Proposed SY Budget and Narrative

Transcription

1 Proposed SY Budget and Narrative Proposed General Fund Budget and Narrative May 4,

2 OVERVIEW We are pleased to submit to the Board of Trustees this Proposed Budget for School Year for Agora Cyber Charter School. Similar to last year s budget, this year s budget was drafted with the goal of improving student achievement, closing academic gaps with which many of our students arrive to Agora; however, this year s budget encompasses the Board of Trustees initiative to self-manage. The budget development process began in August with the hiring of the Liaison Executive Officer and the Liaison Financial Officer. The proposed budget aligns with the charter application and transition plans. The process was a collaborative process between the Agora Board of Trustees and the transition team, all with a goal of continuing to improving the success of Agora students and making Agora the best cyber option in Pennsylvania. In comparison to , this budget reflects similar focus on providing rigorous academic challenge and support to Agora students and families, with additional efforts on improving achievement through the professional development of the entire Agora staff. Although Agora has experienced a sizeable amount of growth over the last 4 years, enrollment growth has slowed and projections show again small growth for Agora is forecasting a student body for the first day of school in September in the vicinity of 10,300 students. For budgeting purposes, and despite the Average Daily Matriculation (ADM) projection, the proposed Budget is based on 9,140 students. Agora Cyber Charter School has made considerable investments with the proposed budget. The following is a brief recap of those items: Student devices and equipment NextGen curriculum Website Student online platform (one sign on for parents, staff and students) Educational materials Financial arrangement Vendors Marketing imitative The Agora Cyber Charter School Board of Trustees is committed to the ongoing strengthening and growth of the school as the premier school of choice for Pennsylvania. This commitment includes providing the best resources to students, families and staff to ensure the success of Agora s students - delivering the best cyber education to students in Pennsylvania. 2

3 FUNDING SOURCES: ASSUMPTIONS AND DETAIL Agora funds are derived primarily from three sources: School district reimbursements, Federal programs funding and State program reimbursements. Overwhelmingly, funding occurs through reimbursement from the 500 school districts across Pennsylvania from which Agora draws its student body. District funding includes funds for both Regular and Special Education students, the latter of whom comprise approximately 21.5% of the school s student population. Additionally, federal grants, including Title and IDEA programs, are available to assist Agora in supporting specialized programs for At-Risk and Special Education students, respectively. Lastly, State program reimbursements for Retirement contributions have grown as the school has grown and the PSERS employer contribution has increased. For planning purposes, and based on enrollment projections, overall funding for SY is projected to be $110.2M dollars. The large majority of funding budgeted at Agora is calculated using projected enrollment levels multiplied by average reimbursement estimated using actual SY rates and PA education budget expectations for the following year. Consider the following formula as a simple way of visualizing this calculation: Average Daily Matriculation X Average School District Reimbursement 9,140 students (ADM) X $8,900 avg. reimbursement/district = $81.5 M For Special Education students, a similar calculation is used. Average Daily Matriculation X Average Special Education Differential 1,828 Special Education (ADM ) X $12,350 avg. reimbursement/district = $22.5M In addition to reimbursement from school districts, Agora has again applied for Federal Title funding, as well as federal IDEA grant funding through the Chester County Intermediate Unit. With preliminary estimates from PDE for Title funds and a small increase expected for IDEA, funding levels for Budget Year are budgeted at $3.93M for Title and $1.65M for IDEA. Taken as a whole, the local, state and federal funding sources provide Agora with an overall estimated funding level of $110.2M for the coming school year. 3

4 EXPENDITURES: DESCRIPTION AND DETAIL Similar to SY , the largest cost categories for Agora remain those activities and services relating to the Direct Instruction of Agora students a total of approximately $72M million, or 75% of the total Agora budget. Additionally, the school will spend nearly $12 million on related services to our Special Education student population. Description of certain key expenditures (in excess of $1 million) follow: (Note: Expenditures are based on enrollment assumptions of 9,140 students on Opening Day and 9,140 Average Daily Matriculates over course of the year. Costs will grow or shrink proportionally if actual enrollments are higher or lower than current projections.) Teacher Pay, Benefits and Expenses $55.4M Salaries and ancillary benefits and/or allowances, stipends, performance bonuses and related expenses paid to Agora s core teaching staff, including Regular and Special Education teachers. The proposed budget contains approximately 580 teaching positions, family coaches, and counselor positions. These positions are budgeted in proportion to projected student enrollment levels. Curriculum Delivery (NextGen) $7.2M This category consists of student accounts and access to the online curriculum and learning platforms, known as the On-Line School (OLS). Agora is introducing NextGen middle school curriculum and utilizing K12 curriculum for K-5 and High School. Instructional Materials (EdMaps) $600K This category consists of physical learning tools, including textbooks, workbooks, audio CDs, various kits (e.g. science labs), and related items. Agora is charged by K12 on a perstudent, per-set basis, as per the contract between Agora and K12 Inc. Computers, Peripherals & Software (GDC) $4.5M This category includes: Hardware, including laptop; Peripherals, such as printers or printer/scanner multi-function units, accessories (e.g. headset/microphone), Microsoft 365 and software required to access school curriculum and/or complete assignments. Special Education, Related Services $9.5M This category includes all evaluations and therapy services provided to Agora Special Education students in accordance with their Individual Education Program (IEP). Agora contracts with more than 50 certified vendors and specialist organizations across the state to deliver high-quality, local delivery of necessary services to students to augment academic achievement and improve life skills. 4

5 Student/Family Internet Reimbursement $1.4M Cyber charter schools are obligated by Pennsylvania Department of Education to provide reimbursement of high-speed internet connections to all eligible student households. For SY , Agora will reimburse each household who submits the required documents. Payment will be made two times a year (December and June) for the 10 months that comprise the school year. The reimbursement rate for SY will be $35 per household, per month. School Year Proposed Budget Summary 5

6 FY Budget K-8 Ending Enrollment 4,570 HS Ending Enrollment 4,550 Total Ending Enrollment 9,140 Total Proposed FUNDING SOURCES: FY 2015 Budget Basic Formula Funding - K-8 and HS $ 81,346,000 Special Education Funding - K-8 and HS $ 22,575,800 Title I $ 3,548,040 Title II $ 45,667 Title I SIG $ 40,403 IDEA $ 1,649,918 Title I FY13 Carryover $ 300,000 Interest Income / Other $ 708,880 Total Funding $ 110,214,708 $ 39,931,308 Instruction: Teachers 55% Salary - Regular, Curriculum, PD $ 15,105,000 Salary - Special Ed $ 12,005,000 Salary - ICs / Advisors / Counselors $ 505,000 Salary - Marketing, Retention and PR $ 990,400 Salary - Technology $ 550,000 Salary - Operations $ 180,000 Salary - HR $ 345,000 Salary - Business Office $ 355,000 Salary - Compliance $ 395,000 Salary - Federal Coordinator, Grant Writer $ 150,000 Salary - Title $ 3,475,908 Salary - CEO/CFO $ 420,000 Salary - Other Learning Center $ 500,000 Salary - Support $ 4,545,000 Salary - Curriculum $ 410,000 Benefits $ 21,962,219 Travel $ 200,000 Phone $ 350,741 6

7 Instructional Materials $ 256,750 Professional Development $ 928,750 Communication $ 512,550 Marketing $ 2,179,225 Retention and Enrollment $ 602,737 Support Testing $ 414,990 Curriculum Delivery $ 4,505,000 Printing, Mailing, Postage $ 15,000 Tuition reimb. $ 125,000 ISP $ 50,000 Total $ 72,034,270 Instruction: Students ISP $ 1,400,000 K12 Charges Other $ 12,216,667 Total $ 13,616,667 Student and Family Services Special Ed Contracted Svcs & Other Related Exp. $ 9,446,566 Non-K12 Other $ 225,000 Total $ 9,671,566 School Administration & Governance Legal Services $ 300,000 Payroll Services $ 93,262 Auditing - External $ 27,500 Board Development & Training $ 7,500 Administrator Travel $ 39,000 Administrator Phone $ 25,000 Admin Computer, Peripherals, & Software $ 40,000 Temporary employees $ 50,000 Total $ 582,262 Technology Technology Services $ 13,247,929 Non Other $ - Total $ 13,247,929 Insurance / Facilities / Other Rent $ 494,321 Maintenance/Repair Facility $ 72,302 Water & Electric $ 25,513 Internet Connection $ 5,500 Conference calls $ 2,725 Copier / Fax Lease $ 51,882 Outside Copying $ 3,000 7

8 Office Postage and Shipping $ 103,215 Office supplies and equipment $ 42,000 Computer equip. & installation $ 43,352 General Liability Insurance $ 168,025 Bank fees $ 6,000 Depreciation $ 40,973 Non Other $ 3,206 Total $ 1,062,014 Total School Expenditures $ 110,214,708 Profit/Loss $ 0 8