LRSD board approves budget

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This article was published 17/03/2021 (1709 days ago), so information in it may no longer be current.

The Louis Riel School Division board of trustees approved the division’s $199,440,033  2021-22 operating budget at a meeting on March 9.

“Preparing this year’s budget has been a substantial challenge, especially considering the ongoing and significant pandemic expenses that are helping staff and students stay safe in schools,” said board chair Louise Johnston.

“We are hopeful the Manitoba government will provide additional financial assistance to cover our projected $2.4 million pandemic expenditure shortfall, otherwise, we will have to look to depleting our entire accumulated surplus.”

The COVID-19 pandemic has created financial and educational challenges for all school divisions, including LRSD, which made significant investments to keep students and staff safe. As of Dec. 31, 2020, the division had spent $6.4 million on pandemic-related expenditures.

LRSD continues to hire additional teachers and educational assistants to ensure required physical distancing in all learning spaces. Additional custodial staff were hired, and the LRSD incurred increased costs for cleaning and sanitizing supplies. Substitute staff costs have risen because of an increased number of absences due to illness and COVID-related self-isolation. Investments in technology have also been substantial. The number of bus runs has increased to accommodate physical distancing. Numerous enhancements to schools and classrooms have resulted in increased infrastructure expenses.

In February, the Manitoba government said LRSD would receive an increase of one per cent or $837,681 in 2021-22 school division funding. The government also asked all Manitoba school boards to freeze property taxes at 2020 levels. This means that an average home in LRSD valued at $345,000 will see a property tax decrease of 0.33 per cent, or about $6.68.

“When we coupled the ongoing pandemic expenses and the binding $8 million interest arbitration award announced in April to the Louis Riel Teachers’ Association, the only way to cover those costs was to use every dollar in our accumulated surplus,” said Marna Kenny, LRSD secretary-treasurer.

“Doing so has left LRSD in a precarious financial position. We’re left with no reserves to cover a bus breakdown, a boiler replacement or any other unforeseen expense.”

Trying to balance a budget while navigating a pandemic comes with unique challenges.

Previously, LRSD had the option of turning to international student program revenue to help support summer learning opportunities, nutrition programs and other equity-based programming. With a notable decrease in international student enrolment resulting from a halt in international travel, government help is needed.

“The LRSD senior leadership team and board have had extensive deliberations about our budget and have exhausted every option in trying to find a solution to the financial pressures we now face,” said Christian Michalik, LRSD superintendent and CEO.

“The conclusion is that we can’t do it alone. We need government support to help rebuild our accumulated surplus or risk a future combination of significant staff reductions, increased class sizes, and cancellation of all school renovations that are not funded by the province.”

For more information, see www.lrsd.net

 

LRSD budget at a glance:

Expenditures

• 83 per cent – Salaries and benefits: $165,441,751;
• 17 per cent  -Services, supplies and equipment: $33,998,282.

Where the money comes from

• 47 per cent – Provincial government: $93,474,369;
• 40 per cent -Municipal government: $80,786,630;
• 11 per cent – Education property tax credit: $21,918,644;
• 2 per cent – International students, other tuitions and organizations: $3,260,390.

Balancing the budget

• $7.7 million, accumulated surplus as of June 30, 2020 (3 to 4 per cent of overall budget);
• $0, projected accumulated surplus (owing to pandemic expenditures and unbudgeted salaries).

How each dollar is spent

• Regular instruction: 56.8 cents;
• Adult learning centres: 0.2 cents;
• Community education services: 0.9 cents;
• Transportation: 2.7 cents;
• Fiscal and other: 2.2 cents;
• Divisional administration: 2.6 cents;
• Instructional and other support services: 4.7 cents;
• Operations and maintenance: 10.6 cents;
• Student support services: 19.3 cents.

Staffing

• 2,088 total staff;
• 1,057 teachers, 9 trustees, 48 board office staff, 69 principals, vice principals and co-ordinators;
• 325 support staff;
• 580 educational assistants.

Projected pandemic expenditures

• 58 per cent – Salaries: $7,362,087;
• 9 per cent – Infrastructure and social distancing measures: $1,107,588;
• 9 per cent – Cleaning and sanitizing supplies: $1,209,964;
• 4 per cent – Transportation costs: $537,765;
• 14 per cent – Technology and equipment: $1,820,377;
• 1 per cent – Aspire summer learning program: $97,941
• 5 per cent – Learning from home (includes technology, furnishings and supplies): $630,186;
• Total pandemic revenue and savings: $10,383,451;
• Total pandemic expenditures: $12,765,908;
• Total projected pandemic shortfall without additional funding: $2,382,457.

What the budget means for property owners

• An average home in LRSD, valued at $345,000, will see a property tax decrease of 0.33 per cent or $6.68 after applying the property tax offset grant

                                                                                                                                                 — LeGal