2009 – 2010 Budget Detailed Budget Analysis

FY 2009 – 2010 Budget Detailed Budget Analysis

CLEAR CREEK INDEPENDENT SCHOOL DISTRICT League City, Texas

FISCAL YEAR 2009-2010 BUDGET

DETAILED BUDGET ANALYSIS

September 1, 2009 to August 31, 2010 As Adopted August 24, 2009

BOARD OF TRUSTEES

Stuart Stromeyer, President Dee Scott, Vice President Ken Baliker, Secretary Robert Davee Ann Hammond Charles Pond Winifred Weber

ADMINISTRATIVE STAFF

Dr. Greg Smith, Superintendent of Schools

Dr. Steve Ebell Deputy Superintendent – Curriculum & Instruction Paul McLarty Chief Financial Officer Ron McPherson Associate Superintendent for Operations Dr. Tina Farrell Assistant Superintendent – Curriculum & Instruction Alex Torrez Assistant Superintendent – Secondary Education Holly Hughes Assistant Superintendent – Elementary Education Dr. David O’Neill Assistant Superintendent – Human Resources Dr. Chad Stevens Chief Technology Officer Sheila Haddock General Counsel Elaina Polsen Director of Public Information

www.ccisd.net

FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District FY 2009 - 2010 Budget Table of Contents

Introductory Section: Executive Summary ...... 1 2009 - 2010 Board of Trustees and Administrators ...... 31

Organizational Section: The District ...... 35 District Map ...... 36 Mission Statement and Portrait of a Clear Creek Graduate ...... 37 Strategic Planning at CCISD ...... 38 Strategic and Performance Goals ...... 39 Organization Chart ...... 43 Budget and Financial Policies ...... 45 Budget Process ...... 51 Budget Calendar for the Year 2009-2010 ...... 55 Staffing Standards ...... 56 Budget Control and Management Process ...... 60

Financial Section: Financial Structure ...... 61 Governmental Funds Revenues, Expenditures and Changes in Fund Balance ...... 64 Proprietary Funds...... 65 Combined Statement of Revenues, Expenditures and Changes in Fund Balance ...... 66 General Fund ...... 67 Combined Statement of Revenues, Expenditures and Changes in Fund Balance ...... 67 Analysis of General Fund Revenues ...... 68 Analysis of General Fund Expenditures ...... 70 Analysis of Fund Balance ...... 72 Special Revenue Funds ...... 73 Combined Statement of Revenues, Expenditures and Changes in Fund Balance ...... 74 Analysis of Special Revenue Fund Revenues ...... 75 Analysis of Special Revenue Fund Expenditures ...... 76 Debt Service Funds ...... 77 Combined Statement of Revenues, Expenditures and Changes in Fund Balance ...... 78 Analysis of Debt Service Fund Revenues ...... 79 Analysis of Debt Service Fund Expenditures ...... 80 Schedule of Aggregate Debt Service ...... 81

FY 2009 – 2010 Budget Detailed Budget Analysis

Estimated Overlapping Debt ...... 82 Capital Projects Funds ...... 83 Combined Statement of Revenues, Expenditures and Changes in Fund Balance ...... 84 Capital Projects Revenue ...... 85 Current Approved Bond Programs ...... 86 Recently Completed and In-Progress Capital Projects ...... 87 Three Year Capital Improvement Plan ...... 88 Enterprise Funds ...... 89 Combined Statement of Revenues, Expenditures and Changes in Fund Balance ...... 90 Internal Service Funds ...... 91 Combined Statement of Revenues, Expenditures and Changes in Fund Balance ...... 92 Supporting Financial Schedules ...... 93 Combined Statement of Expenditures by Function and Object Code ...... 94 Overview of Account Codes ...... 98 Basic System Code of Composition ...... 99

Schools and Programs: Schools: High Schools Clear Brook High School...... 103 Clear Creek High School ...... 104 Clear Falls High School ...... 105 Clear Horizons Early College High School ...... 106 Clear Lake High School ...... 107 Clear Path Alternative School ...... 108 Clear Springs High School ...... 109 Clear View High School ...... 110 Intermediate Schools Bayside Intermediate School ...... 111 Brookside Intermediate School ...... 112 Clear Creek Intermediate School ...... 113 Clear Lake Intermediate School ...... 114 Creekside Intermediate School ...... 115 League City Intermediate School ...... 116 Seabrook Intermediate School ...... 117 Space Center Intermediate School ...... 118 Victory Lakes Intermediate School ...... 119 Westbrook Intermediate School ...... 120 Elementary Schools Armand Bayou Elementary School ...... 121 Henry F. Bauerschlag Elementary School ...... 122 James F. Bay Elementary School ...... 123

FY 2009 – 2010 Budget Detailed Budget Analysis

Brookwood Elementary School ...... 124 Clear Lake City Elementary School ...... 125 Falcon Pass Elementary School ...... 126 Lloyd R. Ferguson Elementary School ...... 127 Darwin L. Gilmore Elementary School ...... 128 Art & Pat Goforth Elementary School ...... 129 P.H. Greene Elementary School ...... 130 Walter Hall Elementary School ...... 131 I.W. & Eleanor Hyde Elementary School ...... 132 C.D. Landolt Elementary School ...... 133 League City Elementary School ...... 134 Margaret S. McWhirter Elementary School ...... 135 Dr. Sandra Mossman Elementary School ...... 136 North Pointe Elementary School ...... 137 Ralph Parr Elementary School ...... 138 G. W. Robinson Elementary School ...... 139 James H. Ross Elementary School ...... 140 LaVace Stewart Elementary School ...... 141 John F. Ward Elementary School ...... 142 Arlyne & Alan Weber Elementary School ...... 143 Wedgewood Elementary School ...... 144 G.H. Whitcomb Elementary School ...... 145 Edward H. White II Elementary School ...... 146

Departments Departmental Strategic Goals and Performance Targets ...... 147 Office of the Superintendent ...... 148 Office of Curriculum and Instruction ...... 148 Office of Secondary Education ...... 149 Office of Elementary Education ...... 149 Office of the Chief Financial Officer ...... 150 Office of Human Resources ...... 150 Office of Support Services ...... 151 Office of Policy and Administrative Services ...... 151 Office of Public Information ...... 152 Office of the Chief Technology Officer ...... 152

Informational Section: The Economy ...... 153 State and Local Funding of School Districts in Texas ...... 156 Current School Finance System ...... 157 Tax Information ...... 160 Current Student Enrollment ...... 167 Student Enrollment Projections ...... 168 Debt Schedules ...... 169 Financial Forecasts ...... 173

FY 2009 – 2010 Budget Detailed Budget Analysis

Governmental Funds ...... 175 General Fund ...... 176 Capital Projects Funds ...... 180 Debt Service Funds ...... 184 Special Revenue Funds ...... 185 Educational Performance Measures ...... 186 Financial Performance Measures ...... 195 District Achievements ...... 201 Employee Resource Allocations ...... 202 Notice of Public Meeting on Budget and Proposed Tax Rate ...... 203 Glossary of Terms ...... 204

FY 2009 – 2010 Budget Detailed Budget Analysis

September, 2009

Board of Trustees Clear Creek Independent School District 2425 East Main St. League City, TX 77573

Dear Board Members:

We are proud to publish the Fiscal Year 2009–2010 Budget to the Board of Trustees and to the community. We welcome the opportunity to present and discuss operational plans and related financial impact with all interested parties. Interaction among interested groups consistently leads to operational and educational improvements, which become available to students of the Clear Creek Independent School District (CCISD).

The development, review, and consideration of the FY 2009-2010 Governmental Fund Budgets (the General Fund, the Special Revenue Funds, the Capital Projects Funds, and the Debt Service Funds) were completed with a detailed and exhaustive review of every revenue and expenditure item within the context of the District's Mission Statement, Strategic Goals, Operational Goals, Performance Objectives, and Board Policy. Information on each of the fund budgets is provided in this budget document.

We have also included financial information on the District’s Proprietary Funds for comparative purposes. The largest fund in this group is the Food Service Fund which is treated as an Enterprise Fund at Clear Creek ISD. The Food Service Fund, along with the General and Debt Service Funds, are the only budgets that must be legally adopted by the Board of Trustees.

The document is organized into the following sections:

 Introductory Section - Introduces the reader to the document as a whole. It highlights important information contained in the budget. Users rely on this section to get an overview - a snapshot of what they can expect to find in the rest of the document.

 Organizational Section - Provides the context and framework within which the budget is developed and managed. The context for the budget is substantially predicated on the type and level of service to be provided to the students of the community. The framework also includes the District's organizational structure as well as the controls that direct and regulate the development and administration of the budget.

 Financial Section - Presents the heart of the school budget document. This section includes a description of the District’s financial structure. It also includes financial schedules that present the adopted budgets for the District compared with the results of past budget plans.

 School and Programs - Provides the Mission Statements carried out by the school or program, objective methods of results by school or program, and includes the resources, both personnel and dollars, allocated to the school or program to carry out the stated mission.

 Information Section – Provides information on the local economy and a brief narrative of the Texas funding system along with recent legislation and court cases that may significantly impact the direction of educational funding in Texas. It includes more detailed schedules and charts outlining district operations as well as a three year financial forecast for all governmental funds.

The information included in the budget document is structured to meet the requirements of the Meritorious Budget Award (MBA) of the Association of School Business Officials International (ASBO) 1 FY 2009 – 2010 Budget Detailed Budget Analysis

and the Distinguished Budget Presentation Award (Budget Awards Program) of the Government Finance Officers Association (GFOA).

To receive these awards, a school entity must publish a budget document as a policy document, as an operations guide, as a financial plan, and as a communications medium. We believe our current budget conforms to the requirements of both programs. We are submitting this document to ASBO and GFOA to determine its eligibility for these awards.

These awards represent the highest level of recognition in budgeting for school entities. Their attainment represents a significant accomplishment by a school entity and its management. The awards are made after comprehensive review by a panel of independent budget professionals. Using extensive criteria, the reviewers not only evaluate the effectiveness of the budget in meeting the program criteria, but also provide commentary and feedback to the submitting entity as a basis for improving the presentation of the District's financial and operational plan.

While these awards would be a great accomplishment for the District, our most important concern in the presentation of the budget data is to improve the quality of information provided to our community concerning the District's financial plan for the educational programs and services for the 2009-2010 fiscal year.

 Mission Statement and Strategic Goals

As part of the budget development process the Board of Trustees and Administration reviewed the District's Mission Statement, Vision, Core Values, and Strategic Goals. Based on this foundation, operational goals and performance objectives were developed and reviewed with the Board of Trustees. The budget is an instructionally driven process. It is a balance of policy choices. It also represents a responsive balance between the educational needs of students and the ability of the community and the state to provide the necessary financial support to serve them.

Mission Statement The mission of the Clear Creek Independent School District, a diverse community unified by a spirit of exploration and excellence, is to develop students who will lead the way to the future by educating and equipping them with the skills necessary to excel in the 21st century through a system characterized by meaningful community relationships and a comprehensive curriculum facilitated by a highly qualified team committed to Courage, Collaboration, Innovation, and Self- Direction.

 Strategic Goals

The Strategic Goals that guided the preparation of this year’s budget include: 1. We will provide rigorous learning opportunities and curricula that transcend state and national standards to improve the achievement of each student while meeting their individual needs and aspirations. 2. We will enhance the character development of each student with an emphasis on creating a sense of personal responsibility and a commitment to community.

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3. We will recruit, develop, and retain compassionate, effective, innovative and highly motivated staff. 4. We will focus our use of resources to accelerate learning for all students and eliminate the achievement gap. 5. We will provide learning environments that are physically safe and emotionally secure for students, faculty, and staff. 6. We will lead, develop, and implement a robust parent and community involvement program to successfully achieve the district mission and objectives. 7. We will nurture, support, and develop collaborative leadership at all levels throughout the learning community.

 District Achievements

Clear Creek Independent School District is a leader in the field of education in Texas. This is evident by the many academic, financial, operational and administrative awards that the District has earned over the last few years. A partial list of these achievements is provided below:

Academic Success:  The District has been named a Recognized school district for twelve of the last thirteen years. No other large school district in Texas can make that claim. A Recognized rating is the second highest academic rating in Texas’ accountability system. A large district is defined as one with more than 25,000 students. Texas has more than 1,037 school districts.  All of the District’s thirty eight campuses are rated either Exemplary – the highest academic rating in Texas’ accountability system – or Recognized.  Sixty six percent (65.7%) of all CCISD campuses are rated Exemplary.  Clear Lake High School, with an enrollment in excess of 3,800 students, is the largest Exemplary high school in the State of Texas.  The Clear Stars Evening Education program, the districts night school option for students who have not completed their high school education, was opened in August 2009.

Financial Success:  The District received the Distinguished Budget Presentation Award from the Government Finance Officers Association for the forth consecutive year.  The District received the Meritorious Budget Award from the Association of School Business Officials, International for the second consecutive year.  The District received the Certificate of Achievement for Excellence in Financial Reporting from the Government Finance Officers Association for the third consecutive year.  The District also received the Certificate of Excellence in Financial Reporting from the Association of School Business Officials International for the third consecutive year.  The District achieved a rating of Superior Achievement under the standards set by the Texas State Legislature for the seventh consecutive year.  The District’s underlying credit rating was upgraded in April 2008 from AA- to AA by both Standard and Poor’s Investor Service and Fitch Ratings Service.

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 Staff has worked closely with insurance adjusters, the Federal Emergency Management Agency (FEMA), and the State of Texas to recoup funds spent on out hurricane recovery efforts. It is projected that Clear Creek will be reimbursed 100% of it’s out of pocket costs once all the funding sources have been tapped.

 The Budget Process

The Planning Cycle The budget process covers the entire financial cycle starting with budget planning and ending with the audited financial statements. The seven steps are:

 Budget Planning November – December 2008  Budget Preparation January – August 2009  Board of Trustee Budget Review March – August 2009  Budget Adoption August 2009  Tax Rate Adoption September 2009  Budget Amendments Monthly 2009-2010  Audited Financial Statements January 2010

Budget Planning The District budget process is instructionally driven. District budget planning begins with the senior administrative staff and the Board of Trustees holding goal-setting sessions in December. The Budget Calendar is also reviewed with the Board of Trustees. In addition, campuses prepare the required annual Campus Improvement Plans which is integrated into the budget process.

Budget Preparation Budget Preparation begins with a training session with principals and program managers. At that time the Budget Manual and budget worksheets are distributed. The District utilizes the Pentamation software to allow for on-line budget preparation instead of strictly paper submissions. Therefore, annual software training is provided.

The District uses site-based budgeting to enhance the ability of principals to serve as effective instructional leaders. Site-based budgeting places the principal at the center of the budget preparation process.

The Campus Budget Worksheet reflects the initial campus funding allocations. These allocations address equity issues between campuses. The initial campus funding allocation is based on projected enrollment. These funds are allocated to campus programs by the Principal and Campus Improvement Council per the Campus Improvement Plan. The allocation is adjusted in January based on actual enrollment and staff on hand at the end of the first six weeks.

After the completed campus and program budget packages have been returned, the Superintendent’s Budget Committee reviews them in detail with the principal or program manager. The review focuses on instructional needs and includes discussions on the reallocation of existing funds as well as any additional funding requests from the campus.

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Board of Trustee Budget Review The Board of Trustees regularly receives budget updates that include revisions to the long range financial forecast, the long range staffing plan, the preliminary budget, the compensation & salary plan, and the capital projects/capital improvement plan. Since Clear Creek ISD is a growing district, staff asks the Board to approve a number of additional teaching units (fifty or more) in March or April of each year to accommodate growth needs. If funds are available, the compensation & salary plan for teachers is adopted at the May Board of Trustees meeting. Adopting the plan early in the budget process provides Clear Creek ISD with a competitive advantage in recruiting new teachers and retaining existing staff. During a legislative session, in odd numbered years, teacher salary plans are not adopted until after the session is over in June. A compensation & salary plan for support staff is generally adopted in July.

Budget Adoption Once the District receives preliminary property value information from the appraisal districts, the Board is asked to approve the budget. The required legal notice for the FY 2009 – 2010 Budget was published on August 14, 2009. The Board of Trustees held the public hearing and adopted the budget on August 24, 2009.

Tax Rate Adoption Historically, the Galveston Central Appraisal District (CAD) certified all District property. This was true even though a high percentage of district property was located in Harris County. Recent legislation ended this process in 2008 and now appraisal districts cannot cross county lines to appraise property. As a result, the District did not receive its final certified values from the Harris County CAD until the first week of September. In years past, our property values were certified in July by the Galveston CAD. After receiving its certified property value rolls, the Clear Creek ISD Tax Office calculates the effective and rollback tax rate in early August. The required legal notice of the District’s effective and roll-back tax rates was published on August 14, 2009. The Board of Trustees held the public hearing on the proposed tax rate on August 24, 2009 and adopted the tax rate on September 28, 2009.

Budget Amendments Initial campus budget allocations are based on projected enrollment and are modified after the October Public Education Information Management System (PEIMS) snapshot. Budget amendments, if necessary, are taken to the Board monthly for consideration and approval.

The Final Amended Budget for the Year Ending August 31, 2009, was submitted at the August 24, 2009, Board meeting. It reflects all amendments previously approved by the Board of Trustees plus any final amendments. The Final Amended Budget for the Year Ending August 31, 2009, will be used by the District’s external auditors in compiling the annual financial statements.

Capital Projects Budget Process Clear Creek Independent School District is meeting the challenge of a fast growth school district by proactively analyzing facility needs and placing bond issues for taxpayer approval.

million in April 2008 and $66 million in April 2009. These bond proceeds are being used to build the State’s first “Educational Village” which includes an elementary, intermediate and high school campus with shared facilities. This one-of-a-kind educational facility will house over 4,500 students in a single location. The bond program includes an additional 900 student elementary campus. All of these facilities are located in the District’s fast-growing League City area.

During the FY 2006 budget process, the District developed a separate Capital Replacement Fund to provide monies for major maintenance and capital needs. This fund was capitalized with $14 million in seed money from the FY 2005 budget. The District added an additional $12 million to this fund in FY 2006, $15 million in FY 2007 and $2 million in FY 2008. At the same time, the District transferred its entire annual capital replacement appropriation budget ($4 million) to the fund the in the FY 2006 and FY 2007 budgets. The District plans on transferring an additional $4 million to $6 million to the capital plan from excess fund balance in the FY 2009 budget year.

By taking a proactive approach to capital replacement, future bond issues will include fewer major maintenance needs. The operating impact of the capital projects is integrated annually into the budget and is highlighted in the Informational Section of this document within our financial forecasts.

Fund Balance occurs when revenues exceed expenses in a given year. In fund accounting, this excess carries over to the next fiscal year and is available for any lawful purpose. By policy, Clear Creek’s goal is to maintain an undesignated fund balance equal to a minimum of two months operating expenses. The District currently meets this goal.

 Budget Issues

The Clear Creek Independent School District (CCISD), situated just south of Houston, lies within one of the fastest growing regions in Texas. This year, the District is expected to grow by more than 500 students. This is a slight reduction over our historical enrollment growth patterns which have averaged about 800 students per year. This reduction is largely due to the devastating after effects of Hurricane Ike combined with a general economic downturn in the Houston area. Growth is expected to soften over the next few years due to a downturn in the economy. Recent projections place future enrollment gains at between 400 and 500 students each year for the next five plus years.

While our enrollment growth has slowed a bit, enrollment growth continues to be a major budgetary concern. In order to manage this growth, the district has developed long range facility plans through the Long Range Facility Master Plan Committee. This group of sixty local citizens and District staff reviewed enrollment trends and facility needs for the next 15 years. This group was tasked with developing a facility master plan that meets the growth needs of the District and predicts the cost and tax rate impact of future growth. Their work provided the framework for bond programs through the year 2020. In addition, the District has used this work to develop long range major maintenance programs to meet the needs of aging facilities. These plans are currently being reviewed to ensure prior 6 FY 2009 – 2010 Budget Detailed Budget Analysis

committee recommendations are still valid in today’s growth environment.

The District also developed a five year staffing plan to proactively manage enrollment growth. This plan uses the long range facility plan as a template to estimate the need for staff at new campuses. Since the cost to fully staff a new 2500 student high school in the first year of operation is over $3.5 million, it is essential to include those costs in long range budget projections. This plan provides the Board with vital expenditure forecasts in support of student growth. The plan is updated each year to include new data assumptions. As a result the District is able to keep this plan in tune with growth projections. The revised five year plan incorporates the impact of our expected slower enrollment growth projections.

Clear Creek Independent School District just completed one of its most trying school years ever. On the night of September 13, 2008, southeast Texas and Clear Creek ISD suffered a direct hit from a major hurricane. Hurricane Ike came ashore on the east end of Galveston Island with its eye passing directly over the District’s administration building. The entire district sustained winds in excess of 100 mile per hour as the storm made its way into east Texas. Damage was substantial and impacted virtually all of the District’s forty plus facilities. Damages totaled almost $18 million and required the balance of the year to fully correct.

Clear Creek was able to fund this disaster through its strong financial position and the District’s proactive response to the potential of a devastating storm. In 2005 the Board saw the need to provide funding to cover the impact of a major hurricane. The District developed a disaster recovery designated reserve and capitalized it with $2.5 million. In addition, the District built up a healthy fund balance over the last five years that would provide the cash needed to fund this type of emergency. Board policy sets a goal of two months operating expenses to be held in undesignated unreserved fund balance to meet unexpected contingencies. This fund balance has proved invaluable to our building repair and reconstruction activities after the storm.

One year later, our district emerged even stronger academically than ever before. Our State test scores were at historic highs and our children are learning at an even faster pace. Clear Creek ISD met the challenge of a major natural disaster and a community in ruins to become a district that is stronger academically than ever before. Teachers, administrators and staff worked hand in hand to help the community recover and thrive academically.

Past hurricane disasters on the Gulf Coast of Texas and Louisiana (Hurricanes Katrina and Rita, 2005) combined to create tremendous increases in property and casualty insurance premiums. As a result, most coastal districts experienced drastic increases in insurance premiums with a corresponding drop in total insured value. Clear Creek experienced a 300% increase in premiums. At the same time, total insured values dropped from $500 million to $50 million. This immediate surge in premiums subsided somewhat over the next two years; however, the District’s premiums are still twice what they were in 2005 while total insured values are still less than 10% of actual building values. Policies renewed in May 2009 and premiums again jumped dramatically. After Hurricane Ike, premiums jumped almost 40% or just under $1 million.

In order to mitigate fluctuations in the property and casualty insurance market, the District developed an insurance reserve fund in 2006 and capitalized it with $4.5 million. This fund has been tapped over 7 FY 2009 – 2010 Budget Detailed Budget Analysis

the last two years to help offset the sharp increase in premiums. This fund will be tapped again in 2009-2010 to meet the $1 million premium increase. As a result of this fund, the general fund budget was not impacted this year.

Utility and fuel costs have also been a major cost driver the last several years. In last year’s budget, the District projected fuel prices to hold steady at about $4.50 per gallon for diesel fuel; the primary fuel for our 300 vehicle bus fleet. However, softening oil prices gave the District a substantial savings in that account and the current budget reflects a substantial savings on fuel costs in 2009- 2010. Utility costs are also projected to be substantially lower in 2009-2010 than they were last year. This is the dual impact of lower oil prices and a new utility contract that was signed last year. The District was able to capitalize on these issues and will show a savings in the current budget of $1.2 million.

The Texas State Legislature, which meets in odd years, met in general session from January until June of 2009. Resulting legislation provided a slight increase in revenues for the 2009-2010 budget year. However, these funding increases came at a price to local districts and to the State. First, the State of Texas utilized federal stimulus funds to balance their budget. As a result, virtually all of the funds dedicated to school districts in Texas came from short term stimulus funds. These funds are only guaranteed for two years. This places a burden on the State and districts that are forced to use short term non-recurring funds to pay for long term recurring expenditures. This is bad public financial policy and will require the State and districts to fund a huge budget gap during the 2011 legislative session.

The second concern with funds allocated during the last legislative session is that more than 70% of these funds are mandated for teacher salary increases. The concern with this action is that the current school funding system has not provided sufficient funds to cover inflation since 2006! As a result, districts have had to raise property taxes and dip into fund balance to meet inflationary pressures for the last three years without funding help from the State.

The general opinion is that the State has dug a funding hole that it may not be able to fill in two years when the federal stabilization funds disappear. If that is true, then the State will have to cut school funding and districts will be in the precarious position of having to ask local taxpayers to raise school taxes.

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 FY 2009-2010 Budget Goals, Assumptions, Priorities, and Risks

The approval of a district-wide strategic plan facilitated the development of Board budget goals for the FY 2010 budget. This year’s budget season began when the Board met in December 2008 to discuss budget priorities for the coming year. These priorities were used to build the District’s 2009-2010 budget. Board approved goals, assumptions and priorities are as follows:

 Budget Goal To adopt a budget that is both consistent with CCISD’s mission and strategic plan and with its aspirations to become nationally recognized for excellence in academics and school administration.

 Budget Assumptions CCISD’s 2010 Budget will:

 Be a balanced budget with no deficits;  Retain the 5% local homestead exemption;  At a minimum, comply with all federal and state mandates;  Meet CCISD’s capacity and growth needs;  Manage the District’s resources efficiently and effectively; and,  Maintain an adequate fund balance as defined in board policy.

 Budget Priorities  Provide adequate and targeted levels of funding for improved student achievement including identified priorities within the academic build out plan;  Maintain competitive salaries, stipends and benefits for all employees;  Fund requirements of the CCISD Strategic Plan;  Develop alternative revenue streams;  Provide funding for the comprehensive plan for safe and secure schools;  Maintain staffing plans to address optimal staffing at all levels;  Restore designated disaster recovery; and  Maintain capital replacement reserves.

 Budget Risks  Legislative action/inaction to the school funding system.  Increased spending due to unfunded state or federal mandates.  Changes in student enrollment.  Inflationary impact of fuel, property & casualty insurance and other commodities

The District’s approach to coping with explosive student growth, a restricted funding environment, and increasing academic standards has been to ensure that the budget process is driven by the District’s Strategic Plan and budget priorities.

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 Recent Legislative Changes to the School Funding System

In response to many years of litigation, the Texas Legislature (the Legislature) enacted House Bill 1 (HB 1), which made substantive changes in the way the Finance System is funded. The Legislature also passed legislation which, among other things, established a special fund in the Texas state treasury to be used to collect new tax revenues that are dedicated under certain conditions for appropriation by the Legislature to reduce M&O Tax rates, broadened the State business franchise tax, modified the procedures for assessing the State motor vehicle sales and use tax and increased the State tax on tobacco products. HB 1 and other described legislation are collectively referred to as the Reform Legislation. The Reform Legislation became effective with the 2006-2007 fiscal year of each district.

 Accounting for School District Operations

School districts in Texas manage their multi-million dollar budgets through funds that have been designated to manage school operations. These funds are separated into distinct categories. The major category of funds is called Governmental Funds. These funds represent the core educational activities of the district.

Districts also collect costs in a series of proprietary funds that capture such diverse items as the National School Lunch Program, athletic concessions, and the district’s self funded employee insurance programs.

One unique feature of school funding is that the Board of Trustees is only obligated to approve budgets for three sets of funds. Budgets for the General Fund, Debt Service Funds, and Food Service Fund (an Enterprise Fund) must be included in the official district budget and approved by the Board. These budgets are approved on a fiscal year basis from September 1st through August 31st.

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Governmental Funds The following presents a comparison of revenues and expenditures for all Governmental Funds. Governmental Funds include the General, Special Revenue, Debt Service, and Capital Projects Funds. Most of the District’s basic services are included in Governmental Funds.

The General Fund is the engine that drives all District activity. This fund pays teacher salaries, utilities, maintenance and other routine District activities. The Debt Service Fund is established to account for payment of principal and interest on long-term general obligation debt and other long-term debts for which a tax has been dedicated. Special revenue funds account for resources restricted to, or designated for, specific purposes by the District or a grantor in a special revenue fund. Finally, Capital Project Funds are used to build and maintain facilities and purchases buses.

Governmental Funds Revenues The General Fund is the largest single governmental fund and comprises 79.4% of total revenue. Revenues in this fund class are mainly derived from the general taxing authority of the District. However, a large share of revenue is also derived from State funding under the reform legislation of 2006. The State’s funding as a percentage of total General Fund revenue is now 42.0%. This is up from a low several years ago of 15%. This is a direct result of the Reform Legislation passed in 2006 which lowered local property taxes and substituted a new business tax to raise the revenue needed to operate schools.

Governmental Fund Revenues by Source FY 2010

Local & Federal Program Intermediate Revenues Sources 5.4% 60.6%

State Program Revenues 34.0%

Total Governmental Fund Revenues

Budget Budget Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 General Fund $23,180,809 $ 239,673,883 $ 252,612,232 $ 270,144,000 $ 284,300,000 Special Revenue Funds 22,349,997 18,369,723 21,040,060 18,272,775 23,364,170 Debt Service Funds 33,546,944 38,793,335 43,786,430 46,400,000 49,200,000 Capital Projects Funds 5,590,673 4,831,501 4,897,962 2,777,000 1,025,000 Total Revenues $ 284,668,423 $ 301,668,442 $322,336,684 $ 337,593,775 $357,889,170 11 FY 2009 – 2010 Budget Detailed Budget Analysis

Governmental Funds Expenditures General Fund expenditures dominate Governmental Fund activities as well with almost 68.3% of the total. However, since the District is experiencing rapid enrollment growth, the Capital Projects Funds continues to have a major impact on expenditures. The challenge of large enrollment gains can only be met with new facilities. These facilities are funded through taxpayer authorized bond issues that are managed through the Capital Project Funds. The District anticipates this growth to continue for the next 10 - 15 years.

Governmental Fund Expenditures FY 2010

Capital Project General Fund Funds 68.3% 14.3%

Debt Service Funds 11.8%

Special Revenue Funds 5.6%

Total Governmental Fund Expenditures

Budget Budget Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 General Fund $ 204,119,697 $ 220,344,156 $ 249,119,499 $ 270,138,086 $ 285,531,163 Special Revenue Funds 22,474,460 18,595,321 20,571,456 18,272,775 23,364,170 Debt Service Funds 36,157,778 38,578,792 40,409,897 45,800,000 49,475,000 Capital Projects Funds 110,404,636 65,455,829 72,960,213 114,278,242 59,654,413 Total Expenditures $ 373,156,571 $ 342,974,098 $383,061,065 $ 448,489,103 $418,024,746

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Major Sources of Funds District programs are primarily supported by local real and personal property taxes and state funding. Local taxes are budgeted at $205.6 million which is divided between the General Fund at $157.0 million and the Debt Service Funds at $48.6 million. This is up from last year’s total of $193.0 million.

State program revenues Governmental Funds Revenue are the next largest Five Year History revenue source at almost ($1,000's) $121.7 million. This $250,000 $223,904 $225,018 includes $5.4 million from $207,976 $216,947 $195,411 $200,000 the Available School $117,218 Fund, $90.4 million from $150,000 $119,653 $121,684 $66,891 the Foundation School $100,000 $45,892 Program, and $14.7 $9,965 $19,258 million for Teacher $50,000 $14,873 $9,759 $9,708 Retirement / TRS Care- $- FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 On-Behalf Payments.

Local & Intermediate Sources State Program Revenues Federal Program Revenues The available school fund consists of the distributions from the total return on all investment assets of the permanent school fund, the taxes authorized by this constitution or general law to be part of the available school fund, and appropriations made to the available school fund by the legislature. The On-Behalf revenues equal state payments of matching teacher retirement paid for active members of the school district in accordance with GASB Statement No. 24.

Major Uses of Funds The Board places a high priority on funding direct classroom instruction. Clear Creek spends 65.1% of its General Fund budget on Instruction and Related Services. These dollars go directly into the classroom and pay for teacher salaries and classroom/campus supplies. Over eighty five percent (85.5%) of spending in the General Fund is Governmental Funds Expenditures for personnel, as a Five Year History result a large part of ($1,000's) this budget goes $200,000 toward personnel and $175,000 benefits associated $150,000 with our classroom $125,000 $100,000 teachers. The second $75,000 largest expenditure $50,000 class in Governmental $25,000 Funds is capital $- outlay. Since it is a FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 fast growth district, Instruction & Related Svcs Capital Outlay Debt Serv ic es Student Support Services Maintenance & Operations Instructional & School Leadership Clear Creek spends Administrative Support Svcs Technology & Security Svcs Intergovernmental Charges more than fourteen percent (14.3%) of its governmental fund monies in the Capital Projects Funds. These funds are where the District accounts for major construction activities. Clear Creek is currently completing work under a $264 million bond issue authorized in February of 2004. New construction activity is being handled under a $183 million bond issue authorized in May 2007.

13 FY 2009 – 2010 Budget Detailed Budget Analysis

 Analysis of Governmental Fund Budgets

General Fund Revenue in this fund is estimated at $284,300,000 while expenditures are budgeted at $285,531,163. The 2009–2010 General Fund budget is balanced with a proposed operating transfer from the capital replacement fund of $1,250,000. This provides a very small increase in fund balance ($18,837).

This fund is established to account for resources financing the fundamental operations of the District. All revenues and expenditures that are General Fund Revenues not required to be Five Year History accounted for in other ($1,000's) $540 funds are included here. FY 2010 $119,444 Since this is a budgeted $164,316 $545 FY 2009 $114,233 fund, any fund balances $155,366 $717 are considered resources FY 2008 $110,325 $141,570 available for current $660 FY 2007 $62,307 operations. Fund $176,707 $1,172 balances may be FY 2006 $40,830 $181,179 appropriated by the Board of Trustees to $0 $25,000 $50,000 $75,000 $100,000 $125,000 $150,000 $175,000 $200,000 implement its Local & Intermediate Sources State Program Revenues Federal Program Revenues responsibilities.

The education of students is labor intensive. This is reflected in the large portion of the District's budget for payroll costs. The composition of the District's workforce is determined by the staffing policies and guidelines of the Board of Trustees on the basis of projected student enrollment and curriculum requirements. For the 2009–2010 fiscal year, payroll costs are budgeted at $244,159,893 (85.5%) percent of the General Fund current operating expenditures.

General Fund Expenditures by Object FY 2010

Capital Outlay 0.0% Payroll Costs Other Operating 85.5% 6.5%

Supplies & Materials 3.9% Contracted Services 4.1%

14 FY 2009 – 2010 Budget Detailed Budget Analysis

Fund Balance Over the last eight years the Board of Trustees has placed a very high priority on building the District’s General Fund, fund balance to an acceptable level. The Board set fund balance objectives in policy CE (Local) to reflect the need to keep undesignated fund balance at a minimum of two months of operating expenses. As a result of this focus, the District now has a fund balance of $53.9 million and an undesignated, unreserved fund balance of $44.2 million. This will ensure the District has adequate undesignated reserves to meet contingencies.

General Fund - Fund Balance Five Year History ($1,000's)

$50,000 $43,762 $44,191 $44,197 $44,216 $41,654 $40,000

$30,000

$20,000 9,619 9,730 9,704 9,704 9,704 $10,000

$0 FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 Undesignated Fund Balance Designated Fund Balance

Special Revenue Funds These funds are budgeted at $23,364,170. The District accounts for resources restricted to, or designated for, specific purposes by the District or a grantor in a special revenue fund. Most Federal and some State financial assistance are accounted for in a special revenue fund. In some cases, unused balances must be returned to the grantor at the close of the specified project periods. The Board of Trustees is not required to approve special revenue funds.

Special revenue funds include several large Special Revenue Funds - Revenues federal programs. Title I Five Ye a r His tor y ($1,000's) funds cover the $20,000 $18,718 Elementary and Secondary Education Act (ESEA) and $15,000 $13,700 provide funds for the $9,099 $8,991 $9,420 $10,000 District’s at risk and $6,893 $5,420 disadvantaged children. $4,254 $4,585 $5,000 The Individuals with $2,240 $4,396 $4,686 $5,156 $3,433 $2,406 Disabilities in Education $- Act (IDEA) provides funds FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 for the District’s special education programs. Local & Intermediate Sources State Program Revenues Federal Program Revenues

Other large programs captured in special revenue funds are the Deaf Education Cooperative ($2.4 million) and the Technology Allotment from the State ($1.2 million). The High School Allotment, which was coded as a Special Revenue Fund in the past, was moved back to the General Fund this year due to new legislation. Expenditures in these funds are primarily for instruction and instruction related services. Over sixty seven percent (67.1%) of total spending is in this area. Student support services are the next largest expenditure in this fund class with just over twenty eight percent (28.4%).

15 FY 2009 – 2010 Budget Detailed Budget Analysis

Debt Service Funds These funds are established to account for payment of principal and interest on long-term general obligation debt and other long-term debts for which a tax has been dedicated. They are budgeted at $49,200,000. The graph to the right highlights the steady growth in Debt Service Fund revenue over the last five years. Growth in this fund is due to the passage of several large bond propositions over the last four years.

In February 2004 voters passed a $264 million bond issue. Funds were earmarked for new schools, campus additions, capital improvements, land Debt Service Fund Revenues acquisitions, student ($1,000's) computers and technology. This building $0 FY 2010 $49,200 program is nearing FY 2009 $0 completion. A $183.1 $46,400 million bond election was $0 FY 2008 $43,786 held in May 2007. Over FY 2007 $0 72% of voters were in $38,793 favor of the projects $808 FY 2006 $32,739 included in the bond proposition. It included $0 $5,000 $10,00 $15,00 $20,00 $25,00 $30,00 $35,00 $40,00 $45,00 $50,00 funding for new schools, 0 0 0 0 0 0 0 0 0 Local & Intermediate Sources State Program Revenues Federal Program Revenues capital additions, roofs, and school buses. The District has sold its entire authorization of $183.1 million and is nearing completion on many of the projects included in the program.

The Debt Service Fund fund balance is adequate and in line with the District’s goal to have at least ten percent (10%) of the annual debt service payment in undesignated fund balance.

Capital Projects Funds The District is experiencing tremendous enrollment growth that is creating the need for additional classroom space. Bond issues are essential to managing this growth. Taxpayers have approved almost $450 million in bond programs over the last fiver years.

In addition to normal enrollment growth, the District has a continuing need to fund capital projects and/or capital replacements that were not included in a bond program. In order to meet this need the District set aside and transferred $47 million from the General Fund to a special capital projects fund over the last several years. This fund is helping the District meet capital needs without adding additional funding requests for major maintenance items in future bond programs.

Below is a listing of recent bond programs approved by voters. A detailed listing of recently completed and in-progress capital projects is included in the Financial Section of this document.

16 FY 2009 – 2010 Budget Detailed Budget Analysis

Capital Projects – 2004 Bond Issue

Description Projects Funding New Schools New High School (1) $118,899,000 Clear Creek High School Re-build New Elementary Schools (2)

Campus Additions High Schools - Band Halls, Dance Studios 27,565,000 Intermediate Schools – Band Halls, Choir Rooms Elementary Schools – Gymnasiums & Classrooms New Agriculture Facility

Capital Improvements Energy Systems, Roofs, Security Surveillance, School Bus 63,523,000 Replacement, Centralized Phone System, Network Infrastructure & Cabling, Future Site Infrastructure

Land Acquisition Future High School Site, Intermediate Sites (2), and 29,064,000 Elementary Sites (5), Future Expansion Site

Student Computers, Technology & Classroom Technology, Student Computers and Projection 24,949,000 Financing Devices, Science/Math/Library Peripherals, and Distance Learning

Total $264,000,000

Capital Projects – 2007 Bond Issue

Description Projects Funding New Schools New High School (1) $154,167,000 New Intermediate School (1) New Elementary Schools (2)

Campus Conversions Convert 9th Grade Centers to Intermediate Schools (2) 7,629,000

Capital Improvements & Roofs, Major Mechanical Systems, Security Systems, 21,329,000 Replacements School Bus Replacement

Total $183,125,000

17 FY 2009 – 2010 Budget Detailed Budget Analysis

Proprietary Funds Proprietary funds include those funds for which the District charges customers a fee. Proprietary funds provide the same type of information as the government-wide financial statements, only in more detail. Clear Creek’s proprietary funds are further broken down into Enterprise Funds and Internal Service Funds.

Enterprise Funds Enterprise Funds are used to report business-type activities. The District has two business-type activities within this fund class; the National Breakfast and Lunch Program and athletic concessions. The Child Nutrition Fund budget must be approved by the Board of Trustees. Over $14.3 million in revenue is generated in these funds. Enterprise funds grow gradually as student enrollment increases. As we enroll more students and as our number of at-risk students increases, the Child Nutrition Fund budget will also increase.

Internal Service Funds Internal Service Funds include activities in the District’s employee self-funded insurance programs. This includes the Health Insurance Fund, Worker’s Compensation Fund, Disability Insurance Fund and a new Property and Casualty Insurance Fund created to help manage fluctuating costs in property and casualty insurance premiums. Over $25.7 million in revenue is generated by all of these funds. Growth in the Internal Service Funds is due to increases in our self-funded employee health fund and the addition of the property and casualty insurance fund. Inflation naturally takes a toll on school district operations; however, inflation in medical costs far exceeds normal inflation. Experts suggest that this inflation could exceed 15% each year. This trend is expected to continue for the foreseeable future. The property and casualty insurance fund will help the district manage the sometimes wild swings in insurance premiums that result from damaging major hurricanes along the Gulf Coast.

Total Proprietary Fund Revenues

Budget Budget Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010

Enterprise Fund $ 10,326,667 $10,636,334 $14,996,696 $13,160,000 $14,356,000 Internal Service Funds $ 18,433,918 $25,907,004 $25,198,234 $28,410,000 $25,774,000

Total $ 28,760,585 $36,543,338 $40,194,930 $41,570,000 $40,130,000

Total Proprietary Fund Expenditures

Budget Budget Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010

Enterprise Fund $ 9,723,000 $10,060,181 $11,314,219 $12,907,000 $13,993,000 Internal Service Funds $ 18,050,713 $25,061,086 $26,300,382 $29,110,000 $25,774,000

Total $ 27,773,713 $35,121,267 $37,614,601 $42,017,000 $39,767,000

18 FY 2009 – 2010 Budget Detailed Budget Analysis

 Analysis of Local Taxes

Assessed Values Recent legislation created a change in the appraisal process for school districts with property in more than one county. Since Clear Creek ISD has property in both Harris and Galveston counties our appraisal and budget process was impacted.

In prior years, districts with property in more than one county could chose one appraisal district to appraise all properties. Now these school districts are required to have split appraisals. Therefore, the Galveston County Central Appraisal District (GCAD) appraises property in Galveston County while the Harris County Central Appraisal District (HCAD) appraised property in Harris County for Clear Creek ISD.

While this legislation is logical, it has impacted Assessed Property Value Growth our tax rate approval Five Year History timeline and cash flow. ($1,000's) The GCAD always $17,500,000 certifies values on or before the state $15,444,461 $15,170,125 mandated deadline of $15,000,000 July 25th. The HCAD, $12,761,283 however, cannot meet $12,500,000 $11,832,947 this deadline and does $11,113,895 not provide a certified tax roll until early $10,000,000 September.

When the District used $7,500,000 the GCAD to appraise all 2005 2006 2007 2008 2009 properties it was able to Calendar Year approve a tax rate in August and mail tax bills by early October. Due to delays from the HCAD, we cannot approve a tax rate until late September. This means tax bills cannot be mailed until late November or early December.

All properties are assessed at 100% of market value as of January 1, 2009. The Certified and Under Protest Appraisal Totals were used for the September 28th tax rate adoption. The District's fiscal year runs from September 1st to August 31st. Therefore, our projected 2009 Certified and Under Protest Appraisal Totals, which were $15,170,125,000, were used for the August 24th budget adoption. This equates to an average growth rate in assessed values of more than 9.1% per year over the last four years. However, appraised values decreased almost two percent (1.78%) this year, $274 million, due to the impact of an economic recession and damage created by Hurricane Ike in September of 2008.

The Texas Comptroller of Public Accounts annually certifies the final property values on or before July 1st of the following year. The Commissioner of Education uses the final values in the process of allocating state funds to school districts.

19 FY 2009 – 2010 Budget Detailed Budget Analysis

Levy on the Average Residence Clear Creek’s tax base is heavily weighted towards residential property. Almost fifty five percent (54.98%) of our total general fund is derived from local property taxes. Homeowners fund a majority of the costs of operating our schools.

Clear Creek’s levy on its average residence decreased Levy on Average Residence this year. This is due to a Five Year History decrease in local property values. The chart to the right FY 2010 $2,077 highlights this movement over FY 2009 $2,093 the last five years.

FY 2008 $1,875 The impact of a general recession and the devastating FY 2007 $2,231 impact of Hurricane Ike combined to lower property FY 2006 $2,335 values in 2009. The average $0 $250 $500 $750 $1,000 $1,250 $1,500 $1,750 $2,000 $2,250 $2,500 taxable value of a home in the Clear Creek Independent School Total Tax Levy District dropped from $153,928 in 2008 to $152,726 in 2009. As a result, the levy due on the average residence dropped from $2,093 in 2008 to $2,077 in 2009.

Distribution of Tax Base Clear Creek is literally a district of roof-tops. Our community is primarily residential in nature. Almost $12.1 billion in value is residential in nature (64.5% of total market value). This is virtually unchanged from $12.1 billion in 2008 and represents the first time in many years that residential values did not increase. This is directly attributable to the slowing economy and the impact of Hurricane Ike on property values. The next highest distribution is in commercial and industrial property at over $2.9 billion (15.8% of total market value). This property value is also higher than 2008 but the increase is much less significant than that residential values. The District also has a large portion of its property in the form of acreage and platted lots/tracts which are available for development. This indicates that there is an abundance of land for future development. This raw land will eventually become land for new homes. As a result, we believe that the distribution of our tax base will continue to be heavily weighted in residential property.

Top Twenty Taxpayers Clear Creek’s top taxpayers are heavily weighted towards industrial and commercial operations. It should also be noted that even with a heavy weight of industrial taxpayers in our top twenty, the top taxpayer, Coral Energy Resources, accounts for less than one percent (0.89%) of our total tax base. Our next largest taxpayer is Baybrook Mall LLP which is a very large regional shopping mall. They account for 0.88% of the tax base. Our twentieth largest taxpayer is a chemical plan that makes up only 0.18% of our total tax base. This is evidence of Clear Creek’s dependence on residential taxpayers. See Informational section, page 171 for detailed list.

20 FY 2009 – 2010 Budget Detailed Budget Analysis

Property Tax Rates The Board of Trustees adopted tax rates on September 28th after giving appropriate public notice. School district tax rates consist of a Maintenance & Operations tax rate and an Interest & Sinking tax rate.

Maintenance and Operations tax rate (M&O): A local school district tax rate that raises revenue to be used to operate and maintain the district's schools. This rate is at $1.04 per $100 valuation.

Interest and Sinking Tax (I&S): A tax levied and money used by school districts to pay for voter approved bonded indebtedness, usually construction of facilities or other capital needs. This rate is at $0.32 per $100 valuation.

Tax Rate Analysis The total tax rate has decreased by thirty nine cents ($0.39) over $1.750 the last five years. The 0.275 Maintenance and Operations tax $1.500 0.300 rate decreased by forty six cents ($0.46) over this period primarily $1.250 0.320 0.320 0.320 due to the fifty cent rate

$1.000 Rate Tax 1.500 reduction included in the reform 1.330 legislation of 2006. $0.750 1.000 1.040 1.040 The Interest and Sinking Fund $0.500 tax rate increased by seven and a FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 half cents ($0.075) over the last Fis cal Ye ar five years from $0.245 to $0.32. Maintenance & Operations Interest & Sinking This increase was planned due to the sale of $381.1 million in new bonds approved by voters in 2004 ($264 million), and in 2007 ($183.1 million). The District has sold all of the 2004 and 2007 authorizations.

Property Tax Collections Clear Creek has seen property tax collections decline over the last two years. This is due to the reform legislation that reduced the tax rate by fifty cents over the same period. Prior to this legislation, tax collections were increasing. This was due to an expanding Property Tax Collections economy that led to a Five Year History construction boom, escalating ($1,000's) property values, and an $200,000 $175,609 $165,200 abundance of raw land that has $157,000 $147,400 been tapped for residential and $150,000 $134,200 commercial development. As a result, property tax collections $100,000 grew in direct response to $43,150 $45,600 $48,625 economic growth. $50,000 $32,162 $37,354

The worldwide recession has $0 had an impact on values; FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 however, our collection history Maintenance & Operations Interest & Sinking remains high. Our home and business owners pay their taxes even in the worst economic climate in many years.

21 FY 2009 – 2010 Budget Detailed Budget Analysis

 Student Enrollment Projections

Enrollment projections were provided through a contract with MetroStudy, Inc. MetroStudy integrates school district information with its proprietary new home census information and specific neighborhood forecasts to create specific enrollment projections by attendance zone for the District.

MetroStudy was retained in early 2004 to provide Actual/Projected enrollment projections to Enrollment Growth the Long Range Facility Master Plan Committee. They made an initial 45,000 enrollment estimate in July 40,000 35,000 2004. These estimates are 30,000 reviewed annually to 25,000 determine if the estimates 20,000 are still valid. Annual 15,000 reviews allow the District to 10,000 5,000 take a proactive stance with - regard to new school FY 2007 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 locations. As a result, school sites can be Elementary Intermediate High School Total established in advance of the expected influx of students. This early warning allows the District to negotiate land purchases while pricing is still affordable.

The District is rapidly growing and has large areas of undeveloped land. Demographic changes will be a key data source for the District in the future. Current projections show student enrollment for the FY 2009-2010 school year to be 37,670. This number will grow to 40,061 over the next five years.

 District-Wide Staffing

The District has experienced tremendous enrollment growth over the last five years. In order to meet the challenges of a fast-growth school district, our teaching and support staff has grown as well. In the last five years, the District has added 1,000 new positions to meet growth. Teachers make up the vast majority of these new positions with the District adding 573 new positions.

The second largest growth area with over 189 new positions has been Auxiliary Support. This group consists of custodians, maintenance technicians, food service employees, and bus drivers. The District has opened seven new schools in the last four years which has had a significant impact on our Auxiliary Support departments.

As Clear Creek’s enrollment continues to grow, we anticipate teaching and support staff to increase in order to meet the needs of our District. This trend will continue for at least the next five to ten years.

22 FY 2009 – 2010 Budget Detailed Budget Analysis

 Employee Resource Allocations

CLEAR CREEK INDEPENDENT SCHOOL DISTRICT FULL-TIME EQUIVALENT DISTRICT EMPLOYEES BY POSITION

Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010

Administrative / Professional General Administration 5 6 7 7 7 Business / Finance 10 10 9 9 9 Human Resources 3 3 3 4 4 Instruction / Curriculum 20 19 19 23 23 Technology / Information Systems 7 6 6 6 6 Maintenance and Operations 4 5 4 4 4 Principals 37 37 37 37 40 Assistant Principals 51 54 54 57 64 Librarians 40 42 43 43 46 Counselors 66 67 76 86 102 Nurses 37 38 40 40 44 Diagnosticians 24 31 30 30 34 Licensed Specialist in School Psychology 3 3 4 4 5 Speech-Language Pathologists 31 25 23 23 23 338 346 355 373 411

Teachers 2,203 2,329 2,483 2,577 2,689

Technology 33 34 33 36 37

Campus Clerical / Office / Classroom Aides Attendence Clerk 34 40 42 44 44 Secretary - Principal 37 36 37 37 40 Bookkeeper 3 3 4 4 5 Registrar 3 3 5 6 7 Classroom Teacher Aide 66 67 64 70 75 Special Education Aide 180 187 204 214 235 Library Aide 36 38 37 37 57 Other 21 23 24 27 27 380 397 417 439 490

Central Office Clerical / Office Secretary 30 29 29 30 32 Accounts Payable Clerks 4 4 4 4 4 Payroll Clerks 6 6 6 6 6 Purchasing Clerk 1 2 2 2 2 Tax Office Clerk 4 4 4 4 4 Receptionist 1 1 1 1 1 PEIMS Data Specialist 1 1 1 1 1 Other 2 2 2 2 2 49 49 49 50 52

Auxiliary Transportation 182 196 212 221 236 Food Service 250 235 235 250 260 Maintenance - Custodial 244 246 250 250 263 Maintenance - Other 53 56 51 57 64 Security 3 4 7 7 9 732 737 755 785 833

Other Part-time 206 235 273 273 273

Total 3,941 4,127 4,365 4,533 4,784

23 FY 2009 – 2010 Budget Detailed Budget Analysis

 Educational Performance Measures

Texas Assessment of Knowledge and Skills (TAKS) The Texas Assessment of Knowledge and Skills (TAKS) measure the statewide curriculum of specific subjects at specific grade levels. TAKS includes a broad assessment of the Texas Essential Knowledge and Skills (TEKS), which is the statewide curriculum, and is a more rigorous assessment than previous testing programs.

Clear Creek has the distinction of being the highest performing large school district in Texas. This can be found in the fact that the District is the only large school district in the State of Texas, a district with more than 25,000 students, to be named a Recognized school district for twelve of the last thirteen years. Clear Creek ISD is also honored to have the largest Exemplary high school in the State of Texas. That would be Clear Lake High School, with an enrollment of over 3,700 students.

Texas Accountability System Description 2004 - 2005 2005 – 2006 2006 - 2007 2007- 2008 2008- 2009

Exemplary 5 11 15 18 25

Recognized 21 17 13 14 13

Acceptable 8 7 8 6 0

District Rating Acceptable Recognized Recognized Recognized Recognized

Academic Performance and Per Pupil Spending Clear Creek ISD is committed to providing efficient and effective services to its students. This does not mean we spend more than other districts. It means we ensure that each dollar we spend is focused on student achievement. When Clear Creek’s per pupil spending is benchmarked to our Texas peers, we find that we do not rank at the top in per pupil spending. Yet we can still lay claim to being the highest performing large (enrollment in excess of 20,000) school district in the State of Texas and to having the largest Exemplary high school in the State of Texas.

There has been a nation-wide push to force districts to spend an arbitrary amount of its funds on direct classroom instruction. The percentage that is most often used as a benchmark is 65% of the total budget. Over the last several legislative sessions, Texas legislators made a push to implement the 65% rule. Their goal has been to require districts to spend at least 65% of their total budget on direct classroom instruction. While the goal of increased classroom spending is one that all districts strive for, it is equally true that there is no direct research that links higher levels of spending with student success.

The chart on the next page highlights this fact. Our General Fund per pupil spending in each major expense category is benchmarked against our peer districts across the State of Texas. We compare ourselves to the top thirty school districts across the state. As you will note, we rank 9thth in overall per pupil spending in our peer group. In addition, we are 8th in Instruction and Related spending – often used as the benchmark for direct classroom spending, and 15th in Instructional and School Leadership which is campus and district based instructional support. You will also note that many Acceptable districts spend much more than Clear Creek ISD on a per pupil basis.

These results support the idea that more is not better when it comes to per pupil spending. Student performance is a balance between direct classroom spending and having the very best teacher in each classroom and administrator on each campus. Evidently this has come home to our legislators as well. The last legislative session our legislators removed the previous requirement to spend 65% of the total budget on classroom instruction.

24 FY 2009 – 2010 Budget Detailed Budget Analysis

$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ Inter Charges ¹ Total ³ Governmental Governmental $ $ 7,185 $ $ 7,676 $ $ 7,000 $ $ 7,557 $ $ 8,122 $ $ 7,402 $ $ 8,407 $ $ 7,300 $ $ 7,393 $ $ 7,709 $ $ 7,456 $ $ 6,720 $ $ 7,311 $ $ 8,590 $ $ 6,917 $ $ 7,396 $ $ 6,507 $ $ 7,403 $ $ 7,384 $ $ 8,590 $ $ 7,728 $ $ 7,175 $ $ 6,366 $ $ 6,366 $ $ 7,152 $ $ 7,013 $ $ 7,494 $ $ 8,058 $ $ 6,618 $ $ 7,836 $ $ 7,295 $ $ 6,977 $ $ 7,751 $ $ 24 $ $ 363 $ $ 39 $ $ 196 $ $ 62 $ $ 45 $ $ 588 $ $ 40 $ $ 39 $ $ 44 $ $ 58 $ $ 37 $ $ 83 $ $ 588 $ $ 97 $ $ 124 $ $ 73 $ $ 93 $ $ 90 $ $ 65 $ $ 51 $ $ 28 $ $ 53 $ $ 17 $ $ 37 $ $ 54 $ $ 53 $ $ 150 $ $ 17 $ $ 75 $ $ 30 $ $ 31 $ $ 63 $ 1 $ - $ - $ - $ 1 $ 13 $ 3 $ - $ 11 $ - $ 0 $ - $ - $ 24 $ - $ 10 $ 1 $ 12 $ 4 $ 16 $ - $ 1 $ - $ 0 $ 24 $ 8 $ - $ - $ - $ 0 $ - $ 3 $ 16 Services Debt Services Capital Outlay Community $ $ - $ $ - $ $ 30 $ $ 11 $ $ - $ $ - $ $ - $ $ - $ $ - $ $ - $ $ - $ $ - $ $ 30 $ $ 12 $ $ - $ $ - $ $ - $ $ 3 $ $ 14 $ $ - $ $ 2 $ $ 1 $ $ - $ $ 6 $ $ - $ $ - $ $ - $ $ 10 $ $ - $ $ 1 $ $ - $ $ - $ $ 13 Services Technology $ 26 $ 3 $ 10 $ 21 $ $ 36 $ 22 $ 6 $ 13 $ - $ 9 $ $ 0 $ 9 $ 103 $ 2 $ 3 $ $ 25 $ 10 $ 20 $ 72 $ $ 4 $ 3 $ 6 $ $ 0 $ $ 10 $ $ 56 $ 44 $ 11 $ 32 $ 103 $ 8 $ $ 19 $ $ 4 $ 50 Security & Monitoring $ 207 $ 121 $ 100 $ 241 $ 61 $ 167 $ 162 $ 117 $ 112 $ 121 $ 94 $ 120 $ 241 $ 124 $ 114 $ 36 $ 129 $ 122 $ 207 $ 51 $ 109 $ 116 $ 36 $ 91 $ 97 $ 211 $ 108 $ 179 $ 102 $ 113 $ 49 $ 85 $ 120 Plant Maintenance $ 105 $ 71 $ 96 $ 106 $ 64 $ 38 $ 96 $ 84 $ 28 $ 77 $ 86 $ 127 $ 82 $ 75 $ 50 $ 81 $ 70 $ 120 $ 62 $ 63 $ 77 $ 18 $ 27 $ 73 $ 127 $ 38 $ 51 $ 55 $ 18 $ 41 $ 64 $ 82 $ 68 & Operations Suppport Suppport Services ² $ 943 $ 590 $ 846 $ 869 $ 912 $ 726 $ 886 $ 1,073 $ 776 $ 835 $ 621 $ 1,073 $ 675 $ 837 $ $ 617 $ 776 $ 805 $ 953 $ 780 $ 778 $ 738 $ $ 590 $ 772 $ 890 $ 859 $ 812 $ 846 $ 708 $ 806 $ 721 $ 802 $ 806 $ 906 Administrative FY General Approved 2009 - 2010 Fund Budgets Clear Creek Independent School District Student Student Support Support Services $ 232 $ 179 $ 187 $ 166 $ 236 $ 231 $ 223 $ 249 $ 182 $ 116 $ 219 $ 249 $ 100 $ 201 $ 97 $ 162 $ 183 $ 222 $ 181 $ 157 $ 163 $ 97 $ 203 $ 170 $ 181 $ 164 $ 165 $ 166 $ 201 $ 227 $ 181 $ 142 $ 183 Expenditures per Student Enrolled ComparedPerformance to District Academic School Leadership Instruction & $ $ 768 $ $ 787 $ $ 753 $ $ 694 $ $ 692 $ $ 759 $ $ 801 $ $ 705 $ $ 883 $ $ 890 $ $ 689 $ $ 883 $ $ 705 $ $ 729 $ $ 753 $ $ 705 $ $ 758 $ $ 810 $ $ 836 $ $ 737 $ $ 710 $ $ 616 $ $ 738 $ $ 616 $ $ 804 $ $ 841 $ $ 705 $ $ 658 $ $ 784 $ $ 649 $ $ 877 $ $ 884 $ $ 794 Related Instruction & $ $ 477 $ $ 564 $ $ 636 $ $ 582 $ $ 657 $ $ 521 $ $ 581 $ $ 541 $ $ 592 $ $ 493 $ $ 674 $ $ 674 $ $ 479 $ $ 545 $ $ 418 $ $ 513 $ $ 561 $ $ 718 $ $ 598 $ $ 509 $ $ 514 $ $ 418 $ $ 561 $ $ 578 $ $ 601 $ $ 472 $ $ 478 $ $ 573 $ $ 630 $ $ 674 $ $ 584 $ $ 529 $ $ 533 4,997 5,267 4,830 5,065 4,816 4,625 4,902 4,807 4,177 4,810 4,641 4,758 4,437 4,923 5,393 5,165 4,790 3,988 4,520 4,657 4,226 4,858 5,544 4,219 5,117 4,832 4,785 4,411 5,007 4,402 School District Enrollment Clear Creek ISDClear 37,200 Spring Branch ISD 32,160 Alief ISDAlief 45,696 Carrolton Farmers-Branch ISD 26,252 Hurst Euless Bedford ISD 20,500 Spring ISD 34,000 Allen ISDAllen 16,876 McKinney ISDMcKinney 24,049 Conroe ISD 48,700 Irving ISDIrving 33,343 High 5,544 Arlington ISDArlington 63,416 Mesquite ISDMesquite 36,002 Cypress FairbanksCypress ISD 104,225 Katy ISDKaty 58,000 Average 4,766 Austin ISDAustin 82,140 North East ISD 63,078 Fort Bend ISD 69,450 Klein ISDKlein 44,275 Low 3,988 Birdville ISDBirdville 22,541 Pasadena ISD 52,000 Fort Worth ISD 79,457 Leander ISDLeander 29,701 Clear Creek ISD RankingClear 30 Districts 8th 15th 11th 18th 30th 16th 10th 25th Last Last 2nd 9th Plano ISDPlano 51,868 Garland ISD 57,000 Lewisville ISDLewisville 51,213 Richardson ISD 34,042 Humble ISD 34,474 Mansfield ISD 31,136 Round RockRound ISD 41,468 San Antonio ISDSan Antonio 55,000 25 FY 2009 – 2010 Budget Detailed Budget Analysis

 Financial Performance Measures

Financial Integrity Rating System of Texas During the 77th regular session of the Texas legislature (2001), Senate Bill 218 was passed and Governor Perry signed it into law shortly thereafter. This law requires each school district to prepare an annual financial accountability report within two months of the date of issuance of the final School FIRST ratings.

Many business-related issues are covered in this report. The primary reporting tool, however, is the Financial Accountability Ratings Worksheet. This worksheet was developed by representatives of the Texas Education Agency (TEA), the Texas Business & Education Council (TBEC) and the Texas Association of School Business Officials (TASBO). It is administered by the TEA and calculated on information submitted to the Agency via our PEIMS submission each year. The worksheet consists of 24 Indicators, each weighted equally with the exception of the Critical Indicators.

The District received official notification of the 2008 Final School FIRST rating on August 24, 2009 for the 2007-2008 fiscal year. Clear Creek has a rating of “Superior Achievement”, scoring a perfect 24 out of a possible 24 on this external financial performance measure.

Bond Ratings In order to ensure the lowest interest rates on bonds issued by the District, it is important to maintain a high credit rating. The District’s underlying credit rating was upgraded in April 2008 from AA- to AA by both Standard and Poor’s Investor Service and Fitch Ratings Service. As a result, the District issued its bonds at very favorable interest rates in 2008 and 2009.

 Budget Highlights

The following is presented as a brief overview of significant items and issues contained in the 2009- 2010 budget. Due to uncertainties in school finance, campus leaders and budget managers were asked to provide a no increase budget. As a result, major impacts on the budget reflect projects or expenditures that are critical to student success. As discussed earlier in this document, the Administration performed a detailed review of all revenues and expenditures which was focused on aligning the allocation of resources with the accomplishment of District goals and objectives. The Strategic Plan reference to the District's Strategic and Performance Goals and Performance Objectives is included for all cost increases where appropriate.

Major Impacts FY 2010 General Fund Budget Strategic Plan Description Alignment Amount

Prior Year Adopted General Fund Budget 2008-2009 $ 270,138,086

Major Changes to the Budget

Salaries & Benefits

 Teacher Salary Plan (3.0% increase) Goal # 1, 3, 4 4,000,000  Support Staff Salary to Market Plan (includes a 3.0% base increase) Goal # 1, 3, 4 1,450,000

 District-wide Salary to Market Plan Goal # 1, 3, 4 500,000

Total Salaries & Benefits $ 5,950,000

26 FY 2009 – 2010 Budget Detailed Budget Analysis

Staffing Plans – New Positions

 Elementary & Secondary Teachers – 23.0 FTE’s Goal # 1, 3, 4 $ 1,160,925

 Clear Horizons Early College High School Teachers – 3.0 FTE’s Goal # 1, 4 130,825

 Clear Stars Night School – 1.0 FTE Goal # 1, 4 24,700

 Special Education Elementary Team Leaders – 7.0 FTE’s Goal # 1, 3, 4 402,500

 District-wide Special Education Teachers – 17.0 FTE’s Goal # 1, 3, 4 636,275

 District-wide Campus At-Risk Staffing Plan – 11.0 FTE’s Goal # 1, 3, 4 527,500

 New School Start-up Staffing

o Ralph Parr Elementary School – 35.87 FTE’s Goal # 1, 3, 4 1,497,400

o Dr. Sandra Mossman Elementary School – 33.87 FTE’s Goal # 1, 3, 4 1,424,150

o Clear Creek Intermediate School – 33.5 FTE’s Goal # 1, 3, 4 1,616,300

o Clear Springs High School – 22.0 FTE’s Goal # 1, 3, 4 1,066,775

o Educational Village High School – 9.21 FTE’s Goal # 1, 3, 4 464,250

o Educational Village Intermediate School – 6.26 FTE’s Goal # 1, 3, 4 262,275

 District-wide 5 year Staffing Plan – 12.5 FTE’s Goal # 1, 3, 4 678,800

 Support Staff (Maintenance, Custodial, Bus Drivers) – 22.0 FTE’s Goal # 3 491,000

Total New Staffing – 237.2 FTE’s $ 10,383,675

New Initiatives & Programs

 High School Allotment (Transferred from another fund) Goal # 1, 4 $ 2,890,000

 Clear Horizons Early College High School – Books & Tuition Goal # 1, 4 350,000

 Clear Stars Night School Program Goal # 1, 4 153,000

 Special Education Stimulus Savings Goal # 1, 3, 4 (1,500,000)

Total New Initiatives ($ 1,893,000)

Operating Expenses

 Insurance, Utilities & Energy & other Operational Increases Goal # 4 $ 818,402

 Operational Cost Reductions

o Departmental 5% Budget Cuts Goal # 4 (650,000)

o Educational & Operational Savings Goal # 4 (1,420,000)

o Fuel and Utility Savings Goal # 4 (2,100,000)

Total Operating Cost Increases ($ 3,351,598)

Intergovernmental Charges

 TRS On-Behalf Payment Goal # 1, 3, 4 $ 518,000

Total Intergovernmental Charges Increase $ 518,000

Total General Fund Budget Increase $ 15,393,077

ADOPTED GENERAL FUND BUDGET 2008-2009 $ 285,531,163

27 FY 2009 – 2010 Budget Detailed Budget Analysis

 Long Range Compensation Plans

The FY 2009-2010 Compensation Plan includes several of the District’s long range salary to market plans. This year the Long Range Teacher Salary Plan called for the District to approve a 3.0% salary increase to every teacher. The Board approved $4.0 million for this plan.

The Board approved several other long range salary plans to move District salaries to more market competitive levels. First, the District continued the Long Range Administrator Salary to Market Plan which aligns administrative salaries with our competitors. Second, the Board approved internal equity adjustments for paraprofessionals. This is the fourth year of our multi-year plan to move paraprofessional salaries to market competitive levels. We also found that some paraprofessional employees with similar experience and job duties were not paid equitable salaries. The plan corrected those problem areas. Finally, the Board approved the final year of a long range plan to move auxiliary salaries to more competitive levels. Similar to the paraprofessional plan, this plan combined market salary adjustments with experience based salary adjustments to ensure auxiliary salaries are both competitive and fair. As a result of these plans, all non-teaching staff was guaranteed a base salary increase of 3.0%.

 Acknowledgements

We appreciate the leadership and fiscal support provided by the Clear Creek Independent School District Board of Trustees and the Clear Creek community for development, implementation and maintenance of an excellent educational program for the children of the District.

We have presented the challenges, opportunities, and high expectations of the Clear Creek Independent School District. The Clear Creek Independent School District Board of Trustees, administration, and staff are committed to making the Clear Creek Independent School District one of the top districts in the state. With a focus on high expectations, a common curriculum meeting the needs of all students, quality teachers, parental involvement, and the full utilization of facilities, the Clear Creek Independent School District will meet this goal.

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Clear Creek Independent School District 2009 – 2010 Board of Trustees

Dr. Greg Smith Stuart Stromeyer Dee Scott Ken Baliker Superintendent of Schools President Vice President Secretary District # 4 District # 5 District # 3 Term Expires in May 2012 Term Expires in May 2012 Term Expires in May 2011

Robert Davee Ann Hammond Charles Pond Winifred Weber District # 1 At-Large Position B At-Large Position A District # 2 Term Expires in May 2010 Term Expires May 2010 Term Expires in May 2012 Term Expires in May 2011

Paul McLarty Jeff Kohlenberg Chief Financial Officer Director of Finance

29 FY 2009 – 2010 Budget Detailed Budget Analysis

 Board Meetings

All Clear Creek Independent School District board meetings and workshops are open to the public. Regular meetings will be held at 6:00 p.m. on the fourth Monday of each month in the board room located at the CCISD Education Support Center, 2425 East Main St., League City, Texas. Trustees hold monthly board workshops at 4:30 p.m. on the second Monday of each month in the large staff development room located at the CCISD Education Support Center. Other special meetings and work sessions are scheduled as needed.

 If You Wish to Address the Board

The public may address the board during the community input participation portion of the board meeting. Remarks may be related to any topic, whether agenda items or non-agenda items, and are limited to three minutes. Requests to address the Board must be submitted in writing to the Superintendent by noon of the Thursday before a regular Board Meeting.

www.ccisd.net

30 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District 2009 - 2010 Adopted Budget School Board and Administrators

Board of Trustees Stuart Stromeyer ...... President Dee Scott ...... Vice President Ken Baliker...... Secretary Robert A. Davee ...... Member Ann Hammond ...... Member Charles Pond ...... Member Winifred Weber ...... Member

Administration

Dr. Greg Smith ...... Superintendent of Schools Dr. Steven Ebell ...... Deputy Superintendent - Curriculum &Instruction Paul McLarty ...... Chief Financial Officer Ron McPherson ...... Associate Superintendent for Operations Dr. Tina Farrell ...... Assistant Superintendent for Instruction and Curriculum Alex Torrez ...... Assistant Superintendent for Secondary Education Holly Hughes ...... Assistant Superintendent for Elementary Education Dr. David O’Neill ...... Assistant Superintendent of Human Resources Dr. Chad Stevens ...... Chief Technology Officer Sheila Haddock ...... Director of Policy and Legal Affairs Elaina Polsen ...... Director of Public Information

Principals Scott Bockart ...... Clear Creek High School Dr. Christopher Moran ...... Clear Lake High School Michelle Staley ...... Clear Brook High School Gail Love...... Clear Springs High School Gail Ladehoff ...... Clear Horizons Early College High School Karen Engle ...... Education Village High School Dr. Robert Branch ...... Clear View Education Center Sandy Davenport ...... Clear Path Alternative School Deanna Daws ...... Brookside Intermediate School Brett Lemley ...... Clear Lake Intermediate School Peter Caterina ...... Creekside Intermediate School Kim Broulliard ...... League City Intermediate School David Williams ...... Seabrook Intermediate School Susan Carpenter ...... Space Center Intermediate School Kristi Lamell ...... Victory Lakes Intermediate School

31 FY 2009 – 2010 Budget Detailed Budget Analysis

Dr. Lori Broughton ...... Westbrook Intermediate School Jerry Herd ...... Clear Creek Intermediate School Robin Williams ...... Armand Bayou Elementary School Trudy Knight...... Henry Bauerschlag Elementary School Erin Tite ...... James F. Bay Elementary School Cathy Homer ...... Brookwood Elementary School Leslie Dragg ...... Clear Lake City Elementary School Monica Giuffre ...... Falcon Pass Elementary School Elaine Sanders ...... Lloyd R. Ferguson Elementary School Suzanne Jones ...... Darwin L. Gilmore Elementary School Kim Noel ...... Art & Pat Goforth Elementary School Susan Scurry ...... P.H. Greene Elementary School Stephanie King ...... Walter Hall Elementary School Kelly Chapman ...... I.W. and Eleanor Hyde Elementary School Yolanda Jones ...... C.D. Landolt Elementary School Carla Massa ...... League City Elementary School Dr. Michael Marquez ...... Margaret S. McWhirter Elementary School Stephanie McBride ...... Sandra Mossman Elementary School Kelly Mooney ...... North Pointe Elementary School Jane Kelling ...... Ralph Parr Elementary School Jim Stephens ...... G.W. Robinson Elementary School Mark Smith ...... James H. Ross Elementary School Brittani Moses ...... LaVace Stewart Elementary School Kathy Gouger ...... John F. Ward Elementary School Teresa Snider ...... Arlyne & Alan Weber Elementary School Ann Arrington ...... Wedgewood Elementary School Gail Boyes ...... G.H. Whitcomb Elementary School Matt Paulson ...... Edward H. White II Elementary School

32 FY 2009 – 2010 Budget Detailed Budget Analysis

33 FY 2009 – 2010 Budget Detailed Budget Analysis

34 FY 2009 – 2010 Budget Detailed Budget Analysis

 The District

Clear Creek is an Independent School District and is established under laws set out in Section 11 of the Texas Education Code. Independent school districts have the primary responsibility for implementing the state’s system of public education and ensuring student performance in accordance with the Texas Education Code. Independent school districts are governed by a board of trustees who, as a body corporate, shall oversee the management of the district. Clear Creek ISD is fully accredited by the Texas Education Agency (TEA) as required in Section 11.001 of the Texas Education Code.

Celebrating sixty one years of excellence, Clear Creek Independent School District, is situated just south of Houston. Our story begins in 1948 when schools in League City, Seabrook, Webster and Kemah consolidated to form the Clear Creek Independent School District. At the time the schools were unified, there were fewer than 1,000 students in four schools.

Clear Creek ISD embraces the communities of League City, Seabrook, Webster, Kemah, El Lago, Nassau Bay, Clear Lake Shores and Taylor Lake Village, along with portions of Bacliff, Friendswood, Houston and Pasadena. Clear Creek ISD encompasses parts of Galveston and Harris counties. The District serves over 37,600 students in grades pre-kindergarten through twelve. The district operates twenty-six elementary schools, nine middle schools, six high schools, and one alternative campus.

Clear Creek ISD is meeting the challenge of a fast growth school district by proactively analyzing facility needs and placing bond issues for taxpayer approval. Taxpayers approved a $183.1 million bond program in May of 2007. This bond program provides funding for two elementary schools, one intermediate school and one high school campus. In addition, funds are provided to return two existing Ninth Grade Centers to intermediate campuses.

Clear Creek ISD is home to the NASA/Johnson Space Center; the numerous engineering and technical organizations which support the space industry; the fishing and recreation areas of Galveston Bay; chemical and energy resource industries; and the University of Houston-Clear Lake.

The heart of a school district is its people – and the Clear Creek Independent School District takes great pride in its highly qualified Board of Trustees, administration, faculty and staff, all of whom are dedicated to providing the best possible education environment for all students. Parent and community interest and support strengthen the school program.

Clear Creek ISD is now the 29th largest of the 1,031 school districts in Texas. The district employs over 5,000 persons, over 2,700 of which are teachers. Student test scores are routinely well above the state average. Approximately 80 percent of graduating seniors plan to attend college or technical schools. We are proud that almost 24 percent (23.8%) of the faculty members have a master’s or doctorate degree.

Our students and staff continue to excel in many arenas. Clear Creek ISD has the distinction of being the only large school district (more than 25,000 students) in the State of Texas to have achieved a Recognized rating from the TEA for twelve of the last thirteen years. Clear Creek ISD received a Recognized rating from the Texas Education Agency (TEA) again in 2008-2009. Twenty-five of Clear Creek’s thirty eight campuses were rated Exemplary (the highest rating in Texas). That means that sixty six percent (66%) of the District’s campuses achieved the State’s highest academic rating. All of the District’s campuses are rated either Recognized or Exemplary. Finally, Clear Lake High School with an enrollment of over 3,800 is the largest Exemplary high school in the state of Texas.

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 District Map

36 FY 2009 – 2010 Budget Detailed Budget Analysis

Mission Statement

The mission of the Clear Creek Independent School District, a diverse community unified by a spirit of exploration and excellence, is to develop students who will lead the way to the future by educating and equipping them with the skills necessary to excel in the 21st century through a system characterized by meaningful community relationships and a comprehensive curriculum facilitated by a highly qualified team committed to Courage, Collaboration, Innovation, and Self-Direction.

District Motto

Leading the Way in the 21st Century!

 Portrait of a Clear Creek ISD Graduate

Clear Creek is very proud of its distinguished status among Texas school districts. When we look at our graduates, we find a number of things in common. We have developed a Portrait of a Clear Creek

ISD Graduate that summarizes the impact of an education in our District.

Clear Creek Independent School District graduates are:  Effective communicators who master the basic skills of reading, writing, speaking/listening, and mathematical skills sufficient for daily living and for efficient functioning in a diverse and complex society.  Creative problem solvers who have the ability to comprehend oral and written information, process the information and/or knowledge, and can anticipate, assess, and resolve problems.  Collaborative team members who use leadership and group skills to establish effective, supportive, and cooperative interpersonal relationships with and between others.  Wellness advocates who practice habits that provide for continuous improvement and maintenance of their mental and physical health. They are self-assured and have a positive self-concept.  Technology users who understand and apply a variety of current technologies to access information, produce products, and solve problems in their personal and professional lives.  Celebrants of diversity who practice respect for diversity through acceptance and tolerance of cultures other than their own. Attributes include speaking positively about other cultures, associating with heterogeneous groups, accepting and practicing different cultural experiences, and continuously learning about other cultures.  Future employees who have a strong work ethic by demonstrating knowledge about current careers and possessing the appropriate skills necessary to attain work, and continue to seek and update training throughout their careers.  Life-long learners, who commit to the process of learning and value education in order to create a vision for their future, set priorities and goals, create options, take responsibility for pursuing these goals, and monitor and evaluate their programs.

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 Strategic Planning

Origins of the Planning Model Dr. Smith was named superintendent of schools in January, 2008 and immediately set out to refine Clear Creek’s mission, vision and strategic plan. This would be the first major review of the plan since it was originally developed in 2004. Beginning in the fall of 2008, the superintendent’s cabinet, led by Dr. Steven Ebell the district’s deputy superintendent of curriculum and instruction, began a total review of the district’s strategic mission and goals. After months of collaboration with campus and central office instructional leaders, the district developed the framework for its long range strategic plan. This plan is anchored with the District’s core beliefs and a mission statement that embodies our community’s common goals and aspirations. The strategic plan approved by the Board of Trustees on April 27, 2009 is provided below.

Statement of Beliefs: We believe that:  Each student deserves access to a world-class education.  Education is a joint partnership between family, school and community.  Relationships are the foundation for meaningful teaching and learning.  Learning can occur any time, any place, and at any pace.  Providing diverse learning opportunities promotes individual success.  Excellence is worth the effort.  High expectations drive performance.  Diversity strengthens our community.  The measure of success of any community is the success of its children.  Communication with all stakeholders develops unity.  Every person is responsible to be a continuous lifelong learner.  Innovation requires a commitment to bold ideas.

Objectives  Enable all students to participate in activities promoting creativity, collaboration, problem-solving and innovation.  Equip all students to graduate with the knowledge, skills, and resources to be successful in post- secondary education or employment in the 21st century workplace.  Expect all students to participate in making a meaningful contribution to the community.  Engage all students to develop plans to successfully achieve their personal goals.

Parameters  We will make academic excellence our first priority.  We will hold the highest expectations for everyone.  We will make optimal use of technology throughout the educational system.  We will base our decisions and actions on the best interest of the student.  We will be responsible stewards of our resources.  We will require individual and organizational responsibility and accountability  We will treat each other with honesty and respect.

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 We will make all decisions consistent with our beliefs and mission.  We will not initiate or retain any program or service unless it contributes to achieving our mission and objectives, and benefits outweigh costs.  We will embrace change that leads to continuous improvement.

Goals 1. We will provide rigorous learning opportunities and curricula that transcend state and national standards to improve the achievement of each student while meeting their individual needs and aspirations. 2. We will enhance the character development of each student with emphasis on creating a sense of personal responsibility and a commitment to community. 3. We will recruit, develop and retain compassionate, effective, innovative and highly motivated staff. 4. We will focus our use of resources to accelerate learning for all students and eliminate the achievement gap. 5. We will provide learning environments that are physically safe and emotionally secure for all students, faculty and staff. 6. We will lead, develop, and implement a robust parent and community involvement program to successfully achieve the district mission and objectives. 7. We will nurture, support, and develop collaborative leadership at all levels throughout the learning community.

Strategic Goals & Performance Targets

Strategic Goal # 1: We will provide rigorous learning opportunities and curricula that transcend state and national standards to improve the achievement of each student while meeting their individual needs and aspirations.

 Performance Target 1: Document in the written curriculum the alignment of 21st century skills, national standards and college readiness standards for all courses Strategies: A. Establish an advisory committee to revise curriculum documents B. Determine 21st century skills and align with the Portrait of a Graduate C. Align current documents to national and college readiness standards

 Performance Target 2: Implement a program evaluation plan to determine cost/benefit of identified programs. Strategies: A. Conduct a curriculum management audit B. Develop a program evaluation plan based on the curriculum management audit C. Present plan for approval by the superintendent and school board

 Performance Target 3: Implement a computer network capable of supporting outside devices. Strategies: A. Determine the types of devices that will be allowed to access the network B. Develop a policy that defines network access and consequences for abuse C. Identify and secure internal resources/applications that are highly sensitive

 Performance Target 4: Increase the number of students identified as college/workforce ready. Strategies: A. Identify all processes and programs that impact college/work force readiness B. Provide access to Naviance software in the first semester of the freshman year 39 FY 2009 – 2010 Budget Detailed Budget Analysis

C. All 6th grade students will complete a Learning Style Inventory in Naviance

Strategic Goal # 2: We will enhance the character development of each student with emphasis on creating a sense of personal responsibility and a commitment to community.

 Performance Target 1: Develop service learning expectations for all students. Strategies: A. Establish a research-based service learning model B. Provide professional development for service learning theory and procedures C. Implement the program at the educational village complex

 Performance Target 2: Develop a student mentoring model to support students transitioning to 9th grade. Strategies: A. Investigate using high school campus organizations to establish a peer mentoring program B. Increase intermediate enrollment in extra-curricular activities C. Increase 9th grade enrollment in extra-curricular activities

Strategic Goal # 3: We will recruit, develop and retain compassionate, effective, innovative and highly motivated staff.

 Performance Target 1: Implement a recruitment system that focuses on key attributes; compassionate, effective, innovative and highly motivated. Strategies: A. Revise interview process to include standard content-specific questions that assess the key attributes identified above B. Develop an evaluation process for student teachers C. Develop university partnerships and internship programs

 Performance Target 2: Implement a professional development system that provides learning sequences for new to profession, mid-range, and experienced staff. Strategies: A. Establish program topics that will facilitate professional growth B. Develop educational materials for program topics & professional development calendar C. Implement the program

 Performance Target 3: Maintain a competitive salary and benefit package for all employees. Strategies: A. Survey peer district teacher, administrator and support staff salaries B. Develop competitive salary programs based on the results of the survey C. Survey peer district employee benefits packages and stipend structures D. Develop competitive employee benefits and stipend programs based on the results of the survey

Strategic Goal # 4: We will focus our use of resources to accelerate learning for all students and eliminate the achievement gap.

 Performance Target 1: Ensure that CCISD will be rated as an exemplary district in 2010. Strategies: A. Complete a targeted intervention plan for each campus B. Complete a staff development/instructional coaching plan C. Create staffing standards based on targeting achievement gains 40 FY 2009 – 2010 Budget Detailed Budget Analysis

 Performance Target 2: Expand Pre-Kindergarten to serve the maximum number of 4 year olds. Strategies: A. Complete impact study of facility use for Pre K space B. Combine existing intake centers into one Early Childhood Service Center C. Identify students for early childhood program

 Performance Target 3: Expand and market e4 Academy. Strategies: A. Expand course offerings to meet student needs B. Develop dual credit course offerings C. Set requirement that e4 instructors hold a TXVSN certification

 Performance Target 4: Maintain a balanced budget while meeting the needs of our students. Strategies: A. Develop enrolment projections for 2010-2011 B. Update staffing plans to reflect revised enrollment C. Develop staffing options to reduce projected deficit

Strategic Goal # 5: We will provide learning environments that are physically safe and emotionally secure for all students, faculty and staff.

 Performance Target 1: Determine long-term building and infrastructure needs. Strategies: A. Conduct a facility assessment B. Prioritize needs C. Identify funding

 Performance Target 2: Increase unified communications. Strategies: A. Conduct table top exercises at campuses B. Evaluate campus/district emergency operation procedures C. Review the Emergency Operations Plan

 Performance Target 3: Implement a system to prevent bullying and cyber bullying. Strategies: A. Review all policies as they relate to online activities B. Adopt and implement bullying and cyber bullying curriculum C. implement Lions Quest Program at all elementary campuses

Strategic Goal # 6: We will lead, develop, and implement a robust parent and community involvement program to successfully achieve the district mission and objectives.

 Performance Target 1: Develop a communication system aimed at increasing public trust and the public perception of excellence. Strategies: A. Conduct a communications assessment and implement recommendations B. Establish key messages regarding academics, finance & growth C. Conduct a phone survey to measure success

41 FY 2009 – 2010 Budget Detailed Budget Analysis

 Performance Target 2: Develop a system to make every school the hub of each community for student and adult learners. Strategies: A. Develop campus call-out surveys to gather information to better serve students and adult learners in the community B. Increase on campus student organizations to get more parents involved in campus activities C. Develop an information campaign on the opportunities for campus involvement

 Performance Target 3: Develop a system to increase the involvement of parents. Strategies: A. Implement an online tool to guide parents through the CCISD educational system B. Implement a parent education program in conjunction with the PTA C. Utilize district electronic volunteer system as an additional means of communication with parents

Strategic Goal # 7: We will nurture, support, and develop collaborative leadership at all levels throughout the learning community.  Performance Target 1: Implement a safe network for improved collaboration 24/7 any time and any where.

Strategies: A. Implement tools needed to monitor network traffic, applications, switches, servers and other hardware associated with providing 41/7 access B. Establish maintenance schedules for applications, hardware/software, monitoring, upgrades and change outs C. Adopt internet safety curriculum for staff and students

 Performance Target 2: Develop a succession plan for campus and departmental leadership. Strategies: A. Develop printed operational procedures that allow continuity during transitions in leadership B. Revise leadership job descriptions to include responsibility for identifying and encouraging district employees who possess leadership qualities and potential C. Promote continuing and post-graduate learning opportunities for district leadership through university and program partnerships

 Performance Target 3: Create a professional development sequence for new administrators focusing on operational management. Strategies: A. Establish program topics that will facilitate professional growth for new administrators B. Develop educational materials for program topics & professional development calendar C. Implement the program

42 FY 2009 – 2010 Budget Detailed Budget Analysis

CLEAR CREEK INDEPENDENT SCHOOL DISTRICT ORGANIZATION CHART

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44 FY 2009 – 2010 Budget Detailed Budget Analysis

 Budget and Financial Policies

Legal Requirements for Budgets Legal requirements for school district budgets are formulated by the state, Texas Education Agency, and the local district.

Statement of Texas Law Sections 44.002 through 44.006 of the Texas Education Code establish the legal basis for budget development in school districts. The following six items summarize the legal requirements from the code:

 The superintendent is the budget officer for the district and prepares or causes the budget to be prepared.

Note: TEA recommends that an interactive approach between the board of trustees and the superintendent be taken to establish the budget process and define related roles and responsibilities.

 The district budget must be prepared by a date set by the state board of education.

 The president of the board of trustees must call a public meeting of the board of trustees, giving ten days public notice in a newspaper, for the adoption of the district budget. Any taxpayer in the district may be present and participate in the meeting.

 No funds may be expended in any manner other than as provided for in the adopted budget. The board does have the authority to amend the budget or adopt a supplementary emergency budget to cover unforeseen expenditures.

 The budget must be prepared in accordance with GAAP (generally accepted accounting principles) and state guidelines. The budget must be legally adopted before the adoption of the tax rate.

TEA Legal Requirements TEA has developed additional requirements for school district budget preparation as follows:

 The budget must be adopted by the board of trustees, inclusive of amendments, no later than August 31.

 Minutes from district board meetings will be used by TEA to record adoption of and amendments to the budget.

 Budgets for the General Fund, the Food Service Fund (whether accounted for in the General Fund, a Special Revenue Fund or Enterprise Fund) and the Debt Service Fund must be included in the official district budget (legal or fiscal year basis). These budgets must be prepared and approved at least at the fund and function levels to comply with the state's legal level of control mandates.

Note: Districts may prepare and approve budgets for other funds and/or with even greater detail at their discretion. Such local decisions may affect the need for budget amendments and financial reporting requirements.

 The officially adopted district budget, as amended, must be filed with TEA through PEIMS (Public Education Information Management System) by the date prescribed in the annual

45 FY 2009 – 2010 Budget Detailed Budget Analysis

system guidelines. Revenues, other sources, other uses, and fund balances must be reported by fund, object (at the fourth level), fiscal year, and amount.

 Expenditures must be reported by fund, function, object (at the second level), organization, fiscal year, program intent and amount.

 A school district must amend the official budget before it exceeds a functional expenditure category, i.e., instruction, administration, etc., in the total district budget. The annual financial and compliance report should reflect the amended budget amounts on the schedule comparing budgeted and actual amounts. The requirement for filing the amended budget with TEA is satisfied when the school district files its Annual Financial and Compliance Report.

Local District Requirements In addition to state legal requirements, the Clear Creek Independent School District Board of Trustees has established their own requirements for annual budget preparation through Board Policy CE (LEGAL and LOCAL) Annual Operating Budget.

 ANNUAL OPERATING BUDGET, CE (LEGAL) DATE ISSUED: 6/7/2006 - UPDATE 78

Authorized Expenditures The District shall not lend its credit or gratuitously grant public money or things of value in aid of any individual, association, or corporation. Tex. Const. Art. III, Sec. 52; Brazoria County v. Perry, 537 S.W.2d 89 (Tex. Civ. App.-Houston [1st Dist.] 1976, no writ)

The District shall not grant any extra compensation, fee, or allowance to a public officer, agent, servant, or contractor after service has been rendered or a contract entered into and performed in whole or in part. Nor shall the District pay or authorize the payment of any claim against the District under any agreement or contract made without authority of law. Tex. Const. Art. III, Sec. 53; Harlingen ISD v. C.H. Page and Bro., 48 S.W.2d 983 (Comm. App. 1932)

The state and county available funds disbursed to the District shall be used exclusively for salaries of professional certified staff and for interest on money borrowed on short time to pay such salaries, when salaries become due before school funds for the current year become available. Loans for paying professional certified staff salaries may not be paid out of funds other than those for the current year. Education Code 45.105(b)

Local funds from District taxes, tuition fees, other local sources, and state funds not designated for a specific purpose may be used for salaries of any personnel and for purchasing appliances and supplies; for the payment of insurance premiums; for buying school sites; for buying, building, repairing, and renting school buildings, including acquisition of school buildings and sites by leasing same through annual payments with an ultimate option to purchase [see CHG(LEGAL)]; and for other purposes necessary in the conduct of the public schools to be determined by the Board. Education Code 45.105(c)

No public funds of the District may be spent in any manner other than as provided for in the budget adopted by the Board. Education Code 44.006(a)

Use of District Resources The Board shall not enter into an agreement authorizing the use of District employees, property, or resources for the provision of materials or labor for the design, construction, or renovation of improvements to real property not owned or leased by the District.

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The Board may not use state or local funds or other resources of the District to electioneer for or against any candidate, measure or political party. Education Code 11.168

Commitment of Current Revenue A contract for the acquisition, including lease, of real or personal property is a commitment of the District's current revenue only, provided the contract contains either or both of the following provisions:

1. Retains to the Board the continuing right to terminate the contract at the expiration of each budget period during the term of the contract.

2. Is conditioned on a best efforts attempt by the Board to obtain and appropriate funds for payment of the contract. Local Gov't Code 271.903

Fiscal Year The Board may determine if the District's fiscal year begins on July 1 or September 1 of each year. Education Code 44.0011

Budget Preparation The Superintendent shall prepare, or cause to be prepared, a proposed budget covering all estimated revenue and proposed expenditures of the District for the following fiscal year. Education Code 44.002

Deadlines The proposed budget shall be prepared on or before a date set by the State Board of Education, currently August 20 (June 19 if the District uses a July 1 fiscal year start date). Education Code 44.002(a); 19 TAC 109.1(a), 109.41

The adopted budget must be filed with the Texas Education Agency on or before the date established in the Financial Accountability System Resource Guide. Education Code 44.005; 19 TAC 109.1(a)

Public Meeting on Budget and Proposed Tax Rate After the proposed budget has been prepared, the Board President shall call a Board meeting for the purpose of adopting a budget for the succeeding fiscal year. Any taxpayer of the District may be present and participate in the meeting. Education Code 44.004 [See CCG (LEGAL) for provisions governing tax rate adoption].

The meeting must comply with the notice requirements of the Open Meetings Act. Gov't Code 551.041, 551.043

Published Notice The Board President shall also provide for publication of notice of the budget and proposed tax rate meeting in a daily, weekly, or biweekly newspaper published in the District. If no daily, weekly, or biweekly newspaper is published in the District, the President shall provide for publication of notice in at least one newspaper of general circulation in the county in which the District's central administrative office is located. The notice shall be published not earlier than the 30th day or later than the tenth day before the date of the hearing.

Form of Notice The published notice of the public meeting to discuss and adopt the budget and the proposed tax rate must meet the size, format, and content requirements dictated by law.

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The notice is not valid if it does not substantially conform to the language and format prescribed by the comptroller.

Taxpayer Injunction If the District has not complied with the published notice requirements in the FORM OF NOTICE described above, and the requirements for DISTRICTS WITH JULY 1 FISCAL YEAR below, if applicable, and the failure to comply was not in good faith, a person who owns taxable property in the District is entitled to an injunction restraining the collection of taxes by the District. An action to enjoin the collection of taxes must be filed before the date the District delivers substantially all of its tax bills. Education Code 44.004

Publication of Proposed Budget Summary Concurrently with the publication of notice of the budget under Education Code 44.004, the District shall post a summary of the proposed budget on the District’s Internet Web site or, if the District has no Internet Web site, in the District’s central administrative office.

The budget summary must include a comparison to the previous year’s actual spending and information relating to per student and aggregate spending on:

1. Instruction; 2. Instructional support; 3. Central administration; 4. District operations; 5. Debt service; and 6. Any other category designated by the Commissioner.

Education Code 44.0041

Budget Adoption The Board shall adopt a budget to cover all expenditures for the succeeding fiscal year at the meeting called for that purpose and before the adoption of the tax rate for the tax year in which the year covered by the budget begins.

Districts with A July 1 Fiscal Year A district with a fiscal year beginning July 1 may use the certified estimate of the taxable value of District property in preparing the published notice if the District does not receive the certified appraisal roll on or before June 7. A district that uses a certified estimate may adopt a budget at the public meeting designated in the published notice prepared using the estimate, but the District may not adopt a tax rate before the District receives the certified appraisal roll for the District. Education Code 44.004

By June 7, the chief appraiser shall prepare and certify an estimate of the taxable value of school District property. Tax Code 26.01(d)

Amendment of Approved Budget The Board shall have the authority to amend the approved budget or to adopt a supplementary emergency budget to cover necessary unforeseen expenses.

Copies of any amendment or supplementary budget must be prepared and filed in accordance with State Board rules. Education Code 44.006

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Failure to Comply with Budget Requirements A Board member who votes to approve any expenditure of school funds in excess of the item or items appropriated in the adopted budget or a supplementary or amended budget commits a misdemeanor offense. Education Code 44.052(c)

Certain Donations The District may donate funds or other property or service to the adjutant general's department or to the Texas National Guard. Gov't Code 431.035(c), 431.045 (b)

 ANNUAL OPERATING BUDGET, CE (LOCAL) DATE ISSUED: 6/29/2007

Fiscal Year The District shall operate on a fiscal year beginning September 1 and ending August 31.

Goals and Objectives The purpose of the budget is to provide a statement, expressed in financial terms, that serves as management’s primary tool for planning and controlling operations.

Primary objectives of the budget system are to: 1. Assist the formulation of an integrated plan of operations and understanding of how each organization’s activities contribute to the overall mission.

2. Provide a means of communication between various levels of management by stating the objectives of each organization and the funds necessary to achieve them.

3. Provide each organization head with the financial information necessary to perform his or her function and control expenditures.

4. Provide a means of measuring and guiding performance by comparing planned (budgeted) expenditures and workload against actual expenditures and workload.

5. Provide the historical data required for realistic budget preparation. 6. Relate expenditures to the three year financial, education, and construction plans.

Budget Planning and Development Budget planning shall be an integral part of overall program planning so that the budget effectively reflects the District's goals and the plan to implement them. In the budget planning process, general educational goals, specific program goals, and alternatives for achieving program goals shall be considered, as well as input from the District and campus level site-based committees. The District administration shall allocate funds according to goals and priorities developed by the Board of Trustees. Staff shall submit a preliminary plan and its rationale in May. The Board shall at a minimum receive revised financial estimates in June, July, and August. The Board shall be informed as new information impacting the budget becomes available.

Availability of Proposed Budget After it is presented to the Board and prior to adoption, a copy of the proposed budget shall be available to the public upon request from the office of public information or Superintendent. The Superintendent or designee shall be available to answer questions arising from inspection of the budget.

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Public Budget Meeting The annual public meeting to discuss the proposed budget and tax rate shall be conducted as follows:

1. The Board President shall request at the beginning of the meeting that all persons who desire to provide input on the proposed budget and/or tax rate sign up on the sheet provided.

2. Prior to the beginning of the meeting, the Board may establish time limits for speakers.

3. Speakers shall confine their remarks to the appropriation of funds as contained in the proposed budget and/or the tax rate.

4. No officer or employee of the District shall be required to respond to questions from speakers at the meeting.

Authorized Expenditures The adopted budget provides authority to expend funds for the purposes indicated and in accordance with state law, Board policy, and the District's approved purchasing procedures. The expenditure of funds shall be under the direction of the Superintendent or designee, who shall ensure that funds are expended in accordance with the adopted budget.

Budget Amendments The budget shall be amended when a change is made increasing any one of the functional spending categories or increasing revenue object accounts and other resources. The Superintendent or designee shall recommend budget amendments to the Board for approval.

Reserves The Board and the administration shall work together to maintain two months undesignated fund balance in the maintenance and operations budget and 10% of projected annual debt service payments in undesignated fund balance in the interest and sinking fund budget, barring emergency situations. This level of undesignated reserves will accomplish two Board priorities.

1. To provide adequate funds to meet emergency needs.

2. To ensure a favorable bond rating for the District.

In addition, the Board may establish designated reserves from time to time in order to meet specific District contingencies. The Board will review and approve designated reserves on an annual basis with the adoption of the District’s annual budget in August.

Budget Reporting During the year, the administration shall provide monthly summaries of the budget, as approved, versus actual expenditures. A running record of all development, construction, and maintenance projects accrued costs versus budgeted amounts shall be available throughout the year to support deliberations for project approvals.

Audits Independent audits shall be performed every year or as requested by the Board.

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 Budget Process

Objectives of Budgeting The objectives of budgeting are outlined by the Texas Education Agency in the Financial Accountability System Resource Guide.

Performance evaluation allows citizens and taxpayers to hold policy makers and administrators accountable for their actions. Because accountability to citizens often is stated explicitly in state laws and constitutions, it is considered a cornerstone of budgeting and financial reporting. The Governmental Accounting Standards Board (GASB) recognizes its importance with these objectives in its GASB Concepts Statement No. 1 (Section 100.177):

 Financial reporting should provide information to determine whether current-year revenues were sufficient to pay for current-year services.

 Financial reporting should demonstrate whether resources were obtained and used in accordance with the entity's legally adopted budget. It should also demonstrate compliance with other finance-related legal or contractual requirements.

 Financial reporting should provide information to assist users in assessing the service efforts, costs and accomplishments of the governmental entity.

Meeting these objectives requires budget preparation to include several concepts recognizing accountability. Often these concepts have been mandated for state and local public sector budgets. They include requirements that budgets should:

 Be balanced so that current revenues are sufficient to pay for current services.

 Be prepared in accordance with all applicable federal, state, and local legal mandates and requirements.

 Provide a basis for the evaluation of a government's service efforts, costs and accomplishments.

Note: Although the objective of balanced budgets is generally applicable to all school districts to ensure long-term fiscal health, variations of this objective which are considered appropriate for some school districts over short-term periods are available. For example, the balanced budget objective may be met through the use of fund balance reserves to pay for current services during certain periods. Such uses of fund balance reserves must be in accordance with applicable state and local fund balance policies.

Budget Process Overview The budgeting process is comprised of three major phases: planning, preparation and evaluation. The budgetary process begins with sound planning. Planning defines the goals and objectives of campuses and the school district and develops programs to attain those goals and objectives. Once these programs and plans have been established, budgetary resource allocations are made to support them. Budgetary resource allocations are the preparation phase of budgeting. The allocations cannot be made, however, until plans and programs have been established.

Finally, the budget is evaluated for its effectiveness in attaining goals and objectives. Evaluation typically involves an examination of: how funds were expended, what outcomes resulted from the expenditure of funds, and to what degree these outcomes achieved the objectives stated during the planning phase. This evaluation phase is important in determining the following year's budgetary allocations. 51 FY 2009 – 2010 Budget Detailed Budget Analysis

In summary, budget preparation is not a one-time exercise to determine how a school district will allocate funds. Rather, school district budget preparation is part of a continuous cycle of planning and evaluation to achieve district goals.

The Planning Cycle The Budget Process covers the entire financial cycle starting with budget planning and ending with the audited financial statements. The seven steps are:

 Budget Planning November - December 2008  Budget Preparation February - August 2009  Board of Trustee Budget Review April – August 2009  Budget Adoption August 2009  Tax Rate Adoption August 2009  Budget Amendments Monthly as needed 2009-10  Audited Financial Statements January 2010

Budget Planning The budget process is instructionally driven. Budget planning begins with a series of meetings held in November to begin developing broad-based budget goals. The Chief Financial Officer facilitates a number of planning meetings with key District decision makers to develop a list of budget priorities for Board consideration. The Board receives budget priorities from the Superintendent’s Cabinet, the District Educational Improvement Council (DEIC), the CFO Advisory Council (an advisory group of campus leaders throughout the District), and the Citizens Financial Advisory Committee (an advisory group of local business leaders).

The final step in the goal-setting process is a planning meeting with the Board of Trustees in early December. The Board reviews input from all sources and adopts the budget goals, assumptions and priorities that will drive budget development.

The budget calendar is also reviewed with the Board of Trustees at this early planning meeting. The Board may also consider issues highlighted on the District and Campus Improvement Plans as well as the District Strategic Plan at this time.

Budget Preparation Budget preparation begins with a training session for campus leaders and program managers at the time the Budget Manual and budget worksheets are distributed in February. The District utilizes Pentamation accounting software to allow for on-line budget preparation. The District provides annual software training in this area for budget managers.

The District uses site-based budgeting to enhance the ability of campus leaders to serve as effective instructional leaders. Site-based budgeting places the campus leader at the center of the budget preparation process. The site-based budget reflects the prioritized needs of the campus and is aligned with the Campus Improvement Plan and the District’s Strategic Plan.

Each campus receives a campus budget worksheet which reflects initial campus funding allocations. These allocations address equity issues between campuses. They are designed around three cost drivers: total enrollment, at risk student enrollment, and staffing. Enrollment allocations reflect the total number of projected students on a given campus. This number is based on prior year Public Education Information Management System (PEIMS) data adjusted for known or expected increases or decreases in enrollment for the coming year. These allocations are then adjusted during the budget year after the October PEIMS snapshot of student enrollment is made available to the District.

52 FY 2009 – 2010 Budget Detailed Budget Analysis

The funding allocation for at risk students is based on the number of children eligible to receive free or reduced meals at the campus. These children are considered at risk of failure and additional funds are allocated for tutoring and educational support for these students.

Staff allocations are aligned with student projections. Teacher staffing is set according to the District’s Board approved student teacher ratios and staffing standards (included on pages 57-60). In Texas, the State sets the maximum student to teacher ratio for grades kindergarten through four. This ratio is 22-1 and it can only be exceeded be applying for a waiver from the Texas Education Agency (TEA). The Board has set a District standard student teacher ratio of 25-1 in all secondary core courses (math, science, social studies, and English/language arts). This ensures that student class loads for secondary core subject teachers do not exceed 150 students during a standard six period day. Additionally the Board set the student to teacher ratio in all Algebra I classes at 15-1. Research indicates that Algebra I is a bedrock course that can predict student success in high school. In order to ensure student success, the District lowered student to teacher ratios to allow more one-on-one instruction. Remaining staffing decisions are based on the Board approved five year staffing plan. This plan is reviewed and updated for Board approval during the spring of each school year to ensure it meets the needs of our growing district.

After the completed campus and program budget packages have been returned to the Business Office, a District Budget Committee reviews each department’s budget requests with the responsible campus leader, program manager or department director. The review focuses on instructional impact and includes the allocation of existing funds as well as any additional funding requests. At these meetings, department/campus leaders are able to provide District staff with key information that is needed to make budget decisions.

Board of Trustee Budget Review The Board of Trustees regularly receives budget updates that include revisions to the long range financial forecast, the long range staffing plan, the preliminary budget, the compensation & salary plan, and the capital projects/capital improvement plan. If funds are available, the compensation & salary plan for teachers is adopted at the March Board of Trustees meeting. Adopting the plan this early in the budget process provides Clear Creek ISD with a competitive advantage in recruiting new teachers and retaining existing staff. Since Clear Creek ISD is a growing district, staff also asks the Board to approve a number of additional teaching units (fifty or more) at this time to accommodate growth. The compensation & salary plan for support staff is generally adopted in July.

Budget Adoption The Galveston Central Appraisal District certifies the property value roll to taxing entities in July. The District publishes the required legal notice in August. The required legal notice for the FY 2009 – 2010 Budget was published on August 14, 2009. The Board of Trustees held the public hearing and adopted the budget on August 24, 2009.

Tax Rate Adoption Historically, the Galveston Central Appraisal District (CAD) certified all District property. This was true even though a high percentage of district property was located in Harris County. Recent legislation ended this process in 2008 and now appraisal districts cannot cross county lines to appraise property. As a result, the District did not receive its final certified values from the Harris County CAD until the first week of September. Prior to this legislation, our property values were always certified in July by Galveston CAD. After the receiving the certified property value rolls, the Clear Creek Tax Office calculates the effective and rollback tax rate in early August. The required legal notice of the District’s effective and roll-back tax rates was published on August 14, 2009. The Board of Trustees held the public hearing and adopted the tax rate on September 28, 2009.

53 FY 2009 – 2010 Budget Detailed Budget Analysis

Budget Amendments Initial campus budget allocations are based on projected enrollment and are modified after the October PEIMS snapshot. Budget amendments, if necessary, are taken to the Board monthly for consideration and approval.

The Final Amended Budget for the Year Ending August 31, 2009, was submitted at the August 24, 2009, Board meeting. It reflects all amendments previously approved by the Board of Trustees plus any final amendments. The Final Amended Budget for the Year Ending August 31, 2008, will be used by the District’s external auditors in compiling the annual financial statements.

Audited Financial Statements The final step in the budget cycle is the approval of the audited financial statements. This document includes budget to actual comparisons and highlights the District’s ability to manage its $358 million governmental funds budget. Audited Financial Statements are scheduled for review and approval by the Board on January 25, 2010. In summary, school district budget preparation is part of a continuous cycle of planning, preparation and evaluation to achieve the District’s goals and objectives.

A $183.1 million bond election was held on May 12, 2007. Voters approved this bond proposition by the largest margin in Clear Creek’s long history. Over 72% of our voters were in favor of the projects included in the bond proposition. This bond program included funding for new schools, capital additions, roofs, and school buses. The District subsequently sold $37.1 million in July 2007, $80 million in April 2008 and the final $66 million of authorized bonds in April 2009. These bond proceeds are being used to build the State’s first “Educational Village” which includes an elementary, intermediate and high school campus with shared facilities. This one-of-a-kind educational facility will house over 4,500 students in a single location. The bond program includes an additional 900 student elementary campus. All of these facilities are located in the District’s fast-growing League City area.

Balanced Budget & Fund Balance Legal requirements for school district budgets are formulated by the state, the Texas Education Agency (TEA) and the local district. However, according to the TEA, case law is where the definition of a balanced budget is found for all Texas school districts. A balanced budget is framed by case law as a budget with total expenditures not greater than the sum of total revenues plus fund balance. Crystal City Independent School District, Appellant v. Bank of Dallas, Appellee, Court of Appeals of Texas, Dallas, March 24, 1987. Fund Balance occurs when revenues exceed expenses in a given year. In fund accounting, this excess carries over to the next fiscal year and is available for any lawful purpose. By policy, Clear Creek’s goal is to maintain an undesignated fund balance equal to a minimum of two months operating expenses. The District currently meets this goal.

54 FY 2009 – 2010 Budget Detailed Budget Analysis

Budget Calendar for the Year 2009 – 2010

Date Time Meeting Budget Topics December 8, 2008 4:30 pm Board Budget Workshop Budget Priority Discussions

December 15, 2008 6:00 pm Board Meeting Approve FY 2010 Budget Priorities

January 20, 2009 7:30 am Finance Committee Mtg. Review Budget Packets & Final Calendar

February 9, 2009 4:30 pm Board Workshop Review Competitive Teacher Salary Analysis Teacher Salary Options February 23, 2009 7:30 am Finance Committee Review Competitive Teacher Salary Analysis Teacher Salary Options March 9, 2009 – March Daily Meetings w/ Departments & Review budget manual and assumptions 31, 2009 Campuses March 9, 2009 4:30 pm Board Workshop Initial Teacher Staffing Proposal March 10, 2009 7:30 am Finance Committee Mtg. Initial Teacher Staffing Proposal

March 23, 2009 6:00 pm Board Meeting Approve Initial Teacher Staffing Proposal

April 13, 2009 4:30 pm Board Workshop General Budget Discussions

April 21, 2009 7:30 am Finance Committee Mtg. Proposed Teacher Salary Options

April 24, 2009 4:30 pm All Campus & Department Budgets Due

April 27, 2009 6:00 pm Board Meeting General Budget Discussions

May 4, 2009 – May 29, Daily Internal Budget Committee Review Budget Requests with each Principal and 2009 Meetings Department head May 11, 2009 5:00 pm Board Budget Workshop Review Teacher Salary Proposals

May 19, 2009 7:30 am Finance Committee Mtg. Review Teacher Salary Proposals

May 25, 2009 6:00 pm Board Meeting Consider Teacher Salary

June 8, 2009 5:00 pm Board Budget Workshop 1st Draft of the Budget 1st Draft of the 3-year Plan June 16, 2009 7:30 am Finance Committee Mtg. General Budget Discussions

June 22, 2009 6:00 pm Board Meeting

July 13, 2009 5:00 pm Board Budget Workshop 2nd Draft of the Budget 2nd Draft of the 3-year Plan July 21, 2009 7:30 am Finance Committee Mtg. General Budget Discussions

July 25, 2009 Certified Appraised Values from GCAD

July 27, 2009 6:00 pm Board Meeting Approve Admin & Support Staff Salaries

August 10, 2009 5:00 pm Board Budget Workshop Final Budget Overview Proposed Budget Proposed Tax Rate August 18, 2009 7:30 am Finance Committee Mtg. General Budget Discussions

August 24, 2009 6:00 pm Board Meeting Agenda Items FY 2010 Budget Hearing Adoption of FY 2010 Budget September 25, 2009 6:00 pm Board Meeting Adoption of 2009 Tax Rate

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56 FY 2009 – 2010 Budget Detailed Budget Analysis

57 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District High School Staffing Standards

POSITION FORMULA ALLOCATION ADMINISTRATIVE SERVICES Head Principal 1 per campus 1 Principal’s Secretary 1 per campus 1 Dean of Instruction 1 per campus 1 Associate Principal 1 per campus 1 Assoc. Principal’s Secretary 1 per campus 1 Assistant Principal 0 - 749 = 1 1000 - 1249 = 1 1500 - 1749 = 1 2000 - 2249 = 1 2500 - 2749 = 1 Asst. Principals’ Secretary 1 Per Assistant Principal COUNSELING SERVICES Lead Counselor/Director of 1 per campus 1 College Counseling Student Support Counselor 1 per campus 1 Counselor 1 Per 500 students Counselor Secretary 1 per campus 1 LIBRARY/MEDIA SERVICES Librarian 1 per 1500 students Library Aide 1 per campus 1 HEALTH SERVICES Registered Nurse 1 per campus 1 Clinic Aide 1 per campus 1 EMT or LVN 1 per campus 1 TEACHING SERVICES Core Content Teachers 1 Per 150 Students 1 Elective Teachers 1 Per 180 Students 1 Specialist Teachers - Math 1 per campus 1 - Science 1 per campus 1 SPECIAL SERVICES ELL Teacher 1 Per 44 Students 1 Dyslexia Teacher 1 per campus 1 Credit Recovery Teacher 1 per campus 1 SLC Leader 1 per campus 1 TAKS Specialist 1 per campus 1 Testing/Assessment Specialist 1 per campus 1 ROTC 1 Per 100-150 Students 1.0 retired officer 1 Per each additional 100 Students 1.0 retired NCO SPECIAL EDUCATION Diagnostician 2 Per campus 2 Speech Therapist (SLP) 1 per campus 1 Resource Teacher 1 per 65 students Per Student Population Content Mastery Teacher 1 per 150 students Per Student Population Content Mastery Aide 1 per 150 student Per Student Population Team Leader 1 per 200 students Per Student Population Special Education Records Clerk 1 per 150 students Per Student Population AA Teacher 1 per 7 students 7 + students add 1 Teacher Per Student Population AA Paraprofessional 1 per 3 students 3 + students add 1 para Per Student Population SD Teacher 1 per 8 students 8 + students add 1 Teacher Per Student Population SD Paraprofessional 1 per 5 students 585 + students add 1 para Per Student Population FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District High School Staffing Standards

POSITION FORMULA ALLOCATION FINE ARTS Band Director 1 per campus 1 Assistant Band Director 1 @ 250 Student Enrollment 1 Choral Music Director 1 per campus 1 Choral Music Asst. Director 1 @ 250 Student Program Enrollment 1 Orchestra Director 1 per campus 1 Assistant Orchestra Director 1 @ 150 Student Program Enrollment Theatre Director 1 per campus 1 Assistant Theatre Dir - Technical 1 @ 151 Student Program Enrollment 1 Assistant Theatre Director 1 @ 301 Student Program Enrollment 1 Drill Team Director 1 per campus 1 Drill Team Assistant Director 1 @ 81 Member Team 1 Dance Teacher 1 Per 180 Students 1 Visual Arts Teachers I-IV 1 Per 180 Students 1 ATHLETICS Campus Athletic Coordinators 2 per campus 2 Male Athletic Trainer 1 Per Campus 1 Female Athletic Trainer 1 Per Campus 1 TECHNOLOGY SERVICES Technology Integration Specialist 1 per 1000 Students 2 Technician 1 per campus 1 SUPPORT STAFF Registrar 1 per campus 1 *Registrar Aide 1 per campus 0 Campus Data Specialist 1 per campus 1 ISS Monitor 1 per campus 1 Receptionist 1 per campus 1 Bookkeeper 1 per campus 1 Attendance Clerk 1 Per 1000 Students 2 Parking Lot Security 1 per campus 2 Lead Custodian 1 per campus 1 Custodian Maintenance Staffing Formula Maintenance Staffing Formula

59 FY 2009 – 2010 Budget Detailed Budget Analysis

 Budget Control and Management Process

Management Process For management control purposes all budgets are assigned a local option code. The local option code designates the individual responsible for the particular budget. Typically principals are responsible for campus budgets and program managers are responsible for districtwide budgets. Campus principals and program managers are authorized to submit Purchase Requisitions and reimbursements for the purchase of goods and services. All activities involving payroll costs, salaries and employee benefits, are controlled through the Human Resources department.

Approval Control All purchases of goods and services are processed through the financial management system with the appropriate approval controls to ensure the legal purpose is met and the appropriate account charged. Purchase Requisitions are initially entered at the campus or department level and are approved by the campus principal or program manager submitting the request. Purchase Requisitions for Special Revenue funds are then approved by the appropriate grant program manager. The Purchasing Director reviews the Purchase Requisition to verify that appropriate purchasing laws are being complied with and that the goods and services are being requested from a legally qualified vendor. The Purchase Requisition is then converted into a Purchase Order and forwarded to the vendor. Upon receipt of the invoice Accounts Payable verifies the receipt of the goods or services, cuts a check, and closes the Purchase Order.

Encumbrance Control All purchases of goods and services are processed through the financial system with the appropriate encumbrance controls to ensure the availability of funds. An encumbrance is an obligation in the form of a Purchase Order charged to an appropriation which reserves a part of that appropriation. Additionally pre-encumbrances are also reserved based on submitted Purchase Requisitions awaiting conversion into Purchase Orders. Specifically, the financial software will not allow the entry of a Purchase Requisition unless there are sufficiently available funds at the full account line item level.

Budget Amendments and Budgetary Level of Control The budgetary level of control for Board adopted budgets is at the Object level for revenues and the Function level for expenditures. Any transfer of funds that increases a revenue object or modifies an expenditure function must be approved on a monthly basis by the Board of Trustees.

Final Amended Budget At the last meeting of the fiscal year a formal final amended budget is approved by the Board of Trustees.

Adopted Budget The officially adopted District budget, as amended, must be filed with TEA through PEIMS (Public Education Information Management System) by the date prescribed in the annual system guidelines.

Monthly Reporting The District’s financial statements and investments are reviewed on a monthly basis with the Board of Trustees.

Annual Audit The final stage of the budget cycle is the approval by the Board of Trustees of the audited financial statements part of which includes budget to actual comparisons.

60 FY 2009 – 2010 Budget Detailed Budget Analysis

 Financial Structure

Summary of Significant Accounting Policies Clear Creek Independent School District is a public educational agency operating under the applicable laws and regulations of the State of Texas. It is governed by a seven member Board of Trustees elected by registered voters of the District. The District prepares its basic financial statements in conformity with generally accepted accounting principles promulgated by the Governmental Accounting Standards Board (GASB) and other authoritative sources identified in Statement of Auditing Standards No. 69 of the American Institute of Certified Public Accountants; and it complies with the requirements of the appropriate version of the Texas Education Agency’s Financial Accountability System Resource Guide and the requirements of contracts and grants of agencies from which it receives funds.

The District’s Financial Statements are in accordance with GASB No. 34, “Basic Financial Statements and Management Discussion and Analysis for State and Local Governments”, GASB Statement No. 37, which provides additional guidance for the implementation of GASB No. 34, and GASB Statement No. 38, which changes the note disclosure requirements in the financial statements and notes.

GASB No. 34 established a new financial reporting model for state and local governments that included the addition of management’s discussion and analysis, government-wide financial statements, required supplementary information and the elimination of the effects of internal service activities and the use of account groups to the already required fund financial statements and notes.

The GASB determined that fund accounting has and will continue to be essential in helping governments to achieve fiscal accountability and should therefore be retained. The GASB also determined that government-wide financial statements are needed to allow user’s of financial reports to assess a government’s operational accountability. The GASB 34 reporting model integrates fund- based financial reporting and government-wide financial reporting as complementary components of a single comprehensive financial reporting model.

The following is a summary of the most significant accounting policies.

Reporting Entity The District is considered an independent entity for financial reporting purposes and is considered a primary government. The overriding elements associated with prescribed criteria considered in determining that the District’s financial reporting entity status is that of a primary government are: that it has a separately elected governing body; it is legally separate; and it is fiscally independent of other state and local governments.

The Board of Trustees is elected by the public and has the authority to make decisions, appoint administrators and managers, and significantly influence operations. It also has the primary accountability for fiscal matters. Therefore, the District is a financial reporting entity as defined by the Governmental Accounting Standards Board (GASB) in its Statement No. 14, “The Financial Reporting Entity”. The District has also implemented GASB Statement No. 39, “Determining Whether Certain Organizations are Component Units”. The District receives support from various parent teacher organizations, booster clubs and foundation organizations. None of these organizations meet the criteria specified in GASB 39 to be included in the District’s financial statements. Therefore, there are no component units included within the reporting entity.

61 FY 2009 – 2010 Budget Detailed Budget Analysis

Measurement Focus and Basis of Accounting The government-wide financial statements use the economic resources measurement focus and the accrual basis of accounting, as do the proprietary and fiduciary fund statements. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of the related cash flows. Property taxes are recognized as revenues in the year for which they are levied. Grants and similar items are recognized as revenue as soon as all eligibility requirements imposed by the provider have been met.

Governmental fund financial statements use the current financial resources measurement focus and the modified accrual basis of accounting. With this measurement focus, only current assets, current liabilities and fund balances are included on the balance sheet. Operating statements of these funds present net increases and decreases in current assets (i.e., revenues and other financing sources, and expenditures and other financing uses).

The modified accrual basis of accounting recognizes revenues in the accounting period in which they become both measurable and available, and it recognizes expenditures in the accounting period in which the fund liability is incurred, if measurable, except for unmatured interest and principal on long- term debt, which is recognized when due. The expenditures related to certain compensated absences and claims and judgments are recognized when the obligations are expected to be liquidated with expendable available financial resources. The District considers all revenues available if they are collectible within sixty days after year end.

Revenues from local sources consist primarily of property taxes. Property tax revenues and revenues received from the State are recognized under the susceptible-to-accrual concept, that is, when they are both measurable and available. Miscellaneous revenues are recorded when they are received in cash because they are generally not measurable until actually received. Interest earnings are recorded as earned, since they are both measurable and available.

Grant funds are considered to be earned to the extent of expenditures made under the provisions of the grant. Accordingly, when such funds are received, they are recorded as deferred revenues until related authorized expenditures have been made. If balances are not expended by the end of the project period, grantors some times require the District to refund all or a part of the unused amount.

The Proprietary Fund Types and Fiduciary Funds are accounted for on a flow of economic resources measurement focus and utilize the accrual basis of accounting. This basis of accounting recognizes revenues in the accounting period in which they are earned and become measurable and expenses in the accounting period in which they are incurred and become measurable. The District applies all GASB pronouncements as well as the Financial Accounting Standards Board pronouncements issued on or before November 30, 1989, unless they conflict or contradict GASB pronouncements. With this measurement focus, all assets and all liabilities associated with the operation of these funds are included on the fund Statement of Net Assets. The fund equity is segregated into invested in capital assets net of related debt, restricted net assets, and unrestricted net assets.

62 FY 2009 – 2010 Budget Detailed Budget Analysis

Fund Accounting The District accounts are organized on the basis of funds in accordance with the provisions of the Resource Guide. Each fund is considered to be a separate accounting entity. The operations of each fund are accounted for by providing a separate set of self-balancing accounts, which comprise its assets, liabilities, fund equity, revenues, and expenditures or expenses. For financial statement presentation, the District’s fund financial statements provides more detailed information about the District’s most significant funds – not the District as a whole. The funds shown on the Fund Financial Statements are considered major funds because of the size and activity of the funds in relation to all of the funds. The District has three kinds of funds:

1. Governmental funds – Most of the District’s basic services are included in governmental funds, which focus on (1) how cash and other financial assets that can readily be converted to cash flow in and out and (2) the balances left at year-end that are available for spending. Consequently, the governmental fund statements provide a detailed short-term view that helps you determine whether there are more or fewer financial resources that can be spent in the near future to finance the District’s programs. 2. Proprietary funds – Services for which the District charges customers a fee are generally reported in proprietary funds. Proprietary funds provide both long and short-term financial information. 3. Fiduciary funds – The District is the trustee, or fiduciary, for certain funds. The District is responsible for ensuring that the assets reported in these funds are used for their intended purposes. All of the District’s fiduciary activities are reported in a separate statement of fiduciary net assets and a statement of changes in fiduciary net assets.

Governmental Fund Types 1. General Fund – This is the District’s primary operating fund. It is established to account for resources used in accomplishing the core mission of the District – educating students so that they are equipped to excel in today’s environment. All revenues and expenditures not required to be accounted for in other funds are included here. This fund is budgeted and must be approved by the Board of Trustees. Any fund balances are considered resources available for current operations. Fund balances may be appropriated by the Board of Trustees for any lawful purpose. 2. Special Revenue Funds – The District accounts for resources restricted to, or designated for, specific purposes by the District or a grantor in a special revenue fund. Most Federal and some State financial assistance are accounted for in these funds. Sometimes unused balances must be returned to the grantor at the close of specified project periods. 3. Debt Service Funds - This fund is established to account for payment of principal and interest on long-term general obligation debt and other long-term debts for which a tax has been dedicated. This is a budgeted fund and must be approved by the Board of Trustees. A separate bank account is maintained for this fund. Any unused sinking fund balances are transferred to the General Fund after all of the related debt obligations have been met. 4. Capital Projects Funds - This fund is established to account for proceeds, on the modified accrual basis, from the sale of bonds and other resources to be used for Board authorized acquisition, construction, or renovation, as well as, furnishing and equipping of major capital facilities. Upon completion of a project, any unused bond proceeds are transferred to the Debt Service Fund and are used to retire related bond principal.

Other Sources and Uses of Funds Throughout the presentation of the District’s financial statements, the reader will see revenue and expenditures summarized as Other Sources and Uses of Funds. This category of revenues and expenses are placed here because they do not fit into our routine revenue and expenditure categories. This includes revenues from the sale of bond issues as a source of funds, and the District’s transfer of funds from the General Fund to the Capital Projects Fund for use in ongoing large capital projects.

63 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Combined Statement of Revenues, Expenditures and Changes in Fund Balance Governmental Funds Budget for the Year Ending August 31, 2010

Budget Budget Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 Revenues: Local Revenue 223,904,073 225,018,438 195,410,604 207,976,333 216,947,480 State Revenue 45,891,803 66,891,490 117,217,966 119,652,747 121,683,976 Federal Revenue 14,872,547 9,758,514 9,708,114 9,964,694 19,257,713

Total Revenues 284,668,423 301,668,442 322,336,684 337,593,775 357,889,170

Expenditures: Instruction & Instruction Related 147,420,679 153,315,824 178,161,472 187,108,146 205,200,661 Instruction & School Leadership 14,367,871 15,537,591 17,498,809 19,426,034 21,486,713 Student Support Services 26,571,156 27,288,756 33,214,138 31,741,325 32,279,716 Administrative Support Services 6,731,832 7,248,738 8,285,538 6,930,479 6,937,474 Plant Maintenance & Operations 25,499,023 30,759,004 30,587,146 20,974,321 21,956,163 Security & Monitoring Services 1,919,057 2,042,964 2,498,028 2,531,127 2,639,404 Technology Services 3,967,154 3,984,284 3,813,707 4,872,086 4,508,223 Ancilliary Services 359,636 459,658 756,534 533,648 365,459 Debt Services 37,032,409 38,983,200 41,148,791 45,800,000 49,475,000 Capital Outlay 108,040,542 61,746,702 63,081,650 114,278,242 59,654,413 Intergovernmental Charges 1,247,212 1,607,377 4,015,252 14,293,695 13,521,520

Total Expenditures 373,156,571 342,974,098 383,061,065 448,489,103 418,024,746

Excess (Deficiency) of Revenues Over (Under) Expenditures (88,488,148) (41,305,656) (60,724,381) (110,895,328) (60,135,576)

Other Resources 40,312,046 54,726,049 100,042,376 55,600,000 56,850,000 Other Uses (16,820,187) (17,000,000) (17,548,324) (3,600,000) (3,600,000)

Total Other Resources and (Uses) 23,491,859 37,726,049 82,494,052 52,000,000 53,250,000

Other Resources Over Expenditures and Other Uses (64,996,289) (3,579,607) 21,769,671 (58,895,328) (6,885,576)

Fund Balance - September 1 (Beginning 232,099,269 167,102,980 163,523,373 182,191,882 123,296,554

Increase (Decrease) in Fund Balance - - - - - Fund Balance - August 31 (Ending) 167,102,980 163,523,373 182,191,882 123,296,554 116,410,978

64 FY 2009 – 2010 Budget Detailed Budget Analysis

Proprietary Fund Types 1. Enterprise Funds – The District’s activities for which outside users are charged a fee roughly equal to the cost of providing the goods and services of those activities are accounted for in an enterprise fund.

The District’s non-major Enterprise funds are the National Breakfast and Lunch Program and athletic concessions. The Food Service Fund is a budgeted fund and must be approved by the Board of Trustees

2. Internal Service Funds – Revenues and expenses related to services provided to organizations inside the District on a cost reimbursement basis are accounted for in an internal service fund. Internal service funds have been established to account for the District’s health, workers’ compensation and disability self-insurance plans.

Fiduciary Funds Agency Funds – These funds are used to report student activity funds and other resources held in a purely custodial capacity. Agency funds typically involve only the receipt, temporary investment, and remittance of fiduciary resources to individuals, private organizations, or other governments.

Fiduciary funds are reported in the fiduciary fund financial statements. However, because their assets are held in a trustee or agency capacity and are therefore not available to support District programs, these funds are not included in the government-wide financial statements.

Budgetary Basis of Accounting The budgetary basis of accounting shall be consistently applied in budgeting, recording and reporting foundation school program (FSP) revenues in PEIMS information. Under the budgetary basis, earned and material FSP revenues that are collectible beyond 60 days are to be treated consistently for budgeting, recording, and reporting through PEIMS and for tax rollback rate calculation purposes.

Legal requirements for school district budgets are formulated by the State, the Texas Education Agency, and each local district.

The Board is legally required to adopt an appropriated budget on a basis consistent with GAAP for the general fund, debt service fund and food service fund (an enterprise fund). These are the only funds that require Board approval. The budgetary level of control for Board adopted budgets is at the Object level for revenues and the Function level for expenditures. Any transfer of funds that increases a revenue object or modifies an expenditure function must be approved on a monthly basis by the Board of Trustees. At a minimum, the District is required to present the original and the final amended budgets for revenues and expenditures compared to actual revenues and expenditures for these three funds. Budget amendments to these funds must be approved by the Board.

65 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Combined Statement of Revenues, Expenditures and Changes in Fund Balance Proprietary Funds Budget for the Year Ending August 31, 2010

Budget Budget Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 Revenues: Local Revenue 25,696,133 33,306,646 33,996,704 37,500,000 35,258,000 State Revenue 50,471 53,726 57,455 60,000 70,000 Federal Revenue 2,948,198 3,182,966 3,625,022 4,010,000 4,804,000

Total Revenues 28,694,802 36,543,338 37,679,181 41,570,000 40,132,000

Expenditures: Payroll Costs 3,739,226 3,875,451 4,042,763 5,325,000 5,557,600 Professional & Contracted Services 2,059,928 2,587,891 2,716,431 1,905,000 2,023,900 Supplies & Materials 4,861,072 4,960,033 5,837,188 7,034,187 7,860,000 Other Operating Expenses 17,113,487 23,615,888 24,896,009 27,753,000 24,262,500 Capital Outlay - 82,004 122,220 122,220 -

Total Expenditures 27,773,713 35,121,267 37,614,611 42,139,407 39,704,000

Excess (Deficiency) of Revenues Over (Under) Expenditures 921,089 1,422,071 64,570 (569,407) 428,000

Other Resources 141,416 - 100,000 100,000 - Other Uses - - 255,239 - 255,239

Total Other Resources and (Uses) 141,416 - 355,239 100,000 255,239 (y) Other Resources Over Expenditures and Other Uses 1,062,505 1,422,071 419,809 (469,407) 683,239

Fund Balance - September 1 (Beginning 6,042,385 11,596,178 12,172,329 12,236,899 11,889,712

Increase (Decrease) in Fund Balance - - - - -

Fund Balance - August 31 (Ending) 11,596,177 13,159,665 12,236,899 11,889,712 12,569,951

66 FY 2009 – 2010 Budget Detailed Budget Analysis

 General Fund

The General Fund is a governmental fund with budgetary control which is used to show transactions resulting from operations of on-going organizations and activities from a variety of revenue sources for which fund balance is controlled by and retained for the use of the local education agency. The general fund utilizes the modified accrual basis of accounting. To maintain separate revenue and expenditure accounts to assure the integrity of specific revenue purposes when required by law or rule, the general fund is to employ the classification defined below by the Texas Education Agency.

Fund 199 – General Fund – This classification must be used to account for funds in which the local governing board designates. The local governing board has wide discretion in their use as provided by law. This fund usually includes transactions as a result of revenues from local maintenance taxes, payments in lieu of taxes, foundation entitlements, State and County available and other Foundation School Program sources which are not identified on warrants for foundation entitlements. Any locally defined codes that are used at the local option are to be converted to Fund 199 for PEIMS reporting.

67 FY 2009 – 2010 Budget Detailed Budget Analysis

General Fund Revenues This fund is budgeted at $284,300,000 and is established to account for resources financing the fundamental operations of the District. All revenues and expenditures that are not required to be accounted for in other funds are included here. Since this is a budgeted fund, any fund balances are considered resources available for current operations. Fund balances may be appropriated by the Board of Trustees to implement its responsibilities. The 2009–2010 General Fund budget is balanced and includes a very small increase in fund balance ($18,837).

Total revenues increased 5.24% from FY 2009 to FY 2010. This can primarily be attributed to additional funding from the State ($120 per Weighted Average Daily Attendance) and enrollment gains from one year to the next. Clear Creek is experiencing rapid enrollment growth. Over the last five years enrollment has increased about 3% per year. State funding models provide additional target revenue to meet enrollment growth but they do not provide funds to offset the impact of inflation.

Clear Creek Independent School District General Fund Analysis of Revenues Budget for the Year Ending August 31, 2010

General Fund Revenues Five Year History ($1,000's)

$540 $119,444 FY 2010 $164,316 $545 $114,233 FY 2009 $155,366 $717 $110,325 FY 2008 $141,570 $660 $62,307 FY 2007 $176,707 $1,172 $40,830 FY 2006 $181,179

$0 $25,000 $50,000 $75,000 $100,000 $125,000 $150,000 $175,000 $200,000

Local & Intermediate Sources State Program Revenues Federal Program Revenues

General Fund Revenues ($1,000's)

Budget Budget Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 Local & Intermediate Sources$ 181,179 $ 176,707 $ 141,570 $ 155,366 $ 164,316 State Program Revenues$ 40,830 $ 62,307 $ 110,325 $ 114,233 $ 119,444 Federal Program Revenues$ 1,172 $ 660 $ 717 $ 545 $ 540

Total Revenues$ 223,181 $ 239,674 $ 252,612 $ 270,144 $ 284,300

68 FY 2009 – 2010 Budget Detailed Budget Analysis

Major Sources of Funds Local & Intermediate Sources of revenue increased 5.8% in FY 2010. This is primarily due to small increase in property value over the budgeted property value in FY 2009. Virtually all of the property value growth for FY 2010 is the result of new construction in the southern portion of the district.

State Program Revenues increased 4.6%. This is primarily due to projected enrollment growth of 850 students and additional revenue provided by the State of Texas from the 81st Legislative Session. The only way to receive additional state funding under the State of Texas School funding system is through enrollment gains or an act of the State’s legislative body. The Reform Legislation passed by the Texas Legislature in May of 2006 essentially tied all future increases in state funding to enrollment gains. Therefore, absent enrollment gains, state funding remains constant at the District’s 2006 per student funding level until changed by the legislature.

The State met in general session from January to June 2009 and passed House Bill (HB) 3646 which provided Clear Creek ISD with an additional $120 per weighted average daily attendance (WADA). This provided an additional $5 million in state revenue to Clear Creek ISD. At the same time, the State mandated a teacher salary increase which used approximately seventy four percent (74%) of the new money provided by our legislators. As a result, the State provided only minimal relief for inflationary pressures endured by the District since 2006.

Currently, the District receives 57.8% of total General Fund revenue from Local and Intermediate Sources. This percentage is down from a high of more than 81% in FY 2006. This shows the dramatic impact of the Reform Legislation on local taxpayers.

General Fund Revenues by Source FY 2010

Other Revenue 2.8% Current Taxes State TRS On- 54.6% Behalf 5.2%

State Available School Fund 3.2%

State Foundation School Fund Delinquent Taxes 33.6% 0.6%

69 FY 2009 – 2010 Budget Detailed Budget Analysis

General Fund Expenditures Total General Fund spending increased 5.7% in FY 2010. Expenditure increases can be attributed to several major factors. First, the District must meet the staffing requirements inherent in a fast growth district. The District must hire additional teaching and operational staff to provide an exceptional education for these students. Second, the District opened the twelfth grade of our newest high school and opened two new elementary and one intermediate campus in August of 2009. Finally, the District provided a 3.0% across the board salary increase for all staff.

Clear Creek Independent School District General Fund Analysis of Expenditures Budget for the Year Ending August 31, 2010

General Fund Expenditures by Function ($1,000's)

FY 2010

FY 2009

FY 2008

FY 2007

FY 2006

$0 $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 Instruction & Related Svcs Instructional & School Leadership Student Support Services Administrative Support Svcs Maintenance & Operations Technology & Security Svcs Capital Outlay Intergovernmental Charges

General Fund Expenditures ($1,000's)

Budget Budget Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 Instruction & Related Svcs$ 131,955 $ 141,027 $ 162,065 $ 173,405 $ 185,898 Instructional & School Leadership 13,724 14,949 17,025 18,844 20,988 Student Support Services 20,943 22,502 24,759 28,383 29,270 Administrative Support Svcs 7,441 7,183 7,356 6,872 6,771 Maintenance & Operations 23,087 27,292 27,926 20,941 21,936 Technology & Security Svcs 5,722 5,785 5,973 7,400 7,148 Capital Outlay - - - - - Intergovernmental Charges 1,247 1,607 4,015 14,294 13,522

Total Expenditures$ 204,120 $ 220,344 $ 249,119 $ 270,138 $ 285,531

70 FY 2009 – 2010 Budget Detailed Budget Analysis

Major Uses of Funds The mission of a school district is to provide excellent educational opportunities. Clear Creek takes that mission very seriously. The District spends 65.4% of its General Fund budget on Instruction and Related Services. The budget increased by $15.4 million this General Fund Expenditures by Function year. This is primarily due to the FY 2010 addition of new teachers for enrollment growth and new campuses as well as a 3% cost of living adjustment. Instructional and School Leadership and 100.00% 65.1% Student Support Services combined to account for another 50.00% 10.3% 7.4% 2.3% 7.7% 2.5% 4.8% 17.6% of the General Fund budget. These two categories 0.00% increased by just over $3 million this year. Therefore, Clear Creek spends 82.7% of its budget on Instruction & Related Instructional & School Leadership instruction and student support Student Support Administrative Support Maintenance & Operations Technology & Security services. In total, these three Intergovernmental expense categories increased by over $15.5 million this year. This increase accounted for almost all of the expenditure growth in this year’s budget.

Clear Creek also prides itself in being “lean and mean” in administrative spending. This is supported by its low level of spending on administrative support services (2.5%). As a further testament to this, the Administration budget actually decreased $66,000 from last year’s budget. There was also a $725,000 decrease in Intergovernmental Charges this year. This was primarily due to the impact of lower utility costs on the District. In May of 2009 the District signed a long term energy deal that reduced utility costs by $1.2 million.

The education of students is labor intensive. This is reflected in the General Fund Expenditures by Object large portion of the District's FY 2010 budget for payroll costs. The composition of the District's workforce is determined by Capital Outlay staffing policies and guidelines 0.0% approved by the Board of Payroll Costs Trustees, on projected student Other Operating 85.5% enrollment, and on curriculum 6.5% requirements. For the 2009-2010 fiscal year, payroll costs are Supplies & budgeted at $244,159,893 Materials (85.5%) percent of the General 3.9% Fund’s current operating Contracted expenditures. Services 4.1% Although payroll costs are our largest expenditure, utility costs make up the next largest fixed cost and are included in the Other Operating expense category. Therefore, between payroll and other fixed costs, over 92% of the expenditures of the District are tied up in fixed expenditures. All Texas districts face the same issue. How to stretch flexible costs to meet growing facility maintenance and renovation needs.

71 FY 2009 – 2010 Budget Detailed Budget Analysis

General Fund – Fund Balance Clear Creek is located along the Texas Gulf Coast – a region that is susceptible to hurricanes and strong tropical storms. As a result, it is vital for the district to maintain a source of funds to cover emergencies. Clear Creek has two sources of funds to meet this contingency. First, the District has designated a $2.5 million Disaster Recovery reserve in the General Fund. This is the Districts first line of defense in the event of a catastrophic event. The second line of defense is the District’s Undesignated Fund Balance in the General Fund. Several years ago, this fund dipped to historically low levels equal of about one month’s operating expenses. This was unacceptable and the Board of Trustees made increasing the District’s fund balance a priority over the last few years. As a result, the District now has a combined designated disaster reserve and undesignated reserve of more than two months of current operating expenses.

Clear Creek experienced its first direct hit by a major hurricane since Hurricane Alicia (1983) with the landfall of Hurricane Ike on September 12th and 13th 2008. Losses from this storm approached $18 million. Although insurance proceeds, grant funds, and expected Federal Emergency Management (FEMA) reimbursements place our projected out of pocket expenses close to zero when all claims are settled; the District is required to front funding on school repairs for more than one year in many cases. So while our ultimate out of pocket expenses may be close to zero, it has been imperative that we have adequate cash to meet expenses in the interim. The District’s foresight in setting a $2.5 million Disaster Recovery reserve combined with its healthy fund balance has provided it the ability to fund this major natural disaster without significant impact on the General Fund.

Clear Creek Independent School District General Fund Analysis of Fund Balance Budget for the Year Ending August 31, 2010

General Fund - Fund Balance Five Year History ($1,000's)

$50,000 $44,191 $44,197 $44,216 $41,654 $43,762 $40,000

$30,000

$20,000 9,619 9,730 9,704 9,704 9,704 $10,000

$0 FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 Undesignated Fund Balance Designated Fund Balance

General Fund - Fund Balance ($1,000's) Budget Budget Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010

Undesignated Fund Balance$ 41,654 $ 43,762 $ 44,191 $ 44,197 $ 44,216

Designated Fund Balance 9,619 9,730 9,704 9,704 9,704

Total Fund Balance$ 51,273 $ 53,492 $ 53,895 $ 53,901 $ 53,920

72 FY 2009 – 2010 Budget Detailed Budget Analysis

 Special Revenue Funds

Special Revenue Funds are governmental funds used to account for the proceeds of specific revenue sources that are legally restricted to expenditures for specified purposes. These funds utilize the modified accrual basis of accounting. Activities included within these funds are as follows:

Note: This is not an exhaustive list of special revenue funds.

Fund 204 - ESEA, Title IV, Part A Safe and Drug Free Schools & Communities Act – These funds are to be used to develop age-appropriate comprehensive violence and drug/alcohol education prevention programs.

Fund 211 - ESEA, Title I, Part A Improving Basic Programs – Funds allocated to local educational agencies to enable schools to provide opportunities for children served to acquire the knowledge and skills contained in the challenging State content standards and to meet the challenging State performance standards developed for all children.

Fund 224 - IDEA B, Formula – Funds granted to operate educational programs for children with disabilities. This fund classification includes capacity building and improvement.

Fund 225 - IDEA B, Preschool – Funds granted for preschool children with disabilities.

Fund 244 - Vocational Regular Basic Grant – Funds granted to provide career and technology education to develop new and/or improve career and technology education programs for paid and unpaid employment. Full participation in basic grant is from individuals who are members of special populations, at 1) a limited number of campuses (sites) or 2) a limited number of program areas.

Fund 255 - Title II, Part A: Teacher and Principal Training and Recruiting - Funds granted to (1) Increase student academic achievement through improving teacher and principal quality and increasing the number of highly qualified teachers in classrooms and highly qualified principals and assistant principals in schools, and (2) hold local education agencies and schools accountable for improving student academic achievement.

Fund 262 - Enhancing Education Through Technology – Funds granted for the implementation and support of a comprehensive system that effectively uses technology in elementary and secondary schools to improve student academic achievement

Fund 269 - Title V, Part A - Innovative Programs – Funds granted to implement or expand innovative assistance programs to improve student, teacher, and school performance through a variety of local reform and improvement activities.

Fund 283 – IDEA B Federal Stimulus Funds – Funds granted to operate educational programs for children with disabilities. This fund is new this year and is used to capture all federal stimulus monies.

Fund 285 – ESEA, Title I, Part A Federal Stimulus Funds – Funds allocated to local educational agencies to enable schools to provide opportunities for children served to acquire the knowledge and skills contained in the challenging State content standards and to meet the challenging State performance standards developed for all children.

Fund 411 - Technology Allotment – Funds awarded to school districts to purchase technological software or equipment that contributes to student learning, or to pay for training for educational personnel involved in the use of these materials.

Fund 461 – Campus Activity – Funds received from campus based initiatives.

73 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Combined Statement of Revenues, Expenditures and Changes in Fund Balance Special Revenue Funds Budget for the Year Ending August 31, 2010

Budget Budget Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 Revenues: Local Revenue 4,395,587 4,686,277 5,156,133 3,433,333 2,406,480 State Revenue 4,254,359 4,584,526 6,892,526 5,419,747 2,239,976 Federal Revenue 13,700,051 9,098,920 8,991,401 9,419,694 18,717,713

Total Revenues 22,349,997 18,369,723 21,040,060 18,272,775 23,364,170

Expenditures: Instruction & Instruction Related 15,465,204 12,270,485 13,210,411 13,703,332 19,302,990 Instruction & School Leadership 643,901 588,783 473,811 581,685 498,846 Student Support Services 5,518,429 4,591,534 6,052,552 3,358,395 3,009,795 Administrative Support Services 189,743 168,356 197,706 189,000 261,984 Plant Maintenance & Operations 285,268 650,465 8,223 33,680 20,160 Security & Monitoring Services 136,601 - 2,614 3,585 - Technology Services 27,817 - - - - Ancilliary Services 207,497 325,698 626,139 403,098 270,395 Debt Services - - - - - Capital Outlay - - - - - Intergovernmental Charges ------Total Expenditures 22,474,460 18,595,321 20,571,456 18,272,775 23,364,170

Excess (Deficiency) of Revenues Over (Under) Expenditures (124,463) (225,598) 468,604 0 (0)

Other Resources 253,267 - - - - Other Uses - 116,355 - - -

Total Other Resources and (Uses) 253,267 116,355 - - -

Other Resources Over Expenditures and Other Uses 128,804 (109,243) 468,604 0 (0)

Fund Balance - September 1 (Beginning 125,791 254,595 145,352 613,956 613,956

Increase (Decrease) in Fund Balance - - - - - Fund Balance - August 31 (Ending) 254,595 145,352 613,956 613,956 613,956

74 FY 2009 – 2010 Budget Detailed Budget Analysis

Special Revenue Funds Revenues Clear Creek’s Special Revenue Funds increased by almost twenty eight percent (27.9%) or almost $5.1 million in FY 2010. This is primarily due to an increase in federal funding related to the American Recovery and Reinvestment Act which provided additional IDEA – Part B funds ($6.6 million) for the education of children with disabilities and Title I – Part A funds ($2.1 million) for the education of children of poverty. Funding for the Deaf Education Cooperative also increased close to $1 million over the FY 2009 budget year.

Offsetting these funding increases were major reductions in several special revenue funds. The District completed the third and final year of the Smaller Learning Community Grant. This reduced revenues by $145,000. The State substantially reduced funding for the High School Completion and Success Initiative as it has shifted its focus on the High School Allotment program which provides more than $2.9 million for high school initiatives. The largest single reduction was in Campus Activity Funds. This fund dropped by $900,000 from the previous year. This is entirely due to the completion of the District’s beverage vending contract with a national vendor. The beverage provider’s contract called for annual contributions to each campus in addition to commissions on beverage sales. These annual payments ceased when the District began self-managing the contract in 2008.

Clear Creek Independent School District Special Revenue Funds Analysis of Revenues Budget for the Year Ending August 31, 2010

SpecialGeneral Revenue Fund Funds Revenues - Revenues Five ($1,000's)Year History ($1,000's)

$20,000 $18,718

$15,000 $13,700

$17,500 $9,099 $8,991 $9,420 $10,000 $6,893 $5,420 $4,254$15,000 $4,585 $5,000 $2,240 $4,396 $12,500 $4,686 $5,156 $3,433 $2,406 $- 2000-2001 2001-2002 2002-2003 2003-2004 2004-2005 FY 2006 FY 2007Fiscal FY 2008Year FY 2009 FY 2010

Local & Intermediate Sources State Program Revenues Federal Program Revenues Local & Intermediate Sources State Program Revenues Federal Program Revenues

Special Revenue Funds - Revenues ($1,000's)

Budget Budget Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 Local & Intermediate Sources$ 4,396 $ 4,686 $ 5,156 $ 3,433 $ 2,406 State Program Revenues$ 4,254 $ 4,585 $ 6,893 $ 5,420 $ 2,240 Federal Program Revenues$ 13,700 $ 9,099 $ 8,991 $ 9,420 $ 18,718

Total Revenues$ 22,350 $ 18,370 $ 21,040 $ 18,273 $ 23,364

75 FY 2009 – 2010 Budget Detailed Budget Analysis

Special Revenue Fund Expenditures Special Revenue Fund expenditures increased in tandem with revenues. The largest increase was in Instruction and Related Services ($5.6 million or 40.9%). This is almost entirely due to new funds for IDEA – Part B and Title I – Part A provided as a part of the federal stimulus package.

It is important to note that 82.6% of all expenditures in the Special Revenue Fund are found in the Instruction & Related category. This shows Clear Creek’s commitment to direct its budget funds to the classroom.

Clear Creek Independent School District Special Revenue Funds Analysis of Expenditures Budget for the Year Ending August 31, 2010

Special Revenue Fund Expenditures Five Year History ($1,000's)

FY 2010

FY 2009

FY 2008

FY 2007

FY 2006

$0 $2,500 $5,000 $7,500 $10,000 $12,500 $15,000 $17,500 $20,000 $22,500 $25,000 Instruction & Related Svcs Student Support Services Instructional & School Leadership Administrative Support Svcs Maintenance & Operations Technology & Security Svcs Capital Outlay Intergovernmental Charges

Special Revenue Funds - Expenditures ($1,000's)

Budget Budget Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010

Instruction & Related Svcs$ 15,465 $ 12,270 $ 13,210 $ 13,703 $ 19,303 Instructional & School Leadership $ 644 $ 589 $ 474 $ 582 $ 499 Student Support Services$ 5,518 $ 4,592 $ 6,053 $ 3,358 $ 3,010 Administrative Support Svcs$ 190 $ 168 $ 198 $ 189 $ 262 Maintenance & Operations$ 285 $ 650 $ 8 $ 34 $ 20 Technology & Security Svcs$ 137 $ - $ 3 $ 4 $ - Capital Outlay$ 28 $ - $ - $ - $ - Intergovernmental Charges$ 207 $ 326 $ 626 $ 403 $ 270

Total Expenditures$ 22,474 $ 18,595 $ 20,571 $ 18,273 $ 23,364

76 FY 2009 – 2010 Budget Detailed Budget Analysis

 Debt Service Funds

Debt Service Funds A debt service fund is a governmental fund, with budgetary control, that must be used to account for general long-term debt principal and interest for debt issues and other long-term debts for which a tax has been dedicated. A separate bank account must be kept for this fund. Principal and interest payments for operating indebtedness including warrants, notes, and short-term lease-purchase agreements, are to be made from the fund for which the debt was incurred. This fund utilizes the modified accrual basis of accounting.

Tax Supported Debt Limitation Chapter 45 of the Texas Education Code, as amended, requires a district to demonstrate to the Texas Attorney General that it has the prospective ability to pay debt service on a proposed issue of bonds, together with debt service on other outstanding new debt of the district, from a tax levied at a rate of $0.50 per $100 of assessed valuation before bonds may be issued. In demonstrating the ability to pay debt service at a rate of $0.50, a district may take into account State allotments to the district which effectively reduces the district’s local share of debt service. Once the prospective ability to pay such tax has been shown and the bonds are issued, a district may levy an unlimited tax to pay debt service. The District has $680,064,000 in outstanding bonds. The District’s total current debt service requirement is $1,124,039,877 which is covered with a $0.32 cent tax rate. At a $0.50 cent tax rate ceiling, the District’s total debt ceiling is $1,756,000,000. Looking ahead ten years, the District will be able to meet its long range facility requirements and stay well below the 50 cent tax limitation.

Debt Issues A $183.1 million bond election was held on May 12, 2007. Voters approved this bond proposition by the largest margin in Clear Creek’s long history. Over 72% of our voters were in favor of the projects included in the bond proposition. It included funding for new schools, capital additions, roofs, and school buses. The District has sold all of its authorized bonds as of April 2009.

Debt Policy Clear Creek has a relatively modest debt service tax rate of 32 cents. The debt tax rate has increased two (2.0) cents over the last five years in order to pay for recent taxpayer approved bond programs.

Debt service tax rates have remained low for several reasons. First, the District’s tax base has been growing in excess of 9% for the last five years. However, the growth rate took a plunge this past year due to the impact of Hurricane Ike on our property values. Property values fell by just over one and three quarters percent (1.78%) from last year. If this tredn continues then there could be some strain on the debt service tax rate in future years. On the plus side interest rates have been at historicly low levels which has led to bond sales at extremely favorable rates. This has allowed the District to keep interest payments low on new debt. Finally, the District has been able to refund almost $150 million in high interest bonds and replace them with lower interest bonds over the last few years.

The Debt Service Fund fund balance is adequate and in line with the District’s goal to have at least ten percent (10%) of the annual debt service payment in undesignated fund balance.

Bond Ratings In order to ensure the lowest interest rates on bonds issued by the District, it is important to maintain a high credit rating. The District’s underlying credit rating was upgraded in April 2008 from AA- to AA by both Standard and Poor’s Investor Service and Fitch Ratings Service. As a result, the District has issued its bonds at very favorable interest rates.

77 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Combined Statement of Revenues, Expenditures and Changes in Fund Balance Debt Service Fund Budget for the Year Ending August 31, 2010

Budget Budget Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 Revenues: Local Revenue 32,739,188 38,793,335 43,786,430 46,400,000 49,200,000 State Revenue 807,756 - - - - Federal Revenue - - - - -

Total Revenues 33,546,944 38,793,335 43,786,430 46,400,000 49,200,000

Expenditures: Instruction & Instruction Related - - - - - Instruction & School Leadership - - - - - Student Support Services - - - - - Administrative Support Services - - - - - Plant Maintenance & Operations - - - - - Security & Monitoring Services - - - - - Technology Services - - - - - Ancilliary Services - - - - - Debt Services 36,157,778 38,578,792 40,409,897 45,800,000 49,475,000 Capital Outlay - - - - - Intergovernmental Charges - - - - -

Total Expenditures 36,157,778 38,578,792 40,409,897 45,800,000 49,475,000

Excess (Deficiency) of Revenues Over (Under) Expenditures (2,610,834) 214,543 3,376,533 600,000 (275,000)

Other Resources - - 17,292,179 - - Other Uses - - (17,548,324) - -

Total Other Resources and (Uses) - - (256,145) - - (y) Other Resources Over Expenditures and Other Uses (2,610,834) 214,543 3,120,388 600,000 (275,000)

Fund Balance - September 1 (Beginning) 6,622,128 4,011,294 4,225,837 7,346,225 7,946,225

Increase (Decrease) in Fund Balance - - - - -

Fund Balance - August 31 (Ending) 4,011,294 4,225,837 7,346,225 7,946,225 7,671,225

78 FY 2009 – 2010 Budget Detailed Budget Analysis

Debt Service Fund Revenues Debt Service Fund revenues have increased by 11.7% per year since FY 2006. This is due to a combination of factors. First, the District has experienced a growth rate in appraised values of more than 5% over the same time period. Second, the District sold $264 million in new bonds that were authorized by voters in 2004. The Debt Service tax rate was increased by 5.5 cents over the same period of time as a result of these bond sales. Finally, the District held a $183 million bond election in May of 2007 which was approved by a record 72% of voters. This bond election added two cents to the tax rate in FY 2008. State revenues dropped to zero in FY 2007. This is a direct result of the District’s increasing property wealth per student. As property wealth per student increases, state funding decreases.

Clear Creek Independent School District Debt Service Fund Analysis of Revenues Budget for the Year Ending August 31, 2010

Debt Service Fund Revenues ($1,000's)

FY 2010 $0 $49,200

FY 2009 $0 $46,400

FY 2008 $0 $43,786

FY 2007 $0 $38,793

FY 2006 $808 $32,739

$0 $5,000 $10,00 $15,00 $20,00 $25,00 $30,00 $35,00 $40,00 $45,00 $50,00 0 0 0 0 0 0 0 0 0 Local & Intermediate Sources State Program Revenues Federal Program Revenues

Debt Service Fund Revenues ($1,000's)

Budget Budget Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 Local & Intermediate Sources$ 32,739 $ 38,793 $ 43,786 $ 46,400 $ 49,200 State Program Revenues 808 - - - - Federal Program Revenues - - - - -

Total Revenues$ 33,547 $ 38,793 $ 43,786 $ 46,400 $ 49,200

79 FY 2009 – 2010 Budget Detailed Budget Analysis

Debt Service Fund Expenditures Debt Service Fund expenditures have increased 9.2% per year over the last four years. This is due to the issuance and sale of new bonds which were authorized by voters in 2004 and 2007. Voters authorized the issuance of $264 million in bonds in February of 2004. These bonds have been sold and capital projects utilizing these funds are near completion. Voters authorized the issuance of an additional $183 million in bonds in May of 2007. Clear Creek sold $37.1 million of these bonds in July and another $80 million in April of 2008.

In order to pay the interest and principal on these bond sales, the Debt Service tax rate was increased by four and a half (4.5) cents over the same period of time.

Clear Creek Independent School District Debt Service Fund Analysis of Expenditures Budget for the Year Ending August 31, 2010

Debt Service Fund Expenditures ($1,000's)

$60,000 $49,475 $50,000 $45,800 $38,579 $40,410 $40,000 $36,158

$30,000

$20,000

$10,000

$0 FY 2006 FY 2007 FY 2008 FY 2009 FY 2010

Debt Service Fund Expenditures ($1,000's)

Budget Budget Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 Instruction & Related Svcs$ - $ - $ - $ - $ - Instructional & School Leadership - - - - - Student Support Services - - - - - Administrative Support Svcs 36,158 38,579 40,410 45,800 49,475 Maintenance & Operations - - - - - Technology & Security Svcs - - - - - Capital Outlay - - - - - Intergovernmental Charges - - - - -

Total Expenditures$ 36,158 $ 38,579 $ 40,410 $ 45,800 $ 49,475

80 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Aggregate Debt Service Budget for the Year Ending August 31, 2010

Year Ending August 31 Interest Principal Total Debt 2010 38,972,745.19 10,444,564.00 49,417,309.19 2011 36,363,015.77 14,759,458.00 51,122,473.77 2012 31,146,061.27 19,990,000.00 51,136,061.27 2013 30,181,155.02 20,905,000.00 51,086,155.02 2014 28,531,017.52 22,555,000.00 51,086,017.52 2015 27,695,386.26 23,675,000.00 51,370,386.26 2016 26,534,036.26 24,835,000.00 51,369,036.26 2017 25,299,376.26 26,070,000.00 51,369,376.26 2018 23,972,933.76 27,395,000.00 51,367,933.76 2019 22,587,306.88 28,785,000.00 51,372,306.88 2020 21,144,901.25 30,225,000.00 51,369,901.25 2021 19,621,595.00 31,750,000.00 51,371,595.00 2022 18,080,725.00 33,290,000.00 51,370,725.00 2023 16,586,200.00 30,970,000.00 47,556,200.00 2024 15,059,450.00 32,495,000.00 47,554,450.00 2025 13,441,006.25 34,115,000.00 47,556,006.25 2026 11,769,775.00 35,785,000.00 47,554,775.00 2027 10,088,468.75 37,445,000.00 47,533,468.75 2028 8,368,143.75 39,125,000.00 47,493,143.75 2029 6,641,518.75 40,810,000.00 47,451,518.75 2030 5,117,662.50 26,515,000.00 31,632,662.50 2031 3,725,000.00 27,910,000.00 31,635,000.00 2032 2,276,875.00 29,355,000.00 31,631,875.00 2033 771,500.00 30,860,000.00 31,631,500.00 Total 443,975,855.44 680,064,022.00 1,124,039,877.44

Average Annual Requirements (2010-2033) $46,834,995 (a) Maximum Annual Requirement (2019) $51,372,307 (a) ______(a) The District currently has adjustable rate bonds outstanding. The interest rates on such adjustable rate bonds may adjust periodically. Accordingly, the projected debt service payable on the District’s debt is estimated and remains subject to change.

81 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Estimated Overlapping Debt Budget for the Year Ending August 31, 2010

Debt as of Overlapping Taxing Jurisdiction March 1, 2009 Percent Amount Baybrook MUD 1 $ 22,655,000 100.00% $ 22,655,000 Brazoria Co. MUD 18 32,455,000 48.68% 15,799,094 Clear Brook City MUD 54,650,000 44.68% 24,417,620 Clear Lake City Water Authority 63,965,000 79.45% 50,820,193 Clear Lake City Water Authority – 75 1,515,000 0.50% 7,575 Friendswood, City of 16,310,000 24.36% 3,973,116 Galveston County 229,318,422 23.14% 53,064,283 Galveston Co. MUD 2 5,130,000 100.00% 5,130,000 Galveston Co. MUD 3 5,760,000 100.00% 5,760,000 Galveston Co. MUD 6 20,825,000 100.00% 20,825,000 Galveston Co. MUD 13 8,230,000 100.00% 8,230,000 Galveston Co. MUD 39 20,290,000 100.00% 20,290,000 Galveston Co. MUD 43 14,180,000 100.00% 14,180,000 Galveston County WC&ID 12 16,125,000 100.00% 16,125,000 Harris County 1,895,251,222 3.78% 71,640,496 Harris County Flood Control District 108,980,834 3.78% 4,119,476 Harris County MUD 55 17,610,000 100.00% 17,610,000 Harris County MUD 373 5,255,000 100.00% 5,255,000 Harris County WC&ID 156 4,395,000 100.00% 4,395,000 Houston, City of 2,737,121,125 2.43% 66,512,043 Kemah, City of 130,000 100.00% 130,000 League City, City of 84,675,000 88.20% 74,683,350 Nassau Bay, City of 2,837,077 100.00% 2,837,077 Pasadena, City of 149,015,000 11.01% 16,406,552 Port of Houston Authority 563,015,000 3.78% 21,281,967 Seabrook, City of 18,925,000 100.00% 18,925,000 South Shore Harbour MUD 2 5,450,000 100.00% 5,450,000 South Shore Harbour MUD 3 2,415,000 100.00% 2,415,000 South Shore Harbour MUD 6 6,700,000 100.00% 6,700,000 South Shore Harbour MUD 7 21,785,000 100.00% 21,785,000 Tara Glenn MUD 3,460,000 100.00% 3,460,000 Texas City, City 36,065,000 0.11% 39,672 Webster, City of 18,885,000 100.00% 18,885,000 -

TOTAL ESTIMATED OVERLAPPING DEBT$ 623,807,512

The District 680,064,022

TOTAL DIRECT & ESTIMATED OVERLAPPING DEBT $ 1,303,871,534

82 FY 2009 – 2010 Budget Detailed Budget Analysis

 Capital Projects Funds

Capital Projects Funds A Capital Projects Fund is a governmental fund that must be used to account, on a project basis, for projects financed by the proceeds from bond issues, or for capital projects otherwise mandated to be accounted for in this fund. The Capital Projects Fund utilizes the modified accrual basis of accounting.

Capital Projects History The District is experiencing tremendous enrollment growth that is creating the need for additional classroom space. From time to time, the District asks taxpayers to approve bond issues to provide for this growth. Taxpayers have approved over $609 million in bond programs over the last nine years to help the District manage enrollment growth.

In 2000 the District passed a $162 million bond issue which added three elementary schools, two intermediate schools, and land for future growth ($88.1 million), capital improvements to numerous campuses ($58.6 million), and technology ($15.3 million).

In 2004 the District passed a $264 million dollar bond issue as part of a three-year plan to accomplish the goals and objectives described in the District Strategic Plan. The focus of this bond issue was again on new campuses, land for growth, capital improvements and technology.

In 2007 the District passed a $183.1 million bond issue to further meet the needs of enrollment growth. The focus of this bond issue was on the construction of new educational facilities. This bond included a new 2500 student high school, a 1200 student intermediate school, two 900 student elementary schools and the conversion of two high school ninth grade centers to intermediate campuses. In addition, the District will purchase $6 million in buses, add science classrooms to our high schools, and make some major roof and air conditioning replacements.

Operating Costs Due to the tremendous enrollment growth over the last five plus years, the vast majority of bond proceeds have been used to address growth needs. New classrooms and new facilities have been a top priority.

New educational facilities drive increases in personnel and operational costs. The major cost drivers for new facilities are utilities, grounds maintenance, equipment, and campus administrative, teaching and support personnel, and property and casualty insurance. Utilities are estimated at about $1.72 per square foot for the FY 2009-2010 budget. This is almost two times more than we have budgeted in prior years and is primarily due to the jump in oil prices over the last twelve months. This large swing in the oil and gas commodity market has created additional pressure on District operations. When the District opened its new 465,000 square foot high school two years ago, the utility budget came in at almost $800,000. In addition, this campus created increases of $12,000 for grounds maintenance, and $25,000 for equipment & supplies. Property and casualty insurance has skyrocketed in the last three years. As a result, insuring a new high school costs in excess of $300,000.

Staffing costs are projected through the District’s staffing standards which are tied in to the District’s five year staffing plan. The District added 119 new positions to the budget last year to open one new intermediate and two new elementary campuses at a cost of $4.98 million. The District added 22 new positions for the twelfth grade at Clear Springs High School at a cost of $1.1 million. and added another 16 new positions for start-up staffing at the soon to be completed Clear Falls High School and Bayside Intermediate School at a cost of $750,000.

83 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Combined Statement of Revenues, Expenditures and Changes in Fund Balance Capital Project Funds Budget for the Year Ending August 31, 2010

Budget Budget Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 Revenues: Local Revenue 5,590,673 4,831,501 4,897,962 2,777,000 1,025,000 State Revenue 0 0 0 0 0 Federal Revenue 00000

Total Revenues 5,590,673 4,831,501 4,897,962 2,777,000 1,025,000

Expenditures: Instruction & Instruction Related 0 18,576 2,886,048 0 0 Instruction & School Leadership00000 Student Support Services 109,592 194,775 2,402,543 0 0 Administrative Support Services 10,843 31,831 861,789 0 0 Plant Maintenance & Operations 2,127,015 2,817,016 2,652,769 0 0 Security & Monitoring Services 0 242,521 336,520 0 0 Technology Services00000 Ancilliary Services 00000 Debt Services 116,644 404,408 738,894 0 0 Capital Outlay 108,040,542 61,746,702 63,081,650 114,278,242 59,654,413 Intergovernmental Charges 0 0 0 0 0

Total Expenditures 110,404,636 65,455,829 72,960,213 114,278,242 59,654,413

Excess (Deficiency) of Revenues Over (Under) Expenditures (104,813,963) (60,624,328) (68,062,251) (111,501,242) (58,629,413)

Other Resources 40,024,425 54,720,640 82,738,894 55,600,000 55,600,000 Other (Uses) 0 0 0 (3,600,000) (3,600,000)

Excess (Deficiency) of Revenues Over (Under) Expenditures and Other Uses 40,024,425 54,720,640 82,738,894 52,000,000 52,000,000

Net Change in Fund Balance (64,789,538) (5,903,688) 14,676,643 (59,501,242) (6,629,413)

Fund Balance - September 1 (Beginning) 176,353,464 111,563,926 105,660,238 120,336,881 60,835,639

Increase (Decrease) in Fund Balance - - - - - Fund Balance - August 31 (Ending) 111,563,926 105,660,238 120,336,881 60,835,639 54,206,226

84 FY 2009 – 2010 Budget Detailed Budget Analysis

Capital Projects Funds Revenues Interest rates have been unfavorable the last two years which has resulted in an almost five fold reduction in interest income. The District invests bond proceeds as they are received and interest revenue is booked into the capital projects funds accounts. The District is estimating reduced interest revenue in 2010 due to a combination of low interest rates and a increased spending on existing bond programs. As we close out major bond program projects, less money is available to invest. Districts can use this interest income to either fund additional capital projects or refund bonds. Since Clear Creek has many capital needs, the Board allocated interest revenue for additional capital projects.

Capital Project Funds Revenue ($1,000's)

FY 2010 $1,025

FY 2009 $2,777

FY 2008 $4,898

FY 2007 $4,832

FY 2006 $5,591

$0 $1,000 $2,000 $3,000 $4,000 $5,000 $6,000

Local & Intermediate Sources State Program Revenues Federal Program Revenues

Long Range Facilities Planning Clear Creek has also formed a Long Range Facilities Master Planning Committee to assess growth and recommend facility options to the Board of Trustees. This dynamic group of 60 people includes community members, business leaders and district staff. As a result of their work, the District now has a road map of district facility needs for the next ten years.

Long Range Financial Planning To meet the financial needs of a fast growth district, staff prepares an annual five year financial plan that includes the facility assumptions developed by the facilities committee. The financial plan includes staffing and operational increases for new facilities. Staff also projects the long range impact of bond issues to fund facility growth. In their totality, these plans truly give the District a facility and financial road map to meet the challenge of growth.

These plans are included in the Informational Section of this document.

85 FY 2009 – 2010 Budget Detailed Budget Analysis

Current Voter Approved Bond Programs Voter authorized bond programs have given the District the ability to meet enrollment growth over the last eight years. We have provided a listing of the projects in bond programs that are currently under way below. Projects in the 2004 Bond Program are virtually complete with only minor project closeout issues remaining to be finalized.

Capital Projects – 2004 Bond Issue

Description Projects Funding New Schools New High School (1) $118,899,000 Clear Creek High School Re-build New Elementary Schools (2)

Campus Additions High Schools - Band Halls, Dance Studios 27,565,000 Intermediate Schools – Band Halls, Choir Rooms Elementary Schools – Gymnasiums & Classrooms New Agriculture Facility

Capital Improvements Energy Systems, Roofs, Security Surveillance, 63,523,000 School Bus Replacement, Centralized Phone System, Network Infrastructure & Cabling, Future Site Infrastructure

Land Acquisition Future High School Site, Intermediate Sites (2), 29,064,000 and Elementary Sites (5), Future Expansion Site

Student Computers, Technology & Classroom Technology, Student Computers and 24,949,000 Financing Projection Devices, Science/Math/Library Peripherals, and Distance Learning

Total $264,000,000

Capital Projects – 2007 Bond Issue

Description Projects Funding New Schools New High School (1) $154,167,000 New Intermediate School (1) New Elementary Schools (2)

Campus Conversions Convert 9th Grade Centers to Intermediate Schools (2) 7,629,000

Capital Improvements & Roofs, Major Mechanical Systems, Security Systems, 21,329,000 Replacements School Bus Replacement

Total $183,125,000

86 FY 2009 – 2010 Budget Detailed Budget Analysis

Recently Completed and In-Progress Capital Projects Below is a list of recently completed and in-progress capital projects from bond programs and the capital replacement fund.

Recently Completed Major Capital Projects Total Project Project Description Funding Source Expenditures New Schools or Facilities Clear Creek High School Re-build Bonds 2000 & 2004 $ 39,695,790 Elementary # 23 - Robinson Bonds 2004 13,004,199 Elementary # 24 - Gilmore 13,989,957 Clear Springs High School 65,088,809 Agricultural Facility 1,723,795 Elementary Gymnasiums 11,099,120 Clear Brook Practice Gym & Dance Studio 2,591,357 Seabrook Intermediate Band Hall 1,232,260 Clear Lake HS Band and Orchestra Hall 2,408,858 Clear Lake Intermediate Choir Room 1,779,309 Landolt Elementary Classroom Additions 1,611,699 Central Support Facility Capital Projects Fund 10,744,229 Dr. Sandra Mossman Elementary School Bonds 2007 27,508,445 Ralph Parr Elementary School Bonds 2007 16,0281,228

Capital Improvements & District-Wide Lighting at Tracks/Tennis Courts Bonds 2004 3,187,532 Additions Athletic Field Upgrades 5,336,980 Air Conditioning/Heating Upgrades 2,781,255 District-Wide Fencing 1,064,364 Parking Lot and Sidewalk Additions 1,722,222 Renovate Existing Elementary Gymnasiums 2,367,557 Replace District Roofs 8,662,766 Various District-Wide Capital Improvements 1,789,434 Secure Entrances at Elementary Campuses Capital Projects Fund 255,556 Technology Projects  Wireless Computer Workstations 13,569,855  Network Infrastructure 5,375,842  Centralized Phone System 3,925,932  Software Licensing 3,274,203  Network Cabling 2,978,842  Classroom Projection Devices 2,596,903  Computer Peripherals 1,281,666  Distance Learning 1,463,091  Various District-Wide Technology 1,464,043 Projects

In-Progress Capital Projects Total Project Description Funding Source Expenditures New Schools or Facilities Clear Falls High School Bonds 2007 $ 49,943,883 Bayside Intermediate School 27,506,217

Capital Improvements & Clear Lake Intermediate Roof Bonds 2007 1,059,094 Additions Creekside Intermediate Roof 816,230 Ross Elementary Roof 814,930 Clear View Roof & HVAC 1,758,451 General Maintenance General Maintenance & Repair Capital Plan 1,592,466 Technology 4,125,057 Communications & Camera 711,880 Athletic Facilities 480,000 Bus Purchases 1,821,040

87 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Projected Capital Improvement Plan Funding & Projects

2009-10 2010-11 2011-12 2012-13 Balances, Revenue and Description Critical Projects Budget Budget Budget

Revenue (Actual and projected)$ 68,207,874 $ - $ - $ - Victory Lakes TIRZ 350,000 360,000 370,000 380,000 Projected Investment earnings 675,000 146,000 75,000 50,000 Less expended and encumbered to date (48,667,536) - - - Less Reserve for FEMA close-out (500,000) - - - Less Reserve for White Elem Impact Fees (104,156) - - - from Bonds 2000 General Fund Roll-forward (Deficit) - 2008-09 5,000,000 - - - (Transfer in Jan 2010) General Fund Roll-forward (Deficit) - 2009-10 - 4,000,000 - - (Transfer in Jan 2011) General Fund Roll-forward (Deficit) - 2010-11 - - (9,938,000) - (Transfer in Jan 2012) General Fund Roll-forward (Deficit) - 2011-12 - - - (13,102,000) (Transfer in Jan 2013) Total revenue 24,961,182 4,506,000 (9,493,000) (12,672,000)

Less Projects In Process (See attached) 1,099,418 - - -

Capital Plan Funds Available 23,861,764 4,506,000 (9,493,000) (12,672,000)

ClearPlan 2020 / Critical Maintenance Critical Maintenance & Repairs$ 750,000 $ 1,000,000 $ 1,000,000 $ 1,000,000 Asbestos survey of remainder of District 50,000 - - - Asbestos testing and abatement and Mold 150,000 150,000 150,000 150,000 testing and remediation Roof Maintenance - 150,000 150,000 150,000 Critical plumbing repair/retrofits 300,000 300,000 300,000 300,000 Critical HVAC repair/replacements 300,000 300,000 300,000 300,000 Brick Failure - Landolt Elem, Hall Elem and 1,579,240 - - - Clear View Maintenance vehicles (Trucks and vans) 125,000 125,000 125,000 125,000 Transportation vehicles (Trucks and vans) - - - 75,000 Material Management vehicles (Box truck w/ - 60,000 - 60,000 rail lift) Subtotal - ClearPlan 2020 / Critical 3,254,240 2,085,000 2,025,000 2,160,000 Maintenance Technology Instructional/Administrative Needs 200,000 200,000 200,000 200,000 Technology Hardware/Software Maintenance 450,000 450,000 450,000 450,000

Technology Equipment - Emergency 100,000 100,000 100,000 100,000 Contingency Laptops for Clear Horizons - 150,000 150,000 150,000 Subtotal - Technology 750,000 900,000 900,000 900,000 Safe Schools Communications and Cameras 75,000 75,000 75,000 75,000 Fire alarm repair and critical maintenance 100,000 75,000 75,000 75,000 SLO vehicles - 100,000 100,000 100,000 Subtotal - Safe Schools 175,000 250,000 250,000 250,000 Facilities Need to reserve money for portable building 250,000 250,000 250,000 250,000 moves in summer FF&E for portable buildings 50,000 50,000 50,000 50,000 Traffic light for Education Village Road 150,000 - - - Claims from Central Support Contractor (Matl) 125,000 - - -

Fences for Intermediate Fields 125,000 125,000 125,000 125,000 Subtotal - Facilities 700,000 425,000 425,000 425,000

Total Critial Needs 4,879,240 3,660,000 3,600,000 3,735,000

Excess (Deficit)$ 18,982,524 $ 846,000 $ (13,093,000) $ (16,407,000)

Cumulative Excess (Deficit)$ 18,982,524 $ 19,828,524 $ 6,735,524 $ (9,671,476) 88 FY 2009 – 2010 Budget Detailed Budget Analysis

 Enterprise Funds

Enterprise Funds An enterprise fund is a proprietary fund that must be used to account for the District’s activities for which outside users are charged a fee roughly equal to the cost of providing the goods and services of those activities. The District’s Enterprise Funds are the National Breakfast and Lunch Program (Child Nutrition Program) and Athletic Concessions.

Child Nutrition Program The Child Nutrition Program is an extremely large operation at Clear Creek School District. This is a budgeted fund and it must be formally adopted by the Board of Trustees.

The program serves 4.6 million meals every year (over 30,000 every day). The program is funded through several sources. One source of income is the revenue derived from the sale of breakfast and lunch to children and employees of the District. In the 2009–2010 budget, we project almost $9.4 million in food sales.

The second largest source of income comes from reimbursements from the federal government through the National School Lunch Program. This represents reimbursements from the Federal government for free or reduced price meals for our most disadvantaged students. This amounts to over $4.8 million. We anticipate the number of students utilizing the National School Lunch Program to increase from 7,500 in 2008–2009 to over 8,500 in the 2009–2010 school year. The District also receives a small level of funding from the State.

On the expenditure side, the real cost of running this operation can be found in food costs. While personnel requirements are great, the cost of labor is small when compared to the cost of food.

Our Child Nutrition Fund accounts for just over $14.2 million in revenue and expenses every year. Since enrollment is increasing, we expect this program to grow in size as well.

Athletic Concessions Athletic concessions represent a very small, but a very important piece of our Enterprise Fund. Revenue from this source accounts for $115,000. For a District with a total budget of over $358 million, it almost seems insignificant; however, this fund is crucial for our athletic program and serves a vital purpose in the district.

89 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Combined Statement of Revenues, Expenditures and Changes in Fund Balance Enterprise Funds Budget for the Year Ending August 31, 2010

Budget Budget Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 Revenues: Local Revenue 7,327,998 7,399,642 8,798,470 9,090,000 9,482,000 State Revenue 50,471 53,726 57,455 60,000 70,000 Federal Revenue 2,948,198 3,182,966 3,625,022 4,010,000 4,804,000

Total Revenues 10,326,667 10,636,334 12,480,947 13,160,000 14,356,000

Expenditures: Payroll Costs 3,739,226 3,875,451 4,042,763 5,325,000 5,557,600 Professional & Contracted Services 852,462 945,425 1,140,906 92,500 145,900 Supplies & Materials 4,856,736 4,956,273 5,833,079 7,022,687 7,849,500 Other Operating Expenses 274,576 201,028 175,261 467,000 377,000 Capital Outlay - 82,004 122,220 - 3,000

Total Expenditures 9,723,000 10,060,181 11,314,229 12,907,187 13,933,000

Excess (Deficiency) of Revenues Over (Under) Expenditures 603,667 576,153 1,166,718 252,813 423,000

Other Resources - - - - - Other Uses - - - - -

Total Other Resources and (Uses) - - - - - (y) Other Resources Over Expenditures and Other Uses 603,667 576,153 1,166,718 252,813 423,000

Fund Balance - September 1 (Beginning) 1,686,482 2,357,069 2,933,222 4,099,940 4,352,753

Increase (Decrease) in Fund Balance - - - - -

Fund Balance - August 31 (Ending) 2,357,069 2,933,222 4,099,940 4,352,753 4,775,753

90 FY 2009 – 2010 Budget Detailed Budget Analysis

 Internal Service Funds

Internal Service Funds An internal service fund is a proprietary fund that must be used for services provided to organizations inside the District on a cost reimbursement basis. The District’s Internal Service Funds are the District’s health, workers’ compensation, disability self-insurance plans and property insurance.

Health Insurance Fund This fund is used to manage the District’s self-funded health insurance program. This $24 million program is funded through both employee and district contributions. The District provides funding at $225 per employee per month ($2,700 per year). Employees fund the remainder of the plan through premiums paid on either an employee only or at various levels of family coverage.

Several years ago, the health plan was in poor financial condition. Premiums had not changed in a number of years and the plan was running a deficit. Changes were needed to ensure the plan remained solvent. As a result, major premium and plan design changes were made which help mend the health plan for several years. However, in the last two years the plan has experienced large claims that have chipped away at fund balances. As a result, the District’s Employee Benefits Committee, a committee of teachers and staff, made the recommendation to modify the plan design to achieve over $2 million in plan savings. In addition, the District committed an additional $3 million to the plan from the general fund, fund balance. These modifications helped bring the plan back in line. Changes will take place effective January 1, 2010.

Worker’s Compensation Fund The District also has a self-funded workers compensation program. Premiums and expenditures for this program are accounted for in this fund. This is a district funded plan and in order to keep costs low, the District has developed a proactive employee safety program. As a result, the District has an excellent safety record and consequently very low workers compensation claims. Reserves are very healthy in this fund as well.

Disability Insurance Fund This fund is in place to handle the District’s self-funded long-term disability plan. This plan is also entirely funded through district contributions. Employees are offered the option, at their own expense, to obtain short term disability insurance through a district approved insurance carrier.

Property and Casualty Insurance Fund This fund was established to help the District manage fluctuations in property and casualty insurance premiums. It was funded after the active hurricane season of 2005 with $4.5 million in seed money from the General Fund. In 2005 two massive hurricanes hit the shores of Texas and Louisiana with major destructive force. Insurance industry financial losses resulted in much higher premiums while maximum insured values were drastically reduced. Clear Creek experienced a 225% increase in premiums from $1.2 million in 2005 to $3.9 million in 2006. Additionally, we were unable to insure our property to its full value when policies were renewed. Before the storms we had insured our property up to $500 million. After the storms we were only able to insure a total of $50 million in property value. Another major hurricane, Ike, hit the upper Texas coast in September of 2008. The District saw its premiums again increase by almost $1 million. The presence of this fund lessens the financial impact of these premiums on district operations.

91 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Combined Statement of Revenues, Expenditures and Changes in Fund Balance Internal Service Funds Budget for the Year Ending August 31, 2010

Budget Budget Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 Revenues: Local Revenue 18,368,135 25,907,004 25,198,234 28,410,000 25,776,000 State Revenue - - - - - Federal Revenue - - - - -

Total Revenues 18,368,135 25,907,004 25,198,234 28,410,000 25,776,000

Expenditures: Payroll Costs - - - - - Professional & Contracted Services 1,207,466 1,642,466 1,575,525 1,812,500 1,878,000 Supplies & Materials 4,336 3,760 4,109 11,500 10,500 Other Operating Expenses 16,838,911 23,414,860 24,720,748 27,286,000 23,885,500 Capital Outlay - - - - -

Total Expenditures 18,050,713 25,061,086 26,300,382 29,110,000 25,774,000

Excess (Deficiency) of Revenues Over (Under) Expenditures 317,422 845,918 (1,102,148) (700,000) 2,000

Other Resources 141,416 - 100,000 - - Other Uses - 255,239 - 255,239 255,239

Total Other Resources and (Uses) 141,416 255,239 100,000 255,239 255,239

Other Resources Over Expenditures and Other Uses 458,838 1,101,157 (1,002,148) (444,761) 257,239

Fund Balance - September 1 (Beginning) 4,355,903 9,239,109 9,239,107 8,136,959 7,536,959

Increase (Decrease) in Fund Balance - - - - -

Fund Balance - August 31 (Ending) 9,239,108 10,226,443 8,136,959 7,536,959 7,794,198

92 FY 2009 – 2010 Budget Detailed Budget Analysis

 Supporting Financial Schedules

Combined Statement of General Fund Expenditures

Detail by Function and Object Code The Combined Statement of Expenditures by Function and Object Code shown on the following pages expands upon the expenditures portion of the Combined Statement of Revenues, Expenditures and Changes in Fund Balance shown on page 65. Expenditures are broken down to the Function Code and major Object Code level.

The Function Code is a mandatory 2 digit code applied to expenditures that identifies the purpose of the transaction. The first digit identifies the major class and the second digit refers to the specific function within the area. Example: The function "Health Service" is coded 33. The first 3 specifies Support Services - Student (Pupil) and the second 3 is Health Services.

The Object Code is a mandatory 4 digit code identifying the nature and object of an account, a transaction or a source. The first of the four digits identifies the type of account or transaction, the second digit identifies the major area, and the third and fourth digits provide further sub- classifications. Example: Money received for current year taxes is classified in account 5711. The 5 denotes revenue, the 7 shows Local and Intermediate Sources, the 1 denotes local real and personal property taxes revenue and the final 1 specifies current year levy.

93 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Combined Statement of Expenditures by Function and Object Code General Fund Budget for the Year Ending August 31, 2010

Budget Budget Description 2006 2007 2008 2009 2010 11 - Instruction 6100 Payroll Costs 121,736,739 129,753,450 149,134,958 158,626,553 170,011,580 6200 Contracted Services 1,315,097 1,363,461 2,523,449 2,639,307 2,363,505 6300 Supplies & Materials 2,781,349 3,162,682 3,114,790 4,195,817 3,926,150 6400 Other Costs 224,879 304,570 297,612 367,887 423,266 6500 Debt Services - - - - - 6600 Capital Outlay 121,062 179,126 166,288 69,500 70,000 8900 Other Uses - - - - - Total 126,179,126 134,763,289 155,237,097 165,899,064 176,794,501

12 - Instructional Resources 6100 Payroll Costs 3,103,551 3,230,043 3,493,015 3,793,535 4,136,190 6200 Contracted Services 13,580 18,041 16,117 23,280 41,844 6300 Supplies & Materials 659,042 823,403 674,397 659,521 643,786 6400 Other Costs 5,338 8,574 7,590 6,665 7,860 6500 Debt Services - - - - - 6600 Capital Outlay - 8,404 - - - Total 3,781,511 4,088,465 4,191,119 4,483,001 4,829,680

13 - Curriculum & Staff Development 6100 Payroll Costs 1,614,894 1,691,364 2,174,138 2,505,320 3,685,588 6200 Contracted Services 76,721 113,082 63,704 131,750 120,900 6300 Supplies & Materials 100,892 106,105 97,073 84,349 117,773 6400 Other Costs 202,279 264,393 301,918 301,330 349,229 6500 Debt Services - - - - - 6600 Capital Outlay - - - - - Total 1,994,786 2,174,944 2,636,833 3,022,749 4,273,490

21 - Instructional Administration 6100 Payroll Costs 1,348,887 1,671,100 2,169,226 2,474,125 2,622,505 6200 Contracted Services 96,749 44,761 67,146 93,600 69,300 6300 Supplies & Materials 47,853 90,274 61,090 73,030 68,741 6400 Other Costs 56,563 52,272 87,964 91,190 108,180 6500 Debt Services - - - - - 6600 Capital Outlay - - - - - Total 1,550,052 1,858,407 2,385,426 2,731,945 2,868,726

23 - School Administration 6100 Payroll Costs 11,865,621 12,777,334 14,308,813 15,639,875 17,709,275 6200 Contracted Services 104,779 82,710 100,709 155,733 99,187 6300 Supplies & Materials 139,017 151,773 131,320 193,811 169,331 6400 Other Costs 64,480 78,580 98,735 122,985 141,348 6500 Debt Services - - - - - 6600 Capital Outlay - - - - - Total 12,173,897 13,090,397 14,639,577 16,112,404 18,119,141

31 - Guidance & Counseling 6100 Payroll Costs 6,014,397 6,720,609 7,572,571 8,320,325 8,763,820 6200 Contracted Services 59,813 62,088 64,650 62,900 141,850 6300 Supplies & Materials 269,678 237,933 288,200 300,819 309,361 6400 Other Costs 31,137 29,348 34,342 54,748 63,108 6500 Debt Services - - - - - 6600 Capital Outlay - - - - - Total 6,375,025 7,049,978 7,959,763 8,738,792 9,278,139

94 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Combined Statement of Expenditures by Function and Object Code General Fund Budget for the Year Ending August 31, 2010

Budget Budget Description 2006 2007 2008 2009 2010 32 - Social Work 6100 Payroll Costs 170,938 (8,151) 6,762 21,300 260,460 6200 Contracted Services 141,000 151,898 210,000 245,000 275,000 6300 Supplies & Materials 1,673 1,437 4,030 2,400 3,600 6400 Other Costs 75 114 - 1,681 400 6500 Debt Services - - - - - 6600 Capital Outlay - - - - - Total 313,686 145,298 220,792 270,381 539,460

33 - Health Services 6100 Payroll Costs 1,930,556 2,046,888 2,272,363 2,454,125 2,726,700 6200 Contracted Services 16,173 15,489 31,308 33,725 23,668 6300 Supplies & Materials 32,828 35,131 38,891 37,583 46,575 6400 Other Costs 2,145 855 2,970 6,250 8,300 6500 Debt Services - - - - - 6600 Capital Outlay - - - - - Total 1,981,702 2,098,363 2,345,532 2,531,683 2,805,243

34 - Student Transportation 6100 Payroll Costs 6,174,461 6,290,613 7,334,194 7,837,800 8,313,720 6200 Contracted Services 160,542 168,844 132,607 232,256 211,245 6300 Supplies & Materials 1,214,013 1,384,202 1,897,294 3,199,169 2,314,081 6400 Other Costs (372,763) (464,356) (520,578) (432,290) (423,966) 6500 Debt Services - - - - - 6600 Capital Outlay 498,216 968,465 14,935 - - Total 7,674,469 8,347,768 8,858,452 10,836,935 10,415,080

35 - Food Services 6100 Payroll Costs 224,637 233,682 267,784 298,025 325,030 6200 Contracted Services - - 19,526 20,500 - 6300 Supplies & Materials 92,037 45,324 12,697 - - 6400 Other Costs - - - - - 6500 Debt Services - - - - - 6600 Capital Outlay - - - - - Total 316,674 279,006 300,007 318,525 325,030

36 - Cocurricular 6100 Payroll Costs 2,618,775 2,688,245 3,130,782 3,359,628 3,681,868 6200 Contracted Services 328,640 311,833 355,816 422,219 429,069 6300 Supplies & Materials 579,297 621,142 600,505 565,901 611,350 6400 Other Costs 728,476 893,929 964,427 1,334,366 1,178,882 6500 Debt Services - - - - - 6600 Capital Outlay 26,363 66,880 22,979 4,500 5,800 Total 4,281,551 4,582,029 5,074,509 5,686,614 5,906,969

41 - General Administration 6100 Payroll Costs 3,508,634 3,974,047 4,244,322 4,784,175 4,979,725 6200 Contracted Services 2,412,315 2,234,416 2,173,482 1,033,350 799,575 6300 Supplies & Materials 301,584 403,164 420,222 449,519 416,610 6400 Other Costs 296,316 436,926 388,020 474,435 479,580 6500 Debt Services - - - - - 6600 Capital Outlay 12,394 - - - - 8900 Other Uses - - - - - Total 6,531,243 7,048,553 7,226,046 6,741,479 6,675,490

95 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Combined Statement of Expenditures by Function and Object Code General Fund Budget for the Year Ending August 31, 2010

Budget Budget Description 2006 2007 2008 2009 2010 51 - Plant Maintenance 6100 Payroll Costs 10,149,674 10,815,802 11,502,112 12,829,100 13,537,777 6200 Contracted Services 8,911,212 10,537,411 11,129,891 3,490,219 3,709,415 6300 Supplies & Materials 1,441,710 1,589,457 1,740,285 1,827,350 1,961,004 6400 Other Costs 2,321,216 4,013,291 3,485,171 2,658,672 2,662,507 6500 Debt Services - - - - - 6600 Capital Outlay 262,927 335,556 68,698 135,300 65,300 Total 23,086,739 27,291,517 27,926,157 20,940,641 21,936,003

52 - Security & Monitoring 6100 Payroll Costs 241,062 406,891 523,546 570,975 614,190 6200 Contracted Services 1,369,551 1,339,548 1,578,143 1,915,567 1,975,422 6300 Supplies & Materials 115,972 21,943 16,912 25,150 34,442 6400 Other Costs 5,428 12,793 16,570 15,850 15,350 6500 Debt Services - - - - - 6600 Capital Outlay 50,440 19,265 23,729 - - Total 1,782,453 1,800,440 2,158,900 2,527,542 2,639,404

53 - Data Services 6100 Payroll Costs 2,412,445 2,466,785 2,543,348 2,889,575 2,718,555 6200 Contracted Services 689,364 848,327 541,071 692,432 1,227,068 6300 Supplies & Materials 777,664 438,096 574,262 318,580 520,750 6400 Other Costs 34,417 27,310 49,712 36,499 41,850 6500 Debt Services - - - - - 6600 Capital Outlay 25,447 203,763 105,316 935,000 - Total 3,939,337 3,984,281 3,813,709 4,872,086 4,508,223

61 - Community Services 6100 Payroll Costs 105,875 76,764 67,108 91,600 72,910 6200 Contracted Services 24,652 41,370 47,198 - 500 6300 Supplies & Materials 8,965 5,896 7,772 21,700 5,924 6400 Other Costs 12,646 9,929 8,317 17,250 15,730 6500 Debt Services - - - - - 6600 Capital Outlay - - - - - Total 152,138 133,959 130,395 130,550 95,064

71 - Debt Services 6100 Payroll Costs - - - - - 6200 Contracted Services - - - - - 6300 Supplies & Materials - - - - - 6400 Other Costs - - - - - 6500 Debt Services 757,986 - - - - 6600 Capital Outlay - - - - - Total 757,986 - - - -

81 - Facilities Acquisition & Construction 6100 Payroll Costs - - - - - 6200 Contracted Services - - - - - 6300 Supplies & Materials - - - - - 6400 Other Costs - - - - - 6500 Debt Services - - - - - 6600 Capital Outlay - - - - - Total - - - - -

93 - Payments to Fiscal Agent 6100 Payroll Costs - - - - - 6200 Contracted Services 391,700 408,325 396,165 - - 6300 Supplies & Materials - - - - - 6400 Other Costs 94,830 94,190 2,413,295 11,348,095 10,380,520 6500 Debt Services - - - - - 6600 Capital Outlay - - - - - Total 486,530 502,515 2,809,460 11,348,095 10,380,520

96 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Combined Statement of Expenditures by Function and Object Code General Fund Budget for the Year Ending August 31, 2010

Budget Budget Description 2006 2007 2008 2009 2010 95 - Payments to JJAEP 6100 Payroll Costs - - - - - 6200 Contracted Services 13,713 102,381 98,641 110,600 106,000 6300 Supplies & Materials - - - - - 6400 Other Costs - - - - - 6500 Debt Services - - - - - 6600 Capital Outlay - - - - - Total 13,713 102,381 98,641 110,600 106,000

97 - Payments to Tax Increment Fund 6100 Payroll Costs - - - - - 6200 Contracted Services - - - - - 6300 Supplies & Materials - - - - - 6400 Other Costs 747,077 1,022,556 1,107,146 1,300,000 1,500,000 6500 Debt Services - - - - - 6600 Capital Outlay - - - - - Total 747,077 1,022,556 1,107,146 1,300,000 1,500,000

99 - Other Intergovernmental Charges 6100 Payroll Costs - - - - - 6200 Contracted Services - - - - - 6300 Supplies & Materials - - - - - 6400 Other Costs - - - 1,535,000 1,535,000 6500 Debt Services - - - - - 6600 Capital Outlay - - - - - Total - - - 1,535,000 1,535,000

Sub-Total Expenditures 204,119,695 220,364,145 249,119,561 270,138,086 285,531,163

Other Uses/Non-Operating Expenses - - - - -

Total Expenditures 204,119,695 220,364,145 249,119,561 270,138,086 285,531,163

Summarized by Object Code

6100 Payroll Costs 173,221,146 184,835,465 210,745,042 226,496,036 244,159,893 6200 Contracted Services 16,125,601 17,843,985 19,549,623 11,302,438 11,593,548 6300 Supplies & Materials 8,563,574 9,117,962 9,679,740 11,954,699 11,149,478 6400 Other Costs 4,454,539 6,785,274 8,743,211 19,240,613 18,487,144 6500 Debt Services 757,986 - - - - 6600 Capital Outlay 996,849 1,781,459 401,945 1,144,300 141,100 8900 Other Uses - - - - -

Total Expenditures 204,119,695 220,364,145 249,119,561 270,138,086 285,531,163

97 FY 2009 – 2010 Budget Detailed Budget Analysis

 Overview of Account Codes

Section 44.007 of the Texas Education Code (Code or TEC) requires that a standard school district fiscal accounting system be adopted by each school district. The system must meet at least the minimum requirements prescribed by the State Board of Education and also be subject to review and comment by the state auditor. Additionally, the accounting system must conform to Generally Accepted Accounting Principles (GAAP). This section further requires that a report be provided at the time that the school district budget is filed, showing financial information sufficient to enable the state board of education to monitor the funding process and to determine educational system costs by school district, campus and program.

The Texas Education Code, Section 44.008, requires each school district to have an annual independent audit conducted that meets the minimum requirements of the State Board of Education, subject to review and comment by the State Auditor. The annual audit must include the performance of certain audit procedures for the purpose of reviewing the accuracy of the fiscal information provided by the district through the Public Education Information Management System (PEIMS). The audit procedures are to be adequate to detect material errors in the school district's fiscal data to be reported through the PEIMS system for the fiscal period under audit.

A major purpose of the following accounting code structure is to establish the standard school district fiscal accounting system required by law. Although certain codes within the overview may be used at local option, the sequence of the codes within the structure, and the funds and chart of accounts, are to be uniformly used by all school districts in accordance with generally accepted accounting principles.

ACCOUNT CODE STRUCTURE

X X X X X X X X X X X X X X X X X X X X

Fund Year Function Organization Program Local Object Code Sub-Object Code Code Code Code Intent Option Code Code Code

(1xx-8xx) (0-9) (11-99) (001-999) (11-99) (xxx) Assets (1xxx) Liabilities (xx) (2xxx) Fund Equity (3xxx) Account Clearing Accounts (4xxx) Groups Revenues/Income (5xxx) (9xx) Expenditures/Expenses (6xxx) Other Resources/Non Operating Revenues/Residual Equity Transfers In (7xxx) Other Uses/Non Operating Expenses/Residual Equity Transfers Out(8xxx)

98 FY 2009 – 2010 Budget Detailed Budget Analysis

 BASIC SYSTEM CODE COMPOSITION

Fund Code The fund code is a mandatory 3 digit code to be used for all financial transactions to identify the fund group and specific fund. The first digit refers to the fund group, and the second and third digit specifies the fund. Example: A Special Revenue Fund could be coded 211. The 2 indicates the Special Revenue Fund, the 11 specifies ESEA, Title I, Part A - Improving Basic Programs.

Fund Title 100 General Fund 100-199 All General Funds

200/300/400 Special Revenue Funds 200-289 Federal Programs 290-379 Shared Services Arrangements - Federally Funded 380-429 State Programs 430-459 Shared Services Arrangements - State/Local Funded 460-499 Local Programs

500 Debt Service Funds 500-599 All Debt Service Funds

600 Capital Projects Funds 600-699 All Capital Project Funds

700 Proprietary Fund Types 700-749 Enterprise Funds 750-799 Internal Service Funds

800 Fiduciary Fund Types and Similar Component Units 800-829 Trust Funds 830-849 Investment Trust Funds 850-859 Pension Trust Funds 860-899 Agency Funds

900 General Fixed Assets and General Long-Term Debt Account Groups 901 General Fixed Assets Account Group 902 General Long-Term Debt Account Group

Fiscal Year Code The fiscal year code is a mandatory single digit code that identifies the fiscal year of the transaction or the project year of inception of a grant project. Example: For the 01-02 fiscal year of the school district, a 2 would denote the fiscal year.

99 FY 2009 – 2010 Budget Detailed Budget Analysis

Function Code The function code is a mandatory 2 digit code applied to expenditures/expenses that identifies the purpose of the transaction. The first digit identifies the major class and the second digit refers to the specific function within the area. Example: The function Health Service is coded 33. The first 3 specifies Support Services - Student (Pupil) and the second 3 is Health Services.

Function Title 10 Instruction and Instructional Related Services 11 Instruction 12 Instructional Resources and Media Services 13 Curriculum Development and Instructional Staff Development 20 Instructional and School Leadership 21 Instructional Leadership 23 School Leadership 30 Support Services (Pupil) 31 Guidance, Counseling and Evaluation Services 32 Social Work Services 33 Health Services 34 Student (Pupil) Transportation 35 Food Services 36 Co curricular/Extracurricular Activities 40 Administrative Support Services 41 General Administration 50 Support Services - Non-student Based 51 Plant Maintenance and Operations 52 Security and Monitoring Services 53 Data Processing Services 60 Ancillary Services 61 Community Services 70 Debt Service 71 Debt Service 80 Capital Outlay 81 Facilities Acquisition and Construction 90 Intergovernmental Charges 91 Contracted Instructional Services Between Public Schools 95 Payments to Juvenile Justice Alternative Education Programs 97 Payments to Tax Increment Fund

Organization Code The organization code is a mandatory 3 digit code identifying the organization, i.e., High School, Middle School, Elementary School, Superintendent's office, etc. An organization code does not necessarily correspond with a physical location. The activity, not the location, defines the organization. Campuses are examples of organization codes and are specified for each school district in the Texas School Directory. Example: Expenditures for a high school might be classified as 001. This is a campus organization code that is defined in the Texas School Directory for that high school.

Organization Title 001-699 Organization Units - Campuses 700 Organization Units - Administrative 800-997 Organization Units - Locally Defined 998 Unallocated Organization Unit - Local Option 999 Undistributed Organization Unit

100 FY 2009 – 2010 Budget Detailed Budget Analysis

Program Intent Code The program intent code is a 2 digit code used to designate the intent of a program provided to students. These codes are used to account for the cost of instruction and other services that are directed toward a particular need of a specific set of students. The intent (the student group toward which the instructional or other service is directed) determines the program intent code, not the demographic makeup of the students served. Example: An entire class of physics is taught at the basic level. Program intent code 11 would designate Basic Educational Services.

Program Intent Title 1X Basic Services 11 Basic Educational Services 2X Enhanced Services 21 Gifted and Talented 22 Career and Technology 23 Services to Students with Disabilities (Special Education) 24 Accelerated Education 25 Bilingual Education and Special Language Programs 3X-6X Reserved for Future State Definition 71-8X Reserved for use by Education Service Centers 9X Other 91 Athletics and Related Activities 99 Undistributed

Local Option Codes 1 The local option code is a 2 digit code for optional use to provide special accountability at the local level.

Object Code The object code is a mandatory 4 digit code identifying the nature and object of an account, a transaction or a source. The first of the four digits identifies the type of account or transaction, the second digit identifies the major area, and the third and fourth digits provide further sub- classifications. Example: Money received for current year taxes is classified in account 5711. The 5 denotes revenue, the 7 shows Local and Intermediate Sources, the 1 denotes local real and personal property taxes revenue and the final 1 specifies current year levy.

Object Title 5000 Revenue Control Accounts 5700 Revenues From Local and Intermediate Sources 5800 State Program Revenues 5900 Federal Program Revenue 6000 Expenditure/Expense Control Accounts 6100 Payroll Costs 6200 Professional and Contracted Services 6300 Supplies and Materials 6400 Other Operating Costs 6500 Debt Service 6600 Capital Outlay

Sub-Object Code The sub-object code is an optional 2 digit code that may be used by the district to further describe the transaction.

101 FY 2009 – 2010 Budget Detailed Budget Analysis

102 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Brook High School

4607 FM 2351

Friendswood, TX 77546 Mission Statement: The mission of Clear Brook High School is to provide a supportive and educationally challenging environment that develops students into life-long learners prepared to lead productive lives in Principal: Michele Staley

Clear Brook High School educates students in grades 9-12

District Goals Campus Objectives 1. We will provide rigorous learning opportunities and curricula that transcend state and national 1. Provide all students with the opportunity for attainment of college credit, standards to improve the achievement of each student while meeting their individual needs and industry certification, and other post-secondary options while obtaining a high 2. We will enhance the character development of each studentwith an emphasis on creating a sense of 2. Provide opportunities for all to participate in service learning events or personal responsibility and a commitment to community activities. 3. We will recruit, develop and retain compassionate, effective, innovative and highly moticvated staff. 3. Ensure all teaching and paraprofessional staff members meet the “Highly Qualified” requirements as set forth in No Child Left Behind. 4. We will focus our use of resources to accelerate learning for all students and eliminate the achievement 4. Base all resource allocations upon a thorough analysis of student gap. performance data annually. 5. We willprovide learning environments that ate physically safe and emotionally secure for all students, 5. Implement program specific safety designs in 100% of all required areas. faculty and staff. 6. We will lead, develop, and implement a robust parent and community involvement program to 6. Provide opportunities for all parents to participate in activities as a partner in successfully achieve the District mission and objectives. their child’s educational process. 7. We will nurture, support, and develop collaborative leadership at all levels throughout the learning 7. Ensure that staff will be a member of a professional learning community and community. will continue to improve and reflect on their practice. Enrollment

Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught 9 - 12 9 - 12 9 - 12 9 - 12 9 - 12 Total Students 2,896 2,895 2,646 2,620 2,586 Attendance Rate 95.4% 94.1% 93.8%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 160.0 162.0 185.3 178.0 178.0 Professional Support 14.0 17.0 14.4 14.4 14.4 School Leadership 6.0 6.0 6.0 6.0 6.0 Support Personnel - - - - - Total 180.0 185.0 205.7 198.4 198.4

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 10,027,975 $ 11,238,208 $ 11,364,113 $ 12,419,375 $ 13,066,455 6200 Professional/Contracted Services 126,318 142,348 137,318 136,125 136,860 6300 Supplies & Materials 458,993 484,178 460,037 419,596 404,751 6400 Other Operating Costs 182,680 182,828 212,878 229,535 201,192 6600 Capital Outlay - - 25,000 10,000 10,000 Total Expenditures $ 10,795,966 $ 12,047,562 $ 12,199,346 $ 13,214,631 $ 13,819,258 General Fund Expenditures/Student $ 3,728 $ 4,162 $ 4,610 $ 5,044 $ 5,344

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 92.0% 92.0% 93.0% 96.0% 96.0% Writing ----- Social Studies 94.0% 95.0% 97.0% 98.0% 98.0% Mathematics 75.0% 75.0% 77.0% 81.0% 81.0% Science 80.0% 81.0% 85.0% 86.0% 86.0% All Tests 85.3% 85.8% 88.0% 90.3% 90.3% TEA Campus Rating Acceptable Acceptable Acceptable Recognized Recognized

103 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek High School 2305 East Main Street League City, TX 77573

Mission Statement: Improved Student Achievement by attaining 90% mastery of all students and student groups on all components of the Texas Statewide Assessment Program

Principal: Scott Bockart Clear Creek High School educates students in grades 9-12

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught 9 - 12 9 - 12 9 - 12 9 - 12 9 - 12 Total Students 3,815 3,908 3,162 2,815 2,469 Attendance Rate 94.4% 93.2% 93.2%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 182.0 244.0 220.2 210.0 210.0 Professional Support 22.0 26.1 19.3 19.3 19.3 School Leadership 8.0 7.0 6.0 6.0 6.0 Support Personnel 1.0 1.0 0 0 0 Total 213.0 278.1 245.5 235.3 235.3

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 13,333,120 $ 15,933,131 $ 14,650,515 $ 14,868,325 $ 14,226,420 6200 Professional/Contracted Services 138,840 146,090 155,840 155,390 154,925 6300 Supplies & Materials 667,565 581,686 507,486 439,078 395,198 6400 Other Operating Costs 175,490 203,303 225,763 225,030 206,030 6600 Capital Outlay - - 28,000 18,000 21,500 Total Expenditures $ 14,315,015 $ 16,864,210 $ 15,567,604 $ 15,705,823 $ 15,004,073 General Fund Expenditures/Student $ 3,752 $ 4,315 $ 4,923 $ 5,579 $ 6,077

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 95.0% 94.0% 94.0% 95.0% 95.0% Writing ----- Social Studies 94.0% 95.0% 97.0% 97.0% 97.0% Mathematics 78.0% 80.0% 81.0% 82.0% 82.0% Science 83.0% 80.0% 87.0% 88.0% 88.0% All Tests 87.5% 84.8% 89.8% 90.5% 91.0% TEA Campus Rating Acceptable Acceptable Acceptable Recognized Recognized

104 FY 2009 – 2010 Budget Detailed Budget Analysis

*Clear Falls High School 400 South Walnut Webster, TX 77598

Mission Statement: Improved Student Achievement by attaining 90% mastery of all students and student groups on all components of the Texas Statewide Assessment Program

Principal: Karen Engle Clear View Education Center educate students in grades 9-12

District Goals Campus Objectives 1. We will provide rigorous learning opportunities and curricula that transcend state and national standards 1. Provide all students with the opportunity for attainment of college credit, to improve the achievement of each student while meeting their individual needs and aspirations industry certification, and other post-secondary options while obtaining a high 2. We will enhance the character development of each studentwith an emphasis on creating a sense of 2. Provide opportunities for all to participate in service learning events or personal responsibility and a commitment to community activities. 3. We will recruit, develop and retain compassionate, effective, innovative and highly moticvated staff. 3. Ensure all teaching and paraprofessional staff members meet the “Highly Qualified” requirements as set forth in No Child Left Behind. 4. We will focus our use of resources to accelerate learning for all students and eliminate the achievement 4. Base all resource allocations upon a thorough analysis of student gap. performance data annually. 5. We willprovide learning environments that ate physically safe and emotionally secure for all students, 5. Implement program specific safety designs in 100% of all required areas. faculty and staff. 6. We will lead, develop, and implement a robust parent and community involvement program to 6. Provide opportunities for all parents to participate in activities as a partner in successfully achieve the District mission and objectives. their child’s educational process. 7. We will nurture, support, and develop collaborative leadership at all levels throughout the learning 7. Ensure that staff will be a member of a professional learning community and community. will continue to improve and reflect on their practice.

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught 9 - 12 9 - 12 9 - 12 9 - 12 9 - 12 Total Students 0 0000 Attendance Rate 0.0% 0.0% 0.0%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers - 0.0 0.0 0.0 0.0 Professional Support - 0.0 0.0 0.0 0.0 School Leadership - 0.0 0.0 0.0 0.0 Support Personnel - - - - - Total - 0.0 0.0 0.0 0.0

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ - $ - $ - $ - $ - 6200 Professional/Contracted Services - - - - - 6300 Supplies & Materials - - - - - 6400 Other Operating Costs - - - - - 6600 Capital Outlay - - - - - Total Expenditures $ - $ - $ - $ - $ - General Fund Expenditures/Student

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 98.0% Writing ----- Social Studies----99.0% Mathematics ----88.0% Science ----92.0% All Tests 93.0% TEA Campus Rating Recognized

*Campus slated to open in August 2010

105 FY 2009 – 2010 Budget Detailed Budget Analysis

*Clear Horizons Early College High School Based at San Jacinto College Campus South

Mission Statement: The opportunity to offer a unique high school experience which meets the needs of students who are motivated for and capable of college-level coursework and provides opportunities for the students to demonstrate a high level of performance in advanced academics, community service and areas of personal interest. Principal: Gale Ladehoff Clear Horizons Early College High School educates students in grades 9-12

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10

Grade Levels Taught - - 9 - 12 9 - 12 9 - 12

Total Students - - 208 270 323 Attendance Rate - - 97.5% - - - - Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers - - 11.0 28.0 28.0 Professional Support - - - - - School Leadership - - 2.0 2.0 2.0 Support Personnel - - 1.0 1.0 1.0 Total - - 14.0 31.0 31.0 General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ - $ - $ 15,000 $ 41,100 $ 1,265,620 6200 Professional/Contracted Services - - 1,000 15,400 233,700 6300 Supplies & Materials - - 23,500 25,150 151,920 6400 Other Operating Costs - - 15,500 13,500 12,100 6600 Capital Outlay - - - - - Total Expenditures $ - $ - $ 55,000 $ 95,150 $ 1,663,340 General Fund Expenditures/Student $ - $ - $ 1 $ 2 $ 42

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading - - 99.0% 99.0% 99.0% Writing ----- Social Studies - - 99.0% 99.0% 99.0% Mathematics - - 99.0% 99.0% 99.0% Science - - 99.0% 99.0% 99.0% All Tests - - 99.0% 99.0% 99.0% TEA Campus Rating n/a n/a Exemplary Exemplary Exemplary *This campus opened in August 2007

106 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Lake High School 2929 Bay Area Blvd. Houston, TX 77058 Mission Statement: Provide our students with the opportunity to learn to think logically, independently, creatively, and to communicate effectively. 90% mastery of all students and SUB-POPS on Texas Statewide Assessment Program in Reading, Language Arts, Mathematics, Science, and Social Studies. Principal: Dr. Christopher Moran Clear Lake High School educates students in grades 9-12

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught 9 - 12 9 - 12 9 - 12 9 - 12 9 - 12 Total Students 3,624 3,536 3,568 3,548 3,446 Attendance Rate 94.9% 95.1% 94.4%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 189.0 198.0 205.9 230.0 230.0 Professional Support 21.0 26.7 16.8 16.8 16.8 School Leadership 6.0 6.0 6.0 6.0 6.0 Support Personnel 1.0 1.0 - - - Total 217.0 231.7 228.7 252.8 252.8

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 12,781,250 $ 13,531,721 $ 13,599,342 $ 14,057,225 $ 14,756,955 6200 Professional/Contracted Services 131,690 140,290 151,499 154,488 158,315 6300 Supplies & Materials 534,770 706,039 519,368 496,714 454,729 6400 Other Operating Costs 168,165 183,338 207,863 221,753 208,753 6600 Capital Outlay - - 25,000 10,000 10,000 Total Expenditures $ 13,615,875 $ 14,561,388 $ 14,503,072 $ 14,940,180 $ 15,588,752 General Fund Expenditures/Student $ 3,757 $ 4,118 $ 4,065 $ 4,211 $ 4,524

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 96.0% 95.0% 96.0% 98.0% 98.0% Writing ----- Social Studies 96.0% 97.0% 98.0% 99.0% 99.0% Mathematics 86.0% 86.0% 89.0% 94.0% 94.0% Science 89.0% 88.0% 90.0% 97.0% 97.0% All Tests 91.8% 91.5% 93.3% 97.0% 97.0% TEA Campus Rating Recognized Acceptable Acceptable Exemplary Exemplary

107 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Path Alternative High School 400 South Kansas League City, TX 77573 Mission Statement: Develop successful students and provide them with the skills necessary to overcome adversity so they may become productive members of our community. Principal: Sandra Davenport Clear Path Alternative School is the District's disciplinary alternative school for grades 6-12

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught 9 - 12 9 - 12 9 - 12 9 - 12 9 - 12 Total Students 125 125 125 78 36 Attendance Rate

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 12.0 12.0 18.0 17.0 17.0 Counselors & Librarians - - - 6.0 6.0 School Leadership 2.0 2.0 2.0 2.0 2.0 Support Personnel 3.0 3.0 2.0 2.0 2.0 Total 17.0 17.0 22.0 27.0 27.0

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 786,400 $ 1,031,625 $ 1,032,925 $ 1,176,175 $ 1,238,720 6200 Professional/Contracted Services 30,700 11,000 11,000 9,500 9,000 6300 Supplies & Materials 24,360 22,750 22,500 23,500 24,600 6400 Other Operating Costs 7,050 7,700 7,700 8,700 6,700 6600 Capital Outlay - 0000 Total Expenditures $ 848,510 $ 1,073,075 $ 1,074,125 $ 1,217,875 $ 1,279,020 General Fund Expenditures/Student $ 6,788 $ 8,585 $ 8,593 $ 15,614 $ 35,528

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS TAKS Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading ----- Writing ----- Mathematics----- Language Arts----- Social Studies----- Science ----- All Tests n/a n/a n/a n/a n/a TEA Campus Rating n/a n/a n/a n/a n/a

108 FY 2009 – 2010 Budget Detailed Budget Analysis

*Clear Springs High School 501 Palomino Drive League City, TX 77573 Mission Statement: Infuse academic rigor, instill a sense of relevance, and nurture and shape relationships. Become an “exemplary” campus by attaining 90% mastery of all students and student groups on all components of the Texas Statewide Assessment Program Principal: Gail Love Clear Springs High School educates students in grades 9-12. Grade 12 will be added in FY 2010.

District Goals Campus Objectives 1. We will provide rigorous learning opportunities and curricula that transcend state and national 1. Provide all students with the opportunity for attainment of college credit, standards to improve the achievement of each student while meeting their individual needs and industry certification, and other post-secondary options while obtaining a high 2. We will enhance the character development of each studentwith an emphasis on creating a sense of 2. Provide opportunities for all to participate in service learning events or personal responsibility and a commitment to community activities. 3. We will recruit, develop and retain compassionate, effective, innovative and highly moticvated staff. 3. Ensure all teaching and paraprofessional staff members meet the “Highly Qualified” requirements as set forth in No Child Left Behind. 4. We will focus our use of resources to accelerate learning for all students and eliminate the 4. Base all resource allocations upon a thorough analysis of student achievement gap. performance data annually. 5. We willprovide learning environments that ate physically safe and emotionally secure for all students, 5. Implement program specific safety designs in 100% of all required areas. faculty and staff. 6. We will lead, develop, and implement a robust parent and community involvement program to 6. Provide opportunities for all parents to participate in activities as a partner in successfully achieve the District mission and objectives. their child’s educational process. 7. We will nurture, support, and develop collaborative leadership at all levels throughout the learning 7. Ensure that staff will be a member of a professional learning community and community. will continue to improve and reflect on their practice.

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught - - 9 - 12 9 - 12 9 - 12 Total Students - - 1,163 1,840 2,468 Attendance Rate - - 95.6%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers - - 85.1 133.0 133.0 Professional Support - -6.0 6.0 6.0 School Leadership - -4.0 4.0 4.0 Support Personnel - - - - - Total - 0 95.1 143 143

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ - $ - $ 7,405,449 $ 7,932,600 $ 11,601,710 6200 Professional/Contracted Services - - 95,450 135,432 148,355 6300 Supplies & Materials - - 317,950 385,771 442,467 6400 Other Operating Costs - - 134,420 190,420 198,000 6600 Capital Outlay - - 30,500 18,000 15,500 Total Expenditures $ - $ - $ 7,983,769 $ 8,662,223 $ 12,406,032 General Fund Expenditures/Student $ - $ - $ 6,865 $ 4,708 $ 5,027

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading - - 97.0% 98.0% 98.0% Writing - - - - - Social Studies - - 95.0% 99.0% 99.0% Mathematics - - 83.0% 88.0% 88.0% Science - - 84.0% 92.0% 92.0% All Tests - - 89.8% 94.3% 94.3% TEA Campus Rating N/A N/A Recognized Recognized Recognized *This campus opened in August 2007

109 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear View Education Center 400 South Walnut Webster, TX 77598 Mission Statement: Provide a non-traditional program that gives students who are unsuccessful on a traditional school campus the opportunity to overcome their academic deficits, develop effective social and life skills, achieve success, and earn a high school diploma. Principal: Robert Branch Clear View Education Center educates academically at-risk students in grades 6-12

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught 9 - 12 9 - 12 9 - 12 9 - 12 9 - 12 Total Students 191 218 200 196 215 Attendance Rate 93.2% 91.7% 92.3%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 24.0 26.0 34.9 35.0 35.0 Professional Support 2.0 3.0 3.0 3.0 3.0 School Leadership 2.0 1.0 1.0 1.0 1.0 Support Personnel - - - - - Total 28.0 30.0 38.9 39.0 39.0

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 1,639,500 $ 2,123,100 $ 2,774,075 $ 2,812,010 $ 3,142,855 6200 Professional/Contracted Services 725 725 875 625 5,400 6300 Supplies & Materials 31,041 36,835 36,700 39,635 89,284 6400 Other Operating Costs - 9,575 12,745 20,086 26,231 6600 Capital Outlay - - - - - Total Expenditures $ 1,671,266 $ 2,170,235 $ 2,824,395 $ 2,872,356 $ 3,263,770 General Fund Expenditures/Student $ 8,750 $ 9,955 $ 14,122 $ 14,655 $ 15,180

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 90.0% 90.0% 93.0% 95.0% 95.0% Writing --99.0% 80.0% 80.0% Social Studies 81.0% 85.0% 99.0% 97.0% 97.0% Mathematics 56.0% 59.0% 76.0% 80.0% 80.0% Science 54.0% 55.0% 86.0% 88.0% 88.0% All Tests 70.3% 72.3% 90.6% 88.0% 88.0% TEA Campus Rating Acceptable Acceptable Recognized Recognized Recognized

110 FY 2009 – 2010 Budget Detailed Budget Analysis

* Bayside Intermediate 2451 East Main Street League City, TX 77573 Mission Statement: Facilitate the educational and social development of its students. Principal: Education Village Intermediate educates students in grades 6-8

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught Total Students - - - - - Attendance Rate 0.0% 0.0% 0.0% 0.0% 0.0%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers - - - - - Professional Support - - - - - School Leadership - - - - - Support Personnel - - - - - Total - - - - -

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ - $ - $ - $ - $ 134,780 6200 Professional/Contracted Services - - - - 500 6300 Supplies & Materials - - - - 13,500 6400 Other Operating Costs - - - - 3,500 6600 Capital Outlay - - - - - Total Expenditures $ - $ - $ - $ - $ 152,280 General Fund Expenditures/Student

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading - - - - 98.0% Writing - - - - 99.0% Social Studies - - - - 99.0% Mathematics - - - - 98.0% Science - - - - 95.0% All Tests N/A N/A N/A N/A 97.8% TEA Campus Rating N/A N/A N/A N/A Exemplary * This campus is slated to open in August of 2010.

111 FY 2009 – 2010 Budget Detailed Budget Analysis

Brookside Intermediate School 3535 East Parkwood Friendswood, TX 77546

Mission Statement: Create a positive, safe, and stimulating learning environment which enables each student to recognize and develop his/her unique talents while excelling academically, emotionally, and physically; thus preparing each student to be a life-long learner and successful contributor to our multi-cultural, global society.

Principal: Deanna Daws Brookside Intermediate educates students in grades 6-8

Enrollment Description 2005-06 2006-07 2007-08 2008-90 2009-10 Grade Levels Taught 6 - 8 6 - 8 6 - 8 6 - 8 6 - 8 Total Students 832 797 825 813 836 Attendance Rate 96.2% 96.0% 96.4%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 47.0 60.0 59.6 60.0 60.0 Professional Support 11.0 11.0 4.3 4.3 4.3 School Leadership 3.0 4.0 3.0 3.0 3.0 Support Personnel - - - - - Total 61.0 75.0 66.9 67.3 67.3

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 3,832,775 $ 3,839,879 $ 3,913,001 $ 4,194,950 $ 4,057,650 6200 Professional/Contracted Services 24,985 23,335 23,085 23,685 23,350 6300 Supplies & Materials 112,409 101,842 103,817 104,425 110,492 6400 Other Operating Costs 18,912 19,506 21,856 31,504 23,754 6600 Capital Outlay - - - - - Total Expenditures $ 3,989,081 $ 3,984,562 $ 4,061,759 $ 4,354,564 $ 4,215,246 General Fund Expenditures/Student $ 4,795 $ 4,999 $ 4,923 $ 5,356 $ 5,042

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 94.0% 98.0% 97.0% 97.0% 97.0% Writing 96.0% 99.0% 96.0% 97.0% 96.0% Social Studies 96.0% 98.0% 99.0% 99.0% 99.0% Mathematics 88.0% 90.0% 96.0% 94.0% 96.0% Science - - 90.0% 89.0% 90.0% All Tests 93.5% 96.3% 95.6% 95.2% 95.2% TEA Campus Rating Recognized Recognized Recognized Recognized Recognized

112 FY 2009 – 2010 Budget Detailed Budget Analysis

* Clear Creek Intermediate School 2451 East Main Street League City, TX 77573 Mission Statement: Facilitate the educational and social development of its students. Principal: Jerry Herd Victory Lakes Intermediate educates students in grades 6-8

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught Total Students - - - - 780 Attendance Rate 0.0% 0.0% 0.0% 0.0% 0.0%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers - - - - - Professional Support - - - - - School Leadership - - - - - Support Personnel - - - - - Total - - - - -

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ - $ - $ - $ - $ 3,284,470 6200 Professional/Contracted Services - - - - 21,700 6300 Supplies & Materials - - - 8,500 107,642 6400 Other Operating Costs - - - 8,500 24,354 6600 Capital Outlay - - - - - Total Expenditures $ - $ - $ - $ 17,000 $ 3,438,166 General Fund Expenditures/Student $ 4,408

113 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Lake Intermediate School 15545 El Camino Real Houston, TX 77062 Mission Statement: Provide setting and structure to meet the needs of the student population, to develop situations and opportunities for the students to experience success and to adapt to the changing needs and demographics of the students. Principal: Brett Lemley Clear Lake Intermediate educates students in grades 6-8

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught 6 - 8 6 - 8 6 - 8 6 - 8 6 - 8 Total Students 994 956 947 1127 1080 Attendance Rate 97.0% 97.2% 97.0%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 64.0 65.0 66.1 72.0 72.0 Professional Support 3.0 11.1 4.9 4.9 4.9 School Leadership 3.0 3.0 3.0 3.0 3.0 Support Personnel - - - - - Total 70.0 79.1 74.0 79.9 79.9

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 4,045,800 $ 4,262,232 $ 4,382,271 $ 4,678,875 $ 4,758,970 6200 Professional/Contracted Services 23,285 25,155 24,385 25,385 25,700 6300 Supplies & Materials 116,494 115,440 114,500 125,364 122,066 6400 Other Operating Costs 25,546 26,975 26,756 34,804 27,154 6600 Capital Outlay - - - - - Total Expenditures $ 4,211,125 $ 4,429,802 $ 4,547,912 $ 4,864,428 $ 4,933,890 General Fund Expenditures/Student $ 4,237 $ 4,634 $ 4,802 $ 4,316 $ 4,568

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 95.0% 95.0% 98.0% 98.0% 98.0% Writing 97.0% 96.0% 97.0% 97.0% 97.0% Social Studies 95.0% 99.0% 98.0% 98.0% 98.0% Mathematics 87.0% 92.0% 96.0% 93.0% 93.0% Science - - 86.0% 88.0% 88.0% All Tests 93.5% 95.5% 95.0% 94.8% 94.8% TEA Campus Rating Acceptable Recognized Acceptable Recognized Recognized

114 FY 2009 – 2010 Budget Detailed Budget Analysis

Creekside Intermediate School 4320 West Main Street League City, TX 77573 Mission Statement: To create a dynamic educational environment that encourages success and growth through innovative teamwork within a diverse society. Principal: Pete Catarina Creekside Intermediate educates students in grades 6-8

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught 6 - 8 6 - 8 6 - 8 6 - 8 6 - 8 Total Students 748 788 810 828 809 Attendance Rate 96.6% 96.2% 96.0%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 47.0 53.0 52.0 55.0 55.0 Professional Support 3.0 13.0 4.8 4.8 4.8 School Leadership 3.0 2.0 2.0 2.0 2.0 Support Personnel - - - - - Total 53.0 68.0 58.8 61.8 61.8

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 3,251,525 $ 3,381,679 $ 3,536,203 $ 3,639,250 $ 3,693,845 6200 Professional/Contracted Services 18,735 21,195 21,345 21,845 21,350 6300 Supplies & Materials 88,549 93,310 93,425 95,778 106,956 6400 Other Operating Costs 24,310 26,086 30,736 37,655 29,734 6600 Capital Outlay - - - - - Total Expenditures $ 3,383,119 $ 3,522,270 $ 3,681,709 $ 3,794,528 $ 3,851,885 General Fund Expenditures/Student $ 4,523 $ 4,470 $ 4,545 $ 4,583 $ 4,761

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 94.0% 95.0% 98.0% 97.0% 97.0% Writing 98.0% 97.0% 95.0% 97.0% 97.0% Social Studies 92.0% 98.0% 98.0% 99.0% 99.0% Mathematics 86.0% 87.0% 94.0% 94.0% 94.0% Science - - 88.0% 92.0% 92.0% All Tests 92.5% 94.3% 94.6% 95.8% 95.8% TEA Campus Rating Recognized Acceptable Recognized Recognized Recognized

115 FY 2009 – 2010 Budget Detailed Budget Analysis

League City Intermediate School 2588 Webster Street League City, TX 77573 Mission Statement: Learning and creativity inspire success and to achieve the highest state recognition in all programs areas-Exemplary Campus Status Principal: Kim Broulliard League City Intermediate educates students in grades 6-8

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught 6 - 8 6 - 8 6 - 8 6 - 8 6 - 8 Total Students 1,127 1,149 1,176 1,298 738 Attendance Rate 96.2% 96.1% 96.0%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 70.0 69.0 74.4 74.0 74.0 Professional Support 2.0 7.5 4.5 4.5 4.5 School Leadership 3.0 3.0 3.0 3.0 3.0 Support Personnel - - - - - Total 75.0 79.5 81.9 81.5 81.5

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 4,322,825 $ 4,753,053 $ 4,846,526 $ 5,165,060 $ 4,099,975 6200 Professional/Contracted Services 23,135 24,735 26,585 28,885 27,900 6300 Supplies & Materials 119,355 123,820 136,745 133,433 102,705 6400 Other Operating Costs 27,830 32,524 27,556 35,164 26,204 6600 Capital Outlay - - - - - Total Expenditures $ 4,493,145 $ 4,934,132 $ 5,037,412 $ 5,362,542 $ 4,256,784 General Fund Expenditures/Student $ 3,987 $ 4,294 $ 4,284 $ 4,131 $ 5,768

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 95.0% 96.0% 98.0% 98.0% 98.0% Writing 97.0% 97.0% 98.0% 99.0% 99.0% Social Studies 98.0% 98.0% 99.0% 99.0% 99.0% Mathematics 92.0% 89.0% 93.0% 93.0% 93.0% Science - - 100.0% 89.0% 89.0% All Tests 95.0% 93.5% 97.3% 95.6% 95.6% TEA Campus Rating Recognized Recognized Recognized Recognized Recognized

116 FY 2009 – 2010 Budget Detailed Budget Analysis

Seabrook Intermediate School 2401 East Meyer Street Seabrook, TX 77586

Mission Statement: Educate children by encouraging individual achievement and developing skills needed to be successful, responsible, and productive members of a global society. Principal: David Williams Seabrook Intermediate educates students in grades 6-8 and houses the District's science magnet program.

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught 6 - 8 6 - 8 6 - 8 6 - 8 6 - 8 Total Students 1,001 1,019 1,055 1,051 1,051 Attendance Rate 96.6% 95.8% 95.7%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 68.0 63.0 66.4 68.0 68.0 Professional Support 2.0 10.3 4.4 4.4 4.4 School Leadership 3.0 4.0 3.0 3.0 3.0 Support Personnel - - - - - Total 73.0 77.3 73.8 75.4 75.4

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 4,298,600 $ 4,341,586 $ 4,553,398 $ 4,771,180 $ 4,770,005 6200 Professional/Contracted Services 19,635 21,085 20,635 21,135 20,550 6300 Supplies & Materials 113,780 112,699 118,228 112,828 114,321 6400 Other Operating Costs 32,295 34,856 38,636 47,184 38,579 6600 Capital Outlay - - - - - Total Expenditures $ 4,464,310 $ 4,510,226 $ 4,730,897 $ 4,952,327 $ 4,943,455 General Fund Expenditures/Student $ 4,460 $ 4,426 $ 4,484 $ 4,712 $ 4,704

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 95.0% 97.0% 98.0% 98.0% 98.0% Writing 98.0% 98.0% 96.0% 98.0% 98.0% Social Studies 96.0% 99.0% 99.0% 99.0% 99.0% Mathematics 89.0% 91.0% 95.0% 97.0% 97.0% Science - - 93.0% 92.0% 92.0% All Tests 94.5% 96.3% 96.2% 96.8% 96.8% TEA Campus Rating Recognized Recognized Exemplary Not Rated Exemplary

117 FY 2009 – 2010 Budget Detailed Budget Analysis

Space Center Intermediate School 17400 Saturn Lane Houston, TX 77058 Mission Statement: Provide a positive learning environment in which each student has the opportunity to develop and grow into a successful, productive citizen. Principal: Susan Carpenter Space Center Intermediate educates students in grades 6-8

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught 6 - 8 6 - 8 6 - 8 6 - 8 6 - 8 Total Students 1,323 1,222 1,151 1,260 1,255 Attendance Rate 96.9% 96.8% 96.9%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 75.0 72.0 74.2 78.0 78.0 Professional Support 8.0 10.1 5.0 5.0 5.0 School Leadership 3.0 2.8 2.0 2.0 2.0 Support Personnel - - - - - Total 86.0 84.9 81.2 85.0 85.0

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 4,521,375 $ 4,767,024 $ 4,848,872 $ 5,169,028 $ 5,140,543 6200 Professional/Contracted Services 28,763 34,533 33,058 30,185 29,100 6300 Supplies & Materials 124,144 122,820 124,156 124,498 124,346 6400 Other Operating Costs 30,903 32,524 33,724 44,098 36,298 6600 Capital Outlay - - - - - Total Expenditures $ 4,705,185 $ 4,956,901 $ 5,039,810 $ 5,367,809 $ 5,330,287 General Fund Expenditures/Student $ 3,556 $ 4,056 $ 4,379 $ 4,260 $ 4,247

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 97.0% 99.0% 99.0% 98.0% 98.0% Writing 99.0% 99.0% 99.0% 99.0% 99.0% Social Studies 98.0% 99.0% 99.0% 99.0% 99.0% Mathematics 93.0% 97.0% 99.0% 98.0% 98.0% Science - - 98.0% 95.0% 95.0% All Tests 96.8% 98.5% 98.8% 97.8% 97.8% TEA Campus Rating Acceptable Recognized Exemplary Exemplary Exemplary

118 FY 2009 – 2010 Budget Detailed Budget Analysis

Victory Lakes Intermediate School 2880 West Walker League City, TX 77573 Mission Statement: Create an environment that fosters the development of Vision, Leadership and Pride and that will allow each student to progress to their highest capabilities, limited only by their desires and imagination. Principal: Kristi Lamell Victory Lakes Intermediate educates students in grades 6-8

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught 6 - 8 6 - 8 6 - 8 6 - 8 6 - 8 Total Students 940 997 1,070 1,201 1,020 Attendance Rate 96.0% 95.6% 96.2%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 63.0 58.0 62.3 72.0 72.0 Professional Support 2.0 10.5 5.0 5.0 5.0 School Leadership 3.0 2.0 2.0 2.0 2.0 Support Personnel - - - - - Total 68.0 70.5 69.3 79.0 79.0

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 3,710,900 $ 4,065,435 $ 4,309,180 $ 4,551,950 $ 4,502,240 6200 Professional/Contracted Services 17,985 19,435 19,785 20,085 19,500 6300 Supplies & Materials 111,638 116,747 122,426 121,113 115,281 6400 Other Operating Costs 25,180 26,356 28,606 38,680 30,280 6600 Capital Outlay - - - - - Total Expenditures $ 3,865,703 $ 4,227,973 $ 4,479,997 $ 4,731,828 $ 4,667,301 General Fund Expenditures/Student $ 4,112 $ 4,241 $ 4,187 $ 3,940 $ 4,576

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 93.0% 95.0% 96.0% 98.0% 98.0% Writing 95.0% 97.0% 96.0% 99.0% 99.0% Social Studies 95.0% 93.0% 97.0% 99.0% 99.0% Mathematics 89.0% 88.0% 93.0% 97.0% 97.0% Science - - 83.0% 93.0% 93.0% All Tests 93.0% 93.3% 93.0% 97.2% 97.2% TEA Campus Rating Recognized Acceptable Acceptable Recognized Recognized

119 FY 2009 – 2010 Budget Detailed Budget Analysis

Westbrook Intermediate School 16803 Beamer Road Friendswood, TX 77546 Mission Statement: Foster in each child the ability and desire to make positive contributions to society. In partnership with family, community, staff and student body, we will create a positive, safe and stimulating learning environment which will enable students to recognize their unique academic, emotional and physical talents. Principal: Dr. Lori Broughton Westbrook Intermediate educates students in grades 6-8 and houses the District's Gifted and Talented Magnet Program.

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught 6 - 8 6 - 8 6 - 8 6 - 8 6 - 8 Total Students 1,259 1,342 1,449 1,216 1,257 Attendance Rate 96.4% 95.2% 96.9%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 80.0 76.0 85.1 76.0 76.0 Professional Support 5.0 6.0 5.1 5.1 5.1 School Leadership 3.0 3.0 3.0 3.0 3.0 Support Personnel - - - - - Total 88.0 85.0 93.2 84.1 84.1

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 4,457,175 $ 5,134,675 $ 5,330,901 $ 5,741,325 $ 5,450,230 6200 Professional/Contracted Services 39,085 50,785 52,035 51,035 50,950 6300 Supplies & Materials 149,419 153,374 175,209 152,879 156,724 6400 Other Operating Costs 22,605 24,781 27,756 35,404 26,654 6600 Capital Outlay - - - - - Total Expenditures $ 4,668,284 $ 5,363,615 $ 5,585,901 $ 5,980,643 $ 5,684,558 General Fund Expenditures/Student $ 3,708 $ 3,997 $ 3,855 $ 4,918 $ 4,522

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 94.0% 97.0% 98.0% 96.0% 96.0% Writing 95.0% 98.0% 98.0% 96.0% 96.0% Social Studies 93.0% 95.0% 98.0% 98.0% 98.0% Mathematics 91.0% 91.0% 95.0% 94.0% 94.0% Science - - 89.0% 88.0% 88.0% All Tests 93.3% 95.3% 95.6% 94.4% 94.4% TEA Campus Rating Recognized Recognized Acceptable Recognized Recognized

120 FY 2009 – 2010 Budget Detailed Budget Analysis

Armand Bayou Elementary School 16000 Hickory Knoll Houston, TX 77059 Mission Statement: Assist all children in becoming competent and creative citizens, while recognizing that every child has unique characteristics and needs. Our goal is to work collaboratively with parents, staff and community to provide an educational environment for our students that fosters positive personal growth in all areas of life. Principal: Robin Williams Armand Bayou Elementary educates students in grades PreK-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught PK-5 PK-5 PK-5 PK-5 PK-5 Total Students 572 583 564 518 472 Attendance Rate 96.5% 96.5% 96.5%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 37.0 34.0 36.5 45.0 46.0 Professional Support 6.0 5.3 4.5 4.5 4.5 School Leadership 2.0 1.0 2.0 2.0 2.0 Support Personnel - - - - - Total 45.0 40.3 43.0 51.5 52.5

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 2,360,600 $ 2,611,762 $ 3,061,471 $ 2,771,825 $ 2,690,520 6200 Professional/Contracted Services 770 770 1,480 970 1,700 6300 Supplies & Materials 38,566 33,465 41,627 28,587 29,619 6400 Other Operating Costs 5,875 7,350 9,800 9,720 8,000 6600 Capital Outlay - - - - - Total Expenditures $ 2,405,811 $ 2,653,347 $ 3,114,378 $ 2,811,102 $ 2,729,839 General Fund Expenditures/Student $ 4,206 $ 4,551 $ 5,522 $ 5,427 $ 5,784

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 97.0% 97.0% 99.0% 98.0% 98.0% Writing 95.0% 99.0% 99.0% 96.0% 96.0% Mathematics 99.0% 96.0% 99.0% 95.0% 95.0% Science 89.0% 95.0% 95.0% 97.0% 97.0% All Tests 95.0% 96.8% 98.0% 96.5% 96.5% TEA Campus Rating Recognized Recognized Exemplary Exemplary Exemplary

121 FY 2009 – 2010 Budget Detailed Budget Analysis

Henry Bauerschlag Elementary School 2501 Brittany Bay Blvd League City, TX 77573

Mission Statement: Provide a program that enables each student to achieve his or her highest potential academically, socially, and physically in order to become responsible and productive citizens. Principal: Trudy Knight Bauerschlag Elementary educates students in grades PreK-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught K-5 K-5 K-5 K-5 K-5 Total Students 777 807 889 975 705 Attendance Rate 96.9% 96.2% 96.6%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 50.0 45.3 57.5 63.0 63.0 Professional Support 6.0 7.0 5.0 5.0 5.0 School Leadership 2.0 1.0 2.0 2.0 2.0 Support Personnel - - - - - Total 58.0 53.3 64.5 70.0 70.0

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 3,035,550 $ 3,297,138 $ 3,542,852 $ 3,908,675 $ 3,766,565 6200 Professional/Contracted Services 906 926 926 926 656 6300 Supplies & Materials 40,156 47,332 46,647 54,983 45,257 6400 Other Operating Costs 6,517 8,518 8,548 11,248 9,323 6600 Capital Outlay - - - - - Total Expenditures $ 3,083,129 $ 3,353,914 $ 3,598,973 $ 3,975,832 $ 3,821,801 General Fund Expenditures/Student $ 3,968 $ 4,156 $ 4,048 $ 4,078 $ 5,421

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 97.0% 97.0% 98.0% 97.0% 97.0% Writing 95.0% 97.0% 99.0% 98.0% 98.0% Mathematics 96.0% 96.0% 97.0% 97.0% 97.0% Science 96.0% 97.0% 97.0% 94.0% 94.0% All Tests 96.0% 96.8% 97.8% 96.5% 96.5% TEA Campus Rating Exemplary Exemplary Exemplary Exemplary Exemplary

122 FY 2009 – 2010 Budget Detailed Budget Analysis

James F. Bay Elementary School 1502 Bayport Seabrook, TX 77586 Mission Statement: Providing excellence in education and ensuring that all students attain their maximum potential. Principal: Erin Tite Bay Elementary educates students in grades PreK-5

District Goals Campus Objectives 1. We will provide rigorous learning opportunities and curricula that transcend state and national 1. Provide all students with the opportunity for attainment of college standards to improve the achievement of each student while meeting their individual needs and credit, industry certification, and other post-secondary options while 2. We will enhance the character development of each studentwith an emphasis on creating a sense 2. Provide opportunities for all to participate in service learning events or of personal responsibility and a commitment to community activities. 3. We will recruit, develop and retain compassionate, effective, innovative and highly moticvated 3. Ensure all teaching and paraprofessional staff members meet the staff. “Highly Qualified” requirements as set forth in No Child Left Behind. 4. We will focus our use of resources to accelerate learning for all students and eliminate the 4. Base all resource allocations upon a thorough analysis of student achievement gap. performance data annually. 5. We willprovide learning environments that ate physically safe and emotionally secure for all 5. Implement program specific safety designs in 100% of all required students, faculty and staff. areas. 6. We will lead, develop, and implement a robust parent and community involvement program to 6. Provide opportunities for all parents to participate in activities as a successfully achieve the District mission and objectives. partner in their child’s educational process. 7. We will nurture, support, and develop collaborative leadership at all levels throughout the learning 7. Ensure that staff will be a member of a professional learning community. community and will continue to improve and reflect on their practice.

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught PK-5 PK-5 PK-5 PK-5 PK-5 Total Students 980 719 712 660 670 Attendance Rate 96.4% 96.0% 96.2%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 58.0 53.0 48.5 48.0 48.0 Professional Support 6.0 5.5 4.5 4.5 4.5 School Leadership 2.0 2.0 2.0 2.0 2.0 Support Personnel - - - - - Total 66.0 60.5 55.0 54.5 54.5

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 3,691,715 $ 3,172,427 $ 3,629,761 $ 3,442,025 $ 3,430,475 6200 Professional/Contracted Services 2,670 2,270 2,270 2,270 2,000 6300 Supplies & Materials 67,316 43,436 40,442 39,227 38,095 6400 Other Operating Costs 9,050 6,575 6,550 9,100 8,875 6600 Capital Outlay - - - - Total Expenditures $ 3,770,751 $ 3,224,708 $ 3,319,023 $ 3,492,622 $ 3,479,445 General Fund Expenditures/Student $ 3,848 $ 4,485 $ 4,662 $ 5,292 $ 5,193

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2007-08 2009-10 Reading 96.0% 97.0% 98.0% 98.0% 98.0% Writing 99.0% 87.0% 94.0% 98.0% 98.0% Mathematics 94.0% 95.0% 95.0% 96.0% 96.0% Science 87.0% 93.0% 95.0% 96.0% 96.0% All Tests 94.0% 93.0% 95.5% 97.0% 97.0% TEA Campus Rating Recognized Recognized Exemplary Exemplary Exemplary

123 FY 2009 – 2010 Budget Detailed Budget Analysis

Brookwood Elementary School 16850 Middlebrook Dr. Houston, TX 77059 Mission Statement: Provide students with an individualized and challenging education in a positive environment which prepares them for their future and enables them to become enthusiastic, life-long learners. Principal: Cathy Homer Brookwood Elementary educates students in grades K-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught K-5 K-5 K-5 K-5 K-5 Total Students 862 757 742 704 616 Attendance Rate 97.7% 97.2% 97.0%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 51.0 61.0 44.5 46.0 45.0 Professional Support 5.0 5.0 4.2 4.2 4.2 School Leadership 2.0 2.0 2.0 2.0 2.0 Support Personnel 5.0 - - - - Total 63.0 68.0 50.7 52.2 51.2

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 3,180,900 $ 3,185,968 $ 3,251,833 $ 3,199,450 $ 2,991,960 6200 Professional/Contracted Services 495 485 495 495 225 6300 Supplies & Materials 46,355 41,053 23,222 22,090 25,320 6400 Other Operating Costs 15,400 18,250 20,550 22,500 20,400 6600 Capital Outlay - - - - - Total Expenditures $ 3,243,150 $ 3,245,756 $ 3,296,100 $ 3,244,535 $ 3,037,905 General Fund Expenditures/Student $ 3,762 $ 4,288 $ 4,442 $ 4,609 $ 4,932

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 99.0% 98.0% 99.0% 99.0% 99.0% Writing 99.0% 97.0% 99.0% 99.0% 99.0% Mathematics 100.0% 98.0% 99.0% 99.0% 99.0% Science 100.0% 99.0% 99.0% 99.0% 99.0% All Tests 99.5% 98.0% 99.0% 99.0% 99.0% TEA Campus Rating Exemplary Exemplary Exemplary Exemplary Exemplary

124 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Lake City Elementary School 1707 Fairwind Houston, TX 77062

Mission Statement: All students will achieve their highest potential in academics and social growth through various and meaningful experiences and instruction, in partnership with teachers, administrators, parents, and community. Principal: Leslie Dragg Clear Lake City Elementary educates students in grades K-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught K-5 K-5 K-5 K-5 K-5 Total Students 569 517 585 602 590 Attendance Rate 96.2% 96.0% 95.7%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 38.0 34.3 40.5 52.0 53.0 Professional Support 7.0 7.0 4.5 4.5 4.5 School Leadership 2.0 1.0 2.0 2.0 2.0 Support Personnel - - - - - Total 47.0 42.3 47.0 58.5 59.5

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 2,452,750 $ 2,612,226 $ 2,715,422 $ 3,170,325 $ 321,622 6200 Professional/Contracted Services 1,770 3,320 2,870 2,870 1,600 6300 Supplies & Materials 34,145 32,813 25,435 31,815 32,143 6400 Other Operating Costs 7,400 5,900 6,000 8,550 8,400 6600 Capital Outlay - - - - - Total Expenditures $ 2,496,065 $ 2,654,259 $ 2,749,727 $ 3,213,560 $ 363,765 General Fund Expenditures/Student $ 4,387 $ 5,134 $ 4,700 $ 5,338 $ 617

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 99.0% 99.0% 98.0% 99.0% 99.0% Writing 99.0% 96.0% 99.0% 93.0% 93.0% Mathematics 98.0% 96.0% 94.0% 96.0% 96.0% Science 94.0% 99.0% 92.0% 93.0% 93.0% All Tests 97.5% 97.5% 95.8% 95.3% 95.3% TEA Campus Rating Exemplary Exemplary Exemplary Exemplary Exemplary

125 FY 2009 – 2010 Budget Detailed Budget Analysis

Falcon Pass Elementary School 2465 Falcon Pass Drive Houston, TX 77062

Mission Statement: Educate and equip each child to excel as a student and future community member.

Principal: Monica Grubbs Giuffre Falcon Pass Elementary educates students in grades PreK-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught PK-5 PK-5 PK-5 PK-5 PK-5 Total Students 848 648 618 628 611 Attendance Rate 96.7% 96.6% 96.6%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 54.0 50.0 39.0 46.0 45.0 Professional Support 5.0 6.8 3.8 3.8 3.8 School Leadership 2.0 2.0 2.0 2.0 2.0 Support Personnel - - - - - Total 61.0 58.8 44.8 51.8 50.8

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 3,260,950 $ 2,961,578 $ 3,037,233 $ 2,879,000 $ 3,019,655 6200 Professional/Contracted Services 1,270 770 270 270 2,000 6300 Supplies & Materials 42,652 32,425 29,000 30,991 30,500 6400 Other Operating Costs 8,950 12,750 13,600 12,000 10,025 6600 Capital Outlay - - - - - Total Expenditures $ 3,313,822 $ 3,007,523 $ 3,080,103 $ 2,922,261 $ 3,062,180 General Fund Expenditures/Student $ 3,908 $ 4,641 $ 4,984 $ 4,653 $ 5,012

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 98.0% 97.0% 99.0% 99.0% 99.0% Writing 97.0% 99.0% 98.0% 99.0% 99.0% Mathematics 98.0% 96.0% 97.0% 99.0% 99.0% Science 95.0% 94.0% 95.0% 91.0% 91.0% All Tests 97.0% 96.5% 97.3% 97.0% 97.0% TEA Campus Rating Exemplary Recognized Exemplary Exemplary Exemplary

126 FY 2009 – 2010 Budget Detailed Budget Analysis

Lloyd R. Ferguson Elementary School 1910 Compass Rose League City, TX 77573

Mission Statement: Face the challenge of preparing our students to be contributing members of society. Develop a learning environment in which all students will be challenged. Goals include self discipline, personal growth, respect for self and others and a working knowledge of skills needed to succeed.

Principal: Elaine Sanders Ferguson Elementary educates students in grades K-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught K-5 K-5 K-5 K-5 K-5 Total Students 851 876 869 843 732 Attendance Rate 97.3% 96.9% 96.6%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 52.0 45.0 51.0 57.0 58.0 Professional Support 8.0 11.6 4.6 4.6 4.6 School Leadership 2.0 2.0 2.0 2.0 2.0 Support Personnel - - - - - Total 62.0 58.6 57.6 63.6 64.6

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 3,320,025 $ 3,354,845 $ 3,501,230 $ 3,585,300 $ 3,487,125 6200 Professional/Contracted Services 2,541 3,041 2,891 1,870 1,700 6300 Supplies & Materials 47,630 45,938 43,184 42,765 43,415 6400 Other Operating Costs 6,830 8,000 7,900 12,850 10,170 6600 Capital Outlay - - - - - Total Expenditures $ 3,377,026 $ 3,411,824 $ 3,555,205 $ 3,642,785 $ 3,542,410 General Fund Expenditures/Student $ 3,968 $ 3,895 $ 4,091 $ 4,321 $ 4,839

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 99.0% 98.0% 99.0% 98.0% 98.0% Writing 98.0% 98.0% 97.0% 98.0% 98.0% Mathematics 98.0% 100.0% 98.0% 99.0% 99.0% Science 94.0% 99.0% 97.0% 97.0% 97.0% All Tests 97.3% 98.8% 97.8% 98.0% 98.0% TEA Campus Rating Exemplary Exemplary Exemplary Exemplary Exemplary

127 FY 2009 – 2010 Budget Detailed Budget Analysis

Gilmore Elementary School 3552 Brittany Bay Blvd

League City, TX 77573 Mission Statement: To create a positive learning environment where students feel safe and are given the tools to achieve at their highest potential. Principal: Suzanne Jones Gilmore Elementary educates students in grades PreK-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught PK-5 PK-5 PK-5 PK-5 PK-5 Total Students 706 780 917 1,022 894 Attendance Rate 97.3% 96.6% 96.6%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 43.0 52.0 57.0 59.0 60.0 Professional Support - 11.0 5.0 5.0 5.0 School Leadership 2.0 2.0 2.0 2.0 2.0 Support Personnel - - - - - Total 45.0 65.0 64.0 66.0 67.0

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 2,614,675 $3,049,138 $3,341,739 $3,915,825 $4,274,420 6200 Professional/Contracted Services 770 770 1,170 1,770 1,750 6300 Supplies & Materials 27,360 45,455 48,828 57,953 54,180 6400 Other Operating Costs 5,450 5,650 6,050 13,650 10,250 6600 Capital Outlay - - - - - Total Expenditures $ 2,648,255 $ 3,101,013 $ 3,397,787 $ 3,989,198 $ 4,340,600 General Fund Expenditures/Student $ 3,395 $ 3,976 $ 3,705 $ 3,903 $ 4,855

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 98.0% 98.0% 97.0% 97.0% 97.0% Writing 96.0% 97.0% 98.0% 94.0% 94.0% Mathematics 98.0% 97.0% 97.0% 98.0% 98.0% Science 92.0% 92.0% 97.0% 99.0% 99.0% All Tests 96.0% 96.0% 97.3% 97.0% 97.0% TEA Campus Rating Recognized Exemplary Exemplary Exemplary Exemplary

128 FY 2009 – 2010 Budget Detailed Budget Analysis

Art & Pat Goforth Elementary School 2610 Webster Road League City, TX 77573 Mission Statement: Goforth Explorers- Going Forth to Explore New Learning – Continuous Improvement for Each Student in a Nurturing Environment. Principal: Kim Noel Goforth Elementary educates students in grades PreK-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught PK-5 PK-5 PK-5 PK-5 PK-5 Total Students 723 796 906 1,048 584 Attendance Rate 96.5% 96.1% 96.1%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 46.0 42.8 59.0 66.0 67.0 Professional Support 8.0 10.8 5.8 5.8 5.8 School Leadership 2.0 2.0 2.0 2.0 2.0 Support Personnel - - - - - Total 56.0 55.6 66.8 73.8 74.8

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 3,143,025 $ 3,531,207 $ 3,477,408 $ 4,001,525 $ 3,557,580 6200 Professional/Contracted Services 3,266 2,970 2,570 2,870 2,600 6300 Supplies & Materials 40,719 53,526 48,350 56,535 38,740 6400 Other Operating Costs 6,000 7,593 7,325 11,350 7,900 6600 Capital Outlay - - - - - Total Expenditures $ 3,193,010 $ 3,595,296 $ 3,535,653 $ 4,072,280 $ 3,606,820 General Fund Expenditures/Student $ 4,416 $ 4,517 $ 3,902 $ 3,886 $ 6,176

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 99.0% 97.0% 98.0% 97.0% 97.0% Writing 99.0% 99.0% 98.0% 93.0% 93.0% Mathematics 95.0% 95.0% 96.0% 94.0% 94.0% Science 85.0% 96.0% 92.0% 94.0% 94.0% All Tests 94.5% 96.8% 96.0% 94.5% 94.5% TEA Campus Rating Recognized Exemplary Exemplary Exemplary Exemplary

129 FY 2009 – 2010 Budget Detailed Budget Analysis

P.H. Greene Elementary School 2903 Friendswood Link Road Webster, TX 77598 Mission Statement: Ensure that each student develops understanding, skill, and sensitivities that make it possible to participate successfully in a multi-cultural society. We strive to develop in each student the capacity to think critically and reason intelligently through a curriculum that is immersed in the fine arts and addresses individual learning styles. Principal: Susan Scurry Greene Elementary educates students in grades PreK-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught PK-5 PK-5 PK-5 PK-5 PK-5 Total Students 741 724 718 734 754 Attendance Rate 96.7% 96.2% 96.8%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 48.0 42.5 49.0 56.0 60.0 Professional Support 4.0 5.0 4.0 4.0 4.0 School Leadership 2.0 2.0 2.0 2.0 2.0 Support Personnel - - - - - Total 54.0 49.5 55.0 62.0 66.0

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 2,982,500 $ 3,298,358 $ 3,230,128 $ 3,407,775 $ 3,538,770 6200 Professional/Contracted Services 1,050 2,070 1,770 1,770 1,500 6300 Supplies & Materials 51,263 50,144 34,695 35,509 39,785 6400 Other Operating Costs 7,175 9,180 11,080 13,550 12,050 6600 Capital Outlay - - - - . Total Expenditures $ 3,041,988 $ 3,359,752 $ 3,277,673 $ 3,458,604 $ 3,592,105 General Fund Expenditures/Student $ 4,105 $ 4,641 $ 4,565 $ 4,712 $ 4,764

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 97.0% 96.0% 98.0% 96.0% 96.0% Writing 99.0% 95.0% 99.0% 94.0% 94.0% Mathematics 97.0% 95.0% 97.0% 95.0% 95.0% Science 93.0% 97.0% 92.0% 88.0% 88.0% All Tests 96.5% 95.8% 96.5% 93.3% 93.3% TEA Campus Rating Exemplary Exemplary Exemplary Exemplary Exemplary

130 FY 2009 – 2010 Budget Detailed Budget Analysis

Walter Hall Elementary School 5931 Meadowside League City, TX 77573

Mission Statement: Hall students will be successful, responsible, lifelong learners. Principal: Stephanie King Hall Elementary educates students in grades K-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught K-5 K-5 K-5 K-5 K-5 Total Students 467 508 577 641 648 Attendance Rate 97.0% 96.4% 96.2%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 38.0 53.0 36.0 55.0 55.0 Professional Support 6.0 7.7 3.5 3.5 3.5 School Leadership 2.0 2.0 2.0 2.0 2.0 Support Personnel - - - - - Total 46.0 62.7 41.5 60.5 60.5

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 2,400,700 $ 2,297,252 $ 2,488,795 $ 2,672,350 $ 2,672,350 6200 Professional/Contracted Services 1,670 1,670 1,558 1,558 1,558 6300 Supplies & Materials 30,093 28,820 24,203 33,774 33,774 6400 Other Operating Costs 6,150 6,150 8,650 10,200 10,200 6600 Capital Outlay - - - - - Total Expenditures $ 2,438,613 $ 2,333,892 $ 2,523,206 $ 2,717,882 $ 2,717,882 General Fund Expenditures/Student $ 5,222 $ 4,594 $ 4,373 $ 4,240 $ 4,194

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 95.0% 96.0% 98.0% 98.0% 98.0% Writing 99.0% 93.0% 99.0% 95.0% 95.0% Mathematics 95.0% 97.0% 95.0% 95.0% 95.0% Science 92.0% 95.0% 95.0% 97.0% 97.0% All Tests 95.3% 95.3% 96.8% 96.3% 96.3% TEA Campus Rating Exemplary Exemplary Exemplary Exemplary Exemplary

131 FY 2009 – 2010 Budget Detailed Budget Analysis

I.W. & Eleanor Hyde Elementary School 3700 FM 518 East

League City, TX 77573

Mission Statement: Provide a positive learning atmosphere that encourages cooperation between home, school, and community to ensure that our students will become responsible, successful citizens.

Principal: Kelly Chapman Hyde Elementary educates students in grades K-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught K-5 K-5 K-5 K-5 K-5 Total Students 703 726 695 693 553 Attendance Rate 97.2% 96.7% 96.3%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 46.0 42.7 43.0 48.0 48.0 Professional Support 4.0 5.0 3.0 3.0 3.0 School Leadership 2.0 2.0 2.0 2.0 2.0 Support Personnel - - - - - Total 52.0 49.7 48.0 53.0 53.0

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 2,905,325 $ 2,969,263 $ 3,054,802 $ 3,126,225 $ 3,197,605 6200 Professional/Contracted Services 470 470 470 470 200 6300 Supplies & Materials 40,373 39,353 38,410 34,233 40,527 6400 Other Operating Costs 5,325 4,650 3,900 6,250 6,700 6600 Capital Outlay - - - - - Total Expenditures $ 2,951,493 $ 3,013,736 $ 3,097,582 $ 3,167,178 $ 3,245,032 General Fund Expenditures/Student $ 4,198 $ 4,151 $ 4,457 $ 4,570 $ 5,868

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 97.0% 98.0% 97.0% 97.0% 97.0% Writing 95.0% 98.0% 99.0% 98.0% 98.0% Mathematics 98.0% 98.0% 95.0% 98.0% 98.0% Science 94.0% 93.0% 95.0% 96.0% 96.0% All Tests 96.0% 96.8% 96.5% 97.3% 97.3% TEA Campus Rating Exemplary Exemplary Recognized Exemplary Exemplary

132 FY 2009 – 2010 Budget Detailed Budget Analysis

C.D. Landolt Elementary School 2104 Pilgrims Point Friendswood, TX 77546

Mission Statement: Creating a Community of Learners Committed to Lifelong Guidelines.

Principal: Yolie Jones Landolt Elementary educates students in grades PreK-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught PK-5 PK-5 PK-5 PK-5 PK-5 Total Students 728 703 722 767 782 Attendance Rate 97.0% 96.6% 96.2%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 49.0 31.0 50.0 65.0 64.0 Professional Support 5.0 18.0 3.5 3.5 3.5 School Leadership 2.0 2.0 2.0 2.0 2.0 Support Personnel - - - - - Total 56.0 51.0 55.5 70.5 69.5

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 2,778,550 $ 2,990,546 $ 3,061,471 $ 3,409,330 $ 3,615,955 6200 Professional/Contracted Services 1,030 1,130 1,480 1,520 2,750 6300 Supplies & Materials 48,146 50,080 41,627 39,205 39,575 6400 Other Operating Costs 8,225 8,900 9,800 12,600 11,600 6600 Capital Outlay - - - - - Total Expenditures $ 2,835,951 $ 3,050,656 $ 3,114,378 $ 3,462,655 $ 3,669,880 General Fund Expenditures/Student $ 3,896 $ 4,339 $ 4,314 $ 4,515 $ 4,693

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 95.0% 96.0% 98.0% 97.0% 97.0% Writing 99.0% 98.0% 98.0% 99.0% 99.0% Mathematics 90.0% 91.0% 93.0% 95.0% 95.0% Science 89.0% 93.0% 94.0% 92.0% 92.0% All Tests 93.3% 94.5% 95.8% 95.8% 95.8% TEA Campus Rating Recognized Recognized Recognized Exemplary Exemplary

133 FY 2009 – 2010 Budget Detailed Budget Analysis

League City Elementary School 709 East Wilkins League City, TX 77573

Mission Statement: Promote, through a commitment to excellence in education, the academic, social and physical growth of each student within a safe, secure environment.

Principal: Carla Massa League City Elementary educates students in grades PreK-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught PK-5 PK-5 PK-5 PK-5 PK-5 Total Students 515 598 570 584 430 Attendance Rate 96.7% 95.8% 96.1%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 41.0 37.4 47.0 53.0 54.0 Professional Support 4.0 5.0 4.0 4.0 4.0 School Leadership 2.0 2.0 2.0 2.0 2.0 Support Personnel 6.0 6.0 - - - Total 53.0 50.4 53.0 59.0 60.0

General Fund Expenditures by Object Description 2005-06 2006-07 200-08 2008-09 2009-10 6100 Payroll Costs $ 2,639,890 $ 2,380,967 $ 2,975,155 $ 3,213,568 $ 2,879,200 6200 Professional/Contracted Services 1,170 2,070 1,595 1,795 1,525 6300 Supplies & Materials 38,708 33,168 40,763 33,258 32,280 6400 Other Operating Costs 6,000 7,700 6,700 8,250 5,600 6600 Capital Outlay - - - - - Total Expenditures $ 2,685,768 $ 2,423,905 $ 3,024,213 $ 3,256,871 $ 2,918,605 General Fund Expenditures/Student $ 5,215 $ 4,053 $ 5,306 $ 5,577 $ 6,787

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 90.0% 93.0% 94.0% 94.0% 94.0% Writing 94.0% 96.0% 93.0% 94.0% 94.0% Mathematics 91.0% 88.0% 94.0% 88.0% 88.0% Science 79.0% 69.0% 87.0% 84.0% 84.0% All Tests 88.5% 86.5% 92.0% 90.0% 90.0% TEA Campus Rating Recognized Acceptable Recognized Recognized Recognized

134 FY 2009 – 2010 Budget Detailed Budget Analysis

Margaret S. McWhirter Elementary 300 Pennsylvania Webster, TX 77598 Mission Statement: Provide exemplary professional development based upon sound educational performance throughout the school community that results in improved student achievement. Principal: Dr. Michael Marqez McWhirter Elementary educates students in grades PreK-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught PK-5 PK-5 PK-5 PK-5 PK-5 Total Students 687 666 664 794 846 Attendance Rate 95.7% 95.5% 95.7%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-90 2009-10 Teachers 45.0 47.8 62.5 51.0 50.0 Professional Support 12.0 18.5 4.6 4.6 4.6 School Leadership 2.0 2.0 2.0 2.0 2.0 Support Personnel - - - - - Total 59.0 68.3 69.1 57.6 56.6

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs 6100 Payroll Costs $ 3,426,138 $ 3,635,998 $ 3,904,140 $ 4,682,515 6200 Contracted 6200 Professional/Contracted Services 2,020 2,020 2,020 1,750 Services 6300 Supplies & 6300 Supplies & Materials 52,828 49,057 41,065 52,202 Materials 6400 Other Operating Costs 6400 Other Costs 7,950 8,150 9,500 6,750 6600 Capital Outlay 6600 Capital Outlay - - - -

Total Expenditures $ - $ 3,488,936 $ 3,695,225 $ 3,956,725 $ 4,743,217 General Fund Expenditures/Student $ - $ 5,239 $ 5,565 $ 4,983 $ 5,607

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 84.0% 81.0% 88.0% 90.0% 90.0% Writing 92.0% 88.0% 91.0% 91.0% 91.0% Mathematics 78.0% 76.0% 85.0% 84.0% 84.0% Science 74.0% 77.0% 81.0% 100.0% 100.0% All Tests 82.0% 80.5% 86.3% 91.3% 91.3% TEA Campus Rating Acceptable Acceptable Recognized Recognized Recognized

135 FY 2009 – 2010 Budget Detailed Budget Analysis

*Dr. Sandra Mossman Elementary 4050 Village Way League City, Tx 77573 Mission Statement: Foster the intellectual, social, emotional, and physical growth of each student through educational excellence in a positive environment. Principal: Stephanie McBride Elementary 26 will educate students in grades K-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught K-5 K-5 K-5 K-5 K-5 Total Students 0 0 0 0 689 Attendance Rate 0.0% 0.0% 0.0% 0.0% 0.0%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers - - - - - Professional Support - - - - - School Leadership - - - 2.0 2.0 Support Personnel - - - - 2.0 Total - - - 2.0 4.0

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ - $ - $ - $ - $ 1,900,990 6200 Professional/Contracted Services - - - - - 6300 Supplies & Materials - - - 8,500 27,540 6400 Other Operating Costs - - - 3,500 6,500 6600 Capital Outlay - - - - - Total Expenditures $ - $ - $ - $ 12,000 $ 1,935,030 General Fund Expenditures/Student $ 2,808

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 96.0% Writing 97.0% Mathematics 95.0% Science 96.0% All Tests 96.0% TEA Campus Rating Exemplary * This campus opened in August 2009

136 FY 2009 – 2010 Budget Detailed Budget Analysis

North Pointe Elementary School 3200 Almond Creek Houston, TX 77059 Mission Statement: To care for, guide, and help our students to reach their full potential. Our goal is to provide an educational environment that meets the needs of each student and enables each to make a worthwhile contribution to the American Society. Principal: Kelly Mooney North Pointe Elementary educates students in grades PreK-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught PK-5 PK-5 PK-5 PK-5 PK-5 Total Students 811 768 704 730 739 Attendance Rate 97.3% 96.7% 97.1%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 50.0 51.4 50.0 45.0 48.0 Professional Support 6.0 8.5 3.5 3.5 3.5 School Leadership 2.0 2.0 2.0 2.0 2.0 Support Personnel - - - - - Total 58.0 61.9 55.5 50.5 53.5

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 3,236,525 $ 3,266,107 $ 3,341,193 $ 3,343,025 $ 36,350,805 6200 Professional/Contracted Services 3,319 3,570 2,320 2,020 400 6300 Supplies & Materials 43,783 41,348 36,924 31,203 38,942 6400 Other Operating Costs 13,563 10,000 10,225 14,800 13,500 6600 Capital Outlay - - - - - Total Expenditures $ 3,297,190 $ 3,321,025 $ 3,390,662 $ 3,391,048 $ 36,403,647 General Fund Expenditures/Student $ 4,066 $ 4,324 $ 4,816 $ 4,645 $ 49,261

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 98.0% 98.0% 99.0% 99.0% 99.0% Writing 98.0% 99.0% 98.0% 99.0% 99.0% Mathematics 97.0% 98.0% 99.0% 98.0% 98.0% Science 90.0% 95.0% 98.0% 96.0% 96.0% All Tests 95.8% 97.5% 98.5% 98.0% 98.0% TEA Campus Rating Exemplary Exemplary Exemplary Exemplary Exemplary

137 FY 2009 – 2010 Budget Detailed Budget Analysis

*Ralph Parr Elementary 1315 Highway 3 South League City, Tx 77573

Mission Statement: Foster the intellectual, social, emotional, and physical growth of each student through educational excellence in a positive environment. Principal: Jane Kelling Elementary 25 will educate students in grades K-5

Enrollment

Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught K-5 K-5 K-5 K-5 K-5 Total Students 0 0 0 0 699 Attendance Rate 0.0% 0.0% 0.0% 0.0% 0.0%

Employee FTE’s

Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers - - - - - Professional Support - - - - 2.0 School Leadership - - - 2.0 2.0 Support Personnel - - - - - Total - - - 2.0 4.0

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 20080-9 20080-9 6100 Payroll Costs $ - $ - $ - $ - $ 2,412,950 6200 Professional/Contracted Services - - - - - 6300 Supplies & Materials - - - 8,500 35,925 6400 Other Operating Costs - - - 3,500 9,800 6600 Capital Outlay - - - - - Total Expenditures $ - $ - $ - $ 12,000 $ 2,458,675 General Fund Expenditures/Student $ 3,517

*G. W. Robinson Elementary School 900 Reseda Houston, TX 77062 Mission Statement: Provide all students with an educational program which will allow them to achieve their full potentials academically, socially, and physically in order to be responsible citizens and contributing members of society. Principal: Jim Stephens Robinson Elementary educates students in grades PreK-5

District Goals Campus Objectives 1. We will provide rigorous learning opportunities and curricula that transcend state and national standards 1. Provide all students with the opportunity for attainment of college to improve the achievement of each student while meeting their individual needs and aspirations credit, industry certification, and other post-secondary options while 2. We will enhance the character development of each studentwith an emphasis on creating a sense of 2. Provide opportunities for all to participate in service learning events personal responsibility and a commitment to community or activities. 3. We will recruit, develop and retain compassionate, effective, innovative and highly moticvated staff. 3. Ensure all teaching and paraprofessional staff members meet the “Highly Qualified” requirements as set forth in No Child Left Behind. 4. We will focus our use of resources to accelerate learning for all students and eliminate the achievement 4. Base all resource allocations upon a thorough analysis of student gap. performance data annually. 5. We willprovide learning environments that ate physically safe and emotionally secure for all students, 5. Implement program specific safety designs in 100% of all required faculty and staff. areas. 6. We will lead, develop, and implement a robust parent and community involvement program to successfully 6. Provide opportunities for all parents to participate in activities as a achieve the District mission and objectives. partner in their child’s educational process. 7. We will nurture, support, and develop collaborative leadership at all levels throughout the learning 7. Ensure that staff will be a member of a professional learning community. community and will continue to improve and reflect on their practice.

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught PK-5 PK-5 PK-5 PK-5 PK-5 Total Students - 524 565 531 518 Attendance Rate 96.7% 96.1%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers - 21.0 36.0 29.0 20.0 Professional Support - - 7.2 7.2 7.2 School Leadership - 2.0 2.0 2.0 2.0 Support Personnel - 2.0 - - - Total - 25.0 45.2 38.2 29.2

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs - $ 2,227,667 $ 2,682,110 $ 2,831,100 $ 2,863,390 6200 Professional/Contracted Services - 270 270 470 - 6300 Supplies & Materials - 30,295 29,820 30,998 35,025 6400 Other Operating Costs - 7,050 7,050 9,000 7,500 6600 Capital Outlay - - - - - Total Expenditures $ - $ 2,265,282 $ 2,719,250 $ 2,871,568 $ 2,905,915 General Fund Expenditures/Student $ - $ 4,323 $ 4,813 $ 5,408 $ 5,610

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 0.0% 96.0% 98.0% 99.0% 99.0% Writing 0.0% 95.0% 99.0% 99.0% 99.0% Mathematics 0.0% 96.0% 97.0% 99.0% 99.0% Science 0.0% 96.0% 96.0% 99.0% 99.0% All Tests 0.0% 95.8% 97.5% 99.0% 99.0% TEA Campus Rating Exemplary Exemplary Exemplary Exemplary * Campus opened in August 2006

139 FY 2009 – 2010 Budget Detailed Budget Analysis

James H. Ross Elementary School 2401 West Main St. League City, TX 77573 Mission Statement: Provide all students with an educational program which will allow them to achieve their full potentials academically, socially, and physically in order to be responsible citizens and contributing members of society. Principal: Mark Smith Ross Elementary educates students in grades PreK-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught PK-5 PK-5 PK-5 PK-5 PK-5 Total Students 608 609 671 731 675 Attendance Rate 96.6% 96.2% 96.0%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2008-09 Teachers 41.0 41.5 44.0 46.0 46.0 Professional Support 5.0 5.5 4.0 4.0 4.0 School Leadership 2.0 2.0 2.0 2.0 2.0 Support Personnel - - - - - Total 48.0 49.0 50.0 52.0 52.0

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 2,765,475 $ 2,800,692 $ 2,922,679 $ 3,219,675 $ 3,456,995 6200 Professional/Contracted Services 270 1,020 570 570 300 6300 Supplies & Materials 39,892 40,909 32,720 33,215 35,995 6400 Other Operating Costs 8,700 8,400 8,550 10,150 7,700 6600 Capital Outlay - - - - - Total Expenditures $ 2,814,337 $ 2,851,021 $ 2,964,519 $ 3,263,610 $ 3,500,990 General Fund Expenditures/Student $ 4,629 $ 4,681 $ 4,418 $ 4,465 $ 5,187

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 96.0% 96.0% 99.0% 97.0% 97.0% Writing 99.0% 97.0% 98.0% 99.0% 99.0% Mathematics 96.0% 96.0% 95.0% 98.0% 98.0% Science 90.0% 92.0% 98.0% 91.0% 91.0% All Tests 95.3% 95.3% 97.5% 96.3% 96.3% TEA Campus Rating Exemplary Exemplary Exemplary Exemplary Exemplary

140 FY 2009 – 2010 Budget Detailed Budget Analysis

LaVace Stewart Elementary School 330 FM 2094 Kemah, TX 77565 Mission Statement: Form a partnership with parents and the community to prepare our diverse population of students to become life long learners in a nurturing, safe environment with high expectations so they will become responsible, productive citizens in an ever-changing society. Principal: Brittani Moses Stewart Elementary educates students in grades PreK-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught PK-5 PK-5 PK-5 PK-5 PK-5 Total Students 576 577 574 554 557 Attendance Rate 96.5% 95.9% 96.2%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 45.0 39.3 46.5 60.0 64.0 Professional Support 4.0 5.1 4.3 4.3 4.3 School Leadership 2.0 2.0 2.0 2.0 2.0 Support Personnel - - - - - Total 51.0 46.4 52.8 66.3 70.3

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 2,471,400 $ 2,785,739 $ 2,951,397 $ 3,207,050 $ 3,163,595 6200 Professional/Contracted Services 1,170 1,170 1,270 1,470 - 6300 Supplies & Materials 46,544 46,963 40,021 32,165 37,145 6400 Other Operating Costs 7,150 7,600 7,550 10,800 6,500 6600 Capital Outlay - - - - - Total Expenditures $ 2,526,264 $ 2,841,472 $ 3,000,238 $ 3,251,485 $ 3,207,240 General Fund Expenditures/Student $ 4,386 $ 4,925 $ 5,227 $ 5,869 $ 5,758

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 97.0% 96.0% 99.0% 97.0% 97.0% Writing 97.0% 96.0% 97.0% 96.0% 96.0% Mathematics 98.0% 97.0% 98.0% 94.0% 94.0% Science 88.0% 95.0% 86.0% 93.0% 93.0% All Tests 95.0% 96.0% 95.0% 95.0% 95.0% TEA Campus Rating Exemplary Exemplary Recognized Exemplary Exemplary

141 FY 2009 – 2010 Budget Detailed Budget Analysis

John F. Ward Elementary School 1440 Bouldercrest Houston, TX 77062 Mission Statement: Celebrate the uniqueness of each individual and enable all students and staff to achieve their highest potential through mutual respect, individual opportunity and support of school, home and community. Principal: Kathy Gouger Ward Elementary educates students in grades K-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught K-5 K-5 K-5 K-5 K-5 Total Students 784 727 685 645 652 Attendance Rate 97.3% 96.8% 97.0%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 50.0 43.5 45.5 47.0 47.0 Professional Support 6.0 7.9 4.6 4.6 4.6 School Leadership 2.0 2.0 2.0 2.0 2.0 Support Personnel - - - - - Total 58.0 53.4 52.1 53.6 53.6

General Fund Expenditures by Object Description 2005-2006 2006-07 2006-07 2008-09 2009-10 6100 Payroll Costs $ 3,037,825 $ 3,127,894 $ 3,098,016 $ 3,126,325 $ 3,013,030 6200 Professional/Contracted Services 2,870 4,420 4,120 4,370 4,100 6300 Supplies & Materials 42,387 40,975 36,000 27,660 34,244 6400 Other Operating Costs 6,682 7,778 8,235 12,485 8,741 6600 Capital Outlay - - - - - Total Expenditures $ 3,089,764 $ 3,181,067 $ 3,146,371 $ 3,170,840 $ 3,060,115 General Fund Expenditures/Student $ 3,941 $ 4,376 $ 4,593 $ 4,916 $ 4,693

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-2006 2006-07 2007-08 2007-08 2009-10 Reading 97.0% 96.0% 99.0% 98.0% 98.0% Writing 99.0% 96.0% 99.0% 95.0% 95.0% Mathematics 99.0% 98.0% 99.0% 97.0% 97.0% Science 95.0% 95.0% 91.0% 98.0% 98.0% All Tests 97.5% 96.3% 97.0% 97.0% 97.0% TEA Campus Rating Recognized Recognized Exemplary Exemplary Exemplary

142 FY 2009 – 2010 Budget Detailed Budget Analysis

Arlyne & Alan Weber Elementary School 11955 Blackhawk Blvd. Houston, TX 77089

Mission Statement: Provide a positive learning environment in which each student is educated and equipped to develop and to grow into a successful learner. Principal: Teresa Snider Weber Elementary educates students in grades K-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught K-5 K-5 K-5 K-5 K-5 Total Students 745 800 873 829 876 Attendance Rate 96.8% 96.5% 97.0%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 44.0 37.7 59.3 63.0 64.0 Professional Support 2.0 4.3 4.0 4.0 4.0 School Leadership 2.0 2.0 2.0 2.0 2.0 Support Personnel - - - - - Total 48.0 44.0 65.3 69.0 70.0

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 2,832,000 $ 3,153,933 $ 3,294,483 $ 3,889,500 $ 3,846,420 6200 Professional/Contracted Services 270 3,270 270 2,770 2,500 6300 Supplies & Materials 48,844 54,465 50,853 48,148 46,569 6400 Other Operating Costs 6,250 8,250 9,750 12,100 10,100 6600 Capital Outlay - - - - - Total Expenditures $ 2,887,364 $ 3,219,918 $ 3,355,356 $ 3,952,518 $ 3,905,589 General Fund Expenditures/Student $ 3,876 $ 4,025 $ 3,843 $ 4,768 $ 4,458

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 93.0% 95.0% 95.0% 94.0% 94.0% Writing 96.0% 98.0% 98.0% 98.0% 98.0% Mathematics 95.0% 92.0% 93.0% 95.0% 95.0% Science 73.0% 85.0% 92.0% 81.0% 81.0% All Tests 89.3% 92.5% 94.5% 92.0% 92.0% TEA Campus Rating Acceptable Recognized Recognized Exemplary Exemplary

143 FY 2009 – 2010 Budget Detailed Budget Analysis

Wedgewood Elementary School 4000 Friendswood Link Road Friendswood, TX 77546 Mission Statement: Provide a safe and supportive environment that will maximize opportunities for academic, social, and emotional growth so that all individuals can reach their full potential and become productive citizens. Principal: Ann Arrington Wedgewood Elementary educates students in grades PreK-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught PK-5 PK-5 PK-5 PK-5 PK-5 Total Students 828 813 796 817 793 Attendance Rate 96.7% 96.5% 96.6%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 50.0 48.0 52.5 59.0 61.0 Professional Support 7.0 8.0 5.0 5.0 5.0 School Leadership 2.0 2.0 2.0 2.0 2.0 Support Personnel - - - - - Total 59.0 58.0 59.5 66.0 68.0

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 3,172,525 $3,332,843 $3,487,383 $3,757,450 $3,794,240 6200 Professional/Contracted Services 1,170 1,070 1,070 970 950 6300 Supplies & Materials 48,385 46,685 44,821 44,401 49,138 6400 Other Costs 9,340 8,950 8,850 10,700 7,200 6600 Capital Outlay - 0 0 0 0 Total Expenditures $ 3,231,420 $ 3,389,548 $ 3,542,124 $ 3,813,521 $ 3,851,528 General Fund Expenditures/Student $ 3,903 $ 4,169 $ 4,450 $ 4,668 $ 4,857

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 97.0% 97.0% 94.0% 96.0% 96.0% Writing 94.0% 98.0% 96.0% 99.0% 99.0% Mathematics 96.0% 95.0% 95.0% 94.0% 94.0% Science 87.0% 92.0% 94.0% 93.0% 93.0% All Tests 93.5% 95.5% 94.8% 95.5% 95.5% TEA Campus Rating Recognized Exemplary Recognized Exemplary Exemplary

144 FY 2009 – 2010 Budget Detailed Budget Analysis

G.H. Whitcomb Elementary School 900 Reseda

Houston, TX 77062

Mission Statement: Develop responsible citizens in a positive learning environment; to enable all students to achieve their highest potential, supported by teachers, parents and the community; and to prepare our students to live in a global society. Principal: Gail Boyes Whitcomb Elementary educates students in grades PreK-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught PK-5 PK-5 PK-5 PK-5 PK-5 Total Students 828 837 774 722 627 Attendance Rate 96.4% 95.8% 96.2%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 50.0 44.0 43.5 62.0 64.0 Professional Support 7.0 7.0 6.0 6.0 6.0 School Leadership 2.0 2.0 2.0 2.0 2.0 Support Personnel - - - - - Total 59.0 53.0 51.5 70.0 72.0

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 2,934,825 $ 3,201,483 $ 3,405,246 $ 3,461,025 $ 3,548,085 6200 Professional/Contracted Services 3,870 1,926 1,926 1,926 1,656 6300 Supplies & Materials 50,939 61,019 44,048 37,405 36,434 6400 Other Operating Costs 11,470 10,146 13,150 15,654 13,000 6600 Capital Outlay - - - - - Total Expenditures $ 3,001,104 $ 3,274,574 $ 3,464,370 $ 3,516,010 $ 3,599,175 General Fund Expenditures/Student $ 3,625 $ 3,955 $ 4,139 $ 4,543 $ 4,985

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2004-05 2006-07 2007-08 2008-09 2009-10 Reading 96.0% 96.0% 96.0% 93.0% 93.0% Writing 99.0% 93.0% 91.0% 96.0% 96.0% Mathematics 94.0% 93.0% 92.0% 91.0% 91.0% Science 90.0% 83.0% 86.0% 88.0% 88.0% All Tests 94.8% 91.3% 91.3% 92.0% 92.0% TEA Campus Rating Recognized Recognized Recognized Exemplary Exemplary

145 FY 2009 – 2010 Budget Detailed Budget Analysis

Edward H. White Elementary School 1708 Les Talley Drive El Lago, TX 77586 Mission Statement: Foster the intellectual, social, emotional, and physical growth of each student through educational excellence in a positive environment. Principal: Matt Paulson White Elementary educates students in grades K-5

Enrollment Description 2005-06 2006-07 2007-08 2008-09 2009-10 Grade Levels Taught K-5 K-5 K-5 K-5 K-5 Total Students 602 490 493 499 458 Attendance Rate 96.5% 95.4% 96.1%

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Teachers 38.0 34.5 35.5 51.0 51.0 Professional Support 4.0 6.8 2.9 2.9 2.9 School Leadership 2.0 1.0 2.0 2.0 2.0 Support Personnel - - - - - Total 44.0 42.3 40.4 55.9 55.9

General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 2,349,325 $ 2,380,967 $ 2,454,198 $ 2,562,025 $ 2,620,910 6200 Professional/Contracted Services 970 2,070 1,470 1,470 1,200 6300 Supplies & Materials 35,014 33,168 25,949 26,315 31,094 6400 Other Operating Costs 7,300 7,700 7,100 8,750 6,925 6600 Capital Outlay - - - - - Total Expenditures $ 2,392,609 $ 2,423,905 $ 2,488,717 $ 2,598,560 $ 2,660,129 General Fund Expenditures/Student $ 3,974 $ 4,947 $ 5,048 $ 5,208 $ 5,808

Texas Assessment of Knowledge & Skills (TAKS) TAKS TAKS TAKS TAKS Projected Description 2005-06 2006-07 2007-08 2008-09 2009-10 Reading 98.0% 99.0% 96.0% 98.0% 98.0% Writing 99.0% 92.0% 97.0% 97.0% 97.0% Mathematics 96.0% 95.0% 95.0% 95.0% 95.0% Science 94.0% 93.0% 96.0% 95.0% 95.0% All Tests 96.8% 94.8% 96.0% 96.3% 96.3% TEA Campus Rating Exemplary Exemplary Recognized Exemplary Exemplary

146 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Departmental Summary League City, TX 77573 Superintendent of Schools: Dr. Gregory Smith Departmental Description: These departments incorporate all non-teaching activities. They include board activities, finance, operations, public information, technology, human resources and curriculum operations.

District Goals Performance Targets Strategic Goal 1: We will provide rigorous learning opportunities and curricula that transcend state and national standards to improve the achievement of each student while meeting their individual needs and aspirations. Performance Target 1: Document in the written curriculum the alignment of 21st century skills, national standards and college readiness standards for all courses.

Performance Target 2: Implement a program evaluation plan to determine cost/benefit of identified programs. Performance Target 3: Implement a computer network capable of supporting outside devices. Performance Target 4: Increase the number of students identified as college/workforce redy. Strategic Goal 2: We will enhance the character development of each studentwith an emphasis on creating a sense of personal responsibility and a commitment to community. Performance Target 1: Develop service learning expectations for all students. Performance Target 2: Develop a student mentoring model to support students transitioning to 9th grade. Strategic Goal 3: We will recruit, develop and retain compassionate, effective, innovative and highly moticvated staff.

Performance Target 1: Implement a recruitment system that focuses on key attributes; compassionate, effective, innovative and highly Performance Target 2: Implement a professional development system that provides learning sequences for new to profession, mid- Performance Target 3: Maintain a competitive salary and benefit package for all employees. Strategic Goal 4: We will focus our use of resources to accelerate learning for all students and eliminate the achievement gap.

Performance Target 1: Ensure that CCISD will be rated as an Exemplary district in 2010. Performance Target 2: Expand Pre-Kindergarten to serve the maximum number of 4 year olds. Performance Target 3: Expand and market e4 Academy. Performance Target 4: Maintain a balanced budget while meeting the needs of our students. Strategic Goal 5: We will provide learning environments that ate physically safe and emotionally secure for all students, faculty and staff.

Performance Target 1: Determine long-term building and infrastructure needs. Performance Target 2: Increase unified communications. Performance Target 3: Implement a system to prevent bullying and cyberbullying. Strategic Goal 6: We will lead, develop, and implement a robust parent and community involvement program to successfully achieve the District mission and objectives. Performance Target 1: Develop a communication system aimed at increasing public trust and the public perception of excellence.

Performance Target 2: Develop a system to make every school the hub of each community for student and adult learners. Performance Target 3: Develop a system to increase the involvement of parents. Strategic Goal 7: We will nurture, support, and develop collaborative leadership at all levels throughout the learning community.

Performance Target 1: Implement a safe network for improved collaboration 24/7 any time and any where. Performance Target 2: Develop a succession plan for campus and departmental leadership. Performance Target 3: Create a professional development sequence for new administrators focusing on operational management.

147 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Office of the Superintendent of Schools League City, TX 77573

Superintendent of Schools: Dr. Gregory Smith Departmental Description: The office of the Superintendent of Schools is responsible for the District's educational and operational performance. This department also includes the budget for the Board of Trustees.

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009--10 Professional Support 1.0 1.0 1.0 1.0 1.0 Support Personnel 1.0 1.0 1.0 1.0 1.0 Total 2.0 2.0 2.0 2.0 2.0 General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009--10 6100 Payroll Costs $ 286,875 $ 286,875 $ 335,700 $ 370,425 $ 327,970 6200 Professional/Contracted Services $ 9,250 $ 9,250 $ 4,500 $ 4,500 $ 1,500 6300 Supplies & Materials $ 8,300 $ 8,300 $ 7,800 $ 7,800 $ 8,025 6400 Other Operating Costs $ 128,225 $ 128,225 $ 44,125 $ 54,125 $ 53,575 6500 Debt Service $ - $ - $ - $ - $ - 6600 Capital Outlay $ - $ - $ - $ - $ - Total Expenditures $ 432,650 $432,650 $392,125 $436,850 $391,070

Total Students 36,163 34,972 34,565 35,374 37,634 General Fund Expenditures/Student $ 12 $ 12 $ 11 $ 12 $ 10

Clear Creek Independent School District Office of Curriculum & Instruction League City, TX 77573 Deputy Superintendent of Curriculum & Instruction : Dr. Steven Eb ell Assistant Superintendent of Curriculum & Instruction: Tina Farrell Departmental Description:

The office of Curric ulum and Instruction is responsible for all curriculum based pr ograms thr oughout the Dis trict. It includes cur ri cu l um an d s taff d e vel o pm en t, stud e n t suppo rt ser vi ces, bil ingua l e duc ati on, da ta a nd eval ua ti on, spe cia l educati o n, gi fted a nd ta le nted educa tio n, v isua l a nd pe rfo rming arts, at risk education, library and teacher services, and all core content functions .

Em plo ye e FT E’ s Description 2005-06 2006-07 2007-08 2008-09 2009--10 Professional Support 27.0 27.0 28.0 28.0 28.0 Support Personnel 22.0 22.0 23.0 23.0 23.0 Total 49.0 49.0 51.0 51.0 51.0 General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009--10 6100 Payroll Costs $ 2,908,650 $ 3,411,175 $ 4,876,125 $ 4,716,658 $ 5,834,703 6200 Professional/Contracted Services $ 1,015,182 $ 1,094,033 $ 990,843 $ 1,207,753 $ 1,138,263 6300 Supplies & Materials $ 432,259 $ 544,992 $ 938,619 $ 1,022,692 $ 976,265 6400 Other Operating Costs $ 241,331 $ 299,020 $ 309,565 $ 786,899 $ 872,629 6500 Debt Service $ - $ - $ - $ - $ - 6600 Capital Outlay $ - $ - $ 13,000 $ 4,500 $ 310,243 Total Expenditures $ 4,597,422 $ 5,349,220 $7,128,152 $7,738,502 $9,132,103

Total Students 36,163 34,972 34,565 35,374 37,634 General Fund Expenditures/Student $ 127 $ 153 $ 206 $ 219 $ 243

148 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Office of Secondary Education League City, TX 77573

Assistant Superintendent of Secondary Education: Alex Torrez Departmental Description: The office of Secondary Education is responsible for all secondary campus activities. This includes both intermediate and high schools, career and technology education, athletics, summer school, alternative education programs, and ROTC programs.

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009--10 P rofessional Support 5.0 7.0 7.0 7.0 7.0 S upport Personnel 3.0 3.0 3.0 3.0 3.0 Total 8.0 10.0 10.0 10.0 10.0 General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009--10 6100 Payroll Costs $ 1,686,265 $ 1,910,100 $ 2,006,655 $ 2,430,785 $ 2,946,425 6200 Professional/ Contracted Servi ces $ 167,013 $ 181,979 $ 197,892 $ 195,969 $ 242,069 6300 Su pplies & Materials $ 133,381 $ 142,263 $ 153,771 $ 187,806 $ 248,391 6400 Other Operatin g Costs $ 123,660 $ 130,438 $ 153,500 $ 126,798 $ 167,261 6500 Debt Service $ - $ - $ - $ - $ - 6600 Capital Outlay $ 84,000 $ 6,000 $ 6,000 $ 4,500 $ 5,800 Total Exp enditu res $ 2,194,319 $ 2,370,780 $ 2,517,818 $2,945,858 $3,609,946

Total Students 36,163 34,972 34,565 35,374 37,634 G en er al Fund Expenditures/Student $ 61 $ 68 $ 73 $ 83 $ 96

Clear Creek Independent School District Office of Elementary Education League City, TX 77573

Assistant Superintendent of Elementary Education: Holly Hughes Departmental Description: The office of Support Services incorporates all major operating departments in the District. This includes food service, maintenance & custodial operations, facilities, transportation, and security.

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009--10 P rofessional Support 1.0 1.0 1.0 1.0 1.0 S upport Personnel 1.0 1.0 1.0 1.0 1.0 Total 2.0 2.0 2.0 2.0 2.0 General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009--10 6100 Payroll Costs $ 163,525 $ 256,400 $ 3,690 $ 52,077 $ 61,678 6200 Professional/ Contracted Servi ces $ 46,412 $ 24,700 $ 28,400 $ 11,800 $ 9,250 6300 Su pplies & Materials $ 44,047 $ 17,775 $ 70,639 $ 56,718 $ 131,213 6400 Other Operatin g Costs $ 7,351 $ 8,305 $ 31,535 $ 17,155 $ 43,162 6500 Debt Service $ - $ - $ - $ - $ - 6600 Capital Outlay $ - $ - $ - $ - $ - Total Exp enditu res $ 261,335 $ 307,180 $134,264 $137,750 $245,303

Total Students 36,163 34,972 34,565 35,374 37,634 G en er al Fund Expenditures/Student $ 7 $ 9 $ 4 $ 4 $ 7

149 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Office of the Chief Financial Officer League City, TX 77573

Chief Financial Officer: Paul McLarty Departmental Description:

The office of Chief Financial Officer incorporates the major business functions of the District. This includes the Department of Finance, Department of Purchasing, Department of Benefits and Risk Management, warehouse operations, Printing Services, Teachers Center and the Tax Office.

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Professional Support 13.0 13.0 15.0 15.0 15.0 Support Personnel 26.0 28.0 34.0 34.0 34.0 Total 39.0 41.0 49.0 49.0 49.0 General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009-10 6100 Payroll Costs $ 2,171,350 $ 2,012,900 $ 2,492,175 $ 2,779,300 $ 2,832,575 6200 Professional/Contracted Services $ 1,717,654 $ 1,638,184 $ 1,707,626 $ 1,704,617 $ 1,702,142 6300 Su pplies & Materials $ 268,302 $ 317,959 $ 327,987 $ 322,347 $ 338,723 6400 Other Operatin g Costs $ 68,713 $ 84,859 $ 158,201 $ 157,850 $ 156,470 6500 Debt Service $ - $ - $ - $ - $ - 6600 Capital Outlay $ - $ - $ - $ - $ - Total Exp enditu res $ 4,226,019 $4,053,902 $4,685,989 $4,964,114 $5,029,910

Total Students 36,163 34,972 34,565 35,374 37,634 G en er al Fund Expenditures/Student $ 117 $ 116 $ 136 $ 140 $ 134

Clear Creek Independent School District Office of Human Resources League City, TX 77573

Assistant Su perinten dent of H uman Resources: Dr . Dav i d O'N eil l Departmental Description:

The office of Human Resources incorporates recruiting and retention efforts distric t-wide. It includes the teacher mentor pr ogr am, e l ementa ry, seco ndary and sup po rt staff recruit ment, and Title X activities.

Em plo ye e FT E’ s Description 2005-06 2006-07 2007-08 2008-09 2009--10 Professional Support 6.0 6.0 6.0 6.0 6.0 Support Personnel 12.0 12.0 13.0 13.0 13.0 Total 18.0 18.0 19.0 19.0 19.0 General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009--10 6100 Payroll Costs $ 657,450 $ 842,400 $ 1,057,100 $ 1,092,900 $ 1,248,590 6200 Professional/Contracted Services $ 48,800 $ 77,800 $ 44,950 $ 44,950 $ 36,550 6300 Supplies & Materials $ 18,300 $ 18,300 $ 23,150 $ 23,150 $ 26,800 6400 Other Operating Costs $ 36,900 $ 46,900 $ 74,900 $ 74,900 $ 88,750 6500 Debt Service $ - $ - $ - $ - $ - 6600 Capital Outlay $ - $ - $ - $ - $ - Total Expenditures $ 761,450 $985,400 $1,200,100 $1,235,900 $1,400,690

Total Students 36,163 34,972 34,565 35,374 37,634 General Fund Expenditures/Student $ 21 $ 28 $ 35 $ 35 $ 37

150 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Office of Support Services League City, TX 77573

Associate Superintendent of Support Services: Ron Mc Pherson Departmental Description: The office of Suppor t Servic es inc orporates all major operating departments in the Dis tric t. This inc ludes food serv ice, maintenance & custodial operations, facilities, transportation, and security.

Em plo ye e FT E’ s Description 2005-06 2006-07 2007-08 2008-09 2009-10 Professional Support 8.5 9.7 10.0 10.0 10.0 Support Personnel 11.0 12.0 15.0 15.0 15.0 Auxiliary Personnel 940.0 954.7 960.0 960.0 960.0 Total 959.5 976.3 985.0 985.0 985.0 General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009--10 6100 Payroll Costs $ 13,604,975 $ 14,471,675 $ 16,053,026 $ 17,856,500 $ 21,610,852 6200 Professional/Contracted Services $ 1,670,129 $ 1,657,565 $ 1,628,461 $ 1,777,317 $ 3,365,960 6300 Supplies & Materials $ 2,325,253 $ 2,661,328 $ 3,633,378 $ 4,869,552 $ 4,722,855 6400 Other Operating Costs $ 31,494 $ 32,982 $ 53,682 $ 52,892 $ 121,316 6500 Debt Service $ - $ - $ - $ - $ - 6600 Capital Outlay $ 8,000 $ 8,000 $ 135,300 $ 135,300 $ 65,300 Total Expenditures $ 17,639,851 $ 18,831,550 $21,503,847 $24,691,561 $29,886,283

Total Students 36,163 34,972 34,565 35,374 37,634 General Fund Expenditures/Student $ 488 $ 538 $ 622 $ 698 $ 794

Clear Creek Independent School District Office of Policy and Legal Affairs League City, TX 77573

Director of Policy and Legal Affairs: Sheila Haddock Departmental Description: The office of Policy and Legal Aff airs incorporates all leg al and policy issues. This department works closely with our district attorneys on all legal issues, develops policy and heads the Policy Committee.

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009--10 P rofessional Support 1.0 1.0 1.0 1.0 1.0 S upport Personnel 1.0 1.0 1.0 1.0 1.0 Total 2.0 2.0 2.0 2.0 2.0 General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009--10 6100 Payroll Costs $ 120,600 $ 131,800 $ 235,100 $ 212,200 $ 267,900 6200 Professional/ Contracted Servi ces $ 500 $ - $ 5,345 $ 3,900 $ 3,900 6300 Su pplies & Materials $ 1,825 $ 2,945 $ 19,655 $ 5,270 $ 5,300 6400 Other Operatin g Costs $ 3,675 $ 3,055 $ - $ 15,830 $ 15,300 6500 Debt Service $ - $ - $ - $ - $ - 6600 Capital Outlay $ - $ - $ - $ - $ - Total Exp enditu res $ 126,600 $ 137,800 $260,100 $237,200 $292,400

Total Students 36,163 34,972 34,565 35,374 37,634 G en er al Fund Expenditures/Student $ 4 $ 4 $ 8 $ 7 $ 8

151 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Office of Public Information League City, TX 77573

Director of Public Information: Elaina Polsen Departmental Description: The office of Public Information incorporates all internal and external communications district-wide. It includes External Affairs, Business and Community Partnerships and Public Inf ormation.

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009--10 P rofessional Support 5.0 5.0 6.0 5.0 5.0 Support Personnel 7.0 7.0 8.0 2.0 2.0 Total 12.0 12.0 14.0 7.0 7.0 General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009--10 6100 Payroll Costs $ 354,525 $ 403,275 $ 414,775 $ 397,900 $ 439,870 6200 Professional/Contracted Servi ces $ 50,210 $ 49,850 $ 50,700 $ 35,700 $ 49,000 6300 Su pplies & Materials $ 28,866 $ 29,226 $ 69,000 $ 77,000 $ 33,835 6400 Other Operatin g Costs $ 21,174 $ 21,174 $ 31,000 $ 38,000 $ 23,205 6500 Debt Service $ - $ - $ - $ - $ - 6600 Capital Outlay $ - $ - $ - $ - $ - Total Expenditures $ 454,775 $ 503,525 $565,475 $548,600 $545,910

Total Students 36,163 34,972 34,565 35,374 37,634 G en er al Fund Expenditures/Student $ 13 $ 14 $ 16 $ 16 $ 15

Clear Creek Independent School District Office of the Chief Technology Officer League City, TX 77573

Chief Technology Officer: Chad Steven s Departmental Description: The office of Technology Services incorporates all computing and communications activities district-wide. This includes network infrastructure, the District's fiber optic computing and telephone network, data management, and teacher technology staff.

Employee FTE’s Description 2005-06 2006-07 2007-08 2008-09 2009--10 P rofessional Support 13.0 14.0 14.0 14.0 14.0 S upport Personnel 5.0 5.0 5.0 5.0 5.0 Technology Support 27.0 27.0 30.0 30.0 30.0 Total 45.0 46.0 49.0 49.0 49.0 General Fund Expenditures by Object Description 2005-06 2006-07 2007-08 2008-09 2009--10 6100 Payroll Costs $ 2,109,300 $ 2,376,550 $ 2,506,175 $ 2,663,000 $ 2,550,675 6200 Professional/Contracted Services $ 1,014,850 $ 914,970 $ 976,732 $ 1,020,932 $ 1,394,680 6300 Su pplies & Materials $ 457,850 $ 549,192 $ 455,930 $ 503,930 $ 542,280 6400 Other Operating Costs $ 30,200 $ 41,199 $ 41,199 $ 41,499 $ 41,850 6500 Debt Service $ - $ - $ - $ - $ - 6600 Capital Outlay $ 195,000 $ 145,000 $ 145,000 $ 935,000 $ - Total Exp enditu res $ 3,807,200 $ 4,026,911 $4,125,036 $5,164,361 $4,529,485

Total Students 36,163 34,972 34,565 35,374 37,634 G en er al Fund Expenditures/Student $ 105 $ 115 $ 119 $ 146 $ 120

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 The Economy

Economy and Demographics The following information has been derived from various sources, including the Texas Municipal Reports published by the Municipal Advisory Council of Texas, U.S. Census data, area Chamber of Commerce and District officials. While such sources are believed to be reliable, no representation is made as to the accuracy thereof.

Industrial Economic Base The economy of the District and its surrounding area is diversified, with oil and gas as the base of industrial activity. The abundance of key natural resources along the Texas Gulf Coast has created the country's greatest concentration of petrochemical complexes within the overall coastal area. Though District industries are largely petrochemical in nature, they are not exclusively so. Originally a rice farming and ranching area, the lakes and waterways of the District offer not only boating and fishing sports and revenues from recreational tourist facilities, but also represents a hub of industrial development lining the nearby Houston Ship Channel.

The Johnson Space Center of the National Aeronautics and Space Administration ("NASA"), which is currently responsible for NASA's space shuttle and space station projects, is an important part of the Clear Lake area economy, both as an employer of more than 3,000 civil service employees and approximately 13,500 local contractors. In addition, Space Center Houston, a visitor complex and educational facility, has approximately 800,000 visitors annually. The rate and extent of continued development within the Clear Lake Area could be influenced by the degree of continued federal funding of Johnson Space Center projects.

A major employment base in the general area has been the Bayport Industrial Development ("Bayport"), a planned industrial development of approximately 10,750 acres by Exxon Land Development with approximately 62 industrial plants in operation. Bayport is located in southeast Harris County approximately 23 miles from the central business district of the City of Houston. It includes a 40-foot deep water port and channel facility connected to the Houston Ship Channel, barge dock facilities, a pipeline network and railroad service lines.

The Baybrook Mall serves the southeast metropolitan Houston Area and Galveston County. The mall contains 1.1 million leasable square feet and is anchored by four major department stores.

Presently serving the Clear Lake area are three general hospitals, Clear Lake Regional Medical Center in the City of Webster with 482 beds; Memorial Hermann Southeast Hospital in the City of Houston with 256 beds; and St. John's Hospital in the City of Nassau Bay with 135 beds.

Residential Development The major residential developers within the District are Friendswood Development Company, Limited and South Shore Harbour Development, Limited. The Friendswood Development Company, Limited is currently selling homes in 2 subdivisions in the Clear Lake area which are in the District. South Shore Harbour Development, Limited has developed 5 residential subdivisions in the master-planned South Shore Harbour development. There are a number of additional residential subdivisions within the District which are or have been developed by other developers.

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Educational Facilities Also serving the area is the University of Houston-Clear Lake, constructed on a 524-acre site in the District, with enrollment of approximately 8,000 students. As an upper-level institution, University of Houston-Clear Lake works closely with the nine community college districts along the upper Gulf Coast of Texas. Classes start at the junior level of college scholastics.

The San Jacinto Junior College District operates a South Campus on 13735 Beamer Road with a current enrollment of approximately 7,200 students. The San Jacinto College Clear Creek Extension Center is located at Clear Creek High School in League City. Students living in the Clear Creek Independent School District pay in-district fees for classes taken at the extension center. Classes are offered Tuesday through Thursday evenings.

The College of the Mainland in Texas City, Texas is a junior college, which also offers mandatory continuing education classes for realtors and travel agents in the Clear Lake area at a local hotel and travel agency. Currently, there are approximately 3,940 full time students enrolled.

Harris County Economic Base A significant portion of the District is located in Harris County (the "County"), the most populous county in the State of Texas, with a 2000 estimated population of 3,400,578, an increase of approximately 20.66% since 1990. The County's economy is based on industry, mineral production, shipping and agriculture.

Harris County is a highly industrialized county with manufacturing plants producing petroleum refining, chemicals, food, fabricated metal products, non-electric machinery, primary metals, scientific instruments, paper and allied products and printing and publishing. Harris County is also a corporate management center, a center of energy, space and medical research centers and a center of international business. Harris County contains the nation's largest concentration of petrochemical plants and the largest U.S. wheat exporting port which is among the top U.S. ports in the value of foreign trade and total tonnage.

Galveston County Economic Base Galveston County is located on the Gulf Coast. Port activities dominate the economy but also included are insurance and finance centers, petrochemical plants, varied manufacturing, tourism, medical educational center, oceanographic research center, ship building, and commercial fishing. Galveston County had a 1990 United States Census population of 217,339 which grew to 250,158 in 2000, an increase of 15.10% since 1990.

The Texas State Legislature designated Galveston County as one of three counties to operate a Greyhound Race Track in the State of Texas. The other tracks have been opened in Harlingen and Corpus Christi. Gulf Greyhound Park (the “Greyhound Park”) is the world’s largest and #1 greyhound racing operation. During its first year of operation the Greyhound Park broke the all-time industry records for attendance and wagering as over two million race fans visited the park during that year. Since November 1992, over ten million fans have attended the Greyhound Park and over $1.4 billion dollars have been paid out to winners.

The Kemah Boardwalk, located 20 miles from downtown Houston, has over 4.5 million visitors annually. The Kemah Boardwalk features restaurants like Joe’s Crab Shack, The Flying Dutchman, Cadillac Bar, Landry’s Seafood House, Saltgrass Steakhouse, Kemah Crabhouse, Babin’s Seafood House, and the Aquarium Restaurant featuring a 50,000-gallon aquarium brimming with marine life. There are 154 FY 2009 – 2010 Budget Detailed Budget Analysis

dancing fountains, midway games, amusement park rides and retail specialty shops. The seaside hotel, The Boardwalk Inn, provides upscale accommodations on the Boardwalk. Adjacent to the Kemah Boardwalk is the Kemah Lighthouse Shopping District featuring over 30 specialty shops, numerous Bed and Breakfast accommodations, and a number of other restaurants.

Communities Located Entirely within the District

1980(a) 1990(b) 2000 (c) Incorporated Population Population Population

Clear Lake Area (City of Houston) (d) 22,000 60,000 64,000 League City 16,578 30,159 45,444 Seabrook 4,670 6,685 9,443 Webster 2,405 4,678 9,083 Nassau Bay 4,526 4,320 4,170 El Lago 3,129 3,269 3,705 Taylor Lake Village 3,669 3,394 3,694 Kemah 1,304 1,094 2,330 Clear Lake Shores 755 1,096 1,205

Small portions of the City of Friendswood and Pasadena are also located within the District.

Source: Clear Creek Independent School District OFFICIAL STATEMENT dated April 15, 2009

ECONOMIC AND GROWTH INDICATORS

- U.S. Census of Population -

Galveston County City of Houston Harris County Number % Change Number % Change Number % Change 1930 64,401 +21.17% 292,352 +111.43% 359,328 +92.50% 1940 81,173 +26.04 384,514 +31.52 528,961 +47.20 1950 113,066 +39.29 596,163 +55.04 806,701 +52.50 1960 140,364 +24.14 938,219 +57.38 1,243,158 +52.10 1970 169,812 +20.98 1,232,802 +31.40 1,741,912 +40.10 1980 195,940 +15.39 1,594,086 +29.31 2,409,544 +38.33 1990 217,339 +10.92 1,637,859 +02.75 2,818,199 +16.96 2000 250,158 +15.10 1,953,631 +19.28 3,400,578 +20.66

Source: Clear Creek Independent School District OFFICIAL STATEMENT dated April 15, 2009

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 State and Local Funding of School Districts in Texas

Recent Litigation Relating to the Texas Public School Finance System On April 9, 2001, four property wealthy districts filed suit in the 250th District Court of Travis County, Texas (the “District Court”) against the Texas Education Agency, the Texas State Board of Education, the Texas Commissioner of Education (the “Commissioner”) and the Texas Comptroller of Public Accounts in a case styled West Orange-Cove Consolidated Independent School District, et al. v. Neeley, et al. The plaintiffs alleged that the $1.50 maximum maintenance and operations tax rate had become in effect a state property tax, in violation of article VIII, section 1-e of the Texas Constitution, because it precluded them and other school districts from having meaningful discretion to tax at a lower rate. Forty school districts intervened alleging that the Texas public school finance system (the “Finance System”) was inefficient, inadequate, and unsuitable, in violation of article VII, section 1 of the Texas Constitution, because the State of Texas (the “State”) did not provide adequate funding. This case has twice reached the Texas Supreme Court (the “Supreme Court”), which rendered decisions in the case on May 29, 2003 (“West Orange-Cove I”) and November 22, 2005 (“West Orange-Cove II”). After the remand by the Supreme Court back to the District Court in West Orange- Cove I, 285 other school districts were added as plaintiffs or interveners. The plaintiffs joined the interveners in their article VII, section 1 claims that the Finance System was inadequate and unsuitable, but not in their claims that the Finance System was inefficient. On November 30, 2004, the final judgment of the District Court was released in connection with its reconsideration of the issues remanded to it by the Supreme Court in West Orange-Cove I. In that case, the District Court rendered judgment for the plaintiffs on all of their claims and for the interveners on all but one of their claims.

In West Orange-Cove II, the Supreme Court’s holding was twofold: (1) that the local M&O Tax had become a state property tax in violation of article VIII, section 1-e of the Texas Constitution and (2) the deficiencies in the Finance System did not amount to a violation of article VII, section 1 of the Texas Constitution.

In reaching its first holding, the Supreme Court relied on evidence presented in the District Court to conclude that school districts did not have meaningful discretion in levying the M&O Tax. In reaching its second holding, the Court, using a test of arbitrariness determined that: the public education system was “adequate,” since it is capable of accomplishing a general diffusion of knowledge; the Finance System was not “inefficient,” because school districts have substantially equal access to similar revenues per pupil at similar levels of tax effort, and efficiency does not preclude supplementation of revenues with local funds by school districts; and the Finance System does not violate the constitutional requirement of “suitability,” since the system was suitable for adequately and efficiently providing a public education.

Funding Changes in Response to West Orange-Cove II In response to the decision in West Orange-Cove II, the Texas Legislature (the “Legislature”) enacted House Bill 1 (“HB 1”), which made substantive changes in the way the Finance System is funded, as well as other legislation which, among other things, established a special fund in the Texas state treasury to be used to collect new tax revenues that are dedicated under certain conditions for appropriation by the Legislature to reduce M&O Tax rates, broadened the State business franchise tax, modified the procedures for assessing the State motor vehicle sales and use tax and increased the State tax on tobacco products (HB 1 and other described legislation are collectively referred to as the “Reform Legislation”). The Reform Legislation generally became effective at the beginning of the 2006-07 fiscal year of each district.

Recent Litigation Relating to House Bill 1 On June 14, 2006, an entity called Citizens Lowering Our Unfair Taxes PAC ("CLOUT") filed a lawsuit in the 345th District Court (the "District Court") in Travis County, Texas against the Texas Lieutenant

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Governor, the Speaker of the Texas House of Representatives, the Texas Comptroller of Public Accounts, the State of Texas and the Legislative Budget Board. The plaintiffs allege that various violations of Article VIII, Section 22(a) of the Texas Constitution and Chapter 316 of the Texas Government Code have occurred and have resulted in unconstitutional and illegal spending by the State government, including the appropriations made for the Texas public school Finance System under HB 1.

Among other things, the plaintiffs seek a declaratory judgment that the methodology used to establish the maximum amount of non-dedicated State revenues subject to appropriation in the 2006-2007 State biennium, and the amount appropriated by the Legislature in HB 1 to fund the Finance System during such biennium, violates Article VIII, Section 22(a), which provides that, unless a resolution is adopted by the Legislature to override the spending limit "[i]n no biennium shall the rate of growth of appropriations from state tax revenues not dedicated by this constitution exceed the estimated rate of growth of the state’s economy."

A series of court decisions, appeals and other legal actions pursued by both the plaintiffs and the State Defendants has most recently resulted in the Third Court of Appeals’ decision on April 2, 2008 dismissing all of the plaintiff’s causes of action alleged in the CLOUT Lawsuit No. 1 for lack of subject matter jurisdiction, save and except one allegation added during the appeal process claiming the specific amount of the 2008-2009 State legislative appropriation from non-dedicated State tax revenue exceeds the 2008-2009 spending cap (the “CLOUT Lawsuit No. 2”).

 Current Public School Finance System

General The following description of the Finance System includes the provisions of the Reform Legislation. For a more complete description of school finance and fiscal management in the State, reference is made to Vernon’s Texas Codes Annotated, Education Code, and Chapters 41 through 46, as amended.

The Reform Legislation, which generally became effective at the beginning of the 2006-07 fiscal year of each district, made substantive changes to the manner in which the Finance System is funded, but did not modify the basic structure of the Finance System. The changes to the manner in which the Finance System is funded are intended to reduce local M&O Tax rates by one third over two years, with M&O Tax levies declining by approximately 11% in fiscal year 2006-07 and approximately another 22% in fiscal year 2007-08. Additional State funding needed to offset local tax rate reductions must be generated by the modified State franchise, motor vehicle and tobacco taxes or any other revenue source appropriated by the Legislature. The Legislative Budget Board (LBB), projected that the Reform Legislation will be under funded from the Reform Legislation revenue sources by a cumulative amount of $25 billion over fiscal years 2006-07 through 2010-11, although State surpluses were appropriated to offset the revenue shortfall in fiscal year 2006-07 and for the 2008-09 State biennium, and the shortfall could be addressed in future years if the Reform Legislation, particularly the ad valorem tax compression measures of HB 1, should prove to be an economic stimulus for the State or if there is sustained growth in the economy of the State that generates greater State revenues than were originally forecast by the LBB.

Under the Finance System, school districts are guaranteed to receive State funding necessary to provide the district the greater of (A) the amount of State and local revenue per student for the district in the 2005-06 fiscal year, (B) the amount of State and local revenue per student the district would have been entitled to for the 2006-07 fiscal year based on the funding elements in place prior to the Reform Legislation using the M&O Tax rate the district adopted for the 2005-06 fiscal year, or (C) the amount of State and local revenue per student the district would have been entitled to for the 2006-07 fiscal year based on the funding elements in place prior to the Reform Legislation using an M&O Tax rate that would allow the district to maintain total revenue per student under the funding elements in place prior to the Reform Legislation. In addition to the greater of (A), (B) or (C), HB 1 provided a

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$2,500 salary allotment to fund a salary increase for teachers and certain other employees and a high school student allotment of $275 per student in average daily attendance for dropout prevention and college readiness programs. During the 2007 Regular Legislative Session, which convened on January 9, 2007 and adjourned on May 28, 2007, a new funding allotment was created and funded by the Legislature to provide an average $425 salary increase for educators at each school district. State funds appropriated to provide districts the guaranteed amount may only be used for operating and maintenance purposes and not to fund facilities, debt service or other purposes. If a district adopts an M&O Tax rate in any fiscal year below a rate equal to the state compression percentage for the district in that year multiplied by the M&O Tax rate adopted by the district for the 2005 06 fiscal year, the district’s guaranteed amount is reduced in a proportionate amount. If a district would receive more State and local revenue from the Tier I and Tier II allotments and wealth equalization than the guaranteed amount described above, the amount of State funding will be reduced by the amount of such surplus over the guaranteed amount described above.

In general terms, funds are allocated to districts in a manner that requires districts to “compress” their tax rates in order to receive increased State funding at a level that equalizes local tax wealth at the 88th percentile yield for the 2006-07 fiscal year. A basic component of the funding formulas is the state compression percentage. The state compression percentage is 88.67% for fiscal year 2006-07 and 66.67% for fiscal year 2007-08.

State Funding for Local School Districts To limit disparities in school district funding abilities, the Finance System (1) compels districts with taxable property wealth per weighted student higher than the equalized wealth level to reduce their wealth to such amount or to divert a portion of their tax revenues to other districts as described below and (2) provides various State funding allotments, including a basic funding allotment and other allotments for “enrichment” of the basic program, for debt service tax assistance and for new facilities construction.

The Finance System provides for (1) State guaranteed basic funding allotments per student (Tier I) and (2) State guaranteed revenues per student for each cent of local tax effort to provide operational funding for an enriched educational program (Tier II). In addition, to the extent funded by the Legislature, the Finance System includes, among other funding allotments, an allotment to subsidize existing debt service up to certain limits (EDA), the Instructional Facilities Allotment (IFA), and an allotment to pay operational expenses associated with the opening of a new instructional facility. Tier I, Tier II, EDA and IFA are generally referred to as the Foundation School Program. Tier I and Tier II allotments and prior year IFA allotments are generally required to be funded each year by the Legislature. EDA and future year IFA allotments supplement local ad valorem taxes levied for debt service on bonds issued by districts to construct acquire and improve facilities and are generally subject to appropriation by the Legislature.

Tier I allotments are intended to provide all districts a basic program of education rated academically acceptable and meeting other applicable legal standards. If needed, the State will subsidize local tax receipts at a tax rate of $.86 per $100 of property value to ensure that the cost to a district of the basic program is met. Tier II allotments are intended to guarantee each school district that is not subject to the wealth transfer provisions described below an opportunity to supplement that program at a level of its own choice, however Tier II allotments may not be used for the payment of debt service or capital outlay. The cost of the basic program is based on an allotment per student known as the Tier I Basic Allotment. The Tier I Basic Allotment is adjusted for all districts by a cost-of-living factor known as the cost of education index. In addition, a district-size adjustment further adjusts the Tier I Basic Allotment for districts that have less than 5,000 students in average daily attendance.

The IFA guarantees each school district a specified amount per student (the IFA Guaranteed Yield) in State and local funds for each cent of tax effort to pay principal of and interest on eligible bonds issued to construct, acquire, renovate or improve instructional facilities. To receive an IFA, a school district must apply to the Commissioner in accordance with rules adopted by the Commissioner before issuing 158 FY 2009 – 2010 Budget Detailed Budget Analysis

the bonds to be paid with State assistance. If the total amount appropriated by the State for IFA in a year is less than the amount of money school districts applying for IFA are entitled to for that year, districts applying will be ranked by the Commissioner by wealth per student, and State assistance will be awarded to applying districts in ascending order of adjusted wealth per student beginning with the district with the lowest adjusted wealth per student. Clear Creek does not qualify for IFA funding.

State financial assistance is provided for certain existing debt issued by school districts (referred to herein as EDA) to produce a guaranteed yield (the EDA Yield). Effective September 1, 2003, the portion of the local debt service rate that has qualified for equalization funding by the State has been limited to the first 29 cents of debt service tax or a greater amount for any year provided by appropriation by the Legislature. In 2007, the Legislature appropriated funds for outstanding school district bonds that qualified in prior budget cycles for EDA allotments, provided additional EDA funding for the State’s 2008-09 fiscal biennium for new bonds that qualify for the allotment and rolled forward the eligibility date from 2004-05 to 2006-07 fiscal year. A district may not receive EDA funding for the principal and interest on a series of otherwise eligible bonds for which the district receives overlapping IFA funding. Clear Creek does not qualify for EDA funding.

A district may also qualify for an allotment for operational expenses associated with opening new instructional facilities. This funding source may not exceed $25,000,000 in one school year on a State-wide basis. For the first school year in which students attend a new instructional facility, a district is entitled to an allotment of $250 for each student in average daily attendance at the facility. For the second school year in which students attend that facility, a district is entitled to an allotment of $250 for each additional student in average daily attendance at the facility. The new facility operational expense allotment will be deducted from wealth per student for purposes of calculating a district’s Tier II State funding. Clear Creek qualifies for funding under this program.

Local Revenue Sources - Property Tax Authority The primary source of local funding for school districts is ad valorem taxes levied against the local tax base. The former provision of the Education Code, Section 45.003, that in general limited the M&O Tax rate to $1.50 per $100 of taxable assessed value, was replaced with a formula using the state compression percentage so that the maximum tax rate that may be adopted by a district in any fiscal year is limited based on the amount of State funds to be received by the District in that year. For the 2006-07 and 2007-08 fiscal years, districts may generate additional local funds by raising their M&O Tax rate by $0.04 above the compressed tax rates (without taking into account changes in taxable valuation) without voter approval, and such amounts will generate equalized funding dollars from the State under the Tier II program. In fiscal year 2008-09 and thereafter, districts may, in general, increase their tax rate by an additional two or more cents and receive State equalization funds for such taxing effort so long as the voters approve such tax rate increase. School districts are also authorized to levy a bond debt service tax that may be unlimited in rate. The governing body of a school district cannot adopt an annual tax rate which exceeds the district’s rollback tax rate without submitting such proposed tax rate to the voters at a referendum election.

Wealth Transfer Provisions Under the Finance System, districts are required, with certain limited exceptions, to effectively adjust taxable property wealth per weighted student (wealth per student) for each school year to no greater than the equalized wealth level, determined in accordance with a formula set forth in the Reform Legislation. A district may effectively reduce its wealth per student either by reducing the amount of taxable property within the district relative to the number of weighted students, by transferring revenue out of the district or by exercising any combination of these remedies.

The wealth level that required wealth reduction measures for fiscal year 2006-07 was $319,500 per student in average daily attendance. For 2007-08 that wealth level was modified to $364,500 per student in average daily attendance with respect to that portion of a district’s M&O tax effort that does not exceed its compressed tax rate, and $319,500 with respect to that portion of a district’s local tax

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effort that is beyond its compressed rate plus $.04. Property wealthy districts may also be able to levy up to an additional four cents (six cents beginning with fiscal year 2009-10) per $100 of assessed valuation of M&O Taxes above their compressed rate for revenue that is not subject to recapture.

A district has four options to reduce its wealth per student so that it does not exceed the equalized wealth level: (1) A district may consolidate by agreement with one or more districts to form a consolidated district. All property and debt of the consolidating districts vest in the consolidated district. (2) Subject to approval by the voters of all affected districts, a district may consolidate by agreement with one or more districts to form a consolidated taxing district solely to levy and distribute either M&O Taxes or both M&O Taxes and debt service taxes. (3) A district may detach property from its territory for annexation by a property-poor district. (4) A district may educate students from other districts who transfer to the district without charging tuition to such students.

If a district fails to exercise a permitted option, the Commissioner must reduce the district’s property wealth per student to the equalized wealth level by detaching certain types of property from the district and annexing the property to a property-poor district or, if necessary, consolidate the district with a property-poor district. Provisions governing detachment and annexation of taxable property by the Commissioner do not provide for assumption of any of the transferring district’s existing debt.

 Tax Information

General One of the District’s principal sources of operational revenue and its principal source of funds for debt service payments is the receipts from ad valorem taxation. The following is a recapitulation of (a) the authority for taxation, including methodology, limitations, remedies and procedures; (b) historical analysis of collection and trends of tax receipts and provisions for delinquencies; and (c) an analysis of the tax base, including relative property composition and principal taxpayers.

County-Wide Appraisal District The Property Tax Code in the Texas Tax Code (the Tax Code) establishes for each county in Texas a single appraisal district with responsibility for recording and appraising property for all taxing units within the county, and a single appraisal review Assessed Property Value Growth board, with responsibility Five Year History for reviewing and ($1,000's) equalizing the values established by the $17,500,000 appraisal district. The $15,444,461 appraisal of property $15,170,125 within the District is the $15,000,000 responsibility of both the $12,761,283 Galveston Central $12,500,000 $11,832,947 Appraisal District and the $11,113,895 Harris County Central Appraisal Districts (the $10,000,000 Appraisal Districts). The Tax Code requires appraisal districts by May $7,500,000 15 of each year, or as 2005 2006 2007 2008 2009 soon thereafter as Calendar Year practicable, to prepare appraisal records of property as of January 1 of each year based upon market value. The chief appraiser in each district must give written notice before May 15 or as soon thereafter as practicable,

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to each property owner whose property value is appraised higher than the prior tax year or the value rendered by the property owner or whose property was not on the appraisal roll the preceding year.

Notice must also be given if ownership of the property changed during the preceding year. An appraisal review board has the ultimate responsibility for determining the value of all taxable property within each District; however, any property owner who has timely filed notice with the appraisal review board may appeal a final determination by the appraisal review board by filing suit in a Texas district court. Prior to such appeal or any tax delinquency date, however, the property owner must pay the tax due on the value of that portion of the property involved that is not in dispute or the amount of tax imposed in the prior year, whichever is greater, or the amount of tax due under the order from which the appeal is taken. In such event, the value of the property in question will be determined by the court, or by a jury, if requested by any party. In addition, taxing units such as the District are entitled to challenge certain matters before the appraisal review board, including the level of appraisals of a certain category or property, the exclusion of property from the appraisal records or the grant in whole or in part of an exemption. A taxing unit may not, however, challenge the valuation of individual properties.

Although the District has the responsibility for establishing tax rates and levying and collecting taxes each year, under the Tax Code, the District does not establish appraisal district standards nor determine the frequency of revaluation or reappraisal. An appraisal district is governed by a board of directors elected by the governing bodies of the county and all cities, towns, school districts, and, if entitled to vote, the conservation and reclamation districts that participate in the appraisal district. The Tax Code requires each appraisal district to implement a plan for periodic reappraisal of property to update appraised values. Such plan must provide for reappraisal of all real property in the appraisal district at least once every three years. The District cannot certify to the frequency of reappraisals which will be utilized by the its appraisal Districts or whether reappraisals will be conducted on a zone or county-wide basis.

Tax Rate Limitations A school district is authorized to levy maintenance and operation taxes (M&O tax) subject to approval of a proposition submitted to district voters under Section 45.003(d) of the Texas Education Code, as amended. The maximum M&O Tax rate that may be levied by a district cannot exceed the voted maximum rate or the maximum rate described in the next succeeding paragraph. The maximum voted M&O Tax rate for the District is $1.50 per $100 of Tax Rate Analysis assessed valuation as approved Fiv e Y e a r His t or y by the voters at an election held on November 5, 2002 under Chapter 20, Texas Education Code (now codified at Section FY 2010 1.040 0.320 45.003, Texas Education Code). For any fiscal year beginning FY 2009 1.040 0.320 with the 2006-07 fiscal year, the maximum tax rate per $100 FY 2008 1.000 0.320 of assessed valuation that may be adopted by the District may FY 2007 1.330 0.300 not exceed the lesser of (A) $1.50 and (B) the sum of (1) FY 2006 1.500 0.275 the rate of $0.17, and (2) the product of the state $0.00 $0.25 $0.50 $0.75 $1.00 $1.25 $1.50 $1.75 $2.00 compression percentage multiplied by $1.50. The state Maintenance & Operations Interest & Sinking compression percentage is 88.67% for fiscal year 2006-07 and 66.67% for fiscal year 2007-08. For fiscal year 2008-09 and thereafter, the Commissioner is required to determine the state compression percentage for each fiscal 161 FY 2009 – 2010 Budget Detailed Budget Analysis

year which is based on the amount of State funds appropriated for distribution to the District for the current fiscal year. Furthermore, a school district cannot annually increase its tax rate in excess of the district’s rollback tax rate without submitting such tax rate to a referendum election and a majority of the voters voting at such election approving the adopted rate.

A school district is also authorized to issue bonds and levy taxes for payment of bonds subject to voter approval of a proposition submitted to the voters under Section 45.003(b)(1), Texas Education Code, as amended, which provides a tax unlimited as to rate or amount for the support of school district bonded indebtedness.

Chapter 45 of the Texas Education Code, as amended, requires a district to demonstrate to the Texas Attorney General that it has the prospective ability to pay debt service on a proposed issue of bonds, together with debt service on other outstanding new debt of the district, from a tax levied at a rate of $0.50 per $100 of assessed valuation before bonds may be issued. In demonstrating the ability to pay debt service at a rate of $0.50, a district may take into account State allotments to the district which effectively reduces the district’s local share of debt service. Once the prospective ability to pay such tax has been shown and the bonds are issued, a district may levy an unlimited tax to pay debt service. The District’s current outstanding debt service requirement is $1,046,799,755 which is covered with a $0.32 cent tax rate. At a $0.50 cent tax rate ceiling, the District’s total debt ceiling is $1,650,000,000.

Rollback Tax Rate In setting its annual tax rate, the governing body of a school district generally cannot adopt a tax rate exceeding the district’s rollback tax rate without approval by a majority of the voters voting at an election approving the higher rate. The tax rate consists of two components: (1) a rate for funding of maintenance and operation expenditures, and (2) a rate for debt service. For the 2007-08 fiscal year and thereafter, the rollback tax rate for a school district is the lesser of (A) the sum of (1) the product of the district’s state compression percentage for that year multiplied by $1.50, (2) the rate of $0.04, (3) any rate increase above the rollback tax rate in prior years that were approved by voters, and (4) the district’s current debt rate, or (B) the sum of (1) the district’s effective maintenance and operations tax rate, (2) the product of the district’s state compression percentage for that year multiplied by $0.06; and (3) the district’s current debt rate.

The effective maintenance and operations tax rate for a school district is the tax rate that, applied to the current tax values, would provide local maintenance and operating funds, when added to State funds to be distributed to the district pursuant to Chapter 42 of the Texas Education Code for the school year beginning in the current tax year, in the same amount as would have been available to the district in the preceding year if the funding elements of wealth equalization and State funding for the current year had been in effect for the preceding year.

By each September 1 or as soon thereafter as practicable, the Board of Trustees adopts a tax rate per $100 taxable value for the current year. Before adopting its annual tax rate, a public meeting must be held for the purpose of adopting a budget for the succeeding year. Furthermore, Section 26.05 of the Property Tax Code provides that the governing body of a taxing unit is required to adopt the annual tax rate for the unit before the later of September 30 or the 60th day after the date the certified appraisal roll is received by the taxing unit.

Property Subject to Taxation by the District Except for exemptions provided by Texas law, all real and certain tangible personal property with a tax situs on the District is subject to taxation by the District. Principal categories of exempt property include; property owned by the State of Texas or its political subdivisions; property exempt from ad valorem taxation by federal law, certain improvements in real property and certain tangible property located in designated reinvestment zones; certain property of a nonprofit corporation used in scientific research and educational activities benefiting a college or university, and designated historic sites.

162 FY 2009 – 2010 Budget Detailed Budget Analysis

Other principal categories of exempt property include tangible personal property not held or used for production of income, solar and wind powered energy devices; most individually owned automobiles; $10,000 exemption to residential homesteads of persons ages 65 or over and property of disabled persons; an exemption of between $5,000 and $12,000 applicable to real or personal property of disabled veterans or the surviving spouses or children of a deceased veteran who died while on active duty in the armed forces; $15,000 in market value for all residential homesteads; and certain classes of tangible property. The State mandated $10,000 exemption for persons 65 years of age or older or disabled amounted to $106,356,730 of the 2009 tax roll.

In addition, except for increases attributable to certain improvements, the District is prohibited by state law from increasing the total ad valorem tax of the residence homestead of persons 65 years of age or older above the amount of tax imposed in the year such residence qualified for an exemption based on the age of the owner. The freeze on ad valorem taxes on the homesteads of persons 65 years of age or older is also transferable to a different residence homestead. State mandated homestead exemptions amounted to $750,972,028 of the 2009 tax roll.

The District also grants an additional local option exemption for persons over 65 years of age or disabled persons and additional homestead exemptions of up to 5% of market value of a residential homestead for all taxpayers. The value of property exempted from taxation by the $18,330 local option and the 5% residential homestead exemption for the 2009 tax year were $186,660,482 and $471,639,260 respectively.

Clear Creek Independent School District Distribution of Tax Base Budget for the Year Ending August 31, 2010

2005 2006 2007 2008 2009 Type of Property Tax Roll Tax Roll Tax Roll Tax Roll Tax Roll Residential 9,499,904,375 9,927,685,944 9,438,841,259 12,093,855,201 12,092,221,406

Platted Lots/Tracts 195,961,546 174,836,338 252,351,529 266,992,796 260,954,237

Acreage 227,100,269 186,776,719 74,894,937 246,096,566 151,509,657

Farm & Ranch Improvements 8,513,880 8,842,600 8,398,147 6,953,552 867,763

Commercial, Industrial Business 3,165,211,852 2,082,050,959 2,377,040,486 2,973,204,890 2,959,338,800

Oil, Gas & Other Mineral Reserves 35,711,540 36,621,870 49,601,520 61,341,624 61,341,624

Utilities 244,778,460 235,986,617 223,885,193 159,296,314 163,295,629

Inventory 88,345,072 87,564,246 108,167,949 1,506,916,278 1,499,880,153

Other 6,626,655 968,288,191 1,279,736,278 125,774,174 140,246,012

Total Appraised Value 13,472,153,649 13,708,653,484 13,812,917,298 17,440,431,395 17,329,655,281

Exempt Property 1,912,781,516 1,993,451,446 1,619,549,956 1,300,828,633 1,429,335,358

Total Market Value 15,384,935,165 15,702,104,930 15,432,467,254 18,741,260,028 18,758,990,639

163 FY 2009 – 2010 Budget Detailed Budget Analysis

Owners of agricultural and open space land, under certain circumstances, may request valuation of such land on the basis of productive capacity rather than market value. The loss of value due to property values based on productivity value and timber production on the 2009 tax roll was approximately $49,291,095.

The Tax Code also provides for an exemption from ad valorem taxation for certain pollution control property. In 2009, the District lost $49,085,723 of taxable value as a result of such exemption.

Levy & Tax Collection The District is responsible for the collection of its taxes. Taxes are due on receipt of the tax bill, and become delinquent after January 31 of the following year, or on the first day of the calendar month next following the expiration of twenty-one days after mailing the tax bills, whichever occurs later. A delinquent tax incurs an initial penalty of six percent (6%) of the amount of the tax and accrues an additional penalty of one percent (1%) per month up to July 1, at which time the total penalty becomes twelve percent (12%). In addition, delinquent taxes accrue interest at one percent (1%) per month. If the tax is not paid by July 1, an additional penalty of up to fifteen percent (15%) may under circumstances be imposed by the District. The Tax Code also makes provision for the split payment of taxes, discounts for early payments, partial payments of taxes and the postponement of the delinquency date of taxes under certain circumstances.

Clear Creek Independent School District Comparison of Levy on Average Residence Budget for the Year Ending August 31, 2010

Levy on Average Residence Five Year History

FY 2010 $2,077

FY 2009 $2,093

FY 2008 $1,875

FY 2007 $2,231

FY 2006 $2,335

$0 $250 $500 $750 $1,000 $1,250 $1,500 $1,750 $2,000 $2,250 $2,500

Total Tax Levy

Comparison of Levy on Average Residence

Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 Average Market Value$ 156,084.00 $161,894.00 $ 166,619.00 $184,262.00 $182,644.00 Average Taxable Value$ 131,539.00 $136,858.00 $ 142,014.00 $153,928.00 $152,726.00 Tax Rate per $100 Value$ 1.77500 $ 1.63000 $ 1.32000 $ 1.36000 $ 1.36000 Tax on Avg Residence$ 2,334.82 $ 2,230.79 $ 1,874.58 $ 2,093.42 $ 2,077.07

164 FY 2009 – 2010 Budget Detailed Budget Analysis

Collection of Delinquent Taxes Taxes levied by the District are a personal obligation of the owner of the property. On January 1 of each year, a tax lien attaches to property to secure the payment of all taxes, penalties and interest ultimately imposed for the year on the property. The lien exists in favor of the State and each taxing unit, including the District, having the power to tax the property. The District’s tax lien is on parity with tax liens of all other such taxing units. A tax lien on real property has priority over the claim of most creditors and other holders of liens on the property encumbered by the tax lien, whether or not the debt or lien existed before the attachment of the tax lien. In the event a taxpayer fails to make timely payment of taxes due the District, the District may file suit to foreclose the lien securing payment of the tax, to enforce personal liability for the tax, or both.

The ability of the District to collect delinquent taxes by foreclosure may be adversely affected by the amount of taxes owed to other taxing units, the foreclosure sale price attributable to market conditions, the taxpayer’s right to redeem the property within six months on non-homestead property and 2 years on homestead property, or by bankruptcy proceedings which restrain the collection of a taxpayer’s debt.

Source: Clear Creek Independent School District OFFICIAL STATEMENT dated April 15, 2009.

Clear Creek Independent School District Property Tax Collections Budget for the Year Ending August 31, 2010

Property Tax Collections Five Year History ($1,000's)

$200,000 $175,609 $165,200 $157,000 $147,400 $150,000 $134,200

$100,000 $43,150 $45,600 $48,625 $50,000 $32,162 $37,354

$0 FY 2006 FY 2007 FY 2008 FY 2009 FY 2010

Maintenance & Operations Interest & Sinking

Property Tax Collections ($1,000's)

Budget Budget Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 Revenues: Maintenance & Operations$ 175,609 $ 165,200 $ 134,200 $ 147,400 $ 157,000 Interest & Sinking 32,162 37,354 43,150 45,600 48,625 Total Revenues$ 207,771 $ 202,554 $ 177,350 $ 193,000 $ 205,625

165 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District

Top Twenty Taxpayers

2009 Tax Role

Market Taxable % of Total Rank Taxpayer Type of Property Assessed Value Assessed Value Assessed Value 1 Coral Energy Resources Stored Gas 377,127,336 134,462,457 0.89% 2 Baybrook Mall LP Commercial 142,877,726 133,746,678 0.88% 3 Clear Lake Hospital Regional Center Commercial 83,785,248 86,901,417 0.57% 4 American Acryl LP Chemical Plant 89,109,896 64,512,066 0.43% 5 Ineos Nova Chemical Chemical Plant 69,155,777 62,364,877 0.41% 6 Total Petrochemicals USA, Inc. Refining Plant 32,852,050 61,149,600 0.40% 7 LBC Houston LP Industrial 51,906,503 58,515,508 0.39% 8 Tejas Gas Pipeline, LLC Pipeline 62,917,696 56,046,722 0.37% 9 Centerpoint Energy Houston Energy 50,719,323 50,719,323 0.33% 10 American National Insurance Insurance Company 45,121,622 44,915,590 0.30% 11 UDR Bradford Limited Commercial 43,000,000 43,222,294 0.28% 12 Ineos Nova LLC Chemical Co 43,197,603 43,197,603 0.28% 13 The Boeing Company Commercial 44,970,575 39,417,074 0.26% 14 Texas Baybrook Square Commercial 40,463,143 38,688,314 0.26% 15 Webster Partners LP Development 30,719,827 30,719,827 0.20% 16 A-S 85 Victory Lakes Development 30,155,970 30,155,970 0.20% 17 Price Baybrook LTD Development 29,226,967 29,226,967 0.19% 18 NP SSP Baybrook LLC Development 28,300,000 28,300,000 0.19% 19 Southbrook Corp Development 28,282,122 28,282,122 0.19% 20 Baytank Houston, Inc Transportation/Storage 27,865,540 27,864,540 0.18%

Total Top Twenty Taxpayers$ 1,351,754,924 $ 1,092,408,949 7.20%

Total Assessed Taxable Value$ 15,170,125,000

Source: Clear Creek ISD Tax Office

166 FY 2009 – 2010 Budget Detailed Budget Analysis

 Past and Current Student Enrollment

Campus 2006 2007 2008 2009 2010 High Schools Clear Brook 2,896 2,895 2,646 2620 2602 Clear Creek 3,815 3,908 3,162 2815 2476 Clear Horizon’s-Early College - - 208 270 325 Clear Lake 3,624 3,536 3,568 3548 3457 Clear Springs - - 1,163 1840 2482 Clear View Alternative 191 218 200 196 218

Intermediate Schools Brookside 832 797 825 813 836 Clear Creek 784 Clear Lake 994 956 947 1127 1083 Creekside 748 788 810 828 812 League City 1,127 1,149 1,176 1298 740 Seabrook 1,001 1,019 1,055 1051 1054 Space Center 1,323 1,222 1,151 1260 1255 Victory Lakes 940 997 1,070 1201 1019 Westbrook 1,259 1,342 1,449 1216 1255

Elementary Schools Armand Bayou 572 583 564 518 475 Bauerschlag 777 807 889 975 705 Bay 980 719 712 660 677 Brookwood 862 757 742 704 628 Clear Lake City 569 517 585 602 594 Falcon Pass 848 648 618 628 614 Ferguson 851 876 869 843 730 Gilmore 706 780 917 1022 893 Goforth 723 796 906 1048 583 Greene 741 724 718 734 755 Walter Hall 467 508 577 641 651 Hyde 703 726 695 693 552 Landolt 728 703 722 767 783 League City 515 598 570 584 430 McWhirter 687 666 664 794 855 Mossman 695 North Pointe 811 768 704 730 741 Parr 700 Robinson - 524 565 531 519 Ross 608 609 671 731 674 Stewart 576 577 574 554 559 Ward 784 727 685 645 663 Weber 745 800 873 829 880 Wedgewood 828 813 796 817 793 Whitcomb 828 837 774 722 633 White 602 490 493 499 456

167 FY 2009 – 2010 Budget Detailed Budget Analysis

 Student Enrollment Projections

Enrollment projections are provided through a contract with MetroStudy, Inc. Metro Study integrates school district information with its proprietary new home census information and specific neighborhood forecasts to create specific enrollment projections by attendance zone for the District.

MetroStudy was retained in early 2004 to provide enrollment projections to the Long Range Facility Master Plan Committee. They made an initial enrollment estimate in July 2004. This estimate was reviewed again in 2005 and 2006 to determine if the initial estimate was still valid. This annual review allows the District to take a proactive stance with regard to new school locations. As a result, school sites can now be established in advance of the expected influx of students. This early warning allows the District to negotiate land purchases now while pricing is still affordable.

The District is rapidly growing and has large areas of undeveloped land. MetroStudy will be a key data source for the District in the future. Current projections show student enrollment for the FY 2010 school year to be 37,670. This number will grow to 40,061 over the next five years.

Actual/Projected Enrollment Growth

45,000 40,000 35,000 30,000 25,000 20,000 15,000 10,000 5,000 - FY 2007 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 FY 2014 FY 2015

Elementary Intermediate High School Total

Fiscal Year ElementaryIntermediateHigh School Total FY 2007 16,464 8,288 10,455 35,207 FY 2008 16,927 8,503 10,874 36,304 FY 2009 17,274 8,721 11,202 37,197 FY 2010 17,238 8,838 11,594 37,670 FY 2011 17,388 8,022 11,662 37,072 FY 2012 17,593 8,989 11,882 38,464 FY 2013 17,759 9,086 12,071 38,916 FY 2014 18,081 9,134 12,292 39,507 FY 2015 18,323 9,322 12,416 40,061

Source: Long Range Planning Committee – 20 Year Growth Projections – Moderate Growth Model 168 FY 2009 – 2010 Budget Detailed Budget Analysis

 Debt Schedules

Clear Creek Independent School District Outstanding Debt Budget for the Year Ending August 31, 2010

$65,670,000 $95,430,000 $37,135,000 $27,885,000 Unlimited Tax School Unlimited Tax School Unlimited Tax School Unlimited Tax School House Bonds House Bonds House Bonds House Bonds Series 2009 Series 2008 Series 2007 Series 2006 2010 4,111,717 80,000 4,519,650 50,000 1,822,156 300,000 1,304,188 2011 2,205,000 3,135,000 255,000 4,512,950 75,000 1,819,563 400,000 1,289,313 2012 1,155,000 3,062,550 4,120,000 4,425,450 90,000 1,816,056 1,285,000 1,245,475 2013 1,080,000 3,029,025 4,405,000 4,249,444 145,000 1,811,063 1,390,000 1,171,913 2014 1,035,000 2,994,713 3,820,000 4,069,888 200,000 1,803,481 980,000 1,106,738 2015 835,000 2,959,900 3,890,000 3,906,138 375,000 1,790,544 885,000 1,055,450 2016 855,000 2,927,988 3,895,000 3,750,438 405,000 1,772,994 1,000,000 1,003,613 2017 910,000 2,890,025 890,000 3,654,738 430,000 1,754,206 1,050,000 947,238 2018 970,000 2,843,025 910,000 3,618,738 455,000 1,734,294 980,000 891,413 2019 1,030,000 2,798,175 935,000 3,581,838 485,000 1,713,447 830,000 841,638 2020 1,085,000 2,755,875 960,000 3,543,938 510,000 1,691,681 755,000 798,050 2021 1,145,000 2,711,275 990,000 3,502,463 540,000 1,667,700 695,000 758,175 2022 1,210,000 2,664,175 1,015,000 3,457,350 570,000 1,641,338 635,000 724,775 2023 2,930,000 2,577,713 1,125,000 3,409,200 820,000 1,608,325 1,815,000 669,650 2024 3,110,000 2,433,813 1,140,000 3,358,238 855,000 1,568,544 1,925,000 585,500 2025 3,315,000 2,265,156 1,155,000 3,306,600 900,000 1,526,863 2,040,000 496,288 2026 3,550,000 2,084,950 1,155,000 3,253,181 930,000 1,483,400 2,180,000 401,338 2027 3,770,000 1,904,581 1,165,000 3,198,081 975,000 1,438,156 2,395,000 298,400 2028 4,005,000 1,722,281 1,170,000 3,142,625 1,010,000 1,389,750 2,690,000 183,988 2029 4,265,000 1,525,869 1,165,000 3,087,169 1,050,000 1,338,250 2,905,000 61,731 2030 6,215,000 1,253,663 14,225,000 2,703,875 6075000 1,160,125 2031 6,600,000 901,250 14,920,000 1,975,250 6390000 848,500 2032 6,995,000 544,875 15,645,000 1,211,125 6715000 520,875 2033 7,400,000 185,000 16,400,000 410,000 7,060,000 176,500

Total 65,670,000 56,282,592 95,430,000 79,848,363 37,110,000 35,897,809 27,135,000 15,834,869

169 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Outstanding Debt Budget for the Year Ending August 31, 2010

$109,000,000 $200,405,000 $51,000,000 $100,870,000 Unlimited Tax School Unlimited Tax School Unlimited Tax School Unlimited Tax School House Bonds House & Refunding Bonds House Adj Rate Bonds House & Refunding Bonds Series 2005 Series 2004A Series 2004B Series 2002 2010 500,000 5,171,825 650,000 11,317,438 1,806,294 2,285,000 3,773,528 2011 750,000 5,140,575 600,000 10,066,238 1,806,294 4,165,000 3,628,403 2012 1,000,000 5,096,825 980,000 10,162,569 1,806,294 11,225,000 3,282,128 2013 1,000,000 5,046,825 1,005,000 10,140,488 1,755,919 11,730,000 2,736,315 2014 1,500,000 4,984,325 3,295,000 9,431,225 1,755,919 11,550,000 2,154,315 2015 1,725,000 4,903,700 7,290,000 9,166,600 2,040,000 8,515,000 1,652,690 2016 1,750,000 4,823,825 6,935,000 8,810,975 2,040,000 9,735,000 1,196,440 2017 1,775,000 4,748,913 17,885,000 8,190,475 2,040,000 2,845,000 881,940 2018 2,000,000 4,660,750 18,480,000 7,281,350 2,040,000 3,015,000 735,440 2019 2,250,000 4,554,500 19,450,000 6,333,100 2,040,000 3,185,000 589,995 2020 2,500,000 4,435,750 20,400,000 5,336,850 2,040,000 3,360,000 444,325 2021 2,750,000 4,304,500 21,385,000 4,292,225 2,040,000 3,550,000 285,300 2022 3,000,000 4,175,750 21,880,000 3,256,325 2,040,000 4,250,000 100,938 2023 10,270,000 3,859,000 14,010,000 2,422,313 2,040,000 2024 10,940,000 3,328,750 14,525,000 1,744,606 2,040,000 2025 11,635,000 2,764,375 15,070,000 1,041,725 2,040,000 2026 12,340,000 2,165,000 15,630,000 341,906 2,040,000 2027 12,890,000 1,534,250 16,250,000 1,715,000 2028 13,500,000 874,500 16,750,000 1,055,000 2029 13,425,000 268,500 18,000,000 360,000 2030 2031 2032 2033

Total 107,500,000 76,842,438 199,470,000 109,336,406 51,000,000 36,540,719 79,410,000 21,461,755

170 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Outstanding Debt Budget for the Year Ending August 31, 2010

$138,195,000 $57,850,000 $13,050,000 Unlimited Tax School Unlimited Tax Unlimited Tax Total Total House & Refunding Bonds Refunding Bonds Refunding Bonds Outstanding Total Debt Series 2000 Series 1998 Series 1991A Debt Interest Service 2010 165,000 827,765 5,000,000 367,750 1,414,564 3,950,436 10,444,564 38,972,745 49,417,309 2011 155,000 837,765 4,855,000 121,375 1,299,458 4,005,542 14,759,458 36,363,016 51,122,474 2012 135,000 248,715 19,990,000 31,146,061 51,136,061 2013 150,000 240,165 20,905,000 30,181,155 51,086,155 2014 175,000 230,415 22,555,000 28,531,018 51,086,018 2015 160,000 220,365 23,675,000 27,695,386 51,370,386 2016 260,000 207,765 24,835,000 26,534,036 51,369,036 2017 285,000 191,843 26,070,000 25,299,376 51,369,376 2018 585,000 167,925 27,395,000 23,972,934 51,367,934 2019 620,000 134,615 28,785,000 22,587,307 51,372,307 2020 655,000 98,433 30,225,000 21,144,901 51,369,901 2021 695,000 59,958 31,750,000 19,621,595 51,371,595 2022 730,000 20,075 33,290,000 18,080,725 51,370,725 2023 30,970,000 16,586,200 47,556,200 2024 32,495,000 15,059,450 47,554,450 2025 34,115,000 13,441,006 47,556,006 2026 35,785,000 11,769,775 47,554,775 2027 37,445,000 10,088,469 47,533,469 2028 39,125,000 8,368,144 47,493,144 2029 40,810,000 6,641,519 47,451,519 2030 26,515,000 5,117,663 31,632,663 2031 27,910,000 3,725,000 31,635,000 2032 29,355,000 2,276,875 31,631,875 2033 30,860,000 771,500 31,631,500

Total 4,770,000 3,485,803 9,855,000 489,125 2,714,022 7,955,978 680,064,022 443,975,855 1,124,039,877

171 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Estimated Overlapping Debt Budget for the Year Ending August 31, 2010

TOTAL ESTIMATED OVERLAPPING DEBT$ 623,807,512

The District 680,064,022

TOTAL DIRECT & ESTIMATED OVERLAPPING DEBT $ 1,303,871,534

172 FY 2009 – 2010 Budget Detailed Budget Analysis

 Financial Forecasts

Basis of Assumptions Clear Creek Independent School District utilizes a number of data points and underlying assumptions in developing long range financial forecasts. Due to the uncertainty associated with the current school funding system, State revenues are difficult to forecast beyond the 2008-2009 school year. Clear Creek receives just over 42% of its total revenue from state sources. By conservatively forecasting state revenues, we can closely approximate our total revenue picture in future years. Clear Creek’s financial forecast is based on the following information and data sources.

Required Data Data Source______Student Enrollment MetroStudy, Inc. Staffing CCISD Staffing Plans Property Value - Current Galveston Central Appraisal District Property Value - Growth Clear Creek ISD Tax Office New School Construction CCISD Long Range Facilities Master Plan Major Maintenance & Renovation CCISD Clear Plan 2020 Maintenance & Operations Tax Rate State Tax Cap of $1.17

Combined Statement of Revenues, Expenditures & Changes to Fund Balance The three year forecast of revenues, expenditures and changes in fund balance is provided over the next several pages. Forecasts are included for all governmental funds.

All funds will be impacted by enrollment growth; however, the General Fund is hardest hit in a fast growth scenario. While capital and debt service funds naturally increase as bond programs are approved by voters, there are dedicated tax dollars to meet those financial needs. The General Fund, however, is the main operating fund of the District and is often pressed to meet the financial needs of a growing district. It includes the impact of continued increases in property values, student enrollment, and teaching staff to meet projected growth over the period. It also includes the impact of staffing the new school openings that are projected over the period as well as increased operational costs inherent with new campuses. Since property value growth and student enrollment have a huge impact on district costs, they are provided below for review.

Property Value Growth

FY 2010 - 2011 FY 2011 - 2012 FY 2012-2013

$ 15,473,528,000 $ 15,937,733,000 $16,575,243,000

Student Enrollment Growth

FY 2010 - 2011 FY 2011 - 2012 FY 2012-2013 37,072 38,464 38,916

173 FY 2009 – 2010 Budget Detailed Budget Analysis

Governmental Funds Forecast

The Governmental Funds financial forecast is reflective of the District’s enrollment growth and voter authorized bond programs. Each fund is highlighted in the following pages with individual forecasts. We have also provided a list of key inputs and assumptions that were used to develop each forecast.

Clear Creek Independent School District Combined Statement of Revenues, Expenditures and Changes in Fund Balance Governmental Funds Long Range Forecast

Budget Forecast Forecast Forecast Description FY 2010 FY 2011 FY 2012 FY 2013 Revenues: Local Revenue 216,947,480 213,969,124 221,780,031 227,734,535 State Revenue 121,683,976 128,634,655 132,212,208 132,571,421 Federal Revenue 19,257,713 20,193,600 21,176,279 22,208,093

Total Revenues 357,889,170 362,797,379 375,168,518 382,514,049

Expenditures: Instruction & Instruction Related 205,200,661 215,656,699 224,465,775 234,616,301 Instruction & School Leadership 21,486,713 22,036,352 22,492,793 22,959,148 Student Support Services 32,279,716 33,161,953 33,920,001 34,697,950 Administrative Support Services 6,937,474 7,117,460 7,268,062 7,422,089 Plant Maintenance & Operations 21,956,163 22,505,571 22,956,318 23,416,111 Security & Monitoring Services 2,639,404 2,705,389 2,759,497 2,814,687 Technology Services 4,508,223 4,620,929 4,713,347 4,807,614 Ancilliary Services 365,459 381,356 397,500 414,394 Debt Services 49,475,000 51,122,474 53,636,061 53,586,155 Capital Outlay 59,654,413 9,532,809 26,783,614 32,682,110 Intergovernmental Charges 13,521,520 13,859,558 14,136,749 14,419,484

Total Expenditures 418,024,746 382,700,551 413,529,717 431,836,042

Excess (Deficiency) of Revenues Over (Under) Expenditures (60,135,576) (19,903,171) (38,361,199) (49,321,993)

Other Resources 56,850,000 38,938,000 23,491,859 20,346,000 Other Uses (3,600,000) - - (3,200,000)

Total Other Resources and (Uses) 53,250,000 38,938,000 23,491,859 17,146,000

Other Resources Over Expenditures and Other Uses (6,885,576) 19,034,829 (14,869,340) (32,175,993)

Fund Balance - September 1 (Beginning) 123,296,554 116,410,978 135,445,806 127,186,607

Increase (Decrease) in Fund Balance - - - -

Fund Balance - August 31 (Ending) 116,410,978 135,445,806 127,186,607 95,010,614

174 FY 2009 – 2010 Budget Detailed Budget Analysis

General Fund Forecast

Major Impacts Clear Creek is a fast growth school district that is growing by over 500 students each year. Enrollment growth drives facilities (capital programs), operating costs, and staffing. Over 85% of the General Fund budget is personnel so a long range staffing plan is vital to developing a long range financial forecast.

Clear Creek ISD has developed a three year long range financial forecast that incorporates the impact of new campuses on staffing. The following pages highlight the area of greatest impact on the District – staffing.

Projected Campus Build-Out Assumptions

Clear Creek Independent School District

Long Range Campus Staffing Plan Campus Build Out Assumptions

2009 - 2010 2010 - 2011 2011 - 2012 2012 - 2013 Fall Spring Fall Spring Fall Spring Fall Spring Clear Falls High School Start-up Staff Campus Open

Bayside Intermediate School Start-up Staff Campus Open

Add 11th Grade at Clear Falls High School Fully Staff

Intermediate # 11 (CLHS 9th Grade Center) Start-up Staff Campus Open

Add 12th Grade at Clear Falls High School Fully Staff

Elementary # 27 Start-up Staff

Intermediate # 12

175 FY 2009 – 2010 Budget Detailed Budget Analysis

New Campus Openings and Enrollment Growth Assumptions

Clear Creek Independent School District FY 2010 – 2011 Forecast

Assumptions:

Campus Staffing Assumptions: 1. Enrollment Growth of 500 Students 2. Fully Staff 9th & 10th Grades at Clear Falls High School 3. Fully Staff Bayside Intermediate 4. Continue Academic Buildout Plan 5. Continue Operations Staffing Plan 6. Continue Five Year Staffing Plan

Staffing Forecast:

Description Total Units Total Cost 1. Enrollment Growth 7.00 $ 301,800 2. Fully Staff 9th & 10th Grades at Clear Falls High School 89.77 3,423,785 3. Fully Staff Bayside Intermediate 56.83 2,220,780 4. Academic Buildout Plan 2.00 102,000 5. Operations Staffing Plan 7.00 114,500 6. Five Year Staffing Plan 3.00 119,000 Total Additional Staffing Costs 165.61 $ 6,281,865

Operating Cost Forecast:

Description 1. Open High School #7 - Utilities @ $1.72/sq ft 465,000 $ 799,800 - Property & Casualty Insurance $ 400,000 2. Open Intermediate #10 - Utilities @ $1.72/sq ft 265,000 $ 455,800 - Property & Casualty Insurance $ 300,000

Total Additional Operating Costs$ 1,955,600.00

176 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District FY 2011 – 2012 Forecast

Assumptions:

Campus Staffing Assumptions: 1. Enrollment Growth of 500 Students 2. Fully Staff 11th Grades at Clear Falls High School 3. Begin Start-up Staffing at Intermediate # 11 4. Continue Academic Buildout Plan 5. Continue Operations Staffing Plan 6. Continue Five Year Staffing Plan

Staffing Forecast:

Description Total Units Total Cost 1. Enrollment Growth 24.00 $ 1,220,000 2. Fully Staff 11th Grades at Clear Falls High School 36.00 1,829,050 3. Start-up Staffing at Intermediate #11 4.75 275,141 4. Academic Buildout Plan 1.00 52,000 5. Operations Staffing Plan 7.00 117,000 6. Five Year Staffing Plan 2.00 131,298 Total Additional Staffing Costs 74.75 $ 3,624,489

Operating Cost Forecast:

Description 1. No new campuses opening in 2011-2012

Total Additional Operating Costs$ -

177 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District FY 2012 – 2013 Forecast

Assumptions:

Campus Staffing Assumptions: 1. Enrollment Growth of 500 Students 2. Fully Staff 12th Grade at Clear Falls High School 3. Start-up Staffing at Elementary # 27 4. Fully Staff Intermediate # 11 5. Continue Academic Build out 6. Campus Paraprofessional Standards

Five Year Plan Staffing Assumptions: 7. Continue moving existing campuses to District standards

Summary of Outcomes:

Description Total Units Total Cost 1. Enrollment Growth 22.00 1,166,000 2. Add 12th Grade to Clear Falls High School 53.00 2,176,525 3. Start-up Staffing at Elementary # 27 2.71 150,534 4. Fully Staff Intermediate # 11 38.75 2,000,943 5. Operations 7.00 121,250 6. Five Year Staffing Plan 4.00 216,300 Total Staffing 127.46 5,831,552

Operating Cost Forecast:

Description 1. Intermediate # 11 is an existing 9th Grade Center No additional opeational costs are anticipated

Total Additional Operating Costs$ -

178 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Combined Statement of Revenues, Expenditures and Changes in Fund Balance Forecast - General Fund Long Range Forecast

Budget Budget Forecast Forecast Description FY 2010 FY 2011 FY 2012 FY 2013 Revenues: Local Revenue 164,316,000 160,752,320 163,967,366 167,656,632 State Revenue 119,444,000 126,282,680 129,742,634 129,978,368 Federal Revenue 540,000 540,000 540,000 540,000

Total Revenues 284,300,000 287,575,000 294,250,000 298,175,000

Expenditures: Instruction & Instruction Related 185,897,671 195,388,560 203,184,229 212,270,677 Instruction & School Leadership 20,987,867 21,512,564 21,942,815 22,381,671 Student Support Services 29,269,921 30,001,669 30,601,702 31,213,736 Administrative Support Services 6,675,490 6,842,377 6,979,225 7,118,809 Plant Maintenance & Operations 21,936,003 22,484,403 22,934,091 23,392,773 Security & Monitoring Services 2,639,404 2,705,389 2,759,497 2,814,687 Technology Services 4,508,223 4,620,929 4,713,347 4,807,614 Ancilliary Services 95,064 97,441 99,389 101,377 Debt Services 0 - - - Capital Outlay 0 - - - Intergovernmental Charges 13,521,520 13,859,558 14,136,749 14,419,484

Total Expenditures 285,531,163 297,512,889 307,351,044 318,520,829

(Under) Expenditures (1,231,163) (9,937,889) (13,101,044) (20,345,829)

Other Resources 1,250,000 9,938,000 13,102,000 20,346,000 Other Uses - - - -

Total Other Resources and (Uses) 1,250,000 9,938,000 13,102,000 20,346,000

Other Resources Over Expenditures and 18,837 111 956 171

Fund Balance - September 1 (Beginning) 53,900,734 53,919,571 53,919,682 53,920,638

Increase (Decrease) in Fund Balance - - - -

Fund Balance - August 31 (Ending) 53,919,571 53,919,682 53,920,638 53,920,809

Reserved Fund Balance 9,703,648 9,703,648 9,703,648 9,703,648 Undesignated Fund Balance 44,215,923 44,216,034 44,216,990 44,217,161

179 FY 2009 – 2010 Budget Detailed Budget Analysis

Capital Projects Funds Forecast

Major Impacts Bond Programs: The major cost driver in the capital projects funds is the construction of new facilities. These projects are funded with voter authorized bonds that are funded through the debt service tax rate. The District developed detailed project schedules for all projects identified in the $183.1 million 2007 bond program. This schedule is provided below.

CLEAR CREEK INDEPENDENT SCHOOL DISTRICT BOND 2007 PLANNING May 2007 Bond Referendum - $183 Million 2 Elementaries, 1 Intermediate, 1 High School, 2 Conversions

Monthly Cash Flows Mossman Clear Falls High Bayside 9th Grade Ctr. Accumulated Expenditures by Parr Elementary Bond Sales Elementary School Intermediate Conversions Totals Fiscal Year May-07 $ 48,417 $ 48,417 Jun-07 $ 48,417 $ 48,417 Jul-07 $ 56,486 $ 56,486 $ 37,275,000 Aug-07 $ 56,486 $ 56,486 $ 209,805 FY 2007 - 2008 Sep-07 $ 56,486 $ 56,486 Oct-07 $ 56,486 $ 56,486 Nov-07 $ 968,332 $ 12,531 $ 980,863 Dec-07 $ 968,332 $ 12,531 $ 980,863 Jan-08 $ 1,291,110 $ 50,764 $ 172,065 $ 14,620 $ 1,528,558 Feb-08 $ 1,613,887 $ 50,764 $ 172,065 $ 14,620 $ 1,851,336 Mar-08 $ 1,936,664 $ 59,225 $ 172,065 $ 14,620 $ 2,182,574 Apr-08 $ 2,420,830 $ 59,225 $ 258,097 $ 14,620 $ 2,752,772 May-08 $ 1,291,110 $ 59,225 $ 258,097 $ 1,044,275 $ 2,652,706 Jun-08 $ 1,291,110 $ 59,225 $ 258,097 $ 1,044,275 $ 2,652,706 $ 63,375,000 Jul-08 $ 1,291,110 $ 1,015,282 $ 1,290,487 $ 1,044,275 $ 4,641,153 Aug-08 $ 1,129,721 $ 1,015,282 $ 1,290,487 $ 543,023 $ 3,978,513 $ 24,315,018 FY 2008 - 2009 Sep-08 $ 484,166 $ 1,353,709 $ 1,720,650 $ 70,149 $ 417,710 $ 4,046,384 Oct-08 $ 484,166 $ 1,692,136 $ 1,720,650 $ 70,149 $ 3,967,101 Nov-08 $ 322,777 $ 2,030,563 $ 2,580,975 $ 70,149 $ 5,004,464 Dec-08 $ 322,777 $ 2,538,204 $ 2,580,975 $ 105,224 $ 5,547,180 Jan-09$ 1,353,709 $ 3,441,299 $ 105,224 $ 4,900,232 Feb-09$ 1,353,709 $ 3,441,299 $ 105,224 $ 4,900,232 Mar-09$ 1,353,709 $ 3,871,462 $ 876,867 $ 6,102,037 Apr-09$ 1,184,495 $ 4,301,624 $ 964,553 $ 6,450,673 May-09$ 507,641 $ 4,731,787 $ 1,052,240 $ 6,291,667 Jun-09$ 507,641 $ 6,022,274 $ 1,402,987 $ 7,932,901 Jul-09$ 338,427 $ 6,022,274 $ 1,402,987 $ 7,763,688 $ 50,500,000 Aug-09$ 338,427 $ 5,377,030 $ 1,402,987 $ 7,118,444 $ 70,025,004 FY 2009 - 2010 Sep-09 $ 4,731,787 $ 1,753,733 $ 6,485,520 Oct-09 $ 4,301,624 $ 1,753,733 $ 6,055,357 Nov-09 $ 3,656,381 $ 1,929,107 $ 5,585,487 Dec-09 $ 3,441,299 $ 2,104,480 $ 5,545,779 Jan-10 $ 3,226,218 $ 2,279,853 $ 5,506,071 Feb-10 $ 3,226,218 $ 2,455,226 $ 5,681,445 Mar-10 $ 3,011,137 $ 2,630,600 $ 5,641,737 Apr-10 $ 3,011,137 $ 2,542,913 $ 5,554,050 May-10 $ 1,290,487 $ 1,753,733 $ 3,044,220 Jun-10 $ 1,290,487 $ 1,753,733 $ 3,044,220 Jul-10 $ 1,290,487 $ 1,753,733 $ 3,044,220 $ 31,975,000 Aug-10 $ 1,290,487 $ 1,753,733 $ 3,044,220 $ 58,232,329 FY 2010 - 2011 Sep-10 $ 1,290,487 $ 1,666,047 $ 2,956,534 Oct-10 $ 1,290,487 $ 1,315,300 $ 2,605,787 Nov-10 Dec-10 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 $ 5,562,321 FY 2011 - 2012 Sep-11 $ 10,355 $ 10,355 Oct-11 10,355 $ 10,355 Nov-11 $ 12,080 $ 12,080 Dec-11 $ 12,080 $ 12,080 Jan-12 $ 12,080 $ 12,080 Feb-12 $ 12,080 $ 12,080 Mar-12 $ 862,891 $ 862,891 Apr-12 $ 862,891 $ 862,891 May-12 $ 862,891 $ 862,891 Jun-12 $ 448,704 $ 448,704 Jul-12 $ 345,147 $ 345,147 Aug-12 $ 3,451,554

Total$ 16,138,869 $ 16,921,360 $ 86,032,486 $ 35,074,664 $ 7,628,653 $ 161,796,032 $ 183,125,000 $ 161,796,032 180 FY 2009 – 2010 Budget Detailed Budget Analysis

Bond Programs - Future: The District anticipates future bond programs will be needed to fund additional facilities, buses, technology, and major maintenance. While the likelihood of future bond programs is high, it is impossible at this time to anticipate everything that might be included in a future bond program. In light of this, we have forecast a limited bond program that only includes a potential 27th elementary school and 12th intermediate school. This will give the District a $52 million bond program in 2011. This schedule is provided below.

CLEAR CREEK INDEPENDENT SCHOOL DISTRICT FUTURE BOND PLANNING

May 2011 Bond Referendum - $52 Million 1 Elementary & 1 Intermediate

Monthly Cash Flows Intermediate Accumulated Expenditures by Elementary #27 Bond Sales #12 Totals Fiscal Year FY 2010 - 2011 Jan-10 $ - Feb-10 $ - Mar-10 $ - Apr-10 $ - May-10 $ - $ 25,000,000 Jun-10 $ 70,149 $ 70,149 Jul-10 $ 70,149 $ 70,149 Aug-10 $ 70,149 $ 70,149 $ 210,448 FY 2011 - 2012 Sep-10$ 50,764 $ 105,224 $ 155,988 Oct-10$ 50,764 $ 105,224 $ 155,988 Nov-10$ 59,225 $ 105,224 $ 164,449 Dec-10$ 59,225 $ 876,867 $ 936,091 Jan-11$ 59,225 $ 964,553 $ 1,023,778 Feb-11$ 59,225 $ 1,052,240 $ 1,111,465 Mar-11$ 1,015,282 $ 1,402,987 $ 2,418,268 Apr-11$ 1,015,282 $ 1,402,987 $ 2,418,269 May-11$ 1,353,709 $ 1,402,987 $ 2,756,695 $ 26,996,025 Jun-11$ 1,692,136 $ 1,753,733 $ 3,445,869 Jul-11$ 2,030,563 $ 1,753,733 $ 3,784,296 Aug-11$ 2,538,204 $ 1,929,107 $ 4,467,310 $ 22,838,467 FY 2012 - 2013 Sep-11$ 1,353,709 $ 2,104,480 $ 3,458,189 Oct-11$ 1,353,709 $ 2,279,853 $ 3,633,562 Nov-11$ 1,353,709 $ 2,455,226 $ 3,808,935 Dec-11$ 1,184,495 $ 2,630,600 $ 3,815,095 Jan-12$ 507,641 $ 2,542,913 $ 3,050,554 Feb-12$ 507,641 $ 1,753,733 $ 2,261,374 Mar-12$ 338,427 $ 1,753,733 $ 2,092,160 Apr-12$ 338,427 $ 1,753,733 $ 2,092,160 May-12 $ 1,753,733 $ 1,753,733 Jun-12 $ 1,666,047 $ 1,666,047 Jul-12 $ 1,315,300 $ 1,315,300 Aug-12 $ - $ 28,947,110 Total$ - $ 16,921,360 $ - $ 35,074,665 $ - $ 51,996,025 $ 51,996,025 $ 51,996,025

181 FY 2009 – 2010 Budget Detailed Budget Analysis

Major Maintenance and Capital Replacement: Major maintenance and capital replacement needs in existing facilities are also key inputs into the long range Capital Funds forecast. The District established a capital replacement fund with seed money from fund balance from the General Fund to meet these needs. The District’s capital improvement plan is updated twice a year and it highlights projects for the next three years.

2009-10 2010-11 2011-12 2012-13 Balances, Revenue and Description Critical Projects Budget Budget Budget

Fences for Intermediate Fields 125,000 125,000 125,000 125,000 Subtotal - Facilities 700,000 425,000 425,000 425,000

Total Critial Needs 4,879,240 3,660,000 3,600,000 3,735,000

182 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek Independent School District Combined Statement of Revenues, Expenditures and Changes in Fund Balance Capital Project Funds Long Range Forecast

Budget Forecast Forecast Forecast Description FY 2010 FY 2011 FY 2012 FY 2013 Revenues: Local Revenue 1,025,000 506,000 1,470,000 1,455,000 State Revenue - - - - Federal Revenue - - - -

Total Revenues 1,025,000 506,000 1,470,000 1,455,000

Expenditures: Instruction & Instruction Related - - - - Instruction & School Leadership - - - - Student Support Services - - - - Administrative Support Services - - - - Plant Maintenance & Operations - - - - Security & Monitoring Services - - - - Technology Services - - - - Ancilliary Services - - - - Debt Services - - - - Capital Outlay 59,654,413 9,532,809 26,783,614 32,682,110 Intergovernmental Charges - - - -

Total Expenditures 59,654,413 9,532,809 26,783,614 32,682,110

Excess (Deficiency) of Revenues Over (Under) Expenditures (58,629,413) (9,026,809) (25,313,614) (31,227,110)

Other Resources 55,600,000 29,000,000 27,000,000 - Other (Uses) (3,600,000) - (10,000,000) (3,200,000)

Excess (Deficiency) of Revenues Over (Under) Expenditures and Other Uses 52,000,000 29,000,000 17,000,000 (3,200,000)

Net Change in Fund Balance (6,629,413) 19,973,191 (8,313,614) (34,427,110)

Fund Balance - September 1 (Beginning) 60,835,639 54,206,226 74,179,417 65,865,803

Increase (Decrease) in Fund Balance - - - -

Fund Balance - August 31 (Ending) 54,206,226 74,179,417 65,865,803 31,438,693

183 FY 2009 – 2010 Budget Detailed Budget Analysis

Debt Service Fund Forecast

Major Impacts The major cost driver in the Debt Service Fund is the size of voter approved bond programs. Clear Creek has issued $300 million in bonds over the last three years to fund both the 2004 and 2007 bond programs. The forecast reflects a small bond program in 2011 to possibly build a 27th elementary and 12th intermediate school. This could require a two cent tax rate increase which is reflected below.

Clear Creek Independent School District Combined Statement of Revenues, Expenditures and Changes in Fund Balance Debt Service Fund Long Range Forecast

Budget Forecast Forecast Forecast Description FY 2010 FY 2011 FY 2012 FY 2013 Revenues: Local Revenue 49,200,000 50,184,000 53,689,520 55,837,101 State Revenue - - - - Federal Revenue - - - -

Total Revenues 49,200,000 50,184,000 53,689,520 55,837,101

Expenditures: - - Instruction & Instruction Related - - - - Instruction & School Leadership - - - - Student Support Services - - - - Administrative Support Services - - - - Plant Maintenance & Operations - - - - Security & Monitoring Services - - - - Technology Services - - - - Ancilliary Services - - - - Debt Services 49,475,000 51,122,474 53,636,061 53,586,155 Capital Outlay - - - - Intergovernmental Charges - - - -

Total Expenditures 49,475,000 51,122,474 53,636,061 53,586,155

Excess (Deficiency) of Revenues Over (Under) Expenditures (275,000) (938,474) 53,459 2,250,946 - Other Resources - - - - Other Uses - - - -

Total Other Resources and (Uses) - - - - (y) Other Resources Over Expenditures and Other Uses (275,000) (938,474) 53,459 2,250,946

Fund Balance - September 1 (Beginning) 7,946,225 7,671,225 6,732,751 6,786,210

Increase (Decrease) in Fund Balance - - - - Fund Balance - August 31 (Ending) 7,671,225 6,732,751 6,786,210 9,037,156

184 FY 2009 – 2010 Budget Detailed Budget Analysis

Special Revenue Funds Forecast

Major Impacts The Special Revenue Funds are dependent on continued federal and state government funding for various grant programs. Federal program funding has decreased over the last five years. State and local funding, however, has increased somewhat to offset this loss. Overall these funds are projected to grow at a 5.0% annual rate over the next three years. This includes 2.5% annually for inflation plus a modest 2.5% growth rate in programs.

Clear Creek Independent School District Combined Statement of Revenues, Expenditures and Changes in Fund Balance Special Revenue Funds Long Range Forecast

Budget Forecast Forecast Forecast Description FY 2010 FY 2011 FY 2012 FY 2013 Revenues: Local Revenue 2,406,480 2,526,804 2,653,145 2,785,802 State Revenue 2,239,976 2,351,975 2,469,574 2,593,053 Federal Revenue 18,717,713 19,653,600 20,636,279 21,668,093

Total Revenues 23,364,170 24,532,379 25,758,998 27,046,948

Expenditures: Instruction & Instruction Related 19,302,990 20,268,140 21,281,547 22,345,624 Instruction & School Leadership 498,846 523,788 549,978 577,477 Student Support Services 3,009,795 3,160,284 3,318,299 3,484,214 Administrative Support Services 261,984 275,083 288,837 303,279 Plant Maintenance & Operations 20,160 21,168 22,226 23,338 Security & Monitoring Services - - - - Technology Services - - - - Ancilliary Services 270,395 283,915 298,111 313,017 Debt Services - - - - Capital Outlay - - - - Intergovernmental Charges - - - - - Total Expenditures 23,364,170 24,532,379 25,758,998 27,046,948

Excess (Deficiency) of Revenues Over (Under) Expenditures (0) 0 0 0

Other Resources - - - - Other Uses - - - -

Total Other Resources and (Uses) - - - -

Other Resources Over Expenditures and Other Uses (0) 0 0 0

Fund Balance - September 1 (Beginning) 613,956 613,956 613,956 613,956

Increase (Decrease) in Fund Balance - - - -

Fund Balance - August 31 (Ending) 613,956 613,956 613,956 613,956

185 FY 2009 – 2010 Budget Detailed Budget Analysis

 Educational Performance Measures

Texas Assessment of Knowledge and Skills (TAKS) The Texas Assessment of Knowledge and Skills (TAKS) measure the statewide curriculum of specific subjects at specific grade levels and is a completely new testing program. In comparison to the previous state assessment, the TAKS includes a more broad assessment of the Texas Essential Knowledge and Skills (TEKS), which is the statewide curriculum. The TAKS is a more rigorous assessment and questions are asked in a more authentic manner to measure student knowledge of the TEKS.

The 2002-2003 school year was the first year for the TAKS to be administered and is considered somewhat of a transition year for accountability purposes. The District’s 2002 accountability ratings were carried forward to the 2003 school year. Campus 2002 ratings were not carried forward to 2003, but school performance data has been reported on the annual Academic Excellence Indicator System (AEIS) Report and School Report Card. AEIS reports were released in August 2006. A summary of the District’s performance on the TAKS was also made available at that time.

Texas Accountability System

Description 2004 - 2005 2005-2006 2006 – 2007 2007 – 2008 2008-2009

Exemplary 5 11 15 18 25

Recognized 21 17 13 14 13

Acceptable 9 7 8 6 0

District Rating Acceptable Recognized Recognized Recognized Recognized

Texas Assessment of Knowledge and Skills (TAKS) 2005 – 2006 2006- 2007 2007 - 2008 2008 - 2009 Description State District State District State District State District Reading/English Language Arts 87% 95% 87% 95% 89% 96% 91% 95% Math 91% 97% 76% 88% 77% 91% 82% 88% Writing 87% 88% 92% 97% 92% 97% 93% 97% Science 75% 95% 73% 86% 70% 89% 78% 86% Social Studies 70% 86% 89% 96% 90% 97% 93% 96%

186 FY 2009 – 2010 Budget Detailed Budget Analysis

Additional District Performance Measures Performance measures listed below will provide the reader with additional indicators of the excellent education provided by Clear Creek ISD. The District uses a variety of measures to provide staff with information that will improve performance. Currently the District does not utilize satisfaction surveys to solicit this information. Specific data from the Texas Education Agency on performance measures for the FY 2008-2009 school year are not available at this time.

Description State Region IV District

District Advanced Course Completion · 2007-08 23.10% 23.70% 26.10% · 2006-07 22.10% 22.60% 26.40% · 2005-06 21.00% 21.60% 27.10% · 2004-05 20.50% 21.50% 25.80%

Recommended/Distinguished Graduation Plan Graduates · 2007-08 81.40% 81.80% 90.40% · 2006-07 77.90% 77.30% 85.50% · 2005-06 75.70% 74.90% 86.10% · 2004-05 72.30% 69.80% 82.40%

SAT/ACT Results – 2007-08 · Tested 65.00% 67.00% 77.50% · At/Above Criterion 27.20% 29.90% 45.80% · Mean SAT Score · Mean ACT Score

SAT/ACT Results – 2006-07 · Tested 68.20% 70.90% 78.60% · At/Above Criterion 27.00% 30.50% 45.50% · Mean SAT Score 991 1003 1084 · Mean ACT Score 20.1 20.5 22.4

SAT/ACT Results – 2005-06 · Tested 65.80% 66.80% 75.80% · At/Above Criterion 27.10% 30.80% 45.70% · Mean SAT Score 991 1003 1084 · Mean ACT Score 20.1 20.5 22.4 SAT/ACT Results – 2004-05 · Tested 65.50% 67.10% 80.90% · At/Above Criterion 27.40% 31.30% 44.20% · Mean SAT Score 992 1004 1081 · Mean ACT Score 20 20.5 22.9

187 FY 2009 – 2010 Budget Detailed Budget Analysis

Campus Performance Measures

The District is very proud of its academic achievements. Listed below are some key indicators that educators use to measure success.

Campus FY 2006 FY 2007 FY 2008 FY 2009 High Schools Clear Creek Acceptable Acceptable Acceptable Recognized Clear Brook Acceptable Acceptable Acceptable Recognized Clear Lake Recognized Acceptable Acceptable Exemplary Clear Horizons N/AN/AExemplary Exemplary Clear SpringsN/AN/ARecognized Recognized Clear View Alternative Acceptable Acceptable Acceptable Recognized

Intermediate Schools Brookside Recognized Recognized Recognized Recognized Clear Creek N/AN/AN/AN/A Clear Lake Acceptable Recognized Acceptable Recognized Creekside Recognized Acceptable Recognized Recognized League City Recognized Recognized Recognized Recognized Seabrook Recognized Recognized Exemplary Recognized Space Center Acceptable Recognized Exemplary Exemplary Victory Lakes Recognized Acceptable Acceptable Recognized Westbrook Recognized Recognized Acceptable Recognized

Elementary Schools Armand Bayou Recognized Recognized Exemplary Exemplary Bauerschlag Exemplary Exemplary Exemplary Exemplary Bay Recognized Recognized Exemplary Exemplary Brookwood Exemplary Exemplary Exemplary Exemplary Clear Lake City Exemplary Exemplary Exemplary Exemplary Falcon Pass Exemplary Recognized Exemplary Exemplary Ferguson Exemplary Exemplary Exemplary Exemplary Gilmore Recognized Exemplary Exemplary Exemplary Goforth Recognized Exemplary Exemplary Exemplary Greene Exemplary Exemplary Exemplary Exemplary Walter Hall Exemplary Exemplary Exemplary Exemplary Hyde Exemplary Exemplary Recognized Exemplary Landolt Recognized Recognized Recognized Exemplary League City Recognized Acceptable Recognized Recognized McWhirter Acceptable Acceptable Recognized Recognized Mossman N/A North Pointe Exemplary Exemplary Exemplary Exemplary Ralph Parr N/A Robinson N/AExemplary Exemplary Exemplary Ross Exemplary Exemplary Exemplary Exemplary Stewart Recognized Exemplary Recognized Exemplary Ward Recognized Recognized Exemplary Exemplary Weber Recognized Recognized Recognized Exemplary Wedgewood Recognized Exemplary Recognized Exemplary Whitcomb Recognized Recognized Recognized Exemplary White Exemplary Exemplary Recognized Exemplary

188 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Brook High School State District Campus Attendance Rate · 2007-08 95.50% 93.60% 93.80% · 2006-07 95.50% 96.00% 93.80% · 2005-06 95.50% 95.80% 94.20% · 2004-05 95.70% 96.00% 95.10%

Dropout Rate · 2007-08 3.20% 1.00% 1.90% · 2006-07 0.40% 0.60% 2.50% · 2005-06 2.60% 0.20% 0.40% · 2004-05 0.90% 0.20% 0.50%

Completion/Student Status Rate – 2007-08 · Graduated 79.10% 92.30% 92.80% · Received GED 1.50% 1.10% 1.30% · Continued HS 8.90% 4.70% 4.30% · Dropped Out 10.50% 1.00% 1.60% Completion/Student Status Rate – 2006-07 · Graduated 78.00% 90.30% 89.20% · Received GED 2.00% 1.30% 1.80% · Continued HS 8.70% 5.70% 6.40% · Dropped Out 11.40% 2.80% 2.50% Completion/Student Status Rate – 2005-06 · Graduated 80.40% 90.20% 88.40% · Received GED 2.30% 2.40% 3.70% · Continued HS 8.60% 6.20% 6.90% · Dropped Out 8.80% 1.20% 1.10% Completion/Student Status Rate – 2004-05 · Graduated 84.00% 89.00% 88.20% · Received GED 3.80% 4.50% 5.00% · Continued HS 7.90% 5.10% 5.20% · Dropped Out 4.30% 1.40% 1.60%

Completion Rate · 2007-08 88.00% 97.10% · 2006-07 86.70% 97.20% 97.50% · 2005-06 88.90% 96.40% 95.30% · 2004-05 91.90% 94.10% 93.40%

Recommended/Distinguished Graduation Plan Graduates · 2007-08 81.40% 90.40% 91.90% · 2006-07 77.90% 85.50% 85.00% · 2005-06 75.70% 86.10% 83.80% · 2004-05 72.30% 82.40% 80.40%

SAT/ACT Results – 2007-08 · Tested 65.00% 77.50% 79.40% · At/Above Criterion 27.20% 45.80% 41.10% · Mean SAT Score *** · Mean ACT Score *** SAT/ACT Results – 2006-07 · Tested 68.20% 78.60% 77.80% · At/Above Criterion 27% 45.50% 38.90% · Mean SAT Score 992 1078 1039 · Mean ACT Score 20.2 22.6 21.4 SAT/ACT Results – 2005-06 · Tested 65.80% 75.80% 73.90% · At/Above Criterion 27.10% 45.70% 40.70% · Mean SAT Score 991 1084 1059 · Mean ACT Score 20.1 22.4 20.7 SAT/ACT Results – 2004-05 · Tested 65.50% 80.90% 80.50% · At/Above Criterion 27.40% 44.20% 36.50% · Mean SAT Score 992 1081 1042 · Mean ACT Score189 20 22.9 21.5 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Creek High School State District Campus Attendance Rate · 2007-08 95.50% 93.60% 93.20% · 2006-07 95.50% 96.00% 93.20% · 2004-05 95.70% 96.00% 94.40% · 2005-06 95.50% 95.80% 94.00%

Dropout Rate · 2007-08 3.20% 1.00% 1.30% · 2006-07 0.40% 0.60% 1.30% · 2004-05 0.90% 0.20% 0.20% · 2005-06 2.60% 0.20% 0.40%

Completion/Student Status Rate – 2007-08 · Graduated 79.10% 92.30% 91.00% · Received GED 1.50% 1.10% 0.70% · Continued HS 8.90% 4.70% 4.50% · Dropped Out 10.50% 1.00% 2.70% Completion/Student Status Rate – 2006-07 · Graduated 78.00% 90.30% 90.00% · Received GED 2.00% 1.30% 1.60% · Continued HS 8.70% 5.70% 5.30% · Dropped Out 11.40% 2.80% 3.00% Completion/Student Status Rate – 2005-06 · Graduated 80.40% 90.20% 89.90% · Received GED 2.30% 2.40% 2.20% · Continued HS 8.60% 6.20% 6.30% · Dropped Out 8.80% 1.20% 1.60% Completion/Student Status Rate – 2004-05 · Graduated 84.00% 89.00% 86.70% · Received GED 3.80% 4.50% 6.20% · Continued HS 7.90% 5.10% 5.90% · Dropped Out 4.30% 1.40% 1.20%

Completion Rate · 2007-08 88.00% 97.20% 97.00% · 2006-07 86.70% 97.20% 97.00% · 2004-05 91.90% 94.10% 92.60% · 2005-06 88.90% 96.40% 96.30%

Recommended/Distinguished Graduation Plan Graduates · 2007-08 81.40% 81.80% · 2006-07 77.90% 85.50% 86.50% · 2004-05 72.30% 82.40% 84.10% · 2005-06 75.70% 86.10% 88.10%

SAT/ACT Results – 2007-08 · Tested 65.00% 77.50% 72.40% · At/Above Criterion 27.20% 45.80% 37.10% · Mean SAT Score ** * · Mean ACT Score ** * SAT/ACT Results – 2006-07 · Tested 68.20% 78.60% 73.00% · At/Above Criterion 27.00% 12.50% 35.60% · Mean SAT Score 992 1078 1039 · Mean ACT Score 20.2 22.6 22.0 SAT/ACT Results – 2005-06 · Tested 65.80% 75.80% 79.60% · At/Above Criterion 27.10% 45.70% 38.20% · Mean SAT Score 991 1084 1051 · Mean ACT Score 20.1 22.4 21.9 SAT/ACT Results – 2004-05 · Tested 65.50% 80.90% 74.90% · At/Above Criterion 27.40% 44.20% 35.00% · Mean SAT Score 992 1081 1034 · Mean ACT Score190 20 22.9 22.4 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Horizons High School State District Campus Attendance Rate · 2007-08 95.50% 93.60% 97.50% · 2006-07 95.50% 96.00% N/A · 2005-06 95.50% 95.80% N/A · 2004-05 95.70% 96.00% N/A

Dropout Rate · 2007-08 3.20% 1.00% 0.40% · 2006-07 0.40% 0.60% N/A · 2005-06 2.60% 0.20% N/A · 2004-05 0.90% 0.20% N/A

Completion/Student Status Rate – 2007-08 · Graduated 79.10% 92.30% 95.60% · Received GED 1.50% 1.10% N/A · Continued HS 8.90% 4.70% N/A · Dropped Out 10.50% 1.00% N/A Completion/Student Status Rate – 2006-07 · Graduated 78.00% 90.30% N/A · Received GED 2.00% 1.30% N/A · Continued HS 8.70% 5.70% N/A · Dropped Out 11.40% 2.80% N/A Completion/Student Status Rate – 2005-06 · Graduated 80.40% 90.20% N/A · Received GED 2.30% 2.40% N/A · Continued HS 8.60% 6.20% N/A · Dropped Out 8.80% 1.20% N/A Completion/Student Status Rate – 2004-05 · Graduated 84.00% 89.00% N/A · Received GED 3.80% 4.50% N/A · Continued HS 7.90% 5.10% N/A · Dropped Out 4.30% 1.40% N/A

Completion Rate · 2007-08 88.00% N/A · 2006-07 86.70% 97.20% N/A · 2005-06 88.90% 96.40% N/A · 2004-05 91.90% 94.10% N/A

Recommended/Distinguished Graduation Plan Graduates · 2006-07 81.40% 81.80% N/A · 2005-06 75.70% 86.10% N/A · 2004-05 72.30% 82.40% N/A · 2003-04 68.40% 79.80% N/A

SAT/ACT Results – 2007-08 · Tested 65.00% 77.50% N/A · At/Above Criterion 27.20% 45.80% N/A · Mean SAT Score **N/A · Mean ACT Score **N/A SAT/ACT Results – 2006-07 · Tested N/A N/A N/A · At/Above Criterion N/A N/A N/A · Mean SAT Score N/AN/AN/A · Mean ACT Score N/AN/AN/A SAT/ACT Results – 2005-06 · Tested 65.80% 75.80% N/A · At/Above Criterion 27.10% 45.70% N/A · Mean SAT Score 991 1084 N/A · Mean ACT Score 20.1 22.4 N/A SAT/ACT Results – 2004-05 · Tested 65.50% 80.90% N/A · At/Above Criterion 27.40% 44.20% N/A · Mean SAT Score 992 1081 N/A · Mean ACT Score191 20 22.9 N/A FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Lake High School State District Campus Attendance Rate · 2007-08 95.50% 93.60% 94.40% · 2006-07 95.50% 96.00% 95.10% · 2005-06 95.50% 95.80% 95.00% · 2004-05 95.70% 96.00% 95.00%

Dropout Rate · 2007-08 3.20% 1.00% 0.90% · 2006-07 0.40% 0.60% 0.90% · 2005-06 2.60% 2.70% 0.30% · 2004-05 0.90% 0.20% 0.30%

Completion/Student Status Rate – 2007-08 · Graduated 79.10% 92.30% 95.00% · Received GED 1.50% 1.10% 0.90% · Continued HS 8.90% 4.70% 3.00% · Dropped Out 10.50% 1.00% 1.20% Completion/Student Status Rate – 2006-07 · Graduated 78.00% 90.30% 93.50% · Received GED 2.00% 1.30% 0.40% · Continued HS 8.70% 5.70% 3.90% · Dropped Out 11.40% 2.80% 2.20% Completion/Student Status Rate – 2005-06 · Graduated 80.40% 90.20% 92.20% · Received GED 2.30% 2.40% 1.60% · Continued HS 8.60% 6.20% 5.10% · Dropped Out 8.80% 1.20% 1.10% Completion/Student Status Rate – 2004-05 · Graduated 84.00% 89.00% 92.10% · Received GED 3.80% 4.50% 2.80% · Continued HS 7.90% 5.10% 3.90% · Dropped Out 4.30% 1.40% 1.30%

Recommended/Distinguished Graduation Plan Graduates · 2007-08 81.40% 81.80% 90.90% · 2006-07 77.90% 85.50% 87.00% · 2005-06 75.70% 86.10% 89.90% · 2004-05 72.30% 82.40% 87.00%

Completion Rate · 2007-08 88.00% 97.90% · 2006-07 86.70% 97.20% 97.80% · 2005-06 88.90% 96.40% 97.30% · 2004-05 91.90% 94.10% 95.90%

SAT/ACT Results – 2007-08 · Tested 65.00% 77.50% 86.30% · At/Above Criterion 27.20% 45.80% 56.60% · Mean SAT Score ** * · Mean ACT Score ** * SAT/ACT Results – 2006-07 · Tested 68.20% 78.60% 87.40% · At/Above Criterion 27.00% 45.50% 59.20% · Mean SAT Score 992 1078 1140 · Mean ACT Score 20.2 226 23.8 SAT/ACT Results – 2005-06 · Tested 65.80% 75.80% 77.10% · At/Above Criterion 27.10% 45.70% 56.60% · Mean SAT Score 991 1084 1137 · Mean ACT Score 20.1 22.4 23.6 SAT/ACT Results – 2004-05 · Tested 65.50% 80.90% 89.60% · At/Above Criterion 27.40% 44.20% 55.90% · Mean SAT Score 992 1081 1141 · Mean ACT Score192 20 22.9 24 FY 2009 – 2010 Budget Detailed Budget Analysis

Clear Springs High School State District Campus Attendance Rate · 2007-08 95.50% 93.60% 95.60% · 2006-07 95.50% 96.00% N/A · 2005-06 95.50% 95.80% N/A · 2004-05 95.70% 96.00% N/A

Dropout Rate · 2007-08 3.20% 1.00% 0.40% · 2006-07 0.40% 0.60% N/A · 2005-06 2.60% 0.20% N/A · 2004-05 0.90% 0.20% N/A

Completion/Student Status Rate – 2007-08 · Graduated 79.10% 92.30% N/A · Received GED 1.50% 1.10% N/A · Continued HS 8.90% 4.70% N/A · Dropped Out 10.50% 1.00% N/A Completion/Student Status Rate – 2006-07 · Graduated 78.00% 90.30% · Received GED 2.00% 1.30% · Continued HS 8.70% 5.70% N/A · Dropped Out 11.40% 2.80% N/A Completion/Student Status Rate – 2005-06 · Graduated 80.40% 90.20% N/A · Received GED 2.30% 2.40% N/A · Continued HS 8.60% 6.20% N/A · Dropped Out 8.80% 1.20% N/A Completion/Student Status Rate – 2004-05 · Graduated 84.00% 89.00% N/A · Received GED 3.80% 4.50% N/A · Continued HS 7.90% 5.10% N/A · Dropped Out 4.30% 1.40% N/A

Recommended/Distinguished Graduation Plan Graduates · 2007-08 81.40% 81.80% N/A · 2006-07 77.90% 85.50% N/A · 2005-06 75.70% 86.10% N/A · 2004-05 72.30% 82.40% N/A

Completion Rate · 2007-08 88.00% N/A · 2006-07 86.70% 97.20% N/A · 2005-06 88.90% 96.40% N/A · 2004-05 91.90% 94.10% N/A

SAT/ACT Results – 2007-08 · Tested 65.00% 77.50% N/A · At/Above Criterion 27.20% 45.80% N/A · Mean SAT Score **N/A · Mean ACT Score **N/A SAT/ACT Results – 2006-07 · Tested 68.20% 78.60% N/A · At/Above Criterion 27.00% 45.50% N/A · Mean SAT Score 992 1078 N/A · Mean ACT Score 20.2 226 N/A SAT/ACT Results – 2005-06 · Tested 65.80% 75.80% N/A · At/Above Criterion 27.10% 45.70% N/A · Mean SAT Score 991 1084 N/A · Mean ACT Score 20.1 22.4 N/A SAT/ACT Results – 2004-05 · Tested 65.50% 80.90% N/A · At/Above Criterion 27.40% 44.20% N/A · Mean SAT Score 992 1081 N/A · Mean ACT Score193 20 22.9 N/A FY 2009 – 2010 Budget Detailed Budget Analysis

Clear View Education Center State District Campus Attendance Rate · 2007-08 95.50% 93.60% 92.30% · 2006-07 95.50% 96.00% 91.70% · 2004-05 95.70% 96.00% 93.20% · 2005-06 95.50% 95.80% 94.00%

Dropout Rate · 2007-08 3.20% 1.00% 2.19% · 2006-07 0.40% 0.60% 6.20% · 2004-05 0.90% 0.20% 0.00% · 2005-06 2.60% 0.20% 0.00%

Completion/Student Status Rate – 2007-08 · Graduated 79.10% 92.30% 91.08% · Received GED 1.50% 1.10% 0.00% · Continued HS 8.90% 4.70% 7.00% · Dropped Out 10.50% 1.00% 2.19% Completion/Student Status Rate – 2006-07 · Graduated 78.00% 90.30% 87.70% · Received GED 2.00% 1.30% 3.10% · Continued HS 8.70% 5.70% 23.10% · Dropped Out 11.40% 2.80% 9.20% Completion/Student Status Rate – 2005-06 · Graduated 80.40% 90.20% 84.40% · Received GED 2.30% 2.40% 0.00% · Continued HS 8.60% 6.20% 15.60% · Dropped Out 8.80% 1.20% 6.20% Completion/Student Status Rate – 2004-05 · Graduated 84.00% 89.00% 82.10% · Received GED 3.80% 4.50% 1.80% · Continued HS 7.90% 5.10% 14.30% · Dropped Out 4.30% 1.40% 1.80%

Completion Rate · 2007-08 88.00% 97.20% 90.80% · 2006-07 86.70% 97.20% 100.00% · 2004-05 91.90% 94.10% 96.40% · 2005-06 88.90% 96.40% 96.70%

Recommended/Distinguished Graduation Plan Graduates · 2007-08 81.40% 81.80% 63.10% · 2006-07 77.90% 85.50% 46.50% · 2004-05 72.30% 82.40% 13.20% · 2005-06 75.70% 86.10% 7.70%

SAT/ACT Results – 2007-08 · Tested 65.00% 77.50% 71.70% · At/Above Criterion 27.20% 45.80% 18.20% · Mean SAT Score ** * · Mean ACT Score ** * SAT/ACT Results – 2006-07 · Tested 68.20% 78.60% 30.80% · At/Above Criterion 27.00% 12.50% 0.00% · Mean SAT Score 992 1078 * · Mean ACT Score 20.2 22.6 * SAT/ACT Results – 2005-06 · Tested 65.80% 75.80% 12.80% · At/Above Criterion 27.10% 45.70% 0.00% · Mean SAT Score 991 1084 812 · Mean ACT Score 20.1 22.4 N/A SAT/ACT Results – 2004-05 · Tested 65.50% 80.90% 28.60% · At/Above Criterion 27.40% 44.20% 28.60% · Mean SAT Score 992 1081 968 · Mean ACT Score 20 22.9 N/A

194 FY 2009 – 2010 Budget Detailed Budget Analysis

 Financial Performance Measures

Many business-related issues are covered in this report. The primary reporting tool, however, is the Financial Accountability Ratings Worksheet. This worksheet was developed by representatives of the Texas Education Agency (TEA), the Texas Business & Education Council (TBEC) and the Texas Association of School Business Officials (TASBO). It is administered by the TEA and calculated on information submitted to the Agency via our PEIMS submission each year. PEIMS data has always been critical on the student side of the submission, and this project added a great degree of importance to our finance submission each year.

The worksheet consists of 24 Indicators, each weighted equally with the exception of the Critical Indicators. A “No” response in Indicators #1, #2, #3 or #4 or a “No” response to both Indicators #5 and #6 together automatically result in a rating of Substandard Achievement, so these first six Indicators are of utmost importance.

New provisions implemented during the 2006-2007 fiscal year were adopted by the Commissioner’s rulemaking authority. The adopted amendment updates the rating system by adding one new critical indicator, adding two noncritical indicators and enhancing other existing indicators. The amendment establishes a point system for rating districts encompassing the 65% instructional expenditure standard.

Currently, Clear Creek ISD enjoys a rating of “Superior Achievement”, scoring the maximum score of 85 points on the financial accountability worksheet. The worksheet itself and a discussion of its salient points follow.

195 FY 2009 – 2010 Budget Detailed Budget Analysis

2007-2008 DISTRICT STATUS DETAIL

Name: CLEAR CREEK ISD(084910) Publication Level 1: 6/8/2009 4:39:05 PM

Status: Passed Publication Level 2: None

Rating: Superior Achievement Last Updated: 6/8/2009 4:39:05 PM

District Score: 85 Passing Score: 55

# Indicator Description Score

1 Was The Total Fund Balance Less Reserved Fund Balance Greater Than Zero In Yes The General Fund?

2 Was the Total Unrestricted Net Asset Balance (Net of Accretion of Interest on Yes Capital Appreciation Bonds) In the Governmental Activities Column in the Statement of Net Assets Greater than Zero? (If the District's 5 Year % Change in Students was 10% more)

3 Were There No Disclosures In The Annual Financial Report And/Or Other Yes Sources Of Information Concerning Default On Bonded Indebtedness Obligations?

4 Was The Annual Financial Report Filed Within One Month After November 27th Yes or January 28th Deadline Depending Upon The District's Fiscal Year End Date (June 30th or August 31st)?

5 Was There An Unqualified Opinion in Annual Financial Report? Yes

6 Did The Annual Financial Report Not Disclose Any Instance(s) Of Material Yes Weaknesses In Internal Controls?

1 Multiplier Sum

7 Did the Districts Academic Rating Exceed Academically Unacceptable? 5

8 Was The Three-Year Average Percent Of Total Tax Collections (Including 5 Delinquent) Greater Than 98%?

196 FY 2009 – 2010 Budget Detailed Budget Analysis

9 Did The Comparison Of PEIMS Data To Like Information In Annual Financial 5 Report Result In An Aggregate Variance Of Less Than 3 Percent Of Expenditures Per Fund Type (Data Quality Measure)?

10 Were Debt Related Expenditures (Net Of IFA And/Or EDA Allotment) < $250.00 5 Per Student? (If The District's Five-Year Percent Change In Students = Or > 7%, Or If Property Taxes Collected Per Penny Of Tax Effort > $200,000 Per Student)

11 Was There No Disclosure In The Annual Audit Report Of Material 5 Noncompliance?

12 Did The District Have Full Accreditation Status In Relation To Financial 5 Management Practices? (e.g. No Conservator Or Monitor Assigned)

13 Was The Percent Of Operating Expenditures Expended For Instruction More 3 Than 65%? (Functions 11, 36, 93, 95) (Phased in over three years, 55% for 2006-2007; 60% for 2007-2008; and 65% for 2008-2009)

14 Was The Percent Of Operating Expenditures Expended For Instruction More 3 Than or equal to 65%? (Functions 11, 12, 31, 33, 36, 93, 95)

15 Was The Aggregate Of Budgeted Expenditures And Other Uses Less Than The 5 Aggregate Of Total Revenues, Other Resources and Fund Balance In General Fund?

16 If The District's Aggregate Fund Balance In The General Fund And Capital 5 Projects Fund Was Less Than Zero, Were Construction Projects Adequately Financed? (To Avoid Creating Or Adding To The Fund Balance Deficit Situation)

17 Was The Ratio Of Cash And Investments To Deferred Revenues (Excluding 5 Amount Equal To Net Delinquent Taxes Receivable) In The General Fund Greater Than Or Equal To 1:1? (If Deferred Revenues Are Less Than Net Delinquent Taxes Receivable)

18 Was The Administrative Cost Ratio Less Than The Threshold Ratio? 5

19 Was The Ratio Of Students To Teachers Within the Ranges Shown Below 5 According To District Size?

197 FY 2009 – 2010 Budget Detailed Budget Analysis

20 Was The Ratio Of Students To Total Staff Within the Ranges Shown Below 5 According To District Size?

21 Was The Total Fund Balance In The General Fund More Than 50% And Less 5 Than 150% Of Optimum According To The Fund Balance And Cash Flow Calculation Worksheet In The Annual Financial Report?

22 Was The Decrease In Undesignated Unreserved Fund Balance < 20% Over Two 5 Fiscal Years?(If 1.5 Times Optimum Fund Balance < Total Fund Balance In General Fund Or If Total Revenues > Operating Expenditures In The General Fund, Then District Receives 5 Points)

23 Was The Aggregate Total Of Cash And Investments In The General Fund More 5 Than $0?

24 Were Investment Earnings In All Funds (Excluding Debt Service Fund and 4 Capital Projects Fund) More Than $20 Per Student?

85 Weighted Sum

1 Multiplier Sum

85 Score

198 FY 2009 – 2010 Budget Detailed Budget Analysis

DETERMINATION OF RATING

A. Did The District Answer 'No' To Indicators 1, 2, 3 Or 4? OR Did The District Answer 'No' To Both 5 and 6? If So, The District’s Rating Is Substandard Achievement.

B. Determine Rating By Applicable Range For summation of the indicator scores (Indicators 7-24)

Superior Achievement 75-85 and Yes to indicator 7

Above Standard Achievement 65-74 or >= 75 and No to indicator 7

Standard Achievement 55-64

Substandard Achievement <55 or No to one default indicator

INDICATOR 19 & 20 RATIOS

Indicator 19 Ranges for Indicator 20 Ranges for Ratios Ratios

District Size - Number of District Size - Number of Low High Low High Students Between Students Between

< 500 7 22 < 500 5 14

500-999 10 22 500-999 5.8 14

1000-4999 11.5 22 1000-4999 6.3 14

5000-9999 13 22 5000-9999 6.8 14

=> 10000 13.5 22 => 10000 7.0 14

199 FY 2009 – 2010 Budget Detailed Budget Analysis

 Analysis of F.I.R.S.T. Ratings

Critical Indicators Indicators #1 through #6 are the critical indicators. Any “NO” response in this category is a signal indicator of fiscal distress. These six indicators revolve around the audit report, fund balance and the auditor’s findings. If General Fund Balance is greater than zero and the auditors issue a “clean” opinion, a District will pass the critical indicators. For the 2007-08 fiscal year, Clear Creek ISD had a General Fund Balance of $53.8 million and passed all other critical indicators.

Academic Indicator Indicator #7 was added in 2006-2007 to include academic achievement. Clear Creek ISD is the only large school district to obtain a Recognized rating eleven out of twelve years and surpasses the requirement of exceeding Academically Unacceptable in Indictor #7. Clear Creek ISD has consistently surpassed all other large districts in the state when it comes to overall student performance. This indicator captures the district’s outstanding academic achievement within the fiscal reporting.

Fiscal Responsibility Indicators #8 through #12 concern fiscal responsibility. Clear Creek ISD’s percentage of tax collections easily exceeds the increased minimum standard of 98.0% required in Indicator #8. For the year under review, taxes were collected at a rate of 99.9%. The District passed Indicator #9 which required that the District’s PEIMS financial data submission agree to the Annual Financial Report. The District also passed Indicator #10 due to taxes collected per penny of tax effort exceeding $200,000. Indicators #11 and #12 are very similar to the Critical Indicators, and Clear Creek easily passed these two on audit and full financial accreditation status.

Budgeting Indicators #13 through #17 concern budgeting, management and cash flow practices. This indicator will phase in over three years to 65% for 2008-2009. The District expends 63.1% of its operating expenditures for direct classroom instruction, which is beyond the 60% required in Indicator #13. The District adequately funds its budget and capital projects. Most importantly, as addressed in Indicator #17, the District does not spend cash it cannot afford to spend or cannot recognize as revenue.

Personnel Indicators #18 through #20 address staffing patterns. For the 2007-08 year, the District’s administrative cost ratio was well below that of the State standard of 11.05% at 5.75%. This item is addressed in more detail later in the report. Indicators #19 and #20 deal with staffing patterns, specifically students to classroom teachers and students to total staff. A District must fall into a certain range to meet these indicators, which means understaffing or overstaffing can trigger a “NO” response. The District falls safely within the prescribed ranges for each indicator at 15.3 students per classroom teacher and 8.2 students per staff member.

Cash Management The final four indicators deal with cash management practices. Indicator #21 concerns the fund balance figure and whether it is too high or low. Clear Creek’s General Fund Balance for the 2007-08 year was within the allowable range permitted by this indicator. Indicator #22 deals with any decrease in General Fund Balance over two years. Since our undesignated unreserved fund balance increased each of the two years, we easily met this indicator. Cash and Investments were greater than $0, so Indicator #23 was easily surpassed, and investment earnings were approximately $115 per student, exceeding the minimum standard of $20 per student set forth in Indicator #24.

200 FY 2009 – 2010 Budget Detailed Budget Analysis

Summary The Clear Creek ISD School Board, administration and the community have worked hard to improve and maintain the financial condition of the District over the past several years. This report demonstrates this improvement to all concerned.

 District Achievements

Administrative and Operational Success:  Dr. Greg Smith, Clear Creek’s superintendent of schools, was elected Chairman of the Fast Growth Coalition of Public Schools.  CCISD completed $450 million in new school construction and renovations over the last five years.  The District suffered a direct hit by a Category 2 hurricane on September 13, 2008. Hurricane Ike’s hit the District with winds in excess of 100 miles per hour and a twelve to fourteen foot tidal surge. Damages were in excess of $18 million. Despite major damage to thirty eight of the District’s forty plus buildings, school resumed on September 29, 2008.  Staff has worked closely with insurance adjusters, the Federal Emergency Management Agency (FEMA), and the State of Texas to recoup funds spent on out hurricane recovery efforts. It is projected that Clear Creek will be reimbursed 100% of it’s out of pocket costs once all the funding sources have been tapped.

201 FY 2009 – 2010 Budget Detailed Budget Analysis

 Employee Resource Allocations

CLEAR CREEK INDEPENDENT SCHOOL DISTRICT FULL-TIME EQUIVALENT DISTRICT EMPLOYEES BY POSITION

Description FY 2006 FY 2007 FY 2008 FY 2009 FY 2010

Teachers 2,203 2,329 2,483 2,577 2,689

Technology 33 34 33 36 37

Auxiliary Transportation 182 196 212 221 236 Food Service 250 235 235 250 260 Maintenance - Custodial 244 246 250 250 263 Maintenance - Other 53 56 51 57 64 Security 3 4 7 7 9 732 737 755 785 833

Other Part-time 206 235 273 273 273

Total 3,941 4,127 4,365 4,533 4,784

202 FY 2009 – 2010 Budget Detailed Budget Analysis

203 FY 2009 – 2010 Budget Detailed Budget Analysis

 Glossary

This glossary contains definitions of terms used in this guide and such additional terms as seem necessary to common understandings concerning financial accounting procedures for schools. Several terms, which are not primarily financial accounting terms, have been included because of their significance for school financial accounting. The glossary is arranged alphabetically with appropriate cross-referencing where necessary.

Abatement – A complete or partial cancellation of a levy imposed by a governmental unit. Abatements usually apply to tax levies, special assessments, and service previously recorded expenditure or receipt item by such things as refunds, rebates, and collections for loss or damage to school property.

Account – This is a descriptive heading under which are recorded financial transactions that are similar in terms of a given frame of reference, such as purpose, object, or source.

Accounting Period – A period at the end of which and for which financial statements are prepared; for example, September 1 through August 31.

Accrual – A method of accounting that recognizes the financial effect of transactions, events, and inter-fund activities when they occur, regardless of the timing of related cash flows.

ACT – Acronym for American College Test.

ADA – Acronym for Average Daily Attendance.

Administration – Those activities which have as their purpose the general regulation, direction, and control of the affairs of the local education agency that are system-wide and not confined to one school, subject, or narrow phase of school activity.

AEIS – Acronym for Academic Excellence Indicator System.

AIS – Acronym for Accelerated Instructional Services.

Allocation – A part of a lump-sum appropriation which is designated for expenditure by specific organization units and/or for special purposes, activities, or objects.

Amendment – A proposal to change the amount or scope of an activity or project after the budget has already been submitted to the Board.

AP – Acronym for Advanced Placement.

Appraisal – (1) The act of appraising. (2) The estimated value resulting from such action.

Appraise – To make an estimate of value, particularly of the value of property. Note: if the property is valued for purposes of taxation, the less-inclusive term “assess” is substituted for the above term.

Appropriation Account – A budgetary account set up to record specific authorization to spend. The account is credited with original and any supplemental appropriations and is charged with expenditures and encumbrances.

Assess – To value property officially for the purpose of taxation. Note, the term is also sometimes used to denote the levy of taxes, but such usage is not correct because it fails to distinguish between the valuation process and the tax levy process.

204 FY 2009 – 2010 Budget Detailed Budget Analysis

Assessed Valuation – A valuation set upon real estate or other property by a government as a basis for levying taxes.

Assets – Property owned by a local education agency which has a monetary value.

Balance Sheet – An itemized statement that lists the total assets and the total liabilities of a given business to portray its net worth at a given moment of time. The amounts shown on a balance sheet are generally the historic cost of items and not their current values.

Benefits – A payment or entitlement, such as one made under an insurance policy or employment agreement, public assistance program, or something of value or usefulness.

Bill – (1) A term used to denote a law or statute passed by certain legislative bodies. A bill has greater legal formality and standing than a resolution. (2) A statement of an amount owing for goods and services sold on open account.

Board of Education – The elected or appointed body, which has been created according to State law and vested with responsibilities for educational activities in a given geographical area. These bodies are sometimes called school boards, governing boards, boards of directors, school committees, school trustees, etc. This definition relates to the general term and covers State boards, intermediate administrative unit boards, and local basic administrative unit boards.

Bond – A written promise, generally under seal, to pay a specified sum of money, called the face value, at a fixed time in the future, called the date of maturity, and carrying interest at a fixed rate, usually payable periodically. The difference between a note and a bond is that the latter usually runs for a longer periods of time and requires greater legal formality.

Bonded Debt – Bonded debt is the part of the school district debt which is covered by outstanding bonds of the district. This is sometimes referred to as “Funded Debt or Bonded Indebtedness.”

Bonds Authorized and Un-issued – Bonds that have been legally authorized but not issued and which can be issued and sold without further authorization.

Bonds Issued – Bonds sold.

Bonds Payable – The face value of bonds issued and unpaid.

Budget – A plan of financial operation embodying an estimate of proposed expenditures for a given period or purpose and the proposed means of financing them. The budget usually consists of three parts: The first part contains a message from the budget-making authority together with a summary of the proposed expenditures and the means of financing them. The second part consists of schedules supporting the summary. These schedules show in detail the proposed expenditures and means of financing them, together with information as to past years’ actual revenues and expenditures and other data used in making the estimates. The third part is composed of drafts of the appropriation, revenue, and borrowing measures necessary to put the budget into effect.

Budgetary Accounts – These accounts are necessary to reflect budget operations and conditions, such as estimated revenues, appropriations, and encumbrances, the net balance, and other related information.

Capital Budget – A plan of proposed capital outlays and the means of financing them for the fiscal period. It is usually a part of the current budget. A capital program is sometimes referred to as a capital budget.

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Capital Outlays – Expenditures which result in the acquisition of or addition to fixed assets.

Capital Program – A plan for capital expenditures to be incurred each year over a fixed period of years to meet capital needs arising from the long term work program or otherwise. It sets forth each project or other contemplated expenditure in which the local education agency is to have a part and specifies the full resources estimated to be available to finance the projected expenditures.

Co-curricular Activities – Direct and personal services for public school pupils, such as inter- scholastic athletics, entertainments, publications, clubs, band, and orchestra, that are managed or operated by the student body under the guidance and direction of an adult, and are not part of the regular instructional program.

Community Services – Services which are provided for the community as a whole or some segment of the community and which are not restricted to the public schools or adult education programs.

Consultant – A resource person who provides assistance to the regular personnel through conference, demonstration, research, or other means. There are two types of consultants; those retained on a temporary basis and those who are permanently employed.

Contracted Services – Labor, material, and other costs for services rendered by personnel who are not on the payroll of the local education agency.

Credit Rating – A published ranking, based on detailed financial analysis by a credit bureau, of one's financial history, specifically as it relates to one's ability to meet debt obligations. The highest rating is usually AAA, and the lowest is D. Lenders use this information to decide whether to approve a loan.

Current – As used in this manual, the term has reference to the fiscal year in progress.

Current Budget – The annual budget prepared for and effective during the present fiscal year.

Current Expenditures per Pupil – Current expenditures for a given period of time divided by a pupil unit of measure (average daily membership, average daily attendance)

Current Year’s Tax Levy – Taxes levied for the current fiscal period.

Debt – An obligation resulting from the borrowing of money or from the purchase of goods and services. Debts of local education agencies include bonds, warrants, and notes, etc.

Debt Limit – The maximum amount of gross or net debt which is legally permitted.

Debt Service – Debt Service refers to the semi-annual amount of money needed to pay the interest and principal payments on a bond issue.

Debt Service Fund – A fund used to account for the accumulation of resources and payment of principal and interest on all bonds.

Defease – To render null and void an agreement, commitment or obligation specified in a written document. When a bond issue is refunded and an escrow is established for the benefit of its bondholders the terms of the original indenture and obligations of the Trustee are generally said to have been defeased. The Original trust indenture is supplanted by the newly formed escrow agreement.

Deficit – The excess of the obligations of a fund over the fund’s resources.

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Delinquent Taxes – Taxes remaining unpaid on and after the date on which they become delinquent by statute.

DTR – Acronym for district tax rate.

Encumbrances – Commitments related to unperformed (executory) contracts for goods or services.

EOC – Acronym for End of Course.

ES – Acronym for Elementary School.

Estimated Revenue – When the accounts are kept on an accrual basis, this term designates the amount of revenue estimated to accrue during a given period regardless of whether or not it is all to be collected during the period.

Existing Debt Allotment (EDA) – Sometimes referred to as Tier III funding. Granted by the 1999 Legislature guarantees $35 per student in state and local funds for each cent of effort (up to a maximum of $.12 per $100 valuation) to pay the principal and interest on eligible bonds. Eligible bonds are those that require a debt service payment during the 1998-99 fiscal year.

Expenditures – This includes total charges incurred, whether paid or unpaid, for current expense, capital outlay, and debt service. (Transfers between funds, encumbrances, and payments of cash in settlement of liabilities already accounted as expenditures are not considered as expenditures.)

Expenses - Charges incurred, whether paid or unpaid, for operation, maintenance, interest, and other charges which are presumed to benefit the current fiscal period. Note: legal provisions sometimes make it necessary to treat as expenses some charges whose benefits extend over future periods. For example, purchases of materials and supplies which may be used over a period of more than one year and payments for insurance which is to be in force for a period longer than one year frequently must be charged in their entirety to the appropriation of the year in which they are incurred and classified as expenses of that year even though their benefits extend also to other periods.

Fiscal Year – A twelve-month period of time to which the annual budget applies and at the end of which a local education agency determines its financial position and the results of its operations.

Fixed Assets – Land, building, machinery, furniture, and other equipment that the school district intends to hold or continue in use over a long period of time. “Fixed” denotes probability or intent to continue use or possession, and does not indicate immobility of an asset.

Food Service – Those activities which have as their purpose the preparation and serving of regular and incidental meals, lunches, or snacks in connection with school activities.

FTE – Acronym for full-time equivalent.

Function – As applied to expenditures, this term has reference to an activity or service aimed at accomplishing a certain purpose or end; for example, Instruction, Instructional Administration, Plant Maintenance and Operations.

Fund – A sum of money or other resource set-aside for specific activities of a school district. The fund accounts constitute a complete entity and all of the financial transactions for the particular fund are recorded in them.

Fund Accounting – A method of accounting that separates and tracks financial transactions to meet restrictions and reporting requirements imposed by funding sources.

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Fund Balance – The excess of assets of a fund over its liabilities and reserves. During the fiscal year prior to closing, it represents the excess of the fund’s assets and estimated revenues for the period over its liabilities, reserves, and appropriations for the period.

GAAP – Acronym for Generally Accepted Accounting Principles.

GASB – Acronym for Governmental Accounting Standards Board.

GED – Acronym for General Educational Development.

General Fund – A fund used to finance the ordinary operations of the local education agency. It is available for a legally authorized purpose and consists of money not specifically designated for some other particular purpose.

General Obligation Bonds – Bonds that carry a pledge of the general taxing power for the payment of debt obligations. General Obligation bonds are backed by the full faith and credit of the issuing governmental agency.

HB – Acronym for House Bill.

HS – Acronym for High School.

IB – Acronym for International Baccalaureate.

Instruction – The activities dealing directly with the teaching of students or improving the quality of teaching.

Instructional Facilities Allotment (IFA) – Granted by House Bill 4 in 1997, program provides a guaranteed level ($35) of state and local funds per student per penny of tax effort applicable to debt service on eligible bonds. However, there is a limit on funding for each biennium so the District must apply for funding. The applications are ranked based on relative property wealth and funds are awarded up to the dollar limit available.

Interest – A fee charged a borrower for the use of money.

Inventory – A detailed list or record showing quantities, descriptions, values, and frequency, units of measure, and unit prices of property on hand.

I & S – Acronym for Interest & Sinking Fund (Debt Service Fund).

ISD – Acronym for Independent School District.

LAN – Acronym for local area network.

LEAP – The Learning Enrichment Academic Program is a program for students showing evidence of high performance in the area of general intellectual ability. The LEAP program identifies and serves children demonstrating giftedness revealed by learning potential tests.

Levy – (Verb) To impose taxes or special assessments. (Noun) The total of taxes or special assessments imposed by a governmental unit.

Long-Term Loan – A loan which extends for more than 5 years from the date the loan was obtained and is not secured by serial or term bonds. Such loans are not legal in Texas under the general statutes.

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Modified Accrual Basis of Accounting – Basis of accounting according to which (a) revenues are recognized in the accounting period in which they become available and measurable and (b) expenditures are recognized in the accounting period in which the fund liability is incurred, if measurable, except for unmatured interest on general long-term debt and certain similar accrued obligations, which should be recognized when due.

M & O – Acronym for Maintenance and Operations Fund (General Fund).

MS – Acronym for Middle School.

Object – As applied to expenditures, this term has reference to an article or service received; for example, payroll costs purchased and contracted services, materials, and supplies.

Payroll – A list of individual employees entitled to pay, with the amounts due to each for personal services rendered.

Performance Measures – The specified level of performance on a specific performance indicator.

PEIMS – Acronym for Public Education Information Management System.

Personnel, Full-Time – School employees who occupy positions the duties of which require them to be on the job on school days, throughout the school year, at least the number of hours the schools in the system are in session. Full-time work days are generally 7.5 hours.

Personnel, Part-Time – Personnel who occupy positions, the duties of which require less than full time-service. This includes those employed full-time for part of the school year, part-time for all of the school year, and part-time for part of the school year. See also Personnel, Full-Time.

PLAN – A software guidance resource that helps students measure their current academic development, explore career and training options, and make plans for the remaining year of high school and post-graduation years.

Plant Maintenance (Plant Repairs and Repairs and Replacements of Equipment) – Those activities which are concerned with keeping the grounds, buildings, and equipment at their original condition or completeness or efficiency, either through repairs or by replacements of property (anything less than replacement of a total building).

PO – Acronym for Purchase Order.

PPCD – Preschool Programs for Children with Disabilities is available for children aged 3 through 5. Students are provided instruction in all areas of early childhood development.

Principal of a School – The administrative head of a school (not school district) to who has been delegated the major responsibility for the coordination and supervision of the activities of the school.

Principal of Bonds – The face value of bonds.

Program – The definition of an effort to accomplish a specific objective or objectives consistent with funds or resources available. Budgets and actual revenue and expenditure records may be maintained per program.

Program Budget – A budget wherein expenditures are based primarily on programs of work and secondarily on character and object. A program budget is a transitional type of budget between the traditional character and object number, on the one hand, and the performance budget on the other.

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Property Taxes – The valuation of property in the School District is determined by the County Tax Assessor. The School District levies a tax per $100 of assessed valuation.

PSAT – Acronym for Preliminary Standardized Achievement Tests.

Purchase Order – A document authorizing the delivery of specified merchandise or the rendering of certain services and the making of a charge for them.

RADA – Acronym for Refined Average Daily Attendance.

Recapture – The recovery of financial resources from districts defined by the state as high property wealth.

Refunding Bonds – Bonds issued to pay off bonds already outstanding.

Reimbursement – Cash or other assets received as a repayment of the cost of work or services performed, or of other expenditures made for or on behalf of another governmental unit or department, or for an individual, firm, or corporation.

Reserve – An amount set aside for a specified purpose, or an account which records a portion of the fund balance that is to be segregated for some future use and, therefore, is not available for further appropriation and expenditure.

Salary – The total amount regularly paid or stipulated to be paid to an individual, before deductions, for personal services rendered while on the payroll of the school district. Payments for sabbatical leave are also considered as salary.

SAT – Acronym for Standardized Achievement Tests.

School – A division of the school system consisting of a group of pupils composed of one or more teachers to give instruction of a defined type, and housed in a school plant of one or more buildings. More than one school may be housed in one school plant, as is the case when the elementary and secondary programs are housed in the same school plant.

School, Elementary – A school classified as elementary by State and local practice and composed of any span of grades not above grade six. In this District this term includes kindergartens and pre- kindergartens and goes through grade five.

School, Intermediate – A separately organized elementary school intermediate between elementary and middle school.

School, Middle – A separately organized secondary school intermediate between elementary, intermediate, and senior high school. In this District middle schools include grades six through eight.

School, Public – A school operated by publicly elected or appointed school officials in which the program and activities are under the control of these officials and which is supported by public funds.

School, Secondary – In this handbook a secondary school comprises any span of grades beginning with the next grade following the elementary/intermediate school and ending with or below grade 12, including middle schools, the different type of high schools, and alternative high schools.

School, Senior High – Schools offering the final years of high school work necessary for graduation; invariably preceded by a middle school in the same system.

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School, Summer – The name applied to the school session carried on during the period between the end of the regular school term and the beginning of the next regular school term.

Serial Bonds – Bonds whose principal is to be repaid in periodic installments over the life of the issue.

Special Revenue Fund – A governmental fund type used to account for the proceeds of specific revenue sources (other than for major capital projects) that are legally restricted to expenditure for specified purposes.

State Aid for Education – Any grant made by a State government for the support of education.

Student Wealth – Assessed value of property divided by school enrollment.

Supplemental Taxes – Taxes levied subsequent to the initial levy to add property omitted from the original tax roll(s).

Supply – A material item of an expendable nature that is consumed, worn out, or deteriorated in use; or one that loses its identity through fabrication or incorporation into a different or more complex unit or substance.

TAAS – Acronym for Texas Assessment Academic Skills exam.

TAKS – Acronym for Texas Assessment and Knowledge Skills Program.

TASP – Acronym for Texas Academic Skills Program.

Taxes – Compulsory charges levied by a governmental unit for the purpose of financing services performed for the common benefit. The term includes licenses and permits. It does not include special assessments.

Tax Year – The twelve-month reporting period for which you are filing your taxes.

TEA – Acronym for the Texas Education Agency.

TEKS – Acronym for Texas Essential Knowledge and Skills.

TRS – Acronym for Teacher Retirement System.

Unencumbered Balance of Appropriation – That portion of an appropriation not yet expended or encumbered; the balance remaining after deducting from the appropriation the accumulated expenditures and outstanding encumbrances.

Unexpended Balance of Appropriation – That portion of an appropriation not yet expended; the balance remaining after deducting from the appropriation the accumulated expenditures.

Unit Cost – Expenditures for a function, activity, or service divided by the total number of units for which the function, activity, or service was provided.

WADA – Acronym for Weighted Average Daily Attendance.

WAN – Acronym for wide area network.

Workers’ Compensation – Compensation provided to employees who are injured or contract an occupational disease due to their employment.

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