BUDGET TOWN HALL · 15-16 $500,000 $500,000 Transportation (road closures) and Vo-Tech Tuition...

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FEBRUARY 20, 2020 BUDGET TOWN HALL

Transcript of BUDGET TOWN HALL · 15-16 $500,000 $500,000 Transportation (road closures) and Vo-Tech Tuition...

Page 1: BUDGET TOWN HALL · 15-16 $500,000 $500,000 Transportation (road closures) and Vo-Tech Tuition 14-15 $500,000 $500,000 Transportation (bridge), Resurfacing of parking lots and Tax

FEBRUARY 20, 2020

BUDGET TOWN HALL

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Tonight’s Objectives

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The School Board and the Administration desire to engage and inform the

community on all aspects of the District, and specifically tonight with respect to

the revenue portions of the 2020-2021 Budget.

We would like to gather information and ideas from our stakeholders, which we

will incorporate into our discussions on the 2020-2021 Budget.

It is important for the Board and the Administration to know what our community

values and what they do not.

The presentation this evening will also highlight several of the initiatives and

programs being considered for the coming year.

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BUDGET CONSTRAINTS FOR 2020 - 2021

More than 85% of the budget is predetermined – contractual salary & benefits,

transportation and debt service

Unfunded State mandates – 10 mile transportation for charter and private/parochial

schools, charter school funding formula and underfunding of IDEA of approximately

75.7%

Tax Appeals

Continued District growth

Charter School cost escalation

Communities resources – lack of industry and those on fixed income

Library support

Minimal increases in state funding ($50,000 increase)

Basic Education Formula under funded by about 2.5 million

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Budgetary Reserve Usage History

Year

Budgetary

Reserve

Amt. of Budgetary

Reserve Used Reason

19-20 $343,000 $0 None needed

18-19 $400,000 $400,000 Positions filled after budget passed due to increased enrollment

17-18 $300,000 $300,000 Transportation (additional runs)

16-17 $500,000 $500,000 Positions filled after budget passed due to increased enrollment

15-16 $500,000 $500,000 Transportation (road closures) and Vo-Tech Tuition

14-15 $500,000 $500,000 Transportation (bridge), Resurfacing of parking lots and Tax Refunds

13-14 $500,000 $500,000 Contract Settlement, Tuition, Road Salt, Special Ed aides

12-13 $500,000 $500,000 Transportation (additional runs)

11-12 $500,000 $500,000 Teachers & Aides (enrollment), Fuel, Emotional Support,

Transportation

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BUDGET RESERVES – MOODY’S REVIEW OF PASD

© 2015 – Phoenixville Area School District – DO NOT DISTRIBUTE OUTSIDE OF PASD

Moody’s Credit Opinion from December 20, 2019:

Rating outlookThe negative outlook on the underlying rating reflects our view that the district will be

challenged to return to structurally balanced operations and rebuild reserves following

several years of draws.

Factors that could lead to an upgrade/removal of negative outlook» Return to structurally balanced operations and positive operating variances resulting in

material increases in reserves

» Continued healthy increases in the tax base

» Decrease in the debt burden

Factors that could lead to a downgrade» Failure to return to structurally balanced operations resulting in further draws on reserves

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Projected 2020-2021 Revenues

At a Glance…

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Actual

2018-2019

Budget

2019-2020

% Change

2018-2019 to

2019-2020

Original

2020-2021

Updated

2020-2021

% Change

2019-2020 to

2020-2021Local Revenue

Property Taxes $58,971,352 $61,198,186 3.78% $63,705,237 $63,705,237 4.10%

Earned Income Tax $6,874,277 $7,300,000 6.19% $7,300,000 $7,400,000 1.37%

Delinquent Taxes $2,912,282 $2,200,000 -24.46% $2,300,000 $2,300,000 4.55%

Occupation Tax $1,425,383 $1,575,000 10.50% $1,500,000 $1,575,000 0.00%

Transfer Taxes $1,295,498 $1,200,000 -7.37% $1,200,000 $1,300,000 8.33%

Interest Income $739,598 $500,000 -32.40% $750,000 $800,000 60.00%

IDEA Revenue $520,944 $540,000 3.66% $540,000 $550,000 1.85%

Misc. Revenue $225,080 $313,291 39.19% $350,000 $350,000 11.72%

Interim Taxes $505,266 $275,000 -45.57% $275,000 $300,000 9.09%

PCEF Contributions $207,500 $225,000 8.43% $225,000 $225,000 0.00%

School Rentals $157,432 $187,000 18.78% $175,000 $190,000 1.60%

Per/Person/Per Capita $127,568 $148,000 16.02% $151,000 $160,000 8.11%

Public Utility Tax $65,000 $70,000 7.69% $65,000 $67,500 -3.57%

Other District Revenue $59,253 $107,000 80.58% $50,000 $60,000 -43.93%

Tuition $14,568 $75,000 414.83% $50,000 $50,000 -33.33%

Total Local Revenue $74,101,001 $75,913,477 2.45% $78,636,237 $79,032,737 4.11%

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Projected 2020-2021 Revenue, Cont’d

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Actual

2018-2019

Budget

2019-2020

% Change

2018-2019 to

2019-2020

Original

2020-2021

Updated

2020-2021

% Change

2019-2020 to

2020-2021

State Revenue

Basic Ed Subsidy $4,879,718 $5,213,312 6.84% $5,225,000 $5,143,391 -1.34%

Special Education $1,740,725 $1,750,000 0.53% $1,850,000 $1,653,804 -5.50%

PSERS $6,057,369 $6,275,000 3.59% $6,275,000 $6,643,175 5.87%

Social Security $1,317,210 $1,400,000 6.29% $1,400,000 $1,472,625 5.19%

Transportation $1,381,744 $1,350,000 -2.30% $1,400,000 $1,450,000 7.41%

Property Tax Relief $1,329,119 $1,381,316 3.93% $1,381,316 $1,400,000 1.35%

Other State Revenue $726,846 $470,000 -35.34% $518,700 $650,000 38.30%

Total State Revenue $17,432,731 $17,839,628 2.33% $18,050,016 $18,412,995 3.21%

Federal Revenue $920,791 $760,000 -17.46% $760,000 $800,000 5.26%

Total Revenue $92,454,523 $94,513,105 2.23% $97,446,253 $98,245,732 3.95%

Usage of PSERS reserve $0 $343,000 $0 $0

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Revenue Highlights

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Phoenixville Hospital’s request for tax-exempt status would impact the District’s real

estate revenues negatively by approximately $1,000,000. This budget includes the full

amount of the hospital’s obligation.

The assessed value in the District continues to reflect positive growth (1.5% last year and

2.8% over the last two years). Phoenixville Area School District’s assessment growth is

the second highest in the County this year.

Unfortunately reassessment appeals continue to impact our assessed value.

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Revenue Highlights

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Local revenues reflect an overall increase of 4.11% due to increases in real estate taxes,

earned income taxes and investment income.

State revenues reflect a 3.21% increase. Additional clarity occurred when the Governor

released the State budget earlier this month. Special education $2,500/student actual

cost is $33,000/student

There is a modest increase reflected in federal revenues.

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48,588,174 49,851,378 51,757,852 52,783,908 54,003,313 54,640,740 55,142,744 56,039,403 57,104,905

58,971,352 61,198,186

63,705,237

2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21

Real Estate Tax RevenueBudgeted amount

Proposed amount

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-4.33%

14.91%

9.91%3.86%

5.56% -196%5.73%

2.96%3.19%

6.19% 1.37%

-

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000

6,000,000

7,000,000

8,000,000

2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21

Earned Income TaxesBudgeted amount

Proposed amount

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2,409,433 2,272,544

2,825,402

2,199,784 2,106,885

2,207,966 2,227,343 2,164,768 2,016,954

2,912,284

2,200,000 2,300,000

-

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

3,500,000

2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21

Delinquent TaxesBudgeted amount

Proposed amount

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1,226,517 1,184,291

1,134,128 1,134,641

1,121,674

1,028,947

1,308,341 1,317,000

1,403,654 1,425,383

1,575,000 1,575,000

-

200,000

400,000

600,000

800,000

1,000,000

1,200,000

1,400,000

1,600,000

1,800,000

2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21

Occupation TaxBudgeted amount

Proposed amount

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761,221 706,170 740,241

1,025,157

1,153,748

797,706

1,009,859 1,035,449

1,528,559

1,295,499

1,200,000

1,300,000

-

200,000

400,000

600,000

800,000

1,000,000

1,200,000

1,400,000

1,600,000

1,800,000

2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21

Real Estate Transfer TaxBudgeted amount

Proposed amount

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178,309

81,356 64,244 53,963 37,458 48,935 53,343

149,135

278,394

739,598

500,000

800,000

-

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

900,000

2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21

Interest IncomeBudgeted amount

Proposed amount

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619,233

910,143

217,962

275,608 253,676 258,968

196,456 162,532

230,052

504,087

275,000 300,000

2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21

Interim Real Estate TaxesBudgeted amount

Proposed amount

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180,377 178,410

135,218 141,886 138,742

123,210 131,308

124,730 124,009 128,748

148,000

160,000

2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21

Per Person and Per CapitaBudgeted amount

Proposed amount

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75,429 77,905

86,774

71,516 70,000 74,690

63,824 66,692

62,755 63,705

70,000 67,500

-

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

90,000

100,000

2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21

Public Utility TaxesBudgeted amount

Proposed amount

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2020-2021 Budget Meetings & Topics

February 20, 2020…….. Town Hall

March 9, 2020…………... 3rd Budget Meeting – Review of Expenditures

April 13, 2020…………… 4th Budget Meeting – Review of Staffing & Benefits

May 4, 2020……………… 5th Budget Meeting – Final Budget Review

May 18, 2020.…………… Planned Adoption of 2020-2021 Final Budget

June 30, 2020…………… Budget must be adopted

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PASD STRATEGIC PLAN

PROMOTE

EMPLOYEE

GROWTH AND

EFFECTIVENESS

ALLOCATE

RESOURCES TO

FOSTEREXCELLENCE

FOR ALL

STUDENTS

PROVIDE

HIGH QUALITY

INSTRUCTION

ENCOURAGE

EFFECTIVE,

CONSISTENT

COMMUNICATION

AND

COLLABORATION

IMPLEMENT A

CONSISTENT

REFLECTIVE

USE OF DATA

TO DRIVE

CHANGE

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ALLOCATE

RESOURCES TO

FOSTEREXCELLENCE

FOR ALL

STUDENTS

• Enrollment Growth

• Early Intervention Students

• English Language learning students

• Elementary Level

• Districtwide – Hares Hill

• Multiple Disabilities Classroom at MS

• Life Skills House

• Disproportionality

• Career Pathways

STRATEGIC PLAN GOAL # 1

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• 2 Additional Instructional Coaches

• Develop Capacity of Future Leaders

• Succession Planning

• High Potential Leaders

• Professional Development—Broaden scope of PLC’s (Professional Learning Communities)

STRATEGIC PLAN GOAL # 2

PROMOTE

EMPLOYEE

GROWTH AND

EFFECTIVENESS

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• STEM Grades 6 – 12

• Math Grades 6 – 8 (Targeted Support Improvement)

• Mathematics, Social Studies and AP Resources – delayed from last year

• Blended Online Courses 9 – 12

STRATEGIC PLAN GOAL # 3

PROVIDE

HIGH QUALITY

INSTRUCTION

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• Cursive Writing – Elementary

• Exploring New Technologies

• World Language

• Additional Strings Instructor

• Expand Dance Offerings

STRATEGIC PLAN GOAL # 3, cont.

PROVIDE

HIGH QUALITY

INSTRUCTION

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STRATEGIC PLAN GOAL # 4

ENCOURAGE

EFFECTIVE,

CONSISTENT

COMMUNICATION

AND

COLLABORATION

• Implementation of New Website

• Addition of Closed Captioning to

Website

• Explore additional media to keep

community informed

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STRATEGIC PLAN GOAL # 5

IMPLEMENT A

CONSISTENT

REFLECTIVE USE

OF DATA TO

DRIVE CHANGE

• Data Dashboard for Website

• Instructional Data Dashboard

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OTHER AREAS FOR BUDGET CONSIDERATION

IMPLEMENT A

CONSISTENT

REFLECTIVE USE

OF DATA TO

DRIVE CHANGE

• Addressing growth – Hares Hill property

• Business Office stability

• Continual monitoring of all expenditures

• Continued alignment with strategic plan

• Grants

• Improving Transportation services and efficiencies

• Increasing our Reserves

• Reducing Charter School costs

• Utilizing existing community resources

• Working collaboratively with Booster Clubs

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TABLE TALK TIME

DISCUSSION

WHAT IS IMPORTANT TO YOU?• Each person to make an individual list of 3 to 4 items (prioritize, if you can)

• Share with table

• List ideas on chart paper

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TABLE REPORT OUTS

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2020-2021 Budget Meetings & Topics

February 20, 2020…….. Town Hall

March 9, 2020…………... 3rd Budget Meeting – Review of Expenditures

April 13, 2020…………… 4th Budget Meeting – Review of Staffing & Benefits

May 4, 2020……………… 5th Budget Meeting – Final Budget Review

May 18, 2020.…………… Planned Adoption of 2020-2021 Final Budget

June 30, 2020…………… Budget must be adopted

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