For most districts, budgeting has become a cost-cutting exercise designed to close the gap between revenues and expenses. During this process, decision makers inherently assume that existing operations are efficient and effective--an assumption that is rarely validated by facts. Cutting programs and services balances budgets but does not…

In February 2009, the Governmental Accounting Standards Board (GASB) issued Statement No. 54, "Find Balance Reporting and Governmental Fund Type Definitions." This statement changes how a fund balance is classified on the face of the government fund financial statements and refines the definitions for government fund types. The statement's…

To navigate today's fiscal challenges successfully, school districts must constantly examine the long-term fiscal implications of policy, programmatic, and human resource decisions on their organization. They must look at the effect of such items as bargaining agreements, contracted services, placement costs, transportation costs, benefits,…

The vast majority of U.S. school districts are considered independent and have taxing authority; the remaining districts rely on revenue and budgetary approval from their local government. In the latter case, localities often use some form of negotiated process to determine the amount of revenue their school districts will receive. Typically, a…

In 2009, the city of Detroit proposed a $500.5 million bond referendum to stem the declining enrollment in Detroit Public Schools (DPS) that mirrored the decades-long decline in the city's population. Proposal S was passed in November to fund the construction of 8 new schools, the renovation of 10 more, and the improvement of information…

The ubiquitous spreadsheet in some version has been the sole and unrivaled instrument of financial management for decades. And it has served well. The spreadsheet provides the flexibility to design a unique business process. It allows users to create formulas that execute complex calculations, and it is available in the globally standardized Excel…

As with most things in life, managing student meal charges is all about balance. To be successful, the program needs to include a fair and reasonable policy, to serve nutritious and flavorful meals, and to include students as active stakeholders in the program. A plan that acknowledges simple forgetfulness, explains expectations of all…

Nationally, rural students represent about a quarter of all students attending public school; nearly a third of all schools are located in rural areas. Those rural schools and students have a number of unique characteristics and needs. For example, the smaller size of many rural schools and districts can sometimes lead to per-pupil expenditures…

Enacted in 2002 as the cornerstone of President George W. Bush's educational policy, the No Child Left Behind (NCLB) Act has been controversial since it became law. At its heart, NCLB is designed to have students perform at grade level by the year 2014. Yet as debate rages on an array of issues surrounding NCLB, the reauthorization process has…

Whenever a school district considers changing bus stops, bus routes, or bell times, the public reaction is often decidedly unequal to the magnitude of the changes proposed. Unfortunately, the severity of continued budget crises has compelled many school districts to make major changes to their transportation systems. While additional cuts in…

The New Mexico Public Schools Facilities Authority (NM-PSFA) is a relatively small state agency (50 staff members) that manages the allocation of funding for public school facilities in the state while assisting school districts and state-chartered charter schools in facility planning, construction, and maintenance. Like the majority of other…

The fiscal problems of today's school districts are a reflection of the national economy. Taxpayers are struggling to make mortgage payments and are reluctant--or unwilling--to pass bonds and levies that will raise property taxes. Local, state, and federal grants have dwindled, and the effect of the education stimulus dollars is uncertain. The…

Ipswich, with about 2,200 students, is one of the many school districts in Massachusetts. Ipswich is governed by an open town meeting at which every registered voter may speak and vote. Budgets in Ipswich are highly detailed public documents in which every salary, classroom, and operating expenditure is identified. The budget book provides…

As education budgets continue to tighten, increased attention is focused on how school districts can best distribute existing funds to schools and how schools can best use these funds. Student-based funding (SBF)--sometimes referred to as a weighted student formula--is one approach that school districts have taken during the past decade. SBF…

With unemployment rising and the public more concerned about the economy than at any other time in recent memory, the idea of a municipality deciding to spend millions of dollars to build or refurbish a school seems an uphill challenge to say the least. In the best of times, voter approval for school construction projects is difficult to get;…