Presentation to the Board of Trustees March 29th, 2017 Lehman High School 1
Budget Update -- Topics Budget Goals Demographics & Revenue Budget Summary Staffing & Compensation Budget Worksheets Three Year Outlook & Legislative Discussion 2
Budget Discussion & Goals Additional special education teachers and paraprofessionals for student growth; additional supports for students with autism. Additional support for career and technology (CTE) teachers and students. Expansion of STEM program (Saturn V) to 2 additional elementary campuses. Expansion of STEAM course offerings at high schools and middle schools. Additional support for bilingual and ESL teachers. Discussion of funding limitations and potential outcomes. 3
Demographics & Revenue 4
Enrollment History 5
Fast Growth Defined 1) Enrollment growth over the past 2) of at least 3) Or a net increase of or more students over a 5 yr period. Hays CISD has been a Fast Growth School District for 11+ Years 6
Enrollment History School Change from Change from 5-Year 5-Yr Year Enrollment Year Before Year Before Increase % Increase 2006-2007 11,907 2007-2008 12,986 9.1% 1,079 2008-2009 13,881 6.9% 895 2009-2010 14,649 5.5% 768 2010-2011 15,262 4.2% 613 2011-2012 15,932 4.4% 670 4,025 30.1% 2012-2013 16,568 4.0% 636 3,582 25.0% 2013-2014 17,255 4.1% 687 3,374 22.2% 2014-2015 17,924 3.9% 669 3,275 20.6% 2015-2016 18,654 4.1% 730 3,392 20.5% 2016-2017 19,212 3.0% 558 3,280 19.1% 2017-2018* 19,900 6.7% 688 3,332 21.8% *projected enrollment 7
75 ISDs Source: Fast Growth Schools Coalition, Interim Report 2016 8
Challenges of Fast Growth With fewer than 8% of districts educating more than 1/3 of Texas s students, there are distinct facilities, staffing, and funding decisions for each of these school districts. Our school communities are constantly navigating a series of demographic studies, bond planning committees, and long term facility master plans to address the impact of student growth. The continual evaluation of tax rate impact, boundary change needs, technology and transportation requirements, as well as renovation to existing facilities is key in fast growth districts to support educational goals. Adapted from FGSC Interim Report 2016 9
Statewide Enrollment Trends 6,000,000 5,000,000 4,521,043 4,594,942 4,671,493 4,749,571 4,847,844 4,933,617 4,998,579 5,075,840 5,151,925 5,232,065 5,299,728 100 90 80 Enrollment 4,000,000 3,000,000 2,000,000 1,000,000 0 Eco Disadvantaged % 58.9 59.1 60.3 60.3 60.1 58.7 58.9 55.5 55.4 55.2 56.6 Bilingual/ESL % 11.5 13 12.7 14.1 15.1 15.7 16.7 18 19.7 21.1 22.7 SpEd % 11.2 9.8 9 8.3 7.7 7.2 6.9 6.6 6.7 6.5 6.5 PCT Eco Disadv PCT Bilingual/ESL PCT Sp Ed Enrollment 70 60 50 40 30 20 10 0 Percent Source: Texas Association of School Business Officials, 2017 10
2016 2017 Enrollment 19,212 At Risk 49.78% Bilingual/ESL 7.94% Econ Disadv 47.53% ELL/LEP 15.87% SPED 10.56% Bil/ESL = PK-5 th ELL = K-12 11
12
No M&O Tax Increase for 12 Years 13
*Requires voter approval to exceed $1.04 14
Hays CISD 2017-2018 BUDGET 2017-18 Projected Taxable Values $6.2B Freeze Adjusted $$ % Fiscal Year Taxable Values Increase Increase 08-09 3,257,092,182 09-10 3,411,481,615 154,389,433 4.7% 10-11 3,452,686,886 41,205,271 1.2% 11-12 3,563,019,658 110,332,772 3.2% 12-13 3,708,352,333 145,332,675 4.1% 13-14 3,910,777,705 202,425,372 5.5% 14-15 4,223,693,653 312,915,948 8.0% 15-16 4,765,260,525 541,566,872 12.8% 16-17 5,518,026,709 752,766,184 15.8% 17-18* 6,218,026,709 700,000,000 12.7% 18-19* 6,818,026,709 700,000,000 9.6% 19-20* 7,418,026,709 700,000,000 8.8% *Estimated as of March 1, 2017 15
Revenue Discussion Projected enrollment of 19,900 represents a budgeted increase of 348 students over prior year. Increase over actual enrollment of approx. 688 students from 2016-17. Tax collections are based upon a projected increase of $700M in taxable appraised values. Does not include any proposed legislative increases in basic allotment. Collection percentage maintained at 99.5%, recently increased from 98.5%. 16
Revenue Projection, $700M AV Growth 2016 2017 2017 2018 Difference Tax Revenue $61,504,220 $69,582,410 $8,078,190 State Funding 80,506,785 76,548,944 3,957,841 Total $ 142,011,005 $146,131,354 $4,120,349 Projected Increase = $4.1M 17
Budget Summary 18
Summary- page 1 Item Cost Total Cumulative Additional staffing positions $825,000 $825,000 15 Additional teaching FTEs for growth $825,000 -- Additional special education tchrs (see staffing worksheet) Other Fees & Operating Expenses $199,170 $1,024,170 Campus allocations $46,200 Other operating expenses $152,970 District Initiatives $3,574,700 $4,598,870 Campus and Instructional Programs $1,254,700 Campus Staffing $2,512,500 Savings / Revenue enhancements ($625,000) Open New Schools, Elementary #14 $200,000 Technology $232,500 19
Summary- page 2 Employee Compensation $ 1,580,000 $6,178,870 Health Insurance Current contribution is $4,092/year per employee: - No increase to employer contribution proposed No change $ - $6,178,870 Proposed Increase to Expenditures: $6,178,870 $1.04 Maintenance tax rate, Budgeted Enrollment +348 to 19,900 Current Law Revenue Estimate: $4,151,000 85th Legislative Session?: $0 2017-18 Revenue Available for Budget: $4,151,000 Proposed expenditures: ($6,178,870) Proposed Budget Difference: ($2,027,870) Carryforward Prior Yr Budgeted Deficit: ($1,828,618) Current Budget Difference: ($3,856,488) 20
Staffing 21
Campus Staffing Special Education * Proposed 8 Special Education Teachers (Incl Resource) $440,000 15 Special Education Paras (Incl Resource) $405,000 6 Speech Lang Pathologists (Net of Contract Svcs) $193,000 2 Diagnosticians $110,000 2 LSSPs $110,000 1 Teacher For Visually Impaired $55,000 2 Teachers PPCD $110,000 4 Para For PPCD $100,000 1 Occupational Therapist (Net of Contract Svcs) $27,000 1 Teacher Autism $55,000 4 Para For Autism $100,000 *Pending audit recommendations 22
Campus Staffing Cont. Special Education, continued * 3 Teachers Foundational Learning $165,000 5 Paras Foundational Learning $125,000 4 Paras For Special Education, Added 16-17 $100,000 1 Para 18 Plus Program $25,000 1 Curriculum Specialist, Special Education PBMAS $55,000 2 Para Sped Aide III, 1 For Each HS $50,000 1 Teacher Dyslexia $55,000 1 ARD Facilitator $55,000 *Pending audit recommendations 23
Campus Staffing Cont. Other Campus Staffing 1 PEIMS Para Support FTE For High Schools $30,000 2 1 Hall Monitor Per Comprehensive High School $30,000 1 Counselor At HHS, per staffing guidelines $65,000 1 PK Aide, added 16-17 $25,000 1 Live Oak Academy Nurse FTE, added 16-17 $27,500 Other staffing requests are on department worksheets ---- Deferred to Future Period (Current List) Total Campus $2,512,500 1 Teachers 18 Plus Program $55,000 1 Autism Specialist $55,000 2 Testing Coordinator 1 at each HS $116,000 $226,000 24
Compensation 25
Compensation Employee Compensation $ 1,580,000 Teachers, Nurses, Librarians - 1% overall $729,000 - Starting salary of $45,000 ; $490 step increase Counselors, Based upon 1% TNL increase $21,000 - Step schedule = Same $ increase as TNL Equity Adjustments & Incr Minimum Wage - Increase minimum wage for Auxiliary staff to $9.50/HR Bus Drivers $20,000 - Propose $16/hr starting pay rate to fill vacancies Other increase, Employee calendars $129,000 Mid-point Increases, 1% $459,000 - All others except TNLC, substitutes & NSH/temporary - Increase minimum wage for auxiliary staff $222,000 (subject to change) Health Insurance Current contribution is $4,092/year per employee: - No increase to employer contribution proposed No change $ - 26
Other Worksheets 27
Other Operating Communications Proposed Student Calling System & App (annual incr, per enrollment) $15,000 Stipends At Campuses For Web Content And Mgmt $27,500 Campus Attendance Zone Online Interactive Map $2,250 Human Resources HR Software Increase, Evaluations $23,000 Interpreting Services For Employees $5,000 Maintenance and Operations Custodial supplies (annual increase, $15 per new student) $5,220 1 Custodial Warehouse Assistant $50,000 - to support custodial operations and inventory; previously deferred 28
Other Operating- Cont. Financial Services CAD fees (annual increase) $25,000 $152,970 Deferred to Future Period (Current List) 1 Purchasing Buyer $64,000 1 SIS Support fte $60,500 1 ERP Support Specialist, Help Desk $42,592 4 Maintenance personnel to meet APPA standards (need 15 per audit) $180,000 $347,092 29
District Initiatives Curriculum and Instruction Proposed 1 Director of Curriculum and Instruction $97,000 1 CTE Coordinator $60,000 1 CTE Instructional Coach (can be grant funded) $0 1 CTE Secretary/Bookkeeper $44,000 - provides relief to book keepers at HHS, LHS 1 Paraprofessional support, C&I $44,000 Saturn V Expansion, operating budget increase $40,000 Naviance CCR Platform $40,000 2 Dual Language/ESL Instructional Coach $120,000 1 Blended Learning' Digital Learning Coach (currently grant funded) $60,000 Increase in GT Budget $25,000 Subject Area Budget Creation $65,000 30
District Initiatives- Cont. Curriculum and Instruction, cont. AP Testing Budget Increase $35,000 AED device maintenance $5,000 Con Mi Madre, continue existing cohort $15,000 New Courses, materials (ongoing annual costs) $350,000 School Leadership Expand Communities In Schools services to Impact Center $45,000 CIS Budget Increase for Existing Campuses $29,700 AVID Membership, Professional Development, Curriculum $30,000 1 AVID FTE for elective (.5 at each HS) $55,000 Increase Budget for Commencement $40,000 1 PK Instructional Coach, currently funded with grant $55,000 Total $1,254,700 31
District Initiatives- Cont. Deferred to Future Period (Current List) 1 Director of Fine Arts $100,000 1 Director of Athletics $100,000 1 Coordinator of Library & Media Services $81,000 1 Coordinator of Elementary Science $81,000 Additional days for 1 Administrator per MS (to 226 days) $28,800 1 Professional Learning Specialist (supports PD department) $58,000 1 Athletic Programs Coordinator $66,000 $514,800 32
Technology Proposed Internet Access And Software Support, 10GB $150,000.00 1 Data Programmer, SIS Support $82,500.00 Total $232,500 33
Savings Worksheet Proposed Decrease Transportation Budget (field trip revenue offset) ($100,000) Decrease Fuel Budget (removes reserve for fuel price increases) ($100,000) Decrease Budget for Property Casualty Insurance ($100,000) Decrease Copier Budget, district-wide ($30,000) Revenue - purchasing card rebate increase ($20,000) Decrease Central Substitute Budget ($175,000) Decrease Budget for Health Insurance (removes reserve for participation incr) ($75,000) Decrease Budget for Workers Compensation ($25,000) Decrease Budget for Food and Travel TBD Total (625,000) 34
One-Time Expenditures Possible One-Time Requests Estim Cost Band Instruments (Spring 2016-17) $438,000 Bilingual instructional materials TBD ESL instructional materials adoption $500,000 4 Technology Vans $100,000 New Courses for 2017-18 (Summer 16-17) $1,300,000 New Courses for 2018-19 (Summer 17-18) $204,000 Election Equipment to Maintain May elections with Hays County, estimate $100,000 Saturn V Expansion $100,000 Conversion to Wet Portables $250,000 $2,992,000 35
Three-Year Outlook 36
Three-Year Outlook Legislative Year Legislative Year Scenario 2017-2018 2018-2019 2019-2020 Enrollment growth 348 700 700 Taxable Value Growth $700M $700M $700M Additional Available Revenue: 4,151,000 4,600,000 4,600,000 Teachers for growth 825,000 2,264,348 2,304,783 Compensation/Health Ins 1,580,000 2,400,000 2,400,000 Other Fees & Operating 199,170 500,000 500,000 Open Elem School 200,000 1,519,000 - Open High Schools (phase in)* - 500,000 3,000,000 District Initiatives 3,999,700 250,000 250,000 Savings/Revenue Enhancements (625,000) Other/Deferred Expenditures - TBD TBD Additional Expenditures 6,178,870 7,433,348 8,454,783 Annual Budget Deficit: (2,027,870) (2,833,348) (3,854,783) Deficit Carryforward (1,828,618) (3,856,488) (6,689,836) Total Budget Surplus (Deficit) (3,856,488) (6,689,836) (10,544,618) *discussion only, based upon May 2017 bond proposals 37
Legislative Discussion HB 21 - Huberty Allocates addt l $1.9B to public education. Increased Basic Allotment from $5,140 to $5,350; Eliminates the Transportation, Staff, and High School Allotments. Substitute bill language forthcoming HB 2340 Huberty School districts must maintain a minimum fund balance of 90 days of operating expenses. 38
2017-18 Budget Calendar Key Upcoming Dates March 29 Board Budget Workshop April 13 Board Budget Workshop April 24 Regular Board Meeting Possible approval of new positions April 30 Chief appraisers certify estimate of taxable values May 22 Regular Board Meeting Possible approval of compensation plan July 25 Chief appraisers certify taxable values August (dates TBD) Approve proposed tax rate to be published Public hearing on proposed budget and tax rate Board Meeting : Budget and Tax Rate Adoption 39