Budget Reduction Recommendations

February 8, 2010

Evansville Courier & Press

It’s a Nationwide Situation

School funding

cuts to hit in

JanuaryIndiana

All school districts freeze

teacher salariesOhio

Class size incity schoolsrises

New York

School district cuts athletics

Arkansas

Deep funding

cuts for schools

in state budget

Michigan

School district

cuts all sports

programsCalifornia

Music programs face cuts

Minnesota

Budget plan cuts books and school staffVirginia

Evansville Courier & Press

It’s Also a Statewide Situation

School district

budget reduced

by $3 millionLiberty

Budget cut talks

begin, officials

talk tax hikeLindbergh

High school teachers to teach 6 of 7 periods

Lee’s Summit

Vo-tech teacher extended days reduced by 50%Fort Osage

District cuts

$18 million

from budgetSt. Louis

Public schools

ask teachers to

take pay cutSt. Louis

SROs cut due to school budget cuts

Troy

School budget cuts unpopular but crucialKansas City

Budget Reductions

Year $ Reductions FTE Reductions

2008-09 $7,789,817 81.61

2009-10 $4,329,519 71.05

2010-11 $5,652,682 75.03

Total $17,772,018 227.69

Columbia Public Schools

2010-11 Budget Assumptions

Columbia Public Schools

10 percent reduction in state funding

0 percent assessed valuation growth

Conservative estimates in 5-year plan

2010-11 Budget Parameters

Columbia Public Schools

Operate salary schedules, including educational credit

Maintain benefits plan

Support district portion of career ladder funding

Build year-end balances to a minimum of20 percent for 2013-14

Scenario 1: Cautiously Optimistic No Reductions Needed After

2010-11 Budget

Assumptions Improved assessed

valuation assumptions as follows:

0% for 2010-111% for 2011-122% for 2012-132% for 2013-142% for 2014-15

Full state funding in 2010-11 (including return of expected 2009-10 holdback)

Continued full state funding with promised formula increases in 2011-12 and beyond

Results Excess budgets in 2010-

11 until 2014-15 No additional budget

reductions after 2010-11 until 2015-16 or after

Projected fund balances of 24% or higher during 5-year period

Columbia Public Schools

Scenario 2: FlatContinued Reductions Needed

Assumptions Improved assessed

valuation assumptions as follows:

0% for 2010-111% for 2011-122% for 2012-132% for 2013-142% for 2014-15

10% reduced state funding in 2010-11

Flat state funding in 2011-12 and beyond

Results Operating deficit for

2010-11 Additional budget

reductions in 2011-12 through 2014-15

Fund balances trending downward from a projected 19.70% for 2009-10 to a projected 16.69% at 6/30/15

Columbia Public Schools

Scenario 3: Conservative Model

Continued Reductions Needed

Assumptions Improved assessed

valuation assumptions as follows:

0% for 2010-11.5% for 2011-121% for 2012-131% for 2013-141% for 2014-15

10% reduced state funding in 2010-11

Flat state funding in 2011-12 and beyond

Results Operating deficit for

2010-11 Slightly higher

additional budget reductions in 2011-12 through 2014-15than Scenario 2

Fund balances trending downward from a projected 19.70% for 2009-10 to a projected 16.86% at 6/30/15

Columbia Public Schools

Recommendations for 2010-11

Columbia Public Schools

Equity

Efficiency Reorganization

Non-personnel-based Adjustments

(Estimated)

Columbia Public Schools

Description Amount

Materials, services, and supplies $750,000

Facilities usage fees revenue $224,500

Columbia Area Career Center equipment (one-time savings) $200,000

Universal expenses budgeted to Nutrition Services $63,308

Special education materials and supplies $23,540

Total $1,261,348

Personnel Reductions(Estimated)

Columbia Public Schools

Description Amount FTE

Curriculum and Instruction $146,510 3.7

Clerical $350,000 10

Health Services/clerical $100,000 5

Middle school cafeteria supervision $34,500

Media specialists $181,500 3

Secondary (teachers, administrators, and support staff) $1,331,000 22

Elementary (teachers, administrators, and support staff) $769,500 12

Special Education (certificated and paraprofessional) $340,770 7

Elementary guidance $121,000 2

Elementary science specialists $624,965 10.33

Add 1% index on last step of each column (all employees) $(46,250)

Total $3,953,495 75.03

Compensation Reorganization(Estimated)

Columbia Public Schools

Description Amount

Adult Education expenses absorbed into Adult Education budget $70,372

School resource officer reduction—savings after covering increased costs for 2010-11 $40,000

Middle school athletics $38,000

Elementary before- and after-school choir stipends $35,000

Reduction in extended-day contracts ($77,500 in year 2) $154,467

Before- and after-school supervision, K-12 $50,000

Parents As Teachers $50,000

Total $437,839

Managing Long-term Costs

Columbia Public Schools

Competitive salaries$

Student enrollment

Aging buildings

Employee benefits

Budget Reduction Recommendations

February 8, 2010