OLATHE DISTRICT SCHOOLS

Notice of Hearing for State Budget Documents

2009-10

BUDGET DEVELOPMENT GOALS

• Maintain Direct Services to Students• Attract and Retain High Quality Staff• Minimize Impact on Taxpayer in a

Challenging Economy

BUDGET 2009-10:MORE STUDENTS -- LESS MONEY

2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 150,000,000

160,000,000

170,000,000

180,000,000

190,000,000

200,000,000

210,000,000

220,000,000

230,000,000

240,000,000

250,000,000

20,000

21,000

22,000

23,000

24,000

25,000

26,000

District Operating Revenues

Enrollment

$9 MILLION REDUCTION (TO DATE)

2008-09 2009-10

District Operating Expenditures $227 M $221 M

Board Approved Budget in August 2008 $230 M

• Enrollment Growth of 375+ Students (FTE )• Maintain Effective Class Sizes• Open Forest View Elementary (Elementary #34)• Implement Final Phase of Elementary

International Language• Retain Quality Staff• Maintain Facilities

BUDGET CONSIDERATIONS FOR 2009-10

CASH BALANCE RESERVE GOALS

Financial Indicators Goal Status

Contingency Reserve 6% of General Fund 6%

Cash Flow 102% less than 100%

Capital Outlay 3% of Fixed Assets 1.9%

CREATING A BALANCED BUDGET WITH REDUCED FUNDING

Projected Revenues 220,923,995

2008-09 Exepnditures 226,931,783

Voluntary Early Retirement (10,884,000) Cost of Incentive 2,257,000

Back-Fill Positions 2,600,000 Additional Non-Personnel Reductions (900,000)

Unanticipated Growth / Needs 941,000 Health Ins. Net Changes 409,525

Social Security Payments (469,814) Special Liability (200,000)

Non-Personnel Services 356,862 Utilities 474,268

Projected Expenditures 221,516,624

Shortfall (592,629)

CREATING A BALANCED BUDGET WITH REDUCED FUNDING

Projected Revenues 220,923,995

2008-09 Exepnditures 226,931,783

Voluntary Early Retirement (10,884,000) Cost of Incentive 2,257,000

Back-Fill Positions 2,600,000 Additional Non-Personnel Reductions (900,000)

Unanticipated Growth / Needs 941,000 Health Ins. Net Changes 409,525

Social Security Payments (469,814) Special Liability (200,000)

Non-Personnel Services 356,862 Utilities 474,268

Projected Expenditures 221,516,624

Shortfall (592,629)

KEY VARIABLES IMPACTING THE LEVY

LOB State Aid 19.55% to 27%

Bond & Interest State Aid 6% to 9%

COLA1% produces $2,081,000 ~ 0.868 mills

Capital Outlay currently 0.5 mills(down from 4.0 mills)

Assessed Valuation down 3.77%

PRELIMINARY BALANCED BUDGET -- NO MILL LEVY INCREASE

Mills2008-09 2009-10

General Fund 20.000 20.000LOB 20.092 19.038

Capital Outlay 0.501 3.000Special Liability 0.000 0.174

Extraordinary Growth 3.876 3.748Cost of Living 0.000 1.183

Bond & Interest 21.894 19.552Special Assessments 0.550 0.218

Total Levy 66.913 66.913

2009-10 BUDGET ACCOMPLISHMENTS

1) Balances Budget2) No Mill Levy Increase for Taxpayers3) Provides Some Resources for Compensation & Benefits 4) Provides a Step Towards Restoring Necessary

Support for Capital Outlay Funding5) Protects Reserves for Potential Rescissions in 2009-106) Protects Direct Student Services (No Program Cuts or

Layoff of Staff)

BUDGET DEVELOPMENT TIMELINE

Remaining Timeline Consideration Date

Board ApprovesNotice of Hearing for Publication August 6

Publication in Paper August 8

Preliminary State Documents Finalized August 12Budget Workshop (Community) 6:00 pm August 13

Public Hearing & Approval of Budgets August 20

Staff Certify Approved Budget to County August 25and Submit to State

BUDGET DEVELOPMENT TIMELINE

Remaining Timeline Consideration Date

Board ApprovesNotice of Hearing for Publication August 6

Publication in Paper August 8

Preliminary State Documents Finalized August 12Budget Workshop (Community) 6:00 pm August 13

Public Hearing & Approval of Budgets August 20

Staff Certify Approved Budget to County August 25and Submit to State

QUESTIONS