2013-14 Adopted Tentative Budget Final Public Hearing September 5, 2013
Presentation Outline Proposed Millage Budget Information Enrollment Projections vs. State Recalibration Proposed Employee Positions & History Operating Capital Unknowns for 2013-14 & Beyond Timeline Format of Budget Books Q&A 2
Brevard s Tax Roll Growth & Decline Fiscal Year Tax Roll % Change 1999-00 15,910,272,000 -- 2000-01 16,924,947,000 6.38% 2001-02 18,316,371,454 8.22% 2002-03 19,695,633,660 7.53% 2003-04 22,087,435,919 12.14% 2004-05 25,334,959,340 14.70% 2005-06 31,060,244,010 25.98% 2006-07 39,311,747,501 26.57% 2007-08 40,927,287,793 4.11% 2008-09 41,345,104,921 1.02% 2009-10 36,725,460,270-11.17% 2010-11 32,390,012,540-11.81% 2011-12 27,812,038,128-14.13% 2012-13 * 27,457,119,387-1.28% 2013-14 ^ 28,725,623,018 4.62% Source: Comprehensive Annual Financial Reports (CAFR), except for the following: * Adjusted Final Taxable Value as of March 15, 2013 ^ Certified Taxable Value by Property Appraiser on June 26, 2013 3
Tax Roll History and Projections 45,000,000,000 40,000,000,000 35,000,000,000 30,000,000,000 25,000,000,000 20,000,000,000 15,000,000,000 10,000,000,000 Note: Numbers reflect those listed on slide 3 for years 1999-00 through 2013-14. Years 2014-15 through 2023-24 have been projected to reflect the first time the tax roll is expected to exceed the 2008-09 level. 4
History of School Board Millage Levy Fiscal Year Total Millage Difference % 1998-99 9.578 -- -- 1999-00 9.171-0.407-4.25% 2000-01 8.908-0.263-2.87% 2001-02 8.674-0.234-2.63% 2002-03 8.605-0.069-0.80% 2003-04 8.405-0.200-2.32% 2004-05 8.194-0.211-2.51% 2005-06 7.963-0.231-2.82% 2006-07 7.667-0.296-3.72% 2007-08 7.531-0.136-1.77% 2008-09 7.661 0.130 1.73% 2009-10 7.687 0.026 0.34% 2010-11 7.653-0.034-0.44% 2011-12 8.112 0.459 6.00% 2012-13 8.096-0.016-0.20% 2013-14 7.606-0.490-6.05% Difference Since 1998-99 -1.972-20.59% Note: Each year the Board has levied the maximum allowed by law without voter referendum. 5
Proposed Millage Changes Required Local Effort (RLE) 5.358 mills Millage required by the State to be levied If not, would receive no Federal, State, or Local dollars 2013-14 requirement of 5.349 mills, plus Prior Period Funding Adjustment (year 2012-13) of 0.009 mills 5.349 mills generates $147,507,223 0.009 mills generates $248,189 RLE comprises 70% of the total proposed millage levy 6
Proposed Millage Changes Discretionary Millage 0.748 mills 2008-09 Legislation mandated transfer of 0.250 mills from Capital to Operating 2009-10 Legislation authorized to transfer 0.250 mills from Capital to Operating optional Attempt of Legislature to hold total millage at same level, but used to fund the FEFP to balance the Operating Budget This budget assumes will still move 0.250 mills from the Capital Projects Fund to the Operating Fund Currently subject to Compression by the State State guarantees average per FTE of $385.16 State will provide Brevard $88.75 per FTE or $6,176,155 Without compression 0.748 mills generates $20,627,295 7
Proposed Millage Changes Capital Outlay Millage 1.500 mills 2008-09 Legislation mandated transfer of 0.250 mills from Capital to Operating 2009-10 Legislation authorized to transfer 0.250 mills from Capital to Operating optional Attempt of Legislature to hold total millage at same level, but used to fund the FEFP to balance the Operating Budget This budget assumes will still move 0.250 mills from the Capital Projects Fund to the Operating Fund If millage not moved, Operating would lose approximately 1/3 (or $2.1 million) of the Discretionary Millage Compression from the State 1.500 mills generates $41,364,897 8
What is a Mill? Definition of a mill related to a home s value: 1.00 Mill = $1 per $1,000 Examples of property taxes for a home with a Taxable Value = $100,000 1.000 Mill = $100 in property taxes 7.606 Mills = $760.60 in property taxes 9
Calculating Your Taxes Tax Formula: Taxable Value X Millage Rate X 0.001 Example: Home Assessed Value $100,000 Less Homestead Exemption -25,000 Taxable Value of Home $75,000 Millage Rate = 7.606 mills Property Taxes = 75,000 X 7.606 X 0.001 = $570.45 10
Proposed 2013-14 Millage Operating - Required Local Effort - Local Discretionary - Critical Needs Capital Outlay Total Millage Actual 2012-13 Proposed 2013-14 Increase/ Decrease 5.598 5.358-0.240 0.748 0.748 0.000 0.250 0.000-0.250 1.500 1.500 0.000 8.096 7.606-0.490 11
Rolled-Back Rate Details The rolled-back rate is the new year property tax levy that would (after the value of new construction is deducted) produce the same amount of revenue as the previous year (but using this year s tax roll) Total 2012-13 Actual Millage 8.096 Total 2013-14 Rolled-Back Rate 7.7956 Total 2013-14 Proposed Millage 7.606 The 2013-14 Proposed Millage rate is: 2.43% lower than the 2013-14 Rolled-Back Rate 6.05% lower than the 2012-13 Actual Millage 12
Proposed Millage vs. Rolled-Back Operating - Required Local Effort - Local Discretionary Capital Outlay Total Millage Rolled-Back 2013-14 Proposed 2013-14 Increase/ Decrease 5.3903 5.358-0.0323 0.9610 0.748-0.2130 1.4443 1.500 0.0557 7.7956 7.606-0.1896 13
Sample Home Brevard Public Schools - By State Law - By Local Board - School Capital Outlay Total School Board Taxes Assessed Value Taxable Value Your Property Taxes Last Year Your Property Taxes This Year If No Change Your Property Taxes If Proposed Change Is Made 473.20 465.67 462.88 84.36 83.02 64.62 126.80 124.77 129.59 684.36 673.46 657.09 $109,530 $111,390 1.7% $84,530 $86,390 2.2% 14
Sample Home (cont.) Total School Board Taxes - Taxable Value - Millage - Amount of Taxes* Your Property Taxes Last Year Your Property Taxes This Year If No Change Your Property Taxes If Proposed Change Is Made 684.36 676.46 657.09 84,530 86,390 86,390 8.096 7.7956 7.606 684.36 673.46 657.09 -$10.90 -$27.27 * Amount of Taxes = Taxable Value X Millage X.001 15
Tax on Residential Home Scenario #1 Assumes no change in assessed valuation of $100,000 home Home Value $100,000 Less Homestead Exemption -25,000 Taxable Value of Home $75,000 Taxes Paid in 2012-13 $607.20 Taxes Proposed for 2013-14 $570.45 Tax Decrease for 2013-14 -$36.75 16
Tax on Residential Home Scenario #2 Assumes 1.7% ($1,700) increase in assessed valuation of $100,000 home Home Value $101,700 Less Homestead Exemption -25,000 Taxable Value of Home $76,700 Taxes Paid in 2012-13 $607.20 Taxes Proposed for 2013-14 $583.38 Tax Decrease for 2013-14 -$23.82 17
Tax on Residential Home Scenario #3 Assumes 10% ($10,000) increase in assessed valuation of $100,000 home Home Value $110,000 Less Homestead Exemption -25,000 Taxable Value of Home $85,000 Taxes Paid in 2012-13 $607.20 Taxes Proposed for 2013-14 $646.51 Tax Increase for 2013-14 +$39.31 18
Millage Decrease & Tax Roll Increase Operating Capital Total Millage Tax Roll 2012-13 2013-14 Difference 6.596 6.106-0.490 1.500 1.500 0.000 8.096 7.606-0.490 $27,457,119,387 $28,725,623,018 $1,268,503,631 Operating Capital Dollars Generated Dollars Generated from Millage and Tax Roll 2012-13 2013-14 Difference $173,862,873 $168,382,708 -$5,480,165 $39,538,252 $41,364,897 $1,826,645 $213,401,125 $209,747,605 -$3,653,520 By law, additional dollars are calculated at 96% collection rate 19
Adopted Tentative Budget Amended 2012-13 Tentative 2013-14 Difference Dollars % Operating 536,384,809 542,252,108 5,867,298 1.09 Special Revenue 85,280,755 104,284,388 19,003,633 22.28 Debt Service 199,506,193 42,481,971-157,024,222-78.71 Capital Outlay 93,394,096 88,463,322-4,930,774-5.28 Enterprise Fund 8,407,530 8,355,276-52,254-0.62 Subtotal 922,973,383 785,837,065-137,136,319-14.86 Less Transfers 46,151,401 36,837,919-9,313,482-20.18 Total 876,821,982 748,999,146-127,822,837-14.58 Internal Service 87,999,508 88,535,792 536,284 0.61 20
History Actual Total Revenue With and Without Fund Balance $1,400,000,000 $1,200,000,000 Actual Revenue With Fund Balance Actual Revenue Without Fund Balance $1,000,000,000 $800,000,000 $600,000,000 $400,000,000 $200,000,000 $0 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 Note: 2012-13 increase was due to refinancing COP, but was offset by the equivalent amount of expenditures 21
Student Growth/Decline Year Membership Number Percent 2000-01 70,658 655 0.94 2001-02 71,625 967 1.37 2002-03 72,533 908 1.27 2003-04 73,912 1,379 1.90 2004-05 75,216 1,304 1.76 2005-06 76,062 846 1.12 2006-07 75,676-386 -0.51 2007-08 75,235-441 -0.58 2008-09 74,000-1,235-1.64 2009-10 73,352-648 -0.88 2010-11 72,913-439 -0.60 2011-12 72,906-7 -0.01 2012-13 72,526-380 -0.52 2013-14 * 72,743 217 0.30 Note: 2013-14 six-day count number was 71,973 22
State s Recalibration 2013-14 Projected FTE District's Recalibrated Difference Request by State Dollars % ESE 111 Services 4,652.49 4,652.49 0.00 0.00 ESE 112 Services 6,898.35 6,872.19-26.16-0.38 ESE 113 Services 4,302.16 4,147.10-155.06-3.60 Support Level 4 824.61 824.61 0.00 0.00 Support Level 5 128.04 128.04 0.00 0.00 Career Education 1,607.45 1,373.01-234.44-14.58 Basic K-3 16,746.84 16,894.95 148.11 0.88 Basic 4-8 19,106.34 19,096.55-9.79-0.05 Basic 9-12 14,742.27 14,345.98-396.29-2.69 ESOL 1,499.78 1,255.56-244.22-16.28 Grand Total 70,508.33 69,590.48-917.85-1.30 23
History of Change in Employee Positions Actual 2012-13 vs. Proposed 2013-14 Actual Proposed Change Positions 2012-13 2013-14 Number Percent Classroom Teachers 4,830.18 4,521.34-308.84-6.39 Instructional Support 464.73 447.04-17.69-3.81 Instructional Assistants 898.14 896.80-1.34-0.15 Support - School-Level 2,375.89 2,223.74-152.15-6.40 Administrators - School-Level 227.00 221.80-5.20-2.29 Support - District-Level 341.54 345.79 4.25 1.24 Administrators - District-Level 40.00 39.00-1.00-2.50 Total 9,177.48 8,695.51-481.97-5.25 Membership 69,997 69,033-964 -1.38 FTE 68,025.73 65,889.99-2,135.74-3.14 Notes: 1. Excludes Adult Education Teachers/Other 2. All numbers exclude charter schools 3. Proposed FTE result of State Recalibration 24
Head Start Employee Positions Positions 2013-14 Classroom Teachers 34.000 Instructional Support 7.000 Instructional Assistants 50.804 Support - School-Level 3.100 Administrators - School-Level 1.950 Support - District-Level 6.250 Administrators - District-Level 0.300 Total 103.404 25
History of Change in Employee Positions Actual 2007-08 vs. Proposed 2013-14 Without Head Start Actual Proposed Change Positions 2007-08 2013-14 Number Percent Classroom Teachers 4,935.07 4,487.34-447.73-9.07 Instructional Support 456.70 440.04-16.66-3.65 Instructional Assistants 878.02 846.00-32.02-3.65 Support - School-Level 2,713.87 2,220.64-493.23-18.17 Administrators - School-Level 242.00 219.85-22.15-9.15 Support - District-Level 372.19 339.54-32.65-8.77 Administrators - District-Level 50.00 38.70-11.30-22.60 Total 9,647.85 8,592.11-1,055.74-10.94 Membership 72,215 68,409-3,806-5.27 FTE 70,499.03 65,889.99-4,609.04-6.54 Notes: 1. Excludes Adult Education Teachers/Other 2. All numbers exclude charter schools 3. Proposed FTE result of State Recalibration 26
Operating Budget Revenue Amended Tentative Difference 2012-13 2013-14 Dollars % Federal 2,914,119 2,584,386-329,733-11.32 State - FEFP 198,781,377 228,789,908 30,008,531 15.10 State - Categoricals/Other 91,784,718 91,880,649 95,931 0.10 Local - Property Taxes 175,202,040 168,382,707-6,819,333-3.89 Local - Other 6,531,075 6,256,147-274,928-4.21 Total Revenue 475,213,329 497,893,797 22,680,468 4.77 Other Sources 1,321,429 1,299,035-22,394-1.69 Beginning Fund Balance 59,850,051 43,059,275-16,790,776-28.05 Grand Total 536,384,809 542,252,108 5,867,299 1.09 27
Capital Projects Revenues Amended 2012-13 Proposed 2013-14 Difference Dollars % PECO-New Construction 0 0 0 0 PECO - Maintenance 0 0 0 0 Other-State 614,747 510,000-104,747-17.04 Local - Impact Fees 0 4,736,997 4,736,997 0 Local - Property Taxes/Other 40,075,458 41,786,354 1,710,896 4.27 Total Revenues 40,690,205 47,033,351 6,343,146 15.59 Other Sources 1,998,982 200,000-1,798,982-89.99 Beginning Fund Balance 50,704,909 41,229,971-9,474,938-18.69 Total 93,394,096 88,463,322-4,930,774-5.28 28
Capital Projects Expenditures Project Amount Remodel/Renovation/Maintenance $3,171,457 Food Services Maintenance $200,000 Health and Safety Projects $250,000 Portable Relocation $150,000 Up to 10 School Buses $1,000,000 Refreshment of Technology $2,000,000 Repair at Failure $2,200,000 COP Payment $33,322,104 Other Various Capital Projects $4,939,790 Total Capital Projects Funded with New Dollars $47,233,351 Capital Projects/Debt Funded by Fund Balance $41,229,971 Grand Total $88,463,322 29
Unknowns for 2013-14 & Beyond State s Recalibration of FTE (already reduced 918 for 2013-14) Further Proration in Dollars by the State Student Enrollment in Future Years Future Recalibration by the State Future Changes in State Funding for Dual Enrollment, Virtual Education and Other FTE Generating Programs Future Increases in State Retirement (FRS) Future of Capital Funding: Growth in Tax Roll Receipt of Impact Fees Potential Tax Referendum 30
Timeline November 9 Facility Workshop (School Closures Announced) December 14 Submitted FTE (Student) Projections to State December 21 Budget Workshop Introduced Proposed Budget Cuts and Revenue Enhancements February 18-25 Four (4) Community Forums March 12 Board Approves Proposed Budget Cuts and Revenue Enhancements May 3 Florida Legislative Session ended June 27 Board Approves Revised List of Proposed Budget Cuts and Revenue Enhancements 31
Timeline (cont.) June 27 Preliminary Budget Workshop July 27 Newspaper advertisement for 1st Public Hearing August 1 First Public Hearing Adopted Tentative Budget and Millage Third week of August Proposed Tax Notices mailed by Tax Collector to property owners, which also advertised the 2nd (Final) Public Hearing September 5 Final Public Budget Hearing to Adopt Final Budget and Millage, 5:30 p.m. at Educational Services Facility 32
Format of Budget Books Reminder that new salary object codes are being utilized in the Operating Budget (see page 15) All information has been updated Automated Labor updated for 2013-14 Actual Year-End Budget and Expenditures for 2012-13 Actual Fund Balance Information for 2012-13 Additional pages still provided for ARRA (Special Revenue Funds) to reflect Race to the Top dollars 33
Format of Budget Books Prior year being provided for comparison purposes 2012-13: Adopted Budget (9/6/12) Amended Budget (as of 6/30/13) Actual Expenditures (as of 6/30/13) 2013-14: Adopted Tentative Budget (9/5/13) Percent of total for each column has been included in the book for easy reference. Note: Budget books dating back to 1968-69 are available in the reference section of all Brevard public libraries. 34
Contact Information If you should require additional information, please contact: Judy Preston Associate Superintendent, Financial Services 321-633-1000, ext. 600 preston.judy@brevardschools.org Karen Strickland Director, Planning, Budgets, and Reporting 321-633-1000, ext. 610 strickland.karen@brevardschools.org Jo Ann Clark Director, Accounting Services 321-633-1000, ext. 660 clark.joann@brevardschools.org District Website: www.brevardschools.org 35
uestions nswers
2013-14 Capital Budget Contingency Plan At the August 27, 2013 School Board Meeting, Staff was Requested to Provide a Contingency Plan in the event that the Impact Fees included in the 2013-14 Capital Projects Proposed Budget are not received from the County. 37
Capital Projects to be Funded Even Without Impact Fees Total of 46 Projects = $10,250,000 38
North Area CAMPUS DESCRIPTION OF WORK BUDGET CAPITAL PROJECTS TO BE FUNDED EVEN WITHOUT IMPACT FEES North Area 1 Jackson MS Replace Boiler 5,000 2 Jefferson MS Cafeteria HVAC Replacement 75,000 3 Jefferson MS CTSI 100% Outside Air Unit Replacement 320,000 4 Madison MS Mod. Bit. Roof Replacement 700 Wing 103,000 5 Oak Park ES Replace Air-Cooled Chillers 120,000 6 Pinewood ES Replace 3 DX units Bldg. 400 75,000 7 Stevenson ES Mod. Bit. Roof Replacement 680,000 8 Titusville HS Mod. Bit. Roof Replacement at Gymnasium 380,000 9 Tropical ES Replace R-11 Chiller 250,000 10 Tropical ES Cooling Tower Replacement 120,000 North Area Total $2,128,000 39
Central Area CAMPUS DESCRIPTION OF WORK BUDGET CAPITAL PROJECTS TO BE FUNDED EVEN WITHOUT IMPACT FEES Central Area 1 Croton ES Cooling Tower Replacement 94,000 2 DeLaura MS Phase 1 Chiller Plant & Piping 1,500,000 3 Golfview ES Cafeteria HVAC Replacement - Bldg. 9 100,000 4 Golfview ES Replace AHU Bldg 6 & 7 75,000 Golfview ES - Classroom Upgrades - 5 Phase 2 Painting/Cabinetry/HVAC/Courtyard 150,000 6 Holland ES Carpet Replacement w/tile (50,000SF/$7.50 sq. ft.) 430,000 7 Kennedy MS CTSI 100% Outside Air Unit Replacement 320,000 McLarty Stadium - 8 Rockledge HS Roofing & Restroom Improvements 85,000 9 Rockledge HS Mod. Bit. Roof Replacement - Phase 1 1,700,000 10 Sabal ES Cool Roof Coating 1,050,000 11 Satellite HS Repair Auditorium Entry Canopy 250,000 12 Cambridge ES Windows Cafeteria Building #2 10,000 13 Sea Park ES Metal Gazebo, Hard Court Roof 5,000 Central Area Total $5,769,000 40
South Area CAMPUS DESCRIPTION OF WORK BUDGET CAPITAL PROJECTS TO BE FUNDED EVEN WITHOUT IMPACT FEES South Area 1 Columbia ES Replace Water Source Heat Pumps 20,000 2 Gemini ES 3DI Classroom Addition HVAC Replacements & OA Ducts 100,000 3 Heritage HS Science Lab - Fan Wiring 1,000 4 Indialantic ES Spalling Concrete @ Sidewalk Canopies 5,000 5 Lockmar ES Bldg. 1 HVAC Unit Replacement @ Admin. 28,000 6 McAuliffe ES Replace Water Source Heat Pumps 20,000 7 Palm Bay ES. Mod. Bit. Roof Replacement NE Side 135,000 8 Palm Bay ES Electrical Panel Room 12-102 3,000 9 Palm Bay ES Bldg. 9 (Law Academy) HVAC Upgrades 39,500 10 Southwest MS HVAC Unit Replacement in Cafe./Kitchen & Split DX Unit Bldg. 7, RM 109 100,000 11 Southwest MS HVAC Unit Replacement - Bldg. 700, RM 109 30,000 12 Turner ES - Phase 1 HVAC Unit Replacement - Bldg. 300 28,000 13 Turner ES - Phase 2 HVAC Unit Replacement - Bldg. 200 & 500 80,000 South Area Total $589,500 41
District-Wide CAMPUS DESCRIPTION OF WORK BUDGET CAPITAL PROJECTS TO BE FUNDED EVEN WITHOUT IMPACT FEES District-Wide 1 District-wide Building Automation System Upgrade - Ref. Maint. Priority List 120,000 2 District-wide Maintenance HVAC Replacement (CO&DS) 360,000 3 District-wide ADA 100,000 4 District-wide Building Code Deficiencies 149,000 5 District-wide Portable Relocations 150,000 6 District-wide Misc. Projects / Contingency 157,500 Melbourne Bus 7 Comp. Remove/Replace 1 Gasoline & 2 Diesel Tanks 400,000 8 Mid-South Maint. Building 2 Interior Floors & Walls 75,000 9 Satellite Bus Comp. Stair/Landing @ Portables N141 & N184 2,000 10 Satellite Bus Comp. Remove/Replace 1 Gasoline & 1 Diesel Tanks 250,000 District-Wide Total $1,763,500 Grand Total of 46 Projects $10,250,000 42
Projects to be Cut if Impact Fees Not Received Total of 27 Cuts = $4,750,000 43
North Area CAMPUS DESCRIPTION OF WORK BUDGET LIST OF PROJECTS TO BE CUT IF IMPACT FEES NOT RECEIVED North Area 1 Audubon ES Replace Chilled Water AHU & OA DX Split System 200,000 2 Audubon ES Cooling Tower Replacement 80,000 3 Jackson MS Replace Band/Chorus HVAC Units 75,000 4 Madison MS Replace Band/Chorus HVAC Units 75,000 5 Oak Park ES Corridor/Fire Separation 40,000 6 Oak Park ES Replace 17 Magic Air Units Bldg. 200/500/600/700/800 75,000 7 Pinewood ES Corridor/Fire Separation 150,000 8 Roosevelt MS Cooling Tower Replacement 120,000 9 Tropical ES Repair of Exterior Wall Assembly Bldg. 12 90,000 North Area Total $905,000 44
Central Area CAMPUS DESCRIPTION OF WORK BUDGET LIST OF PROJECTS TO BE CUT IF IMPACT FEES NOT RECEIVED Central Area 1 Anderson ES Replace Chilled Water Air handling Units bldg. 2/3/5 125,000 2 Croton ES Corridor/Fire Separation 40,000 3 DeLaura MS Deficiencies noted in Fire Safety Evaluation 50,000 4 DeLaura MS Elevator Replacement 250,000 5 Johnson MS CTSI 100% Outside Air Unit Replacement 320,000 6 Rockledge HS Deficiencies noted in Fire Safety Evaluation 25,000 7 Rockledge HS Mod. Bit. Roof Replacement - Phase 2 700,000 8 Sabal ES Corridor/Fire Separation 30,000 9 Sabal ES Replace R-11 Chiller 250,000 10 Sabal ES Cooling Tower Replacement 120,000 Central Area Total $1,910,000 45
South Area and District-Wide CAMPUS DESCRIPTION OF WORK BUDGET LIST OF PROJECTS TO BE CUT IF IMPACT FEES NOT RECEIVED South Area 1 Discovery ES Replace Air-Cooled Chillers 150,000 2 Palm Bay ES Replace Air-Cooled Chillers 235,000 South Area Total $385,000 District-Wide 1 District-wide Custodial Equipment 200,000 2 District-wide Energy Conservation 250,000 3 District-wide Furniture Renewal 300,000 4 District-wide PO&M Building Improvements 200,000 5 District-wide ESF Improvements 350,000 6 District-wide Facilities Assessment 250,000 District-Wide Total $1,550,000 Grand Total of 27 Projects to be Cut $4,750,000 46