1. SWARTZ CREEK COMMUNITY SCHOOLS 2009-2010 Financial Statement Presentation

2. Auditors’ Opinion The District received an unqualified audit opinion This is the highest level of assurance possible for the District’s financial statements The audit was conducted in accordance with: Generally accepted auditing standards Government auditing standards

3. Foundation Allowance

4. Blended Student Enrollment

5. General Fund Revenue Revenue Sources 09-10

6. General Fund Revenues & Expenditures

7. General Fund Fund Balance

8. General Fund Balance as a Percentage of Expenditures vs. State Averages June 30, 2010 Swartz Creek Community Schools June 30, 2009 State Average Fund Balance as a % of Expenditures -13.56%11.68%* Equivalent Days Based on: 181-Day School Year 24.5 Days18.75 Days Note – for example, a 13.56% fund balance is equivalent to a household with $50,000 annual income having $6,780 in a savings account. *Excluding Detroit Public Schools

9. Due From State & Other Governmental Units - General Fund as of June 30,

10. General Fund Expenditures

11. Retirement Rate

12. Sinking Fund Revenues & Expenditures

13. Sinking Fund Fund Balance June 30

14. Food Service Revenues & Expenditures

15. Food Service Fund Balance

16. Athletics Revenues, Expenditures & General Fund Contributions

17. Child Development Fund Revenues, Expenditures and Fund Balance

18. Community Education Revenues, Expenditures & General Fund Contributions

19. Economic Considerations

20. General Economic Issues  School Funding levels still in limbo as a result of State economic situation  McMillan et al v. MPSERS et al lawsuit – increased retirement rate to 20.66% for employees hired before July 1, 2010 and 19.16 % for employees hired after July 1, 2010.  Declining property values will impact building and site fund

21. Athletic Fund Starting in 2010-11 – Athletic Fund will be reported in the General Fund instead of being included as a Special Revenue Fund.

22. Fund Balance–Under GASB 54  Nonspendable (inventories, prepaids, long-term loans and notes)  Restricted (externally imposed by grantors etc)  Committed (constrained by Board)  Assigned – Essentially what is now designated  Unassigned – Essentially what is now unreserved, undesignated.

23. Questions?