1. Ramona Unified School District Preliminary Budget Review 2009-2010 April 23, 2009

2. First Look at 2009-2010  This is a first look at the 2009-2010 budget During a “normal budget year”, the preliminary budget would be developed in March Only looking at next year  All numbers are preliminary  Things will change  Presentations of the Budget Reduction Plan, presented at the February 19 th and March 9 th board meetings, are the basis for this budget

3. What We Know  A State Approved Budget COLA (1% reduction) Categorical funding (15.4% reduction) Flexibility of programs (Tiers I, II, III)  Formulated Budget Reduction Plan Number of retirees (early retirement program) FTE layoffs for both certificated and classified employees Reduction of site and department allocations Reduction in maintenance funding

4. The Uncertainties  Enrollment How many students, what grades levels, and which schools will they attend  Economy  May 19 th Special Election  May/June Revision of Approved Budget What will the State do to correct any fiscal issues  Federal Stimulus Dollars Title 1 IDEA State Fiscal Stabilization Fund  California Department of Education’s interpretations of the enacted “2008-2010 budget”

5. Assumptions  Average Daily Attendance is based on 6,271, which is an estimate of the P2 for 2008-2009  No carryover of site, departmental or categorical budgets -- which means there is no ending balance to move forward. Therefore, for this report, we are looking at only the 2009-2010 revenues and corresponding expenses.  Budget Reduction Plan Retirees not to be replaced -- Vacated positions have been removed from the budget. Retirees to be replaced -- Open positions are budgeted at lower salaries.  Incentives for the retirees are budgeted

6. Assumptions  Budget Reduction Plan (Con’t.) FTE reductions due to layoffs and current open positions have been removed  Certificated and Classified Elimination of 1 Teacher on Assignment at district office Elimination of unrestricted district textbook allotments to school sites Reduction of 30% to site and department unrestricted allocations Class size reduction revenues (K-3) based upon 21:1 ratios

7. Assumptions  Budget Reduction Plan (Con’t.) Elimination of 2 Administrative Leadership Team positions  Assistant Principal  Director of Transportation Reduction of Secondary Stipends Flexibility  Use of RHS categorical programs to fund one counselor  Routine Restricted Maintenance Account  State Deferred Maintenance dollars  Supplemental Hourly Programs  9 th Grade Class Size Reduction  Programs have the projected reduced dollar amount in, but expenses have been eliminated or reduced

8. Assumptions  Revenues of other categorical programs have been reduced Other flexibility decisions have not been incorporated  Health and Welfare increase of $500,000 Based upon preliminary discussions in the Insurance Committee  Reduction in interest revenues from $200,000 to $150,000  Other Insurances Worker’s Compensation and Property and Liability insurance had slight decreases for 2009-2010 of about $25,000 based upon their preliminary notices

9. Assumptions  Federal revenues based upon current year apportionments  Lottery based upon School Services of California, Inc. estimates and are significantly lower

10. 2009-2010 Preliminary Budget  Total Revenues$50,139,971  Total Expenses$50,320,514  Difference$ ( 180,543)

11. Federal Stimulus Dollars  Title 1, IDEA, and State Fiscal Stabilization Fund Information No firm estimated date on distribution No estimated amount of distribution State Fiscal Stabilization Fund  $3.675 Billion for K-12 education  50% allocated to K-12 revenue limits  50% allocated to categorical programs

12. What’s Next  Refine budget – This was just the first step Look and update the assumptions  Review individual budget lines and program for accuracy Look to CDE and SDCOE for final guidance on budget  The baseline for funding in supplemental hourly program, 9 th Grade Class Size Reduction, and Adult Education  Accounting for restricted funds  Move into the unrestricted side of the general fund Flexibility programs  Update Governing Board in May