1. Newark Public Schools Budget Presentation FY 2009-2010
March 26, 2009

2. State Funding Reform Act (SFRA)
Miscellaneous Revenue consists of the following:
Tuition $1,007,844,
Investments $2M,
E-Rate $1M
Internal Audit $300,000
Miscellaneous $1,590,574
Medicaid $200,000

3. Summary of Adequacy Budget Amounts
Elementary
Middle
High
Regular Ed
$9,971
$10,370
$ 11,666
At-Risk
+ $5,683
LEP
+ $3,916
+ $3,916
At-Risk/LEP
+ $6,930
+ $6,930
Spec. Ed.
+$11,749
+ $11,749
Speech
+$ 1,166
$ 1,166

4. Total District Enrollment –Oct 15 (Excluding Charter Schools)
06-07
07-08
08-09
Elementary
20,570
19,278
18,768
Middle
8,768
9,951
9,751
Secondary
11,928
11,274
11,473
Total
41,266
40,503
39,992
Change from Prior Year
(763)
(511)

5. State Aid Equalization Aid $ 633,652,423 Transportation Aid 5,905,964
Special Ed Categorical A ,823,243
Security Aid ,457,862
Adjustment Aid ,151,202
Extraordinary Aid ,027,468
Total Aid Awarded $ 717,018,162
Miscellaneous Revenue consists of the following:
Tuition $1,007,844,
Investments $2M,
E-Rate $1M
Internal Audit $300,000
Miscellaneous $1,590,574
Medicaid $200,000

6. Revenue Sources Fund Balance $ 23,938,400 Local Tax Levy 100,213,266
Miscellaneous ,898,018
Semi Medicaid ,448,522
State Aid ,018,162
Operating Budget $ ,516,368
Grants & Entitlements ,436,331
Total Aid Awarded $ ,952,699
Miscellaneous Revenue consists of the following:
Tuition $1,007,844,
Investments $2M,
E-Rate $1M
Internal Audit $300,000
Miscellaneous $1,590,574
Medicaid $200,000

7. Newark Public Schools Three Year Comparison of Revenues

8. FY REVENUES 8
$ 991,952,699

9. 2009-10 Budget Summary- General/Special Revenue Fund Changes
Operating Budget
($2.3M) Central High School Facilities Aid not provided
($1.7 )Reduction in Additional Charter School Aid in 08-09
($214,272 )Adult Education not provided
$498,522 increase in Semi-Medicaid
No increase in the Tax Levy
No increase in Fund Balance
Special Revenues (Grants)
($3.8M) in Pre-School handicap Program transfer not required in 09-10
$5.6M Increase in Early Childhood Program
$1.0M increase in Early Childhood Carryover

10. FY Revenue Summary
During this difficult economic climate, the decline in the revenues coupled with increasing costs, required that the district make tough choices to insure the efficacy of resources and programs toward increasing student achievement and maintaining the quality and fidelity of its programs.

11. WHAT DOES THIS MEAN?

12. FY BUDGET

13. $991,952,699 2009-2010 PROPOSED BUDGET A net decrease of $909,143 over

14. NEWARK PUBLIC SCHOOLS Total District Budget $ 991,952,699
Operating Budget $ 849,516,368
Grants & Entitlements ,436,331
Total District Budget $ 991,952,699

15. Impact on District Budget
With decreases in State Aid and rising costs, the district had to consider the following:
Reductions in positions and programs gained under the Abbott Ruling
Reallocation of Funds to cover increases in non-discretionary costs i.e., Tuition, Utilities, etc.
Closing/Consolidation of Schools
Reallocation and Reduction of Staff
Fund Staff/Programs with Grant Dollars

16. 2009-10 Budget Summary-Expenditures
Includes increases for non discretionary mandated items such as:
Salaries
Tuition
Transportation
Utilities
Charter Schools
New Park School
All non salaried discretionary costs were reduced to balance the budget

17. Summary of Anticipated Major Cost Increases and Revenue Reductions17
Categories
FTE
Amounts
Salaries
$ 14,969,392
New Park School
66.0
6,462,424
Charter Schools
13,934,135
New Initiatives/Educational Programs
2,750,000
Upgrade of Student Information System
1,000,000
Employees no longer funded by Grant
13.0
998,221
General Fund Revenue Reductions
3,732,475
TOTAL
79.0
$ 43,846,647

18. Major Costs of Total Budget
Salaries $ 507,689,285
Health & Employee Benefits ,869,708
Charter Schools ,914,336
Tuition ,545,613
Utilities ,906,547
Pupil Transportation ,147,878
Other ,443,001
Total Operating Budget $ 849,516,368

19. Major Costs of Total Budget17
$ 849,516,368

20. Total Salaries School-Based $ 341,627,318 67%20
School-Based
$ 341,627,318
67%
Instructional Support & Central Office
160,423,768
32%
Summer School & Adult Education
5,638,199 1%
TOTAL
$ 507,689,285
100%

21. 2009-10 Reductions to Balance The Budget21
Reductions
FTE
Amounts
Reassignment of Certificated Non-Classroom Staff – To address classroom vacancies in hard to fill areas
(50.0)
($4,692,018)
Consolidation of School-Based Staff as a result of Reconciliations and Budget Reviews
(94.5)
($4,144,559)
Consolidation of an SLT- District proposes a reduction to 4 K-12 SLTs
(7.0)
($594,076)
Reduction in Vice Principals- New district model developed to address equity and allocate VPs based upon student enrollment and need
(6.0)
($687,950)

22. 2009-10 Reductions to Balance The Budget22
Reductions
FTE
Amounts
Central Office Positions- Reduction in support cost
(61.0)
(3,648,208)
Reduction and Reassignment of Elementary Tech Coordinators – Elementary Schools with smaller enrollments will share a position. Staff to be reassigned to classrooms
(20.0)
(1,181,129)
Closing of Vailsburg - Final stage of the restructuring plan for West Ward Schools
(22.0)
$ (1,611,997)

23. 2009-10 Reductions to Balance The Budget23
Reductions
FTE
Amounts
Consolidation of William Brown – Based upon criteria for closing/consolidating schools
(36.0)
(3,595,526)
Reductions in Non-Salary Costs - Budget for FY provided based upon historical expenditures
(12,303,817)
Non-Mandated Aides – Reductions to comply with state regulations. Individuals will be Grant Funded and be reassigned to address Special Education Needs.
(76.0)
(2,174,940)
Reductions in After School Program –Reduction in number of weeks and hours of program
(1,067,163)

24. 2009-10 Reductions to Balance The Budget24
Reductions
FTE
Amounts
Reduction in Consultants – As a result of those services proven to be ineffective and inefficient
(916,757)
Food Service Reduction – Improved Lunch Application Collection , Processing and Accountability
(3,000,000)
Reduction in Benefits – As a result of reduced FTEs
(3,109,507)

25. 2009-10 Other Expenditure Reductions to Balance The Budget25
Reductions
FTE
Amounts
State Facilities Tuition
(500,000)
Equipment
(50,000)
Instructional Imp – Science
(150,000)
Leases
(419,000)
TOTAL
(376.5)
$ (43,846,647)

26. Criteria for Closing/Consolidating Schools
Academic Performance - Failure to make Adequate Yearly Progress (AYP)
Enrollment of Failing School and Capacity of Performing Receiving School(s)
Physical Conditions of Facilities
Proximity to Performing Receiving Schools

27. Extended Day/After School Program
There are no changes in the Summer Program
All sites with Extended Day/After School Programs operating in FY will continue to operate in FY
Reductions in the Extended Day/After School Program were realized as follows:
Over-staffing based upon enrollment
Number of weeks
Number of hours

28. Extended Day/After School Program
Description
# of Locations
Staff
FTEs
Weeks
Total Hours
Comments
3-6 pm Program
Current 58
186 33
480 FY
169 26
390
Split Session
Oct-Feb
May-June
6-9 pm Program 37 44
396 41 28
252
Change Hours
M-W 6-8pm
Th 6-9pm

29. Per Pupil Cost Miscellaneous Revenue consists of the following:
Tuition $1,007,844,
Investments $2M,
E-Rate $1M
Internal Audit $300,000
Miscellaneous $1,590,574
Medicaid $200,000

30. FY 2009-10 Per Pupil Cost per State DOENET - $16,91130
Total Classroom Cost
$8,967
Total Support Services
3,813
Total Administrative Cost
1,294
Total Operations & Plant Maint
2,515
Total Food Services Costs 65
Total Extracurricular Costs
190
Total Equipment Costs 15
Total Other Costs 52
Grand Total
$16,911
$10,050 – Total Classroom Costs includes the following:
$8,072 – Classroom Salaries
$362 – Classroom Supplies and Textbooks
$1,616 – Classroom Purchased Services and Other

31. Comparison of Per Pupil Costs31

32. Charter Schools Miscellaneous Revenue consists of the following:
Tuition $1,007,844,
Investments $2M,
E-Rate $1M
Internal Audit $300,000
Miscellaneous $1,590,574
Medicaid $200,000

33. RESIDENT STUDENTS ATTENDING CHARTER SCHOOLS FY 2009-2010

34. Charter School Students Re-entering NPS 2006, 2007 &2008
Total Pupils Re-entering: 757
Month of Re-entry
Number of Students %
July 27
0.1
Aug 66
8.7
Sep
428
56.5
Oct 38
5.0
Nov 23
3.0
Dec 33
4.4
Jan 49
6.5
Feb 41
5.4
Mar 13
1.7
Apr 24
3.2
May 12
1.6
Jun 3
0.4

35. Charter School Students Re-entering NPS 2006, 2007 &2008
Number of Students %
New Horizon
122
16.1
Lady Liberty
117
15.5
North Star 75
9.9
Greater Newark 72
9.5
Marion P. Thomas
Maria Varisco Rogers 69
9.1
Gray Charter 54
7.1
Team Academy 48
6.3
University Heights 41
5.4
Robert Treat 31
4.1
Adelaide Sanford 21
2.8
Discovery 19
2.5
Pride (East Orange) 8
1.0
East Orange Charter 3
0.4
Englewood 2
0.2
Schomburg (Jersey City) 1
0.1
Calla Charter
Unknown

36. Charter School Students Re-entering NPS 2006, 2007 &2008
Gender
Number of Students %
Male
334
44.1
Female
423
55.9
Ethnicity
Black
685
90.5
Hispanic 68
9.0
American Indian 1
0.1
Asian 3
0.4

37. Fund Balance Analysis Miscellaneous Revenue consists of the following:
Tuition $1,007,844,
Investments $2M,
E-Rate $1M
Internal Audit $300,000
Miscellaneous $1,590,574
Medicaid $200,000

38. Fund Balance Analysis 06-07 07-08 08-09 09-10 Beg Bal 37,196,395
29,910,924
41,326,430
27,388,030
Additional
4,361,521
11,415,506
10,000,000
Used to balance the budget
-24,000,000
-15,500,000
-23,938,400
Adjustment to Actual
12,353,008
15,500,000
Ending Bal
3,449,630

39. Fund Balance Analysis Recommended Fund Balance @ 2% $17,064,977
Fund Balance Projected in FY ,449,630
Anticipated Shortfall of 2% (13,153,347)

40. Tax Levy Analysis Miscellaneous Revenue consists of the following:
Tuition $1,007,844,
Investments $2M,
E-Rate $1M
Internal Audit $300,000
Miscellaneous $1,590,574
Medicaid $200,000

41. NEWARK PUBLIC SCHOOL PROPERTY TAXES TEN YEAR ANALYSIS

42. Tax Levy Increase Comparison

43. School Operating Cost To The Average Tax Payer
Average Property Assessed Value
$175,000
$200,000
Current School Tax Levy
$1,594
$1,822
New School Tax Levy *
$ 0
$ 0
Average Annual Net Increase

44. Looking Forward Miscellaneous Revenue consists of the following:
Tuition $1,007,844,
Investments $2M,
E-Rate $1M
Internal Audit $300,000
Miscellaneous $1,590,574
Medicaid $200,000

45. Anticipated Budget Shortfall for FY 2010-2011
Fund Balance needed at FY Levels
$23,938,400
Projected Balance Available at end of FY
3,449,630
Fund Balance Shortfall
$20,488,770
Anticipated increased costs
42,000,000
Anticipated State Aid increases
Anticipated Budget Shortfall for FY
$62,488,770

46. Next Steps Miscellaneous Revenue consists of the following:
Tuition $1,007,844,
Investments $2M,
E-Rate $1M
Internal Audit $300,000
Miscellaneous $1,590,574
Medicaid $200,000

47. Next Steps Hold Community Meetings Develop Redistricting Plan
Develop Transportation Routes
Coordinate a Moving Plan
Reorganize Central Office and SLTs
Reassignment of Staff
Prepare RIF List for Affected Employees
Establish a District Budget Task Force for FY and

48. Questions and Answers Miscellaneous Revenue consists of the following:
Tuition $1,007,844,
Investments $2M,
E-Rate $1M
Internal Audit $300,000
Miscellaneous $1,590,574
Medicaid $200,000