Valley View Budget: Projected $6.8M Operating Fund Deficit

Valley View Assistant Superintendent for Administrative Services Garrick Grizaffi on Monday presented a tentative $247.7 million budget to the school board.

Expenditures are estimated at $ 223.3 million, a $2.78 million increase over last year.

The district remains with an operating budget deficit of $6.8 million — an amount consistent with projections from the district’s five-year financial forecast, Grizaffi said.

Fund reserves will be used to balance the budget, which shows deficits in the education fund, operations and maintenance fund, and the tort fund.

While General State Aid is projected to increase $4.5 million over 2013-14, the state is prorating GSA at 88.9 percent, resulting in a loss of $3.7 million in the district’s overall claim, Grizaffi said

“We will also see acontinuation of the reduced allocation for Transportation, amounting to $1.2 million less than we should receive each year dating back to 2010-11,” Grizaffi said in a memo to the board.

Some major changes to expenditures this year are:

• A 2 percent increase in salary costs, per labor agreements

• The addition of four gifted teachers and one college and career readiness director -$342,000

• Expenses related to administering the new PAARC assessment, which will replace the ISAT -$630,000

• A $1.56 million increase in debt service payment

A public hearing will take place before the board votes on the budget at its Sept. 22 meeting.

Click here to view Grizaffi’s report; the draft budget is posted to the Valley View website.