Board to continue discussion related to facilities, finance

Read the full Executive Summary to School Board - Finance, Facility, Enrollment and Demographics Overview 

 

School board members are currently engaged in discussions regarding its use of district facilities - both short term and long term - in order to best meet the needs of students. While the conversation to date has largely focused on the short-term capacity needs of Brookview Elementary, as well as the future of the Oak Park building, the most immediate question before the school board is a financial question.

For the past several years the district has been making many of its facilities and operational decisions based on the direction set forth by the 2014 Long Range Facility Plan, the 2015 bond referendum, and the 2016 Building Opportunities to Learn and Discover (BOLD) plan. Each of these plans, and subsequent decision making made by the board, has had and continues to have an impact on the budget.

The district is projected to deficit spend its general fund by greater than $2.5 million for the current school year, based on the 2018-2019 preliminary adopted budget. This deficit spending means that the district will dip below the five percent unassigned general fund balance (different than assigned funds) that is written in School Board Policy 5.4, and the board must take actions to ensure the required fund balance is maintained.

The district’s budget committee, and the school board’s finance sub-committee, continuously review  implications and makes recommendations based on financial assumptions. In addition, information about the district’s current financial reality has been formally shared with board members and the public during presentations since June of 2017.

This executive summary is a compilation of information previously shared, as well as responses to school board member questions, and is divided into the following sections:

  1. Current financial influences
  2. Current facility and space influences
  3. Demographic influences
  4. Market share influences
  5. Considerations for Brookview expansion
  6. Considerations for Oak Park and Central Services


Based on this information, the administration believes it is in the district’s best interest to do the following:

Short-term (60 days)

  • Address the current $2.5 million general fund deficit spending (Board action by December 2018)
  • Build out Brookview Elementary to be ready to welcome students and families in the fall of 2020 (Board action by December 2018)

Long term (3-12 months)

  • Charge administration to convene a Long Range Facilities Planning Task Force, including financial implications (January - June 2019)
  • Identify the school board’s spending priorities for the future, and if new spending is required, identify from where the funding will come (January 2019 )
  • Move Central Services staff to Oak Park and sell the current Central Services Building
  • Consider revenue enhancement opportunities to address long-term financial needs (Spring 2019)

 

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