2013-2014 BudgetPublic Hearing and Budget Adoption

Ralph FortunatoDirector of Fiscal Services

August 28, 2013

School District BudgetsThere are 5 distinct funds in the budget… General Fund-provides for the daily operations of the school district

Capital Project Fund-receives bond sale/state match revenue for school construction and technology levy revenue for technology program

Debt Service Fund-receives tax collections sufficient to pay back or “service”the principal and interest from bonds approved by the board and or the voters

Transportation Vehicle Fund-receives state depreciation revenue for purchase of busses; all driver pay, fuel, repairs, etc. is paid from the General Fund

ASB Fund-accounts for all revenue and expenditures made by the schools’ Associated Student Body activities

Budget Adoption Process By law, all school districts in Washington must formally adopt a budget by August 31st of each year

All school systems must use the same format (F-195);The formal approval of the budget is by Board Resolution

The Board, upon passage of the resolution, is approving the amount of authorized expenditures for each fund

School districts may not expend greater than the original authorized expenditure amount without a budget extension, approved by Board resolution.

General Fund

CapitalProjects

FundDebt

Service Fund ASB FundTransportationVehicle Fund

TotalAll Budgets

Beginning Fund Balance 30,890,761$ 13,834,638$ 14,250,000$ 1,270,098$ 998,008$ 61,243,505$

Revenues 284,912,357 5,733,000 28,853,128 4,948,588 687,525 325,134,598$

Total Funds Available 315,803,118 19,567,638 43,103,128 6,218,686 1,685,533 386,378,103

Expenditures 287,525,409 17,971,030 32,134,349 5,039,159 950,000 343,619,947$

Transfers In/(Out) (15,436) - 480,550 - (465,114) -

Ending Fund Balance 28,262,273$ 1,596,608$ 11,449,329$ 1,179,527$ 270,419$ 42,758,156$

Kent School District Budget Summary 2013-2014

General Fund 2012-13 UpdateActual Actual Actual Actual Actual Estimated

2007-08 2008-09 2009-10 2010-11 2011-12 2012-13Beginning Fund Balance 23.010 18.291 22.648 19.603 22.492 27.138

Total Revenues 230.749 248.941 246.100 248.177 246.308 251.842

Total Available 253.759 267.232 268.748 267.78 268.800 278.980

Total Expenditures 235.159 244.547 249.130 245.272 241.662 248.089

Total Ending Fund Balance 18.291 22.648 19.603 22.492 27.138 30.891Restricted (restricted, assigned, committed) 5.659 9.28 5.37 9.284 12.061 13.188Unrestricted ( 5% Min Fund Balance and unassigned) 12.632 13.368 14.233 13.207 15.077 17.703

Revenue-To-Expenditure Imbalance -4.410 4.394 -3.030 2.905 4.646 3.753

% Total Ending Fund Balance 7.78% 9.26% 7.87% 9.17% 11.23% 12.45%% Unrestricted Ending Fund Balance 5.37% 5.47% 5.71% 5.38% 6.24% 7.14%

General Fund 2013-2014 Actual Estimated F-195 Budget2011-12 2012-13 2013-14

Beginning Fund Balance 22.492 27.138 30.891

Actual Revenues 246.308 251.842 279.912Expansion Contingency Revenues 0.000 0.000 5.000Total Revenues 246.308 251.842 284.912

Total Available 268.800 278.980 315.803

Actual Expenditures & Transfers Out 241.662 248.089 282.541Expansion Contingency Expenditures 0.000 0.000 5.000Total Expenditures & Transfers Out 241.662 248.089 287.541

Total Ending Fund Balance 27.138 30.891 28.262 Restricted (restricted, assigned, committed) 12.061 13.188 11.100 Unrestricted(Min Fund Balance and unassigned) 15.077 17.703 17.162

Revenue to Expenditure Imbalance 4.646 3.753 -2.629

% Total Ending Fund Balance 11.23% 12.45% 9.83%% Unrestricted Ending Fund Balance 6.24% 7.14% 5.97%

General Fund 2013-14 Enrollment

Actual Actual Budget2011-12 2012-13 2012-13

K-12 FTE Enrollment 25,405.02 25,623.23 26,420.50 Change from Prior Year n/a 218.21 797.27 % change from Prior Year n/a 0.86% 3.11%

Running Start 501.20 586.68 593.00 Change from Prior Year n/a 85.48 6.32 % Change from Prior Year n/a 17.06% 1.08%

General Fund 2013-14 Staffing2011-12 2012-13 2013-14Budget Budget Budget

Certificated 1580.02 1589.5 1609.92Change from Prior Year n/a 9.48 20.42% Change from Prior Year n/a 0.60% 1.28%

Classified 946.14 974.26 1001.40Change from Prior Year n/a 28.12 27.14% Change from Prior Year n/a 2.97% 2.79%

Administrative 105.97 106.56 122.99Change from Prior Year n/a 0.59 16.43% Change from Prior Year n/a 0.56% 15.42%

Total FTE 2632.13 2670.32 2734.31Change from Prior Year n/a 38.19 63.99% Change from Prior Year n/a 1.45% 2.40%

General Fund 2013-14 RevenuesActual Estimated Estimated

Revenues: (in millions) 2011-12 2012-13 2013-14

Local Taxes (Levy) 57,510,209$ 59,111,057$ 60,019,662$ Local Non Tax 6,445,346 6,925,337 6,949,000 State Apportionment 133,044,759 135,536,400 150,205,152 State Special Purpose 29,020,770 27,594,520 34,693,990 Federal Grants 20,198,283 22,308,827 27,704,553 All Other 88,545 366,267 340,000 Total Revenues (w/o Exp. Cont) 246,307,912$ 251,842,408$ 279,912,357$

Less: Expenditures (w/o Exp. Cont.) 241.647 248.089 282.541Revenue/Exp Imbalance 4.66 3.753 -2.629

General Fund 2013-14 Revenues:(Net of Expansion Contingency)

0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00%

Local Taxes (Levy); 21.44%

Local Non Tax; 2.48%

State Apportionment; 53.66%

State Special Purpose; 12.39%

Federal Grants; 9.90%

All Other; 0.12%

General Fund 2013-14 Expenditures

Expenditures (Net of Expansion Contingency)Budget

Activity 2013-14Teaching Activities 172,767,210$ Teaching Support 27,957,397 Other Supportive Activities 49,796,791 Building Administration 19,018,067 Central Adminstration 12,985,944 Total Expenditures 282,525,409$

General Fund 2013-14 Expenditures:(Net of Expansion Contingency)

0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00%

Teaching Activities; 61.15%

Teaching Support; 9.90%

Other Supportive Activities; 17.63%

Building Admin-istration; 6.73%

Central Adminstra-tion; 4.60%

General Fund Ending Fund Balances 2011-12 through 2013-14

Actual Estimated Estimated2011-12 2012-13 2013-14

Total Ending Fund Balance-$ 27.138 30.89 28.262Total Expenditures-$ 241.647 248.089 282.525

NonSpendable-Inventory 0.402 0.450 0.400Restricted Fund Balance: Grants, Special Projects, Encumbrances 1.284 3.450 3.125 Self Insurance(w/c & unemployment) 1.375 1.188 1.200

Assigned Fund Balance:Contingencies 9.000 8.100 6.350

Committed Fund Balance: Committed to Min. Fund Balance Policy 12.082 12.404 14.126

Unreserved/Unrestricted Fund Balance 2.994 5.299 3.036

Total Min. Fund Balance & Unrestricted Fund Balance 15.076 17.703 17.162Total Min. Fund Balance & Unrestricted Fund Balance % 6.24% 7.14% 6.07%5% Board Policy 5.00% 5.00% 5.00%Difference in % 1.24% 2.14% 1.07%

General Fund 2013-14 into 2014-15Estimated F-195 Budget Roll Forward

2013-14 2012-13 2014-15Beginning Fund Balance 30.891 30.891 28.262

Actual Revenues 279.912 279.912 279.912 Expansion Contingency Revenues - 5.000 - Total Revenues 279.912 284.912 279.912

Total Available 310.802 315.802 308.174

Actual Expenditures 282.525 282.525 282.525 Expansion Contingency Expenditures - 5.000 - Total Expenditures 282.525 287.525 282.525 Transfers In/(Out) (0.015) (0.015) (0.015) Total Ending Fund Balance 28.262 28.262 25.634 A) Restricted 11.100 11.100 11.100 B) Unrestricted 17.703 17.162 14.534

Revenue to Expenditure Imbalance (2.613) (2.613) (2.613)

% Total Ending Fund Balance 10.10% 9.92% 9.16%% Unrestricted Ending Fund Balance 6.32% 6.02% 5.19%

Capital Project Fund 2013-2014

Beginning Fund Balance $13,834,638

Revenues 5,733,000

Total Funds Available 19,567,638

Expenditures/Uses 17,971,030

Ending Fund Balance $ 1,596,608

Capital Project Fund 2013-2014Project List:

Safety and Security Projects $6,234,175Technology Equipment Purchases $4,000,000Kentridge Field and Track $3,533,900Fairwood Roof Replacement $1,056,500Asphalt and Parking Lot Replacement $424,175Kentwood Field and Track (completion) $385,430Portables $350,000Crestwood Door Enclosure $339,000Glenridge Boiler $128,300Kentwood PAC Seating $115,000Plumbing Projects $86,750Property Management $50,000Kentlake Reader board $18,800Mechanical Projects $14,000Contingency $735,000Administration $500,000

Debt Service Fund 2013-2014

Beginning Fund Balance $14,250,000

Revenues /Transfers 29,349,114

Total Funds Available 43,599,114

Expenditures/Uses 32,149,785

Ending Fund Balance $ 11,449,329

ASB Fund 2013-2014

Beginning Fund Balance $ 1,270,098

Revenues 4,948,588

Total Funds Available 6,218,686

Expenditures/Uses 5,039,159

Ending Fund Balance $ 1,179,527

Transportation Vehicle Fund 2013-2014

Beginning Fund Balance $ 998,008

Revenues 687,525

Total Funds Available 1,685,533

Expenditures/Uses 1,415,114

Ending Fund Balance $ 270,419

2013-2014 Levy AmountsVoter Approved

General Fund: Levy Amount Roll Back Net Levy Amount Collection % Amount Budgeted

Fall 2013 62,000,000$ 2,047,929$ 59,952,071$ 46.94% 28,141,502$

Spring 2014 64,000,000$ 3,070,796$ 60,929,204$ 52.32% 31,878,160$ Total Levy for 2013-2014 99.26% 60,019,662$

Captial Projects: Technology LevyFall 2013 5,000,000$ -$ 5,000,000$ 46.94% 2,347,000$

Spring 2014 5,000,000$ -$ 5,000,000$ 52.32% 2,616,000$ Total Levy for 2013-2014 99.26% 4,963,000$

Debt Service:Fall 2013 29,000,000$ -$ 29,000,000$ 46.94% 13,612,600$

Spring 2014 27,500,000$ -$ 27,500,000$ 52.32% 14,388,000$ Total Levy for 2013-2014 99.26% 28,000,600$

General Fund

CapitalProjects

FundDebt

Service Fund ASB FundTransportationVehicle Fund

TotalAll Budgets

Beginning Fund Balance 30,890,761$ 13,834,638$ 14,250,000$ 1,270,098$ 998,008$ 61,243,505$

Revenues 284,912,357 5,733,000 28,853,128 4,948,588 687,525 325,134,598$

Total Funds Available 315,803,118 19,567,638 43,103,128 6,218,686 1,685,533 386,378,103

Expenditures 287,525,409 17,971,030 32,134,349 5,039,159 950,000 343,619,947$

Transfers In/(Out) (15,436) - 480,550 - (465,114) -

Ending Fund Balance 28,262,273$ 1,596,608$ 11,449,329$ 1,179,527$ 270,419$ 42,758,156$

Kent School District Budget Summary 2013-2014

Next Steps:

Formal Adoption of budget August 28, 2013

Monitor start of school for enrollment and staffing

Close 2012-13 fiscal year and produce Annual Financial Report (F-196) by November 1, 2012

Monitor 2014 legislative sessions (state funding) and federal reauthorizations for possible budget revisions

Determine priorities for 2014-2015 budget

Questions/Comments