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State Aid in 2010-11

Update 3-11-10

by Bill Heimann

March 07, 2010

NDE released state aid certification for the 2010-11 school year (and revised the data on March 11, 2010). To view the details, the information for all school districts is located on the Nebraska Department of Education website

The result is:







This is a significantly greater revenue loss for next year than anticipated. The state aid formula is complicated. In simple terms, the Formula works by NEEDS minus RESOURCES equals AID.

NEEDS: 2009-10 total needs were $15,743,818; 2010-11 total needs are $15,947,058. This means according to the formula our needs are a bit higher than last year.

RESOURCES: 2009-10 total resources were $14,050,567; 2010-11 total resources are $14,510,700. This means according to the formula our resources are greater than last year.

AID: Needs – Resources = Aid…the gap between our resources and our needs grew, thus the reduction in state aid.

This loss includes the State Fiscal Stabilization money. In other words, if Nebraska didn’t put federal stimulus dollars towards state aid, we would have lost an additional $235,880. In 2011-12 the state fiscal stabilization funding will disappear.

We are doing everything we can to maximize the factors that go into the state formula, there have been no financial mistakes made in District 145. Many districts across the state will receive a large increase or decrease in state aid for next year.

District 145 has been taking action throughout the year to improve our financial position. Monthly expenditures are approximately $1,400,000…but our cash reserve is less than that, which causes us to borrow money each month to pay our bills. At the end of the year, tax receipts (and state aid revenue) are sufficient for us to pay back the short-term loan.

Most of our budget is fixed with recurring costs for personnel, utilities, materials, supplies, and operation of programs, transportation and facilities. Those costs increase each year, especially in a district with growing enrollment.

Recent state aid receipts:

2008-09 = $2,526,193.53

2009-10 = $2,070,784.06

2010-11 = $1,340,832.06

Represents a $1,185,361 reduction in state aid revenue over three years (46.9%)

The State Economic Forecasting Board will meet April 14, 2010 to release its future projections. It is estimated that the next state biennium budget for 2011-13, there may be a substantial shortfall. This could result in possible further state aid reductions in the future.

During this challenging economic environment, we will maintain fiscal restraint – and keep our focus on student learning. We will continue to examine all information and formulate a plan that reflects our current situation. As soon as the plan has been identified, it will be communicated to the staff and patrons.

District 145 has faced challenging times before, and we will work together to tackle the issue. District News Updates

State Aid

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