In order to set a budget for the school year, the Burnsville-Eagan-Savage School District 191 Board of Education works through a process that includes a review of current finances, enrollment, and revenue and expense projections. The board sets priorities based on the district's mission, reviews recommendations from administration and eventually adopts a budget, usually in June before the next school year begins.
Each fiscal year, the District revises its budget to reflect the most current information regarding enrollment, revenues and expenditures. A revised budget is usually adopted midway through the school year.
Advance goals of Vision One91
Keep current class size guidelines
Maintain academic programming
Stay true to messages during levy
Current Budget Reality
The district receives most of its funding (72%) from the state of Minnesota on a per pupil basis. In recent years, state funding has increased by about 2 percent each year, equaling about $1.5 million in revenue. Meanwhile, the district’s cost of doing business increases by about 3.5 percent per year, or about $4 million in new expenses.
This funding gap has been filled by using a fund balance (savings account) which the Board of Education had strategically built up to weather the ups and downs of state funding. This use of fund balance to balance the budget is not sustainable, so the district must align expenditures with revenue.
Due to declining enrollment, adjustments are needed to keep staffing and programs aligned with enrollment.
Why are we looking at a deficit when our community just passed two levy questions?
Whether or not the levy was approved, we’d be making adjustments. That’s because the cost of doing business increases by 3.5 percent each year while major source of funding (from the state) increases by only 2 percent. Fortunately, because the levy was approved our reductions will be around $4 million. If the levy had not been approved, cuts would total $12 million.
Original Recommendations: At an April 12 work session, the Board of Education heard and discussed budget recommendations totaling about $4.4 million in spending reductions spread across the district, including departments, administration and schools.