New budget changes explained

New budget changes explained

With the recent budget changes many questions have been raised by parents and sponsors about what that means for taxpayers and what will be changed. Superintendent Paul Dorothy sent out this letter to explain.

“Dear Parents and Staff,

Now that Governor Brownback has signed the new budget for the 2014-2015 school year, I will attempt to explain what actually changed for school finances in USD 348. The numbers that I share with you are estimates based on this year’s enrollment and this year’s property valuations. Also, the Kansas Supreme Court will review what the legislature has done and determine if they met the orders of the court. The outcome of that review may change some of the estimates I am providing.

The base state aid per pupil increases next year by $14 per student. That could mean an increase of about $25K in general operating funds. At the same time, the legislature has cut non-proficient at-risk funding completely, a reduction of $21K in state aide. The non-proficient at-risk funding was used to provide additional support to students who scored poorly on state assessments. The bottom line, after these two changes in funding, is the school district receives an increase of $4K in state aide.

Another action by the legislature increased state aid to our LOB(local option budget) fund. This money will supplant funds that local taxpayers have been paying. This state aid does not provide additional funds for the school district but will reduce the local mill levy and provide some taxpayer relief. Also, the legislature increased the per pupil dollar amount on which the LOB is calculated. This provides approximately $24K in additional operating funds for the district. The legislature also increased the maximum LOB percentage of the general fund from 31% to 33%. Our district presently remains at 30%. Any amount over 30% requires a local election and the school board has not had interest in increasing that amount.

State aid for Capital Outlay was reinstated after several years. The district will receive approximately $160K in additional state aide to help with capital projects. This is restricted money and has to be used for specific projects such purchasing equipment and busses or remodeling and/or building facilities. This additional state aid will be very helpful in meeting our capital needs.

In summary, the district will gain approximately $28K in operating funds. Local taxpayers should see the LOB property tax rate decrease and the school district will gain state aide of approximately $160K in additional Capital Outlay funds.”