Five-Year Financial Forecast Highlights Strong Fiscal Stewardship

At the November 20, 2024, board meeting, Treasurer Jennifer Burke presented the district’s Five-Year Financial Forecast, outlining historical data, projected revenues and expenditures, and potential challenges for the next five years. Since 2022, the district’s financial position has strengthened significantly through the strategic use of pandemic relief funds, competitive grants, and cost-saving measures like classroom adjustments, utility rate negotiations, and participation in an insurance consortium. The successful passage of a levy further bolstered revenues, enabling the district to meet the needs of students, staff, and the community while maintaining financial stability.

Mrs. Burke explained that the district's revenue comes from two main sources: local taxes and state funding, with a slight majority coming from local taxes. Recently, the district has experienced an increase in revenue from new developments like the Central Corridor Pipeline. However, the revenue from the pipeline was much lower than expected. Duke Energy had projected $800,000 annually, but due to an error by Duke, the district only received $120,000. The district is exploring future revenue opportunities from new business zones, such as the Centennial Industrial Park. While the park is expected to create jobs and generate revenue in the coming years, this potential revenue was not yet included in the forecast, as the development is still in its early stages. While the district carefully manages its spending—primarily focused on staff salaries—it continues to invest in key areas like school facilities, technology upgrades, and new curriculum. Although the district expects to have a balanced budget until 2026, it anticipates a budget shortfall by 2029. However, with $13.7 million in cash reserves, it is well-positioned to address this future challenge. To ensure continued fiscal strength, the district is actively monitoring funding, pursuing grants, managing enrollment, and exploring ways to reduce taxpayer costs through bond refinancing. This careful planning reflects the district's commitment to strong financial stewardship.

For any questions or further information, all are encouraged to contact Treasurer Jennifer Burke at [email protected].