2017/18 Budget

June 19, 2017

2017/18 Budget Page 1 of 8 June 19, 2017

INTRODUCTION

The March 22, 2017 Provincial Budget resulted in the Pre-Kindergarten – Grade 12 Budget being reduced by

$54.2 Million from $1.89 Billion to $1.84 Billion representing a 2.9% decrease compared to 2016/17 funding

levels. Regina Catholic’s operational funding decreased by approximately $1.5 Million. Reduced funding,

combined with the additional costs of approximately $1.7 Million to address projected enrolment growth of

370 students, presented a significant challenge in completing the 2017/18 Budget for Regina Catholic Schools.

To ensure that appropriate school based staffing supports are in place to meet the projected enrolment growth,

Regina Catholic Schools will be enacting the following measures:

A 7.10 Full-Time Equivalent (FTE) reduction in centralized Instructional and Administration supports

Elimination of two unfunded Pre-Kindergarten Programs involving 1.80 FTE’s

A two-year phase-out of the Sunshine Program involving 4.80 FTE’s in 2017/18

Increased teaching responsibilities for the school division’s Learning Leaders involving 2.75 FTE’s

An adjustment to a school based administrator support involving 0.30 FTE’s

Elimination of teacher retirement gratuities

Adjustments to Goods & Services expenditures within the Instruction Budget

It is projected that the school division’s enrolment will near 11,800 students as of September 2017, reflecting

an all-time high. To address this enrolment growth, the following staffing supports are included:

16.90 Teacher FTE’s

1.00 Education Support Professional (ESP) FTE

In addition to addressing enrolment growth, the school division has a number of Instructional needs and

pressures. Additional support has been provided as follows:

1.50 English as an Additional Language (EAL) FTE’s

1.00 FTE for Student Mental Health and Wellbeing support

Goods & Services support for the First Nations Métis & Inuit (FNMI) Program

The March 22, 2017 Provincial Budget also introduced several conditionality measures including:

Capping Governance expenditures at $330,890

Capping Plant Operation Maintenance Contracted Services at $1,500,890

In addition, Education Property Tax will be remitted by the City of Regina to the Provincial Government

effective January 1, 2018. The Ministry of Education has also instructed school divisions to negotiate a -3.5%

compensation adjustment with its employee groups on a go forward basis.

In order to meet the infrastructure challenges associated with enrolment growth, three new schools will open

effective with the commencement of the 2017/18 school year; École St. Elizabeth, St. Kateri Tekakwitha, and

St. Nicholas. Combined with the April 2017 opening of the Sacred Heart rebuild, a significant investment has

been made in updating the school division’s infrastructure. In 2017/18, continued capital support will be

realized through Preventative Maintenance & Renewal funding ($1.86 Million) and the completion of the

Sacred Heart rebuild ($2.28 Million)

Despite these financial challenges the students of Regina Catholic Schools will continue to benefit in

maintaining their strong academic performance and standing within Saskatchewan.

2017/18 Budget Page 2 of 8 June 19, 2017

2017/18 REVENUES

2016/17 2017/18 $ Variance % Variance

Taxes $ 39,117,230 $14,714,865 $-24,402,365 -62.38%

Grants 69,618,635 93,187,570 23,568,935 33.85%

Tuition Fees 185,295 152,700 -32,595 -17.59%

Other Revenue 4,384,195 4,807,125 422,930 9.65%

Total $113,305,355 $112,862,260 -443,095 -0.39%

• Total Revenues: $112,862,260 representing a decrease of $443,095 or 0.39%

as compared to the 2016/17 budget of $113,305,355.

Taxes

13.04%

Grants

82.57%

Tuition Fees

0.14%

Other Revenue

4.26%

2017/18 Budget Page 3 of 8 June 19, 2017

TAXES

2016/17 Budget $39,117,230 2017/18 Budget $14,714,865

Represents a decrease of $24,402,365 or 62.38% as compared to 2016/17.

2017 is a property tax reassessment year. Provided is a comparison of the 2016 and 2017 mill

rates.

Property

Class

2016 Mill

Rate

2017 Mill

Rate Variance % Variance

Residential 5.03 4.12 -0.91 -18.09%

Commercial 8.28 6.27 -2.01 -24.28%

Resource 11.04 9.68 -1.36 -12.32%

Agricultural 2.67 1.43 -1.24 -46.44%

Catholic school divisions have the ability to set mill rates that vary from the provincial mill rates.

If the mill rate is set higher, foundation operating grants are reduced. If the mill rate is set lower,

there is no offsetting foundation operating grant increase.

Effective January 1, 2018 Education Property tax will be remitted by the City of Regina to the

Provincial Government. As a result, Tax Revenues received after January 1, 2018 will be classified

as Grant Revenue.

GRANTS

2016/17 Budget $69,618,635 2017/18 Budget $93,187,570

Represents an increase of $23,568,965 or 33.85% as compared to 2016/17.

Provincial funding pool decreases by $54.2 Million from $1.89 Billion to $1.84 Billion

representing a 2.9% decrease compared to 2016/17 funding levels.

Effective January 1, 2018 Education Property tax will be remitted by the City of Regina to the

Provincial Government. As a result, Tax Revenues received after January 1, 2018 will be

classified as Grant Revenue.

Funding is based on our projected September 2017 enrolment and is summarized as follows:

Sept 30/16

Actual

Sept 30/17

Projected Variance % Variance

Pre-Kindergarten 328 344 16 4.88%

K-8 7,824 8,195 371 4.74%

9-12 3,210 3,193 -17 -0.53%

Home Based 56 56 0 0.00%

Total 11,418 11,788 370 3.24%

2017/18 Budget Page 4 of 8 June 19, 2017

Other Grants primarily represents funding for P3 Schools Maintenance, Child Nutrition program

and the First Nations and Métis Education program.

The school division’s Grant Revenue incorporates revenues associated with the Mother Teresa

Middle School.

TUITION FEES

2016/17 Budget $185,295 2017/18 Budget $152,700

Represents a decrease of $32,595 or 17.59%.

Tuition Fees revenue primarily reflects revenue from foreign students.

OTHER REVENUE

2016/17 Budget $4,384,195 2017/18 Budget $4,807,125

Represents an increase of $422,930 or 9.65% as compared to 2016/17.

Reserve utilization of $200,000 used to support the Instruction Budget.

GST Rebates, Sales & Rentals (Rental of Facilities), and Reimbursements revenue were

adjusted to reflect historical revenue patterns. Reimbursements revenue includes Saskatchewan

Government Insurance (SGI) funding of the school division’s driver training program.

2017/18 Budget Page 5 of 8 June 19, 2017

2017/18 EXPENDITURES

2016/17 2017/18 $ Variance % Variance

Governance $ 799,430 $ 330,890 -$468,540 -58.61%

Administration 4,069,340 3,775,230 -294,110 -7.23%

Instruction 86,203,970 85,326,555 -877,415 -1.02%

Plant Operation 12,067,395 12,967,480 900,805 7.46%

Transportation & Other 5,920,435 5,892,300 -28,135 -0.47%

SGF, Complementary & External

Services 4,244,785 4,569,805 325,020 7.66%

Total $113,305,355 $112,862,260 -$443,095 -0.39%

Total Expenditures: $ 112,862,260 representing a decrease of $443,095 or 0.39% as compared

to the 2016/17 Budget of $113,305,355.

Governance

0.29%

Administration

3.34%

Instruction

75.60%

Plant Operation

11.49%

Transportation & Other

5.22%

SGF, Comp & Ext.

Services

4.05%

2017/18 Budget Page 6 of 8 June 19, 2017

GOVERNANCE

2016/17 Budget $799,430 2017/18 Budget $330,890

Represents a decrease of $468,540 or 58.61% as compared to 2016/17.

The Ministry of Education has implemented conditionality for 2017/18 Governance Expenditures

with expenditures capped at $330,890.

Fees for the Saskatchewan School Boards Association (SSBA) and Saskatchewan Catholic

School Board Association (SCSBA) has been adjusted to fit within the new conditionality

measures.

2016/17 election costs of $152,840 are not required for the 2017/18 Budget.

ADMINISTRATION

2016/17 Budget $4,069,340 2017/18 Budget $3,775,230

Represents a decrease of $294,110 or 7.23% as compared to 2017/18.

Projected September 2017 FTE’s = 35.60; reflects a reduction of 1.00 FTE from the 2016/17

budget of 36.60 FTE’s.

Salaries adjustments are determined in accordance with the Education Support Professionals

Policy.

INSTRUCTION

2016/17 Budget $86,203,970 2017/18 Budget $85,326,555

Represents a decrease of $877,415 or 1.02% as compared to 2016/17.

Projected September 2017 Instructional Staff FTE’s = 719.75; reflects an increase of 8.75 FTE’s

from the current staffing allocation of 711.00 FTE’s. A total of 697.70 FTE’s will be school based

and utilized to respond to the projected enrolment increase of 370 students.

Projected September 2017 Education Support Professionals FTE’s = 206.85; reflects a decrease

of 4.10 FTE’s from the current staffing allocation of 210.95 FTE’s.

2017/18 Budget Page 7 of 8 June 19, 2017

PLANT OPERATION

2016/17 Budget $12,067,395 2017/18 Budget $12,967,480

Represents an increase of $900,805 or 7.46% as compared to 2017/18.

Projected September 2017 FTE’s = 92.06; reflects no change as compared to 2016/17.

The Ministry of Education has implemented conditionality for 2017/18 Minor Renovations

expenditures of $1,500,890.

The Ministry of Education provides funding for the three new P3 schools maintenance

expenditures ($629,700).

Square footage increases by 13.5% in 2017/18.

Budget includes flow through effect of salary and benefit costs as mandated by the agreement

with C.U.P.E. Local No. 1125 (2.72% increase effective January 2017).

TRANSPORTATION AND OTHER

2016/17 Budget $5,920,435 2017/18 Budget $5,892,300

Represents a decrease of $28,135 or 0.47% as compared to 2016/17.

The projected number of routes for September 2017 is 85 routes; 38 piggyback runs, 15 blended

runs, and 48 Kindergarten runs.

Transportation costs are determined in compliance with contracts with Regina Cabs, Paratransit

and LP3 Transportation Solutions.

Tuition and Related Fees reflect the acquisition of education services from the Ranch Ehrlo

Society.

SCHOOL GENERATED FUNDS; COMPLEMENTARY & EXTERNAL SERVICES

2016/17 Budget $4,244,785 2017/18 Budget $4,569,805

Represents an increase of $325,020 or 7.66% as compared to 2016/17.

Complementary Services includes costs associated with the school division’s Prekindergarten

programs. The understatement of 2016/17 Pre-Kindergarten costs attribute to the year over year

budget increase.

External Services includes Miller Cafeteria operations and costs associated with the Mother

Teresa Middle School ($456,410).

2017/18 Budget Page 8 of 8 June 19, 2017

School Based Funds Expenditures were adjusted to reflect projected student enrolments and

historical budget variances.

CAPITAL BUDGET & CAPITAL ASSET AMORTIZATION

• The following capital projects are part of the 2017/18 Capital Budget:

$2,278,000 - Sacred Heart Rebuild

1,860,000 - Preventative Maintenance & Renewal (PMR)

$4,138,000 - TOTAL

• Compliance with Public Sector Accounting Board requirements requires that the following

amounts for amortization be reported to the Ministry of Education:

$ 240 - Administration

1,295,015 - Instruction

2,016,660 - Plant Operation

20,480 - School Generated Funds

$3,332,395 - TOTAL