Education Finance for School Leaders : Strategic Planning and Administration

PART 1 Financing Public Education 1(68) 1 Introduction to School Finance for School Leaders 3(16) National Call for Accountability 4(1) School Leaders and the Strategic Financial Plan 5(1) The Development of Public School Finance in the United States 6(2) After the Revolution 7(1) The 20th Century 7(1) Emerging Developments for School Finance and the 21st Century 8(3) Accounting 9(1) Charter Schools 9(1) Magnet or Choice Schools 10(1) Privatization 10(1) Vouchers 10(1) Open Systems 10(1) Site-Based Units 11(1) Public Policy 11(3) Tactics of Policy Making 13(1) Final Thoughts 14(1) Discussion Questions 15(1) Application Problems 15(1) Web Addresses 15(1) References 16(3) 2 Economics and Education: A Synergistic Relationship 19(18) The Relationship Between Education and Economics 19(3) The Interactions 20(1) Symbiosis and Synergism 21(1) Economics 22(4) Productivity and Education 26(1) Monitoring Economic Indicators 27(2) Discount Rate 28(1) Reserve Requirement 28(1) Open Market 28(1) Money and Education 29(2) The Multiplier Effect 29(2) Final Thoughts 31(1) Discussion Questions 32(1) Application Problems 32(1) Web Addresses 33(1) References 33(4) 3 Revenue, Income, and Fiduciary Money: The Base for Financial Planning 37(16) Revenue Receipts: Local, State, and Federal Governments 38(2) The Four Tax Groups 40(2) Income Tax 40(1) Wealth Tax 40(1) Sales and Excise Taxes 41(1) Privilege Tax 42(1) Criteria for Evaluating Taxes 42(2) Yield 42(1) Elasticity 42(1) Equity 43(1) Incidence/Impact 43(1) Progressive, Proportional, Regressive 43(1) Cost 44(1) Analysis of the Four Tax Groups 44(4) Income Tax 44(1) Wealth Tax 45(2) Sales Tax 47(1) Privilege Tax 47(1) Bond Revenue 48(1) Income 48(1) Lottery 49(1) Fiduciary Receipts 49(1) Final Thoughts 50(1) Discussion Questions 50(1) Application Problems 51(1) Web Addresses 51(1) References 51(1) Answers to Application Problems 52(1) 4 Financing Educational Equality: Access, Treatment, and Outcomes 53(16) Introduction to Educational Access, Treatment, and Outcomes 54(1) The Struggle for a National Public Education Policy 55(1) Establishing a Legal Foundation for Equal Access 56(1) Legal Actions to Promote Access 57(1) Legal Arguments for Equal Treatment 58(1) Illustration 58(1) Three Hallmark Legal Decisions 59(1) Follow-Ups on the Hallmark Decisions 60(1) The Legal Call for Equal Outcomes in New Jersey 61(1) Horizontal and Vertical Equity 61(1) Development of Federal Financial Support for Education 62(1) Categories of State and Federal Financial Aid 63(1) Unrestricted Grants 64(1) Restricted Grants 64(1) SEAS and LEAs 64(1) Final Thoughts 65(1) Discussion Questions 65(1) Application Problems 66(1) Web Addresses 66(1) References 66(3) PART 2 Constructing a Strategic Financial Plan 69(70) 5 The Components of a Strategic Financial Plan 71(22) Preparation of a School District's Strategic Financial Plan 72(5) Mission 74(1) Goals 75(1) Objectives 75(1) Programs, Services, and Activities 76(1) Program Targets: Outcomes and Outputs 76(1) The Creation of Government Budget Policy 77(2) The Origin of Public Budgets 77(1) Budgets and the Constitution 78(1) Methods of Budgeting 79(4) Line-Item Budgeting 79(1) Program Budgeting, PPBS, and ZBB 80(1) Performance Budgeting 81(1) Strategic Budgeting 82(1) Strategic Budget System 83(1) Decentralization of School District Budgets 84(1) Budget Calendar 85(1) Preparation of Site-Based Plans 85(2) Optional Plans 87(1) Site-Based Benchmark Reviews 87(1) Final Thoughts 88(1) Discussion Questions 89(1) Application Problems 89(1) Clinical Practicum Exercises 89(1) Web Addresses 90(1) References 90(3) 6 The Financial Framework for a School District 93(14) Accounting Fund Categories 94(1) Names and Purposes of Accounting Funds 94(2) An Illustration of Fund Operations 96(2) Building Blocks for the Financial Framework 98(1) Putting the Financial Framework into the Management Structure 99(2) Extending the Financial Operating Structure to Site-Based Units 101(1) Final Thoughts 102(1) Discussion Questions 103(1) Application Problems 103(1) Clinical Practicum Exercises 104(1) Web Addresses 104(1) References 104(1) Answers to Application Problems 105(2) 7 Contents and Process of the Accounting System 107(18) What Is Double Entry Accounting? 107(1) The Development of Governmental Accounting Principles 108(2) Using the Computer to Run the Double Entry Accounting System 110(2) Computer Illustration 110(2) Accounts Used by the Accounting System 112(1) Real Accounts 112(1) Nominal Accounts 112(1) Encumbering Money 113(1) Contra Accounts 114(1) The Double Entry Formula 114(1) Account Numbers 115(1) Overview of the Accounting Process 115(2) Linking the Accounting and Budgeting Systems 117(2) Closing the Books 119(2) Accrual Adjustments 119(1) Capital Assets and Depreciation 120(1) Inventory: Resale and Consumption 121(1) Final Thoughts 121(1) Discussion Questions 122(1) Application Problems 122(1) Clinical Practicum Exercises 123(1) Web Addresses 123(1) References 123(1) Answers to Problems in the Text 124(1) Answers to Application Problems 124(1) 8 Contents and Process of the Budgeting System 125(14) Budget Numbering Format 126(1) Revenue Budget Numbers 127(1) Controlling Revenue Receipts 128(1) Fidelity Bonds 129(1) Expenditure Budget Numbers 129(2) Program Budget Numbers 129(1) Function Budget Numbers 130(1) Object Budget Numbers 130(1) Site-Based Budget Numbers 131(1) Controlling the Disbursement of Money 131(2) Expenditure Forms 133(1) Final Thoughts 133(1) Discussion Questions 134(1) Application Problems 135(1) Clinical Practicum Exercises 135(1) Web Addresses 136(1) References 136(1) Answers to Problems in the Text 136(1) Answers to Application Problems 137(2) PART 3 Preparing and Administering Site-Based and District Plans 139(78) 9 Preparation and Administration of Instructional Strategic Financial Plans 141(18) An Overview of the Process and Site-Based Agenda 142(1) Sources of Instructional Revenue 143(2) The Major Revenue Source: The Property Tax Levy 144(1) Presenting the District Budget to the Public 145(3) Placing the Budgets into Operation 148(5) Monitoring Revenues 148(1) Monitoring the Budget Plan 149(2) Personnel Salaries: Allocation and Turnover 151(2) Administering the Strategic Financial Plan 153(1) Meeting Benchmark Targets 153(1) Controlling and Fine-Tuning the Budget 153(1) Final Thoughts 154(1) Discussion Questions 155(1) Application Problems 156(1) Clinical Practicum Exercises 156(1) Web Addresses 157(1) References 157(1) Answers to Application Problems 158(1) 10 Financing School Facility Projects 159(18) Overview of the Process 160(1) Low-Wealth Districts 161(1) Bond Financing 161(2) The Sale of Bonds 161(1) Bond Bids 162(1) Making a Bid 162(1) Factors Influencing Bond Bids 163(4) Present Value 163(2) Taxes 165(1) Bond Ratings and Risk 166(1) Bond Classifications 167(1) Bond Ownership 167(1) Professional Services for the Sale of a Bond Issue 167(2) Financial Advisor 168(1) Bond Counsel 168(1) Bond Underwriters 168(1) Fiscal Agent 169(1) Preparing a Financial Plan 169(1) Arbitrage 170(1) The Tax Levy for the Debt Fund 170(2) Short-Term Loans 171(1) Surplus 171(1) Bond Recall 171(1) Working with the Accounting Funds 172(1) Lease-Purchase Agreements 172(1) Final Thoughts 173(1) Discussion Questions 174(1) Application Problems 175(1) Clinical Practicum Exercises 175(1) References 175(1) Answers to Application Problems 176(1) 11 Financing Noninstructional Operations 177(18) Overview of Financial Planning for Proprietary Operations 179(1) Financial Planning: Fiduciary Trusts and Donations 180(1) Revenues for Noninstructional Operations 181(1) Reading Financial Reports of Proprietary Operations 181(2) Reading Financial Reports of Fiduciary Operations 183(1) Strategic Business Plans for Proprietary Operations 184(2) Financial Plans for Fiduciary Trusts 186(1) The Administration of Noninstructional Financial Operations 186(4) Administering Enterprise Operations 187(1) Administering Internal Service Operations 188(1) Administering Trust and Agency Funds 189(1) Monitoring Payroll 189(1) Final Thoughts 190(1) Discussion Questions 191(1) Application Problems 192(1) Clinical Practicum Exercises 192(1) Web Addresses 193(1) References 193(1) Answers to Application Problems 193(2) 12 Financial Reports, Performance Assessments, and Accountability 195(22) What Are Costs? 196(1) The Annual Financial Reports 197(1) Revenue and Expenditure Reports: Government Funds 197(3) The Combined Statement 199(1) Receipt and Expense/Disbursement Reports: Nongovernment Funds 200(1) Effectiveness and Efficiency Assessments 201(2) Effectiveness Assessments 202(1) Efficiency Assessments 202(1) Conducting Cost Assessments 203(2) Horizontal and Vertical Cost Assessments 204(1) Basic Types of Cost Reviews 204(1) Budget Blueprints 205(1) An Illustration of Studies on Cost-Effectiveness and Efficiency 206(3) Cost-Effectiveness Studies 207(1) Cost-Efficiency Studies 208(1) Final Thoughts 209(2) Discussion Questions 211(1) Application Problems 211(2) Clinical Practicum Exercises 213(2) Web Addresses 215(1) References 215(1) Answers to Problems in the Text 216(1) Answers to Application Problems 216(1) Resources 217(44) A Chart of Accounts 217(4) B Set of Accounting Funds for a School District 221(2) C Revenue Budget Numbers and Sources 223(4) D Expenditure Numbers: Program 227(4) E Expenditure Numbers: Function 231(4) F Expenditure Numbers: Object 235(2) G Revenue Numbers: General Fund 237(2) H Revenue Numbers: Special Revenue Fund 239(2) I Revenue Numbers: Capital Projects Fund 241(2) J Revenue Numbers: Debt Service Fund 243(2) K Revenue Numbers: Enterprise Funds 245(2) L Revenue Numbers: Internal Service Funds 247(2) M Revenue Numbers: Fiduciary Funds 249(2) N General Fund: Statement of Revenues, Expenditures, and Changes in Fund Balance 251(8) O Combined Statement of Revenues, Expenditures, and Changes in Fund Balance 259(2) Glossary 261(6) Name Index 267(2) Subject Index 269