The district’s financial outlook was a major topic, with an audit presentation by the district’s auditor, who emphasized that the financial statements were in draft form but unlikely to change before finalization. The auditor noted that the district had undergone a federal single audit due to exceeding $750,000 in federal grants, which required additional scrutiny. Complications arose because the federal government had not issued a compliance supplement, leading the state to insist on proceeding without it. This resulted in separating the federal component and moving forward with the audit for the district’s financial health.

The auditor presented the income statement, highlighting positive variances in revenue and expenses, which are crucial indicators of financial stability. However, the district faces ongoing challenges, particularly with state aid cuts affecting budgeting. The district has engaged in aggressive budgeting to maintain balance amid these constraints. The tax levy, impacted by a recent referendum approving an increase to accommodate bond repayments, was also a discussion point.

The need for careful financial management was stressed, with the auditor cautioning that, despite some positive developments, the district is “not out of the woods.” Rising expenses, especially from health benefits, which could increase by up to 38% from the state health benefit plan, present a critical situation. These could consume nearly the entire 2% tax increase, leaving little room for other budgetary needs. An increase in fund balance from $4.218 million to $4.542 million was noted, but the overall financial outlook remains uncertain.

A significant portion of the meeting was devoted to discussing the issuance of bonds totaling $9.8 million, with about 40% covered by state aid. These funds are earmarked for capital projects, with some expenses already incurred in the previous year. The importance of maintaining a capital reserve was emphasized, particularly given the age of many district facilities requiring upgrades.

The board also addressed the unique structure of the tax levy, which combines operating and debt service taxes into one. This approach, while involving a tax increase, allows for more streamlined management of funds. The district’s fund balance is high at $3.2 million, intended to cover upcoming debt service payments of approximately $1.3 million. While transitioning from relying on excess surplus to balance future budgets is seen as a positive step, rising expenses continue to outpace revenue growth, posing challenges for future fiscal planning.

Despite the financial concerns, the meeting also celebrated student achievements and school activities. The high school’s esports team was recognized for winning its fourth consecutive state championship in Super Smash Bros., contributing to school spirit. The drama club’s production of “Arsenic and Old Lace” was commended, with plans for the spring musical “Mamma Mia” underway. A successful Thanksgiving food drive organized by the National Honor Society and Junior Honor Society was highlighted, supporting 13 families.

A representative updated attendees on upcoming student activities, including a musical and a marching event. Project Graduation plans were also discussed, including ticket sales and donation collections. A free movie night featuring “Elf” was scheduled, with characters available for photos. Community events such as the town’s Christmas lighting on December 6 were announced, involving the fire department and recreation commission.