LPS Proposed Budget

(KFOR NEWS June 23, 2021) The LPS preliminary proposed budget totals about $463 million, an increase of 1 1/2%. Currently, the preliminary budget proposal provides a decrease of one penny in the overall property tax levy.

Other highlights of the 2021-22 preliminary proposed budget include:

The Board prioritized keeping cuts as far away from the classroom as possible. Staffing at schools was adjusted to match the drop in enrollment during the past school year.
A proposed $9.4 million in reductions include cutting spending on contracted services, equipment and supplies, and eliminating approximately 85 full-time equivalent (FTE) positions through attrition by not filling existing vacancies or not replacing open positions.
Reductions were made to offset fixed expenditure increases, which include salary and benefit costs of $6.4 million, and $1.5 million in insurance premiums.
Start-up costs for the new elementary school and a new high school opening in the fall of 2022 of approximately $3.8 million.
Implementing an extensive reading intervention program at multiple grade levels instead of offering the licensed Reading Recovery Program at first grade will reach more students and save approximately $61,732.
Restructuring the gifted facilitator positions to a centralized system will provide more specialized services to more students and save approximately $324,223.
Hiring more school nurses to replace health technicians and treatment nurses will provide a reduction of $7,335.
Consolidating bus routes provides more efficiency and reduces the budget by nearly $100,000.
In 2019-20, LPS ranked 213th out of 244 school districts in Nebraska in per pupil spending – $12,889 per pupil compared to the state average of $13,558.
The General Fund Levy will remain at $1.05, but reductions in the Bond Fund Levy and the Qualified Capital Purpose Fund Levy will lower the overall levy one penny to $1.211892 from $1.221966.

This is a residential property revaluation year, and property valuation increases in 2021 will lead to major reductions in State Equalization Aid for 2022-23. In the past, LPS used the residential revaluation year to add to the cash reserve – a practice that offsets the negative impact of State Equalization Aid dropping significantly the following year. Since 2019, LPS experienced a significant drop in State Equalization Aid – approximately $30 million. It is possible that state equalization could drop $10-20 million next year.

There will be two budget forums – one in person and one virtually – with a short presentation and time for community questions, comments and feedback.

In-person forum: Wednesday, June 23, 5 p.m. in the LPS District Office boardroom (5905 O St.) This forum will also be streamed live for viewing on the LPS website and the LPS YouTube channel.
Virtual forum: Thursday, June 24, at noon, join the forum to provide feedback and ask questions using this link. This forum will also be streamed live on the LPS Facebook page.