Date: May 20, 2024
To: Michael Green, Superintendent
Subject: Financial/Enrollment Report
From: Stacy Brown, Director of Business Services
I have updated the spreadsheets for review of the line-by-line revenues and expenditures to project the year-end fund balance. The review includes actual revenues and expenditures through April 2024 and projections for the remainder of the year. I plan to update the full “sources and uses” spreadsheet every two months. I will use the monthly projections each month to keep up to date on the off months. I am caught up with all entries for March and April, and because the March Budget Status reports have not been presented in the financial report, both March and April reports are included in the presentation.
Projected Revenues, Expenditures, and Ending Fund Balance (slides 2-4)
The Sources and Uses report here provides the projected funding and projected expenditures and identifies the levy and miscellaneous revenues necessary to support the various programs. The report is organized in the same order as the monthly apportionment (revenue) report from the state, with the applicable expenditures and the difference identified as levy/miscellaneous revenues. The negative numbers identify areas that are underfunded based on expenditures, and the positive numbers identify areas that have more funding than expenditures.
The summary on page five shows the total projected revenues, projected expenditures, and projected fund balance. The ending fund balance is projected to decrease by roughly $400,000. The budgeted decrease was $700,000, and the February projection was an estimated decrease of $600,000, so we have made up about $200.000 of the budgeted decrease. I listed a couple of the bigger reasons for the difference in the budget. On slide five, I included a chart identifying levy and miscellaneous revenue amounts by category.
March Budget Status Reports (slides 6-10)
I included the Budget Status Reports for all funds for March. In the General Fund, the final column shows the actual year-to-date percentage of budgeted revenues collected and expenditures spent. We are seven months or 7/12ths through the year. The calculated percentage is 58.3%, which is almost exactly how much of the total revenues we have collected. You can see that the local taxes are much higher (92%) due to the fact that all of our tax revenues for the year should have come in this fall. In the area of local support, non-tax (67.5%), we would expect the number to be higher due to the fact that most of those revenues only come in during the school year.
Expenditure remaining percentages are a little more difficult to estimate due to the encumbrances. The encumbrances include the estimated salaries and benefits and any outstanding purchase orders that we will be paying. In programs that are more salary and benefit-heavy (such as 00, 20, 50+60, and 90), the percentage spent is much higher than 58.3% due to the encumbrances. If we look at those programs and calculate the actual expenditures for the year, we will see that they are more in line with the expected percentages for this time of year. Program 00 is 58.6%, 20 is 60.1%, 50+60 is 54.7% and 90 is 60.1%. In program 90, we have things that we pay ahead of time, such as insurance, and our utilities are more in the fall and winter months. Everything looks in line with what I would expect at this point in the year.
Status reports for the remaining funds are also included. All revenues and expenditures through March are as expected.
April Budget Status Reports (slides 11-15)
I included the Budget Status Reports for all funds for April. In the General fund, the final column shows the actual year-to-date percentage of budgeted revenues collected and expenditures spent. We are eight months or 2/3rd through the year. The calculated percentage is 66.7%, which is almost exactly how much of the total revenues we have collected. You can see that the local taxes haven’t changed much from March due to the fact that all of our tax revenues for the year should have come this fall. Some of the other areas are less than expected (Federal Special Purpose and Revenues from Other School Districts) due to capacity added to the budget in the Federal area, and revenues from other school districts will be less than budgeted due to the KWRL revenues being greater than budgeted and expenditures being less than budgeted.
The overall expenditures spent column changed little compared to March (91.6% vs. 90.18%). The expenditures increased by $3,544,000, and the encumbrances decreased by $2,896,000. This is how much we spent on salaries and benefits in April for the current staff. The difference is made up of what we spent on substitutes, additional time and overtime, and MSOC’s for April. Everything looks in line with what I would expect at this point in the year.
Status reports for the remaining funds are also included. All revenues and expenditures through April are as expected.
Enrollment
The first enrollment document (slide sixteen) shows a comparison of average FTE compared to budgeted FTE. For May, we are 48.18 below budget, and the average for the year is 30.29 below budget. The decrease between April and May was 12.00 FTE. The decrease was mostly in grades 9-12. We had some students at TEAM who had finished their graduation requirements and were just waiting to graduate, so we could no longer count them. Since I used March enrollment for my budget estimates and we have now lost about fifteen students, I may be adjusting my budget numbers for next year.
You also see the Special Education enrollment numbers and how they compare to the budget. The numbers you see here are for eight months, and we are 6.75 over at PK and 1.13 above budget at K-21. This increase has had a positive effect on the projected fund balance at year-end.
The second document (slide seventeen) is a summary by headcount for May, compared to April. The counts by grade level include the Yale, LRA, and TEAM High numbers (all totals for the district). The section below shows the total May headcount for those buildings compared with the previous month's headcount. Overall, we are down thirteen students from April.
Please let me know if you have any questions.