Midyear budget review: McGuffey staff warn of possible deficit as assessed value falls

The district's business official briefed the committee on midyear fiscal results and a preliminary outlook for 2025—6. The packet showed budgeted revenue of $34.9 million; as of Dec. 31 the district had collected roughly 70.4% of that total. Expenditures were budgeted at $35.9 million, with spending at about 44.4% of that budget at midyear.

Ms. DeDylan highlighted several pressure points: retirement contribution rates rising from 33.9% to 34%; an anticipated 9% increase in health-care costs through the consortium; and a projected 3% salary assumption that would increase payroll by about $427,000. She also flagged a $14 million decrease in assessed property values from November 2024 figures (from about $950 million to $936 million), which she said would reduce revenue by roughly $200,000 if the millage remains unchanged. The administration noted the Act 1 index (maximum cited as 14.62) could be used to increase revenue by an estimated $450,000 but cautioned that increased revenues may be offset by rising expenditures.

On federal funds, the presenter said ESSER pandemic-era grants have ended and forecast federal funding around $500,000 for 2025—6; cyber-charter costs remain a significant recurring expense. The business official said she will deliver a preliminary 2025—6 budget to the board in February and the final proposed budget by May.

The board had no formal votes; members asked for more detail on CTE/Ag program costs, cyber-charter expenditures and options for millage adjustments prior to finalizing next years budget.