Plumas Lake Elementary School District

1. 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.

2. Financial Reporting Cycle

3. General Fund – Fund 01

4. Budget Assumptions

5. Site Staff

6. General Fund Revenue Sources of Revenue: Revenue Limit Federal REVENUE Other State Aid Local Revenue

7. Revenue Limit State Aid • Revenue 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

8. Revenue Limit State Aid

9. 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

10. Other State Revenue

11. Tier III Categorical Flexibility • Education 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

12. 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

13. 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)

14. Revenue Sources

15. General Fund Expenditures

16. New Ongoing Costs FOR 2012-13

17. Salaries and Benefits

18. Books and Supplies

19. Services and Other Operating Expenditures

20. Other Outgo

21. Expenditures

22. Contributions to Restricted Programs

23. General Fund Revenue And expenditures

24. Multi-Year Projections (MYP) Budget Assumptions

25. 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

26. Multi-Year Projections

27. 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)

28. Cafeteria Fund – Fund 13

29. Fund 13 - Cafeteria Fund

30. Deferred Maintenance Fund Fund 14

31. Fund 14 - Deferred Maintenance

32. Capital Facilities Fund Fund 25

33. 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

34. Fund 25 – Capital Facilities Fund

35. Debt Service Fund Fund 52

36. 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

37. Fund 52 – Debt Service Fund

38. 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.

39. Any questions?