Tipp City Exempted Village District Miami County Ohio General Fund Five Year Forecast July 1, 2018 Through June 30, 2023 October 22, 2018 Presented By David Stevens, Treasurer/CFO

Revenue Vs. Expenditure Without Levy • Cash balance remains positive through FY23 if levy approved • Models HB49 state revenue data for FY19 and anticipates Similar funding formula FY20-23

Ending Cash Balance With Levy • Positive cash balance through FY23 if Levy Renewed Expenditures exceeding revenue even with Levy Renewal

District True Cash Balance • Maintain a 30-60 day TCD if levy approved Levy Renewal key to sustain our financial viability

Est. General Fund Revenue Sources FY19 • The district relies on funding from the community

Local vs. State Funding • New state budgets not expected to bring significant new money We are a formula district but very close to falling to guarantee in FY20 will need to watch our enrollment closely

Challenges To Operating Revenue Reappraisal in 2019 is anticipating an increase of residential values by 1% and ½% for commercial values HB 49, the State budget for FY19 projecting slight increases in State funding FY20-23 will depend on two new state biennium budgets that could change our funding We are a formula district right now but very close to being a guarantee district if our ADM falls We should consider making our emergency levies substitute levies for a continuing time Renewing emergency levies only bring the same revenues with no increases

Est. General Fund Expenditures FY19 • Wages and benefits are estimated at 78% of total expenditures

General Fund Expenditures By Object FY16 through Est. FY 23 • Expenses continue to grow and will outpace our revenues Beginning in FY20

Where Are We Now Expenses exceed revenues beginning in FY20 We are entering a period of relatively flat revenues FY19-23 unless the state funding grows substantially…which is unlikely HB 49, the State budget for FY19 projecting slight increases in State funding and the two new state budgets are expected to be relatively flat funding for us We need to watch Line 6.01 and try to match our expenditures to revenues or face cuts or seeking new revenues in the future We should consider making our emergency levies substitute levies for a continuing time when they are up for renewal

Thank You for Listening Questions and Answers