Treasurer presents five‑year forecast; warns expenditures outpacing revenues, recommends pursuing local revenue and advocacy
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Summary
The district treasurer presented an unqualified fiscal audit and a five‑year forecast showing expenditures rising faster than revenues, recommended considering a 1% earned income tax in November and urged community advocacy amid potential state funding changes and petitions to eliminate property taxes.
The Amherst Exempted Village Schools treasurer told the board that an independent audit released May 8 returned an unqualified opinion and that a five‑year forecast shows expenditures increasing faster than revenues, prompting a recommendation to seek new local revenue and intensified legislative advocacy.
The treasurer (name not specified in the transcript) said Julian Group performed the fiscal 2024 audit and that the district received “an unqualified opinion,” while noting two management‑letter items, including an over‑appropriation tied to ESSER funds and a missed local records commission meeting in fiscal 2024.
On the five‑year forecast the treasurer told the board, “Expenditures always increase more rapidly than revenues.” He outlined key assumptions: enrollment trends, negotiated salary increases, healthcare inflation, and uncertain state funding under the Fair School Funding plan. The treasurer recommended modeling a school district earned income tax — “In the modeling of the school district, income tax represents my recommendation” — and emphasized that “A levy has not been decided upon by the Board of Education.”
The forecast included recent revenue and expenditure snapshots presented by the treasurer: revenues have risen from roughly $35.2 million in earlier years to about $41.8 million this year (a roughly 18% increase over 15 years), but appropriations are projected to exceed $50 million by the end of the forecast period. He called attention to an assumed need for new money in November and a property‑tax renewal by November 2027 to maintain current service levels.
Board members pressed administration about ballot activity and worst‑case scenarios. One board member asked whether petitions to remove property taxes might reach November ballot measures and what the district’s timeline would be if such a measure passed; the treasurer replied that the district could face a rapid cash‑flow crisis if local property tax revenue stopped and that federal program funding (about $1.25 million annually for programs such as Title I and IDEA) masks underlying general‑fund pressure.
Following the presentation the board approved the financial reports and the five‑year forecast as presented (motion and roll call recorded). The treasurer stressed cost containment and advocacy: he urged parents and residents to contact legislators and said the forecast will need updating once state budget outcomes are finalized in June. No final levy decision was recorded at the meeting.