SCHUYLKILL HAVEN — The Blue Mountain school board is in good financial shape but might have to discuss borrowing funds if a full state budget is not passed soon.
Business administrator Michael Sokoloski told the board that the committee of the whole said the district has funds on hand to meet obligations but the longer a state budget is not passed and additional funds are not sent to districts, Blue Mountain might have to decide if it wants to take a loan.
“We did receive $6.5 million in subsidy money on January 5, which is approximately 45 percent of our subsidy money, and basically they (the state) are using prior year history to come up with that calculation. Of that $6.5 million, we paid back $966,000 (to the Pennsylvania Public School Employees’ Retirement System), which was for the September and the December quarter that was due back to PSERS. That was a component that was reimbursable from the state,” he said.
He added that the cash balance of the district is about $14,600,000. The anticipated balance should last through April or mid-May if no major expenses arise.
“You will see some major outflow of cash in the month of February and March because our debt payments are due,” he said.
He said the real estate collect rate is about 94 percent as of Dec. 31.
“That’s what kept us alive the first six months,” he said.
He said the district should continue to look down the road for its financial health.
“Long ways, I don’t think you’re at that level to worry about looking at an anticipation loan at this point. By March, if something doesn’t happen with the state then you are going to have to revisit that,” he said.
Sokoloski also discussed the Schuylkill Technology Center proposed budget. He said the district will pay an about $71,000 increase for the 2016-2017 STC budget.
“That equates to roughly 8.5 percent,” he said.
The budget will be on the agenda for a vote at the regularly scheduled board meeting at 7:15 p.m. Thursday at the middle school.
Superintendent David H. Helsel said he agreed the proposed budget reflects an 8.5 percent increase from the current budget. The district is expecting a 3.5 percent deficit, he said.
Gwen Witmer-Belding, director of curriculum and instruction, said a change clarifying the school calendar relating to snow days is suggested. For example, one of the days allocated as a snow day was not used, Jan. 18, which was an in-service day for teachers. The changes will be on the agenda for Thursday’s meeting.
A brief discussion was also held on new books for children in kindergarten to fifth grade. Presently, six teachers in those grades, one in each grade level, are using the Elementary English Language Arts Series books as part of a pilot program. Board members said they would like to hear what teachers think of changing to new books. Witmer-Belding said the approval could be requested by February and fully implemented for the 2016-17 school year.