By Harlan Kirgan
Editor
OPELOUSAS — In a discussion about raising employee compensation for gas mileage expenses, St. Landry Parish School Board members were reminded that the school system is projected to end the year with a $2 million deficit in its general fund.
The district compensates its employees at 36 cents per mile, according to Tressa Miller, finance director. The state maximum allowed is 54.5 cents and there are surrounding schools districts that compensate employees at that rate, she said.
Miller said the district would have to figure out where to make cuts to increase the compensation because revenues are not increasing.
Patrick Jenkins, superintendent, said, “Our budget is very tight right now.”
The school district may help employees with the expense in the future, he said.
Eunice School Board member Mary Ellen Donatto noted the district is paying about 65 percent of what the state allows. The district budgets about $32,000 a year to compensate employees for their travel costs.
Jenkins referenced the projected deficit in the Board’s general fund and said “Hopefully, we can make it even.”
The budget projects revenues of $104.5 million. The district’s general revenue sources are $27.1 million local funding; $77.1 million state funding; and $304,000 in federal funding.
The budget calls for $117 million in expenses. Salaries account for $63.5 million and payroll benefits add another $$38.8 million to expenses — a combined total of $102.3 million for employee pay and benefits or more than 87 percent of budgeted expenses.
The gap between revenues and expenses is in part made up by a $11 million transfer from a sales tax fund to pay salaries. But there is a $1.4 million transfer out the Board’s treasury for charter schools.
The sales tax fund has had a balance used to pay a Christmas bonus. This year the bonus was $500. In previous years, the bonus was as high as $1,000. The December 2018 $500 bonus to about 1,800 employees should cost the district about $1.3 million
Jenkins said at the Dec. 17 Executive Committee meeting that the school district’s local property tax revenue is to arrive in through February.
Miller, who provides Board members various balance sheets on funds, said the district has a target fund balance of 7.5 percent of budget general fund revenue, which is $7.8 million. The district also targets a $2.6 million balance in a sales tax fund used for employee salaries. At the end of October, the general fund unassigned balance was $4.2 million and sales tax fund had a balance of $4.7 million.
The school district, according to Miller, had a $4.7 million deficit at the end of October, but that was going to be headed into positive territory when local property tax revenue arrives this month and in February. At the end of October, the district had received $500,000 in property taxes. Miller estimated total property tax revenue at $10 million.
The school district’s fiscal year ends in June.