Monthly Financial Update of 11/30/2023
Finance Director Dennis Clague presented the monthly financial update to the board of directors.
The overall fiscal picture has improved since the last report. Revenue and expenditure areas are becoming clearer. Revenues are projecting higher than budgeted and will include an adjustment in the State School fund of $1.0 million. That projection is based on the district's enrollment vs. what other districts in the region are experiencing (only data available to staff). Assuming local trends are representative of statewide trends, the adjustment projection should be accurate; however, staff will not know if that is the case until May.
On the expense side, salaries and benefits are exceeding budgeted allocations by $2.3 million. This includes vacant positions that are budgeted. As these positions are filled or closed, encumbered expenditures will decrease as filled positions will be at a prorated amount and closed position encumbrances will be released at the full amount. The transfer of $3 million for the turf field will take place towards the end of the fiscal year. Overall, projected revenues exceed projected expenditures by $5.4 million. This amount is expected to decrease as the turf field projects near completion.
For the remainder of the year, budget-to-actuals for individual staff-related line items will be skewed, so it is best to look at the bottom line. The current projection is that total staffing costs will be around $2.3 million over budget, or -2%. If the current year ends up like prior years, that number will grow more to -1% to 2% of the budgeted amount. This is due to attrition and vacancies and is a normal dynamic in governmental budgeting.
As of the report, staff anticipates an ending fund balance of around $19.7 million, but that number is likely to change as the year progresses, based on the factors detailed in this summary.
