The major problem facing educational administrators in the next decade will be the need to control costs within the context of reduced resources. This paper, by centering its discussion around the problem of declining enrollments, discusses the role of administrators in educational finance. Restrictions to cost control in Canadian schools are defined as the values and attitudes of the present group of senior administrative personnel, collective agreements with teachers, and political and administrative decisions made in the past. These three problems are discussed in depth followed by suggestions that would modify resource allocation systems and cushion the decline and the years that follow it. Included is an explanation of an averaging formula that can predict revenue and thus improve planning. (Author/LD)