September 1, 2004

TO THE ADMINISTRATOR ADDRESSED:

Subject: Updated 2004-2005 Summary of Finances

An updated preliminary Summary of Finances (SOF) and other related reports for the 2004-2005 school year have been loaded to the TEA web site at Please note the following concerning these reports:

  • Payment Schedule-A payment schedule for the year (September 2004 through August 2005) based on the LPE side of the SOF is updated to our web site. Payments for the Existing Debt Allotment (EDA) and the Instructional Facilities Allotment (IFA) are being made separately in September. The payment for the technology allotment will be made in a lump sum in January 2005.
  • Property Value Adjustment for Tuition Cost- If the district’s highest grade taught is less than 12 and pays tuition to another district for the education of those students whose grades are not taught, the district may receive a property value adjustment that equates to the amount of taxable value that would be necessary to pay for the tuition cost at a $1.50 tax rate. In order to receive this adjustment, it will be necessary to submit the number of students for which tuition is being paid, the amount of tuition per student being paid, and the name(s) of the district(s) providing the education. If tuition is based on the prior-year amount, a copy of the agreement between the two districts must also be submitted.
  • EDA- The yield for newly-eligible EDA bonds will be maintained at $35. This EDA allocation will be recalculated if any changes occur for the Debt Service Payment on line 5 of this report.
  • FoundationSchool Program Payment Ledgers-Payment ledgers for the 2003-04 and 2004-05 school years are also updated to our web site for your information. If the district was overpaid for the 2003-04 school year, the 2004-05 payment ledger will reflect the adjustment under the Prior Year Adjustments column.
  • Pre-K Grant, AdditionalState Aid for School Employee Benefit (ASA), and New Instructional Facilities Allotment -These allocations are reflected in this SOF.
  • 2004-2005 Per Capita Rate- An estimated rate of $375 has now been used in this summary to determine the portion of the district’s total state aid that will be paid from the Available School Fund. The actual rate will be determined this summer, and may differ from the preliminary estimate.
  • Transportation Allocation- The district’s 2003-04 transportation allotment as calculated from the data submitted on the 2003-04 Route Services Report is used on this 2004-05 SOF.
  • Optional Extended Year (OEY) – There is no OEY allocation for the 2004-05 school year in the Summary of Finances. The payment of OptionalExtended Year grants will be handled by the Division of Formula Funding through the TGIF system. Should you have questions, contact Rebecca Pattersonat (512) 463-8525 for this matter.

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As always, school districts are strongly advised to project state aid based on the best available information. Each district should complete the 2004-05 state aid template or equivalent state aid estimation process. Estimation of state aid earned can be significantly impacted by factors not known to State Funding. If you have any questions concerning these reports, please contact us at (512) 463-9238.

Sincerely,

Joe Wisnoski, Deputy Associate Commissioner

For School Finance and Fiscal Analysis