Community Update: Financial Stewardship & Economic Outlook

Dear Newburg Wolves Community,

Throughout my time serving our wonderful school district, I’ve experienced firsthand the tremendous support you have for our schools. Whether through direct conversations or seeing the tangible fruits of the bond issue voters passed a few years ago, your commitment to our students is evident. Thank you!

Because of your generous support, our new Ag facility is thriving, helping foster one of the top FFA programs in our region. With over 80% of our high school students actively involved in FFA or an Ag course, your investment continues to positively impact lives every day.

Responsible Stewardship of Your Tax Dollars

Thanks to strong leadership from our Board of Education and previous administration, our district has maximized every dollar to do more with less. Our cost to educate each student is $13,876, well below the state average of $15,915.

Over the past decade, our district has worked diligently to rebuild its financial health. We finished the 2014–2015 school year with a dangerously low 5.89% operating reserve. Through years of disciplined fiscal management—combined with temporary federal COVID-19 relief funds—our reserves have recovered to 85%. Additionally, we recently paid off a portion of our voter-approved bonds early, which will save our taxpayers approximately $54,000 in interest.

Navigating Economic Headwinds

While our current fund balance puts us in a strong position, we anticipate this reserve will gradually decrease in the coming years as funding decreases and operational costs rise. Like every household and business, our school district is feeling the strain of rising costs for fuel, utilities, facility maintenance, supplies, and educational materials. Because salaries and benefits account for roughly 75% of our budget, the remaining 25% must stretch across these inflating daily operational needs.

Furthermore, about 45% of our revenue comes from state funding (compared to the state average of 32%). Because Missouri school funding structures can fluctuate, our higher reliance on state dollars requires us to closely monitor legislative decisions in Jefferson City as we plan for the future. Fully funding education at the state level is critical for schools all across Missouri.

Our district goals include maintaining a healthy operating reserve of at least 40% to safeguard our operations against economic downturns and revenue drops. Rest assured, our commitment to being outstanding stewards of your tax dollars while delivering an exceptional education remains unchanged. 

What’s Happening in Jefferson City

State funding for public education is currently projected to be underfunded statewide by approximately $190 million this school year—a gap expected to be around $300 million for the 2027–2028 school year under Missouri’s current school funding formula. At its September meeting, the State Board of Education declined to request additional funding from our state legislators. State law mandates that 25% of the state’s revenue be spent on public education, but the current state budget represents about 20%. The State Board of Education’s decision to not request full funding for our schools is unprecedented.

While state funding declines, accountability measures continue to rise. In 2017, there were 37 mandated compliance items for school districts. That number rose to 125 last school year. Despite these challenges, public schools across Missouri—including Newburg—continue to maximize every available resource. 

Where We Go From Here

Good stewardship means balancing fiscal responsibility with educational quality. While we face uncertain economic times, our commitment to quality instruction, high academic achievement, strong career-technical education, and retaining outstanding staff remains among our highest priorities. Over the last two years, our district has made great strides in reading instruction, teacher retention, and post-secondary planning, and we will continue to focus our efforts on preparing our students to become successful, thriving adults. 

Thank you for your continued partnership in supporting our students, teachers, and district. Please do not hesitate to reach out to me with any questions. My email address is ddunn@newburgk12.org. 

Sincerely,

Doug Dunn, Superintendent