La Salle-Peru High School Adopts Budget Amid Deficit

Financial Challenges at La Salle-Peru

The La Salle-Peru Township High School Board of Education recently moved forward with the adoption of its fiscal year 2027 (FY27) budget. The decision, reached during a public hearing and regular board meeting on September 23, was finalized by a 6-0 vote. While the board has signaled its approval, the underlying financial data paints a picture of a district grappling with significant fiscal headwinds.

According to the budget documents filed with the Illinois State Board of Education, the district is currently managing a $1.6 million operating deficit. This shortfall is not isolated to a single area; rather, three of the district’s four primary operating funds are projecting expenditures that exceed incoming revenues. This trend raises questions about the long-term sustainability of the district's current spending trajectory.

A Closer Look at the Numbers

The core of the district's financial activity, the education fund, is currently projected to bring in $16.97 million in revenue. However, expenditures for the same period are estimated at $17.87 million, resulting in a deficit of nearly $902,000. Similarly, the operations and maintenance fund is facing a deficit of over $1 million, with $2.73 million in revenue against $3.81 million in planned spending.

Despite these figures, district leadership has maintained a posture of confidence. Superintendent Theisinger, when questioned about the financial outlook, stated, “There’s nothing in the budget that stands out to me as concerning.” The district notes that a formal deficit reduction plan—which is mandated under Illinois School Code when a deficit exceeds one-third of the estimated ending fund balance—is not currently required because the district has not crossed that specific threshold.

The Burden of Debt

Beyond the annual operating deficit, the district is carrying a heavy load of long-term debt. As of the most recent reporting for FY25, the district held approximately $52.5 million in outstanding debt. This debt service is a significant drain on resources, with $5.87 million allocated for the current year—comprised of $2.41 million in interest and $3.47 million in principal payments.

As debt service costs continue to rise, a larger portion of the district's revenue is diverted away from classroom instruction and student services before it ever reaches the school building. For families and taxpayers in La Salle County, this trend highlights the importance of oversight in local government and fiscal responsibility in education.

Transparency and Future Planning

While the district has provided a framework for the budget, some observers have noted that the deficit reduction plan sections for FY28 through FY30 remain largely blank. With zero revenues and zero expenditures listed for those future years, the long-term strategy for closing the current $1.6 million gap remains unclear. As the district moves forward, the community will likely continue to demand more clarity on how these deficits will be addressed without placing further strain on local property owners. For more updates on how your tax dollars are being spent, visit our election center to stay informed on local board candidates and fiscal policies.