B U D G E T P R E S E N TAT I O N

F I S C A L Y E A R 2 0 1 3 - 2 0 1 4

2014 BUDGET AGENDA

Discussion Topics:

• Budget Calendar

• Key Basic Assumptions

• Types of Funds

• Budgeted Expenditures by Fund by Object

• 2013 Actual Revenues and Expenditures (Unaudited)

• 2014 Budgeted Revenues and Expenditures

• 2014 Budget by Object

• 2014 Budgeted Fund Balances

• EAV Data used for General State Aid

• CPI DATA

BUDGET CALENDAR :

February –Budget Planning

March – Budget Request Submitted to Principals and Program Administrator

April - Budget Request Received by Principals and Program Administrator

Business Office Assembles Budget Request and gathers projected fix costs.

Board Approves staffing and facility improvements

May - Prepare Preliminary Budget for review

June- Prepare Tentative Budget

Board reviews the Tentative Budget

Board approves encumbrance and expenditure authorization

August- Budget Presentation (We are here)

Tentative budget on ISBE Form on public display

September Board holds public hearing on 2013-2014 budget

Board approves the 2013-2014 budget

KEY BUDGET ASSUMPTIONS:

Key Budget Assumptions:

Revenue:

• Consumer Price Index (CPI ) is projected to be 2% flat.

• (Used to Calculate the Tax Levy - November 2014)

• EAV is projected to decline slightly.

• Student fees are expected to remain flat each year.

• General State Aid is budgeted as appropriated by the state is expected to increase 14% over FY 2013 scheduled payments.

• Federal Funds are budgeted as appropriated by the state and denoted in the school grant applications for FY 2014 are expected to remain constant.

• Real Estate -New Property Growth is expected to be $524,293

KEY BUDGET ASSUMPTIONS:Expenditures:

Personnel (63.8% of the District’s Budget):

• Teacher Full Time Equivalent (FTE) are expected to remain at 105.5

• Student / Teacher and District Staff Ratio are expected to be 13.21

• No material changes in Teacher FTE

• No material changes in Administrative FTE

 Salaries and Benefits:

• Staff Salaries are expected to increase by 3.56%

• Teachers are projected to change lane at an average cost of $44,689.

• 2-3 Paraprofessionals have been budgeted if necessary to adjust for increase enrollment and class size requirements.

• Anticipated early retirement cost are expected to be $42,000

• Health Insurance Cost are expected to increase by 16% (Reduced by 9%)

• No change in cost for Dental Insurance Cost.

• No material changes in FICA, Medicare, IMRF or TRS rates.

KEY BUDGET ASSUMPTIONS:

Purchased Services (10.6% of the District’s Budget):

• Building Grounds and Repair work are expected to cost $200,000 in the following areas:

• Parking Lot Pavement

• Roof Repair Work (JFK Elementary School)

• Building Maintenance Work (Lincoln Middle School)

• Life Safety Work (JFK and Lincoln Middle School)

• Landscaping Work

• Other Purchases Services:

• Anticipated Supplemental Educational Services (SES) are expected to cost $61,000 .

• Workers’ Compensation Insurance are expected to decrease by 6% over FY 2013.

• Property / Casualty Insurance are expected to decrease by 1.3% over FY 2013.

KEY BUDGET ASSUMPTIONS:

Capital Outlay (1.9% of the District’s Budget):

• Security Cameras and GPS system are expected to cost $13,000

• Note: Subsequent Final Adjustment to the budget will be updated to reflect the recent RFP estimates of $18,000.

• No other material changes

Debt Services (13.3% of the District’s Budget):

• Bond Schedule for Principal and Interest on combined debt for FY2014 is expected to be:

Principal - $1,439,075.90

Interest $1,167,470.35

DISTRICT FUNDS

Fund Description

10 Education

20 Operations and Maintenance

30 Debt Services

40 Transportation

50 Municipal Retirement/SS

60 Capital Projects*Restricted Funds

70 Working Cash**Unrestricted Funds

90 Fire Prevention and Safety

2014 BUDGET COMPARISON BY FUND BY OBJECT (ED FUND)

2014 BUDGET COMPARISON BY FUND BY OBJECT (O & M)

2014 BUDGET COMPARISON BY FUND BY OBJECT (DEBT SERVICES)

2014 BUDGET COMPARISON BY FUND BY OBJECT (TRANSPORTATION)

2014 BUDGET COMPARISON BY FUND BY OBJECT (IMRF)

2014 BUDGET COMPARISON BY FUND BY OBJECT (CAPITAL PROJECTS)

ACTUAL REVENUES, EXPENDITURES AND FUND BALANCE BY FUND(2013)

Unaudited Fund Reserve Summary ScheduleFiscal Year 2013 (as of 6/30/13)

Fund Reserves July 1, 2012

(+)Revenues Received

(-)Expenditures

Disbursed

(=)Fund Reserves June 30, 2013

Education 4,951,904 14,024,573 12,828,173 6,148,304

Operations and Maintenance 738,523 1,469,536 1,210,487 997,573

Debt Service 236,309 2,494,601 2,607,390 123,521

Transportation 367,547 1,111,035 780,941 697,641

Municipal Retirement/SS 160,855 643,912 510,472 294,295

Capital Projects 33,368 173,071 161,410 45,029

Working Cash 2,208,363 81,063 - 2,289,426

Fire Prevention and Safety 44,122 51 - 44,172

TOTALS 8,740,991 19,997,841 18,098,872 10,639,960

Amount of increase/decrease in fund reserves over Fiscal Year 2012 1,898,969

- 2,000,000 4,000,000 6,000,000 8,000,000

10,000,000 12,000,000 14,000,000 16,000,000

Actual Revenue and Expenditures 2013

(+)Revenues Received

(-)Expenditures Disbursed

BUDGETED REVENUES, EXPENDITURES AND FUND BALANCE BY FUND (2014)

Unaudited Fund Reserve Summary Schedule Unaudited Fund Reserve Summary ScheduleFiscal Year 2013 (as of 6/30/13) Fiscal Year 2014

Fund Reserves July 1, 2013

(+)Revenues Received

(-)Expenditures Disbursed

(=)Fund Reserves June 30, 2014

Education 6,148,304 14,414,889 14,020,379 6,542,814

Operations and Maintenance 997,573 1,414,114 1,541,594 870,093

Debt Service 123,521 2,736,874 2,606,546 253,848

Transportation 697,641 963,666 888,300 773,007

Municipal Retirement/SS 294,295 632,999 554,400 372,894

Capital Projects 45,029 - - 45,029

Working Cash 2,289,426 66,180 - 2,355,606

Fire Prevention and Safety 44,172 - - 44,172

TOTALS 10,639,960 20,228,721 19,611,219 11,257,462

Amount of increase/decrease in fund reserves over Fiscal Year 2013 617,502

$0

$2,000,000

$4,000,000

$6,000,000

$8,000,000

$10,000,000

$12,000,000

$14,000,000

$16,000,000

Budgeted Revenue and Expenditures 2014

(+)Revenues Received

(-)Expenditures Disbursed

REVENUE BUDGET BY PROGRAM (2014)

Budgetary Revenue

Ad Valorem taxes levied

Revenue for other units (CPPRT)

Tuition Transportation Fees

Earnings on investments

Food service

Pupil activities RegistrationOther local revenue

State grants

Federal grants

EXPENDITURE BUDGET BY OBJECT (2014)

Budgetary Expen-ditures

SalariesBenefitsPurchased ServicesSupplies and MaterialsCapital OutlayOther Objects/Tu-itionNon-Capitalized EquipmentDebt Services - Fund 3IMRF/SS - Fund 5Capital Projects - Fund 6

FUND BALANCE CHART AND CHANGE (2014)

Fund Balance 2013 $10,639,960

Fund Balance 2014 $11,257,462

TAX REVENUE BASE

1 2 3 4 5 6 7 8 9 10 11

TAX YEAR

2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002

EAV 347926441

383571359

422225582

465855882

491157339

474951839

411186564

413817078

392449098

342254709

353441372

$50,000,000.00

$150,000,000.00

$250,000,000.00

$350,000,000.00

$450,000,000.00

$550,000,000.00

EAV Value (millions) / Tax Year

EAV

Real Estate Air Pollution Railroad Total Equalized Valuation

Tax Year 2012 $ 345,776,167.00 $ - $ 2,150,274.00 $ 347,926,441.00 % 99.38% 0.62% 100.00%

CONSUMER PRICE INDEX (USE IN CALCULATING THE TAX LEVY)

The 11 year average CPI rate is 2.4%NOTE: District 81 used a CPI rate of 2.0% in estimating tax rate for tax levy.

REFERENCES

ftp://ftp.bls.gov/pub/special.requests/cpi/cpiai.txt a resourceful site on historical CPI rates.

http://www.cookcountyclerk.com/tsd/taxagencyreports/Pages/default.aspx

a resourceful site on obtaining historical and current EAV, Tax Rates, Tax Levy, New Property Growth, and Tax Extensions. Agency Code 04-0400-000

http://www.isbe.net/sfms/afr/ctl.htm a resourceful site on gather ISBE Tax Levy Form 50-02

Debt Services- Cook County, Illinois Bond Schedule (Schiller Park SD 81)

https://sec1.isbe.net/iwas/asp/login.asp?js=true, a resourceful site on obtaining Federal Grant Applications and appropriations

http://webprod1.isbe.net/gsainquiry/default.aspx, a resourceful site on obtaining the appropriations for General State Aid Payment for school year 2014.

Repair cost – Reviewed Life Safety Cost and obtained Vendor Estimates

Insurance cost – Contract renewals for 2013-2014

Board approved Salary Rates for 2014

School Building Budgets Sheets for 2014

Step and Lane Change Cost Analysis Work sheet (2014)– Digital Schools

THANK YOU FOR YOUR PARTICIPATION!

QUESTIONS?