Posted: Aug 21, 2012 7:33 AM by Dustin Klemann - Q2 News
Updated: Aug 21, 2012 7:33 AM
BILLINGS - An important night for Billings School District two - as the school board approves its 2012-2013 budget.
By law, school budgets must be approved by August 25th, and tonight, it took less than two hours for trustees to sign off on their spending plan.
For a consecutive year, the board will have to dip into its reserves to cover the estimated $67 million dollar budget. Some trustees voiced concern tonight that the district's reserve funds are now less than five percent of the district's total budget.
To balance this budget, trustees are relying on 1.23 million dollars from its reserves.
By law, the district's reserves cannot exceed 10 percent of their total budget, but there is no minimum requirement. To allow the district's reserves to fall below five percent, trustees votes to suspend its own procedures that specify the district's reserves need to be greater than 5-percent.
School Board Chairmember Teresa Stroebe says given the district's dwindling reserves, future budgets will require more money from the state.
Classes for students in SD2 begin Wednesday.