BELLEFONTAINE – Predicted revenue and expenditure increases will not deplete Ohio Hi-Point Career Center’s cash reserves, according to its five-year forecast.
The forecast is required to be developed in May and October each year by Ohio law. The forecast was approved at Hi-Point school board’s May 25 meeting.
The forecast predicts the center will end the current school year with $12,931,616 in revenue, and next school year with $13,569,775 in revenue. Revenues are estimated to increase to $15,847,914 in the 2019-20 school year.
Revenues are estimated to increase due to growth in real estate values, bringing in more tax dollars, according to the five-year financial forecast assumptions document prepared by Treasurer Eric Adelsberger. The continued guarantee of operational levy dollars will keep revenues steady. The forecast also predicts additional enrollment growth, which can mean more state funding. The current school funding formula, however, is not expected to change much.
Expenses are estimated to end the current school year at $13,757,995 and next school year at $13,982,130. Expenses are estimated to grow to $15,809,868 in the 2019-20 school year.
Expenses are estimated to increase due to staff salaries and insurance costs. Salaries are estimated to increase based on step increases for raises, according to the forecast assumptions document. Also forecast is an increase of 10 percent each year for insurance premiums.
The forecast predicts the current school year with an $826,379 shortfall, and next school year with a $412,355 shortfall. Both will be covered by cash reserves. The forecast predicts the center will end with a $38,046 surplus in the 2019-20 school year, leaving $6,801,085 in cash reserves.
Casey S. Elliott may be reached at 937-652-1331 ext. 1772 or on Twitter @UDCElliott.