Treasurer outlines improved revenues, high health‑insurance costs and $4.6M in summer capital projects
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Summary
The treasurer told the board that higher state revenue and improved property‑tax settlements increased the five‑year forecast by about $6.1 million since May, but the district faces a 9.3% health‑insurance renewal and $1.4 million in outstanding permanent improvement encumbrances.
Forest Hills Public Schools Treasurer presented the district’s revised financial forecast, investment results and benefits rates, telling the board a combination of higher state funding and revised property‑tax settlements improved the district’s projected five‑year outlook while rising health‑insurance costs and ongoing capital encumbrances remain pressure points.
Why it matters: multi‑year forecasts guide staffing, programs and capital decisions. The treasurer said House Bill 96 changed the statutory timing for forecasts and this fiscal year’s first submission must be filed by Oct. 15, 2025, requiring the board to act on the updated numbers this meeting cycle.
The treasurer reported the district realized roughly $1.1 million in new state revenue for fiscal year 2026 and an additional $500,000 projected in the following year; when combined with other changes the cumulative difference between the May and October forecasts totaled about $6.1 million. The treasurer framed that improvement as roughly $897 more per student when divided by the district’s enrollment base, while cautioning that statewide per‑pupil financing remains far below national averages.
On expenditures, the treasurer said overall forecasted spending rose by about 0.72% cumulatively since May, driven largely by an unexpectedly large health‑insurance renewal. The district’s health‑insurance renewal will be 9.3% beginning Jan. 1, 2026, higher than the 12‑year average trend the district normally budgets; dental premiums are up 8% but remain below 2022 rates. The district participates in a self‑insured pool (SWISH Health Consortium) that negotiates third‑party administrators and pharmacy management.
Capital and permanent improvements: last summer’s projects were budgeted at $4.6 million, with $3.1 million expended to date and $1.4 million outstanding in encumbrances. The treasurer said that an additional slide will be presented for next month if the bus purchase order is finalized.
Cash and investments: the treasurer said the district had a cash balance of roughly $47 million after August receipts, with an unreserved balance of about $37.1 million; those balances represent approximately 169 days of cash on hand and 133 days of unreserved cash. Investment earnings for the first two months totaled $544,000 but a recent Federal Reserve rate cut may reduce future earnings.
The treasurer recommended the board approve required forecast and appropriation items; the transcript does not record a formal vote at this meeting.
