2017-18 Budget Santa Paula Unified School District June 14, 2017

Budget Assumptions: Cola: 1.56% LCFF Gap Funding Rate: 43.97% LCFF Minimum % (MPP): 30.14% ($12,561,504) Enrollment: 5,397 (2016-17 = 5,454) ADA: 5,138.86 (2016-17 = 5,245.37) Funding is based on current or prior year, whichever is higher Unduplicated Students: 4,621 =85.6% (2016-17 = 4,673 =85.63%) Consumer Price Index CPI: 3.11% Applied to the cost of services and supplies PERS Employer Rate: 15.531% (2016-17 = 13.888%) STRS Employer Rate: 14.43 % (2016-17 = 12.58%)

Budget Assumptions (continued): Funding of Routine Restricted Maintenance: 3.0% Funding of Deferred Maintenance: 0.5% of General Fund Expenditures Special Education: 1.56% COLA Growth in ADA requiring +2.0 FTE Health & Welfare: Budgeted at negotiated cap One Time Funding: $0 Governor’s May Revision includes language about $170/ADA, but this will not be determined until MAY 2019, and can’t be budgeted in 2017/18 Staffing: Reduction in K-5 staff due to decline in enrollment 8.0 FTE New LCAP positions budgeted (CTE Coordinator, STEAM TOSA’s (2), Literacy TOSA, .5 FTE Music, 2.0 FTE Math Teachers (IMS, SPHS), Classified 1.0 FTE Athletic Trainer

Summary of General Fund: Ending Fund Balance Unrestricted General Fund Restricted Proposed Budget 2017-18 Beginning Balance $14,094,981 $796,079 $14,891,060 Revenues $50,932,730 $12,451,113 $63,383,843 Expenditures $52,428,905 $12,853,637 $65,282,542 $12,598,806 $393,555 $12,992,361 The proposed general fund unrestricted budget has revenues that exceed expenditures by $1,496,175 due to the budgeting of the ELA textbook adoption. The funds are available from the 2016-17 budget for one-time funds for the textbooks, but not reflected yet in the Beginning balance. Negotiations for 2017-18 have not started, and potential adjustments are not reflected in the proposed budget

Revenue Estimates: Gap Funding 43.97% - 97% of target Cola (1.56%) NO One Time Funding Federal Revenues – Decrease to Title I funds Potential carryover is not budgeted until the books are closed (September) LCFF Sources $55,009,927 Federal Revenue $ 3,056,716 Other State Revenue $ 2,252,188 Other Local Revenue $ 3,065,012 TOTAL REVENUES $63,383,843  

LCFF Revenue Increases: Growth in LCFF Entitlement per ADA 2016-17 2017-18 Funded ADA 5,342.20 5,266.87 Estimated LCFF Sources per ADA $ 10,212.29 $ 10,501.48 Net Change per ADA $ 636.27 $ 289.19 Net Percent Change 6.64% 2.83% Per Pupil funding will rise by 2.83%, or $ 289.19. Total Increase = $753,855 Growth in Base funding= $379,949 Growth in Supplemental/Concentration = $373,906 and must be supported by actions/services in the LCAP

General Fund Expenditures: Certificated Salaries $28,266,993 Classified Salaries $10,041,079 Employee Benefits $14,175,924 Books and Supplies $4,864,713 Services and other operating Expenses $6,598,718 Capital Outlay $194,000 Other Outgo $1,141,115 Total, General Fund, Expenditures $65,282,542 Increased cost due to Step/Column Movement Increased cost of new positions budgeted Increased cost of STRS and PERS rate increases H/W budgeted at currently contracted District contribution rate Increased Supplies and Services funding by CPI index Budgeted Adoption of materials, $1,400,000 (ELA) Budgeted planned Actions and Services in 2017-18 draft LCAP 

Specific reasons for a higher reserve are as follows:   Specific reasons for a higher reserve are as follows: Board Fund Balance Policy requiring available reserves of at least 17%: $9,139,556 Set aside for future textbook/materials adoption NGS, English: $1,000,000 Set aside for unfunded start-up costs for East Area 1 K-8 school: $500,000 OPEB Retiree Obligations (one year): $523,736 Estimated Unused, but earned Vacation: $413,890 Contract Negotiations for 2017-18 not settled, costs to be determined: TBD

Multi-Year Projection Factors 2017-18 2018-19 2019-20 Annual COLA 1.56% 2.15% 2.35% LCFF Gap Closed Percentage 43.97% 71.53% 73.51% CPI 3.11% 3.19% 2.86% Impact of STRS and PERS Increases in Two Out Years 2018-19 2019-20 $ Increase % Incr. $ Increase % Incr. STRS: $506,887 12.82% $506,692 11.36% PERS: $255,550 16.54% $268,648 14.92% Total: $762,437 $775,340 Assumptions Used in MYP: *Step and Column *STRS/PERS Increases *One time Revenue and Expenditures removed *Enrollment Projection from DecisionInsite, Conservative Model Enrollment/ADA 2017-18 2018-19 2019-20 Total Projected Enrollment 5,397 5,355 5,368 Total Unduplicated Pupil Count 4,621 4,583 4,591 Projected ADA:   5,138.86 5,089.15 5,100.55 Funded ADA: Better this yr./last yr.  (includes COE students) 5,266.87 5,159.36 5,120.05

Multi-Year Projection: General Fund 2017-18 Adopted Multi-Year Projection Santa Paula Unified School District Year: 2017-18 2018-19 2019-20 Funded ADA 5,266.87 5,159.36 5,120.05 Total Revenues   63,383,843 64,511,533 65,909,814 Total Expenditures 65,282,542 65,012,681 66,639,468 Increase/Decrease in Fund Balance -1,898,699 -501,148 -729,654 Beginning Fund Balance 14,891,060 12,992,361 12,491,213 Ending Balance 11,761,559 Non-spendable (Inventory and Prepaid) 6,500 Reserve for Economic Uncertainties 1,958,476 1,950,380 1,999,184 Unassigned 8,073,902 8,580,850 7,802,392 Assigned 2,559,928 1,559,928 Restricted 393,555

Summary / Questions?