1. Public Schools of Petoskey
Budget Update and Outlook
February 5, 2003

5. At Risk Original Budget: $262,385
Pro-rated for Added Schools: ($ 10,132)
3.8% Reduction of Original: ($ 9,971)
Amount Budgeted: $242,282
Amount Spent YTD: $242,282

6. State Aid Amount Subject to Proration (Sec. 22b) $4,958,193
Proration Percentage: 3.8%
Est. Revenue Loss this Year: $ 188,411

7. FY Budget

8. FY 2003-04 Budget State General Fund short $2 Billion
State School Aid Fund Short $366 Million
State General Fund contributes $198 Million to School Aid Fund.
Governor has indicated the need for across the board GF cuts to alleviate the shortfall.
Bottom Line: 11% Reduction next year

9. State Aid FY 2003-04 Amount Subject to Proration (Sec. 22b) $4,958,193
Proration Percentage: %
Est. Revenue Loss: $ 545,401

10. FY 2003-04 Cost Increases Step Increases alone: $173,884
Retirement Rate to 15%: $286,284
Health Increase 20%: $515,746
Total Cost Increases $975,914
Lost Revenue: $545,401
Next Years Budget Challenge: $1,521,315

11. How We Spend Our $$