Walnut Valley Unified School District 2014 – 2015 Unaudited Actuals September 16, 2015 Michael R. Hodson Assistant Superintendent, Business Services

Purpose Discuss changes to the Estimated Actuals submitted with the 15-16 Budget Update the Board on current financial forecast

Unaudited Actuals Represents the official financial activity for the preceding year. Reflects changes from Estimated Actuals projected during budget process Incorporates changes into the current year’s budget projections WVUSD: minimal variation from predictions Expenditures projected within less than $73k (.07%) Local Revenue exceeded expectations Community Club / Boosters - $633k Reimbursement from prior year - $263k Facility use - $118k

Adjustments to 2015-2016 Beginning Balance* $12.3m (9.5%) Net Increase $ 3.6m One time funds ($8m?) ----- Salaries ----- Deficiencies ----- Unforeseen events ----- Projected Ending Balance* $15.9m (12.2%) Reserve for Economic Uncertainties $ 3.8m GAP Reserve $10.2m * Unrestricted, General Fund

Concerns Future funding is uncertain at best Stock market indices all down by 6% in August Prop 30 begins to expire this year LCFF disfavors WVUSD PERS/STRS increases not supported by additional revenue $6.1m annual, additional cost, at current payroll, by 20/21 Legislative Environment’s effects on costs and enrollment Revenue estimates include inflation, expense estimates do not

Competing Demands for Resources Existing Deficiencies: Site requirements Personnel Reinstatements Salaries Infrastructure

Summary Actual expenses were accurately projected in estimates Near term prospects are good – Bond, one-time revenue, Prop 98 growth Long term outlook presents challenges