This document provides information for the Litchfield School District's 2015 budget deliberative session. It includes the proposed operating budget totaling $20,931,024.57, which is a 0.3% decrease from the previous year. It also includes estimated tax impacts and breakdowns of revenues and expenditures. Two warrant articles are discussed - the first for approval of the operating budget and the second for approval of a collective bargaining agreement that would increase salaries over the next three years. Concerns around maintaining competitive salaries and reducing health insurance costs are addressed.
2. DEREK BARKA – CHAIR
PATRICIA D’ALLEVA – VICE CHAIR
BRIAN BOURQUE – MEMBER
DENNIS MILLER – MEMBER
JOHN YORK – MEMBER
School
Board
3. Dr. Brian Cochrane - Superintendent
Frank Markiewicz - Business Administrator
Tracy Micali – Director of Human Resources
Kyle Hancock – Director of Technology
Julie Heon – Curriculum Director
Devin Bandurski – Director of Special Services
Laurie Rothhaus – CHS, Principal
Tom Lecklider – LMS, Principal
Scott Thompson – GMS, Principal
Administration
4. Budget Handout
Budget Report by Function
Function report describes activities for which a service or material object
is appropriated and expensed
1000’s
2000’s
3000’s
4000’s
5000’s
Instruction
Support Services
Operation of Non-Instructional Services
Facilities Acquisition and Construction Services
Other Outlays
5. Budget Report by Object
There are nine categories that describe specific expenditures for services and
commodities
100 Salaries
200 Employee Benefits
300 Professional Services
400 Utility Services
500 Other Purchased Services
600 Supplies
700 Property
800 Other
900 Other Use of Funds
8. IF Town & School Operating Budget and
Warrants Articles All Passed
Town Impact:
$ .37 cents per thousand
School Impact:
$ .60 cents per thousand
Total Estimated Impact: $ .97 cents per thousand
10. ARTICLE 1
Shall the Litchfield School District vote to raise and appropriate as an operating
budget, not including appropriations by special warrant articles and other
appropriations voted separately, the amounts set forth on the budget posted with the
warrant or as amended by the vote at the first session of the annual school district
meeting, for the purposes set forth herein, totaling Twenty Million Nine Hundred
Thirty One Thousand Twenty Four Dollars and Fifty Seven Cents ($20,931,024.57)?
Should this article be defeated, the default budget shall be Twenty Million Eight
Hundred Four Thousand Five Hundred Fifty Nine Dollars ($20,804,559) which is the
same as last year, with certain adjustments required by previous action of the
Litchfield School District or by law; or the School Board may hold one special
meeting, in accordance with RSA 40:13 X and XVI, to take up the issue of a revised
operating budget only.
Estimated Tax Impact:
$0.27
Recommended by the School Board
Vote 4-0-0
Recommended by the Budget Committee
Vote 8-0-0
11. Recommended Appropriations
FUND
General Fund Budget
Food Service Budget
Federal Funds Budget
TOTAL OPERATING FUNDS
2014
2015 $ Change % Change
$19,817,115 $19,761,323 -$55,792 -0.3%
$598,476 $594,702 -$3,774 -0.6%
$575,000 $575,000
$0
0.0%
$20,990,591 $20,931,025 -$59,566 -0.3%
13. Recommended Appropriations
General Fund
Salaries & Benefits
School Operations
Buildings & Grounds
Transportation
Student Services
District Administration
Improvement of Instruction
14,743,738
2,392,355
1,218,843
917,718
211,746
170,280
106,643
TOTAL General Fund
19,761,323
18. ESTIMATED 2015 REVENUE ANALYSIS
• District no longer eligible for State Kindergarten Aid (-$86,250)
• Reduction in Adequate Education Aid (-$117,512)
• due to revised formula for distribution (RSA 198:41) based on anticipated
reduction in ADMA – Average Daily Membership (Students) in Attendance
• Increase in Catastrophic Aid (+$48,808) and Medicaid Distribution
(+$32,000)
19. ESTIMATED
ESTIMATED
2015
2014
CHG $
CHG %
10,000
8,000
14,000
8,000
-4,000
0
-28.6%
0.0%
600
1,200
-600
-50.0%
Food Service Sales
470,352
474,126
-3,774
-0.8%
Student Activities
90,773
67,107
23,666
35.3%
Other Local Sources
10,000
10,000
0
0.0%
589,725
574,433
15,292
2.7%
260,787
260,787
0
0.0%
315,798
266,990
48,808
18.3%
2,500
2,000
500
25.0%
7,000
7,000
0
0.0%
586,085
536,777
49,308
9.2%
Federal Program Grants
275,000
275,000
0
0.0%
Child Nutrition
117,350
117,350
0
0.0%
Disabilities Programs
300,000
300,000
0
0.0%
Medicaid Distribution
92,000
60,000
32,000
53.3%
784,350
752,350
32,000
4.3%
1,960,160
1,863,560
96,600
5.2%
Education Grant
5,758,111
5,875,623
-117,512
-2.0%
TOTAL
7,718,271
7,739,183
-20,912
-0.3%
SOURCE OF REVENUE
REVENUE FROM LOCAL SOURCES
Tuition
Transportation Fees
Earnings on Investments
TOTAL LOCAL REVENUE
REVENUE FROM STATE SOURCES
School Building Aid
Catastrophic
Aid
Loss of
Kindergarten
Aid -$86,250
Catastrophic Aid
Vocational Aid
Child Nutrition
TOTAL STATE REVENUE
REVENUE FROM FEDERAL SOURCES
TOTAL FEDERAL REVENUE
TOTAL ALL REVENUE PROJECTIONS
Adequate
Education Aid
Medicaid
20. Default Budget
2015 DEFAULT GENERAL FUND OPERATING
BUDGET
19,631,083
2015 DEFAULT FOOD SERVICE BUDGET
598,476
2015 DEFAULT GRANTS FUND BUDGET
575,000
TOTAL LSD 2015 DEFAULT BUDGET
20,804,559
21. Default to Current Year Budget Comparison
2014
Default
$ Difference
General Fund
19,817,115
19,631,083
-186,032
Food Service
598,476
598,476
0
Federal Funds
575,000
575,000
0
22. Default to 2015 Budget Comparison
2015
Default
$
Difference
General Fund
19,761,323
19,631,083
-130,240
Food Service
594,702
598,476
3,774
Federal Funds
575,000
575,000
0
24. ARTICLE 2
To see if the Litchfield School District will vote to approve the cost items included in the collective bargaining
agreement reached between the Litchfield School District and the Litchfield Education Association which calls
for the following increases in salaries and benefits at the current staffing level:
Year
2014-2015
2015-2016
2016-2017
Estimated Increase
$ 213,383
$ 195,737
$ 175,545
and further to raise and appropriate the sum of Two Hundred Thirteen Thousand Three Hundred Eighty Three
Dollars ($213,383) for fiscal year 2015, such sum representing the additional costs attributable to the increase in
salaries and benefits required by the new agreement over those that would be paid at current staffing levels.
Estimated Tax Impact:
$0.26
Recommended by the School Board
Vote 4-1-0
Not Recommended by the Budget Committee
Due to Tied Vote 4-4-0
25. School Board Negotiation Objectives
Maintain competitive salaries, recruit, and retain high quality teachers:
• No contract for 2 years.
• No contract for 3 out of last 5 years.
o
o
o
o
o
2009-10 – No contract
2010-11 – Steps (no increase for top)
2011-12 – Steps + 1% schedule adjustment
2012-13 – No contract
2013-14 – No contract
Our most experienced teachers have received a 1% raise since 2008-2009.
26. Litchfield 2013-14 Teacher Salary Scale
St.Gr.
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
B
33,623
35,070
36,517
37,963
39,410
40,857
42,303
43,750
45,195
46,644
48,090
49,536
50,984
52,430
53,876
33,623
40,671
45,436
55,304
61,733
B+15
34,765
36,282
37,799
39,317
40,834
42,352
43,869
45,386
46,904
48,421
49,939
51,456
52,973
54,492
56,010
B+30
35,907
37,494
39,083
40,671
42,259
43,847
45,436
47,024
48,612
50,201
51,789
53,377
54,965
56,554
58,142
M
37,051
38,710
40,370
42,029
43,689
45,348
47,007
48,667
50,325
51,985
53,644
55,304
56,963
58,622
60,281
M+15
38,194
39,876
41,557
43,239
44,920
46,601
48,283
49,965
51,645
53,327
55,009
56,690
58,371
60,053
61,733
M+30
39,337
41,041
42,744
44,448
46,152
47,855
49,559
51,262
52,965
54,668
56,372
58,075
59,779
61,482
63,186
Meets 2013-14 Federal eligibility requirements for Free or
Reduced Meals for a family of 3. ($36,131)
Meets 2013-14 Federal eligibility requirements for Free or
Reduced Meals for a family of 4. ($43,568)
Salary between $43,569-$50,000
Salary between $50,001-$60,000
Salary over $60,000
27. School Board Negotiation Objectives
Reduce health insurance costs to the District:
o
Maintains high quality health care while still accruing significant decrease in employer
health care costs due to moving to a plan where employees pay higher deductibles
and co-pays (including prescriptions).
o
New health care provider/plan has a history of lower annual increases than existing
coverage.
o
Additional healthcare savings will also be accrued with non-LEA healthcare eligible
employees.
o
The employee share of the HMO plan changes from 85/15 to 84/16 and then
beginning in 2015-16 the cost share changes to 83/17 saving even more on
healthcare.
o
New healthcare provider/plan greatly diminishes likelihood of, and severity of,
potential “Cadillac” tax costs (11% versus 28% increase required to trigger existing
threshold).
28. School Board Negotiation Objectives
Quality of teaching is primary factor impacting future Reduction In Force
(RIF) decisions:
However, probationary teachers in the same category as defined in section C-1 will
be laid off prior to teachers on continuing contract.
Reduce the costs of teacher sick time.
Beginning in 2016-17:
o Existing teachers move from 15 sick days/year to 12 days
o Teachers new to the district receive 10 sick days/year and can
accrue a maximum of 110 days (vs. 125)
Potential savings due to:
Fewer sick days used; and
Decreased severance payments to teachers
29. What are Salary Schedules?
Teaching staff is paid based upon the salary schedule approved in the
collective bargaining agreement.
When hired, an educator is placed on a “LADDER” or “Grade-Level” based
upon their degree status.
•
•
•
•
•
•
Bachelors
Bachelors + 15 credits
Bachelors + 30 credits
Masters
Masters + 15 credits
Masters + 30 credits
Within that ladder, they are placed on a STEP based upon their years of
experience.
30. How Do Salary Schedules Work?
• Each school year with a contract, teachers move up one step on the
experience scale.
• When there is no contract, there is no step movement.
• Teachers at top step no longer move steps.
• Occasionally, the contract will also include step modifications to keep
the salary schedule competitive and to provide raises for members at
the top step.
32. Proposed Contract: Year 1 2014-2015
Schedule Modification – slide schedule 1 Step Up
•
•
Remove 1st step (old Step 2 becomes Step 1)
Add new 15th Step
Each teacher receives a step
End result
• Staff members “On the schedule” (not top) receive an increase equal to two
steps.
• Staff Members on top step receive an increase equal to 1 step.
Benefits
•
•
Schedulestarting salary is more competitive.
Staff on the schedule have a more competitive wage.
34. Year 2: 2015-2016
• On Schedule: Move up 1 Step
• Top Step Modification:
o
½ a step increase + $300
• NOTE:
o In year 16-17, top step will receive second half of step.
36. Year 3: 2016-2017
• Schedule Modification - Similar to year 1
• Slide schedule 1 Step Up
• Remove 1st step (old Step 2 becomes Step 1)
• Add new 15th Step + $300
• This is only half a step + 300
• Second half from year 2015-2016
• Top step receives (1 step + $600) over years 2 and 3
• Teachers do NOT move a step
• Increase is equal to 1 step for teachers on the schedule.
42. A Projected Cost Analysis…
LEA Agreement - Historical Averages Projected in
2015-2016
2014-15
2015-16
2016-17
$ 421,489
$ 212,737
$ 203,121
$ 837,347
$208,106
$87,191
$95,168
$ 390,465
$ 213,383
$ 125,546
$ 107,953
$ 446,882
$68,000
$10,940
$11,815
$ 90,755
Total HC Savings
$276,106
$98,131
$106,983
$481,220
Total Difference
$ 145,383
$ 114,606
$ 96,138
$ 356,127
Projected Salary Increases
Projected HC Savings
Difference
Projected Non-LEA HC Savings (100% SB)
Total
43. ARTICLE 3
To see if the Litchfield School District will vote to raise and
appropriate the sum of Twenty Five Thousand Six Hundred Sixty
Two Dollars ($25,662) for the purpose of funding a part-time
computer teacher position at Griffin Memorial School.
Estimated Tax Impact:
$0.03
Recommended by the School Board
Vote 3-1-0
Recommended by the Budget Committee
Vote 8-0-0
44. Leveraging Technology to
Support Career and
College Readiness for All K12 Students
The Evolving Role of Technology in K-12 Education:
Moving towards Blended Learning
45. The Situation…
Global competitiveness, outsourcing and the increased use
of technology to replace routine physical and cognitive
tasks has greatly reduced the number of low-skill jobs
available.
“Extrapolating from studies done in other countries…it is
likely that the United States is shedding 2,500 low-skill jobs
every day.” (William, 2011, p. 7)
The gap between what students know and are able to do
and the knowledge and skill required to remain gainfully
employed in today’s globally competitive marketplace has
never been wider.
46. The Changes Schools Need to Make…
Higher expectations for student learning
More independent learning
Development of digital literacy layered on top of
strong traditional literacy and numeracy skills
Increased cognitive rigor
Problem solving and application
48. SBAC Computer Adaptive Testing
SBAC Testing requires students as early as the end of grade 3 to:
Have fluent keyboarding skills (on-demand full page typed essay
response);
Be proficient with technology-based writing, and editing (highlighting,
copy, cut, paste, etc.);
Have experience with a broad range of virtual math manipulative (see
examples in later slides); and
Be able to interact fluently with a variety of technology interface systems.
49. SBAC “Technology Enhanced” Guidance
As a few examples, a technology enhanced item may require the student
to:
produce a line or a set of lines;
to draw a shape like an isosceles triangle or a rectangle with a specific
area or perimeter;
to rearrange the order of numbers or expressions; or
to categorize geometric shapes, numbers, or expressions by dragging and
dropping them.
51. Grade 4
Classify each shape below based whether it
contains at least one pair of parallel sides.
Grade 4
52.
53. ARTICLE 4
To see if the Litchfield School District will vote to raise and appropriate the
sum of up to Fifty Thousand dollars ($50,000.00) to be added to the building
maintenance Capital Reserve Fund established in 2004. This sum to come from
June 30 fund balance available for transfer on July 1.
No amount to be raised from taxation.
Recommended by the School Board
Vote 4-0-0
Recommended by the Budget Committee
Vote 7-1-0
54. As of June 30, 2013
Capital Improvement – Building
Maintenance - $787
Special Education - $103,449
Capital Reserve
Fund Balances
55. ARTICLE 5
To see if the Litchfield School District will vote to raise and appropriate the sum of
Thirty Six Thousand Seven Hundred Dollars ($36,700) to purchase security equipment
necessary to upgrade external access control and panic alarms at Griffin Memorial
School, Litchfield Middle School, and Campbell High School.
Estimated Tax Impact:
.04
Recommended by the School Board
Vote 4-0-0
Recommended by the Budget Committee
Vote 7-0-1
