Money that doesn’t get used in a fiscal year – because, for example, expenses are lower than budgeted because of increased efficiencies or a focused savings effort – is put into the district’s “fund balance.”

In 2014, the Board of School Commissioners approved a policy that guides how the fund balance can be used in future years, and that requires the district to maintain the fund balance at 3 to 5 percent of the general fund. (You can learn more about the policy on the “BoardDocs” website.)

The district drew on the fund balance last year as a solution to close the budget gap, leaving the fund balance at the low end of the requirement.

fund balance over the years

One thought on “Fund Balance

  1. Anonymous Reply

    What does this mean? Are you saying that if there were more money in the fund balance it would help? Using that fund for recurring expenses is not acceptable practice. This section I hope is meaningless; if it means what it says, then we are in big trouble.

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