Telegram: How is a district funding broken down?
Mikeska: At the local level, our funding comes from property taxes, through which we are expecting to generate half of our revenue for the year. At the state level, the majority of our revenue comes through our ADA (Average Daily Attendance) numbers. ADA is a number used to determine the number of students who are attending our school on a given day. Although ADA is the key-determining factor, there are probably over 80 variables at the state level that determine funding. We also receive a small portion of our funding federally.
Telegram: How is ADA calculated?
Mikeska: There are different aspects to ADA calculations. Students who have special needs, or are involved in special education programs, receive more weight. For example a student in special education costs more to educate, so they may be counted as 1.5 students. Students who are bilingual also receive more weight when it comes to calculations.
Telegram: How important is the ADA when it comes to funding?
Mikeska: Because of state laws limiting what we can do with local taxes, ADA is really the heart of our funding, and one of the only ways we can generate more revenue if we make improvements in our numbers. One of our goals within the district is always to improve our attendance numbers and keep our kids in school.
Telegram: So, there’s a fixed rate on property taxes when it comes to school funding?
Mikeska: Because of tax compression laws, we cannot personally set the tax rate higher than it currently is ($1.24 per $100 valuation). Our local tax rate has decreased over the last three years, and it’s still at its maximum. In our situation, if we wanted to raise the tax rate, we would have to put an item to a vote and have our school board approve the item, which would then be placed on a ballot for the public to vote on. That’s not a scenario I see playing out anytime soon.
Telegram: Why hasn’t funding dramatically decreased if the tax rate has gone down?
Mikeska: The state has provided us with more revenue, which has made up for the difference. For example, in the past, we may have received $35 million in local funding, and $20 million in state funding. Now the state and local revenues are about equal.
Telegram: Do you run into citizens who are confused or upset about school funding and budgeting?
Mikeska: Yes, because it’s truly a confusing process. It’s really hard to explain to people, who are paying money out of their own pockets, that we receive funding outside of their property taxes. It’s because the property taxes hit them close to home. It’s hard for them sometimes to understand things like ADA and how state funding works.
Telegram: Why is the district projecting budget funding to remain nearly the same during 2008-09?
Mikeska: Part of it is that there are new standards when it comes to classifying special education students. In the past, we had close to 16 percent of our students classified in special education. Now, that number has been reduced to around 11 percent, which has cut into our ADA numbers. Because those students are weighed more, we are receiving slightly less money.
Telegram: How has the district felt the cost of increased food and gas costs?
Mikeska: It’s been rough. Through discussions with our vendors, we’re expecting to see an increase of possibly 15 percent to the costs of food. We have a self-sustaining food service program, which relies heavily on its own funding and revenue. Because of the expected increase in costs, we were forced to raise the costs of breakfasts and lunches.
As far as fuel goes, we’re not getting nearly enough funding at the state level for transportation costs. It’s a trend that may not change anytime soon, unless the legislature decides to allot more money for those costs during their next session. For the upcoming year, we increased our fuel budget by 29 percent. Because of the rise in costs, we are going to be forced to utilize a fuel contingency plan, similar to the one that we dipped into last year.
