I have attached the 2016-17 Budget Vs Actual and Comparisons to 15-16 for June (pages 1-4). Also attached are the June Budget Status Reports for all funds (pages 5-9). In addition to the monthly reports, I have included Projected Revenues/Expenditures and Ending Fund Balance (page 10-11).
Budget vs Actual Comparisons for June
Monthly Revenues
Revenues in June were $272,000 more than expected (page 3). Due to the late approval of the budget, OSPI actually shorted the June apportionment by approximately $66,000.00 (we will receive these funds in July). As a result of this, I would expect our revenues to be short. However, there are a couple of reasons why it is greater than expected. We received about $35,000 more in state forest funds than the average for June. We received $13,000 in Administrative Match fund and 2 full state grants (Homeless Stability, ParaPro Professional Development, and BEST Program) of almost $50,000.00. We also received two months pay for the National School Lunch/Breakfast Program, which is about $52,000 greater than the average.
Monthly Payroll
I have provided many reasons this year why payroll has been greater than expected and this month is no exception.
Monthly Accounts Payable
June accounts payable was only about $9,000 more than expected. I have reviewed all expenditures and find them to be necessary for the operations of the district.
Monthly Ending Fund Balance
As highlighted in blue on the spreadsheet (page 3) the expected ending fund balance is approximately $369,000 less than expected. The main reason for this is the safety net funds of $357,000 that were just approved. We will not receive these funds until July or August, but we have been expending funds to pay for the high cost students all year. We normally receive these funds in July or August, however, we have never qualified for such a large amount, so it really affects the fund balance this year. The projection spreadsheet gives a more detailed picture regarding the ending fund balance.
Projected Sources, Uses, and Ending Fund Balance
The spreadsheet includes projections for all 16-17 funding categories and all 16-17 expenditure categories (pages 10-11). This spreadsheet also identifies where we are spending our levy and miscellaneous revenues. Per the spreadsheet, the district is projected to decrease fund balance by approximately $132,000. This is a positive change of approximately $40,000 since updated in March. I have estimated costs for the summer maintenance projects and they are included in this projection. It is probable that we will need to use some general fund money to pay for the new portable furnishings and possibly site prep work at WIS. As of right now, we do not have enough impact fees to cover all costs and adding portables is not an eligible use of bond funds. We still have a couple of months to collect impact fees this year, so it is possible that we will get enough to cover. If not, the projected fund balance could decrease by more than $132,000.
Enrollment and Running Start enrollment are greater than budget, resulting in increased apportionment. Special Education enrollment is greater than budget and we have some very high need children. We found out we will be receiving $357,000 in Safety Net funds. This is reflected here and resulted in $50,000 less levy funds needed for Special Ed from the March projections. There are some other areas that need adjustments based on budgeted expenditures to actual expenditures. This includes WMS CTE (budgeted 10.0 FTE and are actually only reporting 4.5 FTE) but payroll adjustments have not yet been made.
Total projected expenditures are $30,051,724.00, which is greater than the board approved appropriation ($29,670,372 approved last summer). Included in this month’s board packet will be a resolution to increase the appropriation by approximately $600,000.00.
Please let me know if you have any questions.