200809 Operating Budget by richman7

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									2008/09 Operating Budget

School Communities April 10, 2008

Budget Background
2007/08 Spending by Function
Operations and Maintenance 10% District Admin. 3%

Transportation 2%

Instruction 85%

Budget Background
2007/08 Spending by Object
Services and Supplies 14% Employee Benefits 17% Salaries 69%

Budget Background
2007/08 Spending by School and District Support

Staff Support School Support 0% 26%

Classroom 59%

District Support 15%

Budget Background
Operating Staffing (without SIDES) Administrators Teachers Total Educators School Administrative Time Student Educator Ratio Student Teacher Ratio District Staff Teachers 04/05 35.00 420.99 455.99 28.276 17.39 18.83 3.30 05/06 34.00 416.99 450.99 27.55 16.87 18.25 4.30 06/07 35.00 413.42 448.42 27.75 16.63 18.03 4.40 07/08 35.00 411.78 446.78 27.95 16.16 17.53 6.50

Budget Background
04/05 05/06 06/07 07/08

CUPE: 260.29 Education Assistants 115.79 Clerical 47.661 Maintenance, Grounds, Custodial, Bus Drivers 96.841 Executive Excluded and Executive FTE Students - Ex Electronic Delivery 4.00 11.00 7,927.75

271.43 119.87 50.42 101.14 4.00 11.00

269.84 117.97 52.66 99.21 4.00 11.00

289.59 129.61 59.77 100.21 4.00 13.00 7,218.00

7,608.38 7,455.13

Salaries and Benefits Percentage of the 2007/2008 Total Operating Budget
91.00% 90.18% 90.00% 89.63% 89.33% 89.08% 89.00%

88.00%

87.99%

87.73% 87.34%

87.00% 86.31% 86.00%

85.00%

84.00% Saanich Sooke C. River Mission Cowichan North Ok. Victoria Province

Teacher Salaries Percentage of the 2007/2008 Total Operating Budget
45.0% 44.7% 43.9% 44.0% 43.4% 43.0% 43.0% 42.4% 42.0% 42.0%

44.0%

41.0% 41.0%

40.0%

39.0% Saanich Sooke C. River Mission Cowichan North Ok. Victoria Province

2007/2008 Student Teacher Ratio
20.0 19.8

19.5 18.9 18.7 18.5 18.5 18.3

19.0

18.0 17.7 17.5 17.0 17.6

17.0

16.5

16.0

15.5 Saanich Sooke C. River Mission Cowichan North Ok. Victoria Province

2007/2008 All Supplies Dollars Per Student
$700.00 $641.48 $600.00 $596.25 $527.46 $500.00 $552.55

$471.81

$400.00 $358.31 $343.06 $349.29

$300.00

$200.00

$100.00

$Saanich Sooke C. River Mission Cowichan North Ok. Victoria Province

Summary of Improvements from 2004/05 to 2007/08
         

Special Education Elementary Library Literacy, Numeracy and the Arts Class Size School Fee Replacement New Mandates HR and Technology Support Equipment and Supplies School Clerical TOTAL

$574,728 $170,129 $323,297 $274,755 $328,890 $534,405 $220,019 $238,853 $112,217 $2,777,293

Provincial Budget
        

Block Amount same as previously announced for 2008/09 at $4.467 billion Increase of $122 million which almost covers the salary increases owed by school districts No funding for new initiatives or other cost pressures No funding for school districts for carbon neutral taxes Expect DL pressures to be up 10% Funding by course for grade 10 to 12 will continue No funding for GAAP Health and Education now make up 78% of the provincial budget The three year announcement out to 2010/11 indicates continuation of increases only to partially cover negotiated salary increases.

Funding Shortfalls
 



School Districts are funded 90% by government grants These grants, even with consideration for enrolment decline, have not kept pace with costs We have calculated added costs and initiatives, the province has underfunded school districts by $132 million since 2001/02

In Saanich, on a per pupil basis, the comparison of funding and costs is:
Annual Cost and Basic Funding Increases Per pupil
$1,600 $1,400 $1,200 $1,000 $800 $600 $400 $200 $0 2001/02 2002/03 2003/04 2004/05 2005/06 2006/07 2007/08 Cost Increases Per Pupil Basic Funding Increases Per Pupil Total

2008/09 School District Budget Structural Shortfall


The district budget projections indicate:
– – –

Additional cost pressures to maintain current services at $2.47 million; and Impact of Enrolment Decline of $1.18 million For a total structural shortfall of $3.65 million



The district forecasted this shortfall over the four year period from 2005/06 to 2008/09 and build up savings to partially offset with the hope that government funding would improve in that timeframe
–
–

Did not spend all of 2004/05 increased funding for literacy, arts and special education Implemented savings from 4 school closures which will increase to 5 schools in 2008/09

2008/09 School District Budget Structural Shortfall




Budget plan has built up surplus reserves of $2.998 million for utilization in 2008/09Reserves are like savings accounts-once spent they are gone Structural shortfall will require further reductions to services in 2009/10 to offset any utilization of surplus reserves or new unfunded cost pressures

Enrolment September 2007
FTE in SD63 by grade (September 2007) 1000 900 800 700 600 500 400 300 200 100 0 K*

# of FTE students

Other Reg

1

2

3

4

5

6 7 Grade

8

9

10

11

12

Funded Enrolment History and Projections(Without Distance Learning)
        




2002/03 2003/04 2004/05 2005/06 2006/07 2007/08 2008/09 2009/10 2010/11 2011/12 TOTAL

(195.81) (223.09) (137.35) (319.37) (153.35) (112.16) (197.30) (292.50) (240.00) (204.00) ( 2,074.83) OR 24.45% OF TOTAL ENROLMENT

Shortfall from Enrolment Decline
  

Government reduces funding for enrolment decline of $5,851 per pupil The district can reduce costs by $2,828 per pupil Shortfall from enrolment decline is $1.18 million

2008/09 Change in Revenues

Funding Protection Salary Supplement Labour Settlement Unique Geographic

(132,100.00) (31,182.00) 1,893,283.00 8,736.00 $1,738,737.00

2008/09 Change in Expenditures
Labour Settlements BCESIS Student Information System Teacher Increments/Early Retirement Benefit Cost Change EA Replacement Staffing Technology Department Loss of Benefit Holiday Carbon Tax GAAP Annual Expense Increase (1,666,831.00) (200,000.00) (270,000.00) (260,000.00) (68,000.00) (100,000.00) (150,000.00) (10,000.00) (20,000.00) ($2,744,831.00)

2008/09 Enrolment Decline


Reduction in Funding Offsetting Cost Reductions Net Shortfall

($1,734,950) $558,114 ($1,176,836)





Structural Shortfall-2008/09
  


   

Overexpenditure in 2007/08 ($ 592,071) Change in Revenues $ 1,736,231 Change in Costs ($2,744,831) School closure savings $ 250,000 SIDES Contract ($1,123,894) Enrolment Decline ($1,176,836) Total Structural Shortfall ($3,651,401) Depends on Government maintaining about $1 million in funding protection

2008/09 Challenge
 

Structural Shortfall Carry Forward Reserve 2008/09 Changes Needed

($3,651,401) $2,998,923 ($ 652,478)





Balance of structural shortfall will need to be addressed in 2009/10

Process for 2008/09 Budget






Subcommittee of Budget Advisory met with representatives of each budget area to determine expenditure reduction and revenue generation options Options will be reviewed with the Budget Advisory Committee, Management Team, School Communities and Public Finalize budget at May 7, 2008 Board Meeting

Budget Options

Administrative

Budget Options/Rationale
 

Vehicle fuel due to antiidling $10,000

  

Board approved antiidling initiative District installed Zonar to monitor Easy to accomplish savings with team effort

Budget Options/Rationale
 

Vehicle Use Efficiencies $16,000



 

Savings in fuel and repair of district maintenance vehicle fleet are possible through more efficient use No affect on services to clients Staff are affected by change

Budget Options/Rationale
 

School Phones $15,000



Able to make savings to the cost of current services through negotiation with the vendor

Budget Options/Rationale
 

Legal Services $65,000





Reduction may affect ability to seek expertise advice and assistance in labour matters Reduce to basic levels and adjust if a significant arbitration or legal action occurs

Budget Options/Rationale
 

District Consumable Supplies $10,000



District office staff will undertake a “greening” initiative to reduce and reuse

Budget Options/Rationale
 

Upgrade Security Systems $110,000 WCB Asbestos Inventory $28,000



One-time cost in 2007/08

 



One-time cost in 2007/08

Budget Options/Rationale
 

Close the District Resource Centre $65,478







Many other school districts do not provide this service Space could be used by Keating School for classrooms Service could be provided within school libraries

Budget Options/Rationale
 

Increase summer rentals and joint use agreements $5,000



Outside source of revenue




Raise Community Use Fees by 10% $6,800
Advertising/Sponsorship ?



Outside source of revenue

 



Outside source of revenue

Budget Options

School Based

Budget Options/Rationale
   

5% decrease in school supplies $99,467 Increase reduction to 6% $19,893

 





Reduce supplies rather than staff Efficiencies may be possible in paper use School staff can make best decisions at local level on how to make this reduction May affect PAC funding raising requirements

Budget Options/Rationale
 

Children’s Development Centre-reduce by 5% $23,600



Will reduce services in program but will be spread over all facets of service to reduce impact

Budget Options/Rationale
 

5.00 FTE Teaching Staff $410,000

 

Largest area of district budget Staffing is 9.21 FTE less than 2004/05 with 500 FTE less students

Budget Options/Rationale
 

Increase International student enrolment $267,472





Demand for services from international students Able to provide for additional services for students and schools and retain a contribution to the district

Budget Options/Rationale
 

Music Itinerant Teacher $82,060



Teacher was added on a short term basis to instruct other teachers to provide music in their classrooms

Budget Options/Rationale
 

Senior PE Support $49,863





Fee regulations will allow for charging of fees for optional activities Board has provided significant budget dollars to offset student fees Community offers swim programs Time consuming for staff to organize

  

Grade 3 Aquatics $3,686



Budget Options/Rationale
 

Musical Instrument Support $19,552





Regulations allow for the charging of fees for musical instruments Board has provided significant funds to offset student fees New expectation on district budget Services in classrooms may be more important

 

Field Trips $75,000

 

Budget Options/Rationale
 

International Program Reserve $180,000



Provided as an option to teacher FTE reductions Added in 2007/08 as additional support






Equipment $100,000
Release time for teachers $24,000


 

10% of current spending for release for proD, joint committees, etc.

Budget Options/Rationale
 

Special Education $50,000

  

Added $575,000 in services since 2004/05 Spending in excess of funded amounts Reduction similar to schools

 

Social Worker $50,000

 

New MCFD office in Saanichton Responsibility of MCFD

Summary of Budget
 






Structural Shortfall of $3.65 million Can be primarily funded by savings reserves of $2.998 million Reductions must make is $652,478 Funding protection of $1 million is not guaranteed Reduction options total $1.785 million

Next Steps



April 17 – Public Budget Meeting-7:00 p.m. at Bayside May 7 – Board meeting to approve budget8:00 p.m. at Board Office



Discussion Topics/Questions
 





Should the Board approve reductions that total $652,853 only? Should the Board make further reductions to retain some reserve to cover the unguaranteed funding protection grant? Should the Board approve reductions to begin to address the structural shortfall to avoid large reductions in 2009/10? If so, how much? Which reduction options do you recommend and what are implications of the options?


								
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