Strategic Planning Committee

Meeting #3

January 12, 2016

Agenda

Financial management of our schools

What WCSD has done to reduce costs?

What is our current fiscal situation?

Q&A

Mission…We Educate for Excellence

Belief Statements

1. Leadership in Education is not about our District being number one, it is about striving to make our students number one. We must develop their skills, we must harness our resources, from the outside as well as inside. We must employ the best and brightest and focus on taking care of students. The rest flows from that point forward. (Leadership in Education)

2. We believe that the Westlake City School District is a superior performing student-focused district. (Academic)

3. Our primary responsibility is to insure that every student is challenged to excel and to achieve at his or her maximum potential. (Academic)

4. The support of the community is critical to our District’s success and will be earned through effective, open, and honest communication and demonstrated results. (Communication) 5. We have an obligation to preserve the community’s assets and to provide a safe, well-maintained environment for learning. (Facilities)

6. The administration, staff, and Board are partners in the entire educational process for our students and are responsible for removing those barriers, which could impact upon the achievement of our students. (Road Blocks) (Administration/Staff)

7. The administration, staff and Board have a responsibility to work collaboratively in a climate of mutual respect, focusing on student achievement. (Climate)

8. Extracurricular and co-curricular programs and activities are an integral part of the educational process and can significantly contribute positively to the character of our students while bringing significant recognition, pride and support from the community. (Extracurricular/Co-curricular)

Guiding Fiscal PrincipleThe Board of Education and administration

scrutinize all budgetary expenditures for their alignment to the educational program (CIP) and

strategically assess how they will impact the long-term financial position of the district.

Evidence of Sound Fiscal Management

Standard & Poor's Ratings Services has

assigned its 'AA+' long-term rating to

Westlake City School District, Ohio's

series 2014 general obligation (GO)

school improvement refunding bonds. At

the same time, we affirmed our 'AA+'

long-term rating on the district's

previously issued GO debt. The outlook

is stable.

Budgeting-Forecasting

• Process• Annual adoption-quarterly monitoring

• Must file 5-year projection with State

• Based on set of key assumptions

• Key assumption areasInflation (general OR product-oriented) Student enrollment

Staffing need Economic conditions

Local tax data State funds

Federal funds Instructional programming

Labor contracts Outside contracts

Types of Budget Variances

• Controllable• Staffing levels*• Salaries• Instructional program*• Transportation*

• Non-controllable• Inflation• Unexpected capital outlay• Student enrollment (total number/makeup of population)• Judicial-legislative actions (TPP, Funding formula, mandates, CCP,abatements)• Utilities

What Have We Done to Reduce Costs?

Cost Saving Measure Notes

Reduced staffing Cut 15 teaching positions

Labor agreements Est. Savings $2.3 million over next four years

Spousal Insurance Mandate Saved $1.2 million to date

Energy conservation Energy Savings est. $33,000 per year

Refinance debt 2011 $570k; 2014 $2.1 million

Grants STEM; IB; School Security; Transportation

Administration pay scale Reduced by 5% (equates to $60,000 savings this year alone)

Purchasing Consortiums Lower Cost-Greater Buying Power

Property-Liability Insurance Consortium arrangement saves 18-20% per year

Shared Services Cost-Avoidance

What is our Current Fiscal Situation?

Estimated Revenue vs. Expenses

40

42

44

46

48

50

52

54

56

58

60

Fiscal 2013 Fiscal 2014 Fiscal 2015 Fiscal 2016 Fiscal 2017 Fiscal 2018 Fiscal 2019 Fiscal 2020

Revenue Expenses

4121 4041 4016 4043 4065 3988 3934 3992

772 775 784 790 788 781 758 749

0

500

1000

1500

2000

2500

3000

3500

4000

4500

07/08 08/09 09/10 10/11 11/12 12/13 13/14 14/15

Student Enrollment and Employee Staffing History

Student Enrollment Total Staffing

Property Tax79%

Personal Property

0%

State Aid7%

Property Tax-State12%

Other2% FY15 REVENUE

Personnel83%

Purchased Services

11%

Supplies-Materials

3%

Capital Outlay1%

Other2%

Transfers-Advances

0% FY15 EXPENSES

15- year levy history

30.14

34.10

36.05

38.96

40.45

41.06

41.64

44.46

45.17

45.66

46.30

47.23

47.25

51.75

52.05

52.40

52.48

53.31

54.50

55.25

55.82

57.55

59.73

62.87

67.27

68.05

75.86

77.34

77.63

81.31

94.56

0.00 10.00 20.00 30.00 40.00 50.00 60.00 70.00 80.00 90.00 100.00

CUYAHOGA HTS.

INDEPENDENCE

WESTLAKE

BRECKSVILLE

BEACHWOOD

STRONGSVILLE

NORTH ROYALTON

BEREA

BEDFORD

ORANGE

ROCKY RIVER

MAYFIELD VILLAGE

SOLON

BROOKLYN

BAY VILLAGE

RICHMOND HTS.

CLEVELAND

CHAGRIN FALLS VILLAGE

FAIRVIEW PARK

PARMA

OLMSTED FALLS

EAST CLEVELAND

NORTH OLMSTED

LAKEWOOD

WARRENSVILLE HTS.

SOUTH EUCLID

MAPLE HTS.

EUCLID

GARFIELD HTS.

CLEVELAND HTS.

SHAKER HTS.

2015 S.D. Res/Ag Rate*

Where do we Want to be in the Future?

Areas of Need to accomplish mission-vision

• Academics

• Technology

• Safety

• Security

• Dedicated revenue stream to fund capital improvements

What needs to happen to continue our Mission?

Westlake City School DistrictCommunity Research Findings

2015

PURPOSE

22

To understand the perception of key audiences (teachers, staff, board members, parents, leaders and residents) regarding the direction of the district, including accomplishments and potential needs moving forward.

QUALITATIVE RESEARCH METHODS

23

Depth interviews with community leaders

Listening sessions with teachers and staff

Listening sessions with parents and residents

Online survey of parents and residents

COMMUNITY LEADER PERCEPTIONS

24

Proud of their city; heading in the right direction

Solid academics and attractive to new families

Part of the community is “disconnected” from the district

Concerns re: perceptions of decline in quality, financial mismanagement, and a lack of communication

Recognize the relationship between high quality education and updated facilities

More work needs to be done to restore community “trust” due to competing messages from opposition group

TEACHERS & STAFF PERCEPTIONS

25

High quality education, a variety of opportunities, and high-performing students

Changing education landscape and decreased budgets

Feel over-extended and not focused partly due to state mandates and initiatives

Greater reliance on technology and online tools

Aware of the heavy financial scrutiny from residents

Communication is key to (re)establish and (re)build relationships with residents

PARENT & RESIDENT PERCEPTIONS

26

Provides well-rounded education and prepares students

Questions if the district lives up to its motto

Identifies areas in need of improvement - Resources for middle

achievers; Communication; Responsiveness; Leadership; Community Support

Concerns about financial management - Needs more transparency/understanding

Participants recommend: build credibility, stay focused, identify a strong leader, and communicate more

SHARED CONCERNS

27

Financial management

Trust in the schools

Lack of focus

Leadership credibility

Communication and staying on message

ONLINE SURVEY - OVERVIEW

28

Active from November 2 – December 11

355 completed surveys – self-selected sample

84.5% represent parents, grandparents, and guardians of WCSD students

45% have students enrolled in the WHS

54% are between the ages of 35 and 49

64% have lived in Westlake more than 11 years

HOW ARE OUR SCHOOLS DOING …

29

10%

12%

19%

22%

26%

49%

38%

34%

38%

53%

45%

42%

24%

25%

26%

19%

20%

7%

17%

20%

15%

4%

7%

0% 20% 40% 60% 80% 100%

BOARD LEADERSHIP

ADMINISTRATION LEADERSHIP

COMMUNICATION & COLLABORATION

EQUIPMENT & FACILIT IES

SCHOOL COMMUNITY & CULTURE

TEACHING & LEARNING

Excellent Good Fair Poor

PRIORITY OF DISTRICT CHALLENGES

30

26%

34%

56%

58%

58%

76%

89%

45%

44%

30%

33%

36%

20%

11%

22%

17%

10%

8%

5%

4%

7%

5%

4%

0.0% 20.0% 40.0% 60.0% 80.0% 100.0%

UPGRADING SCHOOL FACILIT IES

MEETING STATE MANDATES

SECURE ADDITIONAL FUNDING

MANAGEABLE CLASS SIZES

UP-TO-DATE TECHNOLOGY

RETAIN HQ TEACHERS/STAFF

ACADEMIC PROGRAMS

High Medium Low Not a Priority

Very supportive12%

Somewhat supportive52%

Not very supportive28%

5%3%

Very supportive

Somewhat supportive

Not very supportive

Not supportive at all

I don't know

COMMUNITY SUPPORT

31

Excellent, 29%

Good, 45%

Only Fair, 20%

Poor, 6%

Excellent

Good

Only Fair

Poor

DISTRICT FINANCIAL MANAGEMENT

32

STUDENT SKILL SETS

33

971

1075

1137

1576

1605

1743

1919

2166

0 500 1000 1500 2000

TEAM WORK

ADAPTABILITY

INITIATIVE & ENTREPRENEURIALISM

SELF-RELIANCE & PERSONAL RESPONSIBILITY

KNOWLEDGE APPLICATION

COMPREHENDING & ASSESSING INFORMATION

WRITTEN & ORAL COMMUNICATION

CRITICAL & ANALYTICAL THINKING