MONROE - A projected $1 million deficit in the fall presents several challenges to the Monroe School District.
The Monroe School Board approved Monday night a preliminary $27.71 million 2012-13 budget that includes a three percent reduction from last year and a $1 million deficit.
The district approves a preliminary budget every year, so it can authorize expenses for July and August. The final budget won't be set until the enrollment count is finalized the third Friday in September and the district finds out its state aid funding Oct. 15.
"That is where we were hoping to get down towards," said Ron Olson, district business manager, of the $1 million deficit. "I think we will get down lower than that as we fill other positions."
The district has taken steps to make cuts including slashing $233,500 in March from next year's budget. The cuts include eliminating $40,000 from the high school building budget, cutting $10,000 from the middle school building budget, reducing to part-time speech and language pathologist, as well as reductions from a middle school aide retirement and a middle school teacher resignation. A virtual school teacher also will be cut based on enrollment.
The district first built the budget with a stipulation that health insurance rates would not go up more than 5 percent. District leaders approved a new health care insurance carrier with Unity that includes a 3.2 percent increase. Olson said switching to Unity will save the district $96,000 and will save $757,000 in premiums based on the Wisconsin Education Association Insurance Trust's renewal proposal.
Olson said the Delta Dental insurance carrier will save the district $21,500 compared to last year. The district has a new transportation contract with Lamers that will save about $70,000.
Olson eliminated the $5,000 in short-term borrowing funding that the district hasn't been using, and said the board will have to decide if they want to maintain $50,000 in advertising for the virtual school.
The district has $200,000 budgeted for textbooks and teaching materials. The board may choose not to spend all of that, since they recently approved up to $150,000 in separate funding to buy iPads for every sixth grader at Monroe Middle School.
"We are certainly not going to use all of that for next year," Olson said of the $200,000 textbook and teaching materials fund.
The iPads are being funded using leftover money from the 2011-2012 curriculum budget.
The district will face a projected 3.8 percent reduction in revenues for next year, according to Olson.
He said much of the loss in revenue comes from losing a one-time $450,000 in Ed Jobs funding and about $190,000 in Microsoft lawsuit money that the district used this year that won't be available next year.
Olson said it's probably too early to project, but the school district tax levy may decrease between zero and 1 percent.
"It's too early to tell, because we don't have our final state aid numbers," he said.
The Monroe School Board approved Monday night a preliminary $27.71 million 2012-13 budget that includes a three percent reduction from last year and a $1 million deficit.
The district approves a preliminary budget every year, so it can authorize expenses for July and August. The final budget won't be set until the enrollment count is finalized the third Friday in September and the district finds out its state aid funding Oct. 15.
"That is where we were hoping to get down towards," said Ron Olson, district business manager, of the $1 million deficit. "I think we will get down lower than that as we fill other positions."
The district has taken steps to make cuts including slashing $233,500 in March from next year's budget. The cuts include eliminating $40,000 from the high school building budget, cutting $10,000 from the middle school building budget, reducing to part-time speech and language pathologist, as well as reductions from a middle school aide retirement and a middle school teacher resignation. A virtual school teacher also will be cut based on enrollment.
The district first built the budget with a stipulation that health insurance rates would not go up more than 5 percent. District leaders approved a new health care insurance carrier with Unity that includes a 3.2 percent increase. Olson said switching to Unity will save the district $96,000 and will save $757,000 in premiums based on the Wisconsin Education Association Insurance Trust's renewal proposal.
Olson said the Delta Dental insurance carrier will save the district $21,500 compared to last year. The district has a new transportation contract with Lamers that will save about $70,000.
Olson eliminated the $5,000 in short-term borrowing funding that the district hasn't been using, and said the board will have to decide if they want to maintain $50,000 in advertising for the virtual school.
The district has $200,000 budgeted for textbooks and teaching materials. The board may choose not to spend all of that, since they recently approved up to $150,000 in separate funding to buy iPads for every sixth grader at Monroe Middle School.
"We are certainly not going to use all of that for next year," Olson said of the $200,000 textbook and teaching materials fund.
The iPads are being funded using leftover money from the 2011-2012 curriculum budget.
The district will face a projected 3.8 percent reduction in revenues for next year, according to Olson.
He said much of the loss in revenue comes from losing a one-time $450,000 in Ed Jobs funding and about $190,000 in Microsoft lawsuit money that the district used this year that won't be available next year.
Olson said it's probably too early to project, but the school district tax levy may decrease between zero and 1 percent.
"It's too early to tell, because we don't have our final state aid numbers," he said.