The Elk River School Board approved a $122.42 million operating budget for the 2009-2010 school year.

The budget includes $6 million in reductions the district is making in personnel, programs, vendor contracts and supplies.

Elk River School Dist. 728 faced significant budgetary challenges this year, primarily as a result of a slowing in enrollment, flat state funding, inadequate special education funding, increases in health and energy costs and the national economy. As with last year's budget, the district's senior business officer projects a deficit for 2010-11.

"This budget supports our mission of educating, inspiring and empowering students and staff," said Randy Anderson, Executive Director of Business Services. "Having said that, we have had to make very difficult decisions this year that will affect every level of our district, and as the state budget forecast is gloomy, we are projecting another round of reductions next year" he added.

Anderson noted that as the state struggles with a $6 billion budget deficit, school districts would see less funding.

"We planned our budget on the assumption the legislature and governor would agree to keep K-12 funding at previous levels, and we were right on that count," he said. "Unfortunately, because of the state deficit we were cut two percent, or $1.5 million, in one-time basic and operating capital funding."

The district's finance department was recognized this year with a glowing audit and a national award for best practices, but despite these Anderson notes a great staff cannot solve what is in effect a statewide financial crisis.

"What we need is strategic solutions, which will have to come about either through legislative changes or from the voters," said Anderson.

The details of the budget are available on the school district's website at www.elkriver.k12.mn.us/0910budget.