Transcript Office of Superintendent of Public Instruction Financial Resources and Governmental Relations CTE and Skill Center Program Funding, Accounting & Data Reporting October 2014

Office of Superintendent of Public Instruction
Financial Resources and Governmental Relations
CTE and Skill Center Program Funding,
Accounting & Data Reporting
October 2014
Current Funding Formula Issues
• The 1995 Secondary Vocational Education in the State of
Washington report cited a CTE enhancement of 28%.
• Current CTE enhancement is $746 per FTE or 14%. Indirect percent
is set at 15%.
• 89% of the enhancement is generated by MSOC, while 11% is
generated by staffing allocations.
• General education MSOC has increased by 43% since the 2011-12
SY, while CTE MSOC has increased by only 4.88%.
• CTE Teacher staffing ratio is 1:26.57, while the Prototypical High
School Teacher staffing ratio is 1:28.74. The 1995 report referenced
a funded class size in 1992-93 of 1:16.67.
• Statewide CTE CIS staff unit enhancement is 61.72 or approximately
1 per 1,000 CTE student FTE.
Financial Resources and Governmental Relations
Office of Superintendent of Public Instruction
Slide 2
Revising Funding Formulas
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Other CIS staffing ratio.
Principal allocation.
CTE director allocation.
Revise MSOC allocation.
Implement lower class sizes (McCleary Decision).
Fund a mechanism for the startup of new CTE or Skill
Center programs.
Financial Resources and Governmental Relations
Office of Superintendent of Public Instruction
Slide 3
Other CIS Staff Allocation Deficit
• CTE and Skill Center programs receive less of an
other CIS Staff allocation per student FTE than a
general education student.
Other CIS Staff Ratio for Basic Education for 2013–14 School Year
Other CIS Staffing
Position
Librarian
Counselor
Nurse
Social Worker
Psychologist
Total
Allocation per 600 Student FTE
Prototypical HS Allocation
Per 600 Student FTE
CTE Programs
Skill Center Programs
0.523
2.009
0.096
0.015
0.007
2.650
0.199
0.968
0.037
0.006
0.003
1.213
0.233
1.131
0.043
0.007
0.003
1.416
Financial Resources and Governmental Relations
Office of Superintendent of Public Instruction
Slide 4
Other CIS Staffing Allocation
• Accounting guidance does not allow charges for
nurses, social workers, and psychologists in the CTE
program.
• Enhancements to other CIS staff units not needed
within the CTE programs.
Recommendation
• These staff units should be moved out of the CTE
programs to be allocated in the prototypical middle
or high school.
Financial Resources and Governmental Relations
Office of Superintendent of Public Instruction
Slide 5
Principal / CTE Director Allocation
• Activity 23 – Principal is not an allowable expense in the CTE
programs.
• The principal allocation is backed out of the general education
allocation.
Recommendation
• CTE students should generate a principal allocation at the
prototypical middle or high school, and not within the CTE
program.
• An allocation should be provided for a CTE Director (separate from
a principal) at a rate of 1 per 432 middle school CTE FTE, and 1 per
600 high school CTE FTE.
• Expenses associated with the CTE Director should be charged to
Activity 21 – Supervision.
Financial Resources and Governmental Relations
Office of Superintendent of Public Instruction
Slide 6
Reduction of MSOC Enhancements
• Recent state budgets have reduced the CTE and Skill
Center MSOC allocations.
$1,600.00
$1,400.00
$1,200.00
Enhancement
$662.28
Enhancement
$219.09
Enhancement
$569.44
$1,000.00
$800.00
Enhancement
$799.69
BEA MSOC
CTE MSOC
$600.00
$400.00
$200.00
$-
2012-13
2013-14
2014-15
Financial Resources and Governmental Relations
Office of Superintendent of Public Instruction
2015-16
Slide 7
MSOC – Districtwide Support
• Costs associated with Utilities, Facilities
Maintenance, and Districtwide Support should be
charged to Program 97 – Districtwide Support.
• These costs should be considered part of the current
15% indirect rate charged to the CTE program.
Recommendation
• CTE students should generate these allocations at
the same rate as general education students in the
general education program.
Financial Resources and Governmental Relations
Office of Superintendent of Public Instruction
Slide 8
MSOC – CTE Program Allocation
Recommendation
• Allocations for Technology, Curriculum, Library and
Other Supplies, and Professional Development
should remain in the CTE program.
• The allocations for these areas of MSOC would be
increased to reflect how much more CTE programs
actually spend in these areas as compared to general
education.
• Expenses in these areas should be direct charged to
the appropriate CTE program.
Financial Resources and Governmental Relations
Office of Superintendent of Public Instruction
Slide 9
CTE MSOC Allocation 2013-14 School Year
MSOC Category
General Ed. Allocation
(2013-14 School Year)
CTE Multiplier
CTE Allocation
Technology
$77.46
3.19
$247.10
Curriculum
$83.17
2.86
$237.87
Library and Other Supplies
$176.56
1.54
$271.90
Professional Development
$12.86
1.05
$13.50
Total
$350.05
2.20
$770.37
• Categories of MSOC allocation are defined as
direct program charges in the accounting
manual.
• CTE multiplier based on actual expenditure
data from the 2012-13 school year.
Financial Resources and Governmental Relations
Office of Superintendent of Public Instruction
Slide 10
Per Student CTE MSOC 2015-16
General
Education
CTE Program
Total Per Student
$0
$409.71
$409.71
$348.98
$0
$348.98
Curriculum
$0
$394.38
$394.38
Library/Other Supplies
$0
$450.84
$450.84
Professional Development
$0
$22.39
$22.39
Facilities Maintenance
$172.88
$0
$172.88
Districtwide Support
$119.77
$0
$119.77
Totals
$641.64
$1,277.33
$1,918.97
Category
Technology
Utilities/Insurance
Financial Resources and Governmental Relations
Office of Superintendent of Public Instruction
Slide 11
Skill Center MSOC 2015-16 School Year
• Skill Center MSOC should be funded based on
a three-year average ratio of per pupil
expenditures as compared to general
education.
2015-16 (SY)
MSOC Rate
General Ed
Multiplier
$1,222.05
Financial Resources and Governmental Relations
Office of Superintendent of Public Instruction
2.49
Skill Center
$3,042.90
Slide 12
Implement Lower Class Sizes
• In the context of the McCleary Decision, CTE
programs are underfunded.
Recommendation
• Lower the CTE class size to 19.0.
• Lower the Skill Center class size to 16.0.
• Can be phased in over three school years with target
values achieved in the 2017-18 school year.
School Year
2015-16
2016-17
2017-18
CTE Class Size
24.05
21.52
19.0
Skill Center Class Size
20.51
18.25
16.0
Financial Resources and Governmental Relations
Office of Superintendent of Public Instruction
Slide 13
Fiscal Impact for 2015-16 School Year
Proposal Element
Cost Impact 2015-16 (In Millions)
Other CIS Staff moved to general education
$11.5
Principals moved to general education
-$0.4
CTE Director
$8.2
MSOC revisions
$38.0
Class Size allocation for CTE of 24.05
$21.5
Class Size allocation for Skill Centers of 20.51
Grand Total of Recommendations
Financial Resources and Governmental Relations
Office of Superintendent of Public Instruction
$2.0
$80.8
Slide 14
Expenditure Accounting System
• Created additional accounting codes that more
closely align with costs funded in the MSOC
categories. Implemented Activity 33 – Curriculum for
2014-15 school year.
• Create transparency in regards to what is being
charged to CTE; and provide a balance by reducing
the indirect rate from 15% to the federal restricted
rate (on average less than 4%).
• The indirect rate would only be reduced if the
proposed revisions to CTE MSOC were implemented
as presented.
Financial Resources and Governmental Relations
Office of Superintendent of Public Instruction
Slide 15
Data Reporting and Transparency
• Implementation of Activity 33 as mentioned
above.
• Isolate the general education portion of CTE
funding on the 1191 CTE reports from the
value of the CTE enhancement.
Financial Resources and Governmental Relations
Office of Superintendent of Public Instruction
Slide 16
QUESTIONS?
Financial Resources and Governmental Relations
Office of Superintendent of Public Instruction
Slide 17