South Summit school board finalizes FY11 12 budget
July 5, 2011
The South Summit School Board approved the district’s budget for the fiscal 2011 2012 year.
Revenue for FY12 is estimated to reach more than $16 million, with expenditures projected to reach $15,994,660.
South Summit School District Business Administrator Kip Bigelow said the district is trying to maintain its budget in the face of declining revenues.
According to Bigelow, the remaining $891,733 seems like a lot, but the majority of that money will be invested into the building reserve fund.
"We’re just trying to continue what we’ve been doing the best we can. There are no new projects coming up, just maintaining through these down economic times," Bigelow said.
The district’s Annual Financial Report shows local and state revenues increasing slightly from last year, with federal revenues down.
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According to Bigelow, this has to do with the federal stimulus money that the school received as a part of President Barack Obama’s stimulus package.
Bigelow explained that the package was only valid for a certain amount of time and expired without a renewal.
In order to balance the FY 2011 2012 budget, Bigelow said the district will use some of its reserves. In addition, the school board adopted the certified tax rate.
"As values go down, taxes automatically go up. The school board did not elect to raise taxes they just adopted the certified tax rate," Bigelow said.
According to Bigelow, the total increase will amount to approximately $22 on a $250,000 home. The State Office of Education sets part of that certified rate.
The district also changed its healthcare provider due to a premium increase of 14.45 percent from Educator’s Mutual Insurance. According to Bigelow, that converted to more than $200,000 in expenditures for 2012.
Bigelow said the district will use the Utah School Boards Association for insurance and save approximately $92,000.
"We think we have better coverage. It’s beneficial to the school district and employees," Bigelow said.