Presentation On Frisco ISD Priorities-Based Budget Workshop Feb. 9, 2017

Thank You to Our Dinner Sponsors
Frisco Independent School District

Priorities-Based Budget Workshop
School Board, Stakeholder Committee, Steering
Committee, Working Group
Thank you for your service to Frisco ISD and our

community.
Call Meeting To Order
Anne McCausland
FRISCO
INDEPENDENT SCHOOL DISTRICT
School Board President
Budget Timeline & Process
Kimberly Pickens
FRISCO
Chief Financial Officer
Priorities-Based Budgeting
Dr. Jeremy Lyon

FRISCO
Superintendent of Schools
Campus Budgets &
Support Staff
Focus Group
Recommendation
Reduce per pupil allotment (PPA) for campus-
initiated subs to:
$3 for high schools
$5 for middle schools
$2 for elementary schools
Estimated Budget Impact: $118,000 reduction to

existing 2016-17 budget
Comments
PPA reduction at each level is
commensurate with 2015-16 actuals
Prior years were at even lower cost /

student levels
Recommendation
Reduce discretionary per pupil allotment
(PPA) by 15 percent to:
$139 for high schools
$115 for middle schools
$101 for elementary schools
Estimated Budget Impact: $1.03 million

based on 2015-16 PPA budget
Comments
Actual expenditures against PPA budget
indicate excess budget is allotted each year
(16 percent average over three years)
15 percent reduction to the PPA budget

aligns budget more closely to actual
expenditures
Recommendation
Establish a discrete per pupil allotment
(PPA) for supplies for elementary, middle
and high school
Estimated Budget Impact: $555,000

Comments
Supplies make up 49 percent of the campus
non-labor budget.
Benchmarking results indicate FISD spending is

substantially more per student for supplies to
achieve same student outcomes.
Discrete PPA resolves widespread variation in

expenditures between campuses.
Comments
Consider managing PPA at lower levels similar to
Cypress-Fairbanks ISD approach; weighting PPA
for at-risk populations in excess of 30 percent
Effect of a 15 percent cost reduction:

ES PPA from $65.27 to $55.48
MS PPA from $73.03 to $62.07
HS PPA from $73.48 to $62.46
Recommendation
Offset per pupil allotment (PPA) with a flat
student fee at time of enrollment to cover
cost of classroom/club-related
extracurricular activities and related student
travel

Comments
Student travel and extracurricular costs are 9 percent
of total campus non-labor budget.
Fee assessment allows for continuation of activities:
$4 per elementary student
$5 per middle school student
$37 per high school student
Adjust fee annually (as required) to account for

increases or decreases in anticipated cost
Recommendation
Benchmark per pupil allotment (PPA) for
library books with peer districts and
continue efforts to reduce cost for both
paper and electronic content
Estimated Budget Impact: TBD

Comments
Cost reduction ideas:
Research alternative sourcing (for library and textbooks)
Explore options for sharing library content between
campuses / city libraries
Monitor / understand usage statistics to guide investments
Exploration of other vendors may reap

benefits in cost and ownership of digital
resources (e.g., Amazon contract with NYC
public schools)
Comments
Shared resources expands student access
to more content
Improved metrics identify issues and

improve investment decisions
Recommendation
Shift responsibility for payment of
professional association dues to staff
Estimated Budget Impact: $86,000 +

Comments
Strictly an affordability issue
Impacted staff members may be able to

claim cost as a deduction to their personal
income tax if amount exceeds two percent
of their adjusted gross income (AGI)
Recommendation
Perform a cost of services analysis

Comments
Assess total cost & participation levels of elective courses and
compare against cost of core classes
Assess cost by course level (e.g., remedial, regular, gifted, AP)

Use results of analysis to determine the possible reduction of
low participation / high cost electives and shift funds to areas
of District priority in alignment with strategic goals
May include weighting the PPA for certain campuses

Comments
Contributes to the goal of reaching a balanced FISD budget
Shifts restricted resources to core subjects and electives
that serve a greater student population or a higher District
priority
Allocates funds to class levels that may require additional

funding to achieve District goals
Recommendation
Evaluate library aides and technology
specialists/support and reduce where
appropriate

Comments
Library Aides: Use PTA volunteers (if PTA not
active, then request other school PTA
assistance/adoption)
Tech Specialist/Support: Look to possibly job

share more. Also, review a possible central
support call center to assist. Todays technology
allows for screen sharing, FaceTime, etc. to
assist with problems. This should not affect
digital learning coaches.
Recommendation
Study Print Shop charges and campus
purchases for copy paper and toner to
create efficiencies

Comments
75 percent increase in cost of these
resources over three years:
2013-14 cost: $653,000 11 percent of total expenses
2014-15 cost: $974,000 14 percent of total expenses
2015-16 cost: $1.14 million 15 percent of total expenses
Cost/student increased from $14 to $21
We need to understand why and determine

whether this is the best use of limited
campus resources.
Recommendation
Reduce contract days for existing campus
paraprofessional staff

Comments
Ideas for reduction:
Eliminate five contract days to coincide with the first two days of
professional development prior to the start of school and three staff
development days during the school year
Provide paraprofessional staff the option to eliminate 1-5 days
depending on job need
Estimated 737 campus paraprofessionals earning

average salary of $24,866
This time is primarily unproductive and redundant for

returning employees; also creates stress/cost of
childcare.
Recommendation
Migrate to an integrated financial reporting
system to provide easy and timely access to
financial and operational data
Estimated Budget Impact: Requires initial

investment cost/benefit analysis
recommended
Comments
Improves ability to analyze expenditures at
campus and district level (e.g. augment charge
line with supplemental program information to
assist in enhanced analysis of costs)
Provides ability to link costs to revenue at an

event level / tie total costs to program levels
Comments
Enhances timely and effective decision-
making
Shifts limited resources from reporting to

analysis
Transportation/Custodial/
Energy Management
Focus Group
Recommendation
Add a revenue stop within the two-mile
radius on each bus route to fill empty seats
with paid riders

Comments
Add one bus stop within the two-mile radius per route
Future recommendations would be to add additional revenue routes
based on demand, only making if fully paid for with percentage of
ridership.
Purpose is to fill empty seats with paid riders
Requires a mechanism to prioritize current riders

Currently, there are 189 routes averaging 11.6 empty seats.
Assuming a $350 rider per year fee:
Maximum revenue = 189 x 11.6 x $350 = $764,750
Recommendation
Discontinue busing for schools that dont
meet the FISD exception policy

Comments
Keep current exceptions for elementary
students and eliminate grandfathered
exceptions
Impacts four elementary schools that

currently provide 100 percent busing
Recommendation
Eliminate all high school to high school
transportation, except to the CTE Center

Comments
Historical reasoning:
Interest in courses that do not make at the home campus
Scheduling conflicts including extracurricular activities
Students often miss significant portions

of class due to travel.
Alternatives exist (eg. online, teacher

travel)
Recommendation
Eliminate current middle school bus
exceptions

Comments
Elementary exception rules were extended
to middle school students two years ago
Prior to this change, middle school

students fell under the same guidelines as
high school students
Recommendation
Prioritize and promote energy conservation
Estimated Budget Impact: $1 million +

Comments
Create / continue awareness campaigns
like the current contest between campuses
Expected to decrease costs by $250,000
Require principals and facility owners to
promote and participate
Provide additional resources to Energy

Management to manage data and facility
opportunities
Recommendation
Evaluate migrating the data center offsite
Estimated Budget Impact: Approximately 20

percent of current expenses
Comments
Current technology facility is energy inefficient
Solicit bids for migration to a co-location center

or managed hosting
Significantly-reduced local technology footprint

can save money and be more secure
Recommendation
Minimize usage of FISD facilities and
increase fees to rent space
Estimated Budget Impact: $250,000 to $1

million
Comments
Increase utilization of free-energy facilities
e.g. testing / training at Omni, The Star or Dr Pepper Arena
Reduce facility availability times during the summer

Four-day work weeks for summer staff
Open campuses two weeks (versus three) prior to school starting in
August [$250,000]
Only use minimal number of campuses/facilities
Review how central and administrative facilities are

used to consolidate or compress usage
Empty space could be mothballed or leased / sold
Comments
Eliminate food service energy use during
summer
Freezers, refrigerators, pilot lights, etc.
Limit times gyms and field houses are available
Calculate individual campus rent-out costs and

charge third parties the actual amount for each
facility
Recommendation
Eliminate personal appliances from
classrooms/offices

Comments
An alternative could be to require a fee to
offset the cost of electricity
Energy Management would set the fee and ensure the
appliance meets energy and safety standards
The Districts insurance policy does not

cover personal appliances, so in the case of
damage (i.e. fire) the full liability would fall
to the owner of the personal appliance
Recommendation
Further increase energy conservation
measures

Comments
Eliminate use of unnecessary lighting during
the day
Increase use of zones, timers and independent

switches during construction planning (e.g. parking
lots, decorative lighting)
Retrofit geothermal as appropriate (e.g. when

replacing older HVAC systems)
Recommendation
Ensure full-cost recovery of energy
consumption to individual programs and
third parties

Comments
Review energy usage to ensure that
consumption is fully allocated back to the
budgets using the energy
For example, Child Nutrition should be charged fully for the
energy utilized to support that program.
Other programs, third party use of facilities and

contractors should be reviewed to determine if
energy charge-backs are appropriate.
Recommendation
Do not utilize a third-party firm to perform
an energy audit or provide other energy
conservation services
Estimated Budget Impact: $0

Comments
Energy Management has prior/recent audits
and we should focus on adhering to those
findings
Support and fund Energy Management in its

efforts to change human behavior
Recommendation
Explore solar energy opportunities

Comments
Equipping newer high school(s) with solar
may be ideal to reach zero-energy
Get bids to revisit cost benefits / payback

Recommendation
Explore sharing of geothermal fields
through leasing opportunities

Comments
FISD investment in geothermal energy sits
dormant during the summer months
Adjacent and/or third-party facilities could

tap in during peak/summer months (ex.
Collin College)
Recommendation
Do not outsource custodial services

Comments
While outsourcing could provide some quick savings, it
appears that it also leads to lower quality.
Additionally, eventual re-appropriation of staff would mean

lower benefits and salaries to gain the savings.
Outsourcing should only be considered for night staff and for

a controlled number of facilities.
This maintains alignment with the FISD mission statement.

Recommendation
Revisit routine cleaning schedules to
eliminate and/or extend certain services
based on need

Comments
Some custodial services are scheduled and
happen regardless of need.
For example, exterior windows on the
Administration Building can be cleaned once
per year instead of twice.
Recommendation
Implement reasonable self-service
programs to reduce custodial needs

Comments
Create reasonable programs for reduced
services that are significantly time
consuming
Example: classroom trash receptacles can be
emptied to a central point by students each day
Compensation
Focus Group
Recommendation
Eliminate 403(b) match

Comments
The percentage of staff utilizing this benefit
is less than 25 percent.
This is a benefit that is unique to our like

districts.
Recommendation
Audit all stipends over the next two years
through a priorities-based model to reduce
stipend payments by 10-15 percent
Estimated Budget Impact: $330,000 -

$495,000
Comments
We noticed a great deal of variation of our
stipends in comparison to surrounding
districts.
Recommendation
Audit/examine contract days to ensure the
number of days paid is still applicable to
each position

Comments
Reduction in days will save us in reduction
of funds
Opportunity to reduce contract days for

specific job titles
Recommendation
Provide the following salary increases for
all FISD staff:
1 percent in 2017-18

Comments
Any reduction of salary costs the District in human capital.
We considered teachers only, percentages based on class,
however we came to the conclusion that we are all in this
together. We are at the bottom 25 percent in pay for new hires
and 25 percent for experienced teachers.
We feel that any additional funds that may come out of the
current legislative session or this PBB process should be
prioritized towards compensation.
Class Size/Class
Schedules
Focus Group
Recommendation
Retain block schedule

Comments
Potential savings is outweighed by the
benefits.
Students have an additional class period to

accommodate academic and extracurricular
activities.
Recommendation
Establish a maximum load for teachers
Practical range of students for a full-time teacher
Establish a minimum number of students

for courses to be scheduled
Consolidate courses that have small enrollment district-wide

Comments
More efficient scheduling would reduce the
need to hire for vacant positions or add new
staff
Maximizes instructor time

Recommendation
Utilize full-time teachers for direct
instruction by eliminating support periods
Example: campus web manager, cheer coordinator, coordinator
for ISM, etc.
Assign one full-time teacher to Academic

Decathlon, Student Council, etc.

Comments
Consistency across the District
Maximizes instruction time

Recommendation
Restructure credit recovery and online
classes
Estimated Budget Impact: $250,000 +

Comments
Credit recovery to be scheduled with ISS or
online learning class combining both is
more efficient
Online course can be administered by a

paraprofessional.
Central
Administration
Focus Group
Recommendation
Reduce Central Administration costs to achieve
a five-year savings of $12.5 million
Estimated Budget Impact: $12.5 million over five

years or $1.8 million in sustainable cuts
Suggested approach:
Year 1 - $3.7 million
Comments
At this point, the team cannot recommend
specifics regarding personnel, programming,
supplies or other critical elements
Staff will have to analyze our complete list of

recommendations to get to specific dollars
Recommendation
Launch process improvement initiatives to
create efficiencies and avoid cost
Estimated Budget Impact: Approximately

$1.5 - $2 million
Comments
Ensure some percentage of savings can be
re-positioned towards retention of staff
Target IT-specific programs that facilitate

cheaper training or other cost heavy items
Example: ERP system upgrade to improve reporting and cost
management
Recommendation
Seek additional partnership and cost-
sharing opportunities

500,000
Comments
Explore partnerships with the City of Frisco on
tactical resources to seek economies of scale
Buying power
System / process
HR / planning / training
Expand cost-sharing relationship with Region

10
Comments
Explore partnerships with other districts for
curriculum efficiencies
Expand online partnerships / initiatives (e.g.

Summer School)
Recommendation
Conduct capacity analysis at the campus
level and review build-out/new school
opening schedule

350,000; up to $15 million for a second
round of school delays
Comments
Find one more multi-school delay in the
next four years
Review total school building capacity based

on the latest City Comprehensive Plan
Is it in alignment for a 15-20 year plan?
Are there opportunities for reduction?
Does 355,000 population target cause school budget stress?
Recommendation
Minimize consulting beyond critical needs

Recommendation
Establish baseline metric and target of total
staff to student ratio

Comments
Historical number of students for every 1
staff member:
2012-13: 7.87 students
2013-14: 8.13 students
2014-15: 8.02 students
2015-16: 8.21students
2016-17: 8.02 students
The difference between 2015-16 and 2016-

17 represents $9.8 million
Extracurricular
Activities
Focus Group
Recommendation
Increase cost of athletic camps, court rentals
and gym rentals
Add rentals of high school indoor facilities,

basketball courts and middle school grass fields
Estimated Budget Impact: $2 million +

Comments
These numbers are representative if
facilities are rented at capacity, 15 days a
month, for 9 months.
Recommendation
Increase cost of admission to all athletic
events except varsity football by $1

Recommendation
Use anticipated Nike money to reduce high
school and middle school athletic
equipment budgets (2017-18 only)

Recommendation
Trademark school logos

Recommendation
Charge parking fees for athletic events (VIP
and preferred parking, but still provide free
parking)

Recommendation
Implement a utility fee to offset athletic
expenses for security, transportation, game
officials and laundry
For example, a single annual athletic fee such as
$100 for middle school and $200 for high school

Comments
Consideration for multiple student families
We are hoping this is temporary and should

be used with caution.
This should be considered only if absolutely

necessary.
Recommendation
Evaluate:
Coach/director student ratios
Contracted services
Stipends
Ways to retain extracurricular staff
Adding a Booster Club liaison
Consolidating/streamlining extracurricular staff functions under Student Services
Hosting more athletic/academic competitions within Frisco
Shared transportation when appropriate
Paid memberships to state organizations
Uniform replacement cycle
Increasing fees for school-owned instruments to fully cover repair and maintenance costs
Capital outlay procedures

Comments
At this time, we do not recommend changes
that have a higher negative impact on
students.
No reduction in student opportunities.
No reduction in student competition.
No reduction in program quality to maintain
competitiveness.
Revenue
Generation
Focus Group
Recommendation
Raise rates on all revenue-generating fees
by an average of 20 percent
Estimated Budget Impact: $1 million

Comments
Currently facility rentals are at capacity (i.e. Sunday
church services) and this allows FISD to optimize
revenue
Consider opening up additional fields and facilities

(middle school and high school)
Not a true 20 percent increase in revenue for all

categories due to locked-in contracts (i.e. cell phone
towers)
Recommendation
Partner with third party agency to determine
value of FISD untapped assets
Estimated Budget Impact:

Year 2018 Goal of $2 million
Comments
Let the experts be the experts
Would give up 10-20 percent of the revenue to third party but would save
ramp-up and human capital costs on FISD budget
Optimize untapped assets for revenue generation

opportunity
Naming rights (stadium, CTE center, labs)
Advertising at sporting venues (baseball outfield walls, basketball / volleyball
courts)
Events
Website
Buses
Recommendation
Swap $0.04 - $0.08 over the next five years
from the surplus of the Interest and Sinking tax
rate and contribute to the shortfall of the
Maintenance and Operations budget
Estimated Budget Impact: $54 - $67 million

through FYE 2020
Comments
Swap of I&S tax rate would fund $54 - $67
million of $93 million* shortfall through FYE
2020
Assuming 30 percent recapture on increased

M&O tax rate, the tax swap would net $41 - $52
million of $93 million* shortfall through FYE
2020
Comments
Unassigned fund balance can be utilized to fund the remaining
deficit, provided that fund balance never goes below 60 days
budgeted M&O, per conversation with our FISD financial advisor
(most clients 60-90 day range)
Keeps us in a safe place to keep our high bond and credit ratings
Forecast deficit does not take into consideration possible
adjustments / updates to the state funding formula,
demographics, competitive wage increase, benefits, retirement,
additional state mandates, interest rates and construction
costs, etc.
Discussion
Questions?
Comments
Final Reflections
Dr. Jeremy Lyon

FRISCO
Superintendent of Schools
Adjourn
Anne McCausland
FRISCO
School Board President
Thank You

Presentation On Frisco ISD Priorities-Based Budget Workshop Feb. 9, 2017

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Presentation On Frisco ISD Priorities-Based Budget Workshop Feb. 9, 2017

Uploaded by

Copyright:

Available Formats

Thank You to Our Dinner Sponsors

Frisco Independent School District

Thank you for your service to Frisco ISD and our

Dr. Jeremy Lyon

Estimated Budget Impact: $118,000 reduction to

Prior years were at even lower cost /

Estimated Budget Impact: $1.03 million

15 percent reduction to the PPA budget

Estimated Budget Impact: $555,000

Benchmarking results indicate FISD spending is

Discrete PPA resolves widespread variation in

Effect of a 15 percent cost reduction:

Estimated Budget Impact: $506,000

Adjust fee annually (as required) to account for

Estimated Budget Impact: TBD

Exploration of other vendors may reap

Improved metrics identify issues and

Estimated Budget Impact: $86,000 +

Impacted staff members may be able to

Estimated Budget Impact: TBD

Assess cost by course level (e.g., remedial, regular, gifted, AP)

May include weighting the PPA for certain campuses

Allocates funds to class levels that may require additional

Estimated Budget Impact: TBD

Tech Specialist/Support: Look to possibly job

Estimated Budget Impact: TBD

We need to understand why and determine

Estimated Budget Impact: $430,000

Estimated 737 campus paraprofessionals earning

This time is primarily unproductive and redundant for

Estimated Budget Impact: Requires initial

Provides ability to link costs to revenue at an

Shifts limited resources from reporting to

Estimated Budget Impact: $764,750

Purpose is to fill empty seats with paid riders

Requires a mechanism to prioritize current riders

Estimated Budget Impact: $161,671

Impacts four elementary schools that

Estimated Budget Impact: $286,962

Students often miss significant portions

Alternatives exist (eg. online, teacher

Estimated Budget Impact: TBD

Prior to this change, middle school

Estimated Budget Impact: $1 million +

Provide additional resources to Energy

Estimated Budget Impact: Approximately 20

Solicit bids for migration to a co-location center

Significantly-reduced local technology footprint

Estimated Budget Impact: $250,000 to $1

Reduce facility availability times during the summer

Review how central and administrative facilities are

Limit times gyms and field houses are available

Calculate individual campus rent-out costs and

Estimated Budget Impact: $700,000

The Districts insurance policy does not

Estimated Budget Impact: TBD

Increase use of zones, timers and independent

Retrofit geothermal as appropriate (e.g. when

Estimated Budget Impact: TBD

Other programs, third party use of facilities and

Estimated Budget Impact: $0

Support and fund Energy Management in its

Estimated Budget Impact: TBD