Chippewa Valley Spends $132 Million in 2012; Saves $16.7 Million for Rainy Day

Federal dollars and property tax revenues were down in 2012, but Chippewa Valley Schools still managed break even and close out the year with $16.7 million in its rainy day fund.

Plante Moran gave the district an unqualified opinion – the highest form of assurance that an institution’s finances are in order – in its recent audit of Chippewa Valley finances for the year ending June 30, 2012.

“In school district terms, we would give you an A,” said Donna Hanson, CPA with Plante Moran.

Taking in approximately $131.8 million in revenue in 2012, the district spent $132 million, with just under $104.2 million of that expense directed toward instruction and instructional support services that directly benefit students.

As of June 30, the district had $16.7 million in its general, or rainy day fund. In the last 10 years, the district has only surpassed the $16 million mark in three other years, 2008, 2009 and 2011.

Early estimates predict the general fund will drop to $13.7 million in 2013. Assistant Superintendent for Business & Operations Scott Sederlund said the district needs to keep about $13 million in its general fund year-to-year to stay in the black.

Highlights from the 2012 audit:

General Fund Revenue 

• Total: $131,804,205
• State Membership Aid: $98,866,590
• Property Taxes: $13,155,283
• Other State, Local and Interdistrict Sources: $16,637,113
• Federal, which includes $524,247 of expiring federal ARRA and Edujobs funds: $5,145,219

General Fund Expenditures 

• Total: $132,004,380
• Instruction and Instructional Support Services: $104,194,778. Chippewa Valley spends 5 percent more on instruction than the Michigan average.
• School and General Administration and Business Services: $11,418,298
• Operations, Maintenance, Central and Transportation: $15,383,946
• Transfers: $1,007,358

Foundation Allowance Per Pupil for Macomb County Districts/State Funding

Chippewa Valley continues to be one of the three lowest funded districts in the county, receiving $6,846 per pupil in 2012. Center Line and Warren Consolidated schools received the highest per pupil funding at $9,353 and $8,856, respectively. These numbers reflect the state's $470 cut in per pupil funding.