BELLEFONTAINE – Ohio Hi-Point Career Center’s finances are estimated to stay in the black, due to predicted increases in tax revenue and increased enrollment.
The Ohio Hi-Point school board approved its five-year forecast at the Oct. 26 board meeting. The forecast is required to be developed twice a year by Ohio law.
Revenues are estimated to end the current school year at $13,561,005 and next school year at $15,154,712, according to the forecast developed by Treasurer Eric Adelsberger. Revenue is estimated to grow to $17,642,870 in the 2020-21 school year.
Revenue is estimated to increase 2.9 percent from real estate taxes from 2016-17 to 2018-19 school years, according to the five-year forecast assumptions document prepared by Adelsberger. The forecast also predicts a 5 percent increase in real estate revenues based on a six-year re-evaluation in Logan, Champaign and Union counties. The 2020-21 school year has a predicted 2.5 increase in real estate revenue built in.
The forecast also estimates state foundation payments will stay the same, but the revenue will increase because of additional students. Foundation payments are based partially on enrollment. The forecast notes the career center has been “aggressively” seeking to grow its satellite programs at partner high schools.
Expenditures are estimated to end the current school year at $13,918,548 and next school year at $14,436,231. Expenses are estimated to increase to $16,097,189 in the 2020-21 school year.
Expenses are estimated to increase based on staff salaries and health insurance increases. Staff salaries are estimated to increase because of additional staff to match growing programs, and salary step increases. The center tries not to increase base salaries when staff are getting step increases; and provide base salary increases are often only increased when staff have no steps left available in their salary schedule, the forecast assumptions document stated.
Health insurance costs are estimated to increase 5 percent past the 2016-17 school year.
The career center anticipates a $357,543 shortfall at the end of the current school year (to be covered by cash reserves), and a $718,481 surplus next school year. The surplus is estimated to grow to $1,545,681 in the 2020-21 school year.
Casey S. Elliott may be reached at 937-652-1331 ext. 1772 or on Twitter @UDCElliott.