It’s very nice to be back and into a new school year. The summer has been filled with many activities and charged with lots of excitement, emotion, and many difficult decisions. You, our employees, make all the difference in the world and repeatedly demonstrate why people love to live and educate their children in Jordan School District!
One of the most frequent questions I am asked is, “What about education funding for next year?”
Everything I receive from the Legislature indicates there will need to be additional funding reductions next year. The most frequent amount used to describe the size of next year’s deficit is $700 million. We are being encouraged as a District to maintain reserve accounts wherever possible and prepare for possibly several years of reduced State revenues. I also urge caution when listening to news reports that say the recession has “bottomed out.” Economic indicators viewed in isolation can be misleading as to the overall state of the economy.
As a District, we need to anticipate various financial circumstances that could present themselves. We cannot completely rule out mid-year reductions in funding if second and third quarter revenues are down from projections. However, we are encouraged at the State’s projected revenues during this period of time which would be sufficient for this year’s expenses. We will be working on options and strategies in the event the State were to reduce the value of the WPU mid-year, or cut additional categorical funding to our District this year and next.
The District financial condition is stretched to its limit. Our financial needs are in excess of $30 million for this school year. Through property tax increases, use of fund balances, reductions in staff, and other budgetary action, we will neutralize this deficit for this year, but still need to be very proactive in anticipation of another year of state funding cuts.
0 Responses to “Education Funding Outlook”