To: Asha Riley, Superintendent
From: Stacy Brown, Director of Business Services
Date: December 13, 2024
Subject: November Financial/December Enrollment
As required by RCW, I have attached the September, October, and November Budget Status Reports for all funds. I am working with the software team to get all of the models set up for this year that will give the ability to project monthly revenues, expenditures ending fund balance and cash flow. I will have projected amounts for you with the December financial information in January. Here are a few things of note:
General Fund (pages 1-3):
All of the statements include the budgeted beginning fund balance of $4,300,000 and the actual beginning fund balance is $4,594,903. This means we are starting the year with the fund balance $295,000 more than projected when the budget was being developed. This will help cover some of the unbudgeted expenditures that have come up this year.
This report shows a month-by-month total of the percentage of budgeted revenues received and the percentage of budgeted expenditures spent. In a normal year, we could then compare these percentages to prior years to ensure we are on track. On the revenue side, by November we had collected 25% of the total revenues for the year compared to 19.04% collected this year. This is due to the fact that the majority of property taxes in the last fiscal year were due in October (the second half of the 2024 calendar year levy). On the expenditure side it shows the total percentage of budgeted expenditures spent. The expenditure side includes encumbrances. The encumbrances represent any outstanding Purchase Orders for projects and also the amount owed at this time for all of the base salaries and benefits (this does not include amounts paid for subs, OT, additional time, winter/spring coaches, etc…). Through November this year, we are at 82.82% compared with 83.03% last year. We are slightly below the expenditure levels in 23-24.
Capital Projects Fund (pages 4-6):
There hasn’t been a whole lot of activity yet in the Capital Projects Fund. The only revenues received are investment interest and approximately $12,000 in impact fees. In the expenditure column for September, you can see an encumbrance of $307,864.00. This represents the amount owed for the portable classroom and a small amount remaining that is owed as retainage for the WMS roof replacement. In October, you can see that we spent $155,000, and the encumbrance for the portable decreased, and in November, we also paid for a portion of the portable. The amount owing on the portable is $86,000 and $12,000 on the roof project.
Debt Service Fund (pages 7-9):
The Debt Service revenues and expenditures are sporadic. The majority of the tax revenues are received in October, November, April, and May. You can see a big jump in revenues in October. The bond principal and interest payments are paid in December and June, so those are the only months where you will see expenditure activity. The biggest payment is made in December (principal and interest), so you will see that in next month's statements. December will be the lowest fund balance month for the Debt Service Fund, but we plan for that to ensure we levy enough funds to cover the principal and interest each year and to hold a reasonable amount of fund balance for the rest of the year.
Transportation Vehicle Fund (pages 11-13):
This fund can only be used to pay for school buses or debt related to purchasing school buses. The balance in this fund is at a level where we will not ever need to go into debt for buses. The monthly revenues throughout the year are only from investment earnings. In October, we invoice Kalama, Ridgefield, and LaCenter for their annual portion of the buses, so you see that revenue in October. The only other revenues usually received in this fund come in the form of depreciation from OSPI in August. This year, you may also see some Grant funds deposited into this fund. So far this year we have paid for one bus in September ($144,000) and we have outstanding PO’s for $1,050,000 for buses that were ordered last year but have not yet been received or paid for. We are in the process of ordering 8 diesel buses and 14 electric buses (if approved), so this encumbrance number will increase considerably in December.
Associated Student Body (ASB) Fund (pages 14-16):
Fall is a busy time for the ASB fund as the fall sports bring in the majority of gate receipts received for the year, and the clubs are busy fundraising and running concessions as fundraisers. You can see that the fund balance increased by $72,000 ($373,000 to $445,000) from the first of September through November. The fund has already collected 41.02% of the budgeted revenues for the year yet only spent 22.3%. This is normal for this time of year.
I have attached the enrollment reports for December. The average FTE count for December is 5.24, greater than budget. This is down one head and 2.86 FTE from November. The average for the year is still 7.57, above budget. I talked to Deena today and she has enrolled about 12 students since the December count date. With the holidays, we may lose some, but it’s very hard to predict once the year starts. I also included the Special Education numbers. As of December, we are down 3.67 in PK, but up 4 in the 5-21, which means we are currently right at budget for Special Education. Special Education historically increases throughout the year.
Please let me know if you have any questions on the attached Budget Status or enrollment reports.