ESTIMATED PRELIMINARY FY 2012-13 FUNDING
September 30, 2011
At the request of superintendents looking to plan for future years, we have prepared a spreadsheet showing estimated preliminary subsidy amounts by school administrative unit for FY 2012-13.
As explained below, there are a number of variables that we cannot predict for next year and so we have used certain assumptions in preparing these estimates, and they are outlined further below. In particular, we do not know what enrollment figures will be for FY 2013 and we cannot know what the state revenue climate will be or what amount the Governor and Legislature will choose to allocate to General Purpose Aid to Local Schools. This Estimate is based on the General Purpose Aid (GPA) appropriation of $913,801,946 that was included in the biennial budget enacted on June 20, 2011 for FY2012-13.
THEREFORE, WE URGE YOU TO USE THESE ESTIMATES WITH GREAT CAUTION.
However, used properly and carefully, these estimates can help you to develop a picture of the state subsidy outlook for your SAU and to use that information in making longer-term plans.
It is vitally important that you read and understand the assumptions used in preparing these very preliminary estimates, as you may need to adjust these assumptions based on your own knowledge of the facts in your SAU. In addition, it is important that you use these as general guidance, and do not make specific plans based on these estimates which are likely to change as time progresses.
Assumptions made for the FY 2012-2013 preliminary estimates:
Essential Programs and Services (EPS) Total Allocation
- Operating allocation is based on the FY 2011-12 amounts adjusted for the change in law pursuant to Public Law 2011 Chapter 419 (formerly LD 1274).
In order to look at how appropriate this allocation will be, each unit may want to look at its recent history of operating allocation amounts. Generally, if a unit has relatively stable student populations, both regular and specialized, the frozen amount will be reasonably accurate for this projection. However, significant declines (lower allocations) or increases (higher allocations) can skew the accuracy of this estimated allocation.
- Other Subsidizable Costs are frozen at FY 2011-12 amounts. You will need to look at history here, as well, if you chose to fine-tune this category.
- The two components of Gifted and Talented and Vocational (CTE) Allocations are expenditure driven (but limited to approved programs and/or budgets) and more easily estimated based on current year FY 2010-11 expenditures.
- The Transportation Allocation is generally predictable based on historic amounts and bus allocations are based on approved purchases for this year FY 2011-12.
- Predicting the Special Education Allocation will be the most challenging. History will be a predictor but in small units the allocation can vary dramatically from year to year. If your special education population is declining, it is more likely that your allocation will decline.
- Debt Service allocation has been set to reflect FY 2012-13 debt scheduled principal & interest payments – the actual amounts that will be used for the FY 2012-13 calculations. Debt Allocation for major capital construction projects that have not bonded yet have not been reflected but funds have been reserved for those projects that are projected to bond and have scheduled debt payments in FY 2011-12. Leases, Lease-Purchases and Insured Value Factor have been frozen at the amounts on the FY 2011-12 ED279.
State and Local Contributions
- The Local Required Share for FY 2012-13 is based on 2011 State Certified Valuations (SCV). These SCVs are the actual values that will be used for the FY 2012-13 calculations.
- The State Share is based on the budget amount for FY 2012-13 for GPA of $913,801,946 – an increase of $19,199,804 from the current FY 2011-12 total GPA of $894,602,142.
- The minimum special education subsidy is set at 35%, minimum subsidy non-special education is set at 4%, and minimum subsidy for debt is unchanged.
- Required Local Share mill rate of 7.52 is based on items 1 and 2 above.
You can view the spreadsheet showing estimated preliminary subsidy amounts by school administrative unit for FY 2012-13 by clicking the following link:
Preliminary 2012-13 Subsidy Amounts by School Administrative Unit
Dated September 30, 2011
For additional questions regarding these estimates please contact:
Joanne Allen or Paula Gravelle
Department of Education
School Finance and Operations
23 State House Station, Augusta, ME 04333
Phone: (207) 624-6790
Fax: (207) 624-6791