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FY 2012 Budget

Tuscaloosa County School System

Frank Costanzo, Ed.D., Superintendent

Patrick Conner, CPA, Chief School Financial Officer

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FY2011-2012 FY2010-2011 Change System ADM 17679.30 17571.45 107.85 Foundation Program Units Teachers 999.01 1019.71 -20.70 Principals 32 31 1.00 Assistant Principals 15 15.5 -.50 Counselors 32.5 31 1.50 Librarians 41.75 40 1.75 Career Tech Directors .50 0.00 .50 Total Units Earned 1,120.76 1,137.21 -16.45 ARI Elementary Reading Coach 18 18 0

NOTE: Not fully funded Total State Units Earned 1,138.76 1,155.21 -16.45

LEA Allocation

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State/Local Federal Total Certified Teachers 1053.97 65.24 1,117.21 Librarians 42 0 42 Counselors 39 0 39 Administrators 52.27 3.73 57 Central Offi ce 9.5 1.5 12

Total 1,196.74 70.47 1,267.21

Support Support Personnel 167 353.50 520.50 Central Offi ce 32.5 26.50 59 Transportation 230 0 230

Total 429.5 380 809.5

Grand Total 1,626.24 450.47 2,076.71

Budgeted Personnel FY2011

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State/Local Federal Total Certified Teachers 1,037.34 47.26 1,084.60 Librarians 34 0 34 Counselors 39 0 39 Administrators 53.27 1.73 55 Central Offi ce 10.5 .50 11

Total 1,174.11 49.49 1,223.60

Support Support Personnel 272.60 233.40 506 Central Offi ce 42.50 14.50 57 Transportation 230 0 230

Total 545.10 247.90 793

Grand Total 1,719.21 297.39 2,016.60

Budgeted Personnel FY2012

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State/Local Federal Total Certified Teachers (16.63) (17.98) (34.61) Librarians (8) 0 (8) Counselors 0 0 0 Administrators 1 (2) (1) Central Offi ce 1 (1) 0

Total (22.63) (20.98) (43.61)

Support Support Personnel 105.60 (120.10) (14.50) Central Offi ce 10 (12) (2) Transportation 0 0 0

Total 115.60 (132.10) (16.5)

Grand Total 92.97 (153.08) (60.11)

Budgeted Personnel Changes from 2011 to 2012

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36%

59%

4%

1%

0% 20% 40% 60% 80%

Bachelor

Master

Specialist

Doctorate

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Number of Teachers by Five-Year Experience Group

0-5 years 6-10 years 11-15years

16-20years

21-25years

26-30years

31-35years

36-40years

193

249

209

160

121

8558

100

50

100

150

200

250

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FY2012 Budget The annual school budget is a

financial representation of a school district’s educational program.October 1 - September 30 fiscal year.

$190 million annual budgetEducation is service oriented.71% of our operating budget is for personnel. $8,769 per pupil expenditure from operations.

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FY 2012 BudgetRevenueRevenue

58¢ 9¢StateState FederalFederal

33¢LocalLocal

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Local Revenue SourcesCounty-Wide Ad Valorem

Tax15%

District Ad Valorem Tax

12%

Northport City Council

Appropriation for TCHS Debt

1%

Sales Tax48%

Other24%

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41¢ 1¢6¢11¢ 9¢12¢ 18¢ 2¢

Instructional Services

Instructional Support Services

Debt Service

Auxiliary Services

Capital Outlay

General Administrative

Services

Operations & Maintenance

Other Expenditures

FY 2012 BudgetExpenditures

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50¢ 11¢15¢ 13¢ 2¢7¢ 2¢ Instructional

ServicesInstructional

Support Services

Auxiliary Services

Other Expenditures

Operations & Maintenance

General Administrative

Services

Debt Service

FY 2012 Budget

Expenditures *

* Adjusted for Capital Projects

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Foundation Program (State and Local Funds) FY2011-2012 FY2010-2011 Change

Salaries 51,834,468 52,597,719 (763,251)Fringe Benefits 19,287,008 21,409,259 (2,122,251)Other Current Expense ($15,287/unit) 17,129,821 12,927,802 4,202,019 Current Units 0 0 0 ARRA State Fiscal Stabilization Fund 0 4,201,336 (4,201,336)ARRA Jobs Bill 0 3,501,369 (3,501,369)Classroom Instruction Support Student Materials and Supplies ($134.78/unit) 151,028 0 151,028 Technology ($0/unit) 0 0 0 Library Enhancement ($0/unit) 0 0 0 Professional Development ($0/unit) 0 0 0 Common Purchase ($0/unit) 0 0 0 Textbooks ($15.88/ADM) 280,749 279,037 1,712 Local Funds (Foundation Program 10 mill match) 11,447,340 9,898,380 1,548,960 Transportation 6,896,038 6,440,893 455,145 At Risk 495,477 513,539 (18,062) Preschool Program 53,900 55,567 (1,667) School Nurses Program 582,454 610,456 (28,002)Total Foundation Program 108,158,283 112,435,357 (4,277,074)

LEA Allocation

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DESCRIPTION GENERAL REVENUE SERVICE PROJECTS TRUST---------------------------------------- -------------- -------------- -------------- -------------- --------------

REVENUES STATE REVENUES 87074974 0 3301571 1734832 0 FEDERAL REVENUES 248132 13861727 0 0 0 LOCAL REVENUES 24870000 8470387 250000 15505000 3575673 OTHER REVENUES 358861 28590 0 0 0TOTAL REVENUES 112551967 22360704 3551571 17239832 3575673

EXPENDITURES: INSTRUCTIONAL SERVICES 69358695 6556191 0 0 674735 INSTRUCTIONAL SUPPORT SERVICES 17933959 3532414 0 0 1575471 OPERATIONS & MAINTENANCE 10216293 216110 0 884832 31584 AUXILIARY SERVICES 7197908 12569020 0 850000 115235 GENERAL ADMINISTRATIVE SERVICES 3182341 202703 0 0 5712 CAPITAL OUTLAY 0 6854 0 34580000 0 DEBT SERVICES 0 21404 17024221 0 0 OTHER EXPENDITURES 1489996 650315 0 0 546792TOTAL EXPENDITURES 109379192 23755011 17024221 36314832 2949529

OTHER FUND SOURCES (USES): OTHER FUND SOURCES 4022920 4304341 13472650 0 293089 OTHER FUND USES 6032332 1295410 0 13271400 720433TOTAL OTHER FUND SOURCES (USES) -2009412 3008931 13472650 -13271400 -427344

EXCESS REVENUES & OTHER SOURCESOVER (UNDER) EXPENDITURES & OTHER FUND USES 1163363 1614624 0 -32346400 198800

BEGINNING FUND BALANCE - OCT 1 -1000000 5539194 0 60000000 1234104

ENDING FUND BALANCE - SEP 30 163363 7153818 0 27653600 1432904

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Did You Know?• Unfunded Mandates for FY2010 (cost to local system) $12,967,091• The 10 mill charge back for the

Tuscaloosa County School System: $ 11,447,340• Line of Credit Borrowed and Carried over to FY2011: $ 8,500,000• Line of Credit Anticipated to Borrow in FY2012: NO ADDITIONAL LOAN• Projected Line of Credit debt unpaid as of 9/30/2011: $6,000,000• Number of Employees Lost (FY2012)

– Certified: 43.61– Support : 16.64

• Dollars lost due to 2009 proration: $10.3 million• Dollars lost due to 2010 proration: $ 8.6 million• Dollars lost due to 2011 proration: $ 2.6 million• All ARRA funds will be spent by September 30, 2011

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Balances

CASH BALANCE AT SEPTEMBER 30, 2011ESTIMATED Bank Balance after Payroll and Accounts Payable Check Run ($6,000,000)

Loan Proceeds from Bank Loan ($15,000,000 Line of Credit)

$6,000,000

FUND BALANCES AT SEPTEMBER 30Ending Fund Balance as of September 30, 2010 ($4,614,989)

Estimated Ending Fund Balance as of September 30, 2011 ($1,000,000)

Estimated Ending Fund Balance as of September 30, 2012 $163,363

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FY2012 Budget Assumptions

• We budgeted an increase of two percent for FY2012 above the FY2011 actual Tuscaloosa County Sales Tax collections.

• Both county-wide and district ad valorem taxes will increase at two percent in FY2012 above the FY2011 level.

• We will only staff for teachers in schools at the level funded by the Foundation Program.

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FY2012 Budget Assumptions

• All athletic supplements will be reduced by ten percent

• One-half of the grass cutting supplements will no longer be paid by the central office with local funds.

• We will continue to provide local schools with a $25.00 operations allocation. These funds are generally used by schools to pay for copy machine rental and janitorial supplies.

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FY2012 Budget Assumptions• Art and music allocation to middle and high

schools will continue at the 2009 pre-Proration rate

• We will use all of the fifteen percent of the county-wide one-cent sales tax for operations

• Transportation is not fully funded and the budget includes “flexed” Public School Funds to cover $850,000 of the $1,200,000 shortfall

• We can not reduce teacher units below the Foundation Program funded level

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FY2012 Budget Assumptions

• We are transferring $2,500,000 from the General Fund to the Debt Service Fund to repay a portion of our short-term loan. Since we estimate our loan at September 30, 2011 will be about $6 million, and interest will total about $240,000, our loan balance at September 30, 2012 will be about $3.7 million.

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FY2012 Budget Highlights

• We restructured debt to free up more than $1,412,807 in FY2012.

• Our 10 mill match increased by $1,548,960 limiting the amount available for local revenue in FY2012

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FY2012 Budget Highlights

• As a benefit of the Board’s membership in AASB, we received $448,121 to date in FY2011 from Medicaid Reimbursement.

• We have budgeted to receive $300,000 in FY2012 from Medicaid Reimbursement– This is used to offset the cost of special

education services not adequately funded by state or federal sources.

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All Fund Sources FY2011-2012

Kindergarten (1100) $5,092,961Grades 1-6 (1200) 28,457,233 Grades 7-12 (1500-1699) 23,496,097 Alternative Programs (1700) 938,653 At Risk (1800-1899) 506,226 Special Education (2000-2799, 2900-2999) 15,413,443Gifted (2800) 678,337Vocational (3000-3999) 2,602,867School Sponsored Activities (4200 - 4400) 300,530Athletics (4500-4510) 878,583Extended Day Programs (4600 & 4800) 932,151Pre-Kindergarten Reg & Special Education (4711-4712) 812,801Program Pools (8100-8199) 2,874,224Student Support Services (8210-8219) 6,864,247Staff Support Services (8220-8229) 4,300,483School Administrative Services (8230-8239) 9,242,959Operations and Maintenance (8300) 7,785,627Transportation (8410) 6,721,571Child Nutrition (8420) 12,385,412Central Office Administrative Support (8600-8699) 3,016,008

Expenditures by Program

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Kindergarten (1100) $5,092,961 $5,428,923 ($335,962)Grades 1-6 (1200) 28,457,233 29,977,885 (1,520,652)Grades 7-12 (1500-1699) 23,496,097 25,080,857 (1,584,760)Alternative Programs (1700) 938,653 987,552 (48,899)At Risk (1800-1899) 506,226 532,488 (26,262)Special Education (2000-2999) 15,413,443 16,910,291 (1,496,848)Gifted (2800) 678,337 865,184 (186,847)Vocational (3000-3999) 2,602,867 2,699,222 (96,355)School Sponsored Activities (4200 - 4400) 300,530 352,260 (51,730)Athletics (4500-4510) 878,583 918,343 (39,760)Extended Day Programs (4600 & 4800) 932,151 1,264,100 (331,949)Pre-Kindergarten Reg & Special Education (4711-4712) 812,801 944,046 (131,245)Program Pools (8100-8199) 2,874,224 2,767,743 106,481Student Support Services (8210-8219) 6,864,247 6,690,095 174,152Staff Support Services (8220-8229) 4,300,483 5,246,484 (946,001)School Administrative Services (8230-8239) 9,242,959 9,655,891 (412,932)Operations and Maintenance (8300) 7,785,627 10,888,714 (3,103,087)Transportation (8410) 6,721,571 6,646,926 74,645Child Nutrition (8420) 12,385,412 12,190,527 194,885Central Office Administrative Support (8600-8699) 3,016,008 3,297,987 (281,979)

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Salaries and Benefits• Total Salaries $79,420,793

PY$81,428,163– From State Sources $67,881,372

PY$64,835,985– From Federal Sources $ 7,793,266 PY$11,980,684– From Local Sources $ 3,736,155 PY$ 4,611,494

• Total Benefits $30,629,496PY$34,805,407– District Health Insurance Contribution– $17,055,051

PY$18,645,702• Total Salaries and Benefits

$110,050,289PY$116,233,570

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Special Programs• Pre-Kindergarten $1,264,100

PY$1,170,562

• Special Education $15,555,910PY$16,910,291– Federal Funds $ 3,285,309 PY$ 6,904,738– State Funds $11,715,548 PY$ 9,715,597– Local Funds $ 555,053 PY$ 289,956

• Career Technical $2,699,222PY$2,737,052

• School Nurses $1,475,950PY$1,652,452

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Special Allocations• Utilities for Schools

– $ 4,793,281PY$4,580,835

• Operational Allocation– $25.00/student $ 442,000

PY$439,289

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Other Facts• Debt Service $14,524,221 PY$4,876,390

• 2001 Leverage Public School Funds• 2004 Lease School Buses• 2005 School District Warrants• 2006 Lease School Buses• 2007 Lease School Buses• 2008 Lease School Buses• 2009 Leverage Public Schools Funds• 2010 School District Warrants• 2011 Leverage Public Schools Funds• 2011 Schools District Warrants

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Personnel• Certified Personnel Funded by the State1,165• Actual Certified Personnel 1,224• Paid with Federal Funds 49• Paid with Local Funds 9

– Central Office Administrators 4– Instructional Services 1.2– Instructional Support Services 1.9– Pre-K 1.23

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FY 09 = $10.3 million

FY 10 = $ 8.6 million

FY 11 = $ 2.6 million

TOTAL = $21.5 million

How much state funding have we lost due to proration?

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This equates toFY 09 $606.96 per childFY 10 $492.76 per childFY 11 $145.55 per childTotal $1,245.27 per child

Loss per child

How has proration affected our reserves?

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

-4000000

-2000000

0

2000000

4000000

6000000

8000000

10000000

12000000Ending Balance

32

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How is our state Foundation Program funding changing?

7800000080000000820000008400000086000000880000009000000092000000940000009600000098000000

ProratedState Funds

2008200920102011

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How is our locally funded 10 mill match changing?

0

2000000

4000000

6000000

8000000

10000000

12000000

LocallyFunded 10

MillMatch

20082009201020112012

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Tuscaloosa County School System, where students Learn,

Grow, and Achieve.