MCCPTA Operating Budget Committee

Operating Budget Process

Operating Budget: It's that time of year again.

  • FY 2007 Operating Budget Summary
  • MCCPTA Operating Budget Compact FY2007
  • Alignment FY 2007 Compact with Budget (draft)
  • Operating Budget Q and A, January 5, 2006
  • MCPS Responses to Budget Questions, January 24, 2006 (PDF files)
    1. Responses, part 1
    2. Responses, part 2
    3. Responses, part 3
    4. Responses, part 4
  • Committee Update, March 10, 2006: The county executive will release his operating budget on March 15th. We have heard from several sources that he will propose full funding for the MCPS operating budget including the amendments (Poolesville magnet, FDK acceleration, translators, etc.)  except for the $17 million geographic cost of education index (GCEI) that Montgomery County believes should be included in the state Thorton funding.  Neither the executive nor the council will propose making up this shortfall until after the state legislative session has ended this spring.  Most likely, the council will then find the money to make up for the $17 million gap. Operating budget testimony will likely be in early April before spring
    break.
  • Testimony to County Council on FY 2007 Operating Budget, April 5, 2006

 

Operating Budget Testimony, Resolutions

 

BASIC BUDGET INFORMATION FOR MCCPTA DELEGATES, PARENTS AND OTHER INTERESTED PERSONS

 

 

            MCPS is a county-wide school district, this is unlike the situation in many other States where each town or village has its own school system. The MCPS budget is divided into Operating and Capital.

 

 

 

            The Capital Budget covers the buildings grounds and facilities, basically the infrastructure. Close to 90% of the Operating Budget goes to salaries and benefits since all capital expenditures are paid-for out of a different budget and the service provided by MCPS is labor intensive: the product is teaching students, providing support services associated with teaching as well as feeding and transporting students, protecting the health and safety of students and overseeing those services.  Salaries and benefits are determined by collective bargaining and other negotiations between MCPS and various employee unions and associations.

 

 

            MCPS is primarily funded out of the County budget which is also divided into Operating and Capital budgets. The County Operating Budget is comprised of revenue from a number of sources: 30%--property taxes, 27%--income taxes, 19%--other taxes and fees, 18%--State and Federal governments, 7% -- reserves carryover from the prior year. MCPS receives about $230 million in State Funds ($7.6 million in new funding was added for this year based on the new education funding law passed last Spring); and only $40 million comes from the Federal Government.  The County is the source of about 79% of the MCPS Operating Budget; other sources are as follows: State aid and grants-14%, Federal grants-3%, enterprise funds-3%, fees and other sources-1%.   

 

 

            Growth in the MCPS budget is constrained by the County Charter’s Spending Affordability Guidelines which limit the annual percentage increases in the County’s Operating Budgets; to exceed the SAG level of funding requires a super-majority vote of County Council.

 

 

            Montgomery County is required by the State to fund schools at  a “maintenance of effort” level, but that is merely dollars per student. It does not account for effects of increases in costs for salaries and benefits.  Nor does it account for relatively higher growth in high per pupil cost programs, unfunded State and Federal mandates and increased expenditures connected with implementation of new technology (software, training and upkeep). 

 

 

            MCPS has been one of the fastest growing school systems in the Country over the last decade. We also have a far more diverse school population than in the past. Our County has the highest percentage of students for whom English is a second language in the State. The percentage of students receiving free meals and reduced cost meals is much higher than it once was.

 

 

            The Budget process typically is as follows: the Superintendent offers a proposal in the Fall, the Board of Education hears testimony from the public in January and votes on a proposed budget in March, the County Executive submits am overall Operating Budget request in March, the County Council holds hearings in April and adopts a final budget in May.

 

 

Last Updated on April 5, 2006