U-46 board approves spending $511 million this year
Though K-12 education funding has been in flux, officials at the state's second-largest school district are hopeful there won't be any major shortfalls from the state this year.
The Elgin Area School District U-46 school board Monday approved spending roughly $511 million for the 2016-17 school year, a less than 1 percent increase from the previous year's expenditures, officials said.
The balanced budget projects a modest $200,000 surplus in the operating fund by year end - last year's surplus was about $14.8 million.
State and federal funding comprise $158 million (31 percent) and $37 million (7 percent) of total expected revenues this year.
The district is still awaiting its fourth-quarter payment, about $9.7 million, for last school year's categorical funding for programs such as special education and transportation, said Dale Burnidge, U-46 director of financial operations.
"This year we are budgeting for all four payments (about 39 million)," Burnidge said. "The majority of our state revenue comes through the General State Aid ($119 million), which they pay twice a month and that has always been on time so we feel good about that."
Federal revenues from Title 1 grants, special education IDEA Program and National School Lunch Program funding typically are reliable, he added.
Big-ticket expenses in the 2016-17 budget include about $16 million allocated for building projects, the costs of implementing full-day kindergarten districtwide, and $2.3 million set aside for purchasing 30 replacement school buses.
Two school board members voted against the budget citing concerns about state funding uncertainties and objection over the full-day kindergarten program, rolled out at the start of the school year for more than 2,500 students in 40 elementary schools.
To accommodate those students, the district spent roughly $13 million to add 26 classrooms at three elementary schools over the summer - about $7 million of that cost is included in this year's budget. Program costs include salaries and benefits for 54 full-time positions including teachers, social workers and assistant principals, and classroom expenses amounting $3.3 million this year.
School board member Cody Holt said there is no evidence full-day kindergarten improves academic achievement.
"This is a high-priced want that takes resources away from the needs of most students to benefit the select few," he said.
Board member Jeanette Ward also objected to the program's expansion.
"Now that this expansion is implemented it will be extremely difficult to reverse it, if necessary, in future years," she said. "This expansion places the district in the precarious position of increased reliance on state and federal funding."
Holt also objected to any future tax levy increase to capitalize on future construction, until overburdened taxpayers are provided some relief through a state property tax freeze.
Burnidge said the approved budget does not include any increase to the tax levy, which will be decided in December. The district expects to levy $300 million total in property taxes for operations and debt service.