Chief Fiscal Officer Brett Blechschmidt on July 10 provided an overview of the four-year outlook for the district’s general fund. Blechschmidt addressed the need to adopt a sustainable plan amidst ongoing changes that will affect the district’s sources of revenue.
VPS will receive a one-time increase in funding from the state for the 2018-19 school year that will be applied to increased staffing costs; materials, supplies and operational costs; and unfunded employee benefit costs. Part of the one-time increase will help discontinue the reliance on reserve funds used to stabilize staffing and programs in the 2017-18 budget. The new funds also will offset future losses and expenditures.
A slight decline in enrollment at the elementary level will temporarily affect funding that the district receives from the state. Enrollment is expected to reach its lowest level during the 2021-22 school year.
VPS’ financial picture also will be affected in 2019-20 by the second year of the levy swap, which will reduce the amount of local tax dollars and levy equalization funds that the district receives without a corresponding increase in revenue from the state.
The board will vote to adopt the 2018-19 budget at its Aug. 14 meeting.