Artifact 3

Running head: WBSD: BUDGET COMMUNICATION ANALYSIS

West Bloomfield School District:

Budget Communication Analysis
Thomas R. DeGrand
Oakland University
EA 741- Dr. Klein
April 4, 2016

WBSD: BUDGET COMMUNICATION ANALYSIS

West Bloomfield School District: Budget Communication Analysis

Numbers! Lots of numbers! This is the thought that must cross the minds of many
community members in West Bloomfield as they attempt to plow through the budget report for
the school district. Even I, as a teacher in the district, found our budget report to be somewhat
overwhelminginformation overload. So what better report to analyze than that? While
studying the report, I aimed at gaining a better understanding for how our school district
communicates to its stakeholders the extremely vital information known as...money! How much
do we receive? How much do we spend? On what do we spend it? The questions so many
people long to know but struggle to find out.
While completing this analysis, I used two separate reports. I looked at the 2015-2016
Approved Budget Report that is accessible via the school district website. I also looked at the
2016-2017 Preliminary Budget Overview Report that was recently presented to all
administrators. This report has not been released to the public yet, nor any other employee group
outside of the administrators. Both reports are essentially the same, but for different fiscal years.
Therefore, I will analyze them mostly as one. My analysis of the budget report will include five
key elements: 1. how the report is communicated to all stakeholders; 2. reflection on the
information presented; 3. reflection on the visuals used to increase understanding; 4. reflection
on the effectiveness in providing information and budget priorities; 5. suggestions for
improvement.
How the Budget Report is Communicated
Starting with staff members, the budget report is communicated in multiple ways. Staff
always has access to the transparency report on the districts website. In addition, the staff can
attend public board meetings to get informed on budgetary decisions. Also, in past years, the

WBSD: BUDGET COMMUNICATION ANALYSIS

business manager and human resource director have done school visits to give out budget
information to staff members at individual schools. Lastly, our new human resource director
sends out monthly updates that include financial information regarding guest teacher usage.
While the staff members have these four avenues for obtaining budget information, it is
ultimately up to each person to seek it out in order to become knowledgeable. Unfortunately, my
assumption is that the majority of staff members know very little about the finances of the
district because they dont take the time to find out. Could central office devise a different
method that would ensure more engagement from the staff?
How do administrators get the information? This group is a little more up close and
personal with the district budget. From August through January, periodic budget presentations
occur at Ad Council to update current spending and the level of fund equity. In January, a more
extensive, detailed PowerPoint presentation is presented showing current spending with some
projections regarding anticipated foundation allowance, retirement costs, and enrollment. In
March, the Assistant Superintendent for Business and Operations provides a large binder to the
administrators at Ad Council that contains the upcoming years budget report. Suggestions for
budget reduction are encouraged at this meeting, giving the administrators a voice. As you can
see, administrators are a little more in touch with the budget and the decisions that go into it.
What about the Board of Education? In order to comply with legal requirements for the
Board of Education to adopt a budget for the upcoming school year no later than June 30th, a
structured budgetary communication process begins in February. The first step involves a
presentation of the preliminary overview of the next years budget at the February board
meeting. In March, an update on the budget analysis report, along with ongoing budget
discussion, takes place at this months study session and board meeting. In April and May, the

WBSD: BUDGET COMMUNICATION ANALYSIS

budget discussion continues at the board meetings and study sessions, with the administrative
budget recommendation being presented at the end of May. Finally, in June, the budget
discussion continues, and culminates at the end of the month with a public hearing to present the
approved budget for the following school year.
Lastly, we have the community members. Anybody in the community, parent or not, can
access a binder with the district budget report in any school building. In addition, all of the
information is posted on the district website under the transparency report. Of course,
community members could also attend any and all public board meetings to obtain further
financial information about the district.
Reflection on the Information Presented
Getting the information to all stakeholders is extremely important; however, how you
present the information is equally important. If you cant present it in a meaningful way, then
you have failed at communicating the information effectively. Let me explain how West
Bloomfield presents their abundance of budget information.
Both budget reports that I had access to were broken up based on the type of fund, such
as: General Fund, Special Education Center Program Fund, Food Service Fund, Community
Service Fund, Debt Retirement Fund, and Building and Site Sinking Fund. Within each fund,
the report detailed the revenue and expenditures for that year. I found it interesting that the
2015-2016 report included information on the Special Education Center Program Fund, Food
Service Fund, Debt Retirement Fund, and Building and Site Sinking Fund; however, the 20162017 report did not include those specific funds. It may be due to the fact that they will no
longer exist moving into next year, or maybe because this is a preliminary report and that

WBSD: BUDGET COMMUNICATION ANALYSIS

information may not be known at this time. It seems odd if this is true, so I may need to ask our
Assistant Superintendent for Business and Operations.
Preceding the revenue and expenditures of each district fund is a PowerPoint presentation
that includes color-coded charts, tables, pie graphs, bar graphs, and bulleted information. It is
clear that the presentation is made with the community in mind because it breaks down the
plethora of information into slides that make much more sense. The breakdown of each fund
that comes after the PowerPoint is there for stakeholders that seek additional information. The
report is well-organized with a table of contents, and includes all necessary pieces of budgetary
information regarding the district. I would say this qualifies as transparent.
Reflection on the Visuals Used to Increase Understanding
In addition to being organized to allow for easy navigation, a budget report needs to take
the information and represent it visually. Within the districts PowerPoint presentation, the
majority of the slides contain some form of visual model such as the ones I noted in the
paragraph above. The visuals allow the key parts to be presented in a way that people will
understand. My only complaint would be that the copy the community can view online via the
district transparency report is in black and white, making the visuals not as user-friendly.
However, I applaud the district for creating an easy-to-read resource that allows for any
interested stakeholder to view the district budget information in a way that makes sense.
Reflection on the Effectiveness in Providing Information and Budget Priorities
West Bloomfield School District is communicating budget information to all of its
stakeholders; it presents the information in a clear and organized fashion; and the information is
presented with easy-to-understand visual models. All of this is great; however, how effective is
the district at providing this important information, including their budget priorities? To answer

WBSD: BUDGET COMMUNICATION ANALYSIS

this question, I thumbed through the reports and immediately noticed that they broke down every
piece of revenue and expenditure for the district. Anyone looking at the reports knows how
every dollar the district receives is spent. In additional, in the 2015-2016 budget report, it broke
down the building and site sinking fund budget showing how much revenue it brought in and
how that money was spent. It also spelled out what those funds can be spent on, emphasizing
that the money cannot be used to pay for teacher, administrator or employee salaries,
maintenance or other operating expenses (WBSD 2015-2016 Budget Report, p. 10). This piece
of information tends to be a common question amongst the voters in the community. In the
2016-2017 budget report, many assumptions are listed, such as possible salary step increases for
bargaining units, pupil counts for the following year, and the sale of the Ealy Elementary site. It
details how these assumptions will positively or negatively affect the districts fund balance.
Another element to the reports that I find to be beneficial is the past years data. I saw
data starting as far back as 2005, with the recent five-year trend being highlighted. I believe it is
important for stakeholders to see how revenue has fallen over the years, requiring a decrease in
expenditures. This helps to clarify why certain financial decisions have to be made each year.
Lastly, the reports included a pyramid diagram that shows the instructional support
priorities in the district, starting with the largest at the bottom (basic classroom support). When
you see the district priorities leveled like this, it makes sense why 81.9% of the district
expenditures come from personnel costs. Classroom instruction is clearly the districts priority,
which starts with the teacher at the front of the classroom.
Suggestions for Improvement
While there were lots of numbers in the budget reports that I had the privilege to look
through, I have to say that the district does a great job at making the numbers make sense. The

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reports included all the information one would need to know; they presented effectively using
visual models that make sense; and they present the districts budget priorities clearly. My only
concern is how informed our district stakeholders truly are. One can argue the information is
there for them to obtaindo we need to read it to them too? No, but how do we make it more
attractive to retrieve? I have a few suggestions.
For the staff, I suggest having one budget update meeting at each building every marking
period. The meeting should take place during contractual hours, such as the time prior to the
student start time, when employees are required to be there. If the meetings occur outside of the
contractual day, employees may want to attend, but are unable to due to other obligations. These
meetings could help inform the employees of the district better, as well as provide a means to ask
questions in a more informal atmosphere.
To help reach the students and parents, I suggest posting some of the most critical
financial information on a board at the entrance inside each building. This board could include
visuals that display revenue sources and expenditures for the district, as well as include the
revenue and expenditures for the individual school. I thought of this idea a few years ago when
our school ran a fundraiser that required teachers to donate a substantial amount of time, effort,
and money. We were never informed of the amount of money raised from the event, or how that
money would be spent. This also holds true for our schools annual fund run event. I believe
that more parents and teachers would donate if the school spelled out exactly where every dollar
donated was going. As a parent, my sons school does that and it is refreshing to know this
information, and it ultimately causes us to donate a little more since we know how it is being
spent.

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My final suggestion would help reach community members. Just as I suggested posting
visuals of the most pertinent financial information for the district at each building, I feel the
district could do the same, but on a small billboard near each school. This allows people passing
to get a quick glance at district financial information without any effort but to look at a sign.
West Bloomfield has small billboards already near each school to promote our STEAM program.
Could they use this same method to inform the community about district finances?
Conclusion
After studying both budget reports and how the West Bloomfield School District
communicates budget information to its stakeholders, I can confidently say the district does it
well. The information they present is comprehensive, with great details and visual models to
make it easily understood. My only concern is how to get it in the hands of all stakeholders.
While the opportunities to obtain the information are there, they may not be taken advantage of
due to the inconvenience of seeking it out. By presenting at each building during contractual
hours, posting information on a budget board inside every school building, and displaying basic
budget information on small billboards outside of all schools, stakeholders will not be required to
seek out the information. It will be there for them to hear and see without any effortno
struggle to find out. This creates an informed community, and an informed community helps to
make a successful one.