FY'26 Budget Document (December 10, 2024)

Wellesley Public Schools: Fiscal Year 2026 Budget

Financial Reporting: The Assistant Superintendent for Finance and Operations reviews all funds monthly with the appropriate budget managers and Superintendent. Financial reports are submitted to the School Committee and Superintendent quarterly. Budget Flexibility and Transfers: The district utilizes the budget roll-up feature within MUNIS to provide limited flexibility to budget managers. The system is designed to roll up similar account types within a location and program such as High School Science Instructional Materials (object code 553040) and Computer Supplies (object code 553060) into a single ‘budget.’ For instance, if $500 is budgeted to the 553040 and to the 553060-object code, the budget roll-up amount is $1,000 for High School Science materials. The $1,000 can be spent on any combination between object codes 553040 and 553060 provided the roll-up total is not exceeded. Budget roll-up codes limit the number of budget transfers that are needed and are in line with the School Committee budget transfer policy. The School Committee reviews all budget transfers as part of the quarterly financial report. Budgeted Offset: In Wellesley, the district collects revenue from multiple sources: ticket sales, activity and athletic fees, preschool tuition, etc. These revenues are deposited into an appropriate revolving fund. Expenses can either be charged directly to the revolving fund or through an accounting adjustment between the general fund and revolving fund. A budgeted offset is when revenues are collected and deposited to the revolving fund, but the expenses are carried in the general fund and a corresponding negative account (offset account) is present. The negative budget account represents the amount of adjustment between the general fund and revolving fund. Without the use of budget offsets, program expenses would be included in the budget of two separate funds making it difficult to see the full expense of a program. In the example of pre-school, the use of program fees offset the cost of staff in the amount of $550,000 (offset amount). The following revolving funds do not include budgeted offsets, and all expenses are directly charged to the revolving fund:  Child Lab Program  Textbook Revolving (lost book)  Guidance (testing related to college admissions)  Elementary Before School Program All other revolving accounts are a mix of budgeted offset and direct charge to the revolving fund. It is important to note that all budgeted offset amounts are included in the revolving fund revenue estimates for FY’25 and FY’26. Turnover / Turnback – What is the Difference? At the end of the fiscal year (June 30 th ), Massachusetts General Law (MGL) requires all uncommitted General Fund balances to be returned to the Town of Wellesley. We refer to this as “turnback.” All year-end balances in the General Fund are returned to the Town of Wellesley. The table below provides the historical turnback to the Town of Wellesley from the general fund:

FY

FY’2018

FY’2019

FY’2020

FY’2021

FY’2022

FY’2023

FY’2024

% Return Amount

1.29%

0.25%

1.70% 3.83% 1.34% 1.29% $1,304,366 $3,079,039 $1,106,939 $1,093,553

0.32%

$934,719

$187,171

$278,979

COVID-19 Impact

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