PLUMAS LAKE ELEMENTARY SCHOOL DISTRICT

2012-13 First Interim

December 13, 2012

Each student will reach their fullest potential as we strive for District excellence through sound leadership, effective communication, accountability, and investment in our staff.

FINANCIAL REPORTING CYCLE• Annual financial reporting:• Budget Adoption – Due July 1, 2012 • First Interim – Due December 15, 2012• Second Interim – Due March 15, 2013• Unaudited Actuals – Due September 15, 2013

• Budget is developed based on assumptions in June;• Assumptions are usually based on the

information in the May Revise• Assumptions change during the year based on

updates from the State and we are required to file two interim reports during the year and certify one of the following:• Positive: District can meet its current year and

subsequent two year obligations;• Qualified: District may not be able to meet its

current year and subsequent two year obligations; or

• Negative: District cannot meet its current year and subsequent two year obligations.

Budget developme

nt is a continuous

process

GENERAL FUND –

FUND 0

1

BUDGET ASSUMPTIONS2012-13 Budget Development 2012-13 First Interim

Statutory COLA 3.24% 3.24%

Trigger Cuts – if tax initiatives fail $441 per ADA $441 per ADA

Deficit Factor 22.272%$0.77728 per $1.00

22.272%$0.77728 per $1.00

Revenue Limit (RL) w/ COLARL w/ deficitLoss per ADA

$6,912.36$5,373.62$1,539.74

$6,912.36$5,372.84$1,539.74

State Categorical ProgramsCOLA

0 0

Ed Jobs Funds ($222,813 final entitlement) $11K $12K

Federal Funds COLA 0 0

Average Daily Attendance (ADA) 1030.59 K-8 plus 6.42 County = 1037.01

1040 K-8 plus 6.42 County – 1046.42

Lottery BaseLottery Prop 20

$118.25$23.75

$124.25$30.00

SITE STAFFCobblestone Rio Del Oro Riverside Meadows

Office AdministratorSite Secretary

AdministratorSite SecretaryOffice Clerk (3 hrs)

AdministratorSite SecretaryOffice Tech (5 hrs)

K-8 Classrooms 14 FTE Teachers(includes TK classroom)1 Para (TK)

23 FTE Teachers 12 FTE Teachers

Special Education 1 FTE Teacher2 Paras Learning Center (LC)

2 FTE Teachers3 Paras SDC2 Paras LC1 Para One-on-One

1 FTE4 Paras LC1 Para One-on-One

Other 0.428 0.4 FTE PE Teacher0.375 FTE Library Clerk

0.643 0.6 FTE PE Teacher0.375 FTE Library Clerk

2 FTE PE Teachers0.4 FTE Band Teachers0.375 FTE Library Clerk

Yard Duty/Campus Supervision

6 hours Yard Duty 6 hours Yard Duty2 hours Crossing Guard

1.75 hours Yard Duty5.5 hours Campus Monitor

Custodial 1.875 FTE 2 FTE 2 FTE

Shared positions Health Clerk – 6 hoursAcademic Coach – 1 FTE

Counselor – 1 FTEPsychologist – 1 FTE

GENER

AL FUND

REVENUE

SO

UR

CE

S O

F R

EV

EN

UE

:

•R

EV

EN

UE

LI M

I T

•F

ED

ER

AL

RE

VE

NU

E

•O

TH

ER

ST A

TE

AI D

•L O

CA

L R

EV

EN

UE

REVENUE LIMIT STATE AIDRevenue Limit calculations -Using 1040 for K-8 however P2 ADA may come

in higher:

Potential for more revenue – as of 12/11/12 enrollment is 1098 If enrollment continues to grow until P2 we could see higher P2 ADA Data. If P2 ADA comes in the same as P1 ADA there is potential for an increase in state

aid - $85,339

Month 1 Month 2 Month 3 Month 4

Monthly ADA

1058.13 97.95%

1054.35 97.76%

1047.95 97.25%

1057.36

96.95%

Cumulative ADA

1058.13 97.91%

1056.03 97.83%

1053.14 97.62%

1054.55 (P1)

97.48%

Average Enrollment

1081 1079 1078 1091

REVENUE LIMIT STATE AID2012-13Budget

2012-13First Interim

Change Notes

Principal Apportionment

$5,479,093 $5,530,424

$51,3310.9%

Adjusted ADA

Property Taxes $624,718 $624,718 0

Revenue Limit Transfers

$11,603 $11,282 ($321)(2.8%)

Based on classified salaries subject to PERS

FEDERAL REVENUE• Education Jobs Funding - $12,057

• Was spent by September 30, 2012 for teacher salaries• No more funding available

• No Child Left Behind (NCLB) Funding Title I Improving the Academic Achievement of the Disadvantaged Part 1

Budget Development: Preliminary numbers were $45K, however due to the requirements of the program we did not budget, however CDE has posted preliminary entitlements now and the amount was significantly higher.

First Interim – Preliminary entitlement is $82,090 Title II Preparing, Training, and Recruiting High Quality Teachers and Principals

Budget Development - $3,449 First Interim – preliminary entitlement is $6,398

Title III – English Language Acquisition, Language Enhancement and Academic Achievement for Limited English Proficient (LEP) Students - $11,426

• Special Education Local Assistance Grants - $72,483 SPED IDEA Mental Health funds – $2,326

• Federal Impact Aid (unrestricted) – $30,000

• Medi-Cal Administrative Activities (MAA) - $35,000

• Medi-Cal Option Billing (grant thru YCOE) - $30,000

OTHER STATE REVENUEProp 20 Lottery

Funds – $5,716 FY

11-12$32,220 FY

12-13$24,486

$23.75 $30 per Annual ADA

Economic Impact Aid - $25,945 $25,949

Lottery (unrestricted) - $5,578 FY 11-

12 $133,176 FY 12-13

$121,658

$118 $124.25 per Annual ADA

Tier III Categoricals and other State

Revenue - $264,962 $265,058

Transportation - $47,955 $47,959

Home-to-School - $28,526 $23,378Home-to-School SPED - $19,429 $24,581

Class-Size Reduction K-3 -

$457,317 $450,000

TIER III CATEGORICAL FLEXIBILITYEducation Code Section 42605 allows complete flexibility in the use of funds appropriated in the State budget for fiscal years 2008-09 through 2014-15 for numerous programs and can be used for any educational purpose. Grants included in this flexibility are:

Closed Programs:• Administrator Training - $4,849 • Art and Music Block Grant - $15,116 $15,115 • California Peer Assistance & Review Program - $5,148 • CAHSEE Intensive Instruction - $800 • Community Based English Tutoring- $4,478 • Math and Reading Professional Development - $9,018• Professional Development Block Grant - $11,597• School Safety and Violence Prevention - $7,990• Supplemental Hourly Programs - $24,143• Targeted Instructional Improvement - $4,433 $3,914

TIER III CATEGORICAL FLEXIBILITY (CONTINUED)

Closed Programs (continued)• Deferred Maintenance - $33,464 – funding is transferred to Routine Restricted

Maintenance• Gifted and Talented Education – $66,473• School Library Improvement Block Grant - $10,437

• Programs closed but operating with original intent of program

• Instructional Materials Funding Realignment Program - $56,862 $56,959 - funding is used to purchase approved curriculum

• Routine Restricted Maintenance – flexibility to transfer one percent of expenditures (previously was three percent of General Fund expenditures)

• Current contribution budgeted is $269,184

• Three percent of expenditures is $251,124

OTHER LOCAL REVENUE AND OTHER FINANCING SOURCES

Other Local Revenue Interest Earnings - $22,200 $28,200 Leases and Rentals – $41,024 $35,219 Other revenue $9,977 $9,800 Bus Fees - $13,000 Sp Ed Transfer from YCOE – $384,326 $392,686

YCOE adjusted based on SELPA-wide ADA YCOE used 2011-12 P2 ADA District will make adjustments at Second Interim

Other Financing Sources Interfund Transfers In - $26,300 (From Fund 52 for CFD Admin costs)

REVENUE SOURCESRevenue Source

2012-13Budget

2012-13First Interim

Variance Notes

Revenue Limit Sources

$6,115,414

$6,166,424

$51,010 0.8% Adjusted RL ADA

Federal Revenue

$196,670 $281,780 $85,110 43.3%

Adjusted Title I and Title II funding

Other State Revenue

$935,110 $972,870 $37,760 4% Adjusted Class Size Reduction and Lottery

Other Local Revenue

$478,905 $470,527 ($8,378) (1.7%)

Adjusted Interest, SELPA funding, and rentals/leases

Interfund Transfers In

$26,300 $26,300

Total Revenue

$7,752,399

$7,917,901

$165,502

2.1%

GENERAL FUND

EXPENDIT

URES

NEW ONGOING COSTS FOR 2012-13

Counselor – 1 Full-time Equivalent (FTE)

Utility Worker (Grounds/Maintenance) – 1 FTE

Classroom Teachers – 2 FTE

Transitional Kindergarten Paraprofessional - 0.8125 FTE

SALARIES AND BENEFITSCategory 2012-13

Budget Adoption

2012-13 First Interim

Change Note

Certificated $3,820,902 $3,768,088 ($52,814)(1.4%)

Adjusted salaries to actual contracts (column movement,/new hires) and removed academic coach salary

Classified $1,299,005 $1,317,261 $18,2561.4%

Added para salary and adjusted clerical and support staff salaries

Benefits $1,648,662 $1,604,153 ($44,509)(2.7%)

District contribution:

STRS $313,428 $311,030 ($2,398) 8.25%

PERS $136,997 $139,662 $2,665 11.417%

OASDI/Medicare $150,711 $143,599 ($7,112) 6.2%/1.45%Based on salaries after pre-tax deductions

Health $869,689 $834,482 ($35,207)

$10,000 per FTEBased on actual monthly contribution

Unemployment $66,544 $62,459 ($4,085) 1.1% Based on salaries after pre-tax deductions

Worker’s Comp $93,860 $96,693 $2,833 1.9% - rate finalized after budget development

PERS Reduction/Other

$17,433 $16,228 ($1,205) PERS 1.603%Adjusted other benefits

BOOKS AND SUPPLIESCategory 2012-13

Budget Adoption

2012-13 First Interim

Change Note

Approved Textbooks and Core Curricula Materials

$84,497 $82,616 ($1,881) Adjusted for workbooks

Books and other reference materials

$10,028 $10,540 $512

Materials and supplies

$205,292 $238,153 $32,861 Added Title I, materials for trainings and site adjustments

Non-capitalized Equipment

$54,200 $70,357 $16,157 Added Title I -SmartBoards for Riverside

Total $354,017 $401,666 $47,649

SERVICES AND OTHER OPERATING EXPENDITURESCategory 2012-13

Budget2012-13 First Interim

Change Notes

Subagreements $70,450 $75,450 $5,000 Adjusted for contracts over $25,000

Travel and Conferences

$41,435 $46,603 $5,168 Adjusted for trainings

Dues and Memberships

$5,150 $4,435 ($715)

Insurance $86,953 $85,510 ($1,443) Adjusted to actuals

Ops/Housekeeping $268,320 $268,320

Rentals/Leases $81,050 $83,635 $2,585 Adjusted for copiers and FMOT repairs

Directs Costs Interfund

($34,220) ($35,634) ($1,414)

Consulting/Professional

$382,036 $441,330 $59,294 Added Title I expenditures and trainings

Communications $50,921 $50,921

Total $952,095 $1,020,570 $68,475

OTHER OUTGO

Category 2012-13 Budget

2012-13 First Interim

Change

Payments to County Offices

$266,500 $266,500 0

Debt Service $6,600 $6,600 0

Transfers of Indirect -Fund 13

($9,492) ($9,618) ($126) – based on Fund 13 expenditures

EXPENDITURES2012-13 Budget Adoption

2012-13 First Interim

Change Notes

Certificated Staff $3,820,902 $3,768,088 ($52,814)

Adjusted salaries to contracts and removed academic coach

Classified Salaries $1,299,005 $1,317,261 $18,256 Added TK para salary and adjusted to contracts

Employee Benefits $1,648,662 $1,604,153 ($44,509)

Adjusted to salaries and for pre-tax deductions

Books and Supplies $354,017 $401,666 $47,649 Added Title I expenditures and added for professional development

Services/Op Expenses

$952,095 $1,020,570 $68,475 Added Title I expenditures and added for professional development

Other Outgo $273,100 $273,100

Indirect ($9,492) ($9,618) ($126) Based on Fund 13 expenditures

Interfund Transfers Out

$18,927 $21,880 $2,953 Contribution to Fund 13

Total Expenditures $8,357,216 $8,397,100 $39,884

CONTRIBUTIONS TO RESTRICTED PROGRAMSCategory Transportat

ionRoutine Restricted Maintenance

Special Education

Revenue

State Aid $60,955 No State Funding $456,809

RL transfer (SPED only) $30,534

Total Revenue $60,955 $487,343

Expenditures

Certificated Staff $325,047

Classified Staff $42,694 $131,971 $238,010

Benefits $17,308 $55,624 $173,252

Materials & Supplies $30,000 $43,604 $2,300

Services & Other Operating Expenditures

$10,963 $15,578 $77,443

SPED Transportation Costs $30,000 $266,500

Excess Program Costs/Indirect $9,920 $22,407 $95,015

Total Expenditures $140,885 $269,184 $1,177,567

Contributions from unrestricted resources

$79,330 $269,184 $690,224

GENERAL FUND REVENUE AND EXPENDITURES

Category 2012-13 Budget Development

2012-13 First Interim

Beginning Balance $2,969,364 $3,077,693

Revenue $7,752,399 $7,917,900

Expenditures $8,357,216 $8,397,100

Net Increase/Decrease ($604,817) ($479,200)

Ending Fund Balance $2,364,547 $2,598,493

Economic Uncertainty $416,914 $418,540

Revolving Cash $5,100 $5,100

Restricted Funds $12,927 $59,426

Committed - COP Debt Service $474,603 $410,188

Assigned- Charter ADA $186,511 0

Assigned - Salary Increase $115,355 $115,355

Revenue Limit Per ADA Reductions $457,321 0

Lottery $35,639 0

Available for budget shortfalls $660,177 $1,589,886

MULTI-YEAR PROJECTIONS (MYP) BUDGET ASSUMPTIONS

2012-13 First Interim 2013-14Projection

2014-15Projection

Statutory COLA 3.24% 2.00% 2.50% 2.30% 2.70%

Deficit Factor 22.272%$0.77728 per $1.00

22.272%$0.77728 per $1.00

22.272%$0.77728 per $1.00

Revenue Limit (RL) w/ COLARL w/ deficitLoss per ADA

$6,912.36$5,372,84$1,539.52

$7,041.36$5,473.11$1,568.25

$7,192.36$5,590.48$1,601.88

State Categorical ProgramsCOLA

0 0 2.30%

Ed Jobs Funds ($222,813 final entitlement)

$12,506 0 0

Federal Funds COLA 0 0 0

Average Daily Attendance (ADA) 1040 K-8 plus 6.42 County = 1046.42

1040 K-8 plus 6.42 County = 1046.42

1040 K-8 plus 6.42 County = 1046.42

Lottery BaseLottery Prop 20

$124.25$30.00

$124.25$30.00

$124.25$30.00

California Consumer Price Index 2.30% 2.5%

MYP BUDGET ASSUMPTIONS (CONTINUED)

Salaries and Benefits: No changes to staffing Included step increase for all eligible employees No changes to statutory benefits Health, Dental, Vision contribution – based on current contributions

Adjusted for one-time expenditures for textbooks and TK start-up;

Fund Balance Reserves: Reserves for Economic Uncertainty – Five percent of expenditures Committed one COP (COP REFI) debt service payment in reserves Assigned funds for salary increase in 2012-13

MULTI-YEAR PROJECTIONS2012-13 First Interim

2013-14 Projection

2014-15 Projection

Beginning Fund Balance $3,077,693 $2,598,493 $2,077,653

Revenue $7,917,900 $8,004,147 $8,161,053

Expenditures $8,397,100 $8,524,987 $8,688,528

Net Increase (Decrease) in Fund Balance

($479,200) ($520,840) ($527,475)

Ending Fund Balance $2,598,493 $2,077,653 $1,550,179

Revolving Fund & Restricted

$64,526 $64,526 $64,526

Commitment- COP $410,188 $410,188 $408,788

Reserved for Economic Uncertainty

$418,540 $426,249 $434,426

Assignment - Salary Increases

$115,355

Available for budget shortfalls

$1,589,886 $1,176,691 $642,439

CASH

Deferrals continue to be a concern – we monitor cash closely every month and will continue to do so throughout the year:We will be receiving a balloon payment in June. No information on timing of payment, which is a concern.

State has eliminated a couple of deferrals (January payments moved to December; No March deferral)

Current cash balance in county treasurer for the General Fund - $1,992,243 (as of October 31,

2012)

CAFETE

RIA F

UND – FU

ND

13

FUND 13 - CAFETERIA FUND

Category 2012-13 Budget

2012-13 First Interim

Change Notes

Beginning Balance $500 $1.00

500.00

Revenue $410,600 $410,600

Expenditures $429,527 $432,480 $2,953 Adjusted salaries to actual contracts

Net Increase (Decrease) in Fund Balance

($18,927) ($21,880) -

Transfer In (From General Fund)

$18,927 $21,880 $2,953

Ending Balance $500 $1.00

500.00

DEFERRED M

AINTE

NANCE

FUND F

UND 14

FUND 14 - DEFERRED MAINTENANCE

Category 2012-13 Budget 2012-13 First Interim

Notes

Beginning Balance $100,139 $100,205

$100,139

Revenue $1,500 $1,500 Interest Earnings on cash at County

Expenditures $15,000 $15,000

Net Increase (Decrease) in Fund Balance

($13,500) ($13,500)

Ending Fund Balance $86,639 $86,639

Committed – Deferred Maintenance

$86,639 $86,639

CAPITA

L FACILI

TIES F

UND

FUND 2

5

FUND 25 ASSUMPTIONS AND SUMMARY Revenue Developer Fees:

Interest earnings - $450 Certificates of Participation 2012 - Refinanced CFD #1 Series 2007 BAN - $3,705,000 Certificates of Participation 2012 REFI – Refinanced COP Series 2007 $6,580,000

Expenditures Debt Service Payments

COP 2012 Series 2007 - $6,705,751 COP 2012 BAN REFI - Interest only payment = $94,586 COP 2012 COP REFI - $75,988

Consulting fees - $21,500 for fee study, disclosures, trustee fees and developer negotiations

Developer Impact Fees Collected

2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

$27K $196K $250K $239K $170K $47,145 (YTD)

FUND 25 – CAPITAL FACILITIES FUNDCategory 2012-13 Budget 2013-14 MYP 2014-15 MYP

Beginning Balance $518,966 $500,713 $876,984 $876,984

Revenue

Impact Fees & Interest $47,605 $450 $450

Refinancing of COP and CFD $10,285,000 0 0

Transfer from Fund 52 for COP

Transfer from Fund 52 for REFI

$106,577$63,125

$583,250 $581,851

Total Revenue $10,502,307 $583,700 $582.300

Expenditures

Services/Other Operating $688,957 (includes closing cost of Refi’s)

$21,500 $21,500

Debt Service $6,705,751 COP 2007 payoff$75,988 COP REFI$94,586 BAN REFI

$410,188 COP REFI$152,013 BAN REFI

$408,788 COP REFI$152,013 BAN REFI

Interfund Transfers Out $2,579,007 (Fund 52 for CFD 1 2007 Refi)

0 0

Total Expenditures $10,144,289 $583,700 $582,300

Net Increase (Decrease) in Fund Balance

$358,018 ($0.27) 0

Ending Fund Balance $876,984 $876,984 $876,984

Cash w/ fiscal agent $25,010 $25,010 $25,010

Assigned for Land Purchase from County

$851,974 $851,974 $851,974

DEBT SERVIC

E FUND

FUND 5

2

FUND 52 ASSUMPTIONS AND SUMMARY • Revenue

• Community Facilities District (CFD) Mello Roos taxes are collected in January and June:

• CFD #1 - $320 per home annual for total of $506,560• CFD #2 - $400 per home annual for total of $170,000 (increase of 14

homes)• Interest earnings for cash at county and cash with fiscal agent - $5,770

• Expenditures • Report fees - $600• Debt Service payments

• CFD #1-2005- Principal and Interest debt service payment $306,075• CFD #2 2007- Principal and Interest debt service payment $86,938• CFD #1 2007- Principal and Interest debt service payment $$2,579,007

• Transfers to other Funds:• Transfer to Fund 25 for COP payments - $106,577• Transfer to Fund 25 for REFI CFD #1 Series 2007 - $63,125• Transfer to Fund 01 for CFD Administrative Costs - $26,300

FUND 52 – DEBT SERVICE FUNDCategory 2012-13 Budget 2013-14

MYP2014-15 MYP

Beginning Balance $1,021,873 $994,763 $1,114,588 $789,056

Revenue

Mello Roos and Interest $682,330 $682,010 $682,010

Transfer from Fund 25 $2,579,007

Total Revenue $3,261,337 $682,010 $682,010

Expenditures

Other services $600 $600 $600

CFD #1 Series 2007 Payoff $2,579,007

CFD #1 Series 2005 $306,075 $306,720 $307,050

CFD #2 Series 2007 $86,938 $90,672 $89,266

Transfers Out (Fund 01 and 25)

$26,300 (Fund 01 – CFD Admin)$63,125 (Fund 52 – CFD 1 payoff)$106,577 (Fund 52 – COP Debt service)

$26,300$583,250

$26,300$581,850

Total Expenditures $3,168,622 $1,007,542 $1,005,067

Net Increase (Decrease) $92,715 ($325,532) ($323,057

Ending Fund Balance $1,114,588 $789,056 $465,999

Cash w/ fiscal agent $402,656 $402,656 $402,656

Assigned – Debt Service $711,932 $386,399 $63,343

SUMMARY AND RECOMMENDATION• We have lost millions in State Aid since the state budget crisis began in 2008-09::

• 2012-13 - $1.6M (projected)• 2011-12 - $1,4M• 2010-11 - $1.2M• 2009-10 - $1.2M• 2008-09 - $487K

District will be deficit spending in the current budget year and two subsequent years. District has managed the budget through the State financial crisis and has sufficient

fund balance to help deal with the fifth year of this budget crisis. Based on multi-year projections and current assumptions staff recommend the Board

approve First Interim with a positive certification and the budget adjustments within.

ANY QUESTIONS?