The West Aurora School District is projecting a balanced budget for the 2020-21 school year, district officials said.
The West Aurora School Board recently reviewed a tentative budget showing operating expenditures at an estimated $172.9 million, an increase of $7.3 million – or 4.4% – over the 2019-20 budget.
The district’s operating revenues are projected at $174.3 million, an increase of $7.4 million – or 4.5% – over the current fiscal year.
“Expenses are up in part because they are tied to revenues. We will receive $2.8 million in CARES Act funding (from the federal government), but then we will spend that money on PPE, technology enhancements and professional development. In addition, our salaries and benefits will increase per our negotiated agreements and expenses are budgeted to increase with inflation,” West Aurora School District Assistant Superintendent of Operations Angie Smith said in an email response to questions.
“It is important to note this budget was built assuming that students were going to be back at least for a portion of the year. If that changes, we will have savings on many expenses,” she said.
Those savings include such items are office supplies and copy paper as well as utilities and transportation costs.
“We have significantly reduced transportation costs,” she said.
However, the district anticipates increased costs in personal protective equipment and also technology costs associated with remote learning. Some of those costs will be offset by the one-time infusion of CARES Act dollars from the federal government to help during the pandemic, Smith said.
In the proposed budget, 72% of operating expenditures are for salaries and benefits. The district anticipates paying $96 million in salaries and $27.8 million in benefits which include insurance and required pension payments, Smith said.
West Aurora School District 129 has had several consecutive years of balanced budgets, which district officials attributed to conservative planning and additional state support through the evidence-based funding model adopted in 2017 in Illinois.
The district will begin its fourth year with the evidence-based funding model, with state funding projected at $60 million, an increase of $4.5 million from the previous year.
The district has also received more consistent payments from the state on categorical payments, Smith said.
“The last two years we have actually received all four categorical payments within our budget window,” she said.
The district is projecting to end the 2019-20 fiscal year with a $61.8 million operating fund balance, larger than in recent years.
“The board prioritized growing our fund balances to protect us as much as possible in the event of an economic downturn like we faced during the last recession,” she said. “We do have real concerns about what 2021-22 might look like given the damage that is happening to the economy due to COVID.”
She said the projected fund balance gives the district enough money to operate for 136 days, which “provides us with some latitude if the state were to get behind again or make cuts.”
The School Board will consider a vote on the 2020-21 budget after a public hearing Sept. 21.
Linda Girardi is a freelance reporter for The Beacon-News.
