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On February 10, 2026, I presented the Indian Hill Exempted Village School District’s updated Five-Year Financial Forecast. While long-term forecasting is always an exercise in careful projection, this year’s update comes at a time of notable legislative activity and evolving economic conditions that require particular attention.
Cash Flow, Flexibility, and Fiscal Caution
When comparing our October 2025 forecast to the current forecast, several themes emerge: increased cash flow risk, reduced flexibility, and heightened sensitivity to external legislative decisions.
While we are not projecting an immediate fiscal emergency, the margin for error is narrowing. At a high level, our current five-year outlook reflects a tightening financial trajectory compared to prior forecasts. While the District remains financially stable today due to strategic investments in delivering world-class programming for our students coupled with continued fiscal responsibility, the trend line for our cash balance is moving in a direction that requires thoughtful planning, disciplined spending, and continued community engagement.
What Has Changed Since October 2025?
Since our October 2025 forecast, several primary factors have influenced our updated outlook – namely House Bill 186 and its impact on the 20-mill floor. House Bill 186 is now enacted state legislation and introduces budgetary constraints that significantly impact our district’s projected cash balance. The new law caps revenue growth for 20-mill floor districts at the cumulative three-year rate of inflation following property reappraisals or updates. Currently, the Indian Hill School District sees increased income with increased property value, because we operate within the 20-mill floor. The new law slows the rate at which the district receives this additional revenue and includes an “Inflation Cap Credit” for property owners in districts like Indian Hill.
A Risk Scenario Worth Watching
It is also important to acknowledge a proposed constitutional amendment that would eliminate property taxes entirely by adding language stating that no real property shall be taxed. This proposal is not incorporated into our forecast assumptions; however, it represents a significant risk scenario. Property taxes fund not only schools, but also emergency services, parks, libraries, and local governments. The fiscal implications of such a change would be profound.
Investments in Our Future
This forecast reinforces several priorities:
- Careful timing of any future levy discussions
- Thoughtful management of expenditure growth
- Continued monitoring of legislative developments
- A steadfast commitment to maintaining both fiscal stability and the educational excellence our community expects
Despite continued uncertainty in how state legislation will impact our revenue, because of responsible fiscal stewardship and planning, our district maintains a solid financial foundation:
Taxpayer Value: Property values within our district experienced up to a 30% increase, reflecting the community's desirability and the district's quality. We have also seen savings for homeowners in our district; notably, the 2001 bond will expire in 2027, following a 2016 refinancing that saved taxpayers $8.5 million.
Grant Acquisition: The district secured significant grants, including $22,500 from the Ohio STEM Learning Network and $272,733 from the Ohio Department of Education & Workforce (ODEW), supporting advancements in STEM education and career readiness initiatives. Nearly $33,000 has been secured for three grants from the Ohio Attorney General's Office, ODEW, and Ohio Bureau of Workers’ Compensation (BWC) for facility safety, bus safety, and employee safety.
Energy Efficiency: Our Energy Savings Program continues to yield over $150,000 in annual savings, exemplifying our dedication to cost-effective operations.
Our projections of revenue, expenditures, and cash balance show that while we remain on solid footing today, proactive planning will be necessary to sustain our programs and services in the years ahead. Indian Hill has long benefited from a community that understands the connection between responsible financial stewardship and outstanding educational outcomes.
My commitment, and that of the Board of Education, is to provide transparent information so our community can make informed decisions about the future.
As always, we appreciate your support, and should have any questions regarding district finances, my door is open.
Dedicated to the success of our Braves,
Mick Davis
CFO/Treasurer
Indian Hill Exempted Village School District
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