School budgeting in tough timesNEASBO – Sturbridge, MA – July 25, 2013

The School Superintendents Association advocates for the highest quality public education for all students, and develops and supports school system leaders.

2

vs

CutSpending

CutWaste

3

Cutting costs Cutting waste

Cutting costs

Cutting waste

4

Stafford County Public Schools, Stafford, VA

MedExpert

5

1. Medical case management

2. Only company of its kind…in the world

3. Identifies leading medical experts for YOUR needs

6

Diagnosis

Helps you efficiently maneuver the healthcare system

Second opinions

Doctor’s appointments

Experimental treatments

Appointments

Claims

7

Lower Insurance

costsLower

Absenteeism

Lower Absenteeis

m

Higher Productivi

ty

HigherSatisfactio

n

8

20%What part of a public school employee’s salary

Washington D.C. Metro area

equals healthcare costs?

9

The healthcare industry itself

estimates this is pure waste

10

Key Audits

11

Fiduciary duty

Industry average 4-8% savings in one year

Simple question: Who is eligible?

12

Audit cost $96,000

Saved over $1 Million

13

Fully Insured?

Large Deductible?

14

July 1, 2005 – June 30, 2006

$845,285

$211,321

(fully insured premiums)*

(large deductible premiums)

$633,964(1st year savings)

15

* 10 year average of claims paid $295,472

Textbooks

Furniture

Freight

Supplies

School

16

Re-evaluated shipping options

Saved over $1 million

Textbooks

17

Partnerships

Can help cut costs

18

National non-profit purchasing co-op

For school districts and local and state governments

Saved school districts $25 million from July 1, 2012 – June 30, 2013

Average savings 12-22%

19

Improved Efficiencie

s

Pre-Awarded Contracts

Saved TIME & MONEY

20

The people in BROWN

21

Furniture/EquipmentTextbooks

Supplies

Documents

School District

Warehouse

Individual

Schools

22

Furniture/EquipmentTextbooks

Supplies

Documents

Individual Schools

EliminateWaste

Cut Costs

&

23

Easy sign up

Cost Control

Billing Solutions

Vendor management

Inbound visibility

24

17 Administration Centers

1 Central Administration Building

25

Used a development advisor to create a public/private partnership

Built the James F. Oyster School for no out-of-pocket cost

Saved in excess of $2 million

26

Financed $10,000,000 of Capital Improvements with savings from lowered utility costs

Made the money back in seven years

PERFORMANCE CONTRACT

Without affecting

the budget!

27

Expense Audit Banking Services Copiers Phones Credit Card Processing Day Care In Schools Short Term Borrowing Credit Union Budget Awards (ASBO, GFOA) School Efficiency Study

28

29

30

31

32

33

34

Effective transparency How to present a budget Budget websites Budget at a glance

35

36

Chuck WoodruffChief Operating Officer

1615 Duke Street Alexandria, VA 22314

cwoodruff@aasa.org 703-875-0767

AASA’s 2010 budget toolkit is available for AASA members.

Join AASA http://www.aasa.org/join.aspx

37

http://www.lasvegassun.com/news/2011/sep/07/potential-savings-clark-county-school-district-mil/ Gibson Consulting

http://www.fcps.edu/fs/budget/wabe/index.shtml WABE Guide http://www.flickr.com/photos/manfrommanila/3036897692/ (picture of textbooks)

38