Moniteau board has budget challenge, not a fiscal crisis
Many school boards, facing multimillion-dollar 2012-13 budget shortfalls, no doubt envy the deficit that the Moniteau School District is dealing with for the coming fiscal year.
Not only does Moniteau's shortfall total $665,000 within a proposed budget of $19 million, but the district's fund balance of $4.68 million can theoretically erase the deficit, although it might not be wise to tap the fund to that extent.
The school board also has the options of raising the property tax by up to two mills and/or by cutting expenses.
Perhaps, in the district's long-term best interest, a combination of the three options might be best. Still, it's understandable that, in the current economy, property owners might oppose paying more, with the district having such a sizable fund balance.
With the board not planning to act on the preliminary spendng plan until May 14, district residents have ample opportunity to express their feelings to board members before then. In addition, there will be time for more expressions of opinion between preliminary action and the board's final vote, which must take place by June 30.
The 2012-13 fiscal year begins July 1.
The board is attempting to be careful about the fund balance since it's anticipated that a new roof costing in excess of $1 million probably will be needed for the high school in the not-too-distant future.
During the board's April 30 meeting, district business manager John D'Amore voiced an observation that probably is being echoed in most public school systems across the commonwealth.
“Here it is May and we haven't heard a word from the state about funding public education,” D'Amore said.
The General Assembly does indeed merit criticism again this year for failing to give school districts a good early-on estimate of the state funds they can expect for the coming year.
School districts are having to prepare their spending packages by June 30 based on incomplete information, and without even the assurance that lawmakers will have their state budget work — from which school subsidies emanate — completed by that time.
The school boards have the ability to reopen their budgets once their state funding is finalized, but the districts' budget exercises could be much simpler and less uncertain if the Legislature would do its budget work more expeditiously and without so much partisanship.
Still, Moniteau can consider itself fortunate when stacked against most other school budget deficits that have garnered headlines in recent weeks.
Nevertheless, the Moniteau board has some important budget decisions to make in the coming weeks. All considered, it's good that the district is faced with the necessity of carrying out a total evaluation of its spending to determine where cuts can be made.
As most districts might agree, Moniteau's task won't necessarily be a cakewalk, but it won't be a swim through shark-infested waters either.
The Moniteau board is facing a challenge, not a crisis.