Despite rising costs tied to the new provincial teachers' agreement, the South East Cornerstone Public School Division is on track to finish the fiscal year in line with budget expectations, thanks to additional provincial funding and a modest bump in revenue.
At the most recent meeting of the SECPSD Board, held last Tuesday, the division's quarterly financial report was presented, covering revenue and expenses up to February 28, 2025. While expenses are expected to come in roughly $2.3 million over budget, the report also projects a revenue increase of more than $780,000.
In an interview following the meeting, Shelley Toth, Chief Financial Officer for the division, explained the bulk of the revenue increase comes from funding linked to the recent teacher collective bargaining arbitration.
"The majority of that increase is a result of additional revenue allocated to cover those costs," Toth said. "Of course, at this point in time, it's just an estimated amount. We will reconcile with the ministry once the actuals are known and the agreement is officially signed and retro is paid out."
While there was a slight drop in the division’s operating grant due to lower-than-projected enrolment as of September 30, that was partially offset by an increase in tuition revenue for students in specialized categories.
On the expense side, the increase is largely driven by the anticipated costs associated with the new teacher agreement. However, Toth emphasized that there should be no long-term impact on the division’s financial health.
"The government has stated they are committed to fully funding the teacher agreement, so there should be no impact on the division's bottom line."
Another area of interest is capital spending. As of February, just under 24 percent of the budgeted funds for asset additions had been spent. Manager of Finance and Payroll Marilyn Yurkiw noted that while most technology, furniture, and bus purchases had already been made, the slower-than-expected pace of construction on the new Carlyle Elementary School project had impacted the totals.
“We have a $10 million budget in there for the Carlyle Elementary School project, and that project is still moving forward — just not quite as fast as what was expected when we received the budget from the ministry,” Yurkiw said.
Looking ahead, both Toth and Yurkiw agreed that things are largely on track.
“There really aren't any surprises in the forecast,” Toth said. “Those additional costs associated with the teacher collective bargaining agreement should be fully covered by the government. Other than that, that was the biggest variance in our forecast this time around.”