The Impact of Prop 1: Check Out the Facts Yourself

Those on the opposing side of the Ladue Prop 1 tax levy vote April 3 are having some difficulty accepting the facts and figures presented by the Ladue School Administration.

The fact is, many hours of research have gone into putting together the Ladue side of the equation.

Whether these facts and figures will be accepted by all parties is subject to conjecture.

That said, this is what was presented Monday night at the Ladue School District workshop by Dr. Jason Buckner, the chief financial officer for the district.

If Prop 1 fails:

• Approximately $2 million will be cut from the 2012-13 budget

• Additional cuts for 2013-14 of approximately $1 million

• Lease or sale of the Clayton Road property (the old Early Eduction Childhood Center) is not included in present planning

• Moderate expenditure increases are not included

• AAA Bond Rating would be highly jeopardized in 2014-15 and in 2015-16 school years

• Revenue planned as flat through 2015-16

If Prop 1 passes:

• Generates approximately $7 million per year

• Meets unrestricted fund balance goal through 2015-16 (predicting flat revenue).

• Lease or sale of Clayton Road property not included at this time

• Moderate increases to expenditures added to compete in the market

• Opens Fifth-Grade Center at West Campus in August, 2013

• AAA Bond Rating not jeopardized

• Revenue planned as flat through 2015-16

Bucker expanded upon the financial future of the district. “We will have to wait until the conclusion of the Missouri legislature in May to determine at what level we will be funded.” Some scenarios indicate a small decrease in funding for Ladue by this legislative body.

Ken Smith, board member had some heart burn with the report. “You (the school board) cannot really project our spending over the next four to five years. We do not know how reassessment (of business and private property) will be factored in.”

Going on, Smith said: “People in this room (the board meeting) understand this, but we need to get the public to understand this too.”

Everyone agreed, Ladue should not slip below a minimum fund balance of 15 percent of the district’s reserves.

As the 15 percent figure is approached, board members agreed that the district should not slam on the brakes, but should tap on the brakes to make sure funds don’t fall below that minimum figure.

The vote on April 3 by the citizens in the Ladue School District will determine which direction the board and administration must go with future planning and execution of education for all the students in the district.