University of Central Florida Theme for Module 2 The Savvy School Leader Uses Technology For Effectively Managing His or Her School Budget 6260 Module 21

Technology and Budget This modules goals are:  To review several terms that are common in conversations regarding planning for technology integration.  To become aware of the expectations under NCLB for technology integration in our schools  To gain experience in using Excel technology in creating a principals budget Module 22

 To review the five ways in which the savvy school leader uses technology to enhance his or her capacity as a leader.  To gain knowledge and experience on how savvy school principals use technology to create, manage and forecast using their school budg et Module 23

Leadership Quotation “Not everything that can be counted counts, and not everything that counts can be counted.” Albert Einstein 6260 Module 24

Reflection Activity Take a minute to review the quotation by Albert Einstein on the previous slide. Write down what you believe Albert Einstein is communicating to each of you as school leaders. Use a maximum of 5 sentences for your reflection Module 25

Learning the Language of Technology 6260 Module 26

The Language of Technology Baseball has its own language. Fishing has its own language. Golf has its own language. Just as different sports and activities have their own language… technology has its own language! 6260 Module 27

The Language of Technology The savvy school leader knows that technology has its own language Module 28

The Language of Technology  As a Savvy School Leader it is important that a we have a working knowledge of the language of technology.  As teachers, parents, tech directors, and even students enter into a conversation with you on topic or issue related to technology, it is a benefit to be able to speak the language Module 29

Language of Technology Activity  Define the vocabulary words listed below.  After each definition, compose a few lines as if in a conversation with a teacher, parent, tech director, or student at your school regarding a technology issue.  Pentium  Hertz  Megabytes  Gigabytes  Phising  Default  DOS 6260 Module 210

No Child Left Behind (NCLB) legislation lists the following as primary goals for schools in regard to technology integration:  To improve student achievement through the use of technology in elementary and secondary schools.  To have students graduate eighth grade technologically literate.  To integrate technology effectively into teacher training and curriculum development.  To align technology integration with state standards Module 211

Review The savvy school leader uses technology to expa1 n their leadership capacity in five very important ways. 1. Developing his or her school budget. 2. Creating a Professional Learning Community in his or her school 3. Enhancing learning opportunities for students 4. Providing effective, efficient, and relevant professional development for faculty and staff 5. Analyzing data for school wide planning and decision making 6260 Module 212

Developing the School Budget Using Excel Spread Sheet Technology 6260 Module 213

 Planning efforts and decision making needs, including budget development, are to be based on the school’s mission.  As with all other decisions and planning, the school budget should be developed with the school’s mission as a guide.  The principals budget translates the school’s mission into numerical terms Module 214

 The savvy school leader focuses his or her budget on a specific list of priorities.  The school budget should be developed according to a pre-established list of priorities.  The instructional program needs to drive the development of the school budget, not the other way around Module 215

 The school budget should be considered a planning tool, not just a routine for keeping tract of expenditures.  Lundenburg & Irby in their Book The Principalship, use the term “school based budgeting” when describing the principals budget Module 216

 Lundenburg & Irby say that the school- based budget helps the principal to use their budget as an operating guide toward the goal of implementing their school’s educational plan Module 217

 What are the categories in a typical school budget?  The following areas and terms are involved in developing a school budget:  Budget Appropriations  Appropriation Adjustments  Adjusted Budget Appropriations  Spent to Date  Encumbrances to Date  Budget Balance  Fund Balance 6260 Module 218

Uniform System of Account Codes In a Typical School Budget CodeAccount  Instructional Salaries  Non-Instructional Salaries  Substitute Teachers  Equipment  Contractual Expense  Supplies & Materials  Textbooks 6260 Module 219

The savvy school leader needs to be able to use his or her budget to:  Plan school programs and activities  Closely monitor expenditures  Forecast planned expenditures for future years 6260 Module 220

 A typical school budget scenario is included under the assignments section.  The assignment section also includes: An Excel spread sheet A list of definitions of school budget terms A list of the formulas to be used in the budget development process 6260 Module 221

 School districts across the nation use Encumbrance Accounting in developing school budgets.  This form of budget development takes into account not only what is spent, but what is expected to be spent sometime during the school year.  This is similar to an individual taking into account only their checking account balance, but not the amount owed on their credit card, or obligated to pay for mortgage, taxes, car payment, and utility bills in determining their available funds. They really don’t know exactly what their available funds are Module 222

 Through Encumbrance Accounting both the school leader and homeowner continually know exactly what funds they have available that have not been spent, or they will be expected to spend during the year.  Through Encumbrance Accounting you know right now and at any time during the year, what you will be expected to spend something during the year and will give you and idea, also at any time, what funds you really have available. (ie: principals salary or mortgage) 6260 Module 223

 The amount to be encumbered will change as you order supplies, equipment, hire substitute teachers, or hire new staff, or even not fill staff vacancies.  The Budget Balance only tells the school leader the difference between what they started with minus what has been spent to date. This does not show the school leader the whole picture of their school’s financial health Module 224

 For the savvy school leader, one of the most important tools of the budget process is the Fund Balance.  The Fund Balance keeps the school leader continually informed of the funds completely available, not spent or expected to be spent sometime during the school year.  Example, the full salary of the principal should be fully encumbered, as it is expected to be fully spent sometime during the school year Module 225

 Known salaries and other budget categories as: supplies, equipment, travel, substitute teachers, are treated differently in the fund balance calculation.  Since the salaries are known, the full amount is encumbered (Encumbrances to Date).This is because you are obligated, right now, to spend these amounts.  Since the areas such as: supplies, equipment, travel, substitute teachers are not known at this time, only the amount actually ordered or owed is encumbered Module 226

 The formula for determining the Fund Balance for known salaries is by subtracting the amount encumbered from the budget appropriation.  The formula for determining the Fund Balance for categories other that known salaries is by subtracting both the amount spent to date and the amount encumbered from the budget appropriation.  6260 Module 227

 The Appropriation Adjustments and Adjusted Budget Appropriations columns are used in the event budget transfers need to be made.  It is common, during the school year, that funds need to be transferred between budget categories. This happens when the either the Budget Balance or Fund Balance is over spent Module 228

 A budget transfer is made by subtracting an amount from one category and adding the same amount to another category. This is accomplished to bring the deficit balance to a positive balance in one or more codes.  The balance of the Appropriation Adjustments column is zero, as the amounts involved in the transfer balance each other out Module 229

 If the Fund Balance for Substitute Teachers is overspent by $1,000, and we decide to take the funds from the Assistant Principal category. The budget transfer in the Appropriation Adjustments column looks like this – 1,000 in the Substitute Teacher column (1,000) in the Assistant Principal column- The parenthesis is used to indicate that you want to subtract the amount Module 230

 Whenever a budget transfer takes place it changes the original budget appropriation.  The new budget appropriation is recorded in the Adjusted Budget Appropriations column  The Adjusted Budget Appropriations column would look like this – Assistant Principal C12+D12 Substitute Teachers C19+D Module 231

 The new Budget Balance for Assistant Principal would be calculated – E12-F12  The new Fund Balance for Assistant Principal would be calculated – E12-G12  The Budget Balance for Substitute Teachers would be E19-F19  The new Fund Balance for Substitute Teachers would be E19-F19-G Module 232

Note : This assignment does not ask you to make budget transfers. This will be an assignment under Module Module 233

 You may want to use the principles of encumbrance accounting and excel spread sheet technology in developing a home budget.  This will help you understand the great tool it is in continually knowing what funds you “really” have available, to use in predicting future years home budgets Module 234

Opportunity for Professional Self-Reflection: How does my knowledge of the use of technology in day-to-day budgeting impact my ability to budget as a future savvy school leader? 6260 Module 235