GREENWICH PUBLIC SCHOOLS SUPERINTENDENT’S PROPOSED 2014-2015 OPERATING BUDGET November 7, 2013 Greenwich, Connecticut GREENWICH BOARD OF EDUCATION FY 2014-2015 BUDGET Section Page Section Page Background Staffing a. Limitations 1 a. Student Based Resource Allocation 170 b. BET Guidelines 3 b. Certified Staff Table of Org 171 c. District Strategic Improvement Plan 7 c. Staffing – Certified 172 d. Enrollment Projection Report 19 d. Staffing – GOSA 174 Executive Summary e. Administrative Table of Organization 175 a. Superintendent’s Message 20 f. Staffing by Location 186 b. Program Summary 33 Capital Budget 202 c. Major Object Code Summary 35 Food Services 249 Program Detail Reference a. Program Grouping Summary 42 a. Mission and Vision 255 b. Core Education Programs 51 b. Vision of the Graduate 256 c. Shared Education Resources 80 c. How to Read the Book 257 d. Supplemental Education Programs 90 d. Chart of Accounts 259 e. Central Office Functions 106 e. Elementary Class Distribution 265 f. Facilities & Transportation 118 f. Enrollment by Grade 266 Location Detail g. Per Pupil Allocation 267 a. Elementary Schools 125 h. Grants Report 269 b. Middle Schools 153 i. School Allocation 273 c. High School 163 j. Supplemental Funds for Students Below Standard 274 d. Havemeyer 167 k. Statement of Revenues 275 l. Professional Services 276 Board of Education Budget Guidelines and Limitations for Preparation of the 2014-2015 Budget The Board of Education directs the Superintendent to develop an operating budget for the 2014-2015 school year which shall not fail to address: 1) The Board Goals adopted on June 7, 2012 2) The District’s Mission, Values and Beliefs (E-000) 3) The District Strategic Improvement Plan which reflects objectives, action plans and resources to achieve the Board Goals 4) Impediments to success identified in the Diagnostic Memorandum, Planning Priorities memo, Achievement Report and other analyses of results 5) Transition to Common Core Curriculum 6) Achievement of continuous improvement in all academic and other programs and services offered by the District 7) The digital learning and technology needs of the District to advance academic achievement and prepare for the SBAC assessment 8) Expenses related to enrollment, facility utilization and racial balance actions 9) Recommendations identified in monitoring reports and approved by the BOE 10) Contractual obligations, including all labor agreements 11) Resource reallocation opportunities 12) An explanation of the alignment of District, school and program budgeting that demonstrates equitable allocation of resources among schools 13) Budget Process Recommendations from Ad Hoc Committee adopted on September 20, 2012 14) BET Guidelines Prior to presenting the Superintendent’s Proposed 2014-2015 Operating Budget in November, the Superintendent should provide the Board the opportunity to review and consider new initiatives, program or service modifications, and/or staffing model changes. Each proposal should include the identified need, anticipated measureable results, staffing impacts, estimate costs or potential for efficiencies and reallocation. The Budget documentation should allow the Board to see the link between the budget and the goals, strategic initiatives and core academic programs. It should present the budget in context and by the way the Board analyzes performance and evaluates programs. Some examples, which are intended to be representative but not complete, include: a) Summarize the major objectives, goals, programs and budget by program and explain the linkage between each objective, goal, and program b) Budget Summary by School that includes key statistics on performance, goals, enrollment, staffing, revenue sources and expenses 1 c) Budget Summary by Program includes key statistics on performance, goals, staffing, professional development detail, revenue sources and funding data d) Enrollment data and trends e) Staffing model and headcount detail, including table of organization f) Analysis of major year-to-year changes g) Food service budget The Board of Education directs the Superintendent to develop a capital budget for the 2014-2015 school year which shall not fail to address: 1) The long term vision for our public school facilities 2) The current status of each building using a consistent framework and based on a comprehensive analysis of what has been accomplished to date and what are identified needs 3) The current status of major programs that are being phased, like asbestos, roofs, etc. 4) Facility standards 5) Priorities which include health and safety, maintenance requirements, impact on instruction, equity, update/appearance, facility enhancement, operating cost improvements 6) Input from school communities and other stakeholders, Tools for Schools, preventative maintenance and work order system 7) Ability to successfully complete within the fiscal year, taking into consideration the school calendar 8) BET Guidelines The capital budget should be presented with charts including: a) 10-year capital plan for the District (per BET guidelines), presented by program and by school b) 5-year view of completed investments (2 yr), current budget and planned investments (2 years) by school and by category c) The status of each building using a consistent framework and including the results of the summer 2013 studies d) The status and forecast for major programs (e.g. bathroom renovations, roofs, boilers, etc.) e) CIP sheets, as required f) Status of previous capital budget items, including a list of all open capital items 2 TOWN OF GREENWICH Board of Estimate and Taxation Michael S. Mason, Chairman Arthur D. Norton, Vice-Chairman Mary Lee A. Kiernan, Clerk TO: All Department Heads, Board of Education, Appointing Authorities, and the First Selectman FROM: The Board of Estimate and Taxation (BET) DATE: October 22, 2013 SUBJECT: Fiscal Year 2014 – 2015 Budget Guidelines (FY 15) Budgeting for the Town of Greenwich and the Board of Educattion (BOE) is an ongoing process. Throughout the year, the Board of Estimate and Taxation (BET), the Finance Department, and the Office of the Assessor monitor and adjust forecasts for those factors that impact future expenditures and revenues. A few factors in particular have a disproportionate impact on future budgets and these deeserve our cloosest attention. The cost associated with providing quality Health Care to our employees; the leevel of contributions to our Pension Plan; the cost of Labor as reflected in new and existing labor contacts; and the level of debt raised to fund capital projects resulting in interest and principal repayments (Debt Service) are the four factors that have the greatest impact on future funding levels. Occasionally, unanticipated costs will arise, such as the GHS Soil Remediation Project or the three major storms since March 2010 including Super Storm Sandy, which require immediate restitution and longer term funding. But overall, the Town of Greenwich cost structure is well defined and predictable. Within this structure, the past four years have been very challenging. Financial and real assets have declined in value, unemployment including unplanned retirement has increased, and many of our citizens have less disposable income available to them today than in the past. Within this context, our citizens have expressed both the desire to maintain a high level of service, but also a desire to maintain low and predictable mill rate increases. The BET has struck a balance between these two conflicting desires with mill rate increases in the past four years of 3.37%, 2.875% (assumes no revaluation), 2.75% and 2.75% respectively. Some members of our community feel that even these relatively low levels of increaseed taxation are too high, but it seems to us that the majority of our citizens feel that the BET has taken a measured approach to funding the Town and the BOE operating and capital needs, while at the same time maintaining proper financial reserves. With these thoughts in mind, the Budget Committee recommends that the Mill Rate increase for Fiscal Year 2014 ‐2015 be kept to 3.0% or less. Tax payers that live within the Sewer District (approximately three‐quarters of all taxpayers) should expect to experience an additional tax increase of 0.42% which is predicated upon the combined Sewer Maintenance and Sewer Improvement Funds’ mill rate increasing by 13.9%. How the Sewer Funds are financed should be topic of consideration and analysis in the next budget cycle. 3 To help the First Selectman, the Board of Education, the Appointing Authorities and Department Heads prepare the Proposed Budget for Fiscal Year 2014 ‐2015 a few additional comments may be in order. Assuming the Grand List only grows by a half of one percent (0.5%), the maximum tax levy at a 3.0% mill rate increase would be approximately $340 million. In addition to taxes, revenues are projected to be approximately $47 million. And as of now we are assuming that we will have $8 million in cash to use from the General Fund. That means in total we have approximately $392 million in funding sources after accounting for $3 million in losses on collections and tax relief. On the other side of the equation is the use of funds. The three major categories for the use of funds are the Operating Budget, the Fixed Charges, and the Capital Budget. In the next Fiscal Year, we face significant increases in Fixed Charges. The cost of Health Care is expected to grow by 16% or $7.6 million over the current fiscal year; and the Defined Benefit Pension Contribution is expected to grow by 16.5% or $3.3 million above the current fiscal year contribution, assuming a reduction in the assumed rate of return to 7.25% for the pension fund. In total, Fixed Charges are projected at $108.4 million. The Capital Tax Levy is expected to increase from the current year funding level of $35.4 million to $39.4 million. Together, if nothing changes in these projections, Fixed Charges and Capital would use approximately $148 million.