Cuyahoga Falls board reviews multi‑million dollar recovery plan; closing an elementary and selling buildings are options

The Cuyahoga Falls City School District Board of Education on Feb. 12 heard a financial recovery plan from district finance staff that showed multi‑year deficits and presented a mix of one‑time and recurring options to get the district back into the black.

The presentation, led by Miss Stojcoy (finance presenter), showed the district moved from a projection of roughly a $3.8 million gap in an earlier forecast to a plan that trims that shortfall by about $3.9 million through a combination of revenue changes, expenditure reductions and one‑time infusions. Staff told trustees the Ohio Department of Education (ODE) will not accept building‑sale proceeds as an ongoing revenue source for forecast recovery unless a sale is guaranteed.

Why this matters: the plan affects staffing, bus purchases, building maintenance and whether the district will need to seek new levy revenue. Board members asked for a public process to guide any decision about closing an elementary school and scheduled a future agenda item to develop that process.

Key figures and measures - November forecast: roughly $3,800,000 shortfall in the third forecast year. Staff said earlier assumptions required about a 13 percent revenue increase to balance; after plan adjustments the district now estimates needing roughly an 11.5 percent revenue increase or roughly $7.3 million in expenditure reductions over the forecast horizon to stabilize cash. - Days cash: staff said the district moved from about six days of cash in the earlier forecast to roughly 16 under the recovery plan but cautioned that 16 days still creates tight payroll periods.

One‑time and recurring steps recommended - Staffing and salaries: staff proposed relying largely on attrition and not filling some positions, including administrative retirements and temporary contracts that end. The plan assumes lowering a projected 2% base salary increase to 1% in some years to reduce costs. - Department/building budgets: a 10% reduction in department and building discretionary budgets for next school year. - Capital purchases: reduce bus purchases from two new buses per year to one; postpone an operations building roof and shift funds to the DeWitt roof; defer purchase of a maintenance van. - Insurance: staff raised projected insurance costs from 10% to 15% in the near term based on recent claims experience.

One‑time infusions examined - Sale of two district buildings: staff used an appraisal figure of $3.5 million as a conservative estimate for proceeds, but told the board ODE will not count unsold building proceeds in the forecast unless a sale is contracted. - LFI funds: staff said there is excess balance in a local facilities (LFI) account and proposed conservatively using $1.5 million toward debt service instead of the general fund, improving the forecast if available when projects close out. - Combined effect: using both the $3.5 million building‑sale estimate and $1.5 million of LFI funds improves the forecast materially in years three to five but is a one‑time remedy and does not remove the need for ongoing recurring savings or new permanent revenue.

Elementary‑school closure as a major lever Staff presented analysis showing an average elementary building has associated annual costs (utilities, staffing, supplies and capital) that total roughly $3.1 million on a per‑building basis. The presentation factored in only half of salary and benefit savings (staff said they do not expect full elimination of all positions tied to a closed building). Implementing the closure was modeled for the third forecast year; staff said, if the board chose that path, the district would still operate six elementaries through the coming school year and the following year and would act to close an elementary in fiscal year 2026–27.

Board response and next steps Trustees acknowledged the unpalatable choices. Several members said they want a clear, community‑facing process before any building closure decision. The board agreed to place an agenda item for fall 2025 to discuss a decision‑making framework and community engagement plan. Staff will bring back documentation trustees requested, including bus age and fleet data and clearer year‑by‑year breakdowns of what emergency‑levy funds would cover.

Votes and motions at the meeting The board approved routine agenda and consent items that will allow staff to proceed with the financial recovery plan process. Specific actions approved that relate to the presentation included adoption of the treasurer/CFO consent agenda and the superintendent consent agenda (see "Votes at a glance" below). Staff emphasized that several of the modeled moves (building sale, LFI use, closure of an elementary) are contingent on further board direction and, in some cases, outside approvals.

Ending note Staff emphasized that, while one‑time steps narrow the near‑term gap, the district still needs recurring revenue or structural expenditure reductions to remain solvent beyond the forecast window. Trustees asked for continued, regular updates and for staff to prepare a public engagement timeline if a building‑closure option advances.