Campbell schools forecast deficit for 2019
By Graig Graziosi
The Campbell City School District’s five-year forecast anticipates the district will run a $618,516 deficit in 2019, though administration officials are adamant the dip into the red isn’t a fully accurate depiction of the district’s finances.
Schools Superintendent Matthew Bowen said the fiscal-year 2019 deficit results from a one-time payment of $1.8 million for construction costs associated with building the Community Literacy Workforce Cultural Center, a multi-purpose community center opening next year. “This is a one-time payment; it’s not a year-over-year cost,” Bowen said.
Bowen said the five-year forecast was “very conservative” and couldn’t take into account revenue that will be generated from the CLWCC through student memberships, special programming and partnership agreements.
The administration is in contract negotiations with the district’s teachers. The results of those negotiations are obviously not reflected in the five-year forecast, but will be included when the second draft of the forecast is released in October.
The forecast also shows a deficit of $1,096,603 during fiscal year 2022, though that deficit operates on the assumption that a levy generating $989,711 that expires that year will not be renewed. It also does not take into account revenue from the CLWCC.
The following year – which is outside the scope of the forecast – the district will also pay its final approximately $200,000 payment toward its new stadium.
Norah Montanez, district treasurer, said the inconsistencies between the five-year forecast and reality are due to the scope of information used in compiling the forecast.
“The five-year forecast is only as good as the biennium budget when a majority of our funds come directly from the state,” she said.
The district and Montanez have been recognized for clean bookkeeping by the state auditor’s office for the past four years.