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COVID-19 could be costly for New West schools

School district plans to set aside $1.7 million to deal with potential emerging issues arising from the pandemic
COVID-19, budget, stock photo
The New West school district wants to set aside $1.7 million to help deal with emerging issues related to COVID-19 in the 2020/21 school year.

The New Westminster school district plans to set aside $1.7 million this school year to deal with potential emerging COVID-19 issues.

In a financial presentation made at the school board’s operations committee meeting Sept. 15, secretary-treasurer Bettina Ketcham outlined the district’s plans to set aside the money.

The 2019/20 year ended with an operating surplus of slightly more than $1 million, but she cautioned trustees against being optimistic.

“It isn’t a cause for celebration,” she said. “We did have a challenging year, prior to this year; we’re heading into another one.”

The New West district, along with the rest of the school districts in B.C., has received extra funding from both the provincial and federal governments to deal with COVID-19 this year: $488,000 from the province and a further $2.5 million from the federal government.

Ketcham said that funding has helped, but the district still faces challenges.

Among those, she noted, is a decrease in international student revenues. The district had planned a reduction in international students to 130 students this year; in actual fact, about 88 are currently studying in New West.

“That funding isn’t going to be made up if those students aren’t here,” she said.

Ketcham noted the district also stands to potentially suffer funding shortfalls as a consequence of the move of some students from “bricks-and-mortar” schools into online distributed learning programs, though she said the district has taken steps to mitigate against that change.

Regardless, she said, it behooves the district to be wise with its money in light of the uncertainty about the future.

“There’s going to be ongoing continued pressures in operating for the foreseeable future, and perhaps beyond this school year,” she said. “It’s unclear as to how long this pandemic will last for, and it’s certainly wise to ensure we’re being financially restrained.”

She said the board needs to ensure its spending is focused on the work it needs to do to meet the vision set out in its strategic plan for the next five years.

And she told trustees the district isn’t alone in wanting to set aside COVID-19 contingency money, as she has consulted with other Metro Vancouver districts about the issue.

“We’re not alone here in terms of being fearful of what’s to come and the unknown and unexpected,” she said. “Sure, there has been some additional funding received, but again, as I noted, this pandemic could carry on for a little while longer, and we want to just safeguard against whatever might come our way in the future.”

Under the plan, the board would “internally restrict” the funds, so it would also have the power to change its mind as the pandemic situation evolves. Ketcham said the board can continue to revisit the proposal through its operations committee meetings and during the amended budget season this winter.

“Really, the financial restraint and conservatism is something that we need to demonstrate right now, given the uncertainty that lies ahead,” she said.

The district’s budget and financial statements will return to the school board for approval at the next full meeting of the board, set for Sept. 29.