LJSD Financial Facts

Last month we shared information about the District's Financial Transparency website. Over the next couple of months, we will provide a detailed overview of various items available for review on this site. This month, we will focus on the Monthly Expenditure Reports.

Monthly Expenditure Reports list all accounts payable checks issued by our District Office Accounts Payable Specialist. Each month, we review these transactions with our Board of Trustees. We often present additional documentation to the Board for clarification on larger purchases. The District strictly adheres to purchasing and procurement policies and has internal controls to ensure that all outgoing funds have received appropriate approval.

Last month, we discussed governmental and fund accounting. The District has approximately 25 different funds, each with a specific purpose. In the upcoming newsletters, we will provide additional information about each of these funds.

Fund 100 , known as the General Fund, is the largest fund in our financial statements. Lakeland Joint School District budgets and accounts for the majority of operational activities within the General Fund. The main sources of revenue for the General Fund are state operational funding and supplemental levy revenues. While some earmarked state funds are tracked through special accounting codes within the General Fund, the majority of the fund's revenues can be used for operational costs, which are not subject to special reporting and oversight requirements beyond Board policy and applicable state laws.

• Yes, our teachers and some classified staff who only work during the school year are paid through an accrual contract. This means that their annual salary is distributed evenly throughout the year, rather than only during the school months. For example, if a teacher has a salary of $47,477 for their nine-month teaching contract, instead of receiving $5,275 monthly for nine months, they receive $3,956 for twelve months. Ultimately, they earn the same total amount. The pay teachers receive during the summer is for the work completed during the school year, effectively deferring some of their earnings to ensure they have consistent pay and benefits during the summer break.

• In 2020 the state shifted to enrollment-based funding, which allocated state funds to school districts based on the number of students enrolled. For the 2023-24 school year, the state reverted to average daily attendance for funding. This change negatively impacted Idaho schools by significantly reducing anticipated revenue from the state for operations.
• Why is this shift so detrimental? During the 2023-24 school year, Lakeland Joint School District had a 92.4% attendance rate. While this is commendable, it resulted in an average of 346 students being absent every day, leading to an average loss of $15,917 in state funds daily. This totaled over $2.7 million in lost revenue due to absences last year.
• How does this impact budgeting? Predicting average daily attendance is challenging, so the District adopts a conservative approach when estimating this figure. If our predictions fall short, the District must make immediate budget cuts to compensate for the loss in expected revenue. This adjustment is not easy, as we must continue providing teaching and support staff for all of our students.

• The Lakeland Joint School District received federal Elementary and Secondary School Emergency Relief (ESSER) Funds starting in fiscal year 2021. The majority of these funds funds were spent during the 2021-2024 school years. A small amount of ESSER funds remained for this school year and were required to be used to support homeless students. These funds were fully utilized before the December 31, 2024 deadline. This source of funding has now ended, and we do not anticipate any further allocations.

Contact: jessica.grantham@lakeland272.org