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Consolidation of Schools System A Study Update Regarding the Feasibility for Consolidation of Martinsville City and Henry County School Divisions S. John Davis & Associates, Ltd. 2541 Mount Tabor Road Blacksburg, Virginia 24060 December 2019 Table of Contents Page Section 1 Overview of Educational Services for Henry County and Martinsville City School Divisions …………………………………… 1 Introduction …………………………………………………………………… 1 Organization …………………………………………………………………… 1 Henry County Organization …………………………………………………… 1 Martinsville City Organization …………………………………….………… 2 Strategic Goals, Strategic Plan Updates, Comparison of Revenues and Enrollment Trends ………………………………………………… 3 Comprehensive Strategic Goals ……………………………………………… 3 Budget Revenue Comparison ……………………………………………… 4 Enrollment Trends and Projections …………………………………………... 8 Average Daily Membership – Three Pupil Counts (ADM) FYs 2012-2018 ……………………………………........................................... 8 Fall Membership, by Grade, for FYs 2016 to 2018 ...…………....................... 12 Input Indicators …………………………………………………………………. 17 Current Operating Expenditures …………………………………………….. 19 Pupil/Teaching Staffing Ratios …………………………………………….. 19 Average Annual Salaries of Instructional Personnel ………………………... 22 Pupil/Administrative and Support Staffing Ratios ………………………….. 22 Current Operating Costs by Source and Function …………………………... 22 Educational Attainment of Teachers ………………………………………... 27 Teacher Licensure ………………………………………………………….... 27 Summary: Input Indicators ………………………………………………….. 29 Output Indicators ………………………………………………………………. 29 Standards of Learning (SOL) Test Results …………………………………. 29 Graduation Information: Types of Diplomas Awarded and Dropout Rates ………………………………………………………………. 31 Dropout Rates by Race and Gender ……………………………………….... 31 Summary: Output Indicators ……………………………………………….. 33 i Section 2 Page Fiscal Capacity, Fiscal Effort, and Distribution of Direct State Aid for the Henry County and Martinsville City School Divisions, Biennia 2011, 2012 to 2019, 2020 …………………… 35 Local Composite Index …………………………………………………….. 35 State Basic Aid Distribution Formula ……………………………………… 41 Other Direct State Aid Grants ……………………………………………… 41 Local Fiscal Effort ………………………………………………………….. 42 Section Summary …………………………………………………………… 43 Section 3 The Demise of the Consolidation Incentive Program ………………… 46 Consolidation Incentive Program Legislation ……………………………… 46 Section 4 A Review of Employee Compensation and Fringe Benefits for Henry County and Martinsville City School Divisions …………. 49 Employee Compensation …………………………………………………… 49 Salaries for Non-Administrative Instructional Personnel …………………... 50 Salaries for Support Personnel ……………………………………………... 60 Fringe Benefits ……………………………………………………………… 61 School Division Central Office Administration Staffing Plan …………………………………………………………………….. 61 Introduction …………………………………………………………………. 61 Review of Central Office Staffing for Henry County and Martinsville City School Divisions …………………………………………. 63 Cost Alternatives for a Merged School Division …………………………... 65 Alternative 1 …………………………………………………………………… 65 Alternative 2 …………………………………………………………………… 66 Alternative 3 …………………………………………………………………… 66 ii Projected State Aid for a Merged Henry County and Martinsville City School Divisions …………………………………………… 67 A Review of Capital Facilities for Henry County and Martinsville City School Divisions, FY 2018 ……………………………. 67 References Legislation, Policies, and Books ……………………………………………. 88 Electronic Citations …………………………………………………………. 89 Appendices Appendix A Henry County School Division 2018 Organization Chart Appendix B Martinsville City School Division 2018 Organization Chart Appendix C Consolidated School Division 2018 Organization Chart Appendix D Henry County School Division VDOE Calculation Template FYs 2019 & 2020 Appendix E Martinsville City School Division VDOE Calculation Template FYs 2019 & 2020 Appendix F Consolidated School Division Consultant Calculation Template FYs 2019 & 2020 Appendix G VDOE Explanation of Direct State Aid Distribution Formulae List of Tables Page Table 1 Projected Direct State Aid for Henry County School Division …… 5 Table 2 Projected Direct State Aid for Martinsville City School Division … 7 Table 3 Fall Enrollment, Actual and Projected, for Henry County and Martinsville City School Divisions, FYs 2012-2025 ……………… 9 Table 4 September 30 Average Daily Membership, March 31 Average Daily Membership, and End-of-Year Average Daily Membership, Henry County and Martinsville City School Divisions, FYs 2012 to 2018 ……………………………………………………………… 11 Table 5 Fall Membership by Grade, Henry County School Division, FYs 2015-2016 to 2017-2018 ………………………………………. 13 iii Page Table 6 Fall Membership by Grade, Martinsville City School Division, FYs 2015-2016 to 2017-2018 ………………………………………. 14 Table 7 Fall Membership, by School, Henry County School Division, FY 2017-2018 ………………………………………………………. 15 Table 8 Fall Membership, by School, Martinsville City School Division, FY 2017-2018 ……………………………………………. 16 Table 9 Fall Membership, by Grade, Henry County, Martinsville City, and Consolidated School Divisions, FY 2017-2018 ………………... 18 Table 10 High School Fall Membership by Racial Percentage for Henry County, Martinsville City and Consolidated School Divisions, 2017-2018 …………………………………………………………… 19 Table 11 Current Operating Expenditures Per ADM, by Source, Henry County and Martinsville City School Divisions, Selected FYs 2012-2018 ……………………………………………………… 20 Table 12 Elementary Teaching Positions, Secondary Teaching Positions, End-of-Year Average Daily Membership and Pupil/Teacher Ratios for Henry County and Martinsville City School Divisions, Selected Fiscal Years, 2011-2012 to 2017-2018 ……………………. 21 Table 13 Average Annual Salaries of Instructional Personnel, Principals, and Classroom Teachers for Henry County and Martinsville City School Divisions, Fiscal Year 2011-2012 ………………………… 23 Table 14 Average Annual Salaries of Instructional Personnel, Principals, and Classroom Teachers for Henry County and Martinsville City School Divisions, Fiscal Year 2016-2017 …………………………… 24 Table 15 Number of Support Personnel by Function and Pupil:Support Personnel Ratios for Henry County and Martinsville City School Divisions, Fiscal Year 2016-2017 …………………………………… 25 Table 16 Current Operating Costs Per Pupil in ADM, by Source and Percent of Total, and Current Operating Costs Per Pupil in ADM, by Function and Percent of Total for Henry County and Martinsville City School Divisions, Selected Fiscal Years 2011-2012 to 2017-2018 ……………………………………………………………. 26 iv Page Table 17 Percent of Earned Degrees, by Level, (Unduplicated Count), Possessed by Teachers, Henry County School Division, and the Commonwealth of Virginia, Selected Fiscal Years 2009-2010 to 2017-2018 …………………………………………………………….. 28 Table 18 Percent of Earned Degrees, by Level, (Unduplicated Count), Possessed by Teachers, Martinsville City School Division, and the Commonwealth of Virginia, Selected Fiscal Years 2009-2010 to 2017-2018 …………………………………………………………….. 28 Table 19 Percentages of Teachers Who are not Properly Licensed, Provisionally Licensed, and Inexperienced, for Henry County and Martinsville City School Divisions, Fiscal Year 2017-2018 ………… 29 Table 20 SOL Test Results for Henry County and Martinsville City School Divisions, School Years 2015-16 to 2017-2018 …………… 30 Table 21 Graduation Information, Types of Diplomas Awarded, and Dropout Statistics for Henry County and Martinsville City High Schools, Selected School Years, 2011-2012 to 2017-2018 ………………….. 32 Table 22 Dropout Information by School Division, Race, and Gender for Henry County and Martinsville City School Divisions, Selected School Years, 2011-2012 to 2017-2018 ……………………………. 33 Table 23 Local Composite Indices and Ranking for Henry County and Martinsville School Divisions, Fiscal Years 2011-2012 to 2019-2020 …………………………………………………………… 28 Table 24 Local Composite Indices, Biennia, 2011-2012 to 2019-2020, Projected 2021-2022 to 2025-2026 …………………………………. 40 Table 25 Local Composite Index, Fiscal Capacity ($), Fiscal Effort, and Fiscal Effort Rank for Henry County and Martinsville City School Divisions, Fiscal Years 2011-12 and 2016-2017 ……………………. 44 Table 26 Salary Scales for Henry County and Martinsville City School Divisions, Fiscal Years 2018-2019 ………………………………….. 51 Table 27 Hypothetical Median Base Teacher Salary Scale for Henry County and Martinsville City School Divisions, Fiscal Year 2018-2019 ……. 53 v Page Table 28 Extended Cost of Hypothetical Median Base Teacher Salary Scale for Henry County and Martinsville City School Divisions, Fiscal Year 2018-2019 ……………………………………………….. 54 Table 29 Incremental Teacher Salary Scale for Henry County and Martinsville City School Divisions, Fiscal Year 2018-2019 ………… 55 Table 30 Incremental and Extended Costs of Henry County Teachers on Martinsville City School Division Scale, Fiscal Year 2018-2019 ………………………………………………. 56 Table 31 Cost Savings of Martinsville City Teachers on Henry County School Division Scale, Fiscal Year 2018-2019 …………………….... 57 Table 32 Difference Between Current Salaries and Median Salary for Henry County and Martinsville City School Divisions, Fiscal Year 2018-2019 ……………………………………………… 58 Table 33 Cost Savings of Hypothetical Median Base Teacher Salary Scale for Henry County and Martinsville City School Divisions, Adjusted to Henry County Pupil/Teacher Ratio of 14.0:1.0, Fiscal Year 2018-2019 ……………………………………………… 59 Table 34 Employee Fringe Benefits Provided by Henry County and Martinsville City School Divisions, Fiscal Year 2018-2019 ……….. 62 Table
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