From the 2008-2009 Budget Parameters: “Each fall the District conducts a preliminary discussion with Budget Committee members about the current and future financial position of the District. This workshop begins preparation for building the 2008-09 District budget.”
Budget Committee members joined the HSD 1J Board of Directors at the HSD Administration Center on November 13 for a budget process kick-off that will culminate May 25, 2008 when the School Board adopts the budget for the second half of the biennium, 2007-2009.
Paul Warner Presentation
Paul Warner, the head economist from the Legislative Revenue Office of the State of Oregon, led the session with a presentation on the facts of revenue life in a state (Oregon) that depends heavily on personal income tax for infrastructure funding.
The fact that impressed me most is that we currently suffer the second most volatile state public funding in the nation, a legacy of Measure 5.
According to Dr. Warner, economic expansion lasts an average of five years between recessions. The years 1991-2001 were the longest period of expansion we have enjoyed as a nation since 1920. And typically we don’t know we’re in a recession until we are well along into it, and we are currently due for one, according to the averages.
I personally benefited from Dr. Warner’s explanations of the Rainy Day Fund and the Education Stability Fund, both of which will help sustain school districts through “typical” recessions.
The effects of severe recessions will be mitigated, according to Dr. Warner, and we are, because of the two aforementioned funds, better off than we were five years ago. But clearly the message is do our homework and have a contingency plan, because if the going gets really tough, even the RDF and the ESF will not bail us out entirely.
Many thanks to Paul Warner for traveling to Hillsboro to enlighten us.
(Access Dr. Warner’s PowerPoint presentation from the School Board Work Session Agenda for November 13, 2007.)
2008-2009 Budget Parameters from Superintendent Jeremy Lyon
The next part of the work session consisted of a review of budget parameters for the upcoming second half of the fiscal biennium. Dr. Lyon’s message was that we are in good shape, and we will seek to sustain our gains rather than expand our services in any way that we cannot sustain. Our emphasis is on moving forward and keeping our gains, not spending money when we’re fat and making drastic cuts when times are tough.
Click here to access the School Board Agenda page that leads to the HSD 1J 2008-2009 Budget Parameters.
Straight Talk 