Post by title1parent on Apr 14, 2009 5:15:26 GMT -5
www.dailyherald.com/story/?id=286342&src=76
Dist. 204 searches for ways to save
By Justin Kmitch | Daily Herald 4/14/2009
Initially faced with a nearly $6.5 million deficit in the coming year's budget, Indian Prairie Unit District 204 officials say they've gotten the estimated deficit down to $900,000 by limiting expenses.
Nearly $5 million was recovered by changing health care providers, negotiating new contracts for custodial and banking services, restructuring debt and partnering with Naperville Unit District 203 to purchase a computerized financial system at a substantial savings.
"We've been working contracts, lunch, diesel - about every part of our organization, we've waded into to find money," said Superintendent Stephen Daeschner. "For example, we're going with the federal lunch program that saves us half a million bucks. And we're going to try to purchase our own diesel fuel, which also saves us about another $100,000."
Assistant Superintendent for Business David Holm said he's not done digging, either.
"I'd like to find that remaining $900,000, and I'm going to keep trying."
The district can only benefit by balancing the Fiscal Year 2010 budget, as an even more dreary 2011 looms with a projected $8 million deficit to overcome.
Holm referred to the district's current financial distress as a "perfect storm of revenue weakness."
"You'll hear a lot of districts talking about the (Consumer Price Index) and how it came in at 0.1 percent and that's a real small number, about as flat as you can get without being zero, and that's a big issue," Holm said. "Then there's the issue with hardly any new property growth, and there's very weak funding from the state as it faces a possible $11 billion deficit."
Typically, the district receives about $42 million to $45 million in state funding every year. Holm said he's preparing for the possibility of receiving a slight decrease this year.
To make sure all stones are overturned, Holm said the district has reformed the citizen's finance advisory committee, which he described as "a group of business folks we bring in to give us some financial advice and keep us honest." He said he's going to need their help in the coming year.
"That second year (projection of an $8 million deficit) is before we've had a chance to do our work," Holm said. "We have a pretty good idea what next year looks like and it's manageable, but we've got work to do for 2011 and 2012. There are still unknowns for both of those years and, particularly right now, trends change and they're probably going to continue to change over the next few years."
Several board members, including Curt Bradshaw, congratulated the staff for finding fat to cut without hurting the learning environment.
Dist. 204 searches for ways to save
By Justin Kmitch | Daily Herald 4/14/2009
Initially faced with a nearly $6.5 million deficit in the coming year's budget, Indian Prairie Unit District 204 officials say they've gotten the estimated deficit down to $900,000 by limiting expenses.
Nearly $5 million was recovered by changing health care providers, negotiating new contracts for custodial and banking services, restructuring debt and partnering with Naperville Unit District 203 to purchase a computerized financial system at a substantial savings.
"We've been working contracts, lunch, diesel - about every part of our organization, we've waded into to find money," said Superintendent Stephen Daeschner. "For example, we're going with the federal lunch program that saves us half a million bucks. And we're going to try to purchase our own diesel fuel, which also saves us about another $100,000."
Assistant Superintendent for Business David Holm said he's not done digging, either.
"I'd like to find that remaining $900,000, and I'm going to keep trying."
The district can only benefit by balancing the Fiscal Year 2010 budget, as an even more dreary 2011 looms with a projected $8 million deficit to overcome.
Holm referred to the district's current financial distress as a "perfect storm of revenue weakness."
"You'll hear a lot of districts talking about the (Consumer Price Index) and how it came in at 0.1 percent and that's a real small number, about as flat as you can get without being zero, and that's a big issue," Holm said. "Then there's the issue with hardly any new property growth, and there's very weak funding from the state as it faces a possible $11 billion deficit."
Typically, the district receives about $42 million to $45 million in state funding every year. Holm said he's preparing for the possibility of receiving a slight decrease this year.
To make sure all stones are overturned, Holm said the district has reformed the citizen's finance advisory committee, which he described as "a group of business folks we bring in to give us some financial advice and keep us honest." He said he's going to need their help in the coming year.
"That second year (projection of an $8 million deficit) is before we've had a chance to do our work," Holm said. "We have a pretty good idea what next year looks like and it's manageable, but we've got work to do for 2011 and 2012. There are still unknowns for both of those years and, particularly right now, trends change and they're probably going to continue to change over the next few years."
Several board members, including Curt Bradshaw, congratulated the staff for finding fat to cut without hurting the learning environment.