Superintendent’sParent Leadership Cadre

Budget Overview

October 26, 2009

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General Operating $374.8

Federal Stabilization 17.9

Special Revenue 69.4

Debt Service 29.5

Capital Projects 226.7

Internal Service 48.4

Total $ 766.7

2009-10 Appropriations

Million

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4

7

77

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Osceola General Fund Spending by Function

School Board, Superintendent, Central and Fiscal Services, Admin TechnologyLibrary Materials, Staff Training, Curriculum Development

Teaching, Transporting, Supervising, Counseling students

Acquiring, Operating, and Maintaining school facilities

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Capital Funding Major sources of revenue are ad valorem taxes, impact fees,

and state PECO funds. The maximum millage rate is set by the legislature.

o In 2008-09, it was reduced from 2 mills to 1.75 mills.o In 2009-10, it was reduced again from 1.75 mills to 1.5

mills. The value of the tax roll declined by 15.5% in 2009-10. Tax receipts will decline from $45 million in 2008-09 to $33

million in 2009-10. Impact fees will decline from $18.5 million in 2008-09 to $7

million in 2009-10. PECO funding declined from $11 million in 2008-09 to $.5

million in 2009-10.

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Statewide Revenue Overview

In 2009-10 the State’s General Revenue Budget is $21.8 billion.

Public schools receive approximately 37% of the State’s General Revenue Budget, or $8 billion.

This represents approximately 47% of total public school funding.

An additional $9 billion is generated by local ad valorem taxes.

Osceola receives about 2% of total state funding for education.

The Florida Education Finance Program (FEFP) is a collection of formulas enacted by the legislature as a method to fund public education through the distribution of state and local funds to the school districts in Florida.

The Florida Legislature sets the Required Local Effort millage rate that must be levied by the School Board to generate its share of FEFP funding. In 2009-10, this was 5.165 mills.

The School Board must levy the required local effort millage rate in order to obtain its share of state funding under the Florida Education Finance Program. 6

FEFP Florida Education Finance Program

FEFP

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Osceola Florida Education Finance Program 2009-10

Unweighted Students 50,657Weighted Students 55,028Funding per Weighted Student 3,596Base Funding 198,000,000

Earmarks/ CategoricalsClass Size Reduction 55,500,000Exceptional Student Education 14,500,000Supplemental Academic Instruction 11,300,000Transportation 8,700,000Other Earmarks 18,500,000Total FEFP Funding 306,500,000

Less Required Local Taxes -112,500,000 33%State Funding 194,000,000 56%

Discretionary Local Taxes 21,700,000 6%Federal Stabilization 17,700,000 5%

Total Operational Funding 345,900,000 100%

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In response to the declining revenues in 2007-08 and 2008-09, the School Board instituted changes to reduce General Fund expenditures by $25 million including $17 million in salary reductions.

No salary increases were given to any employee groups in 2008-09.

Budget Reductions

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The School District of Osceola County, FloridaLong Range Fund Balance Forecast

As of 10/20/09

Unreserved % of Revenues2007-08 42,465,951 10.75%2008-09 40,647,718 10.78%2009-10 42,821,882 11.80%2010-11 28,073,082 7.99% 3.3% Revenue Reduction Class Size Reduction

2011-12 8,606,372 2.60% 3.7% Revenue Reduction Loss of .25 Mill Does not include $12 million loss of Federal Stimulus Funds. Does not include increases for salaries, health insurance, utilities, etc.