LaCrescent-Hokah School District

Transcription

1 LaCrescent-Hokah School District 2016 Payable 2017 Truth In Taxation Public Meeting 7:00 p.m. December 16, 2015 at the HS/MS Media Center 1301 Lancer Blvd. LaCrescent, MN 55947

2 Truth in Taxation Public Meeting Each taxing jurisdiction is required to hold a public meeting. You are here tonight as part of the school district s public meeting process.

3 Requirements of the Truth in Taxation Public Meeting 1. Provide and discuss information on the budget ( ). 2. Discuss proposed property tax levy for taxes payable calendar year Public must be given a reasonable amount of time to comment on the proposed property tax levy and budget and to ask questions. - Minnesota Statute

4 Points to Remember: 1. Revenue formulas are set by the State Legislature except for voter or board approved referendums. 2. Local Levy and State Aid mix are set by the State Legislature. 3. An increase in local taxes does not necessarily mean an increase in revenues for the school district.

5 School District Budget Current School Year

6 Fund Accounting Overview GENERAL FUND (Fund 01) Revenue is based on student enrollment The local referendum levy is part of the General Fund Provides for classroom instruction, instructional supplies and equipment, and other educational activities Special Education, and State / Federal Mandated Programs Extra-curricular Activities Pupil Transportation Facilities Operation and Maintenance Capital Expenditures and Improvements Health and Safety Code Compliance FOOD SERVICE (Fund 02) School Breakfast and Lunch Program

7 Fund Accounting Overview (cont.) COMMUNITY SERVICE (Fund 04) Levy is based on adult population in the District Early childhood levy is based on the number of children under 5 years of age Provides for enrichment programs for any age level that are not part of the K-12 education program Early Childhood Family Education School Readiness / Preschool School Aged Childcare Adult Basic Education DEBT SERVICE (Fund 07) Annual levy is for the payment of principal and interest on bonds as due. Current debt is a result of the voter approved Bond Issue for the 1999A general obligation school building bonds.

8 Fund Accounting Overview (cont.) Post-Employment Benefits Irrevocable Trust Fund (Fund 45) This trust fund is used for reporting resources set aside and held in an irrevocable trust arrangement for post-employment benefits. Post-Employment Benefits Debt Service Fund (Fund 47) Activity to record levy proceeds and the repayment of the Other Post-employment Benefits (OPEB) bonds will be accounted for in this fund.

9 Revenue Budget Comparison of actual revenue with proposed revenue budget Revenue Budget ACTUAL PROPOSED DOLLAR PERCENT BY FUND DIFFERENCE DIFFERENCE General Fund 12,230,088 12,624, , % Food Service 638, ,000 6, % Community Services 729, ,458 66, % Debt Redemption 697, ,190 7, % OPEB Trust Account 5,889 5,000 (889) -15.1% OPEB Debt Redemption 161, ,650 1, % Total 14,463,186 14,922, , %

10 General Fund Revenue Budget Where Do Our School Revenues Come From?

11 Expenditure Budget Comparison of actual expenditures with Adopted expenditure budget Expenditure Budget ACTUAL ADOPTED DOLLAR PERCENT BY FUND DIFFERENCE DIFFERENCE General Fund 12,736,516 12,505,355 (231,161) -1.8% Food Service 762, ,327 (126,430) -16.6% Community Services 723, ,527 45, % Debt Redemption 686, ,600 (1,087) 0.7% OPEB Trust Account 71, ,000 88, % OPEB Debt Redemption 157, , % Total 15,138,355 14,924,389 (213,966) -1.4%

12 HOW ARE GENERAL FUND DOLLARS SPENT? Expenses incurred in the operation of the district are paid from the General Fund. The following schedule relates how the dollars allocated to the General Fund are spent: District and School Administration 6.4% District Support Services 2.5% Regular Instruction 43.0% Vocational Instruction 1.5% Special Education and Alternative Delivery Instruction 22.9% Instructional Support Services 3.5% Pupil Support Services 9.0% Site, Buildings, and Equipment 9.9% Fiscal and Other Fixed Cost Programs 0.5% Total General Fund 100.0% adopted budget 2017

13 General Fund Expenditure Budget What Do Our Expenditures Pay For? adopted budget 2017

14 Restricted Projected General Fund Balance at June 30, 2017 Staff Development 59,354 Long Term Fac Maint. 83,608 Health & Safety 22,712 Operating Capital 159,664 Basic Skills 0 Gifted and Talented 29,948 Safe Schools Crime Levy 67,022 Assigned 0 Unassigned 909,217 Total 1,331,524

15 School District Levy 2016 Payable School Year Fiscal Year 2018

16 Authority for School Levies A School District Tax Levy must be either: Set by State Formula Voter Approved Board Approved (up to $300/pupil)

17 Factors Impacting Tax Change Issues Driven by Legislative Decisions: Change in sales ratio (impacting ANTC) Change in tax capacity rate structure Laws mandating code compliance (Health & Safety and Buildings) Issues Determined by District Voters: Voter approved building bond issue Voter approved excess levy referendum Board can approve excess levy referendum up to the 1 st $300 per pupil

18 Factors Impacting Tax Change (cont.) Local Factors: Inflationary pressure on real estate market Abatements Property improvements not previously taxed Change in individual assessed market value Possible change in property classification (e.g. homestead to rental)

19 How will your 2016 school taxes be spent? General Fund Percent Provides additional funding for district instructional programs by means of the approved excess referendum. Also provides funds for operating capital expenses, including facilities, instructional, textbooks and technology. 58.3% Community Education Fund Levy for Community Education Programs: 6.9% Debt Service Levy for repayment of principal and interest on district building debt: 28.2% OPEB Debt Service Levy for repayment of principal and interest on district OPEB debt: 6.6% Total Levy Before Credits: % This is an approximate distribution depending on final certification.

20 State Department of Education calculated Maximum Levy Limitation LEVY LIMITATION AND CERTIFICATION 2015 Payable 2016 Comparison of Certified Payable 2015 Levy with Proposed Payable 2016 Levy GROSS LEVIES ACTUAL PROPOSED DOLLAR PERCENT BY FUND 14 PAY PAY 16 DIFFERENCE DIFFERENCE General Fund 1,495, ,423, (71,587.45) -4.79% Community Services 156, , , % Debt Redemption 660, , , % OPEB Debt Redemption 153, , (8,157.87) 4.61% Total 2,465, ,441, , %

21 State Department of Education calculated Maximum Levy Limitation Whereas, Pursuant to Minnesota Statutes the School Board of LaCrescent- Hokah School District, LaCrescent, Minnesota, is authorized to make the following proposed tax levies for general purposes: General Fund 1,423, Community Service 168, Debt Service 688, OPEB Debt Service 160, Total Proposed School Tax Levy $2,441, Now Therefore, Be it resolved by the School Board of LaCrescent-Hokah School District, LaCrescent, Minnesota, that the levy to be levied in 2016 to be collected in 2017 is set at $2,441, The clerk of the LaCrescent-Hokah School Board is authorized to certify the proposed levy to the County Auditor of Houston County, Minnesota.

22 Questions