1. Centralia School District
The Proposed Budget
Presentation to the Board of Trustees
June 7, 2017

2. MISSION STATEMENT
Centralia School District is committed to meeting the diverse educational needs of all students and creating lifelong learners by providing exceptional staff and opportunities for family and community involvement in a safe and nurturing environment.

3. State Economy Overview
May Revise shows improvement over January Budget
Increased LCFF “Gap” percentage to 43.97%
Prop 98
Deferral is gone
One-time funds delayed until May 2019
STRS & PERS still biggest issue facing schools
2017/18 revenue projected to grow by $3B
Uncertainty remains
Growth mostly projected on increased personal income tax
Update

4. Governor’s Revenue Assumptions
Update

5. State Economy Overview
Update

6. 2017-2018 Budget Revenue LCFF Revenue Federal Revenue
Gap implementation 43.97%
COLA 1.56%
Federal Revenue
Slight decrease due to uncertainty
Other State Revenue
Decreased approximately $3M due to no one-time revenues
Other Local Revenue
Decreased due to one-time swing in MAA revenue

7. Change as a % of Total Rev
Budget Revenue
Revenues
Estimated Actuals
Proposed Budget
$ Change
Change as a % of Total Rev
LCFF/Revenue Limit Sources
$37,099,217
$37,741,360
$642,143
1.25%
Federal Sources
$2,452,322
$2,322,496
($129,826)
-0.25%
Other State Revenue
$ 8,690,769
$5,512,618
($3,178,151)
-6.20%
Other Local Revenue
$2,956,818
$1,975,548
($981,270)
-1.92%
Total Revenues
$51,199,126
$47,552,022
($3,647,104)
-7.12%

8. Budget Revenue

9. 2017-2018 Budget Expenditures Salaries & Benefits Books & Supplies
Includes Step & Column
Includes increases to PERS & STRS contribution rate
Books & Supplies
Decreased due to ELA text book adoption in 2016/17
Services & Other
Decreased due to reduction in contracted labor and enforcing cost containment

10. Change as a % of Total Exp
Budget Expenditures
Expenditures
Estimated Actuals
Proposed Budget
$ Change
Change as a % of Total Exp
Certificated Salaries
$21,571,404
$22,115,815
$544,411
1.10%
Classified Salaries
$8,109,234
$8,096,449
($12,785)
-0.03%
Employee Benefits
$10,190,538
$10,319,209
$128,671
0.26%
Books & Supplies
$4,096,155
$2,362,976
($1,733,179)
-3.49%
Services/Other Oper Expenditures
$5,119,412
$3,958,154
($1,161,258)
-2.34 %
Capital Outlay
$104,950
$96,000
($8,950)
-0.02%
Other Outgo (exclude indirect Cost Transfers)
$644,000
$657,000
$13,000
0.03%
Other Outgo - Indirect Costs Transfers
($210,143)
($233,143)
($23,000)
-0.05%
Total Expenditures
$49,625,550
$47,372,460
$2,253,090
4.54%

11. Budget Expenditures

12. General Fund Balance General Fund 2016-17 Estimated Actuals
Proposed Budget
Beginning Fund Balance
$ 8,103,901
$9,677,477
Surplus/<Deficit> Rev - Exp
$1,573,576
$179,562
Ending Fund Balance
$ 9,857,039

13. Components of the Ending Fund Balance
Combined Assigned & Unassigned Ending Fund Balance
Proposed Budget
Percent of
Expenditures
Non-spendable
$88,679
0.2%
Restricted
$2,011,530
4.3%
Assigned
$3,200,000
6.8%
Committed
$665,562
1.4%
Reserve for Economic Uncertainty
$1,421,174
3.0%
Unassigned/Unappropriated
$2,470,094
5.2%
Ending Fund Balance
$ 9,857,039
20.8%

14. Risk Factors for the Future
Costs Associated with:
Increasing PERS and STRS contributions
Uncertain State & Federal Revenues
Declining enrollment
Implementing the LCAP – increased or improved services
Slower Local Control Funding Formula growth

15. State Economy Overview
Update

16. Multi-Year Budget Projections
Gap Funding %
43.97%
55.28%
57.51%
Gap Funding $
$640,000
$975,000
$985,000
STRS & PERS Increase
$540,000
$625,000
Step & Column
$375,000
$380,000
$385,000
Total Revenue
$47,552,022
$48,577,338
$49,618,522
Total Expenditures
$47,372,460
$50,019,585
$49,362,384
Surplus/Deficit
$179,562
($1,442,247)
$256,138
No revenue from the Fund 40 investment is assumed
No transfer in from Fund 40
Used SSC gap closure percents in &

17. Budget & LCAP Approval Timeline
Budgeting for a school district is a continuous, year-round process. Projections continually change based on new and changing information.
June 28, Adopt Budget
December 13, 2016 First Interim (Data as of October)
January18, 2017 Governor’s Budget Proposal
March 08, Second Interim (Data as of January)
May 18, Governor’s May Revise
June 07, Public Hearing for LCAP & Budget
June 14, Board Adopts Budget
June 15, Legislature Adopts Balanced State Budget

18. Discussion?