Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Budget Finance topic
No spam. Unsubscribe anytime.
Board approves FY27 budget assumptions and plans transfers to reduce reserve deficit
Summary
The Mahtomedi board approved FY27 budget assumptions March 23, endorsing enrollment and revenue projections, a modest $128,000 surplus projection, and transfers ($700,000 and $620,000) to reduce a reserve for operating capital deficit created after an earlier large purchase.
The Mahtomedi Public School District board on March 23 approved budget assumptions that will guide preparation of the 2026–27 preliminary budget and multi-year projections, and approved a plan to transfer funds to reduce a reserve for operating capital deficit.
Mr. Ericson presented the assumptions and projections, explaining the district uses a four-year average and cohort analysis to project enrollment and that the basic education formula projection for the coming cycle is 2.69 percent. He said the current projection shows a modest surplus for FY27: "a modest surplus of $128,000," which the budget assumptions incorporate.
Mr. Ericson told the board that some revenue sources—federal funding and certain program revenues—are expected to remain flat and that the voter-approved operating referendum contributed materially to balancing the budget. He also described a state-approved plan to transfer funds into the reserve for operating capital: "we'll be transferring that $700,000 at the end of this year and then we'll transfer another 620 and that'll bring that...assigned fund balance down to that number that you saw in the budget." The transfers are intended to bring the reserve in line with the district’s multi-year projections and with state reporting expectations.
Board members asked clarification questions about assumptions, fund-balance percentages and the mechanics of transfers. Mr. Ericson summarized that the district plans to maintain fund-balance policy targets while using transfers to address a short-term deficit created by a prior large capital purchase.
Director Domen moved and Director Peterson seconded approval of the FY27 budget assumptions and the related transfer plan; the board approved both items by voice vote.
Next steps: staff will incorporate the approved assumptions into the 2026–27 preliminary budget for board review in June and will execute the approved transfers at the fiscal year end per the plan presented to the state.
