Agenda Item
Meeting Date: 5/31/2018 - 6:30 PM
Category: Report of the Committee on Strategic Planning and Budget
Type: Action
Subject: 1. Informational Overview of and Public Hearing on the MPS Proposed 2018-19 Budget
Strategic Plan Compatibility Statement:
Goal 1
Academic Achievement
Goal 2
Student, Family and Community Engagement
Goal 3
Effective and Efficient Operations
Policy: Admin Policy 3.01 - Annual Operating Budget
Attachments: Attachment (00A) 2018-19 MPS Proposed Budget Transmittal Letter
Attachment (i) Table of Contents
Attachment (1) Executive Summary
Attachment (2) Organizational Section
Attachment (3) Financial Section
Attachment (3A) Schools
Attachment (3B) Central Services
Attachment (3C) Line Items
Attachment (4) Informational Section
Attachment (5) 2018-2019 MPS Proposed Budget Overview Presentation
File Attachment:
Attachment (00A) Transmittal Letter.pdf
Attachment (i) Table of Contents.pdf
Attachment (1) Executive Summary.pdf
Attachment (2) Organizational Section.pdf
Attachment (3) Financial Section.pdf
Attachment (3A) Schools.pdf
Attachment (3B) Central Services.pdf
Attachment (3C) Line Items.pdf
Attachment (4) Informational Section.pdf
Attachment (5) 2018-2019 MPS Proposed Budget Overview Presentation.pdf
Background: The district’s financial planning and budget development is a year-round process.The process is guided by the MPS Strategic Plan and the Milwaukee Board of School Directors’ and superintendent’s unwavering focus on students and schools.

The attached budget documents and spending plans have been developed by hundreds of stakeholders: community members, business partners, MPS families, grant coordinators, school and district staff, etc. Their insights over the budget-development time period, coupled with significant internal deliberation and debate on the most prudent investment of resources, result in a budget aligned to our Strategic Plan and the district’s priorities.

Taxpayers deserve to have input into and to know how MPS is spending tax dollars in support of students and schools. It is incumbent upon the district to spend those dollars responsibly, which means that the district must be deliberate and organized in doing so. Accessing stakeholders’ feedback and aligning budget to strategy ensures that the district's approach to spending is responsive, prioritized, and refined.

MPS takes its mission seriously; however, the district is constrained in its execution. Current revenues do not keep pace with the cost of the resources that MPS students deserve. It is more important than ever to prioritize spending toward the outcomes that have been collectively identified as critical, using the voices of stakeholders and the strategic roadmap to determine where and how public dollars are spent in service of students.
Fiscal Impact Statement: The proposed budget for July 1, 2018 through June 30, 2019 is balanced. A balanced budget is one in which authorized expenditures for the School Operations Fund match the projected revenues. Specific financial strategies and plans to support the Board of School Directors’ goals and objectives are described in the attachments to this item.

The proposed 2018-19 budget reflects an overall reduction in spending of $10.9 million, or 0.9%, from the 2017-18 budget. Projected revenues in the general operations budget are virtually unchanged at a 0.2% decrease over 2017-18.

Stable revenues are not enough to sustain the district’s operations as they are today--modest inflationary pressures require growing revenues. The district also faces more significant inflationary pressure in medical costs and other employee benefits. Planning for 2018-19 has required careful reductions and reorganizational efforts to effectively support the Strategic Plan while maintaining the fiscal health of the district.

The total proposed budget - which includes grant funding and funding for Milwaukee Recreation - is $1.17 billion, down from $1.18 billion in 2017-2018.
Implementation and Assessment Plan During the month of May, the Milwaukee Board of School Directors will hold hearings to discuss and review the proposed budget. The Board will hear public testimony from stakeholders and hear from the Administration on the proposed budget. At the May 29, 2018 Board meeting, the Board will consider any proposed amendments and take possible action on the Superintendent's 2018-19 Proposed Budget.
Recommendation: Your Committee reports having received the foregoing report from the Administration.
Approvals:
Recommended By:
Signed By:
Jacqueline M. Mann, Ph.D. - Board Clerk/Director