School Board Passes $101M Budget

The school district's 2013-2014 budget passed on third reading Monday night.

SDPC Finance Director Clark Webb said the $101,521,832 budget does not increase taxes.

The budget is an increase over the FY 2012-2013 budget of $99.3 million. Like most other government entities, the district is facing rising costs of health care, retirement benefits and utilities.

Trustee Alex Saitta said the district's electric costs have risen by $1 million due to the new facilities created by the district's building program.

He said the district's budget uses a projected Base Student Cost of $2,101 per student.

The budget maintains the student-teacher ration of 21.5 to one and a STEP increase to certified employees.

“They're the only ones who get a STEP increase,” Webb said.

The budget does not include a STEP increase for non-certified employees or technology upgrades, Webb said.

Some “critical initiatives” will be funded through special revenue funds.

“Some of these provisions are for one year and will be reevaluated based on program effectiveness and availability of funds,”

Those initiatives include the Ignite program which works with at-risk first graders who are behind in reading as they move into second grade.

“We have some children in first grade that might normally be retained because they're not reading where they need to be reading,” Superintendent Dr. Kelly Pew told legislators last year. “And we know that reading is one of the number one issues that students who drop out of school have. So in our (Ignite) schools, we hire a teacher that works specifically with our most at-risk first graders moving into second grade. Instead of retaining those children, we move them on into second grade. They are in a classroom with one of our very best, most experienced teachers. We're double-dipping them in reading. So they're getting two hours of reading every day.”

The special revenue funds will also pay for graduation coaches. These positions are separate from guidance counselors.

“Graduation coaches identify students at the middle schools and high schools who are at risk of not graduating from high school and provide them support,” Pew told members of the legislative delegation. “They are doing different things with different children, based on what those needs are. They have identified, through the help of our teachers and administrators, kids who really need that extra help. If kids aren't coming to school, they're going to their houses to find out why they're not in school and getting them in there.”

The budget is an increase over the FY 2012-2013 budget of $99.3 million. Like most other government entities, the district is facing rising costs of health care, retirement benefits and utilities.

Trustee Alex Saitta said the district's electric costs have risen by $1 million due to the new facilities created by the district's building program.

Trustee Ben Trotter said the district had to take care of its facilities to ensure their lifespans and to prepare for the unexpected.

“State law says we must maintain our buildings and keep them in good operating condition,” Trotter said.

He moved to take $1 million from fund balance this year's and move to a capital improvements account, and for the district to determine an amount to be placed in that account each year thereafter, once the district's fund balance hits a determined threshold.

“If we do have anything happen ... we would probably have to borrow money to fix it,” Trotter said. “This way, we would build up a little fund as we go, so if something horrible happens, a great catastrophe … when we do need it, we have it.”

Pew said such an account would be helpful.

Trotter suggested $500,000 be added to the capital improvement account annually.

Trustee Jimmy Gillespie asked Webb what that would do the district's fund balance.

Webb said it's recommended that districts keep at least two months of operating costs in their fund balance. The district keeps about 10 weeks of operating costs in the fund balance currently.

Going too low could impact the district's ability to meet payroll and other expenses, particularly in October – December of each year, before tax collections come in, he said.

“Do you feel comfortable taking a million dollars out?” Gillespie asked.

Webb said yes.

The amendment to allocate $500,000 each year to the CI account failed for lack of a second.

The motion to allocate $1 million to the CI account this year passed 3-2.