2019-20 FIRST INTERIM REPORT

Martha Corona

Director, Fiscal Services

November 19, 2019

PURPOSE OF INTERIM REPORTS

➢Required by Education Code

➢Provide an update to the governing board of the status of the district’s revenues and expenditures with the most updated information since budget adoption

➢To certify to Ventura County Office of Education that the district is able to meet the state required reserve level for the current and two subsequent years

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GENERAL FUND REVENUES

LCFF $40,083,689

Federal Revenue $3,003,016

Other State Revenue $4,264,610

Other Local Revenue $2,533,691

Total Revenue $49,885,006

LOCAL CONTROL FUNDING FORMULA COMPONENTS

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Our unduplicated pupil count is 78.32%

Supplemental Funding is an additional

20%

Percentage above the 55% threshold

(78.32 - 55) = 23.32%

Concentration Funding is an additional

50%

Component Totals Target Amounts

Base Grant $29,935,286

Grade Span Adjustments $1,171,061 (K3) & (9-12)

Supplemental $4,872,498

Concentration $3,627,000

Transportation $477,844

2019/20 LCFF

Entitlement$40,083,689

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GENERAL FUND EXPENDITURES

Salary and Benefit Expenditures =

$41.1M or 78.4%

General Fund Expenditures Amount

Certificated Salaries $18,522,171

Classified Salaries $7,769,101

Employee Benefits $14,852,418

Books and Supplies $2,810,387

Services, Operating Expenses $6,725,095

Capital Outlay $684,735

Other Outgo/Transfers Out $657,177

Total $52,021,084

GENERAL FUND REVENUE COMPARISONBUDGET- 45 DAY UPDATE TO FIRST INTERIM

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Budget- 45 Day Update 19/20 First Interim DifferenceREVENUES

LCFF $40,140,576 $40,083,689 ($56,887)

Federal Revenues $3,013,175 $3,003,016 ($10,159)

State Revenues $3,080,080 $4,264,610 $1,184,530

Local Revenues $2,201,540 $2,533,691 $332,151

TOTAL REVENUES $48,435,371 $49,885,006 $1,449,635

GENERAL FUND REVENUE COMPARISON DETAIL

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LCFF Revenues

Decrease in Unduplicated Pupil

Count percentage $ (56,887)

$ (56,887)

State RevenuesSTRS on Behalf Pension

Contribution 1,118,793$

CTEIG/CTE/ROP/SWP 63,500$

Other 2,237$

1,184,530$

Local Revenues

Donations 42,665$

Lease/Rent & Other 52,044$

Workers Compensation

dividend distribution 237,442$

332,151$

GENERAL FUND EXPENDITURE COMPARISON

BUDGET- 45 DAY UPDATE TO FIRST INTERIM

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Description

Budget- 45 Day

Update 19/20 First Interim DifferenceEXPENDITURES

Certificated Salaries $18,332,152 $18,522,171 $190,019

Classified Salaries $7,385,499 $7,769,101 $383,602

Employee Benefits $13,225,871 $14,852,418 $1,626,547

Books and Supplies $1,835,188 $2,810,387 $975,199

Service and Operating Expense $6,390,270 $6,725,095 $334,825

Capital Outlay $381,448 $684,735 $303,287

Other Outgo/Transfers Out $539,094 $657,177 $118,083

TOTAL EXPENDITURES $48,089,522 $52,021,084 $3,931,562

GENERAL FUND EXPENDITURE COMPARISON DETAIL

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Books and SuppliesRestricted 114,619$

Unrestricted Site Allocation Carryforward 161,163$

Technology (carryover 1x mandated costs) 81,875$ LCAP Technology budget (carryover- computers for elementary students) 343,967$

Donation Accounts 147,405$

CTE/ROP/CTEIG/SWP 60,995$

Lottery 45,000$

Other 20,175$

Total Books and Supplies 975,199$

Employee Salaries

Certificated Management- 3%

retroactive payment and increase 138,283$

Other- New positions, Hourly &

Vacancies not filled 51,736$

Total Certificated 190,019$

Classified, Confidential and Classified

Management- 3% retroactive payment

and increase 382,245$

Other- Classified new/changes

positions, hourly 1,357$

Total Classified 383,602$

Employee Benefits

STRS on Behalf Pension Contribution 1,118,793$

Health & Welfare 426,450$

Statutory Benefits 81,304$

Total Employee Benefits 1,626,547$

GENERAL FUND EXPENDITURE COMPARISON

DETAIL

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Service and Operating ExpenseTravel/Services- Federal programs 69,505$

Liability Property insurance 66,220$

Special Education contracts 37,000$

College Readiness contracts 19,000$

Farm Fertilizing 37,000$

Utilities, Communications, Dues &

Memberships 44,600$

Technology Contracts 61,500$

Total Service and Operating Exp. 334,825$

Capital OutlayTechnology (carryover LCAP technology budget) 216,033$

Equipment- playground

equipment, site improvements 87,254$

Total Capital Outlay 303,287$

Other Outgo/Transfers OutFund 120- Preschool Contribution3% Retroactive payment and salary

increase 44,281$

Health and Welfare increase 73,802$

Total Other Outgo/Transfers Out 118,083$

COMPONENTS OF ENDING FUND BALANCE: GENERAL FUND

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Beginning Fund Balance $7,304,173

Revenues $49,885,006

Expenditures $52,021,084

Ending Fund Balance $5,168,095

Components of Ending Fund Balance:

Restricted & Assigned $3,458,003Restricted - $697,160; Other Post Employment Benefits -

$275,000; Board Reserve - $2,080,843, TK-5 ELA Adoption -

$405,000

Designated for Economic Uncertainties $1,560,633

(3% of Expenditures and Transfers Out)

Undesignated Ending Fund Balance $149,459

MULTI-YEAR PROJECTION ASSUMPTIONS

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The budget is often referred to as a “living document ” which must be revised whenever

conditions/assumptions change. We reflect those changes in the 1st & 2nd Interim Financial Reports.

2019-20 2020-21 2021-22

LCFF:

COLA 3.26% 3.00% 2.80%

Gap Funding Rate 100.00%

Gap Funding Amount

ADA 3,613.14 3,613.14 3,613.14

Staffing:

Certificated Step & Column 1.50% 1.50% 1.50%

FUTA Salary Cost 209,533$ 212,676$ 215,866$

Classified Step 1.00% 1.00% 1.00%

CSEA Salary Cost 61,014$ 61,624$ 62,240$

MULTI-YEAR PROJECTION ASSUMPTIONS (CONTINUED)

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2019-20 2020-21 2021-22

H&W Increase

Certificated - 1.6%

Classified /

Confidential /

Management - 14.4%

0.00% 0.00%

STRS Increase - Employer

Contribution Rate 17.10% 18.40% 18.10%

Increase in Rate 5.04% 7.60% -1.63%

Estimated Cost 2,767,633$ 3,053,938$ 3,023,489$

Increase in Cost 132,169$ 286,305$ (30,449)$

PERS Increase - Employer

Contribution Rate 19.72% 22.70% 24.60%

Increase in Rate 9.18% 15.11% 8.37%

Estimated Cost 1,618,378$ 1,820,797$ 1,994,377$

Increase in Cost 245,993$ 202,419$ 173,580$

MULTI-YEAR PROJECTION ASSUMPTIONS (CONTINUED)

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2019-20 2020-21 2021-22

Budget Reductions

Staffing: Classified, Confidential

and Management

3% Retroactive Payment (425,102)$

Books, Supplies & Equipment:

One-Time Technology budget for

Instructional materials (fully

expend in 19-20) (20,764)$

One-Time Technology budget for

equipment (fully expend in 19-20) (405,078)$

Unrestricted Carryover Funds (145,673)$

Capital Outlay

One-Time Technology budget

(fully expend in 19-20) (216,033)$

Transfers Out

Fund 120- Preschool Program

contribution

3% Retroactive Payment for Staff (44,281)$

MULTI-YEAR PROJECTION

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FY 19/20 FY 20/21 FY 21/22

Beginning Fund Balance $7,304,173 $5,168,095 $5,306,012

Revenue $49,885,006 $50,443,850 $51,622,971

Expense $52,021,084 $50,305,933 $50,778,796

Ending Fund Balance $5,168,095 $5,306,012 $6,150,187

Less Restricted & Assigned $3,458,003 $3,722,029 $4,430,735.00(Assigned: Other Post Employment Benefits, TK-5 ELA Adoption, Board Reserve 19/20- 4%, 20/21- 5%, 21/22- 7%)

Less Designations $1,560,633 $1,509,178 $1,523,364(3% Reserve Requirement)

Undesignated Balance $149,459 $74,805 $196,088

BUDGET CERTIFICATION

FUSD is requesting a Positive Budget Certification.

This means that based on current projections the district will meet its financial obligations for the current fiscal year and two subsequent fiscal years.

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NEXT STEPS IN THE BUDGET PROCESS

December Submit 2019-20 1st Interim Report to VCOE

Submit 2018-19 Audit Report to State Controller’s Office

January Governor’s Budget Proposal

Audit Presentation

May Governor’s May Revise

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QUESTIONS