Page 2

California SELPA Administrators’ Meeting

Finance Report – April 2016


1. State News

·  As previously reported, State revenues in January were below estimates with sales tax revenues posting the biggest shortfall. Personal income taxes were also below estimates.

·  State revenue for February were above estimates by $636 million and made up all the January shortfalls. In fact, State revenues are now about $442 million above estimates. Personal income tax, sales tax and corporate taxes were all above estimates.

·  Budget hearings are beginning, however, the education items have not yet been heard.

·  April is expected to be a busy month in Sacramento with a flurry of legislative bills and preparations for the Governor’s May revise.

2. Federal News

·  Budget Update – There has been no movement on the budget. Most people believe that nothing will be done, as it is an election year. We will probably see a Continuing Resolution when it gets close to the budget deadline.

·  An ESSA Negotiated Rulemaking Committee has began their meetings to develop new regulations or clarify existing provisions in ESSA.

3. Private School Proportionate Share

·  CDE may begin collecting your private school calculations next year as part of their fiscal monitoring.

·  Remember to:

-  Complete Calculation

-  Consult with your private schools

-  Document consultation activities

-  Indicate expenditures under Resource 3311 on the expenditures report

-  Estimate your amounts for next year

4. Other

·  The second apportionment of the Mental Health funds (Resource #6512) was sent to SELPAs last week.

·  A few SELPAs have reported receiving their final Part C-Infant payment from 2014-2015 and their first Infant payment for 2015-2016. Be sure to check with your business office to ensure receipt.

5. Discussion Items

·  AB 403 (Stone)

-  What is happening with county agencies in your area in order to comply with this law by January 2017?

-  What do we need to do to ensure the “Out of Home Bed funds” will continue during the transition, while we work to develop a new funding plan in line with the new models required in AB 403?

·  Future Finance Presentations for intermediate and advanced topics.

-  Budget workshop ideas for LEAs including SACS code details and ability to project things like salary and STRS costs.

-  MOE Exceptions – How to use properly and to your advantage.

-  MOE and Excess Cost Worksheet Correlation

-  Allocation Models

-  Program Transfers

-  Transportation Costs