Annual Budget Warren County R-III School District Warren County, MO USA (636)

Transcription

1 Annual Budget Warren County R-III School District Warren County, MO USA (636)

2 Annual Budget for the Warren County R-III School District Dr. Thomas Muzzey Superintendent Mrs. Pam Frazier Chief Financial Officer Missouri School District: Administration Office 302 Kuhl Ave Warrenton, MO i

3 TABLE OF CONTENTS TABLE OF CONTENTS Introductory Section Letter from the Superintendent... 2 Executive Summary... 3 Meritorious Budget Award... 3 Budget Goals... 5 District Goals... 6 Board of Education... 7 Administration... 8 General District Information... 9 Enrollment... 9 Personnel Budget Summary Financial Summary Budgeted Revenue By Fund Budgeted Revenue By Source Budgeted Expenditures by Fund and Function Budgeted Expenditures by Fund Budget Forecast Budgeted Forecasts Charts: Revenues by Source/Expenditures By Fund- All Funds Revenues by Source/Expenditures by Object- All Funds Revenues by Source/Expenditures by Object- General and Teachers Funds Revenues by Source/Expenditures by Object- General Fund Revenues by Source/Expenditures by Object- Teachers Fund Revenues by Source/Expenditures by Object- Capital Projects Fund Revenues by Source/Expenditures by Object- Debt Service Fund Budget Trends Assessed Valuation Tax Rate Debt Obligation Bond Amortization Schedule Summary Bonding Capacity Student Performance Acknowledgements Summary ii Organizational Section General District Information Enrollment Budget Goals Mission and District Goals Governance Board of Education Board Meeting Schedule Administration Organizational Chart Building Directory District Maps Financial Information Revenue Expenditures Budget Process Budget Development Budget Planning Calendar Budget Management Budget Amendments Capital Projects Budget Financial Section Financial Summary District Revenue District Expenditures Budgeted Revenues by Fund and Object Budgeted Expenditures by Fund and Function Revenues by Source/Expenditures by Fund- All Funds Revenues by Source//Expenditures by Object- All Funds Revenues by Source/Expenditures by Object- General and Teachers Funds Revenues by Source/Expenditures by Object- General Fund Revenues by Source/Expenditures by Object- Teachers Fund Revenues by Source/Expenditures by Object- Capital Projects Fund Capital Projects Budget Facility Improvement Plan Facility Improvement Plan Facility Improvement Plan... 96

4 TABLE OF CONTENTS ANNUAL BUDGET Facility Improvement Plan Facility Improvement Plan Revenues by Source/Expenditures by Object- Debt Service Funds Debt Obligation Bonding Capacity Debt Summary Revenues by Source/Expenditures by Function- All Funds Revenues by Source/Expenditures by Function- General and Teachers Funds Revenues by Source/Expenditures by Function- General Fund Revenues by Source/Expenditures by Function- Teachers Fund Revenues by Source/Expenditures by Function- Capital Projects Fund Revenues by Source/Expenditures by Function Debt Service Fund Revenues by Object- All Funds Revenues by Object- General and Teachers Funds Revenues by Object- General Fund Revenues by Object- Teachers Fund Revenues by Object- Capital Projects Fund Revenues by Object- Debt Service Fund Expenditures by Object-General and Teachers Fund- Salaries and Benefits Expenditures by Object- General and Teachers Funds Other Budget Considerations Informational Section Budget Forecast Weighted ADA Calculation SB 287 Formula Calculation Budgeted Forecasts Charts: Revenues by Source/Expenditures by Fund- All Funds Revenues by Source/Expenditures by Object- All Funds Revenues by Source/Expenditures by Object-General and Teachers Funds Revenues by Source/Expenditures by Object- General Fund Revenues by Source/Expenditures by Object- Teachers Fund Revenues by Source/Expenditures by Object- Capital Projects Fund Revenues by Source/Expenditures by Object- Debt Service Fund Finance Report Property Taxes Market Value Estimations Tax Levy History by Fund Tax Levy Impact on Property Owners Property Tax Levy and Collection History Debt Obligation Schedule of Outstanding Principal Debt Amortization Schedules Student Information Student/Staff Ratios Enrollment and Attendance Rate Calendar Days and Hours Graduation Rates and Analysis Dropout Information Discipline Incidents ACT Scores Student Performance MAP Scores Average Current Expenditures per ADA Special Education Profile Staff Information Personnel Data Salary Schedules Voting Patterns History District Vehicle Log District Calendar Open House Survey Classification of Revenue and Expenditures Revenue by Object Expenditures by Function Expenditures by Object Glossary of Terms iii

5 INTRODUCTORY SECTION I N T R O D U C T O R Y S E C T I O N 1

6 FROM THE DESK OF THE SUPERINTENDENT INTRODUCTORY SECTION The Warren County R-III School District is committed to providing the best education for all students in the district. The district has demonstrated this commitment by successfully completing the redistricting of all elementary students. For the first time in the district s history, attendance boundaries have been drawn to allow students to attend community based K-5 elementary schools. This change has increased parental involvement and support in the elementary buildings. The district has capitalized on this support with the successful introduction to the Singapore math program. The district has also increased the rigor of our high school curriculum through the addition of advanced placement courses. The district has also experienced success by exceeding projected enrollment by 300% with the introduction of the biomedical portion of the Project Lead the Way program. This program emphasizes Science, Technology, Engineering and Math, (STEM) to prepare students for highly technical careers. This district will be adding the 2 nd course of Project Lead the Way during the school year. Student achievement remains the primary focus of the district and early indicators point toward continued improvement for the 2013 Map testing cycle. The district will continue to prepare for full implementation of the common core in 2013 and beyond. The district is extremely large geographically and has a tremendous amount of potential for growth, both residentially and commercially. A major interstate and railway bisect the district and offer great potential for prospective business development. A recent demographic study commissioned by the district projects Warren County R-III to grow steadily over the next 10 years. The district did experience a growth of 150 students during the school year which is larger than expected. The district went through a major building campaign in 2007 adding space to the high school, two elementaries, and building a new elementary school. Based on current enrollment and projected growth the district will not need additional student space in the near future. The district will continue to fully embrace technology in the classroom. Wireless coverage has been added in all buildings which will allow students to have internet access on school owned as well as personal devices. The district continues to experience positive community support as we work collaboratively on implementing the district s new achievement goals. The district has been able to improve the salary schedules for all employee groups over the past two years and also improved all aspects of the human resource department. The business office has once again performed at an exemplary level by receiving the highest rating on the district audit for the past 3 years. The community is optimistic about the continued systematic improvement of the R-III district. We are proud of the progress that the district is making in the toughest economic times in recent history. The district has benefited from sound fiscal management which has allowed class sizes to remain lower than many of the larger districts in St. Charles County. The district will continue to ensure the success of all students and the commitment to continued academic achievement is reflected in this budget. Sincerely, 2

7 INTRODUCTORY SECTION EXECUTIVE SUMMARY We are pleased to present to you the Annual Budget for the Warren County R-III School District. The purpose of this document is to help the reader understand the budget and the process that went into developing the budget. There are four stages in the creation of the District budget: planning, preparation, adoption, and implementation. The stakeholders involved in the process included the Board of Education, the Superintendent s Cabinet, various school personnel, and the community. The District budget is continuously being monitored and amended as needed throughout the year. The District continues to work on maintaining a balanced budget. MERITORIOUS BUDGET AWARD The Meritorious Budget Award Program presented by the Association of School Business Officials International promotes and recognizes excellence in school budget presentation and enhances the school business officials skills developing, analyzing, and presenting a school system budget. The Warren County R-III School District is pleased to announce that the District received the Meritorious Budget Award for the fiscal year. This is the first time that the District has received the award. 3

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9 INTRODUCTORY SECTION BUDGET GOALS The budget process began in December of 2012 when the Board of Education adopted the goals for the annual budget. The goals are: To support academic programs to allow the Warren County R-III School District to be ranked in the top 50% of Missouri schools according to the single MAP index score. Support student learning by improving the technology infrastructure throughout the District in order to support Bring Your Own Technology (BYOT) for all students. The District was ranked 408 out of 521 districts after the school year. The District s rank moved up after the school year to 381 out of 521 districts. Preliminary data shows that scores for the school year should be increasing above the previous year scores. The implementation of Singapore math at the elementary level is a large reason for the anticipated increase. Test results will be released later this summer. The restructuring of the District into three separate PreK-5 buildings this past year should also have a positive influence on MAP scores. The second board goal will be a top priority for all of the educational buildings in the District. This past year the Board policy regarding the use of student owned technology items, including cell phones, was changed to allow students to use their phones at school. The goal is to allow students to access the technology they have in their possession. Teachers throughout the District are creating lessons where the phones can be used to enhance the lesson. All of the educational buildings currently have wireless. The technology department is working on increasing the coverage in the school buildings as well as increasing the infrastructure of the noneducational buildings. The entire campus will be wireless by the end of the school year. Additional mobile labs will be purchased in so that the students have more devices at their disposal to use during class. MISSION The Mission of the Warren County R-III School District is to empower each child to fully reach his or her potential as a life-long learner, a responsible adult, and a contributing member of a diverse society. The District takes this responsibility very seriously. Instruction is adapted to meet the varying needs of students at all levels. Students will enter society at many levels. Whether going straight into the work force, military, community college, four-year college, or a technical college, each student needs to be able to reach his/her full potential to become successful in his/her respective area. 5

10 INTRODUCTORY SECTION DISTRICT GOALS The District s Comprehensive School Improvement Plan (CSIP) directs the overall improvement of its educational programs and services. The strategic plan will guide the district and help determine where resources need to be applied. It is written in accordance with guidelines from Missouri s Department of Elementary and Secondary Education. The guidelines require stating goals in sufficient detail to direct the district improvement efforts for at least a five-year period. The entire CSIP Plan and the details on how the district will work toward achieving these goals can be found on the Warren County R-III School District s website at A more detailed explanation of the CSIP plan can be found in the Organizational section of this budget document. The five goals of the CSIP Plan are: I. The District will develop and enhance quality education and instructional programs to improve student performance and enable students to meet personal, academic, and career goals. II. The District will recruit, train, and retrain highly qualified staff to carry out the district mission, goals, and objectives. III. The District will provide appropriate instructional resources, support services, and functional and safe facilities. IV. The District will promote, facilitate, and enhance parent, student and community involvement. V. The District will govern in an effective and efficient manner, providing leadership and representation to benefit staff, students, parents and patrons. 6

11 INTRODUCTORY SECTION Warren Co. R-III School District Board of Education Teresa Scott President Beth Banze Vice-President Bill Hawley Treasurer Lisa Waltrip Board Member John Bradshaw Board Member John Clinger Board Member Jan Sutherland Secretary Board Mission Statement The Mission of the Warren County R-III School District is to empower each child to fully reach his or her potential as a life-long learner, a responsible adult and a contributing member of a diverse society. 7

12 INTRODUCTORY SECTION Warren Co. R-III School District Executive Administration Dr. Jim Chandler Superintendent Dr. Gregg Klinginsmith Assistant Superintendent Tony Chance Director of Finance 8

13 INTRODUCTORY SECTION GENERAL DISTRICT INFORMATION The district was reorganized in 1949 and is located approximately 50 miles west of St. Louis, Missouri. The majority of the District is located in Warren County, with a small portion in the northern section of the district located in Lincoln County. The district encompasses approximately 245 square miles. Interstate 70 and Highway 47 are the two major roadways in the District. There are approximately 600 employees in the Warren County R-III School District, including substitutes. The District employed 225 teachers in the fiscal year. The student/teacher ratio for 2012 was 19:1 and 55% of teachers have an advanced degree. The average number of years of experience for the professional staff was The Warren County R-III School District provides education for approximately 3,150 students in Kindergarten through 12 th grade. The District s Early Childhood Special Education and preschool programs serve approximately 50 students. Student enrollment increased in by approximately 150 students in grades K-12. The District also increased its number of preschool students by approximately 90 students due to the new preschool program implemented in the district in partnership with Youth in Need. FACILITY OVERVIEW There are five main school buildings in the District; three elementary schools, one middle school, and one high school. The Alpha Academy (at-risk) is located about one mile north of the main campus. The Alpha Academy operates as a part of the high school. There is one Early Childhood Special Education building and many other support buildings such as the transportation garage and the administration building. In 2006, the community supported a bond issue which allowed the District to build a new elementary school and construct additions to another elementary building and the high school. These facilities should have sufficient student capacity for the next five to ten years. In the District purchased the building that housed the Early Childhood Special Education program. The program takes up approximately one third of the building. The rest of the building is currently being finished to house the central office staff and a board/training room. Two additional Early Childhood Special Education classrooms will also be finished to double the size of that program. The building currently housing the central office employees will be converted to a technology center. STUDENT ENROLLMENT PROJECTIONS AND RESTRUCTURING The Warren County R-III School District contracted with Business Information Services, LLC to provide a demographic and enrollment study. The study will help the District plan for the future as well as aided the district in determining boundary lines for the K-5 restructuring that occurred in This was the first year that the District had individual school boundaries. In the past, each school building housed different grade levels. A committee consisting of patrons, parents, and school employees was established to determine if it was in the best interest of the District and its students to restructure the District from three elementary buildings housing different grade levels to having three elementary buildings that all contain PreK-5 students. The end result was the restructuring to the K-5 structure. The study contained enrollment projections for low, medium and high growth as shown in the table on the next page. The projections were based on census data, housing industry, and the economy in general. 9

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15 INTRODUCTORY SECTION ANNUAL BUDGET 11

16 INTRODUCTORY SECTION Enrollment In , , and student enrollment was on the rise by an average of 3% each year. In , as the economy began to decline, enrollment decreased by approximately 1%. Student enrollment was relatively steady the next three years. Kindergarten through 5th grade enrollment continued to slightly increase while enrollment at the secondary levels decreased the last few years. The majority of the decrease in enrollment was at the high school level. For the first time in several years enrollment increased in 2013 by approximately 150 students. Enrollment is expected to increase anywhere from 30 to 50 students in The graph below and the chart on the following page shows the District enrollment levels for the past ten years. Enrollment History 3,200 3,100 3,000 2,900 2,800 2,700 2,600 2,

17 INTRODUCTORY SECTION The following table shows the enrollment history of the District Elementary KG st nd rd th th Total Elem. 1,121 1,156 1,219 1,310 1,350 1,338 1,363 1,367 1,381 1,455 Middle School 6th th th Total MS High School 9th th th th Total HS , Elem. 1,121 1,183 1,233 1,310 1,350 1,338 1,363 1,367 1,381 1,455 MS HS , TOTALS 2,706 2,799 2,851 2,947 3,030 3,002 2,986 2,985 2,959 3,112 13

18 INTRODUCTORY SECTION Personnel Position History by FTE Superintendent Assistant Superintendent CFO Directors Coordinators Principal Assistant Principal Associate Principal Teacher, Classroom Librarian Counselor A+ Coordinator At Risk Social Worker ECSE Teacher/ Diagnostician Psychological Examiner Therapist - Speech Speech Implementer School Nurse Paraprofessional Parent Educator Maintenance Custodian Grounds Technology Administrative Asst Food Service Food Service Asst Manager Lunchroom Monitor Academic Reassignment Bus Drivers Bus Mechanic Latchkey Truancy Officer Work Room Aide Bus Monitor

19 INTRODUCTORY SECTION BUDGET SUMMARY The budget goals were the driving force of all budget decisions made during the development process. A preliminary draft of the budget was given to the Board of Education in May. That budget was then amended in June to reflect the information received from the Department of Elementary and Secondary Education in May and the salary increases approved by the Board of Education at the May meeting. Principals and directors were given budget preparation documents in January for the budget. The documents were returned to central office in February for evaluation. All programs were looked at to determine if there were any areas of excess that could be trimmed. As positions were vacated by resignations or retirements the positions were evaluated to determine if the position should be filled. DATE ACTION PERSON RESPONSIBLE December 13, 2012 Adoption of Budget Goals Board of Education December, 2012 Development of budget prep documents Chief Financial Officer December, Account codes eliminated, corrected, or Finance Coordinator March, 2013 added as needed January 22, 2012 Budget prep documents sent to all buildings and departments Chief Financial Officer January March, 2013 All areas analyzed to determine any excess and reductions that may be necessary Superintendent, Chief Financial Officer, Various Administrators February 28, 2013 Budget prep documents due to CFO Principals, Directors February 28, 2013 Development of five year capital projects budget complete Various Administrators March 21, 2013 Preliminary Budget report to BOE Chief Financial Officer March 31, 2013 Review calls/meetings with budget heads Chief Financial Officer complete April 11, 2013 Preliminary budget given to BOE for review Chief Financial Officer May 09, 2013 Preliminary budget presented to BOE Chief Financial Officer May 09, 2013 Salary recommendations presented to BOE Board of Education, Superintendent/CFO, teacher unions June 13, 2013 Budget presented to BOE for adoption Board of Education, Superintendent, CFO 15

20 INTRODUCTORY SECTION REVENUES Local taxes are expected to be flat for Assessed valuation totals are expected to remain relatively flat even though it is a reassessment year. The District will not receive the assessed valuation numbers from the counties until July. If the assessed value in the district would decrease, the district may be able to roll up the tax levy slightly in order to make up for the decrease in revenue that would result. This should allow the local tax revenue to remain relatively flat. The state funding formula is expected to increase for FY13, due to the fact that the district s average daily attendance and free and reduced counts were up in FY13. Prop C (sales tax) revenue will be $200,000 over FY13 due to the increased enrollment in FY13. The District will receive funding through the state funding formula for summer school. Summer school revenue is expected to be approximately the same amount as what was received in FY13. The revenue received from federal programs is expected to decrease by 5%. To compensate for this decrease the district will decrease spending in these programs. Personnel will not be affected by this decrease. EXPENDITURES Salary and employee benefits make up the largest group of expenditures for the District, making up 70% of the budget. All teachers in the District will receive a step plus $600 in FY14. Each step is $1,000. Classified employees will receive a step plus 25 cents. The raises equate to an approximate 4.0% increase in salary costs. A new administrator salary schedule was approved for all building level administrators. The schedule will go into effect in FY14. The schedule is tied to the highest step on the teachers salary schedule. A weighting factor is then applied to that amount. The elements that make up the factor are for the position, level of education, and years of experience. Classified salaries are paid for out of the general fund, while teachers and administrators salaries are paid out of the teachers fund. District administration and the Board of Education placed a priority on the middle school for FY14. Black Hawk Middle School will be going to a middle school concept. In order to accomplish this, five teaching positions were added. The positions added are Foreign Language, Language Arts (2), Math, and Science. Grades K-5 were restructured for the school year. Instead of the previous K-1, 2-3, and 4-5 buildings each elementary now contains Kindergarten through 5th grade. To implement this change budgets were added to the FY13 budget for additional curriculum supplies and some capital project expenditures. These budgets were eliminated from the FY14 budget. The curriculum supplies were paid for out of the general fund and the capital expenditures were paid for out of the capital project fund. Health insurance costs will be increasing by 8.5% beginning in October, Dental insurance costs are decreasing by 3%. Retirement will remain flat for FY14. 16

21 INTRODUCTORY SECTION Utility budgets were increased $87,000 in FY14. The budget increase will cover any increase in cost from the various utility companies and it covers the cost of a new telephone system. The current system is several years old. New parts for the system are no longer being produced. The Board of Education approved the new phone system in FY13. The budget was also increased for the addition of the ECSE classroom, new administrative offices, and the new tech center. All of these payments are made out of the general fund. The District is in the middle of the building project for the addition of two ECSE classrooms, a tech center, an additional administrative office space, and a training/board of Education room. The project will be completed in August, The remaining expenditures for the project have been included in the FY14 budget. The cost for these projects will come out of the capital projects fund balance with approximately $25,000/year being reimbursed from the ECSE grant for the classrooms. FINANCIAL/BUDGET SUMMARY The Warren County R-III School budget is developed according to state and federal guidelines. The district uses fund accounting which is used by many governmental entities. Fund accounting distinguishes general funds from special purpose funds. The general fund basically contains the day to day operations of the district. It encompasses everything that does not fall in one of the other funds. The special purpose fund is where all salary and benefits expenditures are coded for certificated staff. The debt service fund is where principal and interest payments on General Obligation and Refunding bonds are recorded. The Capital projects funds contains expenditures for lease purchase principal and interest payments, as well as capital project improvements and equipment purchases for items with a useful life of more than one year and a cost of $1,000 or more. The District s total revenue for all sources is expected to be $31,469,766. Total expenditures are expected to be $32,002,935. The total of all funds will be decreasing by approximately $600,000 over FY13, due to the fact that the construction project that is in progress will be spending down the capital projects fund balance. Operating funds (all funds excluding debt service) are estimated to increase by approximately 1%. Capital projects funds will be decreasing by 50%. The debt service fund will increase by 5%. 17

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23 Revenue by Source INTRODUCTORY SECTION Federal 8% Other 0% State 42% Local 47% County 3% Total revenue is expected to be $31,469,766 The majority of the District s revenue comes from local funds (property and sales tax). State funds make up the next largest revenue stream. The chart below shows the District s total revenue receipts for the prior three years, the current year, and the proposed year. Revenue is increasing slightly for FY14. The main cause of the increase is the increase in state formula funding and Prop C due to the growth in enrollment. TOTAL REVENUE BY SOURCE Actual Actual Actual Budget Budget % Change Local 14,407,471 14,300,255 14,354,936 14,670,766 14,853, % County 840, ,825 1,033, , , % State 9,871,845 9,952,302 11,560,081 12,927,199 13,249, % Federal 3,946,952 3,968,829 2,632,525 2,474,770 2,432, % Other 23,822 8,883,722 61,929 10,000 10, % TOTAL 29,090,321 37,859,933 29,642,786 30,992,129 31,469, % 19

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25 INTRODUCTORY SECTION Expenditures by Fund Capital Projects 8% Debt Service 5% General Fund 34% Teachers' Fund 53% Total Expenditures are budgeted at $32,002,935. The largest amount of expenditures are in the Teachers Fund. The Teachers Fund contains all expenditures for certificated staff salary and benefits. Expenditures will be increasing mainly due to an increase in salary and benefit costs. Debt Service expenditures are decreasing according to the existing debt amortization schedules. The chart below shows the history of expenditures by fund. TOTAL EXPENDITURES BY FUND Actual Actual Actual Budget Budget % Change General Fund 9,689,286 9,961,285 10,103,581 10,857,162 10,755, % Teachers' Fund 14,280,882 14,976,495 15,089,438 15,385,133 16,913, % Debt Service 1,623,275 10,538,410 1,458,868 1,640,480 1,630, % Capital Projects 2,495,763 2,455,843 2,565,123 3,746,290 2,703, % TOTAL 28,089,207 37,932,033 29,217,010 31,629,065 32,002, % 21

26 INTRODUCTORY SECTION BUDGET FORECASTS The Warren County R-III School District prepares budget forecasts in its budgeting process each year. Budget forecasting helps district officials make sound staffing and purchasing decisions. Revenue and Expenditures are examined carefully to determine future budget impacts. Historical data and future needs are evaluated in calculating the forecast for each year. Every effort is made to ensure the forecasts are as accurately predicted as possible. As new information becomes available the forecasts are updated. Updates are done concurrently with current year budget revisions. There are many variables that have to be considered when developing the budget and many of those variables are subject to change at any time. Some variables are out of the control of budget officials, therefore it is noted that these forecasts may change at any time. The following pages show the District forecasts for fiscal years Revenue forecasts are conservative. Some expenditures such as health insurance and utilities are expected to increase each year. A increase in salaries is estimated for each year. The forecast show the lease purchase payments decreasing in future years. 22

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28 INTRODUCTORY SECTION Expenditures by Object Funds 1 and 2 Only 31,000,000 30,000,000 29,000,000 28,000,000 27,000,000 26,000,000 25,000,000 24,000,000 24

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32 INTRODUCTORY SECTION Budget Trends Assessed Valuation Assessed valuation totals in Warren County had decreased 1-2% each year for three years until last year when there was a 1% increase. This area will continue to be monitored closely. The tax levy was increased by.0541 cents in FY13. The increased tax levy resulted in approximately $150,000 in new revenue. Assessed Valuation is expected to remain flat in FY14. Current information shows assessed valuation holding relatively flat, therefore current and delinquent tax revenues are also expected to remain flat. $270,000,000 Assessed Valuation $265,000,000 $260,000,000 $255,000,000 $250,000,000 $245,000, Est. 28

33 INTRODUCTORY SECTION Tax Rate The District s tax rate has fluctuated between $ and $ during the past five years. The rate increased in FY13 by.0541 cents. The rate has been increasing slightly the last few years as the assessed valuation has decreased. The tax levy is expected to remain flat in FY14. Tax Rate History Est Debt Obligation The total debt and interest obligations for the Warren County R-III School District are $3,348,680 for the fiscal year. This includes payments on both bond issues paid out of the debt service fund and lease purchases paid out of the capital project fund. The debt service and capital projects levies are expected to remain at the same rate of $ and $ respectively. The debt service fund (3) balance at the end of FY14 will be approximately $1,680,000. The balance in the capital projects fund (4) will be approximately $700,

34 Bond Amortization Schedule Summary INTRODUCTORY SECTION Fiscal Year September/ October Interest March Interest March/ April Principal Total Payments , ,743 2,430,000 3,283, , ,840 2,535,000 3,348, , ,846 2,225,000 2,984, , ,084 1,710,000 2,418, , ,596 1,755,000 2,422, , ,865 1,800,000 2,419, , ,662 1,850,000 2,415, , ,528 1,125,000 1,585, , ,500 1,500,000 1,975, , ,875 1,700,000 2,103, , ,500 1,700,000 2,023, , ,125 1,700,000 1,942, ,750 80,750 1,700,000 1,861, ,375 40,375 1,700,000 1,780,750 Bonding Capacity The state maximum bonding capacity is 15% of the District s assessed valuation. As seen in the chart below, the District is below the limit. Therefore, if enrollment grows as projected during the next ten years, the District could sell bonds, with voter approval, to construct another school building if the need arises. The District does not expect major fluctuations in assessed valuation over the next few years. This calculation is based on local assessed value. If needed, state assessed utilities could be added to the calculation. Fiscal Year Assessed Valuation Bonding Capacity District Total Indebtedness Excess Bonding Capacity Percentage of Bonding Capacity Available 2009 $270,237, $40,535, $19,558, $20,976, % 2010 $267,203, $40,080, $18,689, $21,390, % 2011 $264,678, $39,701, $17,905, $21,796, % 2012 $259,347, $38,902, $16,933, $21,968, % 2013 $259,347, $38,902, $15,953, $22,948, % 2014 $259,347, $38,902, $14,961, $23,941, % 2015 $259,347, $38,902, $13,954, $24,947, % 30

35 INTRODUCTORY SECTION STUDENT PERFORMANCE Working toward the goal of increasing student achievement has been a team effort throughout the district. The goal set by the Board of Education is to have the Warren County R-III School District ranked in the top 50% of Missouri schools according to the single MAP index score. Currently the district is ranked at 381out of the 521 districts in Missouri. In order to work toward this goal, the District has implemented programs such as Singapore math and Project Lead The Way (PLTW). PLTW emphasizes science, technology, engineering, and math to prepare students for highly technical careers. The District has also added two Curriculum Coordinators for the school year. One coordinator will be responsible for K-12 communication arts and the other will be responsible for K-12 math. The following table shows the District return on investment (ROI) as calculated per single MAP index point. The graph on the following page shows Warren County R-III s ROI, which is $10.93, as compared to similar districts. The comparable districts are selected by looking at districts with similar expenditures per ADA, size, and demographics. Warren County R-3 School District Return on Investment per Single MAP Index Point Expenditures per ADA Single MAP Index Score Return on Investment $8, Average Return on Investment for the State of Missouri is $12.57 Warren County has the 207th lowest ratio of Expenditures per ADA to Single MAP index score of the 521 school districts. 31

36 $13 $12 $11 $10 $9 $8 $7 $6 $5 $4 $3 $2 $1 $0 INTRODUCTION SECTION Return on Investment (ROI) for Comparable Districts to Warren County R III (2012) $11.46 $10.72 $10.73 $10.84 $10.93 $10.96 $11.07 $10.43 $10.51 BOLIVAR R I PERRY CO. 32 KIRKSVILLE R III NEVADA R V HANNIBAL 60 WARREN CO. R III REEDS SPRING R IV ST. CLAIR R XIII MERAMEC VALLEY R III Dollars per 1 MAP Index Point 32

37 INTRODUCTORY SECTION ACKNOWLEDGEMENTS Many members of the central office staff helped in the preparation of this budget document. We would like to thank them for their hard work and their attention to detail that made this document become a reality. The Board of Education also played a key role. Their support during the budget planning process and throughout the year has made the budget process much easier. The proactive position of the Board has allowed the district to begin moving forward in the areas of student achievement and employee compensation. SUMMARY This preliminary budget reflects the goals and mission of the Warren County R-III School District. The district is moving forward with initiatives to increase student achievement. Every student will have an opportunity to be successful regardless of the whether they go to work, college, or trade school after graduation. Allowing all students to use technology is a major goal. This will be met by expanding Internet access capabilities in FY14 and introducing students to more technology devices. The budget also reflects the desire to retain quality employees by increasing salary levels. The District needs to be able to offer a competitive salary in order to hire and retain a high quality staff. The fund balance is expected to be 21.2% at the end of the 2014 fiscal year, which shows the ability to achieve the desired goals, yet continue to be fiscally responsible. 33

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39 ORGANIZATIONAL SECTION O R G A S N E I C Z T A I T O I N O N A L 35

40 GENERAL DISTRICT INFORMATION ORGANIZATIONAL SECTION The district was reorganized in 1949 and is located approximately 50 miles west of St. Louis, Missouri. The majority of the District is located in Warren County, with a small portion in the northern section of the district located in Lincoln County. The district encompasses approximately 245 square miles. Interstate 70 and Highway 47 are the two major roadways in the District. The District is one of the largest employers in Warren County, Missouri. The following chart lists the largest employers: Company Business Type Estimated # of Employees Ameriwood Corporation Manufacturing 580 Warren County R-III Schools Education 578 SAF-Holland, Inc. Manufacturing 400 Warren County Government 218 Innsbrook Resort/Conference Center 200 Wright City R-II Schools Education 200 Wal-Mart Retail 200 Child Evangelism Fellowship Other 150 Press Warrenton Oil Company Oil 139 *Source: Warren County Chamber of Commerce Website There are approximately 600 employees (including substitutes) in the Warren County R-III School District. The District employed 225 teachers in the fiscal year. The student/ teacher ratio for 2012 was 19:1 and 60.5% of teachers had an advanced degree. The Warren County R-III School District provides education for approximately 3,110 students in Kindergarten through 12 th grade. Enrollment in K-12 grew by 150 students in the school year. The District s Early Childhood Special Education and preschool programs were expanded to serve approximately 90 students. Through the partnership with Youth In Need, the District will continue to work on increasing the number of Pre-k students. The program increased by 50 students in There are five main school buildings in the District; three elementary schools, one middle school, and one high school. The Alpha Academy (at-risk) is located about one mile north of the main campus. The Alpha Academy operates as a part of the high school. There is one Early Childhood Special Education building and other support buildings such as the transportation garage and the administration building. In 2006, the community supported a bond issue which allowed the District to build a new elementary school and construct additions to another elementary building and the high school. These facilities should have sufficient student capacity for the next five to ten years. The following charts show student enrollment from the past ten years as well as enrollment projections for the next ten years. 36

41 ORGANIZATIONAL SECTION ENROLLMENT HISTORY Elementary KG st nd rd th th Total Elem. 1,121 1,156 1,219 1,310 1,350 1,338 1,363 1,367 1,381 1,455 Middle School 6th th th Total MS High School 9th th th th Total HS , Elem. 1,121 1,183 1,233 1,310 1,350 1,338 1,363 1,367 1,381 1,455 MS HS , TOTALS 2,706 2,799 2,851 2,947 3,030 3,002 2,986 2,985 2,959 3,112 37

42 ORGANIZATIONAL SECTION ENROLLMENT HISTORY On the official count day in September there were 153 more students in 2013 than the previous year. That is a 5 % growth in student enrollment. The District has not seen that type of enrollment increase for many years. Enrollment will be monitored closely in order to prepare for future growth. The graph on this page shows the enrollment history and the percentage of students on free and reduced meals. 3,200 Enrollment History 3,100 3,000 2,900 2,800 2,700 2,600 2, Student enrollment has seen a decline until this past year, while the percentage of students who qualify for free and reduced meals has been increasing. The increase has been more substantial over the past five years as shown in the table below. Free/Reduced % 60.00% 50.00% 48.60% 50.30% 53.00% 54.79% 41.90% 40.00% 30.00% 30.60% 31.60% 33.10% 35.10% 37.70% 20.00% 10.00% 0.00%

43 ORGANIZATIONAL SECTION ANNUAL BUDGET ENROLLMENT PROJECTIONS The following enrollment projections were prepared by Business Information Services, LLC. The chart shows low, medium, and high range predictions through

44 ORGANIZATIONAL SECTION The following table shows enrollment projections based on the same level of increasing enrollment during the next 10 years as occurred during the previous 10 years, but there is no assurance that enrollment growth will continue at the same rate. 40

45 ORGANIZATIONAL SECTION BUDGET GOALS DISTRICT GOALS AND MISSION The budget process began in December of 2012 when the Board of Education adopted the goals for the annual budget. The goals are: To support academic programs to allow the Warren County R-III School District to be ranked in the top 50% of Missouri schools according to the single MAP index score. Support student learning by improving the technology infrastructure throughout the District in order to support Bring Your Own Technology (BYOT) for all students. The District was ranked 408 out of 521 districts after the school year. The District s rank moved up after the school year to 381 out of 521 districts. Preliminary data shows that scores for the school year should be increasing above the previous year scores. The implementation of Singapore math at the elementary level is a large reason for the anticipated increase. Test results will be released later this summer. The restructuring of the District into three separate PreK-5 buildings this past year should also have a positive influence on MAP scores. The second board goal will be a top priority for all of the educational buildings in the District. This past year the Board policy regarding the use of student owned technology items, including cell phones, was changed to allow students to use their phones at school. The goal is to allow students to access the technology they have in their possession. Teachers throughout the District are creating lessons where the phones can be used to enhance the lesson. All of the educational buildings currently have wireless. The technology department is working on increasing the coverage in the school buildings as well as increasing the infrastructure of the non-educational buildings. The entire campus will be wireless by the end of the school year. Additional mobile labs will be purchased in so that the students have more devices at their disposal to use during class. MISSION The Mission of the Warren County R-III School District is to empower each child to fully reach his or her potential as a life-long learner, a responsible adult, and a contributing member of a diverse society. The District takes this responsibility very seriously. Instruction is adapted to meet the varying needs of students at all levels. Students will enter society at many levels. Students going straight into the work force, to a community college, to a four-year college, or to a technical college, need to be able to reach their full potential to become successful in their respective area. 41

46 ORGANIZATIONAL SECTION DISTRICT GOALS The District s Comprehensive School Improvement Plan (CSIP) directs the overall improvement of its educational programs and services. The strategic plan will guide the district and help determine where resources need to be applied. It is written in accordance with guidelines from Missouri s Department of Elementary and Secondary Education. The guidelines require stating goals in sufficient detail to direct the district improvement efforts for at least a five-year period. These goals will help the District meet its budget goals. The entire CSIP and the details on how the district will work toward achieving those goals can be found on the Warren County R-III School District s website at The five goals of the CSIP are: I. Student Performance The District will develop and enhance quality education and instructional programs to improve student performance and enable students to meet personal, academic, and career goals. II. Highly Qualified Staff The District will recruit, train, and retrain highly qualified staff to carry out the district mission, goals, and objectives. III. Facilities, Support and Instructional Resources The District will provide appropriate instructional resources, support services, and functional and safe facilities. IV. Parent and Community Involvement The District will promote, facilitate, and enhance parent, student,and community involvement. V. Governance The District will govern in an effective and efficient manner, providing leadership and representation to benefit staff, students, parents, and patrons. 42

47 ORGANIZATIONAL SECTION The following is a list of the objectives for each of the five goals of the Comprehensive School Improvement Plan: Goal #1 Student Performance The District will develop and enhance quality education and instructional programs to improve student performance and enable students to meet personal, academic, and career goals. Objectives: 1. The District will be in 100% compliance or exceed the state standards as set forth by the fourth cycle of the Missouri School Improvement Plan (MSIP) for Instructional Design Practices. 2. Technology will be fully integrated into the curricula and instruction for all students by June, The District will meet or exceed Adequate Yearly Progress as defined by No Child Left Behind. 4. The District will provide preschool educational activities and programs to eligible district children. 5. The District will increase the number of students participating in the gifted/talented program to meet or exceed state standards as set forth by MSIP. 6. Increase the percent of students participating in preparation courses for postsecondary education and/or employment to 75%. 7. The District will increase the number of student scoring at or above the national mean on the American College Testing exam (ACT) by 5% each year. 8. The District will maintain an attendance rate of at least 93%. 9. The Warren County R-III School District will increase the graduation rate (by 2% each year) to meet or exceed the state standards. 10. Ensure that comprehensive services for all resident children with disabilities, as required by the Individuals with Disabilities Education Act (IDEA) and Chapter 162, RSMO, are an integral component of the District s educational program. 43