ESCANABA - The Escanaba School Board and community was updated on the district's 2012-13 budget during a special public hearing Monday. The district is currently anticipating an overall decrease in revenue and an increase in expenditures, leaving it with a projected $585,151 shortfall it plans to make up for with monies from the general fund.
Escanaba Business Manager Sue Furney presented those in attendance with updated figures on the 2012-13 budget.
According to Furney, the district anticipates seeing an increase in 2012-13 general fund local revenues of approximately $20,621, but a loss in state revenues of approximately $92,181 - most directly because of a projected loss of students for next school year, which impacts state aid.
The district is also anticipating a loss in federal revenues of approximately $109,665.
"We're looking at a net decrease in revenues from 2011-12 to 2012-13 of $172,155," explained Furney.
Escanaba's total expenditures for the coming school year, however, are expected to increase by $276,416 from the current year.
A large reason for the increase is due to higher costs in basic classroom expenses of $570,641.
"We had four kindergarten teachers that we were adding due to the all-day kindergarten program, and there are other changes in retirement and health care," Furney said, of the increase.
Costs for pupil services, which includes attendance, guidance, speech services, and nurses, is down $99,582, while transportation is down $84,010.
"That's due to reduced kindergarten runs, and adjustments due to retirement and health care," Furney explained, of the transportation cost reductions.
Expenditures related to operations also is reduced by $65,276 due to moving the noon-hour supervisor and one custodial position to the hot lunch program.
Instructional support costs are expected to be down $58,101, mostly due to grant adjustments, while central support and community services are also down.
Escanaba expects seeing an increase of expenditures in general administration and business services, mostly due to retirement and health care costs. Its expenditures will also increase in school administration costs by $29,324, due to retirement and health care costs, as well as a staff changing due to a shift from the middle school to junior high school.
Overall, Furney said the district anticipates a decrease in revenue and increase in expenditures for next year.
"We have revenues under expenditures of $585,151," she explained.
With Escanaba estimating to have $843,437 in their general fund as of June 30, 2012, the district would use general fund money to make up for this shortfall. After covering the $585,151 shortfall with general fund money, this would leave an approximate $258,286 balance in the fund next year - on June 30, 2013.
The board will continue looking at the budget at its regular board meeting Monday, June 18, at 6 p.m. in the Middle School Courtyard Room.