Warsaw Schools' 2008 Budget Nears $60M
July 28, 2016 at 4:25 p.m.
By David [email protected]
The total of the seven funds that make up the estimated budget for 2008 is $59,946,043. The proposed total is 6.3 percent ($3,537,554) more than the 2007 budget of $56,408,489.[[In-content Ad]]Chief Financial Officer Kevin Scott reviewed the figures with the full school board, including comparing the tax rates for the budget to previous years and other area school corporations' 2007 tax rates. The tax rates are advertised high, but are lowered by the time the budget is approved by the Department of Local Government Finance.
In 2007, the advertised tax rate for all seven funds totaled $2.5166, with the actual tax rate ending up at $1.1805. In 2006, the tax rate was $1.2712, and was $1.1506 in 2005. For 2008, the tax rate was advertised as $2.5200. The DLGF will review and reduce that tax rate.
At other school corporations, Scott showed that Goshen had a 2007 total tax rate of $1.7104, Concord at $1.6791, Wa-Nee at $1.6588, Elkhart at $1.5387 and Culver at $0.7891. Even though Culver had a tax rate of less than $1, Scott pointed out that its debt service fund had a tax rate of $0.1704 in 2007, while Warsaw's was $0.1580.
School budgets include seven funds, including the general fund, debt service, capital projects, transportation, bus replacement, preschool and retirement/severance.
The general fund includes items such as teacher salaries and benefits. Scott said pay and benefits remain above 90 percent of the general fund budget. Most school corporations try to avoid that 90 percent figure because it doesn't give the school corporation leeway in case of an emergency. Medical benefits for 2008 also increased by 9.1 percent, and the cost of heat continues on an upward trend. For the wage increases assumed in the general fund, Scott said that translates to significant dollars.
He said, "$325,000 is a 1 percent increase across 1,000 employees."
Other items on the rise in the general fund include summer school and a reduction in federal special needs funding.
The estimated total of the general fund for 2008 is $42,517,031.
Utilities are one of the items paid for out of the capital projects fund. However, school corporations' ability to pay for utilities was capped at the 2007 level so any increase in 2008 must be paid out of the general fund. Scott said about $1.2 million will be used to pay utilities out of the capital projects fund, with another approximate $1.5 million coming out of the general fund.
One of the largest items to be paid out of the $8,877,790 capital projects fund 2008 estimated budget will be for pool repairs and Career Center roof work at the high school for about $550,000.
Dan Robinson, school board vice president, asked Scott what work was going to be done at the pool that will cost that much. Scott said filters need replaced, bacteria will be killed off to improve air quality and the plumbing needs an overhaul. Until the plumbing is fixed, Scott said the pool will continue to "limp along."
Superintendent Dr. Robert Haworth said pool expenses are one of Warsaw Schools' top capital projects annually. Besides a swimming pool, the high school also has a diving pool. Scott said they will look at getting the pool and roof work done through a guaranteed cost-savings contract.
Tammy Dalton, school board member, asked if Warsaw has been lacking in its pool maintenance, or if it was due to normal wear and tear. Scott said Warsaw has been doing maintenance, but the pool is about 20 years old.
For the transportation fund, Scott said he assumed a 4.9 percent budget growth for 2008. The 2008 estimated total for the fund is $2,696,910.
The other funds include $4,404,669 for debt service, $339,064 for the preschool fund, $567,000 for bus replacement fund and $543,579 for retirement/severance.
Scott will ask the school board to approve the proposed 2008 budget at its 7 p.m. Sept. 17 meeting.
School board members are President Ron Yeiter, Robinson, Secretary Gene England, Tammy Dalton, Deb Wiggins, Delores Hearn and Chuck Sauders.
The total of the seven funds that make up the estimated budget for 2008 is $59,946,043. The proposed total is 6.3 percent ($3,537,554) more than the 2007 budget of $56,408,489.[[In-content Ad]]Chief Financial Officer Kevin Scott reviewed the figures with the full school board, including comparing the tax rates for the budget to previous years and other area school corporations' 2007 tax rates. The tax rates are advertised high, but are lowered by the time the budget is approved by the Department of Local Government Finance.
In 2007, the advertised tax rate for all seven funds totaled $2.5166, with the actual tax rate ending up at $1.1805. In 2006, the tax rate was $1.2712, and was $1.1506 in 2005. For 2008, the tax rate was advertised as $2.5200. The DLGF will review and reduce that tax rate.
At other school corporations, Scott showed that Goshen had a 2007 total tax rate of $1.7104, Concord at $1.6791, Wa-Nee at $1.6588, Elkhart at $1.5387 and Culver at $0.7891. Even though Culver had a tax rate of less than $1, Scott pointed out that its debt service fund had a tax rate of $0.1704 in 2007, while Warsaw's was $0.1580.
School budgets include seven funds, including the general fund, debt service, capital projects, transportation, bus replacement, preschool and retirement/severance.
The general fund includes items such as teacher salaries and benefits. Scott said pay and benefits remain above 90 percent of the general fund budget. Most school corporations try to avoid that 90 percent figure because it doesn't give the school corporation leeway in case of an emergency. Medical benefits for 2008 also increased by 9.1 percent, and the cost of heat continues on an upward trend. For the wage increases assumed in the general fund, Scott said that translates to significant dollars.
He said, "$325,000 is a 1 percent increase across 1,000 employees."
Other items on the rise in the general fund include summer school and a reduction in federal special needs funding.
The estimated total of the general fund for 2008 is $42,517,031.
Utilities are one of the items paid for out of the capital projects fund. However, school corporations' ability to pay for utilities was capped at the 2007 level so any increase in 2008 must be paid out of the general fund. Scott said about $1.2 million will be used to pay utilities out of the capital projects fund, with another approximate $1.5 million coming out of the general fund.
One of the largest items to be paid out of the $8,877,790 capital projects fund 2008 estimated budget will be for pool repairs and Career Center roof work at the high school for about $550,000.
Dan Robinson, school board vice president, asked Scott what work was going to be done at the pool that will cost that much. Scott said filters need replaced, bacteria will be killed off to improve air quality and the plumbing needs an overhaul. Until the plumbing is fixed, Scott said the pool will continue to "limp along."
Superintendent Dr. Robert Haworth said pool expenses are one of Warsaw Schools' top capital projects annually. Besides a swimming pool, the high school also has a diving pool. Scott said they will look at getting the pool and roof work done through a guaranteed cost-savings contract.
Tammy Dalton, school board member, asked if Warsaw has been lacking in its pool maintenance, or if it was due to normal wear and tear. Scott said Warsaw has been doing maintenance, but the pool is about 20 years old.
For the transportation fund, Scott said he assumed a 4.9 percent budget growth for 2008. The 2008 estimated total for the fund is $2,696,910.
The other funds include $4,404,669 for debt service, $339,064 for the preschool fund, $567,000 for bus replacement fund and $543,579 for retirement/severance.
Scott will ask the school board to approve the proposed 2008 budget at its 7 p.m. Sept. 17 meeting.
School board members are President Ron Yeiter, Robinson, Secretary Gene England, Tammy Dalton, Deb Wiggins, Delores Hearn and Chuck Sauders.
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