District Treasurer Nancy Lane outlined Thursday evening some of the contributing factors for the improved financial forecast for the fiscal year that led to a $2.9 million increase. The district transports between 6,500 to 7,000 students based on who is eligible for busing in the 9,500-student district. They do not provide busing for preschoolers as well as juniors and seniors (unless they are on an IEP that specifies the need for transportation).
She said the increase in projections was mainly due to higher than anticipated income with the payments the district receives from tax increment financing districts in Fairfield city and township.
“There were some new districts that became active that we weren’t aware of,” Lane said.
While there was an increase in the projections of revenues, expenditure projections were lower than when anticipated in November by about $3.6 million in salaries. The reduction is after the school district restructured several programs and the reduction in overtime and substitute costs.
Salaries are tied to the benefits, thus employee benefit projections ― which also included savings from a new health insurance plan option with lower premiums ― were also lower. Those salary and benefit savings equated to about $1.9 million.
“The adjustment to the projections for future salaries and benefit expenditures helped to change the projected cash balance for fiscal year 2027,” Lane said. “What once was a negative is now a positive, $12.9 million, because of that cumulative effect.”
The school district had been dipping into its financial reserves because they are legally required to pass a balanced budget, which was the reason they requested an operating levy in March.
Fairfield School Board member Scott Clark said it is difficult to forecast five years out, especially for public entities, calling it akin to “nailing Jell-o to the wall.” School board president Brian Begley called projecting school finances out multiple years “an art” as there are a number of factors out of the district’s control, such as property tax increases and decreases and state funding.
Fairfield City Schools Superintendent Billy Smith said because of the revised financial forecast, he and the leadership team “would like to press pause on any discussions about going back on the ballot.”
He said it’s hard to put a date on when it may be necessary, and he hopes they can wait until 2025.
“There is still a need for a levy in the future, however, it’s good news that we have bought ourselves some time,” Smith said. “While we welcome the good news about this forecast, we also realize it is a short-term win. In the near future, we will likely find ourselves in the same boat we were in just a few months ago.”
Nearly 55% of Fairfield City School District voters said “no” to the 6.9-mill operating levy request this past March. Three districts in Ohio this past March were able to pass an operating levy for new money, Smith said.
“We will continue to look for ways to save money so we can stay off the ballot for as long as possible,” he said.
While restoring the busing is an unexpected change, Smith said it’s good news because it lifts a burden from students and parents. Fairfield had planned to implement state-minimum transportation standards which would have eliminated bus services at the high school and any student who lives within 2 miles of their respective school building.
“I’m thankful we have an opportunity to restore busing for our students and families and that we can pause on the levy conversations with the board,” Smith said. “Of all the reductions implemented, restoring transportation services for FCSD students is the only item we are restoring.”
Fairfield Schools has a legal requirement to transport kids attending non-public schools that live in the district, and school leaders are still exploring those options.
“School districts can still declare transportation, some of it, to be impractical,” Smith said, adding the business and transportation offices are still ironing out some of those details but hope to have a plan to present “as soon as possible.”
The district had reduced a dozen teaching positions, and Smith said “while it was not easy to eliminate 12 teaching positions,” the district had worked to find other positions for those individuals within the district.
“At this time, there are two teachers out of the 12 on a reduction-in-force list. Of those two, one of those teachers has been offered multiple jobs inside the Fairfield City School District,” Smith said.
“The reductions that have been implemented have made a positive impact on the district’s current financial status and in the future. Making those reductions is never an easy process. That task was not taken lightly by anyone involved.”
There are two road construction projects ― a bridge deck replacement at Holden and Bilstein boulevards ― and a road widening at South Gilmore Road between Mack and Resor roads, but Smith said those projects had no impact on restoring busing service.
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