Board Workshop

2022-2023 Budget
Development

June 1, 2022
1. Fiscal Year 2022 Financial Forecast
a. Projected Fund Balance
2. General Operating Fund Snapshot
3. Employee Compensation Considerations
a. Salary Increase Options
b. Employee Retention/One Time Salary Increase
Options
4. Three-Year Financia Forecast

Agenda
 DRAFT
El Paso ISD
General Fund Revenues and Expenses
Forecast 6/30/2022

FY 2022 FY 2022 Total Variance

FY 2022 Adopted Amended Actual Revenue Forecast Forecast Budget vs Percent
Revenues Budget Budget 04/30/2022 Revenue GF Revenue Actual Variance
5700 Local $ 190,239,587 $ 190,239,587 $ 183,092,352 $ 2,356,645 $ 185,448,997 $ (4,790,590) 97.48%
5800 State 306,132,501 306,132,501 207,011,228 $ 104,177,707 311,188,935 5,056,434 101.65%
5900 Federal 16,460,000 23,509,562 11,769,853 $ 3,025,907 14,795,760 (8,713,802) 62.94%

Total General Fund Revenue 512,832,088 519,881,650 401,873,433 109,560,259 511,433,692 (8,447,958) 98.38%

FY 2022 FY 2022 Total Variance

FY 2022 Adopted Amended Actual Expenses Forecast Forecast Budget vs Percent
Budget Budget 04/30/2022* Expenses ** GF Expenses Actual Variance
Expenses by Function
11 Instruction 289,594,305 313,558,524 238,127,945 50,576,147 288,704,092 24,854,432 92.07%
12 Instructional Resources and Media 6,434,594 6,758,581 5,694,122 1,355,603 7,049,725 (291,144) 104.31%
13 Curriculum and Inst. Staff Dev. 22,728,514 19,785,196 12,433,826 3,136,616 15,570,442 4,214,754 78.70%
21 Instructional Leadership 5,753,002 5,959,500 4,799,625 1,185,772 5,985,397 (25,897) 100.43%
23 School Leadership 36,137,506 36,712,914 30,579,312 6,654,348 37,233,660 (520,746) 101.42%
31 Guidance, Counseling, Evaluation 19,793,424 19,895,042 16,229,428 3,772,094 20,001,522 (106,480) 100.54%
32 Social Work Services 4,561,751 4,726,436 3,589,367 711,495 4,300,862 425,574 91.00%
33 Health Services 6,466,584 6,691,344 5,463,803 1,424,162 6,887,965 (196,621) 102.94%
34 Student (Pupil) Transportation 12,311,389 15,574,115 11,458,820 722,514 12,181,334 3,392,781 78.22%
36 Co-curricular/ Extracurricular 13,691,695 14,203,742 10,095,241 2,987,836 13,083,077 1,120,665 92.11%
41 General Administration 14,449,348 14,956,033 10,892,040 2,888,234 13,780,274 1,175,759 92.14%
51 Plant Maint. and Operations 52,903,094 54,135,846 45,266,763 11,345,688 56,612,451 (2,476,605) 104.57%
52 Security and Monitoring 7,831,982 7,663,164 5,072,575 1,436,115 6,508,690 1,154,474 84.93%
53 Data Processing Services 9,481,514 10,408,359 7,620,073 1,023,988 8,644,061 1,764,298 83.05%
61 Community Services 60,550 50,550 17,121 18,646 35,767 14,783 70.76%
71 Debt Service 4,019,756 4,267,601 3,970,835 1,387,845 5,358,680 (1,091,079) 125.57%
81 Facilities Acquisition, Construction 683,084 44,386,821 9,431,384 7,734,599 17,165,983 27,220,838 38.67%
99 Other Intergovernmental 2,718,729 2,718,729 2,199,736 770,993 2,970,729 (252,000) 109.27%

Total General Fund Expenses 509,620,821 582,452,497 422,942,016 99,132,695 522,074,711 60,377,786 89.63%

Revenue over (under) Expenses 3,211,267 (62,570,847) (21,068,583) 10,427,564 (10,641,019) 51,929,828

Other Sources and (Uses)

7900 Other Sources 0 31,329,283 31,329,283 45,164 31,374,447 45,164
8900 Other Uses (3,211,267) (35,601,267) (35,601,267) 0 (35,601,267) 0
Net other sources and (uses) (3,211,267) (4,271,984) (4,271,984) 45,164 (4,226,820) 45,164

Projected Surplus (Deficit) 0 (66,842,831) (25,340,567) 10,472,728 (14,867,839) 51,974,992

Fund Balance-July 1 (Beginning) 162,419,845

Fund Balance-June 30 (Ending) $ 147,552,006

* The expenses include actual transactions as of 04/30/2022.

** The Forecast Expenses column includes an estimate of cash basis payroll & related fringe benefits, accrued earnings through 6/30/22 along with non-
payroll expenses.

Report was prepared by Financial Services on 5/24/2022

 FISCAL YEAR 2021 - 2022
FUND BALANCE
Unrestricted Fund Balance - 3600
Fund Balance Request Fund Balance in Revised Fund
Description Amount
Date Days Balance

06.30.2022 ESTIMATED Ending Fund Balance Amount $ 98,181,320 68.74

-
Balance 98,181,320 68.74

GF Expenses $ 522,074,711.00
Annual Days 365.00
Expenses Per Day $ 1,428,359.90

Unassigned Fund Balance $ 98,181,320

Days 68.7

As of 05.25.2022

- It is essential that governments maintain adequate levels of fund balance to mitigate current and future risks (e.g., revenue
shortfalls and unanticipated expenditures) and to ensure stable tax rates.
- Government Finance Officers Association (GFOA) and Texas Education Agency (TEA) recommend, at a minimum, that general-
purpose governments, regardless of size, maintain unrestricted budgetary fund balance in their general fund of no less than two
months of regular general fund operating revenues or regular general fund operating expenditures.
 DRAFT
General Operating Fund
Proposed Budget Snapshot
Fiscal Year 2023
Revenue
2022 Adopted 2023 Proposed
Description Variance
Budget Budget
Local Revenues 190,239,587 194,519,873 4,280,286
State Revenues 306,132,501 310,938,829 4,806,328
Federal Revenues 16,460,000 19,366,659 2,906,659
Total Revenue 512,832,088 524,825,361 11,993,273

Expenses
2022 Adopted 2023 Proposed
Description Variance
Budget Budget
00-Balance Sheet / Revenues 3,211,267 1,311,267 (1,900,000)
11-Instruction 289,594,305 292,561,113 2,966,808
12-Instruction Resources and Media 6,434,594 7,459,445 1,024,851
13-Curriculum & Instr Staff Develop 22,728,514 17,501,363 (5,227,151)
21-Instructional Leadership 5,753,002 6,399,635 646,633
23-School Leadership 36,137,507 39,035,874 2,898,367
31-Guidance, Counseling, Evaluation 19,793,424 21,054,534 1,261,110
32-Social Work Services 4,561,751 4,308,973 (252,778)
33-Health Services 6,466,584 7,009,091 542,507
34-Student Transportation 12,311,389 14,096,552 1,785,163
36-Extracurricular Activities 13,691,695 14,498,755 807,060
41-General Administration 14,449,348 15,737,127 1,287,779
51-Facilities Maint and Operations 52,903,093 54,121,617 1,218,524
52-Security and Monitoring Services 7,831,982 8,518,901 686,919
53-Data Processing Services 9,481,514 12,628,620 3,147,106
61-Community Services 60,550 59,916 (634)
71-Debt Service 4,019,756 5,394,471 1,374,715
81-Facilities Acquisition & Construction 683,084 4,250,000 3,566,916
99-Other Intergovernmental Charges 2,718,729 3,033,000 314,271
Total Expenses $ 512,832,088 $ 528,980,255 $ 16,148,167

Revenue Over/Under Expenses $ - $ (4,154,894) $ (4,154,894)

Additional Budget Requests - Fund Balance (1,154,894) 2.9 Days of FB

Capital Outlay - Fund Balance (3,000,000)
Revenue Over/Under Expenses 0

2022-2023 Proposed Budget considerations:

a) Compensation - Option 4 Hybrid (Personnel compensation still in progress)
b) Lapsed Salaries $18M
c) Includes $5.2M Capital Replacement Plan

d) Includes $1.8M Additional Budget Requests; Risk Management, Technology, Fine Arts, Financial Services Custodial, Athletics, Procurement &
Maintenance
e) Proposal to fund $3M Capital Outlay and $1.2M Additional Budget Requests with Fund Balance
 CLERICAL- PAY GRADE 302
MIN MID MAX
Current $11.85 Current $14.19 Current $16.53
FY23 $12.91 P/Hour FY23 $15.46 P/Hour FY23 $18.01 P/Hour

EXAMPLE 1: Employee in clerical role earns $13.25

5% INCREASE FROM MID POINT ($15.46 x 5% = .77)
Salary with proposed increase of 5% from Mid Point would be $14.02

EXAMPLE 2: Employee in clerical role earns $16.00

5% INCREASE FROM MID POINT ($15.46 x 5% = .77)
Salary with proposed increase of 5% from Mid Point would be $16.77

PROFESSIONAL - PAY GRADE 101

MIN MID MAX
Current $205.00 Current $250.00 Current $295.00
FY23 $209.10 Daily Rate FY23 $255.00 Daily Rate FY23 $300.90 Daily Rate

EXAMPLE 1: Employee in professional role earns $240.25

4% INCREASE FROM MID POINT ($255.00 x 4% = $10.20)
Salary with proposed increase of 4% from Mid Point would be $250.45

EXAMPLE 2: Employee in Campus Accountant role earns $280.50

4% INCREASE FROM MID POINT ($255.00 x 4% = $10.20)
Salary with proposed increase of 4% from Mid Point would be $290.70
COMPENSATION PACKAGE – OPTION 1
Salary Increase
5% - Teachers, Librarians, Nurses, Counselors, and Non-Exempt (Hourly) Staff
Starting Pay for Teachers - $56,550
4% - Campus Administrators and Other Professional Staff
3% - Central Office Leadership (Director and above)

Employee Retention Stipend/One Time Salary Increase

Employee Retention Stipend - $1,000
One Time Salary Increase – 4% MP and 1% MP for Director Level and Above

Salary Increase - $20.4M

Employee Retention Stipend - $8M (ESSER Funded)
Stipend/One-Time Salary Increase - $14.5M (ESSER Funded)
COMPENSATION PACKAGE – OPTION 2
Salary Increase
5% - Teachers, Librarians, Nurses, Counselors, and Non-Exempt (Hourly) Staff
Starting Pay for Teachers - $56,550
4% - Campus Administrators and Other Professional Staff
3% - Central Office Leadership (Director and above)

Employee Retention Stipend/One Time Salary Increase

Employee Retention Stipend - $1,000
One Time Salary Increase – 4% from Base Pay and 1% Base Pay for Director
Level and Above

Salary Increase - $20.4M

Employee Retention Stipend - $8M (ESSER Funded)
Stipend/One-Time Salary Increase - $14.2M (ESSER Funded)
• General Pay Increase – 5% • General Pay Increase – 5%
• One Time Salary Stipend – • One Time Salary Stipend –
Average 2% Average 5%
• Employee Retention Stipend • Employee Retention Stipend
$1K (Approximately 2%) $1K (Approximately 5%)
• Health Savings Account • Health Savings Account
Contribution Increase $700 Contribution Increase $700
(Approximately 1.5%) (Approximately 3.4%)

Approximate Total – 10.5% Approximate Total – 18.4%

Teacher/Nurse Custodian

- The examples shown are for illustration purposes only, and may not be an exact
representation of the compensation impact.
- Percentage increase calculations vary based on pay grade and days on duty.
- Salaries are determined individually

Compensation Impact
QUESTIONS