Royal schools passes ‘23-24 budget

ROYAL CITY — The Royal School Board approved the district’s 2023-24 budget at its monthly meeting Monday.

“We typically start a budget process in February, when we start talking about enrollment,” said RSD Business Manager Greg Pike. “And then here we are in late July, where we're adopting a budget, and then the final step is to submit the final resolution adopted budget by Aug. 1 to (the Office of the Superintendent of Public Instruction).”

Enrollment has stayed fairly steady the last few years, according to the figures Pike presented. The 2022-23 school year had a total enrollment of 1,684 full-time equivalent students. The projected enrollment for 2023-24 is 1,653 students.

The district’s budget covers five separate funds, Pike explained. Four of those funds are for specific purposes: the Associated Student Body Fund pays for student activities, the Capital Projects Fund covers construction, the Debt Service Fund pays down the balance on previous school bonds and the Transportation Fund is limited to buses. Everything else, including staff and faculty salaries, comes out of the General Fund.

The bulk of the money that comes into the district comes from state revenue: 77% projected for 2023-24. An additional 12$ will come from federal revenue, local effort assistance will supply 6% and the local levy will bring in 5%.

One revenue source, gifts and donations, jumped from $5,000 in 2022-23 to $32,500 in 2023-24, according to Pike’s figures. The donations mostly came from the Amazing Shake program that Royal Intermediate School participates in, as well as quite a few donations to the robotics program, Pike explained.

In the specialized funds, the ASB Fund was projected to come out a little ahead. The beginning balance was estimated at $171,000, with budgeted revenues of about $311,000 and expenditures of roughly $303,000.

Board President Craig Janett asked Pike why that fund was so high coming into the year.

Pike said a pre-fund balance had been in place for some time.

“So the inflows and exits have been matching in total dollar amounts,” Janett said.

“Pretty close. Of course, during the COVID years, there was hardly any activity in that fund.”

“In Capital Projects, I am showing a little bit of activity here slipping into next year. It's a little bit hard to project; we don't quite know how it's going to shake out. Like the re-roof, the exterior doors, the bus garage, of course ... Some of those expenditures are going to fall in the next fiscal year. So that's why I'm showing $300,000.”

For the Transportation Fund, Pike based his calculations on ordering one new bus, he said, the same as last year. The new bus that had been ordered last year has not yet arrived, he added.

“The other thing I want to mention is revenue,” Pike said. “That number used to be less than $100,000. It's all determined by depreciation schedules. It's more than double now because we have purchased new buses in the last several years and have cycled the old ones out because they fall off the depreciation schedule. As they age out, we lose that funding.”

The budget was passed by unanimous vote.

By the numbers:

The Royal School District 2023-24 budget

*Rounded to the nearest $1,000

General Fund

Beginning balance $2,486,000

Budgeted revenue $29,845,000

Budgeted expenditures $29,845,000

Budgeted ending balance $2,486,000

Associated Student Body

Beginning balance $171,000

Budgeted revenue $311,000

Budgeted expenditures $301,000

Budgeted ending balance $179,000

Debt Service

Beginning balance $810,000

Budgeted revenue $1,563,000

Budgeted expenditures $1,571,000

Budgeted ending balance $802,000

Capital Projects

Beginning balance $250,000

Budgeted revenue $51,000

Budgeted expenditures $300,000

Budgeted ending balance $1,000

Transportation

Beginning balance $298,000

Budgeted revenue $198,000

Budgeted expenditures $200,000

Budgeted ending balance $296,000