WINSTON-SALEM/FORSYTH COUNTY SCHOOLS

2013-14 PRELIMINARY BUDGET

STATE PLANNING ALLOTMENTS

+31 classroom teachers Allotted to schools based on anticipated

enrollments $107,000 in local supplements required

STATE PLANNING ALLOTMENTS

+1.6 school building administration positions Funds the base salaries of the principal and

60% of the assistant principal at Smith Farm 40% of the assistant principal position at

Smith Farm funded from local Local supplements of $34,000 required

STATE PLANNING ALLOTMENTS

+3 instructional support positions Funds the counselor, media coordinator, and

curriculum coordinator at Smith Farm Local supplements of $17,000 required

STATE PLANNING ALLOTMENTS

+4 CTE teacher positions Funds enrollment-based expansion in CTE

class offerings at various schools Local supplements of $15,000 required

STATE PLANNING ALLOTMENTS

+$1,330,000 in enrollment-based growth in categorical dollar allotments

Most is allocated to meet the needs of anticipated growth of 700 students, increased cost of transporting students, etc.

Approximately $480,000 is used to reduce local budget request

STATE PLANNING ALLOTMENTS

“Temporary” cuts to textbook and instructional supplies funding were to expire

Planning allotments add $4,150,000 to these categories of funding

Special Note: Governor’s budget reduces these increases by $1,750,000, leaving us with $2,400,000 additional funding

STATE PLANNING ALLOTMENTS

Of the $4,150,000 in additional textbook/supplies funding, we had planned to use about $1.75 million for pent-up textbook and instructional materials needs, allowing the remainder to offset local budget dollars

STATE PLANNING ALLOTMENTS

$800,000 of the 2012-13 LEA Adjustment (Discretionary Reduction) was funded with one-time dollars

The Governor’s budget does nothing to reduce the LEA Adjustment, which would leave us to cover the $800,000 “hole”

Would actually only “cost” us $600,000

LOCAL BUDGET

Unanticipated savings in 2012-13 due to reduction in the discretionary reduction, more use of state budget flexibility, salary decrease impacts of retirements and resignations, continued savings of not replacing some positions, and other efficiencies

Net savings of $2,500,000

LOCAL BUDGET

Other Local Budget Savings:– Last year of $1,700,000 line of credit repayment– Two fewer construction engineer positions

needed as construction dollars dwindle– Downtown school loan paid off– Eliminated $9,300 in dues to NSBA– Other reductions due to normal budget scrutiny

process– Total savings of over $2,000,000

LOCAL BUDGET

Required Budget Increases:– Second year of student testing laptop lease -

$1,940,000– Utility/fuel rate and square footage increase costs

- $640,000– Additional support staffing costs for Smith Farm,

Walkertown High, and other schools by enrollment formulas - $720,000

– Charter school enrollment increase - $150,000

LOCAL BUDGET

Required Budget Increases (continued):– Unemployment, workers’ compensation, dental,

and liability insurance cost increases - $460,000– Reduction in federal revenues from Medicaid and

Indirect Costs - $400,000– Additional IT staffing and network costs to support

testing devices– Total Required Budget Increases $7,038,000

LOCAL BUDGET

Requested Budget Increases:– Begin adding yellow bus arm cameras $105,000– Additional maintenance staffing (mostly part-time)

$150,000– Athletic trainers will cost $250,000 beginning

January 1, 2014, when grant funds expire– Middle school cross country, net $6,000-$10,000

LOCAL BUDGET

Requested Budget Increases:– 1st year of a lease-purchase of band instruments,

cost of $80,000 per year for three years to acquire $225,000 of instruments

– Language lab laptops – begin a replacement cycle and add a lab at East Forsyth for $55,000

– New mobile phone contract/replacing current mobile phones – one-time cost of $150,000

LOCAL BUDGET

Requested Staffing Increases:– Two teacher positions for required 6th grade

foreign language electives– Grant funds no longer available for half of Social

Work position– IB program half-time coordinator at Parkland– Add a 2nd psychologist intern for recruitment

purposes– Attorney position to handle EC cases

LOCAL BUDGET

Contingencies for Pay and Benefits Rate Increases:– Funds to match up to a 1.5% general pay

increase $1,423,000 (Governor’s budget recommends 1%)

– Funds to match expected retirement and health insurance increases (This amount matches Governor’s recommendation) $712,000

LOCAL BUDGET

Additional Salary Initiatives:– 2% increase in local teacher supplements

$450,000 (Average 0.225% increase in total pay)– 1% increase for all classified employees hired

prior to 07/01/08 and 0.5% increase for all classified employees* hired between 07/01/08 and 06/30/10 $450,000

– * See exception described on next slide

LOCAL BUDGET

Additional Salary Initiatives (continued):– Since 2007-08, the General Assembly has mandated that

the minimum pay for teacher assistants and custodians increase by 11.5%, while all other state employees’ pay has increased by an average of 3.4%. The 1% increase on the previous slide would apply to all classified employees, while the 0.5% increase would apply to all classified employees except custodians, whose pay has already increased substantially more than this proposal, but it would apply to teacher assistants, since we have reduced their term of employment by 7 days per year

LOCAL BUDGET

Additional Salary Initiatives (continued):– We reduced substitute daily rates this year, and then in a

double-whammy in January, FICA withholdings increased by 2% of pay. Finding it difficult now to employ enough qualified substitutes, we propose to restore the daily rates to the 2011-12 levels $125,000

– We are not competitive in terms of high school principal (and larger middle/elementary school) pay – adjusting our salary formulas to help address that would cost $100,000

LOCAL BUDGET

Additional Salary Initiatives (continued):– Administrative pay study shared with the Board in

January can be implemented over a three-year period – first-year maximum cost $125,000

– Implement a skill-based pay plan for garage mechanics, using a nationally certified training program – first-year maximum cost $45,000

– Total maximum salary initiatives cost $1,295,000

BUDGET SUMMARY

Before factoring in the impact of the Governor’s proposed budget, we need a County increase of $2,153,800 to fund the requirements and initiatives described herein

The County funding formula, if they adopt a revenue neutral property tax budget, would provide WS/FCS approximately $1,900,000 in additional funding

BUDGET UPDATE

The Governor’s Budget has very little positive and much that is negative for public schools

As stated earlier, it reduces the increase in textbooks and instructional supplies by $1.75 million

It cuts $4.25 million from teacher assistant funding (leaving funds for grades K-1)

It provides a 1% general pay increase

BUDGET UPDATE

If the Governor’s budget proposal is adopted:– We could eliminate all “temporary” teacher

assistant positions at the end of this year (20-30 positions)

– We could continue next year replacing teacher assistant/primary reading teachers through attrition with temporary employees

– We could have $500,000 left over from the local pay increase funding if the increase is only 1%

BUDGET UPDATE

If the Governor’s Budget is Adopted– We could use approximately $3,000,000 of local

fund balance to give teacher assistants and primary reading teachers a full year’s notice of the change to funding positions only for K-1 classes

– New allocation formula would be used for 2014-15 school year

BUDGET UPDATE

Senate budget will likely resemble or be worse than the Governor’s

House budget should be somewhat better than the Governor’s

Conference budget (real thing!) is likely to be only slightly better than the Governor’s

Predicting the final outcome is difficult Still expecting the final budget by mid-June