Superintendent's Message

Brent Welker

Brent Welker
Superintendent

3.5.21

Dear Community Members:

I mentioned yesterday that there would be an additional email update, so here we go!

This email will focus mainly on the February Financial Report and the upcoming Income Tax renewal. At the bottom there is a note from Freedom Township who is looking for summer help.

 

FEBRUARY FINANCIAL NUMBERS

 

This fiscal year has been an enormous challenge for us as the data and information have changed dramatically from where we thought we were heading in July, to now where the economic impact of the pandemic in Ohio has not been as what was predicted. At the same time, we have seen multiple appeals of the valuation of the NEXUS Pipeline which will impact our property taxes that we have projected etc. State funding has been altered in our favor reducing the size of the cut we received this year. A large number of moving parts.

 

Here is the FY 20-FY 21 comparison through February:

 

Eastwood Schools Financials

Thursday, March 4, 2021

REVENUE

FY 2020

FY 2021

$$ change

% change

General Property Tax

$5,383,870.99

$4,923,749.71

-$460,121.28

-8.55%

Tangible Personal Property Tax

$0.00

$0.00

$0.00

0.00%

Income Tax

$1,725,771.57

$1,704,199.18

-$21,572.39

-1.25%

Unrestricted Grants-In-Aid

$4,144,400.78

$4,054,229.61

-$90,171.17

-2.18%

Restricted Grants-In-Aid

$48,490.55

$48,490.55

$0.00

0.00%

Property Tax Allocation

$302,058.72

$301,888.58

-$170.14

-0.06%

All Other

$1,590,250.71

$1,990,129.40

$399,878.69

25.15%

Advances / Other

$120,481.58

$278,474.53

$157,992.95

131.13%

TOTAL REVENUE

$13,315,324.90

$13,301,161.56

-$14,163.34

-0.11%

 

 

 

 

 

EXPENSES

FY 2020

FY 2021

$$ change

% change

Personnel Services

$6,296,913.96

$6,281,465.85

-$15,448.11

-0.25%

Retirement / Insurance

$2,656,172.26

$2,720,205.55

$64,033.29

2.41%

Purchased Services

$959,703.70

$970,364.60

$10,660.90

1.11%

Supplies / Materials

$360,202.87

$336,937.24

-$23,265.63

-6.46%

Capital Outlay

$600.00

$61,452.55

$60,852.55

10142.09%

Other Objects

$844,516.53

$836,889.00

-$7,627.53

-0.90%

Advances / Transfers

$1,334,215.50

$1,336,070.50

$1,855.00

0.14%

TOTAL EXPENSES

$12,452,324.82

$12,543,385.29

$91,060.47

0.73%

 

REVENUES vs. EXPENSES

$863,000.08

$757,776.27

-$105,223.81

-12.19%

 

Some Highlights

 

General Property Tax – (-$460,121.28) – This number is lower than last year due to our final tax settlement from the Auditor’s Office. This is not atypical as they are working to disburse all the tax receipts they receive. This should correct somewhat at the end of March.

 

Income Tax – ($1,704,199.18) - I am highlighting the number we have received YTD to show just how important the income tax is in the revenue picture for the district. We will receive one final payment for the year, but our income tax is the ONLY outside operating levy on Eastwood’s books. The property tax levies were combined over the years and hover around the 20 mill floor which is the lowest level possible. We are seeking renewal of this levy in May, and simply looking at the numbers, you can see why it is so important as a percentage of our total revenue.

 

State Funding – (-$90,171.17) – If you remember, last year in May we learned that we were getting a 5% reduction in state funding. That reduction happened dramatically between May and June. They extended that cut into this year, but in January they restored a portion of that reduction back to districts as state revenues have not seen the dramatic losses projected from the pandemic. The result will be that the overall loss in state funding this year will not be as bad as last year when we close the books in June.

 

All Other – ($399,878.69) – This substantial increase is due to the new abatement agreement with NSG Pilkington for the new facility on Pemberville Road. That agreement provides annual payments to the district of roughly $347,000. Very helpful and has been part of our 5 Year Forecast.

 

OVERALL THOUGHTS

 

Our expenses are running very close to last year overall. There are minor deviations and places where we invested money in things like Capital Outlay, but expenses are only up $91,060 so far this year or .73%. This will grow in the coming months as we compare months with school running fully to months where we had the shutdown last year.

 

MAY INCOME TAX RENEWAL

 

On May 4th, Eastwood voters will be asked to renew our 1% Income Tax. As I mentioned above, it is the ONLY outside operating levy for the district after we cut taxes in 2014 by not renewing the Emergency Levy. We have a Permanent Improvement Levy which is used for maintenance and technology mainly and the Bond Issue that covers the HS Addition passed in 1999. That is it.

 

In 2020 the Income Tax provided $2,352,926 in revenue for the district which was roughly 13% of our operating budget. It is essential for the district to renew our only current operating levy.

 

The income tax was first passed in 2007 and was renewed in 2011 and 2016. When we first passed the income tax we promised residents that we would deliver an excellent educational experience. In the succeeding years:

 

·         Eastwood Elementary was recognized as a national Blue Ribbon school by the United States Department of Education.

·         Eastwood offers 18 courses for college credit on our campus saving families thousands of dollars in college expenses.

·         Eastwood residents enjoy one of the lowest tax burdens in the county.

·         Eastwood has continued to move up the rankings on the Performance Index closing in on the top 10%.

·         Eastwood students enjoy wide ranging educational and extracurricular opportunities.

 

We also promised residents that we would manage our tax dollars well. Since the income tax was passed in 2007, we were able to eliminate one other operating levy in 2014. There have been no new requests for operating funds since 2007. Currently, we are hoping to stretch that pledge into 2023 or later.

 

We hope residents will take these facts into consideration as move closer to May 4th.

 

FREEDOM TOWNSHIP IS LOOKING FOR SUMMER HELP

 

Freedom Township is once again looking for applicants for summer help. Will you please put our request out in your community email?

 

The position is for part-time summer help.  Duties include mowing, trimming at cemeteries, mowing roadsides, and other duties.  If interested, please send a request for application to freedomclerk@amplex.net or contact the township office at (419) 287-4626.

 

 

Will probably have a couple of additional notes later this week.

 

Best wishes,

 

 

Brent Welker, Superintendent
Eastwood Local Schools
120 E. College St.
PO Box 837
Pemberville, Ohio 43450
419-833-6411
 

"Leaders create Culture, Culture drives Behavior, Behavior produces Results." - Tim Kight




3/5/2021


Archived Messages