Five Year Forecast Financial Report

Transcription

1 RIVER VALLEY LOCAL SCHOOL DISTRICT MARION COUNTY Five Year Forecast Financial Report May,

2 Table of Contents Table of Contents 2 Executive Summary 3 PAGE # Revenue Overview General Property Tax (Real Estate) Public Utility Personal Property Income Tax Unrestricted Grants in Aid & Restricted Grants in Aid Property Tax Allocation All Other Operating Revenues Total Other Financing Sources 12 Expenditures Overview Personnel Services Employee Benefits Purchased Services Supplies and Materials Capital Outlay Intergovernmental & Debt Other Objects Total Other Financing Uses 21 Forecast Compare 22 Five Year Forecast 23 Forecast Purpose/Objectives Ohio Department of Education's purposes/objectives for the five year forecast are: To engage the local board of education and the community in the long range planning and discussions of financial issues facing the school district. To serve as a basis for determining the school district's ability to sign the certificate required by O.R.C , commonly known as the "412 certificate." To provide a method for the Department of Education and Auditor of State to identify school districts with potential financial problems. 2

3 May, 2017 RIVER VALLEY LOCAL SCHOOL DISTRICT MARION COUNTY Executive Summary Five Year Forecast Simplified Statement Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Beginning Balance 3,394,536 3,296,358 2,470,650 1,222,305 (376,787) + Revenue 18,328,542 18,272,964 17,833,091 17,452,026 17,460,072 + Proposed Renew/Replacement Levies 419, , ,900 + Proposed New Levies Expenditures (18,426,719) (19,098,672) (19,501,062) (19,889,915) (20,295,539) = Revenue Surplus or Deficit (98,177) (825,708) (1,248,346) (1,599,091) (1,997,567) Ending Balance 3,296,358 2,470,650 1,222,305 (376,787) (2,374,354) Revenue Surplus or Deficit w/o Levies (98,177) (825,708) (1,667,971) (2,437,888) (2,835,467) Ending Balance w/o Levies 3,296,358 2,470, ,679 (1,635,209) (4,470,676) Summary: Beginning in FY 2017, the school district is expected to be spending more money than it is taking in each year. The District has not passed any new levies since 2008 and will be asking the residents of River Valley to renew the Emergency levy in November 2017 to be collected in Since passage of the emergency operating levy in 2008, the District has had a carryover balance of approximately $2.5 mil. The largest risk in the forecast is continued growth in health insurance costs. Insurance costs have been increasing each year between 3 to 7%. For Fiscal year 2018, (July 1, 2017 to June 31, 2018), insurance costs are estimated to increase 7%. Premium growth is expected for the next couple of years. $25,000,000 $20,000,000 Revenue vs. Expenditures $18,426,719 $19,098,672 $19,501,062 $19,889,915 $20,295,539 $15,000,000 $10,000,000 $5,000,000 $18,328,542 $18,272,964 $17,833,091 $17,452,026 $17,460, Revenue Renew/Replacement Levies New Levies Expenditures 3

4 Revenue Overview Prev. 5 Year PROJECTED 5 Year Avg. Annual Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Avg. Annual Change Change Revenue: Real Estate 2.46% 2.68% 1.52% 0.45% 0.50% 0.49% 0.95% Public Utility 5.60% 4.91% 0.83% 1.62% 0.24% 2.22% 1.08% Income Tax n/a 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% State Funding 6.35% 7.40% 0.00% 0.00% 0.11% 0.01% 1.50% Restricted Aid 19.17% 3.56% 2.03% 1.50% 0.46% 0.38% 1.25% Restr Federal SFSF % 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Property Tax Alloc 10.81% 2.24% 10.39% 0.37% 0.08% 1.66% 2.02% All Other Operating 1.08% 0.23% 1.70% 0.00% 0.00% 0.00% 0.38% Total Revenue 2.09% 3.87% 0.30% 0.11% 0.21% 0.04% 0.74% Total Other Sources % % 0.00% 0.00% 0.00% 0.00% % Total Rev & Other Srcs 2.12% 3.61% 0.30% 0.11% 0.21% 0.04% 0.69% The 2017 increase in revenue was due to the triannual tax appraisal. Overall, revenues are expected to remain stable with no major increase or decrease. Public Utility 2.1% Income Tax Real Estate 33.0% 31.2% Public Utility 2.1% 2.1% Income Tax State Funding 38.7% State 42.2% Real Prop Estate Tax Alloc 4.9% Funding 3.6% 33.0% 38.7% All Othr Op Re 21.1% 20.9% Othr Sources 0.3% Public Utility 2.1% Income Tax Real Estate 31.2% 2021 State Funding 42.2% Othr Sources 0.3% All Othr Op Rev 21.1% Prop Tax Alloc 4.9% Othr Sources All Othr Op Rev 20.9% Prop Tax Alloc 3.6% 4

5 1.010 General Property Tax (Real Estate) Revenue collected from taxes levied by a school district by the assessed valuation of real property using effective tax rates for class I (residential/agricultural) and class II (business). FY 2016 Real Estate as a % Projected General Property Rev Renewal Tax (Real Levy Estate) Revenue Actual and Projected of Total Revenue $7,000, $5,210,664 $1 FY 2016 Rea $6,000, $5,267, $5,000, $5,430, $5,797,060 $4,000, $5,830, % $3,000, $5,986,593 $2,000, $6,077,390 $1,000,000 $5,210,664 $5,267,200 $5,430,697 $5,797,060 $5,830, $5,733,097 $316, $5,438,025 $641, $5,450, $658, Projected Revenue Renewal Levy Revenue $5,986,593 $6,077,390 $316,651 $5,733,097 $641,917 $5,438,025 $658,959 $5,450,851 River Valley collects real estate taxes in two counties: Marion County (about 96%) and Morrow County (about 4%) was a triennial update year for Marion County which resulted in significant increases in agricultural values as a result of CAUV values increasing. Because the district is at the 20 mill floor increases in tax values result in additional collected tax revenue will be a reappraisal year for Marion County. In 2019 our emergency levy will end unless it is renewed. The renewal of this emergency levy is shown on line at the bottom of the forecast and is anticipated on being be placed on the ballet in November River Valley in not expecting any new developments or population growth in the next 5 years to generate additional property taxes. 8.0% 7.0% 6.0% 5.0% 4.0% 3.0% 2.0% 1.0% 1.0% Year over Year Revenue Trend Year over Actual 5 YeProjected 5 Year Average % 2.46% % 2.46% % 2.46% % 2.46% % 2.46% % 0.95% % 0.95% 2.46% % 0.95% 0.95% % 0.95% % 0.95% Year over Year Revenue Variance Actual 5 Year Average Projected 5 Year Average *Projected % trends include renewal levies 5

6 1.020 Public Utility Personal Property Revenue generated from public utility personal property valuations multiplied by the district's full voted tax rate. FY 2016 Public Utility as a % Projected Tangible Rev Personal Renewal Property Levy Revenue Tax Actual and Projected FY 2016 of Pub Total Revenue $500, $280,222 $280, $294,056 $294,056 $400, $307,579 $307, % $300, $336,290 $336, $378,086 $378,086 $200, $396,654 $396, $399,943 $399,943 $100, $390,859 $15,554 $406, $375,758 $31,614 $407, $365, $32, $398, Projected Revenue Renewal Levy Revenue $280,222 $294,056 $307,579 $336,290 $378,086 $396,654 $399,943 $15,554 $390,859 $31,614 $375,758 $32,578 $365,758 Tangible Personal Property tax has gone from being a material line item in 2006 to about 2% of our total revenue. The only value being collected currently is public utility real estate. 14.0% 12.0% 1 8.0% 6.0% 4.0% 2.0% 2.0% 4.0% 6.0% 5.60% Year over Year Revenue Trend Year over Actual 5 YeProjected 5 Year Average % 5.60% % 5.60% % 5.60% % 5.60% % 5.60% % 1.08% % 1.08% % 1.08% % 1.08% % 1.08% 1.08% Year over Year Revenue Variance Actual 5 Year Average Projected 5 Year Average *Projected % trends include renewal levies 6

7 1.030 Income Tax Revenue collected from income tax earmarked specifically to support schools with a voter approved tax by residents of the school district; separate from federal, state and municipal income taxes. FY 2016 Income Tax as a % Projected Rev Income Renewal Tax Actual Levy and Revenue Projected FY 2016 of Inco Total Revenue 0 $ $1 $ Projected Revenue Renewal Levy Revenue $ $ $ $ $ River Valley does not currently have an income tax % Year over Year Revenue Trend Year over Actual 5 YeProjected 5 Year Average 2012 n/a #DIV/0! 2013 n/a #DIV/0! 2014 n/a #DIV/0! 2015 n/a #DIV/0! 2016 n/a #DIV/0! % 0.00% % 0.00% % 0.00% % 0.00% % 0.00% 0.00% Year over Year Revenue Variance Actual 5 Year Average Projected 5 Year Average *Projected % trends include renewal levies 7

8 1.035 Unrestricted Grants in Aid Funds received through the State Foundation Program with no restriction. FY 2016 Unres State Aid as a % of Total Revenue FY 2016 Unr % $8,000,000 $7,000,000 $6,000,000 $5,000,000 $4,000,000 $3,000,000 $2,000,000 $1,000,000 Unrestricted Grants in Aid Actual and Projected $4,937,307 $5,013,371 $5,408,660 $6,000,566 $6,603,991 $7,092,610 $7,092,610 $7,092,610 $7,100,114 $7,100,525 This represents our state foundation and Casino revenue. The new state budget for Fiscal Years 2018 and 2019 maintains the current level of funding with no increases or decreases for the district. We also received $23,820 in a Graduation Bonus this year and $12,435 in the Third Grade Reading Bonus. Our enrollment has increased by approximately 25 students which will affect state funding. Flat funding or conservative increase have been projected for this line item in the future due to the State budget deficit. 12.0% Year over Year Revenue Trend 1 8.0% 6.0% 4.0% 2.0% 6.35% 1.50% 2.0% Year over Year Revenue Variance Actual 5 Year Average Projected 5 Year Average 8

9 1.040 & Restricted Grants in Aid Funds received through the State Foundation Program or other allocations that are restricted for specific purposes. FY 2016 Rest State Aid as a % of Total Revenue FY 2016 Res 0 1.4% $400,000 $350,000 $300,000 $250,000 $200,000 $150,000 $100,000 $50,000 Restricted Grants in Aid Actual and Projected $367,974 $135,577 $211,185 $238,531 $244,115 $252,815 $257,940 $261,799 $260,589 $259,594 This line consists of our career technical funding and economically disadvantaged funding. This revenue varies as the number of students vary in these categories. This line item has been left flat for the years of the forecast. 8 Year over Year Revenue Trend % 1.25% 8 Year over Year Revenue Variance Actual 5 Year Average Projected 5 Year Average 9

10 1.050 Property Tax Allocation Includes funds received for Tangible Personal Property Tax Reimbursement, Electric Deregulation, Homestead and Rollback. FY 2016 Prop Tax Property Tax Allocation Actual and Projected Projected Rev Renewal Levy Revenue Allocation as a % of Total $1,400,000 FY 2016 Pro $1,215,817 Revenue $1,200, $982, $1,020,816 $1,000, $1,047, % $800, $864,041 $600, $883,386 $400, $791,597 $200,000 $1,215,817 $982,898 $1,020,816 $1,047,705 $864, $701,243 $87, $624,056 $165, $629, $146, Projected Revenue Renewal Levy Revenue $883,386 $791,597 $87,420 $165,266 $146,363 $701,243 $624,056 $629,861 This line items includes rollback and homestead reimbursements from the state as well as our tangible personal property tax loss reimbursements as a result of the phase out of those values beginning in Rollback and homestead will mirror the real estate collections, increasing when real estate increases. Tangible Personal Property tax loss reimbursements were continued in FY15; a change from the previous biennium budget. With the new budget, for Fiscal Year 2016 River Valley will only be receiving these reimbursements for our emergency (fixedsum) levy; the loss is about $182,726 for our fixed rate levies. Fiscal Year 2017 will be the last year for the TTP reimbursements. Year over Year Revenue Trend 1 5.0% 5.0% % % 10.81% Year over Actual 5 YeProjected 5 Year Average % 10.81% % 10.81% % 10.81% % 10.81% % 10.81% % 2.02% % 2.02% % 2.02% % 2.02% % 2.02% 2.02% 3 Year over Year Revenue Variance Actual 5 Year Average Projected 5 Year Average *Projected % trends include renewal levies 10

11 1.060 All Other Operating Revenues Operating revenue sources not included in other lines; examples include tuition, fees, earnings on investments, rentals, and donations. FY 2016 Other Operating Revenue as a % of Total FY 2016 Oth 0 Revenue 21.1% $4,000,000 $3,500,000 $3,000,000 $2,500,000 $2,000,000 $1,500,000 $1,000,000 $500,000 All Other Operating Revenue Actual and Projected $3,429,808 $3,462,254 $3,438,909 $3,688,724 $3,724,979 $3,716,484 $3,653,484 $3,653,484 $3,653,484 $3,653,484 Open enrollment, fees, interest, tuition from other districts, Medicaid reimbursements, tuition from the North Central Ohio Rehabilitation Facility and all other miscellaneous sources of revenue make up this line item. Open enrollment makes up about 80% of the projected revenue in this line and it has been flat lined for the rest of the years of the forecast. Fiscal Year 2017 is projected for a slight increase due to open enrollment increase of about 25 student. As students move into the District, available open enrollment seats decrease, therefore in subsequent years a decrease is forecasted to allow for less open enrollment and more in district students. 8.0% Year over Year Revenue Trend 6.0% 4.0% 2.0% 2.0% 1.08% 0.38% 4.0% Year over Year Revenue Variance Actual 5 Year Average Projected 5 Year Average 11

12 2.070 Total Other Financing Sources Includes proceeds from sale of notes, state emergency loans and advancements, operating transfers in, and all other financing sources like sale and loss of assets, and refund of prior year expenditures. FY 2016 Other Financing Sources as a % of Total FY 2016 Oth Revenue 0.3% $160,000 $140,000 $120,000 $100,000 $80,000 $60,000 $40,000 $20,000 Other Operating Financing Sources Actual and Projected $17,788 $7,088 $143,007 $53,061 $44,538 This represents a minimal portion of revenue for the district. 250 Year over Year Revenue Trend % % 50 Year over Year Expenditure Variance Actual 5 Year Average Projected 5 Year Average 12

13 Expenditures Overview Prev. 5 Year PROJECTED 5 Year Avg. Annual Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Avg. Annual Change Change Expenditures: Salaries 0.48% 6.92% 4.18% 1.85% 1.59% 1.59% 3.22% Benefits 3.89% 15.78% 7.56% 5.12% 5.08% 5.14% 7.74% Purchased Services 3.10% 2.76% 0.58% 0.14% 0.14% 0.14% 0.35% Supplies & Materials 6.62% 3.79% 3.04% 0.00% 0.00% 0.00% 0.15% Capital Outlay 83.44% 14.42% 7.01% 0.00% 0.00% 0.00% 4.29% Intergov n/a n/a n/a n/a n/a n/a n/a Debt n/a n/a % 0.00% 0.00% 0.00% 25.00% Other Objects 2.63% 0.87% 0.87% 0.86% 0.85% 0.85% 0.86% Total Expenditures 2.37% 5.80% 3.66% 2.11% 2.00% 2.04% 3.12% Total Other Uses 52.62% 40.22% 0.00% 0.00% 0.00% 0.00% 8.04% Total Exp & Other Uses 2.29% 5.60% 3.65% 2.11% 1.99% 2.04% 3.08% Total expenditures are expected to grow by just over three percent per year during the forecast period. The biggest drivers of cost in the forecast are anticipated increases in health insurance benefits and salaries. Overall, personnel costs represent about 70 percent of all operating spending in the district. Othr Uses 0.4% Othr Objects 1.3% Salaries 50.2% 50.5% Benefits 19.3% 24.0% Purch Salaries Serv 20.6% 17.4% Supp 50.2% & Mat 4.5% 3.9% Capital Outlay 3.5% Benefits 2.4% Intergov & Deb 19.3% 0.2% Othr Objects 1.3% 1.2% Othr Uses 0.4% Purch Serv 0.2% 20.6% Intergov & Debt Capital Outlay 3.5% 2016 Supp & Mat 4.5% Othr Uses 0.2% Othr Objects 1.2% Intergov & Debt 0.2% Salaries 50.5% Capital Outlay 2.4% 2021 Supp & Mat 3.9% Purch Serv 17.4% Benefits 24.0% 13

14 3.010 Personnel Services Employee salaries and wages, including extended time, severance pay, supplemental contracts, etc. FY 2016 Salaries as a % of Total Expenditures FY 2016 Sala % $12,000,000 $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 Personnel Services Actual and Projected $8,127,782 $7,801,542 $7,920,137 $8,369,686 $8,760,666 $9,366,678 $9,757,800 $9,938,112 $10,095,739 $10,255,913 This is salaries and makes up about 50.3% of the expenditures in the general fund. The District negotiated both the teaching and non teaching contracts for the period of July 1, 2014 through June 30, 2017 with a 2% cost of living increase along with steps for both unions. The District is currently negotiating both the teaching and non teaching contracts for the period of July 1, 2017 through June 30, This forecast includes a 1% cost of living increase for 2018 along with steps for both unions. No cost of living adjustment is included for fiscal years 2019 through The District made the decision to move our Preschool personnel to be employed by River Valley in 2016 rather than purchased service through an ESC, as well as our speech and psychologist. A few positions were added in fiscal year 2017 to accommodate student s needs. In fiscal year 2018 a multi handicap unit will be added to the middle school to meet state requirements which means River Valley will be added a teacher and classroom aide. 8.0% Year over Year Expenditure Trend 6.0% 4.0% 3.22% 2.0% 2.0% 0.48% 4.0% 6.0% 8.0% Year over Year Expenditure Variance Actual 5 Year Average Projected 5 Year Average 14

15 3.020 Employees' Benefits Retirement for all employees, Workers Compensation, early retirement incentives, Medicare, unemployment, pickup on pickup, and all health related insurances. FY 2016 Benefits as a % of Total Expenditures FY 2016 Ben % $6,000,000 $5,000,000 $4,000,000 $3,000,000 $2,000,000 $1,000,000 Employees' Benefits/Insurance Benefits Actual and Projected $2,633,060 $2,784,984 $3,027,030 $3,006,309 $3,373,755 $3,906,204 $4,201,611 $4,416,689 $4,640,915 $4,879,365 Benefits represent approximately 19% of total expenditures in the General Fund. This includes retirement, unemployment, workers compensation, Medicare, health, dental, vision and life insurance. The District is part of the Jefferson Health Plans Consortium for our health insurance. The Boards share of the rate increase for fiscal year 2018 is projected to be 7.00%. This line item has been projected to increase at 7% percent each year and no premium holiday are expected. Retirement is determined by state legislation and is a direct calculation of payroll expenditures. 2 Year over Year Expenditure Trend 15.0% % 5.0% 3.89% 5.0% 1 Year over Year Expenditure Variance Actual 5 Year Average Projected 5 Year Average 15

16 3.030 Purchased Services Amounts paid for personal services rendered by personnel who are not on the payroll of the school district, and other services which the school district may purchase. FY 2016 Purchased Services as a % of Total Expenditures FY 2016 Pur % $4,500,000 $4,000,000 $3,500,000 $3,000,000 $2,500,000 $2,000,000 $1,500,000 $1,000,000 $500,000 Purchased Services Actual and Projected $3,440,571 $3,553,388 $3,984,782 $3,639,093 $3,602,814 $3,503,484 $3,523,908 $3,528,908 $3,533,908 $3,538,908 This line item includes utilities, community school and open enrollment tuition paid to other districts, property and fleet insurance, copier payments, OT, PT, mileage and professional meeting expenses, snow removal and other professional services. This is a difficult line to forecast due to inflationary increases and special education mandates which vary from year to year and depend on student needs. Because the District is continuously looking at more efficient and effective ways to provide services, this line has been increased slightly each year after fiscal year % Year over Year Expenditure Trend 1 5.0% 3.10% 0.35% 5.0% 1 Year over Year Expenditure Variance Actual 5 Year Average Projected 5 Year Average 16

17 3.040 Supplies & Materials Expenditures for general supplies, instructional materials including textbooks and media material, bus fuel and tires, and all other maintenance supplies. FY 2016 Supplies & Materials as a % of Total FY 2016 Sup Expenditures 0 4.5% $900,000 $800,000 $700,000 $600,000 $500,000 $400,000 $300,000 $200,000 $100,000 Supplies & Materials Actual and Projected $572,119 $623,599 $637,076 $681,086 $791,746 $821,746 $796,746 $796,746 $796,746 $796,746 This line represents instructional supplies, office supplies, maintenance supplies, bus fuel and bus tires and parts. The District updated software and other tech items that did not fall under capital assets in 2017 which increased expenditures for supplies and materials in A small decrease is expected in 2018, and then the other three years remain flat. 2 Year over Year Expenditure Trend 15.0% 1 5.0% 6.62% 0.15% 5.0% Year over Year Expenditure Variance Actual 5 Year Average Projected 5 Year Average 17

18 3.050 Capital Outlay This line includes expenditures for items having at least a five year life expectancy, such as land, buildings, improvements of grounds, equipment, computers/technology, furnishings, and buses. FY 2016 Capital Outlay as a % of Total Expenditures FY 2016 Cap 0 3.5% $700,000 $600,000 $500,000 $400,000 Capital Outlay Actual and Projected $300,000 $200,000 $100,000 $44,170 $98,107 $159,631 $155,349 $616,944 $527,957 $490,957 $490,957 $490,957 $490,957 The main expenditure out of this line item is the purchase of technology and buses. In 2016 two new buses were purchased. In 2017 one new handicap bus was purchased. Also the District purchased two used buses to replace 2 older buses that were in of major repairs. The District purchased scoreboards in 2016, the full amount will be reimbursed to the District by the Athletic Boosters, which will show in line 1.06 in Revenue Year over Year Expenditure Trend 83.44% 4.29% Year over Year Expenditure Variance Actual 5 Year Average Projected 5 Year Average 18

19 Intergovernmental & Debt These lines account for pass through payments, as well as monies received by a district on behalf of another governmental entity, plus principal and interest payments for general fund borrowing. FY 2016 Intergov & Debt as a % of Total Expenditures FY 2016 Inte 0 $60,000 $50,000 $40,000 $30,000 Intergovernmental & Debt Service Actual and Projected $20,000 $10,000 $25,000 $25,000 $50,000 $50,000 $50,000 $50,000 The District bowered $348,000 in 2009 to complete HB264 project from Fund 034. As of fiscal year 2016 $50,000 has been repaid. The reaming $298,000 will be repaid over the next 6 years. Complete repayment is expected by fiscal year Year over Year Expenditure Trend % % Year over Year Expenditure Variance Actual 5 Year Average Projected 5 Year Average 19

20 4.300 Other Objects Primary components for this expenditure line are membership dues and fees, ESC contract deductions, County Auditor/Treasurer fees, audit expenses, and election expenses. FY 2016 Other Objects as a % of Total Expenditures FY 2016 Oth 0 1.3% $300,000 $250,000 $200,000 $150,000 Other Objects Actual and Projected $100,000 $50,000 $242,698 $247,309 $227,382 $223,337 $228,650 $230,650 $232,650 $234,650 $236,650 $238,650 Other objects include auditor and treasurer fees paid to the counties for tax collections, election expenses, liability insurance, audit expenses and the required per student amount paid to the North Central Ohio ESC. This line item has been projected to increase slightly each year. 4.0% Year over Year Expenditure Trend 2.0% 0.86% 2.0% 4.0% 2.63% 6.0% 8.0% 1 Year over Year Expenditure Variance Actual 5 Year Average Projected 5 Year Average 20

21 5.040 Total Other Financing Uses Operating transfers out, advances out to other funds, and all other general fund financing uses. FY 2016 Other Financing Uses as a % of Total FY 2016 Oth Expenditures 0 0.4% $300,000 $250,000 $200,000 $150,000 Other Financing Uses Actual and Projected $100,000 $50,000 $93,552 $54,349 $248,315 $45,000 $75,275 $45,000 $45,000 $45,000 $45,000 $45,000 This is an immaterial line item and to the overall forecast Year over Year Expenditure Trend 8.04% 52.62% Year over Year Expenditure Variance Actual 5 Year Average Projected 5 Year Average 21

22 Forecast Compare Comparison of Previous Forecast Amounts to Current Forecasted Numbers F.Y Column A Column B Column C Column D Previous Current Dollar Percent Forecast Forecast Difference Difference Amounts For Amounts For Between Between F.Y F.Y Previous Previous Prepared on: Prepared on: and and Revenue: 10/18/2016 5/12/2017 Current Current 1 Real Estate & Property Allocation $6,730,265 $6,869,979 $139, % 2 Public Utility Personal Property $387,238 $396,654 $9, % 3 Income Tax n/a 4 State Foundation Restricted & Unrestricted $7,411,165 $7,345,425 $65, % 5 Other Revenue $3,664,979 $3,716,484 $51, % 6 Other Non Operating Revenue n/a 7 Total Revenue $18,193,647 $18,328,542 $134, % Expenditures: 8 Salaries $9,208,521 $9,366,678 $158, % 9 Fringe Benefits $3,618,078 $3,906,204 $288, % 10 Purchased Services $3,488,758 $3,503,484 $14, % 11 Supplies, Debt, Capital Outlay & Other $1,473,340 $1,605,353 $132, % 12 Other Non Operating Expenditures $45,000 $45, Total Expenditures $17,833,697 $18,426,719 $593, % 14 Revenue Over/(Under) Expenditures $359,950 $98,177 $458, %* 15 Ending Cash Balance $3,764,807 $3,296,358 $468, %* *Percentage expressed in terms of total expenditures Overall revenues are about one percent higher in FY 2017 than was forecast back in October. Expenditures are about 3.4 percent higher. The majority of the additional revenues are in property taxes due to higher than anticipated current collection rates. The higher than anticipated expenditures are from a combination of increased costs in salaries and benefits. The River Valley Board of Education passed a resolution on October 10, 2013 requiring a cash reserve balance of 10% of operating expenses in the interest of sound fiscal management. The Board affirmed that tax levies should be pursued, and/or District finances otherwise managed to ensure an operating fund cash requirement to this guideline. 22

23 Actual FORECASTED Fiscal Year: Revenue: General Property Tax (Real Estate) 5,830,555 5,986,593 6,077,390 5,733,097 5,438,025 5,450, Public Utility Personal Property 378, , , , , , Income Tax Unrestricted Grants in Aid 6,603,991 7,092,610 7,092,610 7,092,610 7,100,114 7,100, Restricted Grants in Aid 244, , , , , , Restricted Federal Grants SFSF Property Tax Allocation 864, , , , , , All Other Operating Revenues 3,724,979 3,716,484 3,653,484 3,653,484 3,653,484 3,653, Total Revenue 17,645,767 18,328,542 18,272,964 17,833,091 17,452,026 17,460,072 Other Financing Sources: Proceeds from Sale of Notes State Emergency Loans and Adv Operating Transfers In Advances In All Other Financing Sources 44, Total Other Financing Sources 44, Total Rev & Other Sources 17,690,305 18,328,542 18,272,964 17,833,091 17,452,026 17,460,072 Expenditures: Personnel Services 8,760,666 9,366,678 9,757,800 9,938,112 10,095,739 10,255, Employee Benefits 3,373,755 3,906,204 4,201,611 4,416,689 4,640,915 4,879, Purchased Services 3,602,814 3,503,484 3,523,908 3,528,908 3,533,908 3,538, Supplies and Materials 791, , , , , , Capital Outlay 616, , , , , , Intergovernmental Debt Service: Principal All Years Principal Notes Principal State Loans Principal State Advances Principal HB264 Loan 25,000 50,000 50,000 50,000 50, Principal Other Interest and Fiscal Charges Other Objects 228, , , , , , Total Expenditures 17,374,575 18,381,719 19,053,672 19,456,062 19,844,915 20,250,539 Other Financing Uses Operating Transfers Out 45,000 20,000 20,000 20,000 20,000 20, Advances Out 30,275 25,000 25,000 25,000 25,000 25, All Other Financing Uses Total Other Financing Uses 75,275 45,000 45,000 45,000 45,000 45, Total Exp and Other Financing Uses 17,449,850 18,426,719 19,098,672 19,501,062 19,889,915 20,295, Excess of Rev Over/(Under) Exp 240,455 (98,177) (825,708) (1,667,971) (2,437,888) (2,835,467) Cash Balance July 1 (No Levies) 3,154,081 3,394,536 3,296,358 2,470, ,679 (1,635,209) Cash Balance June 30 (No Levies) 3,394,536 3,296,358 2,470, ,679 (1,635,209) (4,470,676) Estimated Encumbrances June , , , , , , Reservations Subtotal Fund Bal June 30 for Cert of App 3,276,487 3,196,358 2,370, ,679 (1,735,209) (4,570,676) Rev from Replacement/Renewal Levies & Income & Property Tax Renewal 419, , , Cumulative Balance of Levies 419,625 1,258,422 2,096, Fund Bal June 30 for Cert of Obligations 3,276,487 3,196,358 2,370,650 1,122,305 (476,787) (2,474,354) Revenue from New Levies & Income & Property Tax New Cumulative Balance of New Levies Unreserved Fund Balance June 30 3,276,487 3,196,358 2,370,650 1,122,305 (476,787) (2,474,354) 23