Investing in Stafford’s Future:Creating a Journey of Excellence for All

Stafford County Public SchoolsFiscal Year 2019-2020

Proposed Operational BudgetJanuary 29, 2019

Presented by Scott Kizner, Ph.D.

1

Goals and Priorities

2

School Board Budget Goals and Priorities

Student Achievement

Attract, Develop and

Retain Exceptional

Professionals

Organizational Efficiency and Effectiveness

Community and Family

Engagement

Equity and Opportunity

School Safety

Standardize Funding Streams

3

Superintendent’s Budget Expectations

Staff Compensation

Attract, Retain and Develop the SCPS Workforce

Promote a Positive Learning Experience for Each Child

Ensure Equity and Excellence

Expand Learning Opportunities

4

Additional Objectives

Address Growth

Close Achievement Gaps

Meet Required Needs of Children with Disabilities

Anticipated Cost Neutral Reorganization

Strengthen Administrative Building Support

Support Staffing Initiatives 5

The focus is on the academic, social, and emotional needs of all children

6

State of the Division

7

Quality Academics• Fully accredited with on-time graduation and

drop out rates are better than the state average.• K-12 Improvement Model with Measurable Goals• Students earned over 4,000 CTE Industry

credentials

Dedicated Professionals• State Teacher of the Year Finalist• Washington Post Principal of the Year Finalist

8

Computer upgrades

Cybersecurity and Geospatial Technology Programs

Chromebook initiative

Technology Leader

Threat assessment training

Risk management excellence award

Keeping Safety a Priority Summer

Leadership Academy focused on diversity awareness

Looking forward

9

28,4

87

28,9

34

29,3

51

24,000

25,000

26,000

27,000

28,000

29,000

30,000

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019* 2020*

Average Daily Membership (K-12)

*Projected

10

$40,000

$50,000

$60,000

$70,000

$80,000

$90,000

$100,000

$110,000

$120,000

0 5 10 15 20 25 30 35 40

Base

Teac

her S

alar

y

Years of Experience

Teacher Scale Comparison - Prince William & Spotsylvania

PWC Spotsy AVG Stafford Pr. William Spotsy

11

0 5 10 15 20 25 30

Arlington

Alexandria

Caroline

Culpeper

Fairfax

Fauquier

Fredericksburg

King George

Loudoun

Manassas

Prince William

Spotsylvania

2017-2018 2016-2017

Where Teachers Went

12

Top Two Places Teachers Went

0 5 10 15 20 25 30

Prince William

Spotsylvania

2017-2018 2016-2017

13

Student Teacher Ratios

16.45

14.54

15.4

12.41

12.05

13.08

12.13

14.27

17.88

12.69

10.78

12.31

0 2 4 6 8 10 12 14 16 18 20

Stafford

Spotsylvania

Prince William

Fairfax

Fauquier

State Average 8th-12th

K-7th

14

Per Pupil Expenditures for Operations

$10,533 $10,873 $11,536 $14,897 $12,567$8,000.00

$9,000.00

$10,000.00

$11,000.00

$12,000.00

$13,000.00

$14,000.00

$15,000.00

$16,000.00

Stafford Spotsylvania Prince William Fairfax Fauquier

State average: $12,171

State median: $11,274

15

Out of 133 school divisions in Virginia, Stafford ranks 95th in per pupil expenditures.

16

Bus Driver Hourly Rates

$15.01

$18.63

$15.91

$0.00 $5.00 $10.00 $15.00 $20.00

Stafford

Prince William

Spotsylvania

17

Bus Driver Salaries

At 6.5 hours a day, 183 days a year, the annual salary for a beginning bus driver in Stafford would be $17,854.40.

In Spotsylvania it would be $18,924.95.In Prince William it would be $22,160.39.

18

Students with Disabilities

2560 25782669

27882964

3303

3541

0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

0

500

1000

1500

2000

2500

3000

3500

4000

2012 2013 2014 2015 2016 2017 2018

Total Students with Disabilities Percent of Student Population

19

200

250

300

350

400

450

500

2012 2013 2014 2015 2016 2017 2018*

Autism

100

120

140

160

180

200

220

2012 2013 2014 2015 2016 2017 2018*

Emotional Disability

300

400

500

600

700

800

900

2012 2013 2014 2015 2016 2017 2018*

Other Health Impairment

700

750

800

850

900

950

2012 2013 2014 2015 2016 2017 2018*

Specific Learning Disability

* Student Enrollment Data for Division is the local Membership Report from November 26. 2018 20

School Funding Context

21

Instructional Pay Increases Have Slowed Considerably:

Average instructional pay would have been $62,000 in 2017 if grown at the rate of VA wage inflation since FY2009.

2222222222

Source: Superintendent’s Annual Report. * All instructional positions include classroom teachers, guidance counselors, librarians, principals, and assistant principals.

$42,788

$53,581$57,766

$0

$10,000

$20,000

$30,000

$40,000

$50,000

$60,000

$70,000

2002 2009 2017

Average VA Salary - All Instructional Positions*

Jim Regimbal- Fiscal Analytics- VASS/VSBO Conference January 7, 2019 22

23232323

State Actions:

From FY 2001 through FY 2019 state general fund appropriations for K-12 education have grown at a compound annual rate of 2.6 percent versus 3.0 percent growth in total general funds.

State cuts in K-12 from FY 2010 have yet to be restored. Since FY 2009, the K-12 appropriation has dropped from 35.2 percent of total GF appropriations to 29.9 percent in FY 2019. In addition, inflation-adjusted (2005 $) average per pupil state funding has dropped nine percent from $4,692 in FY 2009 to $4,266 in FY 2019.

From FY 2009 to FY 2017, average instructional pay in Virginia has grown less than the rate of inflation – from $53,581 to $57,766. If instructional pay had grown at the rate of the consumer price index (CPI), average pay would have been $62,000 in FY 2017.

Jim Regimbal- Fiscal Analytics- VASS/VSBO Conference January 7, 2019

K-12 Education Funding Summary and Needs

23

24242424

K-12 Education Funding Summary and NeedsLocal Reactions:

• Most locality revenue sources have not kept pace with inflation and populationgrowth, despite median real property tax rates increasing 17 cents for cities and 12cents for counties since FY 2009.

• As a result of the slower growth in state K-12 funding, local funding for K-12operations has increased from 52.0 percent (FY 2009) to 55.3 percent (FY 2017) oftotal state-local expenditures (DOE Superintendents Annual Report).

• Localities also borrowed $2.6 billion for school construction, additions, andrenovations from 2013-2017. Direct state grants for capital improvements have notbeen available since FY 2010. Literary fund loans to school divisions have also beenminimal since the recession.

Jim Regimbal- Fiscal Analytics- VASS/VSBO Conference January 7, 201924

252525252525252525252525

State Standards of Quality Do Not Reflect True Costs for Local K-12 Divisions

• Only 136,000 out of 200,000 K-12 positions (68 percent)employed by local school divisions are recognized by the SOQ;many support positions and other support costs were de-fundedafter 2009.

• Raising teacher salaries from 29th (JLARC 2017) to the nationalaverage and funding prevailing support costs requires anadditional $750 million GF/year.

Source: https://rga.lis.virginia.gov/Published/2018/RD43/PDF

Jim Regimbal- Fiscal Analytics- VASS/VSBO Conference January 7, 201925

262626262626262626262626

State Standards of Quality Do Not Reflect True Costs for Local K-12 Divisions

Localities on average spend about double, or $4.0 billion beyond state requirements to meet SOL and SOA requirement in FY 2017. All 134 local school divisions exceeded Required Local Effort (RLE) in FY 2017.

Divisions up to 25% Above RLE 15Divisions Exceeding 25% to 75% 47Divisions Exceeding 76% to 100% 27Divisions Exceeding 100% RLE 46

Source: https://rga.lis.virginia.gov/Published/2018/RD43/PDF

Jim Regimbal- Fiscal Analytics- VASS/VSBO Conference January 7, 2019 26

272727

Major Spending Choices in the Introduced State Budget

K-12 Education: $230 mil. increase in direct aid K-12 funding (including $70 mil. in newlottery funding)

- $87.6 mil. to increase teacher salaries by 2% (to 5%) July 1, 2019- $80 mil. to the Literary Fund for school construction loans- $36 mil. for school counselors to begin phase-in from 1:500 to 1:250- $35 mil. to increase At-risk Add-on from 14% to 16% max. (Lottery)- $35 mil. for additional Lottery Supplement (Lottery)- $14.4 mil. in additional internet sales tax revenue and $10.9 mil. in revised sales tax

forecast.- $9.7 mil. to continue VPI+ program without federal funds- Save GF by revising enrollments down: overall students - $55.2; Special Education

Regional Tuition - $12.5 mil.; and Remedial Summer and ESL - $6.1 mil.

Jim Regimbal- Fiscal Analytics- VASS/VSBO Conference January 7, 2019 27

State Funding Represents a Larger Share of the Budget

53.0%53.1%

54.0% 54.1% 54.1% 54.0%

55.2%

56.4%

55.8%

51.0%

52.0%

53.0%

54.0%

55.0%

56.0%

57.0%

$-

$20,000,000

$40,000,000

$60,000,000

$80,000,000

$100,000,000

$120,000,000

$140,000,000

$160,000,000

$180,000,000

2011 2012 2013 2014 2015 2016 2017 2018 2019State Funds % of Budget

28

Portion of School Budget from Local Funds

45.2%

42.8%43.2% 43.3% 43.5%

43.2%

41.9%41.5%

41.7%

39.0%

40.0%

41.0%

42.0%

43.0%

44.0%

45.0%

46.0%

$-

$20,000,000

$40,000,000

$60,000,000

$80,000,000

$100,000,000

$120,000,000

$140,000,000

2011 2012 2013 2014 2015 2016 2017 2018 2019

SB Adopted (Final) % of Budget

29

Total Adopted Operating Budget Since 2011

$-

$50,000,000

$100,000,000

$150,000,000

$200,000,000

$250,000,000

$300,000,000

$350,000,000

2011 2012 2013 2014 2015 2016 2017 2018 2019Operating Fund Expenditures

3.9%

Incr

ease

3.6%

Incr

ease

3.2%

Incr

ease

1.8%

Incr

ease

2.0%

Incr

ease

4.1%

Incr

ease

1.6%

Incr

ease

6.6%

Incr

ease

30

Tier 1: Department & School Requests

31

Department & School Requests

Highlights:• Compensation:

• 5% for all employees• Compensation study phase I: $75,000• Other scale adjustments (nurses)• Referral bonuses, tuition assistance

• Non-compensation Increase: $15,609,822

Total Expenditures:$328,493,659

Total Increase: $38,802,496

(13.39%)

Total new position requests: 137 FTEs

32

Seven Stages of Adjustment

Tier 1 Tier 2 Tier 3 Tier 4 Tier 5 Tier 6 Tier 7

33

Superintendent’s Funding RequestFiscal Year 2020

34

Superintendent’s Request:Revenue Assumptions

Other/Misc. Revenue:

$4,028,918 Increase:

$215,007 (7.64%)

Federal Revenue: $2,153,000Increase:

$115,000 (5.64%)

State Revenue: $173,201,139

Increase: $11,679,461

(7.23%)

ADM: 29,351

35

Superintendent’s Request:Revenue Assumptions

• SCPS’ budget assumes 75 more students than State ADM• 5% compensation supplement• Funds additional counselors• Regional special education funding

State Revenue (Governor’s Proposed Budget)

• Increase in expenditure rebates (e.g., use of purchasecards) will be used to fund additional resources for thepurchasing/procurement initiative

Other Revenue

36

Superintendent’s Request: ExpendituresSchool counselors and other mental health staff are critical to address school safety concerns and work with families

All building administrators should be 12-month employees to help improve instruction and parent outreach

Additional staff for new middle school model to address learning gaps, opportunities, and growth

Additional staff to meet the needs of children with disabilities

Additional school buses and infrastructure improvements

Additional resources for purchasing/procurement

37

Superintendent’s Request: Expenditures• 5% for All Teachers and Support Staff; 3% for Administrators• Compensation Study Phase I• Teacher and Driver Referral Program; Expanded Tuition Assistance

Compensation

• No Major Changes Anticipated (Industry Avg. 9-10% increase)• Annual Anthem Renewal Meeting Scheduled in FebruaryHealth and Dental

• Middle School Assistant Principals (10-month to 12-month)• Guidance Admin. Assistants (10-month to 12-month)• Nurse Scale

Contract Adjustments/Conversions

• Contractual Increases• Funds for Buses and Infrastructure Projects• Firefighting Program

Non-Compensation

38

Superintendent’s Request: Staffing & ResourcesSpecial Education: • Diagnosticians – 5.0 FTEs• Teachers – 9.5 FTEs• Paraprofessionals – 17.0 FTEs• Speech Pathologist – 0.5 FTE• OT/PT – 1.5 FTEs

Counselors:• Across all grade levels – 17.6 FTEs

Growth/Class Size Initiative:• Teachers – 27.0 FTEs

• Elementary – 7.0• Middle – 15.0• High – 4.0• Alt Ed – 1.0

• ESOL Teacher – 1.0 FTE

North Star Early Childhood Center: • Admin Assistants – 2.0 FTEs• Nurse – 1.0 FTE

Purchasing/Procurement:• Reorganization – 2.0 FTEs• Increased Contribution to Central Purchasing

Support Positions:• CTE (Workplace Readiness) – 1.0 FTE• Restore High School Admin Assistants – 2.0 FTEs• Dispatcher – 1.0 FTE• O&M – 1.0 FTE• Technology – 2.0 FTEs

• Systems Analyst• VOIP

• Student Services Admin Assist – 1.0 FTE

39

Reductions

Redirected Staffing

Increase in Budgeted

Salary Lapse: $750,000

Reinvested Compensation

& Benefits: $1,700,000

40

Superintendent’s Request: Summary

Total Expenditures: $308,234,672

Increase: $18,543,509 (6.40%)

Total New Positions: 92.10 FTEs

Increase in County Funding: $7,979,906 (6.60%)

41

Operating Fund Expenditures

$128

,851

,615

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

7.0%

$-

$50,000,000

$100,000,000

$150,000,000

$200,000,000

$250,000,000

$300,000,000

$350,000,000

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Projected

Operating Fund Expenditures % Increase

3.6%

Incr

ease

3.2%

Incr

ease

1.8%

Incr

ease

2.0%

Incr

ease

4.1%

Incr

ease

1.6%

Incr

ease

6.6%

Incr

ease

3.9%

Incr

ease

6.4%

Incr

ease

42

Local Funding

39.0%

40.0%

41.0%

42.0%

43.0%

44.0%

45.0%

46.0%

$-

$20,000,000

$40,000,000

$60,000,000

$80,000,000

$100,000,000

$120,000,000

$140,000,000

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Projected

SB Adopted (Final) % of Budget

$128

,851

,615

43

84%of the Stafford County Schools Budget is Compensation and Benefits

44

of the Stafford County Schools Budget is Instruction

76%

45

Future Budget Challenges & Considerations

46

• Maintain experienced teacher and leadership workforce• Develop exceptional talent• Review and adjust regulations affecting employees

Attracting and Retaining Talent

• New state and federal mandates• Respond to students ever-changing needs, including mental

health• Expand CTE offerings to reflect changing opportunities

Meeting Students Needs

• Improve organizational efficiency and support criticalinfrastructure upgrades

• Seek clarity of operational versus capital budget needs• Develop funding strategy and goals

Budget and Growth Considerations

47

Focus on the main thing

48

“The fact is that given the challenge we face, education does not need to

be reformed- it needs to be transformed. The key to this

transformation is not to standardize education, but to personalize it, to build achievement on discovering

the individual talents of each child, to put students in an environment

where they want to learn and where they can naturally discover their true

passions”

Sir Ken Robinson, The Element

49

50