Kernville Union School District The State does not yet have an enacted budget at this time. Deadline is tomorrow Wednesday, June 15. First Interim Presentation 2018-2019

2018/19 Revenue LCFF Revenue $8,787,413: ADA = 841.30 2.71% COLA LCFF Gap funding 100% $193,701 Increase from July Budget P2 is 20 over prior year LCFF is about 90% of target Increase $1.4 m base and $1.1 m sup/con

2018/19 Revenue Cont’d LCFF Revenue cont. 2018-19 is the sixth year of the new funding formula and the fourth year for the Local Control Accountability Plan (LCAP). The LCAP outlines the actions scheduled to be taken to increase or improve services for English Learners, Low Income, and Foster Youth students utilizing the Supplemental and Concentration grant dollars included in the LCFF calculation. $1,783,599 (20.29%) of the $8,787,413 2018-2019 LCFF revenue.

2018/19 Revenue Cont’d Federal Revenue - $756,336 (Increased $17,207) Federal Special Education, Title I, Title II, Title IV, Title V, REAP, and MAA. Other State Revenue - $651,784 (Decreased $136,217) Lottery, Mandated Cost block Grant, one-time Mandated Costs , ASES, Frontier Grant, Moderate Intervention, LCSSP Grant, and SUMS grant The decrease is due to difference between the Governor’s May Revise budget assumptions and the State Adopted Budget for the One-time Mandated Costs Revenue. Local Revenue - $1,189,295 (Increased $161,416) Interest, Special Education, Local Grants, Erate, Fire Camp, Wellness Grant, TLIM, and Misc. The increase is from the addition of the bus replacement grant and Special Education reimbursement revenue.

2018/19 Revenue Comparison July Budget $11,191,128 First Interim $11,384,829 $193,701 1.73% Increase

2018/19 Expenditures Total Fund 01 Expenditures $11,585,604 Certificated Salaries - $4,406,585 (Increased $139,669) The increase is due to the addition of a half- time 6th grade teacher position and the District negotiated increase. Classified Salaries - $2,337,288 (Increased $152,899) The increase is due to the addition of a couple classified positions and the District negotiated increase.

2018/19 Expenditures Cont’d Employee Benefits - $3,006,584 (Increased $26,789) Employee Benefits reflect an increase due to increase in salaries as listed above. Books and Supplies – $512,923 (Decreased $45,104) The adoption budget was decreased. Services and Operating Exp – $1,032,102 (Increased 67,269) Legal settlement costs were added to the budget. STRS rate increase from 10.73% to 12.58% topping out at 19.1% in 20/21 PERS rate increase from 11.847 to 13.888% topping out at 19.8% in 20/21

2018/19 Expenditures Cont’d Capital Outlay – $199,921 (Increased $124,921) The increase is for the school bus purchase. Other Outgo- $151,825 and ($61,627) (Increased $315)

2018/19 Expense Comparison July Budget $11,119,086 First Interim $11,585,604 $466,518 4.20% Increase

Multi- Year Projections 2019-20 Revenues Overall revenues are expected to decrease by one-time revenues ($88,635 or 0.78%) compared to the prior year: ADA 857.28 (same as prior year) LCFF – COLA 2.57% and gap funding percentage 100% Federal Revenues – removal of deferred revenues Other State Revenues – removal of one-time revenue sources Other Local Revenues – COLA was added to Special Education revenues

2019/20 Revenue Comparison 2018/19 $11,384,829 2019/20 $11,296,194 <$88,635> <0.78%> Decrease

2019-20 cont’d Expenditures are expected to be adjusted by the following compared to the prior year: Certificated Salaries Included are step and column adjustments, the removal of a 1.0% bonus given in 18/19. No change in FTE’s. Classified Salaries Included are step adjustments and the removal of 1.0% bonus given in 18/19. No change in FTE’s. Employee Benefits Reflect an increase due to increase in salaries as listed above, 1.85% increase in STRS rate, 2.74% increase in PERS rate. 1.50% COLA for all except CSEA Insurance 100% for all except CSEA

2019-20 cont’d Books and Supplies Decrease $18,960 to decrease adoption budget and one-time revenue expenses. Services and Other Operating Expenses Decrease $9,734 for one- time revenue expenses. Capital Outlay Decrease $159,921 for the one-time school bus replacement. Other Outgo Is increased by COLA. Other Outgo – Indirect Costs Is increased by 2.57 COLA.

2019/20 Expense Comparison 2018/19 $11,585,604 2019/20 $11,604,140 $18,535 0.16% Increase

Multi- Year Projections 2020-21 Revenues are expected to increase by 1.76% compared to prior year. ADA 865.74 (increase of 8.46 from prior year) COLA 2.67% Federal Revenues - status quo Other State Revenues – Reduced by 7.72% - One-time funding reduction Other Local Revenues – Increase slightly with 2.67% COLA on Special Education funding

2020-21 cont’d Expenditures are expected to be adjusted by the following compared to the prior year: Certificated Salaries Included are step and column adjustments. No change in FTE’s. Classified Salaries Included are step adjustments. No change in FTE’s. Employee Benefits Reflect an increase due to 0.97% increase in STRS rate, 2.7% increase in PERS rate.

2020-21 cont’d Books and Supplies – Increased by $4,785 which is the difference between a 2.67% COLA and decrease in one-time revenue expenses. Services and Other Operating Expenses – Increased by 2.67% COLA. Capital Outlay – Status quo. Other Outgo Increased by 2.67% COLA.. Other Outgo – Indirect Costs Increased by 2.67% COLA.

Special Reserve – Postemployment Benefits Other Fund Balances 2018/19 Fund Description Projected Ending Fund Balance June 2019 12 Child Development $62,901 13 Cafeteria $254,257 17 Special Reserve $12,830 20 Special Reserve – Postemployment Benefits $70,667 21 Building (Bond) $85,325 25 Capital Facilities $11,150 40 Sp. Res.- Cap Outlay $417