1. FY2020 Budget Update March 26, 2019 Agenda Budget Timeline
Enrollment Factors
Operating Factors
Preliminary Changes in General Fund Salaries & Benefits
Appendix
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March 26, 2019

2. FY2020 Budget Approval Timeline
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Today
April 23, 2019
Budget Outlook
FY2020 Budget Approval Timeline
1 | Budget Timeline
© 2007 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

3. Major Budget Influencers
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Major Budget Influencers (MBI) must also be identified and considered within the framework, especially changes in funding and new or expanding influences on the budget, which may be positive or negative and short-term or long-term.
Major Revenue Influencers
Enrollment Growth
State Budget (Security Grant and Mental Health)
QBE:
Enrollment (Weighted)
Local Fair Share
Teacher Pay Scale
Equalization Grant:
Rollback Impact
Wealth per Weighted FTE
Changes in Local Sources:
Property Taxes (MR)
TAVT
Major Expenditure Influencers
Enrollment Growth
ESEP
State Teacher Scales (Local Impact)
Step Increases
TRS
Custodial Services
Bus Fleet
PCSD uses a Budgeting for Outcomes (BFO) model as a systematic basis for resource allocation in order to create sustainable and effective budgets that fund programs and services that align with the communities’ desired results, regardless of funding availability or budget constraints.
Major Budget Influencers
1 | Budget Timeline
© 2007 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

4. Organization-wide Factors Influencing Decisions: Enrollment Factors
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Organization-wide Factors Influencing Decisions: Enrollment Factors
© 2007 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

5. District Enrollment Growth
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Details are in the Appendix
District Enrollment Growth
2 | Enrollment
© 2007 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

6. Elementary School Projections
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Elementary School Growth: 
13,283 Students an Increase of 168 or 1.3%
Elementary School Projections
2 | Enrollment
© 2007 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

7. Middle School Projections
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Middle School Growth: 
7,299 Students an Increase of 99 or 1.4%
Middle School Projections
2 | Enrollment
© 2007 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

8. High School Projections
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High School Growth: 
9,557 Students an Increase of 162 or 1.7%
High School Projections
2 | Enrollment
© 2007 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

9. District Enrollment Growth
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Enrollment Growth.  In the 8 years preceding the collapse of the housing market, the district experienced tremendous enrollment growth, increasing over 80% from fiscal years 2000 to From 2008 to 2011 enrollment growth declined by two-thirds. By 2012, enrollment was declining, compared to modest increases statewide.  From to 2019 enrollment grew 1,600 or 5.7% enrollment grew 1.7%, the largest growth rate in a decade and much more than the large district average of 0.2% is projected to grow 439 or 1.4%.
District Enrollment Growth
2 | Enrollment
© 2007 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

10. 6/30/ :26 PM
ESEP Enrollment Growth.  Enrollment in Exceptional Students Educational Programs (ESEP) have increased dramatically over the past several years. In FY2018, the average additional cost per ESEP student was $2,134 or $8.9 million total.
65% increase over the past 8 years verses -1% in non-ESEP
14% greater cost (local and state sources)
Approximately $327 per pupil or $1.4 million is funded locally
22% greater cost (local, state and federal sources)
11% increase over the past 2 years verses 2% in non-ESEP
Note: Total include Pre-K
Enrollment Growth
2 | Enrollment
© 2007 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

11. FY2020 Preliminary GF Allotments
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Allotments:
+29 School-Based
+30 ESEP
72%
Instruction
2,251
ESEP: UPDATE?
1000 – Instruction 459
2100 – Pupil Services 50
2210 – Improvement 13
2700 – Trans 32
$220m in Salaries and Benefits (90.1%)
FY2020 Preliminary GF Allotments
3 | GF Allotments
© 2007 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

12. Organization-wide Factors Influencing Decisions: Operating Factors
6/30/ :26 PM
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Organization-wide Factors Influencing Decisions: Operating Factors
© 2007 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

13. Certification & Experience (QBE)
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T&E Certification
31% Bachelor
37% Masters
27% Specialist
67% Advanced
T&E Experience
27% 0-8 Years
24% 9-14 Years
25% Years
24% +21 Years
Based on October 2018 CPI Count
Certification & Experience (QBE)
3 | Operating Factor
© 2007 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

14. 6/30/ :26 PM
Chart Location: QBE T&E
TRS Contribution.  Since FY2012, the Teacher Retirement System (TRS) contribution rate has increased 106%. The TRS budget for FY2019 is $32.6 million or approximately 12% of the total General Fund budget. These expenditures are funded with state and local resources.
TRS Contributions
3 | Operating Factor
© 2007 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

15. FY2020 Preliminary GF Allotments
6/30/ :26 PM
ESEP: UPDATE?
1000 – Instruction 459
2100 – Pupil Services 50
2210 – Improvement 13
2700 – Trans 32
$220m in Salaries and Benefits (90.1%)
FY2020 Preliminary GF Allotments
5 | Preliminary Changes
© 2007 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

16. FY2020 Preliminary GF Allotments
6/30/ :26 PM
ESEP: UPDATE?
1000 – Instruction 459
2100 – Pupil Services 50
2210 – Improvement 13
2700 – Trans 32
$220m in Salaries and Benefits (90.1%)
FY2020 Preliminary GF Allotments
5 | Preliminary Changes
© 2007 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

17. 6/30/ :26 PM
Highlights of Proposed 2019 Amended Fiscal Year Budget for K-12 Education
$69 million, or 37 percent, is tied to the one-time school security grants.
Just under $90 million will be used for midterm adjustments to Quality Basic Education, or QBE.
$3.6 million for growth in the Dual Enrollment Program.
Highlights of Proposed 2020 Fiscal Year Budget for K-12 Education
2020 budget for the GaDOE will increase about $659 million, or 6.6 percent, from the original FY2019 amount.
Most of the additional funds, $483 million, are directed to increase the base salary schedule for certified teachers and certified employees by $3,000. This amount will cover the raises and employer contribution to TRS for 133,000 employees. [Actual amounts and structure of the increase is still being developed]
A proposed boost of about $134 million covers student enrollment growth and routine adjustments in teachers’ salaries through the Quality Basic Education (QBE) formula, the state’s method for calculating K-12 funding.
Funding reductions are proposed for new math and science teachers, $1.5 million, and for school nurses, $110,468.
Increases in QBE are partially offset by a reduction of about $117 million under the Local Five Mill Share.
Funding for the equalization program, which provides supplemental funds to districts with low property wealth, would receive a $79 million increase.
Just over $2.5 million is allocated for pupil transportation. This amount will pay for a 2 percent salary increase for bus drivers and includes $818,906 for natural enrollment growth.
The Dual Enrollment Program is allocated an additional $3.5 million to meet projected need.
$20 million is allocated in bonds for school bus replacement.
HB329 TVAT Update
New formula splits TVAT revenue 65% to the local governments and 35% to the state.  School districts will receive 49% of the local dollars. Effective July 1, 2019
Source: Georgia Budget and Policy Institute (GBPI)
State Budget Update
6 | State Budget Update
© 2007 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

18. FY2020 Budget Approval Timeline
6/30/ :26 PM
Coming up:
April 23, 2019
Revenue Projections
FY2020 Budget Approval Timeline
1 | Budget Timeline
© 2007 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

19. 6/30/ :26 PM
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© 2007 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.