Lots of Tender Loving Care, LLCBudget Meeting

October 2008

Tina Rogers

Faith Trimble

Reach top of the industry child care quality: 2006 Goals

Objective Action

Encourage staff retention through paid holidays, sick leave, health/retirement benefits, staff bonuses, and /or other incentives as budget allows

Since 2007, employees have either health or retirement benefits, receive holiday bonuses, paid training, and all former sick & holiday benefits

Provide nutritious meals meeting health requirements Meet health requirements. In addition, provide specialty food services for 5 peanut allergies, one diabetic, 2 gluton free diets, 7 special milks, and 7 other specialty diets/meals

Exceed state required staff/child standards for each room

Exceed state standards in infant and toddler rooms

Provide all full-time staff with 20 hours of training per year Training (state license requirement is10 hours)

Have paid for staff training since 2007. Additional educational incentives are being offered

Implement and respond to an annual parent survey Have not conducted to date; implement in 2009

Attain the National Association for the Education of Young Children (NAEYC) accreditation

7 staff with 5-14 years with TLC3 with B.A.s; 3 with ECEs; 2 CDAs0 founded CPS complaints in 12 years

Reach Financial Stability & Transparency: 2006 Goals

Objective Action

Increase fund raising and grant writing Received CTED startup grant; no other fundraising

Fund independent audits ever other year Independent financial audit due in 2009

Achieve equipment reserve target of $5,000 by end of 3rd year in operation

Est. year end transition reserve is $10,715; and equipment reserve is $25,190

Achieve cash flow target of $20,000 by end of year Est. year end checking balance is $15,000

Pay off all debt service by end of 5th year in operation, with concerted effort to pay it off sooner

All debt paid off in 2007

Introduce scheduled rate adjustments Proposed annual increase of cost of living, plus program enhancements

Provide profit/loss statements and balance sheets as required and requested by Parent Board

Al financial statements provided quarterly, and as requested by Parent Board

Distribution of Expenses

Wages & Benefits2008

  # of staff # with retirement# with health 

benefits Total expenditures

Hourly

21(15 FTE; 6 part

time) 9 6 $295,855

Salaried 2 1 0 $64,699

TOTAL 23 10 6 $360,554

Budget Highlights

Proposed rate increase for all classes: 3% or 4%

Kindergarten rate increase 30% effective July 1, 2009 Minimum wage increase of .48 cents Staff receive COL/performance increases Add “sub” staff person Medical benefits increase (assume 22%) Business transitions to non-profit status; applies for 501c3

tax exempt status Independent audit to be conducted New equipment to be purchased w/o grant funds Grocery/supplies increase (assume 8%) Additional training provided to director/staff to meet goals

Rate Comparisons (assuming 4% increase)

  Capitol Campus1Cradles to Crayons2 Squaxin3 Serendipity Mini School

Thurston Co Thurston Co Mason Co Thurston Co Thurston CoInfants (6 wks - 12 mos) $ 739 $ 824 $ 705 n/a $ 904

Wobblers (12-18 mos) $ 707 $ 824 $ 610 n/a $ 904

Toddlers (12-36 mos) $ 687 $ 764 $ 610 $ 800 $ 861

Pre-School (3-4 years) $ 664 $ 764 $ 560 $ 765 $ 773

Pre-School (4-5 yrs) $ 664 $ 685 $ 560 $ 725 $ 773

Kindergarten $ 495* $ 620 $40/day $ 585 $ 773

*  $620 effective July 1, 2009

3% vs 4%

3% increase: $255 average cash flow/month

4% increase: $710 average cash flow/month

Other Options to Consider

Registration fees increase Annual fees increase Rate increases variable by class room Grant funding Legislative changes Policy changes (no meals, no wipes, etc)