Readout of Most Significant Variables
VariableComments and/or Conventional Estimate
EnrollmentMany opportunities for variation. Kindergarten enrollment higher than projected.Very conservative estimates in elementary20J FundsSome discussion of a 50% restoration, but unlikely. Budget assumes no restorationand thus a permanentloss of roughly $1.6MM in state revenue.FoundationAllowanceSchool Aid Fund surplus would indicate lower potential for further reduction for2010-11. We have budgeted for no change, but they are always possibleState Retirement(MPSERS)RateGov.
estimate (used in Drafts 1-4) is probably highend (19.41%).
version has lower rate, but would be offset by state aid reductionState Fund EquityLegislationAproposal limits Fund Equity to 15%. Low likelihood of passage of this billState RetirementIncentiveApproved by state legislature. High volumeof retirees have had positive effect onbudgetHealth CareMore precisebudgeting methodology for 2010-11, but as a self-funded plan wealways carry risk of cost over runsGPPSS UnionContractsNewagreements reached with teachers and building administrators. We remain innegotiations with secretaries, classroom assistants and plant workers.UnemploymentCostsRetirementincentives (both state and local) have allowed us to reduce nearly$700,000 in previously budgeted unemployment expense