|
|
|
Meeting Date:
|
|
|
Category:
|
|
|
Type:
|
|
|
Subject:
|
|
|
ACPS 2025 Strategic Plan Goal:
|
Goal 4: Strategic Resource Allocation ACPS will strategically provide differentiated resources and supports to schools and departments.
|
|
|
|
Funding Source or Fiscal Impact (where applicable):
|
|
|
File Attachment:
|
|
|
Agenda Item Summary:
|
The Alexandria City School Board shall maintain a minimum unrestricted Operating Fund balance of 3 percent of the current fiscal year’s original Operating Fund expenditure budget, with a maximum of 5 percent, exclusive of the amount reserved for encumbrances, calculated as of June 30 each fiscal year upon completion of the annual financial audit. Unrestricted fund balance consists of committed, assigned, and unassigned fund balances.
The Alexandria City School Board may utilize fund balance to support the Operating Budget each year. The amount used for this purpose may not exceed 2 percent of the Operating Fund expenditure budget. The Alexandria City School Board shall reserve available Operating Fund Balance for circumstances including, but not limited to, natural disasters and other unforeseen emergencies, significant unanticipated expenditures of a nonrecurring nature, and unforeseen governmental revenue shortfalls.
The commitment or assignment for School Board Reserves should be made during the annual budget process based on the availability of funds and may not exceed ½ percent of the upcoming Final Operating Budget. |
|
|
|
Background:
|
|
At the March 2, 2022 Joint Work Session of the ACPS School Board and the City of Alexandria City Council, the question was asked, how does ACPS utilize its General Fund Balance, and what would be described as a “rainy day”? Per policy DAB ACPS “Spendable” General Fund Balance is utilized to fund up to 2% of the Operating Budget annually as well as any carry-over encumbrances (Assigned Fund Balance). Remaining Fund Balance is reserved for, natural disasters and other unforeseen emergencies, significant unanticipated expenditures of a nonrecurring nature, and unforeseen governmental revenue shortfalls. |
|
|
|
Recommendation
|
|
The Superintendent recommends that the School Board review the information on Fund Balance. |
|
|
|
Approvals:
|
|
Recommended By: |
|
Signed By: |
 |
|
Dominic Turner - Chief Financial Officer |
|
|
Signed By: |
|
|
Dr. Gregory C. Hutchings, Jr. - Superintendent |
|
|
|
|
|
|
|
|