Archive for Tuesday, July 3, 2001

School budget woes continue

July 3, 2001

The school district ended the year in the black.

But Richard Erickson, superintendent, said it could have been better.

For instance, this year the district will transfer about $40,000 into the capital outlay fund. A year ago, the district transferred $136,753 into this fund. Capital outlay is used for school improvements.

"This next year is going to be a tough year again," Erickson told board members at last Wednesday's board meeting. "We're going to have to watch that capital outlay balance and really sharpen our pencils."

Currently, the district's capital outlay fund has a balance of $323,285. Interest will be added later.

At this time a year ago, the fund totaled $507,997.

The money has gone to good use, Erickson said.

Some of the major expenses paid out of this fund included $80,000 toward the school's new multipurpose facility and replacement of floors in the elementary and junior high schools.

Erickson stressed the importance of the local option budget. The LOB is a tax levied by a school district equal to up to 25 percent of the general fund. During the 2001-2002 school year, the LOB will be levied at 21 percent, and is projected to generate about $1.4 million for the district.

"As we move into next year, the LOB is going to be very important for us," Erickson said. "More and more, the general fund is becoming the salary-intensive budget for us and the LOB picks up the rest. It's becoming more and more significant in our total budget scheme."

Commenting has been disabled for this item.