Vision 202: 2015 CES 3

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Welcome!

Please introduce yourself to others at your table

Put on a name tag (include name & school)

Complete the information on the sign-in sheet

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CES-2 Summary Documents

Small Group Verbatim Document

Executive Summary

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Key Findings from CES 2

Task #1: Opportunities for Improving Student Achievement

• Expand Digital learning Environment & Technology

– Computers available for each student (1:1)

• Increase Instructional Offerings/Opportunities

– Full Day Kindergarten

• Provide Relevant Professional Development

Curriculum Shifts

– Instructional Practices

• Increase Instructional Time

– Summer school for grades 6-12

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Key Findings from CES 2

Task #2: Input and Suggestions for Supporting our Students

• Increase Proficiency for All Students

– Professional development opportunities for teachers

– More differentiation and varied learning options for students

– Technology based learning opportunities

• Racial & Ethnic Minorities

– Culturally relevant curriculum and activities

– Social Emotional & Academic support programs

• Economically Disadvantaged

– Suggestions for programs outside the school day:

» Breakfast program

» Homework clubs/after school tutoring

Community partnership programs for families in need

Technology access

• English Language Learners

Before/after school tutoring

– Increased staff diversity

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Key Findings from CES 2

Task #3: Input and Suggestions for Supporting our Students: Looking Ahead

• Programs, curriculum, sports and activities to explore

– STEM Initiatives

– Expanded AP/Honors classes

– Dual Credit Classes

– Expanding Tutoring Programs

– Full Day Kindergarten

– Summer School/Longer School Day

Vocational Training

Extra-curricular Activities at both LJHS and LSHS

– Technology options

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Key Findings from CES 2

Common Themes Across the Small Group Tasks

• Full Day Kindergarten

• Technology Literacy Programs and Access

• Expanded Learning Options for Students

• Expanded Tutoring Opportunities

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CES CALENDAR/SYLLABUS

Session Date/Time Location Topic CES 1 Tuesday, January 20, 2015 Time: 7:00 p.m. - 9:00 p.m. Lisle Jr. High Commons 5207 Center Avenue Direction of Community Engagement Sessions & State of the District CES 2 Tuesday, February 17, 2015 Time: 7:00 p.m. - 9:00 p.m. Lisle Jr. High Commons 5207 Center Avenue Student Achievement & Programs of Study CES 3 Wednesday, March 25, 2015 Time: 7:00 p.m. - 9:00 p.m. Lisle Jr. High Commons 5207 Center Avenue Financial Landscape CES 4 Saturday, April 25, 2015 Time: 9:00 a.m. - 11:00 a.m. Lisle Jr. High Commons 5207 Center Avenue Facilities CES 5 Thursday, May 21, 2015 Time: 7:00 p.m. - 9:00 p.m. Lisle Jr. High Commons 5207 Center Avenue Key Findings & Recommendations 7
WEBSITE/EMAIL/SOCIAL MEDIA Website: www.vision202.org Email: vision202@lisle202.org eNewsletter: bit.ly/lislevision202enewletter Social Media: Facebook: Facebook at Lisle Vision 202 Twitter: Twitter@Vision_202 8

QUESTIONS/COMMENTS

• Fill out “I Have a Question/Comment” form

• Call: 630.493.8000

• Email: vision202@lisle202.org

• Ask questions during Small Group time

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SIGN-IN SHEET

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Welcome and Opening Remarks •

Informational Presentation

Introduction of Small Group Work Activity

Small Group Work Activity

Small Group Reporting

Preview of Next Session (CES #4)

Agenda
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FINANCIAL LANDSCAPE

How does Lisle 202 manage the community’s financial resources?

Presenters

Dr. Keith Filipiak: Superintendent of Schools

David Wilkinson: Director of Finance

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Catchy Tag Line

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TONIGHT’S MAJOR “TAKE-AWAYS”

The “Ins” & “Outs” of School Finance

Historical Performance

Financial Health

Projected Future

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The Ins & Outs of School Finance

Revenues –How is Lisle 202 funded? 15

The Ins & Outs of School Finance

How are public schools funded?

Source

0% 20% 40% 60% 80% 100% National Illinois Lisle CUSD 202 44% 66% 90% 13% 8% 3% 43% 26% 7%
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Revenue by
Local Federal State

The Ins & Outs of School Finance

Who pays the property taxes?

Commercial 31% Industrial 9% Residential 60% Lisle 202 Tax Base Composition 17

The Ins & Outs of School Finance

What’s been “trending” with CPI?

Consumer Price Index (CPI)

3.40% 2.50% 4.10% 0.10% 2.70% 1.50% 3.00% 1.70% 1.50% 0.80% 0.00% 0.50% 1.00% 1.50% 2.00% 2.50% 3.00% 3.50% 4.00% 4.50% 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Ten Year Average = 2.1% 18

The Ins & Outs of School Finance

What are the Property Tax Caps?

Increase 2013 = 1.5% Limited to Lesser of CPI or 5% 19

The Ins & Outs of School Finance

How does Lisle 202’s property tax rate compare?

(Per $100 Value)

$3.54 $3.22 $2.61 $2.09 $4.90 $4.95 $4.81 -$0.75 $0.25 $1.25 $2.25 $3.25 $4.25 $5.25 $6.25 State State DuPage DuPage Lisle Elementary High School Unit Schools Lisle 202
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2012 Property Tax Rates

The Ins & Outs of School Finance

How does Lisle 202’s property tax rate compare?

$5.70 $4.99 $4.85 $4.81 $4.80 $4.55 $0.00 $1.00 $2.00 $3.00 $4.00 $5.00 $6.00 Indian Prairie 204 Naperville 203 Wheaton 200 Lisle 202 Elmhurst 205 Westmont 201 2012 Property Tax Rates (Per $100 Value) 21

The Ins & Outs of School Finance

How much is spent per student?

Operating Expense Per Pupil

* Statewide average for Unit school districts based on the FY2012-FY2013 Annual Financial Reports filed with ISBE

2,000 4,000 6,000 8,000 10,000 12,000 14,000 16,000 18,000 20,000
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The Ins & Outs of School Finance Expenditures-

How are the dollars spent?

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School District Finance 101

How does Lisle 202 spend its resources?

24 Transportation 6% Facilities 9% Instruction & Classroom Support 66% Operations & Administration 14% 5%

School District Finance 101

How does Lisle 202 partner with the community?

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Lisle CUSD 202 Lisle Park District Village of Lisle Lisle Police Department Lisle Chamber of Commerce Lisle-Woodridge Fire Department Lisle Library
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Historical Performance

Fiscal Year 2003 Through 2014

Average annual savings of approximately 10%

Revenues Expenditures

$21 $23 $24 $25 $28 $29 $30 $30 $31 $31 $31 $32 $22 $22 $22 $24 $25 $26 $27 $27 $27 $28 $29 $28 $0 $5 $10 $15 $20 $25 $30 $35 Millions
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Financial Health

What is the ISBE financial scorecard?

Illinois State Board of Education Financial Profile Score

“Objectively assesses the financial health of all school districts”

Five Indicators:

1. Fund Balance to Revenue ratio

2. Expenditure to Revenue ratio

3. Days Cash on Hand

4. Short -term Borrowing Maximum Remaining

5. Long-term Debt Margin Remaining

Method –

Each indicator is scored & weighted. Weighted scores are summed to obtain “Total Profile Score.”

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What is Lisle 202’s credit rating?

Moody’s Standard & Poor’s (S&P) Description Aaa AAA Extremely strong capacity to meet financial obligations Aa1 AA+ Investment Grade Aa2 AA Very strong capacity to meet obligations Aa3 AAA1 A+ A2 A Strong capacity but susceptible to adversity A3 ABaa1 BBB+ Baa2 BBB Adequate financial capacity but adverse conditions will lead to weakness Baa3 BBBNon-Investment Grade Ba1 BB+ Ba2 BB Non-Investment Grade Speculative Ba3 BBB1 B+ B2 B Highly Speculative B3 BCaa CCC+ Ca CCC Extremely Speculative C CCCD Default
Financial Health
Lisle202 35

Financial Health

How much debt does Lisle 202 have?

Bonds Outstanding by Fiscal Year

$74.3 million Bonding Limit

Outstanding June 30, 2014 = $8,000,000

Annual Debt Service Payment Approximately = $1,500,000

$$2.0 $4.0 $6.0 $8.0 $10.0 $12.0 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 Millions
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Projected Future

How Do You Forecast Effectively?

• A projection is based on multiple variables, many of which are beyond the District’s control

• Break it down into logistical pieces by focusing on the big numbers – both on the revenue and the expenditure sides

• Use the most reliable sources for data

• Be conservative, but reasonable

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Projected Future

What factors are considered in a financial projection?

• Consumer Price Index: – Revenue and Expenditure increase

• Enrollment and Staffing changes

• Health Insurance Costs

• Uncertainty of State Funding and Pension Costs

• Building Repairs – Architects will be preparing comprehensive Facilities Need Plan in Summer 2015

– Following slide includes known building needs

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Projected Future

What are the known facility needs?

Summary Timeline – Projection Description FY2016 FY2017 FY2018 FY2019 FY2020 Total Roofing $775,000 - $439,000 $760,000 $237,000 $2,211,000 Classroom - $25,000 - - - $25,000 HVAC $750,000 $446,000 - - - $1,196,000 Plumbing $25,000 $50,000 $50,000 $50,000 $50,000 $225,000 Fire Alarm $25,000 - - - - $25,000 Parking - $435,000 - $300,000 - $735,000 Entrances $400,000 - - - - $400,000 Track - - - $75,000 - $75,000 Total $1,975,000 $956,000 $489,000 $1,185,000 $287,000 $4,892,000 41

Projected Future

What might the future look like? Fiscal Years 2015-2020

$0 $5 $10 $15 $20 $25 $30 $35 $40 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 Millions Revenue Expenses 42

Projected Future

What legislative factors may impact the District?

Uncertainty

Topic Description Estimated Unfavorable Impact per Year Senate Bill (SB) 16 Single funding formula where funds distributed thru weighted formula based on student need & local property wealth $900,000 Teacher Retirement System (TRS) Cost Shift Increase Employer contribution to fund the cost of pensions If 1% = $130,000 If 2% = $250,000 Affordable Care Act (ACA) “Cadillac Tax” in 2018 is a 40% Federal Excise Tax on High-Cost Insurance Plans $2,000 to $200,000
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of State Funding State is running out of money. Payments were six months late in 2010.

Financial Health

What is Lisle 202’s fund balance during the year?

Six months cash reserves = $15,000,000

$$5 $10 $15 $20 $25 $30 $35 $40 $45 $50 $55 $60 $65 Millions
Monthly Fund Balance Analysis
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RECAPPING TONIGHT’S “TAKE-AWAYS”

The “Ins” & “Outs” of School Finance

Historical Performance

 Balanced budget for past twelve years

 Average annual tax increase for the past 10 years has been 2%

Financial Health

 Bond Rating of Aa2 is the 3rd highest Moody’s rating

 Illinois State Board of Education highest ranking in financial health – “Financial Recognition”

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RECAPPING TONIGHT’S “TAKE-AWAYS”

Projected Future

 Outstanding debt will be fully paid off in 2019

 Expenditures MAY exceed revenues starting in FY2019

Potential Factors Impacting the Future

 Ongoing State of Illinois fiscal condition and potential legislative impacts

 Future facilities improvements

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SMALL GROUP WORK ACTIVITY

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SMALL GROUP WORK ACTIVITY

Select a Recorder and Facilitator

Recorder Responsibilities —

• Complete the information on the group ’s worksheet

Facilitator Responsibilities —

• Facilitate Discussion

• Keep Group Focused/On Task

• Report Group’s Information

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SMALL GROUP WORKSHEET

• Information on worksheet should reflect consensus/general agreement of group members

• Monitor progress to complete the worksheet in allotted time

• Only group recorder’s worksheet will be collected

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WORK ACTIVITY QUESTIONS

TASK #1: FINANCIAL OVERVIEW DISCUSSION

TASK #2: QUESTIONS

– MANAGING

FINANCIAL RESOURCES

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SMALL GROUP WORK ACTIVITY REPORTING

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Thank You!

Don’t Miss Session #4

Facilities

Saturday, April 25 • 9:00 – 11:00 A.M.

Lisle Junior High Commons

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