HomeMy WebLinkAboutWA Budget Executive SummaryExecutive Summary
August 11, 2011
Honorable President & Board of Trustees
Westlake Academy
2600 J. T. Ottinger Road
Westlake, TX 76262
RE: Transmittal of FY 2011-2012 Westlake Academy Budget:
“Continued Excellence in the Face of Change”
As Superintendent for Westlake Academy, I am submitting for your consideration the Budget for FY
2011-2012. This Budget for Westlake Academy encompasses all teaching and extra-curricular operating
expenditures as well as State public school funding and private donations used to support the daily
school operations of Westlake Academy in the 2011-12 school year.
This 2011-2012 General Fund Budget totals $ 5,334,446 representing a 16% increase. The budget is
balanced utilizing $103,682 from available fund balance. A portion of this increase is due to Board
discussion and direction from its June 9, 2011 budget retreat to add indirect costs into the Academy’s
operating budget to reflect the full-cost basis. Please note that after indirect operating costs, as well as
the costs attributed to the three leased portable buildings are accounted for, the operating budgets for
both FY 10-11 and FY 11-12 require use of fund balance in order to achieve a balanced budget (e.g. they
contain deficit spending). The five year forecast indicates that deficit spending will continue unless
action is taken to increase revenues or reduce costs (see page 80).
Figure 1 – Budget Summary General Fund
Estimated Adopted $$ %%
Budget Budget Increase Increase
FY 10/11 FY 11/12 (Decrease) (Decrease)
Beginning Fund Balance $ 767,490 $ 760,220 $ (7,270) -1%
Revenues 4,590,104 5,244,068 653,964 14%
Expenditures 4,610,062 5,334,446 724,384 16%
Net Revenues over (under) Expenditures (19,958) (90,378) (70,420)
Other Resources 654,042 36,967 (617,075) -94%
Other Uses 641,354 49,807 (591,547) -92%
Ending Fund Balance $ 760,220 $ 657,002 $ (103,218) -14%
Assigned 107,366 3,684 (103,682) -97%
Ending Fund Balance (Unassigned) $ 652,854 $ 653,318 $ 464 0.07%
# Days Operating (Based on 365) 52 45 (7)
Daily operating expense $ 12,630 $ 14,615 1,985 16%
NOTE – the FY 10/11 Other Resources and Other Uses include insurance proceeds and expenditures
related to the water damage experienced in January of 2011.
Budget Presentation
I welcome the opportunity to present and discuss operational plans and related financial impact with all
interested parties. Interaction among interested groups consistently leads to operational and
educational improvements which become available to the students and parents of Westlake Academy.
The development, review, and consideration of the 2011-2012 Governmental Fund Budgets (the
General Fund, and Special Revenue Funds) were completed with a detailed and exhaustive review of
every revenue and expenditure item within the context of the Academy’s Vision, Mission and Values
statements, Strategic Planning efforts, and Board Policy.
The budget document and the year-end Comprehensive Financial Report (“CAFR”) are the primary
vehicles to present the financial plan and the results of operations at the Academy. The budget
document is organized into the following sections:
• Introductory Section – Introduces the reader to the document as a whole. It highlights
important information contained in the budget. Users rely on this section to get an overview – a
snapshot of what they can expect to find in the rest of the document.
• Organizational Section – Provides the context and framework within which the budget is
developed and managed. The context for the budget is substantially predicated on the type and
level of service to be provided the students of the Academy. The framework also includes the
Academy’s organizational and financial structure as well as the controls that direct and regulate
the development and administration of the budget.
• Financial Section – Presents the heart of the Academy’s budget document. The budget financial
schedules present the adopted budget for the Academy compared with the results of past
budget plans and with future projections.
• Informational Section – Contains information on past and future budgets and factors
influencing the adopted budget. It puts the adopted budget into context and it explains past
budget decisions.
Westlake Academy Mission, Vision & Values
Westlake Academy is a public charter school offering the International Baccalaureate (IB) curriculum.
Founded in 2003, with a mission to achieve academic excellence and develop life-long learners who
become well-balanced, responsible global citizens, Westlake Academy is the first and only municipally-
owned school in the state to receive a charter designation. Westlake Academy is the fifth school of only
ten in the United States, and the only public school, to offer the full IB curriculum for grades K-12.
During this year’s budget retreat great care and consideration was given to the mission and vision of the
Academy and the impact that these have on both the long-term goals of the Academy and its day-to-day
operation. The following updated vision and mission statements represent the outcome of this
discussion and evidence the Board’s continued dedication to academic excellence and personal
achievement. The values statements are currently being reviewed by the Board and are listed here for
reference only.
MISSION:
“Westlake Academy is an IB World School whose mission is to provide students with an internationally
minded education of the highest quality so they are well-balanced and respectful life-long learners.”
VISION:
“Westlake Academy inspires students to achieve their highest individual potential
in a nurturing environment that fosters the traits found in the IB learner profile.”
~ Inquirers, Knowledgeable, Thinkers, Communicators, Principled,
Open-minded, Caring, Risk-takers, Balanced, and Reflective~
VALUES
Maximizing Personal Development
Academic Excellence
Respect for Self and Others
Personal Responsibility
Compassion and Tolerance
The following desired outcomes summarize the goals and objectives established by the Board of
Trustees and leadership staff at the Academy. The vision, mission and organizational goals and
objectives are discussed in greater detail in the Organizational section of this document (see pages 23-
28).
Desired Outcomes
High Student Achievement
Strong Parent & Community Connections
Financial Stewardship & Sustainability
Student Engagement-Extracurricular Activities
Effective Educators & Staff
Budget Framework - “Governing and Managing for Outcomes”
The budget document is but one part of a system designed to link together critical governance and
management decision making tools. This system is called “Governing and Managing for Outcomes” and
is designed to integrate:
• Strategic planning
• Five (5) year financial forecasting,
budgeting, and performance measurement
linked to priorities, objectives, and
outcomes
• Reporting to monitor progress in outcome
achievement and accountability for results
• Aligning resources to prioritized outcomes
• Long term approach to ensure financial
sustainability
• Working within Board adopted financial
policies for the Academy
• Maintaining core services
Budget Process
The process of projecting the budgeting needs of the Academy is a continual process that responds to
the changing needs of the Academy students and staff as well as changes in the fiscal environment such
as the current State funding reductions. The process of developing the Academy budget for fiscal year
2011-2012 began with the Westlake Board of Trustees meeting that was held in February of 2011.
Following is a summary of the main steps taken in preparation of the adopted budget.
BOARD OF TRUSTEE BUDGET REVIEW
The Board of Trustees regularly receives quarterly budget updates, some of which are detailed
in the trend analysis and the five-year financial forecast discussed later in this document. Upon
receipt of the proposed annual budget, the Board holds budget workshops to review proposed
changes, their associated outcomes for the next fiscal year, as well as their impact in a five (5)
year financial forecast.
BUDGET ADOPTION
The Board of Trustees holds the required public meeting and adopts the budget in August prior
to beginning the fiscal year which runs from September 1st to August 31st.
BUDGET AMENDMENTS
The Final Amended Budget for the Year Ending August 31, 2011 will be submitted at the August,
2011 Board meeting. It will reflect all amendments previously approved by the Board of
Trustees plus any final amendments. Often, these amendments influence the shaping of the
current budget as actual trends in revenues and expenditures are realized and accounted for.
Figure 2 Budget Process
Timeline Description of Activities
October - December Strategic Plan preperation process occurs
December Westlake Academy Leadership Team (WALT) begins planning FY 11/12 Budget
January WALT meets with WA affiliates for joint planning for FY 2011/12
January - March Staff presents draft WA Strategic Plan to Board of Trustees (BOT)
February Broad overview of 2011/12 Budget with BOT
April BOT review of five year strategic plan
April - May Proposed budget preperation 2011/12 (Faculty/Staff input)
June - July Westlake Academy Parent Survey conducted
June 6th BOT Budget and Strategic Plan Retreat
August 15th BOT consideration/adoption of Westlake Academy FY 2011/12 Budget
September - August Budget Amendments for FY 2011/12
Fall 2011 Begin strategic plan update/review process for FY 2012/13
January 2012 Annual Financial Report for FY 2010/11
Academy Approach
The Academy approach to coping with the combination of fast student growth in a restricted funding
environment along with increasing academic standards requires that the budget process is
instructionally driven and guided by the Academy’s Strategic Plan. During the budget development
process the staff reviewed all revenues and expenditures and focused on aligning the allocation of
resources, both personnel and financial, with the accomplishment of established goals and objectives.
Explanation & Summary of Major Budget Components
REVENUES
The revenues received by Westlake Academy are classified into one of three broad categories: Federal,
State or Local. State funding is the Academy’s largest revenue source making up over 80% of revenues
from all funds. Staff estimates that the base level of total state aid paid through the Foundation School
Program (FSP) in FY 11-12 will be $6,689 per student; approximately a 5% decrease from the FY 10-11
levels. As an open-enrollment charter school, Westlake Academy has the ability to establish specific
class sizes and set limitations on secondary boundary enrollment. Enrollment for FY 2011-2012 is
projected at 627 students in accordance with the current plan to attempt to maintain 20 students per
class.
Federal funding is received through grants that support special education and accounts for less than 5%
of revenues for all funds; this funding is projected to remain flat.
Local funding consists of two major sources, the Town and the Westlake Academy Foundation. As a
municipally-owned charter school Westlake Academy does not have taxing authority; the Town of
Westlake is responsible for debt service and capital improvements, these costs are estimated at
$1,498,450 for FY 11-12. The Westlake Academy Foundation is an independent non-profit organization
that raises funds through donations and fund raising; the FY 11-12 forecast is $1,000 per student, or
approximately $627,000.
EXPENDITURES
Compensation and benefits are the largest operating cost for Westlake Academy. The current teacher
pay scale is based on the Board policy of being within 3% of the median of the nine (9) surrounding
public school districts. Per Board direction, the salary scale will be held flat for FY 11-12; however, some
salaries will increase according to the Step pay plan which recognizes employee tenure with small pay
increases each year. The step increase for all applicable staff equals $24,716 (approximately 1%).
Direct and indirect operating costs previously absorbed by the Town of Westlake municipal budget have
been moved to the Academy operating budget. Direct costs totaling $243,213 were transferred in FY
10-11 and indirect costs totaling $303,695 have been transferred in the FY 11-12 budget. The following
table reflects these transfers with the indirect costs included in the FY 11-12 adopted budget.
Figure 3 - Overall Total Cost Summary – General Fund
Estimated
FY 10-11
Proposed
FY 11-12
4,610,062$ 5,334,446$
324,607 -
Subtotal All Operating Costs 4,934,669 5,334,446
1,501,778 1,498,450
Grand Total All Costs 6,436,447$ 6,832,896$
Overall Cost Summary
Proposed Westlake Academy Budget
Estimated Town Funded Indirect Operational Costs (Support Services)
Annual Debt Service Payment
Other Considerations
MULTI-YEAR FINANCIAL FORECAST
The current financial forecast predicts full use of the Academy’s fund balance by FY 14/15. Unless
revenues increase or operating costs are reduced, Westlake Academy’s estimated FY 11-12 General
Fund Balance of $ 653,318 will drop below the 45 operating day threshold established by policy in FY 12-
13.
Figure 4 – Revenues, Expenditures & Fund Balance – General Fund Summary
FY 03/04 FY 04/05 FY 05/06 FY 06/07 FY 07/08 FY 08/09 FY 09/10 FY 10/11 FY 11/12 FY 12/13 FY 13/14 FY 14/15
Revenues 1.09M 1.83M 2.41M 2.88M 3.17M 3.66M 4.28M 4.59M 5.24M 5.19M 5.19M 5.19M
Expenditures 1.07M 1.61M 2.21M 2.62M 3.23M 3.71M 3.92M 4.61M 5.33M 5.44M 5.54M 5.65M
Fund Balance 12K 232K 428K 692K 634K 505K 754K 653K 653K 383K 18K -454682
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WA Programme Growth
(Revenue, Expenditure, Fund Balance)
Historically, revenues and expenditures have increased at relatively the same rate which has dictated the need for a
higher fund balance in order to sustain the 45-day minimum requirement established by Board policy.
PROGRAMS & FACILITIES
Over the past two years, Westlake Academy has expanded its course offerings and curriculum to include
expanded technology classes, theater, environmental sciences and additional foreign languages
(French). These additions have been funded in part by increased student enrollment which has placed
greater demand on existing facilities. In an effort to diminish the effects of this demand, the Board
authorized the lease of three (3) temporary buildings. The total cost for these buildings (3 year lease
plus physical preparation work) is estimated at $181,820; these buildings do not meet the criteria for a
Capital expense and will be paid for out of Westlake Academy’s operational budget (see page 37 for
further discussion).
Financial Summary
The budget is developed within the guidelines predicated by the Texas Education Agency and is
organized into a series of accounts called funds. The total revenue for all funds for the Academy is
estimated at $5,484,842 and total expenditure appropriations amount to $5,575,220 .
The following schedules present a comparison of revenues and expenditures for all Governmental Funds
in the Academy’s Budget. Budgets for the General Fund, the Food Service Fund (a Special revenue Fund)
and the Debt Service Fund must be included in the official district budget (legal or fiscal year basis). The
Academy does not maintain a Food Service Fund or a Debt Service Fund; therefore; the only fund legally
adopted will be the General Fund. For informational purposes only, budgets for Special Revenue Funds
are included throughout the presentation.
Figure 5 – Table: Revenue Summary – All Governmental Funds
Adopted Estimated Proposed Variance
Audited Audited Audited Budget Budget Budget Estimated to
FY 07/08 FY 08/09 FY 09/10 FY 10/11 FY 10/11 FY 11/12 Proposed
General Fund 3,168,968$ 3,661,645$ 4,280,723$ 4,530,013$ 4,590,104$ 5,244,068$ 653,964$
Special Revenue Funds 78,966 96,610 262,926 253,419 291,094 240,774 (50,320)
Total Governmental Funds 3,247,934$ 3,758,255$ 4,543,649$ 4,783,432$ 4,881,198$ 5,484,842$ 603,644$
All Governmental Funds - Total Revenues
Figure 6 – Graph: Revenue Summary – All Governmental Funds
The largest revenue source for Westlake Academy is State Foundation School Program funding which makes up more
than 80% of All Governmental fund revenues.
Figure 7 Table: Expenditure Summary – All Governmental Funds
Adopted Estimated Proposed Variance
Audited Audited Audited Budget Budget Budget Estimated to
FY 07/08 FY 08/09 FY 09/10 FY 10/11 FY 10/11 FY 11/12 Proposed
General Fund 3,226,254$ 3,709,086$ 3,917,886$ 4,425,056$ 4,610,062$ 5,334,446$ 724,384$
Special Revenue Funds 78,966 96,610 262,483 224,768 288,094 240,774 (47,320)
Total Governmental Funds 3,305,220$ 3,805,696$ 4,180,369$ 4,649,824$ 4,898,156$ 5,575,220$ 677,064$
Adopted Estimated Proposed Variance
Audited Audited Audited Budget Budget Budget Estimated to
Expenditures by Object FY 07/08 FY 08/09 FY 09/10 FY 10/11 FY 10/11 FY 11/12 Proposed
61XX - Payroll & Related Items 2,588,528$ 2,779,660$ 3,146,497$ 3,396,645$ 3,478,482$ 3,957,924$ 479,442$
62XX - Contracted Services 468,539 542,003 488,230 641,745 772,441 971,025 198,584
63XX - Supplies & Materials 118,233 260,912 258,991 258,287 301,868 260,447 (41,421)
64XX - Other Operating 129,919 140,131 245,156 353,147 345,365 385,824 40,459
65XX - Debt Service - 82,991 41,495 - - - -
Total Expenditures 3,305,220$ 3,805,696$ 4,180,369$ 4,649,824$ 4,898,156$ 5,575,220$ 677,064$
All Governmental Funds - Total Expenditures
All Governmental Funds - Expenditures by Object Code
Figure 8 – Expenditure Summary – All Governmental Funds
The largest expenditure category is Payroll & Related items which makes up approximately 75% of all Governmental fund
expenditures.
61XX -Payroll &
Related Items
71%62XX -
Contracted
Services
17%
63XX -Supplies &
Materials
5%
64XX -Other
Operating
7%
Expenditures by Object
Budget Trends
GENERAL FUND - STATE FUNDING
Despite a 4% average annual growth rate, the State of Texas continues to lag behind the national
average for per pupil funding, providing $1,000 to $1,500 less per pupil than the national average. Due
to its Charter status, Westlake Academy receives less State funding per student than other non-charter
public schools because public charter schools in the State of Texas do not receive facility funding. The
Academy’s State funding per pupil has declined by approximately $400 per pupil since FY 09-10.
Figure 9 Average Funding per Student
$8,340
$10,586
$7,214
$9,227
$4,809
$7,279
0
2,000
4,000
6,000
8,000
10,000
12,000
2004 2005 2006 2007 2008 2009 2010
Average Funding per Student
National Avg.Texas Westlake Academy
The difference between the amount of Texas State funding and Westlake Academy is the amount dedicated to facilities
funding. Public charter schools in Texas do not receive facility funding.
GENERAL FUND - LOCAL FUNDING
As the student population has grown, the Blacksmith annual program contributions have increased.
However, the average contribution per student has been declining since FY 06-07.
Figure 10 Blacksmith Contributions
The FY 11/12 Blacksmith contributions of $627,000 are based on an estimated per-student average donation of $1,000.
$2
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FY 04/05
actual
FY 05/06
actual
FY 06/07
actual
FY 07/08
actual
FY 08/09
actual
FY 09/10
actual
FY 10/11
estimated
FY 11/12
proposed
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Blacksmith Program Contributions
Service Level Adjustments
This budget makes use of Service Level Adjustments (SLA’s) to track any cost changes. These cost
changes will fall into one of four categories: first, increased operating costs to maintain current levels of
service; second, increased operating costs due to expanded levels of service; third, increased costs due
to the development of new services, and fourth, cost savings. Cost savings may occur for any number of
reasons, but primarily arise due to increased efficiency, service level reductions, or not expending the
budgeted resources.
Generally speaking, Service Level Adjustments (SLA’s) in this budget fall into the category of increased
operating costs for existing programs. Some SLA’s are due to existing program expansion, such as
increasing the number of students in Grades 7 – 11.
In terms of SLA’s involving new expenditure areas to target for recommendation to the Board for FY 11-
12, staff recommended several areas: new positions, employee compensation, and absorbing in-direct
operating costs previously paid by the Town of Westlake. In addition, 50% of the Executive Director of
Westlake Academy Foundation/Director of Development is being absorbed by the Academy.
New Positions Total: $410,289
Desired Outcome: High Student Achievement
In FY 11-12 we will have 67.85 full-time equivalent employees (FTE’s), an increase of 8.4 FTE’s. These
additions are tied directly to the increased number of students being served in the Secondary Program.
• MYP/DP Theater Arts Teacher
• MYP/DP Humanities Teacher
• MYP/DP Math Teacher
• MYP English Teacher
• MYP Student Counselor
• MYP Coordinator
• IT Tech
• Secondary SPED Aide
• Primary SPED Aide
• Technology Integration Specialist
• Maintenance Engineer
• Exec. Dir. WAF/Dir. of Dev.
• Secondary Spanish
In-Direct Operating Costs (previously charged to the Town of Westlake) Total: $303,695
Desired Outcome: Financial Stewardship and Responsibility
In FY 11-12 the Academy will pay the entire in-direct operating costs for administrative services shared
with the Town of Westlake. This includes the Superintendent, Finance Director, Human Resources
Director, Facilities Director, and support personnel. This has been paid by the Town of Westlake from
the inception of the school in 2003. The amount represents $325,000 less the 25% portion of the IT
Tech and the Maintenance Engineer for time allocated to the Town.
Facilities Maintenance and Operations Total: $44,858
Desired Outcome: Financial Stewardship and Sustainability
Increased utilization of the Academy campus will require additional resources for cleaning, maintaining,
and operating. In the upcoming fiscal year, the Academy will begin to renovate existing classrooms to
maintain the current high quality learning environment. In addition, there will be increased utility
consumption and daily operating costs.
Classroom/Instructional Supplies Total: $34,784
Desired Outcome: High Student Achievement – Effective Educators and Staff
With an approximate 20% increase in student enrollment at Westlake Academy, a proportionate
increase in consumable classroom / instructional supplies are needed to maintain the current levels of
service in each classroom.
Employee Compensation and Benefits Total: $24,716
Desired Outcomes: Effective Educators & Staff – High Student Achievement
With over 70% of the Academy’s expenditures being directly related to employee pay and benefits, it is
important that we offer competitive salaries, wages, and benefits to attract and retain a strong faculty
base, even in a difficult economy. Teacher’s pay scale has been maintained at the prior fiscal year’s level
with all faculty and staff receiving a step increase.
Rosetta Stone Total: 15,000
Desired Outcome: High Student Achievement
The Texas Education Agency (TEA) has eliminated the Technology Allotment Grant which was used in
the prior fiscal year to cover the cost of the campus site license for all students, teachers, and staff to
access the full suite of Rosetta Stone products. This product is utilized as both an instructional and
support tool for students to better learn and utilize their foreign language.
Individual Fund Summary
GENERAL FUND
The General Fund is a governmental fund with budgetary control which is used to show transactions
resulting from operations of on-going organizations and activities from a variety of revenue sources.
FY 11-12 Adopted: Revenues = $ 5,244,068 Expenditures =$ 5,334,446
Figure 11 Revenue & Expenditure Comparison – General Fund
Over the last three fiscal years revenues have grown by approximately $1.19 million. Over the same time period,
expenditures have increased by $1.08 million.
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FY 03/04
audited
FY 04/05
audited
FY 05/06
audited
FY 06/07
audited
FY 07/08
audited
FY 08/09
audited
FY 09/10
audited
FY 10/11
estimated
FY 11/12
Proposed
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Revenue & Expenditure Comparison
Revenues Expenditures
SPECIAL REVENUE FUNDS
The Special Revenue Funds are the funds that account for local, state and federally financed programs or
expenditures legally restricted for specified purposes or where unused balances are returned to the
grantor at the close of a specified project period. Some funds that were received in FY 10/11 will not be
recognized until they are expended in FY 11/12 (i.e. funds 484, 485 & 486). The Academy has been very
fortunate to have been awarded several grants from the Hudson Foundation; these grants have
provided much needed resources that directly impact the quality of the Academy’s programmes.
FY 11-12 Adopted: Revenues =$ 240,774 Expenditures =$ 240,774
Figure 12 – Special Revenue Funds Comparison
Estimated Proposed
Special Revenue Funds FY 10/11 FY 11/12
224 IDEA B - Formula 69,097$ 61,541$
225 IDEA B - Preschool - -
266 ARRA Title XIV - SFSF Stimulus 72,136 -
287 Education Jobs - 89,303
397 Advanced Placement Incentives 5,750 4,500
411 Technology Allotment 15,100 -
461 Campus Activities 15,000 12,000
481 Hudson Foundation 69,500 -
482 WAF Fund100 21,836 -
483 Hudson Technology 22,500 -
484 Hudson Teacher Internal Development Program - 35,000
485 Hudson Teacher Create a Grant - 10,000
486 Hudson Teacher Through Higher Level Job Preparation and Mentoring - 28,430
Total Special Revenue Fund 290,919$ 240,774$
Special Revenues have decreased by approximately $30,000 or 13% year-over-year.
Informational Summary
CHANGES IN DEBT
Debt service for the Academy’s capital infrastructure is included in the Town of Westlake’s municipal
budget. The amount of debt outstanding including interest is approximately $30.7 million; this debt will
be retired in 2021. The average annual debt service for Academy facilities paid by the Town of Westlake
is approximately $1,500,000. Discussion of current and future capital projects may be found in the
Organizational Section of this document (see pages 37& 38).
FACILITIES
The Academy was designed and built to service approximately 620 students, with the addition of almost
100 students; the facilities at the Academy are projected to reach full capacity at the beginning of the
current school year. However, curriculum and course schedules play an equally important role in
determining facility use; the IB curriculum places a unique demand on staff and resources. In addition to
the permanent structures on the campus, the lease cost for three temporary buildings was added as a
budget amendment to the FY 10/11 Academy budget. The buildings will be used to support expanded
curriculum offerings in the DP programme. These buildings do not meet the criteria for “capital”
expenses and are paid for from the Academy’s operating budget. The 3 year lease includes a standard
purchase option however, no commitment has been made at this time; the Board is currently discussing
how this and other facility needs will be met in the future.
PERSONNEL TRENDS
The Academy has added personnel each year since its opening to support new grade levels and classes
as well as curriculum expansion. The total number of full time equivalent (FTE) positions filled in FY 10-
11 was 59.45. In FY 11-12 the Academy will add an additional 8.4 FTE positions to support additional
course offerings and class expansions, the total number of FTE positions will increase to 67.85 (see page
84 in the Informational section for a complete list of all positions).
Figure 13 Westlake Academy FTE Staff
18.85
25.15
32.40 36.40
43.00 48.10
55.62 59.45
67.85
-
10.00
20.00
30.00
40.00
50.00
60.00
70.00
80.00
FY 03/04
1-6
FY 04/05
K-7
FY 05/06
K-8
FY 06/07
K-9
FY 07/08
K-10
FY 08/09
K-11
FY 09/10
K-12
FY 10/11
K-12
FY 11/12
K-12
Westlake Academy -Total Staff
Staff levels have increased steadily since the Academy opened in FY 03/04. Including the recently adopted positions, the
Academy has added 12.23 FTE positions since reaching full grade level expansion in FY 09/10.
STUDENT ENROLLMENT TRENDS
Westlake Academy’s student enrollment is established by two sets of boundaries. The primary
boundary encompasses the Town of Westlake and allows Westlake residents automatic entry into
Westlake Academy. The secondary boundaries are comprised of 31 of the surrounding school districts.
While any school-age child from these districts is allowed to attend the Academy, demand for entrance
has exceeded the Academy’s capacity necessitating an annual lottery system that is carried out
according to the standards and practices dictated by Federal law.
Student enrollment has grown since the Academy’s opening in FY 03-04 with the addition of one new
grade level each year. The Academy opened with Grades 1 through 6 and completed adding grade
levels in FY 09-10. The Academy’s enrollment continued to expand in FY 10-11 with an increase in target
class sizes of 20 pupils per class and the addition of a third section in the secondary programme. In FY
11-12 the campus facilities at the Academy are expected to reach full capacity (including the three
portable buildings discussed earlier in this document). Any future growth in student population may
necessitate building or leasing additional space.
Figure 14 Westlake Academy Student Enrollment
195
264
324 346 379 417
491 530
627
0
100
200
300
400
500
600
700
FY 03/04
1-6
FY 04/05
K-7
FY 05/06
K-8
FY 06/07
K-9
FY 07/08
K-10
FY 08/09
K-11
FY 09/10
K-12
FY 10/11
K-12
FY 11/12
K-12
Students
Total enrollment has increased steadily since FY 03/04 in harmony with the expansion of grade levels. The increase from
518 in FY 10/11 to 627 in FY 11/12is due to the Board’s decision to expand class sizes in an effort to increase State-funded
revenues. Future enrollment increases or decreases are at the sole discretion of the Board.
Performance Results
Student performance on the Texas Assessment of Knowledge and Skills (TAKS) test continues to be well
above the State average. The Academy has been recognized as an “exemplary” school for the fifth time
by the Texas Education Agency (TEA). This designation is given to schools that meet all four of the
following criteria:
• TAKS ™ Test Passing – At least 90 percent of all students must pass the TAKS test overall and
each of the test’s five subsections (Reading/ELA, Writing, Social Studies, Mathematics, and
Science). Additionally 90 percent of each ethnic/racial “subgroup” must also pass the overall
test and each subsection
• SDAA II Test Passing - At least 90 percent of all students must pass the State-Developed
Alternative Assessment II (SDAA II) test, which is required for only those students whom the
TAKS test is not an acceptable measurement
• Completion Rate – At least 95 percent of all students as well as 95 percent of each “subgroup”
must either have completed or are continuing their education four years after entering high
school
• Dropout Rate – No more than .2 percent of all students as well as no more than .2 percent of
each “subgroup” can have dropped out of school
This chart shows the Academy’s State mandated TAKS (Texas Assessment of Knowledge and Skills)
results over time by subject area as well as the campus ratings by the Texas Education Agency
(TEA):
Figure 15 Westlake Academy TEA Performance Data
Description FY 03/04 FY 04/05 FY 05/06 FY 06/07 FY 07/08 FY 08/09 FY 09/10 FY 10/11
Reading/ELA 98%98%99%98%99%100%98%99%
Writing 97%97%99%91%93%100%96%99%
Social Studies N/A N/A 99%95%98%100%99%99%
Mathematics 97%91%95%91%93%98%94%96%
Science 93%85%78%88%96%99%99%99%
Texas Accountability Rating Exemplary Recognized Recognized Recognized Exemplary Exemplary Exemplary Exemplary
% Commended 2003 2004 2005 2006 2007 2008 2009 2010
Reading/ELA -62%57%60%61%61%51%56%
Writing -60%54%58%51%34%55%43%
Social Studies ---67%44%53%58%65%
Mathematics -48%45%48%43%44%40%46%
Science -32%30%34%31%45%45%43%
Westlake Academy maintained or improved in each of the five (5) TAKS test categories. The percentage receiving
commended status rose in Reading/ELA, Social Studies and Mathematics and fell in Writing and Science.
In addition to state-mandated testing, as a member of the International Baccalaureate Organization,
Westlake Academy’s students have the option of taking IB tests to earn an IB diploma. In FY 10/11
twenty-nine (29) of Westlake Academy’s thirty-two (32) graduating seniors elected to sit for these
exams; of these, twenty-four (24) will receive IB diplomas.
PARENT SURVEY RESULTS
Westlake Academy is focused on delivering high quality educational services and depends upon the
constant input from stakeholders. Each year Westlake Academy conducts an Annual Parent Survey to
help identify any future needs and to prioritize resource allocation. The FY 2010-11 Westlake Academy
Parent Survey was conducted in June 2011 and achieved significant improvements in satisfaction (>5%)
in thirteen (13) of the nineteen (19) service areas and programs rated.
83% of the parent’s surveyed were very satisfied or satisfied with the overall quality of education Westlake Academy
delivers to its students.
AWARDS
The Association of School Business Officials International (ASBO) presented a Meritorious Budget Award
to Westlake Academy for its Annual Operating Budget for the fiscal year beginning September 1, 2010.
This is the second year the Academy has been honored with this award. Additionally, the Academy
received the Distinguished Budget Presentation Award from the Government Finance Officers
Association (GFOA); representing the third year the Academy has received this award.
These awards represent a significant achievement that reflect the dedication and commitment the
Board of Trustees and staff have given to meeting the highest principles of governmental accounting.
These awards are valid for one year only. We believe our current budget continues to conform to
program requirements, and we are submitting it to ASBO and GFOA to determine its eligibility.
Very Satisfied
41%
Satisfied
42%Dissatisfied
14%
Neutral
3%
Overall Satisfaction with
Quality of Education
SUMMARY
While Westlake Academy continues to operate in an economic climate that presents challenges, it
continues to grow in enrollment and perform at a high level in all areas of our student’s education.
As with last year’s budget, we continue the use of a theme to focus on the essence of what we do as an
organization when we identify and prioritize our resources as we prepare and consider a budget. I
would offer for FY 2011-2012 the theme “Continued Excellence in the Face of Change”. While the
ultimate impact of the State’s budgetary cuts are not yet fully known, it is our collective responsibility to
ensure that despite budget constraints, we continue to look to the future and strive towards the vision
we have established for our school. For Westlake Academy, we expect “Success and Nothing Less”!
On behalf of the staff of Westlake Academy, as well as the municipal staff involved in providing
support to the Academy, I would like to thank the Board for their leadership in pursuing educational
excellence. I would like to recognize Finance Director Debbie Piper for her dedication, hard work, and
diligent thoroughness in putting this budget together. Also, the Academy’s Leadership Team,
particularly Administrative Coordinator Ben Nibarger and Management & Budget Intern Scott Dixon,
are to be commended for their involvement and input into this document.
A team is required if a school is to be successful as a learning community. And, that team must
involve and consist of all the various facets of Westlake Academy; our faculty, administrators, parents,
students, and the Board. Working as a team we can build our Westlake Academy learning community
in a way that will make our students responsible global citizens in the twenty first century global
market place in which they will live and work.
Thomas E. Brymer
Town Manager/Superintendent Westlake Academy
Staff theme for the Westlake Academy FY 2011-2012 Budget:
““SS uu cc cc ee ss ss ,, NN oo tt hh ii nn gg LL ee ss ss ””
FUTURE BOARD DIRECTION AND FINANCIAL FORECAST
The Board, at its June 18, 2010 planning retreat, directed staff to include the following in FY 2010-2011:
• Add all Academy related direct operating costs, previously in the municipal budget, into the
Academy’s operating budget
• Increase class size to an average of twenty (20)
Beginning in FY 2011-2012 the Board directed:
• Move all indirect Academy operating costs now expensed in the municipal budget to the
Academy operating budget.
• Budget Blacksmith funding at $1,000 per student
The following financial forecast was created to reflect these directives and supply the Board with a
conservative estimate of how these decisions will affect future revenues. The key assumptions used to
calculate future revenues are listed below.
This five year forecast indicates that once conservative estimates for expenditures and revenues have
been calculated; there will be a budget shortfall in future years.
FORECAST ASSUMPTIONS
Basic Assumptions:
• 18 students per class in Kindergarten
• 20 students per class in G1-G6
• 20 students per section in G7-G10
• Average Daily Attendance rate of 97%
Revenues:
• 100% use of Blacksmith ($1,000/student)
• 5% & 8% reduction in FSP funding
• 3% annual growth in FSP funding beginning FY 15/16
Expenditure:
• Personnel costs & Professional Services increase by 2% annually
• Supplies increase by 1 ½% annually
• Other operating costs increase by 1% annually
Figure 16 – Five (5) Year Forecast
Audited Estimated Proposed Projected Projected Projected Projected
FY 09/10 FY 10/11 FY 11/12 FY 12/13 FY 13/14 FY 14/15 FY 15/16
GENERAL FUND BEG. BALANCE $ 504,653 $ 767,490 760,220$ $ 657,002 $ 397,690 $ 32,810 $ (439,844)
REVENUES
Local Revenues
WAF Salary Reimbursement 59,056 64,858 31,662 32,295 32,941 33,600 34,272
Other Local Revenue 42,287 4,316 15,000 15,450 15,914 16,391 16,883
WAF Blacksmith 431,409 530,000 627,000 630,000 629,000 628,000 625,000
Interest Earned 908 1,700 1,500 1,520 1,314 795 66
Food Services - 3,000 3,000 3,090 3,183 3,278 3,377
Donations 10,500 38,950 - - - - -
Athletic Activities 67,200 20,036 37,980 37,800 37,740 37,680 37,500
Transportation/Parking - 7,106 37,840 38,597 39,369 40,156 40,959
Total Local Revenues 611,360 669,967 753,982 758,752 759,460 759,901 758,056
State Revenue
TEA - FSP Funds 3,485,909 3,748,836 4,281,649 4,200,605 4,193,937 4,187,270 4,292,285
TRS On-behalf/Medicare Part B 183,454 171,301 208,437 230,851 235,468 240,178 244,981
Total State Revenues 3,669,363 3,920,137 4,490,086 4,431,456 4,429,406 4,427,447 4,537,266
TOTAL REVENUES 4,280,723 4,590,104 5,244,068 5,190,209 5,188,866 5,187,348 5,295,322
EXPENDITURES
Object Code 61XX - Salaries 2,951,964 3,337,074 3,772,080 3,847,521 3,924,472 4,002,961 4,083,020
Object Code 62XX - Prof. Contracted Services 480,955 739,694 962,025 981,266 1,000,891 1,020,909 1,041,327
Object Code 63XX - Supplies & Materials 244,945 283,805 258,447 262,324 266,259 270,252 274,306
Object Code 64XX - Other Operating Costs 198,527 249,489 341,894 345,313 348,766 352,254 355,776
Object Code 65XX - Debt Service 41,495 - - - - - -
Object Code 66XX - Capital Assets - - - - - - -
TOTAL EXPENDITURES 3,917,886 4,610,062 5,334,446 5,436,424 5,540,387 5,646,376 5,754,430
OTHER RESOURCES/USES
Other Resources - 654,042 36,967 37,706 38,460 39,230 40,014
Other Uses 100,000 641,354 49,807 50,803 51,819 52,856 53,913
Excess Revenues Over (Under) Expenditures 262,837 (7,270) (103,218) (259,312) (364,880) (472,654) (473,006)
GENERAL FUND ENDING BALANCE 767,490 760,220 657,002 397,690 32,810 (439,844) (912,851)
Assigned - Technology/FFE - 100,000 - - - - -
Assigned - Uniform/Equipment Replacement 13,718 7,366 3,684 14,838 14,838 14,838 14,838
Assigned - Facility Maintenance/FFE - - - - - - -
ENDING FUND BALANCE (Unassigned)753,772 652,854 653,318 382,852 17,972 (454,682) (927,689)
# of Operating Days (365)70 52 45 26 1 (29) (59)
Westlake Academy - General Fund
Five Year Financial Forecast - FY 2011-12 thru FY 2015-16