual $3.7 million FY 2015 Actual $3.9 million FY 2016 Actual $4.3 million FY 2017 Actual $4.5 million FY 2018 Adopted Budget $4.9 million FY 2019 Approved Budget $4.9 million Over the past few years, the School Board has taken several actions to reduce its retiree health insurance liability. Several School Board policies were revised to modify retirement eligibility requirements and the division s retiree health insurance contribution amounts. In FY 2014, the school division added a mid-level health insurance plan for active employees and retired employees who are not yet Medicare eligible. In addition, the Division has outsourced custodial services and student dining services to reduce post-employment benefit payments. As medical costs continue to increase, the School Board will continue to implement initiatives to lower the school division s retiree health insurance expenditures over time. The school division is currently creating a five year health insurance strategic plan in hopes of providing quality insurance benefits within the available resources. Cumulative health insurance savings for FY18 and potentially for FY19 is a total of $3.6 million. SCPS FY 2019 School Board Approved Budget 43

44 Expenditure Highlights by Generic Objects (continued) Purchased Services The Purchased Services expenditure budget is $43,784,711, which reflects an increase of $4,316,807 or 10.9%. This object code primarily consists of services acquired from outside sources on a fee basis or fixed income contract basis. The majority of the increase is directly related to the beginning of the Courtland High School renovation within the CIP plan. Other Charges The Other Charges expenditure budget is $9,700,577, which reflects an increase of $11,521 or 0.1%. This object code includes utility, travel, and insurance costs. This decrease is primarily due to projected savings in Fuel, Oil, and Gas as well as miscellaneous fees. Materials and Supplies The Materials and Supplies expenditure budget is $12,831,118, which reflects a decrease of ($1,316,913) or (9.3%). This object code includes articles or commodities that are consumed or materially altered when used and minor equipment that is not capitalized, including any equipment costing less than $5,000. The majority of the decrease is directly related to the CIP plan. Capital Outlay The Capital Outlay expenditure budget is $4,701,377 which reflects a decrease of ($354,020) or (7.0%). This object code includes outlays that result in the acquisition of or additions to capitalized assets costing $5,000 or more. This is primarily due to the increase in the CIP pertaining to the purchase of replacement buses and funding capital maintenance projects. Debt Service The budget for FY 2019 Debt Service is $27,048,808, which is a $1,466,912 increase or 5.7% over the FY 2018 Adopted budget. This is a net increase with new debt service issuances for FY 2019 CIP being offset by the retirement of older bond series. The total debt service budget is $27,016,808 after including $32,000 in bank fees. In summary, resources are being targeted to provide employee pay increases, human capital to support success for an increasingly diverse student population, and budget adjustments for other programmatic adjustments. The $3.5 million gap as of February 12 the division hopes will be resolved through additional funding at all levels; state, federal, and local. SCPS FY 2019 School Board Approved Budget 44

45 Fiscal Year 2019 Expenditure Summary by Object - All Funds Fund 1 Governor's School Fund 2 Detention Center Fund 3 Food Services Fund 4 Regional Adult Ed Fund 5 Cip* Fund 5 Operating Fund 7 Fleet Service Object Description Total 1110 COMP OF DIRECTORS $ 121,172 $ - $ - $ - $ - $ 2,364,709 $ 119,201 $ 2,605, COMP OF BOARD MEMBERS ,000-84, COMP OF SUPERINTENDENT , , COMP OF ASST SUPTS , , TRAVEL ALLOWANCE ,400-18, RECERTIFICATION SPCLST ,608-92, SPECIALISTS , , COMP OF TEACHERS 689, , ,728-98,323, ,080, COORDINATOR ,066,520-1,066, COMP OF INST SUPERVISORS , , COMP OF PRINCIPALS - 120, ,613,008-3,733, COMP OF ASS'T PRINCIPALS ,483,334-3,483, COMP-PROF SUPV PERSONNEL , ,151-1,215, COMP OF SCHOOL NURSES ,358,564-1,358, COMP OF PSYCHOLOGISTS ,053,699-1,053, COMP OF SOCIAL WORKERS ,366,860-1,366, SUPERVISOR , , SUPERVISOR - MAINTENANCE , , COMP OF THERAPISTS , , COMP-TECHNICAL PERSONNEL 91, ,566,346-1,657, COMP OF TEACHER ASS'TS ,252-9,703,551-9,748, COMP-HEALTH/SAFETY OFFICE , , COMP OF CAFETERIA WORKERS , , COMP OF CLERICAL STAFF 56,334 44,462 42,081 32,739-5,956,336 87,547 6,219, HOURLY PARA ,182,427-1,182, COMP OF MAINT EMPLOYEES , ,765,607-2,806, COMP OF MECHANICS , , DRIVER PAY ,623,825-5,623, COMP OF CUSTODIANS ,872,465-2,872, COMP OF MECHANICS - O/T ,500 3, COMP OF MAINTENANCE - O/T ,000-68, DRIVER OVER 20 HOURS ,295,110-1,295, DRIVER OVER 40 HOURS ,000-10, AIDES OVER 20 HOURS , , AIDES OVER 40 HOURS ,000-3, CUSTODIANS/OVERTIME/SUBS ,063-44, OVERTIME-FLSA ,000-70, HOURLY CUSTODIAN ,365,300-1,365, COMP OF HOMEBOUND TCHRS , , THERAPISTS - PART-TIME ,836-73, DRIVER AIDE , , CLERICAL - PART-TIME ,625-54,281-60, MAINTENANCE - SUMMER , , COMP OF SUB TEACHERS - 6, ,350,413-2,356, COMP-NURSING SUBSTITUTE ,438-60, CAFETERIA MONITORS , , CLERICAL - SUBS/OVERTIME ,359-34, NON-CONTRACTED DRIVER ,400-92, NON-CONTRACTED BUS AIDE ,256-25,256 SCPS FY 2019 School Board Approved Budget 45

46 Fiscal Year 2019 Expenditure Summary by Object - All Funds Fund 1 Governor's School Fund 2 Detention Center Fund 3 Food Services Fund 4 Regional Adult Ed Fund 5 Cip* Fund 5 Operating Fund 7 Fleet Service Object Description Total 1600 COMP - SUPPLEMENTS ,281,690 6,200 1,287, SUPPLEMENTAL PAY ,000 1,475-1,582,403-1,621, SUPP PAY/SUMMER ENRICHMT 3, , NON-CONTRACTED COMP ,128-8, FACILITY USE - OVERTIME - - 1, ,000-41, NATIONAL BOARD TCHR BONUS , , FICA 69,763 51,682 97,864 45,220-10,939,295 68,453 11,272, VRS (PLAN 1 & 2) 146,304 94, ,196 28,321-17,860,975 68,501 18,341, VRS (HYBRID) 3,851 16,171 7, ,584,690 13,244 3,625, HOSPITALIZATION 125, , ,211 37,269-28,416, ,888 29,389, RETIREE HEALTH INSURANCE , ,541,520 29,120 3,690, RETIREE PRESCRI DRUG PROG , ,631-1,064, DENTAL INSURANCE 6,632 5,260 24,218 1,785-1,378,215 8,532 1,424, RETIREE DENTAL INSURANCE - - 2, ,985 1, , GROUP LIFE INSURANCE 12,545 9,254 16,846 2,366-1,858,856 12,529 1,912, DISABILITY INS (PLAN 1&2) 2,353 1,589 4, ,452 2, , DISABILITY INS (HYBRID) , , SUPERINTENDENT'S ANNUITY ,000-12, ANNUITY FOR NON-VRS EMP ,000-36, RETIREE HEALTH CREDIT 11,491 8,477 8,350 2,167-1,590,118 2,749 1,623, RETIREE SICK LEAVE PAY , , , ANNUAL LEAVE PAYOFF ,991 4, , PURCHASED SERVICES 80,000-60,000 13,098 23,135,500 4,708, ,300 28,133, PROFESSIONAL IMPROVEMENT , ,360 2, , PRINTING/BINDING 4, ,126-23, WORKER'S COMPENSATION , , , RECRUITING EXPENSES ,010-20, STAFF TRAINING ,454-2, STUDENT TRAINING ,263-3, VERIZON MAINTENANCE 50, , FEES & RELATED SERVICES - - 7,732, ,605-7,752, UNIFORM RENTALS ,874 4,500 14, INSTRUCTIONAL DEVELOPMENT 15, , TUITION ASSISTANCE FIELD TRIPS 75, , MEDICAL SERVICES ,020-15, PROFESSIONAL SERVICES ,152-30, TESTING SERVICES ,085-24, LEGAL FEES , , VEHICLE REPAIRS 1, , , BUS REPAIRS ,985,426-1,985, REPAIRS TO EQUIPMENT , ,490 3, , MAINT SERVICES - BLDGS ,000-80, TECHNICAL MAINTENANCE , , OTHER BUS REPAIRS ,000-10, MAINTENANCE CONTRACTS , ,644 14, , LEASE/RENTAL CONTRACTS ,599-3, XEROX MAINTENANCE 3, , D P SOFTWARE SUPPORT , , IN-LIEU-OF TRANSPORTATION ,826-42, TRANS SERVICE BY CONTRACT , , ADVERTISING ,266-8, ROBOTICS/TEAM COACHING 5, , REGIONAL TUITION ,447,794-2,447,794 SCPS FY 2019 School Board Approved Budget 46

47 Fiscal Year 2019 Expenditure Summary by Object - All Funds Fund 1 Governor's School Fund 2 Detention Center Fund 3 Food Services Fund 4 Regional Adult Ed Fund 5 Cip* Fund 5 Operating Fund 7 Fleet Service Object Description Total 5101 ELECTRICITY ,208,868 75,000 5,283, FUEL OIL/GAS ,539,391 15,000 1,554, WATER/SEWAGE FEES ,256 4, , POSTAGE 1,000-4, ,016-57, UPS SERVICE ,769-1, TELEPHONE 4,463-1, ,717 1, , DATA COMMUNICATION LINES , , SITE CONNECTIONS 100, , FIRE & LIABILITY INS 2, , , UNEMPLOYMENT COMP INS ,681-25, FLEET INSURANCE ,494 1, , LEASE/RENTALS 9,344-5,000 4, ,792 2, , TRAVEL 8,500-10,000 1, , , MISCELLANEOUS , , , DUES/LICENSES , , SUBSCRIPTIONS/JOURNALS ,578-3, MEMBERSHIPS (PROGRAMS) ,981-18, MEMBERSHIPS (DIVISION) ,400-60, MATERIALS & SUPPLIES 97,202-77,600 12,936-2,166,574-2,354, OFFICE SUPPLIES , ,333 1, , TEXTBOOKS , , MEDICAL & DENTAL SUPPLIES ,382-66, CUSTODIAL SUPPLIES , , AGRICULTURAL SUPPLIES ,914-25, BUILDING SUPPLIES , , GASOLINE/OIL/LUBRICANTS 2, ,337,676 10,000 1,350, REPAIR PARTS/SUPPLIES , , ,842 1,361, LIBRARY BOOKS & SUPPLIES , , OTHER OPERATING SUPPLIES ,689 14,296 32, ATHLETIC SUPPLIES ,167-47, COMPUTER SUPPL/SOFTWARE 26, ,429,698 2,545 1,458, TESTING MATERIALS ,965-92, UNIFORMS ,229 1,000 3, SAFETY SUPPLIES ,877-1, OTHER EXPENSES FOR BOARD ,500-1, TECHNOLOGY SUPPLIES ,405, ,000-3,523, TIRES & TUBES - NEW , , TIRES - RECAPPED ,000 62, CLEANING SUPPLIES ,500 1, ASSISTIVE TECHNOLOGY ,300-32, COMPUTER SOFTWARE ,514-62, COMPUTER SUPPLIES , , SCHOOL SUPPORT SUPPLIES ,578-43,578 SCPS FY 2019 School Board Approved Budget 47

48 Fiscal Year 2019 Expenditure Summary by Object - All Funds Fund 1 Governor's School Fund 2 Detention Center Fund 3 Food Services Fund 4 Regional Adult Ed Fund 5 Cip* Fund 5 Operating Fund 7 Fleet Service Object Description Total 6042 PARENT EDUCATION SUPPLIES ,500-1, BAND SUPPLIES ,308-60, ACADEMIC ACTIVITIES SUPP ,579-33, FLUIDS/LUBRICANTS ,000 63, FOOD ,934-31, EMPLOYEE RECOGNITION PROG ,000-6, INSTRUCT PROGRAM SUPPLIES ,900-16, GUIDANCE SUPPLIES ,651-6, STRINGS PROGRAM SUPPLIES ,850-37, TESTING SUPPLIES ,137-16, SUPPLEMENTAL MATERIALS ,461-47, CHORUS PROGRAM ,252-16, REIMBURSEMENT-FACILTY USE ,795-2, ATHLETIC TRAINER SUPPLIES ,231-8, TRAINING MATERIALS FURNISHINGS-REPL-UNDER 5K , , INSTR. SUPPLEMENTAL MAT. 85, , TECH MAINT/UPGRADES 213, , SUM/NEW STUDENT ORIENT 1, , SUMMER ENRICHMENT 5, , DONATIONS-SPECIAL PROGRAM , , REPLACEMENT EQUIPMENT , ,131 43, , REPLACEMENT OF BUSES ,770, ,770, NEW EQUIPMENT ,000 19,236 43, , BUSES - ADDITIONAL , , PRINCIPAL - BONDS ,706,452-19,706, INTEREST - BONDS ,310,356-7,310,356 Grand Total $ 2,129,191 $ 1,005,638 $ 11,322,972 $ 765,970 $ 30,799,918 $ 282,319,975 $ 2,820,282 $ 331,163,947 SCPS FY 2019 School Board Approved Budget 48

49 Allocation of Positions Total full-time equivalent (FTE) positions in the FY 2018 School Board Adopted Budget was 3,095. Since the start of the school year, 6 teaching positions at the elementary level were added to the budget and paid with additional State funds due to increased enrollment. In addition, 12 head custodian positions were added to the budget along with 14 day custodian positions. The custodial services function is now staffed internally in order to improve the quality of the janitorial services being performed for schools. Further, an attendance secretary position was added into the budget. Therefore, the revised FTE count for FY 2018 is 3,128. The FY 2019 School Board Approved Budget FTE count is 3,188 and includes the following 60 positions. The costs of the 60 new FTE positions proposed is $3.6 million (see additional details below). Summary Position Data # FTE Department Amount 28 Instruction Contracted Positions $ 2,029, Special Education Contracted Positions (SPED) $ 1,279,782 8 Instructional Technology Assistants (ITA) $ 319, Totals $ 3,628,700 Detail Position Breakdown # FTE Department Amount 16 Regular Education Teachers $ 1,074,083 1 Gifted Resource Teacher $ 67,130 5 Social Workers (10 Month) $ 361,208 3 Counselors (11 Month) $ 234,577 1 Assistant Principal $ 124,538 2 Administrative Interns $ 168,294 8 Instructional Technology Assistants (ITA) $ 319, SPED-Early Childhood Special Education (ECSE) Teachers (4) & ECSE Paraeducators (8) $ 581,317 3 SPED-Courthouse Academy Teacher (1) & Courthouse Academy Paraeducators (2) $ 145,329 2 SPED-Speech Language Pathologists $ 150,484 2 SPED-Occupational Therapists $ 150,484 3 SPED-Gateway Academy Teacher (1) & Gateway Academy Paraeducators (2) $ 145,329 1 SPED-Adaptive PED Teacher $ 68,348 1 SPED-Signing Assistant $ 38, Totals $ 3,628,700 SCPS FY 2019 School Board Approved Budget 49

50 SCPS FY 2019 School Board Approved Budget 50

51 SCPS FY 2019 School Board Approved Budget 51

52 SCPS FY 2019 School Board Approved Budget 52

53 Fiscal Year 2019 Expenditure Summary by Object - All Funds Fund 1 Governor's School Fund 2 Detention Center Fund 3 Food Services Fund 4 Regional Adult Ed Fund 5 Cip* Fund 5 Operating Fund 7 Fleet Service Object Description Total 1110 COMP OF DIRECTORS $ 121,172 $ - $ - $ - $ - $ 2,364,709 $ 119,201 $ 2,605, COMP OF BOARD MEMBERS ,000-84, COMP OF SUPERINTENDENT , , COMP OF ASST SUPTS , , TRAVEL ALLOWANCE ,400-18, RECERTIFICATION SPCLST ,608-92, SPECIALISTS , , COMP OF TEACHERS 689, , ,728-98,323, ,080, COORDINATOR ,066,520-1,066, COMP OF INST SUPERVISORS , , COMP OF PRINCIPALS - 120, ,613,008-3,733, COMP OF ASS'T PRINCIPALS ,483,334-3,483, COMP-PROF SUPV PERSONNEL , ,151-1,215, COMP OF SCHOOL NURSES ,358,564-1,358, COMP OF PSYCHOLOGISTS ,053,699-1,053, COMP OF SOCIAL WORKERS ,366,860-1,366, SUPERVISOR , , SUPERVISOR - MAINTENANCE , , COMP OF THERAPISTS , , COMP-TECHNICAL PERSONNEL 91, ,566,346-1,657, COMP OF TEACHER ASS'TS ,252-9,703,551-9,748, COMP-HEALTH/SAFETY OFFICE , , COMP OF CAFETERIA WORKERS , , COMP OF CLERICAL STAFF 56,334 44,462 42,081 32,739-5,956,336 87,547 6,219, HOURLY PARA ,182,427-1,182, COMP OF MAINT EMPLOYEES , ,765,607-2,806, COMP OF MECHANICS , , DRIVER PAY ,623,825-5,623, COMP OF CUSTODIANS ,872,465-2,872, COMP OF MECHANICS - O/T ,500 3, COMP OF MAINTENANCE - O/T ,000-68, DRIVER OVER 20 HOURS ,295,110-1,295, DRIVER OVER 40 HOURS ,000-10, AIDES OVER 20 HOURS , , AIDES OVER 40 HOURS ,000-3, CUSTODIANS/OVERTIME/SUBS ,063-44, OVERTIME-FLSA ,000-70, HOURLY CUSTODIAN ,365,300-1,365, COMP OF HOMEBOUND TCHRS , , THERAPISTS - PART-TIME ,836-73, DRIVER AIDE , , CLERICAL - PART-TIME ,625-54,281-60, MAINTENANCE - SUMMER , , COMP OF SUB TEACHERS - 6, ,350,413-2,356, COMP-NURSING SUBSTITUTE ,438-60, CAFETERIA MONITORS , , CLERICAL - SUBS/OVERTIME ,359-34, NON-CONTRACTED DRIVER ,400-92, NON-CONTRACTED BUS AIDE ,256-25,256 SCPS FY 2019 School Board Approved Budget 53

54 Fiscal Year 2019 Expenditure Summary by Object - All Funds Fund 1 Governor's School Fund 2 Detention Center Fund 3 Food Services Fund 4 Regional Adult Ed Fund 5 Cip* Fund 5 Operating Fund 7 Fleet Service Object Description Total 1600 COMP - SUPPLEMENTS ,281,690 6,200 1,287, SUPPLEMENTAL PAY ,000 1,475-1,582,403-1,621, SUPP PAY/SUMMER ENRICHMT 3, , NON-CONTRACTED COMP ,128-8, FACILITY USE - OVERTIME - - 1, ,000-41, NATIONAL BOARD TCHR BONUS , , FICA 69,763 51,682 97,864 45,220-10,939,295 68,453 11,272, VRS (PLAN 1 & 2) 146,304 94, ,196 28,321-17,860,975 68,501 18,341, VRS (HYBRID) 3,851 16,171 7, ,584,690 13,244 3,625, HOSPITALIZATION 125, , ,211 37,269-28,416, ,888 29,389, RETIREE HEALTH INSURANCE , ,541,520 29,120 3,690, RETIREE PRESCRI DRUG PROG , ,631-1,064, DENTAL INSURANCE 6,632 5,260 24,218 1,785-1,378,215 8,532 1,424, RETIREE DENTAL INSURANCE - - 2, ,985 1, , GROUP LIFE INSURANCE 12,545 9,254 16,846 2,366-1,858,856 12,529 1,912, DISABILITY INS (PLAN 1&2) 2,353 1,589 4, ,452 2, , DISABILITY INS (HYBRID) , , SUPERINTENDENT'S ANNUITY ,000-12, ANNUITY FOR NON-VRS EMP ,000-36, RETIREE HEALTH CREDIT 11,491 8,477 8,350 2,167-1,590,118 2,749 1,623, RETIREE SICK LEAVE PAY , , , ANNUAL LEAVE PAYOFF ,991 4, , PURCHASED SERVICES 80,000-60,000 13,098 23,135,500 4,708, ,300 28,133, PROFESSIONAL IMPROVEMENT , ,360 2, , PRINTING/BINDING 4, ,126-23, WORKER'S COMPENSATION , , , RECRUITING EXPENSES ,010-20, STAFF TRAINING ,454-2, STUDENT TRAINING ,263-3, VERIZON MAINTENANCE 50, , FEES & RELATED SERVICES - - 7,732, ,605-7,752, UNIFORM RENTALS ,874 4,500 14, INSTRUCTIONAL DEVELOPMENT 15, , TUITION ASSISTANCE FIELD TRIPS 75, , MEDICAL SERVICES ,020-15, PROFESSIONAL SERVICES ,152-30, TESTING SERVICES ,085-24, LEGAL FEES , , VEHICLE REPAIRS 1, , , BUS REPAIRS ,985,426-1,985, REPAIRS TO EQUIPMENT , ,490 3, , MAINT SERVICES - BLDGS ,000-80, TECHNICAL MAINTENANCE , , OTHER BUS REPAIRS ,000-10, MAINTENANCE CONTRACTS , ,644 14, , LEASE/RENTAL CONTRACTS ,599-3, XEROX MAINTENANCE 3, , D P SOFTWARE SUPPORT , , IN-LIEU-OF TRANSPORTATION ,826-42, TRANS SERVICE BY CONTRACT , , ADVERTISING ,266-8, ROBOTICS/TEAM COACHING 5, , REGIONAL TUITION ,447,794-2,447,794 SCPS FY 2019 School Board Approved Budget 54

55 Fiscal Year 2019 Expenditure Summary by Object - All Funds Fund 1 Governor's School Fund 2 Detention Center Fund 3 Food Services Fund 4 Regional Adult Ed Fund 5 Cip* Fund 5 Operating Fund 7 Fleet Service Object Description Total 5101 ELECTRICITY ,208,868 75,000 5,283, FUEL OIL/GAS ,539,391 15,000 1,554, WATER/SEWAGE FEES ,256 4, , POSTAGE 1,000-4, ,016-57, UPS SERVICE ,769-1, TELEPHONE 4,463-1, ,717 1, , DATA COMMUNICATION LINES , , SITE CONNECTIONS 100, , FIRE & LIABILITY INS 2, , , UNEMPLOYMENT COMP INS ,681-25, FLEET INSURANCE ,494 1, , LEASE/RENTALS 9,344-5,000 4, ,792 2, , TRAVEL 8,500-10,000 1, , , MISCELLANEOUS , , , DUES/LICENSES , , SUBSCRIPTIONS/JOURNALS ,578-3, MEMBERSHIPS (PROGRAMS) ,981-18, MEMBERSHIPS (DIVISION) ,400-60, MATERIALS & SUPPLIES 97,202-77,600 12,936-2,166,574-2,354, OFFICE SUPPLIES , ,333 1, , TEXTBOOKS , , MEDICAL & DENTAL SUPPLIES ,382-66, CUSTODIAL SUPPLIES , , AGRICULTURAL SUPPLIES ,914-25, BUILDING SUPPLIES , , GASOLINE/OIL/LUBRICANTS 2, ,337,676 10,000 1,350, REPAIR PARTS/SUPPLIES , , ,842 1,361, LIBRARY BOOKS & SUPPLIES , , OTHER OPERATING SUPPLIES ,689 14,296 32, ATHLETIC SUPPLIES ,167-47, COMPUTER SUPPL/SOFTWARE 26, ,429,698 2,545 1,458, TESTING MATERIALS ,965-92, UNIFORMS ,229 1,000 3, SAFETY SUPPLIES ,877-1, OTHER EXPENSES FOR BOARD ,500-1, TECHNOLOGY SUPPLIES ,405, ,000-3,523, TIRES & TUBES - NEW , , TIRES - RECAPPED ,000 62, CLEANING SUPPLIES ,500 1, ASSISTIVE TECHNOLOGY ,300-32, COMPUTER SOFTWARE ,514-62, COMPUTER SUPPLIES , , SCHOOL SUPPORT SUPPLIES ,578-43,578 SCPS FY 2019 School Board Approved Budget 55

56 Fiscal Year 2019 Expenditure Summary by Object - All Funds Fund 1 Governor's School Fund 2 Detention Center Fund 3 Food Services Fund 4 Regional Adult Ed Fund 5 Cip* Fund 5 Operating Fund 7 Fleet Service Object Description Total 6042 PARENT EDUCATION SUPPLIES ,500-1, BAND SUPPLIES ,308-60, ACADEMIC ACTIVITIES SUPP ,579-33, FLUIDS/LUBRICANTS ,000 63, FOOD ,934-31, EMPLOYEE RECOGNITION PROG ,000-6, INSTRUCT PROGRAM SUPPLIES ,900-16, GUIDANCE SUPPLIES ,651-6, STRINGS PROGRAM SUPPLIES ,850-37, TESTING SUPPLIES ,137-16, SUPPLEMENTAL MATERIALS ,461-47, CHORUS PROGRAM ,252-16, REIMBURSEMENT-FACILTY USE ,795-2, ATHLETIC TRAINER SUPPLIES ,231-8, TRAINING MATERIALS FURNISHINGS-REPL-UNDER 5K , , INSTR. SUPPLEMENTAL MAT. 85, , TECH MAINT/UPGRADES 213, , SUM/NEW STUDENT ORIENT 1, , SUMMER ENRICHMENT 5, , DONATIONS-SPECIAL PROGRAM , , REPLACEMENT EQUIPMENT , ,131 43, , REPLACEMENT OF BUSES ,770, ,770, NEW EQUIPMENT ,000 19,236 43, , BUSES - ADDITIONAL , , PRINCIPAL - BONDS ,706,452-19,706, INTEREST - BONDS ,310,356-7,310,356 Grand Total $ 2,129,191 $ 1,005,638 $ 11,322,972 $ 765,970 $ 30,799,918 $ 282,319,975 $ 2,820,282 $ 331,163,947 SCPS FY 2019 School Board Approved Budget 56

57 Summary Data for the Operating Fund Revenues Spotsylvania County Public Schools has seven funds in total (see below). Fund 1- Commonwealth Governor School (CGS) Fund 2 Detention Center Fund 3 Food Services Fund Fund 4 Adult Education Regional Center Fund Fund 5 Operating Fund Fund 6 Capital Improvement Plan (CIP) Fund Fund 7 Joint Fleet Services Fund This section of the budget book will include data for the Fund 5 Operating Fund only. This fund has four main revenue sources: State, Federal, Local, and Other Revenues. The underlying assumptions and trends for each major revenue source varies (see below). State Revenues The total state revenues for the Operating Fund is $139,440,978, a $7,269,349 or 5.5% increase over the FY 2018 Adopted budget. This increase is primarily due to rebenchmarking and increased student enrollment. Federal Revenues The Operating federal funding for Spotsylvania County Public Schools for FY 2019 is $10,020,217, a ($365,021) or (3.5%) decrease. This decrease primarily relates to Title I funds. The trend for federal funds has ranged between $9 million and $10 million over the last several years. The underlying assumption for federal revenue is predicated upon availability of funds at the federal level couples with student enrollment data and socioeconomic status of students. Local Revenues The Board of Supervisors annually appropriates funds for the operation of the schools including debt service payments. The underlying assumption for projecting local dollars is based on annual County budget priorities. Local transfer for FY 2019 is at $124,110,785. Other Revenues This category of revenue includes print shop fees for services, rental fees for the use of school facilities, insurance adjustments, Regional Special Education tuition revenue, Medicaid payments and payments from other state agencies for services provided by Spotsylvania County Public Schools. Other revenue number for FY 2019 is at $8,747,996. This number includes the budget gap of $3.5 million. SCPS FY 2019 School Board Approved Budget 57

58 Overall, the Operating revenues budget for FY 2019 totals $282,319,975 an increase of $10,264,067 or 3.8% over the FY 2018 Operating Fund Adopted budget. This increase in primarily due an increase in salary increases and additional human capital resources. Summary Data for the Operating Fund Expenditures This budget includes six major expenditure categories: instruction, administration (which includes administrative personnel as well as attendance and health services personnel), transportation, maintenance, technology, and debt service. Instruction The Instruction expenditure budget by category is $195,860,883. The net increase is $7,399,534 or 3.9%. The underlying assumptions for projecting costs is based on School Board priorities, student enrollment, accountability standards and the availability of revenue streams. Administrative Services The Administration expenditure budget by category is $5,061,885. The net increase is $64,740 or 1.3%. The underlying assumptions for projecting costs is based on School Board priorities, student enrollment, accountability standards and the availability of revenue streams. Funding allocated to the Administration budget has remained relatively flat for the past several years. Attendance/Health and Psychological Services The Attendance expenditure budget by category is $5,724,910. The net increase is $242,602 or 4.4%. The underlying assumptions for projecting costs is based on School Board priorities, special education student enrollment, accountability standards and the availability of revenue streams. Transportation The Transportation expenditure budget by category is $18,374,358. The net increase is $373,784 or 2.1%. The underlying assumptions for projecting costs is based on School Board priorities, general education special education student enrollment, accountability standards and the availability of revenue streams. Funding allocated to the Transportation budget has increased by about $2 million over the past several years. This is primarily due to the increase in the number of students with disabilities. Maintenance Services The Maintenance expenditure budget by category is $21,246,200. The net increase is $277,814 or 1.3%. The underlying assumptions for projecting costs is based on School Board priorities, general education special education student enrollment, accountability standards and the availability of revenue streams. Funding allocated to the Maintenance budget has remained relatively flat for the past several years. SCPS FY 2019 School Board Approved Budget 58

59 Technology Services Summary Data for the Operating Fund Expenditures The Technology expenditure budget by category is $9,002,930. The increase is $438,680. The underlying assumptions for projecting costs is based on School Board priorities, general education special education student enrollment, accountability standards and the availability of revenue streams. Funding allocated to the Transportation budget has increased by over $1 million over the past several years. This is primarily due to increased Erate funds, which is provided by the State to assist with purchasing classroom technology needs. Debt Service The Operating budget for Debt Service is $27,048,808, which includes a $1,466,912 increase or 5.7%, due primarily to the issuance of new debt on bonds to fund the CIP for fiscal year SCPS FY 2019 School Board Approved Budget 59

60 SCPS FY 2019 School Board Approved Budget 60

61 Operating Budget Revenue Fund 5 Only (Excluding CIP) SCPS FY 2019 School Board Approved Budget 61

62 Expenditure Trends by Function - Operating Budget Function FY15 FY16 FY17 FY18 FY19 $ % Generic Object/Description Actual Actual Actual Adopted Approved Variance Change Budget Budget Actual Actual Actual Adopted Approved Variance Change 1100 CLASSROOM INSTRUCTION Budget Budget 1000 SALARIES/WAGES $ 93,469,029 $ 95,454,929 $ 97,237,457 $ 98,658,649 $ 104,019,403 $ 5,360, % 2000 EMPLOYEE BENEFITS 42,642,948 38,985,596 43,444,689 46,926,822 46,532, ,019 (0.8%) Personnel Related $ 136,111,977 $ 134,440,525 $ 140,682,146 $ 145,585,471 $ 150,552,205 $ 4,966, % 3000 PURCHASED SERVICES $ 1,613,618 $ 1,728,619 $ 1,563,759 $ 1,475,866 $ 1,928,303 $ 452, % 5000 OTHER CHARGES 51,147 45,342 47,149 94,443 98,446 4, % 6000 MATERIALS & SUPPLIES 2,674,477 5,081,706 2,696,151 2,577,860 2,462, ,288 (4.5%) 8000 CAPITAL OUTLAY 37,966 13,617 15,845 31,933 32, % Non-Personnel Related $ 4,377,209 $ 6,869,284 $ 4,322,903 $ 4,180,102 $ 4,521,815 $ 341, % Total for Function $ 140,489,185 $ 141,309,809 $ 145,005,049 $ 149,765,573 $ 155,074,021 $ 5,308, % 1210 GUIDANCE SERVICES Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 4,084,757 $ 4,098,836 $ 4,181,218 $ 4,242,808 $ 4,566,015 $ 323, % 2000 EMPLOYEE BENEFITS 1,816,172 1,669,389 1,775,074 1,895,533 1,975,694 80, % Personnel Related $ 5,900,929 $ 5,768,224 $ 5,956,293 $ 6,138,341 $ 6,541,709 $ 403, % 6000 MATERIALS & SUPPLIES $ 29,525 $ 61,684 $ 47,641 $ 35,000 $ 57,000 $ 22, % Non-Personnel Related $ 29,525 $ 61,684 $ 47,641 $ 35,000 $ 57,000 $ 22, % Total for Function $ 5,930,454 $ 5,829,908 $ 6,003,934 $ 6,173,341 $ 6,598,709 $ 425, % 1220 SCHOOL SOCIAL WORKERS SVC Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 941,029 $ 1,165,079 $ 1,206,088 $ 1,215,304 $ 1,487,506 $ 272, % 2000 EMPLOYEE BENEFITS 394, , , , , , % Personnel Related $ 1,335,555 $ 1,635,323 $ 1,728,093 $ 1,774,078 $ 2,185,747 $ 411, % 3000 PURCHASED SERVICES $ 160,136 $ 229,425 $ 319,365 $ 162,048 $ 506,768 $ 344, % 5000 OTHER CHARGES 10,642 14,768 16,113 9,418 9, % 6000 MATERIALS & SUPPLIES 17,254 22,455 65,830 39,243 43,143 3, % Non-Personnel Related $ 188,032 $ 266,648 $ 401,309 $ 210,709 $ 559,329 $ 348, % Total for Function $ 1,523,588 $ 1,901,971 $ 2,129,402 $ 1,984,787 $ 2,745,076 $ 760, % 1230 HOMEBOUND INSTRUCTION Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 194,289 $ 199,461 $ 176,700 $ 117,348 $ 161,803 $ 44, % 2000 EMPLOYEE BENEFITS 14,805 15,199 13,453 8,977 28,511 19, % Personnel Related $ 209,094 $ 214,660 $ 190,153 $ 126,325 $ 190,314 $ 63, % 5000 OTHER CHARGES $ 5,930 $ 5,834 $ 4,060 $ 8,703 $ 8,703 $ - 0.0% 6000 MATERIALS & SUPPLIES % Non-Personnel Related $ 5,930 $ 6,556 $ 4,060 $ 9,288 $ 9,288 $ - 0.0% Total for Function $ 215,024 $ 221,215 $ 194,213 $ 135,613 $ 199,602 $ 63, % SCPS FY 2019 School Board Approved Budget 62

63 Expenditure Trends by Function - Operating Budget Function FY15 FY16 FY17 FY18 FY19 $ % Generic Object/Description Actual Actual Actual Adopted Budget Approved Budget Variance Change 1310 IMPROVEMT OF INSTRUCTION Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 2,685,246 $ 2,951,512 $ 2,977,141 $ 3,121,036 $ 3,444,819 $ 323, % 2000 EMPLOYEE BENEFITS 1,723,366 2,263,723 2,436,894 2,664,253 2,734,237 69, % Personnel Related $ 4,408,612 $ 5,215,235 $ 5,414,035 $ 5,785,289 $ 6,179,056 $ 393, % 3000 PURCHASED SERVICES $ 2,682,428 $ 3,716,221 $ 3,236,364 $ 3,657,992 $ 4,084,722 $ 426, % 5000 OTHER CHARGES 66,785 99,571 96, , ,929 2, % 6000 MATERIALS & SUPPLIES 1,108, , , , ,541-27,409 (8.1%) 8000 CAPITAL OUTLAY - 84,500 1,500 1,500 1, % Non-Personnel Related $ 3,857,561 $ 4,193,706 $ 3,609,096 $ 4,129,996 $ 4,531,693 $ 401, % Total for Function $ 8,266,173 $ 9,408,941 $ 9,023,131 $ 9,915,285 $ 10,710,748 $ 795, % 1311 GUIDANCE SERVICES Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 1,200 $ 885 $ 213 $ 135 $ 135 $ - 0.0% 2000 EMPLOYEE BENEFITS % Personnel Related $ 1,292 $ 947 $ 229 $ 145 $ 145 $ 0 0.2% 3000 PURCHASED SERVICES $ 9,374 $ 20,654 $ 23,486 $ 11,140 $ 11,140 $ - 0.0% 5000 OTHER CHARGES 909 1, ,661 1, % 6000 MATERIALS & SUPPLIES 20,002 9,545 17,948 15,152 15, % Non-Personnel Related $ 30,285 $ 31,504 $ 42,343 $ 27,953 $ 27,953 $ - 0.0% Total for Function $ 31,577 $ 32,451 $ 42,572 $ 28,098 $ 28,098 $ 0 0.0% 1312 TESTING SERVICES Actual Actual Actual Adopted Approved Variance Change Budget Budget 3000 PURCHASED SERVICES $ 743 $ 922 $ 1,482 $ 1,867 $ 1,867 $ - 0.0% 6000 MATERIALS & SUPPLIES 35,714 73,848 34,294 36,666 36, % Non-Personnel Related $ 36,457 $ 74,770 $ 35,776 $ 38,533 $ 38,533 $ - 0.0% Total for Function $ 36,457 $ 74,770 $ 35,776 $ 38,533 $ 38,533 $ - 0.0% 1320 MEDIA SERVICES Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 3,022,883 $ 3,032,097 $ 2,980,951 $ 2,989,834 $ 3,016,768 $ 26, % 2000 EMPLOYEE BENEFITS 1,143,052 1,151,203 1,226,035 1,286,869 1,279,712-7,157 (0.6%) Personnel Related $ 4,165,935 $ 4,183,300 $ 4,206,986 $ 4,276,703 $ 4,296,480 $ 19, % 6000 MATERIALS & SUPPLIES $ 260,128 $ 214,816 $ 210,796 $ 205,320 $ 204,073 $ -1,247 (0.6%) Non-Personnel Related $ 260,128 $ 214,816 $ 210,796 $ 205,320 $ 204,073 $ -1,247 (0.6%) Total for Function $ 4,426,063 $ 4,398,116 $ 4,417,782 $ 4,482,023 $ 4,500,553 $ 18, % SCPS FY 2019 School Board Approved Budget 63

64 Expenditure Trends by Function - Operating Budget Function FY15 FY16 FY17 FY18 FY19 $ % Generic Object/Description Actual Actual Actual Adopted Budget Approved Budget Variance Change 1400 INSTRUC SUPPORT-SCH ADMIN Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 23,554 $ 56,597 $ 41,257 $ 26,000 $ 26,000 $ - 0.0% 2000 EMPLOYEE BENEFITS 1,802 4,330 3,156 1,989 1, % Personnel Related $ 25,356 $ 60,927 $ 44,413 $ 27,989 $ 27,989 $ - 0.0% 3000 PURCHASED SERVICES $ 21,126 $ 39,964 $ 174,928 $ 21,069 $ 21,069 $ - 0.0% 6000 MATERIALS & SUPPLIES 66,260 25,467 11,553 18,730 18, % Non-Personnel Related $ 87,386 $ 65,431 $ 186,481 $ 39,799 $ 39,799 $ - 0.0% Total for Function $ 112,742 $ 126,358 $ 230,895 $ 67,788 $ 67,788 $ - 0.0% 1410 OFFICE OF THE PRINCIPAL Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 9,663,887 $ 9,925,007 $ 10,068,677 $ 10,357,851 $ 10,524,469 $ 166, % 2000 EMPLOYEE BENEFITS 4,112,032 4,114,548 4,482,090 4,737,261 4,608, ,196 (2.7%) Personnel Related $ 13,775,919 $ 14,039,555 $ 14,550,767 $ 15,095,112 $ 15,132,534 $ 37, % 3000 PURCHASED SERVICES $ 83,777 $ 86,913 $ 78,508 $ 147,243 $ 130,602 $ -16,641 (11.3%) 5000 OTHER CHARGES 406, , , , ,113 17, % 6000 MATERIALS & SUPPLIES 480, , , , ,507-11,184 (6.2%) Non-Personnel Related $ 971,358 $ 738,918 $ 650,622 $ 775,196 $ 765,222 $ -9,974 (1.3%) Total for Function $ 14,747,277 $ 14,778,473 $ 15,201,389 $ 15,870,308 $ 15,897,756 $ 27, % SCPS FY 2019 School Board Approved Budget 64

65 Expenditure Trends by Function - Operating Budget Function FY15 FY16 FY17 FY18 FY19 $ % Generic Object/Description Actual Actual Actual Adopted Budget Approved Budget Variance Change 2110 BOARD SERVICES Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 128,652 $ 129,992 $ 129,912 $ 131,851 $ 132,809 $ % 2000 EMPLOYEE BENEFITS 55,814 59,015 62,225 67,436 47,434-20,002 (29.7%) Personnel Related $ 184,466 $ 189,007 $ 192,137 $ 199,287 $ 180,243 $ -19,044 (9.6%) 3000 PURCHASED SERVICES $ 23,906 $ 23,043 $ 22,739 $ 28,958 $ 29,108 $ % 5000 OTHER CHARGES 12,816 12,694 12,643 14,187 14, % 6000 MATERIALS & SUPPLIES ,500 1, % Non-Personnel Related $ 37,243 $ 36,106 $ 36,050 $ 44,645 $ 44,795 $ % Total for Function $ 221,709 $ 225,113 $ 228,187 $ 243,932 $ 225,038 $ -18,894 (7.7%) 2120 EXECUTIVE ADMIN SERVICES Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 468,178 $ 526,958 $ 501,192 $ 530,128 $ 545,827 $ 15, % 2000 EMPLOYEE BENEFITS 251, , , , ,532-1,218 (0.4%) Personnel Related $ 719,554 $ 777,495 $ 761,764 $ 813,878 $ 828,359 $ 14, % 3000 PURCHASED SERVICES $ 125,300 $ 110,756 $ 166,795 $ 118,740 $ 120,740 $ 2, % 5000 OTHER CHARGES 66,946 81,061 72,320 95,507 93,507-2,000 (2.1%) 6000 MATERIALS & SUPPLIES 6,679 9,320 8,068 8,216 8, % 8000 CAPITAL OUTLAY 2, ,090 2, % Non-Personnel Related $ 201,011 $ 201,137 $ 247,183 $ 224,553 $ 224,553 $ - 0.0% Total for Function $ 920,565 $ 978,632 $ 1,008,946 $ 1,038,431 $ 1,052,912 $ 14, % 2130 PUBLIC INFORMATION Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 206,356 $ 288,165 $ 285,172 $ 324,006 $ 336,863 $ 12, % 2000 EMPLOYEE BENEFITS 57,745 87,627 83, ,979 98,172-2,807 (2.8%) Personnel Related $ 264,101 $ 375,792 $ 369,005 $ 424,985 $ 435,035 $ 10, % 3000 PURCHASED SERVICES $ 56,603 $ 58,040 $ 63,298 $ 65,285 $ 60,119 $ -5,166 (7.9%) 5000 OTHER CHARGES 66,703 76,711 85,046 50,174 77,840 27, % 6000 MATERIALS & SUPPLIES 55,356 63,014 60,976 61,340 50,671-10,669 (17.4%) Non-Personnel Related $ 178,663 $ 197,765 $ 209,321 $ 176,799 $ 188,630 $ 11, % Total for Function $ 442,764 $ 573,557 $ 578,326 $ 601,784 $ 623,664 $ 21, % SCPS FY 2019 School Board Approved Budget 65

66 Expenditure Trends by Function - Operating Budget Function FY15 FY16 FY17 FY18 FY19 $ % Generic Object/Description Actual Actual Actual Adopted Budget Approved Budget Variance Change 2140 HUMAN RESOURCES Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 755,999 $ 843,699 $ 847,177 $ 879,377 $ 910,263 $ 30, % 2000 EMPLOYEE BENEFITS 361, , , , ,210-14,399 (3.4%) Personnel Related $ 1,117,952 $ 1,262,527 $ 1,225,997 $ 1,307,986 $ 1,324,473 $ 16, % 3000 PURCHASED SERVICES $ 97,910 $ 107,772 $ 160,800 $ 106,925 $ 114,925 $ 8, % 5000 OTHER CHARGES 5,187 4,057 4,396 4,446 4, (8.2%) 6000 MATERIALS & SUPPLIES 22,904 17,107 18,080 13,178 15,544 2, % Non-Personnel Related $ 126,001 $ 128,936 $ 183,275 $ 124,549 $ 134,549 $ 10, % Total for Function $ 1,243,954 $ 1,391,462 $ 1,409,273 $ 1,432,535 $ 1,459,022 $ 26, % 2150 PLANNING SERVICES Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 64,004 $ 65,925 $ 67,243 $ 68,589 $ 69,961 $ 1, % 2000 EMPLOYEE BENEFITS 23,472 23,661 25,154 27,486 26, (2.3%) Personnel Related $ 87,477 $ 89,586 $ 92,397 $ 96,075 $ 96,822 $ % Total for Function $ 87,477 $ 89,586 $ 92,397 $ 96,075 $ 96,822 $ % 2160 FISCAL SERVICES Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 870,398 $ 891,909 $ 904,831 $ 929,884 $ 950,260 $ 20, % 2000 EMPLOYEE BENEFITS 351, , , , ,916-10,318 (2.4%) Personnel Related $ 1,222,087 $ 1,248,574 $ 1,299,656 $ 1,360,118 $ 1,370,176 $ 10, % 3000 PURCHASED SERVICES $ 77,724 $ 45,436 $ 35,225 $ 43,013 $ 59,363 $ 16, % 5000 OTHER CHARGES 2,488 2,215 2,346 3,689 3, % 6000 MATERIALS & SUPPLIES 14,386 20,692 12,250 5,774 5, % Non-Personnel Related $ 94,598 $ 68,343 $ 49,821 $ 52,476 $ 68,826 $ 16, % Total for Function $ 1,316,685 $ 1,316,916 $ 1,349,477 $ 1,412,594 $ 1,439,002 $ 26, % 2170 PURCHASING Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 103,020 $ 107,566 $ 109,718 $ 111,913 $ 105,021 $ -6,892 (6.2%) 2000 EMPLOYEE BENEFITS 51,801 49,494 52,635 56,821 57, % Personnel Related $ 154,821 $ 157,060 $ 162,353 $ 168,734 $ 162,366 $ -6,368 (3.8%) 3000 PURCHASED SERVICES $ 1,558 $ 1,441 $ 2,373 $ 1,588 $ 1,588 $ - 0.0% 5000 OTHER CHARGES ,472 1, % Non-Personnel Related $ 2,213 $ 1,441 $ 2,483 $ 3,060 $ 3,060 $ - 0.0% Total for Function $ 157,034 $ 158,501 $ 164,836 $ 171,794 $ 165,426 $ -6,368 (3.7%) SCPS FY 2019 School Board Approved Budget 66

67 Expenditure Trends by Function - Operating Budget Function FY15 FY16 FY17 FY18 FY19 $ % Generic Object/Description Actual Actual Actual Adopted Budget Approved Budget Variance Change 2220 HEALTH SERVICES Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 2,157,169 $ 2,115,488 $ 2,158,671 $ 2,349,848 $ 2,485,328 $ 135, % 2000 EMPLOYEE BENEFITS 962, , ,049 1,128,300 1,138,741 10, % Personnel Related $ 3,119,919 $ 2,960,559 $ 3,081,720 $ 3,478,148 $ 3,624,069 $ 145, % 3000 PURCHASED SERVICES $ 739,978 $ 706,889 $ 910,703 $ 533,005 $ 537,186 $ 4, % 5000 OTHER CHARGES 11,044 11,523 10,273 16,474 16, % 6000 MATERIALS & SUPPLIES 57,573 84,540 71,898 48,213 51,596 3, % Non-Personnel Related $ 808,595 $ 802,952 $ 992,874 $ 597,692 $ 605,256 $ 7, % Total for Function $ 3,928,515 $ 3,763,511 $ 4,074,594 $ 4,075,840 $ 4,229,325 $ 153, % 2230 PSYCHOLOGICAL SERVICES Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 712,370 $ 801,650 $ 847,416 $ 1,000,573 $ 1,056,344 $ 55, % 2000 EMPLOYEE BENEFITS 229, , , , ,004 18, % Personnel Related $ 942,221 $ 1,060,868 $ 1,131,650 $ 1,369,151 $ 1,443,348 $ 74, % 3000 PURCHASED SERVICES $ 61,218 $ 128,935 $ 185,602 $ 9,060 $ 23,980 $ 14, % 5000 OTHER CHARGES 7,141 6,511 4,892 10,681 10, % 6000 MATERIALS & SUPPLIES 40,355 22,367 22,455 17,576 17, % Non-Personnel Related $ 108,714 $ 157,813 $ 212,950 $ 37,317 $ 52,237 $ 14, % Total for Function $ 1,050,935 $ 1,218,682 $ 1,344,600 $ 1,406,468 $ 1,495,585 $ 89, % SCPS FY 2019 School Board Approved Budget 67

68 Expenditure Trends by Function - Operating Budget Function FY15 FY16 FY17 FY18 FY19 $ % Generic Object/Description Actual Actual Actual Adopted Budget Approved Budget Variance Change 3100 TRANSP - MGMT & DIRECTION Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 687,785 $ 697,008 $ 787,513 $ 820,468 $ 836,540 $ 16, % 2000 EMPLOYEE BENEFITS 599, , , , ,930-20,247 (2.9%) Personnel Related $ 1,287,431 $ 1,298,866 $ 1,452,160 $ 1,524,645 $ 1,520,470 $ -4,175 (0.3%) 3000 PURCHASED SERVICES $ 58,247 $ 145,685 $ 153,986 $ 152,370 $ 152,370 $ - 0.0% 5000 OTHER CHARGES 42,049 43,280 42,880 42,481 39,481-3,000 (7.1%) 6000 MATERIALS & SUPPLIES 10,490 15,200 14,670 7,642 7, % 8000 CAPITAL OUTLAY % Non-Personnel Related $ 110,785 $ 204,165 $ 211,536 $ 202,776 $ 199,776 $ -3,000 (1.5%) Total for Function $ 1,398,216 $ 1,503,030 $ 1,663,697 $ 1,727,421 $ 1,720,246 $ -7,175 (0.4%) 3200 VEHICLE OPERATION SVCS Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 7,517,956 $ 8,267,330 $ 8,293,645 $ 7,953,041 $ 8,478,044 $ 525, % 2000 EMPLOYEE BENEFITS 3,645,667 3,800,083 4,175,132 4,562,394 4,331, ,654 (5.1%) Personnel Related $ 11,163,622 $ 12,067,414 $ 12,468,777 $ 12,515,435 $ 12,809,784 $ 294, % 3000 PURCHASED SERVICES $ 210,267 $ 215,605 $ 316,418 $ 370,312 $ 465,938 $ 95, % 5000 OTHER CHARGES 92,730 84,737 88, ,928 94,912-9,016 (8.7%) 6000 MATERIALS & SUPPLIES 1,423, ,250 1,095,460 1,239,627 1,239, % 8000 CAPITAL OUTLAY 637, , % Non-Personnel Related $ 2,364,380 $ 1,584,293 $ 1,500,701 $ 1,713,867 $ 1,800,477 $ 86, % Total for Function $ 13,528,003 $ 13,651,706 $ 13,969,478 $ 14,229,302 $ 14,610,261 $ 380, % 3400 VEHICLE MAINTENANCE SVCS Actual Actual Actual Adopted Approved Variance Change Budget Budget 3000 PURCHASED SERVICES $ 1,894,007 $ 1,918,678 $ 1,935,852 $ 2,043,851 $ 2,043,851 $ - 0.0% Non-Personnel Related $ 1,894,007 $ 1,918,678 $ 1,935,852 $ 2,043,851 $ 2,043,851 $ - 0.0% Total for Function $ 1,894,007 $ 1,918,678 $ 1,935,852 $ 2,043,851 $ 2,043,851 $ - 0.0% SCPS FY 2019 School Board Approved Budget 68

69 Expenditure Trends by Function - Operating Budget Function FY15 FY16 FY17 FY18 FY19 $ % Generic Object/Description Actual Actual Actual Adopted Budget Approved Budget Variance Change 4100 MAINT - MGMT & DIRECTION Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 299,878 $ 313,221 $ 444,661 $ 423,418 $ 462,248 $ 38, % 2000 EMPLOYEE BENEFITS 435, , , , ,974 14, % Personnel Related $ 734,947 $ 809,164 $ 1,001,110 $ 1,030,974 $ 1,084,222 $ 53, % 3000 PURCHASED SERVICES $ 9,326 $ 7,597 $ 6,789 $ 4,486 $ 9,250 $ 4, % 5000 OTHER CHARGES 13,930 15,757 12,252 11,797 11, % 6000 MATERIALS & SUPPLIES 6,195 7,641 7,305 6,000 8,000 2, % Non-Personnel Related $ 29,451 $ 30,995 $ 26,346 $ 22,283 $ 29,047 $ 6, % Total for Function $ 764,398 $ 840,158 $ 1,027,456 $ 1,053,257 $ 1,113,269 $ 60, % 4200 BUILDING SERVICES Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 4,996,145 $ 4,913,879 $ 4,964,080 $ 4,872,368 $ 7,251,578 $ 2,379, % 2000 EMPLOYEE BENEFITS 2,366,365 2,048,577 2,121,148 2,156,415 2,727, , % Personnel Related $ 7,362,510 $ 6,962,456 $ 7,085,228 $ 7,028,783 $ 9,978,901 $ 2,950, % 3000 PURCHASED SERVICES $ 2,693,329 $ 2,911,690 $ 3,035,879 $ 3,057,255 $ 522,760 $ -2,534,495 (82.9%) 5000 OTHER CHARGES 7,521,345 7,363,123 7,556,712 8,063,825 7,819, ,449 (3.0%) 6000 MATERIALS & SUPPLIES 1,443,096 1,521,206 1,406,281 1,041,639 1,070,257 28, % 8000 CAPITAL OUTLAY - 50, % 9000 DEBT SERVICES - - 5, % Non-Personnel Related $ 11,657,770 $ 11,846,380 $ 12,003,872 $ 12,162,719 $ 9,412,393 $ -2,750,326 (22.6%) Total for Function $ 19,020,280 $ 18,808,835 $ 19,089,100 $ 19,191,502 $ 19,391,294 $ 199, % 4300 GROUNDS SERVICES Actual Actual Actual Adopted Approved Variance Change Budget Budget 3000 PURCHASED SERVICES $ 206,378 $ 153,742 $ 123,771 $ 110,000 $ 110,000 $ - 0.0% 5000 OTHER CHARGES 8,436 12,595 23,301 15,000 15, % 6000 MATERIALS & SUPPLIES 89, ,525 79,171 75,298 76,298 1, % Non-Personnel Related $ 303,868 $ 266,862 $ 226,243 $ 200,298 $ 201,298 $ 1, % Total for Function $ 303,868 $ 266,862 $ 226,243 $ 200,298 $ 201,298 $ 1, % 4400 EQUIPMENT SERVICES Actual Actual Actual Adopted Approved Variance Change Budget Budget 3000 PURCHASED SERVICES $ 267,685 $ 231,306 $ 273,819 $ 262,304 $ 282,304 $ 20, % 6000 MATERIALS & SUPPLIES 66,498 51,355 50,655 25,149 22,159-2,990 (11.9%) 8000 CAPITAL OUTLAY 25,882 25,603 19, % Non-Personnel Related $ 360,065 $ 308,264 $ 344,208 $ 287,453 $ 304,463 $ 17, % Total for Function $ 360,065 $ 308,264 $ 344,208 $ 287,453 $ 304,463 $ 17, % 4500 VEHICLE SERVICES Actual Actual Actual Adopted Approved Variance Change Budget Budget 3000 PURCHASED SERVICES $ 100,167 $ 119,690 $ 87,644 $ 125,376 $ 125,376 $ - 0.0% 5000 OTHER CHARGES 10,518 9,325 9,888 10,000 10, % 6000 MATERIALS & SUPPLIES 123,993 96, , , , % Non-Personnel Related $ 234,678 $ 225,165 $ 202,081 $ 235,876 $ 235,876 $ - 0.0% Total for Function $ 234,678 $ 225,165 $ 202,081 $ 235,876 $ 235,876 $ - 0.0% SCPS FY 2019 School Board Approved Budget 69

70 Expenditure Trends by Function - Operating Budget Function FY15 FY16 FY17 FY18 FY19 $ % Generic Object/Description Actual Actual Actual Adopted Budget Approved Budget Variance Change 6810 TECHNOLOGY - CLASSROOM Actual Actual Actual Adopted Approved Variance Change Budget Budget 3000 PURCHASED SERVICES - - $ 157, $ - 0.0% 5000 OTHER CHARGES 65,418 10,843-11,383 11, % 6000 MATERIALS & SUPPLIES 814, , ,052 1,400,617 1,400, % Non-Personnel Related $ 879,818 $ 866,950 $ 997,642 $ 1,412,000 $ 1,412,000 $ - 0.0% Total for Function $ 879,818 $ 866,950 $ 997,642 $ 1,412,000 $ 1,412,000 $ - 0.0% 6820 TECHNOLOGY -INSTRUCT. SUP Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 2,877,655 $ 2,951,749 $ 3,037,169 $ 3,143,824 $ 3,445,697 $ 301, % 2000 EMPLOYEE BENEFITS 1,219,297 1,248,884 1,343,297 1,453,488 1,579, , % Personnel Related $ 4,096,952 $ 4,200,633 $ 4,380,466 $ 4,597,312 $ 5,024,786 $ 427, % 3000 PURCHASED SERVICES $ 522,747 $ 776,571 $ 641,434 $ 643,311 $ 643,311 $ - 0.0% 5000 OTHER CHARGES 125, , , , ,336-50,000 (22.7%) 6000 MATERIALS & SUPPLIES 368, , , , ,081 50, % Non-Personnel Related $ 1,016,719 $ 1,075,804 $ 1,050,749 $ 1,013,728 $ 1,013,728 $ - 0.0% Total for Function $ 5,113,671 $ 5,276,437 $ 5,431,214 $ 5,611,040 $ 6,038,514 $ 427, % 6830 TECHNOLOGY-ADMINISTRATION Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 462,686 $ 395,113 $ 468,898 $ 458,827 $ 467,038 $ 8, % 2000 EMPLOYEE BENEFITS 259, , , , ,698-4,249 (1.3%) Personnel Related $ 722,054 $ 660,628 $ 746,776 $ 786,774 $ 790,736 $ 3, % 3000 PURCHASED SERVICES $ 107,100 $ 149,294 $ 433,925 $ 390,303 $ 390,303 $ - 0.0% 5000 OTHER CHARGES 5,611 4,600 3,751 5,782 5, % 6000 MATERIALS & SUPPLIES 14,539 6,237 27,308 13,886 13, % Non-Personnel Related $ 127,250 $ 160,131 $ 464,984 $ 409,971 $ 409,971 $ - 0.0% Total for Function $ 849,304 $ 820,759 $ 1,211,760 $ 1,196,745 $ 1,200,707 $ 3, % SCPS FY 2019 School Board Approved Budget 70

71 Expenditure Trends by Function - Operating Budget Function FY15 FY16 FY17 FY18 FY19 $ % Generic Object/Description Actual Actual Actual Adopted Budget Approved Budget Variance Change 6850 TECHNOLOGY-TRANSPORTATION Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 149,237 $ 155,588 $ 157,107 $ 163,529 $ 166,801 $ 3, % 2000 EMPLOYEE BENEFITS 53,541 54,178 64,256 71,017 69,464-1,553 (2.2%) Personnel Related $ 202,778 $ 209,766 $ 221,363 $ 234,546 $ 236,265 $ 1, % Total for Function $ 202,778 $ 209,766 $ 221,363 $ 234,546 $ 236,265 $ 1, % 6860 TECHNOLOGY-MAINTENANCE Actual Actual Actual Adopted Approved Variance Change Budget Budget 1000 SALARIES/WAGES $ 77,804 $ 80,139 $ 81,742 $ 83,377 $ 85,045 $ 1, % 2000 EMPLOYEE BENEFITS 25,460 25,187 25,470 26,542 30,400 3, % Personnel Related $ 103,264 $ 105,326 $ 107,212 $ 109,919 $ 115,445 $ 5, % Total for Function $ 103,264 $ 105,326 $ 107,212 $ 109,919 $ 115,445 $ 5, % 7100 DEBT SERVICE Actual Actual Actual Adopted Approved Variance Change Budget Budget 5000 OTHER CHARGES $ 552,076 $ 9,600 $ 7,950 $ 32,000 $ 32,000 $ - 0.0% 9000 DEBT SERVICES 65,318,146 39,213,090 24,810,137 25,549,896 27,016,808 1,466, % Non-Personnel Related $ 65,870,221 $ 39,222,690 $ 24,818,087 $ 25,581,896 $ 27,048,808 $ 1,466, % Total for Function $ 65,870,221 $ 39,222,690 $ 24,818,087 $ 25,581,896 $ 27,048,808 $ 1,466, % Grand Total $ 295,670,748 $ 271,822,597 $ 263,780,173 $ 272,055,908 $ 282,319,975 $ 10,264, % SCPS FY 2019 School Board Approved Budget 71

72 Combined Fund Statements The FY 2019 School Board Approved Budget for all funds is $331,163,947, less CIP, totals $300,364,029. The total budget consists of six funds for which operating and capital expenditures are reported in the same fund by differentiating budget codes. Fund 6 was eliminated due to changes in accounting principles. Spotsylvania County Public Schools "Funds" FY 2019 Budget $331,163,947 Fund 1 Fund 2 Fund 3 Fund 4 Fund 5 Fund 7 $2,129,191 $1,005,638 $11,322,972 $765,970 $282,319,975 $2,820,282 Commonwealth Governor's School Accounts for a regional program that serves gited students from the school districts of Caroline, King George, Spotsylvania, and Stafford Rappahannock Regional Juvenile Detention Center (RRJDC) Accounts for activity associated with providing detained youth a quality education and the skills necessary to transition from the program into their regular school. Food Service Provides for all of food service's operating and administrative costs, which are primarily supported by federal, state, and cafe sales revenues. Regional Adult Education Accounts for the two adult education programs, which are the Rappahannock Area Regional Adult Education Program and the Apprenticeship Education Prgoram. Operating Fund/CIP Provides for the day-to-day operation of the school division and debt service payments. Funding in Fund 5 services the following departments: Instruction, Administration, Attendance & Health Services, Transporation, Maintenance, Technology, and Debt Service Fleet Service Provides for the day-today operations of the Joint Fleet Maintenance Facility with the County. SCPS FY 2019 School Board Approved Budget 72

73 FY 2019 School Board Approved Budget Summary Data for Individual Funds Spotsylvania County Public Schools has seven funds in total (see below). Fund 1 - Commonwealth Governor School (CGS) Fund 2 - Detention Center Fund 3 - Food Services Fund Fund 4 - Adult Education Regional Center Fund Fund 5 - Operating Fund Fund 6 - Capital Improvement Plan (CIP) Fund Fund 7 - Joint Fleet Services Fund SCPS FY 2019 School Board Approved Budget 73

74 FY 2019 School Board Approved Budget Summary Data for Individual Funds The School Board Approved Budget for FY 2019 for all funds totals $331,163,947, an increase of $14,434,668 or 4.6% more than the FY 2018 Adopted Budget. Fund 1 Commonwealth Governor s School (CGS) Fund Fund 1 Commonwealth Governor s School (CGS) Fund accounts for a regional program that serves gifted students from the school districts of Caroline, King George, Spotsylvania, and Stafford. The FY 2019 Approved budget of $2,129,191. The underlying assumptions for projecting costs is based student enrollment in the CGS program coupled with the availability of funds. The revenue trend for the past several years has remained around $2 million. The Commonwealth Governor's School (CGS) provides gifted and highly motivated high school students a challenging, differentiated, and interdisciplinary academic program of study in the core subject areas of English, mathematics, science, and social studies using non-traditional learning activities. CGS is a regional program serving students from the school divisions of King George, Stafford, Spotsylvania, and Caroline. CGS serves approximately 600 students at six different sites. CGS provides students with a half day academic program of studies including honors, Advanced Placement, and dual enrollment courses in the four core subjects. Upon graduation, CGS students receive an advanced studies diploma, a state governor's school seal, and an Early College Scholars seal. Unique features of CGS include the same cohort of student peers all four years, an interdisciplinary approach to learning, hands-on approach to learning, field experiences, team-taught classes, technology-driven instruction, advisory program for students, extensive tutoring after school, and the regular use of teleconferencing by students. SCPS FY 2019 School Board Approved Budget 74

75 SCPS FY 2019 School Board Approved Budget 75

76 Fund 2 Rappahannock Regional Juvenile Detention Center (RRJDC) Fund Fund 2 Rappahannock Regional Juvenile Detention Center (RRJDC) Fund accounts for activity associated with providing detained youth a quality education and the skills necessary to transition from the program into their regular school. The FY 2019 Approved budget is $1,005,638, a decrease of ($29,726). This decrease is due to federal funds. The underlying assumptions for projecting costs is based student enrollment in the RRJDC center coupled with the availability of funds. The revenue trend for the past several years has remained around $1 million. employee compensation increases and increases in benefits. Non-compensation costs to include purchased services, other charges and materials and supplies have remained steady over the past several years. This fund is not permitted to maintain a fund balance. The vision of the Rappahannock Regional Juvenile Detention Center Education Program: to be a collaborative community that empowers each student academically, socially, and emotionally. The mission: A highly effective group of educators will provide safe, innovative, and individualized instruction to a unique group of students to encourage, support, inspire, and prepare them as confident, successful, global citizens. As a collaborative team at RRJDC we commit to: Supporting each other and our students in learning Improving literacy Preparing our students for successful transition Engaging parents and community stakeholders The Rappahannock Detention Home School is a partnership between the Virginia Department of Education and Spotsylvania County Public Schools providing appropriate educational services to detained youth. The educational program is regional and serves students primarily in Spotsylvania County, Stafford County, Fredericksburg, King George County, Louisa County, Orange County, and Madison County. All funding is provided by the Virginia Department of Education. The Rappahannock Detention Home School follows the Spotsylvania County Public School curriculum and instructional schedule. The staff works with students, elementary through high school, encouraging them to maintain or improve their academic standing to successfully transition them back into their home schools. In addition, instructional services are provided for special education, general education, and students seeking a GED. All assignments in the content areas are aligned with the Virginia Standards of Learning (SOL) which includes SOL testing. SCPS FY 2019 School Board Approved Budget 76

77 SCPS FY 2019 School Board Approved Budget 77

78 Fund 3 Food Service Fund Fund 3 Food Service Fund provides for all of food service s operating and administrative costs, which are primarily supported by federal, state, and café sales revenues. A minimal local contribution amount of $63,870.The FY 2019 Approved budget is $11,322,972, an increase of $723,840 over the FY 2018 Adopted budget. This increase is primarily due to planned repair and replacement of equipment. The underlying assumptions for projecting costs is based student meal participation and inflation. The revenue trend for the past several years has remained around $9.8 million. Salaries and benefits have increased by about $100,000 over the past several years due to employee compensation increases and increases in benefits. Non-compensation costs to include purchased services, other charges and materials and supplies have increased by over $500,000 in the past several years due to increased costs and participation coupled with increased federal revenues. The Food service fund balance at 6/30/2017 was $3.6 million. This number continues to increase each year. The school division recognizes the importance of well balanced meals and nutritious foods to assist students in their learning process. By partnering with a third party vendor, the school division has been able to provide a variety of nutritious meals and expanded involvement with students, faculty, and staff in the development of the Food Service Program. These enhancements have enabled the Food Service Program to remain self-sufficient for over a decade. The critical function of the Food Service Department is to provide a nutritious and well balanced USDA reimbursable breakfast, lunch, and a la carte program. In this regard, the Food Service Department provides students a variety of choices in meal selection with high quality product while maintaining a sound fiscal fund balance. SCPS FY 2019 School Board Approved Budget 78

79 SCPS FY 2019 School Board Approved Budget 79

80 Fund 4 Regional Adult Education Fund Fund 4 Regional Adult Education Fund accounts for the two adult education programs, which are the Rappahannock Area Regional Adult Education (RARAE) Program and the Apprenticeship Education (AE) Program. The FY 2019 Approved budget is $765,970, a decrease of ($4,626). The underlying assumptions for projecting costs is based student enrollment in the RRJDC center coupled with the availability of funds. The revenue trend for the past several years has remained around $700,000 to $800,000. Salaries and benefits have increased by about $100,000 over the past several years due to employee compensation increases and increases in benefits. Non-compensation costs to include purchased services, other charges and materials and supplies have remained steady over the past several years. This fund is not permitted to maintain a fund balance. Spotsylvania County Public Schools offers two adult education programs that serve the region: Rappahannock Area Regional Adult Education Program (RARAE) and Apprenticeship Related Instruction (ARI) Program. The Regional Adult Education program provides assessment, instruction, and referrals to community resources for adults, 18 years and older, with skills below the postsecondary level. Apprenticeship Instruction is a method of training employees for a skilled occupation through a combination of on-the-job work experience and related classroom instruction. Rappahannock Area Regional Adult Education is managed by a regional agreement among the school divisions in Planning District 16 (Caroline, Fredericksburg, King George, Spotsylvania, and Stafford) and with the support of state and federal grants through the Department of Education. Spotsylvania County Public Schools, as the fiscal agent, administers the Workforce Innovation and Opportunity Act, Title II program services for the planning district. The administrative office is located at the Spotsylvania Career and Technical Center with classes and other services offered at approximately twenty sites across the region. Classes include: Adult Basic Education (ABE), English for Speakers of Other Languages (ESOL), GED preparation and testing, and customized workplace training programs. The Spotsylvania Career and Technical Center (SCTC) is the Apprenticeship Related Instruction Center for Region 13 which includes the counties of Spotsylvania, Caroline, King George, Stafford, Westmoreland, the City of Fredericksburg, and the Town of Colonial Beach. SCTC works closely with employers and a network of regional providers to plan and deliver classroom instruction for apprentices. Upon completion of an apprenticeship program, a graduate is recognized by the Virginia Department of Labor and Industry for Journeyman status and is eligible for licensing by the Commonwealth of Virginia. Students achieving the completed apprenticeship designation are able to practice their trade in all fifty states in the country. SCPS FY 2019 School Board Approved Budget 80

81 SCPS FY 2019 School Board Approved Budget 81

82 Fund 6 Capital Project Fund Fund 6 Capital Improvement Project (CIP) Fund includes funds borrowed through the Virginia Public School Authority (VPSA), Literary Fund loans, Economic Development Authority (EDA) bonds, Qualified School Construction Bonds (QSCB), and bonds issued as a result of the local bond referenda. The FY 2019 Approved budget of $30,799,918 includes an increase of $3,438,471. The underlying assumptions for projecting costs is based student enrollment, condition of equipment, vehicles and buildings coupled with the availability of funds. For additional details, reference the CIP Booklet. SCPS FY 2019 School Board Approved Budget 82

83 Fund 7 Fleet Service Fund Fund 7 Fleet Service Fund provides for the day-to-day operations of the Joint Fleet Maintenance Facility with the County. The FY 2019 Approved budget is $2,820,282. Level funding is being proposed at this time. The underlying assumptions for projecting costs is based the number of vehicles being services. The revenue trend for the past several years has remained around $2.5 million. Salaries and benefits have increased by about $100,000 over the past several years due to employee compensation increases and increases in benefits. Non-compensation costs to include purchased services, other charges and materials and supplies have remained increased by approximately $200,000 over the past several years due to more vehicles being services coupled with increase in revenues. The fund balance amount is around $340,000 as of June 30, 2017, before depreciation and had remained steady over the years. It is the department s mission to provide quality fleet management services effectively and efficiently while ensuring superior customer satisfaction. The critical function is to consistently achieve and/or exceed customer satisfaction by providing effective and efficient vehicle management services to include safety inspections, scheduled and nonscheduled maintenance and repairs for the countywide fleet of departmental vehicles. The strategic goals and key budget measures of the department are: To provide effective and efficient fleet management services Balance customer expectations with fiscal accountability Maintain a charging structure that provides sufficient revenue to cover all operational costs Manage and monitor all fuel dispensing activities Attract, hire, and retain quality personnel SCPS FY 2019 School Board Approved Budget 83

84 SCPS FY 2019 School Board Approved Budget 84

85 Student Enrollment Trends and Forecast Beginning in FY 2017, the methodology used in projecting student enrollment is based on the completion of new residential units in respective attendance zones as well as birth dates and student progression. Residential projects and their potential impact on school enrollments will continue to be monitored and the school division will continue to work with the County Planning Department in this process to update this information accordingly. The FY 2018 (10/1/2017) total student enrollment (including Pre-Kindergarten Speech, Head Start, Early Childhood Special Education, and the Virginia Preschool Initiative (VPI) program) was 23,814, an increase of 222 students or 1% increase from FY 2017 (10/1/2016) enrollment of 23,592. The projected enrollment trends for the Division are on a rise due to further residential development in the county. The Division continues to see a significant increase in the special education enrollment. The shifting trend increase of the students in Special Education is significant as Special Education students require more resources in order to meet their needs. The Division is dedicated to providing a quality education to all students. Student Enrollment Trends SCPS FY 2019 School Board Approved Budget 85

86 Average Daily Membership (ADM) Per the Virginia Department of Education Fall Membership is determined by counting all Virginia public school students enrolled on September 30th of the current school year. The Funded Fall Membership is calculated based on school-age students in kindergarten through grade 12. In contrast per VDOE the Average daily membership is determined by dividing the TOTAL aggregate daily membership by the number of days school was in session, from the first day of the school term through the last school day in March Fiscally, the ADM count is very important to each district as it is used for the basis funding distribution by the State. The chart below shows an increase in the ADM from Fiscal Year s 2012 to Although the Fiscal Year s 2016 to 2018 show signs of a decline, it is projected that Fiscal Year s 2019 and further the divisions Average Daily Membership will be on the incline. SCPS FY 2019 School Board Approved Budget 86