2022/23 Second Interim Budget & Financial Report Overview
This report provides important updates on the district's financial status and budget revisions for the 2022/23 fiscal year. It includes details on revenue sources, grant awards, and expenditures, highlighting key figures and changes. The report focuses on the district's ability to meet financial obligations for the current and upcoming school years.
Download Presentation
Please find below an Image/Link to download the presentation.
The content on the website is provided AS IS for your information and personal use only. It may not be sold, licensed, or shared on other websites without obtaining consent from the author. Download presentation by click this link. If you encounter any issues during the download, it is possible that the publisher has removed the file from their server.
E N D
Presentation Transcript
2022/23 Second Interim Budget & Financial Report March 14, 2023 Presented by Anthony Warnecke, Director III, Fiscal Services 1
Second Interim Report Interim Report Purpose: The Second Interim Report represents the district s official revision to the approved First Interim Budget and includes actual financial data through January 31, 2023. It includes revised enrollment & ADA and budget projections for the remainder of this fiscal year. Each school district is required to certify its financial condition twice during the fiscal year. This certification addresses the district s ability to meet its financial obligations for the current year and the next two school years. 2
2022/23 Second Interim Revised Budget General Fund Revenues Boxes are a great way to highlight and separate important information. 2022/23 First Interim Interim 2022/23 Second Change LCFF Sources* Stabilization Calculation $242,006,581 $241,560,603 ($445,978) Federal Title Increases $49,553,450 $49,640,845 $87,395 Boxes are a great way to highlight and separate important information. $88,283,427 $89,159,321 State Transportation $875,894 Local $1,300,286 Donations and Textbook Replacement Fund 12 $7,755,848 $9,056,134 Total Revenue $387,599,306 $389,416,902 $1,817,597 *LCFF = Local Control Funding Formula dollars are generated by students attending school each day 3
Second Interim 2022/23 Total General Fund Revenues Federal 13% $49,640,845 State 23% Local 2% $89,159,321 $9,056,134 LCFF Sources 62% $241,560,603 4
One-Time Grant Awards - Federal Amount Amount Budgeted/ Spent 100% Spend by Major Use ESSER I (Federal) $4.5 M Sept. 30, 2022 PPE, Learning Loss GEER I (Federal) $1.1 M 100% Sept. 30, 2022 Learning Loss Mitigation CARES Act (Federal) $17.7 M 100% May 31, 2021 Learning Loss Mitigation ESSER II (ELO) ESSER III (ELO) ESSER II (Federal) $2.0 M $3.7 M $18.1 M 100% 100% 98% Sept 30, 2023 Sept 30, 2024 Sept. 30, 2023 Summer School HS Summer School Shade Structures - HVAC ESSER III (Federal) $40.7 M 97% Sept. 30, 2024 HVAC Contract GEER II (ELO) $477 K 100% Sept. 30, 2023 Summer School - ESY $88.5 M TOTAL 5
Grant Awards - State Amount Budgeted/ Spent Amount Spend by Major Use Educator Effectiveness Block Grant $3.9 M 4% 2025-26 Professional Development Expanded Learning Opportunities Program $4.2 M ($18.1 M 22/23) 15% ongoing Before & After School Programs total 9- hour days + additional instructional days Senate Bill 117 (State) $305 K 61% Sanitation & PPE In-Person Instruction (State) $7.4 M 98% Sept. 30, 2024 School Reopening March 2021 & Summer Academy/Bootcamp Expanded Learning Opportunities Grant (ELO) $6.5 M 87% August 31, 2024 Additional Instructional Opportunities ELO - Paraprofessionals $1.3 M 100% Sept. 30, 2024 Alternative Dispute Resolution (ADR) $230 K 100% June 30, 2023 Settlements Agreements Learning Recovery Support $1.2 M 100% June 30, 2023 Learning Loss - Behavioral Arts, Music, & Instructional Materials $6.2 M 100% 2025/2026 Increase statutory expenses Learning Recovery Emergency Block $30.3 15% 2027/2028 Behavioral Support Staff $61.5 TOTAL 6
2022/23 Second Interim Budget GF Ending Fund Balances 2022/23 First Interim 2022/23 Second Interim Change $387,599,306 $379,256,738 $7,192,567 $52,739,251 $59,931,818 $389,416,902 $353,896,690 $35,520,212 $52,739,251 $88,274,643 $1,817,596 ($25,360,048) ($28,327,645) + Revenue - Expenses Change in Fund Balance BeginningBalance $0 Ending Fund Balance $28,342,825 $11,412,203 $10,616,901 ($795,302) Required Reserve 7
Contributions When a Restricted Program does not have the revenue to fully fund ALL their expenses OR is a requirement of the grant 1. Special Education a. Expenses tracked by student population ($30,940,247) 2. Routine Repair and Maintenance a. 3% of general fund expenses ($9,830,212) 3. Agricultural Incentive Grant a. Requires a 100% match ($20k) 8
Multi-Year Projections Considerations for 23/24 & 24/25 Projections based on data, criteria, trends & negotiated items COLA for Student Attendance (LCFF) Enrollment & ADA (changes) Unduplicated Pupil Count & Unduplicated Pupil % (increase) Reduction of one-time revenues & expenses Removal of carryovers & one-time revenue/spending from 2022/23 Changes to LCAP due to LCFF COLA and declining student attendance 9
Multi-Year Projections Considerations for 23/24 & 24/25 Projections based on data, criteria, trends & negotiated items Staffing Changes Decreasing Enrollment One time positions in 23/24 (14 - ENT, 4 - Sec Instr. Coaches, 4 - Intervention Teachers Intermediate, 3 - Intervention Teacher Secondary) Impact of the 2021-2022 SERP Automatic Salary Step & Column Employer Fixed Charge Rate Increases STRS 16.92% to 19.10% PERS 25.37% to 27.00% ADA loss 10
2022/23 Second Interim Budget Multi-Year Projections Revenues and Expenses 2022/23 Second Interim 2023/24 Projection 2024/25 Projection GF Revenues $389,416,902 $326,017,585 $325,165,776 GF Expenditures $353,896,690 $362,808,200 $358,748,854 Deficit Spending* $35,520,212 ($36,790,615) ($33,583,078) *Includes spending General Fund (GF) restricted carryover balances. 11
2022/23 Second Interim Budget & Multi-Year Projections GF Ending Fund Balance 2022/23 Second Interim $52,369,148 2023/24 Projected $23,214,273 $45,000 2024/25 Projected $702,302 $45,000 $4,500,000 $30,000 GF Restricted Revolving Cash Commitments $45,000 $12,616,516 $30,000 $12,611,897 $30,000 Liability Checking Accounts Board Assign/Future Educational Support 3% Designated Reserve GF Ending Balance $10,616,901 $88,274,643 $10,884,246 $51,484,028 $10,762,466 $17,900,949 12
10% CAP on General Fund Unrestricted Ending Balances Beginning in 2022-23, for the budget adoption cycle, district reserves will be capped at 10% using the assigned/unassigned ending balance within the general fund and special reserve funds. 2022/23 Second Interim 2023/24 Projected 2024/25 Projected $353,986,690 $362,808,200 $358,748,854 Total Combined GF Expenditures 10% Reserve Cap Max GF Ending Balance Less GF Restricted Less Nonspendable $35.3 M $88,274,643 ($52,369,148) ($45,000) $36.3 M $51,484,028 ($23,214,273) ($45,000) $35.9 M $17,900,949 ($702,303) ($45,000) Designated Future Education Support Assignment + Commitment $25,228,413 $10,616,901 $15K 6.57% $4,500,000 $10,762,466 $1.8 M 3.53% $10,884,246 $17.3 M 7.78% 3% Designated Reserve AUSD Reserve AUSD Reserve Percentage 13
Ending Balances Other District Funds Fund First Interim Second Interim Change Adult Education $22,862 $0 ($22,862) Child Nutrition Svcs $4,216,205 $5,682,331 $1,466,126 Worker s Compensation Self- Insurance Certificated Employee Group Self-Insurance Classified Employee Group Insurance Reserve $319,359 $319,359 $0 $3,779,497 $3,779,497 $0 $399,282 $399,282 $0 $210,889 $210,889 $0 Alvord Education Foundation Trust 14
Ending Balances Other District Funds Fund First Interim Second Interim Change Deferred Maintenance $1,758,480 $1,758,480 $0 Building $253,776 $245,777 ($7,999) Capital Facilities $448,780 $366,884 ($81,896) County School Facilities $143,740 ($3684) ($147,424) Reserve for Capital Projects $4,875,916 $3,857,083 ($1,018,833) 15
Interim Certifications EC 42131 Interim reports require a three-year (current plus two) review period Certification options are: Positive district will meet its financial obligations for the current and two subsequent fiscal years Qualified district may not meet its financial obligations for the current or two subsequent fiscal years Negative district will be unable to meet its financial obligations for the remainder of the fiscal year or two subsequent fiscal years 16
Second Interim Report Recommendation Staff recommends a Positive Certification of the 2022-23 Second Interim Report 17
Next Steps Board Action - Second Interim Report March Budget Development April June Release of Governor s Budget - May Revision May Public Hearing 2023/24 LCAP & Adopted Budget Board Action on 2023/24 LCAP & Adopted Budget June 18
