Ames CSD's operating budget is decreasing for the 4th straight year, $32 million less than 2021

Celia Brocker, Ames Tribune
3 min read
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The Ames Community School District board of directors approved a budget decrease for the fourth consecutive year during their regular meeting, Monday, April 22.

The district is prepared to use an operating budget of $95.8 million for the next school year, which is nearly $900,000 less than the prior year and more than $30 million less than four years ago in 2021.

The 2024-2025 budget will be more than $6 million less than in 2023 ($101.6 million) and roughly $900,000 less than in 2024 ($96.7 million). Next year's budget is also roughly $20 million less than in 2022 ($115.7 million) and almost $32 million less than in 2021 ($127.9 million)

Ames CSD Chief Financial Officer Sherri Ruzek said the smaller budget is due to the new high school construction and renovations for Ames Multi-Purpose Educational Services Center, also known as the AMES Center, nearing completion.

"With the High School construction near completion and most of the AMES Center renovations paid for, the total amount budgeted for the district will decrease in FY 2025," Ruzek said.

Ruzek said the district expects to receive financial aid and will not use only the funds generated from property taxes.

Property taxes will rise during fiscal 2025, though with a less significant impact than initially planned. The proposed property tax rate for fiscal year 2025 should be around $14, up seven cents from $13.93 in fiscal year 2024.

Ruzek said the goal of Ames CSD's budget remains preserving the critical functions of the district - teaching students, maintaining buildings and grounds, hiring staff, processing payroll and meeting all statutory requirements.

"The district does work to align the budget process to its Strategic Plan, where the academic success of every student is at the forefront of the decision-making process," Ruzek said.

More: New Ames school superintendent brings experience from Perry, Dallas Center-Grimes

More students, higher property value lead to tax increase

The slight property tax increase is due to higher enrollment and a valuation increase of 4.6 percent, as reported at a school board meeting earlier this month.

Enrollment rose by more than 100 students in the last year, producing $1.3 million of additional funding.

The district's current levy rate is the third lowest in Story County. United Community School District, which reaches into both Boone and Story Counties, is the lowest at $9.76. Ballard Community School District, which includes the towns of Slater, Cambridge and Huxley, holds the top spot at $19.25.

Property taxes make up about one-third of the Ames district's general fund, which covers teacher pay and most non-facility-related programs.

More: Iowa State University is hosting four provost finalists in April. The third arrived Monday.

Legislature hampers staffing, rising costs

The Iowa Legislature set supplemental state aid at 2.5%, which does not keep up with the district's rising costs or staff shortages that began in during the COVID-19 pandemic.

Recently approved legislation could restrict funding for the state's Area Education Agencies, which may impact the district's budget going forward.

Districts will gain control over 60% of the money that AEAs currently receive next year for education and media services. School districts will receive 100% of the money beginning in the 2025-26 school year.

More: 14 ISU students will compete before Grammy-nominated Plain White T's. How to watch.

Celia Brocker is a government, crime, political and education reporter for the Ames Tribune. She can be reached at CBrocker@gannett.com.

This article originally appeared on Ames Tribune: Ames school district OK's budget decrease to $95 million

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