Chief Financial Officer Michelle Scott and Lead Fiscal Accountant Cindy Klemz presented information on the proposed budget at a school board work session on Aug. 12, 2024.
General fund revenue
The general fund is the primary component of the district’s budget. It pays for teaching and extracurricular activities/support, building support and district-wide support. Total revenue for the 2024-25 school year is projected to be $233.25 million. However, this amount is affected by student enrollment, which is growing but still 2.3% less than pre-pandemic enrollment. It also has been impacted by the loss of pandemic relief funding.
General fund expenditures
Of the projected expenditures for the upcoming school year:
72.8% is for teaching activities and support. Teaching activities include classroom teachers, classroom supplies and extracurricular activities. Teaching support includes staff such as librarians, counselors, security, nurses, psychologists, occupational therapists and more; professional development; instructional technology; and curriculum.
16.2% is for other support such as transportation, maintenance, grounds, custodians, utilities, insurance, information systems and warehouse.
5.9% is for building administration.
5.1% is for central administration.
The cost of materials, supplies and operations has substantially increased in the past five years. For example, utilities have gone up 30% to 60%, insurance costs have risen 84% and custodial supply costs have increased 30% to 68%. Meanwhile, state funding has only increased 18.5% in the same time period. Expenditures are projected to be approximately $242.65 million in 2024-25, compared to $232.16 million the previous year.
In response, BGPS has already temporarily reduced the unassigned fund balance by $2.3 million, or 1%. In addition, the district addressed approximately $6.2 million through reductions to building budgets, departmental budgets and digital resources, as well as the end of temporary positions funded by pandemic relief dollars.
The remaining gap between revenue and expenditures will be covered through savings from the 2023-24 budget and the use of funds already set aside for curriculum adoptions, social and emotional learning, technology, communications and ongoing operations.
Beyond 2024-25
Enrollment is projected to increase in subsequent years. However, enrollment increases will require additional instructional staff and related costs that are likely to outpace the amount of funding that the district receives from the state.
Without additional state or local revenue, the district will need to consider making further program reductions.
See the entire proposed 2024-25 budget.
The board of directors will hear another public presentation and vote on the budget at the Aug. 26 board meeting.