Finance

A Note from the Treasurer

The Treasurer is the Chief Financial Officer (CFO) of the School District and works collaboratively with the Superintendent of Schools but reports directly to the Board of Education. The Treasurer, by State Statute, also serves as the Secretary to the Board of Education.

In the Treasurer’s Office, we have three (3) primary goals. First, we strive to be responsible stewards of the public dollars entrusted to our district by the Kenston community by ensuring financial accountability and transparency. Second, we serve and support our dedicated staff as they carry out their various responsibilities in providing a high-quality education, which is continuously recognized by the Department of Education of the State of Ohio. Finally, we provide the Kenston Board of Education and the Administration an articulated, thorough and comprehensive assessment of the district’s financial condition, which allows for decisions to be made related to the education of children while understanding the financial implications of such decisions.

The Treasurer’s Office is responsible for the accounting of all financial transactions of the School District pursuant to applicable State and Federal laws in accordance with District Policies and Administrative Guidelines. In the performance of its duties, the Kenston Local School District has earned a Moody’s rating of “Aa1” and received the Ohio Auditor of State Award for Excellence in Financial Reporting in 16 of the past 17 years. The District also annually receives the Certificate of Achievement for its Comprehensive Annual Financial Report (CAFR) from the Government Finance Officers Association of the United States and Canada (GFOA).

Our highest priority in the Treasurer’s Office is to provide excellent service and support not only to the Board of Education and all District staff; but also, to the students, parents and the communities of Auburn Township and Bainbridge Township. If you have any questions or concerns regarding the finances of the District, please feel free to call me at 440-543-9677.

 

Respectfully,
Paul J. Pestello
Treasurer/CFO

Finance Committee Meetings

Finance committee meetings are periodically held on Monday evenings prior to Board Meeting from 6 to 7 pm at Timmons school office.

School Finance 101

The Kenston Local School District is operated primarily by tax monies voted directly by residents of the district. Kenston’s voted operating tax rate is 77.49, plus 4.50 mills assigned to the district from the State of Ohio’s 10 mill limitation. The 2015 total operating millage was 81.99 plus 4.44 for bond retirement.

Financial Facts and CAFR/Audit Report reflect financial information from the previous year.

Overview of School Funding

Last fiscal year (FY 2016), the state of Ohio spent more on primary and secondary education than at any other time in state history. FY16 State General Revenue Fund and Lottery Profit spending for primary and secondary education exceeded FY10 funding levels by nearly $1.6 billion, or 22.6 percent. Even including one-time, federal stimulus funding, TPP/KwH reimbursements, and property tax relief, FY16 funding levels exceeded FY10 funding levels by $566.5 million, or 5.9 percent.

Am. Sub. House Bill 64 (HB 64) continues to invest additional funds for primary and secondary education in Ohio. This year (FY17), State General Revenue Fund and Lottery Profit spending for primary and secondary education will exceed FY15 funding levels by more than $725 million, or 8.8 percent. Even including TPP/KwH reimbursements and property tax relief, FY17 estimated funding levels will exceed FY15 funding levels by $556.7 million, or 5.6 percent.

The governor’s budget recommendations for FY18 and FY19 continues this record investment. Resources allocated primary and secondary education total $10.51 billion in FY18 and $10.62 billion in FY19; increasing $199.8 million during the biennium. The GRF portion of these appropriations is recommended at $8.05 billion in FY18 and $8.19 billion in FY19, representing growth of $143.5 million, or 1.8%, in FY18, and another $136.9 million, or 1.7%, in FY19. Lottery appropriations equal slightly more than $1.0 billion in both fiscal years. State education appropriations represent the largest commitment of state appropriations.

funding chart

How School Funding is Distributed

Public school districts use a combination of state funds, local sources such as property taxes (and in some cases income taxes) and federal funds.

The amount of state funds that a district receives is based on a formula that takes into account the student enrollment and the property wealth of the district.

About School Funding

The Department of Education’s General Revenue Fund budget represents the largest component of primary and secondary education.

These funds, along with profits from the Ohio Lottery are used to fund Ohio’s 612 public school districts, 49 joint vocational school districts, and approximately 370 public community schools. They also fund the activities of the Ohio Department of Education, including funding for early childhood education, pre-school special education, assessments, and the A-F report card.

In addition to state aid through the foundation program, many school districts receive reimbursements payments for lost property tax revenue caused by the phase out of the general business tangible personal property tax (TPP) and the reduction of property tax assessments rates on utility property (KwH). Finally, the state pays 10% of locally levied property taxes for residential and agricultural real property owners and an additional 2.5% for homeowners and represents property tax relief to individual property taxpayers in Ohio.

Courtesy of Ohio Department of Education

Legislative Updates

Click here to view the Ohio Department of Education Legislative Services

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