School Board Meets – Possible Property Tax Hike on Horizon
The Jefferson County School Board met on Thursday, May 23, 2013 at Jefferson County High School. The Meeting was Called to Order by Chairman of the Board Potts. Absent from Roll Call were Board Members Vines and Rogers.
Special Recognition was given to student winners of the Director’s Art Gallery and those that attended the Middle School Math Competition.
The Agenda was Approved, following a Motion from Board Member Cavanah and 2nd from Board Member Jarnigan.
Board Member Bradley made a Motion to Approve the Consent Agenda, was 2nd by Cavanah and the Motion Passed.
Director of Jefferson County Finance Helton informed the Board that sales tax is currently running at 3% below projections through April.
Under New Business, AP Music Theory Textbooks were Adopted with a Motion from Bradley and 2nd from Jarnigan. Also Approved, with a Motion from Jarnigan and 2nd from Board Member Lowery, was Federal Projects and Special Education Permission for the 2013-2014 school year (general housekeeping). Surplus Property from the Maintenance Department was Approved with a Motion from Jarnigan and 2nd from Lowery and three Budget Amendments, two Federal Amendments and one General Amendment, were Approved with a Motion from Jarnigan and 2nd from Bradley.
Under Unfinished Business, the Board Approved Policy Changes on the second reading for Policy numbers 5.113 In-Service and Professional Learning Opportunities, Fixed Asset Policy (new), 4.209 Alternative Credit Options and 6.4001 Survey of Students, with a Motion from Cavanah and 2nd from Jarnigan.
The Board was presented with a first look at their proposed 2013-2014 budget draft, from Director of Jefferson County Finance Helton. He informed the Board that there has been a projected increase of $928,000 in BEP funds, due in large part to mandated increased in teacher salaries and the probable restoration of Capitol Outlay Funds. Decreases in Revenue are projected at $410,535 leaving the total projected increase in revenue at $592,465. Helton stated that those numbers, both increases and decreases, will fluctuate as the budgeting process continues.
Projected Expenditures are projected to increase $2,043,772, which included mandated salary increase of 1.5% ($350,00), Health Insurance ($711,695), Operational Costs for Patriot Academy ($268,369), Other Salaries($172,825), Insurance –Building ($53,021), Buses ($293,000), Fuel ($112,000) and Technology ($82,862). Helton stated that the increase in health insurance is likely to be adjusted down $100,000 to $120,000 from the projected increase. The Other Salaries increase includes 2 Special Education positions and an SRO position for the Patriot Academy. Helton said that the salary increase does not include the local match or any classified employee raises.
Discussion followed regarding the financial responsibility of funding SRO positions in the schools. Helton informed the Board that any request for SROs for elementary schools would need to be at the request of the school board and come with funding avenues. Currently, the Department of Education reimburses the Sheriff’s Department for a portion of the SROs that are in the Middle and High Schools. Helton stated that increasing the number of SROs would be at an approximate cost of $45,000 per position and it would require 6 new positions to have an SRO in every school. Chairman Potts stated that she would like to see the funding for all SRO positions (current and proposed) to come from the Sheriff’s Department budget, as they are employees of that department, and would like the County Commission to address the need in the new budget proposal.
Helton presented information on the current state of the School Fund Balance. As of the close of the last fiscal year (6-30-12) the fund balance was $5,965,900. Amounts that are assigned against that balance are $1,089,630 (to balance 2012-2013 budget), $1,010,000 (restricted for JCHS renovation contribution), $100,000 (restricted for traffic light), and $15,000 (restricted for Rush Strong Building). The total of Fund Balance minus assignments is $3,751,270. Helton deducted from that amount $518,103 which was approved for use by the County Commission and $431,664 which was requested from fund balance but failed in the County Commission. The total available fund balance, including the approved and denied requests is $2,801,503 of which around $1.4 million is required as a safety net by the State of Tennessee.
Helton stated that for the first time in several years there may be no funds rolled into fund balance. He said that other expenses are not included in those totals, including $140,000-$150,000 needed to cover salaries in this year’s budget. Projected Operational Costs for the Patriot Academy, as well as Mount Horeb Elementary School are absorbed in the budget proposal, however questions arose concerning the County Commission’s financial commitment to the operational costs. Helton stated that the County Commission may need to move pennies from property tax to cover operational costs and that a tax increase may be on the horizon, in combination with fund balance usage.
The total anticipated deficit in the 2013-2014 Department of Education Budget Proposal is $3,177,655, with a variance from 2012-2013 and 2013-2014 of $2,690,131.
Board Member Jarnigan made a Motion to include Department of Education support workers with a raise matching other County employees (projected cost of $90,000 from general funds and $21,000 from Food Service) and was 2nd by Bradley. The Motion Passed.
Board Member Cavanah made a Motion to request SRO officers for all County schools and for the funding of those officers (projected and current) to come from the Sheriff’s Department Budget through the County Commission. The Motion was 2nd by Jarnigan and Passed.
Director of Schools Edmonds stated that he will be working with Department Heads for avenues of cuts to the budget. Director of Facilities for the Department of Education Phagan presented the Board with information on bleachers County wide and code issues that exist with many bleachers currently in use. Phagan stated that the traffic light road improvements will begin shortly. Preliminary designs on the Fly Box, which were requested at a previous Board Meeting, are in the process of completion, as well as costs associated with the design alterations.
The Meeting was Adjourned.
