Date: December 16, 2010
To: Michael Green, SuperintendentSubject: November Financial ReportFrom: Stacy Brown, Director of Business Services
Now that the Auditor's are gone and the CRDC data collection is complete, I have finally gotten a chance to get caught up on the current year financials. I have attached General Fund Budget Status reports for the months of September, October and November and Budget Status Reports through November for the rest of the funds. As you know, the Legislature held a special session last weekend to approve a plan to make cuts in the current 10-11 school year. I had hoped the state would have the pivot tables up in time for board packet to provide updated projected revenues, expenditures and year-end fund balance with this report. However, the tables are not up and I would like to wait until that time to calculate projected fund balance. I will provide this information with December financial info at the second January meeting.
Since this is the first time you have seen the cash flow statement for 10-11, I will give you the explanation of differences for September, October and November.
SEPTEMBER
The cash flow statement (10-11 Budget vs. Actual and Comparison to 09-10) shows revenues $215,000 less than expected, payroll $14,000 greater than expected and accounts payable very close to expected. Revenues are less for a couple of reasons. We received an average of $25,000 in State Forest money the three prior years and less than $1,000 this year. Three of our largest Federal allocations (Special Ed, Title One and National School Lunch) were not completely through the approval process and were not claimed in September, as they had been in prior years. In prior years OSPI paid the National Board bonus of $17,000 in September, but not until October this year. Also, we did not receive Unfunded payments from the KWRL districts. You will see all of these revenues catching up in October and November. Payroll was greater than expected due to increased teacher extra days and time over prior years.
OCTOBER
The cash flow statement (10-11 Budget vs. Actual and Comparison to 09-10) shows revenues $109,000 greater than expected, payroll $29,000 greater than expected and accounts payable very close to expected. Revenues are greater as we caught up on the National School Lunch program, National Board and Unfunded from KWRL. We also received increased Levy Equalization of $18,000, in comparison with prior years. Payroll was greater than expected due to one position (WPS teacher) that was hired, but not budgeted. We also have a number of employees who are on leave for a number of reasons, so we are paying salaries, plus substitute time. Also, with the increase to classified bus drivers (due to taking over the special ed routes) the percentage of payroll in comparison to total expenditures has increased over the past two years. The expected percentage is based upon the three prior years (only one of which has a higher percentage). Most of these reasons for increased payroll will continue throughout the year.
NOVEMBER
The cash flow statement (10-11 Budget vs. Actual and Comparison to 09-10) shows revenues $225,000 greater than expected, payroll $10,000 greater than expected and accounts payable very close to expected. Revenues are greater as we caught up on the Special Ed, Title One and Edujobs programs. We received $45,000 in timber excise tax that we usually receive in February and August and we again received increased Levy Equalization dollars. Payroll was greater than expected, which is expected with the increased teacher salary, increased overall percentage and increased substitute costs.
Budget status reports for all funds for November are attached. I don't see anything that needs explaining, but wanted to point out that we have approximately $332,000 in impact fees at this time. About $110,000 in impact fees will be used to pay for the new portable for Team High.
The enrollment spreadsheets are also attached, with summaries by headcount for September through December and a comparison of budgeted FTE to actual average FTE. I also attached the OSPI Report for FTE so that you can see a month-by-month account of FTE's through December. As you can see, we are down 8 students and almost 8.00 FTE's from November. The average, however, is till 62.11 FTE above budget. We did lose 5 students from Team and I think there is a waiting list there, so that should catch back up. I will keep an eye on it and make conservative projections when looking at it next month..
Please let me know if you have any questions.