Budgets and Reserves Snohomish County
The Edmonds, Everett and Snohomish school districts likely will spend from cash reserves to cover rising salary and operational costs in the 2005-06 school year.
But whether deeper cuts will be needed won't be known until the Legislature decides how to resolve a projected $1.8 billion state budget shortfall.
The delay in electing a governor has also delayed the governor's release of a proposed budget for the 2005-07 biennium until March 21. About 75 percent of financing for public schools comes from the state.
"We're always a little in the dark until the Legislature approves a budget, but this year we're in more-than-normal darkness," said Jeff Moore, the director of finance for Everett schools.
Everett anticipates spending about $1.6 million of its $14.5 million in reserves to cover salary increases and other operational costs, said Moore.
District enrollment has held steady for the past two years, but operating costs have climbed. The district cut $2.5 million from a $145.7 million budget in 2003-04 and about $500,000 this school year.
Edmonds will spend about $3 million from its $15.2 million in reserves to cover salary and benefit increases in the 2005-06 school year, said Marla Miller, the executive director of business and operations. The district's operating budget this year is $156.3 million.
Edmonds has trimmed $5.3 million from its annual budget since the 2002-03 school year. But over the same period, enrollment declines have meant less state funding, while salaries, benefits and other costs, including utilities and transportation, have continued to rise.
Edmonds had intentionally built up its reserve fund over the past two years in anticipation of settling a new three-year contract with district teachers last September, Miller said.
Snohomish expects about a $1.5 million gap between revenue and expenses in 2005-06, said Karen Riddle, the executive director of business and operations. Riddle said the district will draw from a $6.4 million reserve fund over the next two years to make up the difference. The district's budget for the current school year is $66.3 million.
The Mukilteo and Marysville districts expect to make cuts, though officials there don't expect to tap into cash reserves.
Mukilteo administrators cut about $1 million of a $100 million budget in 2003-04 and about $250,000 this year, said district spokesman Andy Muntz. But he said increased enrollment this year, after two years of little growth, will help offset rising costs, and no additional cuts are anticipated next year.
Marysville also anticipates cutting about $1.5 million from its budget next school year, said finance director Jim Baker. But unlike other districts, Marysville used up most of its cash reserves to cover costs related to a lengthy teachers strike last school year. Marysville's budget this year is $84 million.
"Enrollment is growing, but the state doesn't have the money to meet schools' increasing costs. We're hoping for the best but planning for the worst," Baker said.
But whether deeper cuts will be needed won't be known until the Legislature decides how to resolve a projected $1.8 billion state budget shortfall.
The delay in electing a governor has also delayed the governor's release of a proposed budget for the 2005-07 biennium until March 21. About 75 percent of financing for public schools comes from the state.
"We're always a little in the dark until the Legislature approves a budget, but this year we're in more-than-normal darkness," said Jeff Moore, the director of finance for Everett schools.
Everett anticipates spending about $1.6 million of its $14.5 million in reserves to cover salary increases and other operational costs, said Moore.
District enrollment has held steady for the past two years, but operating costs have climbed. The district cut $2.5 million from a $145.7 million budget in 2003-04 and about $500,000 this school year.
Edmonds will spend about $3 million from its $15.2 million in reserves to cover salary and benefit increases in the 2005-06 school year, said Marla Miller, the executive director of business and operations. The district's operating budget this year is $156.3 million.
Edmonds has trimmed $5.3 million from its annual budget since the 2002-03 school year. But over the same period, enrollment declines have meant less state funding, while salaries, benefits and other costs, including utilities and transportation, have continued to rise.
Edmonds had intentionally built up its reserve fund over the past two years in anticipation of settling a new three-year contract with district teachers last September, Miller said.
Snohomish expects about a $1.5 million gap between revenue and expenses in 2005-06, said Karen Riddle, the executive director of business and operations. Riddle said the district will draw from a $6.4 million reserve fund over the next two years to make up the difference. The district's budget for the current school year is $66.3 million.
The Mukilteo and Marysville districts expect to make cuts, though officials there don't expect to tap into cash reserves.
Mukilteo administrators cut about $1 million of a $100 million budget in 2003-04 and about $250,000 this year, said district spokesman Andy Muntz. But he said increased enrollment this year, after two years of little growth, will help offset rising costs, and no additional cuts are anticipated next year.
Marysville also anticipates cutting about $1.5 million from its budget next school year, said finance director Jim Baker. But unlike other districts, Marysville used up most of its cash reserves to cover costs related to a lengthy teachers strike last school year. Marysville's budget this year is $84 million.
"Enrollment is growing, but the state doesn't have the money to meet schools' increasing costs. We're hoping for the best but planning for the worst," Baker said.
posted by Mike at 6:04 AM
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