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MILL HALL -- The Keystone Central School District could see up to a $5.9 million shortfall for its 2024-2025 school year.
The district's Board of Directors heard about the potential shortfall, and more about the 2024-2025 budget timeline during its meeting Thursday night.
Business Manager Joni MacIntyre presented the board with a timeline, along with figures that featured preliminary numbers with no tax increase up to a potential 5.34 percent millage increase.
MacIntyre noted that, as the preliminary numbers stood, if the board were to adopt the budget without some form of a tax increase there is a projected shortfall.
The presentation featured figures with no tax increase, a 25 percent, 50 percent and 75 percent increase.
"The administration still has calculations under consideration as they move towards updating the budget numbers," MacIntyre said.
Figures under consideration include potential changes in the budget on a state level -- following Governor Josh Shapiro's proposed budget.
In the wake of a court ruling that last year determined the state needed to better fund its public schools, Shapiro wants a $1.1 billion, or 14 percent, increase to public schools, the Associated Press reported earlier in the week. A significant portion of that would go toward helping poorer schools, the AP stated.
Shapiro's budget also noted a change to the potential payments for Cyber Charter students, MacIntyre said.
MacIntyre and other members of the administration team are continuing to calculate these potential numbers, along with healthcare costs.
Expenditure calculations under consideration include:
-- Operating Budget Requests with department heads. MacIntyre said she and the administration are continuing to review these requests to see what may be possible to include in the budget.
-- Position Control such as attrition and repurposing of staff.
-- Healthcare rates which will become available in March.
-- Contract negotiations. MacIntyre said two contracts are under review at the moment.
-- Cyber Charter & KCSD Virtual Academy enrollment.
-- Capital Projects and funding options.
-- Use of fund balance.
In terms of revenue the district is looking at decreased ESSER funding; the loss of over $1 million in Level Up funding from the state; decreased Title Funding; local tax collection rates that have lowered slightly; the potential of a tax increase and investment opportunities.
The budget timeline indicates a preview of the general fund budget and its development will take place during the board's March 14 meeting.
This will be followed by another review and the budget posted for public review on April 11.
Preliminary adoption of the budget is expected to take place during the board's May 9 meeting, with final adoption expected on June 13.
Board Member Elisabeth Lynch suggested MacIntyre and department heads attend Finance Committee meetings to discuss funding avenues in the form of grants and other opportunities to help offset costs.
"They can speak on their vision... and the need for grant funding," Lynch said. "They can highlight key things that could really help us out."
MacIntyre's full presentation, with detailed figures for each projection, may be found by visiting www.kcsd.us, clicking on the Board of Directors Tab and selecting Board Docs -- Public.