Board Approves $77.5 Million Tentative 2012-2013 Budget
At the August 22nd Board meeting, Business Manager Joel Murphy presented information on the tentative budget for 2012-13. He said the three elements of a budget include a description of the educational programs to be provided, an estimate of expenditures needed to carry out the desired programs, and an estimate of the revenues which will be available to pay for the expenditures. He emphasized that the budget is an estimate. It serves as a legal document granting authority to spend and levy taxes. The budget is a managerial document which outlines clear expectations for maintaining and monitoring the District’s financial health. It is a “road map” for education with desired outcomes and priorities. It is also a community document, communicating the District’s educational plan and priorities to the community.
The tentative budget adopted at the August 22 meeting will be on public display for 30 days. The hearing for final adoption will be on Wednesday, September 26th at 8:00 a.m. at the Board of Education Office. Mr. Murphy explained there is a projected 4.3% decrease in local revenue, a 12.6% decrease in State revenue and a 20.2% increase in Federal revenue. The increase in Federal revenue is due to an increase in lunch reimbursement and accounting for QZAB bond interest paid. QPS salaries and benefits are the largest part of the budget at 69%. All funds are currently balanced with the exception of Transportation due to the State’s reduction in reimbursement. More money is being spent on Life Safety Projects than was taken in due to spending down a balance.
Mr. Murphy explained a change in the State’s accounting process with the addition of a “capital project fund.” He proposed the District align with the State and create a capital project fund with money transferred from Operations and Maintenance to cover costs of larger projects. Some examples of what the fund would be used for are a large cooler recently purchased for Adams, lightning damage, and the QHS drive and proposed parking lot improvements.
Last year’s expenses were $77.9 million with revenue at $74.6 million. This year, revenue is estimated at $76 million with expenditures at $77 million.