Addresses anticipated budget deficit

The Iola-Scandinavia School District Board held its annual budget meeting on Oct. 14. At this meeting, the board reviewed the financial outlook for the 2024-25 school year and approved a tax levy to mitigate an anticipated budget shortfall.

District Business Manager Sarah Thiel reported that while the district ended the 2023-24 school year with a $400,000 surplus, the 2024-25 school year is projected to face a $165,000 deficit. She recommended reserving some of the previous year’s surplus to help reduce this expected shortfall, underscoring the board’s careful consideration of the district’s fiscal future.

The district’s financial challenges were heightened by the recent expiration of $250,000 in federal COVID relief funds, which provided crucial budgetary support. The loss of these funds represents a significant reduction in the district’s income, affecting its ability to cover projected expenses fully.

The board approved a 15 percent increase in the district tax levy to address the gap, following last year’s 16 percent hike. This new increase will add $25 per $100,000 of property valuation for homeowners in the district.

The decision reflects the board’s commitment to balancing fiscal responsibility with the ongoing needs of students and staff.