Page 29 - School Finance Manual 2025-26

Glossary 29
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Annual Financial Report (AFR) - An annual compre- Budg25 – An ADE generated report that assists districts
hensive financial reporting due to ADE by October 15. in analyzing their expenditure budgets. The district’s
The AFR includes budget and actual summary informa- submitted budget is compared to ADE calculations.
tion for revenues, expenditures and fund balances for Differences indicate a need for the district to provide
all district funds. additional information to ADE or revise the budget.

Approved Daily Route Miles - The actual total route Budg75 - An ADE generated report that assists districts
mileage to transport eligible students to-and-from in analyzing their prior year budget balance. The district’s
school divided by the total school days, and is based on submitted Annual Financial Report data is compared to
prior year. For FY25 actual daily route miles for funding ADE calculations. Differences indicate a need for the
purposes reflects daily route miles to transport students district to provide additional information or make adjust-
in FY24. ments in order to accurately reflect budget balance carry
forward or over expenditure.
Arizona Association of School Business Officials
(AASBO) - A professional organization made up of Concurrency – A concurrency occurs when a student is
school employees who work in the business support enrolled in two or more district or charters at the same
areas, in the State of Arizona. AASBO is an affiliate of during the same year. If a valid concurrency exists
the Association of School Business Officials – Interna- between a charter and a non-charter and both have vali-
tional (ASBO International) dated the concurrency as true, the state will allocate the

Arizona Department of Education (ADE) – This agency ADM between the two based on the actual enrollment in
operating under the direction of the Superintendent of both the district and charter.
Public Instruction, provides direct services to school
districts. The agency executes the policies of the State Current Year - Current budget year.
Board of Education and the State Board of Vocational and
Technological Education – implementing state academic District Additional Assistance (DAA) – The Arizona
standards; administering statewide assessments; Legislature combined the Soft Capital Allocation and
disseminating information; administering and allocating Capital Outlay Revenue Limit Allocation into a single
federal and state funds; and providing program improve- allocation. This allocation can be placed into the M&O
ment assistance to schools and districts. fund or the Unrestricted Capital Outlay fund. The Soft
Capital Allocation fund has been eliminated.
Average Daily Membership (ADM) - A method of
counting the number of enrolled students based upon District Support Level (DSL) – The Base Support Level
the first 100 school days in session. As examples: a (BSL) plus the Transportation Support Level (TSL).
student who enrolls 5 days after the start of the school
year = 95/100 = .95 ADM, a kindergarten student who Equalization Assistance – The amount of money that
only attends school for one-half (1/2) of the day = .50 the state and county provide to school districts over and
ADM, a high school student who attends only 3 of the above the Qualifying Tax Levy (QTL) to ensure that the
required 4 class periods = ¾ = .75 ADM. ADM is a key revenues available for district budgets are shared equi-
component in the school finance funding formulas. tably.

AzEDS – Arizona Education Learning and Account- Fiscal Year – For Arizona schools, is July 1 through
ability System - The administrative application that June 30 of each year.
collects student detail information from school districts
through the Internet. The district’s ADM and other GDP Price Deflator – The average of the four Implicit
attendance data is generated from this system. This Price Deflators for the Gross Domestic Product (GDP)
system replaced SAIS (Student Accountability Informa- reported by the United States Department of Commerce
tion System). for the four quarters of the calendar year.

Base Level – An amount determined annually by the
Arizona Legislature per 1.0 weighted ADM. This amount
Arizona Association of School Business Officials | School Finance Summary Manual
is part of the RCL calculation.