LM May 2023

Long-term Financial Planning With regard to the budget, it seems that every district will need to review their expenditures to see how many, if any, of the previous ESSER expenditures will be carried forward post ESSER funding. If those expenditures are to be carried forward, where will the funds to do so come from. Districts should undergo a long-term financial planning exercise to determine whether or not the funding to continue these new programs will be available going forward. Key among the considerations here is personnel. Simply put, if your district hired new staff with ESSER funds, how will you continue to pay that staff after the ESSER funding runs out. If you find that you will not be able to sustain those positions, plan now for the necessary Reduction in Force steps that you will need to take to properly reduce staff due to financial reasons. The second key area to look at is programmatic. The idea is to review the programs that were implemented with ESSER funds to determine their effectiveness and whether or not they should be continued. You may find that the programs were very effective but you may not have the funds to continue them. Conducting this review now may help you make the necessary financial plans to continue those programs in the future. A very simple set of questions to start with. • How much ESSER revenue is in our FY2024 budget? • What is that revenue supporting on the expenditure side of the budget? • Will those expenditures need to be sustained in the FY2025 budget? Districts should undergo a long-term financial planning exercise.

o If yes, where will those revenues come from and do we have what’s necessary to sustain those expenditures? o If no, does the ceasing of programming/ services require notification to employees or stakeholders? • What are you doing to prepare for the potential of a federal audit related to ESSER funding? Involve Stakeholders Be sure to include the proper stakeholder groups in your deliberations about post-ESSER spending and programming. All decisions should be made with the input of your Board of Education. Again, teach them what they need to know about ESSER funding so they can help make important decisions about the budget and your district programs. You may also need to include your teaching and support staff in these deliberations. If you eliminate certain programs or staff, the union may have the right to bargain the impact of those decisions. Share your deliberations with your community as well. Take advantage of the next 17 months to plan for the impact on your budget and your programs the end of ESSER funding will have on your district budget and programming. Now is the time to do the work necessary to make well thought-out, informed decisions on how to best go forward in the post-ESSER era. Reach out to the IASA Field Service Directors if you need a thought partner through this process. By being deliberate and intentional going forward, districts can continue doing what they do best and that is taking care of your students and staff.

IASA FIELD SERVICES DIRECTORS:

IASA Region

email

Ralph Grimm

Northwest, Blackhawk, Starved Rock, Corn Belt Kishwaukee, Lake, Cook North, Cook West

rgrimm@iasaedu.org gzabilka@iasaedu.org vtabbert@iasaedu.org drobertson@iasaedu.org vzimmerman@iasaedu.org

Dr. Gary Zabilka Victoria Tabbert Diane Robertson

DuPage, Cook South, Three Rivers Western, Central IL Valley, Two Rivers

Dr. Vic Zimmerman Abe Lincoln, Illini, Kaskaskia

Dr. Gary Kelly

South Western, Wabash Valley, Egyptian, Shawnee gkelly@iasaedu.org

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LM May 2023