Public Schools of Petoskey

Spring 2005 Budget Update

Current Projections with No Changes

04-05 05-06 06-07

Revenue $23,620,886 $23,078,401 $23,815,352

Expenses $24,320,117 $25,440,248 $26,707,803

Profit / Loss ($699,231) ($2,361,847) ($2,892,451)

Expected Fund Balance

$2,979,221 $617,374 ($2,275,077)

Fund Balance Target – 4.3 Weeks of Expenses

04-05 05-06 06-07

Projected Fund Balance

$2,979,221 $617,374 ($2,275,077)

Target Fund Balance

$2,000,000 $2,136,981 $2,243,455

Cuts/Revenue Needed

-0- $1,519,607 $4,518,532

Cuts if 05-06 is Balanced

$1,550,000

Submitted Cost Savings Ideas – Page 1

Cost Savings Idea Savings

Administration position $117,930

Teaching staff position (Non ESP) $64,690

Classroom aide position (177 work days) $26,680

Librarian position $87,859

Technology tech position (260 work days)

$56,986

District nurse position $14,213

District social worker position $95,663Note: Amounts shown are the total cost. That includes salaries and fringe benefits combined.

Submitted Cost Savings Ideas – Page 2

Cost Savings Idea Savings

Secretarial position (Avg 210 work days) $46,475

Non-union support staff position $44,591

Custodial position (260 work days) $49,236

Eliminate noon hour monitors $78,385

Health insurance changes $TBD

Contract for substitute teacher calling $30,000

Privatize all support services K-12 (Est.) $898,885

Driver education program eliminated $34,698Note: Amounts shown are the total cost. That includes salaries and fringe benefits combined.

Submitted Cost Savings Ideas – Page 3

Cost Savings Idea Savings

Art/Music/PE eliminated K-12 $477,355

Community Ed eliminated $34,912

Offer only half day kindergarten $90,019

Reduce supply budgets 10% $110,000

Reduce transfer to Athletics $50,000

Eliminate non-grant conference fees $32,000

Reduce technology repair budget $16,278

Note: Amounts shown are the total cost. That includes salaries and fringe benefits combined.

Submitted Cost Savings Ideas – Page 4

Cost Savings Idea Savings

Eliminate transportation for field trips $37,846

Property/Casualty insurance changes $25,000

Eliminate 9-12 bussing $125,000

Savings per day school year is reduced $18,000

Teacher takes ESP, district replaces $30,546

Teacher takes ESP, not replaced (Gross)

After expenses (Net)

$95,258

$61,219

Note: Amounts shown are the total cost. That includes salaries and fringe benefits combined.

Timeline

March 7:

March 17:

April 14:

April 21:

June16:

ESP Closes

Revised Projection to BoardBudget reduction plan recommended

Budget reduction plan discussed

Budget reduction plan finalized

FY 2005-06 Budget Approved

Questions

Understanding FundsGeneral Fund Sinking Fund

What Are We Asking For?

Renewal of 1.32 mills

Lasts for 7 years

Strictly for major repairs, renovations and / or property and property improvements

What Will We Do With The $$’s?

Boilers & HVACWindows & DoorsRoofingPavingPlumbing & ElectricalExterior RepairClassroom AdditionsAuditorium RenovationsPossible road access into & out of main campus