POLICY TITLE: Classified Revenue Sharing and PERSI POLICY NO:

Reimbursement 807.15
Minidoka County Joint School District # 331 PAGE 1 of 2

Revenue Sharing

Sharing of difference between budget per unit funding $24,450.50 and the actual State
Department of Education (SDE) final allocated per unit funding.

1. In the event there is an increase in the actual SDE final allocated per unit funding from
the budgeted per unit funding of $24,450.50 per unit, and in the event that this budgeted
per unit funding amount multiplied by the actual number of units funded exceeds the
budgeted estimate for unit funding, and in the event that the district does not hire
additional personnel after October 31 in excess of the SDE salary allocations, then there
will be a one time salary payment, known as “Revenue Sharing” to all school district
qualified employees based upon the following provisions.

2. Regardless of unit funding revenue, the one time salary payment will be made only if
there is a sufficient June 30, 2004 audited general fund balance, in the judgment of the
District’s Board of Trustees, to provide a five percent (5%) General Fund Contingency.
This contingency will be in addition to designated and reserved portions of the district’s
fund balance.

3. The percentage of the increase due to the actual SDE final allocated per unit funding and
to the actual number of funded units will be applied as a one time salary payment as
follows:
(1) The increase in unit funding shall be the difference between the state estimated
$24,450.50 (per unit) multiplied by the total number of support units approved by
SDE for unit funding revenue AND the increased (if any) actual support unit
amount per unit multiplied by the total number of support units approved by SDE
for unit funding revenue. The difference in support unit funding as described
above shall not include any additional funds which have been earmarked for
specific purposes by the State of Idaho or any of its entities or funds which are
required to hire additional personnel as described above.

(2) Current district employee salaries shall be calculated as a percent of General Fund
Revenue (revenue prior to any transfers from the General Fund, but including any
transfers to the General Fund) as determined by the district’s annual audit and as
confirmed by the district’s independent auditor. Current district employee
salaries for the purpose of determining the percent of General Fund Revenue are
limited to regular salary, overtime payments and stipends. Substitute salaries and
contracted services will be excluded. The percentage of salaries shall be based on
the 2003-2004 year. Classified employees with work schedules during the 2003-
2004 school year, re-employed for the 2004-2005 school year, and who report for
duty in September, 2004, or who are retired for the 2004-2005 school year under
PERSI are eligible for these Revenue Sharing funds.

SECTION 800: BUSINESS PROCEDURES

Classified Revenue Sharing & PERSI Reimbursement—continued Page 2 of 2

4. Each eligible person will receive a share of the one time Revenue Sharing payment based
upon the percentage of his/ her salary to the total salaries.

5. Eligible school district personnel would receive their share of payment as a one-time
bonus no earlier than October, 2005.

PERSI Reimbursement

1. If any portion of the 2004-2005 unit funding increase is due to the PERSI adjustment, the
portion of the increase due to the PERSI adjustment as verified by the State Department
of Education will be treated as earmarked funds, earmarked for the 2003-2004 district
eligible employees. The district will determine the PERSI adjustment as a percent of
total district contract and work schedule salaries. Each qualified employee under a
contract or work schedule will receive the same percent of PERSI funds. Thus if the
PERSI percentage of total district salary is 1%, then each eligible employee member
would receive 1% of district salary, then each eligible employee would receive 1% of
his/her 2003-2004 salary, regardless of 2003-2004 PERSI membership.

2. This share will be called “PERSI Reimbursement”. This one time PERSI adjustment
payment will be made no earlier than October 30, 2005. In case of terminated eligible
employees, the PERSI adjustment payment will be mailed to the last known mailing
address.

3. The Revenue Sharing funds and the PERSI Reimbursement funds received are not part of
any employee’s contractual or work schedule salary and are thereby excluded from the
requirements of Idaho Code 33-515. This provision is in effect only for the distributions
of funds related to fiscal year 2004.

4. In the event that there is no increase in the actual SDE final allocated per unit funding of
$24,450.50 per unit, then the school district has no obligation to make the one time salary
payment according to unit funding reconciliation, regardless of total unit funding
revenue.

5. All parties agree that the reconciliation amounts shall be as determined by the District’s
designated independent auditor and will be part of the District’s official audit. All parties
agree to accept the auditor’s decision as final and neither shall grieve or appeal the
auditor’s decision.

♦♦♦♦♦♦♦

LEGAL REFERENCE: Idaho Code §33-515

ADOPTED: June 18, 2001

AMENDED/REVISED: June 17, 2002, July 19, 2004

SECTION 800: BUSINESS PROCEDURES