HYPOTHETICAL

 EDUCATION  CONSULTING,  INC.  

Shelly Schantz, Consultant

April 15, 2018

Dear Dr. Outlaw,

At your request, I have been examining financial documents and interviewing members
of the Brandon School District in regards to budgetary decisions. I understand your district’s
desire to maintain and improve programs while maintaining or improving the financial health of
the district. Outlined below are my observations and recommendations of Brandon’s process as
well as suggested areas for consideration.

Budget Development Process:

I met with Jan Meeks, business manager, who prepares the budget recommendations in
consultation with the superintendent- she “crunches the numbers” and makes recommendations
to the superintendent that will save the district money while not hurting the students. The budget
is presented to the Board of Education for discussion and approval. The district makes
conservative assumptions based on enrollment trends and projected revenue. The conservative
manner in which these assumptions are made contribute to the accuracy of the proposed and
actual budget. Declining enrollment is a huge factor in necessary cuts the district has to make to
its budget each year.

The superintendent and business manager look for areas where expenditures can be
reduced due to declining funding. They thoroughly examine the needs of each building in
regards to teaching staff needed. Building principals contribute to the discussion about the needs
of their buildings, staff, and students. The ultimate budget recommendation rest on the
superintendent.

The district is currently looking into saving costs through contracting out transportation
services. As seen at a board meeting, this is not being very well received by community
members. While the board has not made a decision on this, it’s a necessary investigation.
 Community Members, Staff, and Stakeholders

The district places the budget and amended budgets on its website under the
Transparency Reporting link in accordance with state reporting regulations. In addition, I found
that the budget recommendations for the current (and then upcoming) school year are simplified
in a presentation for stakeholders. The simplified version provides a brief overview of changes
being made in terms that community members can understand, including highlights of the
changes. Board of Education meetings are public and present budget information. Citizens have
the opportunity to comment at board meetings as well. Other than attending board meetings, I
did not find an easy way for community members to access financial documents if they did not
have internet access. It may be helpful to publicize where these documents can be accessed in
non-electronic form.

District Priorities and Needs

While cuts have been made to improve the financial health of the district, investments are
also considered and included that will help the district reach its goal of being in the top 25% by
the year 2025. Examples include: maintaining reasonable class sizes, introduction of Project
Lead the Way to K-5 for the current year-with plans to expand it to middle school next year,
accelerated learning starting in 4th grade. It is evident that the Brandon School District is putting
forth a valiant effort to balance cuts with investments in students.

The majority of the operating budget is allocated for instruction expenditures, with
57.03% of the budget allocated for the 2016-17 fiscal year, with an additional 4.00% for
instructional staff supports (brandonschooldistrict.org).

Operating Expenditures (2016-17 Fiscal Year)

Instructional 57.03% School Administration 6.11%
Pupil Support Services 5.87% Business Services 1.95%
Instructional Staff Support 4.00% Operations and 10.39%
Services Maintenance
General Administration 1.69% Transportation 5.82%
 I met with Diane Zedan, Special Education Director, on March 5, 2018. Ms. Zedan’s
area of expertise is clearly service to students. She is knowledgeable of the laws and regulations
pertaining to special education. She puts the students’ needs in front of budgetary
considerations. I suggest that there be careful analysis of the needs of current special education
students when setting the special education budget for the upcoming school year. A careful look
at what the current students needed and project what their needs will be in the future, as well as
adding in amounts for new students. This will give Ms. Zedan a better idea of the budget for
special education based on needs.

The district is proactive in planning for the physical needs of its buildings. Funds have
been assigned for several capital projects. The fund balance includes funds designated for water
treatment. I attended a board meeting where there was discussion and plans being made to
assess roofing needs at Harvey Swanson Elementary School. While these expenses may have
been unexpected, they are addressed in a professional manner.

Efficiency and Quality of Auxiliary Services

Two auxiliary service area were looked at during my study. Food services and
transportation services are summarized below.

Food services runs with a surplus of funds. On March 13, I met with the food services
director, Suzanne Evenson. She stated, “Food services is completely self-funded, covering the
costs of my payroll and expenses, in fact we have money left over.” During the conversation, I
learned that there is little food waste due to the fact that there is a central location for
preparation. Food services contributes to the general fund any surplus. Food services is helping
to improve kitchen and dining facilities as allowable by law. I suggest strategic planning of
improvements that fall within the capability of food services to avoid spending for the sake
spending.

Members of the Transportation department spoke at a board meeting, one member stated
that the department has streamlined and made cuts and changes to the bus routes which cut
expenditures. The board is currently looking into whether or not outsourcing transportation
could reduce costs while providing quality service to students. While this is not being accepted
very positively with the community, it is necessary to investigate the options.
 Facility Usage

The decision to close two buildings indicates a more efficient use of facilities. The
district made a difficult decision to close two buildings (the intermediate school and an academy)
which put the district in a better position financially. The closing of the buildings allows the
opportunity to invest in quality programming for students. Recent Investment in programs
include Project Lead the Way and Next Generation Science training for teachers of science.

Oakwood is at its classroom capacity as designed. Most grade levels (k-5) consist of 3
sections. This year, there are 2.5 sections of 3rd and 4th grades and a Junior Kindergarten
classroom. When the split half sections are eliminated, Oakwood will be one classroom short.
Consider allocating funding for renovating spaces for growth (computer lab renovation as a
classroom space, portable walls in the hallway for small group instruction rooms, creative
options for shared spaces).

Space within the iTec center is underutilized. The center is currently used mainly for
professional development of teachers, board meetings, and some school activities. It houses
technology personnel offices. There is some after school use of the center but this space seems
to be space that should be used for student learning on a regular basis.

Recommendations

Increasing revenue by increasing the population serviced:

The district should consider rebranding the preschool program. Include summer child
care of both preschoolers and school age students. More parents would continue the program in
the summer and it gives local families to choose Brandon for their day care/ preschool needs.
Pay child care providers on a different scale… school age workers could be classified as seasonal
in the summer. Minimum class sizes would need to be obtained in order for the program to
make financial sense. Look into infant care as a possible addition to the program. In order for
this to work the most effectively, preschool academy programs would need to be restructured to
half day preschool programs (running 2 sessions a day, with child care available during the off
session for an increased charge). This would create additional opportunities, a decrease in
Brandon Academy preschool union teachers as the child care provider could be classified as
support staff. With the increase in program needs, a child care director would need to be added
or restructured as a stipend to one of its teachers. Also look into accepting state child care
supplemental payments for qualified families. By allowing families to take advantage of the
state payments, more students would be exposed to quality child care in the district.

Consider expanding the virtual academy. According to Brian Moore, there are about 50
(K-12) students currently enrolled in the virtual academy. While I do not advocate for fully
online learning for elementary students, google classroom is being used in several classrooms
and can be utilized for more blended learning opportunities at an earlier age. Use Brandon’s
own teachers to teach the courses- pay them a stipend for the addition of teaching online
students. These could be additional electives as well as math, science, and social studies at the
elementary level. Fully online courses, as outlined on the website… could be marketed to
families. The BOE would have to revisit its policy on previous school year enrollment in a
Michigan school if it wants to capitalize on the homeschool community. This could also be an
opportunity for teachers to teach “out of house” in their own environment. It hits the homeschool
community and homebound students. Allows for larger class sizes per teacher. Aggressive
marking of this program could double its size which could potentially offset declining
enrollment.

Increasing revenue by using existing space to generate revenue:

As stated above, the iTec center is underutilized. Consider marketing this space to
colleges and universities as satellite sites for courses. The rental fees could be reinvested into the
general fund, creating revenue that will benefit the bottom line. Also consider innovative
programs that the district could run in this space, such as a meeting place for blended learning
courses at all levels, STEM programs, or Project Lead the Way at the Middle School.
Incorporating better use of the iTec would also increase the community’s confidence in bond
funding, as the community funded with a bond.

Investing in programs:

In 2013, the school district invested in students with the purchase of math curriculum for
K-5, and middle school students. The math curriculum supports the vision of the district to
increase student achievement and reach the top 25% in test scores. The scores in math have
increased and concepts are introduced systematically and scores up by about 10 percentile points
since its purchase. The district does not have a coherent, systematic reading program. I
recommend that the district begin the process of evaluating reading programs for the purpose of
investing in student learning and increase performance on testing. Increased test scores
ultimately will bring Brandon to the forefront of education.

Other cost- saving considerations:

Consider the elimination of curriculum directors. Utilize teacher leaders to act as

curriculum chairpersons- pay these individuals a stipend and give them release time during
school, or paid out of school hours to meet the responsibilities and to meet as a group for
planning. This is a much cheaper way to have curriculum experts in the field and to share
information with others.

Conclusions

The business manager and the superintendent work together to present a budget that is in
the best interest of students and the financial health of the district. The Brandon School District
provides a lot of value in education based on the funding that it receives. Careful consideration
is given to cost cutting measures. Investments in the education of students seem to be intended
to balance out cuts. By considering the recommendations set forth in this report, the district can
potentially offset the effects of declining enrollment and increase the quality of education for the
students.
 References

Brandon School District (2017, October 23). Budget Transparency Report: Operating

Expenditures. Retrieved from:

http://www.brandonschooldistrict.org/images/departments/pupil-services/2017-

2018/2016-17_Operating_Expenditures.pdf

Brandon School District (2017, December 18). Brandon School District Amended Budget: Fiscal

Year 2017-18. Retrieved from:

http://www.brandonschooldistrict.org/images/departments/pupil-services/2017-

2018/2016-17_Operating_Expenditures.pdf

Plante & Moran (2017, June 30) Brandon School District: Financial Report with

Supplemental Information. Retrieved from:

http://www.brandonschooldistrict.org/images/departments/pupil-services/2017-

2018/2016-17_FINANCIAL_STATEMENTS.pdf