So…what is different about FY18 budget development? Non-compensation budget built in MUNIS Reviewed 3-year adopted/actual with every fund manager Implemented new budget codes, effectively implementing zero- based budget Established new budget code baselines

MUNIS Reporting

School Board Budget Highlights Direct resources to support staffing and training to assist students in meeting basic Virginia standards and requirements  Support C5W work and training for staff Fund 5 Diagnosticians Continue targeting professional development and compensation for critical need areas Continue implementation of the School Board approved staffing plan as it relates to class size reduction Fund VRS mandated increase Establish paraprofessional, bus driver, and nurse compensation models based on market-driven data to enhance pay scales Continue to support market median compensation model for teachers Provide 2% increase to all employees not subject to teacher contract adjustment Maintain FY17 teacher contract adjustment and provide additional 1% increase

Approved FY18 Budget FY17 Adopted Budget $269,152,658 FY18 Approved Budget $284,589,623 Increase $ 15,436,965 The 5.74% increase uses the General Assembly’s budget; uses a projected increase in average daily membership (ADM) of 701 students; includes approximately $2.8M increase in local revenue; and requires $5,889,114 in additional revenue.

Funding Gap ~$5.9M

Proposed Funded FTE Increase: 67.5 Position Number Teachers 35.50 (includes 11.5 added after FY17 adoption) Paraprofessionals 17 (includes 2.0 added after FY17 adoption) Educational Diagnosticians 5 Counselors 2 ABA Therapist 1 Family Service - VPI Math Specialists Computer Technician Trainer (CTT) Head Start Custodians (2) Accountability Specialist 1 (added after FY 17 adoption) World Language/Culture Facilitator VRS Specialist Demographics Planner ERP Systems Analyst

Total Rewards Compensation Benefits Work Life Recognition Professional Development

Total Compensation and Benefit Investment in Employees: Examples

Doctorate: $5,828; Masters + 30: $5,161; Masters + 15: $4,770; Master's Degree: $4,380; Bachelors + 15: $1,208; National Board Certification - $2,748

Compensation and Benefits Highlights Area Amount Maintain additional ~1% for teachers $1,101,454 Extend 1% to non-teacher scales $ 626,236 Extend additional 1% increase to all employees $1,998,452 Enhance scale $1,050,000 Fund VRS rate increase $2,514,802 Establish merit pool (maintenance and technology) $ 61,088

Bus Driver Turnover The focus for Bus Drivers is the 1 year turnover rate. We have experienced a turnover rate of about 25% over the last few years. Of those who left, about half left the first year. It is one of the highest turnover rates among employee groups, even though we have other employee groups that are farther out-of-market than bus drivers and monitors. This chart shows the last 2 years (through October of this year) of turnover by years of service.

Comparison Data: Bus Driver School District Starting Mid High *Albemarle $12.80* $16.83 $20.88 Chesapeake $14.28 $17.82 $22.82 Chesterfield $15.65 $21.18 $26.72 Fauquier $13.89 $17.58 $21.26 Hanover $14.70 $21.41 $28.11 Henrico $14.69 $19.46 $26.41 Loudoun $14.07 $18.61 $26.58 Prince William $15.46 $23.09 $34.44 Spotsylvania $17.85 $25.47 $29.05 Average $14.82 $20.16 $26.25 *Stafford $13.69* $19.83 $29.00 We used our comparison school divisions (which also matches those used by Stafford County Government for comparison). Stafford ranks among the lowest and below the average in hourly starting rates – even after factoring in cost-of-living adjustments. Note: Rates adjusted to include index for cost of living

Compensation Plan: Drivers* Bus Driver 1 Pay Band A01 First year drivers Bus Driver 2 Pay Band A02 One year satisfactory service Defensive Driver Training Behavior Management Training Lead Bus Driver/Trainers Pay Band A03 *Maintain support for attendance bonuses In looking at a compensation plan for Transportation, we also looked into “tiers” to recognize differences in a first year and other drivers as well as differentiating pay for lead drivers and trainers.

2016 Climate Survey Results (n=2,576) Leadership: 2015 2016 Difference Treats me with respect. 81% 86% +5% Is effective. 65% 75% +10% Facilitates communication effectively. 60% 68% +8% Is effective in helping us reach our mission and vision. 66% 72% +6%

Professional Development and Growth Continued support for New Teacher Institute Continued support for course/conference reimbursement Funding for year 2 of the Teaching and Learning Summit Funding for realignment of the Office of Learning and Organizational Development

Additional Expenditure Considerations Replacement Cycles Technology – On schedule to maintain current inventory Transportation – 15 buses included Staffing Differentiation Additional elementary clerical funds based on enrollment Additional 5 diagnosticians Redirection of Savings Budgeted salary attrition/lapse - $1M Operational savings of $1.9M Contingency Unfunded contingency - $1M New funded contingency - $500k

Capital Improvement (Infrastructure) Needs Exceed $6M: Fund $2M with Current Year Savings Description Estimated Cost Fire alarm repair - RES $154,000 Upgrade fire alarm panel – AGWMS/GES $245,000 Replace wheel chair lifts – AGWMS/GES $ 35,000 Repair track - CFHS $700,000 Repair roof (kitchen) - HOES $110,000 Design repairs – GMC, HES, NSHS, PRES, WES $250,000 Upgrade 911 duress system – all schools $150,000 Repair roof - GMC $370,000

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