A message from Mike Broadwater
By Chuck Gibson
LOVELAND, OH (December 7, 2022) – In the recently issued December Newsletter for Loveland City School District (LCSD), Superintendent Mike Broadwater delivered a detailed message about the 5-year forecast for the district presented by Treasurer Rob Giuffre.
Here is the text of the Superintendent’s Message:
Loveland Tiger Community,
Treasurer Rob Giuffre presented the five-year forecast during our Board of Education Meeting on November 15. You can view it under “important documents” on the Treasurer’s webpage by following this link. Watch the discussion around the Five Year Forecast at the two hours and thirty-five-minute mark of the Board Meeting recording by following this link.
The Five Year Forecast is a tool to allow school districts and communities to plan for future needs by looking at our projected financial situation over the next five years. It’s a lengthy document, but the most relevant information is on page three. It shows that we are in deficit spending for the current fiscal year by $3.7 million and projects a $3.8 million deficit in the following fiscal year.
Deficit spending means the district is spending more money than we receive from local, state, and federal tax revenue. The district is making up that deficit by using our cash reserves. Because we only get tax revenue deposits twice a year, those cash reserves are necessary to pay bills, payroll, and other expenses.
There are two paths ahead – a reduction in expenses or an increase in revenue. Salaries and benefits make up 86% of our costs, so a reduction in expenses means a decrease in staff positions. Because the district already implemented staff reductions in 2020, it will be difficult to make additional cuts without impacting educational opportunities for students. Increasing revenue means asking voters for additional funding through a levy.
Loveland City School District receives very little state funding compared to other districts around Ohio, and we do not expect the situation to improve. The state funding model is expected to eliminate more funding for suburban districts like Loveland in the future. The district’s financial situation cannot wait for help from state lawmakers who have been unable to fix the unconstitutional school funding system for decades.
In the weeks ahead, the Treasurer and I will look at options to present to the Board of Education as they consider which path to take.
If you have any questions, please contact me: email@example.com
Loveland City Schools