District’s Operating Budget Outlook Solid for 2017-18

West Des Moines Community Schools CFO Paul Bobek reported to the School Board in December that the district ended its 2016 fiscal year with increases in its general fund and unspent spending-authority balance.

Given these two conditions, the administration will not recommend a formal budget reduction process for the 2018 fiscal year.

In March, the district administration will conduct its regular staffing process for the 2017-18 school year. This annual administrative process may result in either adding or reducing staff based on student enrollment in programs, courses, or grade levels. The Administrative Services department will also continue meeting with administrators with budgetary responsibilities to review individual budgets.

The fund balance and unspent balance are two key indicators of budget health. The general fund balance increased by $4.7 million and the unspent balance increased by $2.9 million. The unspent balance relates to a district’s legal authority to spend money measured in dollars. The unspent balance is the leftover spending authority at the end of the fiscal year.

Bobek said the increases were the result of the district spending fewer state categorical fund dollars. Categorical funding comes from the state and is targeted for particular categories of students, special programs, or special purposes and has restrictions on its use. Another factor was the reallocation of property tax levy money from the district’s management fund to its general fund.

School Board Workshop Agenda (12-12-2016): Audit and Budget Report