1. Budget Focus Committee 5/30/2017
12/14/2016
Budget Summary
Budget Focus Committee
5/30/2017

2. BUSD would get $10,598 more per student if we were in New York
BUSD would get $10,598 more per student if we were in New York. = $88,784,000 more in funding.
BUSD would get $1,961 more per student at Average = $15,688,000 more in funding.
36th

3. Current State Update Economic factors healthy
Personal income tax growing about 5% per year
Unemployment low
Stock Market high
State still relies on volatile Capital Gains Taxes
Top 1% of tax payers account for 45% of taxes
Longest Stretch of time without Recession

4. Capital Gains Risk
15% increase from 2016 to 2017

5. Current State Update Revenue for 2016/17 was reduced
Reduces LCFF Gap funding
Governor projects 15% increase in 17/18 Revenue
Increase to LCFF Gap funding
LCFF GAP funding will be at almost 97%
One time funding increase in Budget
With a catch

7. One-Time Discretionary Funds
As a result of modest revenue increases since the release of the January Budget, the May Revision proposes an increase in discretionary one-time funding of just under $750 million
But, the Governor proposes to hold all of the funds until May 2019!
Funds can be used for any one-time expenditure as determined by a local governing board
One-time apportionments will offset LEAs’ outstanding mandate reimbursement claims on a dollar-for-dollar basis
We continue to believe that these funds should not count toward mandate reimbursement
January Budget
May Revision
Per-ADA
$48
$170
Total
$287 million
$1.01 billion

8. SSC Dartboard
The complete SSC Dartboard is included in our materials at the end of this section
Factor
K-3
4-6
7-8
9-12
Base Grants
$7,193
$7,301
$7,518
$8,712
Grade Span Adjustments
$748 -
$227
Adjusted Base Grants
$7,941
$8,939
Factor
Statutory COLA
0.00%
1.56%
2.15%
2.35%
SSC Gap Funding Percentage
55.03%
43.97%
39.03%
41.51%
DOF Gap Funding Percentage
71.53%
73.51%

9. Current State Update - Expenses
Public Retirement systems
Districts must increase contributions on behalf of employees
PERS
STRS
Cost of providing services for special education students are increasing without increase in SPED funding.

10. CalPERS Employer Contribution Rate Increases
CalPERS Board adopted an employer contribution rate of % for , almost 2% higher than the current-year rate of %
While the new projected rates are slightly lower than those previously released by CalPERS, they are still significant annual increases that will add to the squeeze on base revenues
CalPERS Board also adopted the contribution rate for employees subject to the Public Employees’ Pension Reform Act (PEPRA)
Currently, PEPRA members are contributing 6%, which will increase to 6.5% for
“Classic” members continue to pay 7.0%
Year
Previously Released Employer Contribution Rates
Employer Contribution Rate*
11.77%
15.8%
15.531%
18.7%
18.1%
21.6%
20.8%
24.9%
23.8%
26.4%
25.2%
27.4%
26.1%
28.2%
26.8%
N/A
27.3%
STRS 13/14 and 14/15
8.25% %
PERS
11.44% %

11. Funding CalSTRS
Employer rates are increasing to 14.43% in , up from 12.58% in
No specific funds are provided for this cost increase
Under Education Code Section (E.C.) , once the statutory rates are achieved, CalSTRS will have the authority to marginally increase or decrease the employer and state contribution rate
CalSTRS cannot increase rates by more than 1% in a year and cannot exceed 12% overall, until the remaining unfunded actuarial obligation is eliminated
Year
Employer
Pre-PEPRA*
Employees
Post- PEPRA**
8.88%
12.58%
10.25%
9.205%
14.43%
16.28%
18.13%
19.10%
STRS 13/14 and 14/15
8.25% %
PERS
11.44% %

12. District’s Retirement Contributions
12/14/2016
District’s Retirement Contributions
+~ Another 5.5 Million Ongoing

13. Special Education Statewide Target rate increases to $540.99
The Governor’s May Revision includes funding to pay for the small uptick in the statutory COLA increase for special education
The COLA is now estimated to be 1.56%, up from the 1.48% projected in the Governor’s January proposal
The estimated rate is $8.31 per ADA
Statewide Target rate increases to $540.99
Negligible funding increases to mental health and out-of-care funding
The Governor states that his office will, “spend additional time in the coming months examining these issues to chart a path forward that will maximize resources to serve students while increasing transparency and accountability.”

14. Special Education

15. Federal Budget Concerns
Proposed cut to entire Title II funding
$85,000 potential loss to Brentwood
After School Programs
Marsh Creek receives State After School Funding
Medicaid
Potential $20 Billion loss to California
Voucher funds
Takes funds away from or reduces other programs

16. Brentwood Union Information

17. Enrollment End to Start…
12/14/2016
June
No Show Day
Fall Census Day
Last Day
2012
8393
8347
8426
8453
2013
8406
8474
8481
2014
8494
8562
8706
2015
8650
8738
8870
2016
8884
8917
9032
2/21/17
+ 162 from June
Trends are changing
Gained through the year (March 31)
total growth last year
the year before
Follow trend from previous 2 years (-50) then gain
Projecting Flat enrollment for now.

18. LCFF Funding Comparisons
12/14/2016
LCFF Funding Comparisons
Ranking
LCFF Funding per ADA
District Name
Unduplicated Pupil Percentage
District Type
County
127
$9,771
Pittsburg Unified
81%
Unified
Contra Costa
$9,750
Average High School District
56%
High
Statewide
177
$9,544
West Contra Costa Unified
74%
$9,380
Average Unified School District
64%
220
$9,326
John Swett Unified
70%
$9,320
Average School District
63%
231
$9,282
Antioch Unified
71%
270
$8,998
Liberty Union High
31%
$8,875
Average Elementary School District
66%
Elementary
296
$8,837
Acalanes Union High 5%
354
$8,434
Mt. Diablo Unified
49%
391
$8,195
Martinez Unified
434
$7,962
Oakley Union Elementary
461
$7,782
San Ramon Valley Unified 8%
471
$7,701
Byron Union Elementary
29%
472
$7,678
Brentwood Union Elementary
30%
483
$7,503
Walnut Creek Elementary
17%
488
$7,367
Lafayette Elementary 4%
491
$7,324
Moraga Elementary
492
$7,292
Orinda Union Elementary 2%
Staffing enrollment projection = 9156
96% of 9156 = 8,789.76
1) Source: California Department of Education (CDE) LCFF funding per P-1 certification.
2) Data does not include Charter Schools, Basic Aid districts, and some Small School districts (ADA under 2,500) that qualify
for additional LCFF funding due to their size.
3) Unduplicated Pupil Percentage Average represents percentage of students in a district that are considered “high
needs"—that is, low-income, English Learner, and/or foster care youth.

19. Expenditures/Revenue for Contra Costa County Districts
District Name
Enrollment
Current Expenditures per ADA (Ed Code 41372)
Total Gen Fund Revenues Per Student
Acalanes Union High
5,546
$12,770
$13,494
Orinda Union Elementary
2,537
$11,809
$12,792
West Contra Costa Unified
30,973
$10,591
$12,537
Canyon Elementary 70
$11,914
$12,509
Moraga Elementary
1,886
$11,096
$11,913
Pittsburg Unified
11,076
$10,076
$11,911
Antioch Unified
17,874
$10,378
$11,695
John Swett Unified
1,754
$10,719
$11,418
Mt. Diablo Unified
32,005
$10,095
$11,342
Lafayette Elementary
3,576
$11,109
$11,283
Liberty Union High
8,185
$9,526
$10,958
Knightsen Elementary
534
$10,169
$10,754
Martinez Unified
4,199
$9,828
$10,493
San Ramon Valley Unified
32,255
$9,605
$10,477
Oakley Union Elementary
5,008
$9,248
$10,214
Byron Union Elementary
2,198
$9,769
$10,061
Walnut Creek Elementary
3,613
$9,676
$10,051
Brentwood Union Elementary
8,738
$9,186
$9,633

20. Per-ADA Revenues vs. Expenses

21. May Revision Estimated Affects to BUSD Budget
Gap Reduction
and loss in ADA
-$74,992

22. May Revision Estimated Affects to BUSD Budget
June Budget
One Time Funding $0
LCAP GAP Funding
$2,543,429
January Budget
Change from June
$417,000
$866,587
-$1,676,842
Net Increase/Decrease
-$1,259,842
May Budget
Change from January
-$417,000
$1,649,983
$783,396
$366,396

23. 2016-17 Second Interim Budget
12/14/2016
Second Interim Budget
UNRESTRICTED/RESTRICTED/COMBINED
Unrestricted
Restricted
Total Budget
REVENUE TOTALS
$70,940,937
$13,651,386
$84,592,322
TOTAL EXPENDITURES
$59,392,673
$27,550,989
$86,943,662
REVENUES VS EXPENDITURES
$11,548,264
-$13,899,603
$-2,351,339
CONTRIBUTIONS
-$13,278,484
$13,278,484
NET INCREASE (DECREASE)
FUND BALANCE
-$1,730,220
-$621,119

24. Multi-Year Projection Assumptions 2016-17 Budget
12/14/2016
Revenue Assumptions
Multi-Year Projection Assumptions Budget
Base Year
TOTAL LCFF P2 ADA (increase of 163 ADA)
8573xx8,704
8,754
8,804
P2 ADA
8,694.87
Statutory COLA on Base Grant
0.00
1.11% 1.56%
2.42% 2.15%
LCFF Gap Funding estimates: January
$3,304,611
$866,587
$2,413,291
May Revise – Gap Funding
$3,289,666
$1,667,842
$2,607,422
Supplemental LCFF January estimates
$605,011
$116,070
$230,882
May Revise – Supplemental Funding
614,475
$231,804
$269,569
California Lottery Unrestricted (per ADA)
$128
California Lottery Restricted (per ADA)
$34
Mandated Block Grant
$233,918
Proposed one time funding ($47 per student)
$2,000,000
$417,000 $0 $0
Staffing enrollment projection = 9156
96% of 9156 = 8,789.76
5/19/17 = 9060

25. Expenditure Assumptions
12/14/2016
Expenditure Assumptions
Multi-Year Projection Assumptions Budget
Base Year
STR's Employer Contribution Rates ( Rate 8.25%)
12.58%
14.43%
16.28%
Increase STR's Employer Contribution
$954,304
$867,332
$892,155
PER's Employer Contribution Rates ( Rate %)
13.38%
15.80%
18.70%
Increase PER's Employer Contribution
$178,837
$290,963
$351,895
Estimated Certificated and Classified Step and Column
$655,671
$851,516
858,004
Increase in Liability insurance
$32,674
$36,830 $0
Funding for ERATE wireless infrastructure (ERATE possible)
$517,000
New Staffing as of Second Interim:
5.74 New Teaching Positions, 6.63 LCAP positions,
3 growth classified positions, 16.3 Sped positions !!
Additional staffing positions as of Second Interim:
21 SPED aides = 78 daily hours
Increase in Special Education costs
$1,400,000
$372,775
??? 
Staffing in response to growth for 17/18
$801,732 ??
Necessary Reductions
-2,200,000
-2,000,000

26. 12/14/2016

27. Multi Year Projections
12/14/2016
Multi Year Projections
REVENUE LIMIT
$68,682,223
$69,947,133
$72,719,065
FEDERAL
$2,515,455
$2,765,455
STATE
$9,397,383
$7,694,491
$7,277,491
LOCAL
$3,997,262
REVENUE TOTALS
84,592,323
$84,404,341
$86,759,273
EXPENDITURES
Certificated Salaries
42,018,127
42,809,125
$43,605,308
Classified Salaries
11,303,646
$11,364,164
$11,425,985
Benefits
20,152,261
$21,270,374
$22,510,343
Sub Total, Salaries
$73,474,034
$75,443,663
$77,541,636
Books & Supplies
$2,856,536
$2,056,536
$1,281,536
Contracts & Services
$9,126,521
$7,999,521
$6,774,521
Capital Outlay
$625,013
80,013
$60,013
Other Outgo
$956,748
Indirect Support Costs
-$95,190
Total Expenditures
$86,943,662
$86,656,291
$86,734,264
Revenues vs Expenditures
-$2,351,339
-$2,251,950
$25,009

28. Multi Year Projection % by Expenditures Unrestricted
12/14/2016
Multi Year Projection % by Expenditures Unrestricted

29. May Revision Estimated Affects to BUSD Budget
June Budget
One Time Funding $0
LCAP GAP Funding
$2,543,429
January Budget
Change from June
$417,000
$866,587
-$1,676,842
Net Increase/Decrease
-$1,259,842
May Budget
Change from January
-$417,000
$1,649,983
$783,396
$366,396

30. Ending Balance - Reserves
16/17
17/18
18/19
Total Revenues
84,592,323
84,404,341
86,759,273
Total Expenditures
86,943,662
86,656,291
86,734,264
Net Gain/Loss
(2,351,339)
(2,251,950)
25,009
Beginning Balance (17)
14,040,971
11,689,632
9,437,682
Ending Balance
9,462,691
3% Reserve
2,608,310
2,599,689
2,602,028
1.2% Board Reserve
1,304,155
1,299,844
1,301,014
Restricted Reserve
3,167,052
3,420,639
4,314,608
Remaining Balance
4,610,115
2,117,510
1,245,042

31. Unrestricted Fund Balance – Statewide Averages
Average Unrestricted General Fund, Plus Fund 17; Net Ending Balances as a Percentage of Total General Fund Expenditures, Transfers, and Other Uses
Change From Prior Year*
Elementary School Districts
21.54%
2.58%
BUSD Data for 16/17 at Second Interim
11%
High School Districts
17.19%
2.33%
Unified School Districts
16.45%
3.36%
Source: Statewide certified data
*Increase relative to the reserve levels of
$8,522, Unrestricted plus fund 17
$77,671,157 Unrestricted Expenditures, transfers, and other uses

32. Variables that affect Budget
State Revenue
Capital Gains
LCFF Gap reduction
Enrollment
9,063 as of 5/ more 8th grade students.
Projected staffing enrollment = 9,156
ADA
2017=8694 to projection 8754
One Time Funds and expenditures
New staff costs
Increasing SPED costs

33. Budget Guidelines
BUSD will plan to maintain State Required Reserves of 3% and Board Reserves of 1.25% for a total reserve level of 4.25%
BUSD will plan to maintain a “Positive” Budget Certification
Defined as ability to maintain required state reserves for the current year and two subsequent fiscal years
Avoids external intervention and loss of local (Board) control
Current projections indicate between $4M and $5M in budget solutions are still needed by
Based on Gov’s Jan Proposal and BUSD 2nd Interim Report

34. Timing and Reserve Impact
Taking Action Sooner
Smaller incremental adjustments may be less traumatic when implemented
Larger reserves maintained in near term, more protection against future uncertainties
Reduced Salary costs compound at approx. 3% per year
Taking Action Later
Minimizes impact on students and staff in the short term
Allows for better visibility of economic challenge
Depletes any reserves quicker

35. Timing of Cuts and Impact on Reserve
Start
Yr 1
Yr 2
Yr 3
Yr 4
Yr 5
No Cuts
Revenue
5,000,000
Expenditure
6,000,000
Cuts?
Reserve
4,000,000
3,000,000
2,000,000
1,000,000 -
Cuts Over Time
Rev
Exp
5,650,000
5,300,000
change
(350,000)
(300,000)
3,350,000
3,050,000
Immediate Cuts
(1,000,000)

36. Next Steps Monitor State Fiscal Changes
Legislature and Governor in budget process
Complete Budget Development for 17/18
May Revise
New Staffing!
Enrollment
Other increases in costs
Identify Budget reductions
Hard decisions ahead