001Hi, this is Phil Fry, director of business and finance for the Sunbury area school district, giving the school board and the public report on the 2526 fixed budget inputs. So to begin with uh the report that you see ties into our policy DB which is the annually annual operating budget and then also into OE5 uh the monitoring report that we do on the budget. So, just to be clear how it ties into those two things. So, this report again on fixed uh budget inputs. When we say fixed, uh we think it's a good time to give the school board an update on this. Uh things that are fixed are really things that are out of our control. They're either controlled by the state or the federal government or controlled by things like community growth. So,
002hopefully that makes sense as I go through this report. a much detailed um budget review will be happening on January 23rd uh 25 meeting that will go over the first draft of the 2526 budget. So first thing that we want to talk about is enrollment. Um you heard uh the school board heard a report on enrollment on February 10th. that in report show that the University of Wisconsin is projecting that the student um decrease for Sun Prairie will be about eight students next year. Um as you know, we'll monitor that throughout the summer and fall and see where our third Friday count comes in in September, but for now the budget is built on that decrease of eight students in the budget. Again, that's from the University of Wisconsin APL report which is linked in
003here and on page 21, you can see the details. Second thing that we call as a fixed item is our debt levy. So debt is what we took out uh many times when we have a referendum to build schools. Um that levy is set for just over $9 million. That might seem low to people and it is, but remember part of the November 5th referendum is transferring quite a bit of money from fund 10 to the debt service just as the planning for the next four years and how that will work out. So if there's more questions on that, I can answer at the meeting. But again that there's be a large transfer from fund 10 to debt. Um and again that's just how we set up the referendum to lessen the mill rate impact.
004Third thing that uh we get from the state is called equalized aid. Um at this point we don't know what that aid will be. The state budget's definitely unknown at this point and we won't know the state budget till probably later in the summer. But we do get estimates from our forecast modeling from Robert W. Barrett that shows a aid estimate of 64 million or almost 65 million which is an increase of 6.6%. On July 1st we will get our first estimate from estimate from DPI and then we'll update that aid if or as needed. Another thing that's kind of out of our control is open enrollment. So these are students that either come into our district or leave our district from open enrollment. Um you can see a full report is linked in here
005of past history on that. The um open enrollment budgets in and out will be again adjusted in after the third Friday count. Property value at this point I'm estimating a 6% increase in property value. That would take our total property value for the district to $9 billion. Um but again we won't know property value till October 1st. So that's an estimate. Um and then we'll again update that on October 1st when we get that number. Then the big one is the revenue cap increase from the state of Wisconsin. Uh the last two years we've the all districts have received $325 increase. We are using that amount um for the 2526 budget and 27. Um but we will um adjust that obviously when the state budget is finalized and if that number changes hopefully uh stays
006the same or gets bigger that'd be great. if it goes down, we'll have to readjust the budget downward. So, another thing that we'll have to have um a close eye on. And then the last thing I mentioned, typically I don't at this meeting um this time of year, but is federal funding because that is a hot topic. And so, at this point, we're building the 2526 budget, assuming that we'll get the same amount of federal funding that we received basically this year. obviously goes up and down a little bit each year, but um we're assuming that um obviously we're following the federal funding just like everyone else is. And if there's a dramatic difference for the 2526 budget, we'll have to adjust the budget. And if that budget federal funding would be decreased dramatically, we'd
007have to dip in the fund balance uh on a short-term basis. But at this point uh we're basing that there will be no change to the federal funding budget and it is getting kind of late in the timeline or for that too. So with all that said uh those are kind of what we again call the fixed items. Again on in late June you'll hear a detailed budget report in the 2526 budget. Um this is for information only. Definitely no action on this because as I said before a lot of these things aren't um under our control. And then um again you'll hear that that next detailed budget report will be the end of June. If you have any questions just please reach out to me and I'll see you on Monday night. Thank you.
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