2008-09 BUDGET2008-09 BUDGET

BUDGET DEVELOPMENT BUDGET DEVELOPMENT 2008-09 UPDATE2008-09 UPDATE

(May 6, 2008)

Presented by:J. A. Sabo, Associate Director - Leading Services & Treasurer of the Board

Presented by:J. A. Sabo, Associate Director - Leading Services & Treasurer of the Board

•STEP #1 - CALCULATE REVENUE ENTITLEMENTS (based on Ministry Technical Papers using Board specific/relevant data)

•STEP #2 - CALCULATE EXPENDITURE REQUIREMENTS (based on Ministry regulations/requirements and Board priorities/commitments)

•STEP #3 - ENSURE that Revenues meet or exceed Expenditures (since Step #1 is capped, adjustments must occur in Step #2)

Note: Step #2 Must Comply to Ministry Regulations & Envelopes

BUDGET DEVELOPMENT STEPSBUDGET DEVELOPMENT STEPS

PRESENTATION OBJECTIVESPRESENTATION OBJECTIVESMay 6, 2008May 6, 2008

Review of Budget Modules completed to Review of Budget Modules completed to date:date:

• Revenue Module (main focus)Revenue Module (main focus)• Salary and Benefits ModuleSalary and Benefits Module• Special EducationSpecial Education• Reserve AnalysisReserve Analysis

(Separate Presentations for Revenue Module and Salary and

Benefits Module)

REVENUE PROJECTIONSREVENUE PROJECTIONS

REVENUE SUMMARY REVENUE SUMMARY – including transfer from reserves– including transfer from reserves

2007-08 Revised Estimates

2008-09 Revenue

Projections

Increase (Decrease)

$ %

Total Operating Revenue $ 436,751,591 $ 446,155,646 $ 9,404,055 2.15

Transfer from Reserves 2,696,287 0 (2,696,287) -

TOTAL $ 439,447,878 $ 446,155,464 $ 6,707,768 1.53

NOTE 1: Refer to Revenue Module - 37 pages (pink/green)

NOTE 2: Increase/decrease in enrolment of 100 pupils a.d.e (50 elem/50 sec) equates to approximately $ 725,000

EXPENDITURE PROJECTIONSEXPENDITURE PROJECTIONS

Expenditure modules are being finalized

Included with May 6, 2008 agenda:

Salary and Benefits Module

37 pages (pink)

EXPENDITURE PROJECTIONSEXPENDITURE PROJECTIONS

Salary and BenefitsSalary and Benefits

2007-08 Revised Estimates

2008-09 Projections

Increase (Decrease)

$ %

Salaries and Wages $ 333,941,010 $ 342,060,550 $ 8,119,540 2.43

Employee Benefits 48,766,260 53,152,363 4,386,103 8.99

TOTAL $ 382,707,27 $ 395,212,913 $ 12,505,643 3.27

NOTE 1: Refer to Salary and Benefits Module - 37 pages (pink)

NOTE 2: Salary increase of 1% approximates $ 3.5 million

F.T.E. Staffing 5,084.31 5,173.79 89.48 1.76

Refer to Special Education Module - 10 pages (yellow)

Special Education Expenditure and Revenue Analysis presented to SEAC Budget Sub-Committee April 30, 2008

– 10 pages (yellow) included with agenda

BUDGET MODULEBUDGET MODULERe: Special EducationRe: Special Education

RESERVE ANALYSISRESERVE ANALYSIS

Refer to Reserve Analysis - 5 pages (buff)

Budget Support Material

– Included with agenda 5 page (buff) Reserve Analysis

Other Expenditure ModulesOther Expenditure Modules

Expenditure modules “proposed” to be finalized and presented for review ant the May 27, 2008 meeting are as follows:

Plant and Accommodation

Transportation

GSB and Instructional Supplies

Continuing Education

Instructional Services

Information Services

Other Central Support

Revenue & Expenditure Revenue & Expenditure “Disconnect”“Disconnect”

Obvious disconnect between projected expenditures and projected revenues example….

– Revenue module reflects increase of $ 6.7 million (1.53%)

–Salary and Benefit module reflects increase of $ 12.5 million (3.27%)

Expenditure/Revenue gap “disconnect” equals approximately $ 6.0 million PRIOR to any other expenditure increases. (of note Utilities/Energy, Maintenance, Transportation, etc. etc.)

Next StepsNext Steps

May 27, 2008 Board Meeting

– Completion and presentation/review of remaining budget modules

– Introduction of preliminary “Budget Balancing Worksheet”

– Review options for “adjustments” to budget projections and related assumptions

– Challenge: a COMPLIANT Operating Budget for 2008-09 and on a go forward basis

KEEPING THE BALANCE

FISCAL STUDENT

RESPONSIBILITY vs. OUTCOMES

THE CHALLENGE

•..we are re-allocating and accessing resources to achieve our student outcomes: Leveraged use of Resources

QUESTIONS