BARABOO SCHOOLS TWEAKING BUDGET PROJECTED DEFICIT WAY DOWN FROM EARLY 2022

The School District of Baraboo is closer to balancing its 2022-23 school year budget, with a promising preliminary financial sheet approved on Monday.

On June 27, the district's Director of Business Services, Yvette Updike, presented a detailed look at projected district finances which the board unanimously approved.

Current forecasts show the district at a deficit under $900,000, which is a drastic decline from the $2.4 million-plus that was projected in late February.

Updike said a change in the district's health insurance provider was the major player in the much-improved budget projection. She said the change from Quartz Health Solutions to Dean Health created a savings of nearly $875,000.

The preliminary budget approval came four days before the July 1 State of Wisconsin deadline for school board approval. This will be the district's second year of the state's biennial budget.

Revenue sources for the school's budget include state and federal aid, along with property tax and other non-property tax revenues such as fees and interest earnings. State aid and property taxes are the primary sources.

Updike's presentation showed that the district is forecasting a revenue amount of over $47.3 million, a decrease from the just under $49.3 million from 2021-22. The district is projected to receive a slight increase in state aid, with just over $500,000 coming in, factoring in per-pupil aid.

A projected decline in federal aid is the main source in the nearly $2 million reduction in revenue. The district received more than $8.9 million in federal aid in 2021-22, but is slated to get less than $6.8 million for the coming year.

The district has already utilized the Governor's Emergency Education Relief (GEER) and Elementary and Secondary School Emergency Relief (ESSER) I (CARES Act) funds that were disbursed on July 1, 2020.

ESSER II (Coronavirus Response and Relief Supplemental Appropriations Act) and ESSER III (American Recovery Plan Act) funds, which last through 2022-23 and 2023-24, respectively, were already fully budgeted during the 2021-22 school year, according to Updike.

Projected expenses for the district do not show many drastic differences with respect to dollar amounts. Faculty salaries and benefits as well as expenses regarding private school vouchers and open enrollment do not project much difference.

Non-capital expenses, such as food and educational supplies, figure to show the largest decrease, going from nearly $4.5 million in 2021-22 to a projected $3.5 million this coming year. This is another result of all four areas of federal funds either being expensed or allocated.

Debt expenses, which constitute a small percentage of the total expenses, dropped by over $150,000. Updike explained to board member Mike Kohlman that an end to technology leases lowered the debt. Other expenses through ESSER funds that have now been allocated was the reason for the non-capital drop.

For 2022-23, the district has allocated its ESSER II and ESSER III funds for social workers, health assistants, psychologists, weekly paraprofessionals, and instructional coaches during the next three years. Funds from both outlets will also be used for technology expenses.