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Late state budget yields modest net gain; district flags charter and loan impacts
Summary
Administrators said Pennsylvania's late 2025 state budget increases McGuffey's basic education aid by about $20,000, reduces special education funding by roughly $11,000, raises a Ready-to-Learn block grant by $50,000 and—preliminarily—could lower cyber charter tuition costs by an estimated $175,000 under a new formula; the district plans to use incoming state deposits to pay down a $7 million loan.
District finance staff told the board on Nov. 20 that the recently approved Pennsylvania state budget, signed after a roughly 135-day impasse, produces mixed results for McGuffey.
The administration reported a slight increase in basic education funding (about $20,000) and a reduction in special education funding (about $11,000) driven by changes to the district's average daily membership. The Ready-to-Learn block grant, which pays kindergarten salaries and benefits, rose by about $50,000. Taken together, administrators said the district expects a net revenue improvement of roughly $66,000 for the 2025-26 year.
Charlene Aubachuk (finance/business official) told the board that cyber-charter reimbursement language in the new law changes the per-pupil formula but does not create a single flat tuition rate. She said early district estimates suggest the formula could reduce McGuffey's charter outlays by about $175,000 for 2025-26 but cautioned the figure is preliminary pending receipt of the official PDE form and calculations.
Aubachuk outlined cash-flow timing: the district had held some payments pending state subsidy deposits, and she plans to use incoming state payments to repay a roughly $7 million loan; the district's current year-to-date spending is about 29.8% of a $37 million budget, and deposit timing will change some year-to-year comparisons.
The finance presentation also noted federal Title I funds remain intact for now (about $340,000 in district support for elementary reading specialists), Title II supports professional development and Title IV currently covers AP exam fees. The administration advised the board it will form a budget committee after December's reorganization meeting, run building-level budget scenarios in January and provide draft 2026-27 projections for review.
No new tax or program cuts were proposed at the meeting; the board asked that a budget committee be convened early in the new year to review the administration's scenarios and spending priorities.
