Michigan school finance can feel complicated. The most important thing to know is that Michigan law separates funding for buildings. Bond dollars cannot be used to hire teachers, and general fund dollars were never intended to replace aging infrastructure.
Continual infrastructure investment is necessary to protect classroom funding.
FINANCIAL STEWARDSHIP
Brighton's finances are public, reviewed, and accountable.
Independently audited every year.
Spending reviewed and approved at public Board meetings.
Bond dollars are tracked separately.
Careful budget oversight alone cannot generate the funds required for major projects.
WHAT HAPPENS IF THE DISTRICT?
Leads to higher repair costs and aging schools
Less money for students, programs, and teachers
Spends down Fund Balance?
No financial cushion for emergencies
Uses Classroom Dollars?
Delays projects?
Bond Dollars Cannot Support
Teachers and Staff
Salaries, benefits and the people who serve students each day.
Classroom Instruction
Curriculum, instructional supplies, student support and educational programming.
Daily Operations
Utilities, transportation, custodial services, insurance, and routine building care.
Recurring Costs
Expenses that return every year and must be supported by ongoing revenue.
Bond Dollars Can Support
Major Infrastructure Replacement
Roofs, boilers, chillers, electircal systems, and other long-life building components.
Safety and Security Improvements
Secure entrances, building systems, site improvements and other approved capital work.
Learning-space Renovation
Modernized classrooms, labs, accessibility upgrades and building additions.
Defined, Voter-approved Projects
Bond proceeds are restricted to the purposes described in the ballot proposal and legal documents.
Bond proceeds cannot be used for employee salaries or ordinary operating expenses. Likewise, paying for major capital replacement from the General Fund reduces the dollars available for instruction, staffing and student services.
Good budgeting cannot make capital needs disappear. Brighton should always control costs and look for efficiencies. But ordinary savings cannot create tens of millions of dollars for roofs, HVAC, electrical systems, secure entrances, accessibility work and other long-life infrastructure.
tHE "TIGHTEN THE BELT" QUESTION
Because the general fund and reserves serve different purposes than a capital bond. The general fund supports day-to-day operations, teachers, instruction, transportation, and student services—while reserves provide a financial cushion for unexpected costs and future needs. Using significant amounts of either for major facility projects could reduce the district’s financial flexibility and put pressure on the operating budget. A bond allows the district to fund long-term capital improvements over time while protecting resources needed to operate schools today.
"WHY NOT USE THE DISTRICT'S SAVINGS OR GENERAL FUND INSTEAD OF A BOND?"
Replacing infrastructure at the end of its useful life is one of the most fiscally responsible decisions a district can make. Responsible planning costs less!