Financials
About the Education Protection Account...
With the November 2012 passage of Proposition 30, which temporarily increases the personal income tax rates for upper‐income taxpayers and the sales tax rate for all taxpayers1, the state established the Education Protection Account (EPA). Revenue generated from the increased taxes are deposited into the EPA and distributed to districts and charter schools on a quarterly basis.
While funds from the EPA are part of a district’s or charter school’s general purpose funding, Proposition 30 specifies that EPA funds may not be used for administrative salaries or benefits or any other administrative costs.
From an accounting perspective, EPA revenue and expenditures must be coded separately (under a new resource code, 1400, created specifically for EPA funds) and from an operational perspective, governing boards must determine the use of EPA funds at an open public meeting. This determination must occur annually.
FY 2017‐18 Education Protection Account Spending Plan
In FY 2017‐18, EPA funds are estimated to be approximately 25% of a school’s total Local Control Funding Formula entitlement. For ICEF Public Schools, this equates to $4,512,997. The breakdown by school is detailed below:
FDES | 252,378 |
IIES | 518,957 |
IIMS | 334,516 |
IVES | 440,380 |
IVMS | 278,921 |
LDES | 546,589 |
VPES | 655,344 |
VPMS | 499,479 |
VPHS | 986,433 |
Total |
$ 4,512,997
|
The spending plan allocates these funds to support teacher salaries and benefits.
Proposed Motion Language:
“I hereby move to adopt the ICEF Public Schools EPA Spending Plan, which will allocate FY17‐18 EPA funds estimated to be $4,512,997 toward teacher salaries.
1 The .25 sales tax increase expired in 2016; the income tax increase set to expire in 2018, was extended by voters though 2030 via Proposition 55.