1. LENNOX SCHOOL DISTRICT 2014-15 Proposed Budget Report to Board of Trustees June 9, 2014
Presentation for the Lennox School Board
Juan Navarro, President
Angela Fajardo, Vice President
Sergio Hernandez Jr., Clerk
Shannon Thomas-Allen, Member
Mercedes Ibarra, Member
Presented By: Kevin Franklin

2. BUDGET ADOPTION
Education Code (EC) Sections 42127(a) and (a)(2) require the Governing Board of each school district to adopt a budget on or before July 1 and file that budget with the county superintendent of schools.
The Budget can not be approved without an approved LCAP.
The District does not have to self certify for 3rd Interim.

3. Life Cycle of a Budget Adoption (Budget and LCAP) – June 30th
45 day Revise – Due 45 days after State budget adopted if significant changes from adoption
1st Interim – As of Oct 31st, due by Dec 15th
2nd Interim – As of Jan 31st, due by Mar 15th
3rd Interim – As of Apr 30th, due by June 30th (qualified or negative certifications)
Unaudited Actuals – As of June 30th, due by Sept 15th

4. 2014-15 Proposed Budget Goals
Maintain fiscal solvency for proposed year and two subsequent years (Certify Positive if had been required for Budget)
Restore programs and add supplemental support as determined by the LCAP
A balanced budget with expenditures not exceeding revenues (Continue working to eliminate the structural deficit)
District Reserves at 3% for Economic Uncertainties and additional reserves as determined by policy and LCFF gap funding

5. 2014-15 Proposed Budget Assumptions
Reviewed and produced estimated actuals to create beginning balance
Implemented current LCFF revenue figures
Adjusted for Additional and Temporary Positions proposed for
Adjusted for LCAP for
Class sizes kept at the same ratios as
K-3 Class sizes are already at the LCFF target of 24:1

6. 2014-15 Proposed Budget Assumptions
Followed LACOE recommendations for COLA (0.85%) and for LCFF gap funding(28.06%).
QEIA Revenue included only for
Enrollment/ADA projected at a loss of 15 for budget year and MYP’s.
Cost of step/column/range changes included in current year and MYP’s.
Increase in CALSTRS and CALPERS contributions per Governor’s May Revise for budget year and MYP’s.

7. 2015-16 and 2016-17 Proposed Budget Assumptions
Followed LACOE recommendations for COLA (2.19%) and for LCFF gap funding (28.06%).
Loss of QEIA funding (Approx. $2.9M). Replaced with $2.9M LCFF Supplemental and Concentration funding per the LCAP.
Followed LACOE recommendations for COLA (2.14%) and for LCFF gap funding (19.50%).

8. Past and Projected Enrollment

9. Change in Enrollment

10. Summary of Unrestricted General Fund MYP
2014/15
2015/16
2016/17
Revenue
$ 37,051,116
$ 39,838,698
$ 41,017,000
Expenditures
$ 37,131,354
$ 40,973,585
$ 41,814,393
Surplus/ (Deficit)
$ (80,238)
$ (1,134,887)
$ (797,393)
Beginning Balance
$ 10,316,071
$ 10,235,833
$ 9,100,946
Ending Balance
$ 8,303,553
Reserve for Economic Uncertainties
$ 1,610,673
$ 1,678,389
$ 1,712,889
Additional Available Reserves
$ 8,625,160
$ 7,422,557
$ 6,590,664
Available Percentage
19.07%
16.09%
14.54%

11. Other Items of Note
This Budget adoption report does not call for a school district positive, qualified, or negative status report
Current Bargaining Unit Agreements included in projections. District is currently in negotiations with LTA.
LMSTA Estimated Actuals are reported in Fund The LMSTA Budget is reported using their own CDS code and is separate from the District’s budget due to their independence.

12. Other Items of Note
Cafeteria Fund (Fund 13) revenue increased by $1,282,430 from This is mostly due to an increase in capturing completed meal applications from every family and due to an increase in participation.
The Jefferson ORG project (Fund 35) is projected to be completed by January 2015

13. What’s Next? District Negotiations
Submit Adopted Budget and LCAP by July 1, 2014
Await Governor’s Signature on Signed Budget
Delay in implementation of CALSTRS increases?
Additional gap funding based on LAO projections?
Additional Common Core funding?
Additional slots and elimination of family fees for State Preschool?
COLA of 0.85% for Categoricals outside of LCFF?

14. Questions?