The County Board and the School Board met in November 2012 to discuss the FY 2014 budget. At that time, the County Manager estimated that revenue growth would be approximately 1% for next year. With this level of revenue growth, APS estimates that we would have a shortfall of approximately $23.5 million, including a step increase for employees, for FY 2014 for continuing services only, including our projected increase in enrollment. The School Board’s budget guidance directs the Superintendent to close the gap using a combination of reductions, one-time funds available from FY 2012 closeout, and additional revenue from the County for increased enrollment.