Bedford Public Schools

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Bedford Public Schools

• Bedford Business Association
• March 13, 2008

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Great Students
Great Staff
Great Community

Excellent Education
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18 Mill Non-homesteadTax Renewal

• This is NOT a new tax!

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18 Mill Non-homesteadTax Renewal

• 1 Mill
• 1 for every 1,000 of Taxable Value

18 Mills 1,800 for a 200,000 Business (100,000
Taxable Value)
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Bedford Public SchoolsMember of BBA since 1983
(25 years)

• Largest Work Force in Bedford Township
• Established 1946
• 665 Employees
• 67 of all employees live in Bedford Township
• Budget 50 Million
• Payroll - 1.3 million Bi-weekly
• 700,000 paid to local merchants last year

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C/C Schools as a Business

• Product / Neighbor / Competition
• We must provide a good product
• State and National Recognition
• Blue Ribbon Schools
• National Community School of Excellence
• Michigan Recreation and Parks Association / CSA

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C/C Schools as a Business

• Product / Neighbor / Competition
• We must be a good neighbor
• Trade Fair
• Community Education
• Community Days / Fireworks
• Parks
• Relay for Life
• Senior Citizens Center / Health Van / MOW
• R.S.V.P. / CASA
• Good Friday Service
• Childcare / Latchkey

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C/C Schools as a Business

• Product / Neighbor / Competition
• We must be Competitive
• Parochial Schools
• Charter Schools
• Schools of Choice
• Home Schooling

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C/C Schools as a Business

• Bedford Public Schools
• Fabric of the Community
• People move to the community for
• . . . Quality of life / Quality of schools
• Schools remain strong and support the community
• If the schools are weakened / community suffers

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C/C Schools as a Business

• Fiscally Responsible
• Maximize use of Revenue
• Control Expenses
• (88 of expenses personnel related)
• Government Regulations
• Minimum Wage Increase
• Unfunded Mandates

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BPS Revenue Breakdown FY 07
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Six Year Financial History
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Cumulative Budget CutsSix Year History
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How Schools Are Funded

• There are 781 school districts in Michigan 552
  local districts, plus 229 public school
  academies.
• There are 1.7 million public school pupils in
  Michigan.
• The School aid budget supports all 781 districts
  to provide a free education to 1.7 million
  pupils.

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How Schools Are Funded

• The School Aid Budget pays for the day-to-day
  operations of local public schools, enabling the
  Legislature to maintain and support a system of
  free public elementary and secondary schools as
  defined by law.
• -Michigan
  Constitution

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How Schools Are Funded
State-Local School Finance Relationship

• Amounts of total revenue for each district are
  determined by the state pursuant to state law and
  appropriations.
• School aid revenues and total local operating
  property taxes determine the amount the state can
  afford.
• Local school operating property taxes are
  subtracted from the total to determine state
  payments to district.
• School districts cannot levy operating taxes.

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How Schools Are Funded

• School Aid Fund (SAF)
• SAF provides the majority of state funding for
  schools.
• Certain taxes are reserved for deposit into the
  SAF to pay for school operations.
• The State Constitution requires the SAF to be
  used exclusively for schools, higher education
  and school employee retirement.
• Districts pay retirement contributions as a flat
  percentage of payrolls.

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How Schools Are Funded

• Foundation Allowance
• State/Local Funding
• Each district is required to levy 18 mills on
  non-homestead property to receive full pupil
  funding.
• The state calculates local revenue from the 18
  mills on a per pupil basis.
• The state deducts per pupil local revenue from
  the foundation allowance.

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School Aid Revenue Sources

• State sales use tax (47.5)
• State education tax (18.8)
• State income tax (18.4)
• Lottery transfer (6.3)
• Tobacco tax (4.1)
• Real estate transfer (2.2)
• Other (2.7)

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Why We are in a Crisis Situation

• Declining Enrollment
• Fewer pupils means a loss of revenue to schools.
• More than half of all districts are facing
  declining enrollment.
• Total state pupil counts have declined from
  1,695,000 in 1998 to 1,665,000 in 2007.
• Loss of students does not mean a loss of equal
  expenditures.

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Why We are in a Crisis Situation

• School Infrastructure
• There is no state support for school
  infrastructure.
• Districts may have difficulty raising sufficient
  local tax revenue to improve or maintain aging
  buildings.
• District ability to raise capital outlay funds is
  inequitable.

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18 MillNon-homestead Renewal

• May 6, 2008

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Bedford Public Schools

• Q A

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Great Students
Great Staff
Great Community

Excellent Education
Thank You!
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(No Transcript)
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Bedford Public Schools

• Introductions
• Jon White
• Superintendent of Education