Today, the State Comptroller’s office will announce information regarding the district’s financial future.

In 2013, the Comptroller implemented a fiscal stress monitoring system for school districts and local governments to be used as an early warning system, allowing school districts the opportunity to be proactive in avoiding a fiscal crisis.

For the past two years, the district has received a “No Designation” status. However, this fiscal year, the Comptroller will list the Shoreham-Wading River Central School District as a school district “susceptible to financial stress.” Please be assured that this is only one aspect of the district’s overall financial picture.  

The reason for the change in the district’s status is twofold.

One: Due to the 2015 community-approved “Renewal” bond project, the district saw a significant increase in expenditures, due to the use of PYSA (Prior Year State Aid) as a transfer to capital.

Two: The district no longer receives Prior-Year State Aid infusions from the State Education Department. This change means we now receive less state aid than the previous few years, creating slightly less revenue to support our spending.

In summary, the district’s use of reserves in the 2014-2015 budget contributed to a deficit in the financial statements, as the use of reserves is not considered revenue.

Again, please be assured that this designation is not an accurate representation of the district’s financial status, and the Board of Education and administration are doing everything in their power to continue to provide Shoreham-Wading River students with opportunities for success while remaining fiscally responsible.