Manheim Township budget report: staff cites $1M surplus and will recommend transfer to capital reserve

Donna Robbins, who presented the board’s year‑end financial review, told the Manheim Township School Board that the 2024–25 fiscal year finished with "a little bit over $1,000,000" in surplus and several notable revenue and expense variances.

Robbins said revenues exceeded the 24‑25 budget by about $5,560,000 while expenditures ran roughly $1,960,000 over budget, producing an overall positive revenue variance she quantified as 4.6%. She attributed higher revenues to stronger local earned‑income and transfer taxes and elevated interest earnings ($724,000 and $776,000, respectively, in Robbins’s figures).

Why it matters: Robbins said staff will recommend that the board transfer up to $1,000,000 of the surplus to the district’s capital reserve to reduce future borrowing for HR needs and the campus master plan. She described the district’s fund balance as approximately $22,400,000 and explained how those funds are assigned for self‑insurance, capital projects and curriculum/technology.

Robbins warned that the late passage of the state budget produced unanticipated "adequacy" funds for the district; she reported an adequacy funding figure of $1,758,000 that was not budgeted and described the district’s decision to recognize only half of expected dollars in planning for the current year. She also noted a charter transition receipt of $156,000 for 24‑25 and an expected related loss of about $154,000 tied to revisions in tuition calculations.

On costs, Robbins highlighted that special education and transportation were the two largest expense variances and that, despite those pressures, the district’s $84,000,000 salary line came in approximately 0.44% under budget. She said the district follows a multiyear planning approach and will present audited 24‑25 financial statements at the next work session.

Board members asked follow‑ups about restrictions on adequacy funds and the general fund cap. Miss Zimmerman asked whether stipulations govern adequacy dollars; Robbins replied that there are stipulations and staff can report operating guidance. Another board member asked whether the general fund balance is capped at 8%; Robbins confirmed the cap applies.

Next steps: Robbins said the administration will recommend a formal transfer of up to $1,000,000 to capital reserve at an upcoming meeting and that the district’s financial adviser (Raymond James) will present debt and borrowing scenarios at the January work session.