Finances are looking up at PES
PRINCETON — Superintendent Tim Smith said the Princeton Elementary School District is running about 6 percent behind in revenue received compared to this time last year, but things are getting brighter with the passage of the Budget Implementation Bill.
Smith said at halfway through the fiscal year, in the education fund, they have received 59.08 percent in revenue compared to 65.85 percent this time last year.
To give an idea on how late their payments are this school year, Smith said the district received a $500,000 check for Hold Harmless money Sept. 2, 2006, for the 2006-07 school year.
Hold Harmless money was issued to school districts after the general state aid formula changed in Fiscal Year 1999, in order to help those districts who receive a lesser amount of state aid a chance to adjust to new funding levels.
“When you put that (amount) into the figures, it brings us in line with our revenue on the education side in addition to, of course, the interest we’re losing in relation to that,” he said.
Other accounts, aside from the education fund, are also running behind in revenue, he said.
However, Smith said with the passage of the Budget Implementation Plan (BIMP) Jan. 11, the state of their revenue accounts should improve soon. Upon its passage the BIMP SB 783 became Public Act 95-0707.
“The BIMP finally put the budget into action. It gave authority for the state agencies, the state departments to start paying out appropriated money,” he said.
Smith said Gov. Rod Blagojevich waited until the end of the 60 days he had to act on the BIMP before making some amendatory vetoes.
“The unfortunate thing is that the changes were so slight that it virtually was a waste of 60 days,” Smith said.
“It was really a crime that it had to wait that much longer; it’s affecting a lot of different agencies, not just school districts,” he said.
Smith said the foundation level, or the amount it costs to educate each child, increased from $5,300 per student to $5,700.
There was also a $1,000-per teacher increase in funding for special education-personnel reimbursements.
As a result of the increase, Smith said the district’s hold harmless money will decrease from $612,000 last year to just over $300,000 this year.
“That’s a very, very good thing because we do not want to be reliant upon Hold Harmless dollars. I looked back, in 2003, this district had over $800,000 in Hold Harmless money that it depended upon,” he said.
“To be down around that $300,000 mark, even though $300,000 is a lot of money, it’s much, much better than where we were five years ago. Our goal is to continue to see that improve,” he added.
Smith said he hopes the foundation level will continue to be positively impacted and the district’s enrollment will increase, affecting the amount of general state aid the school district ultimately receives.
“In the end, what it translates to is a much better picture for Princeton Elementary. Are we still a Hold Harmless district? Yes, we’re just not as reliant as what we were in the past ... it’s a much better scenario than we’ve faced in the past,” he said.
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