001i'd like to call this uh governing board public hearing to to to notice this is a public meeting to review the changes in the budget for fiscal year 2021-22 and we'll just turn we have a full quorum here today a full board nobody is absent brenda will just turn time to you okay all right thank you governing board members okay i have a presentation to sit real close to that okay i'm short what can i say okay i have a presentation up on the screen for you and i also have a presentation for the board to follow as well as per arizona revised statute 15-905 e school districts that receive notice to revise the budget have to do so by note by december 15th blue ridge did receive notice that we had to revise the
002budget for maintenance and operation it indicated from ade that we have a deficit of one point five million one point one million five hundred and forty thousand nine hundred and forty five dollars that we have to reduce the m o budget by the unrestricted capital budget was we have a deficit of six thousand eight hundred and five dollars so because emino is over by more than one percent of the general budget limit we have to reduce that budget line item capital we don't have to but we're going to go ahead and reduce capital anyway since we're reducing emino so here are the changes that we've made on page seven of eight for the general budget limit you'll notice that up in the top right hand corner the version number has now been changed to revise
003budget number one the revenue control limit is now eleven million eight hundred and one thousand four hundred and eighty eight dollars and the primary reason for the revision is because of declining enrollment when we set the budget back in july we remember the budget is based upon current enrollment we didn't know how many kids were going to walk through that door so we estimated we're going to be looking at about two thousand kids right now we're looking at about seven hundred seventeen eighty so we had to reduce the budget by approximately three hundred students and also we didn't know at the time what the state was going to do in regards to transportation the state didn't know if they were going to hold us harmless to the 1920 transportation route miles or whether they were
004going to reduce us to the 2021 route miles the 1920 route miles showed that we had about 900 students that were transporting but because of covid we're only transporting about 550 students per day for the 2021 and also we also were only driving about 300 miles per day versus 1920 of about 2 1200 miles per day so because of that reason we're hoping that they were going to hold us harmless to the 1920. it wasn't until august they ended they turned around and indicated that they're not going to hold us harmless and that they were going to reduce us to the 2021 year so because of that reason we have to reduce the budget overall and that took another half a million dollar decrease so overall we're having to reduce the emino budget approximately 1.5
005million dollars so on the capital side we're having to reduce eight hundred and twelve thousand eight hundred and twelve thousand dollars and that's about a six thousand dollar decrease and that's because of declining enrollment so if you want to go to the next page the second portion of page seven of eight is some good news there on line 8c the budget balance carry forward i've always notified the board that we're going to have a carryover in a carryover from the 2021 to the 2122 year when the board adopted the budget i had estimated about 759 thousand dollars carry over and that's because we're still operating 2021 we weren't finished with the fiscal year yet but now that we're finished with the fiscal year we're actually carrying over approximately 1.1 million dollars about a 356 thousand
006dollar increase we're so we're actually carrying over more than what we had anticipated to carry over which is good because now it cuts into the 1.5 million dollar carry or or decrease that we're going to have and then down on line 9 or line 10 you'll see that the estimated prop through prop 123 allocation we're going to have to decrease hundred by 7 four dollars and that's because of the fact that we had declining enrollment as well page seven of eight lines eleven this is your general budget limit or what we call the gbl or the maintenance and operation budget capacity the adopted gbl was fourteen million nine hundred and ten thousand three hundred and ninety nine dollars this revised limit is now thirteen million seven hundred and twenty two thousand five hundred and seventy
007five dollars an over d overall decrease of one million one hundred and eighty seven thousand eight hundred and twenty four dollars and then on the capital side we're looking at a decrease of six thousand eight hundred and five dollars and then on page eight of eight which is the calculation of the capital budget limit if you take a look at line seven unexpected the actual expenditures for fy fy21 for capital the carryover we only had a hundred and seventeen thousand again now we have the true carryover balance we're carrying over a hundred and ninety six thousand dollars an increase of eighty four thousand eight hundred and sixty dollars so now we have a little over a million dollars in capital a million twenty seven thousand two hundred and eighty six dollars again we were still
008operating now we have a true value of what our carryover is do you have any questions in regards to our budget revision for 21-22 questions from anyone so just to be clear it was like we had to reduce our budget but we had to carry over from last year basically helped us with that reduction not totally but the majority of that it helped offset some of the offset yes okay and this is just a function of record i mean complying with the state and uh resubmitting that budget yes it is dr wright if i might add brenda pointed out a really important factor and that is current year funding we're having to guess how many kids are going to be here eight months in advance we have no idea especially on the heels of a
009covet we didn't really know so we had to set the tax rate sufficient to support up to 2 000 kids and so the number that we had to create would be that then you have to kind of do a worst case scenario and so we probably anticipated making a six or seven hundred thousand dollar cut if the 2000 didn't come in and we budgeted accordingly but then when we didn't at the state just said we might hold you harmless we might not that was a half a million dollar shift that's the biggest thing and so this current year funding model is problematic to say the least and then i think brenda did a fantastic job of just trying to take the data we had making the best budget we could but i think it's important
010to note we're not in financial crisis it wasn't because we overspent it wasn't because we hadn't planned these are just formulas that are dictated to us by the state and we must comply and so while like i said 500 000 of it was a surprise 700 really wasn't 600 of it wasn't so i i just want to come in brenda for the effort uh despite what it might look like if you're not familiar with school finance it's very complicated and she's done a very good job of managing through it thank you so and current year funding just so everyone understands is the number of kids you have in the seats that day we have to report that we get paid for that that day so we can't anticipate and speculate like we used to in
011a hundred year on a hundred day count and that was what our budget was set on we have to adjust our budget almost daily but the number of kids that attend school under account of that day right yes that's what current year funding is yes it is previously we're able to budget based upon 100th day of the previous year so we were able to build our budget based upon previous year so we're able to estimate what our budget was now we're we have to build our budget on how many kids are actually sitting in the seats so that could change from day to day yeah that's a nuisance isn't it in addition it creates more employees to handle that too and what complicates it further is that we have it's it's hard to find qualified
012teachers so we're trying to take a shot at how many teachers do we need the last thing we wanted to do is end up with overcrowded schools classroom sizes that were too large and so brenda working with the principals and us working with the departments i think we landed on a pretty good number we're pretty close so i i just wanted to add that it's not it's not it's not that didn't say that big of a deal it's not that big of a surprise yeah any other questions or comments anything all right so if there are no questions or comments or discussion from the board we'll just adjourn this public hearing and we'll stop for five minutes