REPORTS TO THE BOARD

Financial Report

Date:                July 20, 2011

To:                   Michael Green, Superintendent
Subject:            June Financial Report
From:               Stacy Brown, Director of Business Services

Attached are the June 2011 monthly cash flow statement for the general fund and budget status reports for all funds for the month of June.   I have also included the 10-11 Sources/Uses and Projected Fund Balance spreadsheet with updated numbers for this year.

The cash flow statement (10-11 Budget vs. Actual and Comparison to 09-10) shows revenues $411,000 less than expected, payroll $29,000 greater than expected and accounts payable $60,000 less than expected. Revenues are less than expected due to the delay in apportionment authorized by the legislature.  We received the majority of the apportionment on June 30^th, but with the delay, about $300,000 was received on July 1^st.  The rest of the difference consists of lower or no dollars received for property taxes, state forests, admin match and Medicaid reimbursements in comparison to prior years.  Payroll was greater due increased extra certificated days, additional training paid in the areas of Navigation 101 and Special Ed and vacation buy-back for administrators.  Vacation buy-back is paid in June and with budget cuts the administrators gave up this reimbursement the past two years.  Expenditures are less than expected for a couple of reasons.  Last year, we spent more than $18,000 on a lighting project and also had a fuel dump, which bumped fuel costs about $50,000 greater than what was spent in June of 2010.

The Projected Sources/Uses/Ending Fund Balance spreadsheet calculates an unreserved increase in fund balance of approximately $203,000.  As noted in previous months, it looks like we will finish the year with an unreserved fund balance just under $2,000,000.  The increased students greater than budget have given the district the ability to bank some fund balance for the next year and also to get some projects done this summer that have been put off until the funds were available.

Fund balance statements for all funds for June are attached.  As you can see, the General Fund fund balance looks very low ($1,345,000).  June is normally only a 4.5% apportionment month and was even lower this month due to the apportionment delay.  Apportionment revenues increase back up to 9% for July and August and expenditures (payroll and accounts payable) will decrease in these months, increasing the fund balance back up to normal levels.  I also have not made the state forest fund transfer yet from Debt Service/Capital Projects.  The transfers will be made next month.  I do not see any other specific areas identified on these reports that need explanation, that are not explained through the cash flow and projections summary.

Please let me know if you have any questions.