NIAGARA, Wis. — The Niagara School District has approved a preliminary budget for 2019-20 showing a deficit of about $257,000.

The district plans to levy $1,254,726, which is down from last year’s levy of $1,493,437, a drop of about 16 percent.

The district also had deficit spending last year but Superintendent Nate Burklund told the board the district had a better year than expected.

The budget, which will be reviewed when the district schedules its annual meeting and sets its levy, shows projected total revenues of $5,080,068 and total expenditures of $5,337,007.

Last year’s budget shows $5,287,171 for revenues and $5,294,993 in spending.

The district ended the budget year with a fund balance of $780,540, but it is expected to drop to about $523,601 at the end of the 2019-20 school year.

Local revenue sources are expected to drop from last year’s budgeted amount of $1,443,462 to $1,084,151. Inter-district payments are expected to increase from $711,017 to $805,500. State revenue is expected to increase to $2,944,661, up from $2,866,499.81 last year.

Under expenditures, instruction costs are budgeted at $2,622,182, down from $2,713,070. Support services are expected to remain relatively the same but non-program transfers should increase from $569,419 to $701,154.

The district has budgeted $40,000 for capital projects.

The special projects fund is budgeted at $955,805, $188,238 more than last year. The

district also has an increase in the debt service fund of about $7,370.

The district also expects $63,647 in utility cost savings under the energy efficiency program.

In other business, the board:

— Purchased two X Systems 1U Mercury Dual Xeon Rackmount servers for $6,388 each from GoTech in Norway.

— Accepted the resignation of elementary special education teacher Ahren Crotty.

— Hired Joleen Pahl as an elementary school teacher. Burklund said there were six applicants.

— Approved hiring Ryan Allred as junior varsity boys basketball coach.

— Approved a resolution authorizing a State Trust Fund Loan for up to $40,000 if the district needs it. Shawna Lindow, business manager, explained the interest rates were good at 3.75% and it gives the district more flexibility for borrowing.

— Approved the transportation plan. Burklund explained the plan was needed to explain to the state the district busses all its students because of the high traffic road between the school and where many of them live.

Marguerite Lanthier can be reached at 906-774-3500, ext. 42, or mlanthier@ironmountaindailynews.com.