LWSD Superintendent Pierce addresses the Budget and other financial matters of the district

 

Superintendent's Message

Dr. Traci Pierce, Superintendent

Budget is always a hot topic this time of year. State budget proposals have been released from the governor, the Senate and the House. School districts are waiting for the legislature to complete its work so we can complete our local budget processes.

You may have heard that our state legislature has finished their work in the 105-day legislative session. Governor Jay Inslee announced that he will call legislators back to Olympia on May 13 to begin a special session. In his announcement, Governor Inslee said the legislature needs to focus on, among other things, "an operating budget that makes a substantial down payment on education," and "important education policy measures to ensure that new education funding will achieve results."  Read More >>

While we are waiting for the legislature to complete their work, we continue with our focus on our mission and vision for students. As you will recall from my past columns, we are focused on five strategic goals to help us reach our mission and vision for students:

1. Ensure academic success for every student
2. Provide safe and innovative learning environments
3. Recruit, hire, and retain highly effective personnel
4. Use resources effectively and be fiscally responsible
5. Engage our communities  

Goal four, which centers on effective use of resources and fiscal responsibility, is one we take very seriously in our district. One measure of fiscal responsibility is the annual state audit. You can find Lake Washington School District audits, along with other local government audits, on the Washington State Auditor's Office website. Our business services staff works very hard to make sure we follow all state and federal regulations as well as accepted accounting practices.

In addition to state funding, we receive funding from our local levies, from the federal government and from fees paid by students and families. A little over half of the general fund (51.5 percent) comes from the general state apportionment while another 10 percent is state funding that is directed to specific programs. Local levy funding has taken on a greater role than ever in the last few years, providing almost 23 percent of the district's general operating budget. Federal funding has fallen to just 6.3 percent of district revenues.

A capital levy pays for major facility repairs and upgrades and for technology. The district can also sell bonds to raise money to build new schools and/or modernize/replace old ones. We are currently reviewing options for a replacement capital levy and for construction bonds, through the bond and levy input process.

Each year, we develop the new budget through an internal process that includes asking departments for any additions or changes. The Strategic Advisory Leadership Team (SALT) reviews all requests for additions to the budget and makes recommendations for changes to the superintendent. The superintendent presents the budget to the school board for their review and eventual approval. If there are significant budget changes, when there have been major state funding cuts, for example, the district has expanded the process to include public input, particularly from parents.

It's important, though, to ensure that expenditures are made thoughtfully. As we have been developing a strategic plan, aligning expenditures to our strategic work has become part of the budget review process.

Part of the school board's requirements are to maintain a five percent fund balance. That cushion ensures the district can keep going even if funding changes suddenly. In recent years, the district has been able to maintain a slightly larger fund balance.

I will be waiting to see how our budget may change, depending on the state legislature's work. I am encouraged that we will not see repeats of the budget cuts of past years. If Governor Inslee's "substantial down payment" is the result, it will be even more important that we align any new expenditures with our strategic work. 

About LWSD District

By Traci Pierce
Source:  LWSD Council PTSA "Currents" Newsletter, May, 2013