At the November 10 school board meeting, Penta Treasurer Carrie Herringshaw presented the five-year budget forecast for 2021-25 as required by state law and updated the board on recent finances.
Board member Judy Sander, chair of the finance committee, noted that funding is only guaranteed for the first two years “so Carrie is being very conservative holding consistent for years three through five.”
The budget also takes into account teaching and support staff negotiations in years 2022 and 2023, Ms. Sander explained.
The updated forecast includes a rebound in expenditures as the district begins to resume normal activities in the wake of the pandemic.
This year’s budget calls for revenues of $32.05 million with expenditures projected to be $33.5 million. The treasurer expects the district to finish the year June 30, 2022 with a cash balance of $16.03 million.
In 2023, the district is predicting revenues of $39.9 million and expenditures of $34.5 million. Beyond that time, she is maintaining revenues at roughly $33 million while expenditures will climb to $39 million by 2026. As a result, the cash balance is projected to decline to $1.28 million.
Contributing to the increase in expenses will be salaries, which are only known through current labor contract periods. “Projections for fiscal year 2023-26 are based on historical increases,” Mrs. Herringshaw said.
Health insurance benefits also are expected to increase over the next five years and discretionary expenses such as repair and maintenance, travel and supplies were considered based on pre-COVID-19 appropriations, she noted.
