By CHAT News Today

Prairie Rose School Division projecting deficit at start of 2017 school year

Jun 13, 2017 | 11:44 AM

DUNMORE, AB – Prairie Rose School Division is forecasting a deficit for the upcoming school year.

During the board’s monthly meeting on Tuesday, secretary/treasurer Ryan Boser presented the predicted budget for the 2017/2018 school year.

In the budget, the board is projecting a deficit of $655,918, the eighth consecutive deficit Prairie Rose has run. Of that number, $427,807 is related to busing and transportation costs for the division, which stretches from Ralston to Oyen.

“It’s a struggle for our division, with the current rural transportation funding models,” said Boser. “When we don’t get enough funding to cover off our busing costs alone from our other funding, it puts us in a tough spot.

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The budget also showing a slight deficit of $7,142 for its teaching budget.

Boser says the shortfalls will be covered through its reserve funding, which will total $3.5 million by August 31. He adds the division remains in a healthy financial position

“We are trending downwards in the last four years of running deficits,” he said. “We are starting to get close to that range. Overall we’re still in a very good financial position going forward.

“Our board is continuing to run deficits ensuring we’re keeping services in place and staffing levels in place for our students.”

The board is projecting a decrease in enrolment of 7.5 full time students in September. Boser adds if enrolment continues to trend downwards in the division, changes could be made.

“We know continuing to run deficits isn’t sustainable, so at some point down the road, it may be time for tough decisions to be made,” he said.

The budget will be amended and approved in the fall when final enrolment numbers for the year are known.

Prairie Rose is also estimating it will pay $35,000 for natural gas and $3,000 for transportation fuel costs as a result of the provincial carbon tax.