School board finances good despite setbacks

Published 12:00 am Saturday, February 19, 2000

ERIK SANZENBACH / L’Observateur / February 19, 2000

RESERVE – The St. John the Baptist Parish School Board’s finances are in theblack with a balance of $1.5 million in the bank.That news came Thursday from Felix Boughton, director of Business Operations for the school board.

In his General Fund Budget Report 1999-2000 to the board, Boughton said that despite some financial setbacks over the past year the school system is doing well financially.

“I’m sure we will maintain the $1.5 million balance,” Boughton told the boardat its regular Thursday night meeting.

Boughton listed several things that could have been budget-busters, including: A decline in sales tax revenue by $610,000.

An increase in health insurance that cost $43,000.

A state mandate to institute remediation schools which cost the system $408,000.

A one-time pay raise for employees worth $14,000.

But a lot of this was offset by increases in Minimum Foundation Program funds of $816,000 and an increase in Special Education and Technology funding of $928,000.

Boughton also gave a report on the Capital Projects Fund and said that the school system has $685,000 for building and construction projects.

In other financial news, the school board gave permission to the administration to negotiate with Siemens Building Technologies Inc.

At the last school board meeting there was some controversy over why Siemens was picked over another company, Energy Masters. Even thoughSiemens’ proposal was higher than Energy Masters’, Boughton felt the Siemens’ plan to make the schools more energy efficient, he felt that the improvements offered by Siemens would benefit the schools more.

“We are getting over $500,000 of improvements from Siemens that will pay for themselves in a very short time,” Boughton told skeptics on the board.

When asked how the school board would finance the performance contract which would cost close to $2 million dollars, Boughton replied, “I can find the financing for the loan that will have zero percent interest, and will cost the tax payer nothing.”However, board member C.J. Watkins was still not satisfied.”I still don’t think this is the best proposal. I wanted to hear from EnergyMasters,” Watkins said.

Board member Gerald Keller countered, “This has been well-researched, and we have the legal obligation to show the community and the taxpayer we are cost-conscious.”Siemens claims that with improvements on lighting, air conditioning and other power consumption, it can save the school board over $160,000 a year.

The board voted 10-1 to let the administration enter into negotiations with Siemens. Watkins cast the sole nay vote.

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