The school board discussed the vision and strategy for BASD schools at its annual budget workshop March 29. The district projects that the budget for next year will be $304,278,137. Expenditures are expected to rise to $318,507,806 the following year, and to $352,212,099 by the 2025–26 school year. The complete Vision and Strategy document is available on the district’s website.

Known challenges cited by Chief Financial Officer Stacy Gober include the growth of charter school costs and the expected flat level of state funding. In addition to the usual challenges, the district is coping with coronavirus-related unknowns, including the return of students from cyber charter schools and from the BASD Cyber Academy, and the effect of business shutdowns on local revenue.

If the district were not to raise taxes, and not take money from the fund balance, there would be a deficit of $8,705,171 for the 2020–21 school year; retirements and potential bond refunding may reduce the gap to $7,937,485. This figure includes $5,263,139 of Elementary and Secondary School Emergency Relief funds to offset local revenue losses.

Board member Winston Alozie brought up a question from a community member regarding whether freezing wages across the district would balance the budget. Superintendent Dr. Joseph Roy noted that collective bargaining agreements that are in place would be very difficult to renegotiate; these include both salaries and health insurance benefits. Gober said that even if it were possible, freezing wages would not completely close the budget gap.

Although BASD expects to receive roughly $32 million in ESSER III funds, and has already been allocated more than $3 million in ESSER funds (some of which had to be shared with non-public schools) and $16 million in ESSER II funds, the Pa. Department of Education (PDE) and the state senate have both warned school districts that these “one-time” funds will not recur, and “should be appropriately expended for one-time expenses” (https://www.education.pa.gov/Schools/safeschools/emergencyplanning/COVID-19/CARESAct/January2021/Pages/FAQs.asp and letter to school superintendents).

In addition to the principle of not using one-time funds to cover ongoing operational costs, Gober said every year that the district does not raise tax millage rates means future tax increases will be on a smaller base. Each year, the district is restricted by Act 1 regarding the percentage increase in millage rate. As a result, the district may choose to raise taxes in a given year in order to make future tax increases yield more dollars per percentage point increase.

Some one-time uses of ESSER II and III funding to address learning loss include additional summer school and after-school instruction. Dr. Roy said that the district is considering two separate summer school programs, one early in the summer, and a later “ramp-up” program prior to the start of the next school year. Additional details are available online, and will be discussed at the April 12 curriculum committee meeting.

As discussed at the March 8 facilities committee meeting, Gober recommends that some of the ESSER II and III funds be allocated to six elementary school HVAC replacement projects. Full recommendations for the expenditure of the ESSER funds are included in the budget update document posted online (https://go.boarddocs.com/pa/beth/Board.nsf/Public).