The superintendent proposal south park 220152016 recommended budget and i will if its already just read the first private investigator entered into a record the superintendents recommended budget for the San FranciscoUnified School District and San Francisco office of education be submitted for First Reading at the budget for 20152016 and be placed in the official file of the secretary brufgs and that the superintendent has authorized to make transfers to correct erroneous clarifications or to make new by changes and the method of expenditures for the appropriation. Before you go into the presentation i just want to ask commissioner Vice President haney for a committee as a whole on the budget. Somewhere i think were going to hear a version of the committee based on the feedback in question we had as a committee as a whole. I have public speaker cards bullying but ill hold those. Thank you dr. Murase as we prepare for the presentation we want to welcome our chief Financial Officer and there will be a presentation well have to move but as we prepare for the presentation i want to make a few comments before i im going to turn it over to first and foremost i want to thank the board of education our staff and Community Members for a robust process this year to develop our local accountability plan and Budget Proposal for 20152016 i have never witnessed so much engagement input, discussion, arguing, looking and asking for information before it is a robust process and i want to thank everyone that was part of the process just to remind everyone when last year the main budgetary priorities to have increases to the staff to start restoring baseline site budgets and Start Building our multi tier systems for the supports to all the schools this year were fortunate to reach many of the alleged Strategic Priorities awhile continuing to roll out the multiple salaries weve negotiated with our union and increasing the s t r s burden imposed by the state of california so highlights to keep in mind if as you think about the budget were deepening the common core curriculum and expanding investments in Supportive Schools were launching our africanamerican chuchltd initiative in a real tangible way and for our Digital District plan were excited about all those priorities goals require investments and investment youll see not only in the budget recommends for our el cap but recommendations and approved recommendations i have to tlult well moving forward towards the deeper implementation theres excitement in the Community Around what the district is doing how were doing it with our Community Partners and the fact were implementing things that heretofore because of the budget crisis wear that not able to do this is an exciting time in San Francisco with that im going to turn it over to our team that will walk us through beginning with the chief Financial Officer and director. Thank you. Superintendent and good evening, commissioners before we begin our presentation we acknowledge there are a lot of handout that were provided well cover or refer to in the presentation and we just want to make sure you have all of those handouts the first is what is beings projected right now for the presentation we also have responds to the boards questions from both the june 2nd committee of the whole meeting and the june 9 First Reading of the budget additionally, we have an appendix showing the further details of the ongoing one Time Investments and we have the el cap documents for both the San FranciscoUnified School District and the county office of education and last but not least there is also a public hearing requirement on all budget reserves that is part the document process that handouts has been provided to you copies of all those handouts are available in the foyer and on the districts website so today, we have going to continue with the conversation on our 20152016 recommended budget we will highlight some staff responses to the feedback in question on the el cap and the recommended budget following the june 9 First Reading provide you with updates to the states proposed Budget Review next steps acknowledge key participants in the entire budget and el Cap Development process, have a public hearing on the balances and entertain and discuss questions and feedback with that, im going to turn it over to our director two, that will lead us through the next couple of slides. So ill be going over some of the responses as well as the feedback that has been provided in respond to the questions as well as additional comments since the First Reading on june 9th many of the documents ill think referencing call out three of those ill highlight so everyone has handy as i go through the updates the first is the f a q documents that captures Key Stakeholders and the second documents id like think referencing the el cap regarding the special and concentration grants and the third is appendix document the summary of the general Fund Investments into one time and ongoing so cross the el cap and budget weve added the multiple tiered system and support an inclusion as part of feedback and it is also been included in the budget for the second reading in volume one theres an overview of the event along with allocations as you can see on page 11 and 86 within the budget secondly across the el cap and budget weve highlight Services Action and planned expenditures for the foster and as you can see referenced once more and lastly the Schools Support weve provided additional detail where the supports what about found within the el cap at the budget book that is Hidden Valley high school within the document now im going to hone in on the other plan the el cap first of which weve added footnotes and descriptions or the supplemental and grants those materials youll find on the website and handout as mentioned theyre available to the public together secondly weve expanded the measurable goals in for this hones in on highly qualified teachers and staff and per scomploern represents the reduction of turnover rates lastly within our county el cap weve included Action Services and expenditures for the student populations all right. Now within the budget itself we did take note of the focus and questions regarding Homeless Youth services we want to make sure that the budget regarding services to those students are highlighted and as you can see those referenced within once again the document we are exploring additional funds for this population moving into next year thats the grant and other sources as well in terms of the bay area urban bay league and the guilty fund working with cca to fund and expand those programs and that will be taken up under sort of the cca approval processes and lastly there are questions regarding the common core spending plan and we noted those funds will be continued into 20152016 and added the details where that fund will be providing support this is will continue and expand our professional developments support for common core structural materials as well as technology and neglecting support for the balance assessment lastly this slide may look familiar to some of you weve shared it regarding the budget the overview of the unrestricted general Fund Investments as well key investments that is the capitalization of the fund not the competitive view of where those resources are going weve provided as many of the handout you received an overview and description for each of the line items so wherever weve noted the general Fund Investments there are now descriptions as to what the funds are being used for this is Available Online so members of the public and others can access it readily to understand how our founding supports our broader goals in the district. Thank you. Very briefly to go over the state budget update im sure youre aware of the legislation it is your forwarded a proposed budget through the governor and meet the constitutional june 15th deadline for the budget represents recommendations and contrary to what we thought was going to be a prolonged negotiation session the governor and the legislature they backed away from the assumption of the receive that was provided from the department of finance and went with the governs more conservative some of the key items youve included in the Budget Proposal are eliminating the 25 million federal cola equalization and eliminated the Afterschool Program funding and added 65 million for an additional 68 childcare and preschool programs and added 490 million for a new effectiveness block grant that will be distributed on the basis of that districts count of staff as of revenue this block grant is one time funds and the recommended use for this is for beginning teachers and administrators support and mentoring and for professional Development Education trailer bill was implemented within the days of the good afternoon reaching the compromise and thats a little bit of a backing away from the level of fund for the lcff and the mayor revised the trailer bills include the funding for 5. 994 billion and the 6. 16 billion that was in the mayors revised the gap closing percentage which is proposed at 53. 0 percent in the mayor revised is now at 41. 24 percentage and projected to be lower for what was proposed in the main revised. For about we go to the next steps if we could just turn quickly to the documents that is a two page two sheet document of about the districts and the counties reserve adaptations with the blue soft commissioner walton has that, yes. Sorry i im not promissory note that but the handout are available basically there is a new requirement and this came but with the budget act from 20142015 the current year were in sb 858 was passed meets certain conditions at the state level met one being that the state contribute into the state reserve that will be a hot cap established that the districts couldnt exceed two times theyre required reserve for the unsecondrate we believe that hot cap will not be implemented however. New requirement that districts who are projecting to have a signed and unassigned reserve balance in excess of the economic uncertainties technical jargon were required to have a two percent reserve for economic uncertainties that is calculated of our total restricted and unrestricted expenditures if a district at the time of the budget deposition for the provisions is showing theyll exceeded the 2 percent required for economic uncertainties district is have to hold a public hearings and substantiate the need to carry that excess reserve so this document evidences our reserve levels that are over and above the 2 percent required reserve in the budget year of 20152016 as well as in the out years 20162017 and 2017 and 5 to 6 and following this calculations of the reserve there are explanations as to why and subtion why the district requires having those reserves and we will im sure have Public Comment on this but now go on to the next steps so the states adopted budget all indications that will be signed before the july 1st deadline and staff will analyze the budget when it is signed and determine the impact on the districts own budget and well recommend the chances as appropriate we know of one the gap closing percentage that is that revenue will have to be reincluded and another change come is the one time amount that districts will have received as a repayment of the prior years of mandated reimbursements which at the may rice was 681 it is roughly 4 hundred and 31 for 88 so well be recalculating those amounts and rearising our budget and the revised final budget in september and due back in other were closing our book on 20142015 in order to due to the state on october 15th he presented to the board prior to that and audited our Financial Statement to be ready for the presentation in december and first interim report reflects the changes will be presented in december and im going to turn it over to deputy superintendent lee foreclosing remarks. Actually with ami to make a couple of thank yous and im going to turn it over to to deputy gerrero commissioners on the next couple of slides i want to thank a number of our partners both in entrepreneurial to the district and external partners if youll use it takes a village to write an el cap in a budget and many many people that were involved this year and we do want to highlight some of the contributions of the individuals or organizations have made so moving from letting left to right the left hand column is the task force that was formed this past fall that was really an extension of the discussion that took place last spring including the board of education had about wanting to achieve the process of the second version of the el cap that list expands to pages so if you wouldnt find ive been terribly alone and forgotten in manhattan so you can see there are two pages of names of members on the el cap task force i wanted to highlight a few of those individuals for specific extraordinary contributions we have ruth from the Family Community engagement team, and Georgia Williams before that time so merry remand did a tremendous mulch of work im sure youre aware of commissioners the Stakeholder Engagement process is lead through those individuals and many other partners many of whom are in the stakeholders column on the raise your right hand so along these conducted and lead 0 robust stakeholder process described in section one the el cap and engaged hundred of individuals in deep conversations that informed the el cap and the impact of all the feedback into the el cap that is described in section one of the el cap no small undertaking those are Staff Members across the team cosponsored by superintendent gerrero and myself not all of those people you can commissioner we met throughout the year and intooeven met in the spring to develop the program and the superintendent informed us what he saw in our recommendations he wanted to endorse and what he wanted us to rethink this is a vertebrae high fundamental part of team on this list id like to give a special shout out to calling names so they were the core team to develop they did a lot of the heavy lifting in terms of the budget and the el cap and in addition to another individual on el cap definitely want to mention them with the materials youve received next assume is the Services Team and this is formally i guess lead by the acting budget director and the chief Financial Officer and shes here in spirit and all the staff and budget team theyve performed incredible amounts of work that most of the community and board you dont really see but a ton of back office work the technical aspects of the project we couldnt have done it without you and the next column the stakeholders they placed some process around the el cap and also have gotten this im sure youre aware of the pictures are specific and substantive feedback including the Public Council and very engaged with the el cap and others processes as well and finally spilling into the next page other staff those are Vice President s mostly that are mentioned here and theres one individual not mentioned Kathy Fleming the director the public richmond fund done a lot of work to pull together the chief elements of recommended budget those departments have each played an Important Role in either theel cap or budget refers to the fact that the budget in particular and the el cap represents a composite effort of the leaders and departments throughout the district so that was virtuosa team effort last but not least this is the second part superintendent carranza for his wisdom and being engaged it was a better product as a result of his involvement and want to thank the superintendent and commissioners for your careful attention to the el cap and budget as well i would like to ask deputy superintendent gerrero to make the final remarks. Briefly just to reiterate honestly it wouldnt be possible to try to put this together a thoughtful plan how to use those precious resources and invest them in a way that our policymakers throughout the community and circuit courts priorities wisdom glad weve acknowledged a lot of individuals and people that have contributed to the thinking and we like to say in the School System were in the ambition of Continuous Improvement that is a process and you could be assured over every single of the hearings or meeting or Community Engagement that was always followed by a pretty detailed ludicrously to think about what we heard and where is that reflected in the line items how might we continue to roll out that work and the one good thing this season was a little bit less stressfully than prior years and permitted a different kind of conversation around as we think about where to make investments we might apply to the capacity in teaching and learning and scenarios weve heard from the strshldz and community and board so hopefully, youll see a lot of that reflected it has sort of challenged our smart team internally made up of the crossed section of leaders to think about the strand of our work and not necessarily our ownville departments to accomplish the goals weve called out and heard quickly weve heard over the sort of this period of time so i do want to give that shout out for the team picking through the process and ramps up at the end of the spring team yesterday we have a sort of end of progress reflection and constructed a parking lot of a lot of things we want to do better and hopefully folks commissioner wynns was saying there is a lot of information and hopefully, well called out for the general Public Comment up front some of the ways you know when you dig down youll find matched how important initiatives and priority work and reflected in our el cap and our budget thank you to everybody that was engaged throughout this process. Thank you very much for that presentation and for the tremendous work on the budget. I have 3 public speakers for the el cap calling names one minute each please. Hello, again my name is awe lipped im with the Public Council i want to say how much we appreciate youre taking notes of comments and represents and taking the time to respond i want to say that under number 29 for clarification you know youll think it to receive review and look at the suspension of africanamerican we want to urge you to really focus on the disprorment of the africanamerican they on make up 49 percent but 76 percent of sprungsz in the school that is a significant problem while we acknowledge youre making strides to reduce proportion it more goals are needed their