The MSAD52 Board of Directors convened on March 20, 2025, to discuss significant financial adjustments aimed at addressing the district's evolving needs, particularly in special education and technology upgrades. The meeting highlighted the board's proactive approach to managing its budget amidst uncertainties regarding federal funding.

A key proposal involved transferring $200,000 from the district's unallocated fund balance into the special education reserve fund. This move is intended to prepare for unanticipated expenses related to an increase in special education students, which may necessitate additional staffing and resources. Currently, the special education reserve fund holds $200,000, but the board anticipates needing to access these funds in the upcoming fiscal year.

In addition to special education funding, the board proposed establishing a system administration reserve fund with a recommended transfer of $100,000. This fund aims to upgrade the district's outdated financial software, which has not been updated since 2010. The board has already engaged with two software companies to explore options for this critical upgrade.

The meeting also addressed the capital repair reserve fund, with plans to allocate significant resources for essential projects, including roof repairs at Leeds and elevator replacements at the high school. Furthermore, the board proposed adding $9,200 to the technology reserve fund to support ongoing technology needs, including the district's share of the E-rate project.

A notable concern raised during the meeting was the potential loss of Title grants, which provide crucial federal funding for various educational programs. The board discussed adding $200,000 to the regular instruction reserve fund as a buffer against this uncertainty. This precautionary measure aims to ensure the district can maintain its educational services even if federal funding decreases.

The board's discussions underscored the importance of financial stability in the face of changing funding landscapes. With an unaudited unallocated fund balance of approximately $5.5 million, the board is navigating the complexities of budget management while preparing for potential legislative changes that could affect funding limits.

As the board moves forward, it plans to revisit these financial strategies in May, ensuring that all decisions align with the district's long-term goals and the needs of its students. The proactive measures discussed during this meeting reflect a commitment to maintaining educational quality and stability in an uncertain fiscal environment.