PRELIMINARY BUDGET OVERVIEW

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PRELIMINARY BUDGET OVERVIEW

• June 17, 2008

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FINANCIAL HIGHLIGHTS2006 - 2007
FINANCIAL HIGHLIGHTS2007 - 2008

• Undesignated General Fund Balance over 20 of the
  Budget (21)

• Budget Presentation CAFR Awards from ASBO GFOA

• Financial Integrity Rating System of Texas-FIRST
• Superior Achievement Rating for year ended August
  31, 2007
• Successfully achieved all indicators in FIRST
  Rating System
• Clean Audit from Deloitte Touche, L.L.P.
• Lowered Tax Rate 35 to 1.24 (52 in last 2
  years)
• Nearing Successful Completion of 2004 Bond
  Program
• Added 61 unplanned classrooms which accommodates
• an additional 1,200 students
• Began construction of Bonus Elementary School
  (No New Debt Funded from 06-07 Budget Surplus
  Capital Projects Fund Interest Income)

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Comparison To State Averages By Function
2006-2007 Conroe ISD Budget
2006-2007 State Average Budget
General Fund Expenditures by Function
Instruction 58.7 59.3 Instructional-Relat
ed Services 1.9 2.9 Instructional
Leadership 0.9
1.3 School Leadership 6.3 6.2
Student Support Services 5.6 4.7
Student Transportation 5.4 3.3 Food
Service 0.0 0.8 Co-curricular/Extracur
ricular Activities 2.7 2.8 Central
Administration 2.6 4.1 Plant
Maintenance Operations
13.2 12.3 Security Monitoring
Services 1.2 0.8 Data Processing
Services 1.5 1.5 Total 100
100
Budgeted Expenditures per Student
6,185
6,834
Source 2006-2007 Budgeted Financial Data
(http//www.tea.state.tx.us)
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2007-2008Tax Rate Comparison
2007 2008 Combined TaxRate ComparisonWith
AreaSchool Districts
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General Fund Balance

• 62.5 M undesignated plus 14 M for the Bonus
  School as of August 31, 2007
• Provides needed stability given the uncertainty
  of future revenues and expenditures

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Enrollment Trend

• State revenue estimates campus expenditure
  budget allocations rely on enrollment data.
• The district has experienced a 50 increase in
  enrollment over the past ten years.
• Enrollment growth presents challenges that
  include additional personnel, instructional
• facilities, supplies and materials for
  the district.

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Attendance Data
Last Nine Fiscal Years, Current Year, One Year
Projection
Average Enrollment Growth Per Year 1,570
Average ADA Growth Per Year 1,539 4.5
BASED ON PROJECTED FIGURES
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Certified Property Values
Last 10 yr Average Increase 11.31
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TASB Compensation Study
COMPENSATION SYSTEM OBJECTIVES
2008 2009 SALARY ASSUMPTIONS

• Pay for Job Value
• Attract Hire Skilled Employees
• Keep Good Employees
• Control Costs

• TASB GPI Recommendation 3.5
• Plan Review Para Auxiliary
• Teacher Raise 1,710
• Starting Teacher Salary 43,000

COST OF 2008 2009 SALARY INCREASES 8.2 M
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2008-2009 TEACHER SALARY SCHEDULE
Salary Range Midpoint 48,737
Salary Range Maximum 66,650
General Increase is based on the salary range
control point.
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Position Change by Department
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Access One Enriched Penny
1.053
M O Tax Rate Enriched Pennies
Max Rate w/o Roll Back Election is 1.04
1.033
Compressed Tax Rate 0.993
1 Enriched Penny Local 1.8 M State
Enrichment 1.1 M 2.9 M
Regular Pennies Enriched Pennies
Accessed Additional Enriched Penny
Recommended Enriched Pennies Not Accessed
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2008-2009 Budget Overview
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Other Budget Options

• Reduce Recommended Salary Increase ( 3.50
  3.25 500,000)
• Reduce Unallocated Teacher Positions ( 20
  10 500,000)
• Access General Fund Balance to Subsidize Debt
  Service (62.5M _at_ 8.31.07)

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2007-2008Debt Tax Rate
07-08 Tax Rate 0.35 Approved by voters in 2004
Bond Referendum 0.29 Projected last
February 0.21 Actual CISD debt service tax
rate for 2007-2008 (Note This was achieved by
transferring 18M of MO budget surplus funds
to the
debt service fund)
Future Challenge To
maintain subsidy of debt service from the MO
budget.

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Key Budget Data

• 07-08 08-09
• Actual Projected
• Assessed Value 16,586,982,484
  18,270,524,444
• AV Increase 14.44
  10.15
• Enrollment 46,524 48,522
• ADA 43,188 44,883
• WADA 53,678 55,688
• Wealth per WADA 309,008 328,087
• Chapter 41 Status 340,000
  ?
• EDA Funding 1,716,528 -0-