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Warren City board hears five‑year forecast, approves revised 2025 appropriations amid state funding uncertainty
Summary
The Warren City Board of Education reviewed a May five‑year forecast showing a projected $41 million operating gap driven by a $43 million transfer to permanent improvements and state funding uncertainty tied to House Bill 96. Trustees approved a revision to the district's 2024–25 permanent appropriation measure during the meeting.
The Warren City Board of Education reviewed its May five‑year financial forecast and approved a revision to the district’s fiscal 2025 permanent appropriation measure as administrators warned state funding proposals could substantially change the district’s outlook.
The superintendent’s financial presentation, delivered during the board meeting by Miss Hartino (title not specified in the transcript), said the district’s beginning cash balance was “just shy of 70,000,000” and the projected ending balance was $28,000,000, representing a projected loss of roughly $41,000,000 in the forecast period. “Please keep in mind that we transfer $43,000,000 out of our general fund to COVID improvement dollars,” Miss Hartino told trustees.
The forecast the district used follows the governor’s proposed budget baseline and assumes continuation of the fair school funding plan; Miss Hartino also briefed trustees on pending legislation including House Bill 96, which she said could eliminate the fair school funding plan. “The other proposal out there is the House Bill 96, which has some significant financial impacts…they would no longer have the fair school funding plan,” she said.
Why it matters: Warren City Schools receives an estimated 75% of revenues from state funding and about 18% from local property taxes, so statewide funding changes would disproportionately affect the district’s operating budget. Miss Hartino also flagged proposed legislation that would limit cash reserves to 30% of operating expenditures, which she said “would be very detrimental to school districts.”
Details and assumptions: The forecast uses 2022 salary-and‑benefit averages for base cost calculations (per the governor’s proposal), which Miss Hartino said understates current salary levels. She described the forecast as conservative in later years, emphasized that year‑five numbers are planning estimates, and noted a one‑time, large transfer of permanent improvement dollars that affects the projected cash balance. The presentation also noted projected changes in the state share of base cost—from 84% in 2025 projected down to 79% by fiscal 2029—driven by increasing local property values and declining enrollment assumptions.
Trustees approved the recommended revision to the district’s permanent appropriation measure during the meeting. The item appeared on the consent agenda as a recommended resolution to revise the fiscal 2025 permanent appropriation measure; the motion was seconded and carried.
Board direction and next steps: Miss Hartino and the administration presented the forecast as a planning tool and described several district responses already in place, including using permanent improvement funds, refinancing capital debt to preserve cash, and transferring planned financing obligations out of general operating appropriations. Administration said it will continue to monitor state legislation through the June 30 budget deadline and update the board as developments occur.
No formal election of a new policy or budget beyond the appropriation revision was taken during the discussion; trustees did approve the appropriation revision item on the agenda.
