Fiscal Year 2013-14 Proposed Budget Presented by Chief Financial Officer Charles A. Burbridge

Budget Community MeetingJune 5, 2013

Atlanta Metro Area School Districts – Comparison Data

APS DeKalb Cobb Clayton Fulton

FY14 Furlough Days

3 1 5 0 0

FY13 - Approved class size waiver

1-5 (All) 1-8 (Reg. Ed., Gifted, EIP, REP)1-6 (ELL, CTAE, AEP)1-4 (SpEd.)

1-5 (All) 1-7 (Gifted, Reg. Ed.)1-5 (EIP, REP)

1-5 (All)

FY14 - Number of instructional days

180 180 175 (reduction of 5 days

in FY14)

175 177

FY14 - Reserves as % of budget

8% N/A* 8.33% 12% 21%

Amount of reserves to be used in FY14

($20 million) ($9 million) ($22 million) ($6 million) ($36 million)

Difference in M&O millage rate

FY2007 – FY2012(1)

[21.64 – 22.64]+1.08

[23.98 – 22.9]No change

[18.9 - 18.9]No Change[20 – 20]

+1.596[18.5 – 16.904]

Percent change in Gen Fund staff

FY2008 – FY2012

(6.4%)[5652 – 6038]

(4.8%) estimate[8670-9112]

(9.1%)[11980.96 - 13185.08]

(6.6 %)**[6820 – 7300]

(4.5%)[10,248.5 – 10731.69]

2

*N/A – Data on total financial reserves proposed to be held in FY14 by DeKalb County Schools are not included in proposed budget documents.** - Based on FY08 vs. FY11 all employees including grants estimate – DeKalb position change estimate based on FY08 restructuring & FY11 vs. FY12 staff reduction.

Atlanta Metro Districts Revenue / Expenditures

Total Revenue FY2008 FY2012 % Change

Atlanta Public Schools Revenue 724,136,723 669,864,021 -7%

Clayton County Revenue 440,233,113 400,089,786 -9%

Cobb County Revenue 952,001,178 862,441,223 -9%

DeKalb County Revenue 1,011,169,397 858,887,246 -15%

Fulton County Revenue 838,998,617 878,843,596 5%

Henry County Revenue 316,729,841 307,216,274 -3%

Total Expenditures FY2008 FY2012

Atlanta Public Schools Expenditures 672,303,008 668,191,903 -1%

Clayton County Expenditures 429,017,889 386,932,593 -10%

Cobb County Expenditures 958,858,108 893,991,279 -7%

DeKalb County Expenditures 977,901,472 916,216,646 -6%

Fulton County Expenditures 833,547,448 846,841,897 2%

Henry County Expenditures 311,635,565 306,448,441 -2%

3

Atlanta Metro Districts Head Counts – All Funds

Head Count

School Districts 2008 2012 Net Change % Change

ATLANTA INDEPENDENT SCHOOL SYSTEM

9,172

8,929

(243) -2.6%

CLAYTON COUNTY BOARD OF EDUCATION

10,649

8,627

(2,022) -19.0%

COBB COUNTY SCHOOL DISTRICT 21,465

19,017

(2,448) -11.4%

DEKALB COUNTY BOARD OF EDUCATION

17,884

16,206

(1,678) -9.4%

FULTON COUNTY BOARD OF EDUCATION

15,457

14,843

(614) -4.0%

4

Atlanta Metro Districts Salary Expenditures – All Funds

EXPENDITURES

School Districts 2008 2012 Net Change % Change

ATLANTA INDEPENDENT SCHOOL SYSTEM

387,841,272

376,170,009

(11,671,263) -3.0%

CLAYTON COUNTY BOARD OF EDUCATION

311,400,973

267,669,618

(43,731,355) -14.0%

COBB COUNTY SCHOOL DISTRICT 684,326,344

641,148,539

(43,177,805) -6.3%

DEKALB COUNTY BOARD OF EDUCATION

682,709,025

628,245,820

(54,463,205) -8.0%

FULTON COUNTY BOARD OF EDUCATION

552,969,891

542,941,310

(10,028,581) -1.8%

5

6

Revenue Assumptions

Comments:

• Local tax revenues for fiscal year 2012 include $25 million in TAD settlement

• Other Sources for Fiscal Year 2013 include $15 million in E-rate funding

• FY 2014 other sources include indirect cost, E-rate funding, sale of property, and beltline payments

7

Closing the Gap ($ Millions)

Fiscal Year 2014 Budget (Projections)

Total revenues $ 570.5

Appropriations $ 590.5 Add:

26 Teachers 2.0

Deduct: Operations (0.4) Furlough (0.1)

Total Appropriations $ 592.0

Net Change to Fund Balance $ (21.5)

Fiscal Year 2013 Fund Balance 69.5

Fiscal Year 2014 Fund Balance $ 48.0

8

Analysis of Fund Balance FY09-FY14 (millions)

Positions By Chief

9

Chiefs Number of PositionsFY13(FTE Actual

Payroll as of April 15th 2013) FY14(Budgeted) % Chg. Year Over Year

Instruction 4306 4,342 0.8%

Operations 651 732 12.5%

Finance 66 72 9.1%

Organizational Advancement 13 13 0.0%

Associate Superintendent 24 27 11.1%

Human Resources 42 60 42.9%Board of Education/Internal Compliance 24 24 0.0%

Information Technology 197 206 4.6%

Legal 7 10 42.9%

Total 5,330 5,486 2.9%

FY14 Budgets By Chief

10

Chiefs Fiscal Year ComparisonFY13 Expenditures FY14 Budget % Chg Year Over Year

Instruction 357.6 $356.6 -0.28%

Operations 78.0 79.4 1.79%

Finance 6.6 7.0 6.06%Organizational Advancement 1.4 1.5 7.14%Associate Superintendent 3.2 2.8 -12.50%

Human Resources 5.7 7.5 31.58%

Board of Education 1.6 1.5 -6.25%Information Technology 29.9 28.7 -4.01%

Legal 4.3 4.9 13.95%

District Wide 91.4 102.5 12.14%

Total $579.7 $592.4 2.19%

11

Tentative Budget % ofSalaries & Benefits FY 14 Budget1000 - Salaries $ 262,233,125 2000 - Employee Benefits 76,479,241 Total Salaries & Benefits $ 338,712,366 95.0% Non - Salaries 3000 - Professional Services $ 3,628,795 4000 - Purchased Property Services 969,810 5000 - Other Purchased Services 4,501,588 6000 - Supplies and Materials 8,553,322 7000 - Property 145,114 8000 - Other Purchased Services 119,786 9000 - Other uses - Total Non-Salaries $ 17,918,415 5.0% Total Program Expenditures $ 356,630,780 100%

Instruction

12

Tentative Budget % ofSalaries & Benefits FY 14 Budget1000 - Salaries $ 28,777,720 2000 - Employee Benefits 8,394,116 Total Salaries & Benefits $ 37,171,836 46.8%

Non - Salaries 3000 - Professional Services $ 3,158,081 4000 - Purchased Property Services 13,640,019 5000 - Other Purchased Services 1,601,405 6000 - Supplies and Materials 23,566,530 7000 - Property 113,600 8000 - Other Purchased Services 142,000 9000 - Other uses - Total Non-Salaries $ 42,221,635 53.2%

Total Program Expenditures $ 79,393,471 100%

Operations

13

Tentative Budget % of Salaries & Benefits FY 14 Budget

1000 - Salaries $ 4,343,806 2000 - Employee Benefits 1,257,874 Total Salaries & Benefits $ 5,601,680 79.8% Non - Salaries 3000 - Professional Services $ 660,000 4000 - Purchased Property Services 29,500 5000 - Other Purchased Services 162,603 6000 - Supplies and Materials 439,999 7000 - Property - 8000 - Other Purchased Services 121,505 9000 - Other uses - Total Non-Salaries $ 1,413,607 20.2% Total Program Expenditures $ 7,015,287 100%

Finance

14

Tentative Budget % of

Salaries & Benefits FY 14 Budget1000 - Salaries $ 1,161,602 2000 - Employee Benefits 224,025 Total Salaries & Benefits $ 1,385,627 92.5% Non - Salaries 3000 - Professional Services $ 40,000 4000 - Purchased Property Services 20,200 5000 - Other Purchased Services 17,500 6000 - Supplies and Materials 15,000 7000 - Property - 8000 - Other Purchased Services 20,000 9000 - Other uses - Total Non-Salaries $ 112,700 7.5% Total Program Expenditures $ 1,498,327 100%

Organizational Advancement

15

Tentative Budget % of

Salaries & Benefits FY 14 Budget1000 - Salaries $ 1,969,660 2000 - Employee Benefits 424,354 Total Salaries & Benefits $ 2,394,014 86.5% Non - Salaries 3000 - Professional Services $ 28,000 4000 - Purchased Property Services 62,384 5000 - Other Purchased Services 185,512 6000 - Supplies and Materials 43,660 7000 - Property - 8000 - Other Purchased Services 55,269 9000 - Other uses - Total Non-Salaries $ 374,825 13.5% Total Program Expenditures $ 2,768,839 100%

Associate Superintendent

16

Tentative Budget % of

Salaries & Benefits FY 14 Budget

1000 - Salaries $ 3,651,857 2000 - Employee Benefits 989,045 Total Salaries & Benefits $ 4,640,902 61.8% Non - Salaries 3000 - Professional Services $ 540,051 4000 - Purchased Property Services 22,530 5000 - Other Purchased Services 2,211,665 6000 - Supplies and Materials 86,722 7000 - Property 4,865 8000 - Other Purchased Services 8,471 9000 - Other uses - Total Non-Salaries $ 2,874,304 38.2% Total Program Expenditures $ 7,515,206 100%

Human Resources

17

Tentative Budget % of

Salaries & Benefits FY 14 Budget1000 - Salaries $ 1,001,5952000 - Employee Benefits 221,486 Total Salaries & Benefits $ 1,223,081 79.7% Non - Salaries 3000 - Professional Services $ 178,486 4000 - Purchased Property Services 11,766 5000 - Other Purchased Services 54,189 6000 - Supplies and Materials 16,000 7000 - Property - 8000 - Other Purchased Services 51,500 9000 - Other uses - Total Non-Salaries $ 311,941 20.3% Total Program Expenditures $ 1,535,022 100%

Board of Education, Archives and Internal Compliance

18

Tentative Budget % of

Salaries & Benefits FY 14 Budget1000 - Salaries $ 13,151,269 2000 - Employee Benefits 3,325,953 Total Salaries & Benefits $ 16,477,222 57.5% Non - Salaries

3000 - Professional Services $ 2,587,514

4000 - Purchased Property Services 861,946

5000 - Other Purchased Services 3,970,284

6000 - Supplies and Materials 4,625,373 7000 - Property 40,000

8000 - Other Purchased Services 107,768 9000 - Other uses - Total Non-Salaries $ 12,192,885 42.5%

Total Program Expenditures $ 28,670,107 100%

Technology

19

Tentative Budget % ofSalaries & Benefits FY 14 Budget1000 - Salaries $ 1,054,220 2000 - Employee Benefits 244,924 Total Salaries & Benefits $ 1,299,144 26.8% Non - Salaries 3000 - Professional Services $ 3,491,653 4000 - Purchased Property Services 15,453 5000 - Other Purchased Services 7,020 6000 - Supplies and Materials 32,000 7000 - Property - 8000 - Other Purchased Services 8,000 9000 - Other uses - Total Non-Salaries $ 3,554,126 73.2% Total Program Expenditures $ 4,853,270 100%

Legal

20

Tentative Budget % ofSalaries & Benefits FY 14 Budget1000 - Salaries -

2000 - Employee Benefits$ 54,000,000

Total Salaries & Benefits $ 54,000,000 52.7%

Non - Salaries 3000 - Professional Services - 4000 - Purchased Property Services - 5000 - Other Purchased Services - 6000 - Supplies and Materials - 7000 - Property - 8000 - Other Purchased Services - 9000 - Other uses $ 48,538,235 Total Non-Salaries $ 48,538,235 47.3%

Total Program Expenditures $ 102,538,235

District - Wide

Budget By Tiers

21

1 - Classroom2 - School

House

Subtotal:

Classroom &

School House

3 - Direct

Support of

Schools

4 - Support of

SchoolsGrand Total Percentage

Instruction 345,413,660$ 11,217,117$ 356,630,777$ -$ 356,630,777$ 60.2%

District Wide Programs 45,415,882 3,122,353 48,538,235 54,000,000 102,538,235 17.3%

Operations - 65,608,820 65,608,820 6,990,587 6,794,063 79,393,470 13.4%

Technology 9,014,867 1,502,617 10,517,484 18,152,625 28,670,109 4.8%

Human Resources - - - 7,515,207 7,515,207 1.3%

Finance - 946,578 946,578 6,068,710 7,015,287 1.2%

Legal - - - 4,853,271 4,853,271 0.8%

Superintendent - - - 2,768,838 2,768,838 0.5%

Board - - - 1,535,022 1,535,022 0.3%

Organizational

Advancement - - - 1,498,327 1,498,327 0.3%

Grand Total 399,844,409$ 82,397,484$ 482,241,894$ 6,990,587$ 103,186,062$ 592,418,543$ 100.0%

Percentage 67% 14% 81% 1% 18% 100%

FY2014 Budget Adoption Calendar

June 5

Atlanta Board of Education Budget (ABE) Budget Commission Meeting Fiscal Year 2014 Proposed BudgetCenter for Learning and Leadership |  Time: 3:00 p.m.  

June 5

Community Meeting on Fiscal Year 2014 Proposed BudgetCenter for Learning and Leadership |  Time: 6:00 p.m. – 8:00 p.m.

June 6

 Public Hearing on Fiscal Year 2014 Proposed BudgetCenter for Learning and Leadership | Time: 6:00 p.m. – 8:00 p.m. Fiscal Year 2014 Adoption of Tentative Budget  Time: 8:00 p.m.

June 10

Atlanta Board of Education Budget (ABE) Legislative Meeting, Center for Learning and Leadership Special Revenue Funds- Budget Presentation Time: 6:00 p.m.

June 17

Atlanta Board of Education Budget (ABE) Legislative Meeting,Center for Learning and Leadership Final Reading of Millage Rate and Sinking FundTime: 6:00 p.m.

June 27

Atlanta Board of Education Budget (ABE) Legislative Meeting, Center for Learning and Leadership Final Adoption of Fiscal Year 2014 Budget Time: 6:00 p.m.

22