Finance

 

The Allen Park Board of Education and administration continue responsible practices in financial planning. Although the District’s foundation grant (or state aid) is ranked 26th among 34 Wayne County school districts and despite the changes brought about by Proposal A, the Board has been able to preserve the financial integrity of the District and has continued to limit new expenditures and reallocate funds as necessary. The foundation grant accounts for approximately 81 percent of the District’s income.

 

The District also receives local funding from sources including the 18 mills levied on non-homestead properties and various grants. The District receives approximately eight percent of its funds from local revenues. While the District does receive federal funds accounting for seven percent of its income, these monies are earmarked for specific programs and are in the form of grants.

 

Now, the revenue shortfalls to the State of Michigan’s general fund and school aid fund are posing significant problems for public schools throughout the State. A stagnant economy and rising costs have forced Michigan public school districts to make modifications to general fund expenditures. Over the past several years, the Allen Park Public Schools has made over $2,000,000 in reductions and has utilized funds out of our savings account (or fund equity) in order to maintain current programming. Please rest assured that we continue to take measures to preserve the financial integrity of the District.

 

The stress and strains on a school district, resulting from financial challenges, places tremendous pressure on the educational system. The Allen Park Board of Education is committed to addressing the economic uncertainty that has affected Michigan. When school districts are forced to reduce budgets, it is always difficult. As we work through the difficult process to overcome these challenges confronting the District, each and every effort will be made to focus on the needs of all students to preserve the qualities that make the Allen Park Public Schools such an outstanding school system.