FPS BUDGET FORUM

1. FPS BUDGET FORUM Revenues and Expenses ofthe Framingham Public Schools January 16, 2013

2. Total Revenue needed to Operate Schools FY12 Where did the money come from? $151,633,203

3. Funding Sources, FY12 Revolving $6,438,085 4% Grants $9,484,026 6% Town $43,865,244 29% Operating $91,845,848 61%

4. Revenue from Town and Grants forFY12 Operating Budget • Town Meeting has “bottom line” authority only for funds for the Operating Budget portion of the School Department Budget • Town revenue sources for funding School Department Operating Budget: • State Aid to Education (31.5%) $ 28,915,499 • Chapter 70 Aid $ 22,024,861 • MSBA reimbursement $ 2,510,995 • Charter School reimbursement $ 780,041 • Circuit Breaker (SPED) $ 3,599,602 • School generated revenue (1.8%) $ 1,707,948 • Rental income (Farley) $ 713,333 • Medical care reimbursement $ 982,969 • Other revenue $ 11,646 • Other Town revenues (66.7%) $ 61,222,401 • Revenue from Grants for FY12 Operating Budget: • Federal Grants $ 5,170,000 • State Grants$ 4,314,026 • Total$ 9,484,026

5. Revenue from Revolving Funds forFY12 Operating Budget • Food Services $ 2,620,000 • Athletics $ 250,000 • Gifts $ 450,000 • BLOCKS Tuition $ 1,500,000 • Day Care (HS) $ 300,000 • Cable T.V. $ 370,000 • Buildings and Grounds $ 410,000 • Other Local $ 538,000 • TOTAL $ 6,438,000

6. Total Cost to Operate Schools FY12 Where did the money go? $151,633,203

7. School Expenditures, FY12 Keefe Tech $8,353,939 (6%) Out of District Tuition $15,899,555 (10%) Instruction $71,631,756 47% Town Services $31,712,791 21% Building $7,914,220 5% Athletics/Activities $1,137,892 (1%) Student Support $5,333,608 (4%) Transportation/Food $9,649,442 (6%)

8. Looking back… FY08 to FY12 Expenses and Funding sources • 2008 • 2009 • 2010 • 2011 • 2012

9. Looking back… FY08 to FY12 Expenses and Funding sources • 2008 • 2009 • 2010 • 2011 • 2012 X 1.67% increase X 0.64% increase X 3.62% increase X 3.61% increase

10. Looking back… FY08 to FY12, Changes in percentage of funding sources • 2008 • 2009 • 2010 • 2011 • 2012

11. Looking back… FY08 to FY12, Changes in percentage of expenditures • 2008 • 2009 • 2010 • 2011 • 2012

12. 2013 Looking forward… FY13 to FY18 Expenses and Funding sources Projections with revenue and expenditure growth rates in the “FY2014-2018 Long Range Financial Forecast” report by the Town of Framingham, 10/16/2012 • 2018 • 2017 • 2016 • 2015 • 2014

13. 2013 Looking forward… FY13 to FY18 Expenses and Funding sources Projections with revenue and expenditure growth rates in the “FY2014-2018 Long Range Financial Forecast” report by the Town of Framingham, 10/16/2012 • 2018 • 2017 • 2016 • 2015 • 2014

14. 2013 Looking forward… FY13 to FY18 Expenses and Funding sources Projections if expenditure growth rates match revenue growth ratesforecasted in the “FY2014-2018 Long Range Financial Forecast” report by the Town of Framingham, 10/16/2012 • 2018 • 2017 • 2016 • 2015 • 2014

15. 2013 Looking forward… FY13 to FY18 Expenses and Funding sources Projections if expenditure growth rates match revenue growth ratesforecasted in the “FY2014-2018 Long Range Financial Forecast” report by the Town of Framingham, 10/16/2012 • 2018 • 2017 • 2016 • 2015 • 2014

16. State of the State Funding • According to MassBudget, when adjusted for inflation, since 2001, funding for local aid is down 45% • Projected “gap” in FY14 state budget is $1.22B • Department of Revenue projects tax revenues up 3.5-4.9% over FY13 • Inflation at 2% plus health care (%?) • “Modest” increase for education funding projected for FY14 state budget • Inflation at 1.55% • Enrollment up slightly at .2% • Required local contribution down as local revenue capacity is also down, state will have to assume larger share of revenue toward district foundation budget

17. Chapter 70 Funding Closing the “Gap” CHAPTER 70 ANALYSIS FY07 FY08 FY09 FY10 FY11 FY12 FY13 Foundation Budget $69,363,563 $71,074,303 $75,064,337 $78,471,848 $77,781,484 $79,535,372 $84,916,268 Required contribution $61,627,654 $60,232,844 $59,230,314 $59,169,653 $57,763,279 $57,510,511 $58,401,853 Chapter 70 Aid $10,628,154 $13,966,312 $15,333,796 $16,793,161 $20,018,205 $22,024,861 $28,083,629 Required NSS $72,255,808 $74,229,156 $74,564,110 $75,962,814 $77,397,386 $79,535,372 $86,485,482 Target Aid share (due) 27.40% 30.80% 31.30% 33.50% 34.70% 36.76% 38.63% Target Aid funding (due) $19,798,091 $22,862,580 $23,338,566 $25,447,543 $26,856,893 $29,237,203 $33,409,342 Actual Aid share (received) 15.30% 19.70% 22.80% 24.60% 25.70% 27.70% 33.07% Percentage “Gap“ 12.10% 11.10% 8.50% 8.90% 9.00% 9.06% 5.56% Actual Aid funded (received) $10,628,154 $13,966,312 $15,333,796 $16,793,161 $20,018,205 $22,024,861 $28,083,629 Shortfall in annual funding $8,896,268 $8,004,770 $8,654,382 $6,838,688 $7,212,342 $ 5,325,713

18. Unfunded Mandates SUMMARY OF COSTS FOR UNFUNDED/UNDERFUNDED MANDATES: Chapter 70 Aid (FY13) $ 5,325,713 Regular Education $ 550,000  Special Education $ 3,000,000  Special Education Transportation $ 2,000,000  Section 504 Services $ 200,000  School Transportation $ 4,000,000  Administrative $ 250,000  School Nurses $ 220,000  McKinney-Vento (Homeless) $ 215,000  English Language Learners $ 350,000  Home Schooling $ 20,000 MCAS Testing $ 150,000  Curriculum Frameworks $ 200,000  Residency $ 600,000  Vocational Education $ 175,000  Professional Development $ 250,000  Foster Care and State Wards $ 150,000  Grants to Non-public Schools $ 100,000 SIMS and EPIMS $ 400,000 Reporting and Auditing $ 5,000 Student Activity Accounts $ 6,600 Technology $ 500,000 Building Maintenance $ 429,275  Grand Total $ 19,096,588

19. We will now take Questions FPS BUDGET FORUM Revenues and Expenses ofthe Framingham Public Schools Prepared by Anna Yuen for Framingham Public Schools, January 2013