The Goal Driven Budget

A goal driven budget is critical to the financial success of any district.  As Dr. Arterbury stated in the lecture this week, “the purpose of a goal driven budget is to assist in the attainment of a shared vision for the school district and every campus.”  Setting specific, measurable, attainable, realistic and timely goals (SMART goals) will foster change and improvement in every area of the school district.  Unfortunately, many leaders focus district and campus planning on the areas of instruction, curriculum, programs, etc, but forget about its importance when it comes to finance.  Using the same goal driven process we use to improve student performance, we can insure that the financial state of the district will also improve.

This process begins by involving stakeholders in decision making.  The district and campus improvement committees should spend time discussing budget issues and making recommendations for the coming year budget.  When input is gathered from all stakeholders, the budget will more likely reflect the goals of the district and funds will be more effectively utilized.

The district improvement plan of my school includes a column entitled “resources.”  This column lists the specific dollar amount that is allocated for that particular area.  This provides an excellent guideline for developing the new budget.  The superintendent can use the plan to see which programs are being used and how much each will cost.  With input from the campus improvement committees, decisions can be made about cutting and/or adding programs.  The format of our plan also allows stakeholders to see an estimate of how much money is being spent to reach each specific goal.  I believe that our district and campus plans are what Dr. Arterbury calls a “version of the vision.”  We are working very hard to insure that our campus, district and board goals are aligned and that our budget process and expenditures reflect those goals. 

Although the superintendent of the district is responsible for the preparation of the budget, it is absolutely necessary that he/she involve stakeholders in the process.  Developing a goal driven budget will insure that teachers, students, parents, community members and other stakeholders have an opportunity to submit input.  This does not mean that the superintendent must take every single recommendation or “wish list” a person submits.  However, it does mean that stakeholders will be given an opportunity to share their insights and suggestions and that the superintendent will listen, consider, and take action as he/she deems appropriate.  When stakeholders feel as though their ideas have been considered, they are much more likely to support the final decision (budget).

Dr. Arterbury also emphasizes the importance of communication.  I could not agree more.  In fact, I will go a step further and say that it is the superintendent’s communication that is most important.  I have seen some superintendents in school board meetings who defer all budget questions to the business manager.  Although the business manager probably has the most insight into the details of the budget, the superintendent MUST be prepared enough to answer questions from the board.  When they continuously turn the questions over to someone else, it causes the board to lose trust in the superintendent’s ability to manage the finances of the school.  Knowing the details of the budget and being able to answer a majority of the questions about the budget will help insure the success of the superintendent. 

Communicating the progress of the budget to all stakeholders, not just board members, will create a relationship of trust and confidence.  Trust is critical to the success of the superintendent and the school district.  In these difficult economic times, it is more important than ever that our teachers, parents, and community members are informed.  The further we fall into this school finance crisis, the more we will have to rely on our outside stakeholders to help.  If they see the school superintendent as someone they can trust to make the most effective and efficient decisions for the students, they will be more likely to support difficult decisions such as personnel cuts, program cuts, or higher taxes.  Being open and honest with your stakeholders will lead to a positive, supportive relationship in which everyone benefits.