Budget Consultation Forum

Transcription

1 Budget Consultation Forum Meadows School Gymnasium nd Street Brandon, MB February 10, :00 p.m Budget Public Consultation.aspx

2 AGENDA 7:00 7:10 Welcome and Introduction Mr. M. Sefton, Board Chairperson 7:10 7: Preliminary Budget Information Mr. K. Sumner, Finance Committee Chairperson Mr. D. Labossiere, Secretary Treasurer 7:30 8:45 Receive Public Feedback Town Hall Format Mr. K. Sumner, Finance Committee Chairperson (Moderator) 8:45 9:00 Closing Comments/Collection of Surveys Mr. M. Sefton, Board Chairperson 9:00 9:30 Conversation with Brandon School Division Trustees All Trustees

3 Mission The Brandon School Division strives to enable each student to achieve maximum intellectual, emotional, social and physical growth. We accomplish this through the provision of programs and services which facilitate the development of students as healthy contributing members of society.

4 Vision Statement To be a centre of educational excellence, built on community partnerships, effective leadership, and exemplary practices.

5 Ward 1 City of Brandon 8 Trustees Ward 2 Rural Area 1 Trustee Total Staff Complement 1,100+ Total Enrollment 8,562 (Sept. 30, 2015) Facilities 22 School Buildings 3 Additional Buildings 1,094,206 sq. ft. building space Transport 3,039 students 32 School Bus Routes 12 Maintenance Vehicles

6 Preliminary Budget Outline 1. Factors Impacting Budget Considerations 2. Budget Development Process 3. Budget and Sustainability Requests for the Operating Budget 4. Special Levy and Property Tax Scenarios 5. Next Steps

7 1) Factors Impacting Budget Considerations Budget impact on the 2016 Special Levy Enrollment Changes Programming for the increasing diversity of student learning needs Provincial legislation Infrastructure and Support for Program Delivery Collective Agreement Costs Uncertainty of Funding Facility Sustainability Contingency Funds and Reserves Planning for a New School

8 Enrollment Increase of 158 students from September 2014 to September For budgeting purposes, we are projecting a 1.6% (135 students) growth in enrollment.

9 Enrollment BSD Enrollment History at September 30th 7,036 7,218 7,333 7,676 7,932 8,203 8,329 8,404 8,562 8,697

10 2) Budget Development Process Comparison to the Manitoba Provincial Average Establishing Guidelines for the Preliminary Budget Preparation Meeting with Stakeholders Estimating revenues and expenditures Developing Staff Budget Accumulated Surplus and Reserves

11 Comparison to Manitoba Provincial Average FRAME BUDGET REPORT Provincial Average Brandon School Division Operating Fund Expenditure/Pupil $ 12,687 $ 11,327 ** 6th lowest in Province Pupil/Teacher Ratios Regular Instruction Educator Divisional Administration Cost/pupil $ 444 $ 396 Special Levy Mill Rate for

12 Brandon School Division Revenue By Source Revenue By Source Provincial Average BSD Provincial 61.8% 61.2% Municipal 32.4% 37.2% Municipal 37.2% Federal 0.2% 0.0% Other Divisions 0.5% 0.4% Provincial 61.2% First Nations 4.1% 0.3% Private 0.8% 0.8% Other 0.2% 0.1% Other 0.1% Federal 0.0% Other Divisions 0.4% First Nations 0.3% Private 0.8%

13 BSD Expense by Function Expense by Function Provincial Average BSD Regular Instruction 59.9% Regular Instruction 55.5% 59.9% Student Support Services 18.4% 20.6% Fiscal & Transfer to Capital 1.7% Operations & Maintenance 8.4% Transportation of Pupils 2.5% Instructional & Other Support Services 3.0% Divisional Administration 3.5% Student Support Services 20.3% Community Education 0.4% Community Education 1.3% 0.4% Divisional Administration 3.5% 3.5% Instructional & Other Support Services 3.4% 3.0% Transportation of Pupils 4.4% 2.5% Operations & Maintenance 11.7% 8.4% Fiscal & Transfers to Capital 1.7% 1.7%

14 BSD Expense by Object Expense by Object Provincial Average BSD Salaries & Employee Benefits 82.7% 85.4% Services 9.3% 6.4% Supplies & Materials 6.3% 6.3% Fiscal & Capital 1.7% 1.9% Salaries & Employee Benefits 85.4% Services 6.4% Supplies & Materials 6.3% Fiscal & Capital 1.9%

15 Establishing Guidelines for the Preliminary Budget Preparation Motion 122/2015 That the following guidelines be initiated for the 2016/2017 Preliminary Budget preparation: A 2.0% inflationary increase for the Capital and Maintenance Budget; Inflationary increases be provided as advised by suppliers for non controllable expenditures, e.g.: employee benefits, insurance, school bus maintenance, taxes and utilities; A 3.0% inflationary increase provided for controllable services and supplies; A 2.0% inflationary increase on the school instructional supply budget; The Budget provide for expected enrollment growth

16 Finance Governance Goals for Implement a multi year budget strategy to plan for future sustainability; to achieve long term goals. Subject to Provincial funding support attempt to limit special levy increases to the sum of inflationary pressures plus enrolment growth.

17 Summary of Staff FTE for Budget Teaching Support Staff Total Function Regular Instruction Student Support Services Community Education and Services Administration Instructional & Other Services Transportation Operations and Maintenance FTE = Full Time Equivalent , ,151.31

18 Accumulated Surplus and Reserves Accumulated surplus as of January 31, 2016 is $2,146,645. This is 2.29% of the OperatingBudget. External Auditor recommends 5% Manitoba Education mandates maximum 4%

19 Accumulated Surplus Operating Fund Projected Accumulated Surplus Accumulated Surplus July 1, 2015 $3,021,099 Less: Transfers from/(to) Capital Reserve 0 Less: Designated Surplus (457,800) Less: Non vested Sick Leave (416,654) Unallocated Accumulated Surplus as of January 31, 2016 $2,146, Operating Budget $93,839,700 % of Unallocated Surplus on Budget 2.29% % of Accumulated Surplus using PSFB calculations on Budget 3.70%

20 Capital Reserve Reserves January 31, 2016 Balance School Bus $ 644,801 Building Administration 175,526 Building Schools 411,557 Emergency Equipment/Systems Replacement 100,000 Administration Office Roof 220,000 Computer Disaster Recovery System 270,000 Computer ERP System 800,000 Maintenance Garage Addition (Bus Bays) 450,000 New School 1,000,000 Total $ 4,071,885

21 Preliminary Operating Budget BUDGET INCREASE BUDGET BUDGET (DECREASE) % REVENUES Provincial Government 57,498,800 60,341,500 2,842, % Federal Government 20,000 18,500 (1,500) -7.5% Municipal Government 34,923,500 35,038, , % Other School Divisions 333, ,700 (5,100) -1.5% First Nations 247, ,100 (54,500) -22.0% Private Organizations and Individuals 728, ,700 26, % Other Sources 87,400 91,400 4, % 93,839,700 96,766,300 2,926, % EXPENDITURES Regular Instruction 55,773,500 58,169,800 2,396, % Student Support Services 19,204,200 20,279,700 1,075, % Community Education and Services 374, ,200 2, % Divisional Administration 3,087,600 3,202, , % Instructional & Other Support Services 2,865,900 3,034, , % Transportation 2,294,000 2,409, , % Operations and Maintenance 7,795,600 7,975, , % Fiscal 1,630,100 1,699,900 69, % 93,025,700 97,148,000 4,122, % Transfers To Capital 814, ,900 (25,100) -3.1% 93,839,700 97,936,900 4,097, % NET SURPLUS (DEFICIT) - (1,170,600) (1,170,600)

22 3) Budget and Sustainability Requests Budget and Sustainability Requests Staff Positions Amount Trustee / Board Committee Requests Facilities / Transportation $ 600,000 Human Resources ,039,900 Supplies 33,000 Senior Administration Sustainability Requests $ 2,672,900 Facilities / Transportation 3.00 $ 300,700 Human Resources ,100 Supplies 7, $ 932,300 Total Budget and Sustainability Requests $ 3,605,200

23 4) Special Levy (Municipal Taxes) Tax and budget increases/decreases in past years affect the operating budget Budget committed an increase of $1,552,462 or 3.74% on the 2016 Special Levy. The 3.74% mill rate increase is before factoring changes to property assessment, changes in revenue or expenditures. Budget decisions made this year will impact the 2017 Special Levy. Budget Shortfall of $1,170,600 on the operating budget.

24 Effect of the School Year Budget School Year Budget School Year Budget School Year Budget 43.5% 56.5% 43.5% 56.5% 43.5% 56.5% Special Special Special Special Levy Levy Levy Levy (Municipal taxes) (Municipal taxes) (Municipal taxes) (Municipal taxes)

25 Property Taxes For Education Historical property taxes based on a home in the Brandon School Division with a 2015 average assessed value of $225,000. Year Assessed Value $ 184,485 $ 200,000 $ 200,000 $ 225,000 $ 225,000 Property Taxes for Education $ 1, $ 1, $ 1, $ 1, $ 1, Change $ $ $ $ $ $ 0.13 Change % 5.40% 2.45% 7.80% 5.21% 0.008% 5 Year Total Education Tax Increase $

26 Property Tax Scenarios Scenario 1: Preliminary Budget Shortfall of ($1,170,600) (3.66% increase in school taxes) Scenario 2: Scenario 3: Scenario 4: Preliminary Budget + $1,000,000 in requests (4.71% increase in school taxes) Preliminary Budget + $2,000,000 in requests (5.75% increase in school taxes) Preliminary Budget + $3,000,000 in requests (6.8% increase in school taxes)

27 Education Property Tax on Home Assessed at $251,325 Scenario 1: Scenario 2: Scenario 3: Scenario 4: Preliminary Preliminary Preliminary Preliminary Budget Budget & $1,000,000 of budget requests Budget & $2,000,000 of budget requests Budget & $3,000,000 of budget requests ($1,170,600) ($2,170,600) ($3,170,600) ($4,170,600) Brandon School Division Tax Average Brandon Residence 2016 Assessed Value (11.7% Increase) $251,325 $251,325 $251,325 $251,325 (was $225,000 in 2015) Mill Rate ( ) Mill Rate Increase/(Decrease) (7.20%) (6.26%) (5.32%) (4.39%) Total School Taxes $1, $1, $1, $1, (2015 Taxes $1,569.78) Tax Change % 3.66% 4.71% 5.75% 6.80% Tax Change $: Annual $57.47 $73.89 $90.32 $ Monthly $4.79 $6.16 $7.53 $8.90

28 5) Next Steps February 16, 2016 All Day Budget Meeting February 29, 2016 Special Public Board Meeting Public Presentations March 7, 2016 Board Approves Budget March 15, 2016 Special Levy to Municipalities

29 Public Feedback Mr. K. Sumner, Finance Committee Chair (Moderator) BUDGET CONSULTATION SURVEY Please fill out a survey online at:

30 Thank you for coming! Trustees will be available for conversation until 9:30 p.m.