District Reports Mixed Results in Tax Collections and Budget Adjustments for June

The Little Rock School District reported a mixed financial outcome for the fiscal year ending June 30, 2025, during its recent board meeting. Key highlights included a positive overall local tax collection, which exceeded projections by $332,433, despite a shortfall in state foundation funding of approximately $1 million. This discrepancy was attributed to timing issues with revenue payments.

The district's property tax collections showed a strong first half, coming in $2 million over budget, while the second half fell short by $1.2 million, balancing out the overall tax revenue. Additionally, interest on investments yielded favorable returns, contributing nearly $1.9 million to the district's finances.

In terms of expenditures, the district reported being $630,000 under budget for hours and benefits, largely due to unfilled positions. However, additional compensation for certified staff exceeded budget expectations by $1.4 million, driven by state funding for national board certified teachers and merit pay.

The Child Nutrition Fund ended positively with a balance of $1.2 million, marking a successful year for the program. The district also noted a significant capital improvements fund balance of nearly $14.5 million, indicating ongoing investment in infrastructure.

Looking ahead, the district plans to refine its budgeting process, particularly regarding classified overtime and supply expenditures, to better align with actual needs. The board's discussions emphasized a commitment to maintaining financial stability while addressing the needs of staff and students.