There are requirements that HCPSS must meet that drive new expenditures. The proposed budget adds $71.7 million and 132.3 new positions which fall under three categories:
The FY 2025 budget proposal totals $1.13 billion, representing an increase of $25 million, or 2.3% over FY 2024. The proposed budget includes making a request of the County for $47 million above Maintenance of Effort, using $10.2 million in anticipated available fund balance and making $46.6 million in budget cuts to existing non-mandated services, including a reduction of 347.85 existing positions. The total request from the County totals $761.6 million, a 5.6% increase over FY 2024.
The FY 2025 Operating Budget webpage provides supporting documents and information regarding the FY 2025 Operating Budget. The page includes:
While State funding will continue to increase each year to meet their Blueprint related requirements, County funding is not subject to the same requirement. Counties are only required to provide funding in an amount equal to or greater than its prior year per-pupil funding. This is called Maintenance of Effort (MOE).
As part of the equation to balance the budget, the Superintendent’s proposed budget includes the use of $10.2m in fund balance. Fund balance is the money that hasn’t been spent by the end of the prior fiscal year and reported on our annual audit for that year. There are several reasons why money may not be spent, including position vacancies, budget freezes and or in some cases where contracted costs end up coming in lower than the budgeted amount.
Maintenance of Effort (MOE) law states that each county must appropriate an amount equal to or greater than its prior year per pupil appropriation. This calculation does not address the cost of negotiated agreements, benefits, Pre-Kindergarten students, non-public placement students, inflation, and funding for quality improvement initiatives. The law ensures that additional state aid will not supplant local revenues.
Reinstating programs in the future would be dependent on funding availability and Board and school system priorities as future budgets are developed.
No. The Superintendent’s Proposed FY25 Operating Budget can and will change as it goes through the phases of the budget process. Please refer to What are the steps in the FY 2025 Operating Budget Process? for more information.
The FY 2024 Operating Budget used a large amount of one-time funds to balance the budget and pay for services that have recurring costs. These one-time funds included using a large amount of fund balance, transferring money from the technology fund, investment income and payments received from the Juul lawsuit.
