2 dps realignment plan division of finance april royster, cpa executive director office of...

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DPS Realignment PlanDivision of Finance

April Royster, CPAExecutive Director Office of Accounting

3 * NOTE: Between 2003-2007 41,576 students were lost totaling $291,032,000

*

(K – 12)

(Projected)

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Total Cost $1,104,364,293.11

FY07 Personnel Costs

H - Broadcast Engineers , $247,426.47 (0%)

O - Forepersons , $557,706.85 (0%)

J - Site Management , $3,190,062.77 (0%)

G - Police Officers , $3,753,453.04 (0%)

D - Journeypersons , $4,158,503.64 (0%)

L - Non-Represented Employees,

$4,840,994.43 (0%)

X - Executive Staff , $5,959,513.70 (1%)

S - Noon Hour Aides, $9,425,853.88 (1%)

Q - Bus Drivers, $12,911,977.86 (1%)

N - NISP , $13,448,630.08 (1%)

M - Para Professionals , $15,019,146.69 (1%)

P - Public Safety Officers, $17,020,726.79

(2%)

E - Operating Engineers , $31,595,544.14 (3%)

X & Y - Assistant Principals & Principals ,

$44,577,963.88 (4%)

F - DAEOE , $44,601,173.91 (4%)

C - OSAS, $52,183,942.25 (5%)

B - LOCAL 345 , $71,505,325.76 (6%)

A - DFT , $769,366,346.95 (70%)

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Total Revenue vs Personnel Costs

FY07Percent

Revenue $ 1,355,906,989 100.00%

Personnel Costs 1,104,364,293 81.45%

Funds Available

For other costs $ 251,542,696 18.55%

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Total Revenue vs Personnel Costs

FY08 PercentProjected Revenue $ 1,240,483,052 100.00%

FY07 Personnel Costs 1,104,364,293 89.03%

Funds Available For other costs $ 136,118,759 10.97%

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FY07 Amended February 28, 2007

FY08 Projected Difference

Total Available Resources $1,377,929,682 $1,241,230,200 ($136,699,482)

Total Expenditures and Transfers $1,376,359,916

*$1,359,026,586

($17,333,030)

Revenue for repayment of uncollectible delinquent taxes

Ending Fund Balance

($2,000,000)

$1,569,766

($2,000,000)

($117,796,386)

0

($119,366,452)

DPS FY07 – FY08 Comparison

General Fund (11,13,14,22) Appropriations

FY08 Expenses Include:

•Decrease in staffing of 333 General Fund Positions amounting to ($28,333,330)

•Decrease in special education supplement of $5 million

•1% Increase in DFT Salaries amounting to $6 million

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Revenue Expenditure Trends

1.200

1.250

1.300

1.350

1.400

1.450

1.500

1.550

1.600

1.650

1.700

2002 2003 2004 2005 2006 2007 2008 Projected

In M

illi

on

s o

f D

oll

ars

Total Revenues Total Expenditures

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Fund Balance by Year

103,603,001

-48,687,349

46,791,278

22,022,693

1,569,766 0

74,650,009

-60,000,000

-40,000,000

-20,000,000

0

20,000,000

40,000,000

60,000,000

80,000,000

100,000,000

120,000,000

2002 2003 2004 2005 2006 2007 2008 Projected

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District Realities

Noncompliance with the Deficit Elimination Plan

$210 million loan immediately becomes due & payable

A financial manager gets appointed to the District

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District Realities

Reduction in Facilities costs

Reduction in programs being offered - i.e. Fine Arts $14 million, Athletics $3.5 million, Student Aids/Co-ops $4.8 million, Noon-hour aides $9.4 million

Additional lay-offs – Approx. 1,800 persons

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District Realities (con’t)

Additional concessions and concession increases required by remaining employees

Reductions in non-instructional personnel, i.e. security, custodians, etc.

Increase in over class-size pay-outs

Loss of valuable staff, and increased decline in morale due to the above.

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District Realities (con’t)

State of Michigan FY 2007 deficit - $920 million

City of Detroit FY 2007 deficit - $163 million

Detroit Public Schools FY 2008 projected deficit - $118 million

“Nobody’s coming to SAVE US!”

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DPS Realignment PlanDivision of Business Services

Darrell Rodgers, Ph.D.Chair DPS Realignment Planning Committee 2007-2008Chief Of Facilities Maintenance and Auxiliary Services

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Purpose of the Plan

Preserve Strong Academic Programs and Support New and Innovative Programs

Reduce Expenses by Eliminating Excess Space

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IMMEDIATE &

BOLD ACTION

REQUIRED

DPS Financial Condition

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DPS Facilities/Enrollment

ENROLLMENT 119,893 (PK-12)

PROGRAM

CAPACITY

180,822

SEATS AVAILABLE

60,929

40+

BUILDINGS < 50% FULL

CLASSROOMS VACANT

642

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DPS Capacity and Loss of Students

REVENUE TIED TO

ENROLLMENT

50% BUILDING OCCUPANCY

= 100% COST

60,000 Empty Seats

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Realignment Committee

Committee Formed in October 2006All DPS Departments Represented

Stakeholder Outreach Meetings Held

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Realignment Committee

Preliminary Realignment Plan Released, January 5, 2007

Responsibility: Preserve Strong Academic

Programs and Support New and Innovative Programs

Develop plan for “rightsizing” District Facilities with enrollment

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Objectives

Increase the potential to achieve educational excellence

Increase enrollment in under populated schools to maximize the use of the “better” buildings

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Increase operational efficiency while keeping students as close to home as possible and managing transportation costs

Maximize the use of operationally efficient facilities

Objectives

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Considerations For Realignment: Capacity vs. Enrollment Enrollment Trends Academic Achievement Better Academic Culture/Climate Building Condition High Operational Costs Residential Development

Realignment Committee

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Public Engagement

DPS Internal Stakeholders

Principals

Curriculum / Instruction Facilities Services School Leadership & Accountability

Other Departments

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Public Engagement

External Stakeholders Detroit Federation of Teachers (DFT) Other Union Leaders City Officials Skillman Foundation New Detroit, Inc. Others

Community Input Meetings on Realignment Process

Community Forums on School Realignment

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Public Engagement

City-Wide Parent Information Meetings

Public Hearings Conducted

Over 60 Written Proposals Reviewed

Site Visits

Realignment Plan Revised

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Plan Highlights

33 Buildings to close by Fall 2007

Ten (10) conditional closures by Fall 2008

Empty seats decreased by 32,250

Projected annual savings:

Over $16.9 million starting 2008

Opportunity to flatten central office

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Plan Highlights

Preserve successful schools & programs Reading First Schools With Increasing MEAP Scores

Increase Busing & Transportation Opportunities

Busing Costs Not Impacted Significantly

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Plan Highlights

Not Just a Closure Plan

Turnaround Plan Improving Education with focus on

Academic Achievement Improving School-Based Leadership Improving Customer Service Stabilize Enrollment

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Plan Highlights

New and Expanded Programs

Single Gender 7-12 Grade Academies

23 NEW theme-based schools

Three (3) K-12 neighborhood campuses

Ninth Grade Academy Pilot Program

Expanded Alternative Education Programs

Restore and enhance curriculum to increase student achievement and performance

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Plan Benefits

Maximize utilization of better buildings

Concentrate all resources to better serve students, parents and staff

Mobilize resources to provide safe learning environments, transportation offerings and increased security

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Plan BenefitsRedirect resources for:

Security Curriculum and Technology Housekeeping Maintenance (ex. painting, lighting, restroom

improvements) Building and grounds improvement

Improve customer service & satisfaction In our schools In district offices In related facilities

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Plan Benefits

Redesign schools to meet the academic needs of our students

Flatten central office organization and create a service-oriented culture that delivers equitable services to students and schools

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Plan Implementation

Challenging Task Ahead

Additional Meetings with School Staff and School/Community Stakeholders

Multi-Year Support

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Plan Implementation

Transition Teams Counselor Social Worker Public Safety Officer LSCO Chairs Curriculum Specialist Administrator Teacher Representative Transition Team

Coordinator

Open House events at receiving schools Before school

year ends During the

summer months.

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Next Steps School Board Approves Realignment Plan

Integrated Plan – Changes have a ripple effect

Meetings at closing schools within the next 30 days Information for Parents/Community

Staff Meetings to discuss process and concerns

Team Building Development

Customer Service Training

Letter(s) to parents impacted with notice of newly assigned school(s) ~ May, 2007 Telephone Hotline for Realignment Plan Information

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Next Steps

Coordinate with the Opening of School Task Force

Logistics and Move Management

Construction Modifications at Receiving Schools

Close and/or Decommission Buildings

Development of Facilities Master Plan

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Conclusion“Realigning DPS for Success”

Stop Spending Money on Empty Spaces

Enhance Academic Performance

Increase Enrollment in Better Buildings

Improve Operational Efficiency

Publicize Competitive Advantages

Stabilize Enrollment

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District Realities

State of Michigan FY 2007 deficit - $920 million

City of Detroit FY 2007 deficit - $163 million

Detroit Public Schools FY 2008 projected deficit - $118 million

“Nobody’s coming to SAVE US!”

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““Realigning DPS for Realigning DPS for Success”Success”

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DETROIT PUBLIC SCHOOLSREALIGNMENT PLAN

2007-2008

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