2013 Appropriations

Steven CrawfordExecutive Director of CCOSA

State Budget and Funding Information

Supplemental Funding for FY 2012

• $ 37,600,000.00 for FBA• $ 14,800,000.00 for NBCT

• $ 52,400,000.00 Total Supplemental Funding

FY 2013 Budget

SB 1975 – GA Bill

• SB 1975 provides the general appropriation:– Formula: $ 1,007,314,081.00– 1017 Fund: $ 726,162,530.00– Technology Revolving: $ 47,372,299.00– Mineral Leasing (2013): $ 3,800,000.00– Lottery (2013): $ 25,873,305.00– Lottery (2011): $ 3,529,510.00– Special Cash Fund: $ 1,463,127.00– Mineral Lease (2011): $ 576,503.00

Comparing FY 12 to FY 13

• Mineral Leasing– FY 12: $ 2,850,000.00– FY 13: $ 4,376,503.00

– Difference: (+) $ 1,526,503.00

Comparing FY 12 to FY 13

• Lottery Trust– FY 12: $ 28,870,789.00– FY 13: $ 29,402,815.00

– Difference: (+) $ 532,026.00

Comparing FY 12 to FY 13

• 1017 Fund– FY 12: $ 634,894,569.00– FY 13: $ 726,162,530.00

– Difference: (+) $91,267,961.00

Comparing FY 12 to FY 13

• General Revenue Fund– FY 12: $ 1,100,640,571.00– FY 13: $ 1,007,314,081.00

– Difference: (-) $ 93,326,490.00

The SDE Activities Budget

Comparing FY 12 to FY 13

• SDE Activities Account - Unrestricted– FY 12: $ 401,224,655.00 • Lump sum given to SDE without line items

– FY 13: $ 7,925,974.00• Lump sum given to SDE without line items

– Difference: (-) $ 393,298,681.00

SDE Line Items / Activities Budgeti. FBA –

1. Certified Staff: $226,842,833.002. Support Staff: $117,321,148.003.Total Appropriation: $344,163,981.00

ii. National Board Teachers: $ 11,695,000.00iii.Speech Path, Audiologist Bonuses: $ 3,247,350.00iv.Alternative Education: $ 14,877,366.00v.Reading Sufficiency Act: $ 6,952,869.00vi.Sooner Start / Early Intervention:$ 14,417,922.00vii.Early Childhood Pilot Program: $ 10,000,000.00viii.Federal School Lunch Match: $ 4,960,288.00ix.OTRS Offset Credit: $ 35,311,375.00x.Truancy Program in Urban County: $ 185,000.00xi.Unrestricted Program Funding: $ 7,925,974.00xii.Textbook Funding to SDE*: $ 33,000,000.00xiii.Total SDE Activities Appropriation: $486,737,125.00**

Approved SDE Activities Budget

Other SDE School Activity Programs FY 13 Funding FY 12 Funding

ACE Remediation (6,696,577.00) 7,611,577.00

Bench Mark Testing (1,000,000.00) 0.00

AG in the Classroom (38,675.00) 38,675.00

Oklahoma Parents as Teachers (1,000,000.00) 1,585,471.00

Oklahoma Arts Institute (350,000.00) 350,000.00

RISE School (529,943.00) 529,943.00

(9,615,195.00)

Remaining Programs

Value Added (TLE) Implementation (500,000.00) 0.00

Charter Schools Incentive Fund (50,000.00) 0.00

Robotics (100,000.00) 0.00

A+ Schools (127,948.00) 0.00

Oklahoma Technical Assistance Center (OTAC) (200,000.00) 0.00

0.00

Remaining Balance (977,948.00)

Unfunded Shortfalls FY 13 Levels FY 12 Funding

Reading Sufficiency 6,274,003.00 6,274,003.00

Adult Education Match 2,315,297.00 0.00

ACE Remediation 1,000,000.00 FY13 Reduction

Alternative Education 1,457,520.00 FY13 Reduction

School District Professional Development 2,306,945.00 0.00

Okla. Parents as Teachers 1,008,048.00 FY13 Reduction

Value Added - TLE 1,500,000.00

Total Shortfall 15,861,813.00

Total Appropriations Comparison

FY 2012

• $ 2,278,158,382.00

FY 2013

• $ 2,333,604,082.00

(+) $ 55,445,700.00

*SB 1816: $ 30,000,000.00 (Textbook $ Districts)

*SB 1816: $ 3,000,000.00(Textbook $ for SDE)

*SB 1535: $ 3,000,000.00(Textbook $ for Districts)

Flexible Benefit Allowance

• FY 2012: The Oklahoma Legislature did NOT provide a line item appropriation for FBA.

• FY 2013: The Oklahoma Legislature provides a line item appropriation for FBA.– Certified Staff: $226,842,833.00– Support Staff: $117,321,148.00

HB 3056 - FBA

• HB 3056 requires the SBE to first fully fund the Flexible Benefit Allowance, in absence of a line item appropriation, from funds appropriated in the SDE Activity Account.

• HB 3056 requires the SDE to disburse FBA payments to districts using the same formula used by the Legislature to fund FBA.

• HB 3056 changes the eligible / participating employee count from May 1st to February of each year.

• Effective July 1, 2012.

SB 1443 – Moratorium on Accreditation Standards

• SB 1443 extends the moratorium on withdrawal of accreditation for failure to meet certain requirements:– Class size– Library / Media Expenditure– Textbooks

• Moratorium is extended until June 30, 2014.

• Effective May 10, 2012.

Textbook Funding

SB 1816• Amends SB 1975 to redirect

$30 million in textbook funding back to districts and away from the SDE.

• Authorizes the SDE to retain $3 million in textbook funding for use in other SDE programs.

• Effective July 1, 2012.

SB 1535• Provides a new

appropriation of $3 million to SBE to be sent to districts for the purchase of textbooks.

• Effective July 1, 2012.

SQ 758 – Cap on Homestead and Agriculture Property

• SQ 758 will be on the November 2012 ballot and will ask Oklahomans whether to lower the cap on fair cash valuation of homestead and agricultural property from 5% to 3%.

• SQ 758 jeopardizes growth revenue for common schools and career technology centers.

SQ 766 – Intangible Personal Property

• SQ 766 will send a question to the people of Oklahoma regarding the assessment of tax on intangible personal property for both locally and centrally assessed entities.

• The Oklahoma Tax Commission estimates that SQ 766 has a $50 million statewide impact – costing common schools over $32 million.

• State Question 766 will be on the November 2012 ballot.

Total Effect of State Questions

• SQ 758: Estimated impact at $ 6,000,000.00

• SQ 766: Estimated impact at $ 32,600,000.00

• Total Impact to common schools: $ 38,600,000.00

School Land Commission

• The CLO has been granted authority to control the volatility of lease-bonus revenue by establishing a lease-bonus stabilization fund.– 5 year average of lease-bonus distributions will be

sent to common schools.• Current 5 year average is $32,436,435.00

• Total financial support from CLO is guaranteed at $93M.

• Initial year may result in a cut to districts.

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