Morrisville officials warn of operating strain while state budget remains unpassed

District officials told the Morrisville Borough School District board that the state had not yet passed its budget and some state subsidy payments were being withheld, creating a short‑term cash‑flow strain.

A board member opened the finance discussion by noting the state had not passed a budget and that some district funding was being withheld. The superintendent said Title I and Title II funds have been processed, but the district is relying on tax payments to operate until the remainder of state funding arrives.

"We are expecting an influx of our tax monies to come in by the 28th," the superintendent said, noting escrow payments typically hit then. The superintendent added the district is delaying nonessential orders (pushing purchases that would not be used until spring) and reviewing each expense to prioritize classroom needs. He estimated an average revenue shortfall of about $800,000 per month while state subsidies are withheld.

District staff also said they are preparing an application under Act 85 of 2016 to seek assistance through the Pennsylvania Department of Education (PDE) to address debt‑service expenditures; staff will circulate a detailed list of needed items early next week. The board asked for a full financial update once tax receipts arrive.

No formal budget action was taken at the meeting; board members asked staff to present an updated financial status when the expected tax receipts are posted.