Post by title1parent on Jun 16, 2009 5:45:49 GMT -5
www.suburbanchicagonews.com/napervillesun/news/1623954,D203-cuts-help-budget_na061609.article
D203's cuts help budget projections
June 16, 2009
By TIM WALDORF twaldorf@scn1.com
Naperville School District 203's board approved its 2009-2010 budget Monday.
The effect of cuts contained in it should help the district's finances well beyond the coming fiscal year, however.
The $217.5 million operating budget is 1.6 percent increase over last year — about 2.44 percent if $1.7 million of federal funds are included.
"The total operating budget we have before you is $217.5 million, and it has improved our financial projection for the district compared to the projection that we had in February," Dave Zager, District 203's assistant superintendent for finance, told the board during a public hearing Monday.
"So we're about a year improved as far as our balanced budget is concerned, and about two years improved on our deficit condition that we had projected."
Overall, District 203's fund projections now indicate that it should have balanced budgets through 2013, and that it should be able to maintain its fund reserve through 2015.
"We wouldn't have any deficit condition — in other words, going into the red — until 2016," Zager said. "So we've moved those lines back to the right, back further into future than we had them in February because of this budget."
Zager attributed the improved projections to a variety of cost-cutting measures taken since February, when the district outlined the impact the current economic decline and the plummeting inflation rate would have on its finances.
The inflation rate dictates how the district's property tax revenue can grow from year-to-year, and the 2008 rate, which dictates the increase the district will be allowed in its 2009 levy, which provides taxes toward the 2010-2011 school year, is just 0.1 percent.
Those cost-cutting measures include a reduction of 31 certified staff and five classified staff members, $175,000 in delayed technology purchases; $250,000 in transportation savings due to moving some contractual services in house; $500,000 in savings due to a freeze of in per-pupil funding level of the district's supply budgets and $1.2 million in health insurance savings attributed to the district's rates holding steady.
In all, the district found ways to save about $3.5 million in the past five months, noted Zager.
Some of the expenses included in those projections — costs associated with teachers' contract negotiations that will unfold during the next year, for instance — are still unknown, noted board member Dave Weeks. Weeks praised Zager's projections for erring on the high side when assuming those expenses.
Weeks also praised the budget, which passed unanimously, saying pushing back the arrival of annual budget deficits is huge.
"I would hope that we end up able to shove that balance back another two years," said Weeks.
D203's cuts help budget projections
June 16, 2009
By TIM WALDORF twaldorf@scn1.com
Naperville School District 203's board approved its 2009-2010 budget Monday.
The effect of cuts contained in it should help the district's finances well beyond the coming fiscal year, however.
The $217.5 million operating budget is 1.6 percent increase over last year — about 2.44 percent if $1.7 million of federal funds are included.
"The total operating budget we have before you is $217.5 million, and it has improved our financial projection for the district compared to the projection that we had in February," Dave Zager, District 203's assistant superintendent for finance, told the board during a public hearing Monday.
"So we're about a year improved as far as our balanced budget is concerned, and about two years improved on our deficit condition that we had projected."
Overall, District 203's fund projections now indicate that it should have balanced budgets through 2013, and that it should be able to maintain its fund reserve through 2015.
"We wouldn't have any deficit condition — in other words, going into the red — until 2016," Zager said. "So we've moved those lines back to the right, back further into future than we had them in February because of this budget."
Zager attributed the improved projections to a variety of cost-cutting measures taken since February, when the district outlined the impact the current economic decline and the plummeting inflation rate would have on its finances.
The inflation rate dictates how the district's property tax revenue can grow from year-to-year, and the 2008 rate, which dictates the increase the district will be allowed in its 2009 levy, which provides taxes toward the 2010-2011 school year, is just 0.1 percent.
Those cost-cutting measures include a reduction of 31 certified staff and five classified staff members, $175,000 in delayed technology purchases; $250,000 in transportation savings due to moving some contractual services in house; $500,000 in savings due to a freeze of in per-pupil funding level of the district's supply budgets and $1.2 million in health insurance savings attributed to the district's rates holding steady.
In all, the district found ways to save about $3.5 million in the past five months, noted Zager.
Some of the expenses included in those projections — costs associated with teachers' contract negotiations that will unfold during the next year, for instance — are still unknown, noted board member Dave Weeks. Weeks praised Zager's projections for erring on the high side when assuming those expenses.
Weeks also praised the budget, which passed unanimously, saying pushing back the arrival of annual budget deficits is huge.
"I would hope that we end up able to shove that balance back another two years," said Weeks.