Three-Year Budget Reduction Plan
During the January 23, 2017 Board of Directors meeting Dr. Art Tate, Superintendent of the Davenport Community Schools, outlined a Three-Year Plan to reduce the district’s general fund budget by $18 million over a three-year period beginning with the 2017-2018 school year through the 2019-2020 school year.
There are several reasons why these reductions to the general fund operating budget are necessary.
1.) The Davenport Community School District’s enrollment was 17,788 students for the 1991-92 school year. Our district enrollment has declined over the past 26 years. Our enrollment for the 2016-2017 school year stands at 14,490 students. Our falling enrollment has required us to reduce our general fund operations by more than $22 million since 2010.
2.) The cost of providing employee compensation and benefits has been outpacing our annual increases from the state for many years. Since 2010, the average increase allowed by the State was 2.19%. The average increase in cost of salary and benefits was 3.21%.
3.) Funding equity also plays a significant role in all of our District’s budget considerations. For over 40 years the State per pupil funding has provided our students with $175 less per pupil than the highest state funding level among Iowa school districts.. In the last four years, the per pupil funding inquity has cost our district $11,120,760. The budget reductions required during that time were approximately $11,000,000. The Superintendent has vowed to take $2.7 million per year ($175 per student) out of the District’s reserve funds to pay for programs for our neediest schools and students. If these funds are not used, we would need to reduce operations by an additional $8,000,000 over the next three years.
To learn more about the proposed budget reductions, please take time to read a brief Memo to DCSD Community on Three Year Budget Plan January 2017. We have used a specific set of Assumptions and guidelines for 3 year budget reductions Jan 2017. Please review both the Overview Copy of Budget Reductions 3 year spreadsheet November 2016 and 3 Year Budget Reductions by Area, as well.