fy 2021 school board budget...utilities $4.0 family first coronavirus act tbd county services (fuel,...

School Board

Budget

FY 2021

I nves t ing IN Exce l l ence

April 9, 2020

School Board Meeting

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I N V E S T I N G I N E X C E L L E N C EAPPROVED

BUDGET FY 2021

Agenda• Background

• FY20 Potential Savings & Costs due to COVID-19

• Post COVID-19 Response Plan

• COVID-19 Relief Funding (CARES Act)

• FY21 Revised

• FY21 County Executive’s Budget Reduction Strategy

• FY21 FCPS Superintendent’s Budget Reduction Strategy

• FCPS Budget Reduction Rationale

• Revenue Summary with Estimated State

• Expenditure Summary

• Next Steps

• Revised Budget Development Timeline

• Supplemental Documents

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BUDGET FY 2021

Background

• On February 6, 2020, the School Board adopted the FY21 Advertised Budget. Due to the economic impact on state and local budgets resulting from the Coronavirus Pandemic (COVID-19), it is necessary to revise the FY21 Advertised Budget.

• Governor Northam indicated that the State is facing a recession resulting in a major impact on the state budget.• The State expects significantly less revenue. Federal funding from the disaster declaration and stimulus bills will

help but not be sufficient.

• The Governor directed state agencies to eliminate discretionary spending for the remainder of the fiscal year and prepare for budget cuts in the next budget cycle.

• The County anticipates reduced revenues in interest earnings, transient occupancy taxes, sales tax; and programs supported by user fees.• County agencies directed to limit expenses to only those critical in nature.

• The Superintendent has directed principals and programs to defer non-critical expenditures for the remainder of FY20 to mitigate potential revenue loss and provide maximum flexibility.

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BUDGET FY 2021

COVID-19 Budget Impact (FY20)

Estimated Budget Impact ($ in millions)

Savings* Costs

Category FY20 Amount Category FY20 Amount

Substitutes (excluding long-term) $7.0 Distance Learning Packets $4.0

Temporary Hourly $4.0 Critical Employees $3.7

Utilities $4.0 Family First Coronavirus Act TBD

County Services (Fuel, Labor, Parts) $2.7 Unemployment TBD

Logistics (Supplies, PD, Travel) TBD

Automatic Carryover (25% to 10% excluding-MS) $5.9

*non-recurring funds (one-time)

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BUDGET FY 2021

Post COVID-19 Response Plan (FY21)

Estimated Budget Impact ($ in millions)

Potential Additional Learning Supports

Category FY21 Amount

Special Education (Compensatory Services) TBD

Social Emotional Supports TBD

Robust Summer School TBD

Early Opening TBD

Extended Day TBD

COVID-19- Second Wave Contingency TBD

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BUDGET FY 2021

The Coronavirus Relief Funding – CARES Act

• The Coronavirus Relief Fund totals $150 billion. Of the $150 billion, $30.7 billion is allocated for Education Stabilization Funds.

• Elementary and Secondary Emergency Relief – $13.2 billion• Elementary and Secondary School Emergency Relief Fund would be awarded to states based on their relative share of

grants awarded under Title I-A of the ESEA for the most recent fiscal year.

• Estimated Virginia impact – $238 million

• Estimated FCPS impact – $20.6M (non-recurring one-time funds)

• Governor’s Emergency Education Relief – $3.0 billion• Provide emergency support through grants to local educational agencies that the State deems have been most

significantly impacted by coronavirus.

• The emergency relief grants are allocated to each state based on relative school age populations, and the Governor has broad authority to allocate based on his determinations of need across both K12 and higher education.

• Estimated Virginia impact – $66.3M

• Estimated FCPS impact – TBD (non-recurring one-time funds)

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BUDGET FY 2021

FY21 County Executive’s Budget Reduction Strategy

• Protection of Jobs and Current Pay of Existing County Employees

• Deferral of FY21 Proposed Budget Increases

• Staff Compensation Increases Eliminated

• No Usage of Revenue Stabilization Reserve or Managed Reserve

• Excess FY20 Carryover Funds Dedicated to FY21 COVID-19 Reserve

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BUDGET FY 2021

FY21 FCPS Superintendent’s Budget Reduction Strategy

• Mirror County Reduction Strategy

• Maintain FCPS Existing Staff

• Preserve FCPS Classrooms and Student Supports

• Focus Reductions on $172 million Increase

• Fund Enrollment & Student Populations Requiring Differentiated Instruction

• Fund Contractual Increases

• Defer Amendments to FY22

• Defer Compensation Increases to FY22

• Defer New Strategic Investments to FY22

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BUDGET FY 2021

FCPS Budget Rationale FY21 & FY22• Maintain FCPS Employees

• Take care of existing employees first—even if no salary increases

• Aligns with BOS/County stated desire to protect existing employees

• Preserve FCPS Classrooms and Student Supports

• 90% of the budget is salaries and benefits—93% of the positions funded are school-based

• School-based positions governed by staffing standards and class size

• Regulations regarding staffing standards and class size would have to be waived

• Reductions to existing programs often become permanent

• Current year budget reflects multi-year restorations from reductions in prior recessionary periods

• New positions are not yet funded or filled

• Prepare Year-end Review

• Consider Post COVID-19 plan

• Develop FY22 Proactive and Comprehensive Budget Planning

• Year-long timeline for program by program review

• Thoughtful and systematic budget review aligned to Strategic Plan

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BUDGET FY 2021

FY21 Potential Revenue Impact

Revenue Category FY21 Advertised

(Change from FY20 Approved)

Adjustment FY21 Approved


Beginning Balance ($1,099,132) $0 ($1,099,132)

County $89,700,781 ($82,400,781) $7,300,000

State (Estimate – TBD) $69,221,067 ($25,086,957) $44,134,110

Federal $431,416 $0 $431,416

Fairfax City and Other $13,924,914 ($945,000) $12,979,914

TOTAL $172,179,045 ($108,432,738) $64,746,308

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BUDGET FY 2021

FY21 Potential Expenditure Revisions

Expenditure CategoryFY21 Advertised


Adjustment FY21 Approved


Enrollment & Student Populations Requiring

Differentiated Instruction

$28,813,636 $0 $28,813,636

Benefits, Contractual, Base Savings, FCPSOn,

Transfers, Year End, Textbook Reserve

$36,030,558 ($1,452,886) $34,577,672

Salaries (Step, MSA, 2nd Year CIS Phased

Enhancement, ES Pay Parity)

$78,539,109 ($78,539,109) $0

Placeholders (Salary, Staffing Initiatives, 3rd CIS

Phased Enhancement)

$21,377,358 ($21,022,359) $355,000

Strategic Investments $7,418,384 ($7,418,384) $0

TOTAL $172,179,045 ($108,032,738) $64,746,308

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BUDGET FY 2021

Next Steps

• April 16th

• Approve FY20 3rd Quarter• Superintendent Unveils Recommended Revisions to FY21 Advertised Budget

• April 20th – School Board Work Session for Discussion of Superintendent’s Proposal

• April 23rd – Superintendent Final Revenue & Expenditure Estimates

• April 28th – Presentation of Preliminary Budget to BOS

• Remaining Budget Development Activities – Dates TBD• Presentation of FY21 Approved Budget – new business• Public Hearing on FY21 Approved Budget• Final FY21 Approved Budget Work Session• Adoption of FY21 Approved Budget

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BUDGET FY 2021

Budget Development Timeline

7-Apr County Proposes Revised FY21 Budget

9-Apr School Board budget work session - Early Estimates for FY21 Revised Budget

11-Apr Governor Amends FY21-22 Biennium Budget

16-Apr Superintendent's Recommendation for FY21 Revised Budget to School Board

20-Apr School Board budget work session - FY21 Revised Budget

22-Apr General Assembly Reconvenes - Consideration of Governor Amendments

23-Apr School Board Considers FY21 Revised Budget

28-Apr School Board presents Preliminary FY21 Revised Budget to County BOS

5-May Board of Supervisors mark-up FY21 Budget

12-May County BOS approves FY21 County Budget, tax rate, and transfer to schools

TBD School Board FY21 Approved Budget presented for new business

TBD School Board holds public hearing on the budget

TBD School Board conducts final budget work session

TBD School Board adopts FCPS FY21 Approved Budget

FY21 REVISED BUDGET TIMELINE

STUDENT

SUCCESS

STAY CONNECTED WITH US:

www.fcps.edu @fcpsva@fcpsnews @fairfaxcountypublicschools

Fairfax County Public SchoolsFCPS This Week

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Supplemental Information

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Current

Amendments ` 4/9/2020 9:13Number Expenditure Item Amount Positions Sponsor

Salaries and Benefits

1 Permanent Sub and Other Duty Coverage $19,100,000 190.0 MMe

2 CIS Scale Enhancement $2,746,383 0.0 KF & SP

Support for Schools

3 Safety and Security Assistant $1,310,025 25.0 LJC

4 Dropout Prevention $1,522,185 TBD RA

5 ES AART Positions (3-year phase-in) $1,583,030 16.0 TDK

6* Antiracist Curriculum Work $100,000 0.0 MMe

Facilities and Transportation

7 Trades for Tomorrow $50,000 0.0 ET

8 Trades for Tomorrow - Apprentice $561,931 8.0 ET

9* Vestibules - 5 year Phase-in $1,300,000 0.0 MMe

Special Education

10 Substance Abuse Prevention $181,590 2.0 KF

11* Special Education Review $200,000 0.0 KKG

12* Social Emotional Curriculum Writing $100,000 0.0 KKG

13 School Behavior Resource Teachers $1,111,787 10.0 RSH

14 Flexible Positions $19,100,000 190.0 MMe

* Potential one-time Total Amendments $48,966,931 441.0

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Spending Guidance for the Remainder of FY 2020

Please defer all non-critical position expenditures for the remainder of FY 2020.

Positions

This includes maintaining position vacancies and only hiring for positions that fulfill critical FCPS functions. Critical school-based

positions are ones that are directly involved with student learning or wrap-around services.

Departments, please postpone for the remainder of FY 2020 hiring of any full-time, part-time, and hourly positions that do not

support critical division activities. If an expenditure supports next school year, please utilize next year’s budget once ava ilable. A

list of examples of critical school-based and non-school-based positions will be shared shortly. All critical position requests and

critical spending requests will require Deputy, CEO or COO final approval.

Guidance on the FY 2021 hiring season will be shared during staffing meetings.

Logistics Expenditures

All non-critical logistics expenditures for the remainder of FY 2020 should be deferred as well.

Some examples of non-critical expenditures are capital expenses that have not yet been obligated, travel, and most materials

and supplies. Other categories may also be considered non-critical. Examples of critical expenditures include COVID-19

response, public health and safety, cleaning and supplies for facilities currently in use, food distribution, information technology

access and critical network infrastructure, distance instruction, continuity of learning, and select student needs.

FY2020 Carryover

Due to future fiscal uncertainty and a need to support division-wide priorities, carryover will be lowered from 25 to 10 percent.

Carryover will also be subject to additional lowering depending on the revised State budget expected next week. New guidelines

for school-based carryover spending are currently being developed with implementation of the guidelines and final approval by

RAS .

Departments leaders will need to submit a formal critical needs request, with a justification, to carryover any available balance.

The requests will be reviewed by the Superintendent to determine criticality and if carryover is warranted.

These steps are necessary to maximize year-end flexibility to address potential revenue losses. FCPS division wide success

during this unprecedented crisis depends on our making sound spending choices now.

FCPS Spending

Guidance 4.7.20

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Critical PositionsJOB TITLE Total

BUS DRIVER $231,524

VAN DRIVER $26,418

CONTRACTED FNS $1,446,117

HRLY FNS $18,199

CUSTODIAN $192,308

HRLY PARENT LIAISON $28,265

HRLY TECHNICAL $59,362

INSTRL ASSIST SP ED $4,295

OFFICE ASSIST ES $52,324

OFFICE ASSIST MS $5,574

OFFICE ASSIST SEC $33,044

OFFICE ASSIST SP ED $2,133

PROGRAM/AA $38,085

SAFETY/SECURTY ASST $9,177

SECURITY OFFICER $597,906

SUBS OFFICL/VAC LV $1,545

TECHNICAL ASSISTANT $8,613

TECHNICIAN $648,725

TRADESPERSON $256,249

OTHER $3,816

GRAND TOTAL $3,663,680

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Historical Reductions

Nearly $700 million & over 2,600 positions since 2009