Agenda

1. Plumas Lake Elementary School District2010-11 Unaudited ActualsSeptember 15,2011Presented by Ajit Kang Each student will reach their fullest potential as we strive for district excellence through sound leadership, effective communication, accountability, and investment in our staff.

2. Agenda Executive Summary Unaudited Actuals Enrollment data Revenue Limit assumptions Tier III flexibility ARRA funding Ed Jobs funding Reserves Revenues, Expenditures and Changes in Fund Balance General Fund Cafeteria Account Deferred Maintenance Capital Facilities Fund Capital Project Fund Debt Service Fund Gann Limit Schedule of Long-Term Liabilities Looking Ahead

3. Executive Summary Unaudited Actuals Financial data reflecting district’s fiscal status at the end of the 2010-11 school year Revenues and expenditures for the entire year as reported by the district prior to the annual audit Must be approved by the Governing Board by September 15 Submitted to the California Department of Education by local county office of education by October 15 Independent auditors validate the numbers and present audit report to Board in December

4. Unaudited Actuals (cont.) Forms in report: Revenue, expenditures, and fund balances for the following funds: FORM 01 – General Fund FORM 13 – Cafeteria Fund FORM 14 – Deferred Maintenance FORM 25 – Capital Facilities Fund FORM 52 – Debt Service Fund Form A – Average Daily Attendance (ADA) for P2, Annual and Revenue Limit calculations Form CA – Summary of data and district certification Form CAT – Revenues and expenditures for categorical programs Form CEA – Current Expense Formula/Minimum Classroom Compensation

5. Unaudited Actuals (cont.) Forms in report (cont): Form DEBT – Schedule of Long-Term Liabilities Form GANN – Calculates appropriations subject to GANN Limit Form ICR – Calculates a proposed indirect costs rate for federal and state programs for 2012-13 Form L – Report of annual lottery fund expenditures Form NCMOE – Calculation to ensure we are using funds to provide services in addition to regular services (NCLB requirements) Forms PCR and PCRAF – automatically calculate total program costs in Fund 01 in a standardized manner. Form RL – Revenue Limit Calculation Form SIAA – Summary of Interfund Activities (transfers between funds) Form TRAN – Summary of Home-To-School Transportation

6. Enrollment Data Enrollment – 2010-11 California Basic Educational Data System (CBEDS) K-8: 1027 (1.8% decline from prior year) Average Daily Attendance (ADA) – 2010-11 Principal Apportionment (P2) 994.54 (2.67% decline from prior year)

7. Assumptions

8. Revenue Limit Funding

9. Flexibility – Categorical Programs Education Code Section 42605 allows complete flexibility in the use of funds appropriated in the state budget for fiscal years 2008-09 through 2014-15 for numerous programs and can be used for any educational purpose. Categorical programs subject to Tier III flexibility Administrative Training - $8,713 Art & Music Block Grant - $15,133 CAHSEE - $800 California Peer Assistance & Review - $5,150 Community Based English Tutoring - $4,479 Gifted and Talented Education - $73,645 Instructional Material Realignment Program - $56,976 Math & Reading Professional Development - $6,014 Math & Reading Professional Development EL - $3,007 Professional Development Grant - $11,601 School Library Improvement Grant - $10,440 School Safety - $7,992 Supplemental Hourly Programs - $24,287 Targeted Instructional Improvement - $4,434 Deferred Maintenance State Apportionment Apportionment of $33,581 subject to Tier III flexibility until 2014-15 Transferred to Routine Restricted Maintenance . Routine Restricted Maintenance – flexibility to decrease contribution from three percent to one percent (approximately $30K savings).

10. ARRA Funding American Recovery and Reinvestment Act (ARRA) State Fiscal Stabilization Funding (SFSF) – intended to offset reductions to state general purpose and categorical funding and was revised on July 22, 2011: State general purpose funding: K:8 - $359,065 (original $293,424) Charter - $4,708 (original $3,396) Categorical funding: $44,420 (original $50,715) Entire entitlement $424,107 ($347,535 received in 08-09 school year and balance in 2010-11) Funded certificated teacher salaries 2009-10 - $211,545 2010-11 - $212,562 Special Education funding $163,705 2008-09 school year used $81,846 for para salaries Balance ($83,188) used in 2009-10 for para salaries

11. Education Jobs Fund Program Entitlement $222,813 Can be used for site expenditures only 2010-11 Expenditures - $79,270 Funding was used for the following: Restore three day furloughs for site staff Two part-time PE teachers - Rio and Cobblestone Literacy Coach – shared by three sites Part-time Library Clerk Part-time Office Clerk at Rio

12. Reserves Economic Uncertainty – Five percent Minimum Classroom Compensation - Funding set aside to close deficiency Certificates of Participation (COP) Obligation of General Fund if insufficient funds available in Fund 25 for debt service payment Reserve for COP debt service payment Reserve for Charter ADA issue (pending appeal) Reserve for Wheatland MOU Reserve for possible mid-year cuts

13. Fund 01: 2010-11 Revenue Sources

14. 2010-11 Revenue Sources

15. Fund 01: 2010-11 Expenditures

16. Contributions to Restricted Programs

17. Expenditures by Category

18. Current Expense Formula/Minimum Classroom Compensation Education Code, Section 41372 requires elementary school districts to expend at least 60 percent of their current cost of education for classroom teachers and aides, plus associated benefits. District is 2.13% below the minimum Deficiency amount is $141,539.40 Options available to the District Request waiver from county office of education Set aside funding to correct deficiency

19. Components of Ending Balance

20. Fund 13: Cafeteria Fund

21. Fund 14: Deferred Maintenance

22. Fund 25: Capital Facilities Fund

23. Fund 52: Debt Service Fund for Blended Component Units

24. Schedule of Long-Term Liabilities

25. GANN Limit Approve Resolution 2011-5 – Resolution for Adopting the Gann Limit for 2011-12 State Constitution requires school agencies to perform Gann Limit calculations Education Code sections 1629 and 42132 specify that governing boards of districts shall adopt a resolution to identify their estimated appropriations limits for the current year and their actual appropriations limit for the preceding year Calculation is included in the Unaudited Actuals and data is extracted from the General Ledger – Uses two factors to yield the change in our Gann Limit – Statewide factor for per capital personal income change and P2 ADA Calculations identify how much state aid counts toward our Gann Limit so the State of California knows how much state aid counts toward their Gann Limit 2010-11 Appropriations subject to limit - $6,440,518 2011-12 Estimated appropriations subject to limit - $6,883,272

26. Looking ahead State passed 2011-12 budget in July District adopted budget prior to July 1 State assumptions (COLA, deficit factor) did not change Other assumptions that may require budget revisions at First Interim Salary adjustments for any negotiated and ratified bargaining unit contracts ADA – currently budgeted at 2010-11 P2 data Add any categorical carryovers Still weak outlook for economy/possible mid-year cuts? Cash deferrals continue Enrollment as of 9/12/11- 1072: Cobblestone: 286 Rio: 471 Riverside: 315 CBEDS last October – 1027 First day of school, August 2011 – 1063 Education Jobs Fund – no funding after this year First Interim decisions What ADA numbers do we use for Revenue Limit calculations? Do we want to set aside monies for salaries funded with Education Jobs Fund? Do we want to set aside funds in reserves for salary increases? Fund 25 – Will we receive sufficient developer impact fees to cover COP debt service payment? KB Homes has pulled three permits this year.

27. QUESTIONS?