1 budget workshop superintendents recommended fy2007 operating & capital budgets january 26,...

1

Budget Workshop

Superintendent’s Recommended

FY2007 Operating

& Capital Budgets

January 26, 2006

Part II: Business & Management Services

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Goals of AACPS

We will accelerate achievement for all students and eliminate the achievement disparities among all groups of students

Academic Achievement

We will create a safe learning environment that promotes accelerated achievement.

Safe and Orderly Environment

We will establish community partnerships to promote accelerated achievement in a welcoming school environment

Community Collaboration

In the areas of…

3

Employee Fixed or Contracted

Bridge to ExcellenceNo Child Left Behind

OCR AgreementTeacher Workload HR AuditBudget Task ForceRecruitment/RetentionAreas of Impact:

Academic Achievement Safe and Orderly Schools Community CollaborationSchool System Goals:

$ 28,872,464

• COLA, Negotiations, Step, Longevity 24,615,600

• Healthcare 3,848,034

• Social Security 1,496,795

• Worker’s Compensation (1,487,965)

• Retirement Leave 400,000

Total:

COLA: An increase for salary and wage funding to cover contracted step and longevity salary schedule components and cost of living adjustments currently under negotiation.

Healthcare: A 4.2 percent increase in budgeted funds for the health and life insurance for current employees.

Note: health and life insurance for proposed positions are included in the new position cost. This additional increase would equal a 7.8% overall increase in budgeted funds for health and life insurance.

A 4.6 percent increase for social security increases associated with step, longevity and COLA increases to salaries.

Worker’s Comp: An adjustment to AACPS’ share of the joint Board of Education / County Self-Insurance Program.

Retirement Leave: A change related to the increase in retirements.

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$3,985,583Facility Fixed or Contracted




Total:

• Debt Service

732,700

• Property Insurance

122,812

• Utilities—Gas, Oil, Electric, Water

2,421,180

• Gas & Oil—Automotive:Operations

10,000Maintenance

124,000Logistics

57,500Transportation

249,990

• Postage

105,000

• Garbage Collection

45,000

Non-position Costs

Positions 2.0 $ 117,401




2.0 Operations Specialists 117,401

Cost of Operations Specialists will be offset by a decrease in the energy management contract. AACPS employees will perform equipment services making us less dependent on contractors.

Debt Service and Property Insurance are estimated by Anne Arundel County.

Heating Oil:FY05 contract = $.87/gal.FY06 & 07 contract = $2.03/gal.Oil prices varied from $28/barrel to $70/barrel over the year.

Electric: Request based on 6% increase anticipated by the energy consultant for the AA, Howard, and Carroll Cty Public School consortium. Recent information indicates a possible 35% to 50% increase effective 7/06.

Automotive Gas & Oil is based on a 20% increase over the average price of gas and diesel as of 9/05.

Postage: Increase in postal rate and additional mailings for Federal Survey Cards.

Garbage Collection: Contract escalation costs and additional pickups at new sites.

Facility Fixed or Contracted

$ 3,868,182

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• AYP Stipends

2,400,000

• Compensation Incentives

151,000

• Recruitment Costs

237,950advertising, summer and peak season staff, applicant screening software, equipment

Non-position Costs $ 2,788,950

Positions 3.0 $ 188,352




Human Resources (1 of 3) — ($2,977,302)

$4,839,953Total HR:

1.0 Support Specialist – Certification 62,784

1.0 Support Specialist – Recruitment and Retention 62,784

1.0 Hiring Specialist 62,784

Review, update, and apply for certificates on behalf of over 6,000 employees

Nearly 400 certificates are conditional

2005-06 hired 842 new teachers (1/11/06)

Unit I turnover rates (as of 8/31/05)• 21.9% due to retirements• 62.8% due to resignations • 14.1% leave of absence• 1.2 % disability retirements

Retirement Eligibility2004-05 2005-06• 10% of Unit I • 12% of Unit I• 33% of Unit II • 40% of Unit II

NCLB requires that starting in 2006-07 TA’s must be highly qualified to work in Title I schools

Principals are now designated as a critical shortage area in MD schools (source: MD Staffing Report ‘05-07)

AYP Stipends are available by negotiations to Units I, II & IV for staff at 25 schools

Recruitment and Retention

Recruitment & Retention

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1.0 Records Management Clerk 39,516

1.0 Payroll Clerk 39,516

1.0 Employee Records Specialist 45,000

1.0 Integrated Disability Clerk 39,516

1.0 Substitute Office Clerk 39,516

$203,064

• HR Information System (HRIS) upgrade

500,000

• Support for HRIS implementation

371,500

• Records Management costs

47,315


Positions 2.0

Human Resources (2 of 3) — Audit (1,121,879) $4,839,953

The Human Resources Audit which concluded in July 05 covered six major areas where improvement was needed.

1) New hire processing2) Existing employee records

adjustments3) Timekeeping records4) Position and payroll verification5) Final payment processing for

terminated employees6) Employee personnel and payroll

records management

Human Resources processes payroll, handles retirement, manages benefits, tracks certifications, recruits all staff vacancies, manages employee records and performs investigations.

• Maintain over 10,000 employee records.

• Manage 26 pays a year for 8 different pay calendars,

• Annual benefits enrollment and processing

FMLA• 2004-05 – 465 cases• 2005-06 – 264 cases to date

(56 more pending)

Audit

Non-position Costs $918,815

Positions 5.0




Total HR:

7

Non-position Costs

• ADA services for staff

10,000

• Investigations and Fitness for Duty Consultant

51,000support, office supplies

• Wellness Initiative

648,400

• Classification review consulting

31,372recommended by BTF

$740,772

Positions None




Human Resources (3 of 3) — Program Needs ($740,772) $4,839,953

Investigations & Fitness for Duty Assessments support employees and students by maintaining a safe and orderly environment

Wellness Initiatives:• Important to overall

employee health• Effective wellness program

can maintain or reduce overall healthcare costs

Program Needs

Total:

8Bridge to Excellence

No Child Left BehindOCR AgreementTeacher Workload HR Audit

Budget Task ForceRecruitment/RetentionAreas of Impact:


Technology (1 of 2) — Internet Access/Refresh ($700,000) $1,957,000

Currently only one Internet Access Point at Riva Road (45Mbps) serving entire school district

Secondary Access Point would• provide service for continuity of

operations site at CAT North • provide load-balancing for the

school district as more and more business and instructional processes shift to web-based services.

Refresh Program:Computers obtained via capital fund expenditures (science renovations, new school construction) are not under Refresh Program

These additional computers will be designated for High School Science Departments at South River, Glen Burnie, Old Mill, North County, Broadneck, Northeast, Severna Park, Southern.

Number of computers would range from 1265 (if all laptops) up to 1618 (if all desktops). What is purchased will depend upon what each site can accommodate – some science rooms were built specifically to house laptops.

Program Needs

Total Technology:

Non-position Costs

• Secondary Internet Access Point

200,000

• Increase Refresh Program Funding

500,0001st year of 3 year phased increase

Current funding level – $4.5M (15,500 computers)

Needed funding level – $1.4M (approx. 5,600 computers)

$700,000

Positions None

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Two-Way Radios: Standardize radio type, radio operations, frequency management, and equipment maintenance agreements for the district.

Accountability System: Provides computer and vendor hosted application for logging all visitors, vendors, and volunteers entering/exiting school. Performs real-time check against sexual offender database.

Provides data and reports for Title I schools.

Telephones: Start transition to IP telephones for the school district.

First phase core equipment base at Central Office; school-based telephone media server equipment onto the Wide Area Network.

Later phases would include school-by-school assessment site surveys, and equipment upgrades.




Non-position Costs

• 2 way Radios

520,0001800 radios for development plan

• Visitor, Volunteer Accountability System

337,000

• Telephone Upgrade

400,0001st year of multi-year financing plan to provide phone service for all teachers

$ 1,257,000

Positions None

$1,957,000Total:

Technology (2 of 2) — Communication ($1,257,000)

Communication

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Non-position Costs

Equipment – four buses

$ 320,000

Positions 8.0

4.0 Bus Drivers 146,736

4.0 Bus Aides 102,144

$ 248,880




Marley/Ruth Eason Grade Restructure $568,880Total:

Marley Glen and Ruth Eason currently service all age groups from distinct geographic attendance areas.

Current grade configuration adjustments under consideration will distinguish programs by age groups.

For transportation, this means that the geographic area for each site will double, while the number of students in a given geographic area will decline.

Transportation estimates that an additional 4 buses will be necessary to maintain current average ride times for students.

Equipment cost is a one time cost. Position costs are recurring.

Marley/Ruth EasonTransportation

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Private Bus Contractors1,184,410

Conversion & rate adjustments, fuel, and expansion and contingency items 787,460

Athletic, Music, & CTE activities 119,450

Base Hourly Fee Adjustment 277,500

Special Education Fleet70,000

Repairs to buses




Transportation Services $1,254,410Total:

• Rate adjustments averaging 2.8% based on average price indexes for the Baltimore / Washington SMSA.

• Contract conversion of 16 Units

• Increase in cost of fuel is based on a 10% increase over October, 2005 prices.

• Six additional units required to address existing and anticipated demand and contingency items.

• Three year phase in plan to increase driver rates by $.50/hour to address loss to real wage rates

Operational Costs





Facilities $1,698,824Total:

An increase of 351,000 sq.ft. from FY05 to FY07. Average sq. ft. cleaned per custodian will be 50,142 (more than double of most neighboring counties).

Records Specialist corresponds with HR Audit requirements.

Maintenance Mechanic needed to support additional sq.ft. and 789 window air conditioning units installed within the past three years.

Unable to maintain school custodial supplies at the current funding level.

Zero funding in FY05 & FY06 for Shades & Drapes. Request restoration to FY04 level.

Upkeep of Bldgs & Grounds supports service contracts & backlog activities not eligible for Capital funds.

Equipment: Supports new or replacement machines to increase productivity and requests restoration to FY04 levels.

Facilities


Positions 9.0 $ 337,224

• Custodial Overtime: Election Days 90,000

Emergencies & Snow 130,000

• Custodial Supplies 51,600

• Shades & Drapes 45,000

• Upkeep of Buildings & Grounds 500,000

• Equipment (new & replacement)

Operations (School Based): 415,000

Maintenance:130,000

7.0 Custodians 231,840

1.0 Warehouse Records Specialist 62,784

1.0 Maintenance Mechanic 42,600





$ 641,109Total:

Budget and Finance

Non-position Costs $ 641,109

Positions NoneCopiers: for lease payments on two copiers in the department

Reserves: to increase current contingency funding to approximately $1.0 million.

Funds to pay an outside contractor to handle the distribution of Federal survey cards.

Records management software to provide electronic storage and retrieval of current paper files.

Budget & Finance

• Copier Lease Payments

13,850

• Reserve Accounts

505,259

• Federal Survey Cards

22,000

• Records Management Software

100,000





Office of School Security $135,000Total:

Non-position Costs

Positions 2.0• The two intake clerks operate the

school security communication center.

• The additional security funding is for police presence at sports events

Security

2 Intake Specialists

$60,000

Contract with Police

$75,000





Design & Print Services $467,712Total:

Non-position Costs

Positions 4.0• The four positions requested

because of the significantly increased workload in support of No Child Left Behind.

• The funding provides additional equipment required to televise the Anne Arundel County Board of Education meetings.

• The maintenance funding provides current level of services.

• The current web press is over thirty years old and is becoming uneconomical for repairs

Design & Print

1.0 Copy Operator 44,976

1.0 Press Operator 44,976

1.0 Design Specialist 44,976

1.0 Video Specialist 62,784

$197,712

• Maintenance Agreement

50,000

• Web Press

100,000

• Televising School Board Meetings

120,000

$270,000

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Cost490 students @ $9,757 4,780,930Kipp (160); Chesapeake (180); Via (150)

Calculated Offset based on Staffing Ratios and MOI Allocations

(1,366,080)

Total Cost 4,780,930Direct Allocations (Offset) (1,366,080)

Net Cost 3,414,850

Charter Schools $3,414,850Total:

Based on State formula, payments to Charter schools for FY2007 would be at a rate of $9,757 per pupil. The total projected cost for 490 students is therefore $4,780,930.

This cost is being offset by those amounts ($1,366,080) that would normally be direct basic allocations for staff and supplies.

It is necessary to include the net cost amount of $3.4 million in the budget in order to fund the balance of the total payment.

If this additional funding is not included, it will have to come through reductions in other services, such as, utilities, principals' salaries, maintenance costs, etc.




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Revenues

17Superintendent’s RecommendedFY2007 Operating & Capital Budgets

18

Federal(4.0%)

Estimated Revenues

Federal $ 30.5M $ 31.5M $ 1.0MState 212.7M 237.0M 24.3MCounty 477.5M 525.5M 48.0MLocal 3.3M 4.2M 0.9M

Total $724.0M $798.2M $ 74.2M

Source FY2006 FY2007 Difference

Total: $798.2 M

Local(0.5%)

State(29.7%)

County(65.8%)


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Other $15.5M (6.5%)

FY2007 State Foundation Funding

County

Federal

State Funding $237.0M

Local

Foundation $221.5M

93.5% of State funding

State


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Targeted Per Pupil Foundation Amount

$4,124Base Per pupil

$6,335Targeted Per pupil

FY2002 FY2008

“Base cost of adequacy” to be achieved by fiscal 2008

(As of FY2007 )

FY2008 Target will increase each year (based on the “implicit price deflator”

for State & Local governments)

State calculations are based on this amount


21

$905$1,373

$1,835$2,211

Annual Per Pupil Foundation Amount

$4,124Base

$642

$4,766$5,029

$5,497 $5,959$6,335 Target

FY2004 FY2005 FY2006 FY2007 FY2008

Base Amount

Increase


2222

Superintendent’s RecommendedFY2007 Operating & Capital Budgets

EnrollmentMultiply by per Pupil Foundation Amount

Total Cost of Adequacy

827,596.00*X $5,959

$ 4,931,644,565

Statewide

State Funding Formula

*Does not include 10% of Kindergarten, Adult Education, and others

Foundation Total $ 2,493,207,814

State Contribution 50.6%

FY2007 Foundation Funding

2323


Foundation Total


EnrollmentMultiply by per Pupil Foundation Amount

Total Cost of Adequacy


Statewide

State Funding Formula

Foundation Total

*Does not include 10% of Kindergarten, Adult Education, and others

State Contribution

AACPS

71,723.00*X $5,959

$ 427,397,357

$ 158,122,197

37.0%

827,596.00*X $5,959

$ 4,931,644,565

Foundation Total $ 2,493,207,814


2424


By Amount Contributed


Prince George'sBaltimore CityBaltimore CoMontgomeryAnne ArundelHarfordFrederickHowardCarrollCharlesWashingtonCecilSt. Mary'sCalvertWicomicoAlleganyCarolineQueen Anne'sDorchesterGarrettSomersetWorcesterTalbotKent

476,736,787 365,805,040 295,040,946 179,893,574 158,122,197 136,961,144 129,326,526 118,000,389

98,058,345 92,971,827 75,339,280 59,569,934 56,782,106 56,544,176 54,926,073 39,624,859 22,327,526 18,645,945 15,745,282 14,591,265 11,462,234

7,260,750 4,827,574 4,644,035

Baltimore CityAlleganyCarolineSomersetWicomicoPrince George'sCecilWashingtonCharlesSt. Mary'sDorchesterHarfordCarrollFrederickCalvertGarrettBaltimore CoQueen Anne'sHowardAnne ArundelKentMontgomeryTalbotWorcester

73.70%72.00%71.00%70.40%66.80%63.20%62.80%61.70%61.60%60.50%59.90%58.90%57.80%56.30%56.20%53.60%48.30%42.60%41.70%37.00%34.10%22.30%19.00%19.00%

By % Contributed

State Contribution

25

Expenditures


26

Mid Level Administration (6.8%)

FY2007 Budget Recommendation

By Category $798,169,466Community Services (0.0%) Administration (3.1%)

Pupil Services (0.4%)

Pupil Transportation (4.6%)

Operation of Plant (6.3%)

Maintenance of Plant (1.5%)

Capital Outlay (0.4%)

Debt Service (3.6%)

Instructional Other Costs (2.3%)Instructional Supplies and Materials (2.0%)

Special Education

(11.4%)

InstructionalSalaries & Wages

(38.4%)

Fixed Charges(19.1%)


27

Equipment (0.6%)Debt Service (3.6%)

By Type

FY2007 Budget Recommendation

$798,169,466

Salaries, Wages(60.6%)

Supplies and Materials (3.4%)

Contracted Services (9.4%)

Other Charges (22.3%)


2828


Position Chart

Department/ Category

Instruction Business Deputy Supt Board Totals

Administration 8.00 8.00 1.00 17.00

Mid-Level 51.75 2.00 53.75

Instruction 248.50 5.00 253.50

Special Ed 23.50 23.50

Pupil Services 2.00 2.00

Transportation 8.00 8.00

Operations 10.00 10.00

Maintenance 1.00 1.00

Facilities

Totals 325.75 32.00 10.00 1.00 368.75

FY2007 Additional Positions

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Requested Budget Increase FY99–FY07

Superintendent’s Recommended Budget Increase vs. County Approved Increase

13.8

12.2

10.4 10.3

6.6 6.2 6.1

9.510.2

4.5

8.77.6

6.15.6

4.9 5.1

8.2

FY99 FY00 FY01 FY02 FY03 FY04 FY05 FY06 FY07

Superintendent’s Recommended

County Approved

BTE Passes BTE Implementation

%


30

Per Pupil Expenditure


School System FY1996 Rank

Montgomery $7,697 1Howard $6,793 2Kent $6,689 3Anne Arundel $6,452 4Baltimore $6,337 5State Average $6,337Worcester $6,304 6Prince George's $6,272 7St. Mary's $6,235 8Queen Anne's $6,096 9Dorchester $6,059 10Charles $5,983 11Somerset $5,957 12Talbot $5,879 13Baltimore City $5,873 14Calvert $5,872 15Carroll $5,795 16Frederick $5,767 17Washington $5,723 18Garrett $5,711 19Harford $5,697 20Cecil $5,688 21Allegany $5,623 22Wicomico $5,542 23Caroline $5,262 24

Source: The Fact Book for 1995-1996, Maryland State Department of Education

FY1996 Enrollment – 71,383


Montgomery $10,974 1Worcester $10,684 2Kent $10,029 3Somerset $9,951 4Howard $9,929 5Baltimore City $9,129 6Talbot $9,089 7State Average $9,062Dorchester $9,062 8Baltimore $8,899 9Garrett $8,820 10Anne Arundel $8,810 11Allegany $8,752 12Calvert $8,731 13Wicomico $8,659 14Queen Anne's $8,544 15Frederick $8,427 16Prince George's $8,403 17Caroline $8,346 18Carroll $8,231 19Cecil $8,200 20St. Mary's $8,181 21Washington $8,168 22Charles $8,016 23Harford $7,655 24

Source: The Fact Book for 2004-2005, Maryland State Department of Education$18.8 million to move to the State Average$83.5 million to move to Howard County

FY2005 Enrollment – 73,991

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Student to Instructional Staff Ratio



Worcester 8.5 1Wicomico 9.7 2Howard 9.7 2Allegany 9.9 4Garrett 10.1 5Somerset 10.3 6Kent 11.0 7Montgomery 11.1 8Caroline 11.4 9Calvert 11.6 10Baltimore 11.7 11State Average 11.9Cecil 11.9 12Washington 11.9 12Dorchester 12.1 14Talbot 12.1 14Frederick 12.2 16Anne Arundel 12.3 17Queen Anne's 12.4 18Baltimore City 12.4 18Charles 12.5 20St. Mary's 12.6 21Harford 12.8 22Carroll 12.9 23Prince George's 13.5 24



Garrett 10.6 1Worcester 11.0 2Somerset 11.5 3Howard 11.6 4Kent 11.7 5Wicomico 11.9 6Montgomery 12.3 7Baltimore 12.3 7Caroline 12.3 7Dorchester 12.5 10Harford 12.5 10Washington 12.7 12Allegany 12.9 13Cecil 13.0 14State Average 13.1 Frederick 13.2 15Queen Anne's 13.7 16St. Mary's 13.8 17Anne Arundel 13.8 17Talbot 14.1 19Baltimore City 14.1 19Calvert 14.1 19Prince George's 14.1 19Carroll 14.1 19Charles 14.2 24


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Student to Non-Instructional Staff Ratio



Prince George's 30.4 1Talbot 31.2 2Montgomery 34.2 3Somerset 34.9 4Caroline 36.3 5Baltimore 36.4 6Allegany 37.9 7Worcester 38.3 8State Average 40.6Frederick 41.9 9Kent 43.4 10Garrett 44.4 11St. Mary's 44.6 12Dorchester 44.6 12Anne Arundel 46.0 14Cecil 46.9 15Wicomico 48.4 16Howard 49.3 17Harford 49.9 18Carroll 50.1 19Charles 52.9 20Washington 53.3 21Calvert 53.6 22Baltimore City 55.1 23Queen Anne's 59.2 24



Talbot 19.8 1Montgomery 21.5 2Prince George's 21.5 2Baltimore 22.4 4Worcester 22.9 5Somerset 22.9 6Garrett 24.3 7State Average 24.8Kent 24.9 8Allegany 24.9 8Wicomico 25.2 10Caroline 25.3 11Frederick 25.9 12Baltimore City 26.2 13Dorchester 26.5 14Cecil 26.5 15Harford 26.8 16Washington 28.2 17Queen Anne's 28.6 18Howard 29.6 19Carroll 29.7 20Anne Arundel 29.9 21Calvert 30.7 22St. Mary's 31.9 23Charles 35.8 24


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FY2007Capital Budget


34

$113.1 MTotal Capital Budget

FY2007 Capital Budget


35

BOE Recurring Projects $49.6 MStudent SafetyADA ComplianceSystemic ImprovementsTextbook ProgramMaintenance Backlog ReductionVehicle Replacement

TOTAL FY07 Capital Budget—$113.1 M

BOE Major Capital Projects $62.7 M

All Day K and Pre-K Initiative

Harman Elementary Tracey’s ElementaryPasadena ElementaryGambrills ElementaryFeasibility StudiesScience Lab Modernization

School Off-Site Projects $ 0.75 M

Driveways & Parking Lots

Sidewalks



36

Additions to FY07 Capital Budget

2 Security Upgrades $2,000,000 (Various schools)

15 Alternative Education $ 500,000(Feasibility Study)

24 Southgate Elementary $116,000 (Feasibility Study)

25 Overlook Elementary $75,000 (Feasibility Study)



CostProjectSuperintendent’s Priority

37

3 Textbooks $13,000,000

4 All Day K and Pre-K $10,000,000(Various Schools)

6 Maint. Backlog Reduction $13,000,000 (Various Schools)

8 Walls & Partitions $ 3,000,000(Various Schools)

14 Special Ed. Realignment $2,500,000 (Central Special)


Major Changes to FY07 Capital Budget

CostProjectSuperintendent’s Priority


38

• Seven Oaks Elementary – approved partial construction funding $4,024,000

• Tracey’s Elementary – approved construction funding $1,700,000

• Harman Elementary – approved partial construction funding $2,276,000

• Crofton Meadows ES HVAC – systemic project funded at $490,000

• Windsor Farms ES HVAC – systemic project funded at $490,000

• Severn ES HVAC – systemic project funded at $364,000

• North County HS – gym addition funded at $272,000

• R.H. Lee ES HVAC – systemic project funded at $779,000

• George Fox MS HVAC – systemic project funded at $397,000

• Meade HS Science – approved funding of $2,426,000

• Southern HS HVAC – systemic project funded at $1,846,000

• TIMS Electrical – approved two projects funded at $110,000

Note: Balance of AACPS $38 million request has been appealed to the BPW

IAC Project Support to Date



39

Important Dates

February15th BOE Approves Budget

Parham Building – 10:00a.m.

March1st Approved Operating & Capital Budgets

forwarded to County Executive

May1st County Executive’s recommended Operating & Capital Budgets

forwarded to County Council

mid County Council holds Public Hearings

June1st County Council’s deadline to approve final budget

21st Board of Education’s approval of Operating & Capital Budgets

July1st FY2007 Budgets Implemented

1 budget workshop superintendents recommended fy2007 operating & capital budgets january 26,...

Documents

additional increase

percent increase

areas of slide

overall increase

academic achievementsafe

child left

orderly environment

goals of aacps