2015-2016 Budget Information

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OUR School District…OUR Children

This helps tomaintain and

increase property values

We achieve this through

a serious and balanced approach

to year-roundfiscal

responsibility

Excellent andAward-winning

EducationalPrograms

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Budget Process

At all times during the process, the goal is to maintain the highest quality of excellence in our educational program for our students as possible. Our students’ needs come first!

Executive Summary 78% of the District’s revenue is generated at the local level. 92% of the local revenue is from annual real estate taxes. The average annual tax bill will increase by $91. The Act 1 Index for the District is 1.9%. The 2015-2016 tax increase will not exceed 1.9%. Rose Tree Media continues to have one of the lowest millage rates in Delaware County. Over the past five years, the District has had the third lowest millage rate. Recent tax appeals have been a challenge. However, potential future tax growth could be in the near future as a result of the transformation of the Granite Run mall and property developments in Middletown and Edgmont townships.

Salaries and benefits comprise 70% of District expenditures. The PSERS retirement rate will increase to 25.84% from the current rate of 21.40%. The budget includes the addition of a .2 Chinese teaching position, .4 music teaching position, three elementary teaching positions, one special education teaching position and one special education assistant position due to increased enrollment. It also includes the reduction of a maintenance supervisor position and a reduction in salaries as a result of an early retirement incentive program. The District has enrolled in a high deductible medical health care plan in an effort to reduce costs. A new four year teacher’s contract was approved in 2014-2015 as well as a one year support staff contract. The addition of CNG buses to the District’s fleet will reduce costs and provide a cleaner environment for everyone in the community. The District continues to look for ways to improve efficiencies and cut costs.

Sources of Revenue

Revenue is comprised of four sources: local, state, federal and fund balance.

Local revenue sources include real estate taxes, Per Capita taxes, tuitions, earnings on investments and miscellaneous revenue.

State revenue sources include state subsidies for Basic Education Funding, Special Education, and Transportation, State Property Tax Relief, Reimbursement for Social Security and Retirement payments.

Federal revenue source consists of Title I & II and ACCESS funds that have restricted uses.

Fund balance is the difference between assets and liabilities and results when revenues are greater than expenditures. It’s often referred to as a savings account, but does not consist of only cash.

The Act 1 Index

The Act 1 Index is a result of the Taxpayer Relief Act of 2006, which established limits on tax increases. The

Index is calculated based on the percentage of increase in the State Wide Average Weekly Wage (SAWW)

and the percentage increase in the national Education Cost Index (ECI). The SAWW is determined by the

Department of Labor and Industry in the same manner as the Unemployment Compensation Law and it is

calculated on the previous calendar year. The ECI is also based on the previous 12-month period beginning

July 1st through June 30th using Elementary and Secondary school data reported by the Bureau of Labor and

Statistics.

*SAWW calculation changed by Act 6 of 2011 to a 36-month from 12-month

Fiscal Year 15/16 14/15 *13/14 12/13 11/12 10/11 09/10 08/09 07/08 06/07 SAWW $919 $898 $875 $872 $855 $847 $825 $788 $756 $735ECI 121 119 117 116 114 112 109 105 101 97SAWW % + 2.4% 2.6% 2.0% 2.1% 0.9% 2.7% 4.6% 4.3% 2.8% 4.2%ECI % + 1.4% 1.6% 1.4% 1.3% 1.9% 3.0% 3.6% 4.5% 4.0% 3.5% Base Index 1.9% 2.1% 1.7% 1.7% 1.4% 2.9% 4.1% 4.4% 3.4% 3.9%

RevenueAct 1 Index vs. RTMSD Increases

06/07 07/08 08/09 09/10 10/11 11/12 12/13 13/14 14/15 15/160.00%

1.00%

2.00%

3.00%

4.00%

5.00%

6.00%

District's Increase

Act 1 Index

Delaware County School District Proposed Mills Ranked by Mills - June 2014 For 2014-2015

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Mills Mills Mills Mills MillsDistrict Rank Incr % Incr # 14/15 13/14 12/13

William Penn 15 3.00% 1.2300 42.2900 41.0600 41.0600Wallingford-Swarthmore 14 2.08% 0.8325 40.9445 40.1120 39.3340Ridley 13 0.32% 0.1250 39.2500 39.1250 38.2500Chichester 12 1.00% 0.3868 39.0708 38.6840 38.3000Southeast Delco 11 3.00% 1.1185 38.4034 37.2849 36.8246Upper Darby 10 2.30% 0.7780 34.5930 33.8150 32.8500Interboro 9 1.50% 0.4941 33.4347 32.9406 32.2000Garnet Valley 8 1.87% 0.5525 30.0940 29.5415 29.0550Springfield 7 2.25% 0.6604 29.9604 29.3000 28.7300Haverford Twp. 6 3.58% 0.9908 28.6692 27.6784 26.7305Chester Upland 5 13.55% 3.4000 28.4900 25.0900 24.4300Penn-Delco 4 2.50% 0.6310 25.9070 25.2760 24.5490Rose Tree Media 3 1.84% 0.4232 23.3677 22.9445 22.6143Radnor 2 0.00% 0.0000 21.7122 21.7122 21.8227Marple Newtown 1 0.00% 0.0000 17.6839 17.6839 17.2199County Averages 2.59% 0.7749 31.5913 30.8165 30.2646

Delaware County School District Proposed Mills Ranked by Percentage - June 2014 for 2014-2015

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Mills Mills Mills Mills MillsDistrict Rank Incr % Incr # 14/15 13/14 12/13

Chester Upland 15 13.55% 3.4000 28.4900 25.0900 24.4300Haverford Twp. 14 3.58% 0.9908 28.6692 27.6784 26.7305Southeast Delco 13 3.00% 1.1185 38.4034 37.2849 36.8246William Penn 12 3.00% 1.2300 42.2900 41.0600 41.0600Penn-Delco 11 2.50% 0.6310 25.9070 25.2760 24.5490Upper Darby 10 2.30% 0.7780 34.5930 33.8150 32.8500Springfield 9 2.25% 0.6604 29.9604 29.3000 28.7300Wallingford-Swarthmore 8 2.08% 0.8325 40.9445 40.1120 39.3340Garnet Valley 7 1.87% 0.5525 30.0940 29.5415 29.0550Rose Tree Media 6 1.84% 0.4232 23.3677 22.9445 22.6143Interboro 5 1.50% 0.4941 33.4347 32.9406 32.2000Chichester 4 1.00% 0.3868 39.0708 38.6840 38.3000Ridley 3 0.32% 0.1250 39.2500 39.1250 38.2500Radnor 2 0.00% 0.0000 21.7122 21.7122 21.8227Marple Newtown 1 0.00% 0.0000 17.6839 17.6839 17.2199County Averages 2.59% 0.7749 31.5913 30.8165 30.2646

Assessment – Ten Year History

2,600,000,0002,650,000,0002,700,000,0002,750,000,0002,800,000,0002,850,000,0002,900,000,0002,950,000,0003,000,000,000

Revenue Budget Comparison

14/15 15/16

Major Object Budget Amount Budget Amount $ Incr/Decr % Incr/Decr

Local 69,991,873 70,871,407 879,414 1.26%

State 13,155,632 14,177,639 1,022,127 7.77%Federal 664,100 627,500 -36,600 -5.51%Fund Balance 3,502,652 4,565,459 1,062,807 30.34%

Total 87,314,257 90,242,005 2,927,748 3.35%

Revenue Summary

Local78%

State16%

Federal1%

Use of Fund Balance5%

ROSE TREE MEDIA SCHOOL DISTRICT15/16 REVENUE BUDGET BY OBJECT

Federal Revenue

Federal Source Budget Amount % of Total

Title I 225,000 36% Title II 100,000 16% Access 302,500 48%

627,500 100%

State Revenue

State Source Budget Amount % of Total

Basic Education Subsidy 2,707,966 19.10%Special Education Funding 1,800,000 12.70%Transportation 1,200,000 8.46%Property Tax Relief 1,633,131 11.52%Social Security Subsidy 1,486,814 10.49%Retirement Subsidy 5,022,128 35.42%Other 327,600 2.31%

14,177,639 100.00%

Local Revenue

Local Source Budget Amount % of Total

Real Estate Tax 65,402,287 92.28%

Transfer Tax 900,000 1.27%

Delinquent Taxes 1,500,000 2.12%

Current Per Capita 364,000 0.51%

Tuition 1,200,000 1.69%

Earnings on Investments 60,000 0.08%

Rentals/Other 1,445,120 2.04%

70,871,407 100.0%

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1 millage point (mill) is equal to approximately $2.79 million Act 1 Index is 1.9% 2013-2014 Homestead exemption $211 2014-2015 Homestead exemption $213 2015-2016 Homestead exemption $217 Average homeowner assessment is $206,875 Average homeowner tax bill in 2015-2016 is $4,925 Increase in average homeowner tax bill for 2015-2016 is $91 The use of $4.5 million in fund balance The Increase in state revenue was due to the rising PSERS rate,

however other state revenue was level funded. Decrease in assessment value due to tax appeals

Key Facts and Figures of the Revenue Budget.

-- Key Points --

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In accordance with the Pennsylvania Department of Education expenditures are

categorized by objects and functions.

 

Functions

   1000 Instruction-regular, special, vocational, alternative education programs

and the Delaware County Community College

2000 Support Services-guidance, administration, student health, business, operations and maintenance, student transportation, staff and technology services

3000 Operations of Non-Instructional Services-athletics, student activities, and community services

5000 Other Expenditures and Financing Uses-debt service, fund transfers, and budgetary reserve

 

 

 

Expenditure Budget for 2015-2016 is $90,242,005

Expenditure Comparison by Function

14/15 15/16 $ %

Expense Function Budget Amount Budget Amount Incr/Decr Incr/Decr

Instructional Programs 47,559,621 50,086,860 2,527,239 5.31%

Instr Support Svcs 7,723,263 7,981,950 258,687 3.35%

Admin 4,329,018 4,351,130 22,112 0.51%

Pupil Health 730,050 773,401 43,351 5.94%

Business Svcs 1,181,274 1,234,091 52,817 4.47%

Opn & Maint 7,719,720 7,742,887 23,167 0.30%

Transportation 5,488,138 5,518,412 30,274 0.55%

Central Support Svcs 1,055,662 1,076,938 21,276 2.02%

Student Activities 1,483,352 1,565,104 81,752 5.51%

Debt Service 8,571,806 8,717,879 146,073 1.70%

Other Expenses 1,472,353 1,193,353 -279,000 -18.95%

Total 87,314,257 90,242,005 2,927,748 3.35%

Expenditure Comparison by Function

Instructional Pgm55.5%

Instr Support Svcs8.8%

Admin4.8%

Pupil Health0.9%

Business Svcs1.4%

Opn & Maint8.6%

Transportation6.1%

Central Support Svcs1.2%

Student Activities1.7%

Debt Service9.7%

Other Expenses1.3%

ROSE TREE MEDIA SCHOOL DISTRICT15/16 BUDGET EXPENSES BY FUNCTION

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In accordance with the Pennsylvania Department of Education expenditures are

categorized by objects and functions.

 

Objects

Salaries - wages for all school district employees Benefits - health care, tuition reimbursement, retirement and social security Contracted Professional Services – tuition to the Intermediate Unit, legal and

auditing services Purchased Property Services - utilities, repairs, leases and rentals. Other Purchased Services - transportation, property insurances, advertising,

tuitions and travel Supplies- books, general supplies and natural gas Equipment - computers, furniture and vehicles Other objects – interest on bonds, dues and fees Other Uses of Funds – bond principal and fund transfers

Expenditure Budget for 2015-2016

Expenditure Comparison by Object

14/15 15/16

Major Object Budget Amount Budget Amount $ Incr/Decr %Incr/Decr

Salaries 38,622,466 39,854,403 1,231,937 3.19%

Employee Benefits 21,939,496 23,963,428 2,023,932 9.23%

Contr Prof. Svc 3,951,124 3,712,092 (239,032) -6.05%

Purch Property Svcs 3,152,818 3,468,110 315,292 10.00%

Other Purchased Svcs 6,052,057 5,788,765 (263,292) -4.35%

Supplies/Books 3,029,031 3,140,200 111,169 3.67%

Property (Equipment) 662,597 513,967 (148,630) -22.43%

Other Objects 2,917,648 2,737,913 (179,735) -6.16%

Other Financing Uses 6,987,020 7,063,127 76,107 1.09%

Total 87,314,257 90,242,005 2,927,748 3.35%

Expenditure Comparison by Object

ROSE TREE MEDIA SCHOOL DISTRICT11/12 BUDGET EXPENSES BY OBJECT

ROSE TREE MEDIA SCHOOL DISTRICT12/13 BUDGET EXPENSES BY OBJECT

Salaries44.2%

Benefits26.6%

Purchased Prof. & Technical Services

4.1%

Purchased Property Services

3.8%

Other Purchased Services

6.4%

Supplies3.5%

Property0.6%

Other Objects3.0%

Other Uses of Funds7.8%

ROSE TREE MEDIA SCHOOL DISTRICT15/16 BUDGET EXPENSES BY OBJECT

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Rose Tree Media School District’s Expenditure Budget for 2015-2016

2015-2016 Expenditures

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Four Year RTMEA Contract One Year ESPA Contract The addition of a .2 Chinese teaching position and an additional

.4 music teaching position Reduction in staff costs through attrition Elimination of a maintenance supervisor position Reduction in Health Care Costs through a change in the health care

plan Rising PSERS retirement rate Maintain Current Program Savings through energy efficiencies

Key Facts of the Expenditure Budget.

-- Key Points --

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Budget Final Expenditures 2014-2015 2015-2016

Instructional 1000 $47,559,621 $50,086,860

Support Services/ 2000 28,429,078 28,880,762

Operations

Non-Instructional Services 3000 1,653,752 1,706,504

Other Financing Services 5000 9,671,806 9,567,879

Totals $87,314,257 $90,242,005

Budget Final Revenues 2014-2015 2015-2016

Local 6000 69,991,873 70,871,407 State 7000 13,155,632

14,177,639

Federal 8000 664,100 627,500

Sub Totals $83,811,605 $85,676,546

Fund Balance 3,502,652 4,565,459

Totals $87,314,257 $90,242,005

Summary Budget

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Challenges

Tax AppealsPotential rapid housing developmentsLevel State FundingUnfunded Mandates

Charter School Tuition Alternative Education Special Education PSERS Retirement Transportation Academic Assessments Common Core Costs

Future Retirement Costs14/15 21.40% $ 8,334,57715/16 25.84% $10,006,51116/17 29.27% $11,898,69217/18 30.25% $12,543,01818/19 31.28% $13,229,504

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1.9% Act 1 Index 2015-2016 Homestead exemption $217 Average homeowner assessment is $206,079 Average homeowner tax bill is $4,925 for an annual

increase of $91 Pending new construction market Maintain Current Programs Transportation CNG Project Recipient of $300,000 DEP grant for the CNG

Transportation Project for 12 additional buses An Award Winning District

Blue Ribbon Schools Nationally Ranked High School

Highlights