Oregon City schools treasurer outlines revenue gains, warns of legislative changes; board appoints interim treasurer services

Oregon City — Treasurer Jane told the Oregon City School District Board of Education on April 15 that the district’s revenue picture has improved this year but that pending state changes could affect future budgets, and the board approved outside interim treasurer services while the district searches for a replacement.

Jane, the district treasurer, said property-valuation increases drove revenue above earlier estimates and that Medicaid settlement payments and federal grants contributed to an overall 8% revenue increase compared with last year. “We will be receiving $225,000,” she said of a Medicaid settlement payment the district expects to transfer to the PI fund.

The board moved quickly to approve a set of agreements to provide temporary treasurer-of-record services through the Educational Service Center of Northeast Ohio and the Shared Services Alliance, and to contract with Jennifer Sedkoff for interim treasurer-of-record services. The motions and roll-call votes were recorded during the meeting and the contracts were approved.

Why this matters: Jane warned that the legislature is discussing several changes — including shortening the public forecast period and potential limits on allowable cash reserves — that could reduce local districts’ flexibility. “They’re talking about reducing it to a 3 year forecast,” Jane said, and later cautioned that a proposed limit on cash reserves could force districts to return excess balances to taxpayers.

Key facts and board action - Revenue drivers: Jane reported that residential valuations rose about 31.95% and commercial/industrial valuations rose nearly 18%; the district’s collections exceeded earlier estimates by roughly 1%. - One-time and timing items: A late personal property tax payment of about $196,000 was discussed as affecting cash flow projections. - Grants and settlements: Jane said the district expects a $225,000 Medicaid settlement payment that will be transferred to the PI fund; federal grant awards increased for the coming year but staff said appropriation adjustments will follow as receipts are confirmed. - Legislative risk: Jane described possible state changes that would change forecasting and reserve rules and said those proposals could materially affect districts’ fiscal planning. - Interim treasurer services: The board approved an agreement with the Educational Service Center of Northeast Ohio / Shared Services Alliance to provide treasurer-of-record services and approved a separate agreement to contract Jennifer Sedkoff as interim treasurer of record while the district completes its search for a permanent treasurer.

Discussion vs. decision - Discussion: Jane reviewed revenue variances, forecast methodology, and legislative proposals; the superintendent and board members asked clarifying questions about timing and the need for contingency planning. - Direction: The board approved the use of outside interim treasurer-of-record services and the contract with Jennifer Sedkoff; staff will continue the search process for a permanent treasurer and report back. - Formal action: The motions to contract interim treasurer services and to appoint the Educational Service Center as treasurer of record were approved by roll call during the meeting.

Context and next steps Treasurer Jane said the district has used federal ESSER funds over recent years and returned $7 million in ESSER funds to regular operations; she urged caution given the cumulative effect of potential state policy changes. The district will present updates on hiring for the treasurer role and any budget adjustments at upcoming board meetings.

Ending: The board set the next regular meeting for May 20; staff said interim treasurer services will be in place starting May 1 as the search continues.