At some point in time during each legislative session, funding for the BSA (Base Student Allocation) in Alaska is approved and we are able to "crunch the numbers" and determine what our funding for the coming year will be. So ... once we know how much money we will have to spend, how do we decide how to spend it? As is true with everything related to school finance, the question is both simple and complex! This budget blog will explain how the CRSD goes about budgeting our funds for the upcoming school year.
Honestly, we always begin with the previous year's budget. Because we are an REAA, our budget does not tend to change dramatically from one year to the next. We use the previous year's budget as a starting point and review our expenditures from the year. Did we overspend in certain areas? Underspend? Do we need to add positions? Eliminate programs? Expand opportunities? What are the financial implications of the things we would like to do? Need to do? Must do?
The Director of Finance prepares a preliminary budget, based on what we believe our funding will be, and meets with the Superintendent to review the initial recommendations. All of this information is then presented to the Board of Education's Budget Committee members, who provide input. Budget presentations are then made to each of the Advisory School Boards (ASBs) and school staffs, where additional input is invited. Based on this input, the preliminary budget is adjusted and tweaked to reflect local needs and priorities.
Meanwhile, budget work is often happening while we are hiring new staff for the coming school year. Each of these "new hires" will impact they budget, as they may be more or less costly (in terms of salary) than a person retiring or leaving the district. For the Director of Finance, the budget is truly a process (as in, she works on it every single day!), rather than being a one-time event! A lot of projecting must occur, as well, as the current school year has not yet concluded, so we don't know exactly how much we will spend on things like energy and fuel. There is both an art and a science to educational finance!
Honestly, we always begin with the previous year's budget. Because we are an REAA, our budget does not tend to change dramatically from one year to the next. We use the previous year's budget as a starting point and review our expenditures from the year. Did we overspend in certain areas? Underspend? Do we need to add positions? Eliminate programs? Expand opportunities? What are the financial implications of the things we would like to do? Need to do? Must do?
The Director of Finance prepares a preliminary budget, based on what we believe our funding will be, and meets with the Superintendent to review the initial recommendations. All of this information is then presented to the Board of Education's Budget Committee members, who provide input. Budget presentations are then made to each of the Advisory School Boards (ASBs) and school staffs, where additional input is invited. Based on this input, the preliminary budget is adjusted and tweaked to reflect local needs and priorities.
Meanwhile, budget work is often happening while we are hiring new staff for the coming school year. Each of these "new hires" will impact they budget, as they may be more or less costly (in terms of salary) than a person retiring or leaving the district. For the Director of Finance, the budget is truly a process (as in, she works on it every single day!), rather than being a one-time event! A lot of projecting must occur, as well, as the current school year has not yet concluded, so we don't know exactly how much we will spend on things like energy and fuel. There is both an art and a science to educational finance!
Ultimately, our dollars are spent on our purpose, which is educating the students of the Copper River School District. Our greatest expenditure area is instruction, which includes curriculum, equipment, teachers, principals, and support staff personnel -- and which as it should be, since we exist to provide the highest quality education possible for every student in the CRSD, every day of the year!