2013-2014 Unaudited ActualsRamona Unified School District

Board MeetingAugust 26, 2014

Importance of End-of-Year Close Staff has reported on the importance of the

unaudited actuals The ONLY time during the year when an

accurate picture of any District’s finances can be seen

Shows the picture on one specific day -- June 30th All revenues and expenses are accounted for All other times are predictions of the

finances However, with the current fiscal crisis, end-

of-year close is a piece of information which helps to determine the finances for future years

Review of 2013-2014 Local Control Funding Formula

Gone are the 40 years of Revenue Limits and categorical programs

The formula for the current year's funding was in constant "flux" all year long, with the final numbers being certified in July

RUSD's final LCFF revenue was higher than budgeted in June

Local Control Achievement Plan A new way get input to help to determine the

spending priority for a district

Review of 2013-2014 Employee concessions

Employee share of costs for health care Furlough days, decreasing student contact

days to 175 The switch to Anthem Blue Shield for medical

insurance which resulted in savings for the current year and for savings in the future

Funding for Common Core Dollars for the implementation to be spent

over a two year window

2013-2014 Unaudited Actuals Total Revenues $46,937,789.41 Total Expenses/Transfers $45,001,601.61 Difference $ 1,936,187.80

Shows both unrestricted side and restricted side of the financial picture

Final 2013-2014 Outcome Beginning Balance $ 5,992,299.71 Ending Balance $ 7,928,487.51

Unrestricted Ending Balance $ 6,211,779.51

Restricted Ending Balance $ 1,716,708.00

Components of Ending Balance

Unrestricted Revolving Cash/Prepaid Exp. $ 29,773.04 ROP $ 194,522.00 Donations (including outdoor ed) $ 253,122.00 School & Library (SLIP) $ 181,931.00 Site/Department Carryover $ 934,561.96

Remaining Balance $4,617,869.51 Total $6,211,779.51

Components of Ending Balance

Restricted Common Core $ 751,442.80 Lottery Inst. Materials $ 361,741.81 Economic Impact Aid $ 166,635.14 Medi-Cal Billing Option $ 205,515.27 California Clean Energy Act $ 130,000.00

Remaining Balance $ 101,372.98 Total $1,716,708.00

Strong Ending Balance Deficit spending did not occur Both the unrestricted and the restricted

ending balances finished higher than anticipated The higher revenue from LCFF, and from

donations to school sites Decrease of expenses from budgets such as

Property and Liability Insurance, communications, and site and department spending

Because of these factors, the ending balance did not decrease, but rather increased

Changes to 2014-2015 Budget The stronger ending balance (undesignated

amount) will ensure fiscal health for 2014-2015 and begin the process for a positive 2015-2016 fiscal year

The funding to be received for RUSD's portion of the $400 million State budget appropriation for mandated costs reimbursements will need to be incorporated into the 2014-2015 budget

The balances from 2013-2014 for both the restricted and the unrestricted budgets need to be incorporated into the 2014-2015 budget

New final rates for health insurance as well as the outcome of open enrollment will need to be updated

Two Lingering Issues Ramona Unified's financial picture has a

better outlook than in previous years However, two issues will need to be overcome

to ensure fiscal stability Declining Enrollment

The early 2014-2015 enrollment counts show promise of a slowing of the decline

The debt created by the Certificate of Participations A successful passage of measure "Q " will

pay off the COPs

Other Funds Fund 17 Special Reserve Fund

Revenues (interest)

$ 5,166.29 Expenses (transfers out)

$ 0.00

Cafeteria Fund Revenues

$1,864,584.02 Expenses

$1,791,350.78

Other Funds Self Insurance Fund

Revenues

$ 699,814.15 Expenses

$ 630,797.56

Developer Fees Revenues

$ 437,628.19 Expenses

$ 1,491,700.23

Conclusion The era of Deficit Spending appears

to be coming to an end State revenues remain strong Declining enrollment and increasing

COP payments continue to put a drag on our finances and will hurt the long range fiscal outlook

Proposition Q can provide the long lasting fiscal stability