Ten Illinois school districts are included on the State Board of Education’s 2001 Financial Watch List, which was released today in Springfield at the Board’s monthly meeting. Last year’s list had seven districts on it.
Financial Watch List is one of five categories comprising the
State Board’s Financial Assurance and Accountability System (FAAS). The
FAAS classifies all districts according to their financial condition
and provides financial technical assistance to school districts
experiencing financial difficulty.
Superintendent of Education Glenn W. McGee said that “It
is clear local districts are benefiting from the continuing support
of Governor Ryan and the General Assembly. Governor
Ryan’s commitment to improving Illinois education is evident
in this year’s budget where he again pledged 51 percent of all
new state revenues to education. We are all working together
to make Illinois schools Second
financial improvement may also be available in the near future
if recommendations by the Education Funding Advisory Board (EFAB)
are put in place.
of EFAB were appointed last June by Ryan to make recommendations
to the General Assembly for the foundation level of funding. Recommendations
for this year include an increase of $135 in FY2002 for General
State Aid and Hold Harmless. This
would yield a foundation level of no less than $4,560 (presently
also recommended a decrease in the minimum threshold for access
to the poverty grant from the present 20% to 15%, and that the
poverty grant be a percentage of the foundation level, rather
than the current fixed dollar amount.
are assigned to a FAAS category based on a ratio comparing their
fund balance to revenues. The
ratio measures operating fund balances against revenues in the
educational, operations and maintenance, transportation, municipal
retirement/social security and working cash funds. The
figures are taken from the districts’ Annual Financial Report
for the fiscal year ending June 30, 2000.-more-
A district is placed on the Financial Watch List when one or more of the following occurs:
districts—Livingston CCSD 4 in Madison County and Spring Lake
CCSD 606 in Tazewell County-- have been certified as “In Financial
Difficulty” and continue to be monitored by State Board staff. These
districts must develop multi-year financial plans that propose
solutions to their fiscal problems. The
State Board must approve the plan.
St. Louis School District 189 and Round Lake Area School District
116 required Financial Oversight because of the severity of their
fiscal problems. A
three-member external panel, appointed by the State Superintendent,
must approve all financial activity for such districts.
Financial Watch List
districts not submitting the Illinois School District Annual
Financial Report (AFR) by the required deadline:
Certified as “In Financial Difficulty”
Removed from the Financial Watch List