Can we pay for new schools, additions and upgrades of current facilities out of the district’s annual maintenance and operating budget?
A. No. The state allows school districts to fund expenditures from two different sources—maintenance/operating budget and bonded debt service. Limitations imposed by the state’s school finance system place restrictions on the usage of a school district’s state operating revenue. Normal capital projects, technology upgrades and major maintenance projects are funded through bonded debt service that pays back the bonds sold to spend on capital projects.
Related Questions
- Why can we pay for new schools, additions and upgrades of current facilities out of the districts annual maintenance and operating budget?
- Can we pay for new schools, additions and upgrades of current facilities out of the district’s annual maintenance and operating budget?
- Who will pay for the annual electrical power and operation and maintenance costs?
