Budget Planning

1. Budget Planning Fiscal year 2004-05 December 10th, 2003

2. Projections for FY 05 • Based on information from a variety of sources including MOASBO, MASA, and MSBA the proration factors for calculating the formula may be as low as .75 and .70. • These projections are based on the assumption that the one time revenue sources included in the FY-04 budget will not be replaced, and expenditure increases at the state level that are required by law (most notably Medicaid).

3. Projections Continued • If these assumptions are correct, there is a deficit of over a billion dollars in the FY-05 budget. • It is estimated that 70% of this deficit will effect K-12 education.

4. Projections Continued • If we have proration factors of .75 and .70 I estimate our FY-05 foundation formula revenues to decrease by $1,112,000 million dollars compared to our current year budget • The revenue lost compared to a fully funded formula in FY-05 is estimated to be $2,962,000 million dollars.

5. Projections Continued • It is also estimated that other categorical state funding will be reduced. To date, we have not received estimated amounts of categorical cuts. • We are currently budgeted to deficit spend $77,307 for FY-04. This includes all funds.

6. Increased Expenditures FY-05 • Servicing the salary schedule. This is approximately $125,000. • Additional health insurance, dental insurance, and life insurance premiums. • Increased retirement contribution 1/2%, which will cost the district approximately $50,000. • Facility/transportation energy costs

7. Expenditures • Potential expenditure reductions should be categorized in one of the following areas: • Co-Curricular Activities • Subsidized Programs/Grant Match • Support Services not required by MSIP • Non-required programs and electives not required by MSIP • Pupil to teacher ratios in Core Classes and in elementary classrooms • MSIP minimum standards

8. Expenditures Continued • We need to remember that the district is required to meet certain standards: • Minimum Salary • Career Ladder Match • Salary Compliance

9. Possible District-Wide Reductions • Salary Freeze (No new dollars nor allow steps) • Freeze or reduce district contribution for all insurance • Eliminate board paid dental and life insurance for employees • Freeze movement on Career Ladder or eliminate Career Ladder

10. Reductions Continued • Eliminate or reduce transportation for extra trips • Reduce personnel, both certified and non-certified • Reduce building budgets across the board • Reduce or eliminate extended contracts (such as librarians, guidance staff, technology staff) • Reduce offerings of co-curricular programs. • Increase fees for lunch and activities.

11. Possible Building Reductions • Eliminate one elementary teacher at both Central and West Elementary • Eliminate PE position at West and have teachers shuttle from middle and Central Elementary • Review required numbers for Special Education and eliminate staff • Replace Alternative staff with Teacher Assistant • Eliminate Science electives at middle school • Eliminate one custodian at the middle school

12. Building Reductions Continued • Eliminate French in the high school. • Possibly eliminate industrial tech program at the high school • These are both based on possible retirements.

13. Co-Curricular Reductions • Reduce the cost of the yearbook production and raise cost to purchase yearbooks • Reduce stipend for Academic team from 27% to 3%. • Eliminate 3% for industrial arts teacher to maintain equipment

14. Co-Curricular Reductions Continued • Eliminate pay for 5th/6th grade basketball program. • Eliminate boys tennis • Eliminate 9th grade sports except football. • Eliminate all non conference travel for middle school sports • Eliminate girls tennis • Eliminate middle school wrestling

15. Reductions Continued • Eliminate middle school football • Eliminate Asst. Cheerleading sponsor • Reduce travel cost of athletics by scheduling opponents in nearby locations. • Eliminate or reduce field trips.